HSN BACK IN BLACK FOR QUARTER
ST. PETERSBURG, Fla. — Home Shopping Network Inc. posted a profit of $1.8 million, or 2 cents a share, in the fourth quarter against a loss of $1.7 million a year ago.
The year-ago quarter includes a $13 million litigation charge.
Sales edged up 1.8 percent to $301.7 million from $296.4 million.
In the year ended Dec. 31, earnings before a $924,000 charge for the early retirement of debt came to $17.7 million, or 19 cents a share.
A year ago, HSN lost $15.5 million before a $7.2 million charge for extinguishing debt.
Sales gained 7.6 percent to $1.1 billion from $1 billion.
In a conference call with analysts, Gerald Hogan, president and chief executive officer, said, “While we are disappointed with results, we remain very optimistic about the long-term prospects of HSN.”
He added that the company is “making many necessary changes in operations and merchandising.”
HSN’s strategy includes emphasis on soft goods, fashion jewelry and accessories; improving private label lines and sourcing, and offering more brands. It hopes to increase brand awareness and improve programming by offering themed shows on a regular basis.
The company said it expects its performance to improve in the fall.
— Fairchild News Service