Parts Unlimited’s Fox Cautious About Growth
August 30, 2005
Filed under Uncategorized
Fred Fox, chairman and founder of Parts Unlimited and Drag Specialties, said the huge distributor is taking a conservative look at its growth prospects over the next 18 months because of possible storm clouds on the economic horizon. Still, the Parts/Drag operation is expected to post sales increases of close to 10% for this year and next.
At the same time, though, Fox told a group of aftermarket executives at the annual Parts Unlimited/Drag Specialties National Vendor Presentation and Showcase event held in Madison, Wis., Aug. 25-27, that the company is moving ahead with major warehouse expansions in Nevada and Canada. He added that the company has taken options on pieces of property in Europe and has discussed expansion plans with several companies there.
Despite increased gas prices, disruptions caused by the Iraq situation, and increased competition for consumer disposable income caused by recent automotive promotions, Fox says there still is plenty of profit opportunity in the powersports business. “We just have to work harder for it,” he says.