Sales Up for 4Q, Year at Systemax
Sales at Port Washington, NY-based Systemax were up for the fourth quarter and full year ended Dec. 31.
Net sales for the fourth quarter increased 5.5%, to a record $583.0 million, compared to $552.4 million for the fourth quarter of 2005. Income from operations more than tripled, to $18.5 million from $5.9 million. Fourth-quarter net income fell 33%, however, to $3.4 million from $5.1 million, due to an unusually high tax rate resulting from the write-off of approximately $10 million of deferred tax assets.
For the full year, the computer and industrial supplies manufacturer/marketer posted a 10% rise in net sales, to a record $2.116 billion, up from $1.928 billion in 2004. Income from operations increased to $34.8 million from $19.0 million. Net income increased 12%, to $11.4 million from $10.2 million.
Solid Quarter for MSC
Maintenance repair and operations (MRO) supplier MSC Industrial Direct turned in a solid third quarter. For the three months ended May 27, the Melville, NY-based merchant of maintenance, repair, and operations supplies recorded net sales of $329.8 million, a 14% increase over $288.5 million for the same period last year. Net income soared nearly 21%, to $37.0 million from $30.7 million.
“Our ability to execute on our strategy at a very high level, coupled with solid market conditions, enabled us to continue to take share and grow during the third quarter,” president/CEO David Sandler said in a statement. “Demand for our products remains strong and our customers are reporting solid order flow. Additionally, we were able to further expand our operating margins to 17.9%, while continuing to enhance our sales force and successfully continue the expansion of our West Coast operations.”