Paul. was strong Thanks, an despite FGI. proud I our everyone for extremely joining the for throughout to as year exciting XXXX operating thanks It call am and today. what challenging first public our turned environment. company was year of a a and morning year out be execution our Good to very
our result, important strategy We creation a positioned our are we extremely years. execute value as strategic coming progress and well on against continue well made priorities and in operationally performed to the to
market initiatives the and existing organic expand key in products strong growth share, us during gain growth our driver my coming new to several brand we years. quarters make further and organic strategy. and more initiative comments stands products which expanded product continued our channels will in penetration market drive During BPC which later should provide the key for the year, enable and critical but progress I XXXX to ramped our categories at programs, specifics we launched is and brands, of
margin both gains with continue last meaningfully, quarter. and up year our addition, we quarter margin-recovery significant third to initiatives make versus In the on gross our fourth from
the Our our gross expect gross well and margins we are continued pre-pandemic forward. strength levels margins above going in
and whole chain XXXX, including global widespread a customer during unrest inflation, ongoing of number as challenges a faced building FGI products industry persistent destocking. disruption, the supply and
However, thanks to to dedication our continued position we XXXX. the we focus are could an attractive the of enter control on we hard what members a as work team as and and we we organization, believe in result, across
headwinds, encouraged of in We I the will outlook am part for but industry especially likely the some early continue year face very to by the FGI.
the turning quarter. Now to
expected destocking the Our had the expected again impact negatively key was fourth moderation we by We inventory to XX% quarter. the quarter caused in from fourth below had nearly significant seeing inventory were last once more during our year. our which adjustments we expectations at impacted revenues declined and than results customers in been come some but
with of expect of channel, X customers extend order have improving continue to the within is but see customers' normalize levels begin started more the destocking as a within to XXXX. our we into inventory to destocking cadence the XXXX part first expect early to the We DIY pro quarter. This we evident months to headwind be second further slowly into during
fluid, return very inventory initiatives, a for year are well internal in in levels early the we While and organic market growth our with momentum the is growth ongoing normalize. the once it environment is to channel positioned
significant our challenged, we've was performance the margin initiatives made revenue our progress quarter. While fourth during on
the basis mix lower period and more costs. same driven Our up freight favorable from fourth quarter and XX.X%, at XXX year gross to benefits, by in up came sequentially, in points margin pricing last XX.X%
from last the flat to able were significant As headwinds. we revenue a result, year was gross despite basically report that profit
gross results chain our our supply that back disruptions Our above inflationary targeted pressured in and are we now headwinds the levels and to the prior range. enjoyed margins
the Our further the we our volumes goal a is of in to the focus with at scale. enjoy least maintain as year expanding of the we operating levels margin gross on recover improved half back margin and benefits achieved
That grow margin we additional Bath and drivers do to future. rebound the business, continue in we see Furniture positive in product new our said, gross a as higher-margin see categories our potential
has under well revenues our relatively pressure key due across have product destocking, customer in demand come recent our While quarters held to end-market categories. up
some as remodel our but and overall, furniture bath would as calls uncertainty. is discussed prior during seen period in of have pressure expect We market performing we market on repair the business, we this have
market The in home recent seeing and months stable. market XX% sales considerable new plus with has repair the new been down housing but more is remodel pressure
we still rates have which sales does into and elevated As look on a home are for business. our new interest XXXX, home existing headwind construction impact some
in impacting general, In well. business addition, is spending a consumer as our headwind persistent inflation for
refreshing home homes to often with existing are and flip into priority. in On a kitchens longer, new to key stay home updating often under side, with investments current increased or their sales their homeowners the likely pressure, leading baths
mortgage is remember and that a rates below important XX% have nearly to also of mortgage don't XX% of it are locked today's homes And homes into rate.
repair percentage and on rates have homeowners significant spending. and little remodel mortgage higher their So of impact
Putting this together. all
some long-term outlook the our we outlook to reason remain regarding XXXX. industry, While for see do on cautious optimistic be we the for
elevated uncertainty, markets rates, overall pressures expect to the headwinds, mid- in result mortgage industry and such to our high during inflation digits single in as the macro declining We current XXXX.
