Lumber Liquidators (Toano, Va.) made $8.5 million in net profit during the fourth quarter of 2011, a 42.9 percent increase over $5.9 million in net profit it made during the final quarter of 2010, according to its latest financial report.
"We built on our third-quarter 2011 results, and our fourth-quarter performance was our best of the year," said CEO Robert Lynch. "We successfully reinvested a portion of our sourcing initiative benefits in the fourth quarter to further strengthen our value proposition, and our product allocation and logistics team significantly lowered available inventory per store."
Net sales increased 13.9 percent to $174.5 million in the fourth quarter of 2011 from $153.2 million in the fourth quarter of 2010. Comparable store net sales increased 1.9 percent for the quarter, driven by an increase in both the number of customers served and the average sale, the company said.
Lumber Liquidators opened seven new stores during the fourth quarter of 2011 for a total of 40 new locations in 2011.
For all of 2011, net income was flat with 2010 at $26.3 million, while net sales increased 9.9 percent to $681.6 million from $620.3 million in 2010. Comparable store net sales decreased 2.0 percent in 2011, compared with an increase of 2.1 percent in the prior year.
The company also offered guidance for 2012 and expects the following:
- Net sales for the full year in the range of $710 million to $740 million.
- Comparable store net sales change in the low single digits, either positive or negative.
- The opening of a total of 20 to 25 new store locations, including two to four in Canada.
