Ups and Downs for Staples’ First Quarter

First-quarter sales for office supplies catalog/retailer Staples jumped 19%, to $5.8 billion for the period ended May 2. But net income plunged 33%, to $143 million.

Sales from its North American Delivery Business—which includes the Staples and Quill catalogs and online businesses as well as the Staples contract delivery business—grew 41%, to $2.4 billion. But sales were down 13% after adjusting revenue for the first quarter of 2008 to include Corporate Express’ sales of $1.1 billion.

Staples’ North American retail sales decreased 9%, to $2.2 billion, while same-store sales slipped 8%. Including $886 million of Corporate Express sales, total international sales rose 60%, to $1.2 billion. But, international sales for the first quarter fell 11% after adjusting sales for the first quarter of 2008 to include Corporate Express’ sales of $949 million.

Company chairman/CEO Ron Sargent said in a release: “Staples associates drove solid earnings performance in a very tough sales environment, while also making excellent progress on the Corporate Express integration. These results reflect our commitment to take great care of customers, tightly manage expenses and invest for future growth.”

Partner Content

3 Critical Components to Achieving the Perfect Order - NetSuite
Explore the 3 critical components to delivering the perfect order.
Streamlining Unified Commerce Complexity - NetSuite
Explore how consolidating multiple systems through a cloud-based commerce platform provides a seamless experience for both you, and your customer.
Build the Foundation for Great Customer Experiences - NetSuite
Understand how consistent, timely, relevant and personalized experiences are enabled by having the right technology foundation in place.
Strategies for Maximizing Mobile Point-of-Sale Technology - NetSuite
Learn the top five innovative ways to utilize your mobile POS technology to drive customer engagement, increase sales and elevate your brand.