LINWOOD, Pa. -- Foamex International Inc. reported second quarter net income of $2.7 million, or 10 cents per diluted share, on net sales of $334.3 million, a decline of 3 percent compared to $345.9 million in the record quarter of a year ago. The company also announced that it is presently finalizing a comprehensive refinancing of its bank debt.
Gross profit was $40.2 million in 2003, down 14 percent from $46.9 million in 2002. Sequentially, the second quarter gross margin of 12 percent was higher than the 9.5 percent reported in the first quarter of 2003 which, the company said, represents a significant step in its efforts to return to historical levels of profitability. The improvement primarily reflects the implementation of selling price increases and manufacturing efficiencies derived from the execution of Foamex's profit restoration plan.