SPX Technologies, Inc.

And welcome to the second quarter 2021 SBX Corporation Earnings Conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you'll need to press star 1 on your telephone. As a reminder, today's program may be recorded. And now I'd like to introduce your host for today's program, Mr. Paul Clegg, VP of Investor Relations and Communications.

Please go ahead. Thank you, Operator, and good afternoon, everyone. Thanks for joining us. With me on the call today are Gene Lowe, our President and Chief Executive Officer, and Jamie Harris, our Chief Financial Officer. A press release containing our second quarter results was issued today after market close. You can find the release in our earnings slide presentation, as well as a link to a live webcast of this call in the investor relations section of our website at spx.com. I encourage you to review our disclosure and discussion of GAAP results in the press release and to follow along with the slide presentation during our prepared remarks. A replay of the webcast will be available on our website until August 12th. As a reminder, portions of our presentation and comments are forward-looking and subject to safe harbor provisions. Please also note the risk factors in our most recent SEC filings, including our disclosures related to the ongoing COVID-19 pandemic. Our comments today will largely focus on adjusted financial results. You can find detailed reconciliations of historical adjusted figures to their respective gap measures in the appendix to today's presentation. Our segment reporting structure includes the results of our South African operations in an other category, which is excluded from our adjusted results. This quarter, we have begun reporting our Transformers business and discontinued operations as a result of our announcement of an agreement to sell this business to GE Prolec. We have also recast our reportable segments eliminating the engineered solution segment and adding the results of the process cooling business to our HVAC segment. These changes have been made for all periods reported unless otherwise indicated. In the appendix of today's presentation, we have also provided a table showing quarterly historical segment results on the same basis going back to 2019. Our adjusted earnings per share also exclude non-service pension items, amortization expense and investment gain certain favorable discrete tax items, and acquisition-related costs. Finally, we will be conducting virtual meetings with investors over the coming months, including at the Sedoti Fall Conference in September. And with that, I'll turn the call over to Gene.

Thanks, Paul. Good afternoon, everyone, and thank you for joining us. On the call today, we'll provide you with a brief update on our consolidated and segment results for the second quarter. We'll also provide an update to our full-year guidance. I'll start with some of the highlights from the quarter. Our second quarter results were solid. Our HVAC and detection and measurement segments both generated strong revenue growth, and we grew adjusted EPS by approximately 44 percent over the prior year quarter. In June, we announced an agreement to sell our Transformers business and outlined a strategy for driving faster revenue and margin growth to achieve our vision of SPX 2025 to a combination of organic and inorganic initiatives. Earlier this week, we continued to execute on this strategy, announcing another acquisition in our detection and measurement segment that we believe is an excellent addition to our ComTech platform. We also continue to build momentum on internal initiatives, such as continuous improvement and digital. Lastly, we are updating our 2021 guidance for the overall strength we are seeing in our businesses and for the recent acquisition. Turning to our high-level results for Q2, we grew adjusted revenue approximately 15 percent with significant contributions from both organic and inorganic drivers. Adjusted segment income grew approximately 16 percent, driven primarily by the strength of our HVAC segment. Year to date, we grew adjusted EPS 43%, positioning us well for the full year. Overall, I am pleased with our performance. With significant capital available, an attractive M&A pipeline, and several ongoing organic growth and continuous improvement initiatives, I am very excited about the substantial opportunities ahead for SPX. As always, I'd like to touch on our value creation framework. Over the last few months, we have made progress on several key initiatives. We continue to execute on our continuous improvement and digital initiatives and extended our actions in ESG, including enhancing our diversity and inclusion and employee development and training initiatives. We also remain highly focused on ensuring that our safety culture remains a top priority. With respect to ESG, We're about to release our fourth annual sustainability report, which includes key metrics on our water usage, energy usage, and greenhouse gas emissions, as well as several new disclosures to help assess our progress. We're also updating portions of our website to make our ESG information and data more easily accessible. We're adding several new disclosures about diversity and inclusion, employee development, and the role that SPX plays in improving the health and safety of our society. We believe SPX is well positioned to thrive in a world where long-term targets and carbon emissions are realized. Many of our businesses, products, and initiatives offer a significant benefit to society, support a sustainable future, and align closely with the themes of decarbonization and electrification. We offer a wide array of highly efficient and innovative products for the maintenance of critical infrastructure. Our cooling towers help reduce energy usage in buildings. Our heating business offers highly efficient hydronic equipment, as well as an array of electrical heating applications. And our inspection equipment helps remediate leakage of underground water and wastewater pipes with minimal environmental disruption. We also manage our business in accordance with our core values and set a high standards for social responsibility. Whether developing our employees through training and mentorship programs, supporting community, educational or charity events, or embracing diverse backgrounds and points of view, we are committed to enabling a safer, healthier, more inclusive and sustainable society. We have also continued to execute against our strategic growth initiatives by strengthening our ComTech platform with the recent acquisition of ECS. This is our ninth acquisition in the last three years, bringing total acquired revenue to approximately $275 million. This is the first acquisition specific to our ComTech platform within our detection and measurement segment. This acquisition strengthens SPX's position and comment by adding highly complementary products. ECS is a leader in the design and manufacture of highly engineered tactical data links and radio frequency, or RF, jammers. When combined with our TCI business, which focuses on spectrum monitoring, we believe this platform positions us well to deliver broader end-to-end customer solutions. The company is headquartered in the UK and is expected to generate approximately $14 million in annualized revenue with margins accretive to the detection and measurement segment average. Just as we have successfully built our location and inspection and aids to navigation platforms, we see several strategic opportunities ahead to continue expanding our attractive ComTech platform. And now I'll turn the call over to Jamie to discuss our financial results in more detail.