Kmart's Q3 Loss Triples, but Discounter Still Beats Expectations27 Nov, 2001 By: Hive News
Kmart Corp.'s third-quarter loss tripled, but the discount retailer still beat Wall Street's expectations, according to the Associated Press.
The company said Tuesday it lost $224 million, or 45 cents per share, in the three months ending Oct. 31, compared with a loss of $67million, or 14 cents a share, in the year-ago period.
Excluding a hefty restructuring charge, the nation's No. 3 retailer lost $127 million, or 25 cents pershare, in the quarter, the AP reported.
For the nine months ended Oct. 31, Kmart lost $344 million, or 70 cents per share, compared with a loss of $493 million, or $1 a share, in the comparable year-ago period. Revenue was slightly lower at $25.27 billion, from $25.39 billion.
Sales fell 2% to $8.02 billion from $8.20 billion in the year-ago period. Same-store sales were down 1.5%.
In the past 18 months, Kmart has shuttered unproductive stores and initiated other changes to help the Troy, Mich.-based retailer become more productive and efficient. But the company has struggled to regain profitability, the AP said.
However, the company said the holiday shopping season looks encouraging. In addition to sales gains, the company says it has counted an increase in customers at its stores.