Jarden Posts $4.4 Million Net Loss in Q1
April 25, 2013,
RYE, N.Y.-A number of adjustments and one-time charges put Jarden's bottom line in the red in its fiscal first quarter ending on March 31.
The company reported a net loss of $4.4 million, putting a damper on a quarter in which the company achieved record net sales of $1.6 billion. Minus the one-time postings--which included inventory charged to cost of sales, charges for devaluation of currencies, amortizations of several items and a loss related to the extinguishment of debt--Jarden's net income was $33.1 million in the quarter, down 20.8 percent from the adjusted net income of last year's first quarter.
Gross margin for the company as a whole finished dead even with last year's first quarter at 28.1 percent. Selling, general and administrative expenses rose 21.6 percent in dollars and 119 basis points as a percentage of sales, to 24.5 percent.
Martin Franklin, Jarden's executive chairman, said the company's first-quarter sales growth positions the company to achieve its 2013 financial goals. "The foundation for our positive sales growth remains our commitment to brand and product-development spending, which in turn leads to innovative new products," Franklin said.