RadioShack profit dips as it closes some kiosks

updated 8:22 a.m. ET Oct. 26, 2009

FORT WORTH, Texas - RadioShack Corp. said Monday that its third-quarter profit slipped 24 percent as the company closed some kiosks and dealt with a continued pullback in consumer spending.

The electronics retailer earned $37.4 million, or 30 cents per share, compared with $49.1 million, or 38 cents per share, a year earlier.

The performance just missed the 31 cents-per-share estimate of analysts polled by Thomson Reuters. Analysts' estimates generally exclude one-time items.

Sales and operating revenues for the three months ended Sept. 30 declined about 3 percent to $990 million from $1.02 billion.

Analysts predicted sales of $961 million.

Sales at company-run stores and kiosks open at least a year dipped 2.9 percent with softness in sales of digital-to-analog converter boxes, laptop computers, batteries, wireless accessories and GPS products.

This figure is a key indicator of retailer performance since it measures growth at existing stores rather than newly opened ones.

RadioShack reported stronger sales for its Sprint Nextel postpaid wireless business, netbooks and prepaid wireless handsets and airtime. The addition of T-Mobile as a postpaid wireless carrier also contributed to revenue.

RadioShack has about 4,470 company-run stores; nearly 1,300 dealer outlets; more than 450 U.S. wireless phone kiosks and approximately 200 company-run stores in Mexico.

Also in msnbc.com business Watch and rate all the ads from the Super Bowl ConsumerMan: 'Unfair' online piggybacking tactics Hollywood goes through a year of ‘Paranormal Activity’ Your Career: Smart blogging can set you apart   Video: The American economy, paid for by China

MORE FROM EARNINGS

Earnings Section Front

Overseas sales help Coca-Cola’s profit climb Disney posts flat 1Q profit, beating estimates McDonald’s sales rise globally, decline in U.S. Toyota posts $1.7 billion quarterly profit Government-owned GMAC loses $5 billion in 4Q UPS profit nearly triples over year ago Exxon posts lowest annual profit since 2002 Microsoft fiscal 2Q earnings up 60 percent Ford earns first annual profit in four years Caterpillar offers upbeat outlook for 2010 Earnings Section Front   Add Earnings headlines to your news reader: