Chromcraft Revington's Q3 sales off by 4.2%
Company cites weak housing market and high unemployment
Larry Thomas -- Furniture Today, November 16, 2011
WEST LAFAYETTE, Ind. — Chromcraft Revington said third-quarter sales were 4.2% below the same period last year as the manufacturer and importer recorded a net loss of $1.04 million.
The quarterly loss, which equals 22 cents per share, was more than 40% below last year's third quarter loss, which totaled $1.93 million, or 41 cents per share.
Third-quarter sales totaled $13.2 million, down from $13.8 million in last year's third quarter.
In a filing with the Securities and Exchange Commission, the company said commercial furniture shipments were higher during the quarter, but that increase was more than offset by a decline in residential sales, especially occasional and home entertainment furniture.
"Weak consumer confidence, lower housing activity, and continued high levels of unemployment and consumer debt have reduced demand for residential furniture in our price segment ..." the company said in the regulatory filing.
The company said it has repositioned its residential product line with products that offer a better value and have a higher velocity. It also said it is expecting improved sales in the fourth quarter from a new line of home entertainment furniture.
For the nine months ended Sept. 30, sales were $39.5 million, down 5.3% from $41.7 million in the first nine months of 2010.
The nine-month net loss totaled $4.1 million, or 86 cents per share. That's down from a loss of $4.26 million, or 91 cents per share, in the first nine months of last year.
Chromcraft Revington markets furniture under the Chromcraft, Peters-Revington, Cochrane, CR Kids and Southern Living brand names.