American Tire Distributors Inc. (ATD) posted pre-tax income of $27.2 million on consolidated net sales from continuing operations of $1.1 billion for the fiscal year ended Dec. 27, 2003. That compares to income of $62.7 million on sales of $1 billion in 2002.
Excluding the fiscal 2002 gain on the repurchase of Series D Senior Notes, fiscal 2003 pre-tax income increased $14.2 million from fiscal 2002. Consolidated sales were up 4.9%.
"Our 2003 results indicate that our single-minded and strategic focus on being a distributor, and not a retail operator, is the right direction for the company," says Dick Johnson, chairman and CEO.
"Each and every day, we strive to grow our dealers’ businesses. We do not compete with our dealers; therefore, we recognize that their sales growth drives our sales growth."
Selling, general and administrative (SGA) expenses increased $2.2 million to $168.7 million in fiscal 2003. The company says increased costs associated with the group health plan, higher freight costs and other net increases were responsible for the 1.3% increase.
As a percentage of sales, SGA expenses decreased from 15.7% to 15.2%.
EBITDA (earnings before interest, taxes, depreciation and amortization) from continuing operations totaled $48.2 million, an increase of 20% from fiscal 2002.
