Graco Inc.

Good morning and welcome to the third quarter conference call for Graco Inc. If you wish to access the replay for this call, you may do so by visiting the company website at www.graco.com. Graco has additional information available in a PowerPoint slide presentation, which is available as part of the webcast player. At the request of the company, we will open the conference up for questions and answers after opening remarks from management. I will now hand the conference over to John Bauer, Director of Investor Relations. John, please go ahead.

Good morning. I'm here with Mark Sheahan, our President and Chief Executive Officer, Sanjiv Gupta, Chief Financial Officer and Treasurer, and Chris Knutson, Vice President, Chief Accounting Officer and Controller. We welcome you to our conference call to report Graco's fiscal 2026 third quarter results. Before we begin, I'd like to remind everyone that certain statements made during this call may be forward-looking and are subject to risks and uncertainties. Please refer to the Safe Harbor Statement included in our earnings release and earnings presentation as well as our SEC filings for additional information regarding these risks and uncertainties. I will now turn the conference over to Mark Sheahan.

Thank you, John, and good morning, everyone. Before turning to our quarterly results, I wanted to just highlight the technology agreement we announced yesterday with our ETM business and ABB. Under this agreement, ABB will license ETM's patented transverse flux motor technology for use in data center cooling towers, heat rejection systems, and related thermal management applications. The agreement builds on our existing collaboration with ABB in industrial applications and it creates an opportunity to participate in one of the fastest growing infrastructure markets in the world. As demand for AI, cloud computing, and high density data centers continues to grow, cooling performance is becoming increasingly important to energy efficiency, reliability, and operating costs. We believe ETM's direct drive motor technology is well positioned to address those needs by reducing mechanical complexity and improving the overall system performance. Just as importantly, ABB's decision to expand its relationship with ETM and Graco is a strong validation of the technology, the team, and the commercial opportunity ahead. By combining ABB's global scale, customer relationships, and manufacturing capabilities with ETM's differentiated technology, we have a unique opportunity to create value in a large and growing market while further demonstrating the long-term potential of the ETM platform. Current development timeline, the companies are targeting the first data center installations by the end of 2029. Now turning to the quarterly results. We delivered another strong quarter with record sales of $586 million, an increase of 8% compared to last year, including organic growth of 4%. The growth was broad-based with all three segments and all reportable regions contributing. Importantly, the growth was supported by improving order activity Organic incoming orders increased 7% in the quarter and they were out 4% year to date. Backlog as of October 16th, excluding acquisitions increased $51 million or 18% from the beginning of the year. That provides us with improved visibility as we enter into the fourth quarter. During the quarter, we completed the acquisition of Elko Meltan, which expands our precision adhesive dispensing and quality assurance capabilities. We're excited about the meaningful revenue and operating synergies available across the combined businesses. Our integration priorities are to enable cross-selling through our complimentary customer relationships and channels, to leverage procurement and manufacturing capabilities, and to preserve customer service and business momentum. We're targeting expansion of Elko Meltan's EBITDA margin from the high teens to the mid-20 range within three years of closing. Turning to the segments. Our contractor segment delivered sales growth of 5% including acquisitions and organic growth of 2% with growth across all of the regions. Results were led by professional paint in the Americas where customer adoption of new products like QuickShot 2 and Pearl Reach contributed to healthy sell-through in key channels. The results reflected strong commercial execution and growing demand for our products. Infrastructure spending and commercial construction activity are also contributing to the segment's momentum. Across the segment, bookings increased 7% in the quarter and 2% year-to-date, supporting demand entering the fourth quarter. The industrial segment delivered 11% sales growth in the third quarter, reflecting contributions from the core business and acquisitions. Growth was led by project activity and powder finishing systems, while customer spending on maintenance and repair remained strong. We also saw increased adoption of electric technologies including the quantum pump in process manufacturing applications and continued growth in automatic lubrication. Overall demand remains steady with year-to-date bookings up 1%. At the same time, customers continue to take a measured approach to certain larger capital projects resulting in longer decision cycles in some applications. Expansion market segment, sales increased 8% during the quarter, Semiconductor delivered the strongest quarterly revenue in several years as customers invested in advanced manufacturing capacity and more complex production processes. These requirements are expanding the range of applications served by our high purity and precision technologies. Environmental also delivered double digit growth during the quarter. Bookings in this segment increased 62% in the third quarter, and they're up 44% year to date. Turning to the outlook. We expect fourth quarter revenue of $610 to $640 million based on current order trends and backlog. Order activity supports our outlook, although demand conditions vary across our markets and larger project schedules can shift revenue between periods. Our priorities are to convert orders into shipments, advance new product adoption, manage cost pressures, and capture acquisition synergies while maintaining customer service. With that, I'll turn the call over to Sanjiv to provide more detail on our financial results for the quarter.