Sales soar at Beacon
Building products distributor Beacon reported third quarter sales increased nearly 29% to $2.42 billion.
This marks a third quarter company record as Beacon posted sales of $1.86 billion in the third quarter of 2021.
The Herndon, Va.-based company said sales strength was driven by the implementation of price increases and higher demand across all of its business lines.
During the quarter, residential roofing product sales increased 21.5%, non-residential roofing product sales jumped 54.2%, and complementary product sales increased 17% compared to the same period a year ago.
Beacon also reported a net income from continuing operations of $154.8 million for the period, compared to $104.5 million in the third quarter last year.
The company operates more than 470 branches in all 50 states and Canada.
Beacon also announced that it has acquired Jacksonville, Fla.-based Coastal Construction Products from the company’s majority owner Supply Chain Equity Partners.
Coastal is a specialty distributor of waterproofing products with 18 locations in the South and Midwest. Beacon sells waterproofing products throughout its commercial and residential roofing branches as well as 13 specialty waterproofing locations in the West.
Beacon reported that Coastal has an estimated 2022 revenue of $250 million. The financial terms of the acquisition were not disclosed.
In recent weeks, Beacon has also expanded through the opening of multiple greenfield locations, including new branches in Indiana, Minnesota, Kentucky, Texas, and Virginia.
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The Bottom Line: Profits from continuing operations soar by more than 48% to $154.8 million as sales surge in the third quarter.
What the CEO said: “We took an important step this week with the acquisition of Coastal Construction Products, one of the largest independent distributors of specialty waterproofing products in the U.S.,” said Julian Francis, president and CEO of Beacon. “The combination of Beacon’s specialty waterproofing branches in the West, and Coastal’s strong presence in the Southeast, creates a new national player in waterproofing products and significantly enhances our value proposition by providing a building envelope solution to our commercial and multifamily roofing customers.”
Company info: Click here to read the full third quarter 2022 financial report from Beacon.
