A mattress retailer has promoted two executives and reassigned a third with an eye on continuing the company’s recent rapid growth.
Mattress Firm Inc., No. 492 in the Internet Retailer 2015 Top 500 Guide, has promoted Ken Murphy from co-chief operating officer to president, where he’ll oversee the retailer’s e-commerce initiatives, among other responsibilities. Murphy replaces Dale Carlsen, who remains with the company as chief philanthropy officer and executive vice chairman. Rob Killgore, who had been serving as co-chief operating officer alongside Murphy since 2014, becomes the sole chief operating officer.
“I am personally excited to have Ken’s leadership in his very important role, given his long history and success with the company and his passion towards the future growth,” CEO Steve Stagner told analysts on Mattress Firm’s Q2 2015 earnings call Friday, according to a transcript from Seeking Alpha.
Top500Guide.com data shows that Mattress Firm has increased online sales at an annual rate of 41.1% over the past five years, going to an Internet Retailer-estimated $27.9 million in 2014 from $5 million in 2010. In July, Mattress Firm announced a partnership with web-only retailer Wayfair LLC (No. 33 in the Top 500) allowing Wayfair.com shoppers access to Mattress Firm’s merchandise while giving those customers additional perks such as same-day delivery in many markets from among Mattress Firm’s more than 1,700 retail locations.
“As Wayfair leads the online retail space for home and Mattress Firm continues to expand its vast nationwide footprint with best-in-class delivery, we are in a unique position to provide shoppers with unprecedented access to the top bedding brands along with an exceptional service experience,” Murphy said when announcing the partnership.
Mattress Firm does not break out online sales. For the second quarter ended Aug. 4, the company reported:
- Net sales of $661.1 million, up 61.2% from $410.0 million during the same time last year.
- Comparable-store sales up 2.8% year over year.
- Net income of $21.9 million, compared to $14.3 million during the same time last year.
For the first six months of fiscal 2015, Mattress Firm reported:
- Net revenue of $1.224 billion, up 64.6% from $743.5 million during the same time last year.
- Net income of $27.4 million, compared to $22.0 million during the same time last year.