Server: Netscape-Enterprise/2.0a Date: Thu, 18 Dec 1997 02:13:50 GMT Accept-ranges: bytes Last-modified: Thu, 16 Oct 1997 13:35:26 GMT Content-length: 3069 Content-type: text/html
1ST QUARTER 98 PRESS RELEASE
FOR IMMEDIATE RELEASE
CONTACT: Ed Schade
Ethan Allen Interiors Inc.
(203) 743-8294
ETHAN ALLEN INTERIORS INC. REPORTS
RECORD FIRST QUARTER SALES AND EARNINGS
DANBURY, CONN., October 15, 1997 -- Ethan Allen Interiors Inc. (NYSE: ETH) today reported record first quarter sales and earnings. This is the ninth consecutive quarter the Company has been able to report significant growth in sales and earnings.
Sales for the quarter ended September 30, 1997, totaled $152.5 million, or 15.2% greater than the corresponding quarter in the prior year. The Company's wholesale sales increased 15.8% to $128.5 million during the quarter, resulting from double digit sales growth in all product categories. Sales from the Company's Retail Division increased 30.4% to $52.5 million in the quarter, comparable Ethan Allen-owned store sales increased 17.1%.
Net income available to common shareholders for the quarter ended September 30, 1997, increased to $14.0 million, or $.48 a share, which represents a 59.8% increase as compared to $8.8 million, or $.30 a share, in the first quarter of the prior fiscal year.
Operating income in the quarter improved to $24.0 million, or 15.7% of net sales, compared to $16.4 million, or 12.4% of net sales, in the corresponding quarter in the prior year.
The Company attributes the continued earnings increase to improved manufacturing margins, improved retail performance, continued growth in sales, close monitoring of operating expenses and lower interest expense. "This quarter, we continued to demonstrate the unique strength of our vertically integrated structure. Because of increased efficiencies in manufacturing and distribution, we were able to maintain our current prices in spite of increases in materials and shipping costs. In addition, to meet the demand of strong sales, we were able to quickly increase capacity in our plants without affecting our margins. These efficiencies are allowing us to deliver the highest quality products to the consumer, at a good value, and in the quickest possible time frame," commented M. Farooq Kathwari, Chairman and Chief Executive Officer of Ethan Allen Inc.
Ethan Allen Interiors Inc., a leading manufacturer and retailer of quality home furnishings, sells a full range of furniture products and decorative accessories through an exclusive network of 301 retail stores, 66 of which are Company-owned. Retail stores are located in the United States, Canada and Mexico with 17 located abroad. Ethan Allen has 21 manufacturing facilities and 3 sawmills throughout the United States. Ethan Allen can be found on the internet at http://www.ethanallen.com.