Fortune Brands Recent Earnings Report: Entry Door Sales Up SignificantlyJuly 25th, 2013 by DWM Magazine
Fortune Brands reported its second quarter earnings this week and net sales increased 11 percent year-over-year to $1.04 billion. This prompted the company to raise its annual outlook to sales growth of 13-15 percent.
Advanced Material Windows & Door Systems’ net sales were up double digits, as entry doors grew 15 percent, and “we began to see some positive signs in windows,” says Chris Klein, CEO. “Importantly, operating income before charges/gains for the segment more than doubled to $10 million. “We have the confidence to raise our annual outlook because we are executing well and our performance continues to outpace the recovering market.”
For the second quarter of 2013, net sales were $1.04 billion, an increase of 11 percent over the second quarter of 2012. Diluted earnings per share were $0.37, compared to $0.29 in the prior year quarter. Operating income was $106.5 million, compared to $72.3 million in the prior year quarter. Operating income before charges/gains was $107.2 million, compared to $72.7 million the prior year.
“Sales were up double digits in each of our home segments, with these segments growing a combined 13 percent versus last year, once again outperforming the market,” says Klein. “Importantly, this was very profitable growth, with operating income before charges/gains increasing 54 percent for the home product segments. New housing construction continued at a strong pace, and spending on home repairs and remodeling continued to strengthen.”