SHLD Same Store sales drop by increased sales in apparel & other items
22 May '06
3 min read
Sears Holdings Corporation (SHLD) reported net income of $180 million, or $1.14 per diluted share, for the first quarter ended April 29, 2006, compared with a net loss of $9 million, or $(0.07) per diluted share, for the first quarter ended April 30, 2005.
The prior year results include a $90 million charge due to the cumulative effect of a change in accounting for certain indirect overhead costs included in inventory. Excluding the change in accounting, the prior year first quarter net income was $81 million, or $0.65 per diluted share. The improvement in first quarter 2006 earnings reflects improved profitability at both Kmart and Sears Domestic, largely due to reduced expenses.
First Quarter Revenues and Comparable Store Sales Domestic comparable stores sales declined 4.8 percent in the aggregate, with Sears Domestic comparable store sales declining 8.4 percent and Kmart comparable store sales declining 0.2 percent.
Total revenues increased $4.4 billion to $12.0 billion for the 13 weeks ended April 29, 2006, as compared to total revenues of $7.6 billion for the 13 weeks ended April 30, 2005. The increase during the 13-week period ended April 29, 2006 was primarily attributable to the inclusion of Sears for the full 13-week period ended April 29, 2006.
Total revenues at Kmart declined $0.3 billion as compared to the prior year period, primarily reflecting a reduction in the total number of Kmart stores in operation.
marketing@alchempro.com
