In Borders’ extensive statement of financial affairs filed with the bankruptcy court last week, already covered here in general, we note that the company appears to have revised downward their estimate of sales prior to declaring bankruptcy. The statement puts fiscal 2010 sales at $2.177 billion, which is 5 percent lower than the sales of “approximately $2.3 billion” the company reported when they filed for Chapter 11 protection in February. That means our initial estimate of the decline in sales during 2010 was too low; by the new figures, Borders’ sales fell at least 17 percent over the past year. […]
Earnings Reports
Random House Revenues and Profits Grow Thanks To Digital Market Boost
Compared to the cautious and wary tone struck by Random House and its parent company Bertelsmann the year before, a wave of optimism was clearly evident in their reporting on fiscal year 2010 results. Company revenues rose 6.1 percent to â¬1.828 billion, while operating EBIT rose by 26.3 percent to â¬173 million. (That brings them almost back to levels last reached in fiscal 2007, when they reported sales of â¬1.837 billion ad EBIT of â¬173 million, both down at the time from fiscal 2006.) Digital sales rose 250% over the previous year, comprising approximately 10 percent of US revenues. Among major contributors, […]
Scholastic Losses Widen in Third Quarter, Though Trade Publishing Is A Bright Spot
Sales at Scholastic dropped 1.1 percent in their third quarter, at $393.7 million compared to $398.8 million a year ago. They also reported a net loss from continuing operations of $25.1 million, significantly more in the red as compared to the $5.6 million in net losses the previous year. They attribute the drop in earnings to lower sales of higher margin educational technology relative to a year ago, thanks to significant benefit from the federal stimulus program, as well as increased investment in digital initiatives. Trade publishing sales of $43.5 million rose 21 percent compared to a year ago due […]
Earnings, Comp Sales Slide for BAMM
Fourth quarter sales at Books-A-Million fell 6.7 percent on a same-store basis and 2.6 percent overall to $153.1 million percent, but net income of dropping by nearly half to $6.8 million, compared to $11.9 million a year ago. For the full year sales of $495 million were down 2.7 percent, declining 4.9 percent on a same-store basis, and net income dropping to $8.9 million. The board authorized a quarterly cash dividend of $0.05 per share. Chief Executive and President Clyde Anderson said in a statement that the declining fiscal year results “illustrate a dynamic and rapidly changing retail environment for […]
Q4, Full Year Revenues and Book Comps Drop Sharply For Hastings
Hastings Entertainment reported a sharp decrease in fourth-quarter earnings, with a net income of $3.8 million, or $0.43 per share compared to $9.1 million or $0.94 per share, in the corresponding period one year earlier. Sales of $166.9 million for the quarter were down 8.9 percent from $176.1 million a year earlier. Comparable store revenues for books 7 percent for the fourth quarter, mostly owing to increased popularity of e-book readers, and lower sales of magazines, with a decline of 4.2 percent for the year ending January 31. All major trade book formats suffered more than the overall figure reflects, since their decreases were […]
Wiley Rises Even with Borders Charge; Trade eBooks Grow, Still at 4.4%
Sales rose 7 percent at Wiley in their fiscal third quarter, to $448 million, with operating income of $70 million, up 2 percent. The company’s previously-announced bad debt charge from Borders of $9 million was equal to 10 cents a share, and Wiley reiterated that it “does not anticipate any additional charge or bad debt expense with respect to this customer.” CEO William Pesce comments more broadly in the release: “Professional/Trade bounced back from a tough second quarter, led by business and cooking books. Sales of ebooks grew and had a positive effect on gross margin. In December, Wiley stopped […]