Hudson's Bay (NYSE:HBC) reported net earnings that almost quadrupled from the fourth quarter in 2013, up to $111 million from $29 million. But the real accomplishment belonged to the company's digital sales, which are up 35.1 percent.
Online sales have grown immensely for the company in the past year. In December, Hudson's Bay announced that digital sales were up 73 percent to $62 million for properties other than Saks Fifth Avenue.
The company, which acquired Lord & Taylor in 2012 and Saks in 2013 for $2.9 billion, brought in a total of $228 million in e-commerce sales, with Saks contributing $166 million.
In total, sales in the quarter rose 9.3 percent to $2.6 billion, with same-store sales rising 3.2 percent, reported Women's Wear Daily.
The company's Saks Fifth Avenue brand saw a 2.6 percent increase in same-store sales. Combined with its Saks Off 5th brand, same-store sales increased by 12.1 percent. Hudson's Bay bought Saks in 2013 for $2.4 billion in cash and assumed about $500 million in debt through the deal. As a result, last fall the company announced a $1.25 billion refinancing plan in a move to reduce the debt brought on by the purchase.
"It was a strong conclusion to a successful year for our company," Richard Baker, HBC's governor and executive chairman, told Women's Wear Daily. "Sales growth, further progress with the Saks integration and continued strength at HBC Digital has us well-positioned to deliver on our fiscal 2015 strategic priorities and initiatives."
-See this Women's Wear Daily article (subscription)
Hudson's Bay joins real estate venture with Simon Property, RioCan
Hudson's Bay names former Toys R Us head as CEO
Hudson's Bay's e-commerce up 73% in quarter
Saks expands free shipping to all orders, no minimum
Hudson's Bay takes out mortgage on Saks Fifth Avenue