The WOOD 100: 7th annual report.

The dust has settled, the '95 numbers are in and they seem to say, "Thank heavens it's 1996."

The 1996 class of the WOOD 100 established two records of note, one aspiring, the other dubious.

On the upside, the combined 1995 sales volume of the 1996 WOOD 100 cracked $1 billion - nearly 35 percent greater than the amount the 100 companies comprising last year's WOOD 100 amassed in 1994.

Flipping over the coin, however, the 14.1 percent average sales growth posted by this year's group of fast-growing wood products companies was less than half of what last year's class did and 10 percent below the previous recorded low set in 1990. (See "The Wood 100 Through the Years" chart.)

This should by no means diminish the individual achievements of the companies making up this Seventh Annual Report, After all, 56 of them did at least 20 percent more business in 1995 than in 1994. If anything, the fact that this year's WOOD 100 has more single-digit growth companies (23 to be precise) [TABULAR DATA OMITTED] than any prior year of this unique readership program delineates the notion shared by many who make their living from the wood products trade - 1995 was less than a robust year for business.

The tentative nature of business is also mirrored by a survey of the WOOD 100 in which 25 percent of the respondents cited the economy as their No. 1 concern, compared to 17 percent last year. In addition, 79 percent ranked the economy among their top three concerns, compared to 56 percent last year. (See Top Concerns page 55.)

While gathering the surveys that comprise the Seventh Annual WOOD 100 Report, W&WP editors talked with dozens of woodworking executives, including many who participated in past years' reports, who were sorry to relate that 1995 was either a down year for their company or of such a modest gain that they did not feel it was worth the effort to fill out the WOOD 100 qualification form. (Then, of course, there are a vast number of companies who have no desire to share their sales data with their competitors in the pages of a magazine.)

On a more positive note, however, the most common response from these same disheartened execs is that 1996 has been a decidedly better year and we can look forward to seeing them back in the WOOD 100 next [TABULAR DATA OMITTED] September. What's more, at least 94 of this year's WOOD 100 companies project sales growth in 1996 and 39 of the 100 boldly predict that 1997 will be their "best year ever."

Acknowledgements: Rich Christianson, Margie Melaniphy and Harry Urban compiled this report with the able-bodied assistance of Larry Adams, Tom Caestecker Jr., Angela Doland, Beverly Dunne, Jay Rezabek and Jill Smith.

Additional copies: A limited quantity of reprints is available. Phone Blanca Hernandez at [phone] for prices and ordering information.

The 1997 WOOD 100: The Eighth Annual WOOD 100 of fast-growing wood products companies will e published in September 1997. For information about participating, phone Rich Christianson, editorial director, at [phone], ext. 652; fax [phone] or circle #298 on this month's Reader's Service Card.

GOOD TIMES AHEAD

1996 PROJECTIONS

The 94 WOOD 100 companies that provided W&WP with projected sales figures for 1996 expected their sales to increase by an average of 14.5 percent. Eleven companies expect their sales to increase by at least 40 percent in 1996:

JLM Custom Furniture (No. 2)                       100%
Hudson Furniture Co. Inc. (No. 12)                 100%
Thoemmes Cabinet Makers (No. 90)                    75%
Piccini Corp. (No. 16)                            52.5%
Bonito Manufacturing (No. 1)                        50%
Precision Millwork (No. 26)                         50%
Wisconsin Built (No. 35)                            45%
CNC Industries (No. 5)                              40%
Santori Woodworking (No. 7)                         40%
Baby's Dream Furniture (No. 39)                     40%
Custom Wood Furniture (No. 48)                      40%

1997 PROJECTIONS

This year's WOOD 100 companies were asked to rate the expectations for their businesses in 1997. Of the 99 companies that responded to the question, none predicted a "terrible" or "poor" 1997.

ANOTHER VIEW OF THE WOOD 100

A fair criticism of the WOOD 100 is that it ranks companies of disparaging sizes. Obviously, it is easier for a company of $300,000 to double its size in the course of a year's time than it is for a company of $3 million, let alone for a $30 million company to accomplish that feat.

In an attempt to level the playing field, here are how the sales growth fortunes of fifty WOOD 100 companies stack up when classified in groups of more comparable size.

All criticisms aside, it should be noted that a record number of larger wood products companies qualified for this year's WOOD 100. The Seventh Annual Report features 18 companies that posted more than $10 million in sales in 1994. Fourteen others had sales between $5 million and $10 million.

