Hot 2018 for A.O. Smith
A.O. Smith, the manufacturer of residential and commercial water heating equipment and boilers, posted fourth quarter 2018 net sales of $812.5 million, a 3.3% increase from sales of $786.6 million in the fourth quarter 2017.
For the full year, the Milwaukee, Wis.-based company reported record net sales of $3.2 billion, up more than 6% from sales of $3 billion in 2017. A.O. Smith attributed the rise to solid demand for boilers and residential water heaters in the United States and water treatment products in China. Global water treatment sales were approximately $400 million in 2018, the company said.
Net earnings for the fourth quarter 2018 soared to $126.3 million from $22.7 million during the same period a year ago.
Net earnings for 2018 jumped 50% to a company record of $444.2 million from 2017 net earnings of $296.5 million.
“2018 marked another year of growth for A. O. Smith. We saw strong water heater and boiler sales in North America, and we're pleased with the trajectory that we're on with global water treatment," said Kevin Wheeler, president and CEO of A.O. Smith. "In 7 years we have been able to grow our global water treatment sales from approximately $35 million to $400 million."
In North America, fourth quarter 2018 sales were up 13% to $521.9 million while sales for the year increased 7% to $2 billion.
"North America boilers and residential water heaters performed well in 2018, and we expect this trend will continue in 2019. We believe our business model in China is solid, although we have some near-term challenges to navigate through as the China economy remains weak," said Wheeler.
For the full year, the Milwaukee, Wis.-based company reported record net sales of $3.2 billion, up more than 6% from sales of $3 billion in 2017. A.O. Smith attributed the rise to solid demand for boilers and residential water heaters in the United States and water treatment products in China. Global water treatment sales were approximately $400 million in 2018, the company said.
Net earnings for the fourth quarter 2018 soared to $126.3 million from $22.7 million during the same period a year ago.
Net earnings for 2018 jumped 50% to a company record of $444.2 million from 2017 net earnings of $296.5 million.
“2018 marked another year of growth for A. O. Smith. We saw strong water heater and boiler sales in North America, and we're pleased with the trajectory that we're on with global water treatment," said Kevin Wheeler, president and CEO of A.O. Smith. "In 7 years we have been able to grow our global water treatment sales from approximately $35 million to $400 million."
In North America, fourth quarter 2018 sales were up 13% to $521.9 million while sales for the year increased 7% to $2 billion.
"North America boilers and residential water heaters performed well in 2018, and we expect this trend will continue in 2019. We believe our business model in China is solid, although we have some near-term challenges to navigate through as the China economy remains weak," said Wheeler.