Snap-on Incorporated reported its financial results for the third quarter and the first nine months of fiscal 2024, highlighting a mixed performance in revenue and profitability compared to the same periods in 2023. For the three months ended September 28, 2024, net sales totaled $1,147.0 million, a decrease of $12.3 million (1.1%) from $1,159.3 million in the prior year. For the nine months, net sales were $3,508.7 million, down $24.9 million (0.7%) from $3,533.6 million.
Despite the decline in sales, Snap-on achieved a gross profit of $587.8 million for the third quarter, up from $578.2 million in 2023, reflecting a gross margin improvement of 130 basis points. Operating earnings before financial services for the third quarter increased to $252.4 million, compared to $245.2 million in the same period last year, while operating earnings rose to $324.1 million from $314.6 million. Net earnings for the third quarter were $257.5 million, an increase from $249.1 million in 2023.
For the nine-month period, gross profit was $1,781.8 million, slightly up from $1,771.5 million, with operating earnings reaching $1,013.8 million, compared to $984.6 million in the previous year. Net earnings for the nine months were $804.7 million, up from $773.3 million.
The company’s financial services segment also showed growth, with revenue for the third quarter increasing to $100.4 million from $94.9 million, and operating earnings rising to $71.7 million from $69.4 million. For the nine months, financial services revenue was $300.5 million, up from $280.9 million.
In terms of strategic developments, Snap-on made two acquisitions in late 2023: SAVTEQ, Inc. for $3.0 million and Mountz, Inc. for $39.6 million, which are expected to enhance its operational capabilities. The company also reported a significant increase in cash and cash equivalents, which rose to $1,313.3 million as of September 28, 2024, compared to $1,001.5 million at the end of 2023.
On the balance sheet, total assets increased to $7,953.3 million from $7,544.9 million, while total shareholders’ equity rose to $5,497.7 million from $5,093.4 million. The company declared dividends of $1.86 per share for the third quarter, up from $1.62 in the same period last year, reflecting a commitment to returning value to shareholders.
Overall, Snap-on's results indicate a resilient performance in profitability despite a slight decline in sales, supported by strategic acquisitions and effective cost management.
About Snap-on Inc
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