In July, Simon & Schuster president Jack Romanos said he had high expectations for the second half of 2004, and those expectations were largely met in the third quarter ended September 30. Romanos said sales and EBITDA both rose by double-digit amounts in the period, keeping the company on track for a solid full year. September, Romanos noted, "was the highest billing month in company history."
All operating divisions contributed to the third-quarter gains, Romanos said, with the adult segment led by strong frontlist publishing and a rebound in backlist sales, while the children's divisions had gains across the board. Phillip McGraw's Family First and Stephen King's Dark Tower VII helped drive the sales gains as did He's Just Not That Into You, the first book from Simon Spotlight, which has now hit one million copies in print. The trade paperback segment was led by the Oprah pick The Good Earth. Dan Brown's Angels & Demons and Deception Point continued to sell well in mass market paperback, although Romanos said he was concerned about the overall health of the mass market segment (see adjoining story).
Romanos said that barring another presidential recount, he is expecting a strong holiday season. The quarter has had a strong start, led by the continuing popularity of He'sJustNot That into You and Bob Dylan's Chronicles. The Stephen King and Stewart O'Nan work on the Red Sox season, Faithful, is due out around Thanksgiving, and the holiday thriller Christmas Thief by Mary Higgins Clark and Carol Higgins Clark is set for November 9. In children's, a tie-in to the Sponge Bob movie has already had strong orders, Romanos said.
"It's just one of those years when everything is working," Romanos said.
