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04.05
10:45:05
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Slight improvement for OfficeMax - USA
OfficeMax has released its first quarter results showing underlying sales growth in its contract and retail segments.
"Our results for the first quarter showed moderate improvement," said Sam Duncan, Chairman and CEO of OfficeMax. "In our Contract segment, we are addressing lower-margin sales which contributed to operating income margin contraction. In our Retail segment, we are pleased with continued gross margin expansion which delivered operating income margin improvement. Overall, we believe that our strategic initiatives support our turnaround plans and our pursuit of generating long-term shareholder value."
The Contract segment showed a sales increase 2.7% to $1.3 billion in the first quarter of 2007 compared to the first quarter of 2006, reflecting sales growth in both the U.S. and international contract operations, though margins decreased.
In Retail, comparable store sales increased by 0.5%. During the first quarter of 2007, OfficeMax opened 9 new retail stores, ending the quarter with 915 retail stores compared with 867 stores at the end of the first quarter of 2006.
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