Neiman Marcus, Inc. reports that third quarter revenues fell to $1.06 billion compared to $1.07 billion in the prior year. Comparable sales decreased 2.5 percent.
Operating earnings for the luxury retailer during the 13-week period ended April 26 were $148.6 million compared to $162.6 million for the third quarter of fiscal year 2007. Adjusted operating earnings were $166.5 million in the third quarter of fiscal year 2008 compared to $180.6 million in the third quarter of fiscal year 2007, a decrease of 7.8 percent.
The company reported net earnings for the period of $55.4 million, compared with $59.5 million for the same period of the prior year.
For the 39 weeks ended April 26, the Dallas-based company reported total revenues of $3.57 billion compared to $3.41 billion in the prior year. Same-store revenues increased 2.6 percent. Operating earnings for the period were $472.6 million compared to $444.6 million for the comparable period a year ago. Adjusted operating earnings for period were $494 million compared to $494.6 million for the comparable period a year ago, a decrease of 0.1 percent.
The company recorded other income of $32.5 million in the first quarter of fiscal year 2008, which represents a one-time pension curtailment gain as a result of its decision to freeze pension and retirement benefits as of Dec. 31, 2007. In addition, the company recorded other income of approximately $4.2 million in the first quarter of fiscal year 2007 which represents proceeds it received from its investment in an Internet retailer.
In December 2006, the company completed both the purchase of the minority interest and the sale of Kate Spade LLC for pretax net cash proceeds of approximately $62.1 million. The company’s financial statements reflect Kate Spade LLC as discontinued operations for all periods presented.Follow JCK on Instagram: @jckmagazine
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