Sears Q2 loss widens; hints at more store closings (chainstoreage.com)

Sears Holdings Corp.’s revenue dropped 25% in the second quarter as the chain continues to shrink its footprint.

Sears said it lost $508 million, or $4.68 a share, in the quarter ended Aug.4, compared with a loss of $250 million, or $2.33 a share, in year-ago period.

Sales fell to $3.18 billion from $4.27 billion last year amid store closures. Same-store sales decreased 3.9%, the smallest decline in over three years. By banner, same-store sales fell 3.7% at Kmart and 4% at Sears.

In a statement, Sears chairman and CEO Edward Lampert said he encouraged by the quarter’s improved comparable stores sales trend and the positive comparable store sales of 3.0% and 2.5% achieved in the months of July and August, But he noted that the company has not met its goal of returning to profitability, and hinted that more store closings may be in the offing. (In August, Sears announced it was closing another 40 stores.)

“We continue to close unprofitable stores, and we are hopeful that we can stabilize our store base at a meaningful level in the near future,” he said. “Our goal is to right-size our store footprint to a solid base from which we can operate and grow profitably, while leveraging our online and Shop Your Way platforms.”
more at source: https://www.chainstoreage.com/finance-0/sears-q2-loss-widens-hints-at-more-store-closings/

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