The Bon-Ton Stores Inc. said Wednesday that fourth-quarter results improved due to successful execution of initiatives throughout the year
For the three months ended Jan. 29, income rose 5.9 percent to $85 million, or $4.41 a diluted share, from $80.3 million, or $4.34, last year. Total revenues rose 0.7 percent to $1.03 billion from $1.02 billion, which included a 0.8 percent increase in sales to $1.01 billion from $1 billion last year and a 0.8 percent rise in comparable-store sales.
Bud Bergren, president and chief executive officer, said the retailer had met its financial goals in 2010.
“Our debt decreased by approximately $99 million and our debt to EBITDA ratio improved to 3.8x from 4.9x at the end of the prior fiscal year. In addition, the increase in excess borrowing capacity under our credit facility throughout 2010 positioned the company to pay back our $75 million second lien term loan on Jan. 31, 2011,” the ceo said.
For the year, Bon-Ton posted profits of $21.5 million, or $1.12 a diluted share, reversing a loss of $4 million, or 24 cents, from the prior year. Revenues inched up 0.4 percent to $3.05 billion from $3.03 billion.
Shares skyrocketed $1.62, or 10.5 percent, to close at $17.04 Wednesday.
For complete coverage, see Wednesday’s WWD.