PATRICK INDUSTRIES INC Q4 FY2024 earnings call

• Thanked the Patrick team for their dedication and resilience in 2024 despite market volatility. • Highlighted strategic acquisitions: acquisition of Sportech for Powersport space, RecPro for aftermarket, and Elkhart Composites for RV composites. • Financial highlights: Q4 sales growth 8% to $846 million, full year sales 7% to $3.7 billion. Adjusted net income per diluted share for Q4 was $0.52, full year $4.34. • End-market performance: RV dealer inventories declined, positive signs from RV SuperShow; Marine saw softness but potential uptick; Powersports showed resilience; Housing had solid demand for affordable housing. • Inventory management: OEMs disciplined in inventory, dealer inventories reduced in RV and Marine.

For the fourth quarter, RV revenues were $358 million, representing 42% of consolidated sales. Marine fourth quarter revenues were $122 million, 14% of consolidated sales. Powersports revenues were $78 million, 9% of consolidated sales. Housing revenues were $288 million, 35% of consolidated sales. Full year 2024: RV revenue increased 8% to $1.6 billion, Marine revenue was off by 27% to $571 million, Powersports revenue increased 189% to $352 million, and Housing revenue increased 10% to $1.2 billion. MH wholesale shipments improved 16%, RV wholesale shipments increased 7% year-over-year, while Marine wholesale shipments declined an estimated 25% for the full year.

• 2025 outlook: Estimates for RV wholesale unit shipments to increase mid-single-digit, Marine retail flat with wholesale up 5%-10%, Powersports unit shipments down ~10% with organic content up mid-single digits, Housing MH wholesale shipments up 10%-15%. • Operating margin expected to improve 70-90 basis points. • Operating cash flow expected between $390 million - $410 million, CapEx $75 million - $85 million, free cash flow ~$305 million. • Dividend increased 9% to $0.40 per share. • Mentioned keeping an eye on retail selling season for better visibility.

• Tariff exposure: China, Mexico, Canada account for ~10% of cost of goods sold. Actively derisking offshore exposure to China. • Market volatility: Impact of macroeconomic factors on end-markets like RV, Marine, etc.

Q: Incremental tariff on China?

A: Contemplated, working with suppliers and alternative sourcing to mitigate impact.