Masonite International Corp. says its sales increased 6 percent to $518 million in the third quarter of 2017, up from $490 million in the same period of 2016.

“We are encouraged by the improved volume trend and operational recovery in our business,” said Fred Lynch, Masonite’s president and CEO. “While the third quarter began with weak margins as we worked through higher cost inventory, they steadily improved each month. With our manufacturing productivity back on track to levels we anticipated, we expect margin growth to resume, particularly in 2018 and beyond.”

According to the company’s latest financial report, the increase in net sales was a result of a 3-percent increase in volume, due primarily to higher volumes in its North American residential and Europe segments, a 2-percent increase in average unit price and a 1-percent benefit from foreign exchange.

North American residential net sales were $364 million, an 8-percent increase over the third quarter of 2016. Europe net sales were $75 million, a 7-percent increase from the third quarter of 2016. Architectural net sales were $74 million, a 4-percent decrease from the third quarter of 2016. Sales volume was down due to higher production backlogs resulting primarily from the transition of products from the Algoma, Wisc., plant to other sites. The facility closed last year.

Total company gross profit was essentially flat at $104 million in the third quarter of 2017 compared to the third quarter of 2016. Gross profit margin decreased 110 basis points to 20.1 percent, due primarily to higher materials costs and distribution inefficiencies related to maintaining customer service levels.

Diluted adjusted earnings per share were $1 in the third quarter of 2017 compared to 89 cents in the comparable 2016 period.

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