Lumber Liquidators Holdings Inc (NYSE:LL) shares were booming as the company posted its fiscal fourth-quarter results.
The specialty retailer — which focuses on selling hardwood floors — saw its sales amount to a loss of $5.5 million, which tallied up to 20 cents per diluted share. A year prior, earnings came in at a $19.8 million loss, or 73 cents per share.
Wall Street was expecting a quarterly loss of 31 cents per diluted share for Lumber Liquidators. The company’s revenue came in at $244.9 million, or $10.1 million better than what it posted in the fourth quarter of 2015.
Analysts polled by FactSet reached a lower consensus estimate for revenue over the three months that ended the year at $242.4 million. Same-store sales saw a 2.8% hike, which included a 3.0% increase in average sales, as well as a 0.2% slip in customers invoiced.
The results produced in this quarter may mark the beginning of a recovery for Lumber Liquidators as the company was hit hard upon the discovery that formaldehyde was found in its China-made laminate flooring between 2012 and 2014. The substance may cause cancer, and the company unwittingly sold the product.
Company CEO Dennis Knowles said during the earnings call that he is hoping for the best following a rough stretch. He added that the results make up the company’s second consecutive increase in comparable sales, which he believes is “a further step in the right direction.”
LL shares soared 18.4% Tuesday afternoon.
