Fastenal slows down in fourth quarter

Despite a slowdown in business to the oil and gas industry and fourth quarter declines, Winona, Minnesota-based Fastenal reported full year growth in sales and earnings.

Net sales increased 3.6% to $3.87 billion for the full year. Net earnings for the year increased 4.5% to $516 million.

During 2015, Fastenal added 1,668 employees into its stores. Also, after several years of holding back on store openings and even contracting its total store base, the company said it plans to expand at a pace of about 2.5% in 2016, with a goal of opening 60 to 75 new stores.

The company opened 41 and 24 stores in 2015 and 2014, respectively, and closed or consolidated 50 and 73 stores in 2015 and 2014, respectively.

The fastener distributor said “our market share gains continue to be strong, but the contraction from our existing customers, plus some price deflation, has eliminated our growth and created contraction.”

Net sales

FY15: $3.87 billion

FY14: $3.73 billion

% change: 3.6%

Q415:$923 million

Q414:$926 million

% change: (-0.4%)

Net earnings

FY15: $516 million

FY14: $494 million

% change: 4.5%

Q415: $112 million

Q414: $118 million

% change: (-5.5%)