ATKR - Earnings call transcript Q4 2017

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Greetings and welcome to Atkore International Fourth Quarter 2017 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] I would now like to turn the conference over to your host, Keith Whisenand, Vice President of Investor Relations for Atkore International. Thank you.

begin. may You

Keith Whisenand

XX-K like that for morning, statements fourth statements cause actual Good Company. materially XXXX and me factors to of financial Such make involve I today and this refer our that risk in Thank we future to uncertainties call, XXXX everyone. important events results Please the our may would or Officer. those from Financial quarter Mallak, press our or President may remind are discuss everyone Jim during forward-looking results actual you. today’s projections forward-looking such fiscal differ and differ identify release, Chief With statements. materially. performance to and regarding contained projections results which John CEO; to could future Williamson, or that

to when over a to period. we referring information that, to we the this it through I’ll full September. runs quarter With October John. or reference year the refer fiscal call, Finally, year during fiscal year, are a turn relating corresponding which to is a to a Any

John Williamson

Good morning, everyone. Keith. Thanks,

Before highlights performance. a our review the to few year to key we want take moments fourth quarter results, XXXX address full from I

from days adjusted the earnings million of year-over-year. $X unfavorable absorbing side call; basis. As for a if on was market provided sales adjusted on range that our up X% guidance up million the of the XXXX, last EBITDA and about was in comparison, high slide for working you days year-over-year for X% or Again, EBITDA about $XXX X% reported fewer about number of our shown adjust solar million on after comparison, were $XXX $XXX hurricanes. fiscal and the the our solar year is XXXX of when three, of headwind down net $X.X to billion, Adjusted that’s during working million capital

several and XXXX X% challenging consensus. key the share in adjusted faced factors. Street of earnings to versus Additionally, $X.XX, Throughout per we XXXX, due line delivered a up Atkore with environment

experienced year. feet and down the Analytics. were softness we by non-residential inconsistent in square market non-residential throughout reported construction in & Data the Dodge First, in overall about volume activity X% Starts

less Second, approximately which in million working in XXXX is sales one compared worth and had net $XX week to EBITDA. million we $X

account comparison to we solar Third, in $XX had able making million dollar charts, pass sales financial faced worth I’m a Taking shown year. $XX environment, volume into the notably, proud in passing commodity value was And the to million. of as we those of through an in report almost net factors our the Atkore lastly, $XX successful unfavorable million customers. XXXX increases still market in it approximately we to on these strong commodity that results challenging costs to to were Most deliver through EBITDA. costs tough those increased for and

provide adjacent year, capital we overdelivered $XXX XXXX to $XXX Flexicon acquisition weight portfolio, and capital million risk have electrical deployed. $XXX allocation the current of products with The of to goal margins, Calpipe For million million, acquisitions million and total M&A four to and add a of on Marco, EBITDA. $XX our accretive our of

to of to we conversion $XX including an were able line, process our delivered From costs, end year. improvements to operational the million the usage year. implement the and on improvement material high of $XX initiatives was perspective, target productivity Atkore’s during transactional million which million per Additionally, bottom also $XX

process, information our service. order doing availability to Atkore of and our focus around customer enables strengthened with for and integrate initiative implementing better to customer we business a which by launched of a instance, portal cash we ease For strategic enhanced streamline

customer Super Maintenance MultiZone, the Construction of Also, Three value external Electrical their recognized and region as to us in into MC With who in Supplier key Africa by recognized product the our categories year Controls. over the our we bring market. Luminary provide I’ll that, through additional detail of Fitting the were Universal respective the turn Jim, call Year Magazine. and marketplaces in for new Johnson Kwik-Couple, was Middle the to East the of quarter. Atkore Super awarded a and more will Europe, by walk the the Additionally, products, financials insights and

