Sales drop still beats analysts’ estimates
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Office-supply retailer Staples Inc. reported its third-quarter profit jumped 72 percent from last year, helped by lower costs amid smaller revenue. The Framingham, Mass., company reported third-quarter net income of $269.4 million, or 37 cents per share, compared with $156.7 million, or 22 cents per share, a year ago. Excluding items, adjusted profit was 39 cents per share.
Sales, however, fell 6 percent from last year to $6.52 billion, although still beating analysts’ estimates. Same store sales were flat while the company says North American revenue, which accounts for 40 percent of all sales, increased 1 percent. “They’re clearly seeing good progress in retail,” says Colin McGranahan, an analyst at Sanford C. Bernstein & Co. in New York, reports Bloomberg.com.
The company’s net income rose to $269.4 million, or 37 cents a share, from $156.7 million, or 22 cents, a year earlier, the company said.
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