EARNINGS-Hudson's Bay posts wider-than-expected loss on fewer stores, lower sales at Lord & Taylor
Compares with estimates, adds same store sales, Q1 net income
The company, North America's oldest, said first-quarter comparable sales decreased 2.1%, and excluding Lord & Taylor and Home Outfitters increased 0.3%.
Same-store sales at its namesake stores tumbled 4.3% in the quarter.
The struggling retailer has been shutting its underperforming shops to cut costs and exploring strategic alternatives such as a sale or merger of its department store Lord & Taylor. The company is also set to sell its stake in its real estate joint venture in Germany to Signa Retail Holdings in a deal valued at C$1.5 billion.
The company reported a profit of C$275 million ($206.80 million), or C$1.15 per share from continuing operations, in the first quarter ended May 4, compared to a loss of C$398 million, or 72 Canadian cents per share, a year earlier.
First quarter net income included a C$817 million gain from the sale of the Lord & Taylor flagship building in New York.
Excluding items, the company posted a loss of 87 Canadian cents per share, wider than the 56 Canadian cents loss based on estimates from 2 analysts, according to IBES data from Refinitiv.
Total revenue fell to C$2.12 billion from C$2.19 billion, a year earlier.
($1 = 1.3302 Canadian dollars)
(Reporting by Shanti S Nair in Bengaluru; Editing by Shailesh Kuber)
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