Lexington, Kentucky - Sales at Tempur-Pedic International Inc. have increased 30 percent in the third quarter to $383.1 million, the premium mattress and pillow maker said in a 20 Oct report.
Net sales in North America were up 30 percent in Q3, while internationally, sales grew by 28 percent compared to the same period in 2010. Profit for the three months ended 30 Sept was $200.6 million, up 33.1 percent year-on-year.
In the third quarter, mattress sales increased 28 percent globally, Tempur-Pedic said. Mattress sales grew by 28 percent in North America and 31 percent in internationally. Pillow sales increased 12 percent globally. Sales of pillows in North America grew by 5 percent, and internationally by 21 percent.
Gross profit margin in Q3 was 52.4 percent compared to 51 percent in the third quarter of 2010. Tempur-Pedic attributed this increase to "improved efficiencies in manufacturing, favourable mix and fixed cost leverage related to higher production volumes." The operating profit margin was 25.2 percent, up from 23 percent in Q3 2010.
Operating profit margin was 25.2 percent as compared to 23 percent in the third quarter of 2010. The increase was driven by improved gross profit margin and operating expense leverage, partially offset by increased marketing investments, according to the company.
"We are pleased with our third quarter results globally. Our strategic investments in brand awareness and new products continue to deliver growth. We remain confident of the potential to grow sales and earnings over the long term," commented ceo Mark Sarvary."