Overview
Ferguson Enterprises Inc., actively traded on both NYSE: FERG and LSE: FERG, stands as the leading distributor in the United States for plumbing, heating, ventilation, and air conditioning (HVAC) products, in addition to supplying appliances, lighting, and PVF (pipes, valves, and fittings). Established in 1953 and headquartered in Newport News, Virginia, the company serves the residential and non-residential construction markets extensively across North America.
Financial Highlights
In the fiscal year ending July 31, 2024, Ferguson reported revenues of US$29.634 billion, operating income of US$2.652 billion, and net income of US$1.735 billion. Its total assets stand at US$16.572 billion with total equity of US$5.616 billion. Ferguson's market capitalization is about $42.66 billion, with an estimated enterprise value of $47.61 billion.
Operations and Infrastructure
Ferguson operates over a vast network of 1,773 branches and 11 regional distribution centers, including four major distribution centers (MDCs). The company efficiently manages its supply chain through approximately 36,000 suppliers and operates a fleet of around 5,900 vehicles. The majority of its revenue, 95%, is generated from U.S. operations, with the remaining 5% sourced from Canada.
Strategic Developments
The company has embarked on an aggressive expansion strategy, marked by acquisitions such as Power Equipment Direct in 2012 and Signature Hardware in 2016. In 2024, Ferguson strengthened its U.S. operations through a merger consolidation with Ferguson plc. This strategic consolidation reflects in multiple asset acquisitions throughout the fiscal year, aimed at broadening market capabilities and enhancing its geographical footprint.
Leadership
Ferguson's executive team is spearheaded by Kevin Murphy, President and CEO since August 2017, alongside William Brundage, CFO. Their leadership focuses on strategic growth, ensuring strong financial health, and fostering robust customer relationships.
Digital and Social Media Engagement
Ferguson actively engages with its audience through its primary online platform, Build.com, along with various social media outlets including YouTube, Facebook, Instagram, and Twitter. These platforms serve to connect with consumers, share product insights, and update corporate developments, reinforcing Ferguson's emphasis on customer service culture and its reputation as a relationship-driven business.
Key Competitors and Market Presence
Johnstone Supply
Johnstone Supply ranks as a prominent HVACR distributor, operating over 450 locations across the U.S. and Canada. Their approximately 5,500 employees are based in Portland, Oregon, focusing on HVACR equipment and parts distribution with an emphasis on customer service for residential and light commercial contractors. They leverage a vast branch network supported by regional distribution centers and employ community engagement strategies like Operation Homefront.
Hajoca Corporation
Founded in 1858 and headquartered in Lafayette Hill, Pennsylvania, Hajoca Corporation boasts a rich history as a top-tier plumbing and heating supply distributor. Employing between 1,001-5,000 people, the company prides itself on building relationships with local contractors through personalized service.
W.W. Grainger, Inc.
A Fortune 500 entity, W.W. Grainger is a leading MRO supplies distributor operating chiefly in North America, Japan, and the U.K. With headquarters in Lake Forest, Illinois, Grainger employs over 10,001 people and features a million-plus industrial product catalog, catering to multiple industries through a consultative sales approach.
HD Supply
As a component of The Home Depot, HD Supply is a key wholesale distributor within the multifamily, hospitality, and government sectors, headquartered in Atlanta, Georgia, and supported by over 10,001 employees. Known for high-quality MRO, janitorial, and OS&E products, the company emphasizes logistical innovation and customer service.
Reece Group
Australian-based Reece Group, established in 1920, specializes in plumbing, waterworks, and HVAC-R products, expanding in Australia, New Zealand, and the U.S. With headquarters in Cremorne, Victoria, and a workforce of 5,001-10,000 employees, Reece integrates technology extensively in its supply chain and customer interactions.
