Barnes & Noble Could Separate Nook Business Due to Losses

Barnes & Noble is considering separating their Nook business due to high losses, the Wall Street Journal reports. The Nook has been successful, but very costly, and Barnes & Noble has warned investors that full year results would reveal greater losses than expected.

Barnes & Noble shares plummeted nearly 24% in Thursday morning trading, but CEO William Lynch maintained his faith in the company’s tablet:

We see substantial value in what we’ve built with our Nook business in only two years, and we believe it’s the right time to investigate our options to unlock that value.

Barnes & Noble reported that their sales increased by 70% this holiday season, with the Nook Tablet exceeding expectations, even though sales of the Nook Simple e-reader fell below its target.

 
Henry Taylor-Gill

Henry is a student who is a huge Apple fan, and has used their products since day one. He can remember how happy he was when he received the first iPod back in 2001 as a birthday present. He has an international background, having spent most of his life in France but he now lives in the UK. He is also a native French speaker and can also speak Spanish at a decent level. In addition to tech, Henry is an avid sports fan and has his own sports blog.

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13 years ago