La-Z-Boy Profit Tops Estimate, Sales Misses; Raises Dividend

(RTTNews) - Furniture company La-Z-Boy Inc (LZB) Tuesday reported a higher second-quarter profit, helped by a near 4 percent increase in sales, with earnings topping Wall Street estimates.

The company raised its regular quarterly dividend to shareholders by 33 percent to $0.08 per share.

Following the announcement, La-Z-Boy shares gained more than 6 percent in after-hours trade on the New York Stock Exchange.

The Monroe, Michigan-based company posted quarterly net income of $19.5 million or $0.37 per share, compared with $16.7 million or $0.31 per share last year.

Excluding items, adjusted earnings for the quarter were $0.36 per share. On average, six analysts polled by Thomson Reuters expected earnings of $0.34 per share for the second quarter. Analysts' estimates typically exclude special items.

Sales for the quarter increased 3.8 percent to 365.6 million from $352.3 million a year ago. Analysts expected sales of $375.7 million for the quarter.

Same-store written sales for the La-Z-Boy Furniture Galleries store network increased 3.4 percent for the quarter.

Within the company's wholesale segment, upholstery sales climbed 3.6 percent, while casegoods edged down 0.2 percent. Retail segment sales rose 15.3 percent.

LZB closed Tuesday at $22.58, down $0.16 or 0.70%, on a volume of 401k shares. In after hours, the stock gained $1.42 or 6.29% at $24.00.