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Shares of this tiny furniture manufacturer, which we profiled in June, have risen nearly 80 percent in the past three months. Chromcraft (NYSE:CRC) is a member of The Cheap Stocks 21 Net Net Index

As we indicated in our June piece, this is not a great business to be in. Net/Nets are typically somewhat ugly, a fact that is often reflected in the stock price. In Chromcraft's case, we saw some potentially interesting assets we believed were worth a great deal more than the sub $1 stock price.

Recent results demonstrated some progress by the Company, but are still nothing to write home about. Chromcraft lost $2.5 million for the second quarter, on sales of $14.6 million, versus a loss of $5.6 million on sales of $31.3 million for the same quarter last year. These results reflected cost cutting efforts by the Company, including the elimination of some product lines, and the consolidation of facilities.

The Company has generated $2.2 million in cash for the six months ended 6/30/2009, but $4.3 million in the first quarter alone. So, CRC burned $2 million during Q2, and ended the quarter with $3.1 million in cash, and no debt.

Current book value per share is $4.54, and there are some compelling tangible assets backstopping that figure, including the 560,000 square foot Senatobia, Mississipi manufacturing/distribution site (which sits on 100 acres), and the 519,000 square foot warehouse/distribution center in Delphi, Indiana.

The risks here are very evident, but the Company is not encumbered by debt. As always, be very cautious in net/net land.

Chromcraft Revington
Ticker:CRC
Price:$1.60
Avg volume: 11,800
Market Cap: $10 million
Book Value per share: $4.54
Shares Out: 6.1 million
NCAV:$18.02 million
NCAV/Market Cap: 1.8

*The author has a position in Chromcraft Revington. This is neither a recommendation to buy or sell any securities. All information provided believed to be reliable and presented for information purposes only.

Source: Chromcraft Revington Update: Some Progress