Elkhart, Ind.-based Patrick Industries Inc., a key supplier to the RV, manufactured housing and industrial markets, reported a 38.4% increase in revenue for its first quarter, ended March 31, driven by strong performance in RV-related sales.
Sales for the first quarter increased $39.4 million to $142.1 million from $102.7 million in the first quarter of 2012. The increase was primarily attributable to a 51% increase in the company’s revenue from the RV industry, which represented approximately 75% of its first quarter sales. Manufactured housing revenue grew 6% while sales to the industrial industry were up 17%.
Patrick reported first quarter net income of $6 million, or 55 cents per diluted share, an increase of $1 million from net income of $5 million, or $0.47 per diluted share, in the first quarter of 2012. The company said that earnings include the impact of a tax provision of $3.8 million at the full estimated combined federal and state statutory rate of 39% compared to the first quarter of 2012 where the company carried a full valuation allowance against its deferred taxes and had an effective tax rate of 0%. The first quarter of 2012 includes the impact of a non-cash charge of $1.7 million related to mark-to-market accounting for common stock warrants. Exclusive of the non-cash charge for stock warrant accounting and assuming the same full estimated combined statutory tax rate of 39% in the first quarter of 2012, net income would have been $4.1 million or $0.38 per diluted share.
President and CEO Todd Cleveland noted, “We are pleased with our first quarter revenues which were bolstered by a strong start to the year in the RV industry and positive indicators in the industrial markets. Both the RV and industrial markets look to continue their growth into the second quarter which we believe will also include a seasonal pickup in MH shipments.”
He added, “We have continued to report solid profitability on a quarterly basis and we are excited about our first quarter results which were consistent with our expectations including exceeding our first quarter 2012 reported net income which had the benefit of a 0% effective tax rate.”
On Feb. 22, the company’s board authorized a stock repurchase program for purchasing up to $10 million of common stock. As of April 19, the company had repurchased 330,358 shares at an average price of $13.90 per share for a total cost of approximately $4.6 million.
“We continue to focus on leveraging our operating position to drive profitability with increased revenues and hold ourselves and our team members accountable to the high standards that we have set internally as an organization,” said Cleveland. “Additionally, central to our organization’s success is the continued attention to bringing value to our customer base through value added ingenuity, new and innovative product lines, and as always the highest quality customer service. Our team continues to perform with a dedication to our core values and executing our strategic initiatives with a goal of further increasing growth and profitability consistent with our expectations of continuously increasing shareholder value.”
To view the entire report click here.
Elkhart Ind.-based Patrick Industries Inc., a major manufacturer and distributor of building and component products for the recreational vehicle, manufactured housing and industrial markets, announced the appointment of Michael A. Kitson to its board.
Kitson, 54, is the CEO of Nautic Global Group, a manufacturer of recreational boats. Prior to being named CEO in March 2011, Kitson was the CFO of Nautic from August 2010 to March 2011, president and CEO of Utilimaster Corp. from 2007 to 2010, and Utilimaster’s CFO from 1999 to 2007.
“We are pleased to welcome Mike to our board, and are confident that his leadership, experience, passion, and enthusiasm will be an asset to Patrick as we execute on our strategic plan and continue to focus on increasing shareholder value,” said Todd Cleveland, president and CEO for Patrick.
Elkhart, Ind,-based Patrick Industries Inc. announced today (March 4) that Jeffrey M. Rodino, executive vice president of sales and operations, has been promoted to the position of COO.
“Jeff has provided exceptional sales and operational leadership during his tenure with Patrick and has been instrumental in embedding the linkage between our business units and our customer base,” said Todd Cleveland, Patrick president and CEO. “Jeff has a solid track record of cultivating deep and valued relationships as well as executing on our organizational strategic agenda as we strive to provide the highest quality products and services to our customers and further drive shareholder value.”
Rodino stated, “The dedication and support of the Patrick team members over the past several years has been truly inspiring, and I’m both excited and honored to be a part of this exceptional organization as we continue on our path to be the market leader in the innovative products and services we bring to our customers in all of the markets that we serve.”
Prior to assuming the position of executive vice president of sales and operations in December 2011, Rodino, 42, served as vice president of sales for Patrick’s Midwest division since August 2009. Rodino also served in a variety of top-level sales and marketing roles after joining Patrick in 2007 and has over 19 years of experience in serving the recreational vehicle, manufacturing housing and industrial markets in various capacities.
Patrick Industries is a major manufacturer of component products and distributor of building products serving the recreational vehicle, manufactured housing, kitchen cabinet, household furniture, fixtures and commercial furnishings, marine and other industrial markets, and operates coast-to-coast through locations in 11 states.
