First-quarter revenue for Rye, NY-based Lillian Vernon Corp. slipped from $39.7 million last year to $36.9 million for the three months ended May 25. Circulation cuts accounted for the decline, however. In fact, the multititle gifts and home goods mailer said that revenue per book actually rose 13.3%, due to better targeted mailings and “value-priced merchandise.”
But the improved per-book productivity didn’t help the cataloger’s bottom line. The net loss for the quarter was $4.9 million, compared with a net loss of $3.9 million for the previous fiscal first quarter. This year’s first-quarter loss included a $1 million after-tax financing charge. Excluding that charge, the loss would have been the same as last year’s.
The company also reported that in October it will debut a a cobranded MasterCard. “The card will reward our customers through a loyalty program that awards points toward future purchases,” according to a statement.