Tweeter Home Entertainment said strong acceptance by its customers for digital home entertainment products helped it turn in record fiscal fourth-quarter and full-year sales and earnings results.
For the three months to September 20 the 74-outlet specialty chain posted a net of $2.11 million, up sharply from the year-earlier $738,000, while revenue, at $74.6 million, increased 39.5%. For the year, Tweeter’s net surged 72.7% to $9.08 million, and sales were up 22% to $283.3 million.
Comparable-store sales were up 5.2% for the quarter and 5% on the year.
Tweeter said its better than one-full-point jump in the quarter’s gross margin to 36.3% of sales was “due primarily to increased sales of higher-margin products such as DVD players, high-end digital receivers, digital camcorders and digital TVs.”
President Jeffrey Stone said Tweeter is benefiting from the strong economy and the availability of new technology products. “Any and everything digital continues to drive our business, and these digital products have had a positive impact on our margins. We also had another strong growth year with our home speaker business, and this business continues to bolster our profitability.”