Hamilton Beach Net Climbs 29.3 Percent in 3Q
November 2, 2012,
CLEVELAND-Increased of sales of higher price-point products helped boost Hamilton Beach's third-quarter net income to $5.3 million, up 29.3 percent from the third quarter of last year.
The small-electrics brand achieved this in spite of a 1.5 percent decline in revenues to $124.8 million in the quarter, which ended on Sept. 30. Much of the gain in sales of the higher priced products occurred in the U.S. market, according to a statement by NACCO Industries, Hamilton Beach's parent company. Overall, the brand experienced lower unit-sales volumes primarily in the U.S. and Canadian markets, and a firming of the U.S. dollar against both the Canadian dollar and the Mexican peso further depressed third-quarter revenues.
NACCO's other housewares holding, the Kitchen Collection retail operation, posted a net loss of $1.2 million in the quarter, up from a net loss of $500,000 in last year's third quarter. Net sales in this segment declined 1.4 percent to $48.2 million.
Overall, NACCO posted a 47.9 percent gain in net income in the quarter, to $38 million, on an 8 percent gain in revenues, which totaled $210.1 million.