Sears Hometown and Outlet Stores, Inc. (SHO) saw its loss widen to $45.79 million, or $2.02 a share for the quarter ended Jan. 28, 2017. In the previous year period, the company reported a loss of $22.60 million, or $1 a share. Revenue during the quarter dropped 9.17 percent to $488.89 million from $538.27 million in the previous year period. Gross margin for the quarter contracted 525 basis points over the previous year period to 16.86 percent. Operating margin for the quarter stood at negative 8.90 percent as compared to a negative 6.57 percent for the previous year period.
Operating loss for the quarter was $43.53 million, compared with an operating loss of $35.34 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at negative $8.97 million compared with $1.12 million in the prior year period. At the same time, adjusted EBITDA margin stood at negative 1.83 percent for the quarter compared to 0.21 percent in the last year period.
Will Powell, chief executive officer and president, said, "While we were disappointed with our performance in the fourth quarter, we made measurable progress on key strategic initiatives that we believe will improve profitability and strengthen the Companys long-term outlook."
Working capital declinesSears Hometown and Outlet Stores, Inc. has witnessed a decline in the working capital over the last year. It stood at $212.98 million as at Jan. 28, 2017, down 17.57 percent or $45.38 million from $258.36 million on Jan. 30, 2016. Current ratio was at 2.08 as on Jan. 28, 2017, down from 2.13 on Jan. 30, 2016. Debt comes down significantly
Sears Hometown and Outlet Stores, Inc. has recorded a decline in total debt over the last one year. It stood at $26.80 million as on Jan. 28, 2017, down 60.76 percent or $41.50 million from $68.30 million on Jan. 30, 2016. Sears Hometown and Outlet Stores, Inc. has recorded a decline in short-term debt over the last one year. Total debt was 5.70 percent of total assets as on Jan. 28, 2017, compared with 10.78 percent on Jan. 30, 2016. Debt to equity ratio was at 0.10 as on Jan. 28, 2017, down from 0.17 as on Jan. 30, 2016. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
