The Pep Boys - Manny, Moe & Jack announced its results for the fourth quarter and fiscal year ended January 31, 2015. Q4 sales increased by $6.7 million, or 1.3%, to $502.4 million.
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That was an increase from $495.7 million for the thirteen weeks ended February 1, 2014. Comparable sales increased 1.3%, consisting of a 5.1% comparable service revenue increase and a 0.2% comparable merchandise sales increase.
In accordance with GAAP, service revenue is limited to labor sales, while merchandise sales include merchandise sold through both our service center and retail lines of business.
Re-categorizing sales into the respective lines of business from which they are generated, comparable service center revenue increased 3.2%, while comparable retail sales decreased 1.0%.
Net loss for the fourth quarter of fiscal 2014 was $26.7 million ($0.50 per share) as compared to a net loss of $3.3 million ($0.06 per share) for the fourth quarter of fiscal 2013.
On a pre-tax basis, the 2014 results included, a net charge of $12.4 million comprised of a $23.9 million goodwill impairment charge, a $2.3 million asset impairment charge and $0.5 million in severance, partially offset by a $14.3 million gain from the disposition of certain properties.
The 2013 results included a $2.8 million asset impairment charge and $0.4 million of debt refinancing expense.
Sales for fiscal year 2014 increased by $18 million, or 0.9%, to $2,084.6 million from $2,066.6 million for fiscal year 2013. Comparable sales remained relatively flat, consisting of a 4.9% comparable service revenue increase and a 1.6% comparable merchandise sales decrease.
Re-categorizing sales (see above), comparable service center revenue increased 1.4%, while comparable retail sales decreased 1.9%.
Net loss for fiscal year 2014 was $27.3 million ($0.51 per share) as compared to earnings of $6.9 million ($0.13 per share) for fiscal year 2013.
On a pre-tax basis, the 2014 results included, a net charge of $24.6 million comprised of a $23.9 million goodwill impairment charge, a $7.5 million asset impairment charge, $4 million in litigation expense and $2.9 million in severance, partially offset by a $13.8 million gain from the disposition of certain properties.
The fiscal year 2013 results included, on a pre-tax basis, a net charge of $8.7 million comprised of a $7.7 million asset impairment charge, $0.6 million in severance and $0.4 million of debt refinancing expense. ■