Brady Corporation reported its financial results for its fiscal 2017 third quarter ended April 30, 2017.
 
Sales for the quarter ended April 30, 2017, decreased 3.8% to $275.9 million compared to $286.8 million in the same quarter last year. Total organic sales decreased 1.9% and the impact of foreign currency translation decreased sales by 1.9%. By segment, organic sales decreased 0.8% in Identification Solutions and decreased 4.6% in Workplace Safety.
 
Net earnings for the quarter ended April 30, 2017, were $22.6 million compared to $21.0 million in the same quarter last year.
 
Sales for the nine-month period ended April 30, 2017, decreased 1.7% to $824.1 million compared to $838.5 million in the same period last year. Total organic sales decreased 0.3% and foreign currency translation decreased sales by 1.4%. By segment, organic sales increased 0.6% in Identification Solutions and decreased 2.5% in Workplace Safety.
 
Net earnings for the nine-month period ended April 30, 2017, were $70.4 million compared to $55.0 million in the same period last year.
 
Earnings per diluted Class A Nonvoting Common Share were $1.36 for the nine-month period ended April 30, 2017, compared to $1.08 in the same period last year.
 
Net debt was $8.9 million at April 30, 2017 compared to $100.9 million at April 30, 2016, providing flexibility for future investments.
 
“This quarter marks our seventh consecutive quarter of year-over-year earnings growth,” said J. Michael Nauman, Brady’s president and CEO. “We believe that our focus on driving efficiencies combined with our organic sales initiatives and our new product pipeline is beginning to generate improved organic sales trends, and will continue to drive future profit improvements. That said, challenges in the distribution channel will impact our Workplace Safety business while we are more optimistic about growth in the fourth quarter in Identification Solutions.”
 
“Third quarter revenues were approximately in line with our expectations coming into the quarter, finishing with an organic sales decline of 1.9%. Our third quarter was impacted by fewer billing days compared to the same quarter in the prior year. Organic sales were up 0.7% on a per day basis,” said Brady CFO Aaron Pearce. 
 
“Our ability to drive operational efficiencies and actively reduce our general and administrative structure provided financial benefits this quarter,” added Pearce. “Cash generation for the quarter ended April 30, 2017 continued to be strong, as we finished with net cash provided by operating activities of $37.8 million while reducing our net debt by $28.8 million this quarter. Our strong balance sheet provides significant flexibility for future investments in new products and returning funds to our shareholders.”