Understand The Income Statement

FAST is showing consistent growth of profits and revenues. The CAGR of both is not quite at 10%, but it is still consistently growing. Management noted that the slower economic conditions of 2023 gave them a meagre 5.2% revenue growth, unlike the 16% growth they saw the year before. Onsite sales account for 40% of revenue, and branch locations account for 60%. I can't find the section that gave the specifics, but the branch locations also sell with a higher margin. Profit Margins are maintained at a healthy 45%. This is impressive, and gives Fastenal room to fight with competitors like Amazon who may attempt to join the space. This may fall if FAST grows their onsite sales. These have a lower margin, but a MUCH higher moat.