Lumber Liquidators Net Income Up 31%

Toano, VA, Aug. 4, 2010--Lumber Liquidators reported that second quarter net income increased 31.0% to $9.1 million, or $0.32 per share, compared to $6.9 million, or $0.25 per share, a year ago.

Net sales increased $25.6 million, or 17.9%, to $168.7 million from $143.1 million last year. In addition, same store sales increased 5.5% versus the same period last year. New store net sales increased $17.7 million over the prior year. The Company opened six new stores during the second quarter.

Gross margin was 34.7% in the second quarter of 2010, a decrease from 35.3% in the second quarter of 2009.

"We continued our momentum through the second quarter, achieving our best-ever quarterly top and bottom line results," CEO Jeffrey W. Griffiths said.

Griffiths said the firm was successful using targeted promotional pricing on certain hardwoods and broadened its assortment of entry level hardwood price points.

For the first six months, net sales increased 19.8% to $319.9 million from $267.0 million a year ago.

The company plans to open up to 23 new stores in the second half of the year, for a total of 36 to 40 new store locations in 2010 this year.

"We anticipate seeing gradual improvement in the macro-economic trends which impact the wood flooring market and we will implement advertising and promotional strategies accordingly," Griffiths said.