Home / Knowledge / News / Textiles / Positive sales trend at Culp Inc
Positive sales trend at Culp Inc
30
Nov '11
Culp Inc. reported financial and operating results for the second quarter of fiscal 2012 ended October 30, 2011.

Highlights for the second quarter of fiscal 2012 include the following:
• Net sales were $58.0 million, a 19 percent increase compared with the second quarter of fiscal 2011, with mattress fabrics segment sales up 24 percent and upholstery fabric segment sales up 11 percent over the same period a year ago.
• Pre-tax income was $2.9 million, or 4.9 percent of sales, compared with $3.2 million, or 6.5 percent of sales, in the prior year period.
• Net income was $6.3 million, or $0.49 per diluted share, compared with net income of $4.0 million, or $0.30 per diluted share, for the second quarter of fiscal 2011. Net income for the second quarter of 2012 included an income tax benefit of $3.4 million, while net income for the previous year period included an $801,000 income tax benefit.
• As of November 25, 2011, the company has repurchased 585,000 shares of Culp common stock for approximately $5.1 million, or 4.4 percent of shares outstanding at the beginning of its share repurchase program announced in June.
• The company's financial position remained strong, with cash and cash equivalents and short term investments of $24.3 million and total debt of $9.2 million as of October 30, 2011, even with stock repurchases of $4.8 million, capital expenditures of $2.6 million and debt repayments of $2.3 million.

Fiscal 2011 Year to Date Highlights
• Year to date sales were $118.3 million, up 13 percent from the same period a year ago, with mattress fabrics segment sales up 14 percent and upholstery fabrics segment sales up 12 percent over the same period a year ago.
• Year to date pre-tax income was $5.8 million, or 4.9 percent of sales, compared with $7.5 million, or 7.1 percent of sales for the same period last year.
• Year to date net income was $8.1 million, or $0.62 per diluted share, compared with net income of $7.7 million, or $0.59 per diluted share, for the same period a year ago. Year to date net income included a $2.2 million income tax benefit, while net income for the previous year period included an income tax benefit of $270,000.
• The projection for third quarter fiscal 2012 is for overall sales to increase approximately two to six percent. Pre-tax income for the third quarter of fiscal 2012 is expected to be in the range of $1.9 to $2.8 million.

Commenting on the results, Saxon said, “We are pleased with the positive sales trend for the second quarter and through the first half of fiscal 2012. Both of our businesses had impressive sales gains in spite of an uncertain global economic environment, and we are well positioned to build further on this sales momentum. These trends reflect the success of our various sales and marketing initiatives along with the benefits of our excellent design capabilities and efficient manufacturing platform.

Overall,our profitability is down somewhat compared with a year ago, primarily due to higher raw material costs in both businesses and the currency impact in the upholstery fabrics business. We have established a strong competitive position in both mattress fabrics and upholstery fabrics as we have continued to deliver innovative products that meet the changing demands of our customers.

Must ReadView All

Apparel/Garments | On 18th Feb 2017

Bangladesh apparel sector has 95% local investors: BGMEA

Over 95 per cent of the total investors in the Bangladesh apparel...

Textiles | On 18th Feb 2017

Smriti Irani resolves cutting of carpets issue at ports

During a meeting held with stake holders of the carpet weaving...

Apparel/Garments | On 18th Feb 2017

Andhra Pradesh inks MoUs to set up 12 apparel units

At the recent CII Partnership Summit held in Hyderabad, memorandum of ...

Interviews View All

Mukesh Agarwal & Rajesh Agarwal
Madhuram Fincap Pvt Ltd

Increasing prices and lack of demand main issues facing industry

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

Akash Khetan
Narayan Tex Fab

I find it hard to find professionals in Surat

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
February 2017

February 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search