
True Value makes gains in 2016
For True Value Company, the proof was in the numbers for its full fiscal year in 2016: namely that its strategic growth plan was bringing in results.
Most notably, the company reported net margin of $23.7 million, up 24.4% year-over-year.
The co-op also reported total gross billings of $2.07 billion for the fiscal year ending Dec. 31, 2016, up 2.0% from 2015. Revenue was $1.51 billion, up 1.1%.
Its Destination True Value (DTV) format stores performed measurably better, with comparable store sales up 3.7%. Total comparable store sales were up 2.5%, with increases occurring in 11 of 12 U.S. regions and 6 out of 9 merchandise categories, led by Farm Ranch Auto & Pet, Lawn & Garden, and Paint.
2016 was also True Value's sixth consecutive year of increased annual sales and third year of sales from new stores exceeding the lost sales from terminated stores.
According to president and CEO John Hartmann, this was evidence that the co-op's strategic growth plan was creating long-term profitability.
“True Value is two years into executing a plan that will serve our retailers’ needs and ensure their long-term growth and profitability, making them relevant for generations to come,” said president and CEO John Hartmann. “We have broken a nearly decade-long trend of negative net new sales growth; for the past three consecutive years, the sales volume from our new stores has exceeded sales from terminated stores. I am proud of our accomplishments in the areas of growth, infrastructure improvements, product assortments and operations.”
Other notable benchmarks for the co-op in 2016: a record 101 remodeled stores and record 68 completed ground-up stores; retrofits of three distribution centers, enabling two-day shipping; average retail sales up 4.7% in the Customized True Blue assortment program; an international sales boost of 14.5%; an 11.6% increase in paint sales; and a $3 million reduction in transportation costs via a fleet transition.
Click here for the full infographic illustrating these results.

We’re looking for All-Star material
In 2011, HBSDealer launched an All-Star idea — recognize a high-performing hardware or building supply dealer in each one of the 50 states.
The trend continues in 2017 with the STIHL Hardware All-Stars awards, to be presented in the May issue of HBSDealer.
To date, HBSDealer has recognized about 300 hardware stores, lumberyards and farm and ranch retailers across the country as All-Stars.
All-Stars contain one or more of the following attributes:
1) High levels of customer service;
2) High performance – growth, sales, profit or any other metric;
3) Deep involvement in the community;
4) Innovative culture;
5) Outstanding merchandising and store design;
6) Willingness to take risks;
7) A passion for philanthropy;
8) Excellence in training;
9) Ability to adapt to trends and society; or
10) Generally, just an all-around all-star retailer
Do any of these qualities describe a store in your neighborhood? We’d love your input.
To nominate a store for recognition in the STIHL Hardware All-Stars awards program, just send a sentence or two about the store to [email protected]. Please include the store’s full name, as well as its city and state.
Check out last year’s All-Star class here.
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