Graybar Continues Trend of Double-Digit Growth Through Third Quarter of 2006
Organic growth is fueled by increases in electrical and telecom markets and enhanced ERP capabilities that provide greater business visibility
ST. LOUIS, December 21, 2006 -- Graybar, one of the nation's leading distributors of electrical and communications products and related supply chain management and logistics services, reported $3.78 billion in sales through the first three quarters of 2006, an increase of 18.9 percent over the same period last year. The company also posted a 70.1 percent increase in operating income over the first three quarters of 2005.
"Our strategy is one of organic growth focused on our core business," said Robert A. Reynolds Jr., chairman, president and chief executive officer of Graybar. "Although favorable economic conditions are contributing to our growth, it is our ability to anticipate and respond to customers' needs that ultimately drives our business. Our ERP system provides real-time access to valuable business data, which helps us increase our productivity and improve our ability to react to market conditions. Graybar's leading-edge information technology and logistics capabilities are continuing to raise the bar on performance and value for our customers."
According to Reynolds, it is the company's ability to leverage its infrastructure combined with the dedication of its employee-owners that is producing solid bottom-line results. Graybar's net income of $46.7 million for the first three quarters is more than triple last year's performance for the same period.
This year, the company opened several new locations and expanded its security product line, adding value for current customers and providing solutions for new customers, such as security dealers and installers. Graybar also secured five contract renewals with the Department of Defense valued at more than $220 million.
Graybar looks forward to continued business growth by meeting customers' needs with its extensive product and service solutions, national capabilities and advanced technology.
About Graybar
Graybar, a Fortune 500 corporation and one of the largest employee-owned companies in North America, is a leader in the distribution of high quality electrical, telecommunications and networking products, and specializes in related supply chain management and logistics services. Through its network of more than 250 North American distribution facilities, it stocks and sells products from thousands of manufacturers, serving as the vital link to hundreds of thousands of customers. For more information, visit graybar.com/ or call 1-800-GRAYBAR.
