Select Comfort Boosts Net 82 Percent in Second Quarter
July 21, 2011,
MINNEAPOLIS-In what its president and CEO, Bill McLaughlin, described as "another important step toward a record year for our company," Select Comfort rang up an 82 percent jump in its net income in the second quarter, totaling $11.3 million.
The bottom line benefited from a 16 percent increase in net sales to $161.5 million. Speaking in a conference call yesterday to financial analysts (from a transcript from SeekingAlpha.com), McLaughlin noted that the company's retail sales made major contributions to its sales growth. Average sales per Select Comfort store were slightly less than $1.5 million, near its historic peak and 25 percent more than one year ago, he said.
While Select Comfort continues on the rise from the recessionary environment of two years ago, there are still opportunities ahead for the manufacturer/retailer, McLaughlin told the analysts. Top-of-mind awareness of the company's Sleep Number brand is about 25 percent, while awareness of its 375 stores is "far less than leading mattress retailers. We see a general correlation of awareness to share, which suggests significant opportunity to fuel growth as we increase awareness and understanding of the Sleep Number brand and its exclusive distribution," McLaughlin said.
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