Sales gains drive tripling of net income in Flexsteel
By Furniture Today Staff -- Furniture Today, February 10, 2003
Dubuque, Iowa — With across-the-board increases in all three manufacturing segments, upholstery producer Flexsteel Inds. said sales rose 11.8% of $73.6 million in its second quarter ended Dec. 31, while net income shot up 211.8% to $2.2 million.
For the first six months, net sales were up 11.3% to $143.6 million and net income soared 367.9% to $4.2 million.
During the latest quarter, Flexsteel said residential seating sales were $50.5 million, an increase of 6% from the prior year's quarter. Recreational vehicle seating sales were $17.8 million, up 28%, and commercial seating sales were $5.3 million, up 16%.
For the six months, residential seating sales were $96.5 million, an 8% increase over the prior year's first half, recreational vehicle sales were up 23% to $37.5 million, and commercial seating sales were up 2% to $9.6 million
Bruce Lauritsen, president and chief executive officer, said in a conference call the company is continuing to seek accounts in areas where it has little business, with an emphasis on galleries and other dedicated space.
He said business is "starting to wobble a little" because of uncertainty about a potential war with Iraq. "Everybody feels good about the future but everybody is taking a breath to see what direction our country is going to take," Lauritsen said.
| Flexsteel Inds. | |||
|---|---|---|---|
| Earnings per share are fully diluted, and all figures in parentheses are loses or declines. | |||
| Quarter ended 12/31 | 2002 | 2001 | Change |
| (a) Based on average shares outstanding of 6.4 million in the 2002 quarter, 6.3 million in the 2002 six months and 6.1 million in the 2001 periods. (b) Includes a $403,065 pretax gain on the sale of land. | |||
| Sales | $73,580,061 | $65,826,772 | 11.8% |
| Operating income | 3,357,774 | 922,196 | 264.1% |
| Net income | 2,216,243 | 710,758 | 211.8% |
| Earnings per share (a) | 0.35 | 0.12 | 191.7% |
| 6 months ended 12/31 | 2002 | 2001 | Change |
| Sales | $143,599,437 | $129,034,342 | 11.3% |
| Operating income | 5,973,018 | 978,489 | 510.4% |
| Net income | (b)4,247,103 | 907,651 | 367.9% |
| Earnings per share (a) | 0.67 | 0.15 | 346.7% |
