Noland Reports Higher Sales and Earnings for Q1

Noland Reports Higher Sales and Earnings for Q1 


NEWPORT NEWS, Va., April 22  /PRNewswire-FirstCall/ -- Noland Company
(NASDAQ:NOLD) today reported a first-quarter net income of $3,186,000, or 94
cents per share (diluted), 51 percent higher than the year-earlier period's
$2,106,000, or 63 cents per share.

The Newport News-based wholesale distribution firm said the higher earnings
stemmed from a combination of increased sales and slightly better gross
margins.

First-quarter sales totaled $138,900,000, 13 percent greater than 2004's
$122,766,000 first-quarter total.  Chairman Lloyd U. Noland III said the higher
sales reflected a continuation of 2004's strong construction activity and
rising prices, "and our success in capturing our share of those opportunities."

Noland said air conditioning sales rose 19 percent, "in part due to the
equipment we provided to HVAC contractors in Florida who benefited from a
healthy construction market and unusually warm winter weather."  He said the
company's newest branch, an air conditioning supply operation that opened in
Charlotte, N.C., on Feb. 28, also contributed to the higher sales.

Plumbing sales, which represent more than half of Noland's total revenues, were
14 percent higher than the year-earlier period, while electrical/industrial
sales declined 2 percent.

Price increases helped improve gross profit margins, leading to a $4,295,000,
or 16 percent, rise in gross profit for the quarter.  Operating expenses rose
$2,829,000, or 12 percent, largely due to higher personnel- related costs. 
This combination helped produce a 50 percent, or $1,740,000, improvement in
operating profit for the quarter.

Noland operates 101 branches in 13 states, and distributes products in the
plumbing, HVAC, water systems, electrical and industrial fields.  On April 12,
Noland announced it had signed an agreement of merger with WinWholesale, a
Dayton, Ohio-based wholesale distributor.  Under the terms of the agreement,
WinWholesale will pay $74 in cash for each Noland Company share and assume
Noland's outstanding debt at closing.  The transaction is structured as a
tender offer, which is expected to close on or about May 17, 2005, followed by
a merger.

                      UNAUDITED FINANCIAL HIGHLIGHTS

  For the Three Months
  Ended March 31                     2005              2004

  Merchandise Sales              $138,899,986     $122,765,791

  Net Income                       $3,185,861       $2,106,087

  Basic Earnings Per Share(1)            $.95             $.63

  Diluted Earnings Per Share(2)          $.94             $.63


  (1) Based on 3,342,440 shares outstanding in 2005 and 3,333,360 shares
      outstanding in 2004.

  (2) Based on 3,373,003 shares outstanding in 2005 and 3,360,230 shares
      outstanding in 2004.



Note: Included in this news release are forward-looking management comments and
other statements which reflect management's current outlook for the future. 
Such forward-looking statements are not guarantees of future performance and
are subject to risks and uncertainties that could cause actual results to
differ materially from those anticipated in the statements.  Such risks and
uncertainties include, but are not limited to, general business and economic
conditions, climatic conditions, competitive pricing pressures, and product
availability. 

DATASOURCE: Noland Company



CONTACT:  John E. Gullett of Noland Company, [phone]



Web site:  http://www.noland.com/

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