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This week, True Value Company announced its fiscal 2014 year-end results, and the company says its the best growth its seen in 20 years, as it shared with its members earlier this month in Dallas at the True Value Spring Reunion.
According to the company, total fiscal 2014 gross billings were $2.015 billion, which is an increase of 6.0 percent or $114.8 million compared to the previous year. Revenue was $1,495 million, an increase of 5.9 percent, or $83.5 million. Comparable store sales to retailers were up 5.2 percent on a gross billings basis.
In addition, the company reports that Destination True Value retail comp store sales were up 4.8 percent and overall comp store sales were up 3.1 percent. While 2014 was a 53-week reporting year versus a 52-week reporting year in 2013, on a 52-week comparable basis, gross billings were up 4.9 percent, or $93.9 million.
The co-op posted $54.3 million in profit prior to strategic plan spending, down $1 million or 1.8 percent compared to $55.3 million in 2013. The co-op also posted earnings of $41.1 million, including $13.2 million of strategic plan-related expenses, a decrease of 25.7 percent or $14.2 million, compared to the same period a year ago. The net margin impact of the higher sales volume was offset by higher labor and benefit expenses, higher inbound and outbound freight expense and operating expenses for the 53rd week, as well as the cost of the retailer subsidies on the rollout of the new paint colorant system.
“Our strategic plan is driving powerful, positive transformation across True Value, as we experienced some of the strongest growth we’ve seen in the last 20 years,” says president and CEO John Hartmann. “These achievements are the result of our members’ support and the hard work of our associates, as together we make the changes needed to drive new levels of engagement, growth and efficiency.”
The company also announced the addition of 230 new stores in 2014, including a combination of 126 new ground-up stores, as well as conversions from other co-ops and distributors and affiliates.
To read the full press release, click here.
