Libbey Net Falls 24 Percent in Fourth Quarter
February 16, 2012,
TOLEDO, Ohio-Rising expenses, a decline in sales and one-time charges combined to slash Libbey's fourth-quarter net income by 24 percent, to $2.1 million.
Net sales in the quarter, which ended on Dec. 31, were down 3.6 percent to $214.8 million. Sales in the United States and Canada dropped 4.1 percent and were flat in Mexico, offsetting gains in Europe and China. Selling, general and administrative expenses rose 15 percent in dollars and 212 basis points as a percentage of sales, to 13.1 percent. Gross margin fell 230 basis points to 17.6 percent.
For the fiscal year, Libbey's net income fell 66 percent to $23.6 million, on an increase in net sales of 2.2 percent to $817.1 million.
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