Elkhart, Ind.-based Patrick Industries Inc.’s board today (Feb. 22) authorized a stock repurchase program for up to $10 million of the company’s common stock through open market or private transactions over the next 12 months.
According to a news release, share repurchases will be made for cash in open market transactions at prevailing market prices or in privately negotiated transactions, or otherwise. The timing and amount of purchases under the program will be determined by management based upon market conditions and other factors.
The program does not require Patrick to purchase any specific number or amount of shares and may be modified, suspended or reinstated at any time in the company’s discretion and without notice. Purchases will be subject to restrictions under Patrick’s credit facility.
Thursday, the company reported record earnings for its full year on a 42% increase in sales. Patrick is a major manufacturer and distributor of building and component products for the recreational vehicle, manufactured housing and industrial markets
Patrick Industries Inc. reported record earnings on double-digit growth in sales for its full year, ended Dec. 31, boosted by strong performance in the fourth quarter.
Elkhart, Ind.-based Patrick, a major manufacturer and distributor of building and component products for the recreational vehicle, manufactured housing and industrial markets, said sales for the fourth quarter increased $27.8 million, or 35.6%, to $106.1 million from $78.3 million in the same quarter of 2011.
The increase was primarily attributable to a 54% increase in the company’s revenue from the RV industry, which represented approximately 68% of its fourth quarter 2012 sales. Approximately $21.1 million of the revenue increase was attributable to the incremental impact of acquisitions completed in 2011 and 2012, including related market share growth.
Net income in the fourth quarter totaled $3.2 million, or 30 cents per diluted share, compared to net income of $1.5 million, or 14 cents per diluted share, in the fourth quarter of 2011.
“We are pleased by our fourth quarter revenue and profitability growth compared to 2011 as we continue to realize the benefits of our strategic and operational initiatives executed in 2011 and 2012,” said Todd Cleveland, President and CEO. “We believe the newest member of our Patrick family, Middlebury Hardwoods, and the other acquisitions we have completed in the last two years will continue to bring new and innovative products to our customers, provide positive contributions to our operating profitability, and allow us to gain additional penetration in the RV, MH, and industrial market sectors.”
Patrick acquired Middlebury, Ind.-based Middlebury Hardwood Products in October 2012. It was the company’s fourth acquisition of the year following the acquisition of Decor Mfg. in March 2012, Gustafson Lighting in July 2012, and Creative Wood Designs in September 2012.
For the 12 months, sales increased approximately $129.6 million, or 42.1%, to $437.4 million from $307.8 million in the same period in 2011. The sales increase reflected a 59% increase in the company’s revenue from the RV industry, which represented approximately 69% of its 2012 sales. Approximately $66.6 million of the revenue improvement was attributable to the incremental impact of business acquisitions completed in 2011 and 2012, including related market share growth.
For the full year, Patrick reported net income and diluted earnings per share of $28.1 million and $2.64, respectively – the highest in the company’s history – compared to net income of $8.5 million, or 83 cents per diluted share, in the same period in 2011.
Looking ahead, Cleveland stated, “As we begin a new year in 2013, we believe the investments we made in our businesses in 2011 and 2012 will positively impact both our top and bottom line results. In conjunction with the support of our new credit facility, our organizational strategic agenda, and the dedication and creativity of our more than 1,700 team members, we will continue to focus our efforts on the addition of new product lines and strategic acquisitions that will bring value to our customers in terms of innovation, price, flexibility and creativity both in the short-term and on a long-term basis.”
To view the complete report click here.
Elkhart, Ind.-based Patrick Industries Inc., a major supplier of building and component products for the recreational vehicle, manufactured housing and industrial markets, reported significant sales and earnings gains for its third quarter boosted by strong performance from RV operations. The company also announced the establishment of a new $80 million revolving credit facility.
Net sales for the third quarter, ended Sept. 30, increased $35.5 million or 45.9% to $112.9 million from $77.4 million in the same quarter of 2011. The sales increase reflected a 66% increase in the company’s revenue from the RV industry and a 13% increase in revenue from the MH industry, which represented approximately 68% and 20% of third-quarter sales, respectively.
Approximately $18.7 million of the revenue increase was attributable to acquisitions completed in 2011 and 2012, with the remaining $16.8 million increase primarily attributable to increased RV market penetration and a 19% increase in quarterly wholesale unit shipments in the RV industry.
