Soft Period at B&N.com

by Staff -- Publishers Weekly, 8/23/2004

While B&N's stores did better than expected, Barnes & Noble.com did not. Sales were $84.5 million, just below the low end of the company's sales forecast, $85 million to $95 million. The operating loss was $12 million, down from $14 million in last year's second quarter, but at the high end of B&N.com's forecast. B&N.com CEO Marie Toulantis attributed the sales decline to the very strong sale of Phoenix in last year's comparable quarter. Among the factors contributing to the loss was amortization charges related to B&N.com's absorption into B&N. Toulantis said that B&N.com's goal remains to be "EBITDA positive" for the full year. For the first half of 2004, sales were flat at $176 million, while the operating loss was cut to $23 million from $29 million.