Denver, Colorado-based e-tailer BabyUniverse posted US$16.2 million in net sales during the third quarter of fiscal 2007, compared to net sales of US$16.5 million over the same period last year, representing steady sales during a year of reorganization.

Michael Wagner, president and CEO of the company, pointed to BabyUniverse’s merger with eToys Direct as being ‘transformative’ with no adverse affects to the bottom line.

Net sales for the nine months ended November 3, 2007 totalled US$30.5 million, compared to net sales of US$30.9 million for the first nine months in 2006.

Besides the merger, the company also launched BabyUniverse.com and Dreamtimebaby.com websites, and continues to streamline its business with the closing of corporate office in Jupiter, Florida, its Las Vegas, Nevada fulfillment center and a third-party fulfillment center located in St. Louis Missouri.

As well, the company reduced its payroll by US$2.3 million, which helped shrink the company’s total debt to US$21.2 million from US$53 million in the previous year.