LESCO, Inc. has seen a net sales increase of 3.6 percent over last year's second quarter figure of $166.5 million.
The green industry company's lawn care sales for the quarter boasted a significant increase, up 5.7 percent to $131.6 million from the comparable period of 2002 ($124.5 million). During the second quarter, LESCO opened six new service centers, bringing total 2003 service center openings to 19, and closed one center in Corpus Christi, Texas. The company ended the quarter with 245 service centers in operation and plans to open two additional stores in the remaing months of 2003. LESCO has no current plans to close any centers.
"Seventy-five percent of our business is in the lawn care industry, which is organically growing at 5 percent annually, and we are participating in that growth and capturing additional market share as demonstrated by our 5.7- percent Lawn Care sales growth," acknowledged Michael DiMino, president and chief executive officer. "The remaining 25 percent of our business is in the golf industry, which is having a tough year, particularly in the Northeast. That being said, we will continue to invest capital in the lawn care segment through new service center openings while monitoring golf and making the necessary adjustments to enhance profitability at current sales levels."
Gross profit increased for the quarter to $57.9 million from $47.4 million in 2002. Second quarter 2002 gross profit, excluding an inventory markdown of $9.6 million, was $57 million.