Business
Hardwoods Announces Strong 2013 Fourth Quarter and Full-Year Results and Increases Quarterly Dividend
TRADING SYMBOL: Toronto Stock Exchange - HWD LANGLEY, BC , March 10, 2014 /CNW/ - ...
About this update from Adentra Inc
[{"type":"text","content":"\n\n\nTRADING SYMBOL: Toronto Stock Exchange - HWD\n\n\nLANGLEY, BC, March 10, 2014 /CNW/ - This press release discusses\n financial results for Hardwoods Distribution Inc. (\"Hardwoods\" or the\n \"Company\") for the three and twelve months ended December 31, 2013.\n\n\nHardwoods is one of North America's largest wholesale distributors of\n hardwood lumber and related sheet good products, operating a network of\n 32 distribution centres in the US and Canada.\n\n\nHighlights \n\n\n(For the three and twelve months ended December 31, 2013)\n\n\n\nRevenue increased 22.8% in the fourth quarter and 21.3% for the full\n year, compared to the same periods in 2012.\n\n\n\n\nThe Company increased gross profit by 25.3% in the fourth quarter and by\n 25.7% in the 12-month period, compared to the same periods in 2012.\n\n\n\n\nFourth quarter EBITDA climbed 75.2% to $4.2 million, and full-year\n EBITDA increased 73.1% to $21.4 million.\n\n\n\n\nFourth quarter profit increased 80.9% to $2.4 million, while full-year\n profit climbed 111.5% to $13.1 million.\n\n\n\n\nIn recognition of continuing strong financial performance, the Board of\n Directors approved an increase in the quarterly dividend from 3.5 cents\n per share to 4.5 cents per share. The dividend will be paid on April\n 30, 2014, to shareholders of record as at April 18, 2014.\n\n\n\n\n\n\n\"We continued to build momentum in 2013 as our market expansion\n strategies combined with strong demand growth in the US market to drive\n stronger financial results,\" said Lance Blanco, President and CEO of\n Hardwoods. \"At $371 million, our full-year sales performance has now\n returned to the levels we were achieving at our peak in 2005 and 2006. \n However, we are achieving these results at a much lower level of\n housing starts.\"\n\n\nAccording to the US Census Bureau, US housing starts increased to\n 927,000 in 2013, 19% higher than in 2012, but still less than half the\n 2.1 million housing starts recorded in 2005. Canadian housing starts\n declined to 188,000, from 215,000 in 2012 according to Canada Mortgage\n and Housing Corporation, reflecting the impact of new mortgage rules\n designed to cool the residential housing market.\n\n\nThe Company's results were bolstered by the continued strengthening of\n product prices during the year. Average hardwood lumber prices, as\n measur...