Escalade Inc. reported that its Sporting Goods division, which makes pool tables, table tennis tables, game tables, basketball systems and wood playsets, reported net sales declined 19.8% and 16.6% in the second quarter and first half of fiscal 2009, respectively.
The company expects sporting goods sales to be approximately 20% lower in 2009 compared to 2008 and said it is continuing to identify and implement cost saving initiatives and product design enhancements to expand market share and improve the division's profits.
Overall, Escalade reported net income reached $366,000, or 3 cents a share, in the second quarter, compared to a net loss of $704,000, or 6 cents, a year ago. Net sales for the second quarter declined 22.2%, compared to same period last year. For the first half of 2009, the company said it has improved gross margins by 330 basis points and reduced SG&A expenses by 22%, mainly due to facility consolidation in the Sporting Goods segment and company-wide cost cutting measures implemented last year.
