News Article

Huffy Bike Sales Face Slowdown

Home

MIAMISBURG, OH, USA (May 14) – Huffy Corp. saw its sales shrink with 13.5% to $70.4 million during its first quarter, which ended on March 31. One year go the company sales reached $81.2 million. Net income was $624,000 or $0.06 per share, compared with $1 million or $0.10 per share one year earlier. Huffy […]

MIAMISBURG, OH, USA (May 14) – Huffy Corp. saw its sales shrink with 13.5% to $70.4 million during its first quarter, which ended on March 31. One year go the company sales reached $81.2 million. Net income was $624,000 or $0.06 per share, compared with $1 million or $0.10 per share one year earlier. Huffy Chairman, President & CEO Don Graber blamed the decline on Kmart’s bankruptcy filing last January, its largest customer, which accounted for 38% of its turnover. The company received $7.8 million pre-bankruptcy receivables. “Revenue from retail services have improved substantially, although bicycle sales continue to be slower than we would like”, Graber added. Also, Huffy sold lower-priced bikes during the last quarter. However, the company still has $14 million in cash and thus remains debt-free. For the first half of this year Graber expects to earn between $0.10- $0.20 per share and between $0.40 and $0.60 by yearend. (FN)

Comment on this article