Office Depot Reports Sales Declines in Three Divisions26 Oct, 2011
Boca Raton, FL - October 2011 - Office Depot has reported sales declines in all three of its reporting divisions for the third quarter. Total company sales for the quarter were $2.84 billion, 2% down on the same quarter last year, while comparable constant currency sales fell by 3%.
Adjusted EBIT – which Depot views as a key metric – was up 50% at $30 million and it also reported a 1.5% increase in gross margin.
However, the adjusted net result was a loss of $0.7 million and Depot failed to meet average Wall Street expectations of adjusted earnings per share of $0.02 and sales of $2.89 billion.
Despite falling sales, the North American retail and delivery units both showed improving operating profit, although the same cannot be said of the International division.
“I'm pleased with the traction we’re getting in our North American businesses despite a lacklustre US economy,” said CEO Neil Austrian.
“The successful execution of our key business initiatives is beginning to move the needle.”
For information on Office Depot visit www.officedepot.com