US retailer Dillard's net sales at $6.75 bn in FY23

The company’s total retail sales for the fiscal also saw a downturn of 5 per cent, totalling $6.480 billion compared to the $6.702 billion recorded in the prior year, Dillard’s said in a press release.

The fiscal witnessed a shift in gross margin dynamics as well, with consolidated gross margin reaching 40.3 per cent of sales, a decline from the 42 per cent observed in the previous year. Retail gross margin specifically fell to 41.8 per cent from 43 per cent.

Operating expenses for the fiscal rose to $1,717.4 million, or 25.4 per cent of sales, up from $1,674.3 million, or 24.4 per cent of sales in the previous year. Dillard’s reported a net income of $738.8 million, or $44.73 per share, although this was a decrease from the $891.6 million, or $50.81 per share reported in the previous fiscal.

Focusing on the fourth quarter of fiscal 2023 (Q4 FY23), Dillard's experienced a slight dip in net sales, achieving $2.124 billion over 14 weeks, marginally down from $2.127 billion in the corresponding 13-week period of the previous year. The quarter saw a 5 per cent decrease in total retail sales, with consolidated gross margin and operating expenses reflecting the ongoing operational challenges.

Dillard's managed to post a net income of $250.5 million, or $15.44 per share, for the quarter, compared to $289.2 million, or $16.89 per share, in the same quarter of the previous year.

“Our fourth quarter results were respectable considering the continued weak consumer environment. We ended the year with $956 million in cash and short-term investments,” said Dillard’s chief executive officer William T Dillard.

Fibre2Fashion News Desk (DP)