Patrick Industries Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Patrick Industries Inc. has filed its 2023 10-K report detailing financial performance and position.</b>

AI Summary

PATRICK INDUSTRIES INC (PATK) filed a Annual Report (10-K) with the SEC on February 29, 2024. Patrick Industries Inc. filed its 2023 Form 10-K on February 29, 2024, reporting on the fiscal year ending December 31, 2023. The company is incorporated in Indiana (IN) and operates within the Motor Vehicle Parts & Accessories industry (SIC 3714). The filing includes detailed financial data for the fiscal years 2021, 2022, and 2023. Key financial statement components such as Common Stock, Additional Paid-In Capital, Accumulated Other Comprehensive Income, Treasury Stock, and Retained Earnings are reported for multiple year-ends. The report also references specific asset categories including buildings, leaseholds, and software development costs as of December 31, 2023.

Why It Matters

For investors and stakeholders tracking PATRICK INDUSTRIES INC, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Patrick Industries' financial health and operational status for the fiscal year 2023, crucial for investors assessing the company's performance and future prospects. The detailed financial data, including balance sheet items and historical performance, allows stakeholders to analyze trends, evaluate asset management, and understand the company's capital structure.

Risk Assessment

Risk Level: low — PATRICK INDUSTRIES INC shows low risk based on this filing. The filing is a standard annual report (10-K) and does not contain immediate, significant negative news or events, indicating a routine disclosure.

Analyst Insight

Investors should review the detailed financial statements and risk factors within the 10-K to understand Patrick Industries' performance and potential challenges in the automotive parts sector.

Key Numbers

• 20231231 — Fiscal Year End (Conformed Period of Report)
• 20240229 — Filing Date (Filed as of Date)
• 2023 — Reporting Year (Fiscal Year)
• 2022 — Previous Year (Fiscal Year)
• 2021 — Prior Year (Fiscal Year)

Key Players & Entities

• PATRICK INDUSTRIES INC (company) — Filer name
• 0000076605 (company) — Central Index Key
• 3714 (industry) — Standard Industrial Classification
• IN (state) — State of Incorporation
• 574-294-7511 (phone) — Business Phone
• 20231231 (date) — Conformed Period of Report
• 20240229 (date) — Filed as of Date
• USD (currency) — Currency

FAQ

Industry Context

Patrick Industries Inc. operates in the Motor Vehicle Parts & Accessories sector, a segment of the broader manufacturing industry.

Regulatory Implications

The filing is made under the Securities Exchange Act of 1934, requiring public companies to submit regular financial disclosures to the SEC.

What Investors Should Do

1. Review Patrick Industries' detailed financial statements for FY 2023.
2. Analyze the company's balance sheet for changes in assets, liabilities, and equity.
3. Examine any disclosed risk factors for potential business challenges.

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K.
• 2024-02-29: Filing Date — Date the 10-K was officially filed with the SEC.

Year-Over-Year Comparison

This is the 2023 annual report filing, providing updated financial data compared to previous filings.

Key Financial Figures

• $804 million — ompleted acquisitions for approximately $804 million in total consideration that directly co
• $61 million — n strategy, and during 2023 we returned $61 million to shareholders through our regular qua
• $100,000 — holds reported household income of over $100,000. While this percentage was down from 37
• $59.3 billion — and related costs totaled approximately $59.3 billion in 2022, up approximately 4.4% from 202
• $30 million — ompleted acquisitions for approximately $30 million of total consideration and over the las
• $59 million — ital expenditures for 2023 consisted of $59 million of investments primarily to provide mor

Filing Documents

• patk-20231231.htm (10-K) — 2048KB
• patk202310-kex44.htm (EX-4.4) — 9KB
• patk202310-kex21.htm (EX-21) — 25KB
• patk202310-kex231.htm (EX-23) — 6KB
• patk202310-kex311.htm (EX-31.1) — 16KB
• patk202310-kex312.htm (EX-31.2) — 16KB
• patk202310-kex32.htm (EX-32) — 4KB
• patk202310-kex97.htm (EX-97) — 21KB
• patk-20231231_g1.jpg (GRAPHIC) — 87KB
• patk-20231231_g2.jpg (GRAPHIC) — 97KB
• 0000076605-24-000078.txt (&nbsp;) — 11813KB
• patk-20231231.xsd (EX-101.SCH) — 59KB
• patk-20231231_cal.xml (EX-101.CAL) — 125KB
• patk-20231231_def.xml (EX-101.DEF) — 308KB
• patk-20231231_lab.xml (EX-101.LAB) — 842KB
• patk-20231231_pre.xml (EX-101.PRE) — 567KB
• patk-20231231_htm.xml (XML) — 2117KB

BUSINESS

BUSINESS 4 ITEM 1A.

