Right Start Inc. Reports 42% Profit Dip in Quarter

Right Start Inc., citing the recession, said its fiscal fourth-quarter profit dropped 42% from a year earlier on little change in revenue.

The company, a Westlake Village-based marketer of children’s items by catalogue, said its net income in the quarter ended May 27 fell to $195,000 from $335,000 a year earlier. Its revenue totaled $6.93 million, down from $6.96 million.

The earnings decline reflected “lower catalogue response rates due to the recession,” together with additional costs stemming from Right Start’s higher catalogue mailings compared with a year earlier, the company said.

For its full fiscal year, Right Start’s profit tumbled 34% from the previous year, to $820,000 from $1.25 million, but its revenue rose 26% to $27.4 million from $21.7 million.