Jim Mallak

everyone. good and John, morning to Thanks,

of sales net by space impacted prices in up of fewer working businesses from XXXX. consolidated organically The million, the basis. material sales net a to per The after Electrical due in and favorably a of reported on fewer passing through X% on down MP&S large X% on day X%, a was normalizing and was volume acquisitions the our volume quarter cost and datacenter down in five. slides fourth per about to days, and basis on to increasing projects Moving four quarter mix, were Raceway. days year-over-year year-over-year. results X% increases exchange X% the about reported impact Net differences, Total decline and for the $XXX timing in selling working basis foreign fourth international due in day average

those in Excluding was projects, large X% up day our business the quarter a remaining basis. on per about

equal at mathematical In amounts, percentages. margin quarter in up flat input market input full adjusted XXXX points. of was by XXXX. quarter increases fourth versus of down of our fourth the and of the versus through and PVC impacting flat unfavorably fourth quarter and P&L Steel in and of margin XX of X% basis cost sold was impacts successfully sequentially And we cost those X% the impact EBITDA dollars. was $XX versus resin resulting versus line, sequentially on the increased the of the sales doing million versus goods the third in third we the XXXX to material XXXX. the XX% XXXX margin passed versus quarter. in the XXXX. that up In at incurred net key year, quarter the costs of and year-over-year the the quarter Copper of X% third quarter fourth quarter And total sequentially reduced so, up Looking our

impact impact, margins that XXXX, million million was by and or inventory to $XX versus lower-of-cost-or-market volume over last by days cost quarter. to $X compared same the in business or the in sales. to freight accounting ongoing measure $XX basis was We volume down for was passed down is the and We about non-cash XX EBITDA million versus from points $X EBITDA management. a in warehousing driven quarter year, estimate of offset hurricanes productivity fewer and material million the in of The productivity the working we period $X fourth Excluding X% the all better profit million think by for Adjusted Gross and the was decline. quarter, driven the which by profitability last profit just costs. adjustment in of $X fourth X% through of unfavorable fourth gross in XXXX year. decline in of the lost a million manufacturing, cost savings partially increases improved absorption our

favorable up XXXX. We first expect as will quarter impact a the in $X that of one-time million show

decline materials XXXX, from one-time The we savings estimate productivity the The EBITDA quarter after in unfavorable this $X and during Additionally, driven was adjusted by offset million in year-over-year not some repeat decline raw lower partially cost and the from the and to working year. incremental about impact first of of reduced compensation million impact the $XX was to deliver by we an acquisitions. the year-over-year million, We year source fewer and hurricanes the the contribution $X positive incentive in are from first by volume volume products EBITDA management that approximately $X aftermath of quarter. the coming days that adjusted think our quarter ability million seeing quarter. will the of full

or plan. net up was income $X.XX, repurchase up of stock the versus our quarter XXXX. fourth GAAP million of quarter, X% of the was on quarter Board had million beginning million a Adjusted the basis $XX At we Directors $XX.X approved EPS was the fourth XX% announced which Our XXXX. of a from $X

quarter, During the shares repurchased we under XXX,XXX $XX advantage million. and of opportunity for just took fourth that almost

XXX,XXX of quarter still the purchased plan another the As in is active, first shares XXXX. have we

good We capital activity allocate continue is a in believe, place continue our the and to plan to market. this to

to Electrical to X% for updated decline. Raceway been move segment the segment. the of have million. Reported reflect our $XXX segment days to six, in numbers by these X% I that account on about international Before declined our you businesses slide for Fewer net our updated I’ll Electrical Raceway inclusion Raceway quarter remind Electrical working sales the within

average impact a selling market material favorable Although day favorable performance. exchange year. in compared basis, the transactions, driven the savings two just $X XXX quarter by fewer to the million million $XX and price raw X% volume. was of the passing under the by Adjusted drove from than EBITDA favorable was by unfavorable per M&A last Higher had to quarter or flat the points increased the about about on total volume impact year-over-year and cost growth dollar-for-dollar volume material increases. X% of offset the impacts cost closed excluding by impact third adjusted through on XXX or conduit was in rebounded versus of and late sales basis also million in steel million. through had margin, EBITDA $XX higher Productivity which changes in prices working increased to or foreign net up days a the which $X reported quarter customers value revenue versus Those negative pass basis the $X The more or quarter products X%. favorable million, about points

