Sale helps to boost earnings at Invacare
ELYRIA, Ohio – Invacare’s third-quarter net earnings were $16.1 million for the quarter ended Sept. 30, compared to $2.9 million for the same time period last year, the company reported Oct. 24.
A big reason for the gain: the $21.2 million sale in August of its former domestic medical recliner business, Champion Manufacturing.
Invacare’s net sales fell to $341.2 million in the third quarter, compared to $361.5 million for the same period last year, a 5.6% decrease.
Invacare said net sales in its North American/HME business segment were hardest hit, largely due to a consent decree with the U.S. Food and Drug Administration (FDA), which has led to fewer orders for mobility and seating products. The company estimates that sales of products from its Taylor Street facility were $12 million for the third quarter, compared to $37.6 million for the same period last year.
Third quarter net sales for North America/HME were $151.1 million for the third quarter, compared to $170.7 million last year, an 11.5% decrease. Net loss was $9 million, excluding restructuring charges of $1.2 million, versus $300,000.
Company-wide, net sales for the first nine months of the year were $1.02 billion compared to $1.08 billion for the same period last year. Net earnings were $38.8 million vs. $9.1 million.
For North America/HME, net sales for the first nine months of the year were $462.3 million compared to $527.1 million last year. Net loss was $28.8 million, excluding restructuring charges of $4.8 million, versus $10.3 million.