Fastenal Company · NASDAQ:FAST
Fastenal — Q4 2024 Earnings Presentation
15 slides from Fastenal's earnings presentation, Jan 17, 2025
Slide 1: Fourth Quarter Investor Teleconference
2024 FOURTH QUARTER INVESTOR TELECONFERENCE JANUARY 17, 2025 1
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT All statements made herein that are not historical facts (e.g., future operating results, long-term share gains, and business activity, as well as expectations regarding operations, including gross and operating income margin, future inventory levels, pricing, Onsite and weight
Slide 3: CEO Messages on 4Q24
CEO MESSAGES ON 4Q24 • Daily sales growth of 2.1% was a frustrating finish to a Daily Sales Rate (DSR) Growth challenging year. Deleverage stemming from weak 20% 18.4% 18.0% demand, compounded by low seasonal volumes and 18% 16.0% sharp year-end factory shutdowns, produced EPS of 16% $0.46, -1.9% fr
Slide 4: Customer Site Bucket Performance
CUSTOMER SITE BUCKET PERFORMANCE * Sales that are not tied to a specific site or in-market location are excluded from the above. Sales represented above exclude certain service fees, cash sales, direct product sales, customer rebates, etc. ** Customer Sites are an average of the number of customer s
Slide 5: 4Q24 Growth Driver Update
4Q24 GROWTH DRIVER UPDATE • Onsites: We signed 56 Onsites in 4Q24. Active sites were Onsite Signings and Active Locations 2,031, +11.5% from 4Q23. Daily sales, excluding transferred 180 2,031 2,200 branch sales, grew mid single-digits from 4Q23. Sales from 160 1,822 2,000 sites opened in 2023-24 out
Slide 6: 4Q24 Business Cadence
4Q24 BUSINESS CADENCE • U.S. PMI averaged 48.1 in 4Q24, marking 25 of 26 End Market Daily Sales Rate (DSR) Growth months sub-50. U.S. Industrial Production was -0.6% in 40% Oct./Nov. 2024 over 4Q23. Heavier production series, 30% such as Primary Metal (-2.6%) and Fabricated Metal (-1.5%) were relati
Slide 7: 4Q24 Margin Summary
4Q24 MARGIN SUMMARY • 4Q24 operating margin was 18.9%, down from 20.1% in Gross Profit Margin 50% 4Q23. SG&A expenses were stable with preceding quarters, but against the lowest quarterly volume of the year, it produced meaningful deleverage. 45.3% 45.5% 44.8% 45% • Gross margin declined to 44.8% fr
Slide 8: 4Q24 Cash Flow Profile
4Q24 CASH FLOW PROFILE Operating Cash Flow • 4Q24 operating cash flow (OCF) was $282.8, or 107.9% (in millions) of net income, below 4Q23 (132.9%). 2024 OCF was 400 132.9% $1,173.3, or 102.0% of net income, below 2023 350 (124.0%). Cash generation returned to traditional levels 122.9% 300 107.9% ami
Slide 9: Appendix: Non-GAAP Financial Measures
APPENDIX Non-GAAP Financial Measures The appendix includes information on our Return on Invested Capital ('ROIC'), which is a non-GAAP financial measure. We define ROIC as net operating profit less income tax expense divided by average invested capital over the trailing 12 months. We believe ROIC is
Slide 10: Return on Invested Capital
RETURN ON INVESTED CAPITAL* Calculation of Return on Invested Capital (ROIC) Reconciliation of ROIC to Return on Assets (ROA) TTM TTM TTM TTM (Amounts in millions) 4Q24 4Q23 (Amounts in millions) 4Q24 4Q23 Operating Income $ 1,510.0 1,528.7 Net Income $ 1,150.6 1,155.0 Income Tax Expense (357.5) (36
Slide 11: Sequential Trends
SEQUENTIAL TRENDS* Cum. Cum. Cum. Cum. Chg., Chg., Chg., Chg., Jan. Jan. Jan. Jan. Daily Sales Rate (DSR) to to to to BENCHMARKS Jan.* Feb. Mar. Mar. Apr. May Jun. Jun. Jul. Aug. Sep. Sep. Oct. Oct. Nov. Dec. 2025 BENCHMARK** 0.2% 1.3% 2.9% 4.2% (1.5%) 2.7% 0.9% 6.4% (3.5%) 2.5% 4.0% 9.5% (2.2%) 7.1
Slide 12: Employee Statistics
EMPLOYEE STATISTICS Absolute Count FTE Count (1) Change Change Change Change HEADCOUNT Since Since Since Since STATISTICS 4Q24 3Q24 3Q24 4Q23 4Q23 4Q24 3Q24 3Q24 4Q23 4Q23 Selling personnel (2) 16,712 16,666 0.3% 16,512 1.2% 15,055 15,080 (0.2%) 15,070 (0.1%) Distribution/Transportation personnel 4,
Slide 13: In-Market Location Statistics
IN-MARKET LOCATION STATISTICS 2014 (1) 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Starting Branches 2,687 2,637 2,622 2,503 2,383 2,227 2,114 2,003 1,793 1,683 1,597 Opened Branches 24 41 40 18 11 12 12 10 12 10 11 Closed/Converted Branches (2) (74) (56) (159) (138) (167) (125) (123) (220) (1
Slide 14: End Market Profile
END MARKET PROFILE End Market Mix - Full Year 2023 End Market Mix - Full Year 2024 Transportation/ Other, 2.4% Transportation/ Other, 2.3% Warehousing, 4.6% Warehousing, 5.2% Gov't/Education, 3.7% Heavy Gov't/Education, 3.8% Heavy Manufacturing, 43.1% Manufacturing, 43.0% Reseller, 5.8% Reseller, 5.
Slide 15: Thank You
THANK YOU 15