Alta Equipment Group Inc.

and gentlemen thank you for standing by and welcome to the alta equipment group first quarter 2021 earnings conference call at this time all participants are in the listen only mode after the speaker's presentation there will be a question and answer session to ask a question during the session you will need to press star 1 on your telephone if you require any further assistance please press star then zero Please be advised that today's conference is being recorded. I would like to hand the conference over to Sinan McDonald. Thank you. Please go ahead.

Thanks, Sadie. Good afternoon, everyone, and thank you for joining us today. A press release detailing Alta's first quarter 2021 financial results was issued this afternoon and is posted on our website along with a presentation designed to assist you in understanding the company's results. On the call with me today are Ryan Greenewald, our chairman and CEO, and Tony Colucci, our chief financial officer. For today's call, management will first provide a review of the first quarter financial results. We will begin with some prepared remarks before we open the call for your questions. Before we get started, I'd like to remind everyone that this conference call may contain certain forward-looking statements, including statements about future financial results, our business strategy and financial outlook, achievements of the company, and other non-historical statements as described in our press release. These forward-looking statements are subject to both known and unknown risks, uncertainties, and assumptions, including those related to Alta's growth, market opportunities, and general economic and business conditions. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our business, financial condition, and results of operations. Although we believe these expectations are reasonable, we undertake no obligation to revise any statement to reflect changes that occur after this call. Descriptions of fees and other risks that could cause actual results to differ materially from these forward-looking statements are discussed in our reports filed with the SEC, including our press release that was issued today. During this call, we may present both GAAP and non-GAAP financial measures. A reconciliation of gap to non-gap measures is indicated in today's press release and can be found on our website at investors.altoequipment.com. Before Ryan makes his opening comments, I want to remind everyone that our annual shareholders meeting is scheduled for Wednesday, June 9, at 9.30 a.m. Eastern Daylight Time and will be held in a virtual-only meeting format. With that, I will now turn the call over to Ryan.

Thank you, Sanam. Welcome, everyone, and thank you for joining the call today. The strong momentum we established in the second half of last year continued in the first quarter as the post-pandemic recovery takes hold and our market shows notable improvement. We are pleased to report that the year is off to a good start as labor productivity and rental utilization, our two most impactful operating metrics, now exceed 2019 pre-COVID levels. This is quite an accomplishment and a true testament to the dedication, hard work, and determination of all the team members. I'm proud to lead such an outstanding company, and I am genuinely thankful for their incredible contributions. Our strong first quarter financial performance in an industry that typically has a slow start is particularly encouraging and demonstrates the powerful platform we've built. As the operating environment continues to improve, we're confident we'll deliver increased results as the year unfolds. I'll begin by reviewing some key highlights from the quarter and then turn it over to Tony for a detailed financial review of our first quarter results and our outlook for the full year. In looking at our financial highlights, total revenue grew 49% to $268.8 million with 5.2% organic growth. For the second consecutive quarter, our new equipment and rental equipment sales came in above our internal plan. For those who followed the Alta story over the past year, you know that our business model is not focused on short-term or quarterly new equipment sales. We view this strong sales quarter as a positive indicator of future parts and service revenue, which provides a higher margin and is an important driver of profitability. We also had an exceptionally good quarter in our construction business due to strong contributions from prior acquisitions, particularly our Florida business, as well as 20% plus organic growth. Adjusted EBITDA grew 38% to $22.9 million compared to $16.6 million in last year's first quarter, showing the diversity in our business and the breadth of our recovery since the start of the pandemic. I'd like to quickly touch on our recent debt offering and capital restructure. On April 1st, we closed on an oversubscribed public debt offering that reduced our interest expense, increased liquidity, and significantly improved our capital structure. While Tony will provide greater detail in his remarks, the key takeaway is that we lowered our cost of capital and now have fresh firepower to use as we pursue the acquisition opportunities that remain in our market. In looking at our operating performance, we are beginning to see the early benefits of our strategy to diversify our geographic footprint and expand our product lines. Our increased product portfolio has enabled us to meet customer demand despite supply chain disruptions. Last year, we took advantage of market conditions and executed seven acquisitions, which are now in various stages of integration into Alta's systems and infrastructure. Some regional markets are further along in the recovery than others, but the expanded presence in our established Midwest markets, along with our entry into the Florida and Northeast markets, position us well for strong growth as regional industry conditions continue to improve. Two great examples are the opportunities we see in Florida, a healthy construction market that operates during all four seasons, and the New York State region where we have complimentary construction and material handling presence with Lift Tech and Vantage. Starting with Flagler in Florida, this business and region was a bright spot once again as construction activity was strong. Since our acquisition of Flagler early last year, we have seen steady growth and we've filled a regional gap in service demand and significantly grown our technician headcount. Late last year, we acquired the construction assets of Vantage Equipment, which operates three branches in the northeast region of New York State. In addition to becoming the authorized distributor of Volvo products, this acquisition allowed us to diversify our customer base while providing a great opportunity to increase our regional presence and grow the aftermarket parts and service revenue streams. The construction market in New York is approximately the same size as our market in Michigan and is significantly underserved with roughly half the number of skilled technicians. This presents an attractive growth opportunity in the region and, in many respects, is similar to the playbook we used in Florida, where we have grown headcount significantly since acquiring Flagler last year. Early in the first quarter, we took a major step in building our solutions capability in the material handling business by making a small but strategic acquisition. Scott Tech provides warehouse management software to the logistics end market and serves as a great complement to PeakLogix, our national material handling systems integrator. We can now go to market with a full suite of products that provides a competitive advantage in the fast-growing warehouse and e-commerce market where we expect continued growth opportunities. As we look ahead to the full year, we see macro-related tailwinds that can provide a positive framework for accelerating future growth. We anticipate improved business conditions to continue as the country reopens with pent-up demand for capital projects and a renewed focus on replacing aging infrastructure. We are well positioned to take advantage of these positive developments as our strong relationships with a growing number of leading OEMs and our proven capabilities in both construction and material handling make Alta the perfect partner to meet growing demand. Our focus remains centered on executing our strategy of expanding our presence in existing markets while seeking the right opportunity to add quality equipment products to the Alta family. In summary, our first quarter results put us on pace to meet our expectations for the full year 2021, We are experiencing a V-shaped recovery and believe that our investments in expanding our geographic footprint and product lines position us well to benefit in an improving operating environment. I would like to thank our manufacturing partners for their support, our dedicated employees for their hard work, and our shareholders for their continued confidence in the company. And with that, I'll turn the call over to Tony for the financial review.