“But higher costs were enough to hit operating income in the quarter, which grew only 7 percent, compared to a 7.4 growth rate for the comparable nine months. Despite these issues, the quarter held up very well and the holiday quarter should hold up nicely,”
“What's holding up the consumer is habit. Until things change in a very material manner, American consumers won't alter their shopping habits significantly. The jobs market is strong and there's been a little bit of improvement in wage growth. I still don't believe that gas prices are high enough to derail consumers. If there is one thing that could shake consumers it's the housing market and not gas inflation.”
“They're paying attention to their problems. They are aware that when it comes to store-level execution there are problems and they're paying attention to it.”
“Being a public company ain't fun. Retailers are fleeing for the private universe, because they speak a different language than [Wall Street] analysts. There's a dynamic volatility that retailers are comfortable with, and that really tests their patience when they deal with the urge toward smoothness and predictability that analysts want. There are a lot more people in private investment banking who understand your language.”
“Management is concerned about return on invested capital and return on shareholder equity and that's the focus. Everything else takes a backseat to that.”