April 2024

Together, let’s aim for an APRIL filled with achievements, where we surmount challenges, grasp opportunities, and leave a lasting imprint on the industry!

A MESSAGE FROM OUR V.P. OF OPERATIONS, MATT MALONE

It’s incredibly exciting to witness our strong start and see the plans set in motion last year begin to take shape! From the successful launch of the new store in N. Canton to the acquisition of the Willowick property and the commencement of production there, along with the introduction of our new hardscapes sales position and the transition from leased to purchased trucks, including the addition of new single axle split board trucks – the list of accomplishments goes on.

However, amidst our progress, we faced a setback with a fire at our Bridgeview location, resulting in the loss of all our raw pallets and logs. Despite this unfortunate incident, we are fortunate that our processed materials remained largely unaffected, ensuring our ability to meet market demand. I want to extend my sincere gratitude to everyone who supported and assisted in combating the fire, especially the entire BV staff, who worked tirelessly not only to extinguish the flames but also to clean up the aftermath.

Despite a slow start in April due to the weather, I am confident that we have positioned ourselves for another successful year ahead.

DIVING-IN TO FIRST QUARTER FINANCES

With 1^st Quarter 2024 behind us we are primed to have a successful year.  While our Q1 loss is 20% better than last year, we still need to overcome the $2MM loss for Quarter.  Typically, we recover from this in May, but the wet weather the first two weeks of April will be another challenge to overcome, as sales are down for the month.

Our Stores, Production, Transportation and R&M have been outperforming last year.  While Projects, Direct Ship and Valley Belt have been flat.  Compared to budget through the end of March, all departments are outperforming last year except for Valley Belt.  Even though we are projecting a loss at Valley Belt, we currently 1.5 times worse than budgeted.  As we continue to ready the site for capping and closure, we will monitor spend to mitigate the financial impact.

COMMERCIAL SALES CORNER

With the onset of construction season, our mulch blowers are already hard at work on various commercial projects throughout town. Our mulch is being delivered to prominent locations such as Great Northern Mall, Pinecrest, Ahuja Hospital, and the Cavs Practice Facility, among others.

At Restoration Hardware in Beachwood, visible from Rt 271, we’ve supplied an array of landscaping materials, including All Purpose Soil, Super Soil, Bio Retention Soil, Rooftop Mix, and Straw Blankets. This property stands as a testament to the beauty of landscaping in northeast Ohio.

Expanding our reach, Structural Soil is now being delivered to Market Street in Akron, while All Purpose Soil is headed to Wooster Community Hospital, Oberlin College, Sheetz in Massillon, Pepper Pike Playgrounds, Franklin Rd in Maple Heights, and the City of Cleveland Streets department for lawn repairs across the city. Additionally, more projects are in the pipeline pending favorable weather conditions.

Our commitment to service remains a cornerstone of our sales pitch to both new and existing customers. Transportation has upheld its exceptional performance, and our unwavering dedication to quality continues to earn praise from repeat clientele.

Our distributors, akin to our stores, are gearing up for the landscaper and retail season of 2024. Many proudly associate their soil and mulch offerings with Kurtz Bros/Earth N Wood. To further support our distributor partners’ growth, we’re introducing new products previously unavailable, leveraging our bulk purchases to pass on savings.

Ball field mixes constitute a significant portion of our business, with an increasing number of customers turning to us for their little league season preparations across northern Ohio. We offer a diverse range of options to revitalize ball diamonds, pitching mounds, and batters’ boxes, showcasing our expertise in these areas.

As summer approaches, playground mulch demand rises as cities prepare their recreational areas. Commercial landscapers are also back on projects, signaling a bustling season ahead.

In summary, we stand poised and prepared for the MAD rush that awaits us!

TRANSPORTATION

The increase in transportation volume in March was a welcome sight, with a total of 1,297 loads, which included 965 commercial loads and 332 residential (single-axle) loads. The growth in activity is a positive sign for our transportation services, and we look forward to continuing to meet the needs of our customers efficiently and effectively.

THE STORES

COMBINED STORES BEAT BUDGET BY 20% IN MARCH!!

Rehires completed next level training boot camp.

New hire training has ended for the season, any stragglers will be trained in store.

Hardscape Sales YTD are up 30%

Fertilizer Spring order came in and we are already having to place another! Sales are up 44%.

We are now stocking Pave Tools, with rental equipment to follow. Staff training has been scheduled.

Stores have been instructed to do 2 stake outs per week.

OUR COMPETITION HAS CUSTOMERS, AND WE WANT THEM! 

OUR COMPETITION HAS CUSTOMERS, AND WE WANT THEM!

Valley View is ready to start pumping out Supersacks! They made 642 in 2023!!

APRIL CONTEST IS IN FULL SWING

MANAGER WINS: Recovering strong from a poor week, 3/18-3/22, and finishing the month 14% ahead of budget.Getting a commitment from a large customer to buy all their hardscape from us.Updating all expiring quotes.Processing hardscape sale from a first-time customer.My biggest win from last week was learning how to adjust to situations I might not agree with or find counterproductive.Working with production to correct a quality issue with the Classic mulch.One of the biggest wins for me was being able to reorganize and find space for stock while making it easier to count inventory.MANAGER CHALLENGES FOR THE WEEKS AHEAD:Unanimously…. WEATHER

HR UPDATES

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