TriMas Corporation

Ladies and gentlemen, good morning and welcome to the TriMass Corporation fourth quarter and full year 2025 earnings conference call. At this time, all participants are in listen-only mode. A brief question and answer session will follow the formal presentation. If anyone requires operator assistance during the conference, please signal the operator by pressing star, then zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Trimas Corporation's VP, Investor Relations, Sherry Lauderback. Please go ahead.

Thank you, and welcome to Trimas Corporation's fourth quarter and full year 2025 earnings call. Joining me today are Thomas Snyder, Trimas' president and CEO, and Paul Fort, our chief financial officer. We'll begin with prepared remarks covering our fourth quarter and full year results, followed by our expectations for 2026, and the future of TriMAS, after which we'll open the call for questions from our analysts. To help you follow along with today's discussion, both the press release and our presentation are available on our website at trimas.com under the investor section. A replay of this call will also be available later today by dialing 877-660-6853 and using the meeting ID of 1375 Before we begin, I'd like to remind everyone that today's comments may include forward-looking statements, which are inherently subject to various risks and uncertainties. Please refer to our most recent Form 10-K and 10-Q filings for a discussion of the factors that could cause our results to differ from those anticipated in any forward-looking statements. We undertake no obligation to publicly update or revise any forward-looking statements except as required by law. We also encourage you to visit our website where more information is available. In addition, please refer to the appendix of our press release or presentation for reconciliations of GAAP to non-GAAP financial measures. Throughout today's call, our discussion of financial results will be on an adjusted basis, excluding the impact of special items. At this point, I'll turn the call over to Tom. Tom?

Thank you, Sherry. Good morning, everyone, and thank you for joining us today. Before we discuss our quarterly and year-end results, I want to take a moment to reflect on 2025, a truly transitional year for TriMAS. This is not the same company you saw a year ago. Over the past eight months since I've joined TriMAS, we have sharpened our strategic focus, strengthened our leadership team, and begun rebuilding the foundation necessary to deliver stronger and more consistent performance going forward. I'd also like to formally introduce our new CFO, Paul Swart, who joined us in mid-December. Paul brings more than 25 years of financial and operational leadership experience, including two decades here at TriMass, across corporate and operational finance, accounting, and business planning. His deep familiarity with our business and his recent experiences leading transformation efforts make him a tremendous addition to our leadership team and an exceptional partner as we enter this next phase. We are excited to have him back. Welcome back, Paul. Over the past few months, we've refreshed our management approach, clarified roles and accountability, and elevated decision-making speed and execution. This has enabled us to focus our energy on the areas that matter most, serving our customers, improving operations, and developing our people and driving performance. We've made meaningful progress in elevating operational excellence and strengthening our commercial execution. In the latter part of 2025, we completed approximately 100 customer interviews across 10 countries as part of our Voice of the Customer initiative, giving us clear insights into customer expectations and where we must raise the bar to win with our customers. These insights are driving changes in how we organize and engage with customers so that we are more aligned with their needs and more connected in our day-to-day interactions. We also launched a structured global operational excellence program, a company-wide operating system rooted in Lean Six Sigma principles. This program is designed to drive continuous improvement, enhance efficiency, and increase standardization across our footprint with a focus on safety, quality, delivery, and cost. We are encouraged by the initial launch within our packaging business at two larger locations and look forward to rolling out the program to more sites in 2026. These operational and cultural changes are creating more unified practices across the organization, strengthening the foundation of data-driven management, and elevating accountability among our teams. Building upon this increased accountability and better visibility into our KPIs, we also restructured our 2026 incentive program to reinforce a disciplined pay-per-performance culture that rewards results and aligns the entire organization on its true north. As I've traveled to our locations over the past several months, I've seen firsthand the impact of these efforts, as we are a company with strong capabilities, powered by talented people who are deeply committed to delivering value for our customers and shareholders. At the same time, those visits have highlighted clear opportunities for continuous improvement, areas where we can evolve, innovate, and further strengthen our foundation for the future. Taken together, these actions underscore a simple point. TriMAS today is becoming more focused, more agile, and better positioned to deliver. With that foundation in place, let's turn to slide four. to review several key actions underway that will further transform TriMAS and drive the next phase of improvement across the organization. First, we continue to make solid progress toward completing the divestiture of TriMAS Aerospace, which we announced in early December. The transaction remains on track to close in mid to late March. As previously communicated, the purchase price is approximately $1.45 billion in cash, which we expect will generate approximately $1.2 billion in net after-tax proceeds. As a result of the pending sale, TriMass Aerospace is now reported as discontinued operations beginning with these quarterly results. You'll also notice that we provided additional disclosure to help you interpret the results. We've included both total company performance and the breakout between continuing and discontinued operations where practicable. And to ensure comparability, we have recast certain historical periods to reflect the planned sale of TriMAS Aerospace. That recast information will be available in the Form 8K we are filing today. Following the close, TriMAS will operate with two reporting segments, our packaging segment and our specialty product segment. The divestor positions TriMAS as a more focused company, and the significant proceeds provide us with meaningful flexibility as we execute our capital deployment priorities, including share repurchases, investing in organic growth initiatives, pursuing targeted acquisitions, and maintaining our balance sheet. Let me now cover how we are approaching capital deployment as we move into the next chapter. Our priorities remain consistent, reinvesting in the business, pursuing selective acquisitions, particularly in the packaging and life science space and returning capital to shareholders as appropriate. To support a more disciplined and strategic approach to M&A, we have established a strategic investment committee that brings sharper focus and rigor to evaluating opportunities aligned with our long-term vision. Since announcing the divestiture, we have repurchased more than 3 million shares for approximately $100 million. And as announced earlier today, we increased our remaining share repurchase authorization back to $150 million. The Board will continue to assess potential increases to the company's existing share repurchase authorization as we move forward. As we deploy capital, we expect to repurchase additional shares while also planning to pay down the revolver borrowings associated with the prior buybacks. In parallel with these strategic actions and a smaller, more focused organization, we have also reshaped our structure to operate more efficiently and better serve our customers. At the end of January, we implemented a company-wide realignment to streamline operations, including integrating certain corporate and business functions to simplify the structure, eliminate duplication, and improve execution. Savings from the initiatives we have completed are expected to ramp up throughout the year, generating over $10 million of cost reductions in 2026 and more than $15 million on an annualized basis. In addition, within TriMAS packaging, we are restructuring the commercial and operational model to break down silos, accelerate decision-making, and to strengthen customer engagement and responsiveness. This transformation is supported by several initiatives, including brand unification, expanded operational excellence programs, upgraded systems, and continued optimization of our manufacturing footprint. Collectively, these actions are strengthening TriMAS's operation model, enhancing customer satisfaction, and positioning the company for sustainable long-term value creation. As we advance this work, I'm also drawing on several decades of personal experience operating in highly competitive environments where two principles ultimately determine who won. Relentless cost discipline and unwavering focus on the customer. Those disciplines are more important today than ever as we compete to win in the marketplace. As I look at the transformation underway, I feel strongly that this is where I can help us create real value by instilling a sharper cost mindset across the organization and elevating our focus on serving customers better than our competitors. Shifting gears, let's turn to our full year and fourth quarter performance. Despite all the transition and change throughout 2025, we delivered full year and fourth quarter results in line with our expectations. Total company adjusted earnings per share for the year was $2.09 towards the upper end of our provided guidance range of $2.02 to $2.12, which had already been raised earlier in the year. I'm very proud of how our teams executed during this period of significant transformation. And with that, I'll now turn the call over to Paul, who can walk us through the financial results in more detail. Paul?