Manufacturing plants had steeper-than-usual plant shutdowns during the holidays on top of slow manufacturing and industrial activity through the year.
Those conditions hampered Winona-based Fastenal’s fourth quarter and annual results, with the company failing to meet analyst expectations.
“Frankly, a frustrating finish to a challenging year,” Fastenal Chief Executive Dan Florness told analysts on the company’s earnings call Friday.
Despite that, Fastenal did better than the manufacturing economy overall. National and regional reports from the Institute for Supply Management and the Mid-America Manufacturing Economy from Creighton University have shown the manufacturing economy contracting for much of the year.
Fastenal’s sales and earnings came in slightly below expectations for the quarter and year ended Dec. 31. Net income decreased 1.6% to $262.10, or 46 cents a share, on revenue of $1.82 billion that grew 3.7% in the quarter.
For the year, the company’s earnings decreased 0.4% to $1.2 billion, or $2.00 a share, on sales that grew 2.7% to $7.5 billion.
Analysts anticipated earnings of 48 cents a share on sales of $1.84 billion for the quarter and $2.03 a share on sales of $7.6 billion for the year.
Fastenal is a national distributor of fastener products, safety supplies and other items, including tools and janitorial supplies. Much of the business comes from proprietary vending devices.
