KENOSHA, Wis. (Feb. 7, 2014) — Tool maker Snap-on Inc. increased its annual net earnings 14.4 percent to $350.3 million on a 4-percent jump in sales to $3.06 billion for 2013, compared with the previous year.
For the fourth quarter, the company's net earnings climbed 11.7 percent to $94.5 million on a 5.9-percent increase in sales to $797.5 million, compared with the year-ago period.
The Snap-on Tools Group boosted its operating earnings 10.3 percent to $194.6 million on a 6.8-percent jump in sales to 1.36 billion for the year.
The segment's fourth-quarter operating earnings surged 11.8 percent to $51 million on a 9.2 percent increase in sales to $351.1 million, compared with the year-ago period, "reflecting sales gains across both the company's U.S. and international franchise operations," the company said.
"Despite some meaningful external headwinds throughout 2013, our full year sales reached a new milestone, surpassing $3 billion, and our full year operating margin before financial services of 15.1 percent reflects a 120-basis point year-over-year improvement," said Nick Pinchuk, Snap-on chairman and CEO.
"In 2014, we believe we'll make further advances through Snap-on Value Creation, our suite of principles and processes we employ every day around safety, quality, customer connection, innovation and rapid continuous improvement.
"At the same time, to reach more and more professionals performing critical tasks wherever and whenever the costs and penalties for failure can be high, we're continuing to drive forward along our runways for coherent growth: enhancing the franchise network, expanding in the vehicle repair garage, extending to critical industries and building in emerging markets.
Finally, Mr. Pinchuk continued, "our progress in 2013 would not have been possible without the tremendous contributions and efforts of our franchisees and associates worldwide; I thank them all for their significant commitment and extraordinary dedication."
Snap-on said it expects to continue to enhance its mobile tool distribution network, expand in the vehicle repair garage, extend to critical industries and build in emerging markets. The Kenosha-based company said it anticipates that capital expenditures in 2014 will be in a range of $70 million to $80 million.