For the 39-week period ended November 3, 2001, net sales increased 8.1% to $299.3 million from sales of $276.9 million for the 39-week period ended October 28, 2000. Comparable store sales decreased 4.1% when compared with the same period of fiscal 2001. Excluding the effects of collectibles sales, comparable store sales decreased 0.1% for the period. For the 39-week period, the Company reported a net loss of $3.0 million, or $0.18 per diluted share, compared with a net loss of $1.7 million, or $0.10 per diluted share for the year-earlier period.
Commenting on the results, Clyde B. Anderson, Chairman and Chief Executive Officer, said, "We are very pleased that we were able to meet our earnings estimates for the quarter. We believe this is a significant accomplishment given the current state of the economy and particularly the retail environment. In addition, we are maintaining our fourth quarter estimates of $0.36 to $0.40 per share compared with $0.27 per share in the prior-year period."
Anderson continued, "During the quarter, our history and inspirational categories performed notably well, as did magazines and gift items. Desecration, the latest in the Left Behind Series, was a strong performer, even though it was on sale for only the last five days of the quarter. Looking ahead to the fourth quarter, we are enthusiastic about the line-up of new titles, including John Grisham's Christmas book, Skipping Christmas, and Life's One Nation, a tribute to the American spirit after the September 11th terrorist attacks. We also anticipate strong demand for the Harry Potter children's series and the Lord of the Rings trilogy due to the release of major motion pictures during the fourth quarter."
Books-A-Million is one of the nation's leading book retailers and sells on the Internet at www.booksamillion.com. The Company presently operates 205 stores in 18 states and the District of Columbia. The Company operates four distinct store formats, including large superstores operating under the names Books-A-Million and Books & Co., traditional bookstores and combination book and greeting card stores, both operating under the name Bookland, and Joe Muggs Newsstands. The Company's wholesale operations include American Wholesale Book Company and Book$mart, both based in Florence, Alabama. NetCentral, Inc., an Internet development and service Company is located in Nashville, Tennessee.
Safe Harbor Statement Under the Private Securities Litigation Reform
Act of 1995:
This document contains certain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995,
that involve a number of risks and uncertainties. A number of factors
could cause actual results, performance, achievements of the Company,
or industry results to be materially different from any future
results, performance or achievements expressed or implied by such
forward-looking statements. These factors include, but are not limited
to, the competitive environment in the book retail industry in general
and in the Company's specific market area; inflation; economic
conditions in general and in the Company's specific market areas; the
number of store openings and closings; the profitability of certain
product lines, capital expenditures and future liquidity; liability
and other claims asserted against the Company; uncertainties related
to the Internet and the Company's Internet initiative. In addition,
such forward-looking statements are necessarily dependent upon
assumptions, estimates and dates that may be incorrect or imprecise
and involve known and unknown risks, uncertainties and other factors.
Accordingly, any forward-looking statements included herein do not
purport to be predictions of future events or circumstances and may
not be realized. Given these uncertainties, shareholders and
prospective investors are cautioned not to place undue reliance on
such forward-looking statements. The Company disclaims any obligations
to update any such factors or to publicly announce the results of any
revisions to any of the forward-looking statements contained herein to
reflect future events or developments.
Richard S. Wallington
BOOKS-A-MILLION, INC.
Unaudited Consolidated Financial Highlights
(In thousands, except per share data)
Third Quarter Ended
Nov. 3, Oct. 28,
2001 2000
--------- ---------
Net sales $ 97,812 $ 90,133
Earnings before interest, taxes and
depreciation 2,030 2,477
Operating loss (1,878) (1,295)
Net loss $ (1,866) $ (1,637)
========= =========
Loss per share - basic and diluted $ (0.11) $ (0.09)
========= =========
Weighted average number of shares
outstanding:
Basic 16,417 18,010
Diluted 16,417 18,010
========= =========
Thirty-Nine Weeks Ended
Nov. 3, Oct. 28,
2001 2000
--------- ---------
Net sales $ 299,313 $ 276,861
Earnings before interest, taxes and
depreciation 10,453 11,914
Operating income (loss) (1,228) 840
Net loss $ (2,957) $ (1,734)
========= =========
Loss per share - basic and diluted $ (0.18) $ (0.10)
========= =========
Weighted average number of shares
outstanding:
Basic 16,837 18,008
Diluted 16,837 18,008
========= =========
Contact:
Chief Financial Officer
(205) 942-3737