Gildan Activewear Inc.

Ladies and gentlemen, thank you for standing by and welcome to Gildan ActiveWare's 2025 Second Quarter Earnings Conference Call. Please be advised that today's conference is being recorded. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star on your touchtone phone, and to withdraw your question, please press star one again. I would now like to hand the conference over to Jessie Hayham, Senior Vice President, Head of Investor Relations and Global Communications. Ma'am, please go ahead.

Thank you, Janine. Good morning, everyone, and thank you for joining us. Earlier today, we issued a press release announcing our results for the second quarter while updating our full year guidance for 2025. We also issued our interim shareholder report containing management's discussion and analysis and consolidated financial statements. These documents are expected to be filed with the Canadian Securities and Regulatory Authorities and the U.S. Securities Commission today, and they'll also be available on our corporate website. Joining me today on the call are Glenn Chemendy, President and CEO of Gildan, Luca Barile, Executive Vice President, Chief Financial Officer, and Chuck Ward, Executive Vice President, Chief Operating Officer. This morning, as usual, we'll take you through the results for the quarter, and then a question and answer session will follow. Before we begin, please take note that certain statements included in this conference call may constitute forward-looking statements which involve unknown and known risks, uncertainties, and other factors which could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. We refer you to the company's filings with the U.S. Securities and Exchange Commission and Canadian securities regulatory authorities. During the call, we will also discuss certain non-GAAP financial measures reconciliations to the most directly comparable IFRS measures are provided in today's earnings release, as well as our MD&A. And now, I'll turn it over to Glenn.

Thank you, Jessie, and good morning, everyone. Our GILDAN Sustainable Growth Strategy is on track. We're executing the plan that we have laid out, especially in this fluid environment. Our priority is to control the controllables with discipline and agility. We reported record second quarter sales of $919 million, which were up 6.5% versus last year, driven by strong activeware sales growth of 12%. We also reported record adjusted diluted EPS of $0.97 a share, which increased at an increase of 31% year over year, reflecting our focus on profitable growth, and we are very pleased to deliver this strong performance. We continue to demonstrate consistent execution of our Gildan sustainable growth strategy from our Bangladesh facility being ramped up to the continued pipeline of new innovation and finally ESG with the publication of our 21st ESG report in May. We continue to gain market share in key growth categories. Our sales and distributor channel were further supported by strong demand of our existing brands, like Gildan Soft Cotton Technology, Comfort Colors, American Apparel, and from the contribution of new brand offerings under the All Pro brand and Champion. Furthermore, we see solid momentum in our national accounts. Remember, about three quarters of our expected sales growth in 2025 is expected to come from new programs. We're set to continue to launch additional industry-leading innovation and we'll continue to focus on operating our global, vertically integrated, low-cost manufacturing facilities, which will allow us to be flexible, agile in this operating environment with the current tariffs in place. Remember that we have significant U.S. cotton and yarn content in our products. And this allows for significant tariff savings since tariffs do not apply to the value of U.S. content on imported products, a clear competitive advantage for us. And to mitigate the impact we do have from tariffs, we have implemented pricing action. So with that in mind, we are reaffirming our previous provided 2025 full-year guidance, and we are narrowing our adjusted diluted EPS range. all of which are supported by many drivers that should allow us to deliver on our objectives for the full year. So in conclusion, despite the prevailing uncertainty, I am confident in our ability to continue delivering as we remain on track to deliver on our three-year objectives for the 2025 to 2027 period. Thanks to our solid foundation, our focus on GSG strategy, our strong industry positioning, and our experience in operating in dynamic environments, all with the focus of executing to deliver long-term shareholder value. I'm looking forward to answering your questions after our formal remarks, and now I will turn it over to Luca for the financial review.