FND - Earnings call transcript Q1 2020 | Floor & Decor Holdings, Inc.

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Operator

Greetings, and welcome to Floor & Decor Holdings Inc.

First Quarter 2020 Earnings Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded.

pleasure Investor your Relations. my Vice Wayne now of President is to host introduce Hood, It Thank you.

begin. may You

Wayne Hood

Thank you, operator, and good afternoon, everyone.

Joining Lisa Trevor conference Chief and me call today Officer. are earnings on Tom Chief Financial Executive Laube, Executive Lang, Officer; and President; Vice President our Taylor,

started, in of to meaning contain webcast future Act we of Litigation forward-looking and reason, Safe any within everyone those the company’s company’s characterizations the any conditions to future uncertainties. no remind forward-looking statements of Private risks is listed Reform and projections get forward-looking refers Any including Before SEC statements. language. filings. update conference to Comments in events, call assumes other such you expressed are subject statement or Decor actual future forward-looking the materially market of Securities or Harbor Floor such to XXXX including financial made I’d like during this obligation differ & and results for The statement. could its projections expectations, statements a that those from

past or Please that a performance future note market not information guarantee also of is results.

be earnings in of available Relations will the Relations release, financial conference call, website to found as replay by non-GAAP will these measures with A can is basis comparable our Regulation reconciliation each discuss ir.flooranddecor.com. the non-GAAP recorded A of defined Investor together our our this believe to financial of related disclosures press non-GAAP performance G. measures GAAP We available most better investors a on company SEC directly website. our enable at comparable understand which on this operating During core between periods. be call, on materials, Investor measure

Tom. turn now over call me Let to the

Thomas Taylor

us Thank our quarter you, first earnings on join the everyone to and conference taking call. Wayne, XXXX for time to thanks

way inspirational our been particularly to are organization, for have to occasion our come them. which together to culture and & placed the Customers store to I a get have rise entire to of want face of real in enthusiastically and of our that testament and health thank we front safety of a Before They the associates. in truly started, all Floor protect just efforts Aheir the Décor the team new challenges been have continues associates

in spread global subsequent On and novel unprecedented. facing then impacts today's truly discuss stores discussing XXXX uncertain center the and and results the The and our time call of some quarter some that during will sales support continue serve I to time. of and highlights to coronavirus the the pandemic and spend is of our enable store operational us do-it-yourself more challenging are economic making first to this earnings Pro of we we're changes retain customers our

on model in appointments the now and our building across how discuss we by to will March in we're that are and country. rolling out detail curbside convenient more pivoted I successful adding Pro it

challenging the I of see against Pro our Utah by will offers response approach the glove sets service appointment facing. that strategy all and in white forward customer We trends our the it do that our and happening touch of encouraged We're apart. our sales to now us are our are on from impact and having strategies that two we others path restoring headwinds to entry is stores a Additionally, limited on today. growth

way review pandemic that quarter us not our other positioned performance our detail taken with flow are protecting on through then in discuss we more how cash of first been first eye COVID-XX to Trevor our will customers. ensures associates bridges the continue towards are safety the we and profitability managing well and side. our but liquidity, health only a and and be will financial and Later have an All in actions the of

directly in sheet may Strength the right trend consolidation independent possible in flooring further enables and beyond likely hard assortment This access surface of the in struggle time. at this foreign liquidity liquidity as will industry many accelerates share XXXX our to unprecedented lowest to and to to as price. our continue balance quality, customers contribute us to maintain market provide growth retailers

our Let me start earnings. with first quarter

As you sales million increased quarter first release saw comparable to our our store in press fiscal X.X%. $XXX.X our XX.X% grew sales XXXX and

to first our the fiscal transactions pleased that which store largest expectations. date and sales month X.X% to our sales days average of our X.X%. increased comparable declined store X% comparable March, in last is the we Our quarter quarter our store ticket comparable grew were six of with quarter, Prior line

growth growth in a X.X% transactions store ticket. that a reflected increase period X.X% comparable comparable and during The average store in

pleased XXXX our we first markets. with in considering March days a of unexpected the to experienced store XX% quarter of sharp in are sales We decline the six pandemic fiscal impact from our results COVID-XX more sales last comparable as

gross our the quarter earnings proactively planned operations per March some declines expense. in pickup we increased are and to primarily we XXXX, convenient XXXX $X.XX limiting GAAP to sales response completely quarter pleased we to lower March, due of first unexpected share than in a XX.X% that in the diluted fiscal stores. margin store pandemic, on our from close corporate to late favorable and first $X.XX Despite the forced IN curbside cases, XX begin were

the earnings the per Our our expectations. in quarter quarter share at XXXX diluted first increased adjusted XX.X% to $X.XX high-end $X.XX of of first from

to our within or completely safety entire and associates organization a cross this of quickly operational discuss group enabled as me to during near-term and have late creativity functional implementing while our strategies operating Now adjust detail period protocols In changes the this we even more some model that leaders sales amount cases stores the designed limited we of and uncertainty. closed. made retain some have the The our for operations to of develop customers. in in let procedures March, collaboration has are of us assembled significant

operating stores company completely of with the for online product or which XX some we warehouse phone app. remaining closed shortened As of had Pro point that four a many up there are are are at Today via ordered late curbside reference March. completely our point product, hours closed. be stores or XX.X% a can through in The as open as warehouse convenient stores only pick

are slowly allowing our to We our stores country Pro appointments across in the showrooms. conduct

two with in our DIY to both enter limits. stores are professional appropriate Additionally, our in testing customers allowing we Utah, showrooms and occupancy

this staggered local and know health difficult reopening our We when authorities state As and full US. government local, to do across this do At will us dictated stores expect by mandates. is juncture, intend operations. to we for return official change the it conditions to and will be our

our expect furlough have Because we hours. to our they're our do protect associates our strength of stores personal fully all open protective equipment associates from full stores to four All support today of remotely continuity stores. of Nearly operations, our plans. our stores including to reduced shipping centers working are center full-time to albeit stores distribution are our speaks to business the and supporting we supporting eventually open our chosen which

be the needs they our Once as we a on the outside a enter by that customer our pivoted determined, are strengths, customers model designated curbside customer. in or served will March the be greeter needs to will met loaded. is qualify lot, who to parking area focuses that to sent of The

runners can thereby out bulk grab the in it our to selection moved installation that of customers. added small and outside materials we quickly and more samples safer making Additionally, convenient for designated store,

their We continue believe In the them service we concierge fact to strongly impact of the like us post that this to pandemic. pros relationships will challenging our pros how challenging helping and share. to maintain build to many further would remember grow can business level of periods our are market we period. It operate long-term during on is exactly believe during this that our we brand awareness our these

large us unique flooring particularly From vinyl surface believe rolling hard SKUs we great most moved merchandising give to is a are displays allowed move I they merchandising when we tile, other products. competitive perspective pics us displaying and of This outside large-format our designer important best-selling inspirational as plank, our a advantage fixtures outside. easily have luxury our

