Ethan Allen's Retail Sales Climb 11.4 Percent in Q1
DANBURY, Conn.-Written business from Ethan Allen's retail business rose 11.4 percent in its fiscal first quarter, according to a preliminary statement from the furniture retailer and manufacturer.
Farooq Kathwari, the company's chairman and CEO, said sales for the quarter, which ended on Sept. 30, should total between $180 million and $182 million. Kathwari added that comparable design-center sales role 13.8 percent.
Kathwari said the quarter's results were affected by a number of factors, including lower backlogs and an effort to sell off floor samples and inventory, in preparation for the debut of The New Eclecticism, Ethan Allen's initiative to present merchandise, "which adds fashion, color, and a spirit of mixing things up to our time-honored story of quality, value and style," Kathwari said.
The clearance sales occurred at substantial discounts, he added, thus reducing the company's gross margin for the quarter.