UPDATE: RadioShack Posts Wider-Than-Expected Q1 Loss
RadioShack (NYSE: RSH) reported a wider-than-expected first-quarter loss.
RadioShack posted a quarterly net loss of $98.3 million, or $0.97 per share, versus s year-ago loss of $28 million, or $0.28 per share.
Its sales declined to $736.7 million from $848.4 million, while comparable store sales dropped 14%. However, analysts were expecting a loss of $0.52 per share on sales of $767 million.
Its operating loss widened to $81.0 million from $10.3 million last year, while consolidated gross profit fell to $268.7 million from $340.9 million.
In fiscal 2015, RadioShack closed 22 stores and projects to close up to 200 stores.
The company's press release offered the following comment from Joseph C. Magnacca, chief executive officer:
"Overall, our first quarter performance was challenged by an industry-wide decline in consumer electronics and a soft mobility market which impacted traffic trends throughout the quarter.”
RadioShack shares gained 4.76% to close at $1.54 yesterday.
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.