Zeeland, MI, September 21, 2006--Herman Miller Inc., reported a 20.3 percent rise in first quarter net income and forecast second quarter results that beat analyst’s estimates.
The company orders reached the highest level since November 2000 growing by 1.7 percent even though the prior year's quarter had an extra week.
Net income rose to $28.5 million, or 43 cents per share, for its fiscal first quarter ended September 2, from $23.7 million, or 34 cents per share, a year earlier. Consolidated sales rose 4.4 percent to $449.7 million.
Analysts on average had expected Herman Miller to earn 40 cents per share on revenue of $448.1 million.
Gross margin as a percentage of sales rose to 33.9 percent in the quarter from 32.9 percent a year earlier with higher volume and price increases more than offsetting pressure from rising raw materials costs, the company said.
Herman Miller said it expects earnings per share for its second quarter to range from 53 cents to 57 cents, while analysts expect 45 cents. It expects sales in a range of $490 million to $510 million, while analysts expect $469.8 million.
