For the 24th consecutive year, the OPR was prepared by Industry Insights of Columbus, Ohio, working closely with the association staff. Confidential survey forms were sent to ASA members in early March, and 189 complete responses were received, making it one of the largest databases of respondents among any wholesale distribution industry.
While all ASA wholesaler and vendor members were sent a copy of an Executive Summary of the OPR, participants in the survey each received a copy of the comprehensive, 94-page publication. In addition to the traditional information contained within the report, several new ratios were added in recent editions, including:
- Total training hours per employee
- Total dollar amount spent on training per employee
- Employee training cost to total payroll ratio
- Customer returns (on stock items) to net sales (%)
- Gross margin plus vendor rebates to net sales ratio
- Operating profit plus vendor rebates to net sales ratio
Also added were several new sales volume groupings to best reflect industry performance, and a special page that compares the performance of the PHCP wholesalers to that of other wholesaling businesses. Likewise, a useful special section is included entitled, “Fifteen Ratios to Regularly Monitor.”
The OPR is available to ASA members for $175 and to non-members for $375. For more information, visitwww.asa.netor call 312-464-0090, ext. 208
SAMPLE DATA IN 2006 OPR
RETURN ON ASSETS (after tax)Plumbing
In 2004, it was 7.3%
In 2005, it was 7.8%
PVF
In 2004, it was 8.7%
In 2005, it was 9.0%
RETURN ON NET WORTH (after tax)
Plumbing
In 2004, it was 16.4%
In 2005, it was 17.0%
PVF
In 2004, it was 21.9%
In 2005, it was 19.8%
SALES GROWTH
Plumbing
In 2004, it was 14.5%
In 2005, it was 9.8%
PVF
In 2004, it was 17.4%
In 2005, it was 13.2%
NET PROFIT (after tax)
Plumbing
In 2004, it was 2.7%
In 2005, it was 2.8%
PVF
In 2004, it was 3.0%
In 2005, it was 3.2%
NET SALES/EMPLOYEE ($000)
Plumbing
In 2004, it was 359
In 2005, it was 390
PVF
In 2004, it was 426
In 2005, it was 487
