Boise Cascade Company (NYSE:BCC) Q1 2024 Earnings Call Transcript

Susan Maklari: Okay. All right. That’s helpful. And then just one more for me. When you think about the commentary that we’ve from the builders this earnings season. I mean they’re pretty bullish, and a lot of them have actually taken up their expectations for full year closings even with the move in rates that we’ve seen recently. I guess as you think about some of that coming through to your business, what do you think it could imply in terms of seasonality as we move through the next couple of quarters and just the potential for some continued strength to come through on that new home construction side?

Kelly Hibbs: Yes, you’re right, Su, and you probably know better than us around the national builders. They are — they continue to be pretty optimistic. They continue to deploy their balance sheet as necessary to get folks into homes. So they seem to be still, I don’t know, on average kind of mid- to high single digits, if you will, in terms of their growth expectations. But then you balance that a little bit with the overall narrative that in some cases, it feels a little softer in terms of broadly across the marketplace. And so there’s kind of — we’re kind of in an interesting period here where there’s kind of multiple data points and data sets and commentary. And so it’s a little interesting to kind of sort out how we — how the market shapes for us here in the next quarter or 2.

Nate Jorgensen: Yes, I think, Sue, it’s Nate. The other thing I would comment on, I think the large production builders, national builders, public builders. I think they’re really well positioned as Kelly described is given the strength of their balance sheet. They’ve got great clarity on the marketplace, the customers they serve. And I suspect they’ll continue to grow share relative to their position as compared to others in the marketplace. So I think they’re obviously an important part of the marketplace today, and we think that, that will continue to grow over time, just given their strength and both from a financial perspective as well as their great understanding of the marketplace and what their customers need and expect.

Operator: This concludes the question-and-answer session. I would now like to turn it back to Nate Jorgensen for closing remarks.

Nate Jorgensen: Great. Thank you. We appreciate everyone joining us this morning for our update, and thank you for your continuing interest and support in Boise Cascade. Please be safe and be well. Thanks.

Operator: Thank you for your participation in today’s conference. This does conclude the program, and you may now disconnect.