Dillard's Reports Net Income for Fourth Quarter
March 1, 2010,
LITTLE ROCK, Ark.-Reversing a net loss of $149.3 million from last year, Dillard's posted net income of $79.5 million in the fourth quarter.
In a statement from the department-store retailer, William Dillard II, chairman and chief executive officer, attributed the turnaround to the company's "disciplined approach" to expenses, inventory and debt. Dillard's slimmed its advertising, selling, administrative and general expenses by 10.8 percent and benefited from a gross-margin improvement of 820 basis points to 33 percent. Dillard also cited "notable year-over-year reductions in inventory and debt."
Net sales for the quarter fell 10.1 percent to $1.8 billion, which included a drop in same-store sales of 8 percent.
For the fiscal year as a whole, Dillard's reported net income of $68.5 million, compared to a net loss of $241.1 million for the prior fiscal year. Net sales for the fiscal year totaled $6.1 billion, down 10.8 percent.