twice connect

Fedders Posts 18% Sales Hike In Q2

4/02/2001 02:00:00 AM Eastern

LIBERTY CORNER, N.J. -Primarily as a result of sales at recently acquired companies, air conditioner manufacturer Fedders Corp. enjoyed an 18.4 percent jump in net sales for its fiscal second quarter. The company posted sales of $83.3 million for the three-month period, compared with $70.4 million in the year-ago second quarter.

Citing a cool summer in 2000, which lowered demand for room air conditioners, Fedders said it still achieved nearly break-even results for the second quarter. The company registered a net loss of $200,000 for the three months ended Feb. 28, compared with a gain of $1.3 million in the same period a year ago.

Gross profit margin dropped 700 basis points to 24.5 percent in the second quarter, down from 31.5 percent in the year-ago three months. The company pinned the blame for this dip mainly on unabsorbed overhead due to the idling of a primary room air conditioner production facility in North America for the entire month of December 2000.

Operating income for the second quarter was $5.1 million, down from the $7.8 million reported a year ago.

Sales for the six months reached $123.3 million, a 7 percent hike over the $115.1 million reported the previous year. Here, the acquired companies more than offset the drop in room air conditioner sales. Net loss for the six months was $7.7 million, compared with a loss of $849,000 in the year-ago six months.

For the trailing 12 months, ended in February, Fedders reported net sales of $418 million, about an 8 percent jump over the $386.4 million recorded in the year-ago period. Net income, however, hit $13.5 million in this time frame, down from the $61.8 million recorded in the previous fiscal year.

During the second quarter of fiscal 2001, Fedders repurchased about 529,000 shares of common and Class A Stock for about $2.5 million, reducing total shares outstanding to about 31.8 million.

ProSource Meeting Filled With Optimism

San Antonio — Optimism reigned at ProSource’s

Ingram Draws 500 To Spring Vendor Expo

Scottsdale, Ariz. — Ingram Micro Consumer

CEA Holds ’14 Digital Patriots Dinner

Washington — CEA held its annual Digital Patriots’

8 Technology Accessories For a Greener Earth

An Earth Day review of Earth-friendly products, by

BrandSource Shows Diverse Product Selection

BrandSource’s Summit show at the Marriott World

Scenes From Toy Fair

By Lisa Johnston

ADL Honors Morales, Bilas, Paull, Weedfald At Annual Dinner

New York — The Anti-Defamation League’s National