Reliance Steel & Aluminum Co

Greetings and welcome to the Reliance Inc. Third Quarter 2026 Earnings Call. At this time, all participants are in listen-only mode. A question and answer session will follow the formal presentation. You may be placed into question queue at any time by pressing star 1 on your telephone keypad. We ask that you please ask one question and one follow-up, then return to the queue. As a reminder, this conference is being recorded. If anyone should require operator assistance, Please press star zero on your telephone keypad. It's now my pleasure to turn the call over to Kim Orlando with Addo Investor Relations. Kim, please go ahead.

Thank you, operator. Good morning and thanks to all of you for joining our conference call to discuss Reliance's third quarter 2026 financial results. I am joined by Karla Lewis, President and Chief Executive Officer, Steve Cook, Executive Vice President and Chief Operating Officer, and Arthur Ajemyan, Senior Vice President and Chief Financial Officer. A recording of this call will be posted in the investor section of our website at investor.reliance.com. Please read the forward-looking statements disclosure included in our earnings release issued yesterday and note that it applies to all statements made during this teleconference. Reconciliations of the non-GAAP measures are included in the non-GAAP reconciliation section of our earnings release. I will now turn the call over to Karla Lewis, President and CEO of Reliance.

Good morning everyone and thank you for joining us to discuss our third quarter 2026 results. Reliance delivered an exceptional quarter with record quarterly net sales, our second highest gross profit dollars, and our third highest quarterly earnings per share. Reliance capitalized on a favorable market environment characterized by continued healthy demand and tight supply leading to increased pricing levels for most carbon steel products. Our long-term strategy of supporting both our valued customers and our key domestic mill partners positioned us particularly well to benefit from these dynamics. Our scale, product diversification, expansive value-added processing capabilities, An ability to source the inventory our customers need, led by the strong execution of our teams in the field, drove our exceptional results. The U.S. Department of Homeland Security border wall contract we were awarded earlier this year continued to ramp and delivered another meaningful contribution to our third quarter earnings. Our smart, profitable growth strategy once again produced record quarterly tons sold contributing to non-GAAP diluted earnings per share of $8.02 up 120% year over year. Our strong balance sheet and ample liquidity continue to provide us the means and flexibility to concurrently invest in our businesses, pursue strategic growth investments, and return capital to our stockholders. Our full year 2026 capital expenditure outlook remains approximately $300 million, with about half allocated to strategic growth investments that enhance our processing capabilities, strengthen customer service, expand our footprint, and increase volumes in attractive markets. We continue to evaluate acquisition opportunities and stand ready to execute the right opportunities quickly. During the quarter, We funded $79 million of capital expenditures, paid $64 million in dividends, and repurchased $45 million of our common stock at an average price of approximately $395 per share. On October 20, our Board of Directors increased our share repurchase authorization to $2.5 billion without a set expiration date further supporting our disciplined approach to returning capital to our stockholders. Since 2021, we have repurchased $3.4 billion of Reliance common stock at an average price of approximately $236 per share, reducing our outstanding common shares by 23% in that period. Looking ahead, we believe Reliance is very well positioned as customer optimism remains high and strengthens across infrastructure, semiconductor, general manufacturing and aerospace. Together, our proven business model, outstanding team and current market dynamics give us confidence in our ability to gain market share and invest through cycles to continue driving profitable growth and strong stockholder returns through the remainder of the year and into 2027. I'll now turn the call over to our COO, Steve Koch.