Highlights from Ace Hardware's Q3 2024 financials
Ace Hardware Corporation has reported third quarter 2024 revenues of $2.4 billion, which is an increase of $64.8 million, or 2.8 percent, from the third quarter of 2023.
Net income was $99 million for the third quarter of 2024, a decrease of $31 million from the third quarter of 2023. According to Ace, this decrease was due to higher planned expenses as the company continues to make strategic investments in its supply chain infrastructure and digital marketing expense to support future growth.
"In this challenging environment, it's encouraging for me to report growth in new stores, growth in our digital business, and overall growth to $2.4 billion for the quarter," said John Venhuizen, Ace president & CEO. "I'm never particularly pleased to report a decline in net income, but it was almost exactly on plan and nearly $100 million for the three-month period. It's a privilege to take the field with such a talented Ace team around the world."
The approximately 3,700 Ace retailers who share daily retail sales data reported a 2.2 percent decrease in U.S. retail same-store-sales during the third quarter of 2024, which the company says was the result of a 2.2 percent decrease in same-store transactions.
Consolidated revenues for the quarter ended September 28, 2024 totaled $2.4 billion. Total wholesale revenues were $2.1 billion, an increase of $56.3 million, or 2.7 percent, compared to the prior year third quarter. According to Ace, grilling, power tools and outdoor power equipment showed the largest gains in the most recent quarter.
Total retail revenues from Ace Retail Holdings LLC (ARH) for the quarter were $203.4 million, an increase of $8.5 million, or 4.4 percent, as compared to the prior year third quarter. The Westlake Ace Hardware chain experienced a 1.9 percent decrease in same-store-sales, while the Great Lakes Ace Hardware chain experienced a 1.7 percent decrease in same-store-sales in the quarter.
The new stores opened by Westlake and Great Lakes Ace since the end of the second quarter of 2023 contributed $12.1 million of incremental revenues during the third quarter of 2024. Westlake and GLA together operated 253 stores at the end of the third quarter of 2024 compared to 233 stores at the end of the third quarter of 2023.
Ace's total domestic store count was 5,093 at the end of the third quarter of 2024, which is an increase of 150 stores from the third quarter of 2023. The worldwide store count was 5,973 at the end of the third quarter of 2024.
View Ace's full financial disclosure for Q3 2024 here.
