Home / Knowledge / News / Apparel/Garments / Significant improvement in Saks operating performance
Significant improvement in Saks operating performance
17
Aug '11
Retailer Saks Incorporated announced results for the second quarter and six months ended July 30, 2011.

Overview of Results for the Second Quarter and Six Months Ended July 30, 2011

For the second quarter ended July 30, 2011, the Company recorded a net loss of $8.4 million, or $.05 per diluted share. Those results included after-tax charges totaling $0.8 million comprised of:

• a pension and related benefit charge, a write-down of a third party receivable, and an asset impairment charge totaling $1.8 million and
• the reversal of approximately $1.0 million in state income tax reserves deemed no longer necessary.

Excluding these after-tax charges, the Company would have recorded a net loss of $7.6 million, or $.05 per share, for the second quarter ended July 30, 2011.

For last year's second quarter ended July 31, 2010, the Company posted a net loss of $32.2 million, or $.21 per share. Those results included after-tax charges totaling $11.7 million, or $.08 per share, comprised of $10.6 million of net lease termination costs and $1.1 million of severance and other store closing costs. Excluding these after-tax charges, the Company would have recorded a net loss of $20.5 million, or $.13 per share, for the second quarter ended July 31, 2010.

For the six months ended July 30, 2011, the Company recorded net income of $20.0 million, or $.12 per diluted share. Those results included after-tax charges totaling $2.9 million, or $.02 per share, comprised of:

• the aforementioned pension and related benefit charge, third-party receivable write-down, and asset impairment charge totaling $1.8 million,
• $1.8 million of store closing expenses,
• a $0.3 million loss on debt extinguishment (related to the early retirement of approximately $1.9 million of senior notes) and
• the aforementioned reversal of approximately $1.0 million in state income tax reserves.

Excluding these after-tax charges, the Company would have recorded net income of $22.9 million, or $.14 per share, for the six months ended July 30, 2011.

For the prior year six months ended July 31, 2010, the Company recorded a net loss of $13.4 million, or $.09 per diluted share. Those results included after-tax charges totaling $12.8 million, or $.09 per share, comprised of the aforementioned net lease termination costs of $10.6 million and $2.2 million of severance and other store closing costs. Excluding these after-tax charges, the Company would have recorded a net loss of $0.6 million, or $.00 per share, for the six months ended July 31, 2010.

Comments on the Second Quarter and Six Months Ended July 30, 2011

Stephen I. Sadove, Chairman and Chief Executive Officer of the Company, noted, "I am very pleased with the significant improvement in our operating performance for the second quarter and six months ended July 30, 2011 which resulted from strong comparable store sales growth, continued gross margin rate expansion, and meaningful SG&A leverage.

Must ReadView All

Textiles | On 25th Mar 2017

GST to positively impact retail value chain: CBRE

The implementation of the Goods and Services Tax (GST) bill in India...

Textiles | On 25th Mar 2017

MEGlobal to build first ever US MEG plant

Monoethylene glycol (MEG) producer MEGlobal plans to construct a new...

Courtesy: Ulster Carpet

Textiles | On 25th Mar 2017

Ulster Carpets acquires Griffith Textile Machines

Northern Ireland based manufacturer of carpets, Ulster Carpets said...

Interviews View All

Cyril Pereira
Reed Exhibitions India, organiser of Asian Machine Tool Exhibition 2016

'Major problem in the textile machinery manufacturing industry is the lack ...

Victor Chao
Esmetex

‘In future, clothing boundary lines will become increasingly blurred.’

Yashiki Gumber
Sahiba Fabrics

Fabric does not restrict us from fashion trends

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search