Kimball International CEO Encouraged, 'Not Satisfied'

Posted: Updated:
(Bob Schneider photo courtesy of Kimball International Inc.) (Bob Schneider photo courtesy of Kimball International Inc.)
JASPER -

Jasper-based Kimball International Inc. (Nasdaq: KBAL) Chief Executive Officer Bob Schneider says he is not satisfied with the furniture manufacturer's fiscal year results. The company is reporting fiscal full-year net income of $34.4 million, compared to $37.5 million during the same period a year earlier. Net sales for Fiscal 2018 increased two percent to $685.6 million.

Net income for the fiscal fourth quarter came in at $10.3 million, compared to $10.6 million the previous year.

Schneider says "we ended fiscal year 2018 on a strong note with fourth quarter organic revenue growth of 4% throughout most of our market verticals. While we were encouraged with the growth, our margins in the quarter experienced pressure from higher transportation, steel and other commodity costs, which lowered profits. We are progressing with our cost reduction initiatives announced last quarter, which will save approximately $7 million in fiscal year 2019, and we will begin to realize the benefits of our recent price increases within our National and Kimball brands as those price increases begin to take hold over the next couple quarters and positively impact earnings. We anticipate these actions once fully ramped-up will offset the higher costs in the second quarter of fiscal year 2019. Comparing profits to the prior year gets challenging because in the prior year fourth quarter, we sold some idle land at a $1.2 million pre-tax gain. Had we not realized that gain last year, our fourth quarter operating income would have been $0.4 million higher than last year, although we are not satisfied with these results."

Schneider added the company is encouraged by strong growth in orders during the final quarter of the fiscal year and Kimball International is continuing to evaluate potential effects of tariff battles between the U.S. and other countries. "I am encouraged by our results in the fourth quarter and the order momentum going into fiscal year 2019," he said.

You can read the full Fiscal 2018 and fourth quarter earnings report by clicking here.

  • Perspectives

    • #MeToo, Bullying And What We All Can Do Now

      Indeed, it is an interesting time with so much continuing to come out in Hollywood, the media, other industries, and even our state government related to the sexual harassment of women - women who have remained silent for years. Like those women, I too have been harassed in various ways over the course of my career, even in recent years - and yes, even in top leadership roles. The headline about my departure or the email citing that I was moving on never fully told the real story.

    More

Subscribe

Name:
Company Name:
Email:
Confirm Email:
HTML
INside Edge
Morning Briefing
BigWigs & New Gigs
Life Sciences Indiana
Indiana Connections
INPower
Subscribe
Unsubscribe

Events



  • Most Popular Stories

    • U.S. Steel 'Renaissance' Spurs $750M Gary Works Investment

      Pittsburgh-based U.S. Steel Corp. (NYSE: X) has announced a $750 million investment in its Gary Works operations. The company says the funds are part of a $2 billion asset revitalization effort that will take place over the next five years. Last year, U.S. Steel detailed plans that involved pumping $35 million into Gary Works, which followed the $23 million first phase of its Hot Strip Mill Restoration Plan. The latest investment, the Indiana Economic Development Corp. says...

    • Geovani Bonilla

      IU Health Plans Names VP

      Geovani Bonilla has joined Indiana University Health Plans as vice president of medical operations. He previously served as director of utilization management for Johns Hopkins Healthcare.

    • Salesforce Begins Pathfinder, Reorganization Efforts

      Salesforce.com Inc. (NYSE: CRM) is underway with the first cohort of its Pathfinder Training Program that is part of the tech giant's ongoing Indianapolis growth. The company is partnering with Deloitte to provide business and technical training to Ivy Tech Community College students and Hoosier veterans looking to become Salesforce administrators and developers. The program comes as the company realigns its Marketing Cloud organization. In a statement, Salesforce says it...

    • Fort Wayne Radio Icon Butcher Passes Away

      A fixture in the Fort Wayne radio scene has passed away. Charly Butcher spent more than 30 years in Fort Wayne radio with a successful morning show on WMEE-FM and, most recently, as host of "Fort Wayne's Morning News" on WOWO radio. Butcher was 61. Butcher was part of WMEE's popular "Those Two Guys In The Morning" show with Tony Richards in the 1980s. He joined WOWO in the mid-2000s as host of "Fort Wayne's Morning News With Charly Butcher."

    • Hoosier Schools Among 'Best Colleges in America'

      Nearly two dozen Hoosier institutions are included in MONEY magazine's rankings of the Best Colleges in America. More than 700 schools are on the list, which was determined by a number of factors in three categories, including quality of education, affordability, and outcomes.