Barnes & Noble, the largest U.S. bookstore chain, reported an 8 percent drop in quarterly revenue as sales fell across all its businesses, including its stores and Nook e-readers and e-books.
Barnes & Noble (BKS) shares fell 3.8 percent to $15.80 in premarket trading, with the sliding revenue highlighting again the bookseller's battle with giant Internet rival Amazon.com (AMZN).
The Nook sold well after its launch in 2009, but the e-reader hasn't kept pace with aggressively priced Kindles from Amazon, along with rival tablets from Apple (AAPL) and others.
Revenue in the Nook business, including e-books and devices, fell 32.2 percent to $108.7 million as Barnes & Noble sold fewer e-readers and slashed prices.
The company has lost hundreds of millions of dollars trying to compete with e-readers from large tech companies. %VIRTUAL-article-sponsoredlinks%This year it said it would only make more tablets if it found a partner.
Overall revenue fell to $1.73 billion in the second quarter from $1.88 billion a year earlier. Net profit jumped to $13.2 million from $501,000 a year earlier, after the company cut costs in the face of the falling revenue. Factoring in preferred stock dividends and accretion of dividends on preferred stock, Barnes & Noble posted net profit of 15 cents a share, compared with a loss of 7 cents a share a year earlier.
Analysts on average were expecting a loss of 3 cents a share on revenue of $1.77 billion, according to Thomson Reuters I/B/E/S.
At Barnes & Noble book stores, sales at outlets open at least 15 months fell 4.9 percent. Barnes & Noble said it still expected retail sales to fall by a high single digit percentage in its current financial year to April 2014.
The retailer has seen turmoil in its top ranks this year. CEO William Lynch, the architect of Barnes & Noble's failed Nook strategy, quit and founder and Chairman Leonard Riggio withdrew a bid to buy the chain's retail business.
13 Things You Shouldn't Buy on Black Friday
Barnes & Noble Revenue Falls Further as Nook Sales Falter
Black Friday is an excellent time to buy a new TV, as we predict a variety of size categories will hit their lowest price points. But don't expect the best deals to be tagged with name brands. Typically, the rock-bottom prices apply to third-tier manufacturers; brand-name TVs tend to see their best price of the year in late December as manufacturers look to clear stock before revealing 2014 models.
There's no shortage of digital camera deals around Black Friday, but premium current-generation cameras are just a few months away from being replaced by a new line of 2014 models. If you're eyeing a brand new digital SLR, we recommend waiting until after CES and into February for 2013 cameras to become "old," and thus receive aggressive discounts from retailers.
For those of you looking to get a leg up on any fitness New Year's resolutions, you should resolve to wait to buy any fitness equipment. During Black Friday weekend 2012, we listed just two Editors' Choice fitness deals, while December and January each saw more than five times that amount on a variety of gear including heart rate monitors, ab machines, ellipticals, and yoga equipment.
While we don't know anyone who doesn't appreciate a seasonal throw blanket, we don't recommend giving them as gifts this year unless you've got a stock of them in the closet from last season. Not only does holiday decor get cheaper after the holiday in question, but bedding and blankets fall to their lowest prices of the year come January and February during "White Sales," which have been a colorful tradition since the 1950s.
Perhaps better received than throw blankets, gift baskets and wine subscriptions are especially popular during the holidays. But as the giver, you'll get a better deal on specialty foods (i.e. Omaha Steak gift bundles, fruit baskets, and assorted baked goods) if you wait until December; last year we saw twice as many Editors' Choice deals close to Christmas than around Thanksgiving.
If you have your sights set on a trip to California or Florida, by all means purchase airfare around Black Friday and even closer to Christmas; last year we saw up to 50 percent off coupons from Frontier, JetBlue, and Virgin America. However, if it's an international getaway you're after, we advise you to hold off on booking your flight until the new year. Last year, we saw zero Editors' Choice airfare deals between Thanksgiving and New Year's. But in the first two months of the year, Air Canada offered the lowest base rate we'd seen for flights to Toronto; JetBlue took 80 percent off select flights to the Caribbean; and Lufthansa offered roundtrip fares to Europe for $471.