.The results seem to reinforce the company’s strategy that
expanding its higher margin direct-to-consumer business is the best way
to grow its business ..“The standout performance this quarter was
our US Consumer Direct segment, which benefitted from new store
openings, a same-store sales increase of 14.8% and consistent operating
cost oversight, which combined to deliver a 370 basis point increase in
the segment’s operating margin,” said chairman and CEO Jeffrey Lubell ..But
while US retail and e-commerce sales rose 41.6% to $58.8 million,
wholesale revenues fell 18.2% to $21 million, hurt by “challenging”
sales of women’s denim in department stores ..International sales
in the three months to June 30 were up 31.4% to $18.1 million as the
company took more direct control of its business, especially in Canada
and Germany .” ”