Sales at clothing and clothing accessories stores in the United States increased by 4 per cent year on year (YoY) in January 2026, reflecting steady consumer spending on apparel despite mixed overall retail trends.

According to advance estimates released by the US Census Bureau, total retail and food services sales reached $733.5 billion in January 2026. The figure was down 0.2 per cent from December 2025 but rose 3.2 per cent compared with January 2025.

US retail trade sales in January this year were down by 0.2 per cent month on month (MoM) and up by 3 per cent year on year (YoY), according to advance estimates by the Census Bureau.
Sales at US apparel and clothing accessories increased by 4 per cent YoY in the month, while sales at furniture and home furnishing stores decreased by 3.5 per cent YoY.

Retail trade sales also declined 0.2 per cent from the previous month but increased 3 per cent on an annual basis, indicating stable consumer demand across several segments.

For the three-month period from November 2025 to January 2026, total retail sales increased 2.9 per cent compared with the same period a year earlier, showing moderate growth in consumer spending during the holiday and post-holiday season.

Among retail categories, nonstore retailers—which include e-commerce platforms—recorded the strongest growth, with sales rising 10.9 per cent YoY. 

The monthly estimates are adjusted for seasonal variation and holiday and trading-day differences but are not adjusted for price changes, the Census Bureau said.

Fibre2Fashion News Desk (DS)

American online personal styling service Stitch Fix, Inc has reported net revenue of $341.3 million in the second quarter (Q2) of fiscal 2026 (FY26) ended January 31, 2026, marking a 9.4 per cent year-on-year (YoY) increase as the company benefited from stronger client engagement and improved product assortment.

During the quarter, active clients totalled 2.29 million, reflecting a 0.8 per cent decline quarter on quarter (QoQ) and a 3.5 per cent decrease YoY. However, net revenue per active client rose 7.4 per cent YoY to $577, indicating higher spending levels among existing customers.

Stitch Fix has reported net revenue of $341.3 million in Q2 FY26, up 9.4 per cent YoY, despite active clients falling 3.5 per cent to 2.29 million. Revenue per active client rose 7.4 per cent to $577.
Gross margin stood at 43.6 per cent, while net loss narrowed to $2.7 million.
The company expects FY26 revenue of $1.33-1.35 billion with positive free cash flow.

The company reported a gross margin of 43.6 per cent, down 90 basis points YoY, while net loss narrowed to $2.7 million, translating into a net loss margin of 0.8 per cent and a diluted loss per share of $0.02. Meanwhile, adjusted EBITDA reached $15.9 million, representing a 4.7 per cent margin, Stitch Fix said in a press release.

Operational performance also reflected stable liquidity. Net cash from operating activities stood at $7.3 million, while free cash flow totalled $3.4 million during the quarter. The company ended the period with cash, cash equivalents and investments of $240.5 million and no outstanding debt.

For the third quarter (Q3) of fiscal 2026 FY26) ending May 2, 2026, Stitch Fix expects net revenue between $330 million and $335 million, representing 1.5 per cent to 3.1 per cent YoY growth. The company projects adjusted EBITDA between $7 million and $10 million, with a margin of 2.1 per cent to 3 per cent.

“Our client experience enhancements, improvements to the quality and breadth of our assortment, and new AI features are resonating and driving increased client engagement,” said Matt Baer, CEO of Stitch Fix. “We delivered a strong Q2 with 9.4 per cent revenue growth year over year. We are gaining market share and strengthening our role as our clients’ retailer of choice for apparel, footwear and accessories as we remain focused on offering the most client-centric and personalised shopping experience in apparel retail.”

Looking ahead to the fiscal 2026 (FY26), Stitch Fix forecasts net revenue in the range of $1.33 billion to $1.35 billion, reflecting 5 per cent to 6.5 per cent YoY growth. The company expects adjusted EBITDA between $42 million and $50 million, corresponding to a margin of 3.2 per cent to 3.7 per cent.

The company also expects gross margin between 43 per cent and 44 per cent in FY26, while advertising expenses are projected at 9 per cent to 10 per cent of revenue. Stitch Fix anticipates positive free cash flow for the full fiscal.

Fibre2Fashion News Desk (SG)

For the first time in modern maritime history, both of the Middle East’s critical shipping chokepoints—the Strait of Hormuz and Bab el-Mandeb (Red Sea)—are simultaneously closed or under active threat to major commercial shipping. Following the launch of US-Israeli strikes on Iran on February **, ****, Iran declared the Strait of Hormuz closed to Western-allied vessels within ** hours. Tanker traffic collapsed from approximately *** vessels per day to near-zero. Within the same **-hour window, Houthi forces in Yemen threatened to resume attacks on Red Sea shipping, forcing Maersk to re-pause all trans-Suez sailings just weeks after a **-month diversion had finally ended.

All four major global container carriers—Maersk, MSC, CMA CGM, and Hapag-Lloyd—suspended Gulf transits on March *. P&I war risk insurance was cancelled by more than ** International Group clubs, effective March *. Dubai’s Jebel Ali port, the critical transshipment hub for South Asian textile manufacturers, has been struck by Iranian missiles and drones, operating at severely reduced capacity. Gulf airline cargo capacity—Emirates, Qatar Airways, Etihad—is down by over ** per cent, crippling the air freight corridor that Bangladesh’s garment exporters depend on for time-sensitive deliveries to Europe.