Improvements in core profitability enabled the company to invest nearly $45 million in employee benefits in 2018.
FREEPORT, Maine (PRWEB) March 15, 2019
L.L.Bean announced today both its fiscal 2018 sales results and its intention to pay a performance bonus to its employees. For the fiscal year ending February 24, 2019, L.L.Bean reported annual net revenue of $1.6 billion, up 1% over 2017. Based on these results, the L.L.Bean Board of Directors approved a performance bonus of 5% of annual pay to approximately 5,400 eligible employees, as well as an additional 2% enhancement 401(k) contribution.
The solid company performance comes at a time when the retail industry continues to experience challenges and follows a year in which considerable changes were made at the company. In 2018 the company completed the upgrade of internal legacy technology and warehouse systems which resulted in record setting daily orders processed, the highest on-time delivery and the lowest customer product backlogs in decades. Additionally, changes to the return policy cut fraudulent and abusive returns. L.L.Bean also continued to grow its Be an Outsider marketing campaign that has attracted a notable increase in new buyers.
“Measured against corporate goals and expectations, we performed well in a very competitive industry and a very difficult retail economy,” said Steve Smith, L.L.Bean President and CEO. “We are on a journey towards growing our top line and the improvement to our bottom line is a critical first step. Improved profitability allows us to invest in our business. Today we thank and appreciate the hard work and dedication of our employees, the loyalty of our customers and the quality of our products and services.”
The company made significant investments in employee benefits. Improvements in core profitability enabled the company to invest nearly $45 million in employee benefits in 2018 including the discretionary cash bonus, 401(k) contributions and enhancements, expanded paid time off, paid parental leave and eldercare support, and a holiday gift.
“The year-end bonus and the enhanced contribution to the 401(k) underscores the ownership’s commitment to sharing the company’s profits and financial success with those who create them, our employees,” said Shawn Gorman, L.L.Bean’s Executive Chairman of the Board. “Our employees are who we are. The Board of Directors and the family are pleased that their efforts and excellence make it possible to reward them with a year-end bonus.”
L.L.Bean, Inc. is a leading multichannel merchant of quality outdoor gear and apparel. Founded in 1912 by Leon Leonwood Bean, the company began as a one-room operation selling a single product, the Maine Hunting Shoe. L.L.Bean is a family-owned Maine company led by Executive Chairman, Shawn Gorman, the great-grandson of Leon Leonwood Bean; and Stephen Smith, President and CEO. While its business has grown over the years, L.L.Bean continues to uphold the values of its founder, including his dedication to quality, customer service and a love of the outdoors. In the past ten years the company has provided over $30 million to nonprofit organizations. L.L.Bean currently operates 44 stores in 18 states across the United States, along with 28 stores in Japan. The 220,000-sq. ft. L.L.Bean retail store campus in Freeport, ME, is open 24 hours a day, 365 days a year and welcomes more than 3 million visitors every year. L.L.Bean can be found worldwide at http://www.llbean.com, Facebook, Twitter, YouTube, Pinterest, and Instagram.