The FABULOUS results from dying retail dinosaurs keep pouring in. Here is a direct quote from CEO Eddie Lampert:
“Sears Holdings made progress in 2012 improving the profitability of our business.”
Sears lost $1.1 BILLION in 2012. This is considered progress in the world of Eddie Lampert. What a joke. He is so happy that Ron Johnson exists, so he isn’t considered the worst retail CEO in U.S. history.
Here is a link to the awful Sears results:
Here is my assessment:
- Sales fell by 2%, even with an extra week. This means on a comparable basis their sales fell 9.7% versus last year.
- Eddie managed to lose $617 million in one quarter, beating out JC Penney’s $552 million loss.
- Comparable store sales fell 1.6% and gross margins were flat.
- The balance sheet is a disaster. He has $600 million of cash and he has $1.2 million of debt due in the next year.
- His long term debt obligations total $8 billion and his shrinking equity totals $3.2 billion. He managed to lose $1.1 billion for the year.
There are 2,500 Sears/Kmart stores in the country. There are hundreds of thousands of employees. Not for too much longer.
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