Popular gift retailer shuts stores, cuts jobs over holidays

When the system struggles, radical determination their spending absorption to items they request alternatively than items they want. They whitethorn interruption that thought with affordable indulgences similar a Starbucks coffee, oregon possibly a favored snack treat, but overall, they get much cautious with their spending.

Americans are intelligibly disquieted astir the economy, according the information from McKinsey's latest ConsumerWise report.

"Concerns astir the outgo of surviving and occupation information grew successful the 4th fourth of 2025 compared with the erstwhile quarter. Nearly fractional of U.S. consumers said ostentation was among their apical 3 concerns, though concerns astir rising prices dropped 7 percent points from the aforesaid clip past year. This suggests that galore consumers are opening to judge elevated prices arsenic the caller normal. Worries astir tariffs continued to easiness from their highs earlier successful the year," according to the data.

Many American person been making changes to their spending.

"50 percent of consumers said they expect to hold purchasing successful discretionary categories, specified arsenic electronics, accessories, and jewelry, oregon eating out," McKinsey reported.

That information is backed up by different analysts.

"Lower-income consumers, already battered by precocious prices connected groceries and different essentials, are particularly disquieted astir tariff-related terms increases," Kelly Pedersen, a spouse and planetary retail person astatine PwC, told Grocery Dive.

That's not large quality for companies that merchantability items you whitethorn want, but genuinely don't need.

It has apt factored into the woes that person forced Yankee Candle to slash 10% of its workforce and adjacent 20 underperforming stores.

Newell Brands, the proprietor of Yankee Candle, shared a planetary productivity program "designed to fortify the company’s competitiveness, present greater worth for consumers, and thrust semipermanent worth creation," the institution shared successful a December property release.

As portion of the plan, the institution volition trim its planetary workforce by implicit 900 employees (approximately 10% of nonrecreational and clerical employees), with constricted interaction connected manufacturing oregon proviso concatenation operations. The cuts were mostly made successful December, with immoderate delayed into 2026 owed to section instrumentality and announcement requirements.

"As portion of this effort, Newell Brands volition adjacent astir 20 Yankee Candle stores successful the United States and Canada which, collectively, correspond astir 1% of marque sales, with closures expected to instrumentality effect successful January 2026," the institution shared.

More Retail:

• Costco sees large displacement successful subordinate behavior

• Retail concatenation shuts each locations arsenic ineligible changes deed industry

• Lululemon struggles to reverse concerning lawsuit behavior

• T-Mobile launches escaped connection for customers aft large loss

• The institution expects to grounds pre-tax restructuring and related charges of astir $75 cardinal to $90 million, chiefly for severance and related costs, with astir of the charges to beryllium recognized by the extremity of 2026.

• Once afloat implemented, the productivity program is expected to make annualized pre-tax outgo savings of astir $110 millionto $130 million.

"This productivity program is astir taking the next, disciplined measurement to heighten efficiency, sharpen our strategical focus, and present stronger, much accordant performance. Ultimately, our extremity is to present greater worth for consumers and make sustained semipermanent worth for our shareholders,” Chris Peterson said.

• Jar candles (signature large, medium, and tiny jars)

• Tumbler candles

• Pillar and votive candles

• Tea lights

• Specialty and seasonal candles

• Wax melts

• Reed diffusers

• Ultrasonic fragrance diffusers

• Plug-in warmers and refills

• Car aerial fresheners

• Room sprays

• Candle accessories (holders, lids, shades)

• Candle attraction tools (wick trimmers, snuffers)

• Seasonal décor and acquisition sets

• Limited-edition and vacation collections

Newell's third-quarter results showed that the institution has a batch of enactment to do.

• Net income were $1.8 billion, a diminution of 7.2% compared with the anterior twelvemonth period. Core income declined 7.4% compared with the anterior twelvemonth period.

• Gross borderline decreased to 34.1% compared with 34.9% successful the anterior twelvemonth period. Normalized gross borderline decreased to 34.5% compared with 35.4% successful the anterior twelvemonth period.

• Operating borderline improved to 6.6% compared with antagonistic 6.2% successful the anterior twelvemonth period.

• Net income was $21 million compared with nett nonaccomplishment of $198 million in the anterior twelvemonth period. Normalized nett income was $70 million compared with $69 million in the anterior twelvemonth period.

“The cardinal situation for [Newell] present is that visibility is debased and indebtedness high,” Wells Fargo analysts led by Chris Carey said successful an Oct. 31 lawsuit note, successful a RetailDive report.

At the extremity of the quarter, the institution had $4.8 cardinal successful outstanding debt, per Newell’s net release.

Related: Popular women's manner retailer closing astir 200 stores

This communicative was primitively published by TheStreet connected Dec 27, 2025, wherever it archetypal appeared successful the Retail section. Add TheStreet arsenic a Preferred Source by clicking here.