Lawson Products returns to profitability
Lawson Products reported sales of $306 million in 2017, a 10.6 percent increase from $277 million the previous year.
Net income of $29.7 million, or $3.25 per share, compared to a net loss of $1.6 million, or a loss of 19 cents, in 2016.
In the fourth quarter, net sales increased 19.8 percent to $80.6 million versus $67.3 million for the same period a year ago on one additional selling day in 2017. Sales per rep per day generated by the organic Lawson business increased 8.3 percent over the fourth quarter of 2016. Average daily sales grew 17.8 percent to $1.32 million in the recent quarter compared with $1.12 million a year earlier.
The acquistion of The Bolt Supply House in the fourth quarter contributed $8.0 million to sales. Average daily sales increased 17.8 percent to $1.32 million during the quarter compared to $1.12 million in the fourth quarter of 2016.
Net income for the fourth quarter was $20.2 million, or $2.21 per diluted share, compared to a net loss of $4.6 million, or 53 cents for the same period a year ago.
"We finished 2017 with a 17.8 percent increase in average daily sales driven by both acquired revenue and a 6.1 percent growth within our Lawson business segment that helped drive our annual 2017 operating income to $9.9 million. The sales growth was driven by an 8.3 percent increase in sales per rep per day in the Lawson segment and the acquisition of The Bolt Supply House this past October. This acquisition, being our largest to date, was an important step in pursuing our growth strategy of acquiring companies that significantly add to our revenue and leverage our infrastructure to drive earnings,” said Michael DeCata, president and chief executive officer.
INDUSTRIAL SUPPLY MAGAZINE
The March/April issue of Industrial Supply magazine features an in-depth cover story about Joyce Lansdale and Vallen. Plus, we're featuring articles by contributing writers Dirk Beveridge, Frank Hurtte, and David Kahle, as well as interviews with numerous product and distribution industry experts.
