HSN sales up on strength of mobile performance
ST. PETERSBURG, Fla. — HSNi Inc. reported that its fourth quarter net sales grew 7% over the prior year to $982.9 million. HSN's net sales increased 7% to $683.8 million, including 11% growth in digital sales. Cornerstone's net sales for the 13-week period in 2012 increased 6% to $299.1 million, including 14% growth in digital sales, compared to the 14-week period in 2011.
GAAP diluted EPS from continuing operations increased 27% to $1 compared with 79 cents in the prior year.
HSNi's annual net sales grew 6% over the prior year to $3.3 billion. HSN's net sales increased 5% to $2.3 billion, including 10% growth in digital sales. Cornerstone's net sales for the 52-week period in 2012 increased 10% to $1 billion, including 18% growth in digital sales, compared with the 53-week period in 2011.
Adjusted EPS increased 26% to $2.64 compared to $2.10 in the prior year. GAAP diluted EPS from continuing operations increased 12% to $2.36 compared to $2.10 in the prior year.
"Our results for the quarter and the year at HSNi reflect our ability to capitalize on the shift in retail driven by technology, social networks and mobility," said Mindy Grossman, CEO of HSN Inc. "The company achieved 7% sales growth and 27% EPS growth for the quarter and digital penetration increased 250 basis points to 47%, almost half of our total business. HSN experienced a number of key milestones, including 3% growth in its customer file--the largest in five years--and retention rates achieving 10-year highs. HSN's mobile sales continued to accelerate, reaching $63 million in the quarter, nearly exceeding total mobile sales for all of 2011."