Yankee Candle Posts Record 4Q and Year Sales

The Yankee Candle Company, Inc., South Deerfield, MA, reported sales in the fourth quarter ended Jan. 3 increased 16% $205.1 million. Operating profit for the fiscal 2003 fourth quarter increased 14% to $75.1 million, from $65.7 million for the prior year quarter. Net income rose 15% in the quarter to $44.9 million. Yankee also opened four new retail stores during the fourth quarter and ended the quarter with 286 stores in 42 states. Executives said the sales totals set a new fourth quarter and full year records.

“There is much to be proud of in our fourth quarter financial and operating performance, and in the continued development of the Yankee brand,” said Craig W. Rydin, Yankee’s chairman and chief executive officer. “The positive achievements were many and were broad based across our company.”

Commenting on the holiday season, Mr. Rydin said, “Aside from those days when weather was a significant negative factor, Yankee retail stores were busy during the holiday selling period.”

Total sales for fiscal 2003 were $508.6 million, a 14% increase over fiscal 2002. Operating profit for fiscal 2003 increased 16% to $127.0 million, from $109.8 million operating profit for fiscal 2002. Net income for fiscal 2003 increased 17% to $74.8 million.

The company also announced a new stock repurchase program that allows for the repurchase of up to $100 million of the company’s common stock from time to time on the open market or in privately negotiated transactions. For fiscal 2004, the company expects approximately 10-12% total sales growth, including 9-10% in the first quarter.