Thank you for standing by. This is the conference operator. Welcome to the Allied Motion Technologies, Inc. second quarter fiscal year 2022 financial results conference call. As a reminder, all participants are in listen-only mode, and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. To join the question queue, you may press star then one on your telephone keypad. Should you need assistance during the conference call, you may signal an operator by pressing star and zero. I would now like to turn the conference over to Craig Mychajluk, Investor Relations. Please go ahead. Yeah, thank you, and good morning, everyone. We certainly appreciate your time today as well as your interest in Allied Motion. Joining me on the call are Dick Warzala, our Chairman, President, and CEO, and Mike Leach, our Chief Financial Officer. Dick and Mike are gonna review our second quarter 2022 results and provide an update on the company's strategic progress and outlook. After which, we'll open it up for Q&A. You should have a copy of the financial results that were released yesterday after the market closed. If not, you can find it on our website at alliedmotion.com, along with the slides that accompany today's discussion. If you are reviewing those slides, please turn to slide 2 for the safe harbor statement. As you are aware, we may make some forward-looking statements on this call during the formal discussion, as well as during the Q&A. These statements apply to future events that are subject to risks and uncertainties, as well as other factors that could cause actual results to differ materially from what is stated on today's call. These risks and uncertainties and other factors are discussed in the earnings release, as well as in other documents filed by the company with the Securities and Exchange Commission. You can find these documents on our website or at sec.gov. I wanna point out as well that during today's call, we'll discuss some non-GAAP measures which we believe will be useful in evaluating our performance. You should not consider the presentation of this additional information in isolation or as a substitute for results prepared in accordance with GAAP. We have provided reconciliations of non-GAAP to comparable GAAP measures in the tables accompanying the earnings release and slides. With that, please turn to slide 3, and I'll turn it over to Dick to begin. Dick? Thank you, Craig, and welcome everyone. Our results continue to demonstrate the successful execution of our strategic growth initiatives. Second quarter revenue grew 21% to a record $122.7 million, with solid organic growth of 10%. Our industrial market saw strong demand, resulting in market growth of 40% over last year. We are benefiting from new solution offerings, acquisitions, and continued economic recovery in broader end market verticals, including industrial automation, oil and gas, material handling, HVAC, and instrumentation. Recent acquisitions also contributed to the aerospace and defense market, which doubled from the year ago period. While we are doing well in the top line, the highlight of the quarter was the improvement in our gross margin performance, which is consistent with our stated objectives as we achieved a record level of 32.4%. This was up 170 basis points from a year ago and a significant 320 basis points over the sequential first quarter. Our M&A activity is certainly helping, but we also equate this performance to our global teams that continue to manage multiple headwinds as supply chain issues and inflationary pressures on logistics, energy, material, and labor continue to persist. Even at the operating level, our performance was solid as we continued to invest for future growth and taking into account the cost associated with the acquisitions that have not yet been fully leveraged. We achieved adjusted net income per share of $0.36, up 9% from $0.33 per share in the prior year period. Our pipeline of opportunities remains high and order levels continue to be strong with a book-to-bill of 1.1 x in the second quarter, yielding a record backlog of nearly $324 million. I will talk more to orders and backlog later in the presentation. We had a busy quarter on the M&A front as we continued to augment our growth and profitability strategy. If we turn to slide 4, we highlight the three acquisitions we completed in the quarter. Located in Camarillo, California, ThinGap expands our precision motor capabilities by providing industry-leading high performance zero-cogging slotless motors for use in applications in Aerospace, Defense, and Medical that require precise motion in a compact high torque-to-volume package. We also see the potential to advance our total solution capability into robotics, semiconductor, and instrumentation markets. Second, we acquired FPH Group with locations in Ontario, Canada, and Michigan. FPH brings technically advanced, reliable, and cost-effective electrical drive systems and light weighting technologies for existing and future ground-based vehicles in the defense industry. FPH has a proven relationship with leading defense prime contractors and adds critical manufacturing licenses and certifications, which we believe we can leverage to drive deeper penetration within defense applications. Lastly, we acquired Airex out of Somersworth, New Hampshire, a company with over 70 years of history, providing high precision electromagnetic solutions, including linear and rotary motor technology for Aerospace and Defense, life sciences, semiconductor, and other industrial applications. Their patented winding