Ace 2023 Revenues Down, Alongside Record Operating Income – Hardware Retailing

Ace Hardware Corp. reported fourth quarter 2023 financials, which included revenues of $2.1 billion, a decrease of 3% from the fourth quarter of 2022. Net income was $0.5 million for the fourth quarter of 2023.

Full-year revenues were $9.1 billion, down 0.4% percent from 2022 revenue. 

Company president and CEO John Venhuizen says that although Q4 revenue was “disappointing” due to slow sales on winter products, he noted records in other areas.

“I’m pleased to announce record operating income, record shareholder distributions and record contributions to our charitable foundation,” says Venhuizen.  “The Ace team is to be commended for the discipline, production and stewardship with which they managed our resources and opportunities.”

Shareholder dividends were up 3.5%, and the co-op saw a full year operating income of $361.1 million, an increase of 5.6 percent over 2022. The company raised nearly $24 million for its various charitable partners and programs.

Approximately 3,700 domestic Ace stores share daily sales data. This data showed a 5.2% decrease in retail same-store-sales during Q4 2023. This decrease was the result of a 3.2% decrease in same-store transactions and a 2% decrease in average ticket. For the full year, retail same-store-sales decreased 2.2%, the result of a 1.1% decrease in same-store transactions and a 1% decrease in average ticket.

Decreases were seen across many departments with plumbing, grilling and outdoor power equipment showing the largest declines. 

The company noted significant growth for its e-commerce website, Visits were up 27% year-over-year and revenue rose 10%.