Doman Building Materials Group Ltd.

Greetings, and welcome to the Dome and Building Materials Group fourth quarter and full year 2024 financial results conference call. At this time, all participants are in listen-only mode. If anyone should require operator assistance, please press star zero on your telephone keypad. A question and answer session will follow the formal presentation. You may press star one at any time to be placed into question queue. As a reminder, this conference is being recorded. It's now my pleasure to turn the call over to Ali Madhavi. Please go ahead.

Thank you, and good morning, everyone, and thank you for joining us this morning for Dolman Building Materials' fourth quarter and full year 2024 financial results conference call. Joining me this morning are Amar Dolman, Chairman and Chief Executive Officer, and James Coe, Chief Financial Officer of Dolman Building Materials Group. If you have not seen the news release, which was issued yesterday, it is available on the company's website at dolman.com. as well as on CDAR Plus along with our MD&A and financial statements. I would also like to remind you that a replay of this call will be accessible until midnight, March 14, 2025. Following management's presentation of the 2024 fourth quarter of financial results, we will conduct a question and answer session for analysts only. Instructions will be provided at that time for you to join the queue for questions. Before we begin, we are required to provide the following statements regarding forward-looking information, which is made on behalf of Dolman Building Materials Group Limited and all of its representatives on this call. Remarks and answers to your questions today may contain forward-looking information about future events or the company's future performance. This information is subject to risks and uncertainties that may cause actual events or results to differ materially. Any information regarding forward-looking statements is made as of the date of this call and the company does not undertake to update any forward-looking statements. Please read the forward-looking statements and risk factors in DMDNA as these outline the material factors which could cause or would cause actual results to differ. The company will not provide guidance regarding future earnings during today's call and management does not anticipate providing guidance in future quarterly or interim communications with investors. I'll now turn the call over to Amar.

Thanks, Sally, and good morning. I'd like to begin by highlighting some of our key financial metrics, followed by some call-runner operations during the fourth quarter, and then I'll hand the call over to Jay Cote, our CFO, who can review the numbers in further detail. 2024 would be best described as a challenging year vis-à-vis pricing and several macroeconomic headwinds. However, it was also a year when we seized on several growth opportunities, which continued to further strengthen and expand our footprint and end markets. We started the year in very similar shape and market conditions that we experienced while exiting 2023 and 2024 witnessed great opportunity. Throughout the year, we remained focused with the business across all divisions and on both sides of the border, both operationally and with a view to acquisitions. Despite the impact of lower year-over-year pricing in certain construction material categories, our business units continue to show resilience in volumes while delivering very strong gross margin performance. While pricing levels are nowhere near their peak in prior years, our continued action towards executing our strategic growth objectives, managing costs, and optimizing operational efficiencies resulted in strong financial results as we closed out the year. Despite the impact of the lower pricing environment for construction materials on a year-over-year basis, we continue to demonstrate stability and strength in our financial performance, given pricing levels for lumber, OSB, and plywood markets in 2024 were often asynchronous during the year, and at times meaningfully lower when compared to 2023, particularly in the United States. Despite this, our ongoing focus on key objectives resulted in strong revenues, gross margin, EBITDA, net income, while paying our shareholders a quarterly dividend of $0.14 per common share or $0.56 per common share on an annual basis. I am very proud of the company's performance throughout 2024 given the market conditions we had to work through. Despite trends and volatility that at times presented us with challenges, we remain encouraged and pleased with the resilience of our diversified business model withstanding these macroeconomic cycles resulting in annual revenues Gross margin adjusted EBITDA and net earnings totaling $2.7 billion, $425 million, $196 million, and $54 million respectively in 2024. Our ability to deliver consistent performance across a variety of market cycles results from our tireless focus on operations and to the many successful acquisitions we've completed throughout the years. 2024 also marked a period of significant corporate actions, including the acquisition of CM Tucker Lumberg, as well as the purchase of southeast forest products. These acquisitions have expanded our growing footprint in the United States and will further strengthen our position as a market leader while positioning Dolman for further growth and expansion. We are very proud that our company now has reached from coast to coast in both Canada and the United States. Our ability to successfully complete these accretive acquisitions stemmed from the financial discipline to always have a growth-friendly balance sheet in place. Throughout 2024, We strengthened our financial flexibility by successfully renewing our $500 million credit facility, which we increased to $580 million in 2025, as well as completing $365 million in senior unsecured note offerings. Now, focusing on the most recent fourth quarter results, adjusting for seasonality, we experienced strong activity across all business divisions. Our ongoing cost management and focus on operational efficiencies enabled the company to demonstrate revenue performance while gross margin continued to be within our target range, as well as our EBITDA and bottom lines. We are proud of our financial performance and believe there's a lot to be gained from the strength and momentum which has resulted from our successes in recent years. As a result of these efforts during the fourth quarter, we continue to see robust demand for our product categories, resulting in revenues coming in at $708 million, gross margin at 16%, $113 million, adjusted EBITDA amounting to $52 million, Net earnings of just over 8 million, and lastly, as previously mentioned, our quarterly dividend of 14 cents per share was declared. Our ability to withstand market and pricing volatilities during the previous and most recent market cycles is a result of our tireless focus on operations. It gives credit to the successful acquisitions we have completed throughout the years, which have and continue to diversify our business model and, as such, have enhanced shareholder value. We remain very enthusiastic and confident about the prospects ahead, and look forward to further demonstrating the strength and leverage available in the business model as we continue to be well positioned to take advantage of sensible organic growth opportunities. On the heels of successfully integrating recent acquisitions, our relentless focus on paying down debt and strengthening our balance sheet remains a priority, which will enable us once again to be in a strong position to take advantage of strategic opportunities. Overall, 2025 is off to a decent start, with its own unique challenges which we are prepared and set up to deal with. I continue to be pleased with how our growth strategy continues to unfold, resulting in strong sales and earnings in the face of a tough year-over-year pricing environment, while remaining focused on margin protection during these times. With all of that said, I would now like to ask Jay Cohn, our CFO, to take over and provide a review of the company's full financial results in greater detail, and then we're going to open up the call for analyst questions. Jay?