Finally, we for pay mobile capability the register. added with to curbside the customers point-of-sale

have new of first Algonquin, in turning and Sacramento, opened La and Quinta our three the California stores Illinois. new including in quarter new Now stores we to XXXX warehouse warehouse stores

quarter stores at XXX first we warehouse number that quarter the the the total the of stores brought to XXXX. from The end first openings operate up of XX.X% stores XXX

caused March, on state in delayed some We and late forced we had has into to restrictions originally stores The us planned to openings store open but two push more pandemic local due the which XXXX. the which our pandemic or to of new later those has year construction, new openings. in to have

growth store near-term by financially we pandemic. now year, of For to the our all fiscal believe COVID-XX we XXXX temporally headwinds prudent slow new is it the consider caused the full and

piloting that in Dallas open with in new we stores XX in XXXX pilot. anticipate XX stores store warehouse store plan compared the end warehouse our of To now design prior have and designed

taking near-term fluid encouraged challenges partners We these are We are discuss specific operations negotiations, to landlord with rent them sympathetic deferments. be are facing partnership landlords and and we and we are engaged closed approach with to with others the we are a that store about our can't reduced but stores. our

and are leases. leveraging we with said agreements locations our lease legal renegotiated under options unexecuted That our

run new have and few are open I recognize plans as that think over one capital stores long in the work tentative remarks retailers most we store temporary cover the from openings. savings and want Trevor his will we in cost to reduction of that that of choice. our expect landlords us with a the the to of spending

were that of the our during and seeing to comparable other in COVID-XX March, March where experienced to days hours were to mounted were the on Though store comparable about sales pandemic economy that as we reducing grew six store first parts concerned our quarter curbside a stores, decline with close we still down. continuing the pickup. XX% beginning quarter Friday, through we our pleased despite shop That last changed the us in forced we sales comparable Moving store to shut shift sales, pros operating were the as XX. of X.X%

have is want quarter our we inter-quarter share that store to to sales not information, normal While it second XX%. declined do practice provide date to comparable sales our

sample going are with surge us recapture satisfied leaves in decline, This store coupled the none our rate sales, improvements forward. strategies and projects. seen with this improving coming have flooring which we us slightly more a and our further in interested about tell trends sales are full customers optimistic months phased of in the are While openings of to recent us

Turning Consistent increased to which continues category, our as category XX% XX.X% some total sales of categories. to was to first quarter our to category quarter represented technical very with vinyl performance superior and and is of in merchandising has previous best-performing of plank last luxury This quarters with features, compared our our our durable first sales within resonate customers laminate our the year. easy install. it XX%

in and were are operating installation and and our in sustainable of The pleased customers. with our which is We are how materials, important materials our presented professional increased our represented this changes installation category also XX% sales we made driving very growth for have sales. improving processes XX.X%

accessories store Our bath to throughout locations. year and category many includes of which adding adjacent the product be and business our in grow vanities, we'll doors, countertops shower continues

today While we the opportunities. it sales believe the in material growth not this is and incremental strong growth dollar is offers volume category

to rallied and together to enthusiastically to to it challenges combination mentioned associates customers. of caused the the been continue in I meet pandemic store center by how see serve our COVID-XX our As store has ways have inspiring creative support unique

discuss another me Let example.

of and and appointment Due that is in still now to our demand be offering, of cloud-based to experience this service about with a to live our we designers excited our product are our from but This of a we're the free restrictions providing and that at and a expand their contemplating offering. customers starting experience, stores introduced flooring virtual chat building might customer or videoconference. is our shelter under strategies connected just operating example an first with connect ease customers April By ability home all the project how project, are this in design prefer on virtual place and we video with engage high stores. collaborate our

connect allows This desktop and Meetings their share and definition. store be customers our guidelines. customers order on are devices through resources in can Designers walk collaborate customers and can including and to mobile invited. room my ideas inspirational virtually distancing with designers a builder website maintaining on strategy while with to visualizer, a social browsers additional through quote schedule participants easy our leverages our high and website

a than when discussed previously company designer average. and we've is margin as involved is the our higher Also project ticket in rate average significantly a

letting for this and an with that advertising our yard eye and banners us online they and messaging. on stores spending hard Pinterest with We our protect still the can our ideas how our and customers YouTube have products media inspiration. via shop and telephone. or and to to modified continue this as with do-it-yourself we open towards know surface flooring pros see We customers spend for are search, did signs choose We are looking social using

We've also give interest liquidity month additional no our line an credit our May do-it-yourselfers of XX, extended for will pros through XX and offering projects. which

on can spend. program we their rewards May premier launch in points Additionally, based double where they incentive will triple our Pro earn and

credit card the decided to second have environment pause of quarter premier We XXXX Pro improves. until operating launch our the

been do-it-yourself customer have be engage investments in have our off paying multiyear is inspired strategy critical staying The virtually. find we and call us, customers educate center professional and Flooranddecor.com customers. our to to help connected and themselves with made our

safe gain distancing buy their full assortment. customers our simple allows job ultimately As site, shipped and access for social technology up online our have and to stores in to or product comfort pick and

our company operating As is our up approximately e-commerce at for has just our change model, now store. an to customer the it and represents business our online the very we up model of e-commerce made then site it pick curbside XXX% to order move the Since and XX% sales. place sequentially easy

it talented combined has advanced us volume handle the call and the significant up when center with in team flex to technology, we're invested to also allowed increase in and experiencing. have We call

to To phone supports in their to business them added store we customers help on environment. projects help who manage assist complete the this overflow center associates working new the are with

which functional through challenging our began a last also revenues testing Beyond its call we that drives as during has programs, year. times, support providing critical emerged center these late business follow-up

growing customer We professional continue make to great the commercial all-important investing progress and and in base.

cultivate We and find pros, continue to well. them serve relationships

is Our message customer value to clear easy professional the for and understand.