Patrick reported net income in the third quarter of $6.6 million, or 60 cents per diluted share, compared to net income of $4.5 million, or 44 cents per diluted share in the third quarter of 2011. Third quarter 2012 net income was positively impacted by a net gain on the sale of fixed assets and on the acquisition of a business of $0.2 million. Earnings included a non-cash credit of $0.1 million, or 1 cent per diluted share, related to stock warrant accounting.
“We are pleased by our third quarter revenue and profitability growth as we continue to increase our market share in the primary markets we serve through new product introductions, line extensions and the realization of our strategic and operational initiatives that are an integral part of our ‘customer first’ culture and mission,” said Todd Cleveland, president and CEO. “In addition, we believe the newest members to our Patrick family, Gustafson Lighting and Creative Wood Designs, and the other acquisitions we have completed since August 2010 will continue to provide positive contributions to our operating profitability and allow us to gain additional penetration in the RV and industrial market sectors.”
Net sales for the first nine months increased approximately $101.7 million, or 44.3%, to $331.2 million from $229.5 million in the same period in 2011. Approximately $46.5 million of the sales increase was attributable to the acquisitions completed in 2011 and 2012. In addition, increased RV shipment levels over the prior year and improved retail fixture and residential furniture sales in the industrial market positively impacted revenue growth on a year-to-date basis.
For the first nine months, Patrick reported net income of $24.9 million, or $2.32 per diluted share, compared to net income of $7 million, or $0.68 per diluted share, in the same period in 2011. The period was positively impacted by a non-cash credit of $6.7 million or 62 cents per diluted share, related to the reversal of a deferred tax valuation allowance and a net gain on the sale of fixed assets and on the acquisition of a business of $0.2 million, which were partially offset by a non-cash charge of $1.7 million related to stock warrant accounting.
To view the entire report click here.
It was tough not to notice the recreational vehicle group over the past week, according to a report by Investors.com
Drew Industries Inc. jumped 7% for the week. Patrick Industries Inc. settled 13% higher, after spiking 20% on Monday (Oct. 1). Group leader Thor Industries Inc. coasted home with a 1% gain but has a three- month advance under its belt, including a 15% gain for September.
The entire group lagged in the rankings, ranked No. 134 at the start of August. It broad-jumped into the Top 20 this week to end Friday at No. 18.
The annual RV show in Hershey, Pa., billed as “America’s Largest RV Show,” ran from Sept. 19-23.
Thor reported “record retail sales for units sold” at the annual show. RV maker and Berkshire Hathaway subsidiary Forest River Inc. said it sold “virtually hundreds of units” at the show.
Although this industry group is listed in the building sector, the top stocks are really leisure sector plays. Thor and Drew see more than three-quarters and Patrick more than half their revenue from RV sales.
Snowmobile and off-road vehicle sales have gone great guns for the past two years, sending Polaris sales to record highs last year. The stock soared 233% since a March 2010 breakout.
RV makers have been a different bag of nuts, but they service very similar audiences. And they have also seen an accelerating recovery in sales beginning last year.
Elkhart, Ind.-based supplier Patrick Industries Inc. announced today (Sept. 14) the acquisition of the business and certain assets of Creative Wood Designs Inc., a manufacturer of hardwood furniture including interior hardwood tables, chairs, dinettes, trim, fascia and moldings for the recreational vehicle industry.
According to a news release, the purchase price for the assets was approximately $5.7 million, including a contingent payment based on future performance.
Creative, based in Ligonier, Ind., is expected to post 2012 annual revenues of approximately $18 million. The move marks Patrick’s sixth acquisition since June 2011 and the third this year.
“The acquisition of Creative Wood Designs, along with the other businesses we have acquired over the past 15 months, will allow Patrick to further expand its presence in the RV market and increase our product offerings, market share and per unit content,” stated Todd Cleveland, president and CEO. “In addition, we are excited to leverage our operational talent and expertise, particularly as it relates to our own custom hardwood manufacturing knowledge and processes, with those of Creative. Creative is a major supplier in the RV hardwood furniture market and will be an asset to our organization as we continue to focus on providing new and innovative products to our customer base.”
The business will continue to operate on a stand-alone basis under the Creative Wood Designs brand name in its existing 250,000 square foot facility in Ligonier.
Elkhart, Ind.-based Patrick Industries Inc., a key supplier to the recreational vehicle, manufactured housing and industrial markets, announced plans today (Aug. 23) to expand operations at its AIA Countertops division in Syracuse, creating up to 65 new jobs by 2014.
According to a press release from the Indiana Economic Development Corp., Patrick plans to invest up to $3 million to purchase, renovate and equip a 142,000-square-foot facility located in Syracuse. As part of the project, new manufacturing equipment will be installed to support additional product lines, including new granite and quartz countertop fabricating lines. Patrick acquired AIA last September.
