Financial Data and Key Metrics Changes - Comparable store sales decreased by 4% during the first quarter, attributed to lower store traffic and the absence of an extra day in 2025 compared to the leap year in 2024, which resulted in an estimated sales loss of approximately $1,000,000 [6][12] - Gross margin rate improved to 66%, representing a 20 basis point increase compared to the first quarter of 2024, driven by a decrease in inventory write-offs [13] - Operating cash flow generated was $10,000,000, with cash balance increasing to $27,100,000 at the end of the quarter [14] Business Line Data and Key Metrics Changes - An increase in tile volume sold was noted, driven by the introduction of competitively priced entry-level products and the Arbor collection of luxury vinyl tile products [6][7] - The assortment of products has been enhanced with the addition of engineered hardwood and laminate products, contributing to improved sales volume [8][10] Market Data and Key Metrics Changes - The company continues to face challenges from lower housing turnover, market volatility, and consumer confidence concerns, which are impacting overall sales [6] - The company has diversified its supplier base across over 25 countries to mitigate risks associated with evolving tariff policies [9] Company Strategy and Development Direction - The company is focused on providing an exceptional customer experience and effectively managing expenses amidst external challenges [6] - Partnerships with leading designers and brands are being leveraged to create unique and exclusive tile products, enhancing the product offering [10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the changes made to the product assortment contributing to increased tile volume sold, despite ongoing industry challenges [11] - The company believes it is well-positioned to navigate the current environment with a strong assortment, balance sheet, and talented team [15] Other Important Information - The company anticipates receiving $2,000,000 in sublease income from the distribution space in New Jersey, which will help reduce SG&A expenses [14] Q&A Session Summary Question: No questions were raised during the session - There were no questions from participants during the Q&A session [17]

Financial Data and Key Metrics Changes - Second quarter revenue decreased by 9% to $612 million compared to the prior year quarter [15] - Adjusted EBITDA before unallocated amounts decreased by 11% to $133 million, with an EBITDA margin of 21.8%, a decrease of 40 basis points [15] - GAAP net income was $57 million or $1.21 per share, down from $64 million or $1.28 per share in the prior year quarter [16] - Free cash flow during the quarter was $3 million, down from $21 million in the prior year [17] Business Line Data and Key Metrics Changes - Home and Building Products (HBP) revenue decreased by 6%, driven by a 7% decrease in volume, partially offset by a 1% improvement from mix [19] - Adjusted EBITDA for HBP decreased by 15% to $109 million due to decreased revenue and increased labor and distribution costs [19] - Consumer and Professional Products (CPP) revenue decreased by 13% to $243 million, primarily due to decreased consumer demand in North America and the UK, partially offset by increased volume in Australia [20] - CPP adjusted EBITDA increased by 18% to $24 million, driven by global sourcing expansion and improved margins in Australia [20] Market Data and Key Metrics Changes - Approximately 85% of Griffin's total segment EBITDA is generated by HBP, which manufactures and sells over 95% of its products in the U.S. [10] - CPP represents about 15% of total segment EBITDA, with only a portion affected by recent U.S.-China tariff policies [11] Company Strategy and Development Direction - The company is maintaining its fiscal 2025 guidance of $2.6 billion in revenue and $575 million to $600 million in segment adjusted EBITDA [22] - The strategy includes transitioning to an asset-light business model to increase flexibility and reduce operating costs [8] - The company plans to mitigate tariff impacts through supplier negotiations, cost management, and leveraging existing inventory [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to manage increased costs due to tariffs and maintain financial guidance for the year [9][10] - The housing market in the U.S. is expected to recover, with a significant demand for new construction [33] - Management believes that the high-end consumer market remains resilient despite economic uncertainties [70] Other Important Information - The company repurchased $31 million of stock during the second quarter, with a total of $498 million repurchased since April 2023 [12][13] - A quarterly dividend of $0.18 per share was authorized, marking the 55th consecutive quarterly dividend [13] Q&A Session Summary Question: What is the annualized revenue exposed to Chinese tariffs for CPP? - Management confirmed that approximately $325 million of CPP revenue is exposed to Chinese tariffs on an annualized basis [29] Question: Is the long-term 15% adjusted EBITDA margin target still achievable for CPP? - Management affirmed that the target is still on the table, depending on the U.S. economy's future performance [31][34] Question: What is the strategy for mitigating tariffs in different product lines? - Management explained that they have diversified their supply chain and are working on alternatives to mitigate tariff impacts [40][42] Question: How is the demand trend for CPP products by geography? - Demand in North America and the UK remains weak, while Australia shows good demand [65] Question: Will inventory be leveraged to manage through tariffs? - Management confirmed that they will leverage inventory to manage through tariffs for the remainder of the year [68]

