CarParts.com, Inc.

Hello everyone.

Thank you for joining the call today to discuss our second quarter 2022 results. Joining me today from the company are David Mignon, Chief Executive Officer, and Ryan Lockwood, Chief Financial Officer. The prepared remarks and responses to your questions could contain certain forward-looking statements related to the business under the federal securities laws. Actual results may differ materially from those contained in or implied by these forward-looking statements due to risks and uncertainties associated with the business. For a discussion of the material risks and factors that could affect results, please refer to the carparts.com annual report on Form 10-K and 10-Q as filed with the SEC, both of which can be found on the Investor Relations website. On the call, both GAAP and non-GAAP financial measures will be discussed. A reconciliation of GAAP to non-GAAP financial measures is provided in the CarParts.com press release issued today. With that, I would now like to turn the call over to David.

Thank you, Tina, and good afternoon, everyone. As reported in today's release, for Q2 2022, our team achieved record sales of $176 million, up 12% year-over-year, and adjusted EBITDA of $8.3 million. This represents our 10th consecutive quarter of double-digit year-over-year revenue growth and a 44% increase on a two-year stack. We're also excited to announce our new $150 million five-year credit facility with our partners at JPMorgan Chase. Our leadership has continued executing on the four areas of focus. outstanding customer service, operational excellence, financial discipline, and innovation. Number one, outstanding customer service. As a reminder, over one-third of our e-commerce revenues come from repeat customers. As we think about capital and resource allocation, we see a significant opportunity to increase our focus and efforts on customer-centric initiatives. Our entire team is fully committed to simplifying and removing the stress from vehicle care by redefining ourselves from a parts company to a customer-oriented company with an unparalleled digital first experience. Number two, operational excellence. As the business continues to grow and evolve, we see opportunities for our teams to collaborate and improve performance by systematically removing inefficiencies and improving process. Focusing on driving results is key for us, as evidenced with our year-to-date results and our ability to simultaneously open to distribution centers in this environment. We're always raising the bar and aligning people, process, and strategy with the needs of our customers, which is part of our DNA. Number three, financial discipline. Over the last three and a half years, we have invested in building a scalable foundation, which we are now leveraging. Our management team strongly believes that financial resilience and disciplined capital allocation will be key to our success in times of market uncertainty. Profitable growth and free cash flow generation are more important than ever and it's where we will focus our energy and resources. Our team remains committed to being prudent and intentional with every dollar we deploy. Our business model is rooted in positive unit economics even after fulfillment and customer acquisition. This will help create an exceptional company for our shareholders to own for the long term. And number four, innovation. As we think about the future, we are committed to growing our addressable market and turning more of our customers into repeat customers. The opportunity is the do-it-for-me customer who relies on outside help to complete a repair or maintenance job. In the spirit of simplifying and removing the stress from vehicle care, we have been working on expanding our offering to include the ability for our customers to find a trusted local mechanic to assist with their repairs. And we're excited to report that we have already completed hundreds of successful bookings. We recently launched a new experience on our website, which is live in certain test markets. With this newly built functionality, some of our customers have the option to book an appointment with a certified mechanic of their choice directly on carparts.com with full transparency of the installation price. Now, Ryan will now discuss our financial results and a quick operational update. Thanks, David.