MillerKnoll, Inc.

Good evening, and welcome to the Miller-Knowles Second Quarter Earnings Conference Call. As a reminder, this call is being recorded. I would now like to introduce your host for today's conference, Antonella Pilo, Vice President of Investor Relations and FP&A.

Good evening. Thank you for joining our call. We have posted the press release on our Investor Relations website at HermanMiller.com. Wherever any figures are presented on a non-GAAP basis, we have reconciled the GAAP and non-GAAP amounts within the press release. I would like to remind everyone that this call will include forward-looking statements. For informational factors that could cause actual results to differ materially from these forward-looking statements, please refer to the earnings press release as well as our annual and quarterly SEC filing. Any forward-looking statements that we make today are based on assumptions as of this date and we undertake no obligation to update these statements as a result of new information or future events. At the conclusion of our prepared remarks, we will have a Q&A session. Today's call is scheduled for 60 minutes. With that, I'll turn the call over to Andy.

Thanks, Antonella. Hi, everyone, and Happy New Year. Joining me today are Jeff Stutz, our CFO, John Michael, our President of the Americas Contract Organization, Debbie Probst, our President of Global Retail, Chris Baldwin, our group president, Miller & Noll, and Kevin Beltman, our senior vice president and our integration lead. Our performance in the second quarter demonstrates the power of Miller & Noll and the strength of both our strategy and our business fundamentals. In bringing together the best of Herman Miller & Noll, we've created a stronger and more resilient organization built for long-term success. Throughout the quarter, we built positive momentum and continue to see strong demand around the globe. Order levels were up in all four reporting segments again this quarter. Both our retail and our contract businesses continue to grow, and we're bringing new customers to our brands with growth initiatives like gaming, store and studio openings, and an expanding e-commerce presence. As it relates to this last point, this past quarter, we launched new Herman Miller e-commerce sites in France and Germany, and both have exceeded our early expectations for sales and order activity. We've leveraged learnings from our previous website launches to create an exceptional online shopping experience for consumers in both countries, and we'll continue to benefit from our growing digital presence around the world as we move forward. That said, we're facing many of the same challenges as the rest of the industry, including inflationary pressures, supply chain challenges, and labor shortages. We benefit from the increased size and reach of our large organization, and we're leveraging our global distribution, production, design, and sales capabilities to combat all of these pressures. We've leaned into the expertise and partnerships that exist across our collective of brands to build inventory positions of select high-demand products and increase our shipping capacity. We're making sure of progress in our integration journey, and we remain focused on unleashing the power of all of our collective of brands. At the close of the second quarter, we had implemented $43 million in run rate savings, and we remain confident that we will deliver our cost synergies target of $100 million within two years of closing. In fact, as our teams completed integration planning, they've identified additional synergy opportunities, and we now expect to increase run rate savings to $120 million by the end of year three. This meaningful progress, along with our robust integration roadmap, gives us confidence that we will achieve our planned cost synergies, even with the inflationary and supply chain pressures that we're contending with every day. We've achieved several important and symbolic milestones in the quarter. We finalized the company name change and are officially operating as Miller Knoll. We're also trading under our new stock picks for MLKN. We completed the important work to create our new Miller Knoll organizational structure, which involves selecting talent and integrating the teams into a new operating model designed to capture efficiencies across the organization, while also strengthening the unique position of each of our individual brands. One of the most compelling reasons for creating Miller & Ohl is our combined portfolio and distribution network. Miller & Ohl will have the largest and most capable dealer network in the world. Our customers will have more choice in terms of both product and partners, and our dealers will have access to the most comprehensive suite of products and services in the industry, enabling them to sell more and better meet the needs of every customer. Creating a Miller & Ohl dealer network is our top priority, and we are well on our way. We have Miller and Old Dealer pilots in process in both Texas and Arizona. And we'll use what we're learning in these pilots to inform the plan for operationalizing the phone network, which is on track to occur by mid-calendar year 2022. While the world continues to wait and see the full impact of the Omicron variant, faking new variants feels like the new normal to us. Our research and customer feedback tells us that executives across a variety of industries still have a strong desire to bring their teams back together this year. And what's more... Most employees want the flexibility and the option to return to the office as well, just not the same office they left in 2020. Employers recognize their workplaces need to be reimagined and redesigned to meet the changed expectations of the post-pandemic workforce. Miller & Owe is the leader in providing adaptable solutions to create innovative, productive environments for the workplaces and the homes of our clients. We have the insights, the products, the services, and the tools to help our customers create high-performing spaces that solve for their unique needs. So we're continuing to collaborate with experts from around the world to make both returning to the workplace and working from home healthier and more productive. And we're using our own firsthand experiences with hybrid workplaces and our global insight partnerships to inform the future of work. Our business is strong. We're powered by the preeminent portfolio of brands in the industry, and we are built for growth. And we're confident but there is tremendous opportunity ahead for Milanol and all of our stakeholders. So with that, I'll turn it over to Jeff, who will cover a bit more about our results before we open it up for your questions.