Barnes & Noble Reports Fiscal 2018 Third Quarter Financial Results

Barnes & Noble, Inc. (NYSE: BKS) today reported sales and earnings for its fiscal 2018 third quarter ended January 27, 2018. Additionally, the Company outlined elements of its strategic turnaround plan.

Total sales for the third quarter were $1.2 billion, declining 5.3% as compared to the prior year. Comparable store sales decreased 5.8% for the quarter, primarily due to lower traffic. Comparable store sales trends did improve in January, declining 3.5%.

“While we were disappointed with our holiday sales, comparable store sales trends did improve in January,” said Demos Parneros, Chief Executive Officer of Barnes & Noble, Inc. “We have initiated a strategic turnaround plan that is centered on growing the business and enhancing shareholder value. In the short term we are focused on stabilizing sales, improving productivity and reducing expenses. Achievement of our longer-term goals requires a significant multi-year transformation. We expect our plan to provide consistent improvement beginning in fiscal 2019 and beyond.”

Barnes & Noble announced that its long-term strategic plan is focused on the following four key elements: 1) strengthening the core business by enhancing the customer value proposition; 2) improving profitability through an aggressive expense management program, which will be used to fund growth initiatives; 3) accelerating execution through simplification; and 4) innovating for the future, which will position the company for long-term growth.

Beginning in February, Barnes & Noble implemented a companywide expense reduction plan. This plan includes a new store labor model that provides greater flexibility and better customer service by eliminating tasks and allowing booksellers to focus more on customers. The Company estimates that these actions will result in annual cost savings of approximately $40 million.

The consolidated third quarter net loss was $63.5 million, or $0.87 per share, as compared to prior year net earnings of $70.3 million, or $0.96 per share.

Third quarter results include a non-cash goodwill impairment charge of $133.6 million, and a severance charge of $10.7 million associated with the Company’s transition to a new labor model.

Excluding non-recurring charges, third quarter EBITDA would have been $137.7 million.

Third quarter taxes include a $35.0 million non-cash valuation allowance against certain deferred tax assets, partially offset by a benefit of $26.4 million due to the enactment of the Tax Cuts and Jobs Act tax legislation.

The Company ended the third quarter with $60 million of borrowings under its $750 million credit facility.
more detail at:  http://investors.barnesandnobleinc.com/releasedetail.cfm?ReleaseID=1059298

Related Posts

Houghton Mifflin Harcourt and Martha Stewart Team Up on New Book The Martha Manual: How to Do (Almost) Everything

Houghton Mifflin Harcourt and Sequential Brands Group announced a new partnership for the release of Martha Stewart’s next three lifestyle books. Each title will be an essential guide to doing things the Martha way, featuring fresh content that captures her impeccable taste and incomparable guidance on everything from entertaining, to healthy living, to organizing, and decorating. “So many of us have admired Martha Stewart for decades. She’s a cultural icon the nation continually turns to for trusted advice,” says Deb Brody, VP Editor-In-Chief, HMH Trade Publishing. “We are overjoyed to launch this partnership between Martha Stewart and Houghton Mifflin Harcourt with her lifetime’s expertise collected for the first time in one indispensable volume. This is the book Martha’s fans have been waiting for.” Click Read More below for additional information.

URBN Reports Record Q1 Sales and EPS

Total Company net sales for the three months ended April 30, 2023, increased 5.9% to a record $1.11 billion. Total Retail segment net sales increased 4%, with comparable Retail segment net sales increasing 5%, partially offset by a 1% negative impact of foreign currency translation. The increase in Retail segment comparable net sales was driven by high single-digit positive growth in digital channel sales and low single-digit positive growth in retail store sales. By brand, comparable Retail segment net sales increased 17% at the Free People Group and 13% at the Anthropologie Group and decreased 13% at Urban Outfitters. Wholesale segment net sales decreased 11% driven by a 14% decrease in Free People Group wholesale sales due to a decrease in sales to department stores and specialty customers, while Urban Outfitters wholesale sales increased by $1 million. Nuuly segment net sales increased by $28.6 million driven by a 118% increase in our subscribers as of the current quarter end versus the end of the prior year’s comparable quarter.

USPS Mail Delivery Time Consistent at 2.8 Days

Additional second quarter service performance scores covering Jan.1 through Feb. 18 included: *First-Class Mail: 86 percent of First-Class Mail delivered on time against the USPS service standard, a decrease of 3.1 percentage points from the fiscal first quarter. *Marketing Mail: 91.2 percent of Marketing Mail delivered on time against the USPS service standard, a decrease of 1 percentage point from the fiscal first quarter. *Periodicals: 79.4 percent of Periodicals delivered on time against the USPS service standard, a decrease of 1.4 percentage point from the fiscal first quarter.
Back To Top
×Close search
Search