Caesarstone Ltd.

Good morning and welcome to the Caesarstone Limited first quarter 2023 earnings conference call. All participants will be in 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 your telephone keypad. 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 Brad Cray, Investor Relations. Please go ahead.

Thank you, Operator, and good morning to everyone on the line. I am joined by Yosha Ran, Caesar Stone's Chief Executive Officer, and Nahum Trost, Caesar Stone's Chief Financial Officer. Certain statements in today's conference call and responses to various questions may constitute forward-looking statements. We caution you that such statements reflect only the company's current expectations and that actual events or results may differ materially. For more information, please refer to the risk factors contained in the company's most recent annual report on Form 20-S and subsequent filings with the SEC. In addition, on this call, the company will make reference to certain non-GAAP financial measures, including adjusted net income loss, adjusted net loss income per share, adjusted gross profit, adjusted EBITDA, and constant currency. The reconciliation of these non-GAAP measures to the most directly comparable GAAP measures can be found in the company's first quarter 2023 earnings release, which is posted on the company's investor relations website. Thank you, and I would now like to turn the call over to Yos. Please go ahead.

Thank you, Brad. Good day, and thank you, everyone, for joining us to discuss our first quarter. I will discuss our business activity and Nahum will then cover additional details regarding our financial results. Since rejoining the company in mid-March, I've spent time connecting with our team members and business partners, visiting production facilities and reviewing our product portfolio. It is clear that Caesarstone has been lagging behind in its ability to generate profits and increase value for its shareholders, and we aim to decisively and diligently improve on these fronts. We are moving quickly with our global teams to conduct a thorough review of all aspects of the business so we can refine our strategic approach and enhance the trajectory of our results. We believe that swift actions, taking as part of a comprehensive restructuring plan, will allow us to leverage our strong brand and best-in-class products to address our challenges, gain market share, and get back to profitability. A major part of our effort is focused on improving our cash flow, and we have already started to reap some benefits with positive cash flow from operations of approximately $8 million and an improved net cash position in the first quarter of this year. We see opportunities in many places. Some will take time, and for others we have already begun to take direct actions to implement necessary changes. We believe that these actions will improve our efficiency, competitiveness, and maximize our ability to expand our share in our end markets moving forward. In regards to driving production cost efficiencies, we are focused on optimizing our manufacturing footprint. As a first major step in our restructuring plan, We have stopped production at our Stot Yam manufacturing facility in Israel and are taking actions to permanently close this site. While this is a very difficult decision, we believe it is a necessary step which is expected to improve efficiencies and allow us to create a more agile company as we streamline our production. The Stot Yam facility is our oldest plant. and once consolidated with our more advanced remaining facilities, combined with our network of third-party manufacturers, we have adequate capacity and flexibility to better serve our customers. Although it will take some time to complete this significant step, once fully implemented, we expect to achieve annual estimated run rate savings of $10 to $15 million. Additionally, Our global teams have already started a review of the necessary changes to improve our productivity, accelerate our decision-making, and increase our responsiveness to customer needs. We look forward to working with the teams across our business along with our customers and suppliers to get our business back on solid footing. We are confident that our company can rise to its potential and we expect to deliver improved results in the years to come. We will continue to innovate, optimize our infrastructure, and enhance our competitive edge to improve our long-term growth and profitability. Thank you, and I will turn the call over to Nahum to walk through the details of our financial performance.