Griffon Corporation Overview - Griffon Corporation's revenue is $2.6 billion and adjusted EBITDA is $528 million[5] - The company's market capitalization is $3.5 billion[5] - The adjusted EBITDA margin is 20%[5] - Net debt stands at $1.3 billion, and the company employs 5,160 people[5] Segment Breakdown - Consumer and Professional Products (CPP) accounts for 39% and Home and Building Products (HBP) accounts for 61% of adjusted EBITDA (excluding unallocated)[7] - CPP adjusted EBITDA is $85 million and HBP adjusted EBITDA is $503 million[7,33,26] - U.S. revenue constitutes 82% and international revenue 18% of the total revenue[7] Financial Performance and Strategy - Revenue has grown at a CAGR of 4.4% from FY21 to TTM 1Q25[19] - Adjusted EPS from continuing operations has grown at a CAGR of 43.5% from FY21 to TTM 1Q25[21] - Adjusted EBITDA has grown at a CAGR of 26.5% from FY21 to TTM 1Q25[22] - Net debt to EBITDA leverage has reduced by approximately 8% from FY21 to 1Q25[24,25]

Core Insights - Fortune Brands Innovations (FBIN) reported a revenue of $1.03 billion for Q1 2025, reflecting a year-over-year decline of 6.9% and an EPS of $0.66, down from $0.83 a year ago, with a revenue surprise of -3.39% compared to the Zacks Consensus Estimate of $1.07 billion [1] Financial Performance - The company’s net sales in the Outdoors segment were $304.70 million, slightly below the average estimate of $309.50 million, marking a year-over-year decline of 3.3% [4] - In the Security segment, net sales reached $163 million, exceeding the average estimate of $155.76 million, but still reflecting a year-over-year decrease of 3.7% [4] - Water segment net sales were reported at $565.40 million, significantly below the average estimate of $608.31 million, with a year-over-year decline of 9.6% [4] Operating Income - Non-GAAP operating income for the Water segment was $113.20 million, compared to the average estimate of $127.41 million [4] - Non-GAAP operating income for the Outdoors segment was $31.70 million, slightly below the average estimate of $33.18 million [4] - The Security segment reported a Non-GAAP operating income of $23.20 million, surpassing the average estimate of $15.80 million [4] - Total corporate expenses were reported at -$32.30 million, better than the average estimate of -$39.65 million [4] Stock Performance - Shares of Fortune Brands Innovations have returned +6.6% over the past month, underperforming the Zacks S&P 500 composite's +11.5% change, and the stock currently holds a Zacks Rank 4 (Sell) [3]

Financial Data and Key Metrics Changes - The company reported first quarter sales of $1 billion, a decrease of 7% compared to Q1 2024, or down 5% organically when excluding the impact of China and foreign exchange [20][38] - Operating income was $136 million, with an operating margin of 13.1%, and earnings per share (EPS) were $0.66 [21][38] - The company expects to fully offset the anticipated $200 million tariff impact in 2025 through supply chain opportunities, cost reduction activities, and strategic pricing actions [12][44] Business Line Data and Key Metrics Changes - **Water Innovations**: Sales decreased by 10% or 7% organically, reflecting lower point of sale and inventory destocking [28][38] - **Outdoors**: Sales decreased by 3%, driven by low single-digit point of sale declines, but double-digit growth was noted in decking [30][39] - **Security**: Sales decreased by 4%, primarily due to soft point of sale and inventory reductions [31][40] Market Data and Key Metrics Changes - The company noted a softer market environment, with cautious consumer behavior impacting demand, particularly in the repair and remodel sector [19][20] - Inventory reductions were observed across channels, particularly in wholesale, as partners prepared for a softening environment [20][81] Company Strategy and Development Direction - The company is focused on mitigating the impact of tariffs, controlling costs, and driving strong brands and digital initiatives [33][34] - A significant consolidation of headquarters is underway to enhance collaboration and innovation, expected to be completed by the end of summer [8][58] - The company aims to leverage its North American manufacturing footprint to gain a competitive advantage, particularly against competitors sourcing from China [14][31] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate the current uncertain environment and emphasized the importance of strategic priorities [34][47] - The company is not providing detailed full-year financial guidance due to uncertainty around consumer demand but has outlined a framework for potential EPS scenarios [12][44] - Management highlighted the potential for market outperformance despite external challenges, driven by strong brand positioning and supply chain advantages [34][47] Other Important Information - The company has reduced its spend from China by over 60% since 2017 and expects to have only 10% of its cost of goods sold (COGS) from China by the end of the year [14][85] - The digital business is expected to generate around $300 million in sales in 2025, with significant momentum in the Flow product line [23][70] Q&A Session Summary Question: How does the transformation effort and headquarters move progress? - Management indicated that the transformation is in its third phase, focusing on co-location to drive innovation and performance acceleration, with positive talent relocation outcomes [51][56] Question: How is the company planning to offset the tariff impacts? - The company expects to fully offset the $200 million impact in 2025 through supply chain moves and pricing actions, with a significant portion of the annualized $525 million impact related to China [59][63] Question: What is the confidence level in achieving $300 million in digital sales? - Management expressed strong confidence in achieving the digital sales target, highlighting significant activations and new partnerships that drive value [68][72] Question: Can you provide more details on the e-commerce pricing strategy and share shifts? - The company is transitioning to a firmer pricing strategy in e-commerce to maintain competitiveness, acknowledging some short-term share loss for long-term brand health [79][80]

