MobileRead Forums - View Single Post - Forbes: Barnes & Noble's NOOK Bet Paying Off

Kali Yuga · 08-30-2011, 06:00 PM

I hate to rain on anyone's parade, but....

Revenues != profits

B&N still lost money this quarter, to the tune of $56 million. This is an improvement over last quarter ($65 million in losses). They expect losses to continue. The recent investment by John Malone buys them about one more year at their current rate. (http://www.bloomberg.com/news/2011-0...tml?cmpid=yhoo)

I will say they at least seem to be losing some of that money for the right reasons, namely technology investment. (At least, I haven't heard much about recent store closures.) The questions are, how long can they keep sinking money into the nascent ebook business, how much of the revenue increases are at the expense of their physical stores, how are the same-store sales faring, how long can they keep stores open, how will store closures affect revenues / assets / public perception....

08-30-2011, 06:00 PM	#10
Kali Yuga Professional Contrarian Posts: 2,045 Karma: 3289631 Join Date: Mar 2009 Device: Kindle 4 No Touchie	I hate to rain on anyone's parade, but.... Revenues != profits B&N still lost money this quarter, to the tune of $56 million. This is an improvement over last quarter ($65 million in losses). They expect losses to continue. The recent investment by John Malone buys them about one more year at their current rate. (http://www.bloomberg.com/news/2011-0...tml?cmpid=yhoo) I will say they at least seem to be losing some of that money for the right reasons, namely technology investment. (At least, I haven't heard much about recent store closures.) The questions are, how long can they keep sinking money into the nascent ebook business, how much of the revenue increases are at the expense of their physical stores, how are the same-store sales faring, how long can they keep stores open, how will store closures affect revenues / assets / public perception....