Nautilus Inc. generated $411.2 million in sales during 2008, a drop from the $501.5 million it pulled in during 2007. The company recorded a continuing operations loss of $93 million, but did not report its net income or loss.
The decline in net sales reflected drops across all of its business segments, including direct retail and commercial. Nautilus did not break out results by segment.
For the fourth quarter, Nautilus pulled in $92.3 million in net sales, down from $146.7 million in fourth quarter 2007. Its loss from continuing operations was 432 million, which included pre-tax charges of $34.1 million, of which $19.4 million was related to the suspension of its acquisition of the Land America manufacturing facility in China.
Within its three operating segments, direct sales dropped 41.7%, from $61.9 million a year ago to $36.1 million in fourth quarter 2008. Retail sales fell from $41.4 million to $28.5 million, and commercial sales dropped from $41.9 million to $26.4 million.
Nautilus markets a variety of fitness products, including Nautilus; Bowflex; Schwinn Fitness; StairMaster and Universal.
The Gossip’s Take: Nautilus had originally scheduled its earnings results for Feb. 18, but postponed ‘em until mid-March “to allow additional time to complete the few remaining items in connection with the 2008 audit, the most significant of which is a review of the carrying value of the company’s goodwill and other intangible assets.” It certainly was a busy three intervening weeks – in addition to finalizing its numbers, the company recalled 78,000 Boflex machines due to structural defects, according to The Business Journal. The equipment had been made in China, although it is unknown if the Land America plant mentioned above was involved in any way in that product’s manufacture.
