Zany 2 9/16. By Debra McGarry, CBS Marketwatch
Last Update: 5:13 PM ET May 23, 2000 NewsWatch
Latest headlines
KING OF PRUSSIA, Pa. (CBS.MW) - Zany Brainy shares dropped 11 percent Tuesday after the specialty toy retailer announced a wider-than-expected loss from a year-ago due to a to a drop-off in sales of certain hot products.
Zany Brainy sells specialty children?s toys, games and multimedia products that are both nonviolent and educational. Shares (ZANY: news, msgs) lost 5/16 to close at 2 3/16.
The company posted a net loss of $5 million, or 23 cents a share, in the first quarter, much wider than last year?s $1.4 million, or 6 cents, in the comparable quarter. The figure mirrored the consensus analysts? estimate, according to First Call.
Quarterly same-store sales sank 23 percent, as expected, due to a sales drop-off in the company?s hot products, such as Crazy Bones and Beanie Babies, compared to last year?s comparable quarter.
Total sales edged down to $39.4 million from $40.6 million in the same quarter a year earlier.
The company said that losses at its online venture, ZainyBrainy.com, might be recognized by the company in the second quarter of this year.
On April 24, the company agreed to buy rival Noodle & Kidoodle. The deal is slated to close this summer.
cbs.marketwatch.com
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Watching the charts, but nothing yet.
Jack |
