Q4 2025 Patrick Industries Inc Earnings Call

February 5, 2026

Operator: Good morning, ladies and gentlemen, and welcome to Patrick Industries' Q4 2025 earnings conference call. My name is Julian, and I will be your operator for today's call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note that this conference is being recorded. I will now turn the call over to Mr. Steve O'Hara, Vice President of Investor Relations. Mr. O'Hara, you may begin.

Speaker #1: At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. If anyone should conference, please press star zero on your telephone keypad; please note that this conference is being recorded.

Speaker #1: I will now turn the call over to Mr. Steve OHara, Vice President of you may require operator assistance during the

Steve O'Hara: Good morning, everyone, and welcome to our call this morning. I am joined on the call today by Andy Nemeth, CEO, Jeff Rodino, President, and Matt Feiler, SVP Finance and Chief Accounting Officer. Andy Roeder, Chief Financial Officer, is also on the call and will be available for Q&A. Certain statements made in today's conference call regarding Patrick Industries and its operations may be considered forward-looking statements under the securities laws. The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Additional factors that could cause results to differ materially from those described in the forward-looking statements can be found in the company's annual report on Form 10-K for the year ended December 31, 2024, and the company's other filings with the Securities and Exchange Commission.

Q4 2025 Patrick Industries Inc Earnings Call

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Patrick Industries

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Q4 2025 Patrick Industries Inc Earnings Call

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Thursday, February 5th, 2026 at 3:00 PM

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Speaker #2: conference call regarding Patrick Industries and its operations may be considered Good morning, everyone, and welcome to our call this morning. I am joined on the call today forward-looking statements under the securities laws.

Speaker #2: to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Additional factors that could cause results to differ materially from those described in the forward-looking statements can be found in the company's annual report on Form 10-K for the year ended December 31, The company undertakes no obligation securities and exchange 2024, and the company's other filings with the commission.

Speaker #2: I would now like to turn the call over to Andy Nemeth.

Steve O'Hara: I would now like to turn the call over to Andy Nemeth.

Speaker #3: Thank you, Steve. Good morning, everyone, and thank you for joining us on the call today. I want to begin by expressing my gratitude to the entire Patrick team for their leadership, dedication, passion, hard work, and relentless commitment to serving partner with our customers throughout 2025.

Andy Nemeth: Thank you, Steve. Good morning, everyone, and thank you for joining us on the call today. I want to begin by expressing my gratitude to the entire Patrick team for their leadership, dedication, passion, hard work, and relentless commitment to serve and partner with our customers throughout 2025. This team continues to elevate the standard at which we operate in alignment with our Better Together values. Their commitment is what has continued to drive and deliver strong operating and financial results in a very dynamic environment. Our businesses once again proved resilient in 2025, and our focus over the past two years on product development and innovation efforts paid off in the form of meaningful content growth with the 2026 model year changes as we continue our ongoing evolution toward our full solutions model.

Speaker #3: This team continues to elevate the standard at which we operate in alignment with our Better Together values. Their commitment is what has continued financial results in a very dynamic environment.

Speaker #3: Our business is once again proved resilient in 2025, and our focus over the past two years on product development and innovation to drive and deliver strong operating and content growth with the 2026 model year changes as we continue our ongoing evolution toward our full solutions model.

Speaker #3: Our teams remain focused on disciplined execution, scalability, strategic reinforcing of our customer relationships. Enabling us to further drive content capital allocation, and the gains in partnership with our 2025, despite macroeconomic uncertainty due to the tariff environment, customers across our outdoor enthusiast we welcome Medallion Instrumentation Systems, Quality Engineered Services, Aegis Group, and Lily Pad Marine to the Patrick family.

Andy Nemeth: Our teams remain focused on disciplined execution, scalability, strategic capital allocation, and reinforcing our customer relationships, enabling us to further drive content gains in partnership with our customers across our outdoor enthusiast markets. In 2025, despite macroeconomic uncertainty due to the tariff environment, we welcomed Medallion Instrumentation Systems, Quality Engineered Services, Egis Group, and LilliPad Marine to the Patrick family. These teams and businesses bring new technology, innovation, deep entrepreneurial spirit, strong engineering leadership, and additional aftermarket content and runway to Patrick. All four of these organizations complement our existing marine full solutions platform, enhancing the value and breadth of products and services we can bring to our customers. Additionally, early in 2025, we strategically complemented our existing investments in composites through the acquisition of Elkhart Composites.

Speaker #3: These teams and businesses bring new technology, innovation, deep entrepreneurial spirit, strong engineering leadership, and additional aftermarket content and runway to Patrick. All four of these organizations complement our existing marine full solutions platform, enhancing the value and breadth of products and services we can bring to our customers.

Speaker #3: Additionally, early in 2025, we strategically complemented our existing investments in composites through the acquisition of Elkar Composites. We continue to highlight the many benefits of these materials relative to the standard wood products used by both the RV and marine industries.

Andy Nemeth: We continue to highlight the many benefits of these materials relative to the standard wood products used by both RV and marine industries and are increasingly optimistic that we are just scratching the surface related to the long-term opportunity for composites. We expect to debut further manufacturing capabilities in alignment with our industry-leading lamination and composites innovation and platform in 2026 that reinforce Patrick's leadership in providing next-generation solutions to our markets. Turning to the aftermarket. Our growing aftermarket business has helped support both diversification and resilience through the cycle by enhancing our margin quality, deepening customer relationships and insights, and enabling us to better capitalize on demand for replacement and upgrade components. This year, as noted, we increased our presence in the space through various channels and now have more than 500 Patrick SKUs on the RecPro site from across our outdoor enthusiast end markets.

Speaker #3: And our increasingly optimistic that we are just scratching the surface related to the long-term opportunity for composites. We expect to debut further manufacturing capabilities in alignment with our industry-leading lamination and composites innovation and platform in 2026 that reinforce Patrick's leadership in providing next-generation solutions to our markets.

Speaker #3: Turning to the aftermarket, our growing aftermarket business has helped support both diversification and resilience through the cycle by enhancing our margin quality and deepening customer relationships and insights, and enabling us to better capitalize on demand for replacement and upgrade we increased our presence in the space through various channels, and now have components.

Speaker #3: more than 500 Patrick This year, as noted, across our outdoor enthusiast and markets. Simultaneously, we have formalized our unified aftermarket strategy and structure across Patrick, leveraging expertise from multiple facets of the organization to identify white space opportunities, target M&A candidates in the pipeline, and continue the rollout of dealers.

