PW: B&N Retail Strong, Though Website Is Big Loser

The loss in the quarter was entirely the result of barnesandnoble.com. The Internet bookselling service posted sales of $9.4 million in the quarter and an operating loss of $13.6 million, which nearly offset operating profit of $13.7 million from its retail business. The net loss for barnesandnoble.com was $8 million, compared to net earnings of $4.7 million for the retail segment.

Through May 2, barnesandnoble.com had more than 500,000 customers in 158 countries. Its sales in the quarter represented a 14% increase over revenues in the fourth quarter of fiscal 1998. The company also announced that in June it plans to launch an enhanced version of its website that will include such features as one-click ordering, improved search capabilities, new editorial content and an updated design.