Surf shops, seeking next wave of growth, discover girls - Up Front - PacSun's sales for second quarter up 23% to $234 mn
Ask Greg Weaver what's driving the heady growth of Pacific Sunwear of California Inc., and he points to a wall in the retailer's Fashion Island store that's neatly arranged with sweatshirts, T-shirts and low-rise jeans.
"Girls," he said. "They are driving our business to new levels."
Along with a host of local surf-wear makers, Anaheim-based PacSun is riding one of the biggest things to happen to the action sports market in a while: girl shoppers. And lots of them.
This year, girls' apparel is one of the key reasons "literally every measurable (aspect) of the company is heading north," said Weaver, who is chief executive.
hat includes PacSun's stock, which is up about 40 percent for the year.
The irony, Weaver said, is that there are more competitors than ever in the teen space. They include Industry-based Hot Topic Inc., Foothill Ranch-based Wet Seal Inc. and New Albany, Ohio-based Abercrombie & Fitch Co.
PacSun's sales for the second quarter rose about 23 percent, to $234 million, while same-store sales jumped 13.9 percent, at a time when most retailers are hurting.
Weaver joined PacSun in 1987 when there were only about a dozen stores. At the time, an investment group just had bought out the two founders--suffers who ran a cluster of stores in Southern California selling mostly wet suits and surfboards.
"Wall Street thought, 'Oh, this is a good little company. Maybe it'll go to Florida or Hawaii," Weaver said. "The irony is we've opened stores in Vermont and Alaska. We don't have a bad state. These brands and these looks have become mainstream."
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