Dominion Lending Centres Clearlease Reports Sears Canada (TSX:SCC) posts $49.5 million loss, blames cold weather, costlier gas
VANCOUVER, BC (May 17, 2011) Clearlease Reports Sears Canada Inc. (TSX:SCC) says colder weather was to blame for a chunk of the $49.5-million loss it booked in its first quarter as sales of spring and summertime merchandise underwhelmed expectations.
The department store chain, which makes much of its money on seasonal items such as barbecues, lawnmowers and camping gear, said its total revenues were down to $992.5 million, compared to $1 billion during the same time period last year.
“A cold spring in most of the country which affected apparel and other seasonal categories (impacted our results),” Dene Rogers, president and CEO of Sears Canada said in a statement.
Sears and competitors Canadian Tire, Home Depot and Lowe’s have all cited unseasonably cold spring weather in Canada as negatively impacting sales of their seasonal merchandise in the first quarter.
Rogers also said record-high fuel costs and other household expenses have cut into Canadian discretionary incomes, and impending interest rate increases are also affecting customer spending levels.
“These factors have combined to create a very competitive retail climate,” Rogers added.
Sears in the United States has lost about 10 per cent market share in the last decade in its once mighty appliance division to competitors like Home Depot and Lowe’s, said retail analyst Brian Yarbrough of Edward Jones.
He explained that the same trend is happening in Canada and Sears will soon lose more as Canadian Tire begins to sell appliances later this year.
“It’s a difficult spending environment in Canada altogether, but I just think its getting more competitive. They lost market share in the States, in appliances which was one of its biggest businesses, he said explaining that Sears has seen same store sales fall nearly quarter after quarter.
“With Lowe’s up there it’s just going to get more difficult. One of Lowe’s’ strengths in the States is their appliance offering.”
Yarbrough said Sears also dedicates a lot of store space to clothing, but the retailer isn’t known as an apparel destination, and it will see more competition from Target in that department when that chain comes to Canada beginning in 2013.
“(Target’s) number one offering, they’re known for their apparel and home, and that’s going to eat right into Sears’ business as well. It’s very tough for them,” Yarbrough said.
In its earnings statement, Sears said its home maintenance business was also stung by the end of government sponsored home energy rebate programs.
The national retailer said its $49.5-million loss is equal to 47 cents per share.
The current loss is about six times more than Sears recorded at the same time last year, when it lost $8.8 million or eight cents per share.
The store saw a 7.1 per cent decline in first-quarter revenue, as sales at locations open for at least a year dropped 9.2 per cent.
Sears Canada operates 196 corporate stores, 272 dealer stores, 1,800 catalogue order pickup locations and a travel agency and home maintenance and repair business.
The publicly traded company is a subsidiary of Sears Holdings, which owns both the Sears and Kmart retail chains in the United States. The parent company owns about 90 per cent of Sears Canada’s stock.
For more information please visit us at: http://www.clearlease.com/Career-Opportunities.html
About Dominion Lending Centres Clearlease
Dominion Lending Centres Clearlease Commercial (DLC Clearlease/Clearlease.com) is a fully diversified Lease Finance Mortgage Banking Brokerage Company specializing in Equipment Leasing, Automobile Leasing, Residential, Commercial Lending/Mortgage Financing. DLC Clearlease possesses the capability to accommodate financing needs ranging from a small second Home Mortgage to a Multi-Million Dollar Commercial Projects. No mortgage is too small or too large for this integrated Company.
Equipment Lease Financing in Vancouver, Surrey, Delta, Richmond, Langley, New Westminster, North Vancouer, West Vancouver, B.C. Also offering Automobile Lease Financing and Mortgage information. Founded by the Pidgeon brothers.
You may have recently seen a Dominion Lending advertisement on such media outlets as: Global News, CTV News, CBC Television, Rogers Sportsnet or possibly heard the great Don Cherry, a Canadian Sports legend, discuss Dominion Lending Centres.
Contact DLC Clearlease.com:
Dominion Lending Centres Clearlease
HEAD OFFICE, Bentall Two, Suite 900, 555 Burrard Street, Vancouver, BC, V7X 1M8, CANADA.
