Dillard’s ends year with net loss
Department store company Dillard’s, Inc. is ending a difficult retail year with a net loss.
For the year ended January 30, 2021, Dillard’s said net sales fell to $4.301 billion from $6.204 billion in the prior year. Total retail sales decreased 31 percent, while the company is not reporting comparable store sales data for the fiscal year, due to Covid19-related store closures.
In addition, the company reported a net loss of $71.7 million, or $3.16 per share, compared to net income of $111.1 million, or $4.38 per share, for the prior year.
Likewise, in its fourth quarter net sales slipped to $1.570 billion, compared to $1.923 billion, recorded during the same quarter last year. Total retail sales dipped 13 percent to $1.521 billion, while sales in comparable stores for the period decreased approximately 17 percent.
Net income was $67 million compared to net income of $67.7 million for the prior year fourth quarter.
“Our year-long efforts to control inventory and expenses and preserve liquidity have resulted in encouraging fourth quarter results,” said Dillard’s CEO William T. Dillard, II.
“We ended the year with $360 million in cash and inventory down 26%. Retail gross margin improved 171 basis points, and operating expenses declined $123 million. Our team’s ability to adjust to the changing circumstances throughout the year made us proud. We are optimistic increased vaccinations, warmer weather and fresh fashions will motivate Americans to shop this spring.”
Last March, Dillard’s was one of many retailers who was forced to close hundreds of stores across the U.S. due to the Covid-19 pandemic. The company operates 250 Dillard’s locations and 32 clearance centers across 29 states, as well as an online store.
Copyright © 2021 FashionNetwork.com All rights reserved.