Helen of Troy Q3 Net Off 0.5 Percent

HelenOfTroyEL PASO, Texas-Third-quarter net income for Helen of Troy slipped 0.5 percent to $37.5 million, as sales gained modestly and margin fell.

Net sales totaled $380.7 million, up 1.6 percent, in the quarter which ended on Nov. 30. In a conference call to financial analysts yesterday, Gerald Rubin, Helen of Troy chairman, president and CEO, said the company's housewares segment led the top line with a 10.3 percent increase in the quarter. Net sales in the health-care/home environment sector were up 4.8 percent, while net sales in the personal-care segment dropped 5.7 percent.

Rubin said the housewares sector benefited from product launches in kitchen tools and gadgets, baking, cleaning and dry-food storage. The air-purification product category bolstered the results in the health-care/home environment segment. The sales decrease in the personal-care segment came about primarily to the highly promotional retail environment, Rubin said.

Gross margin fell 80 basis points to finish the quarter at 38.8 percent. Reflecting Helen of Troy's ongoing efforts to control costs, selling, general and administrative expenses dropped 3.1 percent in dollars and 130 basis points as a percentage of sales, to 25.8 percent.

During the conference call, Tom Benson, Helen of Troy's chief financial officer, said the company now expects net sales for all of fiscal 2014 to tally between $1.29 billion and $1.32 billion.

HFN Staff | News & Commentary

HFN provides detailed information on the key home classifications: Housewares, Tabletop, Floor Covering & Rugs, Furniture, Home Textiles, Lighting, Home Decor, Mattresses & Bedding, Gifts, Major Appliances and Consumer Electronics as well as Business, Finance and Retail.

Videos

  • Von Tobel Cites Brass Textures Among Top Trends

    Camera Icon   More Videos

Subscribe to
HFN Omnichannel
Receive the news you need to know about the trends in the industry delivered right to your inbox.

Current Issue

  • HFN cover for September 2017

    HFN's DIGITAL EDITION

    September 2017


    COVER STORY:

    2017 State of the Industry Report
    Cautious Optimism, Mixed Results

    Many expected 2016 would be a banner year, but the political and economic climate softened consumer confidence. It was also a year consumers spent more lavishly on home remodeling rather than decorating.


    ALSO IN THIS ISSUE:

    •  TJX Unveils First U.S. Homesense Store - In a time when retailers are reducing store counts, TJX continues to get physical.
    •   Ikea’s Fluid Spaces - The retailer’s new intros reflect multifunctional rooms.
    •  N.Y. Home Fashions Market Preview - Textile textures get soft and cozy, colors warmer.