The e-retailer reports a $126 million net loss, stemming from a $640 million year-over-year increase in spending in the quarter on technology and content ...
Office Depot reported 2009 online sales of $4.1 billion, compared with web sales of $4.8 billion in 2008. Total sales declined year over year by 16.0%.
Web and total sales dipped in 2009 for multichannel office supplies retailer Office Depot Inc., for the second year in a row.
For the year ended Dec.26, 2009, Office Depot reported:
- Online sales were $4.1 billion, a 14.6% decline compared with web sales of $4.8 billion in 2008
- Full-year 2009 sales were $12.1 billion, down by 16.0% from $14.5 billion. The company didn’t report comparable-store sales in its year-end earnings.
- The web accounted for 33.8% of sales compared with 33.1% in 2008.
- Net loss was $627 million, compared with a net loss of $1.48 billion in 2008.
Office Depot is No. 4 in the Internet Retailer Top 500 Guide.
“The decline in our Internet sales is proportional to the overall sales decline in our Business Solutions Division, from a year-over-year perspective,” says an Office Depot spokeswoman. “Business Solutions Division customers–or contract customers–primarily use one of our online channels for their purchasing, hence the decline in Internet sales.”
Office Depot doesn’t break out quarterly web sales, but for the fourth quarter did report:
- Total sales were $3.1 billion, down by 6% from $3.3 billion in the prior year quarter.
- Net loss was $77 million, compared with a net loss of $1.54 billion in Q4 2008.
- Comparable-store sales declined 4%.
“Consistent with previous periods, the decrease in comparable-store sales was driven by macroeconomic factors as consumers and small business customers continued to hold back their spending, especially in higher priced, discretionary categories like furniture,” the retailer says.