Caesarstone Ltd.

Good day and welcome to the ScissorStone Second Quarter 2023 conference call. All participants will be in a listen-only mode. Should you need assistance, please press star 1 to reach the operator. After today's presentation, there will be an opportunity to ask a question. To ask a question, you may press star then 1. To withdraw your question, please press star then 2. Please note, this event is being recorded. I would now like to turn the conference over to Mr. Brad Gray, Investor Relations. Please go ahead, sir.

Thank you, Operator, and good morning to everyone on the line. I am joined by Yos Charan, Caesarstone's Chief Executive Officer, and Nahum Trost, Caesarstone's Chief Financial Officer. Certain statements in today's conference call in response 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-F 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, adjusted net 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 second 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 second quarter. I will discuss our business activity and Nahum will then cover additional details regarding our financial results before we open the call for questions. Looking at our performance, we were pleased to produce a second straight quarter of strong operating cash flow and increase our net cash position, both of which remain significant focus areas for Caesarstone. We are working hard to restructure the business and reignite profitable growth with a goal to offset ongoing headwinds from challenging global economic conditions and the competitive landscape, which have resulted in lower demand. During the quarter, we devoted significant operational investments behind new products as well as reengineering existing collections using alternative and varying blends of materials aimed to address expected Australian regulations previously mentioned on recent calls. We are in the final stage of completing this costly project of re-engineering the full Australian portfolio in only a few months. Separately, in our core quartz products, we are investing significantly in our R&D efforts to create an exciting array of innovative collections in the second half of 2023 to be launched next year. Additionally, we are focused on investing further in sales and marketing, which we believe that combined with improvements in our pricing strategy will drive improved revenue performance in future periods, particularly in the U.S. We are moving swiftly with the implementation of our comprehensive restructuring plan and are taking many important steps as part of our strategic cost reduction efforts to improve our results, which we believe will become increasingly evident in the coming quarters. The closure of Sdotya manufacturing facility marked a pivotal step for Seasonstone, laying the groundwork for improved efficiencies and streamlined production within our manufacturing infrastructure. We are also working simultaneously to shift an increasing mix of production to our strategic network of third-party manufacturers in the Far East. This is expected to further reduce our costs and better align production to meet demand. In regards to other strategic cost-saving actions, we have enacted several changes within our organizational structure, including the consolidation of several senior management positions. We will also transition the work that was being done at our smaller samples and book plant to our network of third-party manufacturers in the Far East. These actions are expected to further improve our cost structure commencing in 2024. Looking ahead, we are on track to improve the financial position, including our cash flow, and we expect to significantly improve our profitability in Q3 and Q4 gradually. We are grateful for the hard work of all our team members who are executing our strategy to create a more agile, innovative, and profitable company as we strive to deliver growth in our top line and solid results for our shareholders as we move forward. Thank you, and I will now turn the call over to Nahum to walk through the details of our financial performance.