Ethan Allen Reports Results for Quarter and Fiscal Year Ended June 30, 2011
DANBURY, Conn.-- Allen Interiors Inc. (“Ethan Allen”, the “Company”, “We”, or “Our”) (NYSE:ETH) reported operating results for the three and twelve months ended June 30, 2011.
Mr. Farooq Kathwari, Chairman, President and CEO commenting on the results stated, “We are pleased at the growth in sales and net income during the fourth quarter and fiscal year ended June 30, 2011. Our fourth quarter net sales increased 9.0% and net income, excluding special items, increased 32.7%. During the same period our written (booked) orders for the retail division increased by 14.6%. We ended the year with $107.8 million of cash and securities after reducing our debt during the 2011 fiscal year by $38.2 million.”
Mr. Kathwari continued, “We had strong results for our fiscal year ending June 30, 2011. Net sales increased by 15.1% and our net income, excluding special items improved to $16.9 million compared to a loss of $4.2 million in fiscal 2010. Our improving trends in written business, especially in the second half of our fiscal year, resulted in stronger retail and wholesale backlogs than this time last year. We also made major progress in improving our vertically integrated enterprise during fiscal 2011.”
Three Months Ended June 30, 2011
Net sales for the quarter ended June 30, 2011 were $178.0 million, an increase of 9.0% compared with the prior year quarter. The Company’s Retail division net sales were $136.8 million, an increase of 13.0% from the prior year quarter. Written orders booked during the quarter by the Retail division were 14.6% greater than the prior year quarter including comparable design center orders which grew 12.9%.
Net income for the quarter ended June 30, 2011 was $7.2 million or $0.25 earnings per diluted share compared with a net loss the prior year of $26.5 million or $0.91 per diluted share. Excluding special items in both periods, net income for the quarter ended June 30, 2011 was $6.1 million or $0.21 per diluted share compared with $4.6 million or $0.16 per diluted share in the prior year period.
Twelve Months Ended June 30, 2011
For the twelve months ended June 30, 2011, net sales were $679.0 million, up 15.1% from the prior year comparable period. Net income year to date was $29.3 million or $1.01 per diluted share compared with a year to date net loss of $44.3 million or $1.53 loss per diluted share the prior year. Excluding special items, earnings were $0.58 per diluted share for fiscal year 2011 compared with a net loss per diluted share of $0.15 for fiscal year 2010.
Mr. Kathwari concluded, “Our focus on our Five Priorities: projecting a relevant message, accelerating the development of stylish and attainable products, strengthening our retail network, investing in technology, and developing relevant sourcing and logistics, continues to position us well. We are pleased that our written business in July continued to be ahead of the previous year. While we are operating in an uncertain economic environment, we remain cautiously optimistic of the opportunity to continue our progress and increase both sales and profitability.”
Analyst Conference Call
The Company will conduct a conference call at 11:00 AM (Eastern) on Thursday, August 4th to discuss the financial results and its business initiatives. The live webcast and replay are accessible via the Company’s website at http://ethanallen.com/investors.
About Ethan Allen
Ethan Allen Interiors Inc. is a leading interior design company and a manufacturer and retailer of quality home furnishings. Ethan Allen offers free interior design service to its clients and sells a full range of furniture products and decorative accessories through ethanallen.com and through a network of approximately 300 Design Centers in the United States and abroad. Ethan Allen owns and operates seven manufacturing facilities in North America, including five manufacturing plants and one sawmill in the United States and one manufacturing plant in Mexico. Over seventy percent of its products are made in our United States plants. For more information on Ethan Allen’s products and services, visit ethanallen.com.
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