Appliance Recycling Centers of America has reported revenues of $33.2 million in the second quarter of 2014, up 3 percent compared with the same period in 2013.
The growth is primarily attributed to 21 percent increase in appliance replacement sales within its recycling division.
Net earnings for the second quarter of 2014 were $0.6 million, compared with $0.8 million reported in the second quarter of last year. The decline in quarter-over-quarter net earnings was primarily the result of income taxes.
For the six months ended June 28, 2014, total revenues increased 6 percent to $66.7 million, compared with revenues of $62.7 million for the same period in the prior year.
Edward R. (Jack) Cameron, president and chief executive officer of ARCA, said, “We’re especially pleased with the revenue and unit volume growth in appliance replacements, which shows the unique value of ARCA’s turnkey, three-dimensional business model.”
ApplianceSmart, the company’s retail division, posted sales of $17.5 million for the second quarter, a decrease of $0.3 million, or 2 percent, compared with the same period of 2013.
The decline was due mainly to a reduction in same-store sales of $0.2 million, or 1 percent, and the closure of a store during the second quarter of 2013, the company said.
For the second quarter of 2014, ApplianceSmart reported an operating loss of $43,000, compared with operating income of $129,000.
ARCA Recycling, Inc. grew the combination of its appliance recycling fees and appliance replacement revenues by $1.3 million to$11.5 million in the second quarter of 2014. Appliance replacement revenues increased $1.5 million, while appliance recycling fees declined $0.2 million.
Appliance replacement unit volume in the second quarter of 2014 grew by 15 percent while the company’s recycling-only program volumes decreased by 1 percent due mainly to the cancellation of two contracts by the utilities supporting the programs.
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