#United States #financial results #Oak Brook #Ace Hardware

Ace Hardware Starts 2026 Strong with Record Revenue

Ace Hardware Corporation, a prominent player in the home improvement sector, has announced significant financial results for the first quarter of 2026, marking an impressive $2.5 billion in revenue. This figure represents a remarkable increase of 10.9% compared to the same period last year, showcasing the company's robust growth strategy and customer engagement initiatives.

Impressive Earnings

As per the report released on May 13, 2026, the company’s net income reached $70.1 million, up by $39.8 million from the previous year. This surge in profitability can be attributed to the solid performance across various departments, particularly in outdoor power equipment, lawn and garden supplies, and power tools, which recorded notable increases in sales.

CEO John Venhuizen expressed his satisfaction with the results, stating, "Our record first quarter results reflect a simple truth when we serve our neighbors with excellence and urgency, growth follows. Revenue is up 10.9%, digital sales have surged 30%, and same-store sales in hardware formats rose by 6.1%."

Growth in Retail Operations

During this quarter, Ace Hardware recorded a 4.9% upsurge in same-store sales across U.S. retail locations. This impressive growth results from an average ticket increase of 4.2% and a modest rise in the number of transactions, which grew by 0.7%. Additionally, Ace welcomed 35 new stores, increasing its total domestic store count to 5,266 compared to 5,177 at the end of the first quarter last year.

Wholesale Revenues on the Rise

Consolidated revenues for the quarter, which concluded on April 4, 2026, totalled $2.5 billion, with wholesale revenues accounting for $2.3 billion, reflecting an 11.3% increase year-over-year. The notable growth in wholesale revenues underscores Ace's commitment to expanding its footprint and product offerings, further cementing its position in the market.

Retail Performance and Customer Engagement

Ace’s retail segment also experienced growth, with retail revenues reaching $185.8 million, a rise of 6.1% from the previous year. The retail gross profit reached $88.6 million, albeit with a slight decline in gross margin percentage from 47.9% to 47.7% as a result of increased operational costs.

The company’s ability to effectively manage expenses has also played a crucial role in enhancing net income. Notably, although wholesale operating expenses remained steady at 9.9% of wholesale revenues, retail operating expenses saw a slight uptick due to the expenses related to new store openings.

Looking Ahead

With ongoing strategic investments in digital transformation and customer service enhancement, Ace Hardware is well-positioned for continued growth. Noteworthy accolades include being ranked #1 in home improvement on Forbes' 2026 Best Customer Service List and #4 as the best franchise worldwide according to Entrepreneur Magazine, affirming Ace’s alignment with consumer expectations and market trends.

With a foundation of local connection and a commitment to quality, Ace Hardware's performance signals strong prospects for the remainder of 2026 and beyond. For further updates on the company’s financial standings and community impact, visit acehardware.com or their newsroom.