Patrick Industries (NASDAQ:PATK)

Third Quarter 2012 Results

• Net sales for the third quarter of 2012 increased $35.5 million or 45.9%, to $112.9 million from $77.4 million in the same quarter of 2011.
• The Company reported net income in the third quarter of 2012 of $6.6 million or $0.60 per diluted share, compared to net income of $4.5 million or $0.44 per diluted share in the third quarter of 2011. Third quarter 2012 net income was positively impacted by a net gain on the sale of fixed assets and on the acquisition of a business of $0.2 million or $0.02 per diluted share and a non-cash credit of $0.1 million or $0.01 per diluted share related to mark-to-market accounting for common stock warrants. Third quarter 2011 net income included a non-cash credit of $0.1 million or $0.01 per diluted share related to stock warrant accounting.

"We are pleased by our third quarter revenue and profitability growth as we continue to increase our market share in the primary markets we serve through new product introductions, line extensions, and the realization of our strategic and operational initiatives that are an integral part of our 'Customer First' culture and mission," said Todd Cleveland, President and Chief Executive Officer. "In addition, we believe the newest members to our Patrick family, Gustafson Lighting and Creative Wood Designs, and the other acquisitions we have completed since August 2010 will continue to provide positive contributions to our operating profitability and allow us to gain additional penetration in the RV and industrial market sectors."

Second Quarter 2012 Results

• Net sales for the second quarter of 2012 increased $33.0 million or 39.9%, to $115.6 million from $82.6 million in the same quarter of 2011.
  
• The Company reported net income in the second quarter of 2012 of $13.3 million or $1.22 per diluted share, compared to net income of $3.7 million or $0.36 per diluted share in the second quarter of 2011. Second quarter 2012 net income was positively impacted by a non-cash credit of $6.7 million or $0.61 per diluted share related to the reversal of the deferred tax valuation allowance discussed below, which was partially offset by a non-cash charge of $0.1 million or $0.01 per diluted share related to mark-to-market accounting for common stock warrants.
  

First Quarter 2012 Results

• Net sales for the first quarter of 2012 were $102.7 million compared to $69.5 million in the same quarter of 2011, an increase of $33.2 million or 47.8%
• Patrick reported net income in the first quarter of 2012 of $5.0 million or $0.47 per diluted share, an increase of $6.2 million or $0.60 per diluted share, over the net loss of $1.2 million or $0.13 per diluted share in the first quarter of 2011. First quarter 2012 net income included a non-cash charge of $1.7 million or $0.16 per diluted share related to mark-to-market accounting for common stock warrants.

"We are pleased and energized by our improved first quarter revenue growth and profitability as we are realizing many of the benefits of strategic and operational initiatives executed over the past three years as well as the sacrifices, commitment, and dedication of our team members," said Todd Cleveland, President and Chief Executive Officer. "Our acquisition initiatives have contributed to our overall profitability and we believe the addition of key team members to the Patrick organization will continue to provide ongoing benefits as we continually focus on bringing value-added innovative products and services to our customers."

"As 2012 progresses, we anticipate the investments we made in our businesses in 2011, and the investments we plan to make during the year, will positively impact both our top and bottom line results. While we continue to face risks relating to the overall state of the economy and consumer confidence levels that could negatively impact our operating results, we believe that, with our leverage position at its lowest level since 1999 (as measured by our debt-to-EBITDA ratio), our strengthened balance sheet will aid us in withstanding any challenges that may arise. Our main focus in 2012 will be to execute on our organizational strategic agenda, which includes increasing market share and profitability by exploring targeted strategic acquisitions, driving deliverables in our 'Customer First' performance-oriented culture, and combining the value of high quality products with exceptional service to consistently meet and exceed the expectations of our customers. Additionally, we will continue to focus on leveraging our operating platform, balancing appropriate risks and opportunities, and maximizing efficiencies to support our long-term strategic growth goals," stated Mr. Cleveland.