La-Z-Boy Moves To 1Q Profit On Fewer Charges

MONROE, Mich. (AP) — Furniture maker La-Z-Boy Inc. said that it moved to a fiscal first-quarter profit, helped by fewer charges.

The news sent its shares soaring 7.7 percent in after-hours trading on Tuesday, to $7.97, up 56 cents. The stock wasn't yet active premarket Wednesday.

La-Z-Boy reported Tuesday net income of $2 million, or 4 cents per share, for the period ended July 25. That compares with a loss of $8.5 million, or 17 cents per share, a year earlier.

The most-recent results included a penny per share restructuring charge. Prior-year results included a restructuring charge of 9 cents per share and a 3 cents per share write-down.

Analysts predicted a loss of 5 cents per share, according to a Thomson Reuters poll. Analysts' estimates generally exclude one-time items.

Sales fell 18 percent to $262.7 million from $321.7 million, as the economic downturn continued to weigh on shoppers.

Still, the results beat Wall Street's estimate of $255.1 million.

The upholstery unit's sales dropped 17 percent to $196.7 million, while the casegoods segment's sales slid 25.5 percent to $35.9 million.

Retail sales declined 15.2 percent to $36 million.