ToysRUs
Consumer Products

Toys ‘R’ Us sees increased sales, losses

New Jersey-based mega retailer Toys 'R' Us saw losses widen during its fiscal second quarter despite experiencing top-line growth.
September 9, 2011

New Jersey-based mega retailer Toys ‘R’ Us saw losses widen during its fiscal second quarter despite experiencing top-line growth.

Higher expenses, tax rates and unchanged store sales in the US and abroad led to quarterly losses of US$34 million, compared to US$14 million over the same period last year.

The company’s adjusted earnings were US$162 million, an increase of 16%, while net sales were US$2.6 billion, an increase of 3%.  Meanwhile, same-store net sales were down 2.2% for both the company’s domestic and international segments.

The core toy and learning toy categories continued to show strength, generating net sales growth of 15% and 11%, respectively.  Not surprisingly, the entertainment category (which includes video game hardware and software) was down 13%, reflecting overall softness in the video game industry.

The privately held company, which filed for an IPO of up to US$800 million in May 2010, is expected to go public in 2012.

About The Author
Wendy is Kidscreen’s Associate Editor. When she’s not sourcing material for the brand's daily email newsletter, she’s researching, writing and connecting with others about the newest trends in digital media. Contact Wendy at wgoldman@brunico.com.

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