It’s been another week with far more retail news than there is time in the day. Below, we break down some things you may have missed during the week and what we’re still thinking about.
From the acquisition of Coldwater Creek to a Hunger Games-inspired fragrance, here’s our closeout for the week.
What you may have missed
Coldwater Creek acquired
Nexus Capital Management completed the acquisition of CW Holdings, parent company of direct-to-consumer women’s apparel and lifestyle brands Coldwater Creek and Soft Surroundings, according to a Monday press release. The brands serve women ages 45 and older via e-commerce sites and catalogs.
"Coldwater Creek and Soft Surroundings are brands with decades of heritage and customers who have stayed with them for years,” David Walde, chief executive officer of Coldwater, said in a statement. “Nexus shares our belief in what makes these brands special, and with their support we will continue investing in our product, the experience we deliver for our customers and the ways we reach new ones."
Nexus’ portfolio also includes Dollar Shave Club, Hostess Brands, FTD, Toms and 99 Cents Only Stores, among others.
Canada Goose losses widen in Q2
Canada Goose on Thursday reported second quarter revenue grew nearly 6% year over year to 274 million Canadian dollars ($195 million at press time). DTC revenue was up 2.7%, while wholesale revenue grew 4.6%. However, DTC comparable sales fell 7.5%, with CEO Dani Reiss saying “softer store traffic [continues] to be a headwind.”
“When customers came through the door, the response was strong,” Reiss said on a call with analysts. “Conversion improved and average revenue per unit and units per transaction increased. We are encouraged by these results and are confident in our ability to build on that momentum and to return to positive comp sales growth.”
Losses in the period grew for the outwear company: Operating loss was CA$21.6 million, from CA$17.6 million in the year-ago period, and net loss was CA$26.3 million, compared to CA$17.4 million last year. SG&A expenses also increased during the period, reaching CA$204.5 million from CA$183.3 million in 2025.
Retail therapy
Is this what state-sanctioned murder smells like?
Brands like Gap and Victoria’s Secret increasingly see opportunity in fragrance, a global market that could approach $90 billion by 2033, according to Grand View Research. At the moment, fruity scents are trendy and can be quite chic, according to Vogue.
But how dystopian are they?
Fragrance-sample subscription company Scentbird and Drift, the brand known for car and home fresheners, have turned to a tale of totalitarianism and societal inequality for inspiration, for their scent based on Panem, the setting in the Hunger Games franchise.
On Thursday, in anticipation of the upcoming theatrical release of “The Hunger Games: Sunrise on the Reaping,” the companies released an eau de parfum, home scent diffuser and car freshener, thereby “bringing the world of Panem to life” through fragrance.
The more worrisome aspects of Panem’s regime — that is, the ritualized state-sanctioned child murder — have been set aside to focus on its “breathtaking landscape and enduring sense of hope.” Notes include wild berries, apple tree, golden daisy, butterfly bush and meadow moss.
What we’re still thinking about
51%
That’s how much E.l.f. Beauty’s Q2 net sales jumped year over year, reaching $520.8 million. Net income grew from just under $3 million the year prior to about $30 million this recent quarter. The beauty company raised its fiscal year outlook and stunned some industry analysts with its quarterly results this week.
CEO Tarang Amin attributed the company’s success over recent years not just to the lower price positioning some of its brands hold, but also to its innovation pipeline.
What we’re watching
Will CVS’ pharmacy split mean a better retail business?
With CVS Health’s announcement earlier this week that it intends to separate its healthcare business from its retail pharmacies, the question now becomes: What does that mean for the retail business?
The segment, which has been largely ignored in favor of the company’s healthcare efforts, could have major changes ahead, according to GlobalData Managing Director Neil Saunders.
“Of course, the decision is more about how investor value can be maximized rather than because of a deep desire to give retail the attention it needs and deserves. Even so, if the split does happen, retail will have to stand on its own two feet and that means sharper execution and much more innovation,” Saunders wrote in emailed comments Wednesday. “It will, basically, force retail into making decisions and investments it has traditionally put off.”
In CVS Health’s third quarter, reported Wednesday, front-of-store sales were roughly flat at $5.2 billion. While that metric doesn’t impact the combined business much, it will matter more if the deal goes through — and the new CVS Pharmacy business will not be able to rely on built-in operational efficiencies anymore.
“The struggles of Walgreens and Rite Aid underscore the difficult economics facing standalone pharmacy chains without the financial cushion of a corporate umbrella that includes an insurer and [pharmacy benefits manager],” Emarketer senior analyst Rajiv Leventhal said in emailed comments.
Growing consumer interest in health and wellness provides the new CVS Pharmacy with plenty of opportunities to create a robust retail offering, according to Saunders, but it will also require investments in pricing and customer service to be successful.
“These things could be remedied with more focus. But there should be no illusion here. The consumer entity is the weaker part, and it will start life as a stand-alone business on the back foot,” Saunders said. “Nor will independence, in and of itself, fix the problems. CVS still needs to develop a more compelling retail proposition that gives consumers reasons to visit beyond collecting prescriptions or making the odd necessity purchase.”
