Libbey Turns Loss into Profit in First Quarter
TOLEDO, Ohio-Libbey Inc. began its fiscal year on an upbeat note, posting net income of $641,000 compared to a net loss of $1 million in last year's first quarter, helped by the absence of a $2.8 million loss from the redemption of debt.
Net sales in the quarter, which ended on March 31, improved by 3.8 percent to $187.8 million. The top line benefited from a 5.7 percent gain in sales from the glass operations segment, and a massive 69 percent increase in sales to the China region.
Gross margin also helped strengthen the bottom line, increasing by 295 basis points to 22.9 percent. Selling, general and administrative expenses rose 11 percent in dollars and 24 basis points as a percentage of sales, to 14.3 percent.
Stephanie Streeter, Libbey's CEO, said, "Our ongoing success depends on a continued focus on improving our cost structure, leveraging our high-growth overseas markets and strengthening our balance sheet."