SAN JOSE, CA/USA (24 January 2000) -- On 19 January Bell Sports Corp. announced that the net results for its fiscal 2000 second quarter were up 20% to US$51 million. The company attributed the increase in sales primarily to strong US and Canadian sales in both the mass and specialty retail channels.
During the same period gross margins improved to 33.1% from 32.2% during the same period in 1999. This improvement was led by lower costs on improved sourcing relationships, combined with improved manufacturing efficiencies generated from the manufacturing consolidations completed in the company's fourth quarter of fiscal 1999.
Net income for the quarter was US$187,000, compared to a net loss of US$2.8 million for the second quarter of fiscal 1999. The prior year period included $2.5 million of expenses related to the company's plan of recapitalization and merger with HB Acquisition.
Compared to the first six months of fiscal 1999, net sales are up 20% to US$97.8 million.
"We are extremely pleased with the continued strong sales and operating results, and believe we are on the way to a very successful fiscal 2000," said Mary J. George, chief executive officer. "We have invested several million dollars in product development and marketing initiatives to maximize our market penetration." (JW)