Tecnoglass Inc. Ordinary Shares

Greetings, and welcome to the Technical Ass 3rd Quarter 2021 Earnings Conference Call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Brad Cray, Investor Relations. Thank you, sir. You may begin.

Thank you for joining us for TechnoGlass' third quarter 2021 conference call. A copy of the slide presentation to accompany this call may be obtained on the Investors section of the TechnoGlass website. Our speakers for today's call are Chief Executive Officer Jose Manuel Diaz, Chief Operating Officer Chris Diaz, and Chief Financial Officer Santiago Giraldo. I'd like to remind everyone that matters discussed in this call, except for historical information, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding future financial performance, future growth, and future acquisitions. These statements are based on Technolast's current expectations or beliefs and are subject to uncertainty and changes in circumstances. Actual results may differ in a material way from those expressed or implied by the statements herein due to changes in economic, business, competitive, and or regulatory factors and other risks and uncertainties affecting the operation of Technoglass' business. These risks, uncertainties, and contingencies are indicated from time to time in Technoglass' filings with the SEC. The information discussed during the call is presented in light of such risks. Further, investors should keep in mind that Technoglass's financial results in any particular period may not be indicative of future results. Technoglass is under no obligation to and expressly disclaims any obligation to update or alter its forward-looking statements, whether as a result of new information, future events, changes in assumptions, or otherwise. I will now turn the call over to Jose Manuel, beginning on slide number four.

Thank you, Brad, and thank you, everyone, for participating on today's call. I could not be more proud of our exceptional third quarter performance, making our fourth consecutive quarter of year-over-year revenue growth and another period of record results across many of our key metrics. We achieved just another quarter of record revenue, with 29% growth in the US, which represented nearly 95% of our total revenues. This outside growth was led by our single family residential sales that were up 213% during the quarter. Sales to this end market continues to surpass our expectations and largely reflect a strong demand from our best-in-class products across our deepening presence in the Southeast U.S. region. We also strengthen our commercial foothold in attractive markets throughout the country with a growing backlog of commercial projects to invoice through 2022. Building in our impressive sales performance, we were able to grow adjusted EBITDA by 36% to a new record of $39 million for the third quarter. Adjusted EBITDA margin also came in at record levels and improved by 220 basis points year over year to 29.7%. This performance was due to the strongest sales I mentioned previously along with disciplined cost controls and the benefits of previously implemented high-return investments, producing a gross margin of 39.6%, which is also a record for the third quarter. Furthermore, continued momentum in our single-family residential business, which has a short cash cycle, combined with careful working capital management collectively, helped to generate our seventh straight quarter of robust cash flow and a quarterly record of nearly $33 billion. This allowed us to pay down debt while investing further in automation capabilities and capacity enhancements to address the expected growth ahead. As a result of our vertically integrated platform, and strategic geographic positioning, we continue to enjoy a healthy competitive advantage that has mostly insulated technoglass not far from widespread supply chain disruptions and most input cost pressures affecting our industry. Our structural advantages produce additional share gains as new and existing customer value or shorter lead times, continuity of product availability, and best-in-class quality. Based on our success so far this year and the opportunities we see, we are pleased to increase our full-year revenue and adjusted EBITDA growth outlook, which Santiago will discuss later in the call. In conclusion, We expect to continue executing our highly profitable growth strategy and generating cash flow to deliver additional value for our shareholders. With the thanks of our balance sheet and financial flexibility, we are extremely confident in our ability to achieve our growth objectives while maintaining our industry-leading margins. We have a highly efficient vertically integrated, and low-cost operations with an extensive portfolio of innovative, top-of-the-line products that should allow us to continue winning in our markets. I will now turn the call over to Chris to provide additional details on our record backlog.