In its second-largest acquisition, Amazon buys the company for $970 million.
Total sales grow 5.7% in the retailer’s fiscal Q1 2014 while specialty store sales rise 4.4%. The retailer also announces the closing of its sale to a group of investors led by Area Management and Canada Pension Plan Investment Board.
Web sales outpaced store and total sales in growth for luxury retailer The Neiman Marcus Group Inc. in its fiscal Q1 2014 ended Nov. 2. The retailer also announced the completion of its purchase for $6 billion by a group of investors led by Area Management LLC and Canada Pension Plan Investment Board.
Fees associated with the purchase led Neiman Marcus, No. 39 in the Internet Retailer Top 500 Guide, to post a net loss of $13.1 million for the quarter. Neiman Marcus announced its plans to sell to the investors in September.
For its fiscal Q1 2014 ended Nov. 2 the retailer reports:
- E-commerce sales grew 10.4% to $239.8 million from $217.2 million in Q1 fiscal 2013.
- Total sales grew year over year 5.7% to $1.12 billion from $1.06 billion.
- Specialty retail sales increased 4.4% to $889.3 million from $851.3 million.
- Comparable-store sales weren’t disclosed.
- A net loss of $13.1 million compared to net earnings of $49.6 million a year earlier. Transaction costs of $109.4 stemming from its sale contributed to the loss.
The web accounted for 21.2% of total sales compared with 20.3% a year earlier.