Staples’ Q2 profit surges 40%
Framingham, Mass. Staples reported Thursday that its net income for the quarter ended July 31 rose 40% to $129.8 million, compared with net income of $92.4 million in the year-ago period. Results matched Wall Street expectations.
Revenue, however, was nearly flat at $5.53 billion, short of the $5.64 billion analysts expected. At retail stores, revenue rose 2% to $2 billion.
Same-store sales were flat as more customers shopped in stores but spent less.
In the company's North American delivery segment, which serves businesses, revenue rose 2% to $2.4 billion. International revenue fell 6% to $1.2 billion.
Lower costs were due to improved product profit margins, a lower stock-option expense and lower amortization and delivery and distribution expense, said the company.