Steelcase today reported first quarter revenue of $639.4 million and net income of $7.5 million, both above company estimates.
Organic revenue growth in the first quarter was broad-based and totalled 23 percent over the prior year after adjustments.
"Customers are responding very well to our insight-led solutions for the interconnected workplace," said James P. Hackett, president and CEO. "By staying invested in multiple growth initiatives during the worst of the recession, we established a strong foundation for the revenue growth which occurred across all of our segments again this quarter."
Cost of sales was 69.8 percent of revenue in the current quarter compared with 69.9 percent in the prior year. Higher commodity costs and the impact of deconsolidating IDEO were more than offset by higher absorption of fixed costs associated with the revenue growth in the quarter and benefits from previous restructuring activities.