RadioShack Corp. (NYSE: RSH) reported third-quarter 2013 results before markets opened Tuesday morning. The electronics retailer posted an adjusted net earnings per share (EPS) loss of $1.11 on $805 million in revenue. In the same period a year ago, the company reported an EPS loss of $0.33 on revenues of $898 million. Third-quarter results also compare to the Thomson Reuters consensus estimates for an EPS loss of $0.35 and $891.73 million in revenues.

RadioShack has been struggling for so long that it has pretty much fallen off investors’ radar screens. What with the drama surrounding J.C. Penney Co. Inc. (NYSE: JCP) and Sears Holdings Corp. (NASDAQ: SHLD), getting attention is not easy in the retail world. RadioShack probably prefers it this way.

The electronics retailer did not have anything to say about guidance for the rest of the year, but the Thomson Reuters consensus calls for a full-year EPS loss of $1.22 — and that certainly will be adjusted further downward. The consensus revenue estimate calls for a total of $3.76 billion. For the fourth quarter, the current EPS estimate calls for a gain of $0.01 on revenues of $1.18 billion.

The company’s CEO said:

We are moving forward quickly and as planned with our turnaround efforts. As we have said, we expect our work to take several quarters and during that time our results will vary quarter to quarter as we make strategic changes to improve our long-term financial performance. This quarter reflects our strategic decision to accelerate the improvements to the product assortment in our stores by removing duplicate and unproductive inventory. The lower inventory valuations for these products and projected disposal costs resulted in an expected increase to our cost of products sold this quarter.

Gross margins are down from 38% a year ago to 30.1%, and gross profit fell by $98 million year-over-year, due in part to the inventory changes and in part to “lower sales and decreased gross profit in the postpaid wireless business.”

The company also touted its $835 million in recent financing commitments, which include a $585 million senior secured credit facility and a $250 million secured term loan. RadioShack will use the funds to repay $625 million in existing debt and the remaining funds are “incremental liquidity.”

RadioShack’s shares were trading down about 2% in the premarket Tuesday morning, at $3.52 in a 52-week range of $1.90 to $4.36. Thomson Reuters had a consensus analyst price target of $2.10 before This report. Like we said, no one is paying attention to RadioShack any more, not even analysts.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.