The company’s fiscal second quarter report oozes with high fives as the company celebrates what they term an increase in sales, up by what we technically call a “smidgen,” at $610.4 million, compared to adjusted sales of $608.6 million a year ago. (Their actual sales a year ago were $617.1 million — which includes $8.5 million from their Digital Student Solutions segment, which was sold in May.) Net income did rise, at $24.2 million, up $2 million from a year ago (with income from continuing operations up less, gaining about $700,000). The board “continues its ongoing review of a broad […]
Booksellers
Indigo’s Q2 Falls Below Last Year’s Strong Result
Indigo released results for the second quarter of their fiscal year, ended September 30, reporting $207 million in sales, down 12 percent from the previous year, and a loss in adjusted EBITDA of $(13.8) million, compared to $(10.6) million. Net loss during the quarter was $(22.4) million, compared to a net loss of $(15.9) million in the previous year. The company cites consumer “price sensitivity” as a reason for the drop—because people came out for discounts during promotional events—and a stark comparison to last year, which was the highest ever in merchandise sales. The company also launched their new ecommerce […]
WH Smith High Street Sales Fall Slightly
WH Smith announced preliminary results for the year, ended August 31, with sales up 28 percent to £1.79 billion. Trading profit, driven by the Travel division, was up £74 million to £164 million, and group profit before tax was £110 million, compared to £63 million in 2022 High street sales were £469 million, down from £473 million, with trading profit falling £2 million to £43 million, “in line with expectations.” The company closed 13 High Street stores in the period, bringing their total to 514. They say they are focused on efficiency and cost management, with savings of £15 million […]
BNED Benefits from Closing Underperforming Stores
After an eventful summer which included a delayed full-year SEC filing, renegotiated loans to narrowly avoid collapse, and two new board members to oversee “strategic options,” Barnes & Noble Education announced results for the first quarter of fiscal year 2024, ended July 29 (which is typically a soft quarter for the company). Sales for the quarter were $264.2 million, up from $254.7 million last year (remember: sales for the same quarter in fiscal 2019 were $338 million). Net loss was $(50.4) million, compared to $(52.7) million, and gross profit was $50.6 million, down from $56.0 million. In the retail segment, […]
BNED Focuses on Cost-Reduction, Profitable Segments
After a delay in filing while they renegotiated loans with investors, Barnes & Noble Education announced formal results for the fourth quarter and full year 2023 ended April 29. Those numbers were in line with the preliminary data announced in mid-July, including full year sales of $1.54 billion, up 3.2 percent from the previous year, and a grim higher net loss of $(101.9) million, even worse than the $(68.86) million the previous year. Per those preliminary numbers, fourth quarter sales were $241.8 million, down from $252.2 million last year, and net loss was $(46.25) million, an increase from $(10.96) million. […]
BNED Delays Earnings Report As It Renegotiates Loans, Faces Possible Going Concern Warning
Barnes & Noble Education has notified the SEC of a late filing of its year-end financial report, as it attempts to refinance its loans with creditors, or reach “other liquidity solutions,” in an effort “to strengthen its liquidity and financial position.” Notably, “If the Company does not consummate a refinancing or other transaction to sufficiently enhance its liquidity before the issuance of the Company’s audited financial statements as of and for the fiscal year ended April 29, 2023…management likely would conclude that substantial doubt about the Company’s ability to continue as a going concern exists.” They note elsewhere in the […]