Star Equity Holdings, Inc.

Greetings, ladies and gentlemen, and welcome to the Star Equity Holdings Incorporated first quarter 2022 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 and 10-Q filings for a more complete description of risk factors that could affect those projections and assumptions. The company assumes no obligations to update forward-looking statements as a result of new information, future events, or otherwise. Please also note that on this call, management will reference non-GAAP financial measures, including EBITDA, adjusted EBITDA, adjusted net income, and 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 after the call, please contact Star Equity at 203-489-9500 or its investor relations representative, Lena Caddy, at 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 Jeff Everwine, Executive Chairman of Star Equity.

Thank you, Operator. Good morning and thank you all for joining us today for our first quarter 2022 results conference call. On the call with me today are Chief Executive Officer Rick Coleman and Chief Financial Officer David Noble. In the first quarter of 2022, we reported improved financial and operating performance with a 12% increase in revenues and an improvement in our margins. Our healthcare division grew revenue by 0.8% versus the prior year quarter and gross margin improved by 4 percentage points to 23.7%. Our construction division grew revenue by 28.6% due to large commercial projects at Edge Builder and pricing increases that we implemented to mitigate the impact of higher raw material costs. Gross margin improved substantially due to increased pricing, improved operations, and commodity price mitigation. We continue to make progress toward our goal of achieving and maintaining a gross margin over 20% for our construction 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 to pursue acquisitions, which could be either bolt-ons for our healthcare or construction divisions or entry into new business sectors. With that, I'll turn it over to our CEO, Rick Holman. Rick, please go ahead.

Thanks, Jeff. In the first quarter, our healthcare division revenue increased by 0.8% over the same period last year to $13.4 million. The increase was driven primarily by the mix of products sold in the quarter, including higher radio pharmaceuticals contract revenue and a more favorable mix of higher profit cameras. Customer, patient, and employee availability were also positive contributing factors as our business continues to recover from the COVID-19 pandemic. These positive drivers were partially offset by a decrease in total cameras sold, as well as fewer total scanning days. Gross profit for the quarter increased by 22.2%, and gross profit margin increased by 4.2 percentage points over the same period last year. also due to increased percentage of higher margin products sold. Now we'll turn the call over to Dave Noble, our CFO, who will review the results of our construction division and provide additional first quarter financial highlights. Dave, please go ahead.