Ekornes worldwide sales dip 3.2% in 2009

North American business down about 12.5%

Larry Thomas -- Furniture Today, February 19, 2010

ALESUND, Norway — Ekornes, a Norwegian upholstery and bedding producer who sells upper-end upholstery in the U.S. market, said worldwide sales fell 3.2% in 2009, while profits were down 6.6% from the previous year.

The company, whose stock is publicly traded on the Oslo exchange, said sales were off 7% in the North American market (as measured in local currencies), and noted that "market conditions remain extremely difficult."

 

In its annual report to shareholders, Ekornes said North American sales last year totaled 441.2 million Norwegian kroner, or about $75 million at current exchange rates. That's about 12.5% lower than the 2008 sales of 504.4 million kroner, or about $85 million at current exchange rates.

The company didn't disclose fourth-quarter sales for North America, but said orders were 34% ahead of a weak fourth quarter in 2008.

Ekornes said it has about 560 North American dealers.

"Intense marketing activities have been given priority to counteract a weak market and to exploit the huge potential which Ekornes still has in this region," the shareholders report said.

Worldwide, sales totaled 2.59 billion kroner in 2009, or about $440 million at current exchange rates. Net income totaled 324.7 million kroner, or about $55.2 million current exchange rates.