CEO Sharon Price John says Build-A-Bear’s old e-commerce system is a big reason for disappointing online sales in December.
Net sales for third quarter 2000 at SmarterKids.com, the online education store and resource for parents, reached $1.51 million, an increase of 109% over third quarter 1999 net sales of $721,000. Cumulative customers increased 11% during the third quarter to 254,000, up from 229,000 in the second quarter of 2000. The number of children's learning profiles registered at the site increased 20% during the third quarter to 167,500 up from 140,000 at the end of the second quarter of 2000. Repeat customers accounted for 49% of total revenues during the third quarter, up from 47% in the second quarter of 2000. Pro forma net loss, excluding non cash stock compensation expenses, for the third quarter was $6.40 million, or $0.31 per share, compared to a pro forma net loss of $5.76 million, or $2.91 per share for the same quarter one year ago. In a statement released with the results, David Blohm, president and chief executive officer of SmarterKids.com, said, "Our results for the third quarter were on target. We continued to grow our customer base and revenue, improved features and functions, reduced operating expenses, satisfied our customers, and received additional accolades acknowledging our leadership in e-commerce. Looking ahead, our best of breed site and strong customer relationships are a strong foundation for growth."