Lumber Liquidators reports rise in Q1 sales
Toano, Va.-based hardwood flooring retailer Lumber Liquidators posted first-quarter net sales of $159.7 million, a 5.6% increase from sales of $151.2 million in the first quarter of 2010. Comparable-store sales decreased 4.3% for the quarter, compared with an increase of 8.0% for the first quarter of the prior year. The drop in same-store sales was attributed to “the adverse impact of inconsistent servicing of new demand following the implementation of the company's integrated technology solution in August 2010,” according to a press release.
Net income for the quarter, which ended March 31, was $5.8 million, compared with $7.0 million a year ago, a 17.1% decline. The company opened 16 stores during the first quarter of 2011, including three in Canada.
"We are pleased with our progress across a range of strategic initiatives,” said Jeffrey Griffiths, president and CEO. “We believe our store operations have regained pre-implementation levels of productivity and have improved execution in converting demand to net sales.”
Looking forward, the company anticipates net sales for the full year in the range of $700 million to $730 million. Comp-store sales are expected to increase in the low to mid-single digits in 2011. The opening of a total of 40 to 50 new store locations, with 35 to 40 in the United States and the remainder in Canada, are planned for this fiscal year.