Chicago-based L&W Supply turned a $1 million operating profit during the second quarter of 2013 as sales rose 8.9% to $319 million for the period, its parent USG announced today. It’s the specialty commercial and residential distributor’s first operating profit since 2008 and represents an about-face from the year-earlier quarter, when the business unit reported an operating loss of $7 million on sales of $293 million.
Same-store sales grew 13% during the period from the second quarter of 2012 in part due to a push by the company to add steel, ceiling tile and grid, and fasteners for the commercial market to its inventory, officials said in a call with analysts this morning.
The news marks continued recovery for the distributor, whose steady sales gains have been riding on higher gypsum wallboard prices, an expanded product mix, and a continued effort realign its business around commercial contractors in growing markets. Second-quarter gains were strongest in Texas and Northern California, officials said, driven primarily by repair and remodeling jobs. The company posted a $2 million operating loss during the first quarter and sales of $281 million for the period.