Exchange rates weigh on Valspar

Minneapolis-based The Valspar Corporation reported fiscal fourth-quarter 2015 net sales of $1.15 billion, a decrease of 9% over the prior year.

The results include the effects of foreign currency translation that negatively impacted net sales by 6%, the estimated impact of the extra week in fiscal fourth quarter 2014 that reduced sales by 3%; and acquisitions that added 4% to net sales in the quarter. Total volume declined 2% in the fourth quarter.

For the full year, the company's net income increased to $399 million, up from $345 million.

CEO Gary Hendrickson pointed to "another year of record earnings" for Valspar. Adjusted EBIT grew 4% and EPS increased 6% for the year. We delivered this growth while facing difficult comparisons to the exceptional performance in 2014" and a strengthening U.S. dollar.

Fiscal year 2015 net sales were $4.4 billion, and decreased 5% versus the prior year.

Looking ahead to fiscal 2016, the company expects sales to increase in the mid-single digits.