H.B. Fuller divests Central American paint division
H.B. Fuller Co. has announced the completion of the sale of its Central America paints business to Compania Global de Pinturas S.A., a company of Grupo Mundial, for $120 million. Following fulfillment of all conditions associated with the divestiture, the deal closed on Aug. 6, 2012.
The paints division produces a broad range of product lines used widely for residential and commercial applications. The sold business includes nearly 800 employees who work across Central America and in production plants and laboratories in Costa Rica, Honduras and Panama.
H.B. Fuller is a 125-year-old global producer of adhesives, sealants and other specialty chemical products. Headquarters in St. Paul, Minn., the company is listed on the Fortune 500. In 2011, worldwide sales reach $1.56 billion.
Sales, profits rise at Central Garden & Pet
Central Garden & Pet, a leading supplier of seeds, pottery, garden chemicals and other outdoor living products, reported net sales of $533.8 million for its third fiscal quarter, an increase of 10% from sales of $484.3 million during the same period a year ago.
Net income for the quarter, which ended June 23, totaled $22.7 million, compared with net income of $17.1 million in the third quarter of 2011.
"We are pleased with our third-quarter revenue growth and bottom-line results,” said Gus Halas, president and CEO. “We now have generated top-line growth in six of the last seven quarters."
The company’s pet segment performed well during the quarter, benefiting from expanded distribution, new products and favorable weather for pest control products. The quarter’s results also reflected the shipment of backlogged orders from the prior quarter, according to the company.
AHMA survey shows concerns over Europe
A survey of members of the American Hardware Manufacturers Association (AHMA) shows that the ongoing economic crisis in Europe has affected 52% of the businesses involved. Another 33% said they were unaffected. The remainder were unsure and not involved in European commerce.
Whether or not the housing sector of the home improvement industry is poised for growth split the survey respondents three ways: 41% said yes, 22% said no, and the remainder weren’t sure.
These two supplemental questions were attached to the AHMA’s July Confidence Index Survey, which fell approximately 42 points from June 2012. July’s index number was 262.5, down from 304.2.
In comparing current sales levels with year-ago levels, 63% of respondents said sales were higher in July versus year-ago levels, down from 73% in June. For July, 19% reported sales were even, and 19% said sales were below year-ago levels.
Looking forward six months, 41% of the participants in July’s survey said they expect sales to be even in six months, and 15% expect sales to be below current levels.
Looking forward one year, 78% of respondents project sales will be higher, up from 64% who felt that way in June. Fifteen percent of July respondents project sales will be even one year from now, and 7% project sales will be below current levels.