Good day, everyone, and welcome to the fourth quarter 2023 Minerals Technologies earnings call. Today's call is being recorded. At this time, I would like to turn the conference over to Lydia Kopylova, Head of Investor Relations for Minerals Technologies. Please go ahead, Ms. Kopylova. Thank you, Shelly. Good morning, everyone, and welcome to our fourth quarter 2023 earnings conference call. Today's call will be led by Chairman and Chief Executive Officer, Doug Dietrich, and Chief Financial Officer, Erik Aldag. Following Doug and Erik's prepared remarks, we'll open it up to questions. As a reminder, some of the statements made during this call may constitute forward-looking statements within the meaning of the federal securities laws. Please note the cautionary language about forward-looking statements contained in our earnings release and on this slide. Our SEC filings disclose certain risks and uncertainties, which may cause our actual results to differ materially from this forward-looking statement. Please also note that some of our comments today refer to non-GAAP financial measures. Their reconciliation to GAAP financial measures can be found in our earnings release in an appendix of this presentation, which are posted on our website. Now I'll turn it over to Doug. Doug? Thanks, Lydia. Good morning, everyone, and thanks for joining today. Let me start by giving you a quick outline for today's call. First, I'll take you through our fourth quarter and full year highlights, and as I do so, I'll walk you through the main drivers of our results and how they align with our long-term strategic initiatives. As you saw in our press release, we had a strong finish to a record year. I'm excited to share more details in the coming slides. I'm also going to take a few minutes to give you an update on innovation at MTI and highlight a few new products that made an impact on our year and that will continue to do so going forward. Erik will then review the financials and provide an outlook for the next quarter, and I'll close out with an outlook for 2024. We'll be sure to leave plenty of time to take your questions after our remarks. Let's get started with the fourth quarter. Overall, it was another great quarter for us, and I'm happy to report that we set a few performance records. We generated record sales levels for a fourth quarter, with broad-based growth across our portfolio. Our strategic positions in higher growth consumer markets and geographies more than offset the softness we saw in a few of our end markets. Sales for the quarter were up 3%, with growth coming from both our segments. Excluding the deconsolidation of Barretts Minerals Inc. this quarter, our underlying sales for the remainder of the company were up 6%, better illustrating the performance of the ongoing business. Within the Consumer and Specialty segment, the Household and Personal Care product line continues its stable growth trajectory across all geographies. In the engineered solutions, our High-Temperature Technologies product line drove this segment to another solid quarter. Operating margins expanded to 13.2% this quarter, a 450 basis point improvement over last year. Margins expanded in both segments as we captured input cost savings, improved productivity in our operations, and tightly managed expenses. Our record level of sales and these expanded margins yielded $69 million of operating income, significantly higher than last year, and earnings per share came in at $1.28, which is another record for a fourth quarter. We continue to demonstrate the company's strong cash generation profile, delivering $95 million in cash from operations. Another highlight for the quarter is that we announced a doubling of our dividend and at the same time initiating a one-year $75 million share repurchase program. Let me move on to summarize our, summarize the full year. As I do so, you'll see how the similar themes of balanced growth, margin expansion, and cash flow generation played out throughout the year and how they combined to yield a record performance. 2023 was an eventful year for us. We started it by realigning our business segments with our key markets and core technologies to better reflect the MTI of today. This is a major, major change for the company and undertaken to unlock our hidden potential. Throughout the year, the realignment drove organizational efficiencies, tighter collaboration, and faster decision-making, all leading to higher levels of performance. Back in May, we held an Investor Day, where we outlined MTI's potential for you and communicated our five-year growth and performance targets. One year in, we're right on track to achieve those targets, and we made progress across each of the priority areas. Let's start with sales. Sales for the full year were a record for MTI and driven by growth in both segments. Consumer and Specialties segment experienced the strongest sales expansion, with high single-digit and double-digit growth in our cat litter, animal health, and edible oil and renewable fuel filtration products. These products have strong positions in steadily growing markets, driven by macro trends like expanding pet ownership, increased demand for natural animal feed additives, and the growing demand for renewable fuels. Growth in the Engineered Solutions segment was primarily driven by refractories, environmental wastewater remediation, and infrastructure drilling products. Sales of these products were driven by the deployment of our newest technologies to support the growing demand for safer and more efficient manufacturing processes, environmental water cleanup, and an increase in infrastructure projects globally. Due to the nature of some of the markets we serve and the geographies in which we serve them, we'll see fluctuations in demand as economic cycles and other local factors play through. We experienced a few softer markets this year, but despite these pockets, the portfolio performed as expected. Sales from our positions in higher growth consumer markets and geographies, more than offsetting these areas of temporary lower demand. Our long-term growth should average between, average 5% per year, with economic and local market factors moving that number up or down slightly in any given year. A great example of what we call our balanced portfolio and how we see our top- line performing over the long term. We emphasized how improving margins was a priority focus area for us, and this year, operating margins increased by 100 basis points. We continue to create value for our customers, leverage synergies from the reorganization, capture input cost savings, and drive productivity improvements. Worth noting is that our operating margin for the second half of the year averaged 13.6% above the target we communicated earlier in the year. Record sales this year were leveraged through these expanded margins to deliver record operating income of $280 million, up 11%, and record EBITDA of $370 million, up 8% over last year. Earnings per share were $5.21, another record for the company. Full year cash flows improved significantly, and we delivered $234 million in cash from operations, more than double last year, and $140 million in free cash flow. We used this cash to strengthen the balance sheet, reducing our net leverage to 1.9 times EBITDA, and as I mentioned earlier, to return capital to shareholders. To drive our strategy and deliver consistent performance, it takes a