Shoals Technologies Group, Inc.

At this time, I'd like to turn the conference call over to Megan Pease, Chief Legal Officer. Ma'am, please go ahead.

Thank you, Operator, and thank you, everyone, for joining us today. Hosting the call with me are CEO Jason Whitaker, PFO Philip Garden, and SVP of EV Solutions, Jeff Toner. On this call, management will be making projections or other forward-looking statements based on current expectations and assumptions, which are subject to risks and uncertainties. As you listen and consider these comments, you should understand that these statements, including the guidance regarding the fourth quarter of 2021 and the first quarter of 2022, are not guarantees of performance or results. Actual results could differ materially from our forward-looking statements if any of our assumptions are incorrect or because of other factors. These factors include, among other things, the risk factors described in our filings with the Securities and Exchange Commission. as well as economic and market circumstances, industry conditions, company performance and financial results, the COVID-19 pandemic, supply chain disruptions, availability and price of our components and materials, project cancellations, decreased demand for our products, and our policy and regulatory changes. Although we may indicate and believe that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove inaccurate or incorrect and therefore there can be no assurance that the results contemplated in the forward-looking statements will be realized. We caution that any forward-looking statement included in this discussion is made as of the date of this discussion and do not undertake any duty to update any forward-looking statements. Today's presentation also includes references to non-GAAP financial measures. You should refer to the information contained in the company's third quarter press release for definitional information and reconciliations of historical non-GAAP measures to the comparable financial measures. With that, let me turn the call over to Jason.

Thank you very much, Megan, and good afternoon, everyone. I'll start off with some highlights from the quarter, provide an overview of our acquisition of ConnectDV, and I'll wrap up with a progress report on our new EV business. Bill will then provide the financial details for the quarter and then turn it back over to me for an update on our outlook for the fourth and first quarters of 2022. During the third quarter, we continued to successfully convert customers to BLA. We now have four times as many customers using our system as we did at the time of our IPO earlier this year, and we don't see our market share gains slowing down. As of the end of the third quarter, we had 12 additional customers transitioning to our system. I couldn't be more pleased with customer conversion and the number of new customer prospects coming into our sales file. We have a lot more growth ahead of us. And we also made good progress during the quarter outside of our BLA with new products for solar. As of the end of the quarter, we were sold out of our new wire management solution. and we're currently manufacturing our first large order of our new IV curve benchmarking product. Both of these products have gross margins at or above our overall system solution margins, so we're very excited about their growth. The gains we are seeing in BLA, as well as the ramp of our new products for solar, was reflected in our record backlog and awarded orders of $270.7 million at the end of September. To put that number in perspective, we now have over 30% more backlog in awarded orders than we generated in revenues over the past 12 months. During the third quarter, we also completed our first acquisition, ConnectDV. ConnectDV is a California-based provider of solar and storage EBOS products. The acquisition accomplishes several things for Shoals. First, ConnectDV is a leader in eBOS for utility-scale battery energy storage systems, and their product line and expertise significantly strengthens our offerings for this rapidly growing market segment. ConnectDV was one of the first companies to introduce specialized eBOS for battery storage, and their products have been specified for some of the largest standalone storage projects in the U.S., We're very excited about what we can do with our products, leveraging our customer relationships and manufacturing cost structure. I should also mention that ConnectDV has a very strong expertise in AC solutions, which is another area we see an opportunity to introduce new products. Second, ConnectDV sells solar eBoss offerings to customers that we did not historically have relationships with. Making ConnectVV part of Shoals will allow us to convert these customers to our system more rapidly and accelerate our market share gains. Third, ConnectVV has excellent engineering talent that will help support our growth. The company's historical business model was to focus on more challenging projects where a significant amount of customization was required. They're very skilled at designing and specifying product. Having their engineers on the West Coast with our engineering team in Tennessee adds to our capability with two teams across time zones. We have more hours in the day to work with customers. The purchase price for ConnectBV was a combination of cash and stock and was not material to our financials. We expect the transaction to be accretive to our 2022 earnings per share. Now turning to our EV business. During the third quarter, we deployed our full EV solution set, skidded charging stations, quad charger, raceways, and EV BLA at a demonstration site outside of our headquarters. We are using the site to showcase our products for prospective customers. We've begun taking orders from customers and today have received orders from a charging network operator, a large investor-owned utility, and an EPC for one or more of our EV charging products. We expect to begin shipping products to our customers during the fourth quarter. The first public charging station to use our solution will be installed in the end of this year, and we expect that if it performs well, it could become the basis for the rollout of hundreds of more stations using our equipment. We remain very focused on the EV charging opportunity and are excited about the prospect of creating a significant business in EV to complement our core solar business. I'll now turn it over to Phil who will discuss our third quarter financial results.