Perimeter Solutions, SA (NYSE:PRM) Q1 2023 Earnings Conference Call May 10, 2023 8:30 AM ET

Company Participants

Seth Barker - Investor Relations

Haitham Khouri - Chief Executive Officer

Charles Kropp - Chief Financial Officer

Conference Call Participants

Josh Spector - UBS

Operator

Greetings. Welcome to the Perimeter Solutions Q1 2023 Earnings Call. [Operator Instructions] Please note, this conference is being recorded. I will now turn the conference over to your host, Seth Barker. You may begin.

Seth Barker

Thank you, operator. Good morning, everyone and thank you for joining Perimeter Solutions first quarter 2023 earnings call. Speaking on today’s call are Haitham Khouri, Chief Executive Officer; and Charles Kropp, Chief Financial Officer. We want to remind anyone who may be listening to a replay of this call that all statements made are as of today, May 10, 2023 and these statements have not been nor will they be updated subsequent to today’s call.

Also, today’s call may contain forward-looking statements. These statements made today are based on management’s current expectations, assumptions and beliefs about our business and the environment in which we operate, and our actual results may materially differ from those expressed or implied on today’s call. Please review our SEC filings for a more complete discussion of factors that could impact our results. The company would also like to advise you that during the call, we will be referring to non-GAAP financial measures, including EBITDA. The reconciliation of and other information regarding these items can be found in our earnings press release and presentation, both of which will be available on our website and on the SEC’s website.

With that, I will turn the call over to Haitham Khouri, Chief Executive Officer.

Haitham Khouri

Thanks, Seth. Good morning, everyone and thank you for joining us. I’ll start with summary comments on our strategy, then discuss our financial performance and capital allocation before turning the call over to Charles, starting with our strategy on Slide 3. Our goal is to deliver private equity-like returns with the liquidity of a public market. We plan to attain this goal by owning, operating and growing uniquely high-quality businesses. We define uniquely high-quality businesses with the following five very specific economic criteria: one, recurring and predictable revenue streams; two, long-term secular growth tailwinds; three, products that account for critical but small portions of larger value streams; four, significant free cash flow generation, high returns on tangible capital; and finally, the potential for opportunistic consolidation. We believe that these five economic criteria are present at our current businesses and we use this criteria to evaluate potential new acquisitions.