Some headlines repeat themselves. Dow Up, Dow Down, Loonie at 30 year high, Bunch of Stuff blows up in Iraq, Best Buy making money, Circuit City losing money. It's the circle of life!
The Bridge: Circuit City Reports Second Quarter Losses
Here comes the blame game:
TWICE: Circuit City Says Retooling Stalled Q2 Sales
Translation: "Firing all of our staff impaired our ability to sell stuff to people. We thought about blaming the weather too, but we figured you'd see through that. "
Just to twist the knife still further, contrast Circuit City's sad performance with Best Buy:
TWICE: Best Buy Q2 Sales Driven By Home Theater, PCs
The Bridge: Circuit City Reports Second Quarter Losses
TOP STORY -- Circuit City's net sales declined 6.2 percent to $2.6 billion in the second quarter of 2007 compared to the same period last year, the company reported today, while same-store sales fell by nearly 8 percent. The net loss for the quarter was $63 million. In Q2 '06 the chain posted total sales growth of 11.1 percent and same-store gains of 8.5 percent. Circuit City execs blamed the shortfalls on widespread structural and procedural changes during the first half of the year. Online and call-center sales, both focuses of those changes, grew 20 percent while home theater installation revenues were up 22 percent versus 2006.
Here comes the blame game:
TWICE: Circuit City Says Retooling Stalled Q2 Sales
Richmond, Va. — Circuit City executives told analysts today that second quarter sales and earnings shortfalls were attributable to massive structural and procedural changes that disrupted operations during the first half.
Translation: "Firing all of our staff impaired our ability to sell stuff to people. We thought about blaming the weather too, but we figured you'd see through that. "
Just to twist the knife still further, contrast Circuit City's sad performance with Best Buy:
TWICE: Best Buy Q2 Sales Driven By Home Theater, PCs
Minneapolis — Best Buy reported improved margins in home theater and stronger computer sales during its fiscal second quarter, which generated double-digit gains in net earnings and revenue. The chain reported net earnings of $250 million in its fiscal second quarter, a gain of 17 percent, and a 15 percent revenue gain to $8.8 billion during the quarter vs. the previous year.
One national chain keeps on growing and doing better, and the other is floundering. It looks like the ability to actually execute strategic initiatives makes a difference.
Sphere: Related Content
1 comment:
Bottom line -
NEVER let the accountants have the last word in your business.
ENRON
WORLDCOM
'Nuff said!
Post a Comment