control the to and the market the regardless We of value things effort create growth market environment. can continue an in above our focus drive long-term on to energy we
includes and we focused made initiatives organic us X strategy, to XXXX, these remain and on our pursue initiatives key during XXXX progress operational beyond. Consistent strategic driving our positioning using important growth with BPC which efficient growth We our deployment. long-term plan, profitable capital strategic against improvements during
on as BPC were during channels. our existing brands we new made penetration of of follows: and products key some our of expansion through product progress initiatives, growth key XXXX with our and our further Some continued nice accomplishments of key program,
business we of expanded generating custom the from our XX with Covered under dealers in first, dealer XXXX, cabinetry kitchen brand, key the added continued highlights network end XX in our at at the Bridge XXX This year. meaningfully start of include: XXXX to into strong growth momentum up Some increased which the strong has January. additional
to manufacturing for the As with in we kitchen dealer opportunities we capacity invested development in have and discussed business the anticipated have business, customers. previously, our both cabinetry network new national large support
has co-branded we to will with our our in Second, at momentum Allen see Systems the launched business. and well in-store which we combined further line displays. been positive Roth now styles, as shower lead program the private Lowe's to merchandising label initial new very called believe Jetcoat. be we our to wall reception continued and brand will Shower In new and enhance as the their initiatives Jetcoat system by finishes growing fourth also quarter, and program,
new we Germany to a several innovation brand wall launched company's products Third, of the Jetcoat including lines launch sanitaryware and wholesale product in across that entire launch new brand, Craft product a footprint, during line major initiatives shower and a market the cycle and under the Canadian of geographic new help development. and flagship drive XXXX, should product Main FGI's
in our United the Fourth, we expanded adding Kingdom footprint and year, geographic locations during Australia. the
to our successfully we in product base operational into excited see the markets leverage these we'll tremendous geographic by and opportunities existing are these and regions. grow We new look to
higher-ticket and Bunning's Our the suites offering X-bidet product. new new that sanitaryware Bunnings, product market, enhance higher-margin, toilet the for program Australian will improve retailer overall to in will home-improvement largest our will with feature mix continue
extremely above-market under market execution help normalize. organic confident against growth as remain excited our conditions strategy are our We drive our that growth organic and by continued BPC us we initiatives will these programs
creation initiatives second on driving The value efficiency of margin made year our expansion. XXXX with during gross exited margin we the operating progress fourth strategy clearly focus as and our a recovery XX.X% during of margin significant on the quarter. We is
the me continue in supply over in Our ability growth generating witnessed the future. chain levels on year to our to gross prior return to to the ability profitable confidence gives disruptions margin just a quickly
Finally deployment. is efficient on our capital focus
we recent solid Following the the capital free reducing further usage resulted improved This in working the chain made inflationary progress financial and caused has by liquidity conversion. disruptions pressures, position bolstered our and which in flow meaningful our quarters cash challenges in supply flexibility.
our a in we ample invest organic As initiatives. capacity growth to result, have
strategic Our XXXX. much the remain same during priorities will
growth, and We continue shower organic will to kitchen pursue BPC to including strategy drive our continued in business. cabinetry Covered Bridge our investments systems
that will new announce a the investing kitchen we be excited I'm in to market. venture Additionally, targeting
to able. kitchen rapidly We our providing look as soon very and add about details excited forward this business are to as we are opportunity more growing
generation, margin margin high goal with longer operational execution our also will term. strong focus We expanding on free range flow to improvement to operating and maintain cash of operating drive single-digit the our the
in Finally, will we disciplined capital initiatives. capital approach to be will the of growth our maintain near our use The organic in term continue investments allocation. to primary
and highlighted. just opportunities to as However, bolt-on we continue I strategic with new potential venture partners, the other kitchen evaluate such acquisitions
year was XXXX important successful and Overall, FGI. for
targets environment short on the an we our at to strong we market the strategy set am well unpredictable While and and extremely are we confident results drive stabilize. financial fell financial conditions I of we as year, of executed market the execute despite beginning volatile well and positioned
a our more With turn of that, Perry will to I for it over detailed financials. review
