Sears Holdings Corporation announced financial results for its 2015 third quarter ended October 31, 2015. Net loss attributable to holdings' shareholders was $454 million ($4.26 loss per diluted share).
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This compares to a net loss attributable to Holdings' shareholders of $548 million ($5.15 loss per diluted share) for the prior year Q3.
Adjusted for significant items, the company would have reported a net loss attributable to Holdings' shareholders of $305 million ($2.86 loss per diluted share) for the quarter compared to a net loss attributable to Holdings' shareholders of $288 million ($2.71 loss per diluted share) in the prior year quarter.
Other highlights
Domestic Adjusted EBITDA of $(280) million, excluding Seritage Growth Properties and joint venture rent, in the third quarter of 2015 compared to $(296) million in the prior year third quarter, which is the fifth consecutive quarter of improved Adjusted EBITDA performance on a year-over-year basis;
Sales to Shop Your Way members in Sears Full-line and Kmart stores were 75% of eligible sales for the third quarter.
Kmart and Sears Domestic comparable store sales declined 7.5% and 9.6%, respectively, in the third quarter of 2015 with more than half of the decline coming from declines in apparel and consumer electronics, a lower margin category.
Kmart's gross margin rate for the third quarter improved 40 basis points over the prior year third quarter, while Sears Domestic's gross margin rate declined 30 basis points from the prior year third quarter.
The company continues to demonstrate its financial flexibility to fund its continuing transformation and meet our obligations. The company reduced its net debt position, excluding pension liabilities, by more than $2.0 billion from the prior year third quarter.
At October 31, 2015, the company had approximately $1.3 billion of immediately available liquid assets consisting of $294 million in cash and $963 million of availability under its credit facility. ■