(By Balaseshan) Barnes & Noble Inc. (NYSE:BKS) retreated sharply in early trade after the bookseller reported a wider than expected loss for the fourth quarter amid marginal increase in revenue and higher costs.
Loss for the fourth quarter widened to $62.01 million or $1.08 per share from $59.42 million or $1.04 per share last year.
Revenue increased 0.4% to $1.38 billion. Analysts had expected a loss of $0.93 per share on revenue of $1.48 billion.
Retail sales rose 0.5% to $1.1 billion. Comparable bookstore sales increased 4.5%, benefiting from the liquidation of Borders' bookstores, increased sales of NOOK products, and a strong title lineup including The Hunger Games and Fifty Shades of Grey trilogies.
College revenue increased 5.7% to $228 million, positively impacted by the recognition of textbook rental sales deferred from the third quarter. Comparable College store sales decreased 2.2%.
NOOK segment revenue fell 10.5% to $164 million, due to higher third-party channel partner returns, lower selling volume and lower average selling prices. Comparable sales increased 1%.
Looking forward into fiscal 2013, the company expects to be strategically well positioned that would grow value for shareholders.
BKS is trading down 6.82% at $14.20 on Tuesday. The stock has been trading between $9.35 and $26 for the past 52 weeks.