Core Viewpoint - The recent stock market correction has created investment opportunities in high-quality companies like SharkNinja, which has shown resilience despite macroeconomic fears [1][2]. Company Overview - SharkNinja, a $12.5 billion company, went public in July 2023 after being spun off from JS Global and is based in Massachusetts [3]. - The company generated approximately $5.5 billion in sales last year, with revenue evenly split between its Shark and Ninja brands [4]. Product Innovation and Marketing - SharkNinja employs a modern approach to product innovation, focusing on customer pain points and utilizing insights from 1,000 engineers and designers to create highly rated products [5]. - The company leverages both traditional infomercials and social media influencers for marketing, fostering strong brand loyalty [6]. Growth Strategy - SharkNinja has demonstrated robust growth, with a 21% annualized revenue increase since 2008 and a 30% growth last year, driven by market share expansion, new product categories, and international growth [9][10]. - The company entered four new product sub-categories last year, including an LED beauty facemask and a portable cooler, marking its expansion into sporting goods [8]. Financial Performance - SharkNinja's gross margins have improved significantly from 40% to 49.1% over the past three years, resulting in a return on equity of 25.7% [13]. - Management has a history of conservative guidance, with adjusted net sales expected to grow 10% to 12% this year, while adjusted net income is projected to rise 12% to 15% [14]. Tariff Mitigation - SharkNinja's manufacturing is primarily based in Southeast Asia, with operations in countries like Vietnam and Thailand, which face lower tariffs compared to China [15][16]. - The company plans to shift about 90% of its U.S. volume outside of China by the end of Q2, alleviating potential tariff impacts [17]. Investment Opportunity - Despite concerns over tariffs, SharkNinja is positioned as a high-ROE growth company trading at a below-market multiple, presenting a potential opportunity for long-term investors [18].

Core Viewpoint - Vici Properties is a leading real estate investment trust (REIT) specializing in gaming real estate, with a strong portfolio and growth potential despite a challenging interest rate environment [1][3]. Group 1: Company Overview - Vici Properties owns 54 gaming properties, including iconic locations on the Las Vegas Strip such as Caesars Palace, MGM Grand, and The Venetian [1]. - The portfolio includes over 60,000 hotel rooms, 4.2 million square feet of gaming space, 6.7 million square feet of meeting space, and more than 1,000 food, beverage, and retail outlets [2]. Group 2: Business Strategy and Growth Potential - Vici has a solid lease quality, with an average lease term of 41 years and 90% of leases protected from inflation [4]. - The company is expanding into non-gaming experiential real estate, having made its first major non-gaming acquisition in 2023 with Bowlero bowling centers [5]. - Vici has the right of first refusal to acquire additional Las Vegas Strip properties and regional assets from Caesars [6]. Group 3: Financial Performance and Capital Allocation - Vici has a strong track record of adding value through acquisitions, including its purchase of MGM Growth Properties and The Venetian, which has increased per-share funds from operations [7]. - The company has consistently raised its dividend since its IPO, supported by excellent capital allocation [8]. Group 4: Adaptation to Market Conditions - Despite a high-interest environment, Vici has continued to grow by leveraging elevated interest rates to make financing investments [9]. - The company issued debt at a 4.75% interest rate and has financed new property constructions, such as a Margaritaville resort, at higher yields [10][11]. - Vici's financing deals often include the right to acquire the financed properties, creating a growth pipeline for future opportunities [12]. Group 5: Conclusion - Vici Properties boasts a high-quality asset portfolio, a strong balance sheet, and a management team with a proven record of smart capital allocation, positioning it well for future growth and benefiting from potential falling interest rates [13].

