Builders FirstSource, the Dallas-based dealer, reported fourth quarter 2008 net sales of $201.3 million, down 30.6% from fourth quarter 2007 net sales of $290.2 million. In a statement released this evening by the company, Builders FirstSource said its sales volume dropped an estimated 27.9% compared to an estimated 45.6% decline in housing activity in the markets it operates in.
Sales for the full year were $1.034.5 billion compared to $1.530.5 billion, a decline of $496.0 million or 32.4 percent. Sales volume dropped an estimated 30.4 percent compared to an estimated 42.5 percent decline in housing activity in our markets, the company said.
Builders FirstSource also reported a net loss of $58.9 million for the quarter, compared to a net loss $20.4 million in the fourth quarter 2007. For the year, the company recorded a net loss of $139.5 million, compared to net loss of $23.8 million in 2007.
"We felt the impact of these difficult conditions on our 2008 results although we were able to limit it through our action plan," said Floyd Sherman, Builders FirstSource CEO.
"Our action plan principally consisted of growing market share, reducing physical capacity, adjusting staffing levels, implementing cost containment programs, managing credit tightly, and, most importantly, conserving cash," he added.
The dealer closed or mothballed 14 facilities during 2008 while lowering its average headcount by over 1,600 to 4,850 in 2008, a decrease of 25.2 percent from 2007. Our headcount at December 31, 2008, was down over 2,100 to 3,274, a 39.3 percent decrease from the beginning of 2008, the dealer said.
As of today, Builders FirstSource operates 58 distribution centers and 57 manufacturing facilities in 11 states.