Hudson’s Bay Co. reports $226M third-quarter loss, revenue edges down

TORONTO — Hudson’s Bay Co. reported a third-quarter loss of $226 million as its total revenue edged lower compared with a year ago.

The retailer says the loss amounted to $1.23 for the 13-week period ended Nov. 2, compared with a loss of $161 million or 88 cents per share a year ago.

Revenue totalled $1.84 billion, down from nearly $1.89 billion in the same quarter last year. Comparable sales, a key metric for retailers, were down 1.7 per cent.

On what it called a normalized basis, HBC says it lost $128 million in its latest quarter compared with a comparable loss of $56 million a year ago.

The retailer is in the middle of a takeover fight between a group led by HBC executive chairman Richard Baker and a dissident shareholder.

Proxy advisory service Institutional Shareholder Services has recommended shareholders vote against the Baker-led bid of $10.30 per share, however a special committee of the HBC board has endorsed the offer and rejected a rival bid of $11 by Catalyst Capital Group because it says the Baker-led group, which controls about a 57 per cent take in HBC, is not interested in selling.

This report by The Canadian Press was first published Dec. 10, 2019.

Companies in this story: (TSX:HBC)

The Canadian Press