Jasper based Kimball International has released first quarter fiscal year 2016 net sales of $156.6 million and income from continuing operations of $5.6 million, or 15 cents per diluted share.
The company’s adjusted income from continuing operations for the first quarter of fiscal year 2016 was $6.3 million, or 17 cents per diluted share, excluding charges related to a previously announced restructuring plan.
Bob Schneider, Chairman and CEO, says the company is continuing to build on their improved results last year and are off to a strong start in fiscal year 2016.
Schneider says sales continue on a positive trend and that operating income improvement was impressive this quarter, up well over 100%. He says businesses are improving and is pleased with market reaction to their new product offerings.
Net sales in the first quarter of fiscal year 2016 increased 8% from the prior year first quarter, driven by increases in all vertical markets except the commercial vertical which was approximately flat. The majority of the sales increase was in the hospitality vertical which increased 34% over the prior year, driven by an increase in new hotel construction and renovations.
The Company’s cash and cash equivalents balance was $22.4 million on September 30th, compared to cash and cash equivalents of $34.7 million on June 30th of this year. The decline was primarily driven by a $9.6 million expenditure for the repurchase of common stock during the first quarter and a $5.9 million expenditure for capital investments.
The most significant capital investments were manufacturing equipment purchases related to the transition of metal fabrication production from an Idaho facility to production facilities in Indiana and other improvements to showrooms and manufacturing facilities.