Home / Knowledge / News / Textiles / Carpet maker Mohawk sales up 5.5% in Q1
Carpet maker Mohawk sales up 5.5% in Q1
03
May '13
Mohawk Industries, Inc. announced 2013 first quarter net earnings of $50 million and diluted earnings per share (EPS) of $0.72. Excluding unusual charges, net earnings were $61 million and EPS was $0.87, a 50% increase over last year's first quarter EPS. Net sales for the first quarter of 2013 were $1.5 billion, an increase of 5.5% versus the prior year's first quarter. For the first quarter of 2012, net sales were $1.4 billion, net earnings were $40 million and EPS was $0.58.

Commenting on Mohawk Industries' first quarter performance, Jeffrey S. Lorberbaum, Chairman and CEO, stated, "Improvements in the U.S. market, product mix, productivity improvements, lower amortization and the Pergo acquisition all contributed to our results, offset by the negative impact of a slower European economy and one less day in the period compared to last year. During the quarter, we generated adjusted EBITDA of $151 million and reduced SG&A by 90 basis points, relative to net sales, across the enterprise even as we increased investment in growth areas of the business."

"In January we completed the acquisition of Pergo. In both the U.S. and Europe, we are executing our Pergo integration strategy, which includes asset consolidation, manufacturing process improvements, product line enhancements, and management, sales and administrative restructuring. After the first quarter closed, we completed the acquisition of the Marazzi Group, which makes Mohawk the global leader in ceramic tile.

“We also received regulatory approval of our proposed acquisition of the Belgian board manufacturer Spano in late April and expect to complete the transaction shortly. For two decades, we have created significant shareholder value through a dual strategy of growing our established business while enhancing the performance of acquired companies. With an experienced management team, we have the resources and talent to execute these strategies. Regardless of the pace of the global economic recovery, we remain committed to driving innovation, operational excellence and geographic expansion to optimize our business."

Mohawk segment sales were relatively flat during the first quarter, with operating income rising 24%, excluding unusual charges. Carpet sales growth was partially offset by home center transitions that were completed late in the first quarter and lower rug sales. Sales of our premium products in the specialty channel continued to show strength, with expected improvement in the home center channel as new introductions gain traction in the second quarter. We began implementing a 4-6% carpet price increase during the quarter to offset our material cost changes; however, the timing of the implementation will not cover an estimated $5 - $10 million of those higher costs in the second quarter.

Mohawk Industries


Must ReadView All

Courtesy: Fancycrave.com from Pexels

Apparel/Garments | On 22nd Jun 2018

EU's retaliatory duty on US apparel takes effect

As part of the three-pronged response outlined by the European...

NCC applauds House passage of farm legislation

Textiles | On 22nd Jun 2018

NCC applauds House passage of farm legislation

The National Cotton Council (NCC) of the US has welcomed the passage...

Courtesy: Roman Pohorecki from Pexels

Apparel/Garments | On 22nd Jun 2018

UK launches inquiry on sustainability of fashion industry

The Environmental Audit Committee of the UK Parliament has launched...

Interviews View All

Poojaa Kumar Deepak
Zeven

Zeven's performance sports apparel is designed for the Indian body type,...

Top executives
Textile industry, India

Such fairs are a must for industry to showcase new innovations

Mandeep Nagi
Shades of India

Women value something that is unique and has a flavour of India

Paolo Crespi

For.Tex is an Italy-based leading producer of dyes and thickeners, and is...

Suresh P Bagrecha

Komal Texfab, founded in 1981, is into manufacturing of knitted fabrics,...

Hardik Sanghvi

Idealin Fogging Systems has been engaged in designing and manufacturing...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Divvya and Nidhhi Gambhir
Walnut

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

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

Leave your Comments


June 2018

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

news category


Related Categories:

Advanced Search