Steve Patterson, CEO, Central Valley
Alicia D. Miller Steve Patterson, CEO, Central Valley

To be successful, pro dealers must pay attention to customers’ changing needs. Central Valley, founded in 1955, is a prime example of this.

The company serves pro builders in Northern California with nine locations. Its focus on customers’ needs enabled the Napa, Calif.-based company to grow revenue 18.6% to $138.9 million in 2018, which boosted its ranking five spots to No. 54 on this year’s PS100 leaderboard.

What specifically made the company so successful? According to Garret Ippolito, chief marketing officer at Central Valley, it was the company’s focus on driving lumber growth and profit. “We had a particular focus on the 2017 post-fire rebuild in Sonoma and Napa Counties to further penetrate those markets,” he states.

Helping to drive lumber growth was the company’s decision to open a prefab wall manufacturing facility in May 2018. “Market dynamics precipitated the need for a prefab facility,” Ippolito states. “Customers had aggressive build schedules and labor shortages. They approached us, asking how we could help. Prefab walls [were] the natural conclusion. The facility was up and running within a month. As with any start-up, we are now past the early growth stage and are focusing on operational efficiencies to help us scale further.”

Its growth efforts didn’t stop there. In the fourth quarter of last year, Central Valley acquired Solano County, Calif.-based building supply company Foster Lumber Yard. “We’re bringing two forces together with similar cultures and many of the same builder clients,” said Steve Patterson, CEO of Central Valley, in a public statement. “For Foster Lumber, Central Valley brings new investment to grow the business and operational opportunities, like purchasing and distribution, to enhance Foster’s dedicated service to its customers. For Central Valley, we are able to expand our product offering and our presence in the greater San Francisco Bay Area.”

As for this year, the company will “continue to invest in operational efficiencies,” Ippolito states.