Flexsteel Sales, Earnings up in 4Q, Fiscal Year

August 17, 2006  by in UnCategorized   

By Home Furnishings Business in Upholstery on August 2006 Flexsteel reported fourth-quarter sales of $112.3 million, 6.2 percent increase over the prior year; and year-end sales of $426.4 million, up 4 percent, for the quarter and fiscal year ended June 30.

The upholstery major earned $1.5 million, or $0.23 per share, same as in the prior year. Net income for the entire fiscal year was $4.7 million, or $0.72 per share, a decrease of 21.9 percent.

The current year net income was adversely impacted by the recording of stock-based compensation expense of $0.4 million (after tax), or $0.06 per share. During the fiscal year ended June 30, 2005, the Company recorded a pre-tax gain on the sale of facilities of $0.8 million and a one-time favorable income tax adjustment of $0.7 million.

For the fourth quarter, residential net sales were $70.4 million, an increase of 4 percent from the prior-year quarter net sales of $67.7 million. For the fiscal year ended June 30, 2006, residential net sales of $267.7 million were up 2.2 percent over the prior year.

Fourth-quarter recreational vehicle sales of $20.1 million were up 9.6 percent over the prior year. For the fiscal year, those sales were down 6.9 percent to $73.4 million.

Net sales of commercial products increased 10.6 percent in the fourth quarter to $21.8 millio, and 23.1 percent for the year to $85.3 million.

Flexsteel expects soft residential sales through the first half of fiscal 2007.