HIGH POINT — Culp Inc. reported internet gross sales of $74.6 million for the second quarter fiscal 2022 ended Oct. 31, down 3% from the identical quarter in 2020. Whereas mattress cloth gross sales had been up 2.1%, upholstery cloth gross sales dipped 8.5% for the interval.
Web earnings got here in at $851,000 for the quarter, or 7 cents per diluted share, as in contrast with internet earnings of $2.4 million, or 19 cents per share, for the year-ago interval.
Within the earnings launch, Culp introduced a 5% enhance in its quarterly money dividend, to 11.5 cents per share, starting within the third quarter of fiscal 2022.
Culp cited ongoing uncertainty within the macroeconomic setting and stated it expects present headwinds to proceed to strain outcomes all through the second half of fiscal 2022, particularly throughout the third quarter. The corporate is withdrawing its beforehand issued annual steering for fiscal 2022 and is offering a restricted outlook for the third and fourth quarters.
The corporate’s internet gross sales and consolidated working earnings (earnings from operations) for the third quarter of fiscal 2022 are anticipated to be sequentially akin to the second quarter of fiscal 2022. It expects a robust enchancment in internet gross sales and working earnings for the fourth quarter of fiscal 2022, as in contrast with each the third quarter of fiscal 2022 and the fourth quarter of fiscal 2021.
“As beforehand introduced, our outcomes for the second quarter mirrored decrease than anticipated gross sales, primarily for our upholstery materials phase,” stated Iv Culp, president and CEO. “A number of exterior components affected our gross sales outcomes for the quarter, notably COVID-related shutdowns in Vietnam and buyer provide chain constraints for non-fabric parts, whereas profitability remained pressured in each of our companies by the continued speedy rise in freight, uncooked materials, and labor prices.”
He added that the corporate expects to see a “significant rebound” in enterprise starting within the fourth quarter and persevering with into the following fiscal 12 months.
Culp expects to open its new Haiti facility throughout the third quarter, growing its capability for cut-and-sewn upholstery kits.
!operate(f,b,e,v,n,t,s)
{if(f.fbq)return;n=f.fbq=operate(){n.callMethod?
n.callMethod.apply(n,arguments):n.queue.push(arguments)};
if(!f._fbq)f._fbq=n;n.push=n;n.loaded=!0;n.model=’2.0′;
n.queue=[];t=b.createElement(e);t.async=!0;
t.src=v;s=b.getElementsByTagName(e)[0];
s.parentNode.insertBefore(t,s)}(window, doc,’script’,
‘https://join.facebook.internet/en_US/fbevents.js’);
fbq(‘init’, ‘693453330863834’);
fbq(‘monitor’, ‘PageView’);
window.fbAsyncInit = operate () {
FB.init({
xfbml: true,
model: ‘v3.2’
});
};
(operate (d, s, id) {
var js, fjs = d.getElementsByTagName(s)[0];
if (d.getElementById(id)) {
return;
}
js = d.createElement(s);
js.id = id;
js.src = “https://join.facebook.internet/en_US/sdk.js”;
fjs.parentNode.insertBefore(js, fjs);
}(doc, ‘script’, ‘facebook-jssdk’));
Discover more from News Journals
Subscribe to get the latest posts sent to your email.
