Consolidated same store sales grew by 2.3% for the fourth quarter and 0.9% for the full year.
The international segment enjoyed growth of 3.9% in the fourth quarter, mainly attributable to an increase in the learning category, partially offset by a decline in the entertainment category (which includes electronics, video game hardware and software).
Consolidated Adjusted EBITDA was $800m for the full year, a $158m improvement. The domestic segment showed continued improvement in operating performance for the fourth quarter and full year, and the international segment’s same store sales grew for the eighth consecutive quarter. Since the inception of the Fit for Growth initiative in 2014, the company has realised $307m in savings, with the balance of the $325m target expected to be achieved by the end of fiscal 2016.
Dave Brandon, chairman and chief executive officer at Toys R Us, commented: “I am very encouraged by our positive consolidated same store sales in what was a very competitive marketplace. Throughout the year, and especially during the holiday season, we focused on improving our execution to deliver a positive and memorable shopping experience to our customers. We significantly improved our performance, but we can and will make further progress on our quest to achieve flawless execution in every aspect of our operations. We grew Adjusted EBITDA by 25% by successfully executing a number of key initiatives, while continuing to take advantage of the progress we’ve made to right-size our cost structure.”