technologies, combined with robotic manufacturing, assures best in class linear motors as they provide the highest linear force density in the industry and have been selected and utilized in our own LEO solution offerings for many years. We'd like to thank certainly all the new employees to Allied and welcome them to the Allied family. In reviewing the six acquisitions, which is some of the highlights, is one, they add significant new engineering resources to our growing global engineering capabilities. They provide new technologies and position us with several market-leading products and solutions that expand and complement our current capabilities. They bring proven and established relationships and certifications to accelerate our expansion into important markets, including aerospace and defense, automation, robotics, life sciences, semiconductor, and medical. Fourth, they expand our offerings and lead us into more demanding applications. Thus, our broadening capabilities enhances our value proposition and our competitive positioning. Ultimately, Allied is better positioned to create higher value solutions for our target markets and our customers. In 2023, we expect the collective contribution of the six acquisitions to exceed $100 million in revenue, with gross margins in the high 30% range and EBITDA margins in the high teens range. The purchase price of all six acquisitions, including future payments, was approximately $160 million and was made up of approximately 70% in cash and the remainder in AMOT stock. Based on our cash flow projections, we expect to delever over time in a manner that aligns with and is consistent with our historical previous performance. We further believe the new acquisitions will provide Allied with significant new opportunities, and we are focused on integrating each into the global Allied platform. By doing so, our intent is to maximize the opportunities and realize the full potential of these margin-enhancing businesses. While we have now provided additional color surrounding the six acquisitions, I will caution you that we will not be providing individual unit performance information in the future as we will focus on leveraging the full One Allied potential and opportunities. With that, let me turn it over to Mike for a more in-depth review of the financials. Mike? Thank you, Dick. As a reminder, our results include a partial quarter of contribution from the acquisitions noted on slide 4. As ThinGap was completed on May 24th, FPH on May 30th, and Airex towards the end of the quarter on June 17th. We also had the contributions from the three fourth quarter 2021 acquisitions. Starting on slide 5, we provide some detail regarding our top line. Second quarter revenue increased 21% to $122.7 million, a record level which reflected strong demand in the industrial markets as Dick discussed, and incremental sales from acquisitions. The unfavorable impact of exchange rate fluctuations on revenue was $5.2 million in the quarter. Excluding FX, revenue was up 26% and organic revenue growth was 10%. The recent acquisitions contributed to the Aerospace and Defense growth as that market vertical doubled from a year ago. Partially offsetting were lower sales in the vehicle market of 3%, largely due to broad supply chain challenges within commercial, automotive, and medical markets, which declined less than 1% due to the lapping of the strong prior year period that was still benefiting from some pandemic-related sales. Sales to U.S. customers were 58% of our total, compared with 55% in last year's period, and the balance of sales were to customers primarily in Europe, Canada, and Asia Pacific. The mix shift reflects the impact of our acquisitions that largely sell to the U.S. market. Slide 6 shows the change in our revenue mix by market on a trailing 12-month basis. Sales to industrial markets were up 39% and driven by the end markets noted on the slide. Vehicle markets were down 4% as strong truck, agricultural, and construction vehicle demand was offset by the broad supply chain challenges in other market verticals. As noted, acquisitions contributed to the Aerospace and Defense growth in the quarter, which drove the TTM performance. The change in medical markets on a TTM basis reflects similar pandemic-related comps as the second quarter. As depicted on slide 7, our gross profit was 32.4%, a record level, and up 170 basis points from the year ago period. Higher volume pricing, margin accretive acquisitions, as well as selling price increases more than offset continued global supply chain disruptions, rising material and labor costs, and non-cash acquisition costs. As Dick noted, you can see the significant improvement over the prior sequential quarter. Moving on to slide 8. Second quarter operating income was $7.5 million, or 6.1% of sales, compared with $6.7 million or 6.6% in the year ago period. Operating costs and expenses as a percent of revenue were 26.3%, up 220 basis points. This increase was all attributable to our M&A activity with higher business development and amortization expenses, as well as added engineering and development costs that we have not yet fully leveraged. As we have stated, we anticipate growing our margins over the long term with the disciplined execution of our lean toolkit, AST, combined with leveraging higher volume and continuing to evolve as a systems provider. On slide 9, we present GAAP net income and adjusted net income, along with our adjusted EBITDA results. Second quarter adjusted net income, which excludes business development costs