dedicated and engaged team, a strong operating culture, and an unwavering adherence to our values. Our team did a great job this year on all fronts. We have a very strong culture of operational excellence here at MTI. We've built an environment of continuous improvement thinking and have equipped employees with the tools and training they need to see, analyze, and remove waste from any manufacturing or business process. Our teams conduct over 30 problem-solving Kaizen events every day around the world and provide suggestions at an extraordinarily high level. This engagement and continuous improvement by our employees is the essence of our high-performance culture and something that sets MTI apart. In summary, 2023 was a transformational year for MTI. Our foundation is solid in every aspect, and we intend to build on this year's record performance to deliver another one in 2024. There are a number of key drivers supporting our long-term growth. One of them is innovation. Innovation has always been a part of MTI's DNA, and we've developed new technologies that are becoming an influential part of our story. I want to take a moment to highlight some of the tremendous work that's happening at MTI and point out a few of our newest products aimed at large market opportunities that offer us significant growth potential. For the past several years, we've refined our new product development process to accelerate at innovation at MTI, shortening the time from ideation to commercialization. We drove closer collaboration with our customers and focused our efforts on developing the highest value products to meet their needs. Results of our efforts are evident on the chart in the middle, with the percentage of sales from our newest products reaching 18% this year, a record level for the company. On the right, you can see how balanced the distribution of our innovation pipeline is across all four product lines. Let me highlight several of these new products and the trends that have driven their development. In the household and personal care product line, we're creating new cat litter formulas aligned with the latest consumer trends, and that offer better home hygiene, improved odor control, and help owners with litter box training. We're developing natural feed additives to improve farm animal health and higher-performing filtration products targeted at the growing demand for renewable fuels. Specialty Additives, we're expanding our sustainable recycling technologies for white and brown packaging and developing natural mineral-based barrier coatings for food packaging. In high-temperature technologies, our new MINSCAN Scantrol robotic units are transforming the refractory application process in electric arc steel furnaces. In association with these units, we're developing a software system to provide customers with real-time process data analytics. In the Environmental and Infrastructure product line, we continue to improve our Fluoro-Sorb technology, aimed at removing forever chemicals in water and soil around the world. We're developing new drilling fluid additives to support the growing demand for critical infrastructure projects like grid hardening and geothermal energy systems. Collectively, we have over 500 products at various development stages in our pipeline, representing over $1 billion in potential future sales. Not every idea makes it all the way through, but the new products I've highlighted today are good examples of products that came through this development pipeline, leveraging our core technologies and applications expertise to create valuable solutions for large challenges in today's evolving marketplace. Now I'd like to turn it over to Erik to review the details of the financials. Erik? Thanks, Doug, and good morning, everyone. I'll begin by summarizing our fourth quarter and full year financial results, followed by a review of our segments, and I'll also provide our outlook for the first quarter. Following my remarks, I'll turn the call back over to Doug for some additional perspective on the year ahead. Now, let's review our first quarter results. Let me begin by saying that we had another strong performance in the fourth quarter, capping off a very strong year for the company. Sales of $525 million grew 3% and represented a record level for a fourth quarter. And if you adjust for the deconsolidation of BMI, underlying sales grew 6% year-over-year, driven by growth in three of our four product lines. Higher selling prices contributed to growth across the portfolio, and we benefited from continued volume growth in household and personal care and high- temperature technologies. Fourth quarter operating income was $69 million, up 57% versus prior year, and operating margin was 13.2% of sales. Earnings per share was $1.28, excluding special items, and free cash flow was very strong at $73 million in the quarter. Before I move to the full year, I want to highlight our operating margin performance against the target we set for ourselves for 2023. At our Investor Day last year in May, we projected that we would exit 2023 with 150 basis points of margin improvement versus 2022 on a run- rate basis. Given the typical seasonality we experience in the fourth quarter, the second half of the year is a good indication of where we are from a full year run rate perspective on margin. Our operating margin for the second half of 2023 was 13.6% of sales, 170 basis points above the full year of 2022. We achieved this target margin improvement primarily through price- cost recovery, as well as productivity and variable conversion cost improvements at our recent cat litter acquisitions. And this performance in 2023 puts us squarely on track to achieve our targeted 14% run rate operating margin in 2024 and 15% in 2025. Now let's take a look at our full year financial performance. We delivered a solid performance in 2023, with records for sales, operating income, EBITDA, and earnings per share, excluding special items. Sales of $2.2 billion were 2% above last year. Looking at the sales bridge on the right side of the slide, you can see growth in both segments as well as in most of our product lines, demonstrating the balance of our portfolio during mixed and market conditions. Operating income increased 11% to $280 million, and operating margin improved 100 basis points to 12.9% of sales. EBITDA was $370 million for the year and represented 17.1% of sales. Our full year earnings per share, excluding special items, was $5.21, a 7% increase compared to 2022. To give a little more perspective, you can see in the EPS bridge on the bottom left that our income performance contributed $0.70 of earnings growth, which more than offset a $0.37 headwind from higher interest expense. Our effective tax rate for the year was 22%, and for 2024, we expect our rate to be approximately 23%, a slight increase, primarily due to the changes in global tax laws. Free cash flow for the year returns to a more normal level for the company of $140 million, or 6.5% of sales. Now let's review our segment performance in more detail, beginning with Consumer and Specialties. Fourth quarter sales in the Consumer and Specialties segment, $280 million, up 3% and up 8% versus last year, excluding BMI. Our household and personal care product line continued on its strong growth trajectory, with sales increasing 13% year over year. Demand for our cat litter products remained strong, and we saw growth in several