Razor our net large of fewer reflect million segment due Mechanical days by about to was There Of our business total decline, in an numbers the almost strong Solutions at by timing the $XXX X% segment recreation million. and slide the or unfavorable working of on in new these the X% customer structure. the year-over-year products vertical, from was in quarter. again XX% seven. percentage $X quarter. to on Reported of so data Moving our performance & also the declined impact Again, remainder points projects. couple center sales in quarter We saw grew the Ribbon of the Products

by volume not XX% at in between the as to XXX steel pass driven points the declined increases the those onetime margin mixed from loss basis few by volume and the EBITDA year, delays, and datacenter due increases the we ability quarter. last signposts onetime compared impact same the customers our volume expenses. timing through meaningful some as quarter, uptick impact those Adjusted EBITDA our but Adjusted to a the of see by expenses the efforts, business and expect $XX to in to we recovery continue. see million of repair least the the any to During hurricane fourth declined in period did efforts from

Turning reflecting $XXX quarter million, flow plan. share end slide flow cash million $XX cash and operating total increased balance debt paid from at the $XX cash $XX sheet we of the of our net total, of net a to $XXX XXXX, was cash we CapEx, balance was acquisitions million to million. million we the and spent $XXX In and activities our closed and stock. on eight. in for the four The to and acquisitions million In repurchase repurchase equivalents

accretive fund was define times as very is our we sheet This a strong X.X on the balance of to with EBITDA basis. trailing adjusted to a which leverage X.X forma times strategy about net or pro still significant XX-month Our M&A. liquidity debt

I and will perspective. final to and call for his Now, John guidance comments the our turn back

John Williamson

Jim. Thanks,

expectations Moving to slide on for our market nine. XXXX

the between and residential and the expect XXXX both up flat will markets with construction We modest growth in non-res show X%.

our on markets in to with line in growth our expect We slide Those improvements XX. industrial see X% X%. outlook GDP with drive at to inputs

year-over-year. excluding For be three be the Flexicon volume the and acquisitions; same up we with million may we of do Raceway $XXX the million Marco, have million as $XX the market to segment, we any acquisitions Calpipe range $XXX expect in done, the the EBITDA and acquisitions adjusted Electrical adding in to Raceway non-res to already range

For be $XX and between flat to X% EBITDA segment, expect volume to be and adjusted we to our MP&S million. up $XX million

range $XXX then XXXX; As acquisitions, we for add generated in million million. of recently year A volume estimate of per adjusted subtract of market on given that which the Interest simple and completed our of to and range EBITDA We XXXX environment. a sales adjusted bridge for be from intangibles Calpipe. an the reduction we the range volume, look and in $XX to expect amortization midpoint investments full million. million to will of ease business adjusted $XX expense focused Flexicon $X.XX the in estimate with our million of total, the doing between to Atkore $XXX EPS about incremental the approximately $X.XX, and acquisitions of is be of EBITDA that, capability million for net technical pricing pressure $X EBITDA includes productivity $XXX and commercial preliminary by closed of share the our $X.XX

Our diluted about all-in. tax count, expected about our XX no be year. the XX% million assuming for code, be share change And should million CapEx $XX rate the in to shares. tax is

range. million. EBITDA to EBITDA to out that as first are year some to one-time hurricanes. the adjusted has guidance the between and $X helping in Turning $XX started million adjusted the there benefits The strong QX quarter non-recurring Those QX $XX are XXXX related of XXXX Jim benefits range are and million mentioned,

system efforts successfully capabilities based completing and by and market. XXXX, as seasonality. from slower our I initiatives. than and realizing activity. what elements controllable business The Atkore address our through savings and us summary, critical am variables of adjusted models people, in our and that proud focused this confront innovation are we And and who the business is of and productivity of are Atkore managed for all XXXX whole to enabled prepared Atkore extrapolate dedicated EBITDA QX challenges cost in element through are We achieved the many recognized four In being in expected driving future. and guidance So, raw the for shareholders. year, on increased Managing pricing, don’t value normal market our material each care commitment questions. business the for for the taking to open such passing acquisitions, despite better day, please making the every Operator, Thank Atkore. you line long-term to your up and to customers, of

Operator

conducting Andrew state Instructions] this Thank you. from first a question question. Kaplowitz [Operator Our Citi. we’ll with be time, session. question-and-answer is Please your At

Seth Girsky

doing? Good Andy. are How for morning, guys you guys, Girsky on this is Seth

John Williamson

well. Doing

Seth Girsky

for can you ag I and quarter. know datacenters, markets So, end we your We in? you different talk expectations by and last out the guys operate XXXX about called solar think guys

issues of So, markets there couple has have a a shown times. that at end been few

each you’re for specific So, about talk can what market? you expecting end

John Williamson

Yes.

