Move Over B&N – Books-a-Million! Had an Even Worse Quarter

books-a-million itunesThe second largest US bookstore chain has just released a financial report for the last 2 quarters and it looks like B&N might not be as unhealthy as I had thought. BAM! reported a drop in revenue that was nearly as steep as the one reported by B&N last week. From the press release:

Net revenues for the 13-week period ended August 3, 2013 decreased 8.6% to $109.2 million, compared with revenues of $119.5 million in the year-earlier period. Comparable store sales for the second quarter declined 12.0%, compared with the 13-week period in the prior year. Net loss from continuing operations for the second quarter was $9.0 million, or $0.61 per diluted share, compared with net loss from continuing operations of $0.9 million, or $0.06 per diluted share, in the year-earlier period.

For the 26-week period ended August 3, 2013, net revenues decreased 8.0% to $213.2 million from net revenues of $231.8 million in the year-earlier period. Comparable store sales declined 9.5%, compared with the same period in the prior year. For the 26-week period ended August 3, 2013, the Company reported a net loss from continuing operations of $12.6 million, or $0.86 per diluted share, compared with net loss from continuing operations of $2.8 million, or $0.18 per diluted share, in the year-earlier period.

In comparison, B&N said that their retail division saw comparable store sales decrease by 9.1%. B&N retail division's total revenue dropped by 9.9%, which is not too different from the drop reported by BAM!.

The data suggests that B&N's retail stores are only as unhealthy as BAM!'s, which puts things in a different perspective. Of course, B&N is also being dragged down by their Nook division, which saw a 20% drop in revenue, so B&N is still in a more precarious situation.

As I reported last month, BAM! never invested in an ebook platform and in hindsight that has turned out to be an excellent decision. They do, however, own a small chain of used media stores, and last month they announced plans to test the idea of installing POD machines in their stores.

About Nate Hoffelder (11389 Articles)
Nate Hoffelder is the founder and editor of The Digital Reader: "I've been into reading ebooks since forever, but I only got my first ereader in July 2007. Everything quickly spiraled out of control from there. Before I started this blog in January 2010 I covered ebooks, ebook readers, and digital publishing for about 2 years as a part of MobileRead Forums. It's a great community, and being a member is a joy. But I thought I could make something out of how I covered the news for MobileRead, so I started this blog."

1 Comment on Move Over B&N – Books-a-Million! Had an Even Worse Quarter

  1. All retail had a rough quarter – look at Target and Wal Mart’s recent quarterly results.

Leave a comment

Your email address will not be published.


*