Applied Industrial Technologies sales up 11.9% for fiscal 2015
Applied Industrial Technologies reported net sales for the fiscal 2015 fourth quarter were $677.5 million, an increase of 3.5% compared with $654.6 million in the same quarter a year ago.
The overall sales increase for the quarter reflects a 6.5% increase from acquisition related volume, offset by a negative 2.4% foreign currency translation impact and a 0.6% decrease in our core underlying operations.
Net income for the quarter was $28.0 million, or 70 cents per share, compared with $29.7 million, or 71 cents per share, in the fourth quarter of fiscal 2014.
For the year, sales were $2.75 billion, an increase of 11.9% compared to $2.46 billion last year, with acquisitions accounting for 11.4%. Net income was $115.5 million, or $2.80 per share, compared with $112.8 million, or $2.67 per share, in the prior year.
"While we report record sales and earnings per share for our fiscal 2015, we are not satisfied with the results. Our financials reflect the continued impact of reduced demand in certain industrial end markets as well as headwinds from foreign currency translation. We have taken action to reduce our operating expenses, and we will continue to be focused on effective cost controls and operating discipline in this economic environment," said Applied's president and chief executive officer Neil A. Schrimsher.
Looking forward, the company is forecasting a sales change in the range of negative 2% to up 1%. This includes an expected negative impact from foreign currency translation of 2.5% for the remainder of calendar 2015 and nearly 1.0% negative for the first half of calendar 2016.
"While the current industrial economy presents some challenges, we know we have growth opportunities with current and new customers. We are pleased with the recent acquisition of Atlantic Fasteners - a nice addition that builds on our Maintenance Supplies & Solutions platform. We will be active with acquisitions throughout the fiscal year, and we are confident that Applied is well-positioned to serve our customers and generate shareholder value."
INDUSTRIAL SUPPLY MAGAZINE
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