Singing Machine Announces Record Sales & Earnings in Second Quarter Earnings Report
(firmenpresse) - FORT LAUDERDALE, FL -- (Marketwired) -- 11/14/16 -- ("Singing Machine" or the "Company") (OTCQX: SMDM) -- the North American leader in consumer karaoke products -- today announced its financial results for its second quarter ended September 30, 2016.
Earnings per share increased 66% to $0.05 per share compared to $0.03 in the same period last year. Year-to-date earnings per share increased to $0.04 cents per share.
Net sales for the quarter increased 33% to $28.1 million.
Net sales year-to-date increased by 34% to $32.9 million.
Net income before tax for the quarter increased to $2.8 million, compared to approximately $1.9 million in the same period last year.
Year-to-date net income before tax increased to approximately $2.0 million compared to approximately $0.9 million in the same period last year.
Singing Machine reports net sales of approximately $28.1 million for the quarter-ended September 30, 2016 period, an increase of 33% from the prior year ($21.1 million). The increase in net sales is primarily due to an increase in sales to one major retailer for a Black Friday holiday program. The balance of the growth came from an increase in sales to a popular e-commerce retailer who anticipates strong demand for Singing Machine product for the holidays as well as timing factors with other retailers buying product early for the season.
Gross profit increased by approximately $1.6 million to $6.5 million, or 23.1% of net sales, compared to approximately $4.9 million, or 23.3% of net sales, reported in the prior year. The mix of gross profit margin is slightly lower than regular margin due to a large portion of the sales going to one retailer for its Black Friday promotion.
Total operating expenses increased to $3.7 million compared to $3.0 million in the prior year. The majority of the increase is a result of increased variable selling expenses associated with the increase in overall net sales. The balance of the increase was a result of additional payroll expense and overseas expenses to handle the increase in production.
As a result, the Company reported income from operations of $2.8 million compared to income from operations of approximately $1.9 million in the same period in the prior year (47% increase). Net income for the quarter increased to $1.8 million (or $.05 cents per share on a fully diluted basis) compared to $1.1 million (or $0.03 cents per share on a fully diluted basis) over the same period last year. Net income through the first six months was $1.4 million compared to approximately $0.6 million over the same period last year.
Gary Atkinson, Singing Machine CEO, commented, "Our team has done a fantastic job growing the business this quarter. We grew net sales by 33% over last year and we were also successful in significantly improving our bottom line net income by 138% year-to-date. The revenue increase reflects organic growth of our karaoke hardware to new and existing customers as well as international markets. I''m proud to say this quarter marks the tenth consecutive quarter of year-over-year growth in sales and earnings."
Bernardo Melo, Vice President of Sales, commented, "The great results reported during this quarter are the result of our expanded partnership with our Retailers and eTailers as well as a continued commitment to position our brand as a leader in home entertainment. We are properly aligned to take advantage of the increase in home entertainment purchases by families across the world. We released two additional Digital Download karaoke machines this year -- the Remix and the Fiesta, expanding our assortment to meet the need of consumer demands for new technology in the digital download segment. The increase in sales also reflects the early sell through trends this year, which our retail partners anticipate will continue during our key holiday rush. We are also seeing strong demand abroad, where we anticipate 100% increase year over year growth internationally."
The Company will host a conference call today, Monday, November 14, beginning at 10:00 am Eastern time to discuss these results and answer questions. If you would like to participate on the call, please dial (800) 895-1241 and use conference ID: SMDM.
An audio rebroadcast of the call will be available later in the day after the earnings call and can be heard at: .
Based in the U.S., Singing Machine® is the North American leader in consumer karaoke products. The first to provide karaoke systems for home entertainment in the United States, the Company sells its products worldwide through major mass merchandisers and on-line retailers. We offer the industry''s widest line of at-home karaoke entertainment products, which allow consumers to find a machine that suits their needs and skill level. As the most recognized brand in karaoke, Singing Machine products incorporate the latest technology for singing practice, music listening, entertainment and social sharing. The Singing Machine provides consumers the best warranties in the industry and access to over 12,000 songs for streaming and download. Singing Machine products are sold through most major retailers in North America and also internationally. See for more details.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on current expectations, estimates and projections about the Company''s business based, in part, on assumptions made by management and include, but are not limited to statements about our financial statements for the fiscal year ended March 31, 2016. You should review our risk factors in our SEC filings which are incorporated herein by reference. Such forward-looking statements speak only as of the date on which they are made and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release.
Brendan Hopkins
(407) 645-5295
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Datum: 14.11.2016 - 06:00 Uhr
Sprache: Deutsch
News-ID 1469640
Anzahl Zeichen: 3215
contact information:
Contact person:
Town:
FORT LAUDERDALE, FL
Phone:
Kategorie:
Toys and Hobbies
Typ of Press Release:
type of sending:
Date of sending:
Anmerkungen:
Diese Pressemitteilung wurde bisher 347 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"Singing Machine Announces Record Sales & Earnings in Second Quarter Earnings Report
"
steht unter der journalistisch-redaktionellen Verantwortung von
The Singing Machine Company, Inc. (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