Andy Nemeth: Simultaneously, we have formalized our unified aftermarket strategy and structure across Patrick, leveraging expertise from multiple facets of the organization to identify white space opportunities, target M&A candidates in the pipeline, and continue the rollout of aftermarket products to consumers and dealers. We also continue to invest in and use leading technologies to further embed our customer-first solutions. I want to introduce our industry-leading, full-scale virtual design and reality solution that we call The Experience, which Jeff will further highlight and which builds on our existing design platform at our product showcase studio in Elkhart. This technology provides actual scale modeling and product development through technology to further deepen our collaboration and partnership with our valued customers. Moving to our financials.

Speaker #3: We also continue to aftermarket products to consumers and invest in and use leading technologies to further embed our customer-first solutions. I want to introduce our industry-leading full-scale virtual design and reality solution that we call the Experience, which Jeff will further highlight and which builds on our existing design platform at our product showcase studio in Elkar.

Speaker #3: This technology provides actual scale modeling and product development through technology to further deepen our collaboration and partnership with our valued customers. Moving to our financials, in the fourth quarter, net sales improved 9% to $924 million, primarily driven by solid organic growth and acquisitions, partially offset by wholesale shipment marine, and housing $0.84, including warrants.

Andy Nemeth: In the fourth quarter, net sales improved 9% to $924 million, primarily driven by solid organic growth and acquisitions, partially offset by wholesale shipment declines in each of our RV, marine, and housing markets. Adjusted earnings per diluted share was $0.84, including approximately $0.06 of dilution from our convertible notes and related warrants. For the full year, net sales increased 6% to approximately $4 billion, and adjusted earnings per diluted share was $4.44, including additional dilution of $0.26 related to the convertible notes and related warrants. Our solid balance sheet and strong, consistent cash flow generation continue to provide us with meaningful financial flexibility to thoughtfully execute our capital allocation strategy. We delivered free cash flow of $246 million this year, enabling us to reinvest in the business, pursue strategic acquisitions-...

Speaker #3: For the full year, net sales convertible notes and related increased 6% to approximately $4 billion, and adjusted earnings per diluted share was $4.44, including additional dilution markets. of $0.26, related to the convertible notes and related warrants.

Speaker #3: meaningful financial flexibility approximately $0.06 of dilution from our to thoughtfully execute our capital allocation strategy. We delivered free cash flow of $246 million this year, enabling us to reinvest in the business, pursue strategic acquisitions, and continue to take advantage of our scalability when market conditions improve.

Andy Nemeth: And continue to take advantage of our scalability when market conditions improve. We further increased our dividend by 17.5% this year with our regular quarterly dividend in November, reflecting the strength and resilience of our model and our continued confidence in our cash flows in the markets we serve. We are committed to redeploying capital back into the business in ways that support long-term value creation, including accretive M&A, organic investments, and returning capital to shareholders when appropriate, all while maintaining a disciplined leverage profile. Next, I want to take a moment to thank Andy Roeder for his leadership, partnership, dedication, and contributions to Patrick. He is a tremendous talent, and we wish him continued success and are excited for him in his next chapter.

Speaker #3: We further increased our dividend by Adjusted earnings per diluted share was regularly quarterly dividend in November, reflecting the strength and resilience of our model and our continued confidence in our cash flows and the markets we serve.

Speaker #3: We are committed to redeploying capital back into the business in ways that support long-term value creation, including accretive M&A, 17.5% this year with our organic investments, and returning capital to shareholders when appropriate, all while maintaining a disciplined leverage Next, I want to take a moment to thank Andy Roeder for his leadership, partnership, dedication, and contributions to Patrick.

Speaker #3: He is a tremendous talent, and we wish him continued success and are excited for him in his next chapter. We are also extremely confident that Matt Feiler's deep financial leadership, and extensive knowledge of Patrick and our end markets solidifies us and positions us extremely well for the future as he steps into his new role as 2026, we are focused CFO.

Andy Nemeth: We are also extremely confident that Matt Feiler's deep financial expertise, organizational leadership, and extensive knowledge of Patrick and our end markets solidifies us and positions us extremely well for the future as he steps into his new role as CFO. Lastly, as we look ahead to 2026, we are focused on delivering profitable growth through the continued execution of our model, while investing in the capabilities that differentiate Patrick. Our ability to consistently support our customers through evolving end market conditions while managing costs, maintaining balance sheet strength, and allocating capital with discipline, is more important than ever. With a strong foundation in place and significant opportunities ahead, we believe Patrick is well positioned to deliver sustainable, profitable growth and create long-term value. I'll now turn the call over to Jeff, who will highlight the quarter and provide detail on our end markets.

Speaker #3: And lastly, as we look ahead to continued execution of our model while investing in the capabilities that differentiate Patrick, we remain focused on delivering profitable growth.

Speaker #3: Our ability to consistently support our customers through evolving end market conditions while managing costs, maintaining balance sheet strength, and allocating capital with discipline is more important than ever.

Speaker #3: With a strong foundation in place and significant opportunities ahead, we believe Patrick is well-positioned to deliver sustainable, profitable growth and create long-term value.

Speaker #3: And I'll turn the call and provide detail on our end over to Jeff, who will highlight the quarter and

Speaker #3: markets.

Jeffrey Rodino: Thanks, Andy, and good morning, everyone. Demand in each of our end markets continues to be shaped by a combination of macro uncertainty and tariff volatility, resulting in cautious consumer behavior. OEMs and dealers have shown tremendous discipline. While OEMs have remained thoughtful in aligning production schedules with retail demand, dealers have prioritized well-managed inventory levels and selective ordering patterns. Additionally, our team's commitment to supporting customers through scalability, product solutions, customer service, and the goal of a good, better, best product offering have never wavered. This continues to help OEMs operate efficiently, execute model year changeovers, and meet consumer expectations for designs, enhanced features, and highly engineered products. Our fourth quarter RV revenues increased 10% to $392 million on a year-over-year basis, representing 43% of consolidated sales.

Jeff Rodino: Thanks, Andy, and good morning, everyone. Demand in each of our end markets continues to be shaped by a combination of macro uncertainty and tariff volatility, resulting in cautious consumer behavior. OEMs and dealers have shown tremendous discipline. While OEMs have remained thoughtful in aligning production schedules with retail demand, dealers have prioritized well-managed inventory levels and selective ordering patterns. Additionally, our team's commitment to supporting customers through scalability, product solutions, customer service, and the goal of a good, better, best product offering have never wavered. This continues to help OEMs operate efficiently, execute model year changeovers, and meet consumer expectations for designs, enhanced features, and highly engineered products. Our fourth quarter RV revenues increased 10% to $392 million on a year-over-year basis, representing 43% of consolidated sales.