Mr. Alexander Pidgeon, Editor in Chief
Tel: (604) 696-1221 ext. 199
eMail: [email protected]
Website: http://www.clearlease.com
News: http://clearlease.com/category/equipment-lease-blog/feed/rss
Twitter: @clearlease
###
Video Link: http://youtu.be/f_kk7WJa7Uk
VANCOUVER, BC (May 17, 2011) Clearlease Reports Sears Canada Inc. (TSX:SCC) says colder weather was to blame for a chunk of the $49.5-million loss it booked in its first quarter as sales of spring and summertime merchandise underwhelmed expectations.
The department store chain, which makes much of its money on seasonal items such as barbecues, lawnmowers and camping gear, said its total revenues were down to $992.5 million, compared to $1 billion during the same time period last year.
“A cold spring in most of the country which affected apparel and other seasonal categories (impacted our results),” Dene Rogers, president and CEO of Sears Canada said in a statement.
Sears and competitors Canadian Tire, Home Depot and Lowe’s have all cited unseasonably cold spring weather in Canada as negatively impacting sales of their seasonal merchandise in the first quarter.
Rogers also said record-high fuel costs and other household expenses have cut into Canadian discretionary incomes, and impending interest rate increases are also affecting customer spending levels.
“These factors have combined to create a very competitive retail climate,” Rogers added.
Sears in the United States has lost about 10 per cent market share in the last decade in its once mighty appliance division to competitors like Home Depot and Lowe’s, said retail analyst Brian Yarbrough of Edward Jones.
He explained that the same trend is happening in Canada and Sears will soon lose more as Canadian Tire begins to sell appliances later this year.
“It’s a difficult spending environment in Canada altogether, but I just think its getting more competitive. They lost market share in the States, in appliances which was one of its biggest businesses, he said explaining that Sears has seen same store sales fall nearly quarter after quarter.
“With Lowe’s up there it’s just going to get more difficult. One of Lowe’s’ strengths in the States is their appliance offering.”
Yarbrough said Sears also dedicates a lot of store space to clothing, but the retailer isn’t known as an apparel destination, and it will see more competition from Target in that department when that chain comes to Canada beginning in 2013.
“(Target’s) number one offering, they’re known for their apparel and home, and that’s going to eat right into Sears’ business as well. It’s very tough for them,” Yarbrough said.
In its earnings statement, Sears said its home maintenance business was also stung by the end of government sponsored home energy rebate programs.
The national retailer said its $49.5-million loss is equal to 47 cents per share.
The current loss is about six times more than Sears recorded at the same time last year, when it lost $8.8 million or eight cents per share.
The store saw a 7.1 per cent decline in first-quarter revenue, as sales at locations open for at least a year dropped 9.2 per cent.
Sears Canada operates 196 corporate stores, 272 dealer stores, 1,800 catalogue order pickup locations and a travel agency and home maintenance and repair business.
The publicly traded company is a subsidiary of Sears Holdings, which owns both the Sears and Kmart retail chains in the United States. The parent company owns about 90 per cent of Sears Canada’s stock.
For more information please visit us at: http://www.clearlease.com/Career-Opportunities.html
About Dominion Lending Centres Clearlease
Dominion Lending Centres Clearlease Commercial (DLC Clearlease/Clearlease.com) is a fully diversified Lease Finance Mortgage Banking Brokerage Company specializing in Equipment Leasing, Automobile Leasing, Residential, Commercial Lending/Mortgage Financing. DLC Clearlease possesses the capability to accommodate financing needs ranging from a small second Home Mortgage to a Multi-Million Dollar Commercial Projects. No mortgage is too small or too large for this integrated Company.
Equipment Lease Financing in Vancouver, Surrey, Delta, Richmond, Langley, New Westminster, North Vancouer, West Vancouver, B.C. Also offering Automobile Lease Financing and Mortgage information. Founded by the Pidgeon brothers.
You may have recently seen a Dominion Lending advertisement on such media outlets as: Global News, CTV News, CBC Television, Rogers Sportsnet or possibly heard the great Don Cherry, a Canadian Sports legend, discuss Dominion Lending Centres.
Contact DLC Clearlease.com:
Dominion Lending Centres Clearlease
HEAD OFFICE, Bentall Two, Suite 900, 555 Burrard Street, Vancouver, BC, V7X 1M8, CANADA.
Mr. Alexander Pidgeon, Editor in Chief
Tel: (604) 696-1221 ext. 199
eMail: [email protected]
Website: http://www.clearlease.com
News: http://clearlease.com/category/equipment-lease-blog/feed/rss
Twitter: @clearlease
###
Video Link: http://youtu.be/f_kk7WJa7Uk
Dominion Lending Centres Clearlease Reports Sears Canada (TSX:SCC) posts $49.5 million loss, blames cold weather, costlier gas
VANCOUVER, BC (May 17, 2011) Clearlease Reports Sears Canada Inc. (TSX:SCC) says colder weather was to blame for a chunk of the $49.5-million loss it booked in its first quarter as sales of spring and summertime merchandise underwhelmed expectations.
