Hart Stores reports fourth quarter and year end results for fiscal year ended February 3, 2013

SYMBOL: HIS (TSXV)
www.hartstores.com

LAVAL, QC, May 27, 2013 /CNW Telbec/ - Hart Stores Inc. (TSXV: HIS) announces its audited financial results today for the fourth quarter and fiscal year ended February 3, 2013.

For the year ended February 3, 2013, sales reached $88.3 million for 60 stores as at period end, compared to $145 million for 88 stores as at period end in the previous year. The net loss for the year was $7 million or $0.51 per share compared to a net loss of $35.7 million or $2.61 per share for the same period in the previous year.  The decrease in sales is mainly attributable to the closing of 28 stores in February 2012 in accordance with the restructuring plan approved in 2012. At year end, no amounts were due on the revolving credit facility as the Company had a net cash balance of $838,000.

For the fourth quarter, sales reached $27.2 million for 60 stores as at period end, compared to $45.4 million for 88 stores as at period end in the previous year. The net income for the quarter was $2.7 million or $0.20 per share compared to a net loss of $19.2 million or $1.40 per share for the same period in the previous year. The sales decrease is attributable to the store closures, while the net income was impacted favorably by lower amounts for restructuring costs, impairment loss and the gain on the sale lease back of the land and building serving as the head office and warehouse.

"We are satisfied with the progress of our restructuring measures and are pleased that our improved operational strategies and product assortments are being well received ", stated Mr. Robert Farah, the Company's President and COO.

Hart Stores Inc. will be filing its unaudited interim financial statements for the first three quarters of fiscal 2013 at the same time as the year ended February 3, 2013.

Summary of quarter and full year periods		For the period ended:		Fiscal year ended:
(In thousands of dollars, except per share amounts)		(Unaudited)		(Audited)
		(14 weeks)	(13 weeks)	(53 weeks)	(52 weeks)
		February 3, 2013	January 29, 2012	February 3, 2013	January 29, 2012
		$	$	$	$
Sales		27,185	45,373	88,296	144,964
Gain on sale lease back of land and building		6,328	-	6,328	-
Restructuring costs		(103)	(12,937)	(1,716)	(18,360)
Impairment loss		(538)	(7,898)	(538)	(7,898)
Net earnings (loss)		2,713	(19,235)	(7,004)	(35,691)
	Net earnings (loss) per share:
	Basic	0.20	(1.40)	(0.51)	(2.61)
	Diluted	0.20	(1.40)	(0.51)	(2.61)

About Hart Stores Inc.:

Hart Stores Inc. operates a network of 60 mid-sized department stores located in secondary and tertiary markets in Eastern Canada, where the Company has established a dominant position in many of the communities that it serves. The stores offer an extensive and differentiated selection of national and exclusive fashion apparel brands as well as family footwear, home furnishings, electronics, appliances, giftware, toys and seasonal goods.

 

SOURCE: HART STORES INC.

Mr. Pat Filippelli
VP Finance and CFO
[phone]