Hardware

MSC Industrial Supply cites strong growth in vending services

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April 14, 2022

MSC Industrial Supply Co., a North American distributor of metalworking and maintenance, repair and operations products and services, cited the growth of vending in a recent investor call on the company's Q2 2022 results.

During the investor call, Erik Gershwind, CEO, said the company is continuing to see strong execution and growth initiatives with vending.

During the Q&A, one analyst asked what kind of growth they are seeing in vending and how big that particular market is.

Kristen Actis-Grande, CFO, replied that vending is growing at about 100 basis points as a percentage of revenue over the prior year. Gershwind added he would put the "umbrella" beyond vending to include "services" — inventory management services.

Gerschwind said vending, along with "all of the concepts in which MSC is on the plant floor," is somewhere around half the business the company presently has, and at least more than half of its growth is likely to come from those areas.

The company's net sales rose 11.4% from $774 million in Q2 2021 to $862.5 million for the quarter ending Feb. 26, 2022.