In its second-largest acquisition, Amazon buys the company for $970 million.
E-commerce now accounts for nearly 50% of total sales.
TV and web retailer HSN Inc. is getting closer to the day when sales from e-commerce will account for at least 50% of revenue.
For the year ended Dec. 31, HSN reported:
- Total web salesincreased 13.3% to $1.45 billion million from $1.28 billion in 2011.
- Web sales for HSN.com, No. 26 in 2012 Internet Retailer Top 500 increased 9.6% to $800 million from $730 million.
- Web sales for Cornerstone Brands, a collection of apparel and home furnishings brands that sell via catalog and the web, increased 17.9% to $650.7 million from $551.8 million.
- Total sales for the company, consisting of HNS and Cornerstone, increased 6.5% to $3.27 million from $3.07 billion in 2011.
- Total sales for HSN amounted to $2.27 billion, up by 5.1% from $2.16 billion.
- Total sales for Cornerstone Brands increased about 10% to $1.00 billion from $909 million.
- The web accounted for about 44.3% of HSN Inc.’s total sales in 2012 compared with 41.7% in 2011.
- Average ticket was $60.57 compared with $62.79 for 2011, a decrease of 3.5%.
- HSN posted net income of $130.7 million, a 6.2% increase from $123.1 million in the prior year.
“Our results for the quarter and the year at HSN reflect our ability to capitalize on the shift in retail driven by technology, social networks and mobility,” says CEO Mindy Grossman. “HSN’s mobile sales continued to accelerate, reaching $63 million in the quarter, nearly exceeding total mobile sales for all of 2011.” Mindy Grossman is a keynote speaker at June’s Internet Retailer Conference & Exhibition 2013 in Chicago (read more about IRCE http://irce.internetretailer.com/2013/)in Chicago. She will speak in a session titled “How boundaryless retail drives 21st century success.”
For the fourth quarter HSN reported:
- E-commerce increased about 12.4% to $460.1 million from $409.4 million in the Q4 of 2011.
- Total sales grew year over year 6.6% to $982.9 million from $922.0 million.
- Total sales for the HSN brand grew year over year 7.0% to $683.8 million from $639.2 million.
- Total sales for the Cornerstone brand grew year over year 5.8% to $299.1 million from $282.8 million.
- Net income increased 20.4% to $56.0million from $46.5 million in the fourth quarter 2011.
- The web accounted for about 46.8% of HSN Inc.’s total sales in Q4 2012 compared with 44.4% in 2011.