For the same period last year, the company achievedearnings per share and net income of 51 cents and $18.8million. However, if the restructuring and impairmentcharges were excluded during the first quarter 2005,Ethan Allen would have beaten Wall Street expectationswith earnings per share 57 cents on net income of$19.7 million. Analysts surveyed by Thomson Financialexpected earnings per share of 54 cents on revenue of$236.8 million.

During the quarter, Ethan Allen recorded sales of$251.3 million, an increase of 9.1% from $230.3million for the same period last year. Comparablestore sales increased 8.8% for the chain, which has anetwork of 311 retail stores in the United States andabroad.

"We are pleased with our results for the quarter,"said Ethan Allen chairman and CEO Farooq Kathwari in a statement. "Despite the challenges facing the economy and our industry, sales increased 9.1% and earnings per share, excluding the restructuring and impairment charge, increased 11.8%."