Boston, MA 05/09/2014 (wallstreetpr) – Nautilus, Inc. (NYSE:NLS)‘s recent quarterly reporting had many interesting things worth taking notice. The company that once long-suffered from operation inefficiency can be seen managing a quick and impressive turnaround.
The recently reported 1Q results showed strong sales improvement across the company’s direct and retail activities. The plans to expand the cardio fitness market with the launch of treadmill leave no doubt that the company has evaluated its potential and is sure about the steps it is making. Otherwise, the company would have no reason to change its initial position that it had no plans for treadmill if assessment of the product has not proven to be compelling enough to support that investment.
Talk about cardio fitness products and the company is already witnessing overwhelming demand for its MAX trainer. The product that launched early this year can be seen overstretching the company’s production capacity and exceeding the expectations of the management. That can be clearly seen from the fact that customer wait duration for the product is somehow long at around three to four weeks.
In addition to the launching of products that are popular with customers, Nautilus, Inc. (NYSE:NLS) also announced a cloud-based information system that it believes will support improved data access by key decision-makers. On that note, the company expects to lend significant support to its marketing and research and development teams. And all these efforts point to the turnaround that the company is making to not only achieve financial efficiency in its operations but also accelerate data sharing to support innovation.
Nautilus, Inc. (NYSE:NLS) plans to open a new distribution center that it expects to support its expansion and enhance customer experience. Moreover, the new distribution center is expected to help the company reduce its freight costs that will in turn support bottom-line improvement.
The company exited 1Q with improved sales whereby net sales came in at $71.9 million, up 21% from the same period a year earlier. The quarter saw significant segment improvements with direct and retail business notching up 19 and 32 percent respectively on a year-over-year basis.