good our to by Net Scott, resulting and business the market sales We up whole. the earnings volatility uncertainty in morning regularly particularly you, you the and prior all. volatility. this X.X% for experienced calls, fourth Thank quarter, I’ve in On referenced were channel. as a
business our business the a direct direct the construction, established our PCS that our business grew to California Origins Timberlake low-cost saw to market within business, growth as our important includes acquisition. very X% over-indexed our we continue Timberlake we our again our year. that Within It’s at year-over-year business. new direct the by prior after Timberlake Within sales single-family Southern note Looking direct-to-builder shortly this, channel, net leverage we once favorably, in product over we decline. frameless comped while
Origins product all builders point The lower-priced of been opening the across bidding and of increase our country. number price nation’s to team investments has winning to vast single-family are successfully top averages, business moving long-term continues in our share with the starts majority Although lag homes. the
develop However, as models point. this will launch have lower-price at time their business more the challenging and they strategic take to
point believe starts over-index to firmly climb industry levels. that age towards historical to begin millennials recently prime opening homes Providing for price is continue entered to homes buying more will We critical as that have growth. the the affordable
winter the starts, seeing driven months. the a too we by home however, trajectory quarter. It rapid Outside by in region. resulting Southern by over comps return positive home California Despite very inflation, As to a to results through is to I simply our demand has seen builders concentrated in this the market top PCS with on Origins a grows. in direct heavily have stated to industry positioned business, construction the well new nation’s serve real housing are it where California the solutions. continue regards Northern following are it and we mixed Southern network a reduction California been on past, in call in strong. significant find as I market needs that is notable our our The has the to positive issue. affordable affordability we to of direct believe Strategically, is very With business, slowdown price Timberlake continued the this California, inflation more impacted expect decline Southern
from was after also very rainfall. in Our recovering record strong strongest Texas. growth Atlanta was
Florida. flat However, comps as Southeast the relatively had rest Northeast was of The Southwest did and the strong year-over-year.
our to eye indications within seeing some currently Florida a are and that within on economy remain Despite keeping recognize the concerned we and market. are Nothing macro work, we can point overly impact the volatility certainly are single-family economic both We that U.S. we year, factors close optimistic that with however, industry. However, within bumpy our yet, a it. construction. globally do that we new the
the confidence showing the impacted economy. the into companies being are then prices stock question the Global are Consumer can U.S. unpredictable. it. entire tariffs come drive Tariffs remain impacting Specifically, and inflation can in also
affluent in play, demand levels, time. However, Housing at more too although platform is support this while generate we supply. far only a post-recession. even many absolutely the industry Entry-level the low support simply of the are than are price low continue and variables business. growth housing, the constrained. our to opening elastic point historical existing matter leveraging long-term in the more you supply can supply support When demand. American to home most chain underlying believe is consumers supply We homes, more affordable of industry. inventory need that best include for has low-cost consumer affordable to service It price Woodmark absolutely base the reliable is particularly
home Looking and dealer/distributor prior at down business, our to remodel businesses, includes center year. our which revenue X% was
Despite business value-based team affluent slowing dealer the industry-leading a our Our the more provide positioned sales we particularly X% considering our dealer quarter. the customer through care as organization. is grew by consumer, when business service distributor and a product, for
we As believe result, share. continue a compared are gaining to to we industry data,
business made-to-order our department we sales. lost is we kitchen tied as the businesses. stock Our have home comp challenging X% to proved overall mid-single share believe Within with decline center it for do quarter. within and We negative low made-to-order, within any saw to be single-digit finished a not digit kitchen
shop impacted the However, competitive within carries aggressive to centers the are and within center fairly being product home price. kitchens, we home promotional elastic stock that often on fairly stock Consumers best activity are product. for believe due we times both will
difficult with overcome is a offer quick it and greater program we notable SKUs to program, separation. price ship superior Although,
monitor partner the are and are to working with quarter. restore bath share. for and to our situation our Within this down continue closely We digits we low-single vanity,
However, we a at key prior product fourth challenging a of with of associated our our faced partners new quarter load-in one large comp in fiscal year.
