Fastenal's Fastener Business Continued To Be Weak With Lower Profits

Fastenal announced that its core fastener business continued to be weak, with third-quarter profit falling, below forecasts. The Minnesota-based distributor of bolts, nuts, hand tools, and industrial goods was hit by a slow-growing construction industry and uncertain economic conditions. The company said its fastener sales were still relatively weak due to a weak economy in its heavy and construction markets.

According to the company, turnover has grown as unit sales have increased (mainly from sales of existing stores). Third-quarter profit was $ 126.9 million, down from $ 136.5 million the previous year. Sales increased 1.8% to $ 1.01 billion.