InfuSystems Holdings, Inc.

Good day and welcome to the In-Fu System Holdings, Inc. Report's third quarter 2023 financial results conference call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star, then one on a touch-tone phone. To withdraw your question, please press star, then two. Please note this event is being recorded. I would now like to turn the conference over to Joe Dorme, Managing Partner. Please go ahead.

Good morning, and thanks for joining us today to review IMFU Systems financial results for the third quarter of 2023, ended September 30th, 2023. With us today on the call are Rich DiIorio, Chief Executive Officer, Barry Steele, Chief Financial Officer, and Carrie LeChance, President and Chief Operating Officer. After the conclusion of today's prepared remarks, we'll open the call for questions. Before we begin with prepared remarks, I would like to remind everyone, certain statements made by the management team of INFUSYSTEM during this conference call constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Except for the statements of historical fact, this conference call may contain forward-looking statements that involve risks and uncertainties, some of which are detailed under risk factors and documents filed by the company with the Security Exchange Commission, including the annual report on Form 10-K for the year ended December 31st, 2022. Forward-looking statements speak only as of the date the statements were made. The company can give no assurance that such forward-looking statements will prove to be correct. If your system does not undertake and specifically disclaims any obligation to update, any forward-looking statements except as required by law. Now I'd like to turn the call to Rich DiIorio, Chief Executive Officer at InfuSystem.

Rich? Thank you, Joe, and good morning, everyone. Welcome to InfuSystem's third quarter 2023 earnings call. Thank you all for joining us today. I'm going to start this call by reiterating that our key theme for the year has been that 2023 is a year of execution, and I believe our financial results show delivery of strong execution. Not only was the recently completed third quarter the seventh consecutive quarter with record revenue, it was the second quarter in a row with revenue up 17% or more when compared to the prior year. Shifting from the top line to the bottom line, we see continued improvement in our margins and operating income. Operating income in the third quarter increased 80% year over year, and net income was up 56%. Adjusted EBITDA was $6.2 million for the quarter, up 11% from the prior year. While I think that's a solid adjusted EBITDA number with a nice trend line, on a year-to-date basis, we are slightly behind where we originally planned to be versus our original budget. This is because our adjusted EBITDA was suppressed early in the year because of the investments made in the first quarter to accelerate and pull forward the onboarding of devices under the initial master services agreement with GE. We elected to make the necessary investments ahead of our original plan and succeeded in pulling forward that revenue. resulting in the strong growth we have delivered over the last couple of quarters. So 2023 has been an execution year in terms of delivering on new revenue opportunities and setting the stage for more revenue in future years. The next phase of execution will be the fine tuning and the continuous process of identifying and implementing operating improvements that will improve and maintain our long-term operating margins. That will be the story for the rest of this year and into next year. After Barry provides his review of the quarter, Carrie will provide some color on the things that we are doing and how our margins are improving as we achieve scale and begin ironing out our processes with our GE Biomed business and start leveraging our national network of technicians. Now turning to guidance. In August, we updated our guidance for the full year, estimating net revenue growth of 10 plus percent and adjusted EBITDA margin to be between 17 and 18 percent. We expect our revenue to come in above the range previously provided. How much above depends on a variety of factors, some of which are outside of our control. Accordingly, we will continue to take a very conservative approach and raise our full year guidance to have net revenue growth of 11 plus percent. For adjusted EBITDA, we are maintaining our adjusted EBITDA margin range of 17 to 18 percent. Now I'd like to turn the call over to Barry, who will provide more detail on our financial performance in the third quarter.