25 October 2007 — Fairfield (CT): Acme United’s Q3 net sales were $17.1 million, compared to $15.5 million in the same period last year, an increase of ten percent.
Net sales for the nine months ended 30 September were $48.3 million, compared to $44.8 million in 2006, an increase of eight percent.
Q3 net income was $1.3 million, or diluted EPS of $0.35, compared to $1.2 million, or diluted EPS of $0.33, last year – an increase of seven percent in net income. Net income for the nine months ended 30 September was $3.47 million, or diluted EPS of $0.94, compared to $3.49, or diluted EPS of $0.94, in 2006.
The company said that Q3 net sales in the US segment increased by ten percent as a result of sales of new products and market share gains. Net sales for the nine months ended 30 September in the same segment increased by six percent as a result of sales of new products, including the new iPoint electric pencil sharpener and market share gains. Combined sales in Europe and Canada for the nine month period increased by 13 percent in US dollars and eight percent in local currency. The increase relates primarily to higher sales of manicure items and office products in Europe.
Q3 gross margins were 43.2 percent versus 42.6 percent in Q3 2006. The increase was attributed to improved margins in Europe and the success of new products. For the first nine months of 2007 gross margins were 42.8 percent compared to 43.8 percent a year earlier. The gross decline was blamed on greater sales of lower margin products, as well as the introduction of new private-label programmes.