Lumber Liquidators Holdings Inc (NYSE:LL) shares dipped Monday morning, after announcing fourth-quarter financial numbers.
The company, based on Toano, Va., proclaimed net sales for fourth quarter of 2018 increased $9.1 million, or 3.5%, to $268.9 million from $259.9 million in the fourth quarter of 2017.
Net sales in comparable stores increased $1.0 million, or 0.4%, and net sales in non-comparable stores increased $8.1 million. What’s more, the company opened five new stores and closed one during the fourth quarter of 2018.
Gross profit increased $3.9 million, or 4.2%, in the fourth quarter of 2018 to $96.0 million from $92.1 million in the comparable period in 2017. Gross margin increased to 35.7% in the fourth quarter of 2018 from 35.4% in the fourth quarter of 2017. Adjusted Gross Margin (a non-GAAP measure) was 35.1% and 35.4% in the fourth quarter of 2018 and 2017, respectively.
It was a decline driven by tariffs that were imposed on goods received beginning at the end of the third quarter of 2018, higher transportation costs, and dilution from increased installation sales mix that have lower margins, all of which was partially offset by favorable category mix toward vinyl products with higher-than-average margins.
Net loss for the three months ended December 31, 2018 was $(56.9) million, or $(1.99) per diluted share, compared to net income of $3.0 million, or $0.10 per diluted share, for the three months ended December 31, 2017.
At the end of 2018, the Company had approximately $79.5 million in liquidity, comprised of cash and cash equivalents and availability under its revolving credit facility.
Shares in LL gave back 85 cents, or 8.4%, to $9.32
