Gonzales-based Crown Crafts Inc. posted net income of $1.9 million, or 19 cents per diluted share, for the third quarter of fiscal year 2017, according to the company’s quarterly report.
The baby products maker’s third quarter net income is down from the $2.1 million, or 21 cents per diluted share, it reported for the same quarter in fiscal year 2016, the report notes.
For the first nine months of the current fiscal year, the company’s net income was $4 million, or 39 cents per diluted share, compared with the net income of $4.6 million, or 46 cents per diluted share, for same period in fiscal year 2016, the report says.
In a news release issued today, Crown Crafts says a change in its state income tax calculation helped boost its earnings for the third quarter and first nine months of the prior fiscal year by $315,000. Net sales for the quarter fell to $17.3 million from $20.7 million for the same period of fiscal year 2016.
“We maintained our strong profitability in the third quarter, and our cash balance of $14.4 million increased from both the prior quarter and the prior-year quarter,” says E. Randall Chestnut, Crown Crafts’ chairman, president and CEO, in a prepared statement. “Our gross profit margin benefited from continued favorable currency exchange rates and our ongoing focus on controlling costs. Net sales in the quarter were impacted most significantly by a customer’s Black Friday sales promotion in the prior year that was not repeated this year and a credit issue with a major retailer.”
