Over 154 Years of Service to the Furniture Industry
 Furniture World Logo

Ethan Allen Reports Small Drop in Sames Store Sales

Furniture World Magazine

on

Furniture retailer Ethan Allen Interiors Inc. reported that its fiscal second quarter profit dropped 10 percent due to a rise in operating expenses and a slight dip in sales at stores open at least a year. For the quarter ended Dec. 31, net income fell to $20.6 million, or 70 cents per share, from $22.8 million, or 70 cents per share in the prior year quarter. Per-share results for the latest quarter were based on about 3 million fewer shares outstanding. Earnings were hurt by a 9 percent jump in operating expenses and the absence of a restructuring and impairment credit of $314,000 that helped boost slightly the bottom line in the year-ago period. Revenue rose just under 1 percent to $259.5 million from $257.4 million in the second quarter of 2007. Sales at retail stores rose 9 percent while sales at wholesale locations fell 6 percent. Ethan Allen design center same-store sales, or sales at stores open at least a year, dipped 0.6 percent. Same-store sales is a key indicator of retailer performance since it measures growth at existing locations rather than newly-opened ones.