Sales increase while earnings decline for Brady Corp.

Special to The Freeman

Nov. 20, 2014

MILWAUKEE — Sales increased almost 1 percent for Brady Corporation in the first quarter of 2015 while its earnings declined $2.6 million, which the company contributed partly to ongoing costs related to consolidation of its manufacturing facilities.

According to the Thursday report, sales for the quarter ended Oct. 31, 2014 increased 0.9 percent to $310.2 million compared to the first quarter of fiscal 2014. Total organic sales increased 2.4 percent and foreign currency translation decreased sales by 1.5 percent. Earnings from continuing operations for the first quarter were $15.5 million compared to $18.1 million in the same quarter last year.

“We were encouraged by our revenue growth in the first quarter, which marks the third consecutive quarter of organic sales growth,” said Brady President and Chief Executive Officer J. Michael Nauman in a statement. “Although we had organic sales growth, we continued to incur costs related to the consolidation of our manufacturing facilities and have been experiencing challenges in terms of sales mix. We have scaled back our facility consolidation efforts and our remaining facility consolidation activities will be executed in a manner that will allow us to maintain the highest service levels and least disruptions to our customers while still achieving efficiency gains over the long run.”