AirBoss of America Corp.

Thank you for standing by. My name is King and I will be your conference operator today. At this time, I would like to welcome everyone to Q2 2016 Conference Call for Air Boss of America. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number 1 on your telephone keypad. If you would like to withdraw your question, simply press star 1 again. Thank you. I would now like to turn the call over to Gren Schoch, chairman and co-CEO. Please go ahead.

Thank you, operator. Good morning, everyone. Thank you for joining us for the Airbus second quarter results conference call. I'm Gren Schoch, and I'm the chairman and co-CEO of Airbus of America. With me here today are Chris Bitsakakis, President, Co-CEO, Frank Ientile, our CFO, Chris Figel, our EVP, and General Counsel. Before we begin, I'd like to remind listeners that our remarks today contain forward-looking statements, including our estimates of future developments. We invite listeners to review risk factors related to our business in our annual information form and our MD&A, both of which are available on CDAR, plus on our corporate website. Also, we'll discuss certain non-GAAP measures, including EBITDA. Reconciliations of these measures are available in our MD&A. And finally, please note that our reporting currency is U.S. dollars. References today will be in U.S. dollars unless we indicate otherwise. With that, I'll turn the call over to Chris for our operational review.

Thank you, Glenn, and good morning, everyone. Airboss continued to build momentum in the second quarter of 2026 with a three-year high point in quarterly revenue and a year-over-year quarterly gross profit improvement of over $2.5 million. Despite the ongoing economic uncertainty in key markets brought about by tariffs, inflationary pressures, and geopolitical developments, the company has stayed focused on continuously adapting to an ever-changing environment, a sustained focus on servicing the needs of existing customers and and the development of new markets and customers while creating flexible supply chains designed to withstand the pressures of changing market conditions have all contributed to the momentum of the past year. Air Boss Rubber Solutions has been adjusting to the changes in key US markets with the onboarding of new customers while being forced to defend market share in key market segments due to the competitive challenges related to the weak market conditions. Despite these challenges, Airbus rubber solutions continue to see improvements in both volume and revenue compared to prior quarters, with revenue showing a 12-month high and volume showing progressive momentum over three consecutive quarters. Airbus manufactured products saw positive traction across both its defense and rubber molded product businesses, with year-over-year quarterly revenue increases of 14% and year-over-year quarterly gross profit improvements of close to 20%. This revenue performance was bolstered by sales increases in the rubber molded parts business as well as the ongoing deliveries of defense products, including the final delivery of Bandelier on the most recently announced contract. Profitability across the enterprise has been further supported by aggressive efficiency improvements, which include the previously announced overhead improvements and plant consolidation plans. The dedicated focus on revenue growth and efficiency improvements are reflected in the underlying performance of the business. Thank you for joining us. Management continues to monitor any changes or updates in trade negotiations with the United States. While most products qualify under USMCA CUSMA, we continue to evaluate and implement contingency plans to mitigate potential impacts, particularly in advance of any future trade negotiations or agreement renegotiations. Despite this environment of continued economic uncertainty, management remains focused on converting key opportunities to support sustainable long-term growth. We currently expect continued volume and margin volatility at ARS for the foreseeable future and through most of 2026, with the timing and magnitude of further recovery subject to general market conditions, geopolitical developments, and the potential for additional tariffs, duties, or evolving trade restrictions. As we navigate short-term challenges and opportunities, the company's long-term priorities continue to center on the growth of the core rubber solution segment through both inorganic and organic means, as well as the focus targeting of new business in the manufactured products group from onshoring opportunities as well as the prolific growth expected in defense spending around the world. Airboss will continue to focus on both the short and long-term priorities while investing in key innovations related to all core areas of the business. I will now pass the call over to Frank for the financial review.