Financial Data and Key Metrics Changes - In 2024, the company achieved a net income of BRL2.2 billion, exceeding the guidance of BRL1.9 billion, despite macroeconomic challenges and over BRL100 million negative impacts from accounting changes [10][12] - Adjusted net income grew 18% year over year, with adjusted basic EPS increasing by 26% compared to the fourth quarter of 2023 [12][10] - The adjusted net margin was 18.4%, one percentage point higher year over year, reflecting strong operational performance [12] Business Line Data and Key Metrics Changes - The MSMB car TPV reached BRL403 billion, a 15% year-over-year growth, while total MSMB TPV exceeded expectations at BRL454 billion, a 22% increase [6][10] - The MSNB take rate was 2.55%, surpassing the guidance of 2.49%, indicating effective pricing strategies and increased contributions from banking and credit solutions [8][9] - The credit portfolio grew to BRL1.2 billion, significantly exceeding the target of BRL800 million, with non-performing loans over ninety days remaining controlled at 3.61% [9][21] Market Data and Key Metrics Changes - The active client base for MSMB payments increased by 19% year over year to 4.1 million clients, with a notable acceleration in client additions [15] - Retail deposits reached BRL8.7 billion, exceeding the guidance of BRL7 billion, reflecting strong performance in bundled payments and banking offerings [7][19] - The banking active client base grew 46% year over year to 3.1 million, outpacing the growth in the payments client base [19] Company Strategy and Development Direction - The company aims to establish Stone accounts as the primary financial hub for clients, focusing on enhancing the value proposition through a comprehensive ecosystem beyond payments [8][10] - Key initiatives for 2025 include investment products and workflow tools to accelerate deposit growth, alongside a focus on client engagement [8][19] - The company is transitioning to a strategy that emphasizes gross profit as a key performance metric, reflecting a more comprehensive view of monetization [18][40] Management's Comments on Operating Environment and Future Outlook - Management acknowledged potential macroeconomic challenges but expressed confidence in delivering sustainable long-term value creation [43][44] - The company remains committed to disciplined execution and prudent capital allocation, with a focus on maximizing intrinsic business value per share [43][44] - Management highlighted the importance of adapting to industry dynamics and maintaining a strong capital structure to support future growth [37][92] Other Important Information - The company recognized a goodwill impairment charge of BRL3.6 billion for the software cash-generating units, which is a non-cash accounting adjustment [28] - The adjusted net cash position at the end of the quarter was BRL4.7 billion, reflecting ongoing share repurchase activity [34] - The company expects to return excess capital to shareholders over time when growth opportunities are not immediately available [37] Q&A Session Summary Question: Performance of banking solutions and areas for improvement - Management noted that deposits are growing ahead of TPV due to successful bundling of payments and banking solutions, with ongoing development of new offerings to enhance client engagement [47][50] Question: View on dividends and capital structure - Management emphasized a commitment to transparency in capital allocation but did not commit to specific targets for dividends or buybacks at this time [52][53] Question: Pricing increases and their impact - Management confirmed that a substantial repricing initiative was implemented at the beginning of the first quarter of 2025, with expectations of low churn during this process [62][63] Question: Guidance on basic vs. diluted EPS - Management explained the decision to guide basic EPS was due to accounting volatility and the desire to avoid double counting share-based compensation expenses [66][68] Question: Potential sale of software business - Management stated that while there have been offers, none met the intrinsic value established for the software assets, and the focus will remain on maximizing value through cross-selling strategies [79][80]

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $86.4 million, down from $97.7 million in Q1 2024, primarily due to a decline in the U.S. Concrete Pumping segment and severe winter weather [13][14] - Gross margin increased by 200 basis points to 36.1% compared to 34.1% in the prior year quarter, driven by cost control initiatives [16] - Net loss available to common shareholders was $3.1 million or $0.06 per diluted share, an improvement from a net loss of $4.3 million or $0.08 per diluted share in the prior year [17] - Adjusted EBITDA for Q1 2025 was $17 million, down from $19.3 million in the same year-ago quarter, but the adjusted EBITDA margin remained unchanged at 19.7% [18] Business Line Data and Key Metrics Changes - U.S. Concrete Pumping segment revenue decreased to $56.9 million from $66.7 million due to a slowdown in commercial construction and weather