Snap-on's Q3 Organic Sales Grew Another 7%

The company saw solid year-over-year growth in all business segments.

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Tools, tool storage and automotive repair products manufacturer Snap-on reported its 2021 third quarter financial results on Oct. 21, showing solid gains in sales and profit during the July-September period.

The Kenosha, WI-based company posted total Q3 sales of $1.04 billion, up 10.2 percent year-over-year and trailing Q2's $1.08 billion. Organically, Q3 sales improved 7.0 percent, while acquisitions contributed $19.5 million in sales and favorable currency translation provided $9.6 million.

Snap-on's Q3 operating profit of $201 million jumped 19.4 percent year-over-year and trailed Q2's $217 million, with Q3 margin of 19.4 percent up from the 19.7 percent of a year earlier.

“We’re encouraged by our third quarter performance as it reflects the ongoing positive trajectory of our businesses and represents our fifth consecutive period of advancement beyond the pre-pandemic levels of 2019,” said Nick Pinchuk, Snap-on chairman and CEO.

By Snap-on business segment in Q3:

Commercial & Industrial sales of $351 million increased 13.9 percent year-over-year, with organic sales up 10.6 percent. The company said the organic gain reflected higher sales in all of the segment's operations. Compared to 2019, Q3 segment sales increased 4.8 percent overall, with organic sales up 0.9 percent. Commercial & Industrial segment Q3 operating profit of $54 million jumped from $43 million of a year earlier, while operating margin of 15.3 percent was up from 14.0 percent of a year earlier and trailed Q2's 15.8 percent.

Snap-on Tools Group sales of $471 million, up 4.8 percent year-over-year, with organic sales up 3.7 percent. The company said the organic gain reflected higher activity in both the US and international operations. Compared to 2019, Q3 segment net sales increased 22.4 percent, with organic sales up 20.6 percent. Segment operating profit of $98 million topped the $87 million of a year earlier and trailed Q2's $103.5 million, with Q3 operating margin of 20.8 percent up from 19.4 percent of a year earlier and trailed Q2's 21.4 percent.

Repair Systems & Information Group sales of $364 million jumped 14.8 percent year-over-year, with organic sales up 9.9 percent. The company said the organic gain reflected higher sales of undercar equipment and diagnostic repair information products to independent repair shop owners and managers. Compared to 2019, Q3 segment net sales increased 12.9 percent, with organic sales up 7.4 percent. Q3 operating profit of $83 million topped the $80 million seen a year earlier and trailed Q2's $87 million, while Q3 operating margin of 22.9 percent trailed the 25.2 percent of a year earlier but topped Q2's 21.8 percent.

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