The department store chain, which makes much of its money on seasonal items such as barbecues, lawnmowers and camping gear, said its total revenues were down to $992.5 million, compared to $1 billion during the same time period last year.
“A cold spring in most of the country which affected apparel and other seasonal categories (impacted our results),” Dene Rogers, president and CEO of Sears Canada said in a statement.
Sears and competitors Canadian Tire, Home Depot and Lowe’s have all cited unseasonably cold spring weather in Canada as negatively impacting sales of their seasonal merchandise in the first quarter.
Rogers also said record-high fuel costs and other household expenses have cut into Canadian discretionary incomes, and impending interest rate increases are also affecting customer spending levels.
“These factors have combined to create a very competitive retail climate,” Rogers added.
Sears in the United States has lost about 10 per cent market share in the last decade in its once mighty appliance division to competitors like Home Depot and Lowe’s, said retail analyst Brian Yarbrough of Edward Jones.
He explained that the same trend is happening in Canada and Sears will soon lose more as Canadian Tire begins to sell appliances later this year.
“It’s a difficult spending environment in Canada altogether, but I just think its getting more competitive. They lost market share in the States, in appliances which was one of its biggest businesses, he said explaining that Sears has seen same store sales fall nearly quarter after quarter.
“With Lowe’s up there it’s just going to get more difficult. One of Lowe’s’ strengths in the States is their appliance offering.”
Yarbrough said Sears also dedicates a lot of store space to clothing, but the retailer isn’t known as an apparel destination, and it will see more competition from Target in that department when that chain comes to Canada beginning in 2013.
“(Target’s) number one offering, they’re known for their apparel and home, and that’s going to eat right into Sears’ business as well. It’s very tough for them,” Yarbrough said.
In its earnings statement, Sears said its home maintenance business was also stung by the end of government sponsored home energy rebate programs.
The national retailer said its $49.5-million loss is equal to 47 cents per share.
The current loss is about six times more than Sears recorded at the same time last year, when it lost $8.8 million or eight cents per share.
The store saw a 7.1 per cent decline in first-quarter revenue, as sales at locations open for at least a year dropped 9.2 per cent.
Sears Canada operates 196 corporate stores, 272 dealer stores, 1,800 catalogue order pickup locations and a travel agency and home maintenance and repair business.
The publicly traded company is a subsidiary of Sears Holdings, which owns both the Sears and Kmart retail chains in the United States. The parent company owns about 90 per cent of Sears Canada’s stock.
For more information please visit us at: http://www.clearlease.com/Career-Opportunities.html
About Dominion Lending Centres Clearlease
Dominion Lending Centres Clearlease Commercial (DLC Clearlease/Clearlease.com) is a fully diversified Lease Finance Mortgage Banking Brokerage Company specializing in Equipment Leasing, Automobile Leasing, Residential, Commercial Lending/Mortgage Financing. DLC Clearlease possesses the capability to accommodate financing needs ranging from a small second Home Mortgage to a Multi-Million Dollar Commercial Projects. No mortgage is too small or too large for this integrated Company.
Equipment Lease Financing in Vancouver, Surrey, Delta, Richmond, Langley, New Westminster, North Vancouer, West Vancouver, B.C. Also offering Automobile Lease Financing and Mortgage information. Founded by the Pidgeon brothers.
You may have recently seen a Dominion Lending advertisement on such media outlets as: Global News, CTV News, CBC Television, Rogers Sportsnet or possibly heard the great Don Cherry, a Canadian Sports legend, discuss Dominion Lending Centres.
Contact DLC Clearlease.com:
Dominion Lending Centres Clearlease
HEAD OFFICE, Bentall Two, Suite 900, 555 Burrard Street, Vancouver, BC, V7X 1M8, CANADA.
Mr. Alexander Pidgeon, Editor in Chief
Tel: (604) 696-1221 ext. 199
eMail: [email protected]
Website: http://www.clearlease.com
News: http://clearlease.com/category/equipment-lease-blog/feed/rss
Twitter: @clearlease
###
Video Link: http://youtu.be/f_kk7WJa7Uk