high-margin specialties products, including double-digit growth in animal health, as well as in edible oil and renewable fuel purification. Underlying sales in our Specialty Additives product line were 3% above prior year ex-BMI, as sales from our newest paper and packaging satellites in Asia offset lower volumes in North America. Fourth quarter operating income was $36.6 million, a significant increase over the prior year, and operating margin was 13% of sales. The improvement in operating income was driven by volume increases in our household and personal care product line, selling price adjustments, and favorable input costs compared to the inflationary spike in energy and logistics that we absorbed last year in Europe. Turning to the full year stats on the right side, segment sales of $1.2 billion grew 3%. Our household and personal care product line delivered 9% growth on continued strong demand for cat litter. While customer destocking impacted sales for some of our high-margin specialties products, we saw 34% growth in animal health and 9% growth in edible oil and renewable fuel purification. In Specialty Additives, underlying sales were 1% higher. Three new paper and packaging satellites were ramping up in 2023, including our newest satellite, dedicated to serving the growing packaging market in China. Despite significantly lower paper volumes in North America and Europe, sales to paper and packaging customers increased, primarily driven by the new satellites in Asia and contractual pricing adjustments. Demand for specialty, Specialty Additives into other end markets, such as construction and consumer products, has been mixed, with residential remodeling activity helping to offset softness in new construction and some destocking in food and pharma. Operating income for the segment rose 24% to $141 million in 2023, and operating margin improved to 210 basis points to 12.2%.... Looking ahead to the first quarter, we expect another strong sales performance from household and personal care, driven by demand for cat litter and improving demand for our specialty products. In Specialty Additives, we expect to see improvement in North America paper and packaging, and additional volumes in Asia, driven by the ramp-up of our new satellite. However, we remain in the seasonally slower period for construction activity. Segment operating income for the first quarter is expected to be up slightly sequentially. Now let's turn to the Engineered Solutions segment. Fourth quarter sales in Engineered Solutions increased 4% versus the prior year to $243 million. In High-T emperature Technologies, we continue to see steady demand for foundry and steel applications in North America, and we delivered significant growth in Asia foundry volume. Sales in our environmental and infrastructure product line were 6% lower, driven by softness in commercial construction. Despite some market challenges, the segment delivered another strong operating performance. Operating income in the fourth quarter was $36.7 million, an increase of 16% over the prior year, and operating margin improved 160 basis points to 15.1%. For the full year, segment sales grew 1%. The high-temperature technologies product line delivered 3% sales growth. Demand conditions remained steady through the year in North America, while soft steel market conditions in Europe persisted, and demand in Asia foundry gradually improved through the year, following a slow start in China. In environmental and infrastructure, sales were 3% lower, as construction market conditions affected demand for our waterproofing and environmental lining systems. Sales for remediation and wastewater solutions were a bright spot, increasing more than 40% compared to last year. We also saw double-digit growth in our drilling product sales, driven by an uptick in demand from sustainable geothermal energy projects and from infrastructure projects. Full-year operating income improved 3% to $151 million in 2023, and operating margin improved 30 basis points to 15%. Turning to the first quarter, we expect to see mostly similar market conditions across both product lines, and we expect operating income to be similar to the fourth quarter. Now let's review our balance sheet and cash flow highlights. We delivered strong cash flow in the fourth quarter, with $95 million of cash from operations and $73 million of free cash flow, bringing our full-year free cash flow to $140 million. Capital expenditures were $94 million for the year. Our strong free cash flow in 2023 marks a return to more normal levels of cash flow generation for the company, as the inflationary impact on our working capital has subsided. As we look ahead to 2024, we expect another solid year of free cash flow generation in the $140 million-$160 million range. During the year, we used our cash flow to pay down $49 million in debt, and we returned $22 million to shareholders through $14 million of share repurchases and $8 million of dividends. The balance sheet remains very strong. We ended the year with total liquidity over $500 million and a net leverage ratio of 1.9 times EBITDA. Now I'll summarize our outlook for the first quarter. Overall, for MTI, we expect a similarly strong performance in the first quarter. In Consumer and Specialties, we see continued strong demand in household and personal care, and in Specialty Additives, higher sales in paper and packaging, driven by new satellites and improving demand in North America, and similar conditions to the fourth quarter for other end markets. In Engineered Solutions, we expect similar demand conditions in high-temperature technologies across North America and Europe, with sequentially lower volumes in Asia due to typical seasonality around the Lunar New Year. In environmental and infrastructure, we will experience similar seasonal conditions to the fourth quarter. Overall, for the company, we expect operating income of approximately $70 million, up around 10% from the prior year, and EPS between $1.25 and $1.30, which would also represent growth of at least 10% from last year, continuing on our profitable growth trend and continuing our solid earnings trajectory. Now I'll turn the call back over to Doug for some additional perspective on 2024. Thanks, Erik. As we move into 2024, our priorities are clear: further strengthening the MTI business model by continuing our penetration into higher growth markets, developing new and innovative products, expanding margins, and maintaining strong cash flow generation. On the sales front, as we head into the year, we're seeing generally stable, and in some cases, more positive trends across our end markets. Our consumer-oriented markets like pet litter, animal health, and edible oil and renewable fuel filtration remain strong and will deliver another year of high single- digit to double-digit growth. Our businesses in Asia will also continue to grow in 2024 with the ramp-up of our newest packaging satellite and stronger foundry markets compared to last year. One additional item to highlight, since our last call, we've signed two additional long-term contracts for paper and packaging satellites in Asia. One in India and another for ground calcium carbonate and NewYield for a packaging application in China. These will be constructed over the course of this year and likely start up late this year or early next. Other markets, such as automotive, steel, and residential construction, are expected to