The third-quarter financial results for Huttig Building Products Inc. reported a lower net sales return for the year but officials remain hopeful that the decline is behind them.

“We believe the challenges of our enterprise resource planning system upgrade, which caused some temporary sales erosion in our second and third quarters, are now behind us. Our focus on growing higher margin fastener product sales contributed to our gross margin improvement in the quarter, while our capital and cost management efforts have allowed us to reduce debt by nearly $15 million and improve available liquidity by over $9 million as compared to the prior-year period,” said Huttig president and CEO Jon Vrabely.

The millwork, building materials and wood products distributor’s net sales were $215.7 million in the third quarter of 2019 in comparison to $222 million in the same quarter last year, a dip of 2.8%. Huttig officials believe the drop was a result of the company’s major enterprise system upgrade which also impacted the second-quarter results. The millwork product sales category was the most impacted by the system upgrade, decreasing 5% in the third quarter of 2019 as compared to the same quarter in 2018.

The gross margin in this year’s third quarter was up to $44.7 million a 0.6% increase from the third quarter in 2018.


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