Crown Crafts Q3 Net Gains 10.9 Percent
GONZALES, La.-Crown Crafts bucked the tough retail economy by turning in double-digit increases in both net income and operating income in its fiscal third quarter, which ended on Dec. 29.
Net income rose 10.9 percent to finish the quarter at $1.8 million. The company did not break out selling, general and administrative expenses in its statement on the quarter, but said income from operations gained 14.2 percent to $2.9 million. Gross margin increased by 260 basis points to 28.9 percent.
Net sales were up 2.7 percent to $20.6 million. "We continue to demonstrate steady year-over-year improvement in sales, gross profit and net income, despite the challenging retail environment," said E. Randall Chestnut, Crown Crafts' chairman, president and CEO.
Chestnut also noted that the third quarter marked the 34th consecutive quarter in which the company reported a profit, "excluding goodwill writeoffs. We are pleased with this performance, which has been driven by the strength of our products, the soundness of our strategy and our ability to endure the ups and downs of the marketplace for more than eight years."