Mercerville, NJ, Aug. 9—Congoleum Corporation’s sales for the second quarter ended June 30 were $55.5 million, compared with sales of $55.3 million in the second quarter of last year—an increase of 0.5%. Net income for the quarter was $0.2 million, compared to a loss of $2.2 million in the second quarter a year ago. Earnings per share for the quarter were $.02, compared with a loss of $.27 in the second quarter of last year.

Sales for the six months ended June 30 were $108.7 million, compared with sales of $112.1 million in the first six months of last year, a decrease of 3%. The net loss for the first six months was $3.5 million, or $.43 per share, compared with $4.1 million or $.50 per share for the first six months of last year.

"We’re pleased to have achieved this quarter's significantly improved results in such a difficult economic environment,” said Congoleum chairman Roger S. Marcus. “Despite the continued weakness of manufactured housing and the challenges of our distribution transition in the southwestern U.S., we grew our sales through the ongoing success of the Ultima product line. The contribution from this product, together with the major cost reductions we instituted in the first quarter of 2001, resulted in a dramatic improvement in profitability for the quarter compared with the second quarter of 2000.

"This more efficient cost structure should benefit us further as our distribution continues to build sales momentum. We also continue to deliver on our strategic goal of innovation with our new high performance flooring product, Durastone. With demand for the display nearly twice what we anticipated, this product line, which will begin shipping later in the third quarter, is shaping up to be another winner."

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