Hillman Group Cap 11.6 % Trust Pfd Shs 2002- (NYSE MKT:HLM.P) Q3 2018 Earnings Conference Call Transcript
Nov 13, 2018 • 11:30 am ET
Good day, ladies and gentlemen and welcome to The Hillman Companies conference call to discuss third quarter results. At this time, all participants are in a listen-only mode. Later, we will conduct a question and answer session and instructions will follow at that time. (Operator Instructions) I would now like to introduce your host for today's conference, Nick Ruffing. You may begin.
Thank you, Operator. Good morning and thank you for dialling in to the Hillman Group's conference call to discuss fiscal year 2018 third quarter results. I am Nick Ruffing, Corporate Controller and with me today is Greg Gluchowski, our President and CEO and Rocky Kraft, CFO. (Forward-looking Cautionary Statement) We will begin the call with a business update from Greg followed by a financial review of the quarter from Rocky and then we will open the line for questions. Let me now turn the call over to Greg for an update on the business.
Thanks, Nick. Good afternoon, everyone. And thank you all for joining the call today. Before we cover our financial highlights, I wanted to provide an update on our strategic initiatives. For the third quarter of 2018 some of the key highlights included completing the acquisition of Minute Key, an innovative leader in self-service key duplicating kiosks. Entering into an agreement to acquire Big Time Products, a leading provider of personal protection and work gear products and subsequently closing that deal in the first week of the fourth quarter. Winning over $10 million of new business in the builder's hardware category with the major customer. This is in addition to the over $20 million of core business wins we announced last quarter. Completing the nationwide rollout of KeyHero, our innovative digital key solution with a major customer, receiving the Innovation Partner of the Year from our largest customer, implementing a commodity-based price increase, commencing a new phase in the restructuring of our Canada operations and sustaining superior customer service and product innovation. Needless to say, it was a busy and productive quarter for the Hillman team as well as our new team members from Minute Key and Big Time Products. We welcome both additions to the Hillman team and have already started implementing our integration strategies with those new businesses.
We are already in the process of joining together Hillman's full service key cutting platform with Minute Key's self-service key cutting kiosks building on both companies strong cultures and investments and innovation to provide significant service and technology benefits to retailers and customers. The unified key cutting platform will be backed by KeyHero, Hillman's digital key backup and retrieval technology platform making the key duplication process easier, more consistent and a higher quality experience for consumers than ever before. The Big Time Products acquisition which was completed in the fourth quarter will enable Hillman to expand into adjacent categories with Big Time's expansive and innovative products in the hardware, automotive, garden and cleaning industries that include work gloves, household gloves, knee pads, tour rigs and aprons