Lands' End, Inc. (NASDAQ:LE) left the ground Tuesday on release of third-quarter numbers.
Net revenue decreased 0.5% to $340.0 million as compared to the same period last year reflecting 89 fewer Lands’ End Shops at Sears, which resulted in a net revenue decline from Sears operations of $17.0 million.
Excluding the impact from Sears operations, revenue would have increased by 4.7%.
U.S. eCommerce revenue growth of 7.4% was driven by greater demand for key items and a high single digit increase in new customer acquisitions. Same store sales for U.S. Company Operated stores increased by 8.3%.
Net income was $3.6 million, or $0.11 earnings per diluted share, as compared to $3.3 million, or $0.10 earnings per diluted share, in the third quarter of fiscal 2018. Adjusted EBITDA was $18.8 million compared to $15.7 million in the third quarter of fiscal 2018.
The company’s American Airlines uniform launch commenced in November with approximately $20.0 million already shipped in the fourth quarter, in line with the expectation that the majority of the $40.0 million to $50.0 million launch would ship in the fourth quarter of fiscal 2019.
Said CEO Jerome S. Griffith, "We were pleased to have delivered strong financial results for the third quarter as gross margin expansion and expense management enabled us to achieve Adjusted EBITDA growth of approximately 20%.
"While sales were burdened by unseasonably warm temperatures, our transitional product resonated with customers and sales trends improved as the colder weather arrived."
LE shares acquired 90 cents, or 7.7%, to $12.67