Ace Hardware Corp. posted third-quarter net income of $99 million versus $130 million from the year-earlier period.
The decrease was due entirely to higher planned expenses as the company continues to make strategic investments in its supply chain infrastructure and digital marketing to support future growth, Ace noted.
Ace revenues were $2.35 billion up 2.8% from the third quarter of 2023.
The approximately 3,700 Ace retailers who share daily retail sales data reported a combined 2.2% comparable sales decrease in the United States, the company stated, the result of a 2.2% decline in transactions, partially offset by a 0.1% increase in average ticket.
Total Ace wholesale revenues were $2.15 billion, up 2.7% year over year with grilling, power tools and outdoor power equipment showing the largest gains. Total retail revenues was $203.4 million, an increase 4.4% year over year. The cooperative’s worldwide owned and affiliated store count was 5,973 at third quarter’s end. The total domestic store count was 5,093 at the end of the period, an increase of 150 stores from the 2023 third quarter.
“In this challenging environment, it’s encouraging for me to report growth in new stores, growth in our digital business and overall growth to $2.4 billion for the quarter,” said John Venhuizen, Ace president and CEO. “I’m never particularly pleased to report a decline in net income, but it was almost exactly on plan and nearly $100 million for the three-month period.”
