Spectrum Global Batteries & Appliances Q1 Net Up 1.2 Percent
January 30, 2014,
MIDDLETON, Wis.-In spite of weak sales of small appliances and batteries, Spectrum Brands' Global Batteries & Appliances unit posted an increase of 1.2 percent in adjusted net income, to $93.1 million, in the parent company's fiscal first quarter.
Net sales in the unit slipped 1 percent to $659.3 million in the quarter, which ended on Dec. 29. This included a 3.3 percent drop in sales of small appliances and a decrease of 2.4 percent in battery sales.
Much of the falloff in small appliances occurred in the North American market, because of competitor discounting at a major retailer (unnamed in a Spectrum statement) and the timing of some holiday shipments between last year's fiscal fourth quarter and this year's fiscal first quarter.
The unit's performance was part and parcel of a first quarter in which Spectrum transformed a net loss of $13.4 million from last year's quarter to net income of $54.3 million this year. Net sales jumped 26.5 percent to set a new record of $1.1 billion.