impacts [14] - UK operations revenue was $12.8 million, down from $15.4 million, attributed to lower volumes from commercial construction [15] - U.S. Concrete Waste Management Services segment revenue increased by 7% to $16.7 million, driven by increased volumes and improved pricing [15] Market Data and Key Metrics Changes - The commercial end market experienced construction softness, particularly in light commercial and warehouse sectors, while larger projects remained durable but slower [9] - The residential end market showed resilience, with 33% of total revenue coming from residential concrete pumping work [10] - Infrastructure market revenue share grew slightly year-over-year, with expectations for continued growth in fiscal 2025 [11] Company Strategy and Development Direction - The company is focused on disciplined fleet management and cost control to enhance gross margins and sustain adjusted EBITDA margins [8] - A flexible capital investment strategy is in place to prepare for market recovery in fiscal 2025 and beyond [8] - The company is exploring M&A opportunities as the market improves, indicating a shift in capital allocation priorities [48] Management's Comments on Operating Environment and Future Outlook - Management noted that higher interest rates and extreme weather conditions negatively impacted revenue, estimating a $5 million revenue loss due to weather in Q1 [6][7] - The company expects a recovery in commercial market demand and is optimistic about the impact of improved weather patterns [29] - Full-year revenue guidance was adjusted to a range of $400 million to $420 million, with adjusted EBITDA expected between $105 million and $115 million [25] Other Important Information - Total debt outstanding was $425 million, with net debt of $340 million, reflecting a decrease of $33 million over the year [20] - The company successfully closed a private offering of $425 million in senior secured second lien notes, which were used for debt redemption and a special dividend of $1 per share [21][22] - Approximately 296,000 shares were repurchased for $1.9 million during the first quarter, with a total of $20 million repurchased since the buyback was initiated [23] Q&A Session Summary Question: Revenue guidance reduction - Management indicated that the revenue guidance was adjusted due to both the shortfall in Q1 and a broader assessment of the entire fiscal year [36] Question: Weather-related disruptions - Management confirmed that weather-related disruptions were more severe than in the previous year, impacting volume significantly [41] Question: Capital allocation priorities - Management emphasized a commitment to maintaining a disciplined approach to capital allocation, including debt reduction and potential M&A opportunities [47][48] Question: Eco-Pan segment performance - The Eco-Pan segment faced similar weather challenges but benefited from a broader market share [52] Question: Equipment capacity and pricing dynamics - Management acknowledged a surplus of equipment in the market, primarily affecting residential and light commercial sectors [55] Question: Future CapEx expectations - Management indicated that there would not be significant changes in capital expenditures, as current fleet capacity is sufficient for expected volumes [58] Question: Margin dynamics - Management explained that effective control over variable costs, including labor and fuel, helped maintain margins despite lower volumes [66] Question: Concrete Waste Management Services growth - Management noted that growth in the Eco-Pan segment was impacted by weather, and pricing improvements were modest [68]

Financial Data and Key Metrics Changes - For the full year 2024, net sales were $1.26 billion, an increase of 9% from $1.15 billion in 2023, driven by strong demand for products [11] - Gross profit for 2024 was $170.8 million, or 13.6% of sales, compared to $151.9 million, or 13.2% of sales in 2023, indicating an improvement in gross margin [11] - Net income for 2024 was $63.5 million, or $5.47 per diluted share, up from $58.3 million, or $5.07 per diluted share in 2023, reflecting increases of 8.9% and 7.9% respectively [12] - For Q4 2024, sales were $221.9 million, a decrease of 25.1% from $296.2 million in Q4 2023, primarily due to a decline in chassis shipments [13] - Q4 gross profit was $33.5 million, or 15.1% of sales, compared to $38.6 million, or 13% of sales in Q4 2023, with margin improvement driven by product mix [14] - Q4 net income was $10.5 million, or $0.91 per diluted share, down from $16.7 million, or $1.45 per diluted share in Q4 2023 [15] Business Line Data and Key Metrics Changes - The company experienced a year-over-year improvement in gross margin due to an enhanced product mix and supply chain improvements [12] - The decline in chassis shipments in Q4 2024 was attributed to previously elevated shipments in Q4 2023 due to supply chain disruptions [13] Market Data and Key Metrics Changes - The company anticipates a return to normalized chassis deliveries in the second half of 2025, which should stabilize revenues and margins [22] - The rising costs