Financial Performance - Consolidated sales increased 16.8% to $318.5 million for Q2 2022 compared to $272.6 million last year[58] - Consolidated gross margin declined to 35.5% for Q2 2022 compared to 36.0% last year[66] - Consolidated operating income from continuing operations increased 23.5% to $30.5 million for Q2 2022 compared to $24.7 million last year[66] - Net income per diluted share from continuing operations increased 7.3% to $0.59 for Q2 2022 compared to $0.55 last year[66] - Consolidated sales increased 15.9% to $607.1 million for the six months ended June 30, 2022 compared to $523.7 million last year[66] - Consolidated gross margin increased to 36.4% for the six months ended June 30, 2022 compared to 33.5% last year[66] - Consolidated operating income from continuing operations increased 91.7% to $60.0 million for the six months ended June 30, 2022 compared to $31.3 million last year[66] - Net income per diluted share from continuing operations increased 65.7% to $1.16 for the six months ended June 30, 2022 compared to $0.70 last year[66] - Consolidated net sales increased by 16.8% to $318.5 million for the three months ended June 30, 2022, and by 15.9% to $607.1 million for the six months ended June 30, 2022, compared to the same periods in 2021[73] - Consolidated gross profit rose by 15.3% to $113.0 million for the second quarter and by 26.0% to $220.8 million for the first half of 2022[73] - Operating income from continuing operations increased by 23.5% to $30.5 million for the three months and by 91.7% to $60.0 million for the six months ended June 30, 2022[73] - Net income from continuing operations was $22.6 million for the second quarter, a 7.1% increase, and $44.4 million for the first half, a 66.2% increase compared to 2021[73] - Average daily sales increased by 16.9% during the second quarter and by 15.9% for the six months ended June 30, 2022[73] Cost and Expenses - Selling, distribution, and administrative (SD&A) costs as a percentage of net sales decreased by 100 basis points for both the three and six months ended June 30, 2022, compared to the same periods in 2021[77] - The effective income tax rate for the three months ended June 30, 2022, was 25.2%, an increase of 11.0 percentage points compared to the same period in 2021[73] Cash Flow and Liquidity - Cash and cash equivalents increased by $8.1 million to $23.5 million as of June 30, 2022, compared to $15.4 million at the end of 2021[84] - Working capital increased by $31.2 million, primarily due to increased inventory balances and accounts receivable[86] - Net cash used in operating activities from continuing operations was $2.1 million in 2022, a decrease from $20.5 million provided in 2021, primarily due to a $51.4 million cash usage in working capital compared to $7.9 million in 2021[87] - Cash generated from net income adjusted by other non-cash items provided $49.3 million in 2022, up from $28.4 million in 2021, attributed to higher net income for the six months ended June 30, 2022[87] - Net cash used in investing activities totaled $2.1 million in 2022, consistent with 2021, primarily for warehouse machinery and equipment related to the new Canadian distribution center[88] - Net cash provided by financing activities was $12.5 million in 2022, mainly from short-term borrowings of $25.5 million, with dividends paid totaling approximately $13.9 million[89][90] - The company maintains a $75.0 million secured revolving credit facility, with total outstanding borrowings of $30.0 million and total excess availability of $41.3 million as of June 30, 2022[91] - As of June 30, 2022, the company had over $59 million in liquidity (cash and undrawn line of credit) in the U.S.[96] Capital Expenditures and Obligations - Anticipated capital expenditures for 2022 are in the range of $7.0 to $9.0 million, with no contractual commitments at this time[94] - The company is obligated for approximately $107.8 million under non-cancelable operating leases, with remaining cash expenditures anticipated at $7.8 million for 2022[97] Strategic Initiatives - The company continues to pursue acquisitions and strategic transactions to expand or complement its business[51] - The company is experiencing strong customer demand across all product categories, particularly in managed sales channels[58] Risk Management - The company had no outstanding foreign currency options or forward exchange contracts as of June 30, 2022, to limit currency fluctuations[100] - A hypothetical one percentage point change in average interest rates is not expected to materially affect the company's financial position or cash flows[101]

Global Industrial Company (NYSE:GIC) Q1 2022 Earnings Conference Call May 3, 2022 5:00 PM ET Company Participants Mike Smargiassi - The Plunkett Group Barry Litwin - Chief Executive Officer Tex Clark - Senior Vice President and Chief Financial Officer Conference Call Participants Anthony Lebiedzinski - SIdoti & Company Operator Good afternoon, ladies and gentlemen, and welcome to Global Industrial's First Quarter 2022 Earnings Call. At this time, I would like to turn the conference over to Mike Smargiassi ...

