Toys R Us Loss Widens to $7 Million

Toys R Us Inc. said its first-quarter loss widened to $7 million after an accounting change and a drop in sales.

The loss of 3 cents a share widened from $4 million, or 2 cents, a year earlier, the Paramus, N.J.-based company said. Sales rose 3.6% to $2.2 billion, helped by a weaker U.S. dollar.

Sales at the company’s U.S. toy stores open at least a year declined 1.5%. Chief Executive John Eyler this month named a new head to the U.S. toy division, Toys R Us’ biggest unit, after the renovation of more than 600 stores failed to attract enough budget-conscious shoppers from larger rival Wal-Mart Stores Inc., analysts said.

Shares of Toys R Us fell 78 cents, or 6.6%, to $11.12 on the New York Stock Exchange.