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Ethan Allen, Albany, N.Y.
DANBURY, Conn. – Vertically integrated manufacturer and retailer Ethan Allen reported a 2.4% increase in net sales to $178.8 million for its fiscal 2021 second quarter ended Dec. 31.
That increase didn’t reflect the pace of business. Like most of the industry, Ethan Allen is struggling to turn written orders into sales even as the company ramps up production to meeting new demand and catch up with its existing backlog after last year’s temporary plant closures. Given the production cycle from written order to delivery, that low single-digit second-quarter sales uptick compared with 44.9% growth in retail written orders and 28.1% growth in wholesale written orders.
Ethan Allen more than doubled its bottom-line performance, with fiscal 2021 second-quarter net income of $16.9 million compared with $7.1 million for the same prior-year period.
Operating income of $22.6 million compared with $9.2 million in the prior year period. The 2.4% net sales increase of $4.3 million coupled with disciplined cost and expense controls, including strong cost containment measures and expense management, drove operating income growth. Operating with headcount down 19.2% year-over-year also helped improve consolidated operating income and margin.
Ethan Allen increased wholesale segment sales 10.5% to $101.6