Musician’s Friend Sees Sales, Income Gains
First-quarter net income at Westlake Village, CA-based musical instruments retailer Guitar Center (Nasdaq NMS: GTRC), which also mails the Musician’s Friend catalog, increased 123%, to $11.8 million for the three months ended March 31. Net sales increased 22%, to $349.7 million.
At Medford, OR-based Musician’s Friend, first-quarter net sales climbed 28%, to $76.8 million from $59.9 million last year. Gross margin for the direct response division was 32% compared with 31% last year. Selling, general, and administrative expenses for the direct division decreased slightly to 22% from 23% last year. The company says the decrease was due to “better-than-expected sales and increased operational efficiencies.”
Strong 1Q for Integra LifeSciences
Plainsboro, NJ-based Integra LifeSciences Holdings (Nasdaq: IART), a manufacturer/marketer of medical devices, reported a 37% increase in first-quarter net income and a 43% rise in revenue. For the three months ended March 31, the company netted $7.4 million on revenue of $52.4 million. Excluding recently acquired product lines, first quarter 2004 product revenues increased 22%.
Integra sells through a catalog, distributors, and a sales force, the size of which doubled last year. In January it made two acquisitions: the R&B instrument business from Cleveland-based R&B Surgical Solutions and the Sparta disposable critical-care devices and surgical instruments business from Rosewood, CA-based Fleetwood Medical.
One-Time Events Help Bluefly Narrow Losses
Discount Internet retailer Bluefly (Nasdaq SmallCap: BFLY) reported a 34% jump in first-quarter sales, to $11.1 million for the three months ended March 31. The New York-based i.merchant also narrowed its net loss 38%, to $1.1 million from $1.8 million a year ago. Bluefly says the net loss reduction was due to $169,000 in a partial collection of damages awarded in connection with litigation and $261,000 of noncash other income recognized as a result of the decrease in value of certain warrants issued by the company.
Bluefly noted that the cost of acquiring a customer more than doubled, to $10.72 per customer from $5.26.