Houston, Texas-based industrial PVF products distributor MRC Global reported continued sales growth when it announced its 2022 third-quarter earnings Nov. 8.

The company reported 3Q net sales of $904 million, a 7% increase from the second quarter of 2022 and a 32% jump compared with the third quarter of 2021.

MRC Global — which ranks No. 16 in Industrial Distributors and No. 3 in Pipes, Valves and Fittings for MDM’s 2022 Top Distributors — said the increase in 3Q was led by the gas utilities and downstream, industrial and energy transition (DIET) sectors.

MRC Global’s 3Q 2022 gross profit was $165 million, or 18.3% of sales, as compared with 3Q 2021 gross profit of $95 million, or 13.9% of sales. Gross profit for 3Q 2022 and 2021 included $24 million and $32 million, respectively, of expense in cost of sales relating to the use of the last-in, first-out (LIFO) method of inventory cost accounting, the company said.

“I am very pleased with our outstanding performance this quarter with total revenue of $904 million, a 7% sequential growth, led by our two largest end-market sectors, gas utilities and DIET,” said Rob Saltiel, MRC Global’s President and CEO. “Continued strong activity, coupled with cost management, resulted in new company records for both adjusted gross margin of 21.9% and adjusted EBITDA margin of 9.1%. Our business generated operating cash flow of $33 million in the third quarter, and we expect to achieve positive operating cash flow for the full year, which would be a major achievement given the high revenue growth we have experienced in 2022.”