Business
Koss Third Quarter Net Income Nearly Doubles on 16% Sales Increase
MILWAUKEE, May 05, 2022 (GLOBE NEWSWIRE) -- Koss Corporation (NASDAQ: KOSS) (the “Company”), the U.S. based high-fidelity headphone company, has reported its
About this update from Koss Corporation
[{"type":"text","content":"MILWAUKEE, May 05, 2022 (GLOBE NEWSWIRE) -- Koss Corporation (NASDAQ: KOSS) (the “Company”), the U.S. based high-fidelity headphone company, has reported its results for the third quarter ended March 31, 2022. Sales for the third fiscal quarter were $4,634,552, which is a 16.2% increase from sales of $3,987,452 for the same three-month period one year ago. The three-month net income was $403,204, compared to a net loss of $474,168 for the third fiscal quarter in the prior year. Diluted income per common share for the quarter was $0.04 compared to a diluted loss per common share of $0.06 for the three-month period one year ago. Sales for the nine months ended March 31, 2022 decreased 5% from $14,125,537 in the same period in the prior year to $13,415,506 in the current year. The nine-month net income was $882,814 compared to net income of $161,651 for the same period in the prior year. Diluted income per common share was $0.09 for the nine months ended March 31, 2022 compared to income per common share of $0.02 for the same nine-month period one year ago. \"The year over year decline in sales was a result of lower sales to certain domestic distributors and the complete withdrawal of a non-branded model from a single US mass retailer. Direct-to Consumer (DTC) sales continue to grow following a shift in the business away from ‘brick and mortar’ retail stores to more consumer direct, online selling,” Michael J. Koss, Chairman and CEO, said today. \"While sales to European distributors have exceeded the first three quarters of the prior year, the export gains were offset by a contraction in sales to distributors in Asia.” “Gross margin improvement for the three and nine months ended March 31, 2022 can be attributed to last year’s shift away from traditional mass retail stores which has resulted in a more favorable mix of product within growing market classes”, Koss continued. “Inconsistent worldwide response to the persistence of COVID-19 and the war in Eastern Europe continued to cause disruptions in the supply chain and exacerbate the negative impact the current administration’s policy has had on energy costs.” These political factors are offsetting some of the company’s gross margin favorability. While the increased energy costs are expected to linger and inflate our material costs, the company has continued to make an investment ...