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Universal Forest Products has released its earnings for the third quarter of 2013.
UFP (Nasdaq: UFPI) reported third-quarter results this week that include a 22 percent increase in sales, compared to the same quarter last year.
UFP sales revenues in the latest quarter were $651.8 million, up from $533.4 million in the third-quarter of 2012. Net earnings were $14.1 million, or 71 cents per share, compared to $4.2 million, or 21 cents per share, in the same quarter last year. Universal said it had strong sales growth in each of its markets, with one in particular — commercial construction and concrete forming — at more than 50 percent.
“I am very pleased with our third-quarter results and especially with our people, who drove strong performance in the quarter and made us a better company than we were a year ago,” said UFP CEO Matthew J. Missad. “We saw robust growth in each of our markets, and we enhanced margins in a number of areas.”
The Grand Rapids Township-based company noted that lumber prices, which in turn affect the company’s list prices, were up in the third quarter. Overall lumber prices were up 6.9 percent, while Southern yellow pine — a significant part of the company’s raw material — was up 16.7 percent.
Missad said the company has been successful “in improving operations that were under-performing or unprofitable in 2012.” UFPI managers are “working diligently to grow sales and profitability, and we’re seeing the results of their hard work. We still have many areas for improvement, but this truly is an exciting time to be part of the UFP family of companies.”
For the third quarter, UFP reported the following results by market, compared to the same quarter last year:
- Retail building materials: $247 million, an increase of 21.6 percent.
- Industrial packaging/components: $187 million, up 20.8 percent.
- Manufactured housing: $100 million, an increase of 12.3 percent.
- Residential construction: $89.7 million, up 29.3 percent.
- Commercial construction and concrete forming: $36.7 million, an increase of 51.7 percent.
At the end of 2012, UFP reported total net sales of $2.1 billion, a 12.8 percent increase over 2011, and net earnings of $23.9 million or $1.21 per share, compared to $4.5 million in 2011.