• Q3 net losses widen toC$124.2m
  • Net sales grow 5.8%
  • Acquisition costs hit earnings

Canadian department store operator Hudson's Bay Company saw its net losses widen in the third quarter, hurt by costs related to its purchase of Saks.

The company's net loss widened to CAD124.2m (US$117.2m) in the three months ended 2 November from CAD14.4m a year earlier. The drop was mainly due to the cost of buying US-based luxury retailer Saks for US$2.9bn, which closed last month.

Excluding acquisition-related and restructuring costs, Hudson's Bay earned C$8.9m from a loss of CAD300,000 in the prior year period.

Consolidated sales, however, were up 5.8% to CAD984.1m, while same store sales grew 5.7%.

For the fourth quarter, Hudson's Bay is forecasting sales of CAD1.37bn to CAD1.41bn and normalized EBITDA of CAD160m to CAD180m.