Speaker #2: morning, everyone. Demand in each of our end markets continues to be shaped by a combination of macro uncertainty, tariff volatility, resulting in cautious consumer behavior.

Speaker #2: OEMs and dealers have shown tremendous discipline while OEMs have remained thoughtful in aligning production schedules with retail demand; dealers have prioritized well-managed inventory levels and selective ordering patterns.

Speaker #2: Additionally, our team's commitment to supporting customers through scalability, product solutions, customer service, and the goal of a good, better, best product offering have never wavered.

Speaker #2: This continues to help OEMs operate efficiently and execute model-year changeovers and meet consumer expectations for designs, enhanced features, and highly engineered products. Our fourth quarter RV revenues increased 10% to $392 million on a year-over-year basis, representing 43% of consolidated sales, RV content per wholesale unit for the full year was $5,190, which increased 7% from 2024.

Jeffrey Rodino: RV content per wholesale unit for the full year was $5,190, which increased 7% from 2024. On a quarterly basis, content per wholesale unit increased 13% year-over-year. For Q4, we estimate RV retail unit shipments were approximately 60,100, and according to RVIA, RV wholesale unit shipments were approximately 75,000. This implies a seasonal dealer inventory restock of approximately 14,900 units during the period, resulting in an estimated dealer inventory weeks on hand of approximately 16 to 18 weeks. While this reflects a modest increase from 14 to 16 weeks in Q3 of 2025, it remains well below the historical averages of 26 to 30 weeks.

Jeff Rodino: RV content per wholesale unit for the full year was $5,190, which increased 7% from 2024. On a quarterly basis, content per wholesale unit increased 13% year-over-year. For Q4, we estimate RV retail unit shipments were approximately 60,100, and according to RVIA, RV wholesale unit shipments were approximately 75,000. This implies a seasonal dealer inventory restock of approximately 14,900 units during the period, resulting in an estimated dealer inventory weeks on hand of approximately 16 to 18 weeks. While this reflects a modest increase from 14 to 16 weeks in Q3 of 2025, it remains well below the historical averages of 26 to 30 weeks.

Speaker #2: basis, content per wholesale unit increased On a quarterly 13% year-over-year. For the fourth quarter, we estimate RV retail unit shipments were approximately $60,100, and according to RVIA, RV wholesale unit shipments, were approximately $75,000.

Speaker #2: This implies a seasonal dealer inventory restock of approximately 14,900 units during the period, resulting in an estimated dealer inventory weeks on hand of approximately 16 to 18 weeks. At 14 to 16 weeks in the third quarter of 2025, it remains well below the historical averages of 26 to 30 weeks.

Speaker #2: As discussed, we continue to invest in composites and believe they are a superior solution to wood products. Which have been increasingly impacted by tariffs and other governmental actions.

Jeffrey Rodino: As discussed, we continue to invest in composites and believe they are a superior solution to wood products, which have been increasingly impacted by tariffs and other governmental actions. Our teams, in collaboration with our advanced product group, are focused on the development and production of our new composite solutions that further unlock potential avenues of content not included in our current total addressable market. Testing on our previously discussed roofing solution has been successfully completed, and we are excited about the related organic content opportunities. Finally, and as Matt will touch on more later, we have prioritized the strategic investment in composite inventory due to the expected capacity constraints in alignment with our capital allocation strategy, reflecting our customer focus value proposition.

Jeff Rodino: As discussed, we continue to invest in composites and believe they are a superior solution to wood products, which have been increasingly impacted by tariffs and other governmental actions. Our teams, in collaboration with our advanced product group, are focused on the development and production of our new composite solutions that further unlock potential avenues of content not included in our current total addressable market. Testing on our previously discussed roofing solution has been successfully completed, and we are excited about the related organic content opportunities. Finally, and as Matt will touch on more later, we have prioritized the strategic investment in composite inventory due to the expected capacity constraints in alignment with our capital allocation strategy, reflecting our customer focus value proposition.

Speaker #2: Our teams, in collaboration with our advanced product development and production of our new composite solutions, further unlock potential avenues of content not yet in the market.

Speaker #2: Testing included in our current total addressable on our previously discussed roofing solution has been successfully completed, and we are excited about the related organic opportunities.

Speaker #2: Finally, and as Matt will touch on more content on later, we are prioritizing the strategic investment in composite inventory due to the expected capacity constraints in alignment with our capital allocation strategy.

Speaker #2: Reflecting our customer proposition. Our fourth focus, value quarter marine revenues increased 24% to $150 million year-over-year, significantly outperforming a 1% decrease in estimated wholesale marine powerboat unit shipments.

Jeffrey Rodino: Our Q4 marine revenues increased 24% to $150 million year-over-year, significantly outperforming a 1% decrease in estimated wholesale marine powerboat unit shipments. Marine revenues represented 16% of our Q4 consolidated sales. Our estimated marine content per wholesale powerboat unit for the full year increased 11% to $4,327. On a quarterly basis, estimated CPU increased 25% year-over-year. We estimate marine retail and wholesale powerboat unit shipments were 17,300 and 33,000 units, respectively, in the fourth quarter, implying a seasonal dealer inventory restock of approximately 15,700 units.

Jeff Rodino: Our Q4 marine revenues increased 24% to $150 million year-over-year, significantly outperforming a 1% decrease in estimated wholesale marine powerboat unit shipments. Marine revenues represented 16% of our Q4 consolidated sales. Our estimated marine content per wholesale powerboat unit for the full year increased 11% to $4,327. On a quarterly basis, estimated CPU increased 25% year-over-year. We estimate marine retail and wholesale powerboat unit shipments were 17,300 and 33,000 units, respectively, in the fourth quarter, implying a seasonal dealer inventory restock of approximately 15,700 units.

Speaker #2: revenues represented 16% of our fourth quarter consolidated sales. Our estimated marine content per Marine wholesale powerboat unit for the full year increased 11% to $4,327 on a quarterly basis, estimated CPU increased 25% year-over-year.

Speaker #2: We estimate marine retail and wholesale powerboat unit shipments were 17,300 and 33,000 units, respectively, in the fourth quarter implying a seasonal dealer inventory restock of approximately 15,700 units.

