BlueLinx Holdings Inc. (NYSE:BXC) Q3 2024 Earnings Conference Call October 30, 2024 10:00 AM ET

Company Participants

Tom Morabito - IR Officer
Shyam Reddy - President and CEO
Andy Wamser - CFO

Conference Call Participants

Jeffrey Stevenson - Loop Capital
Greg Palm - Craig-Hallum Capital Group
Reuben Garner - The Benchmark Company
Kurt Yinger - D.A. Davidson

Operator

Ladies and gentlemen, thank you for standing by, and welcome to the BlueLinx Holdings Third Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode, and today's call is being recorded.

We will begin with opening remarks and introductions. At this time, I would like to turn the conference over to your host, Investor Relations Officer, Tom Morabito. Please go ahead.

Tom Morabito

Thank you, operator, and welcome to the BlueLinx Third Quarter 2024 Earnings Call. Joining me on today's call are Shyam Reddy, our President and Chief Executive Officer; and Andy Wamser, our Chief Financial Officer and Treasurer.

At the end of today's prepared remarks, we will take questions. Our third quarter news release and Form 10-Q were issued yesterday after the close of the market along with our webcast presentation, and these items are available in the Investors section of our website, bluelinxco.com. We encourage you to follow along with the detailed information on the slides during the webcast.

Today's discussion contains forward-looking statements. Actual results may differ significantly from these forward-looking statements due to various risks and uncertainties, including the risks described in our most recent SEC filings. Today's presentation includes certain non-GAAP and adjusted financial measures that we believe provide helpful contexts for investors evaluating our business. Reconciliations to the closest GAAP financial measures can be found in the Appendix of our presentation.

Now, I'll turn it over to Shyam.

Shyam Reddy

Thanks, Tom, and good morning everyone. Our Q3 2024 results demonstrated solid gross margins of over 19% in our specialty products business and 11% for structural products, despite the impact of continued price deflation. We partially offset this deflation in both by driving volume growth in key specialty product categories such as millwork and engineered wood products, as well as structural lumber and panels. I'm very pleased with the entire BlueLinx team for their continued hard work and dedication to deliver these results, despite the difficult deflationary pricing environment.

We remain focused on growing our key specialty product categories at a higher rate than our structural product business, so that our product mix shifts over the next several years. We also continue to execute successfully on our local and national market share gain strategies as seen by our multi-family growth, expansion of product lines with key national accounts, our expansion of branded product lines into new geographic markets and launches of new product lines among others.