Valspar Corp. names new director
Minneapolis-based The Valspar Corp. announced that its board of directors elected Shane D. Fleming to serve as a director of the corporation.
Fleming, 54, was also appointed to serve on the board’s compensation committee, effective June 4, 2013. He is currently chairman, CEO and president of Cytec Industries, a global specialty material and chemical technologies company.
“Shane brings to the Board a deep understanding of the resin, polymer and specialty chemicals industries and many of the markets we serve,” said Gary E. Hendrickson, Valspar chairman and CEO. “His international business experience and coatings industry background will be invaluable as we continue to grow our business. It’s a pleasure to welcome Shane to our board.”
Prior to becoming chairman and chief executive officer of Cytec Industries in January 2009, Fleming served as the company’s president and chief operating officer. He began his career with Cytec in 1983 and held a number of senior leadership roles throughout his 30-year tenure.
Electrolux sees improving environment
Electrolux reported that sales in North America were $1.2 billion, a 12% increase from the first quarter of last year.
“We are seeing evidence that the recovery in the housing market is finally generating increased consumption of appliances,” said president and CEO Keith McLoughlin. “As such, our view is that demand for appliances could increase with 3% to 5% in 2013.”
The company had previously forecast a 1% to 2% increase for the year.
Profit increased 3.6 times to $71 million, or an increase of 262%, over the prior year.
The company’s performance was primarily driven by higher sales volume of core appliances, room air conditioners and consumable products. Additionally, consumers are now purchasing more high-end products yielding a positive product mix.
Stanley reports Q1 sales gain
New Britain, Conn.-based Stanley Black & Decker saw revenues grow, largely as the result of acquisitions.
The company reported first-quarter revenues of $2.49 billion, an increase of 3% over the prior-year period. Volume and currency each declined approximately 1%, while acquisitions added 4% to that total.
Net earnings declined to $81.1 million for the quarter, compared with $121.8 million in the same quarter last year.
“Despite a far from robust external environment, we remain confident in our ability to achieve our full year 2013 EPS, sales and free cash flow targets while continuing to invest in organic revenue growth," said CEO John Lundgren. "Profitability in our [construction and DIY] business continues to improve, and we expect to realize increased sales in this segment going forward as a result of new product introductions and customer listings, as well as our increasing presence in emerging markets."
In the company’s construction and DIY segment, net sales increased 2% due to a 3% increase from acquisitions and a 1% decline from currency. Both volume and price were relatively flat. The flat organic growth can be attributed to a later start to the North America outdoor season due to a much colder-than-average March in many parts of the region, as well as softer markets in Latin America, which offset growth in many of the other emerging markets, such as China, Southeast Asia, Russia and Turkey.
The company expects the headwinds encountered in the first quarter will lessen in the second. "The segment remains solidly on track for mid-single digit organic growth for the full year," according to the earnings release.