mason hawkins

Southeastern Asset Management, Inc. has boosted its stake in  Saks Inc according to a 13D filed with the SEC. According to the value firm’s third quarter 13F, the firm owned 21,670,820 shares of the high end retailer or 14.32%. As per the latest filing, Mason Hawkins’ firm owns  26,976,320 shares equalling 17.8% of the company. Southeastern is now the largest shareholder of  Saks Inc (NYSE:SKS).


Saks Incorporated, headquartered in New York City, operated 105 stores as of July 30, 2011, including 46 Saks Fifth Avenue stores and 59 Off 5th stores. The company also operates and The Fifth Avenue store base has been greatly reduced over the past few years, reaching a peak of 62 doors in 2003. In 2010, the company reported revenues totaling $2.8 billion, a
5.9% yoy increase.  Saks Inc (NYSE:SKS) features a wide assortment of luxury/designer products.

Saks recently reported flat 4Q SSS outlook includes a ~-300 bps Sandy impact. Sandy affected ~55% of SKS’ store sales base
as shoppers couldn’t get to stores (or didn’t have power to shop online). Also, the industry’s supply chain was severely disrupted, resulting in Nov receipts considerably off plan and softer SSS as there was little newness to drive spending. However, december receipt flow has improved dramatically, according to Morgan Stanley estimates.

For the 39 weeks ended 27 October 2012,  Saks Inc (NYSE:SKS) revenues increased 4% to $2.17B. Net income increased 12% to $42.5M. Revenues reflect Comparable Store Sales (Value) – Retail increase of 4% to $2.1B, Retail Sales increase of 4% to $2.17B. Net income benefited from Interest expense decrease of 27% to $28.3M (expense), Other income (loss) increase from $557K to $1.2M (income).

Disclosure: No position