Innovex International, Inc.

Good morning and welcome to InnoVEX's second quarter 2026 earnings call. At this time, all participants are in listen-only mode and there will be a question and answer opportunity at the end of this call. As a reminder, this call is being recorded. I will now turn the call over to Eric Wells, Chief of Staff. Eric, please go ahead.

Good morning everyone and thank you for joining us. An updated investor presentation has been posted under the Investors tab on the company's website, along with the earnings press release. This call is being recorded and a replay will be made available on the company's website following the call. Before we begin, I would like to remind you that InnoVEX's comments may include forward-looking statements and discuss non-GAAP financial measures. It should be noted that a variety of factors could cause InnoVEX's actual results to differ materially from the anticipated results or expectations expressed in these forward-looking statements. Please refer to the second quarter financial and operational results announcement that we released yesterday for a discussion of forward-looking statements and reconciliations of non-GAAP measures. Speaking on the call today from InnoVEX, we have Adam Anderson, Chief Executive Officer, and Kendal Reed, Chief Financial Officer. I will now turn the call over to Adam Anderson.

Good morning, and thank you for joining us today. I want to begin by thanking our employees across the organization for another quarter of strong execution. Our teams continue to focus on delivering a delightful customer experience, advancing customer-centric innovation, and leveraging the InnoVEX platform to grow our business organically. That spirit of collaboration is at the heart of our No Barriers culture and continues to shape how we operate every day. On today's call, I'll begin with our second quarter performance and then discuss the recent acquisition of TCO Group and the opportunities we see for its technologies within the InnoVEX platform. I'll also highlight several important operational and commercial developments across our sub-sea and international businesses before turning the call over to Kendal for a more detailed review of our financial results, capital allocation priorities, and outlook for the third quarter. Starting with performance, we delivered an excellent second quarter. Revenue totaled $245 million and adjusted EBITDA totaled $48 million, both at the high end of our guidance ranges and representing an adjusted EBITDA margin of 20%. These results were supported by improving activity levels across several international markets and growing commercial momentum within our subsea business. On July 1st, we completed the acquisition of TCO Group and are excited to welcome the TCO team to Innovex. TCO has pioneered laminated glass plugs that create reliable gas-tight downhole barriers. These plugs can subsequently be opened without intervention, reducing cost, time, and risk for customers. This novel technology is applicable across both onshore and offshore wells, including completion, well suspension, and casing or liner deployment. As a reminder, we apply stringent qualitative and quantitative criteria when evaluating acquisitions. TCO fits these criteria exceptionally well. It's differentiated, largely consumable technologies fit with our big impact, small ticket business proposition. Like our core business, TCO's products require limited sustaining capital. Additionally, TCO strengthens our presence in Norway and the UAE, two markets where we see meaningful long-term opportunity. TCO is a growth business. We believe InnoVEX's diversified portfolio, global reach, and established customer relationships can accelerate TCO technologies across new customers, applications, and geographies, driving value for our shareholders. Importantly, we see potential for future innovation leveraging our suite of technologies. However, this potential upside is not reflected in the purchase price. The financial characteristics of the transaction are compelling, something Kendal will discuss in more detail later in the call. We're also encouraged by the progress of drilling innovative solutions following its acquisition last quarter. The business continues to mature within the InnoVEX platform, and we are already seeing evidence of its growth potential. One recent example, a major North Sea operator, one that DIS would not have been able to access on its own, identified its technology as a critical solution for a specific field development. This is how our acquisition playbook is designed to work, by adding differentiated technologies and leveraging the InnoVEX platform to accelerate their growth. Turning back to the quarter, we saw meaningful progress in our subsea businesses. We secured an additional $20 million subsea tension riser package for an operator in Malaysia with follow-on wellhead orders anticipated. We also successfully completed the first XPAC trial with a major international operator in Asia Pacific following a multi-year qualification effort. XPAC is a high-performance expandable liner hanger system which helps improve well geometry and simplify architecture in technically demanding applications. Together with several important awards secured over the past few months, these developments reinforce the growing momentum we're seeing across our subsea business. While improving offshore markets have certainly provided a welcome tailwind, we believe our no-barriers commercial mindset, optimized manufacturing footprint, and strategic alliance with One Subsea have strengthened our ability to compete effectively and profitably for complex offshore work. Innovation continues to drive organic growth. During the quarter, we completed the first installation of our Argo Latch subsea release plug in Brazil. The system enabled the customer to complete cementing in a single step, eliminating the need for a sub-mudline system and second cement job, saving time and cost. The Argo Latch was deployed in the same operation as our 18-inch by 22-inch XPAC system, combining capabilities from both Legacy InnoVex and Legacy DrillQuip. This successful deployment demonstrates how collaboration across the combined organization can create integrated solutions that simplify well construction and improve execution for customers. Outside of Subsea, we're seeing additional avenues for growth across several growing international markets by deploying our technologies and capabilities with both new and existing customers. Activity in Mexico increased substantially during the quarter, with completion activity through the second quarter already exceeding the total number of jobs performed during all of 2025. Across Latin America, we continue to build stronger customer relationships and see additional opportunities developing. For example, we're seeing increased customer engagement and quotation activity in Venezuela. While we have not yet recognized meaningful revenue in Venezuela, we believe that Avex is well positioned to participate as customer activity develops. Importantly, our capital life business model does not require significant fixed assets in the country. Our Canadian wellhead team also completed its first surface wellhead delivery to Mexico while continuing to support commercial developments in other international markets. Mexico represents a large and growing market for surface wellhead technology, making this first delivery an important commercial milestone for our wellhead strategy. These developments demonstrate how we can use product expertise developed in one region to create opportunities across the broader InnoVEX platform. Our Middle East performance also improved during the quarter. In Saudi Arabia, we gained market share in expandable liner hanger technologies and continue to grow our presence in unconventional applications. We also secured our first direct contract through our InnoVEX Saudi entity, further strengthening our customer relationships and positioning us well for future opportunities in the region. Stepping back, I believe the second quarter demonstrates that InnoVEX is entering a new phase. The integration, manufacturing optimization, and cultural transformation of the past two years are increasingly translating into commercial wins, differentiated technologies, and expanding market position across our global platform. Our priorities remain unchanged. We will continue to invest in differentiated technologies, improve customer experience, and allocate capital with discipline. We believe that approach positions Inovex to deliver sustainable, profitable growth and long-term value for our shareholders. I'll now turn the call over to Kendal to review our financial results and outlook in more detail.