Jeffrey Rodino: Dealer inventory in the field at the end of the fourth quarter was estimated 21 to 23 weeks on hand, lean compared to historical averages of 36 to 40 weeks, down slightly from the end of last year and still extremely lean for the industry. As Andy mentioned, we remain focused on expanding our marine full solutions platform, and in 2025, we strategically acquired several complementary products and solution suppliers, adding critical capabilities to our existing value chain for electrical solutions and the aftermarket. Medallion enhanced our instrumentation and control operating with digital switching, displays, sensors, and integrated electronics, while QES strengthens our wire harnessing and full electrical systems by supporting reliable power and connectivity throughout the vessel. Egis adds engineered components for power distribution, protection, and connectivity, including terminal blocks, fuses, circuit breakers, and relays to OEMs and the aftermarket.

Jeff Rodino: Dealer inventory in the field at the end of the fourth quarter was estimated 21 to 23 weeks on hand, lean compared to historical averages of 36 to 40 weeks, down slightly from the end of last year and still extremely lean for the industry. As Andy mentioned, we remain focused on expanding our marine full solutions platform, and in 2025, we strategically acquired several complementary products and solution suppliers, adding critical capabilities to our existing value chain for electrical solutions and the aftermarket. Medallion enhanced our instrumentation and control operating with digital switching, displays, sensors, and integrated electronics, while QES strengthens our wire harnessing and full electrical systems by supporting reliable power and connectivity throughout the vessel. Egis adds engineered components for power distribution, protection, and connectivity, including terminal blocks, fuses, circuit breakers, and relays to OEMs and the aftermarket.

Speaker #2: was Dealer inventory in the estimated 21 to 23 weeks on hand, lean compared to the historical averages of 36 to 40 of last year and still extremely lean for the industry.

Speaker #2: As Andy mentioned, we remain focused on expanding our marine full solutions platform, and in 2025, we strategically acquired several complementary products and solution suppliers adding critical capabilities to our existing value chain for electrical solutions and the aftermarket.

Speaker #2: Medallion enhanced our instrumentation and control offering with digital switching displays sensors and integrated electronics while QES strengthens our wire harnessing and full electrical systems by supporting reliable power and connectivity throughout the vessel.

Speaker #2: Aegis adds engineered components for power distribution, protection, and connectivity including terminal and relays to OEMs and the blocks, fuses, circuit breakers, aftermarket. And finally, LilyPad Marine brings patented diving boards and other award-winning products selling to OEMs and directly to the customer through aftermarket channels.

Jeffrey Rodino: And finally, LilliPad Marine brings patented diving boards and other award-winning products, selling to OEMs and directly to the customer through aftermarket channels. Together, these businesses complement our existing product portfolio, enabling Patrick to be the supplier of choice from bow to stern. Our Powersports revenue increased 39% to $109 million in the quarter, representing 12% of our Q4 consolidated sales. We continue to be encouraged by Sportech's solid performance as they increase their full-year platform-specific content by approximately 8%. This improvement was driven by the demand for Sportech's cabin closure solutions and the preference for utility-focused vehicles, along with the consumer's strong affinity for more feature-rich units. This reinforces the potency of our innovation solutions initiatives spanning our outdoor enthusiast brands.

Jeff Rodino: And finally, LilliPad Marine brings patented diving boards and other award-winning products, selling to OEMs and directly to the customer through aftermarket channels. Together, these businesses complement our existing product portfolio, enabling Patrick to be the supplier of choice from bow to stern. Our Powersports revenue increased 39% to $109 million in the quarter, representing 12% of our Q4 consolidated sales. We continue to be encouraged by Sportech's solid performance as they increase their full-year platform-specific content by approximately 8%. This improvement was driven by the demand for Sportech's cabin closure solutions and the preference for utility-focused vehicles, along with the consumer's strong affinity for more feature-rich units. This reinforces the potency of our innovation solutions initiatives spanning our outdoor enthusiast brands.

Speaker #2: Together, these businesses complement our existing product portfolio, enabling Patrick to be the supplier of choice from bow to stern. Our power sports revenue increased 39% to $109 million in the quarter, representing 12% of our fourth quarter consolidated sales.

Speaker #2: We continue to be encouraged by Sport Tech's solid performance as they increase their full-year platform-specific content by approximately 8%. This improvement was driven by the demand for Sport Tech's cabin closure solutions and the preference for utility-focused vehicles, along with the consumer's strong affinity for more feature-rich units.

Speaker #2: This reinforces the potency of our innovation solutions initiatives spanning our outdoor enthusiast brands. I would like to also congratulate the Rockford Fivesgate team on a well-received launch of their fully redesigned punch speaker line.

Jeffrey Rodino: I would like to also congratulate the Rockford Fosgate team on a well-received launch of their fully redesigned Punch speaker line. Bridging heritage, passion, and the modern listening expectation of today's auto enthusiast, this new lineup retains the punchy sound and enthusiast appeal that built the brand while incorporating modern design, broader functionality, and unparalleled acoustic technologies. Our housing revenue was 29% of consolidated sales in the Q4 and decreased 5% to $272 million. Our total housing revenues in the quarter outperformed a 10% decrease in the MH shipments and a 10% estimated decrease in total housing starts. Our MH content per wholesale unit was flat at $6,633 for the full year.

Jeff Rodino: I would like to also congratulate the Rockford Fosgate team on a well-received launch of their fully redesigned Punch speaker line. Bridging heritage, passion, and the modern listening expectation of today's auto enthusiast, this new lineup retains the punchy sound and enthusiast appeal that built the brand while incorporating modern design, broader functionality, and unparalleled acoustic technologies. Our housing revenue was 29% of consolidated sales in the Q4 and decreased 5% to $272 million. Our total housing revenues in the quarter outperformed a 10% decrease in the MH shipments and a 10% estimated decrease in total housing starts. Our MH content per wholesale unit was flat at $6,633 for the full year.

Speaker #2: Bridging heritage, passion, and the modern listening expectation of today's auto enthusiast, this new lineup retains the punchy sound and enthusiast appeal that built the brand while incorporating modern design, broader functionality, and an unparalleled acoustic technologies.

Speaker #2: Our housing revenue was 29% of consolidated sales in the fourth quarter and decreased 5% to $272 million. Our total housing revenues in the quarter outperformed a 10% decrease in the MH shipments and a 10% estimated decrease in total housing starts.

Speaker #2: unit was flat at 6,633 for the full year. We are confident in the highly leverageable and scalable nature of this business and believe the underlying for affordable housing, remain strong even as the industry shipments and backlogs have softened.

