morning everyone to call. good the joining Scott Thanks and
CEO be period a that I year begin back look I realize normal to fourth my there As yet tenure. of Quanex, is my as during and
role, challenge challenges pandemic. faced stepped world, then disruptions. Shortly were by caused the with increase we face I early a the the capital in overcame with labor that unprecedented the crisis worldwide We spurred of economies of rapid into stages into only after government on demand, coupled that around supply to global a many massive this in shortage of infusions unknown chain
the Together, these years every over limits last continue to pressures the manufacturers' of two production factors led that tested inflationary capabilities and severe ultimately today. largely
levels. reduced created now during normal period in lead-times than strong demand have and addition, In has normal lead-times returned that customers demand this resulted amongst protectionary longer inventory rebalancing our to our that
of accomplished. backdrop say phenomenal done job all the this this, following and what to I'm statement. the has all a Through proud I extremely as team have we a Quanex
our think I pandemic. may have before the experienced first 'normal since just quarter' we
results the end XXXX period seeing scheduled were seasonality of XXXX same days market. pre-COVID, month. of XXXX very slow, and the was during the but are scheduling This to we able that in began abnormally the of but comparing the everyone holiday January pattern was shutdown the Most our see to quarter customers of past a start-up period norm followed couple periods XXXX, first is because our to When similar. pattern up that demand not in high over was of the towards of years the pick December the
levels on lead-times that From as customers call items the one-offs some an returning quarter intake our the Coast of inventory and recent only I normal. most impacts to order out to the the perspective, impact during due are some would West their reducing weather
we the rates, Looking overall in tight consumer and at in environment, uncertain Ukraine, the macroeconomic the near-term Fed, still actions markets in some uncertainty serve. we the create by to the and the of ongoing interest confidence war markets, believe will continue labor that impact driven rising
However, of beginning remains we improve, and the of both believe markets question. to out that and also underbuilt is housing an housing overall with the not R&R the in construction new affordability uptick
mixed. been have pressures inflationary Globally,
saw pricing increase to index we some have We have slightly more as stabilized that have In PVC of mechanisms. price commodity tied and resin, the recently. raw actually areas, to but realized are some those materials significant in started other decreases decreases, consume costs we such
when pressures services. it costs, labor other strong the On flip-side, inflationary exist freight, benefit and still energy comes and to
help margins. where protect offset will needed, to these increase continue to pressures, on we price but productivity aggressively will We work to projects
the said approximately comp from segment excluding the and essentially declined each will non-existent of contribution that, XXXX was tough general I the on to in in now reporting last the business American comments some over our was we seasonality Compared acquired Having X%. two North mixing LMI in Fenestration years. and segments. by our November, provide QX XXXX revenues of
a to the have normal return reduce improved year-over-year more softer with resulted in their lead demand. We as pattern believe times programs combined seasonality working a to capital customer-initiated that
for Although, will seasonal the challenging, follow into the quarters spring with and the increases pattern year-over-year will summer next more also anticipate X comps a be traditional that we volumes months. do
additional to margin will this we also lead volume expect benefits. normal adjust result we've levels. realize believe need it this to are seasonal product performance We lines able just leveraged our our been the solid, as improved We to and back times will. return in been volume as performance the in Operational demand able to has more segment
Looking of fully our into acquisition. synergy we with announced at are and at to time integration, $XXX,XXX target that plan pleased the the or report four the now months acquisition meet of that to and expect integration LMI track on the I exceed am we
our North result we primarily lower in XX.X%, segment, a revenues was decrease Cabinet saw year-over-year which of demand. In Components of American market a
the most over days customers In addition, of period additional our holiday their shutdown working implemented lower capital. to
decreasing, pricing still improved anticipate are our lower-cost material purchases. of we both hard the mechanisms. to soft performance We able reduction maple our the this margin and and levels maintain on lumber index From capitalize of as to a continue timing operational will revenue raw triggering in perspective, near-term, were the
reminder, pricing lag. index a be a tends As XX-day to on
as quickly. drop are So when lumber benefit long to we too as from prices don't the tend the cycle dropping, timing prices
Fenestration European our in by segment year-over-year. declined X.X% revenues Finally,
approximately X% to of exclude year. foreign by increased last you compared actually exchange revenue the when QX impact, However,
segment macroeconomic Ukraine the perform well. inflation an are crisis this present, energy war the to of headwinds continues Although, still to and related
about window which are full XXX inflation our adds systems. and within products and offset launches operating Spacer head On our excitement address Spacer three very new a Window systems; XXXR in have recent window Share another the Super products and products, to Spacer generated our to line. finally, help headwinds. and to performance continue new market glass launch system, new high-performing profile these and of Genesis price already thermal product systems, insulating the excited will our All front, product much vented of units offset the and for new of new increases the vinyl gains drip of that we
we the become and make narrow provide a summary, it world chains orders a Near-term global more accustomed normal. we has to a to difficult seeing as of return provide more much and In have new able be headwinds ranges. guidance to seasonal challenges economy are improved believe to supply post-COVID cadence more
we optimistic remain on the However, long-term outlook.
flow $X strategy. The top align entire support Optimizing remain controlling remains capital improvement, which serving our our for and can things on we working growth improved company the focused initiatives control. on invested billion with road to will customers continuous that capital and our cash and generation, priorities return
capitalize type of it's to any prolonged In challenges. opportunities well are this growth positioned downturn, short, if on macroeconomic or We bright to they future is necessary. of as near-term the despite arise, weather company
results our discuss up I'll now call over turn we'll finish Scott, QX. in and who and detail, providing more for to the cadence some modeling by will financial a assumptions
