Big Lots Goes from Profit to Loss in Q3; Fishman to Retire

Steve FishmanSteve Fishman

COLUMBUS, Ohio-A heavy expense load and lagging sales pushed Big Lot's third-quarter bottom line into the red, with a net loss of $6 million compared to net income of $4.2 million in the third quarter of last year.

The discount retailer also announced this morning that Steve Fishman, chairman, president and CEO, plans to retire from his roles. Fishman has told the company that he will continue in his posts until a successor is appointed.

Net sales in the quarter, which ended on Oct. 27, were essentially flat compared to last year at $1.1 billion. In its U.S. stores, Big Lots' same-store sales for stores open at least 15 months fell 4.6 percent.

The company's U.S. stores also incurred a loss from continuing operations of $1.7 million, compared to income from continuing operations of $11.4 million last year. Its Canadian operations incurred a net loss of $4.3 million, compared to a net loss of $7.1 million in last year's third quarter.

Gross margin dropped 90 basis points to 38.1 percent. Selling, general and administrative expenses, while flat versus last year in dollars, gained 20 basis points as a percentage of sales to 36.4 percent. In addition, Big Lots reported a 16.3 percent increase in depreciation expense in the quarter.

Big Lots said it expects the fourth quarter to produce a net sales gain of from 3 to 7 percent, with a same-store sales decline in the low to mid-single digits.

Fishman joined Big Lots in 2005. A company statement credited him with increasing the retailer's sales and productivity per selling square foot, growing operating profit and income from continuing operations, improving inventory turnover and spearheading Big Lots' expansion into Canada.

HFN Staff | News & Commentary

HFN provides detailed information on the key home classifications: Housewares, Tabletop, Floor Covering & Rugs, Furniture, Home Textiles, Lighting, Home Decor, Mattresses & Bedding, Gifts, Major Appliances and Consumer Electronics as well as Business, Finance and Retail.


  • Von Tobel Cites Brass Textures Among Top Trends

    Camera Icon   More Videos

Subscribe to
HFN Omnichannel
Receive the news you need to know about the trends in the industry delivered right to your inbox.

Current Issue

  • HFN cover for September 2017


    September 2017


    2017 State of the Industry Report
    Cautious Optimism, Mixed Results

    Many expected 2016 would be a banner year, but the political and economic climate softened consumer confidence. It was also a year consumers spent more lavishly on home remodeling rather than decorating.


    •  TJX Unveils First U.S. Homesense Store - In a time when retailers are reducing store counts, TJX continues to get physical.
    •   Ikea’s Fluid Spaces - The retailer’s new intros reflect multifunctional rooms.
    •  N.Y. Home Fashions Market Preview - Textile textures get soft and cozy, colors warmer.