RICHMOND, Va. (AP) — Lumber Liquidators said Wednesday that its third-quarter net income almost doubled as the hardwood flooring retailer's sales rose and lower costs increased its margins.
The results beat analysts' expectations and its shares climbed almost 15 percent in midday trading after briefly touching an all-time high.
Lumber Liquidators Holdings Inc. reported earnings of $12.9 million, or 46 cents per share, for the period ended Sept. 30. That's up from $6.7 million, or 24 cents per share, a year ago.
The Toano, Va.-based company said revenue rose about 19 percent to $204.3 million from $172 million.
Analysts polled by FactSet expected earnings of 34 cents per share on revenue of $189.4 million.
Revenue at stores open at least a year increased 12 percent. That comparison is a key gauge of a retailer's health because it excludes stores that recently opened or closed.
Lumber Liquidators opened seven stores during the quarter and has more than 285 stores in North America.
The company has benefited from broadening its advertising reach, expanding its selection and driving effective store execution, CEO Robert M. Lynch said in a news release.
"Our value proposition, combining price, selection, quality and availability with the expertise and service provided by our people, resonated with customers," Lynch said. "While our economy is facing a number of uncertainties in the coming months, our focus remains on continuous improvement in everything we do so that we can deliver value to our customers and shareholders."