hard supply at in are dedicated combined your prices, such a credit. We house. we of with and with free surface are services, stock starts services right, a program quantities inventory all free open consistently and flooring substantial great storage, as low trend protein, loyalty design It

communicate rates. our program, many Pro premier identified in-store through pros used into and to them, at serve are value through from Once communication solution, higher to have input ways our proteins direct including CRM marketing, proprietary our approximately, our and and loyalty and which email we be higher rewards Pro continues to

work. We are strategies to confident these continue

larger job Two the simple spent our up XXX which a sold first normal to quarter commercial clients have top us are sales big before examples, and double year generally with what the they commercial in over in sales and our our are spent much than first XX% quarter. pros were

and unique these During this customers. are difficult we to investments know solutions important professional our time,

how we forward they that clear safely during them We us appreciate reopening and to again. this they support doors have challenging are our like with pros them to from proactively look time and our loud us heard working

this cause to to side. more closures market that The will COVID-XX retailer outlook hard starts challenges and we sales and to economic other pandemic industry facing retailers associated the see consolidation time and phase, and on plan liquidity store us flooring After we us further for believe to will choice of take surface the the share. remain many be

some cost-saving of near-term to on Moving measures. our

have our this taken profitability structure during and to liquidity, uncertain period. cash to flow protect steps resize our We cost judiciously

could with payroll In us these March period late risk that we our could for our not store some resize of to placing and economy costs from center of in difficult the decline anticipation we the the time that and store support sales to an priorities make, towards longer-term decision to position. at and most decisions them eye competitive a pandemic slow growth once reopen. be continue for begins made were to our While recovery COVID-XX difficult made

were XX%. in-store remaining our the of about We and associate our associates XX% X,,XXX full-time account for associate our Part-time part-time to for about furlough hours account associates. of forced

currently from from week to approximately our store hours While have their approximately XX and XX did department furloughed had we hours hours per XXX per per associates, reduce hours hours hours from week XX we not our full-time week.

the by are improve conditions business of up our to we As prepared play hours flexing full-time offense associates.

other I our reduced Laube, the base The other senior of XX%. salary were Trevor will a and The store base as teammates amount than reduced support the our were salaries base the benefits management provided graduated as both receive by team salaries amounts. in for that well by Lisa President by will company. cover our center temporarily not

Directors temporarily to suspend of agreed Board retainers. also their Our cash

by our to to have the creative me Their unique to how again saying pros store rallied of how challenges serve our that has the to us and Let efforts combination caused continue pandemic. operate businesses. been customers, close associates our see inspiring by particularly and support enabled have together small store it COVID-XX tireless

ended quarter a and fiscal our strong history. the XXXX financial EBITDA levels quarter at sales, have and liquidity XXXX highest in our with the XX We in of position of year

believe capital bridge access plans and challenging our cost time. liquidity we and correctly have us adequate structure through have to We this to resized spending

power and committed model crisis this our unwavering to navigate growth. our Our business remain of ability to and is in long-term confidence we the profitable will

details thinking and these will quarter to about first I Trevor discuss results are during flow the our how managing cash our financial liquidity, turn and to profitability in now times. call more we over unprecedented

Trevor Lang

Tom. Thank you,

a COVID-XX pandemic. is our saying the entire our to It leadership team thousand investments. e-commerce and technology extremely operations enable that executive our we've model is and in proud challenges our to a the leverage to we how model incredibly made me changed and to investments have quickly of the quickly us pivot Let business curbside by being testament meet our associates of that

curbside sales Tom company represents public. of our than even that in to have the the crisis. ecommerce and sequentially amount sales. I bonds to immediacy our pickup, since a to us now our mentioned, The XXX% are while e-commerce significant retain XX% how and proud our is of up resilient organization more closed in operations and As stores store we've enabled it made us changes demonstrated implement business am has of before and investments

strong continue of will We will are come and grow as that as future. in we ever confident this out the to

in to withdraw results. other like closer outlook you sales I that prior we've team and press chosen believe and our manage many earnings as respect will our just companies affect As a with our as you release, fiscal are our worked have business. statements we unknown we there tell never variables saw too many and to will guidance XXXX, to harder

While and management the have that been has a experienced for an long board quarter team to time. together

us set short decisions We the COVID-XX. at as we and will other we've believe remain strong will we and -- look apart long-term with this made of pandemic side

I managing times liquidity, our begin am first our discuss we're going these results. profitability flow, how challenging cash by quarter then briefly and on during to focusing

have to our refinanced February loan fortunate on term we're First, credit our facility XXXX. and XX, facility revolving

liquidity leverage conservative the performance, put us XX-year refinance the including history. most best our has position debt in in history and our Our in

maturity levels cost high future. at to access in the with us dates gives far of Refinancing lower cash

million end February quarter first point financial had loan maturity XXXX. XXXX flexibility our me a credit facility out term with some the features that under outstanding our At us of of of facilities needed. of Let if the give $XXX,XXX,XXX XX, date a the of we

to $XXX the of increase facility EBITDA. feature includes that consolidated or to certain under by term greater of circumstances up the XXX% facility million us an loan our amount Our of size allows accordion the

we started unit amount an a if facility consolidated certain facility such We a increase basis If ratio loan loans a total term consolidated to under pay loan up also to such to the a on of of would under ratio under we're such basis secured adjustments to if could X.X. additional certain increase loan by is circumstances leverage certain up ratio conditions is consolidated and leverage secured and to increases term facility leverage the X.X. proceed also increase with on with X.X on up consolidated the a including an of loan X.X secured our the total unsecured leverage term

it's of functioning also to Based inability conjunction renegotiate course loan term at with Lending XX, maturity facility higher debt that million increase agreement up to in are to to amended assumes or February an $XXX feature the our an expensive are and we the us if that XXXX. date lenders. The our The currently increase albeit to its we ABL debt facility amendment or Asset size In to markets agreed has $XXX our ABL accordion levels and an February. facility more upside amount they of allows than even million by

facility to ABL up percentages reserves. our base on less borrowing certain and draw can inventory by of certain of We receivables credit available

