Barnes & Noble has reported heavy losses during its latest fiscal results, with its Nook tablet line among the hardest hit, Digital Spy said.

The book retailer posted revenue of $2.2 billion for Q3, a year-on-year decline of 9%, with gross earnings plummeting by 63% to $55.5 million.

The Nook tablet range, which is often touted as a rival to Amazon's Kindle business, brought in $316m, marking a decline of almost 26% compared to $427m it generated during the same period in 2011.

Barnes & Noble has already lost $47m this year, compared to just $11m at this stage in 2012, but CEO William Lynch insists cost-cutting measures have been put into place and vowed to stand by the Nook brand.

"Without question, our bookstores have made a significant contribution to Nook's success over the past three years. And, in turn, our award-winning line of Nook products have proven to be a strong driver of traffic to our stores," he said in a statement.

Nook e-readers first entered the market in 2009, bringing competition to Amazon's Kindle line, but the devices have struggled to compete with the influx of mid-range tablets such as the Google Nexus 7 and the iPad mini.