SRS grows in three markets
The roofing distributor opens greenfield locations in Florida, Washington and Virginia.
SRS Distribution has opened three new locations in Kissimmee, Fla.; Arlington, Wash.; and Fredericksburg, Va.
Each location will carry a full line of residential and commercial roofing products and focus on servicing professional roofing contractors, remodeling contractors, and local homebuilders, the McKinney, Texas-based company said.
The opening of a new location in Kissimmee marks the third SRS location in the Orlando metro area and complements the recent addition of Willoughby Supply’s South Orlando branch in December 2017.
The Arlington, Wash. is the roofing and building products distributors 8th location in the Puget Sound region and its 4th new location in the Seattle market in the last three years following branches in Olympia, Bremerton, and a dedicated commercial roofing location in Fife.
All three greenfield locations were opened in direct response to customers needs and requests for both additional market coverage and delivery capacity to support SRS growth, the company said in a statement.
Last month SRS expanded its operations in Nebraska and South Dakota.
The new Kissimmee unit will operate as a Suncoast Roofers Supply location, Arlington will operate as a Stoneway Roofing Supply location, and Fredericksburg will operate as a Superior Distribution location.
“We are excited to continue our network expansion with these three important greenfield locations. Each new location represents a thoughtful and planned addition to three of our strong legacy platforms as we continue to back talented and seasoned veterans to expand our geographic reach and gain scale in both existing and new markets,” said Dan Tinker, president and CEO of SRS Distribution.
In the meantime, SRS is being acquired by Leonard Green and Partners LP – a Los Angeles-based private equity firm. While terms of the deal have not been disclosed, estimates put the purchase price at approximately $3 billion in a transaction expected to close by June.
SRS operates 220 locations in 42 states operating and is a portfolio company of Berkshire Partners LLC.
HBSDealer Stock Watch: More Bears
|The hardware and building supply industry slogs through a tough Tuesday on Wall Street. The day’s biggest mover was JELD, down 4.0%. Among the gainers, HBP showed the largest percentage increase — up 1.6%.|
|BLDR (Builders FS)||18.20||-1.99%|
|BMCH (BMC Stock)||19.65||-0.76%|
|CENT (Central Garden)||39.66||-0.13%|
|DE (Deere & Co.)||145.53||-0.83%|
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|LL (Lumber Liquidators)||21.06||-1.22%|
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|TSCO (Tractor Supply)||70.86||-0.49%|
|UFPI (Universal Forest)||33.58||+0.84%|
Solid growth for NAICS 444
Stronger than average monthly performance for building material category.
Sales at building material and garden equipment and supplies dealers (NAICS 444) increased 4.4% on an adjusted basis in April, compared to the same month in 2017, according to the advance monthly sales report released Tuesday by the Commerce Department.
The NAICS 444 retailers — a diverse group that includes hardware stores and building supply dealers — posted an unadjusted $35.7 billion in sales for April. Compared to the previous month, again on an adjusted basis, sales increased 0.4%.
Other than gas stations (up 11.7% on the year), the fastest-growing segment of retail was non-store retailers, up 9.6%.
Overall retail sales in April — excluding automobiles, gasoline stations and restaurants — increased 0.4% seasonally adjusted over March and 2.8% year-over-year as consumers continued to spend.
“Retail sales growth remains solid and on track as households benefit from tax cuts even though they have faced unseasonable weather and bumpy financial markets,” National Retail Federation chief economist Jack Kleinhenz said. “The tax cuts and higher savings levels should help consumers afford the recent surge in gasoline prices. And a solid job market, recent wage gains and elevated confidence translate into ongoing spending support.”
The report also showed:
- General merchandise stores were up 2.5% year-over-year and up 0.3% from March seasonally adjusted.
- Sporting goods stores were down 1.1% year-over-year and down 0.1% from March seasonally adjusted.
- Electronics and appliance stores were up 1.7% compared to last year, and down 0.1% compared to March.