TUFF SHED Continues its Winning Streak Being Named Colorado Company of the Year and Surpassing $100 Million in Annual Sales by the End of Q3
Denver-based TUFF SHED, Inc., today announced a record setting third quarter, capping a summer of continued growth and industry recognition. Third quarter sales of $39.8 Million were the most ever during a single quarter for TUFF SHED, allowing the privately held storage building and garage manufacturer to surpass the $100 Million mark in 2004 sales with additional strong sales expected through the fall months.
The strong sales and sustained growth helped win industry praise for TUFF SHED, with company founder and CEO Tom Saurey winning the Ernst and Young Entrepreneur of the Year® award for the Rocky Mountain Region in June of 2004, and TUFF SHED being named ColoradoBiz Magazine’s Manufacturing Company of the Year in September. ColoradoBiz, the premier business magazine aimed at executives involved with Colorado-based companies, recognized TUFF SHED’S dominance in the manufacturing sector, including its sustained high-growth rate, reputation for quality and strong business model.
Thus far, 2004 has been full of growth milestones for TUFF SHED, with the 23-year-old company busy acquiring a rival building manufacturer, expanding its wholesale distribution network, opening new factory locations, generating record sales, and having its products featured in national television programming.
The year began with TUFF SHED’s acquisition of Wood Master, Inc., a Dallas-based operation that sold storage buildings and cabins through Home Depot stores in Arkansas, Colorado, Louisiana, Mississippi, Oklahoma, Texas, and Wyoming. Finalized in February of 2004, the acquisition of Wood Master expanded TUFF SHED’s existing wholesale relationship with The Home Depot, solidifying TUFF SHED’s connection with the nation’s largest Home Improvement retailer.
Having established its own manufacturing and retail network, TUFF SHED chose to pursue an opportunity to partner with The Home Depot in 2002, introducing an exclusive product line for select Home Depot stores.
TUFF SHED rapidly became The Home Depot’s largest supplier of installed storage buildings, and currently services more than 800 Home Depot stores in 27 states. Additionally, TUFF SHED’s efforts within the manufactured home building industry is beginning to pay off, with TUFF SHED now supplying attached and detached garages as well as sheds for a variety of manufactured home builders and developers around the country.
New Factory Openings
Thus far in 2004, TUFF SHED has opened new factory operations in Pittsburgh, Pa; Helena, Mont.; Spokane, Wash.; and El Paso, Texas. A fifth new factory is scheduled to open before the end of the year in Chicago, Ill., which will give TUFF SHED a total of 41 factories and more than 1,000 employees in 21 states. Between them, the TUFF SHED factories will service customers at TUFF SHED’s company-owned retail outlets, area Home Depot stores, and a small network of independent dealers. New locations have been a significant factor in TUFF SHED’s sustained growth, helping the company achieve a 26% compound growth rate in revenues over the last ten years.
TUFF SHED’s monthly sales topped $10 million for the first time in March of 2004, and have continued to surpass the $10 million mark in every month since. TUFF SHED posted a one-month record for sales in August, recording $14.1 million in sales to eclipse the previous one-month record of $13.8 million set in June. By recording $105.8 million in sales through the first three quarters of 2004, TUFF SHED became the first manufacturer of installed sheds and garages to top $100 million in annual sales. The company projects $130 million in total 2004 sales.
National TV Programming
With the majority of its marketing budget being spent on television advertising, it was a logical next step for TUFF SHED to feature its products on national television programming. First came calls from syndicated shows like Real TV in 1996, wanting to feature TUFF SHED’s smash ’em up commercials. Then came calls from network shows like Fox Television’s You Gotta See This in 1998, also wanting to air TUFF SHED commercials that featured competitors’ sheds being destroyed by the likes of motorcycles, snowmobiles, helicopters, fire hoses and even dynamite. This year, TUFF SHED products have been included in more serious television programming, with TUFF SHED garages being featured in ABC’s Extreme Makeover Home Edition, and Discovery Channel’s Monster Garage.
“The people here are what make TUFF SHED a success,” said Tom Saurey, president and founder of TUFF SHED. “Every day our engineers, builders, sales people, managers and support staff go out and make it happen delivering a solid product to customers who care about quality.” Reflecting more specifically on the company’s 2004 milestones, Saurey adds, “being named the Colorado Manufacturing Company of the Year is icing on the cake after a year full of big wins for TUFF SHED. It’s been our goal to make TUFF SHED both the best and the biggest company in our industry, and now I have no doubt that we can say we are both.”
Saurey, who also won the Ernst & Young Entrepreneur of the Year® award in 2004, is confident TUFF SHED is in excellent position to achieve long-term growth because of the company’s innovative and high-quality product line and its ability to withstand slips in the economy. Saurey attributes part of the company’s success to unwavering market demand, where homeowners look to improve their current property with custom garages and sheds when the economy is slow; and customers’ equal desire to build new garages, custom buildings and cabins during upswings in the economy.
About TUFF SHED
TUFF SHED products include the original back yard storage shed, larger commercial storage buildings, garages, custom cabins and carports. The PREMIER product line includes many different styles and sizes with the ability of custom configurations. To view an assortment of innovatively engineered TUFF SHED buildings and products, visit www.tuffshed.com. At a lower price point and still readily differentiated from the competition is the SUNDANCE SERIES, sold exclusively at Home Depot. Visit www.888tuffshed.com to view TUFF SHED buildings available at Home Depot locations.