Office Depot Sales Down 3%

[Anonymous]

Office Depot Sales Down 3%

Office Depot has registered a first quarter sales of $2.9 billion, down 3% compared to the first quarter of 2011. Net earnings came in at $41 million, compared to a loss of $15 million in the first quarter of 2011.

"Our first quarter 2012 results showed continued year-over-year earnings improvement despite lower sales," said Neil Austrian, Chairman and Chief Executive Officer of Office Depot. "The North American Business Solutions Division delivered a strong performance again this quarter."

The North American Retail Division reported first quarter 2012 sales of $1.2 billion, a decrease of 8% compared to the prior year. Store closures throughout 2011, including the 10 remaining stores in Canada during the second quarter of 2011, negatively impacted total sales for the first quarter of 2012.

The North American Business Solutions Division reported first quarter 2012 sales of $828 million, a 3% increase compared to the prior year. Contract channel sales to both large and global accounts increased; however, sales to public sector customers declined, reflecting their continued budgetary pressures. Sales to small- to medium-sized contract customers were relatively flat versus prior year. .

The International Division reported first quarter 2012 sales of $825 million, a decrease of 2% in U.S. dollars and an increase of 1% in constant currency compared to the prior year. Contract channel sales in constant currency increased overall with growth in the U.K. and Germany being partially offset from weakness in sales in other European countries.

[Author]

May 3, 2012 at 7:58 AM