Michaels crafts a stronger omnichannel strategy for 2015

Michaels is looking to further bolster its omnichannel strategy in 2015 after reporting an 18% profit jump in the fourth quarter.

The CEO for the Michaels Cos., Chuck Rubin, said: "We achieved solid performance across categories and geographies as our customers recognized and responded to the improvements that we have put in place. As we look to fiscal 2015, we will continue to build upon our vision 2020 strategy to deliver a strong in-store and online shopping experience, increase our market share and expand our customer base."

The Texas-based company reported that its net income rose 18% to $157 million in the fourth quarter, up from $133 million in the year-earlier period.Sales for the fourth quarter increased 3.4% to $1.61 billion. Same store sales increased by 1.4%In a conference call with investors Thursday Rubin said that traffic has increased as more customers get inspired online to undertake do-it-yourself projects.

But the retailer gave a soft outlook for the year, citing, among other things, unfavorable Canadian exchange rates and the impact of the West Coast port slowdown.

For the full year, net sales increased 3.7% to $4.74 billion. Full year net income was $217 million. At the end of the fourth quarter, it operated 1,168 Michaels stores and 120 Aaron Brothers stores. Michaels expects fiscal 2015 total net sales growth of 3.2% to 3.7% or 4.4% to 4.9% on a constant currency basis and a comparable store sales increase of 1.5% to 2.0% or 2.7% to 3.2% on a constant currency basis.

Rubin added: "The strong cash flow generation of our business will allow us to continue to make the necessary investments to solidify and advance our market leadership, which we believe will lead to greater efficiencies and further improve profitability. We feel good about our strategies and the customer response they have driven. Our team is energized and ready to make further progress in fiscal 2015."

At the end of January, the company operated 1,168 Michaels stores and 120 Aaron Brothers stores.