Titanium Transportation Group Inc.

Good morning. Thank you, operator, and thank you all for joining us. Titanium continued to navigate a challenging freight market with discipline and focus for the period ending September 30th, 2025. Despite persistent softness across the transportation sector, driven by trade tensions, geopolitical volatility, and weaker consumer confidence our third quarter performance underscores the momentum building across the business both our truck transportation and logistics segments delivered positive operating income for the second consecutive quarter this reflects the impact of the strategic actions we've taken over the past several quarters on a consolidated basis we generated $115.7 million of revenue and $8.9 million of EBITDA supported by continued strength in our U.S. logistics platform and improved operating performance in truck transportation. In both segments, we remain disciplined on pricing, customer and industry mix, along with focus on cost efficiency, All of these are key elements of our approach during this prolonged period of market softness. Our logistics segment, despite considerable headwinds, continued to perform well. Revenue increased 3.3% year over year to $62.9 million, driven primarily by continued organic volume growth of 19% across both our Canadian and U.S. brokerage operations. We did see some pricing pressure in transactional freight toward the latter part of the quarter, which tempered the full impact of the volume growth. Even so, underlying demand trends remain stable, and our asset-light model continues to demonstrate its scalability and resilience. Our operational and sales teams are working hard to maintain market share and functional margins. During the quarter, we also formally opened our Dallas and Virginia Beach offices. Turning to truck transportation, revenue came in at $53.8 million, down year-over-year as expected, given our deliberate exit from unprofitable lanes last year. EBITDA was $7.7 million, with an EBITDA margin of 16.1%. This is now our most efficient trucking quarter in nearly two years, and it reflects the benefit of our efforts to streamline capacity and focus on sustainable freight. On the capital allocation front, we remain focused on building financial flexibility. We generated $9.5 million in operating cash flow, up from $7 million last year, and ended the quarter with $20.7 million in cash. Importantly, we repaid $8.9 million in debt in the quarter, continuing our deleveraging priority. Our substantially modern fleet requires no rolling stock expenditures over the next year. This will result in below average CapEx for the next 12 months, allowing us to continue our debt reduction efforts. We're operating with discipline, staying focused on what we can control, and positioning titanium for the long term. And with that, I'll hand it over to our CFO, Alex, to walk through the financials in more detail. Alex, over to you.

Thanks, Ted. And good morning, everyone. Titanium continues to demonstrate operational discipline and resilience in Q3 despite ongoing macro headwinds. I'll walk through the consolidated numbers first and then touch on the segment performance. On a consolidated basis, the company generated revenue of $115.7 million, compared with $118.4 million in the same period last year. EBITDA was $8.9 million, with an EBITDA margin of 8.7%. While margins were modestly compressed year over year, the underlying performance reflects continued progress in operational efficiency, customer mix, optimization, and disciplined pricing across both segments. Logistics continue to be a key growth engine for the company. Revenue in this segment increased 3.3% year-over-year to $62.9 million, supported by steady U.S. volume growth and continued customer engagement across our brokerage network. EBITDA for the segment was $2.3 million, with an EBITDA margin of 4.2%. Similar to last quarter, margins were affected by ongoing geopolitical uncertainty and supply-side cost pressures. Despite this, underlying demand trends remain stable, and our asset-light model continues to demonstrate its scalability, particularly in the U.S., where newer offices are strengthening relationships and gaining traction. In truck transportation, revenue for the quarter was $53.8 million, down from 58.1 million last year, reflecting our strategic exit of unprofitable lanes in 2024. EBITDA for the segment was 7.7 million, representing a margin of 16.1 percent. This marks the segment's third consecutive quarter of sequential profitability improvement. Discipline pricing and continued efficiency gain across the fleet supported another quarter of positive operating income. Operating cash flow remained strong at $9.5 million, up from $7 million last year, highlighting improved cash conversion and working capital management. Net income from continual operations per share was one cent, a year-over-year improvement from a loss of one cent per share in Q3 2024. From a capital allocation standpoint, we remain committed to strengthening the balance sheet. We ended the quarter with $20.7 million in cash and repaid $8.9 million in loans and finance lease during the quarter. These actions contribute to further improvements in our leverage precision and reinforces our focus on debt repayment. Overall, our capital-like growth strategy, combined with prudent cost management and operational discipline, continues to precision titanium to navigate this cycle effectively. We remain focused on protecting margins, enhancing liquidity, and supporting long-term shareholder value. With that, I'll pass the call over back to Ted. Thank you, Alex.

Overall, our performance this quarter reflects the strength of our operating model and the progress we've made in sharpening our disciplined execution across the business. While freight markets remain challenging and visibility continues to be limited, we are seeing early signs of stabilization in certain regions. As we continue to adapt to our current industry environment, we look forward to more productive market conditions. Titanium continues to operate with discipline, focusing on what we can control. The benefits of our refined operating model are becoming increasingly evident, reflected in positive operating income in both segments for the second consecutive quarter. Titanium continues to operate with a strong foundation, an even more efficient cost structure, and most importantly, a resilient platform. To conclude, I would like to reiterate that we remain confident in the fundamentals of the business and continue to be focused on operational execution, margin preservation, and cash generation. We estimate revenue of $112 to $117 million. and EBITDA percent of 8.5% to 9.5% for the next quarter. As we look ahead, our priorities remain unchanged. Protect margins, maintain balance sheet strength, and continue executing with discipline across our network. We're not waiting for the market to recover. We are taking proactive steps to ensure that titanium emerges stronger and better positioned for long-term sustainable growth.