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2012 diluted EPS of $1.71; adjusted diluted EPS up 23% to a record $1.85
2013 diluted EPS guidance of $2.13 to $2.23
COVINGTON, La., Feb. 14, 2013 (GLOBE NEWSWIRE) -- Pool Corporation (Nasdaq:POOL) today announced fourth quarter and full year 2012 results.
"Solid performance in 2012 produced record results, surpassing our objectives. We turned challenges into opportunities, and opportunities into success. Our market share gains reflect our continued efforts to provide added value to our customers by helping them succeed utilizing our tools, programs and resources for their businesses and markets. At 23% adjusted EPS growth for 2012, this is our third consecutive year of greater than 20% EPS growth," commented Manuel Perez de la Mesa, President and CEO.
Net sales for the year ended December 31, 2012 increased 9% to a record high of $1.95 billion, compared to $1.79 billion in 2011. Base business sales increased 7%, including 7% growth on the swimming pool side of the business and 10% growth on the irrigation side. Base business sales growth was driven by market share gains, continued improvement in consumer discretionary expenditures and some price inflation, partially offset by unfavorable currency fluctuations of approximately 1%.
Gross profit for the year ended December 31, 2012 increased 7% to $567.4 million from $531.6 million in 2011. Gross profit as a percentage of net sales (gross margin) decreased 60 basis points to 29.0% for 2012. This decrease reflects product and customer mix changes and continued competitive pricing pressures. Gross margin in 2012 was also comparatively lower than 2011 gross margin due to the benefits realized in 2011 from opportunistic inventory purchases.
Selling and administrative expenses (operating expenses) for 2012 increased 3% to $415.6 million from $405.0 million in 2011. Base business operating expenses were essentially flat year over year, as decreases in employee incentive costs, lower bad debt expense and the impact of currency fluctuations were offset by higher professional fees and increases in wages and employee insurance.