Consumer electronics retailer RadioShack Corp. reported a 39 percent decline in fourth quarter net income as consumers reduced their spending due to the prolonged housing downturn, eroding credit, increasing food costs and unemployment concerns.

The company's net income slipped to $62 million, or 50 cents per share, from $101 million, or 77 cents per share, in the same quarter a year ago. 

Apart from this, company's revenue has also declined 7 percent to $1.26 billion from $1.36 billion.

RadioShack Corporation engages in the retail sale of consumer electronic goods and services, through its RadioShack store chain and non-RadioShack branded kiosk operations. The firm has about 4,400 company-operated stores, 1,400 dealer outlets and nearly 700 wireless phone kiosks throughout the U. S. and approximately 200 company-operated stores in Mexico.

In today's trading session, shares of RadioShack reacted sharply to the latest news and plummeted over 20% during early trading hours. The scrip is presently trading at $8.68, down 19% compared to previous close of $10.82.