These Trends Will Define Retail Earnings This Quarter

Welcome back to FN Daily, where we break down the biggest stories happening in footwear and retail.

Retail earnings are kicking off in earnest this week, and we're breaking down what to expect . We're also looking at China's rebound and what that means for footwear brands and Merrell's new size-inclusive collection with?Unlikely Hikers.

Here's what you need to know.

3 Trends To Watch Out for In Earnings

Retailers are gearing up to report earnings for the fourth quarter and full-year.

This week, Columbia Sportswear, Deckers and Skechers will report results for the most recent quarter, followed by Under Armour, VF Corporation, Tapestry and Capri Holdings next week.

What to watch out for: Given recent challenges in the retail environment, upcoming results will likely touch on a few major themes — namely recovery in China , cooling inventories and store strength — that are top of mind for business leaders navigating an environment in flux.

These Brands Will Benefit From Recovery in China

Since China made the?move to relax?its?zero-COVID policy?and travel restrictions in recent months, global footwear companies have been cautiously optimistic about what this means for their businesses moving forward.

Some companies have already shown positive results?in the crucial region for footwear production and sales.

Analysts are also bullish on brands with a strong presence in China — such as Nike, Adidas and Skechers — and say they are in a good position to capture renewed demand after multiple quarters of stagnation.

Merrell and Unlikely Hikers Team Up On Size-Inclusive Collection

Merrell has once again teamed up with Unlikely Hikers , a diverse and inclusive community geared toward encouraging the underrepresented outdoorsperson to explore with confidence, on a footwear and apparel range.

The collaborative range, which is Merrell’s second with Unlikely Hikers, is executed in a broad color palette across apparel, accessories and footwear. The apparel, Merrell said in a statement, is offered in extended sizing and the footwear will have wide width options.

Context: The timing of the launch comes months after Merrell — the?2022 FNAA Brand of the Year?— revealed in its?Inclusivity in the Outdoors Report?that nearly one in five people experience discrimination when outside.

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• Deckers Says Walmart Copied Ugg, Hoka and Teva Designs

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