Latest News

Save E-mail Print Most Popular RSS Reprints

Sales drop at Charles and Colvard

July 24, 2007

Similar Stories | Topics

Morrisville, N.C.—Net sales for moissanite manufacturer Charles & Colvard fell 11 percent to $7.6 million in the three months ended June 30 amid what the company called a "weak" jewelry retailing environment.

The company's gross profit fell 14 percent to $5.5 million, and operating income dropped 47 percent to $889,000.Net income for the second quarter dropped 52 percent to $529,000, or 3 cents per diluted share.

The company said it expects sales to trend stronger in the second half of the year as retailers ramp up orders for the holiday seasons and the total number of moissanite doors at Kohl's stores increases.

"Our second-quarter sales results reflect a number of factors, including a weak overall jewelry retail environment," Charles & Colvard President and Chief Executive Officer Bob Thomas said in a statement. "Sales of moissanite jewels to our top four direct customers, which represented 71 percent of total sales, were down 18 percent in the second quarter compared to the prior year. At the same time, sales to our remaining direct customers were up 14 percent over the same quarter last year."

Gross profit margins for the second quarter were 72.5 percent, and the company believes they will stay at 65 percent to 75 percent. Charles & Colvard expects total marketing and sales expenses for the year to comprise 43 percent to 48 percent of total net sales, an increase over last year.

The company is working on several initiatives expected to boost customer awareness and demand, Thomas said.
Save E-mail Print Most Popular RSS Reprints
Post a Comment
* Required field
* Author:
* Comment:
 

More Brand Profiles

Movado Lincoln Center Watch
Movado watch fetes 50 years of pirouettes, solos

A night out at the New York City Ballet or Jazz at Lincoln Center is bound to be memorable, but Movado hopes to help make it more so with a new version of its iconic "Museum" watch.  Read More

Raymond Weil forms U.S. distribution company
More News

More Like This

New Moissanite jewelry line to launch on HSN
November 16, 2007 | National Jeweler Network
Charles and Colvard 3Q sales drop 46 percent
October 24, 2007 | National Jeweler Network
Charles and Colvard reports decrease in 1Q sales
April 25, 2007 | National Jeweler Network
Charles and Colvard 4Q sales up 3 percent
February 15, 2007 | National Jeweler Network
Charles and Colvard announces management changes
March 07, 2007 | National Jeweler Network
TOPICS
Business | Company Activities and Information | Corporate Reporting | Earnings and Loss Announcements | Earnings and Losses

Design Portfolio

advertisement

Video

Small multi video player located on right rail of NJN site

advertisement

Sponsored by:

Retailer Toolbar

America's Best Jewelers
Join the ONLY Social Network for Jewelry Retailers. Get access to expert content, peer best practices, and more.
Start networking today.
Newsletters
Newsletters
Topic-specific newsletters that deliver the latest news on jewelry, diamonds, wholesale operations and high-volume buying directly to your in-box.
Reader Connect
ReaderConnect
Supplier information presented with every article, bringing you related, actionable content on every topic.
Jewelry Yellow Pages
Yellow Pages
A comprehensive listing of associations, organizations, suppliers and services for the jewelry industry.
Classifieds
Classifieds
A comprehensive listing of job postings, product offerings and other materials for sale for the jewelry industry.
NJN Customer Connect
CustomerConnect
The most sophisticated suite of marketing services available for jewelry retailers, from Internet tools to data marketing.

advertisement