FedEx Kinko’s sees revenue slide
September
2006 — Memphis (TN): FedEx Kinko’s has reported a 3 percent fall in Q1
revenue to $504 million from $517 million a year earlier.
The
company attributes the fall to lower copy product revenues caused by
decreased demand and a continued competitive pricing environment for
the services.Operating income for the quarter was down 38 percent to
$10 million compared to $16 million a year agoThe company also posted
Q1 operating margin of 2 percent, lower than the 3.1 percent margin
recorded in the same quarter last year.The operating margin decline was
primarily due to revenue decline, services enhancement costs and
network expansion initiatives.During the quarter, Kinko’s opened 31 of
its planned 200 new smaller format stores that will double the
company’s OP offering.