Stage Stores (NYSE: SSI) reported Q4 EPS of $0.20, $0.07 worse than the analyst estimate of $0.27. Revenue for the quarter came in at $454.4 million versus the consensus estimate of $449.1 million.

For the fourth quarter, comparable sales decreased 8.5%.

Michael Glazer, President and Chief Executive Officer, commented, “Our fourth quarter adjusted earnings reflect continued challenges in our oil impacted and border states, as well as the overall soft retail environment. Weak traffic led to heightened promotional activity and gross margin pressure in the quarter, yet we are pleased to end 2016 with inventory levels that are 6% lower than last year. In addition, our direct-to-consumer business grew at a double digit rate as we enhanced our customers’ online experience.”

Mr. Glazer continued, “As we look ahead to 2017, we expect external headwinds and customer behavior changes to persist. We will take steps to drive improved performance by focusing on sales in key merchandise categories, creating an exceptional customer experience in our stores and online, and raising the level of engagement with customers through our marketing. We generated positive free cash flow in 2016 and expect to deliver positive free cash flow again in 2017 by reducing capital expenditures, managing expenses prudently, and improving working capital.”

For earnings history and earnings-related data on Stage Stores (SSI) click here.