Slow Start at Nelson
by Staff -- Publishers Weekly, 9/9/2002
Revenues fell 9.2%, to $41.2 million, and income from continuing operations was down 38.8%, to $323,000, at Thomas Nelson for the first quarter ended June 30. Company chairman Sam Moore cited "inhospitable" business conditions and a light book schedule in which no major works were released in the period for the poor showing. Nelson's sales to the mass merchandise channel also felt "repercussions" from the Kmart bankruptcy, Moore said.
Despite the weak results, Moore said he believes Nelson maintained its market share of the Christian book publishing segment, noting that the Nelson book division had flat sales in the quarter. The company is now reporting its results in separate publishing and conference segments. Sales for the entire publishing division fell 11.6%, to $34.3 million, in the quarter, while its conference segment reported a 3.3% sales gain, to $6.9 million.
Moore said Nelson's strategy for the immediate future is to "conserve resources until business improves," adding that he is "hopeful" that the second quarter will show improvement.
