MSC sales up 15.4 percent
MSC Industrial Direct reported fiscal 2012 first quarter, net sales rose 15.4% to $545.7 million, compared with $472.8 million in the prior year period.
Operating income increased 25.5% to $96.8 million, or 17.7% of net sales, compared with $77.2 million, or 16.3% of net sales, in the prior year period. For the first quarter of fiscal 2012, the company reported net income of $59.8 million, an increase of 25.8% over net income of $47.6 million in the first quarter of fiscal 2011.
"We are pleased with our solid first quarter performance. Our results reflect strong growth rates with excellent incremental and operating margins. Our investment programs continue to deliver to our expectations as we remain focused in those areas that we believe will maximize our potential for future growth," said David Sandler, chief executive officer.
Erik Gershwind, president and chief operating officer, added that market conditions reflect "a moderate growth environment as customers are generally more optimistic as activity levels remain solid. They remain focused on productivity and cost reduction which bodes well for MSC."
The company expects second quarter net sales to be between $548 million and $560 million. This guidance primarily reflects continued growth in the company's core business somewhat offset by continued softness in the government sector, expected cyclical increases in product costs and higher operating expenses as a result of normal seasonal factors and planned increases in investment spending.
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.
