MSC Industrial Direct reports improved 3Q sales, net income
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MSC Industrial Direct Co., one of Long Island's largest publicly traded companies, said Wednesday that its fiscal third-quarter sales and net income rose because of increased demand for its products.
The Melville-based distributor of tools and supplies to industrial customers said sales rose 13.1 percent from a year ago to $720.5 million in the quarter that ended May 31. Despite the gain, revenue fell short of the $726.5 million analysts were expecting.
MSC itself had estimated sales of between $720 million and $732 million.
Shares of MSC slid $4.39, or 4.70 percent, to close at $88.99 in New York Stock Exchange trading Wednesday.
The company's net income in the latest quarter rose to $64.7 million, up 3.8 percent from the year-earlier period. Per-share income rose to $1.03 cents from 98 cents a year ago.
"Our strategic growth programs continued to drive share gains . . . against the backdrop of continued improvement in overall market conditions," said Erik Gershwind, president and chief executive.
He said that increased demand from customers has produced "moderate growth" and that MSC is focusing on initiatives to increase revenue "as the demand environment continues to firm."
MSC predicted fourth-quarter sales of between $718 million and $730 million.