Core Viewpoint - JPMorgan analyst Christopher Horvers has lowered estimates for Lowe's Companies Inc. ahead of its first-quarter earnings release, indicating a more challenging environment than previously anticipated [1][4]. Group 1: First Quarter Estimates - First-quarter comparable sales estimates for Lowe's have been cut to -2.7%, which is below the Street's consensus of -1.7% and broader buyside expectations of a decline between 2% to 3.5% [1][2]. - Lowe's had previously guided for a -2% comparable sales for the first quarter and expected flat comps for the first half, anticipating a ~$400 million shift of spring sales into the second quarter [2][3]. Group 2: Weather Impact - The company faced significant headwinds from unfavorable DIY weather conditions earlier in the quarter, leading to underperformance compared to Home Depot, even as weather conditions improved later [2][3]. - The second quarter is expected to have easier weather comparisons, but estimates have been slightly lowered to +2% from +3% due to first-quarter underperformance and uncertain weather outlook [3]. Group 3: Earnings and Guidance - The estimated first-quarter EPS for Lowe's is $2.87, compared to the Street's estimate of $2.91 [3]. - Given the expectation of missing the first-quarter outlook, Lowe's is anticipated to adjust its full-year guidance towards the lower end of flat comparable sales and around a 12.3% operating margin [4]. - The company is expected to reiterate confidence in managing tariffs and safeguarding margins despite a less favorable scenario [4].

"During recent disaster response operations in Texas and the Los Angeles area, our teams would develop first responder kits while on-site. Our aim for this pilot program is to have them prepped and ready for future events. The 'Kid Care Kits' will include coloring books and snacks as well as a stuffed animal to help provide comfort to children who have faced the trauma of witnessing a natural disaster," said Diego Traverso, senior director of global disaster response for Operation Blessing. "With this renew ...

ATLANTA, May 6, 2025 /PRNewswire/ -- The Home Depot®, the world's largest home improvement retailer, announced today that it will hold its First Quarter Earnings Conference Call on Tuesday, May 20, at 9 a.m. ET. A webcast will be available by logging onto http://ir.homedepot.com/events-and-presentations and selecting the First Quarter Earnings Conference Call icon. The webcast will be archived, and the replay will be available beginning at approximately noon on May 20. The Home Depot is the world's largest ...

Financial Performance - Floor & Decor reported revenue of $1.16 billion for the quarter ended March 2025, reflecting a year-over-year increase of 5.8% [1] - The earnings per share (EPS) for the same period was $0.45, slightly down from $0.46 a year ago [1] - The reported revenue was a surprise of -0.31% compared to the Zacks Consensus Estimate of $1.16 billion, while the EPS met the consensus estimate [1] Key Metrics - Comparable store sales decreased by 1.8%, which was below the nine-analyst average estimate of -1.2% [4] - The total number of warehouse stores was 254, slightly below the average estimate of 255 based on four analysts [4] - The company opened 4 new warehouse stores, exceeding the average estimate of 3 from two analysts [4] Stock Performance - Shares of Floor & Decor have returned -13% over the past month, compared to a -0.7% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Core Points - Pool Corporation has authorized an increase in its share repurchase program to $600 million, adding $309.2 million to the existing $290.8 million [1] - The Board declared a quarterly cash dividend of $1.25 per share, representing a 4% increase from the previous dividend of $1.20 per share, payable on May 29, 2025 [2] - This marks the 20th quarterly dividend increase since 2004, reflecting the Board's commitment to returning capital to shareholders [3] - Pool Corporation operates approximately 445 sales centers globally, distributing over 200,000 products to around 125,000 wholesale customers [4]