Global Fastener News

Fastener Sales & Profit Soar at B/E Aerospace

Jason Sandefur

With fastener demand at “record levels,” B/E Aerospace reported revenue at its distribution segment, primarily fasteners, soared 80.4% to $96.9 million during the first quarter of 2007. The company said the increased reflected “a significant expansion in products offered, a broad-based increase in aftermarket demand for aerospace fasteners, a channel shift from OEM’s to subcontractors which tend to acquire fasteners from distributors, and continued market share gains.” Organic growth revenue from distribution increased 43%.
Distribution segment operating earnings rose 67% to $19.7 million during Q1 despite being hampered by New York Fastener’s temporarily lower margins, and integration costs and expenses. B/E Aerospace bought NYF in September 2006 for $66.5 million.
“The distribution segment operating margin is expected to improve in 2008 and beyond as these acquisition integration activities are completed,” the company noted.
Overall first quarter revenue jumped 57% to a record $387.8 million, which included organic revenue growth of 44.5%. Net earnings soared 133% to $32.1 million. Web: beaerospace.com �2007 FastenerNews.com