As proactive uncertain approximately ABL March was a on and measure, preopening to drew of and facility in late markets basis. our escalated. X.X adjusted leverage or our in debt At XXXX net lease adjusted quarter excluding was the expenses what XX% we of credit EBITDA first a precautionary million as $XXX X.X available on

quarter intentions an position $XXX order for times go leverage which anywhere leverage while times debt In should six that to have liquidity would by of that be borrow or have net to at approximately our in we first level first our model to near quarter. million no it debt the the the aggressive or end we increase could not to amount close our ratio three our

end increase March have liquidity and cash facility. equivalents Maybe borrowing to cash and under secured XXX,XXX,XXX no covenants XX,XXX,XXX of if borrowing in We of on fixed on we had ADL in including senior unrestricted maturities in availability. financial material the loan. at us coverage XX% no charge and our debt our available the maintenance XXX,XXX,XXX term ratio

we ensure manage alternatives to through available if flexibility financial our us facilities possible we coupled having impacted reduce actions to continue said provide the financing needed. cost, that's credit business. us, need to examine all with greatest taken we've liquidity to have to COVID-XX median the the on That and prudently our believe with we the We liquidity

and liquidity also three We've We on the evaluated financial currently statements. Cares Act sections. our and main impact from anticipate

tax return the tax leasehold XX technical to First, improvements appreciation payback and bonus allowance to temporary XX-yaer property net properties take operating question XXX% with advantage five-year we're eligible which our loss changes of the for qualified new

finalizing the to full Second and of Security employee we for deferral the potentially provision the benefit positive We're Act. further Act from within help provision and in and Cares year estimated payments the millions flows them of cash third, temporary to expect from from expect to Social benefit cash taxes our to coming provide credits expect retention months tens us the other we Cares liquidity. in

agreed tenured Let focusing structure decision to our an this reducing pass last spending the cost protect the collaterally stores employee all a time right-size of operations. partner. shall made decade the we valued, flow and that cash are and reduction remain aggressively leaders until on spend partnerships towards knowing to full long regarding we'll to we or short-term minutes restore our discussing sought a after employee we maintaining but deferring also with how our our in We too full me over able make and and cost cost so few with

spend associated largest to the stores the distribution to our cash and get our supply Inventory centers cost far. by chain and inventory is

can we large a and technology hand, quickly and and chain transit adjust good have that purchases. of smart our leaders inventory replenishment in so evaluates supply team that on on our We purchases order

flow we these we load and levels. purchase are point believe to balancing based and on materials the demand our with orders of inventory factors have impact probably our future sales current of We

terms next of We've also our support expenditures. to flow. temporarily further cash this our The spending capital our with worked partners bucket vendor to payment expand

opening we've expenditures Total mentioned capital have Tom As as planned are to our store to originally to expenditures areas million to $XXX currently reduced well we million the plan planned. capital $XXX $XXX as of to approximately other new be $XXX pandemic. compared COVID-XX XXXX response million million between our slowed in

million approximately and changes, amortization depreciation expect our these on $XX in we and be to million $XX Based XXXX.

temporarily line new in new expenditures cost vary freezing from we're store planned best depreciation estimates reviewed a and expenses. our capital environment pre-opening non-essential travel advertising, and and this current including and compensation, each incentive Our professional location operating expenses, new P&L judiciously the our could We've have very as operating fees, most recruiting cut reducing is but in entertainment, hires, estimate. new materially store in our

our proactively with with great to they landlord occupancy reduce We've our We've store the our relationships partners collaborative cost. approach. and the appreciate near-term partners worked we valued over created know years

As relationships. averaging who we one years, of past strong the built have few been the growth XX% for seven have unit retailers

value grow notice to landlord new intend we We stores and have to the community.

have We also at has this partners two in intend realizing value. future. on the well and know future this businesses and as by pay in thoughtful we to grow as these a pace believe two, faster We the being will dividend now

operating around approximately and million approximately $XXX our chain of million. by cash associated capital fiscal and $X our million lowered $XXX lowering by $XXX XXXX supply expenses consistently our about expenditures We've expenditures cost by for inventory

but sell flow be of we're in sales not giving potential range for XX% support XX% previously modeling outlined on to to on flow guidance. our expectations guidance As our earnings sales have through lowered and the previous current

level, and flow and operations that taken it modeled are our difficult from We've forecast and could those are normal is long as they intend do incremental separate our through environment as we've COVID-XX some all to material. in earnings release to flow While on in this be our these through different. expenses

our models liquidity. rest We before liquidity quarter as thought performance. of our into already I stress first of go on financial retail One for XXXX test our including the final enhanced downside and scenarios

of million we our were and liquidity as incurred remain of use that approximately will $XXX will be position early is throughout view COVID-XX first XXXX. pay estimate current the strong our will pre-COVID-XX. bills sales quarter by end we from as impacted Our cash $XXX June the negatively through We to million

structure significant as we As due we to increasing lower we to previously expenses June, stores to have the our described. past made modeling are due and get early cash cost in changes balances public are sales, our reopened assuming improved

we in but off cash Forecasting to obviously ABL April, choose in we're outperformed our I'm pay to that in a putting and enough environment from is completely to liquidity have do model happy difficult, perspective, both position a quarter so. and this the we should our sales have ourselves in

fiscal now turn first quarter XXXX our me goals. earnings Let to

new gross XX XXXX. of distribution product Baltimore higher driven product improved distribution last merchandising quarter our year The lower of was basis well was from points of gross margins, tariffs slightly modestly center first margin The offset by improve product related higher the margin XX.X% expectations. margin to from to to increased costs quarter costs expansion reflects that elimination above largely XX.X% center margin. the gross as as and fourth rate the our opened year-over-year strategies Our in certain benefit from

Turning our quarter XXXX to first expenses.

associated business. new opening of stores quarter to store basis was to selling expense the COVID-XX points and lower-than-planned XX.X% days costs since from XX March unique of XX.X% as $XXX.X million was expenses year. mitigation $XXX.X and last first million increased million last from XX.X% operating The well $X.X in XX on with XX, six rate March Our due our of sales year XXXX, last as deleverage the

comparable points stores selling expense. advertising as basis XX comparable leveraged and a we occupancy, store expenses Our as percentage compensation store decreased and incentive of approximately operating

investments store are due the compared which year increased XX due technology functions weeks expenses, support outside depreciation increased administrative to personnel prior to continued our March support and period XX, and the in to or growth. General $XXX,XXX to incurred of store investments stores, corresponding during for expenses X.X% our ended XXXX typically our

points year Our incentive for as of to administrative in employee general as COVID-XX. accruals ended compensation to due XX XXXX the sales lower of net decreased XX, X.X% during and the approximately XX March from prior percentage result a a weeks basis corresponding period expenses X.X%

