Patrick Industries, Inc (PATK) has reported 12.66 percent rise in profit for the quarter ended Dec. 31, 2016. The company has earned $13.56 million, or $0.89 a share in the quarter, compared with $12.04 million, or $0.78 a share for the same period last year. Revenue during the quarter surged 30.27 percent to $323.94 million from $248.66 million in the previous year period. Gross margin for the quarter contracted 31 basis points over the previous year period to 16.36 percent. Total expenses were 93.18 percent of quarterly revenues, up from 92.45 percent for the same period last year. That has resulted in a contraction of 73 basis points in operating margin to 6.82 percent.
Operating income for the quarter was $22.10 million, compared with $18.78 million in the previous year period.
Todd Cleveland, Chief Executive Officer, said, "Our fourth quarter revenues were in line with the strong seasonal demand patterns in the RV and MH industries as well as continued penetration into the industrial market. We were able to grow both our top and bottom line and successfully execute on our strategic and operational initiatives, which included the acquisitions of Sigma Wire International, LLC and KRA International, LLC in December 2016, investing in our strategic capital expenditure program, and our continued expansion plans in certain customer-concentrated regions of the country. Additionally, we increased our overall content per unit in both the RV and MH industries and remain optimistic about the long-term growth potential in these industries as well as the industrial market."
Working capital increases
Patrick Industries, Inc has recorded an increase in the working capital over the last year. It stood at $86.68 million as at Dec. 31, 2016, up 5.95 percent or $4.86 million from $81.81 million on Dec. 31, 2015. Current ratio was at 2.01 as on Dec. 31, 2016, down from 2.41 on Dec. 31, 2015.
Debt increases substantially
Patrick Industries, Inc has witnessed an increase in total debt over the last one year. It stood at $272.58 million as on Dec. 31, 2016, up 33.71 percent or $68.72 million from $203.86 million on Dec. 31, 2015. Total debt was 50.95 percent of total assets as on Dec. 31, 2016, compared with 52.81 percent on Dec. 31, 2015. Debt to equity ratio was at 1.47 as on Dec. 31, 2016, down from 1.59 as on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
