Big Lots Net Falls 76 Percent in Third Quarter
December 2, 2011,
COLUMBUS, Ohio-Rising expenses and an operating loss from its recently acquired Canadian operation slashed Big Lots' third-quarter net income by 76 percent, to $4.2 million.
Selling, general and administrative expenses rose 8.1 percent in dollars and 10 basis points as a percentage of sales, to 36.2 percent. The company also reported a 17 percent rise in depreciation expense and a 22 percent increase in interest expense. Gross margin fell 152 basis points to 39 percent.
The expense increases offset a 7.8 percent increase in third-quarter sales, which totaled $1.1 billion. This included a pickup of 1.7 percent in U.S. same-store sales. Big Lots projected a same-store sales rise of 1 to 2 percent for its U.S. stores in its fiscal fourth quarter.
Other Articles By Author
Von Tobel Cites Brass Textures Among Top Trends
HFN's DIGITAL EDITION
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.
ALSO IN THIS ISSUE:
- 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.