Radio Shack on shaky ground as rescue rumors swirl

A key question for RadioShack as it struggles for survival: Can it get the new iPhone?

The flailing electronics chain warned Thursday it may be forced to file for bankruptcy if it can’t raise cash — adding that it was in financing talks with “a number of parties” amid reports of a possible lifeline from UBS and hedge fund Standard General LP.

Weak demand for mobile phones is to blame for the “majority of the weak performance this quarter,” RadioShack CEO Joe Magnacca said in a statement.

Same-store sales in the latest quarter were down 20 percent, he said.

Magnacca didn’t mention by name Apple’s iPhone 6, whose long-awaited launch is expected next week.

Still, RadioShack’s chief admitted that mobile-phone sales were sapped this summer because of “consumers waiting for an iconic handset launch this fall.”

With RadioShack’s ability to pay its bills uncertain, it’s doubtful whether the iPhone 6 will be available at RadioShack, said Janney analyst David Strasser.

“We struggle to see a scenario where RadioShack will get iPhone6, with what could be a challenging get for even top retailers like Best Buy,” Strasser wrote in a note to clients.

RadioShack shares, which have see-sawed in recent weeks as hope and fears took turns coming to the fore, rose 9.6 percent to $1.02 Thursday on bets that a rescue package was imminent.

That’s despite the fact that revenue plunged 22 percent to $673.8 million in the second quarter, driving a loss of $137.4 million, or $1.35 a share, versus a loss of $52.2 million, or 51 cents, a year ago.