Armstrong Flooring, Inc. reported financial results for the 1Q ended March 31, 2017. In the 1Q 2017, net sales were $265.2 million as compared to $284.4 million in the 1Q 2016, primarily a result of a decline in Wood segment net sales.
The 1Q 2017 net loss was ($7.8) million, or ($0.28) per diluted share, as compared to ($0.8) million, or ($0.03) per diluted share, in the prior year quarter. The decline was primarily attributable to lower net sales, partially offset by manufacturing costs. In addition, the Company incurred a one-time pre-tax charge in the 1Q 2017 of $4.6 million related to severance expenses in both the Resilient and Wood segments.
Adjusted net loss was ($3.6) million, or ($0.13) per diluted share, as compared to ($0.8) million, or ($0.03) per diluted share, in the prior year quarter.
1Q 2017 adjusted EBITDA was $8.9 million, as compared to $12.5 million in the prior year quarter, with the decline attributable to the impact of lower net sales which more than offset lower manufacturing costs.
Don Maier, CEO, commented: “1Q 2017 results were below prior year as expected as net sales and adjusted EBITDA largely reflected the timing of load-in and promotional activity in the prior year quarter. We made additional progress with our innovation-based growth initiatives which helped produce double-digit sales gains in LVT; additionally, we experienced better performance in our commercial business.”
Armstrong Flooring, Inc. is North America’s largest producer of resilient and wood flooring products.
