Sears: 4Q sales drop but it expects a profit
NEW YORK (AP) — Sears Holdings Corp. says sales dropped during the critical fourth quarter, but the ailing retailer expects to earn a profit, helped by a windfall from U.S. tax reform.
Sears, which operates Kmart stores and its namesake, said Thursday in a regulatory filing that comparable revenue fell 15.6 percent. The metric measures sales in stores open at least a year.
Total revenue dropped 38 percent to $4.4 billion from $6.1 billion a year earlier.
The Hoffman Estates, Illinois-based company expects net income between $140 million and $240 million in the three months ended Feb. 3.
Sears has been selling off some its real estate and brands as it tries to raise cash.
Sears shares rose more than 16 percent, or 37 cents, to $2.67 per share in afternoon trading.
This story has been corrected to show that Sears is based in Hoffman Estates, Illinois, not Hoffman Estate Holdings.