Lawson Products, Inc (LAWS) saw its loss widen to $4.64 million, or $0.53 a share for the quarter ended Dec. 31, 2016. In the previous year period, the company reported a loss of $3.69 million, or $0.42 a share. Revenue during the quarter grew 3.62 percent to $67.32 million from $64.96 million in the previous year period. Gross margin for the quarter contracted 1 basis points over the previous year period to 60.17 percent. Operating margin for the quarter stood at negative 7.49 percent as compared to a negative 4.60 percent for the previous year period.
Operating loss for the quarter was $5.04 million, compared with an operating loss of $2.98 million in the previous year period.
However, the adjusted operating profit for the quarter stood at $0.42 million compared to operating loss of $0.08 million in prior year period.
"Our business improved as 2016 came to a close. Fourth quarter average daily sales increased 5.4% from a year ago and also grew over the immediately preceding quarter. We are seeing evidence in our sales results that we are beginning to grow our way out of the previous downward cycle of the MRO marketplace. It appears the economic headwinds we have faced have begun to subside," said Michael DeCata, president and chief executive officer.
Working capital decreases marginally
Lawson Products, Inc has witnessed a decline in the working capital over the last year. It stood at $48.33 million as at Dec. 31, 2016, down 3.75 percent or $1.88 million from $50.22 million on Dec. 31, 2015. Current ratio was at 2.23 as on Dec. 31, 2016, down from 2.38 on Dec. 31, 2015.
Debt comes down
Lawson Products, Inc has recorded a decline in total debt over the last one year. It stood at $8.38 million as on Dec. 31, 2016, down 11.41 percent or $1.08 million from $9.46 million on Dec. 31, 2015. Total debt was 6.20 percent of total assets as on Dec. 31, 2016, compared with 7.11 percent on Dec. 31, 2015. Debt to equity ratio was at 0.14 as on Dec. 31, 2016, down from 0.15 as on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
