Gross margins were best at FBI high-end division
Heath E. Combs -- Furniture Today, October 7, 2013
ST. LOUIS - It appears that the high-end division of bankrupt Furniture Brands International was making the most gross margin dollars for the company these past few years.
FBI filed documents this week indicating gross margins by division since 2011. The breakouts are a point of interest since FBI didn't break out that information by division in documents when it was publicly traded.
Gross margins are net sales minus cost of goods sold. The documents did not list the net sales for each division.
According to bankruptcy court filings, the best gross margins came from FBI's HDM high-end division, both on the wholesale and retail sides.
The company gave gross margins for the 2011 and 2012 fiscal years and for 2013 as of Aug. 23. Furniture Brands filed for Chapter 11 bankruptcy protection on Sept. 9.
The HDM high-end division - which includes Henredon, Drexel Heritage, Maitland-Smith, Hickory Chair and Pearson - generated gross margins of $67.5 million in 2011, $66.6 million in 2012 and $37.5 million to date in 2013.
At Lane Furniture Inds., the gross margins were $62.6 million in 2011, $42.4 million in 2012 and $14 million in 2013.
For Broyhill Furniture Inds., FBI lists gross margins of $27.9 million in 2011, $23.4 million in 2012 and $9.5 million to date in 2013.
At Thomasville Furniture Inds., the gross margins were $36.5 million in 2011, $36.6 million in 2012 and $18.9 million in 2013.
From FBI's retail divisions, HDM Retail had reported gross margins of $11.2 million in 2011, $11.2 million in 2012 and $5.9 million in 2013.
At Thomasville Home Furnishings, gross margins were $4.5 million in 2011, $4.7 million in 2012 and $3.5 million to date in 2013.
For its Lane Home Furnishings Retail division, FBI listed $641,819 in gross margins for 2011. For its Broyhill Retail division, it listed $1.2 million of gross margins in 2011, $1.1 million in 2012 and $547,325 in 2013.