Ennis Reports First Quarter 2014 Earnings
Ennis Inc., Midlothian, Texas, this week announced its financial results for the first quarter ended May 31, 2014. The company's consolidated net sales for the quarter were $141.2 million, an increase of $2.7 million (1.9 percent) from $138.5 million for the same quarter last year. Print sales were up $7 million (8.6 percent), while print margin increased 80 basis points from 29.7 percent to 30.5 percent, due to improved operational efficiencies. Apparel sales declined $4.2 million (7.4 percent) due to lower selling prices and slightly higher input costs.
"Overall, we are pleased with our results for the quarter," said Keith Walters, chairman, president and CEO of Ennis Inc. "Our print margins improved during the quarter as we continued to make operational improvements at our recent acquisitions. The apparel market, as noted previously, continues to be very challenging. The unusually cold winter seemed to have further stressed the retail market. While the market had some improvement as the quarter progressed, pricing continued to be extremely competitive, especially given the recent increases in raw material and other input costs."
"We believe we are well positioned to make positive strides forward during the remainder of the year," he added. "On the print front, we continue to be pleased with the progression of our most recent print acquisitions and look forward to the integration and contribution of our recent acquisition of Sovereign Business Forms and related entities. Overall, while the market continues to be challenging on the apparel side, we remain optimistic about the remainder of the fiscal year."