Executive Summary
In Q2 2024, Fastenal Company reported a revenue increase of $1.916 billion, marking a year-over-year growth of 1.76% and a quarter-over-quarter growth of 1.11%. Although the gross profit also reflected a modest increase, the operating income and net income saw declines compared to both the previous quarter and the same period last year. The challenges facing the company, particularly in maintaining profitability amid rising costs, were duly noted by management during the earnings call, as indicated by their focused commentary on cost management and strategic pricing initiatives. Despite these hurdles, Fastenal remains well-positioned within the industrial distribution sector, supported by a robust balance sheet and significant cash flow generation capabilities.
Key Performance Indicators
Revenue
1.92B
QoQ: 1.11% | YoY:1.76%
Gross Profit
863.50M
45.06% margin
QoQ: 0.22% | YoY:0.70%
Operating Income
386.90M
QoQ: -0.85% | YoY:-2.03%
Net Income
292.70M
QoQ: -1.68% | YoY:-1.78%
EPS
0.26
QoQ: 0.00% | YoY:0.00%
Revenue Trend
Margin Analysis
Key Insights
- **Revenue**: $1.916 billion (YoY Growth: 1.76%, QoQ Growth: 1.11%)
- **Gross Profit**: $863.5 million (YoY Growth: 0.70%, QoQ Growth: 0.22%)
- **Operating Income**: $386.9 million (YoY Decline: -2.03%, QoQ Decline: -0.85%)
- **Net Income**: $292.7 million (YoY Decline: -1.78%, QoQ Decline: -1.68%)
- **EPS**: $0.260 (Flat YoY and QoQ)