Ferguson grows revenues more than 10%
Ferguson plc, the parent company of Newport News, Va.-based Ferguson, announced its financial results for the 2017 fiscal year.
In the US, Ferguson ended the year with sales of nearly $15 billion, an increase of 10.4%, which included price deflation of 0.5% mainly due to falling commodity prices in the first half. Trading profits were 8.2% ahead of last year, and trading margin was 8%. The company grew 7.1% on a like-for-like basis, which measures growth of Ferguson’s existing stores or branches that have been open for at least one year, up 3% over the prior year.
Ferguson’s blended branches (locations that serve a mix of residential and commercial customers), waterworks, HVAC and fire and fabrication all generated good growth and gained market share. Industrial revenues recovered after a weak first half. Build.com, Ferugson’s B2C e-commerce business, continued to grow strongly throughout the year. Ferguson’s B2B and B2C online sales accounted for 22% of Ferguson’s revenue.
“Ferguson continues to outperform our markets by delivering world-class customer service,” CEO Kevin Murphy said. “We are incredibly proud of our strong finish. Our performance is the direct result of our associates going above and beyond to meet the needs of our customers.”
Ferguson closed on nine acquisitions during fiscal 2017, including:
￭ Matera, a distributor of commercial and industrial cleaning chemicals, supplies and equipment.
￭ P.V. Sullivan Supply, a commercial supplier in the Northeast region.
￭ Custom Lighting & Hardware and Lighting Unlimited, lighting showrooms in Houston, Texas.
￭ Signature Hardware, an online distributor of vanities, bathing products, sinks and related hardware and accessories.
￭ Underground Pipe and Valve, offering a full line of water and sewer products through locations in Indiana and Michigan.
￭ Westfield Lighting, a lighting showroom serving Indianapolis.
Also in fiscal year 2017, Wolseley announced a name change to Ferguson plc and its intent to report in U.S. dollars beginning Aug. 1, 2018.