United Stationers has reported its first quarter 2008 results, including sales growth of 5% to $1.25 billion. The December 2007 acquisition of ORS Nasco added $74 million; excluding this, sales were down 1.2% to $1.18 billion.
Sales were strong in the janitorial/breakroom category, up 15%. This helped offset a 5% combined sales decline in office supplies, technology products, and office furniture due primarily to a significant decline in national account sales. The sales slowdown occurred mostly in March and reflected weakness in the economy and the timing of the Easter holiday.
"Our goal is to deliver solid financial performance this year despite a difficult economy," said Richard W. Gochnauer, president and chief executive officer. "We are pursuing growth initiatives and will build on the strength in our janitorial/breakroom and industrial categories. We have launched additional cost reduction actions and initiatives to offset the impact of weaker sales and cost increases including higher fuel prices. Our disciplined focus on working capital management will continue and our outlook for 2008 cash flow remains strong. Our business strategy remains sound and we are optimistic about our long-term prospects," Gochnauer concluded.