Staples sales stumble amid merger push
Staples
Staples is having anything but an easy time lately.
Despite a fourth quarter profit, Staples sales slumped for the 2015 fiscal year as the Framingham company continues to pursue a purchase of its rival Office Depot.
The fourth quarter showed improvements for Staples as the company reported a positive net income of $86 million, compared to a loss of $260 million in the fourth quarter of 2014. However, sales were still down in the fourth quarter by 6.9 percent compared to the previous year’s sales.
Overall sales for 2015 were down as well, dropping 6.4 percent to $21.1 billion, down from $22.5 billion in the previous fiscal year. However, net income for the company was up to $578 million in 2015, down from $623 million in 2014.
The financial news comes as Staples and Office Depot continue to push for a merger despite opposition from the Federal Trade Commission. In a recent move to appease the FTC, the two companies announced the sale of $550 million in commercial contracts. This effort came on the back of European approval for the merger as well as reports that Staples had laid off “hundreds” of corporate employees possibly in preparation for the acquisition to not go through.
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