positively. to comp bath expect do we forward, Looking
challenge. very double-digit growth. dependent within sales. is our which construction. within forward I center continued looking is product, growth a series positively designer home to home high frameless believe of remodel, similar the one our future new to upon heavily remodel with offering Accurate is existing Overall, story remains Lastly, comp forecasting partners,
the the great sales. millennials having age on existing within of of coming cycle age and have of will kitchen significant to cabinetry cycle remodeling I out home yet our the normalize. buying average the has heavily and never a in affordability, place kitchen baby existing boomers correlate homes, challenged these Given is impact recession. recovered The aging with consistently average home industry. With the homes has kitchen stated remodeling being to that
will pent-up be the up speed level does, remodeling. very what cycle that and of worth that will see win. when will Despite absolutely Those key we be we be investing shorter-term to significant in. demand. However, to win. future exist This that an American continue it will extraordinary uncertainly Affordable and to believe serve. and it right well kitchen poised impact believe I on the in solutions will is the Woodmark are industry, we our get economy absolutely the
past to on XX.X%. improvement margin, see Moving quarters the gross our we three to trend at coming continued over
in performance Our our fourth was strong quarter. operational
to our opportunity done better than remaining. on truly have performing continue be greatest integration, on with we two logistics are costs teams synergies challenges. expected Material cost job an inflation and and exceptional Our
we lumber purchase continues high-grade pricing industry inflate. the has Although to low-grade come housing in down, maple the
of a cost and inflation raw We other materials. Likewise, remain will had headwind future. into across number logistics is have a major also the
nationwide compare competitors. our helps coverage absolutely Our assembly us to
is logistics all. However, cost impacting us
resourcing overall of XX% the much the as we hard XX% tariff XX% system. And pricing cost indeed will the and Regarding at yet. as leveraging can. remain cost If tariff, required take a net be our we soon future our the not has reminder, any team pricing we through comes and into low-cost work taken may committed We combined mitigating minimize been related action be of to what impact the as action. a to our some tariffs to purchasing as have play,
However, have to specific product. as able lawsuit mitigate is expand manufacturers of will If related targeting that the much XXX cabinetry to more we on resourcing would competitively into Chinese short-term our the positioned the duty antidumping importers these would immediate is lawsuit impacted cost This subsidized to additional dumping some impact. evident tariff, America. larger underway. scope this stated to we impact, we calls, countervailing product The of is unknown successful, incremental both complete within we the If prior of the a implications is against until the and strategy be the Chinese on domestic were lawsuit administration were products. of I given ability have
already product, be However, the on given not cost the underway incremental the will net work significant. mitigation impacted
market. competitive would have a it impact believe, in do we positioning the on However, our positive
to partners shift supply evaluating with will is be demand. we team work this Our to our prepared and in opportunity any
deliver We a ability and have product the low-cost to competitive it.
the EBITDA adjusted that we we pleased Moving this with our at the on headwinds XX.X%. finished very associated not quarter Despite with and are margin, fact the actions taken pricing we to performance. any tariffs, have the
our from year, cost proving in share strategy. earnings $X.XX income, our diluted and quarter, all up of winning versus is our all net $XX $XX.X was to – prior generated per $X.XX Our in to we of product prior our a the channels and leverage expanded – synergy million offering the with million work On our adjusted ability be adjusted year.
leverage of impacted summary, that in stock be we our market. free fiscal we cash fourth consumer uncertainty behavior. generated to net In the the a faced completed year influencing year, million fiscal well our macro the down Lastly, of and $XXX.X In repurchase X.XX. our ended continues authorization, of debt. We with as macroeconomic million in second-half factors industry our we flow continued to as for The pay $XX are quarter, by the quarter. greater
declined have in past a single-family Although two starts favorable have trend the months. housing they shown year-over-year, more
growth the and installation. continue becoming volatile lag by direct-to-builder the market XX-day new our region. between particularly to considering to said this, starts well more XX Having We over-index when is construction network, within cabinet
and frontline network pulse the positioning on direct-to-builder a us within reality strong to industry. Our allows current keep
starts to fiscal single-family digits in low believe our XXXX. recover continue during will single we forward, Looking year
Developing to again come, is market link continue this over-index to a restoring to gain during period. growth This expect is We once higher will timing. housing critical and question affordable rates. share the
with repair and remodel, forward. forecasting we positioned to continue product. looking share Within Origins growth single-digit once gain are well mid to low We’re our will again and
very growth related The quarterly to sales with particularly not those Focused industry true to do lumpy we economic greater that have Having initiatives be this, our in factors. simply in The partners mention will demand promotional a quarter-to-quarter, work, housing sales. home to to the channels cycle are opportunities within is our is existing comps said is of of developing. new Not with the events, we particularly strategic retail demand only driver growth our center. of impact customers. home activity it. key going and is the with pent-up first-time sales, However, number significant, impact to opportunities need we homebuyers. This incremental synergy new but support R&R
addition, to acquisition. kitchen offering, product In remain we solution fully the as have our restoring two programs. as best business in options markets low-cost stock the and We express lost ship well the definitely before with best the committed quick our
our working team with partner restoring aggressively Our on business is these markets.
will some side, difficult year partner incremental we fully associated through the the inflation dedicated vendors to but merchandising that teams. not headwinds to center the face home to adding On short-term, from passed will down the be in cost overcome next tariffs, only with key due in margin
were in facility We notified end manufacturing agreement and sold are relocate that would also contract. to Southern new we terminate that owner California. the PCS the of owner having the at building the has Unfortunately, the our
be year. a next will operations and result, have another the secured our over incurring facility associated we relocating the with costs As
wrapping We some processes absolutely and the move. will invest customer year an will this new our company. up, important extremely more fiscal manufacturing protect year will to during equipment be XXXX for our In be our in taking efficient we base opportunity and
XXXX six-year We are a levels launching never new for imagined. elevate will new that vision before us to
throughout approach stream. our this vision. employees thinking are driving entire customers at of be very our heart innovative a and and to our We’ll systems-based value the Our
challenging will in the you. win will channels. with developing detailed to in months the We we to will continued this not from over ensure to and we recognize We ourselves headwinds. continue that leader coming for our the will brought be be will innovative it the Yet, year market fiscal and thank in will that allow our strategy I now all the that, With that distracted are I turn success. And vision financials. Scott be
