INDIANAPOLIS — FinishMaster reported net income for the quarter ended June 30, 2010, of $3.77 million, or $0.48 per diluted share, compared with net income of $3.84 million or $0.49 per diluted share, in the prior year period. For the six months ended June 30, 2010, net income was $5.88 million or $0.75 per diluted share, compared to net income of $6.3 million or $0.80 per diluted share in the prior year period.

Net sales decreased 1.4 percent to $107 million for the quarter and 4.9 percent to $208 million for the year-to-date period due entirely to a same branch sales decline. Same branch sales, which have been steadily improving over the last 12 months, turned positive late in the second quarter as a result of both the addition of new customers and increased purchases from existing customers. The company remains focused on sales growth, expense control and net working capital management.

Gross margin dollars decreased $380,000 or 1.1 percent for the quarter and $3.37 million or 5.1 percent for the year-to-date period due primarily to lower sales volume. Gross margin as a percent of net sales increased 10 basis points to 30.7 percent for the quarter and decreased 10 basis points to 30.2 percent for the year-to-date period.