Shares of the top U.S. bookseller were under pressure, after its quartelry earnings disappointed investors. Bobbi Rebell reports.
Profits missing expectations despite being up 14 percent at Barnes & Noble. The top U.S. bookseller's bottom line helped by cost cutting in its Nook digital business. But the top line coming in light. Revenue falling at the largest U.S. bookstore chain. Shares were under pressure on the news, though the stock has gained about 16 percent over the past 12 months. Barnes & Noble has been struggling to compete with online rival Amazon, and says it expects to continue to see declines in bookstore sales. The company confirmed plans to spin off its college bookstore business: CEO Michael Huseby saying: "The separation will allow each business to optimize their strategic opportunities, given their respective growth profiles, and specifically enable College to pursue opportunities in the growing educational services market." The Nook business continues to struggle. Revenues were down more than 50 percent from a year ago, and the decline is expected to continue.