CompUSA Reports 82% Drop in Net Income

CompUSA Inc. said profit plunged 82% in its fiscal second quarter to $2.8 million, or 3 cents a share, but the results were better than the 5-cents-a-share loss that analysts expected. The Dallas-based computer retailer, which Mexico’s Grupo Sanborns said last week that it would acquire, said sales dropped 21% to $1.38 billion for the period ended Dec. 25, reflecting a restructuring that included shedding unprofitable corporate, school and government accounts. Sales also were hurt by lower prices for desktop computers and the delay of some purchases by corporations concerned about the Y2K bug. Sales at stores open at least a year fell 1.8%. Even so, gross margin rose to 16.3% of sales from 13.4% because of the cost-cutting moves. CompUSA also said it is considering options for its Cozone.com Inc. Web site, introduced in October, because of disappointing sales during the quarter. The company declined to say what options were under review. Grupo Sanborns on Tuesday started the $10.10-a-share cash tender offer for the company’s stock; the offer expires Feb. 29. CompUSA shares closed up 13 cents at $9.81 on the NYSE.