The Dixie Group, Inc. (NASDAQ:DXYN) today reported financial results for the third quarter ended September 28, 2013. In the third quarter of 2013, the Company had sales of $90,210,000 and income from continuing operations of $1,432,000, or $0.11 per diluted share, compared with sales of $65,822,000 and income from continuing operations of $269,000, or $0.02 per diluted share for the third quarter of 2012. On a non-GAAP basis, adjusted income from continuing operations was $2,165,000 or $0.15 per diluted share during the third quarter, compared to an adjusted income from continuing operations of $468,000, or $0.04 per diluted share in the third quarter of 2012. Commenting on the results, Daniel K. Frierson, chairman and chief executive officer, said, “The third quarter sales improvement was a robust 37% over the prior year’s quarter. Our residential products grew 35%, compared to the same period a year ago, and we believe that the residential market grew in the high single digits during the quarter and should continue to improve over the next year. Sales for our commercial products increased nearly 40% versus the third quarter of 2012. In contrast, we estimate that the commercial market was up in the low single digits. All of our product categories were up, showing the broad nature of our market momentum. “Our growth, year-to-date, in excess of 27%, compared to the same period in 2012, is a result of the investments we have made in new products, processes, businesses and sales coverage. The residential growth was driven by strong results in our mass merchant area, continued growth of our Stainmaster® TruSoft® and SolarMax® products, and momentum gained in our wool business from the integration of the Robertex business purchased early in the third quarter. The marketplace continues to shift to softer products, as demonstrated by the growth of our Stainmaster® TruSoft® products. Sales for all of our residential brands were up for the quarter, and all retail channels continue to show momentum as we enter the fourth quarter. In the commercial market, we had excellent growth during the period with exceptional strength in our modular carpet tile products. Our strength in the store planning sector was of particular note during the period. Our continued successful launch of the SPEAK modular carpet tile and FIT office remodel collections positively impacted the quarter. These high performance products fulfill the need for high-styled modular and broadloom carpet products in today's market. Avant Contract, our newest commercial brand focused on the specified commercial office market, was launched during the quarter. Avant's edgier use of patterns, textures, and colors combined with the marketing campaign promoting local and regional artisans has been well received by the architectural and design community.