Vera Bradley plans to double the size of its Indiana distribution center to meet increased demand for its patterned fabric purses, leather items, and other accessories.
Vera Bradley experienced a 30% sales increase in its second quarter, with sales jumping from $80.1 million a year ago to $103.8 million. It's predicted the company will enjoy sales of between $438 million and $443 million by year's end.
It will cost an estimated $22.5 million to take the current 220, 000 square foot space to almost 420, 000 square feet, but it seems the money will be well spent. The expansion will see approximately 124 new jobs created at the Roanoke plant. The development will commence this fall, with a view to completion at the same time next year.
Vera Bradley's chief executive officer Michael C. Ray says that investing in the revamped distribution center will help the company achieve its long-term goals including expansion into new channels and locations. It is currently working with the state of Indiana and city councils in Fort Wayne and Allen County to support its investment in new jobs and ongoing commitment to Northeastern Indiana.
I've been really impressed with Vera Bradley's designs in recent seasons, which seem to be adopting more of a fashion forward look, so it's impressive to see these creative risks are paying off for the homegrown label.