Leggett & Platt sales grow 6.5%, but charge sends 4Q profit down
Much of 2011 growth tied to inflation, currency fluctuation
Larry Thomas -- Furniture Today, February 7, 2012
CARTHAGE, Mo. — Components supplier Leggett & Platt said fourth-quarter sales rose 6.5%, but profits were down due to a restructuring charge.
The company said same-location sales grew 6%, primarily from inflation and higher trade sales at its steel mill.
Sales at the company's residential furnishings segment, its largest business unit, were up 6.2%, but unit volume grew just 1%.
Total sales for the quarter ended Dec. 31 were $854.1 million, up from $801.9 million in the fourth quarter of 2010.
Net income was $8.7 million, or 6 cents per share. That was down from $31.4 million, or 21 cents per share, in the fourth quarter of 2010. Without the restructuring charge of about $37 million, earnings would have been 22 cents per share in the most recent quarter.
For the full year, sales totaled $3.64 billion, up 8.2% from $3.36 billion in 2010.
Sales in the residential furnishings segment were up 5.1% to $1.84 billion.
Net income for the year totaled $153.3 million, or $1.04 per share. That was down from $176.6 million, or $1.15 per share, in 2010.
"Though sales grew in 2011, most of the increase was due to inflation and currency rates, which didn't generate much profit," said David Haffner, president and CEO. "In our markets, aggregate demand was essentially flat. As a result, we continue to tightly manage costs, exit unprofitable businesses, and focus on other elements of our strategic imperatives."
Haffner said the company is "well-poised to for earnings growth when the economy expands."
For 2012, the company is projecting sales of $3.6 billion to $3.8 billion. Earnings per share are projected at $1.20 to $1.40.
-
Expenses send Leon's Furniture profit down 16.4%
May 15, 2012
Merinos Home Furnishings opening display room, Boyles addition
‘Mega vessels' likely to boost capacity, stabilize freight rates
HOM Furniture adds flooring to six Twin Cities stores
Dan Masters joins Furniture Brands as VP, business development
21 companies from Turkey, Taiwan and China to exhibit at Showtime
Featured Company
-
Wright Labels
Bill and Tom Wright founded Wright of Thomasville in 1961 on the idea that printing was a creative medium and the belief that "a promise made is a promise kept." The Wright brothers focused their attention on providing exceptional printing for the... more
VIEW ALL GALLERIES
