Annual Sales Up 11% for Design Within Reach

Fourth-quarter net sales for San Francisco-based furniture cataloger/retailer Design Within Reach rose 21%, to $50.1 million for the three months ended Dec. 30. For fiscal 2006, sales increased 11%, to $178 million.

Fourth-quarter direct sales were approximately $13.5 million, an increase of 4% from the comparable period of 2005. But for the year, direct sales slipped 4%, to $49 million, due to lower phone sales during the first half of the year.

The company’s net loss decreased, to approximately $0.13-$0.15 per share from $0.28 per share for the fourth quarter of 2005. But net loss grew for fiscal 2006, to $0.57-$0.59 per share from $0.15 per share in fiscal 2005.

CEO Ray Brunner described 2006 as a “challenging” year, but in a statement he noted: “We initiated a series of corrective actions to improve Design Within Reach’s operating performance and enter 2007 with signs of progress under way. We have assembled a strong new management team that is focused on the fundamentals of cost control and is committed to making sustainable profitability its top priority. In 2006, we successfully stabilized and repaired operations by significantly reducing corporate overhead, eliminating nonproductive categories and liquidating excess inventory, stopping all nonessential capital expenditures, and thoroughly examining and enhancing our financial reporting.”

Partner Content

Hincapie Sportswear Finds Omnichannel Success in the Cloud - Netsuite
For more and more companies, a cloud-based unified data solution is the way to make this happen. Custom cycling apparel maker Hincapie Sportswear has leveraged this capability to gain greater visibility into revenue streams, turning opportunities into sales more quickly while gaining overall operating efficiency. Download this ecommerce special report from Multichannel Merchant to more.
The Gift of Wow: Preparing your store for the holiday season - Netsuite
Being prepared for the holiday rush used to mean stocking shelves and making sure your associates were ready for the long hours. But the digital revolution has changed everything, most importantly, customer expectations. Retailers with a physical store presence should be asking themselves—what am I doing to wow the customer?
3 Critical Components to Achieving the Perfect Order - NetSuite
Explore the 3 critical components to delivering the perfect order.
Streamlining Unified Commerce Complexity - NetSuite
Explore how consolidating multiple systems through a cloud-based commerce platform provides a seamless experience for both you, and your customer.