Jeffrey Rodino: We are confident in the highly leverageable and scalable nature of this business and believe the underlying demand fundamentals, particularly for affordable housing, remain strong even as the industry shipments and backlogs have softened. Our brands in this space have continued to demonstrate resilience relative to a broader industry trends, with a focus on a market share gains and increasing content. Our aftermarket sales increased approximately 30% year over year and are now 10% of our total revenues versus 8% in 2024. Finally, I wanted to highlight The Experience. As Andy mentioned, we recently debuted this industry-leading investment, technology, and venue that leverages virtual reality, advanced product scanners, and a massive LED display to bring customizable, life-sized design product solutions and marketing showcase to our customers.

Jeff Rodino: We are confident in the highly leverageable and scalable nature of this business and believe the underlying demand fundamentals, particularly for affordable housing, remain strong even as the industry shipments and backlogs have softened. Our brands in this space have continued to demonstrate resilience relative to a broader industry trends, with a focus on a market share gains and increasing content. Our aftermarket sales increased approximately 30% year over year and are now 10% of our total revenues versus 8% in 2024. Finally, I wanted to highlight The Experience. As Andy mentioned, we recently debuted this industry-leading investment, technology, and venue that leverages virtual reality, advanced product scanners, and a massive LED display to bring customizable, life-sized design product solutions and marketing showcase to our customers.

Speaker #2: Our brands in this space have continued to demonstrate resilience relative to a broader industry trends with a focus on a market share gains and increasing content.

Speaker #2: Our aftermarket sales increased approximately 30% year-over-year and are now 10% of our total revenues versus 8% in experience. As Andy mentioned, we recently debuted this industry-leading investment, technology, and venue that leverages virtual reality, advanced product scanners, and a massive LED display to bring solutions and marketing showcase to our customers.

Jeffrey Rodino: This 50-foot-wide by 14-foot-tall screen is capable of presenting, in virtual reality, RVs, boats, and powersports vehicles that we specialize in at a 1-to-1 scale. The Experience enables customers to walk through their virtual renderings of their products and experiment with design and solutions, changing in real time, reducing the number of prototype units needed. Since the launch in late November, we have hosted over 30 comprehensive demos for our customers, and in response, and the response has been overwhelmingly positive. We are very excited about the application of the industry-leading technology, and it's in alignment with our vast product portfolio, expertise, and capabilities to continue to deliver innovative solutions in partnership with our customers. I'll now turn the call over to Matt Feiler, who will provide additional comments on our financial performance.

Jeff Rodino: This 50-foot-wide by 14-foot-tall screen is capable of presenting, in virtual reality, RVs, boats, and powersports vehicles that we specialize in at a 1-to-1 scale. The Experience enables customers to walk through their virtual renderings of their products and experiment with design and solutions, changing in real time, reducing the number of prototype units needed. Since the launch in late November, we have hosted over 30 comprehensive demos for our customers, and in response, and the response has been overwhelmingly positive. We are very excited about the application of the industry-leading technology, and it's in alignment with our vast product portfolio, expertise, and capabilities to continue to deliver innovative solutions in partnership with our customers. I'll now turn the call over to Matt Feiler, who will provide additional comments on our financial performance.

Speaker #2: This 50-foot wide by 14-foot tall screen is capable of presenting in virtual reality RVs, boats, and power sport vehicles that we specialize in at a one-to-one scale.

Speaker #2: They experience virtual renderings of their products and enable customers to walk through their designs, experimenting with solutions and changes in real time, reducing the number of prototype units needed.

Speaker #2: Since the launch in late November, we have hosted over 30 comprehensive demos for our customers and in the response has been overwhelmingly positive. We are very excited about the application of the industry-leading technology and its in alignment with our vast product portfolio,

Speaker #1: Expertise and to continue capabilities to . to Matt call over . solutions and our I'll now call over turn the customers to Matt partnership with I'll now turn the innovative Fowler , who provide will additional comments on our financial performance .

Matt Feiler: Thanks, Jeff, and good morning, everyone. I'd like to begin by thanking Andy Roeder for his partnership, both prior to and during this transition, and by saying how honored I am to be stepping into the CFO role at Patrick. I'm excited and eager to continue working with this incredible team, to be their business partner, and drive long-term value creation through disciplined financial planning and execution. Now, moving to our financial results. Consolidated net sales for Q4 increased 9% to $924 million, driven primarily by market share gains and M&A. This growth was comprised of 9% organic growth and 2% acquisition growth, partially offset by -2% industry. As Jeff discussed in detail, our outdoor enthusiast-focused businesses more than offset a 5% decline in our housing revenue for Q4.

Speaker #1: and good Thanks , Jeff , morning , I'd like to by begin thanking Andy for his partnership , both prior to and during this everyone .

Speaker #1: Transitioning, I just want to say how honored I am to be in the CFO role at Patrick. I'm excited to continue with this incredible team, to be working with our business partners, and eager to drive long-term value through disciplined planning and execution.

Speaker #1: Now moving to financial our results . Consolidated financial sales for the fourth quarter increased 9% to driven market primarily by $924 million , gains and M&A .

Speaker #1: This growth was comprised of 9% share organic growth and 2% acquisition growth , partially offset by . As discussed Jeff in detail , our enthusiast outdoor focused businesses more than a housing decline in our quarter revenue for the fourth .

Matt Feiler: For the full year, net sales increased 6% to approximately $4 billion. Full-year RV revenue increased 9% to $1.8 billion, and marine revenue increased 6% to $606 million. Our Powersports revenue increased 9% to $384 million, and our housing revenue increased 1% to $1.2 billion. The improvement in revenues across our markets were largely supported by content per unit gains and acquisitions, including our increasing aftermarket penetration. Our housing business remained resilient despite softening MH shipments in the second half of the year. Gross margin was 23% in Q4, compared to 22.1% in the prior year.

Speaker #1: For the offset sales increased 6% to approximately $4 billion . RV Full year revenue 9% 1.8 billion , and revenue marine to 6% increased to 606 million .

Speaker #1: Our powersports revenue increased 9% to $384 million , and our housing revenue increased 1% to 1.2 billion . improvement The in revenues across our largely markets were supported by content per unit gains and acquisitions , including our aftermarket increasing penetration housing remained business , our resilient despite softening MH shipments second half of the year in the .

Speaker #1: Gross margin was 23% in the fourth quarter , compared to 22.1% in the prior year . in increase margin was due factors including to leveraging our fixed cost structure through content gains , realized , changeover from the model , stronger season revenues accretive and acquisitions in space .

