ELKHART, IN -- Patrick Industries (NASDAQ: PATK), reported net sales for the fourth quarter of 2014 increased $43 million, a 29% rise, to $189 million for the wood components manufacturer for the recreational vehicle and manufactured housing markets.
Patrick's sales to the RV industry, which is seeing a resurgence due to economic recovery and low gas prices, represented almost three quarters of its fourth quarter 2014 sales, increased 36% - outpacing the industry's overall growth rate of 18%.
Revenue from the manufactured housing industry, 16% of Patrick's fourth quarter 2014 sales, rose 24%, also outpacing that segments overall growth rate of 8%.
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Patrick says 13% its total revenue increase was from organize growth; the remainder . The remaining $23.3 million of the revenue increase in the fourth quarter of 2014 reflects the contribution of the four acquisitions completed in 2014: Charleston Corp. in November 2014; Precision Painting, Inc., Carrera Custom Painting, Inc., Millennium Paint, Inc., and TDM Transport, Inc. in June 2014; Foremost Fabricators, LLC in June 2014; and PolyDyn3 LLC in September 2014. In addition, Patrick acquired the business and certain assets of Better Way Partners, LLC earlier this month.
For the year Patrick Industries revenues 23.7% to $735.7 million. Unit shipments to the RV industry rose 11%, and sales increased by 27%. It's housing market sales, which Patrick estimates at 56% of its industrial market sales, are tied to the residential housing sector generally lag new housing starts by approximately six to nine months.
Todd Cleveland, CEO, said, "We believe that the businesses we acquired in 2013 and 2014, as well as our most recent acquisition of Better Way, are well positioned to expand." Better Way Products, a fiberglass components manufacturer, was acquired earlier in February. Patrick Industries is now one the the largest U.S. wood products firms, with 3,200 employees.
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