• Q4 net loss of US$123.6m
  • Sales fall 17.7%
  • Same-store sales down 9.1%

Sears Canada has booked what it says was a “disappointing” fourth-quarter performance after it moved to loss and saw revenues decline.

The net loss for the three months to the end of January amounted to US$123.6m from earnings of $373.7m a year earlier. Charges in this quarter outweighed those in last year's, with 2014 including a pre-tax asset impairment charge of $99.3m related to leasehold improvements in full-line and Hometown stores, and intangible assets.

Total revenues for the quarter dropped 17.7% to $972.5m from $1.18bn in the year ago period. Same store sales fell 9.1%.

The drop was primarily due to revenues from stores closed as a result of early termination and amendment of certain full-line store leases and the sale of certain joint arrangement interests in fiscal 2013.

"These results are disappointing and not indicative of the potential that exists within Sears Canada," said CEO Ron Boire.

Nonetheless, he added: "Our sights are set on this value proposition and connecting with more Canadians than ever before. In addition, we are accelerating implementation of key initiatives related to product development and system infrastructure while continuing to focus on prudent management of expenses, investment of inventory and efficiency of our network.”