Woodmark Posts Third Qtr. Gains
Winchester, VA American Woodmark Corp. has reported an increase in both sales and net income for the company's third fiscal quarter, ended Jan. 31, 2001.
The publicly traded cabinet manufacturer, headquartered here, said that third-quarter net income rose 29%, to just under $3.3 million, from about $2.6 million in the same quarter a year earlier. The gain in income was coupled with a 10% sales increase, to $101.2 million, for the quarter, the company noted.
Excluding the impact of its exit from the custom cabinet and original equipment markets last year, sales growth in the third quarter was 15%, American Woodmark said, adding that gross margins increased to 26% from 24.3% the previous year.
The margin increase was attributed to improvements in material utilization resulting from changes in product mix and price reductions in certain raw materials.
"The economic outlook for the period covered by the company's fiscal fourth quarter is clearly uncertain," American Woodmark said, adding that it expects net sales for the fourth quarter ending April 30 to increase between 8% and 10% over the prior year.