Dillard’s, Inc. reported net sales of $2.02 billion for the 13-week fourth quarter ended February 1, compared to $2.12 billion for the 14-week prior-year Q4 period ended February 3, 2024. The company follows the NRF 4-5-4 retail reporting calendar, which included a 53rd week in the 2023 fiscal year ended February 3, 2024.

  • Total retail sales (which excludes CDI) for the fiscal 2024 Q4 period were $1.94 billion, compared to $2.06 billion in the prior-year period.
  • Total retail sales decreased 1 percent year-over-year when comparing 13-week periods and comparable store sales for that same period decreased 1 percent year-over-year.

“With sales down 1 percent, we worked on controlling expenses but lost some steam in gross margin,” said Dillard’s CEO William T. Dillard, II.

The retailer said stronger performing categories were home and furniture and cosmetics while the men’s apparel and accessories and shoes categories were said to be weaker.

Consolidated gross margin for the fiscal 20925 fourth quarter was 34.9 percent of sales, compared to 36.6 percent of sales for the fiscal 2023 Q4 period.

Retail gross margin for the fiscal 2024 Q4 period was 36.1 percent of sales, compared to 37.7 percent of sales for the fiscal 2023 Q4 period. Compared to the prior-year fourth quarter, retail gross margin was flat in juniors’ and children’s apparel and ladies’ accessories and lingerie. Gross margin reportedly decreased slightly in shoes, cosmetics and men’s apparel and accessories. Gross margin decreased significantly in home and furniture and ladies’ apparel.

Inventory increased 7 percent hen comparing year-end levels for fiscal 20025 and fiscal 2023.

Consolidated selling, general and administrative expenses (SG&A) for the fiscal 2024 Q4 period were $452.0 (22.4 percent of sales) versus $476.7 million (22.4 percent of sales) for the fiscal 2023 Q4 period. The of approximately $24.7 million decrease in operating expenses was said to be primarily due to the 53rd week of operations in the fourth quarter of fiscal 2023. The company continued to work on controlling expenses during the quarter, and these efforts will continue.

Dillard’s reported net income for the fiscal 2024 Q4 period of $214.4 million, or $13.48 per share, compared to $250.5 million, or $15.44 per share, for the fiscal 2023 Q4 period. Included in net income for the fiscal 2024 Q4 period are federal and state income tax benefits of $30.8 million ($1.94 per share) due to a deduction related to that portion of the special dividend of $25.00 per share that was paid to the Dillard’s, Inc. Investment and Employee Stock Ownership Plan during the quarter.

Included in net income for the fiscal 2023 Q4 period are the following tax-related benefits:

  • federal and state income tax benefits of $26.1 million ($1.61 per share) due to a deduction related to that portion of the special dividend of $20.00 per share that was paid to the Dillard’s, Inc. Investment and Employee Stock Ownership Plan during the quarter; and
  • a net $7.3 million ($0.45 per share) income tax benefit due to the release of valuation allowances primarily related to state net operating loss carryforwards..

Fiscal 2024 Full-Year Summary
2024 fiscal year compared to the 2023 fiscal year:

  • Total retail sales decreased 2 percent for the 52-week to 52-week period.
  • Comparable store sales decreased 3 percent for the 52-week to 52-week period.
  • Retail gross margin of 41.0 percent of sales compared to 41.8 percent of sales.
  • Net income of $593.5 million compared to $738.8 million.
  • Earnings per share of $36.82 compared to $44.73 per share.

Share Repurchase
During the fiscal 2024 Q4 period the company purchased $14.0 million (approximately 36,000 shares) of Class A Common Stock at an average price of $391.04 per share. As of February 1, 2025, authorization of $273.0 million remained under the May 2023 program.

Total shares outstanding (Class A and Class B Common Stock) at February 1, 2025 and February 3, 2024 were 15.9 million and 16.2 million, respectively.

Store Information
The company operates 272 Dillard’s stores, including 28 clearance centers, spanning 30 states (totaling 46.3 million square feet) and an Internet store.

Image courtesy Dillard’s, Inc.