The Shyft Group, Inc.

And welcome to the SHIFT Group's first quarter 2024 conference call and webcast. All participants will be in a listen-only mode until the question and answer session of the conference call. As a reminder, this call is being recorded. And I would now like to introduce Randy Wilson, Vice President of Investor Relations and Treasury for the SHIFT Group. Please go ahead.

Good morning, and thank you for joining us. Today, you will hear from John Dunn, President and Chief Executive Officer, and John Duyard, Chief Financial Officer. Their prepared remarks will be followed by a question and answer session. Before we begin, please turn to slide two of the presentation for our safe harbor statement. Today's conference call contains forward-looking statements, which are subject to risks that could cause actual results to be materially different from those expressed or implied. Primary risks that management believes could materially affect our results are identified in our Forms 10-K and 10-Q filed with the SEC. We will be discussing non-GAAP information and performance measures, which we believe are useful in evaluating the company's operating performance. Reconciliations for these non-GAAP measures can be found in the conference call materials. We'll begin with a business overview from our CEO, John Dunn, followed by John Dewyard's review of first quarter performance and our 2024 outlook. We'll then open the line for Q&A. Please turn to slide three, and I'll turn it over to John Dunn, who will begin today's prepared remarks.

Thank you, Randy, and good morning. I would like to welcome everyone to our earnings call and appreciate your interest in the SHIFT group. Through the first quarter, our team delivered results better than our outlook provided in February. Key financial highlights include our specialty vehicle team continued to perform well with another solid quarter that resulted in high team's margin. In addition, we saw early signs of commercial progress as the FES team delivered the highest order level in nearly two years. resulting in their first sequential backlog increase since early 2022. While parcel order activity remained soft as CapEx decisions continued to be delayed by fleet operators, our FES sales team responded by focusing on other vocations and Q1 order performance was highlighted by solid activity with utilities, and food and beverage customers. As we look at the parcel market, we're confident in our leadership position and remain closely aligned with our customers. Although we remain cautious about the timing of the parcel market recovery, we believe our business is well positioned to deliver for our customers as it returns. Overall, I want to emphasize that SHIFT team members are acting with urgency to drive improved results and return the company to historical profitability over time. Please turn to slide four and I'll expand on the operational framework progress. Although we spoke only two months ago, we continue to chart a pathway to realize the full potential of our business. Back in February, I introduced an operating framework that serves as the foundation to drive sustainable financial growth, and shareholder value. It includes a relentless focus on building high performing teams, delivering operational excellence, and keeping our customers at the center of everything we do. The team is driving improved performance by focusing on operational rigor, financial growth, and meeting the needs of our customers. We are equipping our business leaders with the appropriate tools and support for success. Senior management has conducted site visits to key facilities, engaging with local teams to eliminate performance obstacles. Our one shift mindset is driving us to break down silos and increase coordination across the company. An example of this is in procurement. where we recently completed our first cross-company initiative to leverage total business spend for a product category. Our actions led to consolidation of suppliers, allowing us to strengthen our relationships while also positioning us to realize cost savings. Now, turning to customer centricity, In March, our commercial and senior leadership teams met with key customers at the NTEA Work Show. We saw excellent customer engagement and elevated interest in all our product offerings, which reinforced that our core businesses have leading positions in their respective end markets. It also highlighted our strong collaborative relationships with customers and industry partners. which positions us to effectively respond to their needs and provide innovative solutions. To emphasize recent examples, we announced the first order for a driver rapid cooling system with a key fleet customer, reflecting our ability to deliver customer-focused innovation. Additionally, we were designated a Ford Pro Upfitter, highlighting our operational capability and leadership in the outfit market, which will present expanded growth opportunities for Shift. In summary, we are increasing collaboration across the company as we act with a one shift mindset to accelerate decision making, relentlessly focus on our customers, and increase the pace of operational and financial improvement. The Shift team continues to prioritize these efforts to drive long-term performance. Now let's turn to slide five, and I will provide an update around the status of the Blue Arc EV program. As discussed on our last call, we focused our team's efforts on bringing the class three and four Blue Arc EV walk-in van to market later this year. I'm pleased to say that the Blue Arc's progress remains in line with these expectations. There is ongoing customer interest in the vehicle, and commercial conversations are progressing, evidenced by the high level of customer interest at NTEA. From a development standpoint, the Blue Arc vehicle validation and testing continues, and performance with the battery from Our Next Energy is meeting expectations. The Blue Arc team is preparing for production in late 2024. and we will continue to keep you informed of commercial and product developments. I will now turn it over to John for a detailed review of our financial results in the 2024 outlet.