Stock Building Supply pushes ahead in Q2
Shares of Stock Building Supply were up Tuesday morning following the release of its second-quarter earnings report, which pointed to steady growth for the distributor.
Net sales for the three months ended June 30 were $344.6 million, up 9.5% from $314.7 million in the year-ago period.
Net income jumped to $5.6 million from $2.0 million in 2013, while operating income got a similarly significant boost to $8.9 million (compared with $3.9 million).
"During the second quarter, we continued to grow at above-market rates with overall sales volume increasing approximately 13% and gross profit dollars increasing 15%," said president and CEO Jeff Rea. "While U.S. single-family housing starts increased only 1.2% in the first half of 2014 compared with the prior-year period, our sales and service professionals delivered double-digit growth during this time period in key product categories, such as structural components, millwork and interior products and windows and exterior products."
Rea added that sales to remodeling contractors jumped approximately 13%, and the company made significant expansions to its structural component capacity in North Carolina and Utah, as well as opened a new distribution and customer support facility in North Charlottte.
Masco reports Q2 sales increase
Taylor, Michigan-based Masco announced that adjusted operating profit grew by 21% in its second quarter.
Net sales from continuing operations rose 5% to $2.3 billion, up from $2.1 billion for the second quarter of 2013. North American sales increased 4%, and international sales increased 9% in U.S. dollars.
Plumbing products` net sales increased 6%, decorative architectural products` net sales increased 5%, cabinets and related products` net sales decreased 5%, installation and other services` net sales increased 8%, and other specialty products` net sales increased 11%.
"We delivered a solid second quarter marked by revenue growth and strong profitability," said Masco president and CEO, Keith Allman. "Our focus on our key priorities, which include growing share of our market-leading brands, accelerating our customer-focused innovation pipeline, further penetrating international markets and driving operational leverage through cost containment, was demonstrated in our performance despite a more moderate housing recovery.
"As we move into the third quarter, we continue to see growing demand for our products and services across our end markets. Our outlook remains positive with the belief that new home construction and repair and remodel activity will show steady growth in 2014,” he added. We believe we are well positioned to grow our key brands and to gain market share in this environment.
Michael Costello joins Gilbane Building Co.
Michael Costello has been named senior VP finance and treasurer of Gilbane Building Company, which provides construction and facilities-related services. He will be based out of the company’s Providence, Rhode Island, headquarters and will lead the Finance organization for the company.
Costello joins Gilbane after six years with AECOM, where he directed the finance and strategic planning functions for the company’s $1.3 billion global design, architecture, building engineering and construction cost management consulting division. In addition, Costello has held a series of senior executive positions, including 12 years in several senior financial roles with the Federal Express Corp. in Asia and Latin America. Prior to that, Costello managed financial planning and analysis for Target and the Eastman Kodak Co.
“Mike has a proven track record of delivering top and bottom-line growth for both large and small companies in the U.S. and overseas and brings to Gilbane a keen eye for finance with 30 years of impressive financial management experience behind him,” said Tom Gilbane, chairman and CEO of Gilbane Building Company. “He will be a great fit for our leadership team as we continue to grow our business both domestically and abroad.”