Commercial Vehicle Group, Inc.

Good morning, ladies and gentlemen, and welcome to CVG's second quarter 2026 earnings conference call. During today's presentation, all parties will be in a listen-only mode. Following the presentation, the conference will be open for questions and instructions to follow at that time. As a reminder, this conference is being recorded. I would now like to turn the call over to Michelle Hards, Vice President of Investor Relations. Please go ahead.

Thank you, operator, and welcome everyone to our second quarter 2026 conference call. Joining me on the call today are James Ray, President and CEO, and Angie O'Leary, Interim Chief Financial Officer. This morning, we will provide a brief company update as well as commentary regarding our second quarter 2026 results after which we will open the call for questions. As a reminder, this conference call is being webcast, and a Q2 2026 earnings call presentation, which we will refer to during this call, is available on our website. Both may contain forward-looking statements including, but not limited to, expectations for future periods regarding market trends, cost savings initiatives, and new product initiatives among others. Actual results may differ from anticipated results because of certain risks and uncertainties. These risks and uncertainties may include but are not limited to economic conditions in the markets in which CVG operates, fluctuations in the production volumes of vehicles for which CVG is a supplier, financial risks and uncertainties. These risks and uncertainties may include but are not limited to economic conditions in the markets in which CVG operates, fluctuations in the production volumes of vehicles for which CVG is a supplier, financial covenant compliance and liquidity, risks associated with conducting business in foreign countries and currencies, and other risks as detailed in our SEC filing. I will now turn the call over to James to provide some highlights from our second quarter performance.

Thank you, Michelle. Good morning, and thanks to all those who joined the call. Please turn your attention to the supplemental earnings presentation, starting on slide three. As we have highlighted on this slide, CVG delivered year-over-year revenue growth across all three segments. This reflects our ongoing efforts to reduce our in-market concentration in cyclical North American Class A truck exposure through geographic and end market diversification. While there are still macroeconomic uncertainties to monitor, CVG is hitting its stride as our new business wins are ramping coincidentally with a recovery in our key end markets. During the quarter, we delivered an adjusted gross margin of 12.9%, up 90 basis points compared to last year, and 70 basis points sequentially from the first quarter of 2026. The continued year-over-year and sequential improvement in profitability was again driven by our focus on improvements in operational efficiency and the operating leverage we are seeing from improved volumes. We have recently highlighted the growth in our electrical systems segment, and that accelerated again with a 15.8% growth in segment revenues in the quarter. This growth has been driven by the ramp of previously mentioned programs across North American and international markets, particularly zoos in North America and the ramp of our key winds in the Amaya region. This growth is going a long way to increase capacity utilization at our Aldama, Mexico and Tangier, Morocco facilities. While we are adding labor to handle the additional volumes, We continue to see margin expansion in this segment. Another highlight in the last quarter was the continued debt and leverage reduction we delivered. Angie will give you more details shortly, but the at-the-market equity program we announced and executed a portion of during the quarter is not only accretive, but provides us additional capacity to continue to invest for growth opportunities going forward. The at-the-market transaction combined with the sale-leaseback transaction on our Vernor facility provided us with cash that we used to pay down total debt by $14.6 million since the end of 2025, facilitating a net leverage ratio reduction from 4.1 times at the end of 2025 to 3.3 times at the end of the second quarter. Our goal remains to bring leverage back down to the two times level over time. As we look ahead, we will continue to monitor potential macroeconomic uncertainty, but we are encouraged by the growth we are seeing across all three segments as we head into expected in-market improvement. Class A truck production is projected to accelerate throughout the year, and we are also benefiting from the ramp-up of new business across our three segments. We are focused on discipline execution, driving operational efficiency, and positioning CVG to drive further shareholder value going forward. Turning to slide four, I will provide more detail on the ramp of the Zoox program. As I'm sure you've seen, Zoox made a major announcement in June. They have locked in the design and are moving to commercial scale production. As a result, they are preparing for large-scale manufacturing at their Haywood, California facility, which will shift them from the trial and testing phase into fleet deployment. Zoox also recently announced they have received NHTSA approval to begin charging for their robotaxi services and will be rolling that out in Las Vegas in August. As a result of the expected Zoox momentum, we began adding staffing in Q2. and continue to add into Q3 at Aldama to support the production ramp and will be investing in planned incremental capital to support the ramp also. As Zoox and other programs continue to ramp up, we are seeing further utilization increases at our production facilities in Aldama and Tangier, helping fuel gross margin expansion. These state-of-the-art, low-cost facilities position us to support continued new business wind ramps and drive further margin improvement throughout 2026 and beyond for the global electrical system segment. With that, I would like to turn the call over to Angie for a more detailed review of our financial results.