QVC Group revenues struggled to keep pace in Q4

Top-line sales at QVC Group Inc. contracted during the fourth quarter while its operating loss widened dramatically.

QVC Group revenues struggled to keep pace in Q4

ENGLEWOOD, COLO. – Top-line sales at QVC Group Inc. contracted during the fourth quarter while its operating loss widened dramatically.

In the QxH division, which consists of QVC U.S. and HSN, revenue fell 8% to $1.98 billion due to lower unit volume, average selling price and shipping and handling revenue. Home category sales also dropped 8%, driven by reduced demand for culinary and floor care products, partially offset by growth in seasonal items.

Sales in the Cornerstone Group were down 7% to $284 million due to soft demand, promotional pressure and the ongoing challenges to the broader home furnishings business. The division includes Ballard Designs, Frontgate, Garnet Hill and Grandin Road.

With Q4 revenues down at both U.S. divisions and flat at QVC International, consolidated revenue fell 6% to $2.9 billion. The company generated an operating loss of $1.3 billion compared to an operating loss of $103 million in the prior-year fourth quarter.

Top line results for the full fiscal year, ended Dec. 31, 2024, included:

QxH revenue down 6% to $6.5 billion.
Cornestone revenue down 11% to $1.0 billion.
QVC International revenue down 2% to $2.4 billion.
Total company revenue down 5% to $10 billion, excluding 2023 results from the Zulily business, which the company exited.

“We faced challenges in the second half of 2024, driven by heightened competition for viewership with the Olympics and the election, as well as a conservative consumer environment, both of which pressured our top line results and resulted in sales deleverage,” said David Rawlinson, president and CEO of QVC Group.

In November, the company announced a new three-year strategy focused on returning the business to growth.

“We are moving quickly to transform into a scaled player in live social shopping and believe we have the key assets to win in this market,” said Rawlinson.

The company has also begun consolidating HSN’s headquarters and studio operations into QVC’s base in West Chester, Penn. Earlier this week, the company changed its corporate identity from Qurate Retail Group to QVC Group.