Charles & Colvard faces 37% dip in net sales in Q3

Charles & Colvard has announced a bleak financial result for the third quarter ending September, 30, 2008. Its domestic sales slipped by 45 percent, while its international sales scaled by a mere 1 percent, although net sales was yet pulled down by 37 percent to $4.16 million. In the said quarter, 22,900 carats of goods were shipped, which calculated to a decrease of 44 percent from the same quarter last year. The prices per carat had risen in Q3 2008, by an average 5 percent.

The company had indulged into a cost cutting endeavour, by closing its Far East offices and restructuring its management. Despite this attempt to reduce losses, it faced moving into the red, recording $3.12 million net loss for the said quarter, over a $246,208 profit it earned in the same quarter last year.

In the time of the first nine months of 2008, the company endured a net loss of $4.89 million, from $1.11 million profit in the same period of 2007. Its revenues were less, slipping by 44 percent to $11.21 million, while expenses increased by 14 percent to $14.54 million.