With relatively stable gross margins year over year, the Company currently expects full year 2024 Adjusted
EBITDA to grow by low single digits versus the Companys record performance in 2023. The Company expects to further refine this guidance in connection with its fourth quarter earnings release, reflecting, among other things, the completion of quarter-end close procedures, the Companys performance in January and February 2024, any acquisitions completed in the first quarter, and the Companys continuing assessment of macroeconomic conditions.
The Company expects to continue its execution of its Ambition 2025 initiatives in 2024, including investments in
tuck-in acquisitions and greenfields, enhancements to its sales organizations, expansion of its digital and private label offerings, growth in its national accounts business, initial deployment of the
Companys pricing model, and driving productivity through branch optimization efforts and Bottom Quintile Branch improvements. Capital expenditure levels are expected to remain generally in line with 2023.
The preliminary full year 2024 financial outlook estimates described above are based on information available to management as of the date hereof, and as a
result, these expectations could change.
Forward-Looking Statements
This release contains information about managements view of the Companys future expectations, plans and prospects that constitute forward-looking
statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historic or current facts and often use
words such as anticipate, estimate, expect, believe, will, outlook, project and other words and expressions of similar meaning. Examples of forward-looking
statements include statements about the Companys preliminary estimates for its fourth quarter and full year 2023 financial results, and 2024 financial outlook and prospects. Investors are cautioned not to place undue reliance on
forward-looking statements. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including, but not limited to, those set forth in the Risk Factors section
of the Companys Form 10-K for the fiscal year ended December 31, 2022 and subsequent filings with the U.S. Securities and Exchange Commission. The Company may not succeed in addressing these and
other risks. Consequently, all forward-looking statements in this release are qualified by the factors, risks and uncertainties contained therein. In addition, the forward-looking statements included in this press release represent the
Companys views as of the date of this press release and these views could change. However, while the Company may elect to update these forward-looking statements at some point, the Company specifically disclaims any obligation to do so, other
than as required by federal securities laws. These forward-looking statements should not be relied upon as representing the Companys views as of any date subsequent to the date of this press release.
Non-GAAP Financial Measures
This press release contains Company estimates of and outlook for Adjusted EBITDA, a financial measure that is not presented in accordance with United States
Generally Accepted Accounting Principles (GAAP). For definitions of these terms, an explanation of why we use the measure Adjusted EBITDA, the material limitations of Adjusted EBITDA and a reconciliation of Adjusted EBITDA to net income,
the most directly comparable GAAP financial measure, please see the Appendix to this press release.