Business
Pool Corporation Reports Record 2020 Results and Provides 2021 Earnings Guidance
Highlights include: Record annual net sales of $3.9 billion for 2020, up 23% from 2019, including a 44% increase in Q4 20202020 operating margin of 11.8%, up
About this update from Pool Corporation
[{"type":"text","content":"Highlights include: Record annual net sales of $3.9 billion for 2020, up 23% from 2019, including a 44% increase in Q4 20202020 operating margin of 11.8%, up 110 bps from 2019Record 2020 diluted EPS of $8.97, an increase of 40% over 2019, or an increase of 44% excluding tax benefits in both periods and non-cash impairments recorded in Q1 2020Cash provided by operations of $397.6 million, an improvement of $98.8 million from 20192021 diluted EPS guidance range of $9.12 - $9.62, including an estimated $0.11 tax benefit COVINGTON, La., Feb. 11, 2021 (GLOBE NEWSWIRE) -- Pool Corporation (Nasdaq/GSM:POOL) today announced fourth quarter and full year 2020 results. “As the pandemic forced families to spend more time at home in 2020, they sought out opportunities to create or expand existing home-based outdoor living and entertainment spaces. This created unprecedented demand throughout our markets. Our scale and execution, combined with favorable weather conditions, drove truly remarkable results for the year, including an exceptionally strong fourth quarter. I am extremely proud of the outstanding efforts of the POOLCORP team, whose commitment to our customers, while maintaining a safe environment for fellow employees and our communities under very challenging conditions, is second to none,” commented Peter D. Arvan, president and CEO. Net sales increased 23% to a record high of $3.9 billion for the year ended December 31, 2020 compared to $3.2 billion in 2019, while base business sales increased 22%. We realized broad sales gains across nearly all product categories. Our sales benefited from greater swimming pool usage and high demand for residential pool products, which was driven by home-centric trends influenced by the COVID-19 pandemic and aided by warmer weather conditions during the year. Gross profit reached a record $1.1 billion for the year ended December 31, 2020, a 22% increase over gross profit of $924.9 million in 2019. Gross margin declined 20 basis points to 28.7% in 2020 compared to 28.9% in 2019. The decline in gross margin is primarily due to sales of lower margin, big-ticket items, such as pool equipment and in-ground and above-ground pools, which comprised a larger portion of our product mix in 2020 compared to 2019. Selling and administrative expenses (operating expenses) increased 14%, or $83.2 million, to $666....