Griffon Corporation (NYSE:GFF) Q4 2023 Earnings Conference Call November 15, 2023 8:30 AM ET
Company Participants
Ron Kramer - Chairman and CEO
Brian Harris - CFO
Conference Call Participants
Joe Ahlersmeyer - Deutsche Bank
Bob Labick - CJS Securities
Tim Wojs - Baird
Julio Romero - Sidoti & Co.
Sam Darkatsh - Raymond James
Justin Bergner - Gabelli Funds
Operator
Greetings, and welcome to the Griffon Corporation Fiscal Fourth Quarter 2023 Earnings Conference Call. [Operator Instructions] As a reminder, this conference is being recorded.
It is now my pleasure to introduce your host, Brian Harris, Chief Financial Officer. Thank you. Mr. Harris, you may begin.
Brian Harris
Thank you. Good morning. It's my pleasure to welcome everybody to Griffon's fourth quarter and fiscal 2023 earnings call. Joining me for this morning's call is Ron Kramer, Griffon's Chairman and Chief Executive Officer. Our press release was issued earlier this morning and is available on our website at www.griffon.com.
Today's call is being recorded, and the replay instructions are included in our earnings release. Our comments will include forward-looking statements about Griffon's performance. These statements are subject to risks and uncertainties that can change as the world changes. Please see the cautionary statements in today's press release and in our SEC filings. Finally, some of today's remarks, we'll adjust for items that affect comparability between periods. These items are explained in our non-GAAP reconciliations included in our press release.
With that, I'll turn the call over to Ron.
Ron Kramer
Good morning, everyone. Thank you for joining us.
We're pleased with our results for the fourth quarter and the fiscal year. The record performance of our Home and Building Products, HBP segment drove our results as Clopay and CornellCookson continue to deliver strong free cash flow and operating margins. Our Consumer and Professional Products or CPP segment improved in the fourth quarter, and we're optimistic about its repositioning for the future.
For the year, HBP revenue increased 5% to $1.6 billion, driven by continued growth in commercial volume. As expected, residential volume decreased as backlog levels normalized. HBP had favorable price and mix across all products and channels. HBP's fourth quarter performance benefited from increased investment in marketing and sales for both residential and commercial channels, following two years of reduced activity due to elevated backlog and extended lead times. HBP also continue to invest in productivity and innovation to further drive growth, including expanding Clopay's Troy, Ohio sectional door manufacturing capacity and adding advanced manufacturing equipment to better satisfy customer demand for premium products.