Playboy Enterprises Suffers Loss of $62.2 Million in Fiscal Year

Playboy Enterprises reported a $62.2-million net loss for the fiscal year ended June 30, compared to a $6.7-million net profit in fiscal 1985.

The firm said the loss largely resulted from the previously reported writeoff of a $37.9-million receivable last fall on the sale of its former Atlantic City, N.J., gambling hall, as well as a $13.6-million loss on the June 30 closing of its Playboy clubs in Los Angeles, New York and Chicago. However, $10.5 million of the loss was chalked up to continuing operations.

During the fourth quarter alone, the Chicago-based company reported a $16.3-million net loss, of which $11.2 million was on discontinued operations.

Although Playboy magazine continued to be profitable in fiscal 1986, the company said, its revenue and operating income were lower than they were last year “due to falling newsstand sales.”