Reece Limited announces fiscal 2019 half-year results
Australia-based Reece Limited, parent company of Fort Worth, Texas-based MORSCO< recently announced its financial results for the half year that ended December 31, 2018.
The company delivered net sales revenue of $2,718.2 m, up from $1,332 m a year earlier. Normalized earnings before interest, tax, depreciation and amortization (EBITDA) increased by 45% to $260.1 m. As of mid-April, one Australian dollar was equal to 71 cents U.S. currency.
Reece Group CEO and Managing Director Peter Wilson said: “Reece has had another strong result, including, for the first time, the performance of our newly acquired U.S. business, MORSCO, which is performing in line with expectations.
“The first six months have seen us continue to provide world-class customer experience in Australia and New Zealand, invest in digitization and innovation, and begin the integration of MORSCO.
“We are seeing more moderate growth in the residential building market in Australia, while non-residential commencements remain strong. Business momentum in the U.S. continues with construction and investment in infrastructure returning to long-term averages.
“Looking to the second half, we will continue to invest in customer experience in Australia and New Zealand, while building our long-term strategy for MORSCO.”
In the first half, Reece welcomed 20 new branches to the Australia and New Zealand network through organic and acquisition growth. This include establishing an HVAC presence in New Zealand, and expanding its network into the South Island. In the U.S., MORSCO opened two new outlets in the Sun Belt region.
For the last six months, Reece noted it has continued its focus on delivering customized service through its expertise, quality products, digital offering and innovative thinking. In the U.S., it continued, the long-term strategy for integration is on track, in the first-half new operating rhythms have been established, and work has started on defining the vision and values of the business, Reece added.