Skip to main content

Stanley Furniture

(STLY)

posted better than expected sales and earnings, beating the consensus estimate by a nickel.

The furniture retailer reported net income of $3.7 million, or 54 cents a share, on net sales of $59.6 million, down from net income of $4.1 million, or 59 cents a share, on revenue of $65.11 million in the year ago quarter. The company's original guidance called for revenue in the range of $56 million to $58 million, while analysts polled by Thomson Financial/First Call had been expecting earnings per share of 49 cents on revenue of $57.30 million.

TheStreet Recommends

The company had strong cash flow of $5.2 million for the quarter, which it used to reduce debt by about $4.9 million and increase its cash holdings to about $353,000. Operating income as a percentage of net sales was 11%, down from 11.4% in the year ago quarter but up from 7.0% in the fourth quarter.

In a press release, the company said it continues to see an "inconsistent retail environment for residential wood furniture," but it expects to see total 2002 sales increase 5% to 8% with EPS in the range of $2.40 to $2.60, ahead of First Call analyst estimates of $2.36.

For the second quarter, the company expects sales to increase 10% to 14% with earnings of 52 cents to 57 cents, compared with First Call estimates of 52 cents.

Recently, shares of Stanley Furniture were trading up 9.23% to $36.34 after closing at $33.27 Monday.