JELD-WEN Holding, Inc.

Thank you and good morning. We issued our third quarter 2023 earnings release last night and posted a slide presentation to the investor relations portion of our website, which can be found at investor.jeldwin.com. We will be referencing this presentation during our call. Today, I'm joined by Bill Christensen, Chief Executive Officer, and Julie Albrecht, Chief Financial Officer. Before I turn it over to Bill, I would like to remind everyone that during this call, we will make certain statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to a variety of risks and uncertainties, including those set forth in our earnings release and provided in our Forms 10-K and 10-Q filed with the SEC. GELDWIN does not undertake any duty to update forward-looking statements, including the guidance we are providing with respect to certain expectations for future results. Additionally, during today's call, we will discuss non-GAAP measures which we believe can be useful in evaluating our performance. The presentation of this additional information should not be considered in isolation or as a substitute for results prepared in accordance with GAAP. A reconciliation of these non-GAAP measures to their most directly comparable financial measures calculated under GAAP can be found in our earnings release and in the appendix to our earnings presentation. With that, I would like to now turn the call over to Bill.

Thank you, James, and thank you, everyone, for joining our call today. I'm pleased to report that our third quarter results were better than we expected, marking the third quarter in a row that we have executed well against our short-term goals to strengthen the foundation of GELDWIN. I want to thank the entire GELDWIN team for their continued hard work, especially as we operate in a challenging business environment and progress on our performance improvement activities. Today, I will first provide a brief overview of our third quarter results before turning it over to Julie to discuss the financial results in more detail. I will then highlight our transformation journey and share some of what you can expect from us going forward. I'll begin with our third quarter highlights on slide four. While sales were in line with our expectations, earnings were above our forecast primarily due to continued solid price cost results. We also continue to generate strong cash flows driven by earnings and working capital improvements. I'm also pleased that we are delivering on our commitments to simplify the business and better balance our cost structure. We completed the divestiture of our Australasia business early in the third quarter and repaid $450 million of long-term debt with the proceeds. In addition, we continue to remove fixed costs from our business, including certain site closures in North America that I'll discuss more on the next slide. We are also actively planning actions to further improve our performance and unlock significant value for GELDWIN shareholders which I'll talk about later in my remarks. Turning to slide five, as part of our ongoing activities to strengthen our foundation, we continue to reduce our fixed costs with the closure or announced closure of three facilities. First, we completed the closure of our Atlanta DOORS facility during the third quarter. As we discussed earlier this year, we anticipate approximately $11 million per year in EBITDA savings as a result of this site closure. Next, we are in the process of closing our international wood products or IWP business in Tijuana, Mexico. This facility primarily makes specialty exterior wood doors, and as consumer preferences continue to move towards fiberglass, this operation has become non-core to our business. Although the savings are relatively small, at approximately $2 million a year, it is a further simplification. Finally, we announced the closure of the Vista California vinyl windows manufacturing facility, which was underutilized and had a high operating cost. We expect to save approximately $8 million a year by moving the production to other facilities within our network and therefore better utilizing existing capacity. We continue to see opportunities for further simplification of our footprint, which I look forward to speaking about in the future. as we execute our plans. I'll now turn it over to Julie to go through our third quarter financial performance in more detail.

