Core & Main’s sales jumped 32.9% in 2022, the St. Louis-based waterworks and industrial supplies distributor announced March 28 when reporting its 2022 fourth-quarter and full-year financial results.
For its fiscal fourth quarter ended Jan. 29, 2023, Core & Main posted net sales of $1.37 billion, a 10.3% increase year-over-year. Gross profit margin increased 90 basis points to 27.1% while net income grew 6.3% to $84 million. Core & Main’s net cash from operating activities increased $272 million to $307 million.
4Q’s growth was down sequentially from a 3Q in which sales increased 29.4% year-over-year, but was still a strong finish to a record-setting year for Core & Main. For the full year 2022, the distributor achieved record net sales of $6.7 billion, up 32.9% from 2021. Gross profit margin increased 140 basis points to 27% and net income soared 158.2% to $581 million. Net cash from operating activities increased $432 million to $401 million.
In addition, Core & Main closed eight acquisitions during and subsequent to the year and opened three new locations in fiscal 2022, according to the report.
“Fiscal 2022 was an impressive year for Core & Main,” Core & Main CEO Steve LeClair said in the report. “Our ability to grow the business over the last several years is a testament to the investments we have made, our ability to execute with agility and our associates’ relentless focus on our customers. Our teams executed at a high level to deliver these record results while improving our operating capabilities and solidifying our platform for growth in the years to come. Our acquisitions are a key source of new talent and expertise, and they continue to enhance our competitive position as we grow.
“I would like to thank all of our associates, as well as our supplier partners, for their hard work and dedication to serving our customers and communities. Our fiscal 2022 performance builds on the journey we’ve taken to transform our business and create a stronger platform for long-term growth. Looking forward, we expect to continue generating strong cash flow and our capital allocation strategy remains focused on investing in both organic and inorganic growth opportunities, while returning capital to shareholders. We have significant financial flexibility and liquidity, a proven growth strategy and the platform to capitalize on secular growth trends to deliver value to our stakeholders over the long term.”
Core & Main ranked as the No. 1 Industrial PVF Distributor and No. 10 Industrial Distributor on MDM’s Top Distributors list in 2022.