Stanley Furniture Posts 4Q Profit

February 24, 2016  by in Financial Reports, Industry   

Net sales for the quarter slid 13.9 percent to $13.8 million compared to $16 million in the same quarter last year.

Net income for the fiscal year was $5.3 million for the year ended Dec. 31 compared to a net loss of $29.9 million in the prior year. Net sales for the year dropped 5.4 percent to $57.4 million compared to $60.6 million in the year before.

“We are pleased to report another quarter of profitability, and we are excited about several developing initiatives we have underway to fuel growth,” said Glenn Prillaman, president and CEO. “This is our third consecutive quarter of profitability and cash generation, and our first full year of profitability since 2008. While this milestone is one our team is proud to have accomplished, we are focused on our goals to execute our strategy and grow our business.”

In addition to its earnings announcement, the company said it has established a strategic manufacturing alliance with Starwood Manufacturing VN Corp., a Vietnam producer. Starwood will manufacture Stanley’s more recently introduced products in a stand-alone facility designed by Stanley for its products and constructed by Starwood over the last half of 2015 on its existing manufacturing campus outside of Ho Chi Minh City. “Stanley is a company with a long heritage of manufacturing,” Prillaman said. “By partnering with a manufacturer overseas, we are developing a differentiating sourcing strategy that has already lowered costs, but should also allow us to lower lead times for improved customer service and provide customers with more consistent product quality, as we market and distribute a broader product line to increase revenues."