by Retailer also reports a drop in earnings but remains profitable with net income of $19.1 million for the quarter and $28 million for the first half
HOUSTON — Mattress retail giant Mattress Firm reported a drop in revenue and net income for its second quarter and first half ended April 2.
The company’s net revenues for the quarter totaled $947.6 million, down 4.5% from the $992.8 million reported last year. The company remained profitable with net income for the same period totaling $19.1 million, down from the $29.7 million for the same period last year.
For the first half, the company reported sales of $1.87 billion, down 4.7% from the $1.97 billion reported during the first half last year. Its net income was $28 million compared with $51.7 million during the same period last year.
Adjusted EBITDA during the quarter was $92.6 million, representing a margin of 9.8%, down 14.8% from $108.7 million last year, or a margin of 10.9%.
For the first half, adjusted EBITDA totaled $177.9 million, representing a margin of 9.5%, down 12.9% from $204.2 million last year, a margin of 10.4%.
The company said that it incurred costs “related to the exploration, development and execution of strategic initiatives and opportunities primarily related to the “Tempur Sealy definitive agreement and anticipated transaction” expected to close later this year.
It also had a lower store count, which helps put the decline in revenues in context. The company had 2,319 stores by the end of the second quarter and its first half, compared with 2,329 the same period last year.
