Lands' End posts 11.3 percent rise in Q4 net revenue

Lands' End, Inc. net revenue for the fourth quarter increased 11.3 percent to 510.6 million dollars, which includes 25.9 million dollars from the 53rd week. Same store sales on a comparable 13-week basis increased 5 percent. Net revenue for fiscal 2017 increased 5.3 percent to 1.41 billion dollars, which includes 25.9 million dollars from the 53rd week, compared to 1.34 billion dollars last year. There was a 2.7 percent increase in same store sales on a comparable 52-week basis.

Commenting on the company’s performance, Jerome S. Griffith, Chief Executive Officer, said in a press release: "We are pleased with our strong performance in the fourth quarter, as we continued to gain momentum behind our merchandising, marketing, and digital initiatives, and ended the year on a solid note. As we look forward, we will continue to execute on our strategic plan and continue to focus on driving consistent performance across the business."

Lands' End Q4 and FY17 result highlights

Direct segment net revenue increased 14.3 percent to 455.6 million dollars, including 24.2 million dollars from the 53rd week, as compared to the same period last year. The company said, retail segment net revenue decreased 8.7 percent to 55.1 million dollars, including 1.7 million from the 53rd week, as compared to the same period last year, primarily due to fewer Lands' End Shops at Sears.

Direct segment net revenue increased 7.4 percent to 1.23 billion dollars, including 24.2 million dollars from the 53rd week. Retail segment net revenue decreased 7.5 percent to 172.6 million dollars, including 1.7 million dollars from the 53rd week, primarily due to fewer Lands' End Shops at Sears.

Gross margin was 38.9 percent as compared to 38.6 percent in the fourth quarter last year. The company recorded a tax benefit during the quarter of 21.9 million dollars primarily due to the US Tax Cuts and Jobs Act. Net income was 39.8 million dollars or 1.24 dollars per diluted share compared to a net loss of 94.8 million dollars or 2.96 dollars per diluted share in the fourth quarter of fiscal 2016. Adjusted EBITDA was 37.3 million dollars compared to 30.7 million dollars in the fourth quarter of fiscal 2016.

Gross margin for the year was 42.5 percent as compared to 43.2 percent last year. The company recorded a tax benefit for the year of 27.7 million dollars due to the Tax Reform. Net income was 28.2 million dollars or 0.88 dollar per diluted share compared to a net loss of 109.8 million dollars or 3.43 dollars per diluted share, in fiscal 2016. Adjusted EBITDA was 58.3 million dollars compared to 39.8 million dollars in fiscal 2016.

Picture:Facebook/ Lands' End