A slimmed-down Intervisual Books Inc. reported income from continuing operations of $164,163 for the second quarter ended June 30, 2002, compared to a loss from operations of $169,753 in last year's second quarter. Sales in the period fell 6.4%, to $3.4 million. Results exclude Intervisual's Fast Forward Marketing division, which was sold earlier this year.
The company attributed the improved bottom-line performance to higher profit margins, which resulted from lower printing costs and higher prices, plus lower interest expenses. "We have turned the first corner by generating operating profit, but must continue to execute our creative and sales channel expansion," said company president Larry Nusbaum.
The company's self-publishing program, Piggy Toes Press, had a solid second quarter, with sales rising $300,000, partially offsetting a $534,000 decline in its packaging division. For the first six months of the year, Piggy Toes' sales were up $506,000, compared to a decline of $1.2 million in packaging sales. Intervisual said the decline in packaging results was due to the $1 million in Harry Potter sales the company earned in the first half of 2001 that was not repeated this year, while higher sales through mass merchandisers spurred the increase in Piggy Toes' revenues.
For the first six months of 2002, Intervisual had an operating loss from ongoing operations of $112,000, down from a $130,000 loss in the comparable period in 2001. Sales were down 10.5%, to $5.6 million.
