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Lumber Liquidators swings to Q3 profit

10/31/2018
Flooring specialty retailer Lumber Liquidators posted third quarter 2018 net sales of $270.5 million – a 5.2% increase from net sales of $257.2 million in third quarter 2017.

The Toano, Va.-based company also reported a net income of $5.9 million for the third quarter compared to a net loss of $18.9 million during the same period a year ago.

Net sales in comparable stores increased $5.3 million, or 2.1%, driven by the expansion of installation services, whose sale in comparable stores was up 39%, which more than offset a 1.3% decline in merchandise sales, the company reported.

Comparable store growth reflected a 5.5% increase in average sale, driven by both higher attachment of installation to the sale and increased mix of pro customers that have larger purchases. But comps were partially offset by a 3.4% decrease in the number of transactions.  Net sales in non-comparable stores increased $8 million.

During the quarter Lumber Liquidators opened 3 new stores and operated a total of 409 stores as of Sept. 30.

“We continued our growth in installation sales and, after opening three new stores in the third quarter, we are on target to open 22 new stores in 2018,” said Dennis Knowles, CEO of Lumber Liquidators. “We are pleased with the development of our management team and recent additions to both our digital and sourcing capabilities. We are confident that our team is well-positioned to drive our business and digital strategy going forward."

 
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