United Stationers sales up 3.6 percent
United Stationers Inc. reported net sales for the fourth quarter of 2012 were $1.24 billion, up 3.6% from the prior-year period.
Industrial supplies sales grew 30.4%, the janitorial and breakroom category expanded 1.9%, office products grew 1.2%, and furniture sales increased 3.9%.
Net income rose by 18% to $32.9 million.
The company also completed the acquisition of O.K.I. Supply Co. (OKI) during the quarter.
"Our fourth quarter results showed progress on many fronts," said Cody Phipps, president and chief executive officer. "Benefiting from our recent acquisition, United's industrial platform is expected to contribute 12% of total revenues and is well positioned for future growth."
For the full year, net sales rose 1.9% to $5.1 billion, and net income was $111.8 million compared to $109.0 million a year ago.
The company also announced plans to close an unspecified number of OKI facilities to reduce costs while allowing continued investment in growth initiatives.
"Despite the continued weak economy, United Stationers entered 2013 with solid momentum," Phipps said. "The changing market requires that we adapt and evolve, and we are doing this proactively and from a position of strength. We are optimizing our network of distribution centers and realigning resources to support our growth businesses while keeping core operations strong.
The company plans to take a pre-tax charge in the range of $9 million to $11 million for closing certain OKI facilities, severance costs, and other related expenses.
INDUSTRIAL SUPPLY MAGAZINE
The May/June issue of Industrial Supply magazine features an in-depth cover story about GHX Industrial. Plus, we're featuring articles by contributing writers Dr. Bharani Nagarathnam and Frank Hurtte, as well as interviews with numerous product and distribution industry experts.
