Fastenal 3Q profit up on sales growth, new stores
WINONA, Minn. -- Fastenal Co. said Thursday that its third-quarter net income rose 13 percent, boosted by double-digit sales increases in all three months of the period and the addition of new stores.
Fastenal, which sells nuts, bolts and other fasteners, earned $109.3 million, or 37 cents per share, up from $96.8 million, or 33 cents per share, in the same quarter last year.
Revenue rose 10 percent to $802.6 million from $726.7 million.
Analysts, on average, expected earnings of 37 cents per share on $804.8 million in revenue, according to a FactSet poll.
The company said its year-over-year daily sales growth rate exceeded 12 percent in all three months of the quarter, but was slightly reduced by the effects of unfavorable exchange rates.
Fastenal, like other companies that do significant business outside the U.S., can be hurt by a rising dollar because income earned in foreign currencies shrinks when it's translated back into a stronger U.S. dollar.
The Winona, Minn., company had 2,650 stores at quarter's end compared with 2,566 in the prior-year period.
Its shares rose $1.83, or 4.3 percent, to $44.15 in premarket trading.