American Woodmark Corp. posts Q2 loss
Sales increased at American Woodmark Corp., but the Winchester, Va.-based company still reported a net loss of $7.4 million.
The manufacturer and distributor of kitchen cabinets and vanities for the remodeling and new-home construction markets posted second-quarter sales of $107.6 million, up 3% compared with the second quarter last year. The company's loss expanded to $7.384 million, compared with a net loss of $5.279 million in the prior-year quarter.
Gross profits slipped to 9.1% of net sales in the second quarter, and slipped to 11.2% of net sales during the first six months.
"The decline in gross profit margin during the three- and six-month periods primarily reflected the unfavorable impact of increased sales promotion costs that were included as either reductions of sales or increases to cost of sales during the second quarter of fiscal year 2011.