Office Depot's fiscal Q3 earnings grew to US$91.7M from US$30M a year ago as revenue dipped 2% to US$2.84B; excluding restructuring costs, tax benefit, company broke even, missing analysts' expectations

Cindy Allen

BOCA RATON, Florida , October 25, 2011 (Associated Press) – Office Depot Inc.'s fiscal third-quarter net income more than doubled, but its adjusted results missed Wall Street's expectations as revenue fell on weakness in North America.

The office supply retailer said Tuesday that it earned $91.7 million, or 28 cents, per share, for the period ended Sept. 24. That's up from $32 million, or 12 cents per share, a year earlier.

Excluding $6 million in restructuring charges and other costs and a $99 million tax benefit, the company lost about $700,000, or break-even per share

Analysts expected earnings of a penny per share, according to a poll by FactSet.

Revenue slipped 2 percent to $2.84 billion from $2.9 billion as sales for its North American retail and business solutions units both declined. Wall Street forecast revenue of $2.9 billion.

Office supply companies like Office Depot have struggled during the economic downturn as businesses and individual customers spend less on such products in an attempt to save cash.

Revenue for the international division edged up 1 percent.

Office Depot, based in Boca Raton, Fla., has 1,656 stores worldwide.

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