Star Equity Holdings, Inc.

Greetings, ladies and gentlemen, and welcome to Star Equity Holdings Inc. fourth quarter and year-end 2021 results conference call. Please be advised that discussions on today's call may include forward-looking statements. Such forward-looking statements involve certain risks and uncertainties that may cause actual results to differ materially from those contained in the forward-looking statements. Please refer to Star Equity's most recent 10-K report and 10Q filings for a more complete description of risk factors that could affect these projections and assumptions. The company assumes no obligation to update forward-looking statements as a result of new information, future events, or otherwise. Please also note that on-the-call management may refer to non-GAAP financial measures, including adjusted EBITDA, adjusted net income, adjusted earnings per share, which are all financial measures not recognized under U.S. GAAP. As required by SEC rules and regulations, these non-GAAP financial measures are reconciled to their most comparable GAAP financial measures in our earnings release issued this morning. If you did not receive a copy of the earnings release and would like one, please contact Star Equity at 203-489-5900 or its investor relation representative, Lena Katt, of the Equity Group at 212-836-9611. Also, this call is being broadcast live over the Internet and may be accessed at Star Equity's website via www.starequity.com. Shortly after the call, a replay will also be available on the company's website. It is now my pleasure to introduce Lena. Jeff Everwine, Chief Executive Chairman of Star Equity.

Thank you, Operator. Good morning, and thank you all for joining us today for our fourth quarter and year-end 2021 results conference call. On the call with me today are Chief Financial Officer David Noble, Chief Operating Officer Rick Coleman, and Matt Mulchen, CEO of Digirad Health. In the fourth quarter of 2021, our healthcare division continued to rebound to more normal levels with revenue increasing 16.9% versus the prior year quarter. Our construction division grew revenue by 42.3% due to higher output and pricing increases we implemented throughout the year to mitigate the impact of higher raw materials costs. Gross margin at our construction division also rebounded strongly in the fourth quarter due to increased pricing, improved operation, and commodity price risk mitigation. Our construction division gross margins improved significantly off the bottom in 2021, and we made progress toward our goal of gross margins exceeding 20% for this division. With the completion of our January 2022 equity offering for gross proceeds of $14.3 million, we're now well-positioned to fund high-return internal growth investments and pursue acquisitions, which could be either bolt-ons for our healthcare or construction divisions or entry into a new business sector. With that, I'll turn it over to our healthcare CEO, Matt Mulchin. Matt, please go ahead.

Thanks, Jeff. Revenue from our healthcare division in Q4 2021 increased by 16.9% to 15.6 million over the same period in the prior year. This was mainly driven by stronger diagnostic imaging camera sales. Gross profit for Q4 2021 reporting period increased by 22.3% and gross profit margin increased by 4.6% over the same period last year due to an increase in the number and a favorable product mix of cameras sold in the quarter. In diagnostic services, revenue and gross margin percentage for the fourth quarter of 2021 was 10.7 million and 13.5%, compared to 10.6 million and 16.3% in last year's fourth quarter. The relative gross margin percentage decrease was primarily due to a sharp decrease of customer, patient, and employee availability due to the COVID Omicron variant. This led to lower volumes and lower gross profit and gross margin. In our diagnostic imaging business, revenue and gross margin percentage for the fourth quarter of 2021 was 4.9 million and 35.9 percent, respectively, compared to 2.7 million and 32.7 percent, respectively, in the prior year fourth quarter. As mentioned earlier, the relative increase in diagnostic imaging revenue and gross margin was due to a higher number of cameras sold and a favorable product mix. Now I will turn the call over to Dave Noble, our CFO, who will provide additional financial highlights for the fourth quarter. Dave, please go ahead.