Fastenal Co.'s (FAST) first-quarter profit rose 42% on improved
margins and stronger sales at each of the company's customer
segments.
The results beat Wall Street expectations.
The company, which sells fasteners, office products and other
industrial and construction supplies, has seen results improve the
past several quarters as its manufacturing customers snap out of
their recessionary slumps.
Fastenal reported a first-quarter profit of $79.5 million, or 54
cents a share, up from $56 million, or 38 cents a share, a year
earlier. Revenue jumped 23% to $640.6 million. Analysts polled by
Thomson Reuters forecast a per-share profit of 52 cents on $630
million in revenue.
Gross margin widened to 52% from 51.1%.
Daily sales to the company's manufacturing customers continued
to climb over last year's depressed levels with a 16% increase in
the quarter. Sales to non-residential construction customers rose
18%.
The company opened 37 new stores during the period, bringing the
total store count to 2,073 stores by March 31.
Shares closed Monday at $67.50 and were inactive premarket. The
stock has climbed 30% over the past 12 months.
-By Drew FitzGerald, Dow Jones Newswires; 212-416-2909; Andrew.FitzGerald@dowjones.com