Staples Releases 2015 Second Quarter Performance
Company sales for Staples, Framingham, Mass., during the second quarter of 2015, which ended Aug. 1, dropped to $4.9 billion, 5 percent lower than the same quarter in 2014. However, when excluding the impact of store closures in North America during the past year and changes in foreign exchange rates, total company sales increased 1 percent during the second quarter.
On a GAAP basis, the company reported net income of $36 million, or $0.06 per diluted share. Second quarter 2015 results on a GAAP basis include pre-tax charges of $24 million related to restructuring and like activities, as well as $34 million related to the acquisition of Office Depot.
Excluding the impact of charges taken during the second quarter of 2015, the company reported non-GAAP net income of $76 million, or $0.12 per diluted share, compared to second quarter 2014 non-GAAP net income of $75 million, or $0.12 per diluted share.
“Our second quarter results were in-line with our expectations and reflect steady progress on our strategic reinvention,” said Ron Sargent, Staples’ chairman and CEO. “We continued to drive growth in our delivery businesses and in categories beyond office supplies, and we grew operating income during the second quarter. We remain on track with the acquisition of Office Depot, which we expect to close by the end of 2015.”
Other second quarter highlights include achieving 3 percent sales growth in North American Commercial; grew North American copy and print sales in comparable stores, Staples.com and contracts; and increased operating income in North American Commercial and North American stores and online. The company closed 15 stores in North America during the second quarter of 2015, bringing the total to 212 stores in North America since the beginning of 2014, as part of a previously announced plan to close at least 225 stores in 2014 and 2015 combined.