EL PASO, Texas—Helen of Troy posted a new record in second-quarter net income at $23.5 million, 47.5 percent ahead of last year’s second quarter.
The personal-care appliance giant achieved the mark on net sales of $174.8 million for the quarter ended Aug. 31, 2010, 7.8 percent greater than last year and also a record. The sales total received a boost from an 10.2 percent gain in sales from its housewares segment. Sales in its personal-care segment rose 6.7 percent.
The company also saw its gross margin grow by 340 basis points in the quarter, to 45.9 percent. Selling, general and administrative expenses rose 9 percent on a dollar basis, and 40 basis points as a percentage of sales, to 30.1 percent.
Gerald Rubin, chairman, president and chief executive officer of Helen of Troy, said the company managed a robust second quarter in spite of the “challenging” retail economy. Looking ahead, however, Rubin said the third-quarter results should be somewhat weaker—with increasing freight and commodity costs resulting in flatter gross margin, and with added advertising expenses affecting the bottom line.