Lumber Liquidators 4th-Quarter Earnings Rise

New York, NY, March 12, 2008--Hardwood flooring retailer Lumber Liquidators said its fourth-quarter earnings increased 88 percent due to sales at new stores, fewer promotions and higher margin products sold.

Net income increased to $3 million, or 12 cents per share, from $1.6 million, or 7 cents per share, during the same period the previous year.

Analysts polled by Thomson Financial, on average, forecast earnings of 10 cents per share for the quarter on sales of $102.2 million.

Net sales increased 24.4 percent to $105.5 million during the fourth quarter.

Lumber Liquidators sales were boosted by the opening of five new stores in the fourth quarter.

Gross margins also improved during the quarter as Lumber Liquidators introduced higher-margin products in 2007 and reduced the number of promotional discounts it ran during the fourth quarter, compared with the year-ago period.

For the full year, net income fell to $11.3 million, or 48 cents per share, from $12.9 million, or 56 cents per share, in 2006.

Lumber Liquidators completed its initial public offering Nov. 9.