HSNi Net Soars 36.6 Percent for Fiscal Year
Posted on February 20, 2014 by
ST. PETERSBURG, Fla.-With sales gaining and customer levels reaching a record, HSNi posted net income for its fiscal year ending on Dec. 31 of $178.4 million, up 36.6 percent from fiscal 2012. The company also posted a fourth-quarter increase in net income of 9.8 percent, to $61.6 million.
Net sales for the multichannel retailer were $3.4 billion for the fiscal year, up 4.2 percent, and $1 billion for the quarter, an increase of 3.8 percent. Much of the gain came from HSNi's Cornerstone segment, which posted a pickup of 8 percent in sales.
Mindy Grossman, HSNi's CEO, noted that the company's fourth-quarter digital sales were up 8 percent, including a 59 percent increase in mobile sales. Grossman also said HSNi logged in record customer levels in the quarter, in both the HSN and Cornerstone segments.
Gross margin in the quarter increased 18 basis points to 34.6 percent. Total operating expenses rose 9.8 percent in the quarter and three basis points as a percentage of sales, to 25 percent.
"Throughout 2013, we successfully managed the company to position us for long-term growth," Grossman said. "We kept our focus on the customer, emphasized our unique content and proprietary products, strengthened our digital platform, further leveraged opportunities and synergies across the HSN and Cornerstone brands and returned value to our shareholders by delivering nearly $200 million through share repurchases and cash dividends."