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]

Financial Data and Key Metrics Changes - Revenue increased by 17% to over $285 million, with operating income improving by 70% year-over-year to more than $31 million [5][16] - Earnings per share (EPS) rose over 77% year-over-year [5] - Free cash flow generated was robust at over $25 million, ending the quarter with $78 million in cash [6][24] Business Line Data and Key Metrics Changes - E-commerce accounted for more than 55% of transaction count, with double-digit growth across all sales channels [17] - Consumable products related to pandemic response made up approximately 11% of sales, compared to about 2% in the same period last year [18] - Gross profit for the quarter was $102.3 million, a 21.2% increase from last year, with gross margin at 35.8%, up 120 basis points [19] Market Data and Key Metrics Changes - U.S. revenue grew by 16.1%, while Canada experienced a 40% growth in local currency [16] - The company noted stable growth in the mid-teens for October following the third quarter [16] Company Strategy and Development Direction - The multi-year strategy introduced in 2019 focuses on enhancing customer experience and operational excellence [7][10] - The "Ready. Set." campaign was launched to empower customers with pandemic management solutions [12] - Continued investments in digital and marketing capabilities are aimed at strengthening the sales organization [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to thrive despite economic disruptions caused by the pandemic [13] - The focus on customer-centric strategies is expected to drive growth and improve sales performance [13][14] Other Important Information - Selling, distribution, and administrative spending was $70.9 million, representing 24.8% of net sales, a reduction of 250 basis points from last year [21] - The company has a strong balance sheet with zero debt and significant liquidity [24][25] Summary of Q&A Session - No live Q&A session was hosted during the call, and participants were directed to contact The Plunkett Group or Systemax for any inquiries [2][26]

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 ...

Financial Data and Key Metrics Changes - In 2019, the company generated nearly $950 million in revenue, with an operating income of $66 million and strong cash flow generation of $63 million from continuing operations [6][24] - For Q4 2019, revenue increased by 2% year-over-year, with non-GAAP operating income expanding by 23% [7][21] - Gross profit for Q4 was $75 million, up from $73 million the previous year, with a gross margin of 33.8%, an increase of 30 basis points [17][21] Business Line Data and Key Metrics Changes - Revenue in the fourth quarter was approximately $222 million, with U.S. growth of 1.9% and Canadian growth of 5.4% in local currency [16][17] - Key product categories showed mixed results, with strength in safety, packaging, and janitorial products, while heating products experienced significant softness due to mild winter weather [17][19] Market Data and Key Metrics Changes - The company maintained the same number of selling days in Q4 2019 compared to the previous year, which contributed to the revenue growth [16] - The company is monitoring the impact of the coronavirus situation in China but has not experienced any material disruptions to date [19] Company Strategy and Development Direction - The company is focused on a customer-centric strategy and has prioritized initiatives in six core areas, including enhancing customer experience and pursuing potential acquisitions [8][9][12] - Plans for 2020 include investing in sales growth, expanding product offerings, and improving customer service delivery [12][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the customer-focused strategy and its relevance, indicating that the company will continue to invest in growth despite short-term softness [15][21] - The company aims to achieve a 100% customer promise date delivery on orders and enhance digital self-service tools [14] Other Important Information - The company reported a strong balance sheet with a current ratio of 1.9:1, approximately $97.2 million in cash, and no borrowings [23][24] - The Board of Directors increased the quarterly dividend to $0.14 per share, a 17% increase, and announced a special cash dividend of $1 per share [24] Summary of Q&A Session - No live Q&A session was hosted during the call, and participants were directed to contact The Plunkett Group or Systemax for any questions regarding the results [2][26]

Systemax Inc. (SYX) Q3 2019 Earnings Conference Call October 29, 2019 5:00 PM ET Company Participants Mike Smargiassi - The Plunkett Group Barry Litwin - CEO Tex Clark - VP and CFO Conference Call Participants Operator Operator Good afternoon, ladies and gentlemen, and welcome to Systemax Incorporated Third Quarter 2019 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 the Systemax third quarte ...

Systemax Inc. (SYX) Q2 2019 Results Conference Call July 30, 2019 5:00 PM ET Company Participants Mike Smargiassi - The Plunkett Group Barry Litwin - Chief Executive Officer Tex Clark - Vice President and Chief Financial Officer Operator Good afternoon, ladies and gentlemen, and welcome to Systemax Incorporated's Second Quarter 2019 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 the Systemax ...

Systemax Inc. (SYX) Q1 2019 Results Earnings Conference Call April 30, 2019 5:00 PM ET Company Participants Mike Smargiassi - The Plunkett Group Barry Litwin - Chief Executive Officer Tex Clark - Vice President and Chief Financial Officer Conference Call Participants Operator Good afternoon, ladies and gentlemen, and welcome to Systemax Inc.'s First Quarter 2019 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] At this time, I would now like to turn the call ove ...

Systemax Inc. (SYX) Q4 2018 Earnings Conference Call February 26, 2019 5:00 PM ET Company Participants Michael Smargiassi - The Plunkett Group Barry Litwin - Chief Executive Officer Tex Clark - Vice President and Chief Financial Officer Conference Call Participants Operator Good afternoon, ladies and gentlemen, and welcome to Systemax Inc.'s Fourth Quarter 2018 Earnings Conference Call. At this time, I would like to turn the call over to Mike Smargiassi of The Plunkett Group. Please go ahead, sir. Michael S ...