RadioShack Posts $98 Million Loss; More Closings Coming
RadioShack Thursday announced another brutal quarter, posting a loss of $98.3 million, compared with $23.3 million the same period last year.
The struggling chain, which has reportedly run into creditor-related snags with its previously announced plans to close 1,000 stores, announced that it will drop 200 stores in the next year.
“Overall, our first quarter performance was challenged by an industry-wide decline in consumer electronics and a soft mobility market which impacted traffic trends throughout the quarter,” Joseph C. Magnacca, chief executive officer, said in the release.
“In particular, our mobility business was weak due to lackluster consumer interest in the current handset assortment and increased promotional activities across the industry including the wireless carriers. This resulted in disappointing sales and gross margin performance.”