“Patrick Industries’ growth in Indiana bolsters our state’s already well-established manufacturing industry and provides new opportunities for Hoosier job seekers,” said Dan Hasler, secretary of commerce and CEO of the Indiana Economic Development Corp.
The AIA Countertops division, which currently has approximately 175 full-time employees in Syracuse, has been and expects to continue hiring additional manufacturing and production associates in conjunction with its growth needs.
“The capital investment we plan to make to expand our operations through the purchase and renovation of an existing facility in Syracuse that is in close proximity to our current location will afford us the opportunity to accommodate the significant growth we have recently experienced and more importantly, create new full-time positions for Indiana residents,” said Julie Ann Kotowski, director of investor relations at Patrick Industries. “We eagerly look forward to partnering with the state of Indiana, Kosciusko County and the city of Syracuse to promote job growth as we move forward with our expansion project that will increase our capacity and product offerings to the industries we serve.”
Founded in 1959, Patrick now operates 27 production and distribution facilities in 12 states across the country. Ten of these facilities are located in the Hoosier state. Outside of the recreational vehicle and manufactured housing industries, the company serves customers in the kitchen cabinet, marine, home furniture and commercial furnishings and fixtures markets.
The Indiana Economic Development Corp. offered Patrick Industries up to $325,000 in conditional tax credits based on the company’s job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The town of Syracuse approved additional property tax abatement at the request of the Kosciusko Economic Development Corp.
“One of the key goals of the town’s economic development efforts is to keep our existing companies competitive, and we’re thrilled to partner with Patrick Industries and AIA Countertops to ensure its lasting success in Syracuse,” said Larry Siegel, Syracuse town council president. “We’re excited to see this expansion in a company that plays an important role in one of our key industries. Manufacturing in Syracuse continues to show strong signs of growth and is another example of our economy’s continued post-recession improvement.”
Patrick Industries Inc. reported strong gains in sales and earnings for its second quarter, ended July 1, boosted by strong RV performance and the infusion of revenue from recent acquisitions.
According to the Elkhart, Ind.-based supplier, sales for the second quarter increased $33 million, or 39.9%, to $115.6 million from $82.6 million in the same quarter of 2011. The increase reflected a 61% increase in the company’s revenue from the RV industry and a 15% increase in revenue from the manufactured housing industry.
Approximately $16.2 million of the revenue increase was attributable to four acquisitions completed since mid-June 2011, with the remaining $16.8 million increase primarily attributable to increased RV market penetration and a 4% increase in quarterly wholesale unit shipments in the RV industry.
The company reported net income in the second quarter of $13.3 million, or $1.22 per diluted share, compared to net income of $3.7 million, or $0.36 per diluted share, in the second quarter of 2011. Earnings were positively impacted by a non-cash credit of $6.7 million related to the reversal of the deferred tax valuation allowance, which was partially offset by a non-cash charge of $0.1 million.
“We continue to focus on growing our market share in all three of our primary markets through new product introductions, line extensions, and innovative creativity and expertise from our sales team, product managers, and in-house design department that capitalize on our ‘Customer First’ culture and mission,” said Todd Cleveland, president and CEO. “In addition, we believe the acquisitions completed since June 2011 will continue to provide positive contributions to our operating profitability and allow us to gain additional penetration in the RV and industrial market sectors.”
Net sales for the first six months increased approximately $66.2 million, or 43.5%, to $218.3 million from $152.1 million in the same period in 2011. Approximately $27.8 million of the sales increase was attributable to the acquisitions completed since mid-June 2011.
For the first six months, Patrick reported net income of $18.3 million, or $1.70 per diluted share, compared to net income of $2.5 million, or $0.24 per diluted share, in the same period in 2011. Six months 2012 net income included the non-cash credit of $6.7 million or $0.62 per diluted share related to the reversal of the deferred tax valuation allowance and a non-cash charge of $1.8 million, or $0.17 per diluted share, related to mark-to-market accounting for common stock warrants.
“We are pleased with our operational and financial performance through the first half of 2012 and continue to execute on our organizational strategic agenda by making targeted capital investments and acquisitions, including our recently announced acquisition of Gustafson Lighting in Elkhart, which represents our fifth acquisition in thirteen months,” said Cleveland. “We remain focused on strategically leveraging our operating platform, resources, personnel, liquidity, and expertise to bring the highest level of quality products and service to our customers, which will in turn drive shareholder value.”
To view the entire report click here.