Jarden Net Falls 8.2 Percent in Q2

Jarden

RYE, N.Y.-Although sales increased, especially in the Consumer Solutions and Branded Consumables segments, Jarden’s second-quarter net income dropped 8.2 percent to $76.4 million.

Net sales were up 5 percent to $1.8 billion in the quarter, which ended on June 30. Martin Franklin, Jarden’s executive chairman, said both Consumer Solutions (the segment which encompasses the company’s housewares brands) and Branded Consumables delivered “strong organic sales growth.”

However, gross margin was down 43 basis points to 29.2 percent. Selling, general and administrative expenses rose 4 percent in dollars, although they declined 17 basis points as a percentage of sales to 18.9 percent.

James Lillie, Jarden’s CEO, said volatile weather conditions in the quarter “impacted sales and reorders on certain higher-margin categories. While we remain focused on delivering our 2013 financial goals, we are also working toward our next three- to five-year plan to continue to drive shareholder value. Our businesses are focused on growth, innovation, margin and working-capital improvements while investing in processes, people and products to help ensure long-term success.”