Ace full year revenue slides
Ace Hardware Corp. reported consolidated revenues for fiscal 2023 of $9.1 billion, a decrease of $38.7 million, or 0.4%, as compared to the prior year.
Ace also reported income for full year 2023 was $1.478 billion, up $117 million from full year 2022 income of $1.361 billion.
The Oak Brook, Illinois-based company reported Q4 revenue of $2.124 billion, a decrease of $67 million, or 3%, from Q4 last year which saw $2.191 billion. Q4 income was $310 million, up from the $264 million Q4 last year.
“While Q4 revenue was disappointing, the miss is entirely a result of lower sales on winter goods as a result of a particularly mild December,” said John Venhuizen, president and CEO.
Decreases in Q4 were seen across a majority of departments with plumbing, outdoor power equipment, and grilling showing the largest declines, said Ace.
The approximately 3,700 domestic Ace stores that share daily sales data reported a 5.2% decrease in retail same-store-sales during the fourth quarter of 2023, which was the result of a 3.2% decrease in same-store transactions and a 2.0% decrease in average ticket, reported Ace.
For the full year, retail same-store-sales decreased 2.2%, which was the result of a 1.1% decrease in same-store transactions and a 1.0% decrease in average ticket.
The Bottom Line: Ace Hardware sales for the year were lower at $9.1 billion.
What the CEO said: “With shareholder dividends of $356.5 million and pre-tax return on equity of 38.7%, the Ace team is to be commended for the discipline, production and stewardship with which they managed our resources and opportunities,” said John Venhuizen, president and CEO.
Ace added 203 new domestic stores in fiscal 2023 and canceled 76 stores. This brought the company’s total domestic store count to 4,994 at the end of fiscal 2023, an increase of 127 stores from the end of fiscal 2022.
On a worldwide basis, Ace added 222 stores in fiscal 2023 and canceled 98, bringing the worldwide store count to 5,870 at the end of fiscal 2023.
Company info: Click HERE to read the Q4 and full year 2023 financial report from Ace Hardware.
