A. O. Smith Corporation (AOS) Q1 2023 Earnings Call Transcript

A. O. Smith Corporation (NYSE:AOS) Q1 2023 Earnings Conference Call April 27, 2023 10:00 AM ET

Company Participants

Helen Gurholt - Vice President, Investor Relations and Financial Planning and Analysis

Kevin Wheeler - Chairman and CEO

Chuck Lauber - Chief Financial Officer

Conference Call Participants

Michael Halloran - Baird

Saree Boroditsky - Jefferies

Susan Maklari - Goldman Sachs

Matt Summerville - D.A. Davidson & Co.

Damian Karas - UBS

Andrew Kaplowitz - Citigroup

Jeff Hammond - KeyBanc Capital Markets, Inc.

David MacGregor - Longbow Research

Operator

Good day and thank you for standing by. Welcome to the A. O. Smith First Quarter 2023. At this time, all participants are in a listen-only mode. After the speakers’ presentation, there will be a question-and-answer session. [Operator Instructions]

Please be advised that today’s conference is being recorded. I would like to hand the conference over to your speaker today, Helen Gurholt. Helen, please go ahead.

Helen Gurholt

Thank you, Eleanor. Good morning. And welcome to the A. O. Smith first quarter conference call. I am Helen Gurholt, Vice President, Investor Relations and Financial Planning and Analysis. Joining me today are Kevin Wheeler, Chairman and Chief Executive Officer; and Chuck Lauber, Chief Financial Officer.

In order to provide improved transparency into the operating results of our business, we provide non-GAAP measures. Free cash flow is defined as cash from operations less capital expenditures.

Adjusted earnings, adjusted earnings per share, adjusted segment earnings and adjusted corporate expenses exclude the impact of impairment charges, non-operating non-cash pension expenses, as well as legal judgment income and terminated acquisition-related expenses. We also provide total segment earnings. Reconciliations from GAAP measures to non-GAAP measures are provided in the appendix at the end of this presentation and on our website.

A friendly reminder that some of our comments and answers during this conference call will be forward-looking statements, that are subject to risks that could cause actual results to be materially different. Those risks include matters that we described in our more -- this morning’s press release, among others.

Also, as a courtesy to others in the question queue, please limit yourself to one question and one follow-up per turn. If you have multiple questions, please rejoin the queue. We will be using slides as we move through today’s call. You can access them on our website at investor.aosmith.com.

I will now turn the call over to Kevin to begin our prepared remarks. Please turn to the next slide.