and other non-recurring items, was $5.7 million or $0.36 per diluted share, compared with $4.8 million or $0.33 per diluted share in the second quarter of 2021. The effective tax rate was 27% in the second quarter. We expect our income tax rate for the full year 2022 to be approximately 25%-27% based on changes to geographic mix. Adjusted EBITDA was $16.2 million or 13.2% of revenue, which was up 100 basis points. We use adjusted EBITDA as an internal metric and believe it is useful in determining our progress and operating performance. Slides 10 and 11 provide an overview of our balance sheet and cash flow. Total debt was approximately $229 million at quarter end. During the quarter, we used $44.8 million of cash to complete the three acquisitions, net of cash acquired, which was largely funded by the debt. The debt increase also reflects a new finance lease that was highlighted during the first quarter of 2022 for our manufacturing facility expansion in Germantown, Wisconsin, to support continued growth. At the end of the second quarter, debt net of cash was about $200 million or 49.9% of net debt to capitalization, and our bank leverage ratio was approximately 3.7 x. We have historically demonstrated our ability to delever our balance sheet following acquisitions, and it is our expectation that we will continue the strategy to reload for future growth opportunities. We generated $13.1 million in net cash from operations during the quarter and utilized $3.9 million on capital investments, which largely focused on new customer projects. We expect our 2022 CapEx to range between $15 million and $20 million and to be focused on growth opportunities. Inventory turns were 3 x in the second quarter, consistent with our 2021 performance as our teams continued to manage our inventory to meet increasing customer demand, combat sourcing and lead time challenges. Our DSO increased slightly to 49 days in the quarter, largely due to timing. With that, I'll now turn the call back over to Dick. Thank you, Mike. Our backlog in bookings remained strong, as highlighted on slide 13. Orders were more than $139 million in the quarter, representing a book-to-bill ratio of 1.1 x. This level also reflects a noted FX headwind of $6 million. Our backlog hit another record, increasing 12% over the sequential first quarter and up 90% over the prior year period to approximately $324 million. About 2/3s of the sequential increase in the quarter was from our acquired companies. The time to convert the majority of backlog to sales is within the next nine months. Turning to slide 14, we remain positive on our outlook. To reiterate, we have been busy on the M&A front, having now completed six acquisitions over an eight-month period. We believe these are strategic additions to Allied, and as previously mentioned, we have now added approximately $100 million annually of new business that will be fully realized in 2023 with a measurably higher margin profile. Equally important to the collective financial contributions, our overall technology offerings are enhanced and our competitive positioning in target markets is strengthened. As we look forward, we are excited to leverage our stronger competitive position across our targeted markets. Specifically, demand is expected to remain strong across our many industrial end markets, and in particular industrial automation, oil and gas, and material handling. Over the short term, vehicle demand is expected to be muted due to continuation of supply chain constraints. However, we do see encouraging production demand later this year and into 2023. Medical markets have largely lapped the strong pandemic-related levels and should remain solid. Aerospace and Defense should improve, especially with the recent acquisitions. While headwinds remain, we are confident that we can continue to anticipate and make the necessary adjustments to mitigate potential impacts, and remain highly confident in our ability to enhance both our top and bottom line performance in the future. With that, operator, let's open the line for questions. Certainly. We will now begin the question and answer session. To join the question queue, you may press star then one on your telephone keypad. You will hear a tone acknowledging your request. If you are using a speakerphone, please pick up your handset before pressing any keys. To withdraw your question, please press star then two. We will pause for a moment as callers join the queue. The first question comes from Greg Palm with Craig-Hallum Capital Group. Please go ahead. Yeah, thanks. Morning, everyone. Congrats on the good results here. Thank you, Greg. Morning. Morning. Maybe starting with a you know broader view on you know macro you know what you're seeing you know thus far in July you know based on the quarter based on the bookings does it imply like you're seeing any slowdown but any you know end markets any geographies that maybe you're a little bit more concerned versus you know last time we talked or is everything still fairly strong at this point? Well, everything we've seen so far, the indicators are still quite positive. We do expect and, you know, given it's summer in Europe and typical in summer in Europe, you see some slowdowns in business and potentially, of course, the FX headwinds that we're seeing and, you know, potentially, the impacts of Ukraine war. Right now, we have to say that things seem to be continuing and are still strong. Got it. Okay. You know, gross margin, which was clearly the bright spot. How much of the improvement, I mean, are you able to