Thanks, Bill. Turning to slide seven, you see our consolidated results for the third quarter of 2023. Our third quarter revenue was approximately $1.1 billion, down 5.5% from a year ago, driven by a reduction in our core revenue due to market-driven volume reductions partially offset by slightly higher pricing. Our adjusted EBITDA was approximately $106 million in the quarter, leading to an adjusted EBITDA margin of 9.8%. This strong year-over-year margin improvement of 150 basis points, despite lower volumes, reflects our solid execution of productivity actions in areas such as site closures, headcount reductions, freight management savings, and sourcing optimization. As you see on slide eight, our third quarter revenue decline was driven by lower volume mix of 10%, which was partially offset by 3% of price realization. This higher pricing mostly relates to our price increases in the second half of last year to offset cost inflation. I'll provide additional comments about our North America and Europe volume trends shortly. And also, you'll find a revenue walk including segment details for the third quarter and the first nine months of this year in the appendix of our earnings presentation. On slide nine, you see that our adjusted EBITDA increased by approximately $11 million year over year. We generated solid profitability contributions from favorable price costs and improved productivity, which were partially offset by the impact from lower volume mix. Related to price cost, we are focused on pricing discipline as we continue to see inflation in our overall costs. While inflation is lower in certain areas, we see cost pressures in areas such as labor and insurance. Additionally, We are on track to achieve approximately $100 million in cost savings this year. In the third quarter, we realized approximately $30 million of these savings that are reflected on our EBITDA bridge in productivity and SG&A. Our run rate is increasing due to the timing of actions that started earlier this year. Now moving to our segment results on slide 10. In the third quarter, our North America segment generated $790 million in sales, down approximately 5% from year-ago levels. This was driven by a core revenue decline of 5% due to lower volume mix of 7%, with a positive impact from price realization of 2%. North America had adjusted EBITDA of $100 million down 5% year-over-year, while margins remain stable at 12.6%. Despite the market-driven demand weakness, our North America team is delivering solid earnings results as well as strong cash flow. A key driver to the region's cash flow is a focus on inventory reduction, which was a result of more rigorous and standardized inventory management practices. Across our North America region, the team continues to focus on identifying and executing actions to improve both operating efficiency and our working capital metrics. Europe generated $287 million in revenue and $24 million in adjusted EBITDA. Core revenues decreased by 11% in the quarter, driven by lower volume mix of 17%, which was partially offset by higher price realization of 6%. Adjusted EBITDA was 35% higher year over year, leading to a strong 260 basis points of margin improvement to 8.5%. This improvement was due to positive price cost results and solid productivity gains. Similar to North America, Our Europe team is focused on delivering solid earnings and cash flows despite the ongoing volume challenges and this focus will continue into 2024. Now turning to the market outlook on slide 11 and starting with North America. We are expecting a better full year for North America than we presented on our second quarter earnings call. We now expect North America volumes to be down high single digits due to slight improvements in both single-family home construction and R&R activity versus our previous expectations. In the U.S., higher interest rates continue to impact single-family housing starts and permits, but given the lower availability of existing homes for sale and home builder incentives, Our outlook has improved with new home construction declining 10 to 15% year over year compared to our previous outlook for a 15 to 20% decline. For our repair and remodel markets, we now anticipate full year volumes to be down in the mid single digit range versus the mid to high single digit range previously expected. After a slow start to the third quarter, we saw a pickup in our R&R activity and believe that inventories are at critically low levels throughout the channel. In Europe, we continue to anticipate that demand will be down by low double digits as the market weakens due to the region's ongoing macroeconomic and geopolitical challenges. Our European volume mix was down by 14% in the first nine months of this year, and we expect a fourth quarter volume mix decline similar to what we experienced in the third quarter. On the residential side, we see broad-based declines of 15 to 40% in new residential construction starts depending on the country. And in some specific markets, residential construction demand is down by as much as 80%. In addition, repair and remodel activity remains under pressure due to the continued soft macroeconomic environment in the commercial construction market in europe volumes are expected to be stable in the near term but are beginning to show signs of declining in 2024 as the market works through backlogs and new projects are being delayed on slide 12 we provide our updated full year 2023 outlook for revenue and adjusted EBITDA. While we remain cautious in these continued uncertain operating conditions, we are confident in our ability to deliver our forecast and are tightening the ranges of our revenue and adjusted EBITDA guidance. Further, we are raising the midpoint of our adjusted EBITDA guidance due to our solid third quarter results and our unchanged outlook for the fourth quarter. We now expect full year 2023 revenues to be between $4.25 and $4.35 billion, and full year adjusted EBITDA to be between $365 and $375 million. Specific to our outlook for this year's core revenue, our first nine-month core revenues were down by 2% versus the prior year, as carry-forward price increases mostly offset lower volume mix. In the fourth quarter, we expect a low double-digit decline in our core revenues due to reduced volumes combined with limited year-over-year price increases. All of this combines to support our updated full-year outlook for core revenues being down 4% to 6%. Now turning to slide 13, you can see how our results in the first nine months of this year combine with our outlook for the fourth quarter to support our updated full year guidance. As I've described in my comments this morning, our third quarter global price cost benefits were better than our expectations and we continue to successfully execute our planned cost reduction initiatives. In the fourth quarter, Our outlook is in line with our prior expectations as we expect to continue delivering on our cost savings actions, which mitigate the impact of lower year-over-year volumes. We remain focused on generating strong cash flows to invest in ourselves and further strengthen our balance sheet. Our year-to-date third quarter operating cash flow was $273 million which is a $346 million improvement over the same period last year. The primary driver to this significant increase in cash flow is improved working capital management with all components of working capital contributing to the strong improvement. We continue to see opportunities for reduced working capital as we focus on implementing best practices across our business. We are pleased to have achieved our near-term goal of net leverage below three times and have updated our medium-term target to be between two and two and a half times. I'll now turn it back to Bill to discuss our plans for improving Jeldwyn's financial performance.