Snap-on Incorporated, parent of Car-O-Liner, reported second quarter net sales of $954.6 million, an increase of $33.2 million, or 3.6 percent, from 2017 levels, reflecting a $12.1 million, or 1.3 percent, organic sales gain, $8.1 million of acquisition-related sales, and $13.0 million of favourable foreign currency translation.
Operating earnings before financial services of were $193.1 million or 20.2 percent of sales as compared to $183.7 million, or 19.9 percent of sales, last year. Net earnings were $178.7 million, or $3.12 per diluted share, compared to net earnings of $153.2 million, or $2.60 per diluted share a year ago. Excluding the impact of changes to the tax law, net earnings, as adjusted, were $178.2 million in 2018, or $3.11 per diluted share.
“Our second quarter 2018 results demonstrated encouraging progress along our defined runways for growth and improvement,” said Nick Pinchuk, Snap-on chairman and chief executive officer.
“Net sales growth in our Commercial and Industrial Group reflects the strength of Snap-on’s value proposition of making work easier for serious professionals in critical industries beyond vehicle repair. In our businesses serving vehicle repair, the Repair Systems and Information Group again realized strong sales of diagnostics and repair information products resulting from both successful new product launches and industry tailwinds, and we did make some progress in overcoming our challenges in the Snap-on Tools Group. We believe the overall macro-economic environment for the vehicle repair and critical industries markets we serve generally remains robust and affords significant ongoing opportunities.”
The Repair Systems & Information Group segment sales were $343.1 million in the quarter an increase $5.0 million, or 1.5 percent, from 2017 levels, reflecting a $0.1 million organic sales gain and $4.9 million of favorable foreign currency translation. The organic sales level includes higher sales of diagnostic and repair information products to independent repair shop owners and managers, largely offset by a sales decrease of undercar equipment; sales to OEM dealerships were essentially flat.
This article courtesy of Russell Thrall III, publisher CollisionWeek. Check out their website at: www.collisionweek.com