Pool Corporation (POOL) CEO Peter Arvan on Q2 2022 Results - Earnings Call Transcript

Pool Corporation (NASDAQ:POOL) Q2 2022 Earnings Conference Call July 21, 2022 11:00 AM ET

Company Participants

Melanie Hart - VP & CFO

Peter Arvan - President & CEO

Conference Call Participants

Ryan Merkel - William Blair

David Manthey - Baird

Susan Maklari - Goldman Sachs

Andrew Carter - Stifel

Noah Merkousko - Stephens

David McGregor - Longbow Research

Stephen Volkmann - Jefferies

Garik Shmois - Loop Capital

Operator

Good day and welcome to the Pool Corporation’s Second Quarter 2022 Conference Call. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Melanie Hart, Vice President and Chief Financial Officer. Please go ahead.

Melanie Hart

Thank you and welcome to our second quarter 2022 earnings conference call. Our discussion, comments and responses to questions today may include forward-looking statements, including management’s outlook for 2022 and future periods.

Actual results may differ materially from those discussed today. Information regarding the factors and variables that could cause actual results to differ from projected results are discussed in our 10-K. In addition, we may make references to non-GAAP financial measures in our comments. A description and reconciliation of our non-GAAP financial measures is included in our press release and posted to our corporate website in our Investor Relations section.

I will now turn the call over to our President and CEO, Peter Arvan. Pete?

Peter Arvan

Thank you, Melanie and good morning to everyone on the call. This morning, we proudly reported another record quarter with net sales coming in at $2.1 billion, an increase of 15% marking our first ever $2 plus billion quarter and beating last year's very strong second quarter where we saw sales increase by 40%. These results prove exceptional given the challenges that we faced this past quarter in weather, the supply chain and recognizing that the second quarter is where growth capacity industry wide is most limited.

There were many factors that came into play this quarter that when taken in totality, demonstrate the strength of the company and the resilience of the industry. First off, I would say that demand for new pools is solid and not surprisingly, the backlog on new pool construction is somewhat smaller than this time last year. Our builders are reporting leads have slowed a bit, but that they have plenty of work on new construction and renovation projects on the ever expanding installed base of pools.