Lawson Products Inc. (NASDAQ:LAWS), Chicago, IL, reported sales for the second quarter of $68.3 million, an increase of 1.6 percent compared to the same period a year ago. Profit was $400,000, compared to a year-ago loss of $61.2 million.
Lawson completed the transition of its customer-facing operations previously performed at its Addison, IL, distribution center to its new McCook, IL, facility. The company believes it will achieve future benefits from its McCook facility through increased operating efficiencies and enhanced customer service as a result of reductions in order delivery times and increased order fulfillment rates.
In June, Lawson agreed to sell its Automatic Screw Machine Products Co. subsidiary for $12.5 million. The transaction is expected to close by the end of the third quarter.
For the first six months, sales were $135.5 million for Lawson, a 4 percent decrease compared to the same period a year ago. Lawson reported a loss of $2.8 million for the first half, compared to a year-ago loss of $63 million.
Lawson began the year with 757 sales representatives, and had reported at the end of the first quarter that an 11 percent year-over-year decline in average number of reps was the main driver of a decrease in sales, which were down 5 percent from the first quarter of 2012. Lawson ended the second quarter with 773 sales representatives, up 1.7 percent from the end of the first quarter but still 5 percent below the prior-year period.
