Sealy Posts $4.5 Million Net Loss in Fourth Quarter
January 14, 2011,
TRINITY, N.C.-The divestiture of manufacturing operations in Europe and discontinued manufacturing in Brazil led to a $4.5 million net loss for Sealy in the fourth quarter, which ended on Nov. 28.
These moves hurt the mattress manufacturer's bottom line to the tune of more than $7.9 million, and contrasted to net income of $2.6 million in the fourth quarter of last year. Counting only continuing operations, Sealy's fourth-quarter net would have increased by 24 percent, thanks to the company's efforts at reducing expenses and increasing operational efficiencies.
For the fiscal year as a whole, Sealy reported a net loss of $13.7 million, again owing to the discontinued operations, as opposed to net income of $13.5 million in the prior fiscal year. Factoring continuing operations only, income rose 7.9 percent to $24.7 million. Net sales for the fiscal year increased 3.8 percent to $1.2 billion.