Mohawk Net Jumps 20 Percent in Second Quarter
August 3, 2012,
CALHOUN, Ga.-Reduced costs elevated Mohawk Industries to a second-quarter net income gain of 20.2 percent, to $73.2 million.
Net sales in the quarter, which ended on June 30, slipped 0.5 percent to $1.5 billion. Sales in Mohawk's carpet segment were about flat with last year's second quarter, with residential remodeling in the midst of a slowdown and retail sales on the decline.
Selling, general and administrative expenses were flat with the second quarter of last year on a dollar basis. With the slight sales decline, SG&A as a percentage of sales edged up 12 basis points to 19.1 percent.
Lorberbaum said, "We have addressed many of today's economic challenges by enhancing our product differentiation, reducing costs, improving efficiencies and entering new product categories and geographies."