Ferguson reports 8% growth in first half of 2013
Leading plumbing and heating product distributor Ferguson and its parent company, Wolseley, recently announced an 8.3% sales growth for the first half of its 2013 fiscal year. The growth includes price inflation of approximately 1%. Trading profit is 29% ahead of 2012.
“We are proud to celebrate our 60th anniversary this year with solid growth and a diversified business strategy that allows us to invest in our associates and the future of the company,” said Ferguson CEO Frank Roach.
Ferguson completed two major acquisitions in the first half of 2013. New York City-based Davis & Warshow is now a Blended Branch (locations which serve both residential and commercial customers) business and Chicago-based Power Equipment Direct is a business-to-customer (B2C) company selling generators and power tools. Those acquisitions accounted for 2.4% of revenue growth in the period.
The company’s repair, maintenance and improvement segment remained strong as the new construction recovered. Blended Branches, Waterworks and B2C each gained market share. Ferguson’s continued focus on gross margins helped for good profit flow through and the company grew revenues in the HVAC, Waterworks and Industrial businesses.