Leggett & Platt earnings down 72% in 4Q

Carthage-based Leggett & Platt Inc. (NYSE: LEG) posted earnings of $8.7 million in the fourth quarter, a 72 percent decrease compared to profits of $31.4 million in the same quarter of 2010.

Earnings per diluted share for the quarter ended Dec. 31 were 6 cents, a 15-cent drop from the same quarter a year ago, according to a news release.

During the quarter, Leggett & Platt - which manufactures engineered components and products for homes, offices and vehicles - realized a $37 million predominantly noncash charge related to the restructuring of residential furnishings, commercial fixtures and components, industrial materials and specialized products.

In December, Leggett & Platt signed a definitive agreement to acquire Kirkland, Wash.-based Western Pneumatic Tube Holding LLC for roughly $188 million. The sale closed Jan. 12, according to the release.

Net sales were $854.1 million during the fourth quarter, a 7 percent increase compared to $801.9 million in the same quarter of the prior year.

For the full year, the company recorded $153.3 million in earnings, down 13 percent compared to $176.6 million in 2010.

Though net sales were up 8 percent to $3.6 billion during the year, Leggett & Platt President and CEO David Haffner said the sales didn't lead to rising profits.

"Though sales grew in 2011, most of the increase was due to inflation and currency rates, which didn't generate much profit," he said in the release. "After improving for the last three years, (the earnings before interest and income taxes) margin declined in 2011 due to restructuring costs, inflation and weak market demand for some of our products.  We are dedicated to reversing this trend in 2012."

As of Dec. 31, the company's assets were $2.9 billion.

Leggett & Platt shares were trading at $21.89 as of 11:21 a.m., compared to a 52-week range of $17.80 to $26.95.[[In-content Ad]]