Dave Ciesinski: It’s a great question because we’re all watching the same macro information start to roll in for all the food and discretionary spending in all outlet channels. And we still feel optimistic that we’re in a position to deliver low single-digit growth. And that’s principally going to be coming in the form of volume because we have a little bit of price in Q1, but you’re going to see the impact of that price sort of work itself out as we go forward. So, where we see it right now, we continue to feel that we can deliver low single-digit growth led by volume.
Connor Rattigan: Awesome. Thanks guys. And then also just a quickly follow-up on Jim’s question as well. I mean, I guess there’s been some concern that 2024 margins will just be, I guess, we’ll call it, flat to modestly up, right? I mean, I guess, just trying to get a sense for sort of how you guys feel on margins sort of coming out of 1Q. I mean, it doesn’t really sound like you’ve seen much relief on the cost front. I mean, I guess, do you guys feel like you’re in a good place to really make progress on margins this year?
Tom Pigott: Yes, great question. So, I think the overall outlook is consistent with what you said flat to slightly up on margins. From a tailwind standpoint, we’ve got a nice productivity program. We’re kicking in our value engineering program. And so that should help us, but the commodity basket has neutralized. We’re not seeing the inflation. Now, we’re not seeing deflation yet when we look at the total basket. So, the key watch-outs for us is we hit on already earlier in the call, is kind of the pressure to spend back. And that’s a TBD for us overall. But I think overall, we are — we’ve got a lot of initiatives to try to drive more margin growth, but we’re cautious about our outlook given kind of some of the macro trends we’ve hit on.
Connor Rattigan: Got it. Makes sense. Thanks guys.
Tom Pigott: Thank you.
Operator: Our next question comes from Andrew Wolf of C.L. King. Your line is now open.
Andrew Wolf: Thank you. good morning.
Dave Ciesinski: Hi Andrew.
Andrew Wolf: Hi. Also I would like to follow-up on pricing and promotional outlook. So, maybe a different way to ask about it is if things are finally hitting normal first, are there — how is wage rate inflation, which I guess is this believe as the second biggest factor cost. Is that still normal just as we kind of regardless of pricing power, what’s going on with your cost structure? And any other input, energy or anything else in the cost structure, both controllable, scaling up Horse Cave and perhaps not controllable like input costs?
Tom Pigott: Yes. When you — so when you look at the other drivers, we — from our perspective, we’re still seeing higher than historic labor inflation but not like we saw a couple of years ago or a year ago. So, that’s moderated to low to mid-single-digit. And then as we look at the rest of the basket, we’re looking at similar rates of inflation impacting our P&L, and that’s where our cost savings program kicks in. The only other one-off is the depreciation from the Horse Cave expansion, which has started to hit our P&L and will continue to be amortized over the future years.
Andrew Wolf: Got it. So, back to just sort of the normalization theme. So it sounds like your own spending, consumer spending, direct spending is normal or getting there. Just could you frame your pricing conversations with the retailers, in particular — in that sense, I mean, can you go to them with your cost structure, like you have in the past and said, yes, commodity costs are flat, but we still got this? Or are they kind of in no mood to hear that given where the volume has been for the industry? And lastly, just to kind of revisit your own view on promotion, how promotional you want to be with the — on the shelf with the retailers.
