The annual FIN Review of Fastener Stocks has just been published, showcasing how publicly-traded fastener companies have fared in the opening months of the pandemic.

Publicly-traded companies with fastener holdings reported sales declined an average of 13.1% in the opening quarter of 2020.

The Bossard Group reported sales fell 5.7% to CHF 218.9 million (US$225.4 million) during the opening quarter of 2020, largely as a result of the stronger Swiss franc.  In local currency, the decline was 1.8%.

Carpenter Technology Corp. reported revenue declined 4% to $585.4 million in the third quarter of fiscal 2020 on 9% lower volume, with operating income down 19% to $58.7 million and falling 22% to $39.9 million.

Chicago Rivet & Machine Co. reported sales dropped 12.1% to $7.6 million in the first quarter of 2020 “due to reduced demand for fastener segment parts, especially from automotive customers as the impact of the coronavirus pandemic (“COVID-19”) took hold.”  Net income plummeted 80% to $56,568.

Dorman Products reported sales, including fasteners, increased 6% to $257.7 million in the first quarter of 2020.  Gross profit dropped 3.1% to $84.8 million, with gross margin down to 32.9% compared to 35.9% in the same quarter last year.  Net income slipped 2.5% to $22.8 million.

Bisco Industries reported revenues, including fasteners, increased 9.2% to $112.9 million in the first six months of fiscal 2020, which ended February 29.  The revenue gains were due to increased unit sales, as well as a higher volume of product sales.

In the opening quarter of 2020, Fastenal Co. fastener sales declined 2.6% to $449.7 million (32.9% of overall sales).  Fastener sales declined 2.6% to $449.7 million (32.9% of overall sales) in the opening quarter of 2020.

Grainger reported sales, including fasteners, rose 7.2% to $3 billion in the opening quarter of 2020, with volume increases of approximately 7% and price and mix headwinds of 2%.  Operating earnings declined 56% to $159 million, hampered by $184 million in restructuring and non-cash impairment charges primarily related to the Fabory business in the Netherlands.

Overall ITW revenue dropped 9.1% to $3.2 billion, with organic revenue down 6.6% and operating margin flat at 23.6%.

Lawson Products sales declined slightly to $91 million in the first quarter of 2020, reflecting a 3.1% decrease in the Lawson segment sales rep productivity driven by decreases within government and core customers late in the quarter, offset by positive growth within our strategic and Kent Automotive customers.

MSC Industrial Supply Co. reported sales declined 1% to $823.6 million in the first quarter of fiscal 2020, which ended November 30.

Nucor Corp. reported cold finished steel sales, including results from Nucor Fastener, fell 12% to 126,000 tons in the first quarter of 2020.  Q1 consolidated net sales increased 10% to $5.62 billion from the fourth quarter and decreased 8% from the opening quarter of 2019.  Average sales price per ton dipped 1% compared with the fourth quarter of 2019 and decreased 13% compared with the first quarter of 2019.

Park-Ohio reported Supply Technologies segment sales, including fasteners, declined 15% to $141 million in the first quarter of 2020, hurt by decline in demand in the heavy-duty truck, aerospace and defense, automotive, and industrial equipment markets.

Simpson Mfg. reported sales, including fasteners, rose 9.4% to $283.7 million in the first quarter of 2020, with operating profit up 64% to $49.4 million and gross margins improving 320 basis points to $45.7%. Operating income grew 17.6% to $129.7 million and net income rose 62% to $36.8 million.

Stanley Black & Decker reported Engineered Fastening organic revenues fell 9% in the opening quarter of 2020 “as share gains were more than offset by lower global automotive light vehicle and general industrial production.”  Industrial segment revenues, including fasteners, increased 6.4% to $590.7 million, while segment profit rate dropped to 13.2%.

TriMas Corp. reported sales in its Aerospace segment, which includes the Monogram Aerospace Fasteners, Allfast Fastening Systems and Mac Fasteners brands, increased 7.3% to $48.9 million in the first quarter of 2020 due to the February acquisition of RSA Engineered Products and solid demand for fastener products, partially offset by a sales decrease of existing machined components products.

FIN subscribers should watch for an email link to the pdf of the latest FIN Review of Fastener Stocks.