RadioShack Suspends Dividend After Surprise Loss
RadioShack Corp., once a go-to destination for household electronics, said Wednesday that it would stop paying a dividend after 25 years and reported its widest quarterly loss since 1996 as the retailer struggles to remain relevant to consumers.
The surprise loss comes as the Fort Worth, Texas-based company stakes much of its growth strategy on selling more expensive tablets and smartphones, with an eye to gaining fatter margins by selling the accessories that go with them. But pushing those high-profile devices has boosted the company’s selling costs, which jumped 16 percent in the second quarter.
