* Q4 profit falls 74 pct
* Results hurt by e-reader expense
TORONTO May 31 Indigo Books & Music (IDG.TO),
Canada's largest book retailer, said on Monday its quarterly
profit dropped 74 percent, hurt by expenses related to the
launch of the Kobo e-reader.
Profit for the company's fourth quarter, ended March 10,
was C$500,000 ($480,000), down from C$1.9 million a year
earlier. The company did not disclose per-share results.
Revenue rose by about 6 percent over the year-before
quarter, the company said, despite same-store sales that fell
2.7 percent at Indigo and Chapters superstores, and 5.8 percent
at small-format Indigo Spirit stores.
"The last quarter was a challenging one for us," Indigo
Chief Executive Heather Reisman said in a statement, noting
that store traffic suffered due to the Winter Olympics in
February. The company said the higher expense from the Kobo
launch should continue into the coming fiscal year.
On a full-year basis, the company earned C$34.9 million, or
C$1.39 a share, compared with a year-before C$30.7 million, or
C$1.21 a share.
Shares of Indigo fell 9 Canadian cents on Monday to close
at C$15.01 on the Toronto Stock Exchange. The results were
released after markets closed.
(Reporting by Cameron French; editing by Peter Galloway)