Furniture supplier Flexsteel Industries Inc., Dubuque, Iowa, today (Oct. 20) reported lower earnings on a slight increase in revenues in it fiscal first quarter, impacted by a 13% decline in recreational vehicle sales.
During the quarter, ended Sept. 30, sales rose 4% to $101.3 million compared to $97.4 million the previous while net income fell 43% to $0.6 million versus $1 million.
Flexsteel reported that RV sales during the three-month period declined from $18.3 million a year ago to $15.9 million. Commercial sales increased 36% to $28.5 million and residential sales decreased 2% to $56.9 million.
Flexsteel said that despite the generally favorable longer-term demographics that are expected in the RV industry, current demand at the wholesale level has been soft.
The company noted: “Improvement in this industry is not expected until the next model year is introduced late in our fourth quarter of the 2007 fiscal year.”