Richelieu (TSX: RCH), a distributor of cabinet and furniture hardware and related supplies throughout North America, posted sales of $481.4 million for the second quarter ended May 31. A 6% gain pushed U.S. sales to $150.5 million, helping offset a 1% decline in Canadian sales to $276.3 million for Q2 this year vs. the same period in 2023.

The U.S. sales increase was partially due to the recent acquisition of Allegheny Plywood and Olympic Forest Products. Allegheny Plywood, a distributor specializing in panels and decorative surfaces, operates distribution centers Pittsburgh and Allentown, Pa., as well as in Cleveland. In addition, Richelieu reaped a full quarter of sales from Rapid Start, a distributor of specialty hardware based in Rittman, Ohio, that the company acquired in the first quarter of this year.

While net sales were up, Q2 net earnings of $24.6 million represented a 21.1% decline from the prior year.

"Richelieu continued its growth in the second quarter with sales up by 2% compared to the corresponding quarter of 2023,” said Richard Lord, president and CEO. “This increase resulted from our recent acquisitions, our market penetration and value-added service strategies, which is appreciable in the current market conditions. Our sales grew by 4.5% in the manufacturers' market, with increases of 0.9% in Canada and 8.7% (US$) in the U.S., while in all our geographic markets, sales to retailers and renovation superstores decreased by 14.6%.

“Richelieu is well positioned to seize opportunities in the renovation market and to meet the expected increase in demand for specialized products in the context of the housing shortages in Canada and the United States,” Lord continued. “We will remain focused on our winning strategies and our strengths, namely innovation, market diversification, value-added service, the robustness of our network and our ability to make strategic acquisitions."