CLEVELAND—Net income for Hamilton Beach finished the third quarter at $5.6 million, 19 percent down from the third quarter of 2009.
The shortfall occurred in spite of a 12 percent pickup in net sales, which totaled $133.3 million for the quarter, which ended on Sept. 30. NACCO Industries, Hamilton Beach’s parent company, attributed the drop in the bottom line to higher employee-related expenses, which resulted from the full restoration of “certain compensation and benefits” that were reduced in the first three quarters of last year.
Hamilton Beach’s sales rose on the strength of higher unit sales volumes of products at lower average selling prices, primarily in the U.S. market. Going forward, according to NACCO, Hamilton Beach will continue to up its advertising efforts for the Brewstation coffeemaker and Stay-or-Go slow-cooker lines, which NACCO cited as being successful. NACCO said it is confident that the holiday selling season will produce a further strengthening of consumer markets.
For the third quarter, NACCO as a whole posted net income of $13.5 million, reversing a $3.9 million loss from a year ago.