Fortune Brands Home & Security, Inc. (NYSE: FBHS), an industry-leading home and security products company, today announced 2012 fourth quarter and full-year results.
Fourth quarter 2012
For the fourth quarter of 2012, net sales were $948 million, an increase of 8 percent over the fourth quarter of 2011. Diluted earnings per share were $0.11, compared to a loss of $0.46 in the prior year. Diluted EPS before charges/gains was $0.23, a 35 percent increase over the prior year.
Operating income was $7.5 million, compared to a loss of $109.4 million in the prior year. Operating income before charges/gains was $61.2 million, up 39 percent over the prior year.“We grew both sales and profit slightly more than expected this quarter,” said Chris Klein, chief executive officer, Fortune Brands Home & Security. “And we again outperformed our market, which was driven by double-digit growth in new housing construction and moderate growth for home repairs and remodeling, despite a continued lag in purchases of large ticket items, such as cabinets and windows.” For each segment in the fourth quarter 2012, compared to the prior-year quarter:
- Kitchen & Bath Cabinetry net sales were up 12 percent, with operating income before charges/gains of $12.3 million vs. a loss of $3.1 million. Growth and share gains were driven by product line expansion and overall market improvement, particularly in new construction, with increases in all channels.
- Plumbing & Accessories net sales were up 15 percent, with increases in all channels. Strong gains continued in U.S. wholesale from new construction and international markets, especially China. New product introductions drove retail channel increases.
- Advanced Material Windows & Door Systems net sales were up 1 percent, with Door sales increasing 5 percent and Windows declining 2 percent.
- Security & Storage net sales were down 4 percent. Excluding the impact of a 53 rd week in 2011, segment sales were flat, with Security sales increasing 4 percent and Storage sales declining 5 percent.