Valspar’s Q2 sales up 9.6%
On the brink of further growth given its recent debut with Ace’s Paint Studio concept, Valspar made solid gains in the second fiscal quarter of 2014.
Net sales of $1.13 billion reflected a year-over-year increase of 9.60% for the quarter ended April 25. The boost was carried mainly by the Coatings segment, which was up 12%; the Paints segment was also up 8%.
Net income came in at about $86.0 million, an 11.8% jump from last year’s net of $76.9 million.
“We are pleased to report another strong quarter of volume and sales growth from both our Coatings and Paints segments,” said chairman and CEO Gary Hendrickson. “We are successfully executing our growth plans by integrating acquisitions, scaling new business wins and improving productivity. These efforts are evident in our results as sales for the first half of the fiscal year increased 9% and adjusted diluted EPS is up 17%. We remain focused on executing these initiatives to achieve our full year sales and earnings growth objectives.”
Outdoor dining chairs recalled from Costco
Citing a tendency for the legs to bend and break, Dimension Industries is recalling its Fairview outdoor dining chairs.
The chairs, which came as part of the Fairview 7-Piece Patio Woven Dining Set, may pose a fall hazard to the user. So far, there have been three reports of the legs bending or breaking and causing falls, with one customer who bumped his head.
The recall affects about 6,700 units of the chairs, which have a black metal frame with brown woven wicker seats. They measure 24" wide by 27" deep and 40" high. "7 piece Woven Dining Set” and “Imported by Costco Wholesale” is printed on the product packaging. The item number is printed on the instructions sold with the set and reads “ITM./ART. 966630.”
The chairs were sold exclusively at Costco stores nationwide between January and March 2014 for about $1,300 per set.
After Zambrano’s passing, Cemex has new leadership
Cemex has announced two successors to the late Lorenzo Zambrano’s title as chairman and CEO of the company.
The board has unanimously appointed director Rogelio Zambrano as chairman and former EVP finance and administration Fernando Gonzalez as CEO, effective immediately.
The move came swiftly after the passing of longtime chairman and CEO Lorenzo Zambrano, who died unexpectedly on Monday during a business trip in Madrid.
“We will stay focused on creating value for all our stakeholders. Our new CEO and the whole of CEMEX’s Executive Committee have the vision, skills, and experience to do exactly that, and I am very optimistic about Cemex’s future,” said Mr. Rogelio Zambrano. “Lorenzo Zambrano’s legacy will endure and his vision and passion for excellence will continue to inspire us in the years to come.”
Rogelio Zambrano has been a member of the company’s board of directors since 1987, as well as president of the Finance Committee since 2009. He is also a member of the Advisory Board of Grupo Financiero Banamex Zona Norte, and a member of the Boards of Directors of Carza and Tecnologico de Monterrey, among others.
Gonzalez has been with the company since 1989, holding various senior management roles since in human capital, strategic planning and business development. He has led Cemex’s business in Latin America, Europe, Africa, the Middle East and Asia.
“It is a great honor and responsibility to take the lead of Cemex," said Gonzalez. "I firmly believe we have the best people in the industry, who can insure our continuing success. We have a solid business strategy, and most importantly, we provide the best building solutions and value-added products. Furthermore, we are encouraged by the positive outlook and the improving business environment in the markets where we operate.”
Ian Armstrong, VP promotion and analysis at Evercore Casa de Bolsa, has also been appointed as an additional member of the company’s board of directors, effective immediately.