DEERFIELD, IL - Sales at MasterBrand and other cabinetry operations of Fortune Brand Home and Security reached $452.6 million during the third quarter, up 1 percent.
But FBHS says its core cabinet sales actually rose about 10 percent, when the impact of both exiting the builder direct business in the West and comparison to a large bath vanity product launch in the third quarter of 2013 are excluded. Cabinets experienced mid-teens growth in MasterBrand Cabinets dealer channel and high-single digits gains in retail sales, FBHS says.
"Our teams delivered solid growth in the third quarter despite the comparison to the prior year quarter where sales increased 24 percent and a market that is currently running at the low end of our planning assumption," said Chris Klein, CEO. "We are strengthening our portfolio and have invested in capacity to deliver higher growth in 2015 and beyond."
Overall, Fortune Brands Home and Security third quarter sales were $1.1 billion, an increase of 5 percent over the third quarter of 2013. FBHS exited its Simonton Window last quarter, selling the operation to PlyGem Holdings for $132 million.
Sales overall reached $1.1 billion, a 5 percent increase for the company, which also produces Moen plumbing, ThermaTru Doors, and Masterlock security systems.
FBHS says its 2014 annual outlook is based on a slower U.S. home products market growth, with an assumption of 4 to 5 percent for the fourth quarter.
"Although we are seeing growth in both new construction and consumer spending on remodel projects, that growth is at the low end of our last estimates," said Klein.
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