Retailer and distributor of hardware, renovation and gardening products RONA Inc., Boucherville, Quebec, reported sales increased 5.1% to $4.8 billion in 2007, and profit was down 2.9% to $185.1 million. Growth was from acquisitions and store openings. Organic growth, excluding acquisitions but including stores opened in the past 12 months, was 3%.
In light of the increasing downward pressure on sales throughout the retail industry and a decrease in single-family housing starts last year," said President and CEO Robert Dutton, "RONA did not achieve its objective of $7 billion in annualized retail sales in 2007, as outlined in the 7-07 program."
In 2007, the company completed six major acquisitions and opened 18 new stores, including six in Western Canada and seven in Ontario. "We also surpassed our sales objectives for RONA private-brand products and introduced a number of innovative, value-added services, including the Project Guide," Dutton said.