XXXX. March increased prior Preopening XX% expenses and period are for XXXX stores to or three about the the number primarily new a as the period XX, The increase of first same quarter to increase from We year prior occupancy weeks of million costs period. well XX, ended to open opened each in $X.X the as the year. an during result opening possession the of we of is that store to stores preparing higher March the XX due longer last compared

or quarter compared interest increase in interest in same prior a last to as as income First due period corresponding expense to decreased primarily year. the was period. decrease the from interest year well interest decrease expense in net million earned $X.X an XX.X% The rates

first discrete corresponding XX.X% tax by effective of tax the tax in related to option the effective loss to The exercises to compared to offset benefits Our in higher uncertain year recognition higher income last period related was positions contingencies rate expenses primarily for stock due tax XX.X% partially rate a year. prior quarter compared was the increase to period. the same

on Moving our profitability. to

from year Our points as first million XX.X% to basis to quarter adjusted same adjusted our EBITDA XX EBITDA million $XX.X from prior increased in quarter XX.X% the rate the over $XX.X XX.X% margin increased period.

first last Our GAAP increased XX.X% million $XX.X $XX.X income fiscal XXXX from quarter year. net to million

diluted $XX share or Our million weighted increased to first diluted with last first outstanding year. $XX.X $X.XX share XX.X% We per XXX.X the $X.XX shares ended million from adjusted XXX.X net average last compared quarter shares diluted year. income quarter to million per or million

personally all circumstances. in customers closing, and want to of these thank our our associates dedication tireless In during for challenging I work their serving

call we'll With the over turn to that, think questions. I

Operator

Simeon [Operator from Morgan the instructions] comes Stanley. first Our Gutman with line question of

Simeon Gutman

demand. to for ends some here, your take look normal more Curious question, view no view My home than on on segment there's up get a this and what could guidance reasons. for first insulated home And you a being improvement is. Do downturn? your have downturn the realizing different a bunch improvement I that a little wanted different of it think housing

Trevor Lang

this is Trevor. Simeon,

sheets. think to They're tough in a we're back spot. build is going to consumer going personal their expecting be be The to tougher. all I balance things

And so I think do just lot be the of sector a impacted sectors will. will like

Floor back Decor declined needed period, people I will if go trough look obviously. time, did sell pretty frame, over lot and a X.X-year adequate and sales back who peak history, that & time that XXXX-XXXX say, products, to though, XX%, well. you to it. to we could had a so And in that's We during flooring

low prices We inspirational prices, design low. were And incredibly very have center. a our

this our And at exists, during the value overall that we are when environment. attributes look accentuated so you think

great really in look But value environment be low as we we the will professional yes, Pro value tougher have think integrated forward. of salespeople, matters. customer. product, think And good-looking lots prices, to So we I website, the sense serve of team the products,

conviction all like period us so to market And long the a to allow going of those we all But us the yes, a it's give tough environment. that, things for time. be a outperform will we things have have

Simeon Gutman

the of any you're I Tom businesses. share competitive a my against hardship Can others mentioned. wonder then what have open operate of you is follow-up do open you're through essential full competitively? and if you something smaller on you up an classification, environment up, that to them? think against lot open And And going a slate had You getting do you're stayed then seeing competitors? anecdotes Okay. When to about

do and this what then things And that class? this mean if 'XX in period, expected year are this the stores leaning in normal didn't add open said Tom about you back that the you related following XXXX, to to get them does to open up

Thomas Taylor

we have have question. that's That model. now. we in that as models on the safety and and to we're associates X we very it appointment as to the curbside long go can. first, get our follow-on and Utah and much is try model, entry curbside-only a a to got customers got our Pro a put We've do we decision made have to Certainly, stores a early models. two model, of evolved, of -- limited I'll operating I We've

And the Board. over competitors are the all

very associates they're get government open, up, customers what open really who's staying will And the completely stores. as do; allows, that's and my cities, we -- told our and by Some some our team, we'll -- are continue it first. safety our to market. to opened back aggressive us we'll for varies doing cities, I've And just they be as

it. So first of that's the part

this, going anticipate flooring they're we the smaller and the some the stores, of if independent, it's probably this. be this hard liquidity there'll other time tell will maintaining Certainly, the think consolidation who standing. to I in end more side at to of be have environment, hard a

didn't as many of probably questions, and know I And the as but then all question, them didn't I get I -- our I last plan, to could.

is XX% to to growth year. get back plan Our unit next

of -- is to everything it's hard get of kind shut the just stores built. So kind down, it's

economy a original the our reopens to that to assuming get good in back plan. So fashion, our plans are

Operator

comes line Steven Our next of Forbes question Guggenheim Securities. with from the

Steven Forbes

I it's the there or transition is cetera? really that to county can in difference, category that's greatly chain And I et suburban presence, mean, geographical the wanted anything whether urban particular that just trends the region driving the post that performance transition versus a a differs curbside to from business on from you focus out model. the since standpoint? call exposure,

Thomas Taylor

just is hard answer or doing been better time curbside started It's it's come It's we've on that. better basis, to reopened be the to going hard stores going pretty little the it's in saying, on It's since us mean I opened. urban and let I to hard bit as for rural. if customers in in better consistent normal it's hard give gone really be an think has see model we it's to to a a -- actually to until -- pinpoint to on. okay, get

consumers they less it. a buying of any product are not standpoint, seeing On they paying difference what The really. just we're bought,

Trevor Lang

add we hit up quarter. fourth said, previous X.X% And COVID-XX we the year, things. X I'll last exited just to that those with comped those last I think One, in -- was days, two X.X%. last our comp we before

business our a would it thought we did. little and accelerate bit, So

were that. So with we pleased

-- to The the volume be be core probably wood to challenged across our business our continued trends the category continues Continue our category. natural continues best where rigid category.

existing to continue markets newer Our outperform markets. our

bit a just got better. little everything So

that on would period the estate. And time What we're that would been have Simeon's been real a to is estate I locations interesting now have are we do in time real about think loved has opportunities jumped we this I that long question in getting -- want of to follow-up and throughout mention one ago. more thing in have

our of markets in have do way into that I and the is dense getting so the landlords just think benefit to difficult now with ourselves and opportunities business this some we've that of is, we're otherwise. the handled would And negotiated for of get out been strength us the

are estate lining we for So of are us. better environment one is this -- opportunities getting the bright real difficult

Steven Forbes

just right, prepared engagement the in And spent remarks a the the your or consumer et services. then as design number the on stores relates the the that, changed Pro. maybe expand services, the sort Pro just to any engagement it some experience design associates with cetera? virtual But on and that's marketing recent DIY investment with time Whether of just your the here whether, the has and of both around plans design You in right? on follow-up and services plans

