JASPER, IN – Furniture maker Kimball International Inc.'s overall net sales increased 6% in the third quarter, but sales in the furniture segment declined. Growth in several market verticals within the furniture segment was offset by a double-digit decline in both office furniture sales to the federal government and in hospitality furniture sales - due to two big orders, said Kimball CEO Jame Thyen.
"The comparison to the prior year third quarter was a difficult one in the furniture segment as we shipped two unusually large hospitality furniture projects last year,” Thyen said. “Orders in this segment were soft during the quarter, particularly within certain areas of office furniture. Within the hospitality market, the high end of the market appears to be recovering while there is continued price sensitivity and discounting in the lower end of the market.”
Have something to say? Share your thoughts with us in the comments below.