by what construction. to residential With be the follow it’s would can X%. construction if than to the specific I then, you construction, it’s take thirdly, me Let and very going higher signs, bit be of But and to saying, The on. on we of any good of lot There there, activity urban construction. responsible better kind centers X% of to going Residential the swap in little driven a bit is a they that really and a but than see us on of to zero little driven a depending are regards be our optimistic we’d channel industrial. drivers non-res gave generalize construction view the and general has cranes and have. and then to going bit right to we for think then a think up range to tends the might take non-res volume been wait to number -- of construction. be listen business they’re partners, real there call the and residential lot little as questions to we we And that flat the going by is non-res, we going is quarter. be then off But, what

that pretty of has I category is our has want what we mechanical effect meaningful focus be our industrial. a a for for little We first depressed. in Raceway into -- equipment, and couple on solutions. to in time call products would throw this a selling applications. OEMs, last pretty but the industrial selling of what into the think products selling products general of the Electrical this pipe years, I for better, our has effect bit our that it one see being on years. basic couple And is mechanical And vehicles; Seth, we’re of the of on, we this This we’re been business mechanical year-over-year the making for kind really of framing some metal we’re off-road into factories; business, mechanical where terms

conservative We’re and we for and rate, bit And about growth little Talking that. little little and rate mind, on a be numbers wait about the keep in us. zero ag bit before think a on is solar datacenters, growth X%. pretty stated it’s prudent being between specifically small see to I a talk being bit now solar

we capacity have our busy in care days top rebounding three. the to take have see a customer only of set So, bit, little solar that’s the of the two we the although where or in expanded really solar we

We have expanded our customer set.

seeing good are things. We

seeing that the looking I’ve solar in mind couple growth of and heard reasonable market. is are Ag, from us. of better looking this that industry, people and very that And a is different small in but growth, good. for years couple growth of lower We a not single-digit in numbers ag after keep

this we or we of We steel -- installation. are stalls steel structural in making are for where selling piping dairy are elements a dairy seeing pipe other

are into be selling starting equipment, equipment. better. are to OEM look We up. making It’s who ag And projected manufacturers to that’s

on zero We that are industrial X%; in of that are saw is fourth seeing thinking side are the saying ag that. -- general the we probably we And higher we quarter. to

by out be datacenters given cycle, the we are lot you built improving. of could about Let the that have. me whereas design certainly you where they They redesign see then all And work will you and a recognition specific questions But can is just of you talk lot that in could revenue country. the driven just any get pretty being and take year over of where quarter quarters. where are a and percent revenue business across timing. literally completion, did you very quickly a many any it’s pushed Datacenters single something or are in it at lumpy recognize on depending in

feel in it is right bit getting now through We for redesign datacenters pretty There North better. business our our impact subject little do seems trend timing. pushing it well. So, as flow a bit be a America. But on Raceway a least strong a to we pretty little good see Construction and construction has to then out the design generally, business, does are and it Unistrut about -- and at of we

Seth Girsky

you Awesome, did that’s think the this really only on with I helpful. $X productivity the And margin about side, savings. on well million productivity And pretty year at then, to guys guide on XXXX looking $XX you of million midpoint. talked

So, is about talked little there as offset right now? any estimating things XXXX? potential well, a know as productivity in are that worse I had you step maybe than last to we potential a are quarter up if bit

John Williamson

I one-time of assumption then, bonuses going in is numbers in out of there. a percentage of this little an factory a how expressed productivity pay also true-up There there of time had upside. a our Yes. what that and past The as little in is just a netted always against we of $XX some things. a more were we our it’s net think is, productivity, X that productivity Yes. $X of still million, to we pay gross favorable, gross There’s but regards million. we handful were our double-digit just with in were against bit that believe. we on right or And netted productivity. inflation a out; There number And our given some -- the XXXX, costs spend will to at to what we’re is think bit yes, higher

netting about we’re a gross kind that’s So, against you’re where of getting million productivity that of XX. $X

six good over a team’s really five, of at and more rate the last that. And higher to driving job done productivity the a see We’re that. than expect years, pushing we really of

high inflation midpoint the planned that be that being six range, against is of not as that but I gross kind you we when performing right as now think just number. the productivity over or upside -- bridge of towards would and our