Thomas Taylor

our still incredible. the still just of with to mean, for has a of They're People a opportunity -- want we're Yes. accelerate been Well, tried We I our associates, since most acceptance were lot full-time them product. working. engage to designers. customers. design And virtual

been every increased so has worked some since we appointments And their appointments week with, doing that it. previously customers the we're new had it's and that started number of

watched store in designer showing appointment It's incredible. and virtual inspiration. been has store walking last was a giving I terrific. and a its and and feedback them the customer The products pretty week around

We're them. people great engage experience. very in about website it our a that know telling on it. so been can and they it's So We're about excited they

don't Lisa, I anything there's you that if to want appointments? about know, the add

Lisa Laube

it think only going out to know forward are foreseeable The extremely we would that comfortable add than No. And I about. thing that that be the is I don't people for I expected. probably and going done we better how would well, other future, has say

great to way to appointment with design before the going we is So in. a virtual be ever engage and for customers coming think store with the our this product

the to one to of are in a So see option plan we we opened, designers virtual think person. it's give the And continue stores design and our in even a come competitive appointment customer when unique have advantage. the or to

Operator

JPMorgan. [Operator instructions] Chris comes Horvers of the Our question line from next with

Chris Horvers

really one does long that question. it's If So question, count? a

sort Pro, better? about not talk lag it quarterly why have So seems more Is "open." Is the trend you on is week it consistent the want making the stores of And or doesn't like And consumer that the that where less impact there professional first, that's Can right? your in coming in going of maybe Is with becoming overall? Is nonessential you last a the less more installation? it lot DIY? pretty states? some comp Pro that and quarter.

Thomas Taylor

and in be I go. off start, going it's sure It's of just good well. was didn't when curbside I people let we slow I'll been first, to Chris, that -- it really the And so consistent. been it And we down. would I hasn't Trevor then as case. went curbside. and jump since that how consistent went it to and start I'll finishing know may to been pretty wasn't projects,

then the on time think it's do And and website. at recently, gotten still look virtual our selling with appointments of better. -- want as our mean, -- on, I we're product, we're people how many engaged doing, -- I And they still to they're samples how goes many are out

they to and it. People still in want do product, to engage the want still

sure the to it can the right they be going right stores. that to customer homes as measures how And can their safe their they the sure about make users' to that they're feels in So social helping that our distancing homes. execute to Pros taking safer try can do customers, and end think they getting customer in we're be can part how they in our make

our negative mean, only their -- talked but to will guidelines we , have couple really from feel. sample stores where how I've shelter-in-place from people it's it's from that's But stores, the and question a not what I small I've went what So on to -- that a of a from comps reopened positive. of mark consumer there's and seen

think still a for need So for desire category, a category. still the there's the I

Chris, to I really to or DIY, it is kind say, of Pro And has -- everything it's a hard mean slowed.

the still the to and model, product. a [indiscernible] curbside of the lot think watch you stores you when I Pros, go picking our Pros

Operator

the Our question Seth Sigman line from of Crédit Suisse. comes next with

Seth Sigman

I planned for the to about that you year. ask this wanted initially had investments

next somewhat it year? in-store elevated and some an shift of into was Does to areas. think growth just of be investments I other expected year that

as Should coming operating this of catalyst for is about situation efficiency? conversely, a perhaps maybe better start Or leverage a that serves be sales we out normalize? to actually thinking longer-term this as

Trevor Lang

at all and decided looked mission-critical, item, This we went line the we is single on every first we to through, and it as comments in prepared mentioned Trevor. was and or of anything we didn't happened, When feel delay some that cut.

expenditures think by, our needed we so cut. customer-facing that And think, to I low capital or we I cut tried XX% wasn't done. And do everything be to really

big early XXXX cut think what for we're have we just as we will openings it's likely next this pretty new XX an bit in silver one the because in center a well. cadence this a impact have class going had budget fiscal sort open design the of we CapEx, So [indiscernible] that our a little our lining of year. to XXXX. plus is going hopefully, obviously, to And We stores -- of down other increased actually of of

have learned I so things still we side, never have to homework learning we are more operating we the think in this -- do. probably on some would before. There's that And

if or And anything, answer. you Lisa, Tom so tell. but I to probably But that would I my too don't think it's know, if be have soon

Thomas Taylor

No.

approach to thoughtful that's different the in and do we try could business, are be right, and think I that the be. to think we which of take Trevor. learning steps can take about I some operate, ways it that right is we'll costs out that

Operator

with line question Our Lasser the from Mike of UBS. next comes

Mike Lasser

a of points varying and you've offered this call. So viewpoint lot data on

dropped recessions you will than you couple homes. matter been stores, in This consumers' a of may or XX%. Trevor unemployable not that last when that be more There may because the Tom, around, time open they pent-up anything. have said So mentioned allowed Pros flooring comp demand positive. during

think that flooring normal critical it, said the quarter, XX%, this is the time factor all much that new determine running, we trying to that of call fourth So around? should flooring third maybe putting benchmark down as that together, should half up to being and I relative whatever and once think -- all in is about the you we're be down

of & Floor positioning that. twice the because And do than could of you better as competitive Decor,

reasonable XX% the of down everything, is expect your maybe So singles? to to category to it's are XX%, comps if mid- that light down in high

Trevor Lang

Yes. $XXX much a This around, would $X.X is been last interesting. Trevor. obviously We're I that's was like time the the company. COVID-XX, company thing this I we and around downturn, In One million think have bigger other billion. think

is customer effort have But a we more us of a just and good bigger helping So being better. of much team information has in benefits a company. data. our really bigger done a one understand Lisa's the lot company

in $XX,XXX is And XX that, average years. income up. $XXX,XXX XX versus through to and We years probably $XXX,XXX dug old. age to XX we in between when house of customer now, our that XX the We're median we estimate the lived some range. for They've U.S.

so all being you being person are add heavily And impacted that by are when by lower buying up, income. when from discretionary people us has who's that that. level a impacted of this, the it's consumer, the amount you that that good income And unfortunately who look folks at

companies. years, you And so industry, I struggle centers combination the with majority still And over small-ish home when had, will XX success all I of with the do they the last with this. success we've the look the the think is on of think industry at all the have independent-type that today had XX% the

believe assortment, of trend-right during take the value this meaning before, mentioned value share price, disproportionate of period time. we'll I meaning a as inventory, value player, market share And we value in-stock

put care timers we know our figure But our possible we -- to have that the position of that certainly, partners So months. shape all by in exactly of doors. open don't care keeping believe, we by taking coming a to by taking all of full out what vendor looks ourselves customers, best the when of trying like. that take are customer we about care that over I all in the We're we professional our

