Craftmade International Announces Sales and Earnings Results for Its Fiscal 2001 Third Quarter

Apr 24, 2001, 01:00 ET from Craftmade International, Inc.

    COPPELL, Texas, April 24 /PRNewswire Interactive News Release/ --
 Craftmade International, Inc. (Nasdaq:   CRFT) today reported earnings results
 for its fiscal 2001 third quarter ending March 31, 2001.  Highlights were as
 follows:
 
     *  Earnings per share increased 100% year over year.
     *  Approximately $2.5 million in revenue was shifted from the third
        quarter to the fourth quarter due to customer delays.
     *  Management expects fiscal year 2001 earnings per share to increase
        25% or more compared to the previous year.
     *  The company projects year-over-year sales increases of 20% or greater
        over the next four quarters.
 
     Net income was $680,000, or $0.12 per diluted share, compared to net
 income of $391,000, or $0.06 per diluted share in the year-ago quarter.
 Revenues for the quarter decreased 2.2% to $19,892,000 from $20,336,000 for
 the same period a year ago.  Fully diluted shares outstanding for the
 three-month period were 5,891,000 compared to 6,671,000 for the same period
 last year.
     For the nine months ended March 31, 2001, revenues increased 5.3% to
 $63,357,000 from $60,157,000 for the same period last year.  Net income for
 the nine-month period was $2,905,000, or $0.49 per diluted share, compared to
 $2,861,000, or $0.41 per diluted share, for the year-ago period.  Fully
 diluted shares outstanding for the first nine months were 5,956,000 compared
 to 6,954,000 for the 2000 period.
     "Primarily as a result of the uncertainty in timing of additional store
 set-ups and orders, (as indicated in our press release dated January 23, 2001)
 we did not meet analyst expectations of $0.15 for our third quarter," said
 James R. Ridings, Chairman and Chief Executive Officer.  "We are pleased with
 our financial results on a year-over-year basis, and we expect earnings for
 the full fiscal year ending June 30, 2001 to increase 25% or more compared to
 the previous year," he continued.
     "Sales from our showroom division declined 5.5% partially due to price
 reductions implemented during the quarter.  In addition, many of our customers
 tightened inventory levels in light of uncertain economic conditions."
     "Our mass retail division continues to make meaningful progress with the
 roll-out of its patent-pending, merchandising display program for portable
 lamps and shades.  To date, we have set more than 150 locations, and we
 believe we will meet our goal of setting more than 350 stores by June 30,
 2001.  We expect to complete the full roll out by late September or early
 October," he said.  "The lamp program generated approximately $2.5 million in
 incremental revenue during the quarter, partially offset by customers reducing
 inventory levels in the third quarter and delaying the implementation of new
 programs until the fourth quarter."
     Gross profit as a percentage of sales for the three months ended
 March 31, 2001, increased to 37.0% from 30.6% in the year-ago period.  The
 increase in gross margin was partially attributable to a shift in the sales
 mix of the company's TSI division, from direct import sales to domestic sales,
 which have higher gross margins and higher SG&A expenses.  In addition, last
 year's gross margin was negatively impacted by inventory write-downs and sales
 credits.
     Total selling, general and administrative expenses increased to 26.2% of
 net sales for the third quarter of fiscal 2001, from 22.7% of net sales for
 the same period last year.
 
 
                                  Three Months Ended       Nine Months Ended
                                      March 31,                March 31,
                                   2001        2000         2001       2000
                                    (In thousands, except per share data)
     Net Sales                   $19,892      $20,336     $63,357    $60,157
     Gross profit                  7,352        6,217      23,002     20,631
     Selling, general and
      administrative expenses      5,213        4,607      15,020     13,480
     Net income                      680          391       2,905      2,861
     Basic and diluted
      earnings per share           $0.12        $0.06       $0.49      $0.41
     Diluted shares
      outstanding                  5,891        6,671       5,956      6,954
 
     A conference call to discuss the company's performance during its fiscal
 2001 third quarter, as well as the company's outlook, is scheduled for today
 at 10:00 a.m. Central Daylight Time.  To participate in this call, dial
 (913) 981-5510 and refer to confirmation code 402556.  A replay of the
 conference call can also be accessed via the company's Web site at
 www.craftmade.com.
     Craftmade International, Inc., founded in 1985 and based in Coppell,
 Texas, is engaged in the design, distribution and marketing of a broad range
 of proprietary ceiling fans, lighting products and related accessories.  The
 company distributes its premium products through a network of 1,600 showrooms
 and electrical wholesalers through a national sales organization of more than
 65 independent sales representatives.  Through its Trade Source International
 subsidiary, acquired in 1998, Craftmade distributes outdoor lighting, ceiling
 fan accessories and an indoor lighting line to the mass merchandiser market,
 which includes Lowe's, Home Depot and Wal-Mart.
     Certain statements in this News Release constitute "forward-looking"
 statements within the meaning of the Private Securities Litigation Reform Act
 of 1995.  Such forward-looking statements involve known and unknown risks,
 uncertainties and other factors which may cause the actual results,
 performance or achievements of Craftmade International, Inc. to be materially
 different from any future results, performance or achievements expressed or
 implied by such forward-looking statements.  These factors are discussed in
 more detail in the company's Form 10-K filing with the Securities and Exchange
 Commission.
 