quantify the improvement from the acquisitions alone in the quarter, you know, knowing that those are higher margin contributors? Can you also quantify the impact from what you're still seeing from the supply chain challenges? Did that get any better this quarter, or? Well, yeah, supply chain. Yeah, let's start supply chain. I mean, we're seeing some slight improvements, and when I say slight improvements, some lead times starting to shorten, and we're getting some pleasant surprises of things showing up that weren't expected. On the other side, you know, there's still the negative surprises that are occurring. Our teams are still fighting the battle. It's those couple components that may be missing that prevent you from shipping and then, you know, your products. Those are the battles that we continue to fight every day. I will say that some are doing better than others. Electronic components, you know, are still a challenge, although we're starting to see some light at the end of the tunnel here. That's what I would tell you. As far as the contribution of the acquisitions versus the core business, let's call it, clearly, the acquisitions, as we mentioned, the margin profile is higher and did have an impact. I will also say, though, that we've seen some improvement in our core or technology units, as we call them, or business units. I think it's really a testament to our team who continues to focus on, you know, where the inefficiencies that are existing because of material shortages and inability to build complete products. Some of that's starting to go away and we're starting to see some improvements. We've also done facility consolidation, and that's gone quite well. We've also shifted some product lines around during the quarter, and that's gone quite well. Overall, I see, you know, the operating team doing an excellent job and working with what they have. Yes, it's a positive impact, but the majority of the impact for the margin increase clearly comes from the higher margin generating businesses. Now remember, they were near, you know, quite frankly, near the end of the quarter that those occurred. Well, from a percentage standpoint, they clearly were higher. Yeah. I would add and concur and add that the collective six acquisitions delivered as expected from a margin perspective and delivered, I think we said collectively in the past, that they would largely deliver our goal of the 100 basis point improvement in margin. The other item that I would highlight is we talked previously about the lag in selling price increases from a contractual basis. Certainly, you know, that lag caught up here in Q2 in terms of them being passed through both on a contractual basis and significantly on a negotiated basis, you know, to fight the elevated input costs. I think that was another strong contributor to the quarter besides the acquisition is our success in passing along those selling price increases and, neutralizing, if you will, to some extent, the supply chain impact. Yeah. That's helpful. I mean, if I think about the go forward, I mean, you'll now have sort of full run rate contribution from the higher margin acquisitions. Then if you assume that supply chains continue to improve, I mean, it would seem logical that you know, what you saw in Q2 can probably be improved upon in future quarters. I mean, any reason why that wouldn't be the case? No, I think you're, you know, you're logically it does make sense for us to be able to do that. We would caution you that we do have one of the acquisitions that is still lagging and not contributing to the levels that we had initially planned, and we see it, you know, moving to the right. The backlog is very strong, but that's one where it's been impacted by supply chain and electronic components. So we're not realizing the full impact of that, and it's questionable whether that'll even resolve itself in quarter three. So I would just caution there's some muting going on there. Overall, what you've stated, Greg, I think is fairly accurate. I think that impact that Dick is describing is more so on the operating margin side than the gross margin side, but it does impact gross margin to some extent. Got it. Okay, great. Then, you know, last one, just without getting into specific customer names, can you give us some sense of, you know, maybe what end markets you're seeing the most traction for in terms of these new wins, what types of applications or solutions that you're seeing the most progress in? Yeah. They're literally I mean, again, it's kind of interesting. What we're seeing here is across the board, which I think speaks well to our diversification. We're seeing some specialty. When we say, I'll say specialty vehicle because our solutions are quite special in those applications. We're seeing industrial opportunities, medical opportunities, so defense opportunities. I would just have to say to you that that's the exciting part about it. It's not just one vertical. We created this platform. We created this set of markets that we feel are growth opportunities. HVAC still is strong. Oil and gas, of course, has been strong. It's across the board, you know. Our solution offerings, I think are having an impact there. Awesome. All right, I'll leave it there. Good luck going forward. Congrats again on the results. Thank you, Greg. Thanks, Greg. Once again, if you have a question, please press star then one. The next question comes from Gerry Sweeney with ROTH Capital. Please go ahead. Good morning, Dick and Mike. Thanks for taking my call. Morning, Gerry. Morning. Dick, you