UFPI Springs Into 2006
Quarterly sales increased by more than $100 million, up 24 percent to $666 million. The company, already showing strong profitability, maintained many of its costs in proportion with its growth in sales. Selling, general and administrative costs were up 29 percent. But cost of goods sold was up just 22 percent to $571 million. In other words, with sales up 24 percent and cost of goods up just 22 percent, the per-unit cost of sales was down. That resulted in net income growth of 72 percent compared to the first quarter of 2005.
"We delivered these powerful results by staying true to our business strategy, focusing on exceeding customer expectations and driving costs out of our operations," CEO William G. Currie said in a statement released with the quarterly report. "I'm proud of a team that continually meets and exceeds its goals."
UFPI could also credit Mother Nature for some of its recent success. With the clean-up and rebuilding efforts taking place in the
The strong sales boiled down to 82 cents per-share earnings, compared to 49 cents for 2005's first quarter. Shareholder equity grew by 23 percent in the last year.
The company's stock jumped in value by nearly 15 percent the day after the quarterly performance announcement.