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                http://tbutton.prnewswire.com/prn/11690X15226534
 
 

SOURCE Craftmade International, Inc.
    COPPELL, Texas, April 24 /PRNewswire Interactive News Release/ --
 Craftmade International, Inc. (Nasdaq:   CRFT) today reported earnings results
 for its fiscal 2001 third quarter ending March 31, 2001.  Highlights were as
 follows:
 
     *  Earnings per share increased 100% year over year.
     *  Approximately $2.5 million in revenue was shifted from the third
        quarter to the fourth quarter due to customer delays.
     *  Management expects fiscal year 2001 earnings per share to increase
        25% or more compared to the previous year.
     *  The company projects year-over-year sales increases of 20% or greater
        over the next four quarters.
 
     Net income was $680,000, or $0.12 per diluted share, compared to net
 income of $391,000, or $0.06 per diluted share in the year-ago quarter.
 Revenues for the quarter decreased 2.2% to $19,892,000 from $20,336,000 for
 the same period a year ago.  Fully diluted shares outstanding for the
 three-month period were 5,891,000 compared to 6,671,000 for the same period
 last year.
     For the nine months ended March 31, 2001, revenues increased 5.3% to
 $63,357,000 from $60,157,000 for the same period last year.  Net income for
 the nine-month period was $2,905,000, or $0.49 per diluted share, compared to
 $2,861,000, or $0.41 per diluted share, for the year-ago period.  Fully
 diluted shares outstanding for the first nine months were 5,956,000 compared
 to 6,954,000 for the 2000 period.
     "Primarily as a result of the uncertainty in timing of additional store
 set-ups and orders, (as indicated in our press release dated January 23, 2001)
 we did not meet analyst expectations of $0.15 for our third quarter," said
 James R. Ridings, Chairman and Chief Executive Officer.  "We are pleased with
 our financial results on a year-over-year basis, and we expect earnings for
 the full fiscal year ending June 30, 2001 to increase 25% or more compared to
 the previous year," he continued.
     "Sales from our showroom division declined 5.5% partially due to price
 reductions implemented during the quarter.  In addition, many of our customers
 tightened inventory levels in light of uncertain economic conditions."
     "Our mass retail division continues to make meaningful progress with the
 roll-out of its patent-pending, merchandising display program for portable
 lamps and shades.  To date, we have set more than 150 locations, and we
 believe we will meet our goal of setting more than 350 stores by June 30,
 2001.  We expect to complete the full roll out by late September or early
 October," he said.  "The lamp program generated approximately $2.5 million in
 incremental revenue during the quarter, partially offset by customers reducing
 inventory levels in the third quarter and delaying the implementation of new
 programs until the fourth quarter."
     Gross profit as a percentage of sales for the three months ended
 March 31, 2001, increased to 37.0% from 30.6% in the year-ago period.  The
 increase in gross margin was partially attributable to a shift in the sales
 mix of the company's TSI division, from direct import sales to domestic sales,
 which have higher gross margins and higher SG&A expenses.  In addition, last
 year's gross margin was negatively impacted by inventory write-downs and sales
 credits.
     Total selling, general and administrative expenses increased to 26.2% of
 net sales for the third quarter of fiscal 2001, from 22.7% of net sales for
 the same period last year.
 
 
                                  Three Months Ended       Nine Months Ended
                                      March 31,                March 31,
                                   2001        2000         2001       2000
                                    (In thousands, except per share data)
     Net Sales                   $19,892      $20,336     $63,357    $60,157
     Gross profit                  7,352        6,217      23,002     20,631
     Selling, general and
      administrative expenses      5,213        4,607      15,020     13,480
     Net income                      680          391       2,905      2,861
     Basic and diluted
      earnings per share           $0.12        $0.06       $0.49      $0.41
     Diluted shares
      outstanding                  5,891        6,671       5,956      6,954
 
     A conference call to discuss the company's performance during its fiscal
 2001 third quarter, as well as the company's outlook, is scheduled for today
 at 10:00 a.m. Central Daylight Time.  To participate in this call, dial
 (913) 981-5510 and refer to confirmation code 402556.  A replay of the
 conference call can also be accessed via the company's Web site at
 www.craftmade.com.
     Craftmade International, Inc., founded in 1985 and based in Coppell,
 Texas, is engaged in the design, distribution and marketing of a broad range
 of proprietary ceiling fans, lighting products and related accessories.  The
 company distributes its premium products through a network of 1,600 showrooms
 and electrical wholesalers through a national sales organization of more than
 65 independent sales representatives.  Through its Trade Source International
 subsidiary, acquired in 1998, Craftmade distributes outdoor lighting, ceiling
 fan accessories and an indoor lighting line to the mass merchandiser market,
 which includes Lowe's, Home Depot and Wal-Mart.
     Certain statements in this News Release constitute "forward-looking"
 statements within the meaning of the Private Securities Litigation Reform Act
 of 1995.  Such forward-looking statements involve known and unknown risks,
 uncertainties and other factors which may cause the actual results,
 performance or achievements of Craftmade International, Inc. to be materially
 different from any future results, performance or achievements expressed or
 implied by such forward-looking statements.  These factors are discussed in
 more detail in the company's Form 10-K filing with the Securities and Exchange
 Commission.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X15226534
 
 SOURCE  Craftmade International, Inc.