USA: May Department Stores Posts 83% Q3 Earnings Slump
St-Louis based May Department Stores Co has posted an 83 per cent decrease in third-quarter earnings due to costs linked to its purchase of the Marshall Field's chain and flagging sales in a number of its apparel divisions.
The company made $8 million, or 2 cents a share, in the period ended 30 October, compared to the $47m, or 15 cents a share, in the same period last year.
Third-quarter sales increased 17 per cent to $3.48 billion from $2.98bn, with a same-store sales decrease of 3.4 per cent.
May said that the incorporation of the Marshall Field's stores business, which it bought from Target Corp this summer, caused a decrease of 6 cents per share for the quarter.
For the first nine months, May recorded earnings of $185m, or 59 cents per share, compared to earnings of $9m, or a loss of 1 cent per share, a year ago.
Sales for the first nine months increased 6.2 per cent to $9.4bn from $8.85 billion a year ago, whilst same-store sales dropped 1.3 percent.
May operates 500 department stores including Famous-Barr, Filene's, Foley's, Hecht's, Kaufmann's, Lord & Taylor and Marshall Field's.
- Fashion fit for the future – strategies for speed
- Digitisation to drive new apparel-making models
- Will new Vietnam wage hinder competitiveness?
- Under Armour Lighthouse will disrupt production
- How TAL Apparel is staying ahead of the game
- Gap to shutter all UK Banana Republic stores
- M&S "unappealing" clothing a barrier to growth
- Reebok Liquid Factory reinvents shoe production
- Child refugees found in Turkey apparel factories
- Bangladesh tops China as lead cotton importer
- Africa-Med strategic sourcing review – comparing East Africa, North Africa and Turkey
- REPORT BUNDLE: Africa-Med, Southeast Asia and Central America strategic sourcing pack
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Apparel (GLOBAL) - Industry Report
- Global Sports and Fitness Wear Market 2016-2020