Office Depot Inc (NYSE:ODP) released its earnings numbers for the three months through September 2013 this afternoon after the market closed in New York this afternoon. The company showed earnings per share of 2 cents for the quarter, which Office Depot recorded as its third of 2013. On today’s market shares in the company trended down and finished the day at $5.68.
Consensus estimates for today’s earnings report came in at 6 cents per share. The consensus estimate for revenue, which was enumerated in a Bloomberg survey of 15 analysts following the company, came in at $2.6 billion. In the same three months of 2012 Office Depot Inc (NYSE:ODP) earned 6 cents per share on revenue of $2.7 billion.
Office Depot earnings
Office Depot Inc (NYSE:ODP) is not a healthy company on paper. The firm has not managed to earn a consistent profit, and it is only expected to put up a slim profit for the full year 2013. The company earned three cents per share for the full year 2012, and lost 3 cents per share in 2011.
Office Depot Inc (NYSE:ODP) managed to lose money in the first two quarters of 2013. The company is having a difficult time dealing with the changing office supply market, but it has a solution in the works that appears to be attractive for investors.
Office Depot performance
Shares in Office Depot Inc (NYSE:ODP) have gained more than 70% since the first of January. The company’s shares have risen through the year on the back of the company’s announcement of a merger with former rival OfficeMax Inc (NYSE:OMX).
The two companies are coming together in order to form a more competitive force in the office supply industry. It is unclear whether the merger will work, but investors are much more optimistic about the new venture than they have been about Office Depot Inc (NYSE:ODP) for a long time.
The deal has already gotten the approval of regulators in the United States, and it is expected to close at some point in the coming months. The merger, and the expected value of the new company, have the biggest effect on the value of the company’s shares.