Ennis, Inc. Financial Report Shows Print Revenues Up, Apparel Down

Ennis, Inc. (UPIC: ennis) has reported its financial results for the three- and six-month periods ending August 31, 2012.

The Midlothian, Texas, company, one of the largest private-label printed business product suppliers in the U.S., reported consolidated net sales of $138.3 million for the quarter ending August 31, compared to $130.4 million for the quarter ending August 31, 2011, an increase of 6.1 percent. Print sales increased 24.3 percent for the quarter, from $69.2 million to $86.0 million. Apparel sales for the quarter declined by 14.5 percent—down 4.5 percent on units and down 10 percent on price—from $61.2 million to $52.3 million.

For the six-month period, net sales increased from $273.6 million to $280.9 million, or 2.7 percent. Print sales for the six-month period were $173.4 million, compared to $136.3 million for the same period last year, an increase of $37.1 million, or 27.2 percent. Apparel sales for the six-month period were $107.5 million, compared to $137.3 million for the same period last year, or a decrease of 21.7 percent.

“Our print operations continue to deliver revenue and operational results as expected,” says Keith Walters, the company’s chairman, CEO and president. “Our two recent acquisitions, Printegra and PrintXcel, delivered sales and profits for the second quarter better than expected. While our apparel results continue to be negatively impacted by higher raw material costs, increasing the cost of finished goods and cost of sales, we are beginning to see improvement in this segment’s margin. The apparel market continues to be constrained from a volume perspective, and pricing in the marketplace continues to be highly competitive. While challenges continue in the apparel sector, we are confident about the long-term prospects of both sectors.”

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