Decorize stock sale funds Asian expansion

The Feb. 5 sale netted $550,000, leaving the company with 25.24 million outstanding shares.

The company also posted its first profitable quarter, reporting a $52,000 operating gain in its fiscal 2007 second-quarter, filed Feb. 14 with the Securities and Exchange Commission. Decorize reported an operating loss of $731,600 for the same period in 2006.

Production boost

Expansions at the Spring-field-based furniture manufacturer’s Indonesia and China facilities have begun, according to CEO and President Steve Crowder, and should be complete in about 75 days.

Bigger production areas at the Indonesia facility will make room for more drying tunnels and spraying booths, Crowder said. When finished, it will produce about 35 furniture containers per month, compared to its current capacity of 20 containers.

The China facility also will add space to its showroom and office areas.

It’s all in response to an increasing product demand, Crowder said.

In January, sales were about $2.5 million – compared to $3.39 million reported in the entire January–March period of 2006. About $1.5 million in January was from Decorize’s Guildmaster brand, which Crowder said was popular at recent furniture market events and recently debuted a new collection.

Guildmaster sales were up 44 percent over last year. Popularity of particular brands varies each month, Crowder said, depending on what happens at market.

In early January, Decorize reported second-quarter sales of $4.5 million.

Shares (AMEX: DCZ) closed Feb. 14 at 70 cents, 7 cents below the 52-week high.

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