Culp sales rise, profits climb sharply in fiscal 2013
June 13, 2013-- Furniture Today,
HIGH POINT — Despite mixed results in the fourth quarter, fabric supplier Culp Inc. said its fiscal year ended April 28 was "one of the best years in the company's history" with sales up 5.6% and net income climbing 37.8%.
In the fourth quarter, sales were down 7% to $70.4 million against a strong period a year ago but earnings rose 8.2% to $3.7 million. Mattress fabric sales for the quarter were down 6% to $40.8 million, while upholstery fabric sales declined 8.4% to $29.6 million.
For the year, mattress segment sales grew 5.8% to $154 million and upholstery fabric was up 5.4% to $114.8 million.
"(Company Chairman) Rob Culp and I are very pleased to report one of the best years in the company's history," President and CEO Frank Saxon said in a statement. He said pretax profits were up 43% to $20.3 million, the highest level since 1998.
"Both of our businesses performed well," he said.
Culp also announced it was bumping up its quarterly dividend by one-third, to 4 cents per share for the first quarter of the current fiscal year.
Looking ahead, Saxon said he expect sales in the current quarter in the range of 3% lower to 2% higher than a year ago, with pre-tax income expected to be in the $4.9 million to $5.6 million range, compared with $5.4 million a year earlier.