citing a decrease in recreational vehicle sales... Soft RV Sales Impact Decorator Industries
Thursday, August 11, 2005
Interior furnishings supplier Decorator Industries Inc. reported a decline in revenue and earnings for its second quarter and six months, citing a decrease in recreational vehicle sales.
The Pembroke Pines, Fla.-based company said sales for the quarter were $13.3 million compared to $14.3 million a year ago while net income fell to $241,317 from $538,612.
For the six months, Decorator posted sales of $25.7 million compared with $27.1 million the year prior, and net income declined to $659,653 from $739,496.
"The decrease in sales for both the quarter and six-month period of 2005 was due to a decline in sales to our RV customers partially offset by a modest increase in sales to our manufactured housing customers and record quarterly hospitality shipments," said William Bassett, chairman, president and CEO. "Sales to our RV customers declined by $1,633,000 and $2,593,000, respectively, for the second quarter and six-month periods of 2005 compared with the same periods a year ago."
He added, "The reduction in our RV sales was directly related to lower production of travel trailers and motorhomes by our customers."
In addition, Bassett said startup costs for a new factory in Phoenix, Ariz., cut into profits.