Fastenal Company (NASDAQ:FAST) stock took a hit on Wednesday following the release of its earnings report for the first quarter of 2018.
Fastenal Company reported earnings per share of 61 cents for the first quarter of 2018. This is an increase over its earnings per share of 46 cents from the same time last year. It also matches Wall Street’s earnings per share estimate of 61 cents for the quarter.
Net income reported by Fastenal Company for the first quarter of the year was $174.30 million. This is up from its net income of $134.20 million that was reported by the company in the first quarter of 2017.
Fastenal Company also reported operating income of $234.50 million during the first quarter of 2018. The fasteners manufacturer reported operating income of $212.50 million in the same period of the year prior.
Revenue reported by Fastenal Company for the first quarter of the year was $1.19 billion. This is better than the company’s revenue of $1.05 billion from the same quarter of the previous year. It also comes in just above analysts’ revenue estimate of $1.18 billion for the first quarter of 2018.
Fastenal Company notes that it saw its gross profit, as a percentage of net sales, drop from 49.4% to 48.7% during the first quarter of 2018. It also points out that operating income, as a percentage of net sales, was down from 20.3% to 19.8% for the quarter.
Fastenal Company also says that its employee-related expenses were up 14.4% during the first quarter of the year. Employee-related expenses make up between 65% to 70% of the company’s total operating and administrative expenses.
FAST stock was down 6% as of Wednesday afternoon.
As of this writing, William White did not hold a position in any of the aforementioned securities.