The Hudson Bay Co. reported net losses for the third quarter widened to $124 million from $116 million in the prior year.
Adjusted earnings before interest, taxes, depreciation and amortization rose to $63 million from $40 million, driven by sales growth and improved gross margin and expense rates.
Sales increased 5.6 percent to $2.2 billion. Comparable sales rose 2.9 percent.
All figures are expressed in Canadian dollars.
Saks Fifth Avenue’s comparable sales rose 7.3 percent; Hudson’s Bay, Lord & Taylor and Home Outfitters combined saw an increase of 0.9 percent, and Saks Off 5th registered a comp decline of 2.3 percent.
HBC Europe saw a 2.1 percent comparable sales decline.
”The bold strategic actions we are taking are beginning to pay off, and the recent closing of the European transaction will now allow us to focus on the North American business,” said chief executive officer Helena Foulkes.
Last month, HBC completed its deal to sell a controlling interest in its European retail operations to Karstadt in Germany and form a 50-50 partnership in its European real estate with Karstadt.
“While we are optimistic about the progress and opportunities that lie ahead for HBC, we recognize there is more work to be done to further generate growth and greater profitability,” Foulkes added.