Staples Q1 profit drops 39%

Framingham, Mass. -- Staples Inc. reported a 39% decline in first-quarter profit amid declining sales and store closures. The results came as the chain is waiting for regulatory approval of its proposed takeover of rival Office Depot.



Staples reported a profit of $59 million, down from $96 million a year earlier.



Revenue slid 6.9% to $5.3 billion. Online sales grew 3%.



Same-store fell 5% in the quarter. Store traffic was down 2%, and the average order size fell 3%.



“Our first quarter results were in line with our expectations,” said Ron Sargent, Staples’ chairman and CEO. “We grew sales in our North American delivery businesses and stabilized profitability across the company, which reflects continued progress on our strategic reinvention.”