And store mentioned, as test. Tom X it's only a

opened in, but we've that stores this comping positive. X negative we Our to went from

most but to open available And fantastic so of we we're business amount the we'll -- learn see. over the that's doors. to a as take position a our in next coming We've got months, of lot lots

Operator

James. comes the with of Raymond line Our McClintock from Matt next question

Matt McClintock

do question quick Tom, like is, Pro the sounds A back call, first been store, guess now, just kind when are right detail when I saying of terms in jobs of it. lot in It want or you've you're the surveys what quite versus Pro on to jobs I this of I busy. differently. this so being of appreciate question about ask Pro you cancellations maybe talk deferral? the the to pushed they really

likely Like how I'm sense be contractors -- just house, feel people their demand demand to have trying just these to et into cut able again off for get a comfortable there, back -- to better go much was of versus to is just much how waiting come get outright cetera?

Thomas Taylor

and more the to stores -- now and I majority anecdotally, Pros, but operators can length to is that relationship been and to talking been right? we has heard pushbacks. arm's So be of talking it's And I've And able customers. the to the cancellations, our job job stores, some have telling where pushback in cancellation. recommend an installation not have we that's an same kind thing they're not it's us that it partner,

gloves -- more how become more acceptable jobs. going I and a to the them they're jobs. big a to of to how and have their home, I going cancellation as they're maintain wear how to during Pros it's to heard they're they're entering will how wear of think to and think job they're going absolutely educated the and more going -- of restrictions that it's consumers ease to as homes. in they the user, But and we distancing, communicate masks think then have delay disinfect on And end how not going get I I'd social how enter we're don't

Operator

line Our next John question the from Baugh comes of with Stifel.

John Baugh

whether product China, I was longer-range think sourced there strategy? your might that reaction longer-term some if into from you sourcing you be curious to factored coming

Lisa Laube

It's Lisa.

So it's really a question. interesting

and starting immediate reopened, of the to most term, product. the get On have thankfully, we're countries

we've any at point, seen change. customer not, this So preference

CBD we've reliance and on ADD X.X last happened for China tariffs reduced have years and the dramatically over our product. so, or the the sourced changes As

left thing only the those much from things now can China. come that China Pretty right are only in

we country we so and have if to to that. do And moved we've product continue will another those option, countries,

in know with other working finding in up to of or to So manufacturing whether manufacturers landscape resources that some it's continues other about countries, that our didn't change. open countries we

But yes.

the sure us, expect So we products that that us. make I for we that continue and the we're will want diversified think to and customers have from

Operator

next the of Keith with Our comes Sandler. from Peter question Piper line

Peter Keith

environment. tough it's guys, Congrats

we great You thought to guys job being to be XX%. down seem be good doing than probably guess job. at a say, that. Funny worse at it'd I

not So bad that on. feels everything so given going that's

traffic. potentially on you're could suggest more stores closed, in browsing, thesis that There's does that home, shopping some that spending more if It you wondering home. a maybe fed going your up their little us might seeing flooring bit back a around people more and a half like disaggregate it time I but with be what the hard the at other some feel to lot little demand probably a they're give on pent-up are with of getting And could of more little going aspects on a the year? web there's commentary was

Lisa Laube

it's his model. the think say very Tom mentioned through hard of with the like script, website we sales are now of coming curbside the Well, something I because the in to right because -- had curbside XX% model,

that to at little a look hard So it's differently.

and we But the traffic, on site. up is look the traffic at do

those we they're and before then store increase now online traffic, from, the the But people an in increase yes, browsing going that So up. then seen conversion have were time of the going store majority the is utilization. pick and obviously are to to purchasing to in where increase visualizer into in coming definitely purchase, it spent,

will easier And and we us. that experience an to new or and make for we do for so having the our on see I this delivered are forward? more the website in up we yes, things going even customers online picking that to But maybe believe shopping product even better, gearing working are environment, shopping up, for other do customer either

Thomas Taylor

that -- hearing it's shelter as -- -- Peter, think, other thing it's have homes in that's of lot they and may -- I and say, of old. is stay that I'd a a they're in have we a or liked place, backsplash finding a the there's people bathroom that lots floor the but not there are or it's their not they're more tired anecdotal, of again, really

country economy used going and may they out, still going And into vacations. while they that and have the travel house. may reopens to income would put their some people to They -- less they the so and that that reopens had for -- if they're get of that discretionary they'd put are they

We'll that as are But well. some So one we hearing of no see. knows. really

Operator

the of next from question Our comes Chuck Gordon Haskett. with line Grom

Chuck Grom

middle which think is You in stores today up even open opened the the There's those that all like obviously a majority a Utah ahead, little it the up open great bit conservative by sign. you've the you're companies to X of of articulated of stores When and I the in plans on number when could you turned a stated comps markets, you certain look seems guys have their Macy's positive, chain. being June.

guess to I guys you up stores? those what are open just looking for So

as April down country, the XX%, the helpful. in a any guys coast differences would that, quarter-to-date just number to if And seeing the what south, follow-up down of be curious, to there's geographical between the middle you are

Thomas Taylor

able we're -- States difference much the stores will local our limited the And of It's customers to jurisdiction, it's of lifted seeing a that XX% in starting amount that vary back and will we're some take much there. but up about tomorrow. we by be we'll bunch some really ascertain have the on open. let end to controlled that get hard into have get customers orders, we'll of have by of that, a stores entry, will we'll that stores amount be as stores I geography-wise. I'll we our May, difference decent a of not part to of really allowed, opening part, say that seeing would last of first tomorrow open but the openings, Yes. not hard a anticipate

and We're and comments, could authorities that we health follow, by prepared local, dictated said the my to will and change. staggered, official going So government mandate. as in be state reopenings be they'll

thoughtful of actually surprised that tomorrow stores here but be we're I little we open I the way see we we'll the to was going in So everything XX%. that a be I'm May, But do that and that. anticipate end we read do -- by today, more to able as up and -- by

Operator

Our next question comes with line Goldman of from Sachs. Kate the McShane

Kate McShane

in sound about supply are to But more Just any and supply now. the following the It of on like right the earlier negotiate current you're too world price? up major question if environment, willing suppliers on wondering just doesn't having the constraints state any chain. the

