DANBURY, CT - Ethan Allen Interiors Inc. reported that net delivered sales for its third quarter ended March 31, 2009 amounted to $140.2 million as compared to $235.9 million in the prior year quarter, a 40.6%. Net delivered sales for the company’s retail division were $103.3 million as compared to $172.8 million in the prior year quarter. Retail division comparable delivered sales were down 41.8% as compared to the prior year quarter. Wholesale sales were $88.1 million, as compared to $156.3 million in the prior year quarter.
For the nine months ended March 31, 2009, net delivered sales totaled $535.6 million as compared to $744.1 million in the prior year comparable period, representing a 28% decline.. Net delivered sales for the Company’s Retail division were $406.4 million as compared to $548.1 million in the prior year. Retail division comparable delivered sales were down 28.9% as compared to the prior year comparable period. Wholesale sales were $318.2 million as compared to $468.5 in the prior year.
Farooq Kathwari, chairman and CEO, said, “This was a challenging quarter, with major declines in sales and profitability. As stated in our April 21 press release, during this period of sharp decline in consumer confidence and major competitive home furnishings liquidations, we improved many aspects of our business. We introduced new products – many with eco-friendly finishes; maintained a strong national advertising presence; launched a cutting-edge new website; created a Membership Rewards program, and offered strong finance options. We also took major steps to reduce our costs and expenses, and on an annual basis, reduced over $100 million from our underlying cost structure. We have reduced our inventories during the quarter by $13.5 million and ended with a $51 million cash balance. We maintained a cash dividend, although at a reduced level.”
Have something to say? Share your thoughts with us in the comments below.