SiteOne reports sales up 5%
On Feb. 12, SiteOne (NYSE: SITE) announced its financial results for the fourth quarter and the full year of 2024.
Fourth Quarter 2024 Results
Net sales for the Q4 2024 increased to $1.01 billion, or 5%, compared to $965.0 million for the prior-year period. Organic daily sales increased 1% compared to the prior-year period driven by higher volume, partially offset by lower pricing due to commodity product deflation. Acquisitions contributed $43.0 million, or 4%, to net sales growth for the quarter. The company repurchased $30.0 million of shares under the share repurchase authorization, and closed two acquisitions: Custom Stone and OakStreet Wholesale Nursery
Fiscal 2024 Results
Net sales for fiscal 2024 increased to $4.54 billion, or 6%, compared to $4.30 billion for the fiscal year ended December 31, 2023. Organic daily sales for fiscal 2024 decreased 1% compared to fiscal 2023 due to commodity price deflation offsetting volume growth. Acquisitions contributed $286.0 million, or 7%, to net sales growth for fiscal 2024. Gross profit for fiscal 2024 increased to $1.56 billion, up 5% compared to $1.49 billion for the prior year. SiteOne said it repurchased $51.6 million of shares under the share repurchase authorization. It closed seven acquisitions during the year with approximately $200 million in trailing twelve months Net sales
“We were pleased to finish a challenging year in 2024 on a more positive note, achieving 1% organic daily sales growth in the fourth quarter against the headwind of 3% deflation. Throughout the year, we made significant progress on our strategic initiatives and acquisition integrations, which positions us well for positive sales growth, SG&A leverage, and EBITDA margin expansion in 2025,” said Doug Black, SiteOne’s chairman and CEO.
Outlook
“As we enter 2025, there is much uncertainty with interest rates, potential tariffs, and labor supply that could affect our markets. Against this backdrop, we expect commodity price deflation to continue moderating in 2025 with declines in products like PVC pipe mitigated by increases across our other products. Overall, we expect pricing to be flat to slightly down for the full year 2025,” said CEO Doug Black. “In terms of end markets, we expect overall demand to be flat to slightly up with modest growth in maintenance and resilient demand in repair and upgrade, new residential, and new commercial construction. With the benefit of our commercial initiatives, we expect sales volume to more than offset price deflation, yielding low single-digit organic daily sales growth for the full year.”
