Martha Stewart nears quarterly profitability

New York – Martha Stewart Living Omnimedia (MSLO) reported second-quarter operating loss of $1.8 million, dramatically narrowed from the $34.2 million loss for the same period a year ago.

The company said loss per share from continuing operations was $0.01 for the second quarter of 2006, ahead of a prior year second-quarter loss of $0.65 and ahead of the consensus estimated loss of $0.16. Revenues rose 47.0% to $67.4 million compared to $46.0 million for the second quarter of 2005.

Susan Lyne, president and ceo, said publishing and Internet were the leading business segments, noting that advertising revenues were the key driver in the improving performance.

In the merchandising segment, revenues were $10.2 million for the second quarter of 2006, as compared to $10.2 million in the prior year's second quarter. Acting cfo Howard Hochhauser said comp-store sales for Martha Stewart Everyday at Kmart were down 4.6%, with year-to-date sales there down less than 1.0%. His projection for the third quarter saw $8.5 million in merchandising revenues, primarily generated by licensing fees.

In response to an investment analyst’s question, Lyne noted that the new licensed home program with Macy’s has the operational potential for “70.0% margins,” essentially the same as for the Kmart program.

Home & Textiles Today Staff | News & Commentary

 Home Textiles Today is the market-leading brand covering the home and textiles markets, offering a comprehensive package of print and online products. Home & Textiles Today provides industry news, product trends and introductions, exclusive industry research, consumer data, store operations solutions, trade show news and much more.

Featured Video

  • Live From New York: Fashion Comes Across the Pond

    Camera Icon More Videos

Subscribe to
Home & Textiles Today eDaily
Receive the news you need to know about the trends in the industry delivered right to your inbox.


HTT Cover October 2017

See the October 2017 issue of Home & Textiles Today. In this issue, we look at the Top 25 Online Retailers.  H&TT's exclusive annual ranking of the biggest online sellers of home textiles finds that while pure play etailers continue to fly, bricks & clicks are digging into omnichannel. See details!