"Barnes & Noble, Inc. also announced that within the next 30 days, a registration statement will be filed with the SEC for an initial public offering of barnesandnoble.com stock, which offering will be made only by means of a prospectus. The company said that the registration is subject to market conditions."|
Barnes & Noble Retail Operating Profit Up 103
Percent, "Super" Stores Comparable Sales Up Five
Percent, in Second Quarter
NEW YORK--Aug. 20, 1998--Barnes & Noble, Inc. (NYSE: BKS - news), the world's largest bookseller, today announced total revenues of $675.0 million for its second quarter ended August 1, 1998, up 9.3 percent from $617.7 million a year ago. Barnes & Noble store revenues increased 11.1 percent to $557.1 million from $501.4 million.
For the second quarter, Barnes & Noble comparable store sales rose 5.0 percent and comparable store sales for B. Dalton declined (1.2) percent. barnesandnoble.com's revenues for the quarter rose to $12.5 million, an increase of 470 percent over revenues of $2.2 million for the second quarter of 1997 and a 33 percent increase from $9.4 million for the first quarter of 1998.
The company's retail business reported a second quarter operating profit of $19.6 million, up 103 percent from $9.7 million during the same period last year, and net earnings of $7.9 million or $0.12 per share, up from break-even in the second quarter of 1997.
barnesandnoble.com had a net loss of ($13.6) million or ($0.20) per share for the second quarter of 1998.
The company's consolidated net loss for the quarter was ($5.7) million, or ($0.08) per share (based on 68.4 million shares), as
compared with the year-ago second quarter net loss of ($1.4) million, or ($0.02) per share (based on 66.8 million shares).
As of August 1, 1998, inventories increased 12.0 percent to $821.3 million from $733.3 million as of August 2, 1997. This increase is in line with the company's 9.3 percent revenue growth and the increase in its distribution center standing inventory to over 650,000 different titles available for shipping within 24 hours to both online customers and the retail store network.
As of August 1, 1998, barnesandnoble.com had more than 720,000 customers in 175 countries, an increase of 44 percent from 500,000 customers in 158 countries as of May 2, 1998. Revenues derived from repeat customers represented approximately 50 percent of second quarter revenues.
The site's ''Affiliate Network'' grew to over 17,000 sites and includes strategic partnerships with many of the top twenty Web sites, such as Microsoft, Lycos, Tripod and ZDNet, as well as an exclusive relationship with AOL's proprietary online services.