Core Molding Technologies Inc

Good morning, everyone. Welcome to the Core Molding Technologies Second Quarter 2025 Financial Results Conference Call. At this time, all participants are in a listen-only mode. A -and-answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. I will now turn the call over to Sandy Martin, three-part advisors. Please go ahead.

Thank you, and good morning, everyone. We appreciate you joining us for the Core Molding Technologies Conference Call to review our second quarter 2025 results. Joining me on the call today are the company's president and CEO, Dave Duvall, as well as COO, Eric Palamaki, and CFO, Alex Panda. This call is being webcast and can be accessed through coremt.com via an audio link on the investor relations, events, and presentations page. Today's conference call, including the Q&A session, will be recorded. Please be advised that any time-sensitive information may no longer be accurate as of the date of any replay or transcript reading. I would also like to remind you that the statements made in today's discussion that are not historical facts, including statements or expectations or future events or future financial performance, are forward-looking statements and are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are uncertain and outside the company's control. Actual results may differ materially from those expressed or implied. Please refer to today's earnings press release for our disclosures on forward-looking statements. These factors and other risks and uncertainties are described in detail in the company's filings with the Securities and Exchange Commission. Core molding technologies assumes no obligation to update or revise any forward-looking statements publicly. Management will refer to non-GAAP measures, including adjusted EPS, adjusted EBITDA, the debt trailing 12 months EBITDA ratio, free cash flow and return on capital employed, reconciliations to the nearest GAAP measures can be found at the end of our earnings release. Our earnings release has been submitted to the SEC on Form 8K and now I would like to turn the call over to the company's President and CEO, Dave Dwall.

Thank you, Sandy, and thank you all for joining us today. Today, I'm excited to share that we've made major steps forward in our Invest for Growth strategy with respect to exceeding our targets for new business wins and a major organic growth investment as part of our capital allocation strategy. First, we successfully won $47 million of new business in the first six months of the year, with 99% of that being incremental. This exceeds our 2024 full year new wins of 45 million. I'm incredibly proud of our team for their hard work, multifunctional collaboration and full organizational engagement around driving this significant Invest for Growth milestone. We continue to add resources to our sales and marketing function to attack new markets with wins in aerospace, like satellite receiver bases and both EV cars and buses. We are seeing success with our campaign to market and sell our SMC or sheet molding compound. As we stated earlier, this has a short quote to cash cycle and we've developed the available capacity. Utilizing AI programs for lead generation, we have identified immediately addressable opportunities of over $200 million in SMC alone and we're currently in discussions with many of those potential customers today. We are seeing that all the advancements we've made in our SMC operations to improve our capacity, consistency and performance of our SMC formulations are providing a competitive advantage in the market. This is an exciting new revenue stream for our business that is already providing new revenues. We are gaining momentum in our Invest for Growth strategy and it's truly exciting to see the entire organization engage in supporting our many customer focused initiatives. Our new wins this year include being awarded the Volvo Mexico truck business. I'm proud of our team's success and our ongoing ability to deliver on what we commit. Winning this program and partnering with Volvo on their new Mexican facility is a rewarding accomplishment for all of us. We are proud to be a trusted partner as they launch production from their new manufacturing site in Mexico and I think it demonstrates the continued evolution and development of our organization's ability to continually improve, which is at the heart of our business goals. Secondly, to support the new business and anticipate an additional future business, we are investing $25 million, including an expansion of our Matamoros plant and a new plant and equipment in Monterrey, Mexico. Organic growth has been our highest priority for our capital allocation strategy and making this investment not only launches a major truck program, but adds DCPD molding or reaction injection molding and top coat paint capabilities to our Monterrey facility. We're excited about making these investments in our organic growth by adding capacity and capabilities to our Matamoros and Monterrey locations. As we have known incremental wins that support the investment model. The launch of DCPD molding in Monterrey puts us closer to other large customers that value this process and with the addition of top coat paint, we are able to provide the customer a fully molded, assembled and top coated painted product. Our voice of the customer program has clearly shown us the need for top coat paint, especially in industries like construction and agricultural machinery and aerial lifts. This is a major step in our capital allocation strategy and we look forward to continuing to grow our business with Volvo and other customers as we increase our capabilities and develop new revenue streams. These are long-term programs, which we anticipate will provide revenues of 150 million over the next seven to 10 years. I'm truly excited to share these new wins and expansion investments as they embody the significant progress we've made in our sales and marketing function and across our entire organization. With the new wins from this year and prior year, we expect that we would be back over 300 million of annual product revenues in the next two years, even at the current truck and power sports demand levels. When you factor in the magnitude of new wins on top of our continued margin expansion initiatives, it makes our future business model very exciting. All of our work in the operations, pricing, customer focus and sales development is absolutely showing in our results and our future business outlook. So in summary, we will continue to one, successfully drive our sales growth into new markets, two, improve our margin profile to operational excellence and our innovation pipeline, and three, invest in growing a business that has proven it can execute well. Developing a world-class engineered material and manufacturing solutions partner is what it's all about. Now, turning to our Q2 financial results, revenue was 79.2 million with gross margins at 18.1%. Adjusted EBITDA margin grew to 12% up 30 basis points from Q1, and cash flow from operations is over 9 million for the first half of the year, which exceeds our -to-date net earnings. As expected, tooling revenue increased by almost 13 million between Q1 and Q2, and we're projecting further growth in tooling this year from our new business wins secured last year. We again delivered strong gross margins this quarter within our projected range, with sequentially improving profitability compared to the first quarter, as well as positive -to-date free cash flows. As expected, sales declined in the second quarter when compared to the prior year period by low double digits, representing a sequential improvement from the first quarter. Sustaining strong gross margins, profitability, and positive free cash flow when -to-date double-digit revenue declines in the first half is strong evidence that our must-win battle initiatives over the last four years have been successful, and more importantly, we have demonstrated consistently good execution. Now, before I turn it over to Alex to give a detailed financial report, I've asked Eric to share comments on some Q2 highlights.