Chromcraft Revington Cuts Loss as Sales Dip 1.3% in 2Q
Furniture Today Staff -- Furniture Today, August 29, 2011
WEST LAFAYETTE, Ind. - Chromcraft Revington reported that its second-quarter sales were down 1.3% from the same period a year earlier to $13.8 million, and its net loss improved to $1.25 million or 26 cents per share from $1.34 million or 29 cents per share a year earlier.
In a press release, the furniture manufacturer emphasized that its second-quarter performance was an improvement from the first quarter of this year, with sales up 11% and its net loss 30% lower.
While the gross margin of $2.5 million, or about 18% of sales, was down from $2.7 million in the second quarter of 2010, the company said it was a big gain from about $1.7 million in the first quarter of this year.
Commercial furniture shipments in the second quarter were slightly higher than in the same period a year ago, while residential furniture shipments were slightly lower, reflecting the still weak economy and housing market and import competition, the company said.
Chairman and CEO Ronald Butler said the company had seen "a pickup in recent order activity and shipments of contract commercial products. Although the ongoing difficult operating environment in the residential furniture market will continue to be challenging, we expect the positive impact on our business resulting from what may be the start of a rebound in the U.S. office furniture market to continue through the remainder of the year.
"In these uncertain economic times, we have diligently focused on our cash flow and balance sheet management along with controlling operating costs to be in line with our revenue base," he said.
For the first half, Chromcraft Revington reported sales of $26.3 million, down 5.8% from the same period in 2010. The loss for the period was $3.1 million or 64 cents per share, compared with a loss of $2.3 million or 50 cents per share a year earlier.
The company noted that excluding a tax refund last year, it used $1.3 million less cash in operating activities in this year's first half than in 2010. On July 2, it had cash of $1.9 million, no outstanding loan balance, and had no bank borrowings in the first half.
Owns Chromcraft, Peters-Revington, Cochrane, Silver and Sumter Cabinet
Earnings per share are fully diluted, and all figures in parentheses are losses or declines.
Quarter ended 7/2
Earnings per share
6 months ended 7/2
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