Sales at Rogers Video continue to plummet according to financial results released by Rogers Communications today.
The Video chain’s for the three months ending September 30, 2011 were $18 million, down 45% from the $33 million reported during the same period a year earlier. For the first nine months of this year, revenues have fallen 46% to $60 million, down from $111 million for the first nine months of 2010.
Rogers says the big drop in sales is due to a continued decline in video rental and sales activity and the reduction of nearly 20% in the number of store locations since the start of 2010.
The video chain lost $7 million dollars during the quarter and has lost $16 million in the first nine months of the year.
Big losses and declining revenues suggest a further contraction in the number of outlets which stay open. Blockbuster Canada, which operated more than 400 video stores in this country at the beginning of 2011, was pushed into receivership in May and ultimately went out of business last month.
Rogers will likely be reticent to close all of its stores since the majority of them Rogers cable-licensed areas (Ontario and the Atlantic Provinces) also offer highly lucrative cable sales and service.
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