Limbach Holdings, Inc.

Greetings and welcome to Limbach Holdings' fourth quarter and full year 2022 earnings call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Jeremy Hellman of the Equity Group. Please proceed.

Thank you very much and good morning, everyone. Yesterday, Limbach Holdings announced its fourth quarter and fiscal year 2022 results and filed its form 10-K for the year ended December 31, 2022. The company would also like to note that an updated investor presentation is available in the investor section of the company website at www.limbachinc.com. Management will refer to select slides during today's call and encourages investors to review the presentation in its entirety. During this call, the company will be reviewing those results and providing an update on current market conditions. Today's discussion may contain forward-looking statements and actual results may differ from any forecast, projections, or similar statements made during the earnings call. Listeners are reminded to review the company's annual report on Form 10-K and quarterly reports on Form 10-Q for risk factors that may cause the actual results to differ from forward-looking statements made during the earnings call. Also, please note that during the question and answer session at the end of the call, we will only be taking questions from our analysts. With that, I'll turn the call over to Charlie Bacon, the President and Chief Executive Officer of Limbach Holdings. Please go ahead, Charlie.

Good morning, everyone, and welcome. Thanks for joining us. Joining me this morning is Mike McCann, currently our COO and incoming CEO, and Jamie Brooks, our Chief Financial Officer. We've reported another solid quarter and exceeded the upper end of our adjusted EBITDA guidance for the year. For the past several years, we have met or exceeded our adjusted EBITDA guidance, and I credit that to the risk management practices we installed in the business, as well as our game-changing strategy of rapidly expanding our owner direct revenue, or ODR segment as we call it, and focusing on the quality of the general contractor, or GCR backlog. The financial results being produced from our rapid ODR revenue growth coupled with our earnings from better GCR project selection have led to a steadily improving cash position, all of which helps demonstrate our strategy is working. One significant event during Q4 I'd like to comment on is we successfully resolved one of our significant claims and expect to collect approximately $10 million in cash. There are two legacy matters that remain that exceed $30 million, and we are patiently yet aggressively working those opportunities to maximize our outcomes. As you know, this will be my last earnings call leading the conversation. After 19 years as CEO of Limbach, it's time to take on some other challenges and opportunities that life offers. Mike will be stepping up to the CEO role on March 29th. The work he and I have done over the past three years getting him ready for this with the full support of the board is one of my highlights of my career. I think we've executed the CEO selection well. In addition to the succession planning work, Mike and I have been working together to build out a senior leadership team with the full support of the board. We have built a very strong and capable team of leaders. We strongly believe that the strategy we have deployed has Limbach well positioned for its next chapter, which will be one of value creation, expansion, and cash generation. I'm extremely happy to be handing the leadership of the company off to Mike and look forward to transitioning from my role as CEO to that of a shareholder with a sizable position. I greatly care about the company and all the employees and look forward to watching this next chapter of the company under Mike's leadership. Let me now turn the call over to Mike and Jamie to share the results of the quarter and the full year, as well as the outlook for 2023.