remain stable at essentially similar levels to last year. Markets which show improvement this year are North America paper and packaging, and personal care. As the destocking we saw last year comes to an end and volumes in these businesses rebound. One area where we haven't seen much change is the commercial construction market, though we could see some recovery in project activity in the second half of the year. As Erik mentioned, we're targeting a 14% operating margin by the end of 2024 and are on track to achieve this with strong pricing, a higher margin product mix, diligent cost control, and continuous improvement in our operations. Sales growth and stronger margins will continue to generate higher cash flow. This gives us the resources we need to keep the balance sheet in a solid position, while at the same time providing us with the flexibility to pursue both M&A opportunities and return capital to shareholders. In summary, I see 2024 setting up to be another strong year for MTI. The combination of our positions in growing markets, differentiated technologies and applications, expertise, financial stability, global mineral reserves, and a strong culture is what truly sets MTI apart, and a formula that will continue to drive long-term value for shareholders. I'd like to thank our teams at MTI for a great year, and thank you for joining the call today. Now let's go to questions. If anyone would like to ask a question, please signal by pressing star one on your telephone keypad. If you are using a speakerphone, please make sure your mute function is turned off to allow your signal to reach our equipment. A voice prompt on the phone line will indicate that your line is open. Again, you can press star one to ask a question. We'll pause for a brief moment to allow everyone an opportunity to signal for questions. Our first question is coming from Daniel Moore with CJS Securities. Your line's open. Thank you. Good morning, Doug. Morning, Erik. Appreciate the call, and thanks for taking questions. Start with kind of the top-line outlook. You, you've got a longer-term, kind of 5% growth target. Give a lot of great color around, you know, the various end markets as we enter the year. You know, how do you see fiscal 2024 shaping up from a top-line growth perspective relative to that longer-term 5%? You know, I'll go. Obviously, visibility isn't perfect, but, where do you see the biggest puts and takes that could cause you to hit that maybe, you know, come up a little shy or even exceed it? Yeah, let me give you a little perspective on how... So this year, around 3% kind of growth, you know, excluding BMI, the underlying business. And then, so, you know, let me characterize it. 80% of the company grew last year and 20% didn't, you know, or kind of went backwards a bit. So, and what I try to highlight is that 80% is going to continue to grow and grow strong again this year. And that 20%, which is, you know, paper and packaging, some of the destocking that we saw, commercial construction, the majority of that, I think, starts to move back forward. We're seeing the, you know, early signs of a rebound in some of those destocking markets, so we see those volumes rebounding. That leaves commercial construction, which right now looks a bit sideways from where we are, could improve later next year. That tells me that, you know, that 3% kind of reverts back up to that 5% on average, and could go higher, depending on what happens with commercial construction, right? So, you know, when everything's going and things are really booming, I think we go back up to that 7%. You know, little local factors could change that, but that's why we highlighted that 5% average over time, ±2 on either side of that, depending on economic factors and local. But I think we're reverting back up to that, that average growth rate. Could exceed it, depending on commercial construction. Really helpful. To what extent do you expect pricing to be, I guess I should say, what do you expect pricing impact to be, both, you know, H1 and for full year, on that overall growth? That's going to be another positive impact this year. We still have, you know, stronger pricing in the pipeline. There's pockets that we're continuing to, you know, to drive the value and get priced for it. You know, I can't-- I can say it's probably not going to be of the levels we saw over the past couple of years, where we're pushing through almost $200 million of pricing, but still great opportunities to make sure that we're getting the value for the products, that we deliver to our customers. Very helpful and maybe splitting hairs, but just to make sure we're on the same page, the 14% operating margin, that is, sort of, exit run rate for 2024, or is that, the expectation for the full year? Yeah, Dan, this is Erik. Thanks for the question. You know, right now we feel really good about that 14%. I indicated in the prepared remarks that that's a run rate by the end of the year, but we have really good line of sight to achieving that 14%. You know, it's all of the three margin levers that we talked about, we've been talking about since Investor Day. It's pricing, it's fixed cost leverage, including more to come in pet care that we've been talking about. It's continued mix improvement from the new products that we're launching. ... So I'd say, you know, if markets stay where they are, we feel really good about that 14% run rate by the end of the year. And as Doug was talking about, you know, if, if the 20% of markets start to go in our favor, that weren't in our favor last year, we feel better about that on a full year basis as well. Really helpful. I'm going to ask one more related. If I look at H1 of this year, with the exit run rate over H2 of last year of 13.6, so would we be at least there in building, or is there anything that would cause you to take a step back? Yeah, I think. Sorry, Erik, couldn't hear the question. I think you're right. We're exiting on that same run rate, and I think there's opportunities to build on that, Dan. I think, you know, we're going through, if you look at the fourth quarter, probably as similar, as Erik mentioned, similar level in the first quarter, but then we started hitting some really strong quarters for us. The second and third are typically the strongest for the company. And like I said, you know, some of these markets that are typically strong in the third, or second and third, like paper and personal care and even some of the construction markets, we see them rebounding where they were soft last year. We think we're gonna, you know, we have some real strength going in, especially in the margins going into the middle of the year. Really helpful. Jump back with any follow-ups. Thanks. Our next question is coming from Mike Harrison with Seaport Research Partners. Your line's open. Hi, good morning. Congrats on a nice end to the year. Doug, I was wondering if you could give a little bit more color on the strength that you were seeing in that household and personal care business. I guess, specific to pet care, maybe talk a little bit about what the growth looked like across the different regions. Are you benefiting from any share shift toward private label? And then over on the personal care side, you know, was there still some destocking headwind in the fourth quarter, or did that appear to kind of subside versus the destocking you were seeing in maybe Q2 and Q3? Yeah, thanks, Mike. Tell you