Pipes, valves and fittings distributor MRC Global Inc. (NYSE: MRC), Houston, reported 2020 sales of $2.6 billion, a 30.1% decrease from 2019. The company reported a loss of $298 million, compared to a profit of $15 million last year.
The company reported fourth-quarter sales of $579 million, down 24.4% from the same period a year ago. The company reported a loss of $11 million, compared to a loss of $30 million last year.
In the period, U.S. sales were down 26% year-over-year to $448 million, Canadian sales were down 47% to $23 million and international sales were down 6% to $108 million.
MRC Global CEO Andrew Lane also said the company reduced SG&A by $113 million, closed or consolidated 27 facilities “to streamline our footprint and operate more efficiently, pushing more of the sales into the RDCs from the branches, reevaluating inventory needs and reducing transportation between facilities,” and also reduced MRC’s headcount by about 600 employees, or 19%, in 2020. “These operating cost reductions are largely structural and position the company well for the market recovery to enhance margins and returns,” he added.
Photo courtesy GKW Architects Inc.