Booksellers

At Indigo, Q2 sales for the period ending September 28, 2019, declined to $203.4 million (CA) compared to $216.3 million for the same period last year, a decrease of 6 percent. The operating loss was ($20.455 million) from ($19.125 million) last Q2. On the earnings news, the stock was down slightly to $4.30 a share at 11 a.m., down about 2 percent from close. Comparable retail superstore sales for the quarter decreased 7.4 percent, while small format stores decreased 5.7 percent. As for product mix, print gained slightly as a percentage of sales, moving to 59.5 percent of sales, from […]

WH Smith announced earnings for the year ended August 31, 2019, with revenues for the overall group of £1.4 billion, up from £1.3 billion. The growth is all in the company’s fast international travel business — now about to double in size via a major acquisition. Alongside earnings, the company announced an agreement to purchase of the Las-Vegas based Marshall Retail Group, for $400 million. Marshall has 170 North American locations, 59 of them inside airports, mostly selling news, gifts, and convenience products. The purchase builds on their 2018 acquisition of InMotion in the US for $208 million (following an […]

Barnes & Noble Education reported results for their fiscal first quarter, a seasonally “low activity” period. Sales keep falling — at $319.7 million, down $18.2 million from a year ago, or 5.4 percent lower. They registered declines across all three business segments: College stores, the textbook wholesale business, and their digital student solutions. The announcement celebrates that general merchandise sales comps rose 4.9 percent (gaining $5.9 million) — yet course material sales fell 11 percent (down $13.7 million) and trade book sales declined 11.8 percent (falling $1.2 million). There you have the essential problem of this entire enterprise. The net […]

Canada’s Indigo reported fiscal first quarter sales Tuesday afternoon with sales falling $12.8 million (or 6.2 percent) to $192.6 million (CA). Superstore comp sales decreased 6.5 percent, small format stores fell 2.4 percent, and online sales were $5 million lower (or down 14.8 percent), at $28.8 million. But the company says the reductions were planned as part of a move to bolster earnings: “The decline in sales was a result of a strategic shift to reduce promotional activity to improve profitability, and eliminate unprofitable sales. Additionally, the general merchandise business continued to be affected by softer discretionary spending in product […]

Pearson reported half-year results for 2019 on July 26, with sales down to £1.83 billion, from £1.87 billion the first half of last year. The sale of their US K-12 company reduced sales by £141 million, with the strengthening dollar adding £69 million. Adjusted operating profit was up to £144 million from £107 million last year. Penguin Random House, in which Pearson has a 25 percent stake, “performed in line with our expectations with revenue growth on an underlying basis due to a rise in print and audio sales, which were partially offset by lower ebook sales.” As for specific […]