Flexsteel Industries has reported its third quarter and fiscal year-to-date financial results, showing that net sales were $126.9 million, up 5 percent, which is a record third quarter for the company. Net sales were $376.1 million for the current nine months, an increase of 7.1 percent; and gross margin for the third quarter improved 0.6 percent of net sales to 21.8 percent compared to the second quarter.
Net sales were $126.9 million for the quarter compared to net sales of $120.8 million in the prior year quarter, an increase of 5 percent. For the quarter, higher residential net sales are primarily due to new customers and to a lesser extent sales price increases offset by volume decreases in ready to assemble furniture. Higher contract net sales are primarily due to increased volume offset by the previously disclosed intentional decrease in sales to certain customers.
For the nine months ended March 31, 2018, capital expenditures were $20.1 million including $9.6 million invested to upgrade the business information system, and $7.7 million for the construction of a new manufacturing facility.
