Based in Toronto, Hudson’s Bay owns brands like Gilt, Home Outfitters and Lord & Taylor. The company’s brands have also struggled significantly in brick-and-mortar stores, according to a statement from Jerry Storch, chief executive officer of HBC. Storch said holiday sales were led by strong digital sales growth of 21.7 percent at department store banners.
“However, the sales improvement that we experienced was not strong enough to achieve the results we had expected,” he said. “Also, while we were pleased with our performance at Hudson’s Bay in Canada, the retail environment has remained challenging in the U.S. and Europe and the significant promotional activity during the holiday period had a negative impact on our margins.”