Global Industrial Company (NYSE:GIC) Q4 2021 Earnings Conference Call February 15, 2021 5:00 PM ET Company Participants Barry Litwin – Chief Executive Officer Tex Clark – Senior Vice President and Chief Financial Officer Mike Smargiassi – The Plunkett Group Conference Call Participants Anthony Lebiedzinski – Sidoti & Company Operator Good afternoon, ladies and gentlemen, and welcome to Global Industrial 's Fourth Quarter 2021 Earnings Call. All participants will be in a listen-only mode. [Operator Instructi ...

Global Industrial Company (NYSE:GIC) Q3 2021 Earnings Conference Call November 2, 2021 5:00 PM ET Company Participants Mike Smargiassi – Investor Relations Barry Litwin – Chief Executive Officer Tex Clark – Senior Vice President and Chief Financial Officer Conference Call Participants Ryan Merkel – William Blair Operator Good afternoon, everyone and welcome to Global Industrial’s Third Quarter 2021 Earnings Conference Call. [Operator Instructions] We also note today’s event is being recorded. At this time, ...

Systemax, Inc. (SYX) Q1 2021 Earnings Conference Call May 4, 2021 5:00 PM ET Company Participants Mike Smargiassi - IR Barry Litwin - CEO Tex Clark - CFO Conference Call Participants Ryan Merkel - William Blair Anthony Lebiedzinski - Sidoti & Company Operator Good afternoon, ladies and gentlemen, and welcome to Systemax Inc. First Quarter 2021 Earnings Call. At this time, I would like to turn the call over to Mike Smargiassi of the Plunkett Group. Please go ahead. Mike Smargiassi Thank you, and welcome to ...

Financial Data and Key Metrics Changes - Revenue for Q4 2020 increased by 23% to $274 million, with full-year revenue exceeding $1 billion, marking an 8% increase year-over-year [7][9] - Operating income for Q4 improved by 46% year-over-year, reaching $21.1 million, with operating margin expanding by 120 basis points to 7.7% [8][27] - Gross profit for Q4 was $93.1 million, a 24.1% increase from the previous year, with gross margin at 34%, up 20 basis points [24] Business Line Data and Key Metrics Changes - Growth was primarily driven by the Global Industrial branded product offering and pandemic-related supplies, with consumable products making up approximately 9% of sales in Q4, up from 2% in the same period last year [8][22] - E-commerce accounted for over 55% of transaction count for the second consecutive quarter, with double-digit growth across all sales channels [20] Market Data and Key Metrics Changes - U.S. average daily sales growth was 14.2%, while Canada saw a significant increase of 43.4% in local currency [19] - New customer acquisition remained strong, with the managed sales team expanding average order value [21] Company Strategy and Development Direction - The company is focused on executing its multi-year ACE strategy, which includes investments in automation, technology, and enhancing the e-commerce shopping experience [12][13] - Continued investment in private label offerings is expected to differentiate the value proposition and enhance margin profiles [14] Management Comments on Operating Environment and Future Outlook - Management expressed optimism for 2021, citing the commencement of COVID vaccinations and signs of improving economic demand [17] - The company anticipates continued above-market growth rates and believes PPE will remain a permanent part of the sales mix [36] Other Important Information - The Board of Directors increased the quarterly dividend by 14% to $0.16 per share, marking the fifth increase in five years [9][30] - The company maintains a strong balance sheet with zero debt and significant liquidity, allowing for strategic flexibility [29] Q&A Session Summary Question: Sales outlook for 2021 and impact of PPE comparisons - Management believes PPE will remain a permanent part of the sales mix and expects continued above-market growth rates [35][36] Question: Plans for price increases amid inflation - Management noted supplier price pressures and indicated that they will manage pricing to remain competitive while leveraging private label offerings [37] Question: Customer acquisition and retention metrics - Management highlighted improvements in retention rates and ongoing investments in digital marketing strategies to enhance customer acquisition [38][39] Question: Breakdown of average daily sales growth between AOV and transaction volume - The growth rate was primarily driven by volume, with a small increase in average order value [46][47] Question: Inventory position and adequacy for 2021 - Management feels confident in their inventory position to support projected revenue for the year, despite challenges in the import market [48][49] Question: Long-term operating margin goals - Management remains committed to a long-term operating margin goal of over 10%, supported by private label expansion and operational excellence initiatives [52]

Systemax, Inc. (SYX) Q3 2020 Earnings Conference Call October 27, 2020 5:00 PM ET Company Participants Mike Smargiassi - The Plunkett Group Barry Litwin - Chief Executive Officer Tex Clark - Senior Vice President and Chief Financial Officer Conference Call Participants Operator Good afternoon, ladies and gentlemen, and welcome to Systemax, Inc. Third Quarter 2020 Earnings Call. At this time, I would like to turn the call over to Mike Smargiassi of The Plunkett Group. Please go ahead. Mike Smargiassi Thank y ...

