Good day. Thank you for standing by. Welcome to Cactus Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question- and- answer session. To ask a question during the session, you will need to press star one one on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star one one again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Alan Boyd, Treasurer and Director of Development and Investor Relations. Please go ahead. Thank you. Good morning. We appreciate you joining us on today's call. Our speakers will be Scott Bender, our Chairman and Chief Executive Officer, Jay Nutt, our Chief Financial Officer. Also joining us today are Joel Bender, President, Steven Bender, Chief Operating Officer and CEO of Spoolable Technologies, Steve Tadlock, CEO of Cactus International, and Will Marsh, our General Counsel. Please note that any comments we make on today's call regarding projections or expectations for future events are forward-looking statements covered by the Private Securities Litigation Reform Act. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond our control. These risks and uncertainties can cause actual results to differ materially from our current expectations. We advise listeners to review our earnings release and the risk factors discussed in our filings with the SEC. Any forward-looking statements we make today are only as of today's date. We undertake no obligation to publicly update or review any forward-looking statements. In addition, during today's call, we will reference certain non-GAAP financial measures. Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are included in our earnings release. With that, I'll turn the call over to Scott. Thanks, Alan. Good morning to everyone. Pardon me. The second quarter was an excellent quarter for Cactus. Pressure Control revenues performed beyond expectations, largely on higher shipments and aftermarket service in the Mid East as the team worked diligently through conflict-related disruptions. The Spoolable Technologies business accelerated domestically and continued its international market shipments and order momentum. I'd like to thank all of our associates for their focus and commitment, allowing Cactus to safely achieve this high performance level through the quarter. Some second quarter total company financial highlights include revenue of $450 million, adjusted EBITDA of $133 million, adjusted EBITDA margin of 29.5%. We closed the quarter with a cash balance of $366 million. Yesterday we announced that our board approved a 7% increase in our quarterly dividend to $0.15 per share. I'll now turn the call over to Jay Nutt, our CFO, who will review our financial results, and following his remarks, I'll provide some thoughts on our outlook for the near term before opening the lines for Q&A. Jay? Thank you, Scott. As Scott mentioned, total Q2 revenues were $450 million or 15.8% higher sequentially. Total adjusted EBITDA of $133 million was up 32.5% sequentially. For our Pressure Control segment, revenues of $344 million were up 14.6% sequentially, driven primarily by stronger backlog conversion in the Middle East as the team was able to execute more deliveries than anticipated despite the continued conflict disruption and associated logistics challenges. U.S. revenues also improved sequentially as customer activity strengthened in response to higher commodity prices. Operating income increased $20.5 million or 53.2% sequentially, with operating margins improving 430 basis points. Operating income included approximately $20 million of purchase price accounting adjustments, which were approximately flat from the first quarter. Adjusted segment EBITDA of $95.9 million was 33.5% higher sequentially, with margins increasing by 400 basis points. Margins improved on higher operating leverage, synergies, and tariff cost recovery efforts, including the receipt of initial reciprocal and retaliatory tariff refunds. These refunds in the second quarter totaled approximately $10 million, which represents less than 15% of the total tariffs paid over the relevant period. For our Spoolable Technologies segment, revenues of $106 million were up 17.4% sequentially, reflecting expanding domestic activity in the seasonally strong quarter and continued resilience in international markets. Operating income increased $8.6 million or 36.5% sequentially, with operating margins increasing 430 basis points. Adjusted segment EBITDA of $42.1 million increased 21.8% sequentially, while margins expanded by 330 basis points as sales mix and operating leverage both improved. Corporate and other expenses decreased by $4.9 million to $7.7 million in Q2, including $200,000 of transaction and integration cost. Adjusted corporate EBITDA was $5.3 million of expense. On a total company basis, second quarter adjusted EBITDA was $133 million, up $32.7 million from Q1. Adjusted EBITDA margin for the second quarter was 29.5% compared to 25.8% for the first quarter. Adjustments to total company EBITDA during the second quarter include non-cash charges of $7.4 million in stock-based compensation, $9.5 million of inventory step-up amortization due to the purchase price accounting, $200,000 for transaction-related professional fees. $4.9 million of severance and integration expenses predominantly incurred in continuing actions to right-size the Cactus International organization. Total company remaining