Moody's cut its forecast for department store profits after a "bleak" second quarter for the sector, according to a report released Tuesday and emailed to Retail Dive. The ratings agency now forecasts a 15% overall drop in operating income for the sector in 2019, after previously predicting a 10% decline.
Perhaps even worse, the sector's bad Q2 and predicted profit decline followed several department stores' "heavy investing to improve inventory efficiency and to build their online capabilities," Moody's analysts led by Christina Boni wrote in the report.. . . more