A. O. Smith Corporation (NYSE:AOS) Q4 2023 Earnings Call Transcript

Unidentified Analyst: Cool. Okay. And as a quick follow-up on China, you seem to see most of the growth is coming from kitchen appliances and water treatment. So, I just wanted to get your color on what you’re seeing for water heater demand in China going into 2024.

Kevin Wheeler: Yes. Most of the growth that we see in 2024 relates to commercial business and water treatment, water treatment overall, particularly consumables. And then, we do see some growth in our kitchen products that are newly introduced. Overall, the core products were relatively flat year-over-year. I mentioned a little bit earlier about, we’ve kind of seen the stabilization of maybe what’s being sold into the premium side. So, we think we’re in a good spot for when the economy does come back, but we’re looking at relatively year-over-year or flat for our core products.

Operator: Thank you. That does conclude the question-and answer-session. At this time, I would like to turn the call back to Helen Gurholt for closing remarks.

Helen Gurholt: Thank you, everyone, for joining us today. Let me conclude by reminding you that our global A.O. Smith team delivered record sales and earnings in 2023. We look forward to updating you on our progress in the quarters to come. In addition, please mark your calendars to join our presentation at three conferences this quarter. Citi on February 21, Barclays on February 22, and North Coast on March 7. Thank you and enjoy the rest of your day.

Operator: Thank you for your participation in today’s conference. This does conclude the program. You may now disconnect.