Categories AlphaGraphs, Earnings, Retail

Barnes & Noble misses the mark for Q1 2019

Barnes & Noble Inc. (BKS) missed estimates on revenues and earnings for the first quarter of 2019. The retailer reported total sales of $795 million, down 6.9% from the same period last year. Comparable store sales fell 6.1%.

Net loss was $17 million or $0.23 per share for the quarter compared to $10.8 million or $0.15 per share in the prior-year period.

Barnes & Noble first quarter 2019 earnings
Barnes & Noble Q1 2019 Earnings Infographic

Comparable sales showed an improving trend through each month of the first quarter, declining 7.8%, 6.1% and 4.5%. This trend continued into the second quarter with a decline of 0.8% in August.

The company stated that expense reduction alone was not viable for the business and its focus, both for the long and short terms, is to increase revenues which in turn would bring in the cash flow required for growth.

Barnes & Noble is getting ready for the upcoming holiday season and the retailer is encouraged by its improving sales trend as well as its fall title line-up. For fiscal 2019, the company anticipates EBITDA to come in the range of $175 million to $200 million.

Barnes & Noble continues to struggle in a retail environment dominated by Amazon and the company is now facing a lawsuit from former CEO Demos Parneros who was laid off in July over policy violations.

The stock dropped over 7% in premarket hours after the results release.

Related: Barnes & Noble Earnings Preview

Most Popular

Cost reduction has become a priority for FedEx (FDX) after a challenging quarter

Shares of FedEx Corporation (NYSE: FDX) were up 1% on Tuesday. The stock has dropped 44% year-to-date and 34% over the past 12 months. The company delivered mixed results for

Prime Medicine is the next big biotech to pursue IPO. Here’s all you need to know

After a soft start to the year, the IPO market has witnessed muted activity so far though a few big companies entered the stock market. On the heels of AIG

Stock Watch: Is Darden Restaurants a good buy after earnings?

After a prolonged slowdown, the restaurant industry is returning to normal patterns but macroeconomic uncertainties and high inflation are currently playing spoilsport for it. While the pandemic-related slump forced many

Tags

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top