La-Z-Boy Inc. (LZB) posted a disappointing fiscal first-quarter as it swung to a loss and posted sales that narrowly missed Wall Street’s expectations.
The furniture manufacturer reported a loss of $195,000, or flat profit on a per-share basis, down from last year’s quarterly profit of $2 million, or 4 cents a share.
Revenue rose slightly to $263.3 million, up from $262.67 million in the year-ago quarter. Same-store written sales fell 3.9% in the quarter.
Analysts were expecting flat earnings per share on revenue of $263.81 million. Kurt Darrow, La-Z-Boy’s President and CEO said the quarter’s results were influenced by a “confluence of factors."
"These issues, including higher raw material costs, supply chain disruptions, storms which delayed shipping from our Mexico cut-and-sew operation and inefficiencies in Mexico as we transition all custom cut-and-sewn product from our U.S. operations, have abated somewhat and are not anticipated to impact our results throughout the remainder of the year to the extent they did this quarter,” Darrow said.
Darrow also cited the quarter as being its seasonally slowest period during the year, for the disappointing results.
“We believe this is not representative of La-Z-Boy's performance going forward as we have a lean and efficient operating structure and are moving into what is typically a stronger selling season," Darrow continued.
Shares of La-Z-Boy rose 37 cents or 5.17% ahead of Tuesday’s close, finishing the session at $7.52 a share. The stock was down 32 cents or 4.26% in after-hours trading, following its quarterly report.