Hudson’s Bay Co. feels impact of hurricane-related closures at U.S. stores

TORONTO – Hudson’s Bay Company (TSX:HBC) says its fourth-quarter net income was down compared with a year ago as its Lord & Taylor operations in the United States felt the impact of hurricane Sandy.

The Toronto-based retail company — which returned to the public stock markets in November — said net earnings from continuing operations were $93.6 million or 81 cents per share for the 14 weeks ended Feb 28.

That was down $5.6 million from the year-earlier quarter, when net income from continuing operations was $99.2 million or 95 cents per share over 13 weeks.

Adjusted earnings that exclude certain non-recurring items were $99.3 million or 86 cents per share in the most recent quarter, up from $94.8 million a year earlier.

Despite the U.S. weather problems, HBC’s retail sales were up 6.7 per cent year-to-year due to an extra week of selling, higher online sales and strength at its Canadian stores — which had a 6.1 per cent increase in same-store sales.

Overall sales grew $86.89 million to $1.386 billion, with the 14th week contributing $50 million of the increase. Online sales accounted for $58 million in the 14-week period ended Feb. 28, up from $35.6 million a year earlier. Lord & Taylor’s same-store sales fell 2.9 per cent in U.S. currency.