L.L. Knickerbocker Posts Loss as Revenue Surges

L.L. Knickerbocker Co., which markets collectibles, jewelry and accessories and consumer products, reported a loss of $561,000, or 3 cents a share, for the second quarter, contrasted with profit of $758,000, or 5 cents a share, a year earlier.

The company said expenses increased primarily because of jewelry manufacturing operations purchased in 1996. Revenue more than doubled to $17.6 million from $7.4 million as the company’s production increased. For the first half, Knickerbocker posted a loss of $4.4 million, or 25 cents a share, compared with a year-earlier profit of $1.1 million, or 7 cents a share. Sales for the six months rose to $31.1 million from $10.6 million. The company said its earnings were affected by noncash charges of $571,000 for the second quarter and $876,000 for the first half.

The charges represented equity losses of Pure Energy Corp., Ontro Inc. and Insta-Heat Inc., and amortization of goodwill of $168,000 and $313,000 in connection with the company’s 1996 acquisitions.