Fastenal Co. reported fastener product sales grew 3% to approximately $464.7 million (33.7% of total sales) in the third quarter of 2019. Sales of non-fastener products grew 8% during the period.

Overall Q3 sales rose 7.8% to $1.38 billion, driven by higher unit sales from industrial vending and Onsite locations.

“The general slowing in economic activity that we experienced in the second quarter of 2019 continued in the third quarter of 2019,” the company stated.

Q3 gross profit declined 90 basis points to 47.2%. Operating income increased 7.4% to $281.9 million, while net earnings gained 8% to $213.5 million.

During Q3 Fastenal’s full-time employee headcount decreased 3.1% from the previous quarter to 19,060.

Sales in the first nine months of 2019 improved 8.7% to $4.05 billion, with operating income up 6.8% to $818.3 million and net earnings up 5% to $612.2 million.

In the first nine months of 2019, Fastenal signed 16,713 industrial vending devices, including 5,671 devices during Q3. The company lowered its full-year vending device estimate to 22,000, citing “slower economic activity (that) has lengthened the sales cycle for vending.” Web: Fastenal.com