what, let me give that question to DJ, and let him talk about the segment, give you more color there. Yeah. Thanks for the question, Mike. So let's first kind of dig into pet care. Pet care, very strong volumes. We continue to see that trajectory as we had imagined earlier in the year. We said that this is gonna be growing at a 7%-9% sort of rate. We still see that for our long-term outlook and feel really good about how we go into this year with that. The growth that we're seeing is across both North America and Europe. And in addition to just the general segment rising, we have seen more of a shift to the private label. I'd go further, you know, Doug was talking a little bit about our culture and those. And he was highlighting some of the operational excellence things. That team, in particular, really improved their ability to meet all the private label promotions and requests and stretch their ability to be extremely reliable on delivering on time in full volumes. So that helped us out a lot as the private label was particularly aggressive. But we also have further relationships developing on the brands, given our vertical integration. So we're really happy with the way the pet care is going. There's also some pricing leverage that we still see in that area. Then you had asked about destocking. I would say the destocking was more on the Consumer Specialties side of things, in particular in the health and beauty solutions. And as we're looking at the order books now, as we go into the first quarter, we are comfortable that that destocking looks like it's behind us. We've got some strong order books. So outlook is very positive for that product line. And then maybe, since I have you, DJ, maybe just to ask kind of a similar question on the, the paper, PCC business. Get a sense that maybe, in North America, in particular, those customer operating rates weren't where you would like them to be, for 2023. Just curious if, if you feel like, you know, destocking and, and lower operating rates were, were something you were still dealing with in the fourth quarter, and maybe how those are trending, you know, thus far in, in January and into, I guess, early February. Yeah. So, a couple of perspectives on that. So, if we look at Europe, Europe still lagging a little bit, down in that 70% operating rates. We've been fortunate in that our customers have been less affected by that decline but Europe is still sluggish. North America, in the low 80s, starting to climb up. We look at inventory levels, and those have come down. So we are projecting that North America volumes will be better this year, and we're starting to see some of that come back, but not at the rate we were hoping for, but it's certainly better than last year. That's how that looks. And then, of course, Asia. Asia, we're less dependent on the operating rates. Asia is a penetration story, and that continues to go very favorably. All right. And then, I guess maybe just over on the metal casting side of the business, you talked about Q1 maybe being kind of a slower seasonal period in Asia. But I'm just curious if maybe you can talk in a little more detail about the pace of recovery in China. I think everybody, maybe around this time last year, was hoping that we were going to see a more robust rate of recovery. It hasn't really materialized that way. Are you seeing signs that some of the government stimulus and other actions that are in place in China are starting to drive some market improvement there? Yeah, thanks, Mike. I'm going to pass it over to Brett Argirakis as well. But let me start by saying, look, last year we saw, you know, referring to the metal casting business, you know, continued growth quarter after quarter after quarter, and we're still seeing that kind of trend. So for us right now, going into 2024, it looks like a really solid year for us, both on, as DJ just mentioned, some new satellites ramping up, new contracts in paper, but also in metal casting. Let me give it over to Brett to give you some color there. Yeah. Hi, Dan. Thanks for the question. Look, China, as Doug said, China, it was a, the market continued with a slow but continuous recovery last year. The green sand volume improved about 7% versus prior year, but we still have plenty of room to go to get to those peak levels that we saw in 2021. The fourth quarter volumes increased about 26% over the same period in 2023. But again, that was, you know, that was a low point, but you could see the recovery is continuous. You mentioned the government stimulus programs. There have been several stimulus programs to boost the economy, and we are seeing some impact from them. You know, during the Investor Day presentation, we talked about, you know, the going into the blended products more so into the some of these mature markets. We have it in the mature markets. We're moving them into other markets, so we continue that, that initiative. So all in all, we see 2024 with about similar growth of around 6%-8% this year. Sorry, is that a comment on China specifically or for the metal casting business overall? No, no, that's China specific. Got it. Okay. And then last question for me is one maybe more for Erik. Just curious for your thoughts on interest expense, for both Q1 and the full year, and maybe just remind us how much of your debt is at fixed rate versus exposed to some variable rate. Sure, Mike, thanks. So, roughly 50% of our debt right now is variable. Average interest rate right now is around 6.15%. So the fixed rate is at 5%. Those are the notes, and the floating is around 6.9%. So if and when interest rates come down, we'll see some benefit on that floating piece of the debt. I think, you know, shorter term, Q4 to Q1, since we were able to pay down some debt in the fourth quarter, probably going to see about $500,000 of lower interest expense just sequentially Q4 to Q1. So hopefully that helps. Very helpful. Thanks, everyone. Thanks, Mike. Our next question is coming from David Silver with CL King. Your line's open. Yeah. Hi, good morning. Thank you. So, I, I do have a number of questions, and I'm going to demonstrate my lack of organization here, but I'll probably go back and forth a bit. First question, would be on price and volume, you know, trends, but just looking at the fourth quarter, ex-BMI, you were +6%, right? I know you had pricing initiatives in place through the year. I know you have, you know, you highlighted a number of, new, new product introductions. How would that 6%, in general, from your perspective, break down? I mean, how much was price? How, how much was, you know, volume increase? I, I don't know if you look at it at the company-wide level, but any kind of, you know, breakdown there would be helpful. I apologize if I missed it. I don't think I saw it in the slides. Yeah. Thanks, Dave. So as we moved through 2023, pricing became less of a year-over-year impact. So as we got to the fourth quarter, you know, pricing is in the low single digits in terms of year-over-year revenue change. So a lot of that 6% is coming from volume and mix improvement. Got it. And I'll just say, Dave, and that's going to be the case going forward. I would say that our growth in 2024 is going to be much less price driven than it has been the last two years. We see good volume growth, as Doug's been talking about, household and personal care staying strong, pockets of a few markets recovering from where they were in 2023. So, the