Net income at Barnes & Noble rose 2.7% in the fiscal year ended February 3, to $150.8 million. Total sales at the country's largest bookstore chain rose 3.1%, to $5.26 billion. Revenue totals benefited from an extra week in the most current fiscal year. Sales were driven by gains in superstores, although same-store sales were off 0.3% for the year in the division. Revenue was also up in the "other" segment, which includes publishing and Calendar Club operations. An accounting change was responsible for the decline in B& revenue. The company changed the way it records sales of used textbooks to reflect just commissions. Earlier this year, B&N said it expected comp-store sales in its superstores to be flat to slightly positive in 2007 (Foreword, Mar. 12).

Barnes & Noble Results
2005—2006 (in millions)

2005 2006 % chg.
Source: Reed Business Information
Superstores $4.357 $4.534 4.1%
Dalton 141 102 -27.7
B& 440 433 -1.6
Other 165 192 16.4
Total 5.103 5.261 3.1
Net income 147 151 2.7
Profit margin 2.9% 2.9%