The Top 500 apparel chain plans to expand its reserve online, pick up in store program, as well as its presence in China.
Etoys Reports Heavy Losses Amid Strong Sales
Editor in Chief
In what seems to be a trend for Internet merchants, yet another big e-retailer has reported steep losses despite record sales during the holidays. Etoys, the most visited Internet toy retailer last Christmas, says its third-quarter loss increased due to higher-than-expected costs. Although the Web store logged record visitors and sales in December--building a customer base of 1.7 million last month--the company lost $75.5 million, or 63 cents per share. The announcement comes a day after a similar situation at computer retailer, Dell, which despite pulling in millions in revenue through e-commerce, announced yesterday that its earnings and revenue fell short of expectations for the second quarter in a row.
Mike May of Jupiter Communications says today's lagging stocks following the busy holidays send a message from Wall Street. ãYou canât dominate if you exist in only one channel, be it online or brick-and-mortar," says May. "You can have a nice business, but youâll never command the market share.ä