TOP GROWTH COMPANIES

'94 sales under $1 million

Bonito Manufacturing                      +112.7%
JLM Custom Furniture                      +111.1%
Freeland Pattern Works                     +88.0%
N2 Millwork Services                       +87.6%
CNC Industries Inc.                        +85.1%
Santori Woodworking Inc.                   +73.9%
Byrne Millwork, Inc.                       +62.8%
Dynasty Furniture                          +57.3%
Hudson Furniture Co., Inc.                 +54.5%
Woodrich Furniture Corp.                   +50.1%
TOP GROWTH COMPANIES

'94 sales $1 million to $2.5 million

Tatco Millwork Inc.                        +63.1%
White County Mouldings                     +50.4%
Piccini Corp.                              +49.4%
Professional Install. Network              +44.5%
DeSantis Arch. Woodworking                 +42.1%
Precision Millwork Inc.                    +36.8%
Bracey Lumber Co. Inc.                     +34.4%
Classic Woodworking Inc.                   +33.4%
Wisconsin Built                            +33.2%
Strata Design                              +29.9%
TOP GROWTH COMPANIES

'94 sales $2.5 million to $5 million

Glenn Reider Inc.                          +81.1%
Mill-Rite Woodworking                      +50.7%
Lexington Manufacturing Inc.               +47.9%
Paradise Kitchens                          +35.0%
Harbinger Industries                       +32.8%
Office Chairs Inc.                         +32.7%
Riss Bros. Inc.                            +29.8%
IGS Store Fixtures                         +28.9%
Ritter Cabinet Mfg. Inc.                   +27.5%
Centennial Kitchens                        +22.3%
TOP GROWTH COMPANIES

'94 sales $5 million to $10 million

Environments Inc.                          +62.8%
Northern Contours                          +43.3%
Eurodesign Cabinets Inc.                   +41.0%
Baby's Dream Furniture                     +31.1%
On Site Woodwork Corp.                     +17.5%
Millrock Inc.                              +15.8%
Design Fabricators Inc.                    +15.8%
A&K Millwork Ltd.                          +13.4%
Hoffco Inc.                                +12.8%
Bremtown Kitchens                           +9.6%
TOP GROWTH COMPANIES

'94 sales over $10 million

Worldwood Industries                       +39.7%
Target Woodworking Inc.                    +34.9%
Martin Furniture                           +28.0%
Famous Fixtures                            +20.1%
Precision Panel Products Inc.              +18.8%
T.J. Hale Co.                              +14.4%
The Valley City Mfg. Co. Ltd.              +13.6%
Woodland Container Corp.                   +13.3%
Blackhawk Furniture Inc.                   +11.9%
The Keller Mfg. Co. Inc.                    +9.7%

RELATED ARTICLE: IT'S ABOUT TIME!

For the first time in the seven-year history of Wood & Wood Products' WOOD 100 there is a repeat No. 1 top-growth performer. Bonito Manufacturing of North Haven, CT, rang up 112.7 percent growth in 1995, to eke out WOOD 100 newcomer JLM Custom Furniture of Dallas, TX, (+111.1%). Last year Bonito reigned supreme by virtue of racking up 150 percent sales growth between 1993 and 1994. What's more, Bonito should prove to be a strong contender in 1997's WOOD 100 following the recent acquisition of the 160-year-old New England Clock Co. It's worth noting that while president James Bonito is only projecting 50 percent growth for his firm in 1996, at the same time last year he was only predicting growth of 40 percent for 1995. Is that considered sandbagging or false modesty?

RELATED ARTICLE: QUALIFYING FOR THE WOOD 100

The WOOD 100 was established by Wood & Wood Products in 1990 to recognize the achievements of the fastest-growing wood products manufacturers. The WOOD 100 slogan, "Not the biggest, the best" was coined to encourage the participation of small custom woodworking shops as well as high-production woodworking companies.

The four prerequisites needed to be met for a company to participate in the Seventh Annual Report are:

1. Each company's main business must be the manufacture of wood products.

2. Each company reported at least $100,000 in sales since 1994.

3. Each company enjoyed greater total sales in 1995 than in 1994.

4. Each company completely filled out the WOOD 100 qualification form and granted W&WP permission to publish its annual sales figures and other information in this report.

Beyond these shared traits, the 1996 class of WOOD 100 companies runs the gamut in terms of size, product mix, location and theories for their individual success.

Note: Sales figures for the three Canadian woodworking firms included in this report are in Canadian dollars.

RELATED ARTICLE: SEVEN YEARS OF GOOD LUCK

Gilmore Inc. (No. 54) and Craig Graybar Furniture Works Ltd. (No. 62) share a unique common bond. They are the only wood products companies that can claim to have been part of all seven annual WOOD 100 reports.

Between 1988 and 1995, Gilmore of Grand Rapids, MI, a manufacturer of wood office furniture and components, has seen its sales increase by a whopping 676 percent, from $432,000 to $3,352,000. President Scott Gilmore projects 15 percent growth in 1996.

West Allis, WI-based Craig Graybar Furniture Works' sales have grown an impressive 357 percent, from $126,000 in 1988 to $576,000 in 1995. An additional 25 percent growth is projected for this year. Graybar Furniture was profiled in the June 1996 issue of our sister publication, Custom Woodworking Business. In addition, company president Craig Graybar has been a frequent lecturer on furniture design and business issues at the annual National Custom Woodworking Expo & Conference.