Overall sales for the first quarter at Amazon.com increased by 18 percent to $4.89 billion, as operating income increased 23 percent to $244 million in the first quarter, and net income rose 24 percent to $177 million. But the growth was driven heavily by electronics, as the media segment–which includes books and digital downloads among other items–continues to lag the company’s overall performance. North American media sales of $1.305 billion were up 8 percent compared to a year (similar to the rise in the previous quarter), while international media sales of $1.418 billion were up just six percent, held back […]
Booksellers
Sales Off at WH Smith; New Betrams Owner Reports
High-street sales fell 6 percent at WH Smith in the first half of their fiscal year, at 522 million pounds, and profits of 47 million pounds declined by the same percentage. Same-store book sales declined less, at 3 percent, and the company says “we saw further good share performance versus the general high street with strong market shares in kids books…and celebrity autobiographies.” They add that “we increased the focus on kids books with major range reviews leading to wider ranges being introduced in areas such as picture books.” Smith release The new owners of UK wholesaler Bertrams also reported […]
Bookstore Burrowings
So one of my wonkier habits is scrolling through the lengthy SEC filings of major public companies in the book industry, exacerbated by recent annual reports from Barnes & Noble, Borders, and Books-a-Million. (The detailed filings often share interesting tidbits we don’t get to in the basic earnings releases and ensuing conference calls.) Among the things we’ve learned in the past couple of weeks: Borders sold just over $2 billion worth of books last, out of total revenue of $3.242 billion, or a little under 62 percent of sales. Books-a-Million, on the other hand, says that 83 percent of their […]
Borders' Sales and Margins Continue to Fall, But At Least their Debt Is Smaller
Fourth quarter sales at Borders were $1.1 billion overall, down 12.9 percent from a year ago. The superstores comprised $816.1 million, down 15.3 percent on a same-store sales basis (and book comps were down 11.7 percent), and 14.8 percent overall. Waldenbooks accounted for $195.6 million in sales, down a more modest 4.7 percent on a same-store basis, and down 14.3 percent overall. International sales added $43.2 million, and Borders.com did $26.4 million in business. The company had net writedowns totaling $34.9 million in the quarter. Goodwill impairment was the largest charge, followed by store closures and severance costs. Adjusted income […]
Delisting Possible as Borders Prepares to Unveil Strategy Next Week
With Borders set to declare fourth-quarter results next week, expectations are grim: more multi-million dollar losses, store closures, payroll slashings and, with shares currently trading at 64 cents per share, potential de-listing from the NYSE. Shareholders will hear more about the company’s strategy, including plans for a reverse stock split to satisfy NYSE conditions, next Wednesday when CEO Ron Marshall hosts a conference call with analysts and investors. One turnaround expert tells the Detroit Free Press that Borders seems to be one of buying time and hoping economic recovery is just around the corner. “They are figuring their brand name […]
BAM Sales Off Over 5 Percent
Same-store sales at Books-a-Million fell 5.3 percent in their fiscal fourth quarter (and 2.5 percent overall) at $164 million, as net income fell 4.2 percent to $11.4 million. Sales were off 4.1 percent for the full year, at $513.3 million, for a same-store sales decline of 7.2 percent. Net income suffered more, falling almost 35 percent to $10.8 million. Newly-appointed ceo Clyde Anderson says “The fiscal year closed with an improvement in the negative sales trend we experienced in the third quarter. We remain focused on maintaining discipline in expense control, inventory management and the maintenance of a strong balance […]