Fastenal Company (NASDAQ:FAST) Q1 2019 Earnings Conference Call - Final Transcript

Apr 11, 2019 • 10:00 am ET

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Fastenal Company (NASDAQ:FAST) Q1 2019 Earnings Conference Call - Final Transcript

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Executive
Daniel L. Florness

the short-term. But we kept focusing on what we focus on. That's our customer.

We kept focusing on things to make our business better, and we really started the transition to a much more focused approach on some of our growth drivers, particularly breathing some new life into vending and challenging ourselves to look at Onsites as a meet -- as not a solution, when there's not an alternative, but as a means to grow faster and a new growth drive within our business.

It's a wonderful way to extend what is the traditional Fastenal relationship, but lower your cost structure at the same time. And I hope these numbers are all correct. I haven't proofed them through our screening process. And this is just me jotting down some numbers. But what I shared with them was, if I stack together multiple years, five months of the last seven months, if I look at it, taking the three years added together and again, I hope I calculated it correctly, I believe five months or less seven months, we've been 30% plus, when you look at the cumulative impact of the last three years.

And November and January were the only two months that didn't break that 30% and they were at 29%. So, a good number. And I believe for the last 14 months, if you looked at on a two-year basis and combined year one and year two growth, you're at a number that starts with the 2. So, north of 20%. But since August, I believe that number is north of 25%. So, not only are we -- do we have great local plans to engage with our customer and grow our business, but we're able to stack it on top of some comps that are frankly challenging. I'm really pleased with what the group is doing, and I'm really proud of the group and proud to be associated with them.

I also shared with them one of their -- one of the blessings and curses of the Internet age, is it's easy to -- for people to make comments. Sometimes you read through a newspaper and some of the comments you see, you're kind of like, boy, that person just seems angry about something that's not this article, but they're just angry or you can tell that person's maybe political view is driving their commentary they're putting into an article. But at 10 o'clock last night, I was reading a comment that came in from a customer. And every comment that comes into Fastenal, I'm on an email distribution list and I read through them.

Sometimes I do it late at night before I go to bed. Sometimes I do it early in the morning. And I'm reading one last night. It was a fellow. He said, I'm an older gentlemen, I'm 61 years old. That pain me a little bit because I'm 55. And I hear somebody at 61 refer to themselves that old was a