Dive Summary:
- Toys"R"Us has decided against offering shares of the company publicly despite initial plans, citing “unfavorable” market conditions.
- The company reported a drop in net income by 30%, with same store sales down 4.5% from the prior year.
- Toys"R"Us numbers are not a reason to get out of the retail market, and the two key problems for the toy store chain are video games and babies, according to Janney Capital Markets analyst David Strasser.
From the article:
"Friday also saw the company report miserable fourth-quarter earnings. Not only did company's net income slide 30 percent on a light drop in revenue, but U.S. sales dropped by two percent. And probably worst of all, same store sales plummeted 4.5 percent from the year prior."