growth going forward, we expect to be much more volume driven. Thank you for that. Let me just follow up. I guess 12 months ago, Erik, you know, you had indicated, you know, with your pricing initiatives, that it would -- it would -- they would take effect kind of a little bit on a, a lagging basis. I just wanted to clarify, but for the fourth quarter, would you say the, the price- cost, you know, has fully offset or, or you're slightly better?... than covering all your costs. And then maybe from your view, from the customer, you know, your customer's positioning, what is the nature of, you know, kind of the requests for, for some givebacks? In other words, you know, it's a mixed cost outlook, right? Labor is up, but at least in a number of areas, goods prices are, are softer. You know, what's your, you know, what's your view or what's baked into your expectations for next year regarding, you know, maintaining the price improvements that you've achieved across 2023? And, you know, if you could, you know, your expectations for that price-cost balance. Yeah. Thanks, Dave. So I would say we've largely caught up. We still have some more pricing to go, pockets of pricing, to make sure that we're capturing the value that we're providing to our customers. From an inflationary standpoint, I'd say right now, facing a much more stable inflationary outlook than we have over the last two years. But from a pricing power and an overall input cost perspective, we're in good shape. You know, I would say we're in a much better position today than we have been historically in terms of reacting quickly to any changes in input costs. We've got our supply chain working really closely with the commercial teams. So we feel good about being able to mitigate any changes that we're not anticipating at this point, but overall, we're in a good position in terms of pricing power. Yeah, David, maybe I can pass it over again to DJ and Brett to give you a kind of a feel of what's going on, you know, where our products are, the new products, the mix, and how, you know, pricing is playing out this year versus prior. So, DJ, I'm gonna start with you. Certainly. So, David, as I'm looking at the segment, of course, we've got part of our pricing that's well covered with contracts, so that's on the paper and packaging side and agreements. If I look at the broader Specialty Additives group, our pricing power is pretty strong. We've been able to recover, and our ability to execute on orders and requests and just be that reliable supplier when other folks have been running out of stuff, it keeps us very strong in our ability to hold on the price. On the pet care side and on the Consumer Specialty Side, still remains very strong, a good pull for the products. And underlying all of this is that with these new products, and Doug had pointed about earlier, but the significance of the new products is that they are providing higher levels of value, which is translating into better margins for us. So all of those things add up to us being able to expand further upon our price versus inflation. But as Doug said, probably not to the same degree that we've seen in the previous year. Brett, how about you? Yeah. So, for the Engineered Solutions segment, of course, our customers continue to look for lower prices, but this group works really close with them, not only to offset higher costs, but we also provide them alternative solutions, whether that may be a different product formulation, or the technology that applies the product faster, or more efficiently, so they're using less. The cost and price appears to be stable now, David, in most cases, but there are still pockets, as Doug pointed out earlier, in our business that require additional pricing, and we'll continue to do that. For instance, labor, of course, continues to rise. We're adjusting labor where necessary, and we have some products that certain parts of that formulation require higher price. So we're doing that. We're... But again, working very closely with our customers to assure that we're getting what we require, but also offsetting their requirements. David, let me just summarize all that for you and give you kind of how that plays out this year. What Erik was saying in terms of more volume growth. We see a pretty strong volume year, at least a stronger volume year ahead for us than when we were in 2023. There's still good opportunities for pricing, and we have strong pricing power in the marketplace to make sure we hold on to it. On a comparison basis over last year, it may be, pricing may be less of an impact because of the huge increases that we're putting through in the inflationary cycle. So this year is gonna be still some pricing, a lot more volume-driven revenue growth, but that's gonna lead to that leverage through our gross margin. So gross margin expansion, because, you know, covering fixed costs and more volume through those plants, and that's gonna translate down into that operating income line. You know us, we're pretty stable with our, you know, our fixed corporate expenses and expenses, so that's gonna hold flat this year. So that's where it's really gonna come in that margin expansion and why earlier, Erik said, "That's why we're certainly pretty bullish on making sure we hit or exceed those targets that we laid out for you on operating income." Okay? Hopefully, that helped. That's great. And I do wanna ask one more, and I'll apologize in advance. Well, actually, I'm gonna ask Brett kind of two separate questions, if you don't mind. But first, on your traditional refractories business, you know, high-t emperature activities, you know, you did show a good growth for Q year-over-year. You cited North American steel. And I would just like to go back. I believe in that group, you know, you have signed or you have a number of meaningful new contracts signed over the past, you know, 12, 24 months. At least one went into effect last year. What is the outlook for those incremental, you know, new supply agreements that you have booked in the past and were supposed to play out, you know, over the next several years? I mean, what should we expect in that regard for 2024? I'll stop with that. I'll start with that one. Yeah. Yeah, no problem, David. I'm happy to answer that. Look, this business has done a really good job, again, working very closely with our customers in selling value, as Doug pointed out, creating a much safer work environment and solving problems by using a combination of our refractory materials, our laser equipment, and our application technology. You know, in addition, we've also been able to grow our business from a metallurgical wire standpoint for a cleaner steel operation. But as far as the agreements go, Dave, these are five-year in duration, and include, as I said, product and equipment. We currently have 13 refractory and wire contracts in place, and that value is about $150 million through 2026. The annual run rate for this business in 2023 was about $29 million, which is about $10 million higher than 2022. Looking forward, the contracts will generate about $40 million in 2025 and about $50 million in 2026. So, you know, this is, this is great opportunity, changing, changing the market to be safer and more efficient, giving the steelmaker what he needs to protect his people and protect his furnaces. So we're looking forward to expanding this into other regions of the world. Okay, great. No, that's extremely