There was a glimmer of good news in Sears Holdings Corp.’s first quarter earnings report.

The embattled retailer reported its first quarterly profit since 2015, which it attributed largely to the sale of its Craftsman brand, and lower expenses due to its $1.25 billion cost-cutting plan. Sears posted net income of $244 million in the quarter ended April 29, compared with a loss of $471 million in the year-ago period. However, Sears posted a loss of $230 million when adjusted for special items, compared with a loss of $199 million a year earlier.

On the revenue side, Sears continues to bleed. Revenue fell 20.3% to $4.3 billion in the quarter, down from $5.4 billion last year. The…