Apparel stores continue recovery
Bermuda?s apparel stores are rebounding from a long-term slump that followed the closure of Front Street giant Trimingham?s.
In December last year, apparel sector sales jumped 15.5 percent, compared to the same month a year earlier ? a fifth consecutive month of double-digit gains.
That statistic was one of the highlights of the Retail Sales Index figures, released by the Government yesterday.
Overall, the Island?s retailers saw a 4.8 percent year-on-year increase in sales in December to a total of $73.4 million. Volume sales ? which take the effects of inflation into account ? rose 1.4 percent.
The Index is based on a sample of retail outlets who report their figures to Government. It showed an increase in all sectors except motor vehicle dealers, service stations and building material suppliers for the last month of 2006.
For the year, total Bermuda retail sales were $672.7 million, a rate of growth of 3.3 percent ? slower than the 7.7 percent increase reported in
while, additionally, returning residents declared $66.2 million worth of items purchased overseas.
December?s figures are traditionally bolstered by Christmas sales and is one of the apparel sector?s strongest months of the year.
But even five months of major gains could not offset the size of the apparel slump early in 2006, as sales for the year were down 7.9 percent, compared to 2005. That figure reflects the loss of Trimingham?s, which closed in July 2005.
Overall, retailers have enjoyed four consecutive months of volume sales increases. Gross receipts for food stores climbed 5.9 percent over the year, compared to 9.8 percent last year. December sales rose 5.6 percent year on year, partly due to a 1.7 percent price increase during the month.
?Other stores?, which include retailers of furniture, appliances, electronics, pharmaceuticals and personal care supplies reported a sales gain of 8.3 percent for the month. Expanded product lines at pharmacies were a contributing factor in the rise.
Motor vehicle sales were 15.4 percent lower in December 2006 than for the same month a year earlier. Lower demand and fewer vehicles in stock in showrooms led to the weaker sales. For 2006, the sector experienced a 1.3 percent fall in sales, following a 22.2 percent rise in 2005.
Service stations saw a 1.7 percent fall in sales in December, but for 2006, sales went up 0.7 percent.