Zurn Elkay Water Solutions Corporation

and Dave Pauley, Vice President of Investor Relations for Zern LK Water Solutions. A replay of the conference call will be available as a webcast on the company's Investor Relations website. At this time, for opening remarks and introduction, I'll turn the call over to Dave Pauley.

Good morning, everyone. Thanks for joining us on the call today. Before we begin, I would like to remind everyone that this call contains certain forward-looking statements that are subject to the Safe Harbor language contained in the press release that we issued yesterday afternoon, as well as in our filings with the SEC. In addition, some comparisons will refer to non-GAAP measures. Our earnings release and SEC filings contain additional information about these non-GAAP measures, why we use them, and why we believe they are helpful to investors. and contain reconciliations to the corresponding GAAP information. Consistent with prior quarters, we will speak to certain non-GAAP metrics as we feel they provide a better understanding of our operating results. These measures are not a substitute for GAAP, and we encourage you to review the GAAP information in our earnings release and in our SEC filings. With that, I'll turn the call over to Todd Adams, Chairman and CEO of Zurn LK Water Solutions.

Thanks, Dave, and good morning, everyone, and thanks for taking the time to listen this morning and And hopefully everyone had a chance to go to the release last night. I'll start on page three to cut right to the chase. We had a solid start to 2024 with Q1 sales, earnings and cash flow all ahead of our expectations heading into the quarter. From our perspective, the end market view that we've had for 2024 for the last six months or so continues to look the same with steady strength and institutional, some pockets of weakness in commercial and residential, roughly flattish with share gains, initiative growth, and a little bit of price driving what we expect to be growth over the course of the coming year. Our margins and cash flow to continue to expand is the compounding benefits of the early integration we did to bring Zurn LK together, read through the results with more room to go as we delivered the yield on the synergies throughout the balance of 2024. The reality is we've totally integrated the businesses and truly operate as a single business So all the productivity, supply chain benefits, pricing are all rolling in across the overall business, as are the compounding benefits of all of our continuous improvement activities that happen day in, day out, as part of the deployment of the Zurn LK business system. As you'll hear a little later when Mark goes to the outlook, we have high confidence in the margin profile we've established and will continue to drive. And as a result, we're raising our outlook for the full year margin expansion from 150 basis points to 150 to 200 basis points, with Q2 margins in the range of 24.5% to 25%. Our strong margins, coupled with our flexible business model, drive consistently high free cash flow. And with the $50 million we generated in the first quarter, we used $19 million of that to repurchase about 600,000 of our shares, with a plan to continue to do that over the course of the year. Now I'll turn it over to Mark. Thanks, Todd.