Crown Crafts Q1 Net Falls 14.5 Percent
GONZALES, La.-Emerging from what historically is its slowest quarter of the year, Crown Crafts posted first-quarter net income of $703,000, down 14.5 percent from the first quarter of last year.
Net sales in the quarter, which ended on June 29, fell 5.5 percent to $15.7 million. Gross margin edged up 20 basis points to 27.3 percent. Crown Crafts did not itemize operating expenses, but said its first-quarter operating income dropped 15.4 percent.
In spite of the fall in sales, E. Randall Chestnut, chairman, president and CEO, said, Crown Crafts is "excited about our momentum leading into the remainder of fiscal 2015. We are working aggressively to take advantage of opportunities to gain market share.
"Our strong and differentiated position is reflected by the continued expansion of our product offerings, an example of which is our recently announced licensing agreement with Carter's Inc. for infant bedding products. In addition, we continue to maintain tight control on costs, and we remain debt-free with a $6.2 million cash balance as of June 29, 2014."