performance obligations or backlog ended the quarter at $455.8 million. As a reminder, backlog reflects remaining performance obligations for our global Pressure Control and Spoolable Technologies businesses, but a majority of these obligations are associated with our Cactus International Pressure Control business. Backlog in the Cactus International business decreased from the first quarter more than anticipated due to strong second quarter project deliveries and the continuation of contract negotiations with a large Middle East customer. We expect material orders from multiple large customers in the Middle East in the third quarter. The decline in backlog was partially offset by an increase in backlog from our Spoolable Technologies business as both domestic and international order momentum continue. Depreciation and amortization expense for the second quarter was $36.6 million, which includes $9.5 million of amortization of the step-up of inventory values resulting from the Cactus International acquisition, and a combined $14.6 million of amortization expense related to intangible assets that arose from the Cactus International and FlexSteel acquisitions. During the second quarter, the public or Class A ownership of the company averaged and ended the period at 87%. GAAP net income was $61 million in the second quarter versus $40 million during the first quarter. The increase was largely driven by higher operating earnings and lower transaction-related expenses, which offset higher severance and integration expenses. Book tax expense during the second quarter was $23 million, resulting in an effective tax rate of 27%. Adjusted net income and earnings per share were $75 million and $0.93 per share, respectively, during the second quarter, compared to $56 million and $0.70 per share in the first quarter. Adjusted net income for the second quarter was net of a 27% tax rate applied to our adjusted pre-tax income. During the quarter, we paid a quarterly dividend of $0.14 per share, resulting in cash outflow of approximately $11 million, including related distributions to members. We ended the quarter with a cash balance of $366 million. This amount includes $92.5 million of cash held to finalize Cactus International legal entity restructuring transactions with Baker Hughes in one jurisdiction, which will be facilitated by Baker Hughes in the third quarter. The offset to the $92.5 million is reflected in our accounts payable balances. The quarter-end cash balance represented a sequential increase of $74 million, including the negative impacts of severance and integration spending, along with spending associated with certain restructuring transactions facilitated by Baker Hughes. Net CapEx was approximately $15.6 million during the second quarter of 2026. In a moment, Scott will give you our third quarter operational outlook. Some additional financial considerations when looking ahead to the third quarter include an effective tax rate of 24% and an estimated tax rate for adjusted EPS of approximately 27%. Total depreciation and amortization expense during the third quarter is expected to be approximately $27 million, lower than the run rate for the first half as we've completed the amortization of the step-up of fair values of Cactus International inventory as of the end of the second quarter. $18 million of the amortization expense is associated with our Pressure Control segment, and $9 million is in Spoolable Technologies. These amounts include approximately $10 million in intangible amortization due to purchase price accounting in our Pressure Control segment and $4 million in our Spoolable Technologies segment. We're increasing our full year 2026 net CapEx guide to $55 million-$65 million. The increase is primarily due to expected capacity investments at the Spoolable Technologies Baytown facility to meet increased demand, particularly from international and midstream customers. We expect this Baytown plant expansion to cost approximately $40 million in total, with the majority of the spend occurring in 2027. The additional capacity and revenue benefits from this expansion could start to be realized toward the end of next year. We are also evaluating further investments related to our Spoolable Technologies business in the eastern hemisphere to meet additional global demand, which could impact our CapEx this year and beyond. We'll share more on this potential initiative as our plans are finalized. Finally, the board has approved a 7% increase in the quarterly dividend to $0.15 per share, which will be paid in September. Our increasingly diversified and highly cash generative business has provided the confidence to consistently increase our dividend over the past several years. That covers the financial review, and I'll now turn the call back over to Scott. Thanks, Jay. I'll now touch on our expectations for the third quarter by reporting segment, starting with our Pressure Control business. During the third quarter, we expect total Pressure Control revenue to be down approximately 10% as shipments from our Cactus International business reverts towards first quarter levels following a particularly strong second quarter. The decline in international shipments is expected to more than offset growth in the domestic market. As the second quarter progressed, we found that our teams in the Mid East were largely able to