RISK FACTORS

RISK FACTORS 13 ITEM 1B. UNRESOLVED STAFF COMMENTS 25 ITEM 1C. CYBERSECURITY 25 ITEM 2.

PROPERTIES

PROPERTIES 26 ITEM 3.

LEGAL PROCEEDINGS

LEGAL PROCEEDINGS 26 ITEM 4. MINE SAFETY DISCLOSURES 26 PART II 26 ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS, AND ISSUER PURCHASES OF EQUITY SECURITIES 26 ITEM 6. RESERVED 28 ITEM 7.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS 28 ITEM 7A.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 36 ITEM 8.

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA 36 ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE 36 ITEM 9A.

CONTROLS AND PROCEDURES

CONTROLS AND PROCEDURES 36 ITEM 9B. OTHER INFORMATION 37

C

ITEM 9 C . DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS 37 PART III 38 ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE 38 ITEM 11.

EXECUTIVE COMPENSATION

EXECUTIVE COMPENSATION 38 ITEM 12.

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS 38 ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE 38 ITEM 14. PRINCIPAL ACCOUNT ANT FEES AND SERVICES 38 PART IV 39 ITEM 15. EXHIBITS AND FINANCIAL STATEMENT SCHEDULES 39

FORM 10-K SUMMARY

ITEM 16. FORM 10-K SUMMARY 41

SIGNATURES

SIGNATURES 42 FINANCIAL SECTION Index to Financial Statements and Financial Statement Schedules F- 1 Report of Independent Registered Public Accounting Firm, Deloitte & Touche LLP F-2 Consolidated Statements of Income F-4 Consolidated Statements of Comprehensive Income F-5 Consolidated Balance Sheets F-6 Consolidated Statements of Cash Flows F-7 Consolidated Statements of Shareholders' Equity F-8

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements F- 9 2 INFORMATION CONCERNING FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K contains certain "forward-looking statements" with respect to financial condition, results of operations, business strategies, operating efficiencies or synergies, competitive position, industry growth and projections, growth opportunities for existing products, plans and objectives of management, markets for the common stock of Patrick Industries, Inc. (the "Company" or "Patrick") and other matters. Statements in this Form 10-K as well as other statements contained in the annual report and statements contained in future filings with the Securities and Exchange Commission ("SEC") and publicly disseminated press releases, and statements which may be made from time to time in the future by management of the Company in presentations, which are not historical facts, are management's current expectations and beliefs regarding future and anticipated developments and their impact on Patrick, and inherently involve risks and uncertainties that could cause actual results to differ materially from those set forth in the forward-looking statements. There are a number of factors, many of which are beyond the control of the Company, which could cause actual results and events to differ materially from those described in the forward-looking statements. Many, but not all, of these factors are identified in the "Risk Factors" section of this Form 10-K as set forth in Part I, Item 1A, and include, without limitation: the impact of any economic downturns on our primary end markets; a decline in discretionary consumer spending; pricing pressures due to competition; costs and availability of raw materials and commodities; inflationary pressure on our direct and indirect costs, its impact to our customers, and its impact to the end consumer; the imposition of restrictions and taxes on imports of raw materials and components used in our products

BUSINESS

ITEM 1. BUSINESS Unless the context otherwise requires, the terms " Company, " " Patrick, " " we, " " our, " or " us " refer to Patrick Industries, Inc. and its subsidiaries. Company Overview Patrick is a leading component solutions provider for the recreational vehicle ("RV"), marine, manufactured housing ("MH") and various industrial markets – including single and multi-family housing, hospitality, institutional and commercial markets. The Company operates through a nationwide network that includes, as of December 31, 2023, 179 manufacturing plants and 62 warehouse and distribution facilities located in 23 states, with a small presence in Mexico, China and Canada. The Company operates within two reportable segments, Manufacturing and Distribution, through a nationwide network of manufacturing and distribution centers for its products, thereby reducing in-transit delivery time and cost to the regional manufacturing footprint of its customers. The Manufacturing and Distribution segments accounted for 75% and 25%, respectively, of the Company's consolidated net sales for 2023. Financial information about these operating segments is included in Note 16 "Segment Information" of the Notes to Consolidated Financial Statements included in this Annual Report on Form 10-K (the "Form 10-K") and incorporated herein by reference. The Company's capital allocation strategy is to optimally manage and utilize its resources and leverage its platform of operating brands to continue to grow, reinvest in its business, and return capital to shareholders. Through strategic acquisitions, expansion both geographically and into new product lines and investment in infrastructure and capital expenditures, Patrick seeks to ensure that its operating network contains capacity, technology and innovative thought processes to support anticipated growth needs, effectively respond to changes in market conditions, inventory and sales levels, and successfully integrate manufacturing, distributi