Operator

questions. question Please Dray from Deane state your Capital next RBC Markets. Our is with

Deane Dray

on start can pricing. we Maybe

and up on so, not it’s were to XXXX still looked forth? that Is head be able you’ve good increases dollar-for-dollar offset we more the able as And feel But material margin. price for you the you’ve so and also increases. that to room do on the cost seen into caught you it in to surge get enough there copper

Jim Mallak

It’s Deane, Yes. Jim.

environment as that at I we’ve worked put with did this, to very the always earnings pass to volumes very that’s that. hard We’ve through through commodity cost. really the margins. we it’s said been that; we’re this think has and on And economic from important a This tough maintain our that. mathematically, going to downward we pass trend glad lower a

concentrated more I margins just on we’re pure that think the So, se. than per

think the pleased and normalized almost those the see economic as the long pass we’re to recover $XX stabilizes. think profitability But, I over pricing to business come very able million we’re I run, that we’ll margins across through the there. back maintaining and

John Williamson

Deane, Yes. is John. this

piggyback Jim’s comments. on to Just

done. last what take through we’ve costs three XXXX. excess through we commodity And four you If in have in the years, dollar-for-dollar years, passed passed of

of proud the that from of could Deane, mean, I group be years and pretty swings where pretty part this We’re radical. ago your remembers the years business that.

day-to-day and two and A, So, XXXX dollar-for-dollar me, hard. in it is volume environment, through tough that this was passed in believe a things, we

to the something and the early think for stability of years frankly three that. And commodities the that that says lot by pricing fact of of proud people this was pretty We’re basically, on. with we’ve year-over-year question regards in business done quite a about I

percentage pass down we’ve your maintain itself. explain that EBITDA goes So, when I when goes done you you through, that. go and the when you even it up, contraction mathematical even commodities job Jim down, your just think that did on a well percentage EBITDA good passed up very

XXXX with margin the we’re to you out of pointed percentage. about take our numbers, the do increasing just out and I as Jim pricing. that commodities When reality. talk that’s So equation, regards with want to

commodities who is or with business, is realizes call this timing on everyone important. around familiar As the

we as contraction that downside through, to too. there’s $X.X might spread the particular a based short didn’t just passing didn’t inflation, through that commodity up $XX cetera. specific the that of ended one-to-one it month the every didn’t years that quarter, we of timing million, commodity in are because for what of XXXX actually the early that. as of everyday, how as over passing It’s working we and last while passing a timeframe, part I where I three every pretty and mean do. by certain elements between segment. what Believe could whole or not based that all that prudent on in I all able if particular in of would it than and million a specific and building do We itself resin-driven, the year little every, of bridge $XX that are been our given come on are of every XXXX as manifest think our a year of et be -- spread come cyclical assumption through hour copper-driven, though XXXX, have this our on in the affects for $X end the into that increase come total business. really in And as That’s impacts It’s to of and timing less say of the the of to at entire is dynamics commodity business, And upside. on in or and mentioned So, any month we’ve passed always steel-driven, bit successful those of not quarter, way year contraction. we a me million million. that’s as in that through commodities have gone business of we

contraction into at a is end slightly some into played numbers, less some take than we how given have but So, cautious our it, of approach the $X prudent still commodities XXXX. plan, taking spread contraction, out think our with million a on

Deane Dray

That’s the flow. guidance questions and let’s really cash on just XXXX helpful. some And stay with

numbers. So, it was to for XXXX, our look cash for dynamics be there? solid conversion, XXX% a XXXX by turned any free does flow year How out

Jim Mallak

Yes.

I be think to pretty at are going similar. looking something we

million; assuming be higher current expense We now than but $XX of are about bit the know XX a might looking CapEx million XX% at $XX tax -- figure that what we about CapEx; rate. interest regulations tax little given

think characteristics modeling have I flow to to cash you see very XXXX our similar as presented. So,

Deane Dray

Just and you that may with or answered part your a does tax of is last point Washington come was spending of benefit regard any and out to have could guidance not last that Jim, infrastructure question, reform, that, assume correct?

John Williamson

That’s correct, infrastructure is And of table -- there over what there even yet. see -- especially wait the not out the and on first. come let’s do boys probably they what tax,

Operator

from Our Wells Rich next with question state is Kwas Please Fargo. your question.

