Canadian chain Indigo continues to post good results, driven by their transformation to “cultural department stores.” Sales in their fiscal 2018 first quarter rose $13 million to $206 million (CA), with adjusted EBITDA of $100,000, compared to a loss of $6.1 million a year ago. The overall loss was $7.2 million, compared to a loss of $8.8 million a year ago. As in the past quarters, “higher revenue was driven by continued double-digit growth in general merchandise, particularly in the lifestyle, toy, and paper categories.” They say there was also “modest growth” in book sale, though according to the company’s […]
Earnings Reports
Quarto In Talks with Buyer After Poor First Half
Quarto has effectively been in play since their profit warning about a month ago, which took the stock down close to 45 percent, and today the company acknowledged having “received an approach” from a buyer. Acknowledging that “discussions with the bidder are at an early stage” and could fail to go anywhere, the company says the offer price is “attractive and reflective of the inherent value of the business” — so presumably well above the current trading price. At the same time, however, the company announced results for the first half of the year that were weaker than expected, even […]
Another Good Quarter for Simon & Schuster
CBS reported second quarter earnings on Monday afternoon and publisher Simon & Schuster built on a good first quarter with more gains, rebounding to a more usual second quarter performance. Sales of $206 million were up $19 million from a year ago, “led by growth in print book sales and digital audio sales,” with the additional sales lifting operating income by $2 million to $28 million. (In 2014 they did $211 million in the second quarter, dropping to $199 million in 2015 and $187 million in 2016.) Results were lifted by the Adams Media acquisition, though ceo Carolyn Reidy notes […]
Pearson Will Cut Another 3,000 Jobs; PRH Sales Down “Slightly”
Pearson announced results for the first half of the year and expanded on the details of their latest in a cycle of continuous restructuring, first announced in May. Another 3,000 employees will be eliminated over the next three years, “with a particular focus on managerial positions.” The company confirmed that it will spend £300 million of the proceeds from the sale of a portion of their stake in the Penguin Random House joint venture on a share buyback, and they set a new interim dividend of 5 pence per share (compared to 18 pence per share in 2016). Sales for the […]
Trade Gains As Houghton Is Flat Overall
Houghton Mifflin Harcourt reported flat second quarter sales at $393 billion, as billings declined by $17 million. In what is seasonally a weak quarter, they had a higher net loss of ($46.9 million), compared to ($28.4 million) a year ago, and a bigger operating loss, $10 million higher at $31 million. The restructuring plan that saw significant layoffs in May cost $33 million during the quarter — including $14 million for severance and termination benefits. Trade sales were $42.4 million for the quarter, up from $38.7 million a year ago, rising 9.8 percent, andattributed to “Papi and the latest edition […]
“Services” Continue Growth In Modest Quarter for Apple
Apple reported fiscal 2017 third quarter earnings, with sales $45.4 billion (up $3 billion) and net income of $8.7 billion (up from $7.8 billion a year ago). Traditionally one of Apple’s lighter quarters, those results were still ahead of analysts’ expectations — and the company’s own guidance for the next quarter was also stronger than expected, boosting the stock price. It used to be fun to watch Apple’s “services” revenue — which includes their media sales — grow and ultimately overtake Amazon’s “media sales” business, but then Amazon stopped breaking out media sales in 2017 and moved to charting subscription […]