July 17, 2001, 12:00 AM

Q1 sales fall 2% at Outpost.com

Outpost.com’s sales fell to $63.7 million in Q1 from $65 million a year ago.

Net sales for the first quarter ended May 31 at Kent, CT-based Cyberian Outpost, Inc.’s Outpost.com totaled $63.7 million, a decrease of $1.3 million (2%) from $65 million in Q1 2000. The company reported a net loss, excluding charges for impairment of goodwill and restructuring charges, of $10.2 million for the quarter vs. a net loss of $7.4 million a year ago. Including charges for impairment of goodwill and restructuring charges, the quarterly net loss was $27.4 million. Gross margin for the quarter was 14% vs. 13.4% during Q1 2000.

During the quarter, Outpost added 106,000 new customers bringing its total customer base to over 1.4 million. The company says 56% of quarterly product sales came from existing customers.

On April 13, the company implemented a restructuring plan and incurred a restructuring charge of $2.3 million. In connection with the restructuring plan, the company has re-focused its business on its core business-to-consumer sector and has significantly curtailed its business-to-business operations,

As a result, the company recorded an impairment charge of $14.9 million for the unamortized goodwill associated with the purchase of OutpostPro.com Inc. which is included in the $27.4 million loss for the quarter.

In May, Cyberian Outpost agreed to be acquired by PC Connection Inc.

 

comments powered by Disqus

Advertisement

Advertisement

Advertisement

From The IR Blog

FPO

Pablo Palatnik / E-Commerce

Holiday search marketing tips for online retailers

With Google devoting less space to search ads, those positions become more valuable than ever.

FPO

Bart Mroz / E-Commerce

Drive Back to School online sales even after classes begin

Parents don’t always get through their entire shopping list by the time school starts, so ...

Advertisement