From Home Furnishing Business
La-Z-Boy 3Q Profit Hits $17.9M
Home furnishings supplier and retailer La-Z-Boy (NYSE: LZB) reported profit of $17.9 million for the third quarter ended Jan. 24, a 9 percent increase from the $16.4 million profit posted in the third quarter last year.
Net sales for the company hit $357.8 million, up 3.3 percent from $346.5 million during the same period a year ago.
Upholstery sales climbed 2.2 percent to $286.3 million from $280.3 million in the third quarter last year. Case goods sales were up 1 percent to $26 million from $25.8 million in the same quarter last year.
Retail sales came in at $89.8 million, up nearly 11.9 percent compared with retail sales of $80.2 million in the same period last year.
"We are continuing to make progress in all three segments of our business to deliver long-term profitable growth,” said Kurt Darrow, chairman, president and CEO. “We are increasing our penetration throughout North America with the build out of the La‑Z‑Boy Furniture Galleries network through our 4-4-5 expansion strategy. In addition to fueling top-line growth, the additional volume associated with an increased store count will allow us to leverage the fixed-cost structure of our manufacturing facilities and bolster our earnings power. At the same time, our company-owned retail segment is delivering improved performance, and we have strengthened our case goods business by making numerous changes to our business model. During the third quarter, we generated $23 million in cash from operations and our balance sheet remains strong, giving us the flexibility to continue to make strategic investments throughout the enterprise to deliver growth and operational efficiencies."
The complete earnings release is available on La-Z-Boy’s investor relations website.