Lumber Liquidators 1Q profit jumps 42 percent
RICHMOND, Va. (AP) — Lumber Liquidators Holdings Inc. said Wednesday that its first-quarter profit increased nearly 42 percent as the hardwood flooring retailer's revenue rose and margins increased.
The Toano, Va., company said Wednesday its net income rose to $8.2 million, or 29 cents per share, for the period ended March 31, up from $5.8 million, or 20 cents per share, a year ago when costs related to the implementation of a new point-of-sale and inventory management system drove its results down.
Revenue rose nearly 18 percent to $188 million, and revenue at stores open at least a year increased 7.5 percent. That comparison is a key gauge of a retailer's health because it excludes stores that recently opened or closed. Lumber Liquidators opened four stores during the quarter and has more than 265 stores in North America.
Analysts polled by FactSet expected earnings of 25 cents per share on revenue of $177 million.
The company's value proposition resonates with consumers and has increased traffic and sales, CEO Robert M. Lynch said in a news release.