McRae Industries reported consolidated net revenues from operations for the third quarter of fiscal 2015 of $25,828,000 as compared to $23,455,000 for the third quarter of fiscal 2014.
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Net earnings for the third quarter of fiscal 2015 amounted to $1,209,000, or $0.61 per diluted Class A common share as compared to $1,223,000, or $0.61 per diluted Class A common share, for the third quarter of fiscal 2014.
Consolidated net revenues from operations for the first nine months of fiscal 2015 totaled $83,134,000 as compared to $81,711,000 for the first nine months of fiscal 2014.
Net earnings for the first nine months of fiscal 2015 amounted to $5,013,000 or $2.39 per diluted Class A common share, as compared to $5,768,000, or $2.67 per diluted Class A common share, for the first nine months of fiscal 2014.
Consolidated net revenues for the third quarter of fiscal 2015 amounted to $25.8 million as compared to $23.5 million for the third quarter of fiscal 2014. Net revenues related to company's western/lifestyle boot products totaled $15.5 million for the third quarter of fiscal 2015, up from $13.3 million for the third quarter of fiscal 2014.
This 16% improvement in net revenue was attributable to higher sales in all of company's brands except for a slight sales reduction in company's children's line.
Net revenues from company's work boot products totaled $10.3 million as compared to $10 million for the third quarter of fiscal 2014 as military boot requirements for the U. S. Government remained strong and demand for company's other work boot products remained steady.
Consolidated gross profit totaled approximately $6.4 million for the third quarter of fiscal 2015 as compared to $6.3 million for the third quarter of fiscal 2014. Gross profit margins for company's western/lifestyle products remained steady at the 35% level.
Company's work boot business gross profit margins fell from 16.4 % for the third quarter of fiscal 2014 to 8.5% for the third quarter of fiscal 2015 primarily the result of higher per unit military boot manufacturing costs related to inefficiencies associated with a 25% increase in military boot production levels during the quarter.
Company's management team is focused on resolving the production issues as quickly as possible.
Consolidated operating costs and expenses for the third quarter of fiscal 2015 totaled $4.4 million as compared to $4.3 million for the third quarter of fiscal 2014.
This slight increase in operating costs and expenses was primarily attributable to higher expenditures or charges for travel costs, sales and marketing expenditures, and administrative compensation, which were partially offset by lower sales compensation costs and bad debt charges.
As a result of the above, the consolidated operating earnings totaled $2 million for the third quarter of both fiscal 2015 and fiscal 2014. ■