Borders shares gain 25 percent after narrower loss

Wednesday August 27, 10:39 am ET
Borders shares surge 25 percent after bookseller posts narrower 1st-quarter loss
ANN ARBOR, Mich. (AP) -- Shares of Borders Group Inc. soared more than 25 percent in early trading Wednesday following the bookseller's better-than-expected earnings for the second quarter.
Borders said late Tuesday that it narrowed its losses in the second quarter, losing $9.2 million, or 15 cents a share, compared with a loss of $25.1 million, or 43 cents a share for the same quarter of last year.
The company, which has been restructuring and selling some business units, said that it lost $11.3 million, or 19 cents a share, from its continuing operations, compared with a loss of $18.1 million, or 31 cents a share, last year.
Analysts polled by Thomson Reuters had anticipated a second-quarter loss of 29 cents per share, on average.
Total revenue fell to $758.5 million from $812.4 million. Borders said comparable-store sales for the quarter fell 8.9 percent, due in part to the release of a book in the Harry Potter series last year and current declines in music sales.
Borders shares gained $1.39 to $6.75 in morning trading.