Lawson Products sales decline .3 percent
Sales for the first quarter of 2020 were essentially flat for Lawson Products, coming in at $91 million, a .3 percent decline from $91.3 million in last year's first quarter.
Average daily sales decreased 1.9 percent to $1.422 million in the first quarter of 2020 compared to $1.450 million in 2019 with one additional selling day in 2020. Sales during the second half of March were noticeably affected by the COVID-19 situation.
Reported net income for the quarter was $12.5 million, or $1.34 per diluted share, compared to $4.1 million, or 44 cents in first quarter of 2019.
"In the first quarter of 2020, revenue decreased slightly over last year. Although sales were increasing sequentially, we experienced declining sales due to the economic impact of the COVID-19 pandemic in the second half of March. Our adjusted operating income improved for the quarter as we leveraged our costs and immediately implemented actions to align our cost structure with the demand environment," said Michael DeCata, president and chief executive officer.
The company has taken numerous cost reduction actions including furloughing approximately 100 employees, reducing salaries and board compensation, canceling travel and award trips, consolidating Suwanee, Georgia, distribution operations into the McCook, Illinois, facility and eliminating non-critical capital expenditures.
INDUSTRIAL SUPPLY MAGAZINE
The March/April issue of Industrial Supply magazine features an in-depth cover story about Joyce Lansdale and Vallen. Plus, we're featuring articles by contributing writers Dirk Beveridge, Frank Hurtte, and David Kahle, as well as interviews with numerous product and distribution industry experts.