Systemax Inc. (SYX) Q2 2020 Results Conference Call July 28, 2020 5:00 PM ET Company Participants Mike Smargiassi - IR, The Plunkett Group Barry Litwin - CEO Tex Clark - SVP and CFO Conference Call Participants Operator Good afternoon, ladies and gentlemen, and welcome to Systemax Inc.’s Second Quarter 2020 Earnings Call. At this time, I would like to turn the call over to Mike Smargiassi of The Plunkett Group. Please go ahead. Mike Smargiassi Thank you, Grant, and welcome to the Systemax second quarter 202 ...

Financial Performance - Consolidated sales decreased 2.1% to $227.3 million for the three-month period ended March 31, 2020, compared to $232.2 million in 2019[70] - Consolidated operating income declined 12.9% to $11.5 million for the three-month period ended March 31, 2020, compared to $13.2 million in 2019[70] - Net income per diluted share from continuing operations decreased 19.2% to $0.21 for the three-month period ended March 31, 2020, compared to 2019[70] - Consolidated gross profit was $76.7 million for the three-month period ended March 31, 2020, down from $80.3 million in 2019, reflecting a 4.5% decline[71] - Consolidated gross margin decreased to 33.7% for the three-month period ended March 31, 2020, compared to 34.6% in 2019[71] - Net margin from continuing operations decreased to 3.7% for the three-month period ended March 31, 2020, compared to 4.3% in 2019[71] - Average daily sales declined by 2.1% from $3.63 million in Q1 2019 to $3.56 million in Q1 2020[78] - Operating income fell by 12.9% to $11.5 million, with an operating margin decrease of 60 basis points to 5.1%[86] - Gross margin declined by 90 basis points due to a shift in product mix towards lower-margin safety and PPE products[82] Costs and Expenses - Consolidated selling, distribution, and administrative (SD&A) costs were $65.2 million for the three-month period ended March 31, 2020, down from $67.1 million in 2019, a decrease of 2.8%[71] - The effective income tax rate increased to 26.5% for the three-month period ended March 31, 2020, compared to 24.2% in 2019[71] Cash Flow and Liquidity - Cash and cash equivalents decreased by $33.1 million to $64.1 million as of March 31, 2020[91] - Net cash provided by operating activities from continuing operations was $13.7 million, down from $23.8 million in Q1 2019[92] - Working capital decreased by $36.6 million, primarily due to reduced cash balances after a $43.3 million dividend payment[93] - The company maintains a $75.0 million secured revolving credit facility, with total availability of $73.0 million as of March 31, 2020[98] - As of March 31, 2020, the company had over $131 million in liquidity, which includes cash and undrawn lines of credit, sufficient to fund its U.S. operations and capital needs[104] - The company believes that its cash balances, future cash flows from operations, and availability under credit facilities will be sufficient to fund its working capital and other cash requirements for the next twelve months[103] Backlog and Supply Chain - The backlog of orders increased substantially due to constrained availability of COVID-19 response items, leading to low double-digit revenue declines during the closing weeks of the quarter[63] - The company anticipates being able to ship a portion of the backlog in the second quarter as visibility into the supply chain and product lead times has improved[63] - The company anticipates shipping a portion of its backlog in Q2 2020 as supply chain visibility improves, with a backlog increase due to COVID-19[78] Legal and Risk Management - The company does not expect that the outcome of ongoing legal proceedings will have a material adverse effect on its financial position or results of operations[116] - The company has established accruals for various lawsuits and claims based on estimates of the most likely outcomes as of March 31, 2020[116] - The company has limited involvement with derivative financial instruments and had no outstanding foreign currency options or forward exchange contracts as of March 31, 2020[107] Capital Expenditures - The company anticipates capital expenditures in the range of $3.0 to $5.0 million for 2020, although it is not contractually committed to these expenditures at this time[102] Interest Rate and Financial Reporting - The company has no outstanding balances under its variable rate credit facility as of March 31, 2020, indicating minimal exposure to interest rate risk[108] - The company has not created any off-balance sheet entities for raising capital or incurring debt, ensuring transparency in its financial reporting[105] - The company maintains its cash and cash equivalents in money market funds or equivalent with maturities of less than three months, minimizing interest rate risk exposure[104] - Cash balances held in foreign subsidiaries totaled approximately $3.8 million as of March 31, 2020, held in local country banks[104]

Systemax Inc. (SYX) Q1 2020 Earnings Conference Call April 28, 2020 5:00 PM ET Company Participants Mike Smargiassi - The Plunkett Group Barry Litwin - CEO Tex Clark - VP and CFO Conference Call Participants Operator Good afternoon, ladies and gentlemen, and welcome to Systemax Inc.'s First Quarter 2020 Earnings Call. At this time, I would like to turn the call over to Mike Smargiassi of The Plunkett Group. Please go ahead. Mike Smargiassi Thank you, Chris and welcome to the Systemax's First Quarter 2020 Ea ...