RadioShack Corporation (NYSE:RSH) released the earnings results from its most recently completed quarter this morning, and investors were not impressed. The company reported that its losses climbed to $98.3 million, marking the ninth consecutive quarter in which sales have slumped.
RadioShack cites competition
RadioShack Corporation (NYSE:RSH) posted GAAP losses of 97 cents per share, compared to losses of 28 cents a share or $28 million in the same quarter a year ago. The electronics retailer reported $736.7 million in revenue, a decline of 13%. Excluding items, its losses were also 97 cents per share. Analysts had been expecting to see losses of just 52 cents per share.
Management blamed weak phone sales as well as aggressive pricing competition and a general slump in sales of consumer electronics, which affected the broader industry. RadioShack Corporation (NYSE:RSH) reported that its comparable store sales declined by nearly 14% year over year. The company also said traffic in its stores was extremely weak.
RadioShack updates plans
RadioShack Corporation (NYSE:RSH) said it still is planning to shutter 200 stores by the time its fiscal year ends in January. Last month the retail chain scaled back its closure plans after disputes with its creditors.
Management said that they’re working on creating new exclusive products and private brand items. The electronics retailer recently partnered with PCH and Quirky and is planning to build upon those partnerships.
The company also recently launched its Fix It Here program in an attempt to encourage consumers to bring their damaged tablets and smartphones into its stores for repair. RadioShack Corporation (NYSE:RSH) said it can fix broken screens and buttons, water damage, audio problems, cameras and other issues. In launching the program, the retailer said it hopes to get shoppers in the door by promising same-day repair service.
Meanwhile the company said it continues to look for ways to cut costs without impacting customer experience. RadioShack Corporation (NYSE:RSH) also said it is looking to cut down its corporate headcount, leverage more technology and lower discretionary expenses.