Dorel posts 3Q revenue increase

MONTREAL — Revenues rose 3.1% in the third quarter for Dorel Inds., parent of ready-to-

assemble major Ameriwood, while net earnings were up 26.5% from the 2016 third quarter.
But excluding a one-time restructuring charge in the 2016 period for an Ameriwood plant closure, earnings of $25.1 million in the latest quarter were down slightly from an adjusted $25.6 million a year ago. Unadjusted earnings in the year-ago quarter were $19.8 million.
Dorel, which reports in U.S. dollars, had revenues of $436.3 million in the latest period. In addition to home furnishings, the company also makes and markets juvenile and recreational products and other home and office goods.
In the RTA segment, sales were down by 7.6% or $4.2 million, mainly because of lower sales to mass merchants, the company said. Ameriwood continues to reposition its business into three units, Domestic, Global Sourcing and Dorel Home Products.
“While Ameriwood has been importing a portion of its products for some time, the new focused global sourcing initiative is expected to yield positive results in 2017,” the company said. “Concurrently, efforts are under way to ensure the lowest cost position in domestic productions and price increases with Ameriwood’s customers have been successfully implemented.”
Ameriwood sells RTA furniture under the Ameriwood, Carina, SystemBuild, Altra and Ridgewood/Charleswood brands as well as the California Closets license.