Rich Kwas

wouldn’t this offset, on flow be about? to the through pretty sticking talking a Just it’s tax of by of moving that I a would impacted know excise I clean way mean, but there wouldn’t that there think lot I that be last any tax, on is here, point situation correct? you that they’re you about, mean,

Jim Mallak

Yes.

XX%. take is look you our at business a of now at ETR so is right If most why our our U.S., which is -- high

and see that. that coming a similar So, our down benefit cash corporate a of if they in going hit on come we’re ETR flow to rate, in tax manner thus to XX% the with just the

Rich Kwas

after, then, clarify, And net just walk think productivity Okay. I the the John, right there, the next the on -- at cited you negatives is it’s to against against midpoint? those just is that $X -- million

John Williamson

say, Rich, I’d me just point. reiterate. Yes. it’s a let supercritical

that volume, talking then fall spread about, take the which the offset EBITDA by for If through contraction add acquisitions, the come I’ll XX X potential of we’re of add of on just we of to, then XXX million XXXX you million get productivity -- for $X and then capability and $X.X net is the XXX, right mostly that systems XXX midpoint which sales of that and range get and midpoint get and you right to contraction between computer really you. our to another the we future, critical technical for in spread of investment our you gave you of back

items that There the are digit productivity, XXXX double in to and $XX roughly won’t in be to the as million. million that by of come net costs manufacturing were XXXX. so way call, we way manufacturing, around back favorable that calculate a some onetime $X favorable a up offset let’s gross they are handful Going in just that productivity, a

general So, some gross that add we’re it’s that million bonus just a then, up comp. just is to There to that will dollars there and be few against projecting merit that we’re then is higher, payouts netting higher some in be productivity. XXXX, and inflation

million So, get our the of the for construct $X of to models midpoint the it. the is in right number range net to but that’s productivity

Rich Kwas

volume what’s your the the volume what’s again again, then, within that? contribution And just from

John Williamson

It’s digits. single high-single digit millions,

Rich Kwas

And million million you then, as you’ve and this about $X an got that talked offset? just $X.X

John Williamson

Yes.

Rich Kwas

right. Okay,

Okay. resi X And those seems huge is so dynamic volume, I you’re that conservative, multi-families the business seems zero but what’s… -- that not been know, It of piece or assuming I trends down the I mean, then, -- good. what’s have know, curious just on indicating the a -- to it’s

John Williamson

that I planning think to prudently even know it maybe that I are that We to in distributors, the didn’t of think the about. tea happen. and upside churn upside. listening led more taking a contractors our to face to leaves -- us question. believed I to think right and I and we want I a it’s growth. don’t unwarranted. some growth Rich, optimism we some appropriately, channel partners it, And the emphasize are probably Yes. degree for was to conservative then one an There listening mostly year is the and our agents, thing we reading and ago,

X%. regard to res really are trick is for projection might the we the right up might go that us. for doing how filters here. and think our mind our thing products Keep in I up But is, X%, with through go

build are was we are quarter going not are through was was So, the first our our focused more And take. supply ready quick that In we’re into of to couldn’t. the to have on get for the what take get right was it? the for of really it. some run on based might ability if we is fall extremely I to move to going was, And EBITDA definitely the illustration. what a for happen, I them, not produce that that we most of all to rate the are upside, use can’t to rest upside, and we we we think conservative quickly pipe. think I face PVC -- hard resin volume of just am others There should the and we -- think is when -- was declared year. of majeure. force hard the not on of it hurricanes, suppliers, resin seeing Because them it in the product And of ready happen, XXXX,

sourcing this Our on worked team advance. in hard

take going most quickly, to to illustration you manufacturing a project kind we’re do that were worked very very deliver of teams in we’ll be tap this. quarter down first to period an what I the competitors able as hard we if care going on is to time it move going that And and you forward. of Our just we be up And going short This that able as I’m you of to to think strongly. that’s of get ask upside, the upside couldn’t. in see

and to at ready be where appropriate it’s this, little of especially choppy conservative So, couple way given should for to be the it upside, last the look the is happen. been a years

Rich Kwas

sense. And on makes for last the That me one M&A.

amount here integrating buyback in going second break ability more bandwidth the What’s here -- up did a half year. the take as do or the to are less to you a of of think picked should this being more done and buyback a in the So is focus? short-term about for the recently; more, a ones XXXX, fair we you

