Ethen Allen announces quarterly & fiscal year results
30 Jul '05
6 min read
On a full-year basis, total written orders decreased 1.4 percent as compared to the prior year. Within that same period, Wholesale net orders booked decreased 3.0 percent, while Retail written sales increased 2.9 percent and comparable store written sales increased 1.0 percent.
For the fiscal year ended June 30, 2005 the Company utilized $81.4 million of available cash from operations to repurchase 2.4 million shares of its common stock in the open market.
Farooq Kathwari, Chairman and CEO, commented: "The business initiatives undertaken during the past three years have allowed us to remain well-positioned in this period of economic and industry uncertainty. In that time, they have changed 70 percent of their product line to offer greater style and value, and continued to make improvements with respect to the sourcing of our products, both domestically and abroad.
During that same time, they have strengthened our retail network through the opening of more than 45 new stores in prime locations. Our efforts have also included significant investments in their people, increasing and improving the level of professionalism in their retail store personnel. Lastly, they have adhered to a balanced and focused marketing campaign which has included increased distribution of their direct mail magazine and, when appropriate, increased investment in national television advertising."
Kathwari continued: "These initiatives were made possible as aresult of their decision last year to eliminate promotional sale periods and, instead, make their best possible prices available to consumers every day of the year. The introduction of everyday pricing has not only allowed us to establish greater credibility with consumers, it has also provided us the opportunity to critically examine all facets of their business, making substantive changes where necessary, in order to more effectively carry out their solutions-based approach to home decorating. In this time of commoditization, they believe that differentiating ourselves in this manner, with a strong focus on service, is critical."
marketing@alchempro.com
