Office Depot Beats First-quarter Profit Expectations

Office Depot, Inc. reported first-quarter net income Tuesday of $116 million, or 22 cents per share, up from $46 million, or 11 cents per share, in the year-earlier period. It reported adjusted earnings per share of 16 cents, above the FactSet consensus of 12 cents. It reported sales of $2.7 billion, in line with the FactSet consensus of $2.7 billion, but down from $2.9 billion in the year-earlier period. Office Depot still expects its total company sales to be lower in 2017 due to planned store closures, as well as challenging market conditions. It expects an adjusted operating income of about $500 million in 2017. Shares of Office Depot have gained 15.6% in the past three months, compared to the S&P 500's gain of 4%.