Dive Brief:

• Office supplies retailer Staples Wednesday reported Q3 sales and profit that beat estimates, and the company raised its cash flow forecast for the year. Q3 same-store sales fell 4% while e-commerce sales rose 9%, the retailer said. 

• The country’s largest office supplies retailer said that sales of office basics like paper and ink rebounded after falling for six quarters.

• The retailer also said it had realized some $200 million of the $500 million in costs savings it has targeted over two years, but that it couldn’t calculate the costs it would ultimately incur over the data breach it suffered in October. Staples said it will be closing 170 North American stores this year, 30 more than planned. 

Dive Insight:

Staples' rebound is likely due in part to a more robustly growing economy, with busier companies finally in greater need of office supplies. Plus, its shift to e-commerce from brick-and-mortar is clear in this third-quarter report. But saving money is the biggest story here, and it’s all about closing stores.