Staples (SPLS) Shares Dip as Retail, International Sales Slip in Q1
Tweet
Share
E-mailGet Alerts SPLS Hot Sheet
Price: $55.47 +0.56%
Financial Fact:
Cost of goods sold and occupancy costs: 3.91B
Today's EPS Names:
BTTX, VAXX, ELYS, More
Financial Fact:
Cost of goods sold and occupancy costs: 3.91B
Today's EPS Names:
BTTX, VAXX, ELYS, More
Join SI Premium – FREE
Shares of Staples, Inc. (Nasdaq: SPLS) are getting jammed following efforts by the large office supplies giant to make copies in its "earnings beat" machine.
To start, CEO Ron Sargent commented, "In North America we continue to build momentum in categories beyond office supplies while trends in our international business remain soft." You almost know what's coming before you read the rest. If you're an investor in Staples, you're probably asking yourself, "What does Staples offer beyond office supplies? Furniture? No, that's still used in offices. Ummm...mobile phones? Wait, maybe its the Software segment! Is it the software segment?"
It's not the Software segment. It's the North American Delivery segment, which encompasses Staples Advantage, Staples Business, and Quill Corp.
Staples first-quarter top-line shrank by 1.1 percent to $6.10 billion, versus expectations of $6.19 billion by the Street. NA Delivery revs rose 1.7 percent, while Staples other two segments numbers fell.
Net income dropped 5.6 percent to $187.06 million, or 27 cents per share. Adjusting for certain one-time items, earnings were a more robust 30 cents per share, in-line with expectations.
Looking ahead, Staples reaffirmed its fiscal 2012 outlook.
Shares are down 3.7 percent early Wednesday.
To start, CEO Ron Sargent commented, "In North America we continue to build momentum in categories beyond office supplies while trends in our international business remain soft." You almost know what's coming before you read the rest. If you're an investor in Staples, you're probably asking yourself, "What does Staples offer beyond office supplies? Furniture? No, that's still used in offices. Ummm...mobile phones? Wait, maybe its the Software segment! Is it the software segment?"
It's not the Software segment. It's the North American Delivery segment, which encompasses Staples Advantage, Staples Business, and Quill Corp.
Staples first-quarter top-line shrank by 1.1 percent to $6.10 billion, versus expectations of $6.19 billion by the Street. NA Delivery revs rose 1.7 percent, while Staples other two segments numbers fell.
Net income dropped 5.6 percent to $187.06 million, or 27 cents per share. Adjusting for certain one-time items, earnings were a more robust 30 cents per share, in-line with expectations.
Looking ahead, Staples reaffirmed its fiscal 2012 outlook.
Shares are down 3.7 percent early Wednesday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Walmart (WMT) PT Lowered to $130 at UBS on Investment Narrative's Competing Dynamics
- BMO starts chip stocks coverage: Here are its preferred picks
- Bernstein SocGen on Meta Platforms Inc. (META): 'Risk-reward remains attractive'
Create E-mail Alert Related Categories
EarningsRelated Entities
EarningsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
