Electronics retailer RadioShack reported a 39 percent fall in fourth-quarter earnings, hurt by lower sales as consumers curbed spending amid recession.

Comparable same-store sales for company-operated stores and kiosks fell 9.2 percent during the quarter and the company also reduced inventories by $69 million at the end of the fourth quarter to $636 million.

RadioShack said it expects capital expenditure for 2009 to be $75 million to $100 million. It had spent $85.6 million in capex in 2008.

Fourth-quarter net earnings came to $62.0 million, or 50 cents per share, compared with net income of $101.0 million, or 77 cents per share, last year.

Analysts on average had expected a profit of 73 cents a share before special items, according to Reuters Estimates.

Sales fell 7.7 percent to $1.3 billion. RadioShack said kiosk sales fell 2.2 percent.

RadioShack has closed unprofitable stores and cut staff in recent years but faces a tougher industry environment as consumers pull back spending in the recession.

Additionally, electronics retail leader Best Buy Co has expanded mobile-phone departments and added standalone shops, and discounter Wal-Mart Stores has stepped up its offerings.

Shares of RadioShack closed at $10.82 Monday on the New York Stock Exchange.

(Reporting by Mihir Dalal in Bangalore; Editing by Gopakumar Warrier)

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