continue planned deliveries despite the evolving conflict in the region. Although uncertainty remains, I'm very thankful that our personnel remains safe, and I'm encouraged by customer conversations in the region, which indicate continued appetite to expand long-term regional production and spending once the impact of the conflict abates. Adjusted EBITDA margins in our Pressure Control segment are expected to be in the 22%-24% range in the third quarter. This guidance excludes approximately $4 million of stock-based comp expense within the segment. Margins are expected to decrease on lower Cactus International operating leverage, a reduced contribution of international aftermarket service, and lower tariff recovery, which more than offsets higher operating leverage in the domestic market. Our annualized synergies target for the first year post-close has now increased by a further 33%, from $15 million-$20 million, due to substantially completed organizational restructuring actions. Our work continues on supply chain related synergies that we believe will further enhance the future profitability of Cactus International. I remind you that we still need to work through the backlog of material ordered pre-close to realize these synergies. We expect more meaningful impact from these efforts in the back half of 2027, as we have new orders to execute and will provide more detail as our work progresses. The tariff situation in the U.S. remains highly dynamic. We continue to pay a 75% total tariff on the import of most of our goods from China, which represents 25% Section 301 introduced in 2018 and 50% Section 232 tariffs. Just last week, the administration introduced additional Section 301 tariffs in the range of 10%-12.5% for 60 countries, designed to provide a more durable replacement for the 10% Section 122 tariffs, which expired last week. These tariffs will impact certain of our imports in a similar manner as the previous 122 tariffs, but do not additionally apply to goods already captured under Section 232 and will not materially change our overall tariff burden. In the second and third quarters, we've also received refunds related to the International Emergency Economic Powers Act and other tariffs implemented and subsequently ruled unconstitutional, and we believe we've received nearly all refunds we are entitled to at this time. As Jay mentioned, refund amounts in the second quarter represented only 15% of the tariffs paid over the relevant period and are limited in comparison to our continuing and past total tariff burden. Our Vietnamese facility continues to expand shipments to reduce our tariff burden, and we expect that approximately 15% of our total Pressure Control imports into the U.S. will source from Vietnam in the third quarter and continue to modestly increase thereafter. Leveraging our higher purchasing power with suppliers has led to a further lowering of costs in China this year relative to our earlier expectations. Shifting to our Spoolable Technologies segments, I could not be more pleased with the outlook for this business. We expect that revenues will increase a further 15%-20% in the third quarter, as we've accelerated the shipment of a large portion of the previously discussed Latin America orders and domestic activity is expected to increase as well. Additionally, we received incremental international orders of over $80 million in July, with planned shipments beginning in the fourth quarter and extending through the middle of next year. Together, these orders fundamentally change the international market contribution to our Spoolable business as order momentum continues in many markets around the globe, particularly in Latin America and the Mid East. While the international booking trajectory has rapidly advanced this year, our sales in the U.S. also continues to expand, led by strength with E&Ps and midstream customers who require our larger diameter, higher pressure products. We expect Spoolable Technologies adjusted EBITDA margins to be approximately 39%-41% in the third quarter, which excludes $1 million of stock-based comp expense. We continue to closely monitor input costs, which have been impacted by increases in both steel and HDPE. That said, HDPE prices have recently reduced from the Mid East conflict-induced highs, although any blockade could reverse this trend. Adjusted corporate EBITDA is expected to be a charge of approximately $5 million in the third quarter, which excludes $2 million of stock-based comp. In closing, we're very pleased with the growth trajectory of the business right now. Elevated commodity prices have led to modestly increased customer activity levels, which benefits our core U.S. business and generates substantial cash flow. In addition, we're devoting increasing resources to interesting Latin America Pressure Control opportunities as we have combined our sales efforts with Spoolable Technologies. Although impacted by the conflict, the Cactus International joint venture is being quickly reshaped by our team into a leaner, more responsive organization. We're just beginning to see the benefits of these costs and process improvement actions and order inflow. I'm confident that there are additional supply chain enhancements we can enact to increase returns in the coming year. As noted, our Spoolable Technologies international business is accelerating at such a rapid