Ace Hardware reports Q2 growth
Among the metrics: record second quarter revenues
Oak Brook, Ill.-based Ace Hardware reported second quarter revenues of $1.6 billion, up 6.4% from the same quarter last year.
That Q2 record coincided with 3.3% increase in U.S. same-store sales, the co-op reported Wednesday morning. Net income increased 7.2% to $54.8 million.
CEO John Venhuizen said the co-op saw growth across all of Ace’s business units, with the biggest growth coming from its member dealers. “And I’m delighted with our 7.2% net income growth despite the expense pressures from our material investments in both our wholesale infrastructure and our digital expansion,” he said. “We successfully shipped our first order from our new 1.1 million sq. ft. Fredericksburg retail support center on June 4, and launched our new hyper-localized Acehardware.com website on July 30, which was up 34% in the second quarter.”
Ace added 39 new domestic stores in the second quarter of 2018 and cancelled 34 stores. The Company’s total domestic store count was 4,423 for the second quarter of 2018 which was an increase of 66 stores from the second quarter of 2017. On a worldwide basis, Ace added 59 stores in the second quarter of 2018 and cancelled 35, bringing the worldwide store count to 5,161 at the end of the second quarter of 2018.
At Westlake Ace Hardware, described as Ace Retail Holdings in the earnings statement, revenue increased 21.6% to $109.8 million. The increase was fueled by new store growth, the co-op said.
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