HOFFMAN ESTATES, Ill.–Sears Holdings posted a first-quarter loss, with home appliances recording the steepest sales declines at both its Sears and Kmart chains.
For the first quarter ended May 5, Sears Holdings reported a net loss of $56 million, compared with income of $223 million in the year-ago quarter.
The prior year’s quarterly results included the favorable impact of certain items, including $92 million in gains ranging from a legal settlement to hurricane insurance recoveries. The current year included a favorable impact from gains on sales of assets.
Sears’ domestic comparable-store sales fell 9.8 percent, while Kmart’s dropped 7.1 percent. Total domestic comp-store sales fell 8.6 percent.
The retailer blamed comp declines on the general economy and the housing market.
However, “Since May 3, 2008, our sales declines have moderated somewhat,” said Bruce Johnson, Sears Holdings’ interim president and chief executive officer, in a statement.