HSNi Net Falls 27.2 Percent in 3Q

ST. PETERSBURG, Fla.-An $18.3 million charge for a loss on extinguishment of debt reduced HSNi's third-quarter net income by 27.2 percent, to $17.7 million.


This charge was one of the few negatives for the company's third quarter, which ended on Sept. 30. Net sales increased 7 percent to $778.8 million, receiving a significant boost from HSNi's Cornerstone division, whose sales jumped 13 percent. Part of the gain at Cornerstone, whose business includes catalogs and digital sales websites, was growth in sales of home-related products.

Gross margin rose 67 points to 36.7 percent as well. Selling, general and administrative expenses increased 11 percent in dollars and 103 basis points as a percentage of sales, to 28.1 percent. Along with the charge for debt extinguishment, HSNi posted an increase of  180.1 percent in "other" expenses.

Focusing on the sales gain, Mindy Grossman, HSNi's CEO, said it was the result of "the sustained effectiveness of our overall strategy of creating immersive experiences, offering differentiated products and leveraging technology to build relationships, not just transactions."

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.


  • Patti Carpenter Talks Color and its Importance in the Home

    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 August 2017 cover


    August 2017

    COVER STORY: Sharpening the Focus on Millennials

    Find out what makes Millennials tick when it comes to home decorating, shopping and at-home entertaining with HFN's annual consumer study. Turns out, Millennials favor the in-store shopping experience.


    • Power of the People - Crowdfunding campaigns provide needed capital, feedback for home and housewares product launches.
    •  Omnichannel Retailing: Visual Search Takes Off - Learn how voice and visual search are revolutionizing product discovery.