Nick Gikow's questions to Hayward Holdings Inc (HAYW) leadership • Q4 2024
Question
Nick, on for Brian Lee, asked for more details on the SKU rationalization program, including its geographic focus, potential top-line headwinds, and margin benefits for 2025.
Answer
CFO Eifion Jones explained that the SKU rationalization program has been underway for about 18-24 months and is not expected to be a headwind to the top line. He described it as a global initiative focused on retiring legacy products and commonizing raw material platforms to improve earnings quality and working capital. The benefits to gross margin are expected to be accretive over time rather than a large, single-year impact.