RICHMOND, Va. (AP) — Lumber Liquidators said Wednesday that its fourth-quarter net income rose nearly 51 percent as the hardwood flooring retailer's sales rose.
Its results beat Wall Street expectations and shares rose more than 6 percent in midmorning trading.
Lumber Liquidators Holdings Inc., which has more than 320 stores in North America, said some lower costs helped boost its gross margin, the percentage of each dollar of sales that a company keeps as profit.
The company also announced a new $50 million share buyback and said it plans to open a total of 30 to 40 new stores in 2014.
CEO Robert Lynch said in a conference call with investors that the company has been "relentless in driving continuous improvement" through strategies including, expanded advertising, better product sourcing and supply chain structure, as well as setting a new standard for its showroom design.
The Toano, Va.-based company earned $20.8 million, or 74 cents per share, for the period ended Dec. 31. That's up from $13.8 million, or 50 cents per share, a year ago.