Russell Hobbs Narrows Quarterly Loss as It Nears Merger With Spectrum

MIRAMAR, Fla.-With its merger with Spectrum Brands coming closer to finalizing, Russell Hobbs stated that its net loss was $9.9 million for the quarter ending March 31, as compared to a net loss of $15.3 million for the same period of 2009.

The company, which changed to its current name from Salton Inc. late last year, said net sales for the quarter increased by 3.4 percent to $157.8 million. Gross profit for the quarter increased by 720 basis points to 33.6 percent, but operating expenses were up 10 percent. Russell Hobbs said that since 2007, when the company was formed in a merger of Salton and Applica, it has completed a number of integration, restructuring and cost-cutting efforts--including the elimination of about 80 underperforming brands and more than 1,000 SKUs.

For the 12 months ending on March 31, Russell Hobbs said its net loss was $3.2 million on net sales of $784.8 million. The company provided no figures for the comparable period last year.

The company also said the Spectrum merger is still on track to be closed in June, subject to the approval of Spectrum's stockholders and other "customary closing conditions."

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

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 May digital issue

    HFN's DIGITAL EDITION

    May 2017


    COVER STORY: HFN Turns 90

    We commemorate HFN's 90th anniversary by paying tribute to the iconic retailer and supplier brands--and the people--that have helped the industry flourish, then and now.


    ALSO IN THIS ISSUE:

    • Up & Coming Leaders - The home industry is in capable and visionary hands as this year’s 40 Under 40 list attests. Today’s young leaders span all disciplines and varied levels of operation.
    • Omnichannel Retailing - In the Mobile App World, Time is Money