Canada's Richelieu Hardware Q1 revenue rises on acquisitions

Overview

• Canada specialty hardware distributor's Q1 revenue grew 5% yr/yr, driven by acquisitions and internal growth

• Net earnings for Q1 rose about 3% yr/yr

Outlook

• Company says it will continue to pursue acquisition opportunities in 2026

• Richelieu expects to meet demand in specialized markets and housing/renovation projects

Result Drivers

• ACQUISITIONS - Co said acquisitions contributed 3.0% to Q1 sales growth, including three new U.S. distribution centers

• INTERNAL GROWTH - Co said internal growth accounted for 2.0% of Q1 sales increase

• CURRENCY IMPACT - Co said appreciation of the Canadian dollar reduced reported sales growth by 2 percentage points

Company press release: ID:nCNWCBz01a

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the construction supplies & fixtures peer group is "buy."

• Wall Street's median 12-month price target for Richelieu Hardware Ltd is C$42.00, about 3.7% above its April 8 closing price of C$40.51

• The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 22 three months ago

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