Mixed results for Beacon Roofing Supply
Peabody, Mass.-based Beacon Roofing Supply sales increased 4.9% to $513.7 million in the first quarter, up from $489.9 million in the same quarter last year.
Existing-store sales declined 4.6%, or 7.7%, when adjusted to the same number of business days.
In existing same-store markets, residential and non-residential roofing product sales decreased 5.4% and 6.1%, respectively, while complementary product sales increased 2.9%. Part of the decline can be blamed on “last year’s very high level of re-roofing activities, including the beneficial impact from mild weather in December 2011 and strong business in several markets that experienced significant storms in 2011, and lower average residential roofing selling prices this year,” said Paul Isabella, president and CEO.
Net income for the first quarter was $18.2 million, down 4.8% from $19.1 million in the same quarter of 2012.
The company pointed to some shrewd bargaining that put it on track for a strong showing in 2013. “Toward the end of the first quarter, we took advantage of our financial capacity and flexibility to purchase key products ahead of announced industry-wide price increases scheduled mostly for February and April,” Isabella said.
Also, in announcing its earnings, the company took the opportunity to mention its acquisition streak. “We continue aggressively to seek quality companies that fit our target acquisition profile, such as McClure-Johnston and Ford Wholesale, which we acquired in the first quarter,” Isabella said.