of equipment ownership, including increased insurance premiums and interest rates, are pressuring end-market towers [25] Company Strategy and Development Direction - The company is focused on returning capital to shareholders through dividends and share repurchases, with a recent quarterly cash dividend of $0.20 per share approved [19] - An expansion of €8 million at a facility in France has been authorized to meet future demand [44] - The company plans to launch multiple new products across all categories to enhance offerings and support innovation [38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business outlook for 2026 and beyond, citing strong demand for products and growth opportunities in military recovery vehicles [47] - The company is preparing for the impacts of advanced clean truck regulations, which limit diesel-powered vehicle registrations in certain states [34] - Management expects to see a significant pickup in requests for quotes for military products globally, indicating potential future revenue growth [41] Other Important Information - The company had a cash balance of $24.3 million as of December 31, 2024, down from $40.6 million as of September 30, 2024, primarily due to a reduction in accounts payable [16] - The debt balance was $65 million at year-end, with a focus on reducing debt levels as cash conversion improves in 2025 [19] Q&A Session Summary Question: Does the 2025 outlook include financial effects of military developments? - Management indicated that the current military contract production dates begin in late 2026, with most production in 2027 and 2028 [51] Question: How do the first half and second half of 2025 compare? - Management expects Q1 and Q2 to be similar to Q4 2024, with chassis shipments lower than normal, followed by upward momentum in the second half of the year [53] Question: Can margin levels be expected to remain the same? - Management anticipates margins to be relatively equal to the previous year [55] Question: How is the company managing working capital? - The company plans to reduce inventories to historical levels, which were about 20% of revenue pre-COVID [57] Question: Are there any measures to help dealers navigate the next few quarters? - Management stated that dealers are currently healthy and working through their chassis inventory buildup, with expectations of returning to optimal levels in the next two to four months [61]

Global Ship Lease, Inc. (NYSE:GSL) Q4 2024 Earnings Conference Call March 5, 2025 10:30 AM ET Company Participants Thomas Lister - Chief Executive Officer George Youroukos - Executive Chairman Tassos Psaropoulos - Chief Financial Officer Conference Call Participants Liam Burke - B. Riley Operator Thank you for standing by, and good day, everyone. My name is Argy, and I will be your conference operator today. At this time, I would like to welcome everyone to the Global Ship Lease, Inc. 2024Q4 earnings confer ...

Core Viewpoint - NuVista Energy Ltd. reported record-setting reserves and strong financial and operational results for the year ended December 31, 2024, highlighting significant growth in reserves and a commitment to shareholder returns as the company aims for continued production growth towards 125,000 Boe/d in 2025 [1]. Operational and Financial Highlights - Average production in Q4 2024 was 85,635 Boe/d, exceeding guidance of 83,000 – 84,000 Boe/d, with an annual average production of 83,084 Boe/d, an 8% increase from 2023 [4]. - The company executed a capital expenditure program of $498.9 million, including drilling 43 wells and completing 38 wells throughout the year [4]. - Annual adjusted funds flow was $552.2 million ($2.68/share), with Q4 contributing $137.1 million ($0.67/share) [4]. - Free adjusted funds flow for the year was $39.6 million ($0.19/share) [4]. - The company repurchased 5.9 million common shares at an average price of $12.52 per share, totaling $74.4 million, and has repurchased 36.5 million shares since 2022 [4]. - As of December 31, 2024, net debt was $232.5 million, with a favorable net debt to annualized fourth quarter adjusted funds flow ratio of 0.4x [4][8]. Reserves Growth - Reported Proved Developed Producing (PDP) reserves increased by 9% year-over-year to 177.3 MMBoe, with Total Proved plus Probable (TP+PA) reserves rising by 21% to 779.7 MMBoe [9]. - The company replaced 150% of 2024 production on a PDP basis and 550% on a TP+PA basis, reflecting the success of its capital program [9]. - PDP Finding, Development and Acquisition Cost (FD&A) was $11.13/Boe, with a PDP recycle ratio of 1.8x based on the 2024 operating netback [9]. 2025 Guidance and Operations - The company forecasts Q1 2025 production to average 87,000 – 88,000 Boe/d, with annual production expected to average approximately 92,000 Boe/d, assuming the Pipestone Plant starts up in Q2 [13]. - Annual capital expenditure guidance for 2025 is approximately $450 million, with a minimum of $100 million allocated for share repurchases [14][7]. - The company plans to continue its disciplined growth strategy while maintaining a strong balance sheet and low debt levels [15].

