Herman Miller Q1 sales $624.6 millionStaff Writer | September 20, 2018
Herman Miller announced results for its first quarter ended September 1, 2018. Net sales in the quarter totaled $624.6 million, an increase of 7.6% from the same quarter last fiscal year.
Herman Miller Herman Miller reported net earnings of $0.60 per share on a diluted basis
Herman Miller reported net earnings of $0.60 per share on a diluted basis in the first quarter compared to diluted earnings per share of $0.55 in the same quarter last fiscal year.
Excluding the impact of restructuring and impairment expenses, and other special charges, adjusted earnings per share in the first quarter totaled $0.69 compared to adjusted earnings per share of $0.57 in the first quarter of last fiscal year.
Consolidated gross margin in the first quarter of fiscal 2019 totaled 36.0%, representing a 140 basis point decrease from the level reported in the same quarter of last fiscal year.
Approximately 60 basis points of the year-over-year decrease in gross margin related to the adoption of the new revenue recognition standard (ASC 606) at the beginning of fiscal 2019.
This adoption required recording certain product pricing elements as expenses within cost of goods sold that were previously classified on a net basis within sales. Excluding this impact, gross margin decreased by 80 basis points compared to the same quarter last year.
Operating expenses in the first quarter were $178.0 million compared to $165.7 million in the same quarter a year ago.
Operating expenses included certain special charges totaling $5.1 million in the first quarter of fiscal 2019. The special charges related primarily to costs associated with the CEO transition and external consulting fees associated with the Company's profit enhancement initiatives. Excluding these items, operating expenses increased by $7.2 million compared to the same quarter last year. ■