Grand Rapids, MI, February 1--Universal Forest Products Inc. reported that its fourth-quarter profit rose 38 percent, helped by higher lumber and chemical prices, and the company expects results to improve in 2005.
The maker of housing lumber products said its quarterly income grew to $8.7 million, or 46 cents per share, from $6.3 million, or 34 cents per share, a year ago. The company said the results included a gain from an insurance settlement and related taxes.
Sales rose 18 percent to $535.8 million from $454.5 million last year. Universal Forest estimated that higher lumber and chemical prices contributed 6 percent to fourth-quarter sales growth.
For the full year, the company posted net income of $48.6 million, or $2.59 per share, up from $40.1 million, or $2.18 per share, last year. Sales rose 29 percent to $2.45 billion from $1.9 billion.
Universal Forest estimated lumber and chemical prices contributed 18 percent to revenue growth.
The company forecast 2005 earnings growth of 10 percent to 15 percent over 2004 with sales up 7 percent to 12 percent, excluding an insurance settlement gain and related taxes.
