Reduced costs help triple Flexsteel earnings

DUBUQUE, Iowa — Upholstery producer and importer Flexsteel Inds. said sales for its


most recent quarter were essentially flat when compared to the same quarter a year earlier, but net income nearly tripled.
The company said sales were hampered by soft business conditions in its residential furniture and recreational vehicle seating divisions.  Sales declines in those units largealy offset a 14.1% increase in sales in its commercial division.
Total sales for the fiscal second quarter ended Dec. 31 were $105.7 million, compared with $106.3 million in the quarter ended Dec. 31, 2016.
Net income was $1.41 million, up from $489,000 a year earlier, largely because of reduced sales, general and administrative expenses.
The company said residential furniture sales declined 3.7% to $67 million in the most recent quarter, which was the second quarter of Flexsteel’s fiscal year.
For the first six months of the fiscal year, total sales rose 1.6% to $207 million, while net income jumped 33.7% to $1.97 million, or 30 cents per share.
For the six months ended Dec. 31, residential furniture sales edged up 0.9% to $128.8 million.