Griffon Corporation (NYSE:GFF) Q3 2023 Earnings Conference Call August 2, 2023 8:30 AM ET

Company Participants

Ron Kramer - Chairman and CEO

Brian Harris - CFO

Conference Call Participants

Lee Jagoda - CJS Securities

Tim Wojs - Baird

Julio Romero - Sidoti and Company

Noah Merkousko - Stephens Inc

Sam Darkatsh - Raymond James

Justin Bergner - Gabelli Funds

Operator

Good morning, and welcome to the Griffon Corporation Fiscal Third Quarter 2023 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] After today's presentation, there will an opportunity to ask questions. [Operator Instructions]. Please note that this event is being recorded.

I would now like to turn the conference over to Brian Harris, CFO. Please go ahead.

Brian Harris

Thank you, Debbie. Good morning, everyone. With me on the call is Ron Kramer, our Chairman and Chief Executive Officer. Our call is being recorded and will be available for playback. The detail of which are in our press release issued earlier today. As in the past, our comments will include forward-looking statements about the company's performance based on our views of Griffon's businesses and the environments in which they operate.

Such statements are subject to inherent risks and uncertainties that can change as the world changes. Please see the cautionary statements in today's press release and in our various Securities and Exchange Commission filings. Finally, some of today's remarks will adjust for those items that affect comparability between reporting periods. These items are explained in our non-GAAP reconciliations included in our press release.

Now, I'll turn the call over to Ron.

Ron Kramer

Thanks, Brian. Good morning, everyone, and thanks for joining us. As you can see from our third quarter results, Griffon's financial performance continues to exceed expectations. Our results were driven by the outstanding performance of our Home and Building Products, or "HBP" segment, which continues to see year-over-year growth in commercial volume.

Residential volume decrease as expected year-over-year as backlog levels normalized. HBP had favorable price and mix across all products and channels. HBP's performance is supported by increased investment in business development for both residential and commercial following two years of reduced sales and marketing activity due to elevated backlog and long lead times. HBP continues to invest in productivity and innovation to further drive growth.

Clopay has fundamentally raised the bar for performance expectations. Turning to the Consumer Professional Product segment, CPPs results continue to reflect challenging market conditions.