10 November 2004 – Greenville (WI): School Specialty has reported Q2 figures below analyst expectations, as a result of competitive pricing and restructuring charges crimping results, the company disclosed.
Net income for the quarter was $30.5 million, or EPS of $1.30, up from $29.9 million, or EPS of $1.59, in the Q2 of 2004.
Revenue rose 7.9 per cent to $361.5 million, from $335.1 million in the same period last year, thanks to acquired businesses and organic growth in both traditional and speciality segments, the company said.
President/CEO David Vander Zanden said: "The added restructuring charges reflect one of our most aggressive integration efforts as we close seven warehouses this off-season. We have the talent and capability to aggressively integrate more this off-season, which will greatly reduce our future operating costs."
The company has revised its 2005 revenue estimates to be in the region of $980 million to $1 billion.