Matt Feiler: The increase in margin was due to factors including leveraging our fixed cost structure through content gains realized from the model year changeover season, stronger revenues, and accretive acquisitions in the aftermarket space. For the full year, gross margin was 23.1%, compared to 22.5% in 2024. In the fourth quarter, adjusted operating margin expanded 110 basis points to 6.3%. This improvement was driven by stronger revenue in our outdoor enthusiast markets and increased gross profit, partially offset by higher SG&A expenses, primarily as a result of acquisitions. Our full-year adjusted operating margin was 7%, in line with the outlook we provided.

Speaker #1: aftermarket the For the gross full year , margin was 23.1% , 22.5% in 2020 . For compared to in the fourth quarter , adjusted operating margin expanded 110 basis points to 6.3% .

Speaker #1: This driven by stronger revenue in our outdoor improvement was markets and enthusiast increased profit , partially offset by higher SG&A expenses , result of acquisitions primarily as a .

Speaker #1: Our full adjusted year operating was 7% , in line with the outlook we provided margin . GAAP net income in the fourth quarter and full was year 29 million and $135 million , respectively , net compared to income 15 million and of respectively , in the prior year $138 million , periods .

Matt Feiler: GAAP net income in the fourth quarter and full year was $29 million and $135 million, respectively, compared to net income of $15 million and $138 million, respectively, in the prior year periods. GAAP EPS for the fourth quarter increased 98% to $0.83, and for the full year, decreased 5% to $3.90. Fourth quarter adjusted net income increased 63% to $30 million, and adjusted EPS increased 62% to $0.84. Full year adjusted net income increased 5% to $154 million, and adjusted EPS increased 2% to $4.44.

Speaker #1: GAAP EPs for 98% increased to the fourth quarter $0.83 , and for the full year decreased 5% to Fourth quarter $3.90 . adjusted net income increased 63% to $30 million , and adjusted EPs 62% to $0.84 .

Speaker #1: Full year adjusted net income increased 5% to $154 million , and adjusted increased 2% EPs to $4.44 . Our fourth quarter and full year adjusted diluted EPs include $0.06 $0.26 per share and approximately , respectively .

Matt Feiler: Our Q4 and full-year adjusted diluted EPS include approximately $0.06 and $0.26 per share, respectively, in additional accounting-related dilution from our 2028 convertible notes and related warrants as a result of the increase in our stock price above the convertible option strike price. Last year's Q4 and full-year adjusted diluted EPS included approximately $0.02 and $0.10, respectively, from these instruments. As we've noted previously, we have hedges in place which are expected to reduce or eliminate any potential dilution to the company's common stock upon any conversion of the convertible notes and/or offset any cash payments the company is required to make in excess of the principal, principal amount of any converted notes. For GAAP reporting purposes, these hedges are always anti-dilutive and therefore cannot be included when reporting earnings per share.

Speaker #1: In additional accounting related dilution from our 2028 Convertible notes and related warrants . As a result of the increase in our stock price above the convertible option , strike price last , fourth quarter and full year diluted EPs included approximately $0.02 and $0.10 , respectively .

Speaker #1: From these . As we've noted previously , we have instruments hedges in place which expected to are reduce or eliminate any potential to the upon any dilution company's convertible conversion of notes the common and or offset any cash payments the company is make to in excess of the principal required any converted principal amount of notes GAAP reporting purposes .

Speaker #1: These hedges are always for and therefore antidilutive included when reporting earnings per share . Adjusted EBITDA increased 17% to $105 million , and adjusted EBITDA margin points to 11.4% for the fourth quarter .

Matt Feiler: Adjusted EBITDA increased 17% to $105 million, and adjusted EBITDA margin increased 80 basis points to 11.4% for the fourth quarter. On a full year basis, adjusted EBITDA increased 4% to $468 million, while adjusted EBITDA margin decreased 40 basis points to 11.8%. Our overall effective tax rate was approximately 26% for the fourth quarter and 24% for the full year. Cash provided by operations was $329 million for 2025, and purchases of property, plant, and equipment were $83 million for the year, resulting in free cash flow of $246 million. For the quarter, operating cash flow was $131 million, implying free cash flow of $113 million.

Speaker #1: 80 basis adjusted basis , EBITDA increased 4% $468 million , while adjusted EBITDA margin decreased 40 basis points to 11.8% . Our overall effective rate was tax approximately 26% for the quarter and 24% for the full year by provided operations was $329 million for 2025 , .

Speaker #1: Fourth of property, plant, and equipment were purchases this year, resulting in free cash flow of $83 million for the quarter and $246 million for the year.

Speaker #1: of Operating cash flow equipment was $131 million , implying free cash Cash flow free cash flow of while was strong during the quarter , as Jeff noted , we strategically added more than support $30 million of our investments in composites innovation and product inventory to .

Matt Feiler: While free cash flow was strong during the quarter, as Jeff noted, we strategically added more than $30 million of inventory to support our investments in composites, innovation, and product initiatives. We remain aggressive in alignment with our industry-leading composite strategy and inventory in preparation of an environment where demand could outpace supply. At the end of the fourth quarter, total net leverage was 2.6 times, compared to 2.8 times at the end of the third quarter, reflecting our continued commitment to delever the business toward our target leverage range of 2.25 to 2.5 times. Our strong liquidity position enables us to be opportunistic toward acquisitions that align with the company's long-term growth objectives, and our solid free cash flow generation enables us to delever the balance sheet quickly while remaining on offense.

Speaker #1: We remain aggressive in alignment with our industry leading composite inventory , and preparation of an environment where demand could outpace supply . At the end of the fourth quarter , total net leverage was 2.6 times compared to 2.8 times at of the third quarter , reflecting continued commitment to deliver the the end our business toward our target .

Speaker #1: Leverage in the range of a strong 2.25 to 2.5 times, liquidity in our position enables us to be opportunistic in acquisitions that align with the company's long-term growth objectives. The solid free cash flow generation enables us to deliver the balance sheet quickly while remaining focused on our objectives.

Matt Feiler: Available liquidity at the end of the quarter was approximately $818 million, comprised of $26 million of cash on hand and unused capacity on our revolving credit facility of $792 million. From a capital allocation perspective, in 2025, we invested $122 million in acquisitions that the team has already touched upon. We returned $87 million to shareholders, including the repurchase of approximately 377,600 shares, for a total of $32 million and $55 million in dividends. At the end of 2025, we had approximately $168 million remaining under our current share repurchase authorization. Moving to our end market outlook for 2026.

Speaker #1: liquidity . Available At the end of the quarter was approximately comprised of $26 million of cash on $818 million , hand and unused capacity on revolving our facility of from a capital allocation perspective in 2025 , we 792 million invested $122 million in credit acquisitions already touched has that the team upon .

