Fresh off appointing a new CEO earlier in February, industrial and MRO parts distributor Global Industrial Supply Company reported its 2024 fourth quarter and full-year financial results on Feb. 25, showing a full-year sales increase driven by the acquisition of Indoff in 2023.

4Q Results

Port Washington, NY-based Global Industrial posted 4Q24 sales of $302.3 million, down 5.6% year-over-year. Sequentially, it was a further deceleration from figure from 3Q’s 3.4% decline.

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The company’s 4Q24 gross margin of 33.8% remained unchanged year-over-year but was down from 3Q’s 34%. Net profit of $102.3 million declined from $108.2 million a year prior and likewise decreased from 3Q’s $116.3 million.

Global industrial’s 4Q24 operating profit of $14.5 million on margin of 4.8% fell from $21.4 million on margin of 6.7% of the year prior and $22.2 million/6.5% in 3Q.

2024 Results

For its full-year, Global Industrial posted sales of $1.32 billion, up 3.3% year-over-year. Excluding Indoff — acquired on May 19, 2023 — sales declined 0.6% compared to the same period a year prior and 0.5% on an average daily sales basis.

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The company said its increase in sales was driven predominantly by the acquisition of Indoff.

“We delivered top line growth in the first half of 2024, but results softened as we moved through the year with continued weakness in our core small and medium-sized businesses customer base,” Global Industrial Executive Chairman Richard Leeds said in the company’s financial release. “We remain very pleased with our gross margin performance and had good cash flow generation during the year, ending 2024 with more than $44 million in cash.”

The company’s full-year gross margin of 34.3% increased 10 basis points. Excluding Indoff, gross margin of 36.0% improved 50 bps year-over-year. Net profit of $452.0 million increased from 2023’s $435.8 million.

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Global Industrial’s full-year operating profit of $80.5 million decreased 16.6% from 2023’s $96.5 million. Excluding Indoff, operating profit of $73.9 million decreased 18.6% year-over-year. Likewise, operating margin of 6.1% decreased by 150 bps year-over-year.

New CEO

In other recent news, Global Industrial announced the appointment of Anesa Chaibi as its new CEO. Effective Feb. 17, Chaibi will take over the post from Richard Leeds, who stepped into the role on an interim basis in August 2024 when Barry Litwin left the company to pursue another opportunity after a seven-year run as the company’s top executive.

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Global Industrial was ranked No. 26 on MDM’s 2024 Top Industrial Supplies Distributors List.