3/4/2016
NEWS BRIEFS
Fastener Sales Recovery Stalls at Fastenal
Fastenal Co. reported daily fastener sales edged down to -0.5% in February compared to -0.4% the previous month. Fastener sales were up 4.7% in the first month of 2015.
For 2015, the company’s fastener product line saw sales decline 1.4%, compared to sales growth of 6.9% the previous year.
Overall Fastenal sales declined rose 7.7% to $321.3 million in February 2016. Daily sales improved 2.6% to $15.3 million. Daily sales growth by product lines other than fasteners gained 4.8%.
Sales to manufacturing customers increased 1.5%, while sales to non-residential construction customers were flat.
In February, Fastenal opened two new stores, bringing its new store count to 11 for the first two months of 2016, compared to none in the first two months of the previous year.
During February the company’s overall headcount rose 9.2% to 20,690 employees, which included a 17.7% jump in non-store selling personnel, a 10.1% gain in distribution personnel, and a 0.8% decline in manufacturing personnel.
Those results included employees from Fasteners Inc., which Fastenal acquired on October 31, 2015. Fasteners, Inc. was founded in Spokane, WA, in 1961. The business included 13 stores and 2015 revenues of approximately $36 million.
“Consistent with our message on our January 2016 earnings call, we are currently holding back on headcount additions in all areas except for vending support (the non-store selling increase) and our IT development center (the administrative increase),” the company stated. Web: fastenal.com
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