Tecnoglass Inc. Ordinary Shares

And welcome to TechnoGlass Inc. second quarter 2023 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. Please go ahead, sir.

Thank you for joining us for Technoglass' second quarter 2023 conference call. A copy of the slide presentation to accompany this call may be obtained on the investor 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 acquisition. These statements are based on TechnoGlass' current expectations or beliefs and are subject to uncertainty and changes in circumstances. Actual results may vary in a material nature 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' 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. We ended the first half of the year on solid footing, delivering strong results during the second quarter. We achieved record revenues and backlog despite the complex operating environment. Our total revenues in the second quarter increased 33% year-over-year to $225.3 million. This marked our 10th straight quarter of double-digit organic revenue growth, fueled by a strong performance in our key end market. These achievements reflect the resilience of our vertically integrated business model and also the result of the focused execution of our dedicated team members, our ability to gain share, and the adoption of our innovative products. I could not be prouder of the hard work and dedication of our colleagues across all levels of our business. Multifamily and commercial demand for our products and services again drove our top-line growth. This business increased by 48% year-over-year to a record of $138.3 million as we continue to execute on our growing backlog. Our success at delivering high-profile projects helps to drive the momentum we're seeing in large project demand. This is demonstrated by our backlog growing to a record 797 million at quarter end. Our sales to the single family residential L market grew 15% to a record 86.9 million. We are winning through a combination of dealership growth and geographic expansion into attractive markets. We are also benefiting from secular tailwinds, particularly in the southeast U.S., and new product offerings oriented towards homebuilders, where we still see a lot of room for additional growth. Building on our stellar sales performance, we were thrilled with the year-over-year expansion of our industry-leading margins and a strong adjusted EBITDA of $85 million. Our discipline cost control efforts combined with the structural and sustainable improvements we have made to our vertically integrated platform are generating solid returns. Our multi-year efficiency and automation efforts contributed to adjusted EBITDA margin expansion to 37.7% and year-over-year gross margin growth to 48.7%. We believe both of those margins are well ahead of the industry averages. Excluding the 2022 annual income tax payment, which occurred during the quarter, we again produced exceptional levels of operating and free cash flow. I am so proud of our team for going above and beyond to expand our operational capacity and improve efficiencies. We are very pleased with the outcome of these investments, realizing even more capacity than we had previously planned. We are effectively increasing our installed production base by over 40% to roughly 1 million of annual sales. This better enables us to meet the ever-growing demand for our high-performance products. Improvements to our vertically integrated platform such as these have contributed to our ability to deliver high-quality service and products to our customers with even shorter lead times. We continue to be highly reliable as a result of a vertically integrated platform and advantages labor dynamics. Based on these structural advantages, we feel confident on our strategy to serve a broader market while delivering industry-leading margins and returns. We are as encouraged as ever in our ability to gain market share given our structural advantages, efficient operational structure, and the significant investments we have made in our business. As such, we are increasing our full-year revenue and adjusted EBITDA growth outlook to reflect our expectations for Tecnoglass to meet solid demand trends for the rest of 2023. I will now turn the call over to Chris to provide additional operating highlights.