Snap-on reports sales, income up
Kenosha, Wis.-based tool manufacturer Snap-on reported net income of $181.2 million for the full year ended Dec. 31, 2007, up 81 percent from $100.1 million last year. The company also reported fourth-quarter net income at $57.3 million, up 51 percent from $38 million from the same quarter in 2006 for the period ended Dec. 31.
For 2007, the company saw net sales of $2.8 billion, up 15.7 percent from $2.5 billion in 2006. For the quarter, the company reported net sales of $742.9 million, up 14 percent from $651.4 million in the same quarter in 2006.
“We are extremely pleased to announce record sales and earnings for both the fourth quarter and full year,” said Nick Pinchuk, Snap-on president and CEO. “Our fourth-quarter results clearly demonstrate the strength of our geographic diversification, the spread of customers we serve, the breadth of our product and brand offerings and the essential nature of the productivity solutions we provide to professional users.”
Pinchuk added that more than 45 percent of total fourth-quarter sales were made outside of the United States.
84 Lumber reports 2007 sales
84 Lumber has reported $3.1 billion in revenues for 2007, a 24 percent drop from its sales in 2006.
The industry’s largest privately owned chain of lumberyards, which ranked third on HCN’s Top 350 Pro Dealer list, reduced its head count by 175 positions at its headquarters over the past 12 months. Approximately 850 additional employees have been cut at other locations.
The Eighty Four, Pa.-based company has closed 22 stores since 2005, although some of these were relocations or near a new 84 Lumber store, said Jeff Nobers, vp-corporate communications.
“Our goal is to continue to grow market share,” Nobers told HCN. The company intends to open 10 new locations in 2008, Nobers said, pinpointing Illinois, Wisconsin, Arkansas, South Carolina, Florida and California. Two of the pro dealer’s locations, in Annapolis, Md., and Clarksville, Del., are undergoing extensive renovations that will double or triple their size and add showrooms and warehouse space. Nobers added: “They will be, in effect, new stores.”
Pulte Homes loss widens in fourth quarter
Bloomfield Hills, Mich.-based home builder Pulte Homes posted a loss of $874.7 million for the fourth quarter ended Dec. 31, 2007, compared to a loss of $8.4 million in the same quarter last year. For the full year, the company swung to a loss of $2.25 billion, compared to earnings of $687 million in 2006.
“The challenging market conditions that plagued the home-building industry for the first nine months of 2007 worsened in the fourth quarter,” said Richard J. Dugas, Jr., president and CEO of Pulte Homes. “Levels of new and existing-home inventory remain elevated, buyer demand for new homes continues to be weak and mortgage availability is still a problem for many prospective home buyers.”
The company also showed net sales of $2.9 billion for the fourth quarter of last year, down 34 percent from the same quarter of 2006 of $4.4 billion.
Net sales for the year were $9.3 billion, down 35 percent from $14.3 billion for 2006.
The company closed 8,714 homes in the fourth quarter, down 31 percent from the same quarter last year, with average sales price per home at $319,000, down 6 percent from the fourth quarter last year.
New orders for the quarter were 4,562, down 29 percent from the fourth quarter in 2006. The company also projects a first-quarter net loss of 15 cents to 30 cents per share.