helpful. And then last one for Brett, and then I promise I'll get back in queue. But you know, I was reading kind of what was presented for the environmental activities, and I guess there's probably some seasonal issues there to account for the year-over-year decline. But in particular, I was hoping you could give us an update on progress with PFAS. And you know, in particular, you know, just I guess from your perspective, the pace of commercialization, you know, getting past the beta testing and others and trials and other things, and you know, moving on to full commercialization. And maybe just a comment on where you think PFAS has made the greatest impact or penetration to date. In other words, is it in municipal? Is it in drinking water? Is it in groundwater? Is it in soil remediation? You know, where, where has the uptake to this point, you know, been the most prevalent? Thank you. Yeah, sure. Let me, let me give you a little bit of an update on the, on the PFAS regulations. To date, there has been no finalization of the regulations, but the EPA does plan to continue regulating the PFAS this year and beyond, of course. In March of last year, they did propose national drinking water standards, but that was a proposal. We expect rulemaking to be March of this year. That's not in stone, but that's the target that it seems the EPA is putting out. Let me, let me give you an update on Fluorosorb. I think that's where you're going because that continues to generate an increasing level of inquiries and requests for piloting across four verticals. Those verticals really are drinking water, water treatment, landfill leachate, and then, of course, the in-situ remediation, groundwater. The drinking water space, of course, has a high level of interest. Right now, that space is slow to accept new technology. But again, we have a lot of activity going on, and we currently are actively participating in two full-scale implementations where Fluorosorb is the media, and we expect four more full-scale implementations to commence sometime this year, hopefully in the first half. We also have a couple of pilot programs for drinking water and soil stabilization that we initiated in Europe, UK, Germany, and Belgium. In addition, we're also actively working with some of the largest landfill companies in the world on leachate treatment, and using Fluorosorb. And we continue to pursue the in-situ remediation segment to control PFAS. So in fact, we recently have been specified into two Department of Defense sites in the United States, and these opportunities are expected to generate favorable sales in 2024. So overall, our Fluorosorb activity remains high, and we fully expect to continue to expand this business through 2024. So right now, it's a mixed bag. Drinking water is the slowest, but it is also generating probably the most interest. Okay, thank you. I'll get back in queue. Thanks, David. ... Our next question is coming from Kyle May with Sidoti & Company. Your line's open. Hi, good morning, everybody. Hi, Kyle. How are you? Just a quick one. I'm doing well. Appreciate the time this morning. Just a quick one for me. Now that your leverage ratio is below 2x, does that change the way that you approach or think about the buyback program? No, it doesn't change it right now. We have, you know, right now, we fully intend to complete that program. I think we'll probably look to continue to make sure our balance sheet through debt is in good shape, and I think also building up some cash reserves. The allocation, our typical allocation is, you know, 50% of our free cash flow, we like to return to shareholders. The other 50%, keeping on the balance sheet, once we're at this kind of leverage ratio. This year, with, you know, the balance of our share repurchase program and the doubling of our dividend, that's probably gonna be about $75 million-$80 million back to shareholders in 2024. As Erik said, that's probably about 50% of our $160 million. We could flex that up, you know, if you know, we like to hold some money for opportunistic M&A, if that comes around, the market may improve and opportunities if we see them in 2024. If not, we always have the opportunity to flex that back and increase that share repurchase. But right now, we're on course to finishing the one we have, and we can change that later in the year if conditions warrant. Got it. That's great. I appreciate it. And then also, I was curious with the new product pipeline that you touched on, and correct me if I'm wrong, I believe you said there were maybe 500 products in development with over $1 billion in potential revenue. I assume that's a long-term target, but just curious if maybe you could give us any color about, you know, how much of that product pipeline could potentially come through in 2024, and then how much of those products could contribute to revenue growth this year? Yeah. So the number I gave you, the 18%, is, you know, the percentage of our sales that's generated from new products over the past five years. It's kind of like a freshness indicator, right? And so that gives you an idea of how much revenue's been generated. We think that's probably gonna be between kinda 18% and 20%. I think 20% is, you know, a real benchmark out there. So between 18% and 20% will be the, you know, the kind of pace of how we're commercializing products to replace the ones that... You know, we're still generating sales from these products, but we count the freshness. If they-- every five years, something falls off and something else comes back in. So we're probably commercializing, you know, there's some really large projects, there's some smaller ones, I don't know, 35, 40 new products every year, probably higher than that, but that gives you an idea of how many things that are coming out. Probably about 50% of those are, we kinda call replacements, so they're upgrades or higher-margin versions of something we've been selling before, and the other half of them is targeted at growth. I would say, of the growth ones and of all of them, I guess, growth and replacement, 80% of them, or 75% of them have, you know, a sustainability element to them. We're talking about increasing the recyclability, the lower energy consumption for either the way they're produced by us or whether they're, how they're used and consumed by our customers. And so that gives you a feel for them. We expect probably a similar level of sales and rate of commercialization this year to last. And I said, you know, $1 billion is in that portfolio. You know, that's the potential. I've mentioned, not everything is gonna make it through, but there's some big ones in there, and we've commercialized some big ones, targeted at big opportunities. Big opportunities that are in the environmental space, big opportunities in recycling, big opportunities in the consumer space, and also, as Brett mentioned earlier, some of these, you know, new technologies that are going into high-temperature technology. Hopefully, a long-winded way of giving you some color of what's in there. No, that's great. I really appreciate it. That's all for me this morning. Thank you. Thanks, Kyle. Our next question is coming from Daniel Moore with the CJS Securities. Your line is open. Sorry about that. Got off—I had to get it off mute. Part of my follow-up was just covered, but maybe just the housekeeping, Erik, the share count as of December thirty-first. Doug, you mentioned, you know, potential