Griffon Corporation (GFF, Financial) (GFF - $28.03- NYSE) has leading brands in consumer home and garden tools, closet organization, and garage doors. A confluence of positive development drove sharp price appreciation in the quarter. First, the company reported an excellent quarter with better-than-expected earnings driven by continued strength in the Home and Building Products segment (garage doors) and the acquisition of Hunter Fan. Overall, sales growth in the quarter was impressive at 36%. Later in the quarter, management announced the completion of the sale of Telephonics to TTM Technologies for $330 million in cash and true to management’s word used a portion of the proceeds to reduce debt by $300 million. Finally, the company also announced a $2-per-share special dividend.
From the Keeley Small Cap Dividend Value Fund second-quarter 2022 commentary.