rate as to justify manufacturing capacity expansion. As in our Pressure Control business, we're now focusing on additional opportunities in the Eastern Hemisphere. We're blessed with an exceptional team who welcomes these further challenges. All of this momentum has provided the board the confidence to increase our dividend for the fourth straight year. With that, I'll turn it back over to the operator and we can begin Q&A. Operator? Thank you. At this time, we will conduct the question- and- answer session. Our first question comes from Stephen Gengaro from Stifel. Your line is now open. Good morning. Thank you. Good morning, everybody. Can we start, you've obviously had a lot of traction on the Spoolable side. Can you talk a little bit about two things? One is, in the U.S. market, the growth that you're seeing, is it increased adoption? Is it share gain, or is it sort of expanding markets? Because I know you mentioned midstream, but how do we think about the drivers of that business in the U.S. and how that evolves over the next year or two in your view? Yeah. It's both. It's far better, I think, results in the midstream sector, much of which was brought about, and I don't want to go into detail, but you can look it up, by a new PHMSA regulation change, which made it easier to use our product in midstream than before. That's a boost that we're seeing now and we think will accelerate in the future. In addition, we are getting greater adoption from E&P customers. Okay, thanks. As a follow on, when you think about the combination of more midstream and then more, clearly it looks like a lot more international, how does that impact the margin profile in Spoolables? Is it significantly accretive? Is it neutral? How do we just think about as those two pieces ramp, what it means for margins in the segment? Yeah. In general, Stephen, I don't like to talk about margins because of our competitors. Let me just say we're optimistic about margin. Can I leave it at that? I can't force you to say more. No, that's fine. We can talk more offline, but that is helpful. Just maybe just one other quick one. When you think about, just so I understand it, Jay, the cash around the Baker international piece that's sort of captive, that will go out the door in the third quarter in all likelihood? That's correct, Stephen. One deferred closing was accomplished in Q2, and the second one is imminent. That will happen in the third quarter. Great. Thanks. I'll get back in the queue. Thanks for the details. Thank you. Our next question comes from Derek Podhaizer from Piper Sandler. Your line is open. Hey, good morning. Good morning. Morning. I want to keep going on the Spoolable Technologies commentary. You talked U.S., but maybe expand more on the international opportunities you're seeing and what's driving the investment to expand your footprint there and also look at potentially expanding your footprint in Eastern Hemisphere. You have the additional, I think, $80 million of additional orders after the quarter ended. Clearly you're having a big change in the earnings profile of this company. I know you don't want to get into margins, but if you just look at the model and the run rates that we've seen over the past couple of years, really since you bought the business or FlexSteel a few years back. How can this really transform with these additional investments in the expansion in Latin America and Eastern Hemisphere as we start thinking about 2027, 2028 for Spoolables, just given the momentum that you're seeing? Well, the expansions that are currently being undertaken will add, and this is just at the Baytown facility, can add as much as 20% to our capacity in Baytown. If you look at our Baytown revenues, you can add 20%. The expansion in the Mid East could add substantially more than that. The reason for this step change is, I think, twofold. The first, of course, is activity in Latin America. It's activity, of course, in the U.S. due to midstream, but more importantly, not more importantly, but as importantly, we've been underrepresented in the Mid East because frankly, the previous owner had sort of retracted a bit from their international focus, and we've been spending the last couple, two, three years trying to reestablish a footprint internationally. What we do know is that we can't tap into the potential internationally from our Baytown facility. We really believe that this increase in 20% capacity in Baytown will be totally, and maybe possibly even more absorbed by the Western Hemisphere. Think about expansion in the Eastern Hemisphere, and I don't think we're ready right now to tell you what that could mean. We haven't reflected it in our CapEx. I think 40% for international is probably a good number if you think about the revenue increase. Great. Okay. Super exciting. You mentioned in your opening comments around the strength of PC, you had after-market service in the Middle East, and I know you discussed it on a call a couple of quarters ago around casting that around the legacy Vetco Gray assets and I think real upside to that business given the accretive margin for after-market. Maybe just expand on that as far as what you saw in the quarter with the increase in after-market and how we should think about what the after-market services business of Cactus International means for you guys going forward. That's a good question. Most of the after-market surge in the quarter was related to our large operation in Saudi Arabia and, to some extent, in Norway. We haven't really begun to see yet the after-market surge from what we consider to be underserved legacy Vetco Gray markets like West Africa, North Africa, and the Far East. We believe that's coming. Great. Appreciate all the comments, Scott. I'll turn it back. Thank you. Our next question comes from David Anderson from Barclays. Your line is now open. Thanks. Good morning, Scott. How are you? Hey, maybe just to continue on that last question there. One of the big questions, Middle East recovery, sort of that workover intervention, maintenance opportunity for production to recover. Can you talk a little bit about Cactus International's opportunity? This is all part of this after market, I'm assuming. Can you just sort of talk about this opportunity? Is this something you're starting to talk about and starting to think about for 2027? Because it seems like it's one of the big unknowns out there. Your question has to do with workovers? Well, the whole idea about recovering production, and that whole side. I'm just curious if there's much opportunity for you on that side with that whole business. Because you're talking about the after market. I'm just wondering, is that all kind of part of that theme, potential activity increase in 2027? I was wondering if you could talk about that a little bit. A lot of the after-market activity in the second quarter had to do with getting our customer property equipment repaired because the Middle East, having had their revenue curtailed, began to focus on better utilizing what they had in stock. I think that what we're looking forward to actually is just simply more drilling activity. You know ADNOC is going to be much more aggressive. They dropped out of OPEC. We're seeing much greater plans, much higher plans in the other major markets that we service in the Mideast. Really, that's from new drills. Got it. All right. One of the things that we've talked about with Cactus International is that order book, how it's kind of like a 12-month cycle time of your backlog. Can you sort of talk about how that's shaped up so far in kind of the first half of this year? There's so much going on left and right here. I'm just kind of curious, is it below pace of what you're thinking? Would you expect a surge later? Just how do you see that order book right now shaping up? Obviously, it's kind of driving into 2027 pace. It has been below pace, but we do expect to see a surge going into the end of the third, beginning of the fourth quarter and first quarter of next year. Okay, great. Perfect. Thank you very much, Scott. Appreciate it. Thank you. Thank you. Our next question comes from Arun Jayaram from JP Morgan Securities. Your line is now open. Good morning. Yeah, good morning. Arun Jayaram from JP Morgan. I was wondering if you could maybe give us a sense of how your negotiations are going with your large customer in the Middle East and perhaps talk a little bit about some of the efforts to, call it, diversify the customer base and Pressure Control at Cactus International. It sounds like you anticipate some large awards in the third quarter, which are not lever to perhaps your large customer there. I think, this is Steve, by the way, similar to what Scott Bender just mentioned to David Anderson. The first half with all the disruption, I think people, naturally, customers over there have focused on inventory on hand unlike the U.S. where we basically provide all the inventory for our U.S. Pressure Control customers over there. There's definitely stocking that goes on. They've been really focused on destocking and repairing customer property and things of that sort. I think naturally, it reaches a point where late this year and early next year, you would expect that to shift. As part of that, with all the retrenchment, it's sort of a natural time to negotiate with customers on contracts, we've been working through that. We think we're at the tail end of that and should hopefully, like Scott Bender said, see the benefit going forward of some releases of orders to help the backlog grow again as we come out of this, hopefully, as we come out of this conflict. As far as diversification, we're very focused on diversifying from what was traditionally very Middle Eastern focused business to other areas, like Scott Bender said, in Asia or Africa or Latin America, and kind of revive the Vetco Gray legacy and Wood Group legacy in those areas. We don't have a lot to report in that area, but we're seeing positive traction as we kind of get back into those areas and refocus, both in the services aftermarket and then ultimately new equipment. Great. My follow-up is, I was wondering, you guys mentioned this just in response to Derek's question, but maybe elaborate on your capacity expansion plans at Spoolables. You mentioned that you're planning to increase the capacity at Baytown by 20% or so. If I heard you correct, you're contemplating a sister facility internationally that could further increase your capacity by 40%. I just wanted to make sure I got those numbers correctly. If you did kind of move forward with an international expansion, what would be some of the timing thoughts on getting that additional capacity available to ship product? Let me answer your last question first. It's about two years from start to finish for an international expansion. With this international expansion, we would expect that our Eastern Hemisphere revenue will be 40% of our total revenue. Take our current estimated revenue, use a 20% capacity expansion, and we hope to have a little bit of spare capacity in that 20%, you need to be a little conservative. Of that total, you can divide that by 0.6. Got it. That's helpful. All right. Thank you. Thank you. Our next question comes from Keith Beckman from Pickering Energy Partners. Your line is now open. Morning, Keith. Hey. Thanks for taking my question. Good morning. Sure. I just wanted to check, we've talked, just thinking on Spoolables here, the key regions that we've thought of kind of internationally that you guys have brought up is Latin America seems better. The Middle East is also sounding like it's going to be a lot better. Are there any other regions internationally that you guys are excited about or think can grow beyond that maybe wasn't brought up yet? We're getting a lot of inbound inquiries right now, the large orders are going to be Latin America and the Mid East. They're really substantial orders. You got a lot of unconventional work ramping up throughout the Middle East, you're going to see some unconventional work ramping up in North Africa, primarily in Algeria. We made a shipment into West Africa. We're just gaining traction because we have far greater sales exposure today than we had 18 months ago. If you call on people, you tend to get inquiries. If you don't call on them, you tend not to get inquiries. Again, I think our focus is going to be Mid East and Latin America. Awesome. That's really helpful. My follow-up question, just a little bit more around tariffs. It sounds like you guys have gotten the refunds that you're expecting to get for the most part. I wanted to get a sense of, do you guys have kind of the latest math or thoughts around, it sounds like Vietnam is ramping a little bit more, maybe Vietnam versus China, kind of the cost savings annualized there if you ran it on some number. Just trying to get a sense on maybe the latest math around tariffs there. You're trying to get a sense for the impact of the tariff differentials? Yes, essentially also just what do you think that total kind of percentage coming out of Vietnam could be? Like, what can that increase to? You guys kind of brought it up a little bit in the prepared remarks, what it's at today. It could increase to 40% of our total Far East shipments. This is just for U.S. Pressure Control, not for international. What we've witnessed over the last 90 days, maybe longer than 90 days, is that because of the purchasing power that has been augmented by Cactus International. The combined entities. Yeah, the combined entities, Cactus International and Cactus, we're getting even better pricing out of China. Even post-tariffs, China's becoming considerably more attractive for us. At the end of the day, it's all good. China costs will go down, and we also believe that Vietnam's cost will chip in as well because of the lower. The tariff in Vietnam is 50%, the tariff in China is 75%. I can't really quantify that for you. No, that's helpful. I appreciate it. I will turn it back. Thanks, guys, and congrats. Thank you. Thank you. Our next question comes from Jeffrey LeBlanc from TPH. Your line is now open. Jeff, how are you doing? Good. How are you? Good. I wanted to see if you could talk about Latin America and Argentina specifically, and whether you think it represents a greater opportunity for Pressure Control or Spoolable Technologies. I didn't hear you very well, Jeff. Can you speak up? Sure. I'm sorry. I wanted to see if you'd talk about Latin America and Argentina more broadly, whether you think it represents a greater opportunity for Pressure Control or Spoolable Technologies moving forward. I would say that the opportunities in Latin America have already begun to crystallize for FlexSteel. The awards are large. We're just now beginning to experience some inquiries from Latin America for Pressure Control. I think that places like Venezuela offer a lot of upside because we have so much installed base between Vetco Gray, the old Ingram Cactus Company, and Wood Group. I think we're anticipating quite a bit of activity for Pressure Control as well. Argentina is a U.S. unconventional market, while we haven't done anything in Argentina yet, clearly it has potential. Argentina still doesn't have that many rigs. If you had all the business, it would be like the U.S. I think it could be significant for us. We're not there yet. We're not approved. Obviously we'd be foolish not to look at Argentina. Think about Venezuela for Pressure Control primarily, I really can't quantify which segment has the greater upside, the greatest near term upside is going to be with our Spoolable Technologies. Okay. Thank you very much. I'll hand the call back to the operator. Okay. This concludes the question- and- answer session. I would now like to turn it back to Scott Bender, Chairman and CEO, for the closing remarks. All right. Thank you, operator. Thank you to all who participated in today's call. We appreciate your interest, your continued interest, and look forward to talking to you soon. Have a good day. Thank you for participation in today's conference. This does conclude the program. You may now disconnect.