Sears Holdings Corp has cut its second quarter losses by more than half, helped by an improved performance at its Kmart chain.
Net loss narrowed to $39m or $0.35 per share, compared with a loss of $94m or $0.79 per share a year ago.
“Kmart continued to improve its performance during the second quarter, as an improvement in its gross margin rate led to increased profitability,” said W Bruce Johnson, Sears Holdings’ interim CEO and president.
However, total revenues slipped to $10.5bn from $10.6bn a year earlier, mainly due to a 2.2% drop in domestic same-store sales and fewer Kmart and Sears stores in its line-up. Comparable store sales at Kmart fell 1.4%, with increases in apparel and footwear unable to offset a fall in food and consumables.
Gross margins rose by $28m to $2.8bn, with a 230 basis points increase at Kmart due to reduced markdowns on apparel.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalData
