AKRON — Myers Industries Inc.'s automotive aftermarket supply business reported a 16.6% increase in revenue in the first quarter, to $44.6 million, due to increased sales of both supplies and equipment.
The business unit — which consists primarily of Myers Tire Supply and Tuffy Manufacturing — reported adjusted operating income increased 5.3% to $2 million, or 4.5% of sales.
Myers attributed the improvement primarily to the higher sales volume, which was offset partially by an unfavorable sales/mix, an unfavorable price-to-cost relationship and higher incentive-compensation costs.
Overall, Myers Industries' sales for the quarter were up 42.7% to $174.4 million, driven primarily by the addition of $27.1 million in sales from Elkhart Plastics, which Myers acquired in November 2020.
Organic net sales increased 20% due to higher volume/mix and 1% due to favorable pricing and foreign currency exchange.
Myers President and CEO Mike McGaugh said the strong start to 2021, the successful implementation of two price increases and a "seamless onboarding" of Elkhart Plastics "fortifies my optimism on our ability to create value for all of our stakeholders."
Looking forward, Mr. McGaugh cited "healthy demand across our core end-markets" as encouraging signs of a sustainable economic recovery.
Myers' distribution segment is engaged in the distribution of equipment, tools, and supplies used for tire servicing and automotive under-vehicle repair and the manufacture of tire repair and retreading products.
Myers recently hired automotive industry veteran Paul Johnson to lead its distribution segment, succeeding Chris DuPaul, who left Myers after three-plus years of leading the unit, which accounts for about a quarter of Myers' overall sales.
