– Net sales up more than 14 percent, led by significant gains in industrial –
GRAND RAPIDS, Mich., Wednesday, April 15, 2015 – Universal Forest Products, Inc. (Nasdaq: UFPI) today announced first quarter earnings attributable to controlling interest of $10.2 million, up 41.0 percent over same period of 2014. Diluted earnings per share were $0.51, compared to $0.36 for the first quarter of 2014. Net sales for the first quarter were $633.0 million, up 14.3 percent over the first quarter of 2014.
Each of the Company’s three markets showed sales increases, led by significant gains in industrial. The overall sales increase was attributable to a 14 percent gain in unit sales. “This solid performance resulted from the remarkable efforts of our people, who managed their operations well and who continue to create opportunity in many areas of our business,” said CEO Matthew J. Missad.
“Growth with our retail customers, success with new product introductions, and significant gains in our industrial business aided by strong results from new acquisitions were among the drivers that helped us deliver these results,” he added. “Our strategies to improve top- and bottom-line results are working, and we are focused on enhancing our growth and success day by day.”
While the Company faced typical first-quarter weather challenges, “We noticed a significant improvement in our business when the weather broke in March and customer orders increased in preparation for the building season,” Missad said.
“We are well-positioned to meet the demands of a busy season and anticipate strong orders in line with healthier economic conditions and consumer spending,” he added.
By market, the Company posted the following first-quarter 2015 gross sales results:
$229.9 million, up 14 percent over the same period of 2014
The Company saw increases in unit sales to its retail customers, reflecting share gains in certain core product lines, success in the company’s new product sales initiative, improved consumer spending and growth with big box retailers, who saw healthy increases in comparable store sales. The Company believes that it is well-positioned to meet the growing demand of customers as the building season kicks into high gear. It remains focused on enhancing its product offerings, creating new products and improving upon existing products, and enhancing services to customers.
$211.2 million, up 23 percent over the first quarter of 2014
This market includes packaging, material handling and related products and applications for industrial customers. Acquisitions since the first quarter of 2014 contributed positively to the unit sales growth in this market. The Company also added new customers and increased market share as the economy improved. The Company remains focused on adding customers and products, expanding products and services, adding capacity and growing its business in non-wood packaging materials to offer complete packaging solutions.
$200.7 million, up 6 percent over the same period of 2014
This market includes residential and manufactured housing, commercial construction and concrete forming. The Company’s growth in this market was attributable to overall unit sales gains, with strong results in concrete forming and commercial construction. A smaller gain in residential construction reflects the Company’s ongoing focus on growing business more selectively and profitably.
Universal Forest Products will conduct a conference call to discuss information included in this news release and related matters at 8:30 a.m. ET on Thurs., April 16, 2015. The call will be hosted by CEO Matthew J. Missad and CFO Michael Cole, and will be available for analysts and institutional investors domestically at (877) 546-5018 and internationally at (857) 244-7550. Use conference pass code 35981639. The conference call will be available simultaneously and in its entirety to all interested investors and news media through a webcast at http://www.ufpi.com. A replay of the call will be available through May 17, 2015, domestically at (888) 286-8010 and internationally at (617) 801-6888. Use replay pass code 92011785.