EmailBarnes & Noble (BKS $15.69 -1.75) reported a second quarter loss of $0.11 per share, excluding a $0.06 loss from preferred stock, $0.16 worse than the Capital IQ Consensus of $0.05, while revenues fell 0.6% year/year to $1.89 billion versus the $1.98 billion consensus.
The company expects full year EBITDA to be at the lower end of the previously issued range of $210-250 million. Although the company has seen and continues to expect increases in retail earnings from plan, it plans to invest more heavily in customer acquisition activities to fuel NOOK digital growth.
These investments primarily include promotional activity and advertising for NOOK products, as well as technology costs related to developing other opportunities. The company expects to sell millions of Nooks during the third quarter. Over the three-day holiday weekend, comparable store sales increased 10.9% at Barnes & Noble stores, on top of 17% comparable store growth last year.
