HBC reports Q1 profit due to sale of Lord and Taylor New York building

HBC reports Q1 profit due to sale of Lord and Taylor New York building

TORONTO – Hudson’s Bay Co. reported a profit of $ 275 million in its latest quarter, boosted by the sale of its flagship Lord and Taylor building in New York.

The retailer says the profit amounted to $ 1.15 per share for the quarter ended May 4 compared with a loss of $ 398 million or $ 2.17 per share in the same quarter last year.

Excluding one-time items, HBC said its normalized net loss was $ 209 million or $ 1.14 per share for its most recent quarter compared with a normalized loss of $ 114 million or 62 cents per share a year ago.

Retail sales in the quarter totalled $ 2.08 billion, down from $ 2.15 billion in the same quarter last year.

The results follow an offer earlier this week by a group of shareholders led by HBC executive chairman Richard Baker to take the retailer private, once it completes the sale of its remaining German holdings for $ 1.5 billion.

The proposed price was $ 9.45 per share cash — the same price paid by one of Baker’s business entities to buy a 10 per cent bloc of shares from the Ontario Teachers’ Pension Plan in January.

Companies in this story: (TSX:HBC)

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