Sears reports Q4 loss

Sears Holdings Corp. reported on Thursday another loss for its fourth quarter and full year ended January 28, 2017.

Revenue for the fourth quarter fell from $7.3 billion to $6.1 billion. The company attributed the year-over-year decline in revenues to having fewer Kmart and Sears full-line stores in operation, which accounted for a 10.3 percent decline in comparable store sales for the quarter. At Kmart, comparable store sales decreased 8 percent, primarily driven by a loss in the consumer electronics, grocery & household, apparel and toys categories. Meanwhile, comparable store sales decreased 12.3 percent at Sears Domestic, primarily driven by declines in the home appliances, apparel, consumer electronics and tools categories.

For the full year, revenue again dropped to $22.1 billion, as compared to $25.1 billion in the prior year. Kmart comparable store sales declined 5.3 percent for the full year, while Sears Domestic comparable store sales for the year declined 9.3 percent.

“While the challenging holiday selling season pressured margins and comparable store sales, we were able to successfully improve profitability through disciplined inventory and costs management,” says Jason M. Hollar, Sears Holdings' Chief Financial Officer, in a news statement. “We will continue to take actions to drive profitability, generate liquidity and adjust our overall capital structure while continuing to meet all of our financial obligations."

Sears noted company initiatives that are in swing in order to enhance its liquidity and financial flexibility such as previously announced store closures.

Separately, Sears Holdings also announced on Thursday that it closed sale of the Craftsman brand to Stanley Black & Decker for approximately $900 million.

Sears reports Q4 loss

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