MARTINSVILLE, VA - Hooker Furniture posted an $8.6 million profit for its fiscal year ended Feb. 3, 70.6% greater than its prior year bottom line.
Hooker's net income improved even as its net sales decreased 1.9% from 222.5 million for FY12 vs. $218.4 million for FY13. The company more than made up for this revenue drop by cutting expenses, including reducing cost of sales by 4.7% from $173.6 million in FY12 to $165.8 million FY13.
Hooker Furniture also said its upholstery segment returned to operating profitability in its most recently concluded fiscal year. The company's upholstery division had reported operating losses since the FY09Q2.
Plus, Hooker said, "As a result of lower discounting in the current year,(our) casegoods segment reported a 12% increase in operating income despite a 5% sales decline compared to the fiscal 2012 year. Improved consolidated profitability in both 2013 fiscal periods was primarily driven by higher average selling prices and lower sales discounting for both segments, and reduced upholstery segment manufacturing costs as a percentage of net sales."
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