Ahead of the Bell: Blockbuster to post 3Q results

DALLAS - Movie rental chain Blockbuster Inc. is expected to report another quarterly loss after the stock market closes Thursday and elaborate on whether it can extend its recent sales momentum even as consumers curb spending amid the economic gloom.

The Dallas-based company already has said it is comfortable with analyst estimates projecting a third-quarter loss of 16 cents per share on revenue of $1.27 billion.

It will add to the nearly $4.5 billion in losses that Blockbuster has suffered since 2001 as scores of its customers embraced other entertainment options like Netflix Inc.'s online DVD rental service and "on demand" services offered by cable TV operators.

But Blockbuster has been making progress since hiring former convenience store merchant James Keyes as chief executive last year.

By emphasizing more in-store sales of video games, DVDs and gadgets while cutting expenses, Keyes has been able to boost Blockbuster's sales and narrow its losses.

Blockbuster's same-store sales have been on the upswing so far this year, including a nearly 6 percent gain in the third quarter. Same-store sales are a key measure of retailers' health.

And if Blockbuster's loss matches analyst predictions, it will be an improvement compared with a loss of 20 cents per share at the same time last year.

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