Stanleytown, VA, February 1, 2006--Stanley Furniture Co., said Monday that its fourth-quarter profit increased 3 percent, beating its own forecast, though sales declined.
Stanley Furniture earned $5.8 million, or 46 cents per share, in the quarter, up from $5.7 million, or 43 cents per share, for the same period in 2004. Sales fell 2.2 percent to $81.4 million from $83.3 million in the year-ago period.
Analysts had expected Stanley to earn 40 cents per share on sales of $83.2 million, according to a poll by Thomson Financial.
In October, the company forecast income of 39 cents to 42 cents per share on sales of $81.5 million to $84.5 million.
Stanley officials said the company was hurt in the fourth quarter by higher raw material, freight, energy and tariff costs.
For the full-year 2005, the company earned $23.2 million, or $1.77 per share, up from $20.8 million, or $1.59 per share, in 2004.
The company said it projects first-quarter 2006 earnings of between 43 cents per share and 46 cents per share on sales of $81 million to $84 million.
Wall Street analysts forecast the company to earn 44 cents per share on $84.1 million in sales.
For 2006, the company expects to earn between $1.84 and $1.90 per share on sales of $340 million to $350 million. Analysts are projecting profits of $1.89 per share and sales of $348.5 million.
Also on Monday, Stanley said its board approved the repurchase of an additional $10 million in stock, bringing the total amount allowed for share repurchases to $17.2 million.
The board also approved a 33 percent increase in the company's quarterly dividend to 8 cents. The dividend will be paid on March 6 to stockholders of record on Feb. 17.