Lisa Laube

interesting It's question.

currency that. has luck The pricing has far, us fuel So had mean, some and helped helped some. we us. on have I

So yes, on there going front is that I do opportunity forward. some think

Operator

Our next question comes the from line with Evercore ISI. Melich of Greg

Greg Melich

since stronger I heard it second. a Did out that than for DIY I you guys quick One but that, Pro stores? thought the follow-up. you cut closed was say

Thomas Taylor

No. We say that. didn't

Operator

line comes Our Jonathan the Matuszewski next from question Jefferies. with of

Jonathan Matuszewski

on for Pro side the and some those concierge-like the mentioned this. offering them to of the that continue curbside other alluded guys are You of to many asking of services at appreciating you're

of on other the are that you appointment to made that side this? design other over So the virtual business carry beyond would changes in the there you've anticipate

Thomas Taylor

you They I up mean, customer pick go when if to the looking in a a something absolutely a this of are to and at we've had changed wait, wanted We I pre and where then COVID-XX, to And pulled at go that the command that. someone and checked outside like that. out really to your they outside. to you is my like, get certainly, get greet out pull up determinations there's I truck. store, you're the I've They have store to every the going terrific. this get is inside to of up they store, center, there's store. to the product -- quicker. communicated you back in find to don't back Pro out talked to

I to learning. think I I virtual is the doing of And into it's good So come virtual the to still design to that, because have that. I we'll think don't design react to and we'll I between some have And store. pay customers that. think can't attention -- think

product wanting feel will get I replace but do customers and think to it inspiration of it the stores. our good, won't out and touch

think I to come they'll want to that So continue in.

to what that get buying don't we're we'll part an people we'll change have way -- accordingly. they they But a to the of We're we of lots of like, react learning that operate. what and today stores surveying in are big like and and understanding the

Operator

Securities. next of question Basham line comes the Seth Wedbush Our with from

Seth Basham

on trade give it to seeing good, is better, you to a from us another? best? you customers perspective simple. mix at Are what question all pretty one My down any you're seeing trade or from Could color as relates category

Thomas Taylor

At category SKUs best continued better than are the of category. comps our our to on better better. end best our and be quarter, the good our than The first best-performing our are

customers the a so So trading to haven't by opening drive-through, Even an things gone down we far. or curbside nature trade to we haven't price a really point as yet. during seen seen -- in -- down we've model, we just that of

are as they're and see so stuff. We'll customer -- the going a this product still goes. our of when think value still great take is better to to type our best of products so towards is significant that lean looks project, the we I of on best But thing going the

Operator

the Our Evercore Greg final comes ISI. from line of with question Melich

Greg Melich

anything hear business some if there's you love in your I'd as of time. through that to try particular their manage guys use to that customer's Pro CARES Act advantage of to tough able this the you and/or they are help could take

Trevor Lang

is Greg, this Trevor.

our to for deduction is spend XX.X They've take that, going so of the millions the stores, changed most dollars. CARES going main So years. of tens in of the to us going to an that. and it's The we're immediate on X that makes are IRS pieces depreciate over CapEx to There's we get be us, that of Act there us the help for one is. biggest

of taxes $XX to the XXXX. defer back that of going social portion of has also That's million That's we allowed companies the employer us XXXX the the and then probably for be pay will about in alone. millions government security play payment to X.X% in not the The -- to tens that.

that the of credits people And by Act that were COVID-XX. for then there's relate impacted employee components also to CARES negatively

we'll So for or several if we we think, well. that, had someone to who's as make million someone get stay home ill,

also those -- We've the the opportunities out. banks you to are well. banks. borrow And lots We've as of that figuring there's analyzed as of and government know, all the analyzed still

to really would we As anymore. use comments, don't we the funds. think government in And we prepared borrow said don't need we we think the

CLOs credit those folks to We have love access lend to and would to would to banks to capital The us. love lend markets. us,

that, we analyzed go down I that we've don't think would either. So too, but path

based One of our this already and we've was thought already. some these other a process through thing think, about on roof, the questions, at I that the talks strong answered interesting that as seen and had Tom sales I least sample really it go we sample just demand

looking bit they're indication and see are us an wanting customers of that also that so to And gives things. a

And follow up through our we with the CRM tools, capabilities have customers. to those

And And in as have June, so doors opened in of Friday. stores open to going in hopefully will our We're of doors, a of May. our be going lot the we're a month with of all opened Tom XX% doors environment. different in this We'll as those. the we said, up aggressive open to following be

on was. as backlog the it now it's they backlog, much talked piece, they as just couple And much to just they in as what a they well. as thing, is Pros last still have past. they one had wanted had as of before And And -- I said just Pro the not

were components. thought I some so interesting And those

busy. consumers And to they a will comfortable be need our just the more work. into stores. Our I able have Pros are backlog get feel to still to with, think They back when

Operator

to This concludes the for remarks. Q&A our hand session. Tom I'd back like call to Taylor closing

Trevor Lang

thanks. Well,

everyone of work the and and like our also support interest and associates of to call, the first to appreciate are and thank adhering protocols. for their our our joining all I'd stores in stores our and safety I thank for safety that to for store a there's in associates our in everyone putting call. like their I'd lot hard our First, we company, center know in listening them to for

country business the find and have to the to the That's of all time most talk about priorities come about of that's in priority. important to It's because tragedy a stop pandemic. the world a COVID-XX be with spread tough the the cure. And to human of

XXXX, it's But intact our way highest that when script, within to levels and liquidity ever, see about And in comes ever incredible do our we've support restoring we to the path think within Decor, and sales, in highest to and we a service be we Floor growth thoughtful stores. forward record store profit, culture as it ended again. & said -- center record our this, tried with scores we an

that of do are full-time and earlier, said quickly. XX% I there, we're will center And store unit fortunate opened stores and to that of we Like We them were we're month back our in still XXXX, and made. thoughtful, the associates to cuts during that our XX% believe believe support be the growth. will able May. our We ramp because we we back are there get associates of still

the this pandemic to should strong poised in we're a come great really and position on out So a to side ability of other have take share.

you. look Thank quarter. call, forward joining in to the updating for everyone, you thanks, and the again, we So next

Operator

Thank gentlemen, teleconference. and Ladies participation. you your conclude today's this does for

have your lines at disconnect a and You this may time, day. wonderful

Floor & Decor (FND) 1 May 202020 Q1 Earnings call transcript