Financial Data and Key Metrics Changes - The company generated net income attributable to Limited Partners of $326 million and adjusted EBITDA of $591 million in the fourth quarter [18] - For the full year 2024, net income attributable to limited partners was $1.54 billion, with adjusted EBITDA reaching $2.34 billion, exceeding the midpoint of the guidance range [19][20] - Free cash flow for 2024 totaled $1.32 billion, surpassing the high end of the guidance range [20] Business Line Data and Key Metrics Changes - Natural gas throughput increased by 4% sequentially in Q4, achieving record levels in the Delaware Basin [10] - Crude oil and NGLs throughput rose by 6% sequentially, driven by strong customer activity [10] - Produced water throughput saw an 8% sequential increase, attributed to strong producer activity [10] Market Data and Key Metrics Changes - Average throughput across all three products increased by double digits year over year, with natural gas throughput averaging 5.1 billion cubic feet per day, a 16% increase [13] - Crude oil and NGLs throughput averaged 530,000 barrels per day, representing a 12% year-over-year increase [14] - Produced water throughput averaged 1.1 million barrels per day, an 11% increase compared to the previous year [14] Company Strategy and Development Direction - The company announced a significant expansion of its produced water gathering and disposal infrastructure in the Delaware Basin, including the Pathfinder pipeline [4][5] - The strategy focuses on capital-efficient organic growth to generate strong returns for unitholders and sustain base distribution growth [7][8] - The company aims to target a long-term annual distribution growth rate of mid to low single digits, excluding potential increases from large organic growth projects [8][22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about growth driven by strong operational performance and strategic positioning [29] - The company anticipates continued throughput growth in 2025, particularly in the Delaware Basin, supported by strong producer activity [15][31] - Management highlighted the importance of maintaining strong relationships with customers, particularly Occidental Petroleum, to support long-term development plans [30] Other Important Information - The company plans to retire the enhanced distribution concept to simplify its capital allocation framework and focus on sustainable base distribution growth [23] - A new long-term produced water agreement with Occidental Petroleum was executed, enhancing the company's service offerings [4][5] Q&A Session Summary Question: Growth outlook and capital allocation framework - Management explained that the mid to low single-digit distribution growth target was based on extensive forecasting and planning [36] Question: Pathfinder pipeline contract and filling capacity - Management indicated that the contract with Occidental Petroleum supports the pipeline's capacity and is expected to enhance returns over time [39] Question: Discussions with other customers for pipeline capacity - Management confirmed ongoing discussions with other producers to fill the pipeline and improve returns [43] Question: Competitors in the Permian produced water market - Management emphasized the unique long-term midstream solution offered by the company compared to shorter-term oilfield service solutions [45] Question: Future contract extensions with Occidental Petroleum - Management noted ongoing efforts to maintain and extend contracts with all customers, particularly in the Delaware Basin [50] Question: Capital expenditures for 2026 - Management indicated that capital expenditures for 2026 would be higher due to the Pathfinder project and ongoing growth initiatives [53] Question: Criteria for bolt-on acquisitions - Management outlined that acquisitions should complement existing operations and meet midstream return requirements [61] Question: Timing of buybacks given capital requirements - Management stated that while a buyback program was authorized, significant market dislocation would be needed to consider it in the near term [68]

Financial Data and Key Metrics Changes - Consolidated revenue growth of 12.8% in Q4 2024, with operating income rising by 31.5% compared to the previous year [21] - Net consolidated income increased by 78.3% to nearly MXN 11 billion, driven by a non-cash change gain of MXN 2.7 billion and higher net income from discontinued operations of MXN 3.3 billion [21][22] - Gross margin expanded by 230 basis points to 47.7%, with operating margin increasing by 50 basis points to 11.7% of sales [25][26] Business Line Data and Key Metrics Changes - Proximity Americas division saw total revenues grow by 13.2%, with same-store sales growth of 3.8% despite a 2.8% decline in average traffic [24] - Health division revenues grew by 13.3%, with same-store sales increasing by 9.4% and operating income rising by 109.7% [29] - OXXO Gas reported a 9.7% increase in same-station sales and an 8% increase in total revenues [32] Market Data and Key Metrics Changes - Proximity Europe revenues increased by 21.5% in pesos, driven by retail revenue growth across countries [27] - Coca-Cola FEMSA recorded double-digit increases across their income statement, with income from operations rising by 25% [36] Company Strategy and Development Direction - FEMSA Forward initiative is nearing completion of planned divestitures, having monetized approximately $10.7 billion to focus on core business units [11][39] - Plans for 2025 include deploying nearly MXN 66 billion or $3.2 billion in capital returns, including ordinary and extraordinary