Industrial and construction supplies distributor reported its March sales metrics and 2025 first quarter financial results on April 11, showing a major acceleration in daily sales growth that followed a 14-month high in February.
The Winona, MN-based distributor posted an 8.2% year-over-year increase in daily sales for March, which was its best month since February 2023 (9.8%).
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The Big Picture
- The March report showed that daily sales increased 8.3% year-over-year, accelerating from February’s 5.0% and was its best in over two years. Total sales of $680 million also increased 8.3% year-over-year.
- Daily sales grew in all geographies, with the U.S. accelerating considerably vs. February, while Canada/Mexico the rest of international had a modest deceleration
- Daily sales growth continued in the company’s top two end markets of Heavy Manufacturing and Other Manufacturing, while likewise increasing in Non-residential and Construction and Reseller.
- A majority of Fastenal’s largest national account customers saw monthly daily sales growth — holding steady with February. Likewise, the portion of in-market locations that growth in March expanded. Growth from non-national accounts remained unchanged.
- 1Q sales of $1.9 billion increased 3.4% year-over-year. There was one less selling day in 1Q25 vs 1Q24.
- 1Q gross margin of 45.1% declined by 40 basis-points year-over-year
- Fastenal’s largest market, Heavy Manufacturing, saw a year-over-year increase in 1Q, while its Other Manufacturing market increased drastically
- Net daily sales saw a 5.0% gain in 1Q
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Go Deeper
Below, find Fastenal’s March 2025 sales report and how each metric compared with February’s, as well as the first quarter breakdown:
March Daily Sales by Geography, Year-Over-Year:
- United States – 83.3% of sales: +8.4% (+4.5% in Feb.)
- Canada/Mexico – 13.5% of sales: +7.3% (+7.4% in Feb.)
- Rest of World – 3.2% of sales: +8.1% (+9.2% in Feb.)
March Daily Sales by Product Line:
- Fasteners – 30.6% of sales: +4.5% (+0.6% in Feb.)
- Safety – 21.4% of sales: +9.2% (+8.5% in Feb.)
- Other – 48.0% of sales: +9.9% (+6.8% in Feb.)
March Daily Sales by Customer End Market:
- Heavy manufacturing – 43.5% of sales: +7.9% (+4.8% in Feb.)
- Other manufacturing – 32.8% of sales: +12.0% (+10.4% in Feb.)
- Non-residential construction – 8.0% of sales: +0.2% (-6.7% in Feb.)
- Other – 15.7% of sales: +4.5% (+2.0% in Feb.)
March Daily Sales by Customer Category:
- National accounts: +11.0% (+9.0% in Feb.)
- 59.0% of Top 100 national accounts were growing (59.0% in Feb.)
- Non-national accounts: 0.0% (-5.0% in Feb.)
- 55.7% of in-market locations were growing (52.0% in Feb.)
- FMI: +13.0% (+9.0% in Feb.)
- eBusiness: +18.0% (+13.0% in Feb.)
March Headcount
Fastenal ended March with a total headcount of 24,181, up 0.7% from February and up 2.1% year-over-year. Full-time selling headcount of 21,339 was up 0.4% from February and likewise up 1.9% year-over-year.
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1Q Results
Fastenal’s 1Q sales of $1.9 billion increased 3.4% year-over-year, down from 4Q24’s growth rate of 3.7%. Daily sales grew 5.0% year-over-year in 1Q, besting 4Q’s 2.1%.
Fastenal’s 1Q operating profit of $393.9 million on a margin of 20.1% was up from 4Q and increased 0.9% from 1Q24’s $390.2 million, but declined by 50 bps from its margin of 20.6%. 1Q net profit of 298.7% increased from 4Q’s $262.1 million and from 1Q24’s $297.7 million.
1Q gross margin of 45.1% fell 40 bps year-over-year, but increased 30 bps from 4Q, which the company attributed to three factors — customer and product mix diluting gross margin; higher fleet and transportation costs due to inflation in vehicle costs; and the mentioned negative effects were partly offset by increases in supplier incentives due to expanding spend with key supplies.
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Here’s how Fastenal’s 1Q daily sales performed by product line on a year-over-year basis (and how it compared with 4Q)
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- OEM Fasteners (19.4% of total): +3.9% (+0.4% in 4Q)
- MRO Fasteners (10.9% of total): -3.3% (-4.5% in 4Q)
- Total Fasteners (30.3% of total): +1.1% (-1.4% in 4Q)
- Safety Supplies (22.0% of total): +7.1% (+4.8% in 4Q)
- Other Products (47.7% of total): +6.7% (+4.0% in 4Q)
- Total Non-Fasteners (69.7% of total): +6.8% (+4.3% in 4Q)
Here’s how Fastenal’s 1Q daily sales performed by end market on a year-over-year basis (and how it compared with 4Q):
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- Heavy manufacturing (43.4% of total): +4.8% (+1.7% in 4Q)
- Other manufacturing (33.0% of total): +9.7% (+5.4% in 4Q)
- Total manufacturing (76.4% of total): +6.8% (+3.3% in 4Q)
- Non-residential construction (7.8% of total): -3.4% (-4.1% in 4Q)
- Reseller (4.9% of total): -11.3% (-11.3% in 4Q)
- Other (15.8% of total): +0.8% (+7.6% in 4Q)
- Total non-manufacturing (23.6% of total): -0.6% (-0.3% in 4Q)
Here’s how Fastenal’s 1Q daily sales performed by customer type on a year-over-year basis (and how it compared with 4Q):
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- National accounts (73.1% of total): +8.5% (+4.2% in 4Q)
- Non-national accounts (26.9% of total): -3.6% (-1.0% in 4Q)
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Vending & Digital Commerce
- Fastenal’s 1Q sales from FMI Technology — comprised of its FASTStock, FASTBin and FASTVend offering — totaled $859.0 million (43.3% of total sales), up 9.5% year-over-year (+10.0% in 4Q), with a gain in daily sales.
- Fastenal signed 6,418 weighted FASTBIN and FASTVend devices in 1Q, a 4.6% decline year-over-year, while the 129,996 installations it had at the end of the period were up 12.4%. The company said its goal for device signings in 2025 is between 28,000 to 30,000.
- Fastenal’s daily sales through its eBusiness — including eProcurement and eCommerce — grew 12.9% year-over-year (27.6% in 4Q) and represented 30.7% of total sales in the quarter (30.9% in 4Q).
- The company’s digital footprint — comprised of eCommerce plus FMI — represented 61.0% of total 1Q sales, down from 62.2% in 4Q.
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