Thursday August 8th, 2013 - 9:30AM
Lifetime Brands, Inc., reported that consolidated net sales for 2013's second quarter, which ended June 30, were $97.0 million, an increase of $2.1 million, or 2.2%, from the corresponding period in 2012. Consolidated net sales included $3.9 million of net sales from Fred & Friends, which was acquired in December 2012.
While the company showed sales growth, it posted a net loss for the quarter of $0.6 million as compared to net income of $0.6 million for the corresponding period in 2012. Adjusted net loss was $1.1 million as compared to adjusted net income of $1.0 million in the 2012 period.
“As I previously have noted, comparing quarterly results with prior periods can be misleading, as our sales in any one period, especially in the first half of the year, can be heavily influenced by the timing of promotions and the roll-out of new programs," Jeffrey Siegel, Lifetime's chairman and CEO, said. "Our outlook for the third and fourth quarters remains positive, based on our healthy order flow, which is being driven by increased retail placement, rollouts of new products and programs, strong promotional activity, the inclusion of Fred & Friends and the improving U.S. economy. For the full year, we now expect net sales to increase by 5% to 7%.”
Lifetime Brands reported six month financial highlights ending June 30 as well, noting that consolidated net sales were $195.6 million, an decrease of $8.4 million, or 4.1%, from the corresponding period in 2012. Consolidated net sales included $7.3 million of net sales from Fred & Friends. Net loss was $1.2 million as compared to net income of $1.9 million for the corresponding period in 2012. Adjusted net loss was $1.7 million as compared to adjusted net income of $2.4 million in the 2012 period.
The company has also announced that its Board of Directors appointed John Koegel to the newly created position of lead director. Koegel served as director since 2008 and will continue to serve as chairman to the nominating and governance committee and as member of the compensation committee and the strategic planning committee.
“Jack’s extensive retailing background, broad industry experience and leadership skills provide the Board of Directors and the company with valuable strategic vision and counsel,” Siegel said.
On April 30, Lifetime's board of directors had authorized the repurchase of up to $10.0 million of the company’s common stock. During the three months ended June 30, 2013, the company repurchased 245,575 shares at a total cost of $3.2 million.