Garrett Motion Inc.

Good morning, and hello. My name is Debbie, and I will be your operator this morning. I would like to welcome everyone to the Garrett Motion First Quarter 2024 Financial Results Conference Call. This call is being recorded, and a replay will be available later today. After the company's presentation, there will be a Q&A session. And I would like to hand the call now over to Eric Burge, Garrett's Head of Investor Relations. Please go ahead.

Thank you, Debbie. Good day and welcome, everyone. Thank you for attending the Garrett Motion First Quarter 2024 Financial Results Conference Call. Before we begin, I would like to mention that today's presentation and earnings press release are available on the IR section of Garrett Motion website at investors.garrettmotion.com. There you will find a link to our SEC filings, along with other important information about our company. Turning to slide two, we note that the presentation contains forward-looking statements within the Securities and Exchange Act. We encourage you to read these risk factors contained in our filings with the Securities and Exchange Act and become aware of the risks and the certainties in our business and understand that forward-looking statements are only estimates of future performance and should be taken as such. The forward-looking statements represent the management's expectations only as of today and the company disclaims any obligation to update them. Today's presentation also includes non-GAAP measures to describe how we manage and operate our business. We reconcile each of these measures to the most direct comparable GAAP measure, and you are encouraged to examine those reconciliations in the appendix to the press release in the slide presentation. Also, in today's presentation and comments, we may refer to light vehicle diesel and light vehicle gasoline products simply as diesel and gasoline only. With us today is Olivier Rebillet, Garrett's President and Chief Executive Officer, and Sean Deason, Garrett's Senior Vice President and Chief Financial Officer. I will now hand the call over to Olivier.

Thank you, Eric, and thanks, everyone, for joining Garrett's first quarter 2024 earnings conference call. I will begin today's remark on slide three. First, I would like to thank the Garrett team for their drive, energy, and focus to deliver another great quarter. I am pleased to report today that Garrett delivered a solid performance in Q1, achieving net sales of $915 million and adjusted EBITDA of $151 million. We indeed had a strong adjusted EBITDA margin of 16.5%, up 120 basis points from last quarter, and adjusted free cash flow came in at $68 million, in line with our outlook and expectations. Once again, we leverage our flexible cost structure and cash generation capability to enable us to adapt to industry softness, mainly in Europe. We expect the situation to improve during the second half of the year, and Sean will take you through the financials in more detail later in the presentation. The performance we achieved in the quarter enabled us to make some very significant progress on our capital allocation priorities. First, we previously stated that we would continue to deliver, and on April 10th, we made an early debt repayment of $100 million. Additionally, we continue to focus on returning value to our shareholders through our $350 million share repurchase program, And during the quarter, we repurchased $109 million of common stock. Finally, on April the 3rd, we divested an equity interest in a non-core unconsolidated breaking business, which resulted in a cash inflow of $46 million. Turning now to slide four. we continue to innovate and bring new differentiated turbo offerings to our customers across all regions and all verticals. This includes not only additional wins and launches on hybrid vehicles, but also natural gas application for heavy trucks, demonstrating our capabilities to support alternative fuels with our turbo technologies. During the first quarter, We also secured two new awards for our large industrial turbos. This is part of the plan we unveiled during our October Technology and Investor Day. Those large industrial turbos are key to the power generation equipment required by the global expansion of data center infrastructure, a new industry for us. As we continue to advance our zero-emission solutions, Our success continues across all three new offerings, fuel cell compressors, e-powertrain, and e-cooling compressors. Garrett has already the broadest portfolio of high-speed fuel cell compressor applications. In Q1, we added two additional series production awards for our high-speed fuel cell compressor. In addition, a few weeks back, we delivered and installed on a prototype our first breakthrough high-speed e-powertrain traction motor at a leading global OEM. This is a key milestone for the validation of this differentiated technology. In fact, we have been able to move from concept to drawings to product being tested on the vehicle at the customer in a record time. At the same time, We are also delivering our high-power, lightweight, centrifugal e-cooling compressor to a range of customers for hardware performance testing of this revolutionary thermal management device. With this product, we are looking to enhance both fast charging and high-load performance of battery electric vehicles. With all of that, I continue to be encouraged by the speed at which we progress, and the interest we are generating with our customers for all these zero-emission technologies. Turning now to slide five, and before Sean gets into the financials, I want to highlight the ways in which we are well positioned for success. We are the number one player in a technology-driven industry and plan to keep expanding our turbo offerings, not only to serve the expected growth in hybrids, but also to develop our position for larger turbos for industrial applications. At Garrett, we continue to enhance our operational framework that is highly cash-generative through cycles and that allows us to invest in new technologies while at the same time delivering and returning cash to shareholders through our share repurchase program. Our priority remains to identify and focus on customers' unmet needs, where we can leverage our innovation capabilities to develop differentiated and highly efficient solutions at scale. All the above is made possible by what I consider to be one of the best teams in the industry, being able to, at the same time, deliver strong operational performance and push the boundaries of innovation. I will now turn the call over to Sean to provide more insight into our financial results and outlook.