Fastenal Q4 Profit Misses View, But Revenues Top

(RTTNews) - Industrial and construction supplies provider Fastenal Co. (FAST) reported Wednesday profit for the fourth quarter that edged up from last year, reflecting increase in net sales. Earnings per share for the quarter missed analysts' expectations by a penny, while quarterly revenues topped their estimates by a whisker.

The Winona, Minnesota-based company reported net earnings of $99.23 million or $0.33 per share for the fourth quarter, compared to $98.72 million or $0.33 per share in the prior-year quarter.

On average, 13 analysts polled by Thomson Reuters expected the company to report earnings of $0.34 per share for the quarter. Analysts' estimates typically exclude special items.

Net sales for the quarter increased 7.5 percent to $813.76 million from $757.24 million in the same quarter last year, and topped eleven Wall Street analysts' consensus estimate of $813.25 million by a whisker.

The company's monthly net sales for October grew 7.7 percent, November sales increased 8.2 percent, and December sales rose 6.7 percent from the same months last year.

Operating income for the fourth quarter edged down to $157.13 million from $158.04 million in the prior-year quarter.

Gross profit margin contracted 100 basis points at 50.6 percent from last year. Operating and administrative expenses, increased to $254.39 million from $232.91 million last year.

For fiscal 2013, the company reported net earnings of $448.64 million or $1.51 per share, higher than $420.54 million or $1.42 per share in the prior year. Analysts expected the company to report earnings of $1.52 per share for fiscal 2013.

Net sales for the full year grew 6.1 percent to $3.33 billion from $3.13 billion in the previous year. Street was looking for full-year 2013 revenues of $3.33 billion.

Looking ahead to fiscal 2014, the company now estimates opening 50 to 70 stores in the full year or an annualized rate of 1.9 to 2.6 percent. The company also expects gross margin in a range of 51 to 53 percent.

FAST closed Tuesday's regular trading session at $48.21 down $0.14 on a volume of 2.59 million shares. In the past 52-week period, the stock has been trading in a range of $43.75 to $53.38.