HSNi Net Gains 15 Percent in First Quarter
Posted on May 5, 2011 by
ST. PETERSBURG, Fla.-First-quarter net income for multichannel retailer HSNi totaled $20.3 million, up a robust 15 percent from the first quarter of last year.
The company achieved this on the back of a 6 percent gain in net sales to $724 million. The bulk of the sales increase came from HSNi's Cornerstone catalog division, whose net sales jumped 20 percent in the quarter, which ended on March 31. Net sales at hsn.com rose 7 percent.
Mindy Grossman, CEO of HSNi, said the company's sales gains resulted from its focus on product launches and events, strategic partnerships and increased digital efforts. Grossman added that the formula going forward would combine "unique products and experiences, deepening customer engagement and accelerating e-commerce growth across the portfolio."
HSNi's gross margin rose 46 basis points to 35.1 percent. Selling, marketing, general and administrative expenses were up 7.5 percent in dollars, and rose 36 basis points as a percentage of sales to 26 percent.