Speaker #1: We returned $87 million to shareholders , including the repurchase of approximately 377,600 shares , for a total of $32 million and $55 million in dividends at the end of 2025 , we had approximately $168 million remaining under our current share repurchase authorization .

Speaker #1: Moving to our end market outlook for 2026 , we believe a meaningful retail demand inflection likely depends on confidence and interest rate consumer we expect and dealers to OEMs thoughtfully disciplined in terms of remain production and inventory levels .

Matt Feiler: We believe a meaningful retail demand inflection likely depends on consumer confidence and interest rate improvement, and we expect OEMs and dealers to remain thoughtfully disciplined in terms of production and inventory levels in anticipation of the upcoming selling season. For RV, we estimate full-year 2026 RV retail registrations will be flat, with wholesale unit shipments increasing low- to mid-single digits as a result. For marine, we estimate full-year 2026 marine retail registrations will be flat, with wholesale powerboat unit shipments up low single digits. For our powersports end market, we expect full-year unit shipments to be up low single digits, with our organic content estimated to be up low single digits for the full year, implying an overall mid- to high single-digit increase for our business.

Speaker #1: In of the anticipation upcoming selling season for we estimate RV , 2026 RV retail full year will be registrations flat , unit wholesale shipments increasing low to mid single digits as result .

Speaker #1: For marine , we estimate full year 2026 marine retail registrations will flat with wholesale a be powerboat unit shipments up low . Single digits improvement , and powersports end for our market , we expect full year unit shipments to be up low digits with our organic content estimated to be digits for up low year , implying the full an overall mid high digit increase for our business .

Speaker #1: to the housing side , we estimate full year MH wholesale shipments will be to up 5% in our residential flat housing end single We market .

Matt Feiler: On the housing side, we estimate full year MH wholesale shipments will be flat to up 5%. In our residential housing end market, we estimate 2026 total new housing starts to be flat to up 5%. Given the current end market outlook we've provided, we estimate our 2026 adjusted operating margin will improve by 70 to 90 basis points versus 2025. We estimate our operating cash flow will be $380 to 400 million, and CapEx will total between $70 and 80 million, implying free cash flow of approximately $300 million or more.

Speaker #1: estimate 2026 total new starts to housing be flat to up 5% . current end market outlook , Given the we've we estimate our 2026 adjusted operating margin will improve by 70 to 90 basis points versus 2025 .

Speaker #1: We operating estimate our will be flow 380 to $400 million , and CapEx total will between 70 and $80 million , implying free cash flow of approximately $300 million or more for 2026 , we estimate our full year tax rate will be between 24 and 25% .

Andy Nemeth: ... For 2026, we estimate our full year tax rate will be between 24% and 25%. Finally, I would like to note that based on the recent trading prices of our common stock, our 2026 earnings per share would include additional dilution related to our convertible notes and warrants. That completes my remarks. We are now ready for questions.

Matt Feiler: ... For 2026, we estimate our full year tax rate will be between 24% and 25%. Finally, I would like to note that based on the recent trading prices of our common stock, our 2026 earnings per share would include additional dilution related to our convertible notes and warrants. That completes my remarks. We are now ready for questions.

Speaker #1: would like to note Finally , I based on the recent prices of our stock , common trading that our 2026 earnings per share would additional dilution related to our include and notes warrants .

Speaker #1: That completes my convertible We are now ready for .

Operator: Thank you. With that, at this time, we will be conducting a question and answer session. We do ask that you please limit yourself to one question and one follow-up. If you'd like to ask a question, please press star one on your telephone keypad. A confirmation tone will indicate that your line is in the question queue. You may press star two to remove yourself from the queue. For participants using speaker equipment, it may be necessary to pick up the handset before pressing the star keys. One moment while we poll for questions. Our first question comes from the line of Joe Altobello with Raymond James. Please proceed with your question.

Speaker #2: Thank you . And with that , at this time , we will be conducting a question and answer session . We ask that you please limit yourself to one and do one follow up question .

Speaker #2: like to If you'd ask a please question , press telephone one on your and keypad indicate line is in the that your confirmation queue .

Speaker #2: press You may star two to remove yourself from the queue star . For speaker participants using equipment , it may be up the handset pressing the star keys necessary to pick .

Speaker #2: One moment while we pull for questions . And comes from the line of our first question Altobello with Raymond James . Please your .

Joe Altobello: Thanks. Hey, guys. Good morning. I just want to go back to a comment you made earlier about content per unit. I think you mentioned you're seeing meaningful increases there with the new model year changeovers. Can you maybe elaborate on that a little bit more? Does that reflect, you know, larger and more content in units, or is it largely, share gains?

Speaker #3: guys . Thanks . Hey Good morning . want to go comment you

Speaker #3: made earlier content per unit . you're seeing meaningful I just increases there with the new model question changeovers . Can you maybe about elaborate on more ?

Speaker #3: Does that reflect larger and more content than units , or you mentioned share that a little bit gains is it

Andy Nemeth: Yeah, Joe, this is Jeff. Excuse me, this is Jeff. It's a little bit of a combination of both. Certainly, over our model change, we did pick up, you know, some content in a few areas with the composites starting to come into play, some of the electronics and some further penetration on our core product, products. On the marine side, you know, really the same across the board, some pickups at model change. On the RV side, we did see a little bit of help from the mix as we've seen some of the bigger, higher content of units start to come into play in the Q3 and Q4. So kind of a combination of both.

Jeff Rodino: Yeah, Joe, this is Jeff. Excuse me, this is Jeff. It's a little bit of a combination of both. Certainly, over our model change, we did pick up, you know, some content in a few areas with the composites starting to come into play, some of the electronics and some further penetration on our core product, products. On the marine side, you know, really the same across the board, some pickups at model change. On the RV side, we did see a little bit of help from the mix as we've seen some of the bigger, higher content of units start to come into play in the Q3 and Q4. So kind of a combination of both.

Speaker #4: Yeah , this is Jeff . Excuse me , this is Joe , Jeff . It's of a of both . combination Certainly over our model change .

Speaker #4: did We a little bit up , you know , some content in a few areas with the starting composite to come Some of into the and some further play .

Speaker #4: core product products , on marine the side , you know , really the same pickups at Some model change on side . RV We see a little the help did the the mix , as we've board .

Speaker #4: We've seen some higher content units start to come into the quarter. So, kind of across the combination of play both in the third and fourth.

Joe Altobello: Very helpful. Thanks. And let me just shift gears a little bit on the operating margin outlook, the expansion of 70 to 90 basis points that you're calling for. Can you give us a little bit more color on what's driving that? How much is coming from volumes, from pricing, from mix, et cetera?

