WINCHESTER, VA - Cabinetry manufacturer American Woodmark Corporation (NASDAQ: AMWD) first quarter sales increased 9% to $231.2 million, with growth in both the dealer and new construction channels during the first quarter of fiscal year 2016.
Net income rose 65 percent to $15.2 million for the first quarter.
American Woodmark Corporation manufactures and distributes kitchen cabinets and vanities for the remodeling and new home construction markets. Its products are sold on a national basis directly to home centers, major builders and through a network of independent distributors. It presently operates nine manufacturing facilities and seven service centers across the country.
In recognition of the cyclicality of the housing industry, American Woodmark says its policy is to operate with a minimal amount of financial leverage, maintaining a debt to capital ratio of below 20 percent.
American Woodmark had two primary customers: The Home Depot and Lowe’s Companies, Inc., which together accounted for 45 percent of sales. "The loss of either customer would have a material adverse effect on the company," says the SEC filing. As of May 31, 2015, the American Woodmark had 5,070 employees.
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