Cactus, Inc.

Ladies and gentlemen, thank you for standing by, and welcome to the CAPTUS Quarter 3 2021 Earnings 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 will need to press star 1 on your telephone. Please be advised that today's conference is being recorded. If you require any further assistance, please press star 0. I would now like to turn the call over to our speaker today, Mr. John Fitzgerald, Director of Corporate Development and IR. You may begin.

Thank you and good morning, everyone. We appreciate your participation in today's call. The speakers on today's call will be Scott Bender, our Chief Executive Officer, and Steve Tadlock, our Chief Financial Officer. Also joining us today, are Joel Bender, our Senior Vice President and Chief Operating Officer, Stephen Bender, Vice President of Operations, and David Isaac, our General Counsel and Vice President of Administration. Yesterday, we issued our earnings release, which is now available on our website. Please note that any comments we make on today's call regarding projections or expectations for future events are forward-looking statements covered by the Private Securities Litigation Reform Act. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond our control. These risks and uncertainties can cause actual results to differ materially from our current expectations. We advise listeners to review our earnings release and the risk factors discussed in our filings with the SEC. Any forward-looking statements we make today are only as of today's date, and we undertake no obligation to publicly update or review any forward-looking statements. In addition, during today's call, we will reference certain non-GAAP financial measures. Reconciliation of these non-GAAP measures to the most directly comparable GAAP measures are included in our earnings release. And with that, I will turn the call over to Scott.

Thanks, John, and good morning to everyone. During the third quarter, drilling activity continued to move higher against the backdrop of strengthening commodity prices. I was particularly proud of our incremental margin performance in both product and rental business lines. Cactus remains extremely well positioned to participate in what we believe will be a multi-year upcycle for the industry, and the third quarter provided evidence of that. We are preparing now with people and inventory for what is increasingly looking like a very busy 2022. In summary, third quarter revenues increased 6% sequentially with growth in each of our revenue categories. Adjusted EBITDA was up 11% sequentially. Adjusted EBITDA margins were 28% up 120 basis points sequentially. We paid a quarterly dividend of $0.10 per share and ended the quarter with $302 million in cash and no debt. And I'll turn the call over to Steve Tadlock, our CFO, who will review our financial results. And following his remarks, I'll provide some thoughts on our outlook for the near term before opening the lines up for Q&A. So, Steve. Thanks, Scott.