Sears posts big sales declines

Sears Holdings third quarter revenues were down 20% and comps were down 8.6% as the company continued what it calls its transformation.

The company’s loss narrowed to $454 million in the quarter, compared to a net loss of $548 million in the prior-year quarter.

"We remain focused on restoring Sears Holdings to profitability by concentrating on our best stores, rewarding our best members and pursuing our best categories through innovative solutions to product and service offerings,” said CEO Edward Lampert.

Lampert emphasized a fifth consecutive quarter of improved year-over-year results. Also positive was Kmart’s comparable-store performance in home appliances and mattresses.

But there was little else to celebrate in the third quarter earnings report.

Lampert added: “We recognize a lot of work remains and we have brought in a number of experienced leaders to drive our business forward with a plan to win as a member-centric integrated retailer. As we head into the fourth quarter, we have intensified our focus on our product offerings and promotions in order to enhance member engagement and provide our members with the best experience possible throughout the holiday shopping season."

As of Oct. 31, Sears Holdings operated 1,687 stores, including 952 Kmart stores.

Sears Holdings

Revenues

Q315: $5.750 billion

Q314: $7.207 billion

% change: (-20.2%)

Q315 comps: negative 8.6%

Net earnings (loss)

Q315: ($454 million)

Q314: ($548 million)