NFI Group Inc.

Ladies and gentlemen, thank you for standing by and welcome to NFI Second Quarter 2025 Financial Results 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 this session, you would need to press star 1-1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1-1 again. Alternatively, you may submit your questions by the webcast. Please be advised that today's conference is being recorded and I would now like to turn the conference over to Stephen King. Sir, please go ahead.

Thank you, Michelle. Good morning, everyone, and welcome to NFI Group's 2025 Second Quarter Conference Call. Joining me today are Paul Subri, President and Chief Executive Officer, and Brian Duesnip, Chief Financial Officer. On today's call, we will give an update on our quarterly results highlighting -over-year improvement across numerous financial metrics, the strong demand environment for our products and services, and another increase to our backlog. We'll also provide an update on the various non-recurring and unusual items that impacted the quarter and recap our outlook. This call is being recorded and a replay will be made available shortly. We will be referring to a presentation that can be found in the financials and filings section of our website. As we move through the slides via the webcast link, we will call out the slide number for those on the phone. On slide 2, we provide our cautionary or forward-looking statement and note that certain financial measures referenced today are not recognized earnings measures and do not have standardized meanings prescribed by International Financial Reporting Standards, or IFRS. We advise listeners to view our press releases and other public filings on CDAR for more details. In the appendix of this presentation, we have provided a list of key terms and definitions that will be used on today's call. A reminder that NFI statements are presented in U.S. dollars, our reporting currency, and all amounts referred to are in U.S. dollars unless otherwise noted. Slides 3 and 4 provide a brief overview of our company. NFI is a global, independent bus and motor coach mobility solutions provider. We offer a wide range of propulsion-agnostic buses and coaches on proven platforms and we hold leading market share positions in transit and coach markets. More detailed information is available on our website. Slide 5 provides some brief insights into NFI's products and geographic mix and other milestones. I will now pass the call over to Paul to provide an overview of NFI's results for the second quarter.

Thanks Stephen. Good morning everybody. Thank you for joining us today. Second quarter was another strong continuation of our recovery and we expected, or were very excited to continue to see this momentum as we move through the remainder of this year. It was a busy quarter across our business as we successfully completed the refinancing of our first and second lien debt. We announced the consultation process for our Scottish manufacturing operations. We worked with our customers on supplying and navigating the constant changing U.S. tariff dynamics. We lowered our inventory of incomplete buses and missing seats that were as a result of improved seat supply. So today's call will discuss these events and highlight a number of non-recurring impacts we experienced in the quarter. Brian will give you quite a bit of detail. So I'm on slide 7 now and it's a summary of our Q2 results. Starting with demand, in the first quarter we recorded new orders of 822 EUs with 95% of them being firm orders. This highlights the continued strength in the demand driven by a supportive government funding both in Canada and the United States. Our total backlog comprised of firm orders and options now totalled 16,198 equivalent units worth $13.5 billion U.S. dollars. Our Q2 LTM -to-bill ratio was .9% and our option backlog conversion rate remained steady at .9% on an LTM basis. The strength in our demand metrics is primarily driven by North American public transit and public motor coach operators. Our Q2-25 results also demonstrate a positive trajectory with a 19% euro-euro increase in early adjusted EBITDA, a 7.6 million improvement in adjusted net earnings, and a .9% increase in return on invested capital. On the bottom of the slide you can see our total liquidity is now at 326.7 million with a significant increase driven by our recent refinancing, which Brian will recap again later on this call. One other significant item during the quarter was our announcement that Alexander Dennis had launched the required government formal consultation process with the government partners, the union partners, and our other stakeholders focused on consolidating production facilities in the UK to lower our overall manufacturing costs of Alexander Dennis. The driver for this activity is the rising number of UK and Scottish bus procurements being awarded to -UK-based bus OEMs and primarily from China. These importers have a significant cost advantage relative to domestic UK manufacturers as there is no requirement to support the local economy nor create or retain local jobs. We are working closely with the government partners in both Scotland and England to address this uneven playing field and remain optimistic that there will be increased focus on domestic manufacturing in upcoming competitions and specifically where taxpayer funds are involved in those procurements. While those government discussions continue, we are focusing on Alexander Dennis' cost to improve our competitiveness. We feel that actions that we've taken and that are continued to work on through this consultation will leave us in a much better position for 2026 and beyond. Slide 8 shows our supply chain health from the end of 2020 until now, highlighting our high impact, high and moderate risk suppliers. We currently have just one company, it's the same seat company we've had for a while, that we consider high risk, high impact. This is down from the peak of 50 concerned suppliers, high risk suppliers in 2022. This supply performance reflects the fantastic ongoing work of our sourcing, procurement and supplier development teams who are actively working directly with suppliers to improve delivery performance to our facilities. Slide 9 provides an update on this specifically on this seat disruption supplier or this disrupted supplier. We've seen progress over the past few months with a number of new flyer buses built yet missing seats, now down to 56 as of July 18th. This is a sharp decrease from the peak in November and a decrease from when we started reporting this issue last May. The supplier is still working on their recovery plan and we will continue to maintain active and deep engagement until the situation is fully resolved. As we reported before, a new Buy America compliant seat supplier began delivering seats to our production lines during this quarter. We expect them to ramp up their deliveries through the second half of the year, which now gives the market three seat suppliers helping to diversify risk going forward for this critical safety component on a bus. It also lowers our reliance on the challenge supplier as we increase our production rates. I'll turn it now over to Brian Duesniff to discuss our results in more detail. Over to you Brian. Thanks