Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : AMAZON.COM RIDICULOUSLY OVERVALUED BY ANY MODEL (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Rex Dwyer who wrote (26)	3/13/1998 10:02:00 AM
From: Candle stick	Respond to of 182

Barnes & Noble, Inc. Reports Record Earnings for Fiscal Year 1997 NEW YORK (March 12) BUSINESS WIRE -March 12, 1998-- EPS From Retail Business Up 41 Percent Company Generates Free Cash Flow of $47 Million Barnes & Noble, Inc. (NYSE: BKS), the world's largest bookseller, today reported record net earnings of $53 million for the 52 weeks ended January 31, 1998. This resulted from net earnings of $74 million (a 44 percent increase over the prior year) which excludes a $12 million extraordinary loss due to the early redemption of its senior subordinated notes, and a $9 million net loss incurred in the start-up of BarnesandNoble.com. Diluted earnings per common share were $0.76 based on 69.8 million shares. This resulted from the retail business' net earnings of $1.06 per share (a 41 percent increase over last year) minus a loss of $0.17 per share due to the debt redemption, and a loss of $0.13 per share for BarnesandNoble.com. For the first time since beginning its "super" store roll-out, cash flows from operating activities of $169 million exceeded capital expenditures of $122 million, generating free cash flow of $47 million. Total debt declined $45 million to $285 million at year-end, down 14 percent from total debt of $330 million at February 1, 1997. In summarizing year-end results, Chairman and CEO, Len Riggio, said, "1997 was another outstanding year for Barnes & Noble, with record operating profits, net earnings and, perhaps more importantly, free cash flow. This positive development enabled us to fund our strategic investment in BarnesandNoble.com and will continue to be a significant source of funds for future expansion." Adjusting for the fifty-third week during 1996, total revenues rose 16 percent to $2.8 billion in 1997. On the same basis, Barnes & Noble "super" store revenues increased 23 percent to $2.2 billion, and comprised 80 percent of total revenues. BarnesandNoble.com generated revenues of $15 million in its first partial year of operations. Consolidated operating margins increased to 5.3 percent of revenues; adjusting for the BarnesandNoble.com operating loss of $15 million, operating margins for the retail business improved to 5.8 percent, up from 4.9 percent in the prior year. At January 31, 1998, the company operated 483 Barnes & Noble stores and 528 B. Dalton bookstores. During 1997, 65 Barnes & Noble stores were opened and 13 were closed, of which 11 were relocated. B. Dalton opened four stores and closed 53. Barnes & Noble stores offer an authoritative selection of more than 175,000 titles from more than 10,000 publishers with an emphasis on small, independent publishers and university presses. Barnes & Noble is the world's largest bookseller on the World Wide Web (http://www.barnesandnoble.com), and the exclusive bookseller on America Online's Marketplace (Keyword: BarnesandNoble). The company publishes books under the Barnes & Noble imprint for exclusive sale through its retail stores and mail-order catalogs. This release may contain certain forward-looking statements. Factors that could cause actual results to differ materially from any forward-looking statements contained in this release can be found in the company's 1996 annual report. Any forward-looking statements contained in this release are expressly qualified by the cautionary statements contained in the company's 1996 annual report. General financial information on Barnes & Noble, Inc. can be obtained via the Internet by visiting the company's investor relations web site: shareholder.com. (SEE ATTACHED TABLES)

To: Rex Dwyer who wrote (26)	3/13/1998 10:02:00 AM
From: Candle stick	Respond to of 182

AMZN is going to open up today because BKS reported record earnings, yet again...if you want an internet play on the book market I suggest buying BKS because they are just starting the website and are already hugely successful, risk is very limited here, and there is no reason why their internet site won't do as well or better than AMZN.....oh yeah, and BKS sells for 17 times LESS than AMZN on a P/S basis.....;^)