Jennifer Cuts Loss in Q3

July 13, 2011  by in UnCategorized   

By Home Furnishings Business in Financial Reports on July 14, 2011

Furniture retailer Jennifer Convertibles reported third-quarter revenue of $19 million, a 2 percent increase; and a loss of $1.95 million, compared with $4.8 million lost the prior-year period.

For the nine-month period ended May 28, revenue fell 3.6 percent to $54.3 million. Through the third quarter, Jennifer Convertibles had net income of $26.8 million, compared with a net loss of $18.1 million at the same point last year. 

Comparable store sales increased 8.7 percent in the third quarter, but are still down 5.1 percent year-to-date.

Rami Abada, President of Jennifer, commenting on the results of the third fiscal quarter said, "While we were not profitable for the third quarter much of it can be attributed to residual effects from the previous nine months in bankruptcy, as well as the time needed to transition the emerging company to a vibrant entity," said Jennifer President Rami Abada. "We are at various stages of implementation of many new initiatives including but not limited to new products, new vendors, new marketing campaigns and some more efficient supply chains. We will continue to explore other opportunities to return us to profitability and provide quality and value to our consumers."

The company also announced on Wendesday that it has opened a new warehouse in North Carolina.

"With the addition of new product lines and new vendors, we feel this warehouse will help us with our growth plans as well as improve our supply chain," Abada said.

Jennifer Convertibles has 65 Jennifer Convertibles sofa bed specialty stores; eight Jennifer Leather stores; and six licensed Ashley Furniture Homestores.