Neiman Marcus nearly quadrupled its earnings in its fiscal first quarter as fewer discounts helped the retailer fatten its margins, according to people with knowledge of the closely held company’s earnings.

The company booked $156 million in earnings before interest, taxes, depreciation and amortisation for the period ended Oct. 30, said the people, who asked not to be identified because the results are confidential. That’s up from $41 million in the same period last year, the people said.

Quarterly revenue increased roughly 39 percent from a year earlier to $979 million, but declined 6.7 percent from 2019, they said.

A representative for the company declined to comment.

Neiman is joining the fray of retailers that boosted profitability by reducing markdowns. While the lack of bargains may be disappointing to some consumers, demand is still holding up, with many shoppers making purchases early in the holiday season.

The luxury department store chain’s gross margins rose around 855 basis points from 2020 and 537 basis points from 2019, the people said. Comparable sales for the first quarter jumped 51 percent year-over-year and increased 7.3 percent from 2019, they added.

Neiman gained stronger financial footing after it shed around $4 billion of debt and closed most of its discount brand stores through bankruptcy last year. The company emerged from court protection in September 2020 and is now owned by Davidson Kempner Capital Management, Sixth Street Partners and Pacific Investment Management Co.

Chief Executive Officer Geoffroy van Raemdonck said Bergdorf Goodman’s online sales was a significant growth driver, and that the company doesn’t plan to split up its website and physical stores into separate companies, according to a report by Women’s Wear Daily, which earlier reported some of company’s financial results.

The company has 37 namesake stores across the US, and two Bergdorf Goodman stores in New York, its website shows.

At quarter-end, Neiman had $1.1 billion in liquidity, including $395 million of cash and roughly $705 million of availability under its asset-based credit facility.

The company’s earnings were $417 million for the last 12 months, against a total debt of around $1.1 billion, the people said. Neiman’s 7.125 percent first lien note due 2026 traded at 105.5 cents on the dollar Wednesday, according to Trace.

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