Toys R Us posts $192 million US operating loss

Troubled US toys chain Toys R Us refused to elaborate on restructuring plans this week, as it reported a second-quarter operating loss of US$192 million (£106.4 million).

However, Toys R Us, which may sell the loss-making eponymous chain, still delivered net earnings of US$61 million (£33.8 million).

This was helped by the reversal of US$200 million (£110.8 million) of income tax reserves.

Total sales fell 3.9 per cent to US$2 billion (£1.11 billion). Same-store sales at the domestic Toys R Us chain ditched 7.7 per cent.

Meanwhile, Babies R Us enjoyed a 1.8 per cent comparable sales uplift.

Toys R Us chief executive John Eyler said an update on the retailer's strategic review would not be forthcoming for several months.