Start Time: 10:00 End Time: 11:01 May 1, 0000 ET
Q4 2023 Earnings Conference Call
March 06, 2024, 10:00 AM ET
Company Participants
Jag Reddy - President and CEO
Todd Butz - CFO
Stefan Neely - Vallum Advisors, IR
Conference Call Participants
Tim Moore - EF Hutton
Ted Jackson - Northland Securities
Larry De Mari - William Blair
Operator
Hello, everyone, and welcome to the Mayville Engineering Fourth Quarter and Full Year 2023 Result Conference Call. My name is Nadia, and I'll be coordinating the call today. [Operator Instructions].
I will now hand over to your host Stefan Neely at Vallum Advisors to begin. Stefan, please go ahead.
Stefan Neely
Thank you, operator. On behalf of our entire team, I'd like to welcome you to our fourth quarter and full year 2023 results conference call. Leading the call today is MEC's President and CEO, Jag Reddy; and Todd Butz, Chief Financial Officer.
Today's discussion contains forward-looking statements about future business and financial expectations. Actual results may differ significantly from those projected in today's forward-looking statements due to various risks and uncertainties, including the risks described in our periodic reports filed with the Securities and Exchange Commission. Except as required by law, we undertake no obligation to update our forward-looking statements.
Further, this call will include the discussion of certain non-GAAP financial measures. Reconciliation of these measures to the closest GAAP financial measure is included in our quarterly earnings press release which is available at mecinc.com. Following our prepared remarks, we will open the line for questions.
With that, I would like to turn the call over to Jag.
Jag Reddy
Thank you, Stefan, and welcome to those joining us on the call and webcast. 2023 was a year of significant progress for the entire MEC organization as we continue to advance a multi-year business transformation journey. Our entire team came together under a One MEC One mission mindset that emphasizes performance excellence and a collaborative customer-first approach.
Last year, we sharpened our commercial focus expanding within higher value market adjacencies while improving our operational discipline leveraging automation and process efficiencies. We introduced a balanced capital allocation strategy investing in innovation and robotics, prioritizing high return capital-light advancements with payback periods of less than 18 months and inorganic growth while returning capital to shareholders through $2 million worth of opportunistic open market share repurchases.
Our fourth quarter performance was a solid finish to the year, one highlighted by continued organic revenue growth, substantial year-over-year margin expansion, improved profitability and the second consecutive quarter of record free cash flow generation.