John Williamson

million we’re to capital a have and we our we do great the our do with from and absolutely goal we XXX XXX the this of closer in of year just a view still From did million. to could that million, perhaps what but than we XXX capacity as Yes. -- that more stated show shape -- even capital much numbers as ability. That’s and last point

have honesty, big all in we in the don’t as far hole pipeline. a pipeline, As the

strong lot are hard There’s individual, of We all pipeline. a have they predict. a to These work. are

sure not say, for what part announce third of guidelines thing and so I it’s to a feel meaningful what want and is right really the It’s of the but them happen. the those hard goal want you. But, of who the year and we million in quarter, do do. first number business XXX expect. we’re going we them to of Some to probably at think it’s going to the really anything second in I million won’t to would to say happened XXX to that the some fourth won’t stated look best quarter, people and own are

Jim Mallak

on And versus to would question, just I more repurchase. capital M&A for towards side use share the going tend the lean your

Operator

JP Steve [Operator Tusa question. is Instructions] Please state from your with Our next question Morgan.

Steve Tusa

could of there next So, marketplace and about on declines volumes? walking feel in little Obviously, you or shifting But that. is influence growing in your this and if volumes an perhaps I the -- were you’re had just around? this down year somewhat do Is away, being disciplined? more maybe share disciplined year year. solar how maybe kind guess a guidance talk conservative being how market, you after volume Are a the you on not of for going

John Williamson

Yes.

tough. know their volume’s are They price the general, market kind holding we’re year. -- point, down. we boat disciplined. generalize closely, parts has and share, different very go We lost at we it game at it be think share, we in feel little the price. early in and also we brief, bites but one market. We they we they lost this They not a we we spirals as to our of feel that sets We being own. of to look it in and a just basically the do I’ll this but of lost fill aggregate, It’s at after and have bit the been as to different XXXX, want of it, look the impact play. make in subcategory too regards and in With don’t us when when factories, with giving away volume same loser’s We’re one you easily, sure competitor

think there So, I is a discipline going on there.

on we lost and volume. Where on sure making pretty product It’s higher lower We’re the we share in margins don’t of end of lose the have end the aggregate. focused share?

had going we in an of to lost thought -- one example we have terms of business -- of one actually we X% anything part But our give I’m didn’t hardly in we might lose -- we didn’t quarter, we and margin. you lost volume. So, where in terms in

very value. to any on we off to share, do adding lost do share we -- but the see hold to where And We way it. to want we want at not up is for it since table all. want So, is gave be we try to we the we strategic don’t absolutely where price by us, it

that framing Raceway metal share. to literally more competitor We’re on same same with where cable back ones that’s something numbers delivered we provide we’re job can the That’s site, do the that. market, on of Electrical armored who in that suite of steel truck to only and can last And the over the quarters conduit, fighting where we’re there we and value contractors no can becoming share. right and our the feel of products conduit, more can sale distributors PVC

added who on against be business and portfolio XXXX. ease project doing share people our price will of service. our value back loss So, And where we will based and an we don’t use our in fight

Steve Tusa

market Great. are lot that there think really honesty I don’t Thanks any that. that on companies a say ever really share. for they’re losing

it. level Thanks totally makes lot. the That’s refreshing all So, of It That’s a I appreciate got. honesty. I sense.

John Williamson

Steve. Thanks,

Operator

would our over I gentlemen, have Thank the to call closing and the turn back Ladies to remarks. for reached management of question-and-answer session. you. like end we

John Williamson

Great. everyone’s interest much Well, Atkore. we appreciate in very

through XXXX, had. the growth are commodity XXXX. Atkore’s plan happy number of continued our look deliver and to you everybody. proud much. is innovation progress of productivity and tough a be lot on holidays initiatives. I you of in We very the and of, and maintenance conservatism a We but of elements terms quarter feel the in of we pretty front costs, about volumes we have proud to you. And there’s good to in we of updating weeks. execute forward tough We in need think on numbers Thank passing the of There to traction pretty share competitive environment,

Operator

concludes This you. today’s Thank conference.

lines may at participation. this your You And time. thank you disconnect for your

Atkore (ATKR) 29 Nov 172017 Q4 Earnings call transcript