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Linda Moss has a new Homeshoppingista blog post in which she discusses Qurate's 1st quarter financials and it's not pretty! Anyone here very surprised?

 

https://homeshoppingista.wordpress.com/2019/05/09/combined-qvc-hsn-1q-sales-drop-4-to-1-9-billion/

 

Combined QVC-HSN 1Q Sales Drop 4%, to $1.9 Billion

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Re: Qurate's 1st Q financials

Not surprised even one teensy bit!  

~The only difference between this place and the Titanic is that the Titanic had a band.~
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Re: Qurate's 1st Q financials

All retailers are facing major economic problems. This is a terrible problem which QxH is trying to address. Not sure there is a solution to the overall delemma, but I wish them success in their endeavors. 

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Re: Qurate's 1st Q financials

I'm surprised it wasn't more than 4%

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Re: Qurate's 1st Q financials

Remember, Qurate's 4th Qtr 2018 results showed QVC with an overall sales increase, while HSN was hemorrhaging sales in a sharp decrease.

 

Now, this 1st Qtr 2019 combined report (the first time their financial results are combined) shows a pretty ugly sales decrease.

 

"On December 31, 2018, Qurate Retail completed a restructuring whereby HSN and its subsidiaries (excluding Cornerstone) became subsidiaries of QVC, Inc. The restructuring is intended to better facilitate cross-platform initiatives across the QVC and HSN businesses. Following the restructuring, QVC, Inc. is comprised of the businesses of QVC US and HSN (collectively “QxH”), and QVC International. During the first quarter of 2019, Qurate Retail changed its reportable segments to combine QVC US and HSN into one QxH."

 

*  QVC owns HSN, since December 2018.

*  QVC International revenue decreased 5%

*  Zulily revenue decreased 5%

 

"QxH reported sales declines in home, jewelry and beauty, which were partially offset by gains in electronics with modest growth in fashion (apparel and accessories). QxH generated strong sales growth in off-air products; however, these gains were not sufficient to offset lower sales of on-air items."

 

I wonder if those "off-air" sales are a result of customers getting really fed up with bizarre on-air antics of some of the hosts and vendors, and just shopping straight from searching the website.  Also, it could be "non-traditional QVC" demographics (men and younger population) who would never sit & watch on-air hosts, but search the website and purchase.

 

Statements in quotes are from The Register-Herald, and BusinessWire, respectively.

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Re: Qurate's 1st Q financials

[ Edited ]

@Caaareful Shopper wrote:

Remember, Qurate's 4th Qtr 2018 results showed QVC with an overall sales increase, while HSN was hemorrhaging sales in a sharp decrease.

 

Now, this 1st Qtr 2019 combined report (the first time their financial results are combined) shows a pretty ugly sales decrease.

 

"On December 31, 2018, Qurate Retail completed a restructuring whereby HSN and its subsidiaries (excluding Cornerstone) became subsidiaries of QVC, Inc. The restructuring is intended to better facilitate cross-platform initiatives across the QVC and HSN businesses. Following the restructuring, QVC, Inc. is comprised of the businesses of QVC US and HSN (collectively “QxH”), and QVC International. During the first quarter of 2019, Qurate Retail changed its reportable segments to combine QVC US and HSN into one QxH."

 

QVC owns HSN, since December 2018.

*  QVC International revenue decreased 5%

*  Zulily revenue decreased 5%

 

"QxH reported sales declines in home, jewelry and beauty, which were partially offset by gains in electronics with modest growth in fashion (apparel and accessories). QxH generated strong sales growth in off-air products; however, these gains were not sufficient to offset lower sales of on-air items."

 

I wonder if those "off-air" sales are a result of customers getting really fed up with bizarre on-air antics of some of the hosts and vendors, and just shopping straight from searching the website.  Also, it could be "non-traditional QVC" demographics (men and younger population) who would never sit & watch on-air hosts, but search the website and purchase.

 

Statements in quotes are from The Register-Herald, and BusinessWire, respectively.


 

Interesting that Q now officially owns HSN.

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Re: Qurate's 1st Q financials

@nomless   Agreed.  It wasn't that way when Qurate first took over, but last December they restructured and QVC indeed now owns HSN.

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Re: Qurate's 1st Q financials

https://finance.yahoo.com/news/qurate-retail-inc-reports-first-203000090.html

 

Here is the Business Wire article link via Yahoo of the financial numbers.

 

QVC International didn't do so well either. The strong U.S. dollar hurt those results. I also suspect the Brexit uncertainty hurt the QVCUK bottom line although that isn't mentioned here. Only Germany and Japan did well.

 

So QxH beauty numbers are down. So do you think that could be because customers are sick of repetitive on air programs as well as people taking their beauty money elsewhere? I also doubt that millennials are spending their beauty dollars at either QVC or HSN let alone customers younger than them. 

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Re: Qurate's 1st Q financials

[ Edited ]

Im not surprised. Value is down for many reasons.   Quality is down and shipping is ridiculous.  Convenience, no more.  When you cant rely on delivery being timely its not worth the aggravation .  Also, sizing is way off on alot of clothing.  There is no standard sizing anymore, I cant afford to send things back at $6.95 a clip.  If i buy 3 items, thats over $20.00.  If sizing is off, is that my fault??  Im a large, some fit, some too small and some very very big.  I cant be bothered anymore, and I cant afford it either.  For instance, I need a 3 tier utility shelf for the garage.  I purchased it yesterday on A.  Its being delivered today by UPS.  Had I ordered it from the Q, it would be in processing for 5 days probably and another 3 to get to me. Big diffrence

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Re: Qurate's 1st Q financials

So sales grew  in off-air products?  Interesting.

 

I think many people no longer watch QVC because of various reasons.  They prefer to buy online.