HOFFMAN ESTATES, IL-Sales and earnings at Sears Holdings Corp. both fell significantly during the third quarter as the retailer battled a tough economic climate, unseasonably warm weather and other issues. “We cannot blame our results entirely on the retail and macro-economic environments,” says Aylwin Lewis, the company’s president and CEO, in a statement.

“We have much on which to improve and are working hard to do so,” he says. However, Lewis did not specify in the company’s earnings release what the retailer plans to do to turn around results.

The retailer’s net income plummeted during the period, which ended Nov. 3, to $2 million, from $196 million the same time last year. The fall was primarily attributed to a decline in gross margins as sales fell sharply.

Same-store sales at both the Sears and Kmart chains fell 4.6% year over year, with a 4.2% drop at Sears and a 5% slide at Kmart. Total sales came in at $11.5 billion, down from $11.9 billion during last year’s third quarter.

Though Sears had a tough quarter, it is making a $262-million bid to acquire 102-store home-furnishings chain Restoration Hardware, in which it has a 13.7% stake. Executives of the latter company say they will consider the offer and provide non-public information to Sears if Sears’ management agrees to sign a standstill-confidentiality agreement.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Dig Deeper

GlobeSt Net Lease Spring 2024Event

This conference brings together the industry's most influential & knowledgeable real estate executives from the net lease sector.

Get More Information


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.