Lesco numbers up, golf sales slip

CLEVELAND - Lesco’s first quarter 2003 sales were up 1 percent to $94.5 million with its lawn care business leading the way with a 4 percent sales gain. Golf sales, however, slipped 9 percent during the period.

Lawn care posted sales of $77.7 million, up from $74.7 million in 2002, while golf gross sales were $17.8 million, down from $19.6 million in 2002. Lesco officials blamed golf’s sales decline on a late spring in the Northeast. Sales in the Northeast were down 40 percent and remained flat elsewhere across the country.

“Golf is having a tough time,” said Lesco president and CEO Michael P. DiMino. “Every aspect of golf, not only our business – golf equipment, golf course construction, and rounds – is down. The weather in the Northeast did not help relative to that situation. But the Northeast will come back as it gets warmer.”

DiMino said the company is not counting on sales growth in golf in 2003. Expected growth in golf is projected to be less than 2 percent.

The mixed news is on the whole good for Lesco, which sees its lowest sales volume in the first quarter and has historically generated net losses. The company’s net loss was $5.7 million, as compared to the 2002 net loss of $13.7 million.

“The first quarter represents 18 percent of total volume from a selling perspective,” said DiMino.n