Higher sales and margins helped R.G. Barry Corp. more than quadruple its third-quarter profit.
In the three months ended April 3, the Pickerington, Ohio-based marketer of slippers and accessories footwear, recorded net income of $539,000, or 5 cents a diluted share, versus year-ago profits of $123,000, or 1 cent.
Sales grew 5.1 percent, to $22.2 million from $21.1 million a year ago, as gross margin advanced 690 basis points to 40.4 percent of sales from 33.5 percent in the 2009 quarter. Cost of sales was reduced 5.7 percent to $13.2 million from $14 million but selling, general and administrative expenses rose 15.7 percent to $8.2 million from $7.1 million.
“Our spring business benefited from the growth initiatives undertaken during the past several years and is being measured against our very healthy results from the equivalent period last year,” said Greg Tunney, president and CEO, in a statement. “We are once again positioned to end the fiscal year as one of our category’s top quartile performers. We continue to be very positive about the overall health of the business and its short- and long-range outlooks.”
In the nine months, net income picked up 51.5 percent to $11 million, or $1.00 a diluted share, from $7.3 million, or 68 cents. Sales moved ahead 12.2 percent to $107.2 million from $95.6 million.