Spectrum Appliance-Unit Q3 Profit Climbs

Spectrum BrandsMIDDLETON, Wis.-Increased sales of personal-care products and batteries helped boost net income for Spectrum Brands' Global Batteries and Appliances Unit by 9.4 percent, to $49.1 million, in the company's fiscal third quarter ending on June 29.

Net sales in the global personal-care product category (represented by the Remington brand) edged up 1.8 percent in the quarter, to $117.6 million. Sales of batteries on a global basis improved 2.9 percent to $213.3 million. These two gains offset a drop of 2.9 percent in global sales of small appliances (represented by the Russell Hobbs family of brands), to $163.9 million.

Overall, Spectrum Brands posted a 116.1 percent gain in third-quarter net income, to $78 million. Sales increased 3.6 percent to $1.1 billion. Dave Lumley, Spectrum's CEO, noted that the third-quarter results set a record for the company, following on record performances in both of the first two quarters. "We have delivered solid, consistent sales growth every quarter of this year of about 3.5 percent in what we believe remains a challenging global environment with very sluggish consumer (point-of-sale) and retail store traffic, especially in North America, along with tight retailer inventory levels and reorder rates," Lumley said.

Lumley added that Spectrum's focus going forward will be on "delivering another year of steady, measured financial improvement." He said the company will increase its investment to partner more closely with retailers' e-commerce platforms. "Our e-commerce sales are showing solid growth so far this year, especially in our personal-care, small-appliance and pet businesses," he said.

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.