Book retailer Borders Group, Inc. (BGP) reported disappointing sales results Monday for the 11-week holiday period. The company said sales fell 13.7% compared to the year-ago period to $846.8 million.
Same-store sales at Borders superstores fell 14.6%, while total sales fell 14.7% to $649.2 million. Sales at the Waldenbooks Specialty Retail division fell 14.6% to $153.2 million. Same-store sales for Waldenbooks fell 9.4%.
International sales were the lone bright spot, rising 8.7% to $44.4 million for the holiday period, excluding the impact of currency. Same-store sales at Paperchase stores rose 10.1% in the quarter.
"We are disappointed with holiday results and must intensify our focus on creating and delivering a shopping experience that drives profitable sales," said Borders Group Chief Executive Officer Ron Marshall, in a release.
"Given the sales challenge, we have continued to manage cash flow and have taken several important steps in line with our strategic priorities, including moving away from underperforming, low margin categories such as music and video in favor of better performing categories such as children's.”
The company said it will also continue to right-size its mall business by closing 182 Waldenbooks stores.
Shares of Borders fell 7 cents last Friday or 4.90% to close at $1.36 a share. The New York Stock Exchange was closed, Monday in acknowledgement of the Martin Luther King Jr. holiday.