dividends and share buybacks [14][15] - The company aims to maintain a disciplined approach to capital allocation, focusing on long-term intrinsic value per share [16] Management's Comments on Operating Environment and Future Outlook - Management acknowledges macroeconomic uncertainties and a softer consumer environment in Mexico, emphasizing the urgency to drive growth and profitability [46] - The company remains optimistic about growth opportunities across its business units, leveraging digital capabilities and operational efficiencies [10][46] Other Important Information - The succession process for the CEO position is underway, with a special committee formed to oversee the process [16][18] - The digital ecosystem has been rebranded as Spin, with significant growth in active users and sales linked to the loyalty program [34][35] Q&A Session Summary Question: Insights on shareholder remuneration and buybacks - Management plans to execute a mix of local buybacks in Mexico and accelerated share repurchases in the US, similar to previous years [55][56] Question: OXXO store expansion versus same-store sales trends - Management is confident in the ongoing expansion of OXXO stores, monitoring performance closely to ensure value creation [62][63] Question: Traffic decline attribution and operating leverage - Traffic decline is attributed to various factors, including weather and cannibalization, but management is confident in the store performance metrics [72][76] Question: Growth strategy in the US - The focus will be on organic growth through OXXO standalone stores and small bolt-on acquisitions, with an emphasis on profitability [90][91] Question: Financial services growth and potential banking license - The company is expanding financial services and plans to apply for a banking license, focusing on responsible growth in this area [100][101]

Financial Data and Key Metrics Changes - Consolidated net revenue for Q4 2024 increased 4% to a record $750 million compared to $721 million in Q4 2023 [13] - Adjusted net income rose to $81 million or $2.88 per diluted share [16] - Adjusted EBITDA for Q4 2024 reached a record $132 million, reflecting an adjusted EBITDA margin of 17.6% [16] - Same branch sales growth was up 1% for Q4 2024, with a 1.2% increase in price mix offsetting a less than 1% decrease in job volumes [13][14] Business Line Data and Key Metrics Changes - Single-family sales growth was supported by a diverse mix of builders, contributing to nearly 6% consolidated sales growth for the year [8] - Multifamily installation sales growth remained resilient, with same branch sales increasing over 6% in 2024 [9] - Commercial sales in the installation segment improved modestly from the prior year [9] Market Data and Key Metrics Changes - Single-family starts in 2024 were up 7%, indicating a stable demand environment for installation services [10] - The company expects a 20% to 25% decline in multifamily units under construction, which will take at least six months to normalize [24][66] Company Strategy and Development Direction - The company continues to invest in growth opportunities, with approximately $87 million allocated to acquisitions and $230 million towards dividends and share repurchases in 2024 [6][7] - The Board approved a 6% increase in both the regular quarterly cash dividend and the annual variable dividend, reflecting confidence in the financial position [6][19] - The company aims to expand its geographic footprint and product offerings, particularly in the multifamily segment [9][34] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term demand for installed services despite current challenges in housing affordability and regulatory uncertainties [11] - The company anticipates stable demand for single-family installation services in 2025, with expectations of low single-family starts growth [26] - Management noted that while the environment is softer, it is not dire, and they remain constructive about medium and long-term demand for new construction [62][63] Other Important Information - The company generated $340 million in cash flow from operations for the year, maintaining a strong liquidity position [17] - The net debt to trailing twelve-month adjusted EBITDA leverage ratio was 1.08x, well below the target of 2x [18] - The company repurchased 383,000 shares in Q4 2024, totaling $145 million for the year, with a new stock buyback program authorized for $500 million [18][19] Q&A Session Summary Question: Expectations for multifamily and single-family work in the New Year - Management expects to outperform the multifamily market despite a projected decline in units under construction, while single-family growth is anticipated to be low to mid-single digits [24][26] Question: Outlook on price mix at the beginning of the year - The current environment is benign for inflation, with price mix benefits primarily from prior periods [28] Question: Growth plans for multifamily and CQ's role - CQ is expected to expand into new markets, with significant opportunities for growth in multifamily [33][36] Question: Competitive dynamics and pricing pressures - The company acknowledges a competitive environment but emphasizes maintaining relationships and fair pricing over volume [60][62] Question: Impact of inventory levels on builders - Builders are managing high inventory levels, and the company is observing varied conditions across different regions [95][98] Question: Internal distribution capabilities and margin impact - The company is making progress in internal distribution, which is expected to benefit margins over time [101][103]