prospects for M&A. Maybe just talk a little bit about what the pipeline looks like and, you know, if anything, about what type of size deals you might be looking at. Thanks. Yeah, Dan, I'm gonna give you a number, but it's in the press release, so make sure you check me on this. I think it's around 32.5, the share count, share count at the end of the year, but, I'll get you the right number there. Yeah, I was gonna answer the M&A while he scrambled for the share count. But, so there's the share count. We'll make sure that's correct for you, and we'll be in the K. As far as M&A, look, you know, it's been a quiet couple of years, as you've probably noticed. And we've used that time to really focus on the acquisitions that, that we've completed over the past four years. You know, we've done four acquisitions in four years, and I think what you're seeing is, you know, the benefits of us. Truly, you know, there's one thing we call about integrating them, right? So getting them into the company and getting them into our financials. And then there's truly integrating them. What we mean by that is really bringing these up to speed in terms of our culture, OE, productivities, variable costs, looking for opportunities to expand capacity, reduce downtime, upgrading the facilities in terms of safety, and modernization. And we're through that, and I think you're starting to see it. And those acquisitions were in the pet care space.... If you look at that margin expansion in Consumer and Specialties, that's where that's come from. That's the true, really, you know, putting the MTI culture, the MTI operating system, and the operating practices into these. So we've, you know, done a great job this year with those. We're in a good spot in terms of where those businesses. DJ highlighted the teams and how they did a tremendous job this year on that front. So we've got a great muscle memory in this company to be able to pull in acquisitions and turn them in, into value. I think this year there could be some opportunities as, you know, the kind of market. I think there's been some in a couple of years of a bit, a bit of a lull, and I think that could come around. We're gonna be cautious about that. We've got the balance sheet in great shape to be able to execute on something. You know us, we're gonna be diligent about how we look at things, what we're gonna do with it, the opportunity it provides for us and our shareholders. So we'll go into it cautiously, but we do think the balance sheet, and there could be some opportunities that come our way this year. Appreciate the color as always. Thank you. Thank you, Dan. Our next question is coming from David Silver with C.L. King. Your line is open. Yeah, hi. Thank you. I did wanna ask you about the program that was announced, you know, during your Investor Day, or thereabouts, with the $10 million cost reduction efforts. Just in general, how much do you think was reflected in your fourth quarter results? And then maybe if there was any kinda feel for the cadence, you know, for the remainder of capturing the full $10 million benefit. Thank you. Yeah, sure, Dave. So we're about 75% of the way through that program, so we'll be finished in the first half of this year. So we've got around $2 million more to go this year, which should help margins by around 10 basis points for 2024. Okay, great. And the next question would be, I guess, for DJ, but it's about, you know, the PCC business. Two parts to it. First, I was wondering if you could give us, you know, maybe a view to the new project funnel or the, you know, the opportunity set that you're working with currently. And then secondly, I'll stipulate this is an unfair question. I'm sure you love all your children equally, but if you were thinking about your book of business in China and your book of business, PCC Satellites in India, you know, you have a healthy number of relatively new projects in both areas. Regarding the business environment, you know, whatever other factors you consider relevant, I mean, where do you think, not necessarily the greatest upside is, I'm sure they're both very high growth opportunities, but where do you see the business environment maybe being a little bit more difficult to navigate or other types of risks? In other words, if there was kind of a shortfall in your growth plans in either of those two countries, you know, which might it—where might it occur? And what might, you know, be the source of maybe a little bit of a slowdown in anticipated growth? Thank you. So David, I'm gonna try and answer those. Let me get set on the baseline. Erik had mentioned the three new PCC plants coming on, a mixture of China and Asia, and you know, one came on early, two came on just towards the end of the year. And just to get something established here, that was roughly 300,000 tons of GCC, which is a new product for us going into the packaging space. And then we had about 65,000 tons of what I'll just call those engineered crystal and those PCC-type products. And not to be too into script here, but part of that's NewYield, and part about that is our standard PCCs. So coming on, that you'll see the full benefit of this year is those 65,000 tons of PCCs called and 300,000 tons of GCC. What we already are in the process of building, that you'll see towards the end of the year, is two other projects in Asia that bring on 140,000 tons of traditional PCC. I say 140,000 tons of traditional PCC, but one of those is in a specialty papers and packaging application. And then what Doug had also mentioned as just a kind of closing remark is we have, we'll be announcing soon who are these customers are, but we picked up two other projects in Asia, again, India and China. But it's, it is standard PCC in a printing writing grade, but it's also we've got this combination of NewYield and GCC in a packaging grade. So that's another, call it 50,000 tons of the engineered crystals and 145,000 tons of the GCC. So we've got a lot coming on that's in pocket. And as I look at that broader pipeline, what is interesting, and it's especially related to our pursuit of the packaging growth and the new products, we're getting interest all around the world. So it shows up in Europe, it shows up in Latin America, and of course, it shows up in Asia as well. I would say North America is more curious than pulling us hard, but there's certainly these new products are offering something different than what we've offered before. Our penetration into packaging is something of interest to those folks. So lots coming on. A lot of that is in the pocket. You started seeing a little bit of the results show up in 2023. 2024 has more coming on. We already know 2025 is gonna have more coming on. And as I look at what else is developing, you're right, I love all the babies. But what I would say is that because of these new products, because of this broader pursuit in the packaging, we're. It's not just Asia. Asia still is a good part of our growth, but we're getting a global pull, if that helps. No, that's great. Thank you very much. Appreciate it. Thanks, David. It appears there are no further questions at this time, so I would like to turn the call back to Mr. Dietrich for any closing remarks. Thanks, everyone, for joining the call today. Stay on for a bit longer. We do appreciate it. We'll talk to you again in three months. Thanks. This concludes today's call. Thank you for your participation. You may now disconnect.