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Ace Hardware Corp. reported Aug. 22 that it achieved growth in revenues, sales and income during the second quarter of 2018.
The company’s revenues were $1.6 billion for the quarter, an increase of 6.4 percent from second-quarter 2017.
The co-op saw net income of $54.8 million for the quarter, a year-over-year increase of 7.2 percent.
“We continued to see revenue growth across all of our business units in the second quarter, with the strongest results coming from our local owners in the domestic business, which increased almost 6 percent,” says John Venhuizen, president and CEO. “And I’m delighted with our 7.2 percent net income growth despite the expense pressures from our material investments in both our wholesale infrastructure and our digital expansion.”
Ace’s investments included a new 1.1 million-square-foot distribution center, which opened in June, and the launch of an updated version of acehardware.com in July.
The quarter’s 3.3 percent increase in retail same-store sales was the result of a 4.1 percent increase in average transaction size, according to the company. The growth was partially offset by a 0.8 percent decrease in same-store transactions, the co-op reports.
Total wholesale revenues for Ace were $1.5 billion, an increase of 4.9 percent. Ace experienced growth in most product categories, with lawn and garden, outdoor living and electrical showing the largest gains, according to the company.
Ace Hardware is headquartered in Oak Brook, Illinois, and had 4,423 U.S. stores in the second quarter of 2018, for an increase of 66 stores from the second quarter of 2017. The co-op’s worldwide store count is 5,161.
