Beds See More Action in 4th Quarter of 2009

Apparently some things are still up despite the weak economy.  That includes profits at Tempur-Pedic.  The final quarter of the year brought a 129% rise in net income for the mattress and pillow manufacturer with profits totaling $29.1 million.

The company accomplished this largely on the basis of a 29 percent gain in net sales, which finished the quarter at $244.8 million, thanks to significant increases on both the domestic and international markets. This pickup produced a gross-profit increase of 46 percent, which helped offset increases of 31 percent in selling and marketing expenses, and 23 percent in general, administrative and other expenses.

For the full 2009 fiscal year, Tempur-Pedic posted a 44 percent increase in net income, to $85 million. Net sales fell 10 percent to $831.2 million, but the company was able to trim selling and marketing expenses by 11 percent. Cost of sales dropped 17 percent.

Mark Sarvary, chief executive officer, said the positive quarter owed to a gradual improvement in the economy as a whole and Tempur-Pedic’s sales and marketing initiatives. Sarvary added that the company’s advertising campaign and productivity improvements point to a strong performance in 2010.