had mentioned one of the acquisitions sort of still evolving to where you want to get it. I suspect that with Spectrum Controls, and I know you don't necessarily call out business units, as you said earlier, but that was Spectrum one that you did say was going to be a little bit slow in terms of hitting targets just because of some supply chain issues. Am I correct in that assumption? I'm not going to deny that. Okay. All right. I just wonder because it's just for modeling purposes. That's what I'm sure. Sure. No, I get it. Yeah. You're spot on. It is largely supply chain. Yeah. I mean, the second, the follow-up to that is obviously, I mean, still very, very bullish on, you know, the technology it brings to the table, obviously. Absolutely. The backlog is strong. It's, you know, it's interesting. I mean, it's a few components here or there that are preventing us from really getting the full production rate out the door here. I think, and I look at that and I would say to you, Gerry, and everyone else is that, you know, even without that, we perform fairly well. We're not clicking on all cylinders here yet. That's the good part to look forward to in the future here is that when it kicks in, it will definitely improve even where we are today. Yeah. Just from a solution standpoint, since we're on it, I mean, the whole idea or one of the, I guess, key themes, I believe at Allied Motion was to shift more towards from component sales to solution sales. I mean, obviously, I think these acquisitions probably help in that manner. But should we at some point even look at, you know, component sales going completely in the rearview mirror and you become a total solutions provider and that helps margins, or will there always be a mix in there? Yeah, great question. I think the best way to answer that is I've just I wanna you know look at then point you to a slide here and mention to you that if you were to look at a similar slide you know in prior years it's the system solutions that we're actually offering today, okay? What we called a system in the past, and I'll point you to slide 5 for anyone that 5. Yeah, slide 5 in the slide deck. Yep. What we call the solution in the past and the first product that's shown on the left, top left there, the automated GPS-guided vehicle steering module. Well, that's a motor with embedded electronics and connectors and cabling and so forth. That was the bulk of the Allied system solution offering. Something that would look like that would be embedded. You know, you would have electronics and/or gearing embedded. What I will say to you in the future, and we've talked about this internally, is that's becoming part of our culture. That, you know, it's gonna be the exception when we're shipping a component, let's just call it just a motor. It's gonna be more about the motor and the electronics and/or the gearing, which we called solution, is a relatively lower level solution compared to the rest of the pictures that you're seeing here. On that same slide 5. At system solution, let me just throw numbers out without giving out too much information. With a motor and electronics or something, we're talking in the range of an ASP of, let's say, anywhere from $100 - $500 or $600. When you start getting into the other solutions that we're showing you here, you're talking about tens of thousands of dollars and even hundreds of thousands of dollars. They do embed all the components that we have, that we offer, but they're bringing it at a higher level, higher sophistication level, much more software involved. I would tell you that as we look out into the future, that's what you're going to see. You're gonna see more embedded software, more informatics, more, you know, Allied transitioning into a solution provider that can do model-based designs and simulations and very precise high-level solution packages that are with ASPs that are much higher. We will not abandon that core component ability to produce product at a competitive price anywhere in the world. We feel that's core to our future technology, and we will not abandon that because we can leverage that into our other markets and we continue to do that. It gives us that core unit volume we need. It's the magnitude of what's in there. There's still, even in those motor and electronic solutions, there's a tremendous amount of IP software, and it just continues to develop and evolve and very sophisticated. Okay, this is a good picture of transitioning what we called solution in the past is changing. It's getting at a much higher level, including much more embedded software, much more communications capabilities, and then these components of the past are, we're embedding, again, more IP and we'll probably call them components rather than systems. If that helps. Got it. Okay. You know, I have a couple other questions, but I wanna save them for a follow-up call. I appreciate it and congrats on a really great quarter. Thank you. Thank you, Gerry. Thank you. This concludes the question and answer session. I would like to turn the conference back over to management for any closing remarks. Yeah, thank you, operator, and thank you everyone for joining us on today's call and for your interest in Allied Motion. As always, please feel free to reach out to us at any time, and we look forward to talking with all of you again after our third quarter 2022 results. Thank you for your participation, and have a great day. This concludes today's conference call. You may disconnect your lines. Thank you for participating and have a pleasant day.