The next news event for Barnes & Noble will be the reporting of first quarter earnings tomorrow morning. Analysts surveyed by Thompson Reuters are expecting a loss of 80 cents a share on sales of $1.42 billion, though the company’s guidance was for a new loss in a range of 85 cents to $1.15 a share. The net loss for the fourth quarter of fiscal 2010, reported June 28, was 89 cents a share. At the time, BN said they expected first quarter Barnes & Noble.com sales–where Nook revenues are recorded–to increase between 30 percent and 50 percent. BN store […]
Bookstores
Books-A-Million Comps Decline 3.4 Percent As Earnings Improve
The bookseller reported second quarter sales of $120 million, down 2 percent overall and down 3.4 percent on a same-store basis compared to a year ago. Net income of $1.9 million was up $500,000 compared to last year. BAMM ceo Clyde Anderson says in the release, “our team did a good job to deliver solid results in a tough environment” (which is what they usually say). They claim in the release that it was a difficult comparison to a year ago–“the success last year of the Twilight series and titles from Glenn Beck and Mark Levin proved difficult to match […]
ABA Will Add Used Bookstores As Members, Reduce Some Dues
With substantially-reduced membership and a challenging environment to drive dues from existing members, the American Booksellers Association president Michael Tucker wrote to members about a variety of initiatives starting next February. Most significant is that the organization will expand by making used bookstores eligible for membership. They are also adding a special membership category for new stores and new members. Both used stores and new members will be charged reduced dues, as will stores with low sales volume. Tucker writes that “ABA is making these changes because we believe in the opportunities inherent for community-based, indie booksellers in this time […]
Barnes & Noble’s New Strategy: We’ll GIve You Two Independent Directors If You Save Our Chairman
In their latest play in the proxy fight with Ron Burkle, who theoretically wants more independent voices on the board of Barnes & Noble, the company has thrown aside current directors Michael del Guidice and Lawrence Zilavy from the reelection slate (or rather the two “have decided not to stand for reelection”). Delaware chancellor Leo Strine recently rebuked the company in finding that del Guidice is too closely tied financially and politically to Len Riggio’s money and interests to be considered an independent director. Instead the company is nominating David Golden, evp and a partner at investment firm Revolution, and […]
Bookselling: Hard Times at Modern Times
San Francisco’s Modern Times Bookstore has told customers by e-mail they are “facing a financial crisis and urgently need an influx of cash if we are going to be able to pay our bills through the summer.” They add: “We absolutely believe that it is possible to function more sustainably but we need your help right now if we are going to get to the more lucrative fall and winter months and be able to put into place the changes that will help us survive.” In business for 39 years, they say they are “one of the few remaining independent, […]
Riggio Converts Shares at Above-Market Price
What a fascinating world we live in. While people who don’t understand the publishing business continue a steady stream of columns concluding the bookstores that sell 92 percent of trade books are done for–James Stewart because he buys from Amazon and his “hunch is that B&N never really embraced the Internet or e-books,” and Brett Arends at Marketwatch because he believes the e-book hype–the actual battle for ownership of Barnes & Noble intensifies. Founder and chairman Len Riggio exercised almost 1 million options, paying more than $1.50 a share above market at the strike price of $16.96 (or $16.8 million […]