Dillard’s Inc. reported net income for the 13 weeks ended Oct. 28, 2023 of $155.3 million, or $9.49 per share, compared to $187.9 million, or $10.96 per share, for the prior year third quarter.
Net sales for the 13 weeks in Dillard’s third quarter were $1.476 billion compared to $1.544 billion a year ago. Net sales includes the operations of the Company’s construction business, CDI Contractors, LLC.
Total retail sales for the Little Rock-based retailer during the quarter were $1.409 billion versus $1.499 billion in the previous year’s third quarter, a 6% decline.
“The sales environment remained challenging in the third quarter with particular weakness beginning in September. Our focus on producing profitable sales with inventory control paid off – with retail gross margin of 45.3% and inventory down 1% year over year. We repurchased $48 million of stock and had $893 million of cash and short-term investments remaining,” said Dillard’s CEO William T. Dillard, II.
Financial highlights of the quarter included: (compared to the prior year third quarter):
- Comparable store sales decreased 6%;
- Retail gross margin of 45.3% of sales compared to 45.7% of sales;
- Operating expenses were $421.8 million (28.6% of sales) compared to $413.8 million (26.8% of sales); and
- Ending inventory decreased 1% year-over-year.
Dillard’s closed its MacArthur Center location in Norfolk, Va., during the third quarter. The company operates 273 Dillard’s stores, including 27 clearance centers, spanning 29 states, and its online platform at Dillards.com.
Dillard’s stock (NYSE: DDS) closed Wednesday at $312.70 per share. The company’s shares have traded between $272.58 and $417.86 over the past 52 weeks.