Crown Crafts clocks strong profit growth
November 6, 2013-- Home Textiles Today,
Gonzales, La. - Crown Crafts generated strong increases in net income, gross margin and sales during its second fiscal quarter, and closed out the period debt-free.
The developer of infant, toddler and juvenile consumer products credited the results to the rollout of three new programs at retail.
"We will continue to be aggressive in our pursuit to diversify our portfolio and enhance our product mix. Most recently, as we announced in September, we made further progress with this effort as we entered into a new U.S. distribution agreement with U.K.-based Gro Company and a new licensing agreement with Jonathan Adler. Both of these programs received positive responses at the recent ABC Trade Show in Las Vegas," said Randall Chestnut, chairman, president and ceo.
For the second quarter ended Sept. 29, net income jumped 51.3% to $1.1 million, or $0.12 per share. Gross margin climbed to 28.6% of net sales for the quarter, compared with 22.6% for the prior-year period. Sales rose 16.0% to $20.1 million.
For the six-month period, net income increased 18.9% to $2.0 million, or $0.20 per share. Gross margin improved to 27.9% of sales, compared with 24.0% for the prior-year period. Sales notched up 5.6% to $36.7 million.