Universal Forest Products Inc. (NASDAQ:UFPI) Q4 2015 Earnings Conference Call - Final Transcript

Feb 18, 2016 • 08:30 am ET


Universal Forest Products Inc. (NASDAQ:UFPI) Q4 2015 Earnings Conference Call - Final Transcript


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Good day, ladies and gentlemen, and welcome to the Quarter Four 2015 Universal Forest Products, Inc. Earnings Conference Call. My name is Caroline and I'm your operator for today. [Operator Instructions]

And now I'd like to turn the call over to Lynn Afendoulis, Director of Corporate Communications. Please go ahead.

Lynn Afendoulis

Thank you. Welcome to the Universal Forest Products Incorporated fourth quarter 2015 conference call. Hosting the call today are CEO, Matt Missad; and CFO, Mike Cole. Matt and Mike will offer prepared remarks and then we'll open-up the call for questions. This conference call is available simultaneously and in its entirety to all interested investors and news media through a webcast at www.ufpi.com. A replay will also be available at that Web site through March 19, 2016.

Before I turn the call over to Matt, let me remind you that yesterday's press release and today's presentation include forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. These statements are subject to risks and uncertainties that could cause the actual results to differ materially from our expectations and projections. These risks and uncertainties include but are not limited to those factors identified in the press release and in our filings with the Securities and Exchange Commission.

At this time, I'd like to turn the call over to Matt Missad.

Matthew J. Missad

Thank you, Lynn, and good morning, ladies and gentlemen. If there ever was a time and we could just drop the phone and let the results speak for themselves this would be it, but that's not our style. Our 2015 results were outstanding, but we know that competition is fierce and we also know that our previous accomplishments do not guarantee future success. Fortunately our people are so motivated to excel and to break their own records that we see no reason for a let down in our effort or our performance. I'd like to start by giving all the members of our universal family of companies the recognition they deserve for what I consider a spectacular 2015.

In the fourth quarter, they set new records for performance, and that helps to make UFP 60th year in business, it's most profitable ever. Before we walk away from 2015, let's quickly review some key highlights for the fourth quarter and the year. Net sales in Q4 were $653.6 million and for the year were nearly $2.9 billion, representing year over increase -- year-over-year increases of 5.4% and 8.5% respectively. Our sales by market were as follows. Retail, up 13.6% for the quarter to $230.7 million and up 10.8% for the year to $1.1 billion. Construction was down 1.6% for the quarter to $221.2 million and up 1.4% for the year to $898.3 million. Industrial was up 4.7% for the quarter to $209.3 million and up 13.5% for the year to $896.6 million.

Our net earnings for Q4 were $18.9 million or $0.93 per diluted share, up 103% over the fourth quarter of 2014 and for the year net earnings were