Boston, MA 05/23/2014 (wallstreetpr) – The trouble at Sears Holdings Corp (NASDAQ:SHLD) deepens as the company reports wider-than-expected net loss of $402 million or $3.79 per share during the period of three months ended on May 3, 2014. That compares against a net loss of $279 million, that is $2.63 per share in the previous year. At the same time, the retailer saw its revenue plummet 6.8% to $7.88 billion. The quarter marks the seventh year of the company to report net loss.
Efforts Failed
Under the leadership of Chief Executive Officer, Chairman and the largest stakeholder, Edward Lampert, the c Sears Holdings Corp (NASDAQ:SHLD) failed to reverse its trend of declining sales, even as Lampert invested in the digital and loyalty programs to help the things turnaround. Lampert’s efforts also reflect from his steps to sell and spin off unproductive assets, with the one including the IPO of Lands’ End Clothing unit spun off in the latest reported quarter, fetching it $500 million gross proceeds. Disappointed with the performance of the company, International Strategy & Investment Group’s managing director, Matt McGinley stated during a phone interview that “It would take almost an act of God at this point for them to turn this around.”
Closure Of Stores; Parting From Assets
Apart from this, the Wall Street Journal’s earlier report revealed that Sears Holdings Corp (NASDAQ:SHLD) plans to shut down atleast 80 of its stores this year; and with the frustrating quarter the number could inch up. On Thursday, company said that it continues to assess the options for splitting off its auto center business. During the beginning of the month, the company had announced its plans of selling its controlling holding share in Sears Canada Inc. as it tries to source new funds and limit its concentration to U.S. stores. In the meanwhile, Sears Canada too reported decline in sales and said that its first quarter loss doubled over the last one year.