Speaker #3: Thank you very much. Just to shift gears a little on the margin outlook, the operating expansion of 70 to 90 basis points that you're calling for—can you give us a little bit more color on what's driving that?

Speaker #3: How much is driving coming from volumes from mix , etc. ?

Andy Nemeth: Hey, Joe, this is Andy. I think as we look at the business and it's a combination of both, you know, Ken, volumes certainly help, but as we're situated really nicely now, when I look at the platform, when I look at our cost structure, we're just really well positioned to support, you know, a volume increase and a significant volume increase without adding significant overhead. So there's definite volume play there. But I think as well, when we look at the content gains that we've got, the solutions that we're presenting and working with customers on, you know, the opportunity to help bring a low-cost alternative through a full solution to our customers is significant out there. And so we think that's going to add value as well from an overall margin perspective, even being more competitive in pricing with some of these solutions.

Speaker #4: this Andy . I think is at the business

Speaker #4: and it's a both , combination of you know , Hey Joe , again , certainly we're help as really

Speaker #4: nicely look at the . Now when I when I look platform , cost structure , we're just really well positioned to you know , a support , helpful .

Speaker #4: increase in a significant volume increase without adding significant there's volume play definite there . But I think as well , when we look at the content we've overhead .

Speaker #4: Got the solutions presenting, and that we're gains that working with you—pricing from customers, opportunity to bring a low cost, a full to our customers know, the is significant out there.

Speaker #4: And so solution we think that's going value as well alternative through an overall margin perspective . So Even competitive in with some of So we're about these excited kind of the entire solutions .

Andy Nemeth: So, we're excited about kind of the entire platform, but leveraging volume certainly as we look forward, and any upside that we see on the shipment levels, you know, we're optimistic, especially as it relates to our cost structure today.

Speaker #4: leveraging certainly as volume , we look forward and any upside from that we see on the levels , you shipment know , we're optimistic , especially as it relates to our cost structure today .

Joe Altobello: Got it. Thank you.

Speaker #3: Got it . Thank you .

Operator: Thank you. And our next question comes from the line of Daniel Moore with CJS Securities. Please proceed with your question.

Speaker #2: you Thank . And our next question line from the of Daniel Moore with CJS securities . Please your question proceed with comes .

Daniel Moore: Thank you. Good morning. You know, obviously, solid results in Q4. Appreciate taking the question. Following up maybe on Joe's question, appreciate the market outlook for each vertical. Can you talk about any cadence you might be expecting embedded in those growth rates and those kind of market shipping growth rates? How do we see shipments shaping up for Q1 and H1 versus H2, kind of across verticals? And any commentary on cadence of the margin improvement as well would be really helpful. Thanks.

Speaker #5: Thank you . Good morning . You know , obviously solid results in Q4 . the taking question . up Following maybe on Appreciate Appreciate the question .

Speaker #5: Can you about any you you talk for might be in those expecting growth embedded in kind of those market rates ? How do we see shipments shaping shipment Q1 and H1 up for versus growth H2 across verticals ?

Speaker #5: And kind of any on cadence of the margin improvement as well would be really commentary Thanks .

Andy Nemeth: Yeah, Dan, as of right now, I think where we see things is inventory levels are extremely lean, even with a little bit of restock that we saw in the fourth quarter. We think inventories were incredibly lean at the end of Q3. And so what we're really excited about, too, is there's just tremendous discipline between the OEMs and the dealers today as it relates to managing inventories. And it's really positioned everybody, you know, well to be able to scale, at least us, certainly to be able to scale going forward.

Speaker #4: Yeah . Dan , as right now think where we see where things is inventory levels are I extremely lean , even with a little bit of restock that we saw in the fourth think inventories were incredibly lean at the end Q3 .

Speaker #4: so of And we what really excited is there's just quarter . discipline between the OEMs today as relates to it dealers and the inventories .

Speaker #4: And really positioned everybody , you know to be well to to scale at able least us certainly to be able to scale about too , And so right now we're in as we're early , early parts of kind of there is optimism is what I would there's you know , there's , excited about the going dealers are very staying very , disciplined and staying very , potential very disciplined to maintaining lean move into the selling we season , you inventories .

Andy Nemeth: And so right now, as we're in the early parts of kind of Q1, there is optimism, is what I would say, and there's, you know, we're excited about the potential that exists, but dealers are staying very, very disciplined, the OEs are staying very, very disciplined to maintaining, you know, these lean inventories. I think as we move into the selling season, you know, in late Q1, Q2 is when we would expect to start to see things move or hope to start to see things move. And so Q1 right now is what I'm going to say, disciplined and thoughtful. We would expect uptick Q2 and Q3 as the selling season occurs, and movement typically to that seasonal model for us, where Q2 and Q3 are the highest.

Speaker #4: in late , you know , these Q1 , Q2 is when we would expect to start forward . to see things move or hope to And I start to see things move .

Speaker #4: Q1 right now is , is And I'm going to say , disciplined and We would thoughtful . is what expect season and movement occurs to that for us , where seasonal Q3 are Q1 the is the highest , patient now is right what I'd say .

Andy Nemeth: Q1 is patient right now, is what I'd say, but thoughtfully patient. And, you know, like I said, I think we're really optimistic about where we can play in this, especially with our scalability value proposition. We've positioned ourselves really well. You know, we used our working capital in the form of inventory. We're a little bit heavier on inventory in Q4 in anticipation of this uptick, but we're going to be able to move very, very quickly when things do move. And so that's where we kind of see things. But I like the discipline that we see today. Everybody's just being really thoughtful in Q1, and so it's a little patient and tempered right now, but with optimism that we move into Q2 and Q3, we'll see that uptick and across all of our markets.

Speaker #4: thoughtfully patient . I like I And , you know , think we're really said , I optimistic about where we Q2 and in this , can play especially with our scalability value proposition .

Speaker #4: We positioned ourselves really You know , well . we we capital in the form of We're a little inventory . bit heavier inventory in we in anticipation uptick .

Speaker #4: of this to be able to move But we're going quickly things do when move . And kind of see so things . But I like the very , very that's see discipline that we just being really today .

Speaker #4: Everybody's . In Q1 . And it's it's a little so and But with patient optimism that we Q2 and tempered right move into Q3 , we'll see uptick .

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Q4 2025 Patrick Industries Inc Earnings Call

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Q4 2025 Patrick Industries Inc Earnings Call

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Q4 2025 Patrick Industries Inc Earnings Call

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