Armstrong Net Sales Up 1.8% in Q4, Fiscal Year Sales Down 6.6%
Lancaster, PA, February 17, 2021-Armstrong Flooring reported net sales of $143.9 million for Q4 2020, a 1.8% increase over Q4 2019’s $141.3 million.
Net loss for Q4 2020 was $32.4 million, compared to a net loss of $25.1 million in the prior year quarter.
“The increase in net sales was due to higher volumes and a favorable mix of residential products which offset commercial project delays. Residential end market sales grew, mostly driven by volumes gains. Pricing actions from the second half of 2020 will have a positive impact into the first half of 2021. The Company continues to see strength in its residential sales, particularly in remodel. Commercial end market sales slipped as projects continued to be slowed by COVID-19.”
For fiscal year 2020, Armstrong reported net sales of $584.8, a 6.6% decline compared to fiscal year 2019’s $626.3 million.
Net loss for fiscal year 2020 was $63.6 million, compared to a net loss of $58.5 million in the prior year.
Michel Vermette, president and chief executive officer, commented, “Our progress was evident in our fourth quarter results, which were largely in line with our expectations as we further invested in the multi-pronged transformation and modernization of our business.
“Looking forward to 2021, macro trends further support Armstrong Flooring’s internal efforts. Residential housing construction remains positive for Armstrong Flooring, with this end market continuing to grow in importance, representing 40% of 2020 sales compared to 35% historically. Economic indicators for single-family residential construction and renovation are all pointing towards robust levels of activity to continue in 2021. We believe these residential tailwinds will support Armstrong Flooring’s strong brand, the timing of our direct sales efforts to select independent retailers, growing presence in big box retailers, and meaningfully enhanced sales efforts with our valued flooring distribution network. Commercial activity continues to gain momentum with sequential improvement in demand trending in the right direction since mid-year 2020. These factors combined with the significant steps that we are taking to structurally transform our business give us the confidence in our transformation plans.”
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