A.T. Cross Company said sales at its Cross Optical Group (COG), which owns the Costa and Native sunglass brands, reached $12.8 million in the fourth quarter ended Dec. 31, a 12.0 percent increase compared to last year. COG sales grew 19.8 percent to $72.5 million in 2011 compared to $60.5 million in 2010.

 

“Our goal is, on an annual basis, to consistently grow our top and bottom line at a double digit rate,” said David G. Whalen, president and CEO of A.T. Cross. In 2011, we accomplished that goal. Led by 20 percent growth of our optical group, 2011 sales and net income were the highest they have been in more than a decade. Revenue climbed 10 percent and net income increased by 34 percent. The fact that profit increased at more than three times the pace of our top line was indicative of the greater contribution from our Cross Optical Group, as well as the operating leverage in our Accessory business.

 

“The investment we made in our Cross Optical Group proved productive, as we expanded both the Costa and Native brands into new doors and geographies, launched the Costa prescription sunglass program and introduced several new Native products including ski goggles,” Whalen continued. “Our confidence in the Optical Group's business model and growth prospects remains very high.”

 

 

 

 




































































































































































A. T. CROSS COMPANY


CONSOLIDATED SUMMARY OF INCOME


(in thousands, except per share amounts)


(unaudited)




Three Months Ended Twelve Months Ended

December 31, January 1, December 31, January 1,

2011 2011 2011 2011





Net sales $ 43,278 $ 44,035 $ 174,637 $ 158,312
Cost of goods sold 20,326 19,866 77,613 70,090
Gross Profit 22,952 24,169 97,024 88,222



Selling, general and administrative expenses 18,382 18,764 74,451 68,817
Service and distribution costs 1,810 2,158 7,830 7,524
Research and development expenses 673 744 2,697 2,811
Operating Income 2,087 2,503 12,046 9,070
Interest and other income (expense) 113 (367) (897) (1,220)
Income Before Income Taxes 2,200 2,136 11,149 7,850
Income tax provision 259 369 2,839 1,642
Net Income $ 1,941 $ 1,767 $ 8,310 $ 6,208



Net Income per Share:



Basic $ 0.16 $ 0.15 $ 0.68 $ 0.49
Diluted $ 0.15 $ 0.14 $ 0.64 $ 0.48



Weighted Average Shares Outstanding:



Basic 12,229 11,957 12,195 12,686
Diluted 13,026 12,602 13,005 13,065


 


Three Months Ended Twelve Months Ended

December 31, January 1, December 31, January 1,

2011 2011 2011 2011
Segment Data: Cross Accessory Division



Net Sales $ 30,450 $ 32,585 $ 102,131 $ 97,776
Operating Income 1,267 1,886 1,205 817



Segment Data: Cross Optical Group



Net Sales $ 12,828 $ 11,450 $ 72,506 $ 60,536
Operating Income 820 617 10,841 8,253