Thank you, Bob, and greetings, everyone. Thanks for joining us today.

Q1 was a quarter that reflected the strategy we've been executing against. While the broader home improvement market continues to evolve, we delivered strong margin retention, generated positive operating cash, and most importantly, continued to advance our footprint expansion initiatives.

The last 12 months, we've completed three accretive acquisitions: the Orlando Pro Center, Grain Custom Wood in February, and Tile Outlets of America, which just closed. That is the story this quarter: while the market compresses valuations, we're using a strengthened balance sheet to scale, to build, and operating leverage for the recovery.

As you'll see in today's materials, Q1 revenue was $14.6 million, down 3% year-over-year, reflecting a softer industry-wide demand. Importantly, we held gross margin at 40.2%, generated $0.55 million in positive operating cash flow, and strengthened our cash position.

Working capital improved by $4.7 million year-over-year. Pro Centers represented 73% of total revenue in the quarter, our largest segment by scale and the platform we're building around.

That same Pro Center platform is what makes our M&A program work. Gives every acquisition a place to plug in, to integrate, and to immediately benefit from sourcing, technology, and back office leverage.

I'll now hand over to Kerry to walk through the detailed financial results.

Thanks, Shawn, and good afternoon, everyone. Let me walk you through the quarter here.

Shawn noted Q1 was $14.6 million of sales compared to $15.1 million in Q1 2025, a decrease of 3.3%, which we view as fairly positive given the macroeconomic environment that the company is in. Gross margin came in at 40.2%, 110 basis points below the very strong 41.3% margin we delivered in Q1 of 2025.

As Shawn noted, we did generate positive operating cash flow of $0.55 million, a good result for the quarter given the demand backdrop. Looking at the segment breakdown, e-commerce contributed $3.9 million of the quarterly revenue and a 52% gross margin, while the Pro Centers contributed $10.7 million at a 35.9% gross margin.

Together, our omnichannel model continues to deliver structurally higher margins than a peer retail comparable. Turning to the consolidated summary, year-over-year revenue was down 3.3% to $14.6 million.

Gross profit was $5.9 million versus $6.2 million the prior year. Gross margin, as noted, was 40.2% versus 41.3%.

Adjusted EBITDA for the quarter was a modest loss in the range that we previewed in our May 12th press release, driven primarily by lower segment volume, partially offset by the margin discipline that we noted. At the segment level, both businesses generated a positive adjusted EBITDA: the e-commerce segment at $0.12 million and the Pro Centers at $0.62 million, for a combined operational segment adjusted EBITDA, pre-corporate costs, came in at $0.74 million.

The story is consistent quarter after quarter: the underlying segments are profitable, platform overall is generating cash, and the balance sheet is positioned for capital deployment, which we did subsequent to quarter end. Moving on to the next slide, the e-commerce segment revenue, as I said, was $3.9 million, down 8.1% from $4.2 million in Q1 of 2025, reflecting a slightly softer category demand in early 2026.

Gross margin actually expanded 10 basis points to 52% this quarter, supported by disciplined pricing and a core product mix assortment. Operating expenses came in at $1.9 million on lower marketing and discretionary spend, and segment adjusted EBITDA, as noted, was $0.12 million compared to $0.15 million in Q1 of 2025.

The key story for the quarter for e-commerce is the integration of the Grain platform, which was the asset purchase we closed in early February. Grain adds a marketplace platform with major US retailer channels, and we expect revenue contribution to accelerate as we move through the year in this segment.

We're also routing more fulfillment through our Pro Center network, especially Grain, which we expect to further support our margin efficiency. On the next slide, the Pro Center segment, this remains obviously our largest segment and our M&A integration platform.

Revenue for this segment was $10.7 million, down 1.4% year-over-year. Gross margin was 35.9%, generating $3.85 million in gross profit, and again, the segmented adjusted EBITDA was $0.62 million for the Pro Center segment.

The Orlando Pro Center we opened in Q1 of 2025 via the purchase of the Yorkshire and Anchor assets was our opening M&A step into the Florida market, and the Tile Outlets of America acquisition that we just closed on May 12th adds three new Florida showrooms in Tampa, Sarasota, and Fort Myers, along with approximately $19.5 million of annual sales to our Florida foundation. TOA expands our Florida footprint meaningfully and gives us regional density, which we did not have before.

With that, I'll just quickly hand it back to Shawn to walk through the footprint expansion in more detail here.

Thanks, Kerry. This is the single most important slide for understanding our strategy in today's presentation.

In the last 12 months, BuildDirect has added three new platforms to our footprint, deliberately while the broader flooring market has been compressing. First, Orlando Pro Center, which was purchased in Q1 of '25, the infrastructure investment is complete, gives the new beachhead in one of the most attractive flooring markets in the US.

Second was Grain Custom Wood, which we closed in February of this year, which really brought an online flooring marketplace platform, which was able to be plugged into our US retailer channels, with approximately $6 million in 2025 sales, $300,000 in adjusted EBITDA, and roughly $400,000 in identified annual cost synergies for logistics and warehousing consolidation. Really third, Tile Outlets of America, which we're very excited about, recently closed, and TOA brings three established Florida showrooms, approximately, as Kerry mentioned, $19 million in sales, and really an experienced operating team with the meaningful expansion to the tile category, which is a category that is relatively net new for us, and will be very accretive for us across our business.

The net purchase consideration was approximately $3.7 million, funded entirely with cash on hand, and we expect TOA to be accretive to adjusted EBITDA. Over time, we believe we can progress to our long-term targeted adjusted EBITDA and operating profile of 10% to 15%.

The North American flooring market is fragmented, and as we've mentioned many times before, many regional operators are facing real macro pressure and limited scale. That creates accretive entry points for an operator like us that has the platform, the sourcing network, digital marketing capabilities, and our integration playbook.

We intend to keep on using this window. Kerry?

Just next slide moving on to the balance sheet and liquidity. At March 31st, 2026, we held $7.2 million in cash and cash equivalents, up $3.7 million from Q1 2025.

Net working capital was $7.2 million at the end of this quarter, up $4.7 million year-over-year. Total assets stood at $36 million, up just over $9 million from a year ago.

On the working capital side, accounts receivable was $3.3 million. Accounts payable was $6.5 million, down from $7.2 million the prior year, reflecting healthier payment cycles, and the RBC revolving credit facility was drawn at $3.3 million.

Obviously, this working capital was set aside for M&A dry powder, and obviously, we used that to fund the TOA acquisition with entirely cash on hand. It's a cash-free, debt-free transaction, leaving us with a strong, healthy balance sheet to continue to support these businesses.

With that, I'll hand it back to Shawn for our outlook and some of our '26 priorities.

Thanks, Kerry. Looking at Q2 in the back half of '26, we do expect industry demand to remain softer until macro conditions improve, specifically until interest rates moderate and home turnover recovers.

It's a huge driver for the flooring industry. Input cost pressure from tariffs and logistics is likely to remain elevated.

Our response is straightforward: we continue to operate existing business with discipline, defending margin, generating cash, and integrating what we've acquired. We continue to deploy capital into accretive M&A where the market gives us cyclical valuations and great opportunities.

We expect demand recovery as macro headwinds ease, and we want the platform to be meaningfully larger and denser when that recovery arrives. This leads me to really our three priorities we're focused on the balance of this year.

First, the TOA integration, we have a clear playbook: corporate and back office consolidation, real estate optimization, supply chain efficiencies, and integration into our technology platform. We expect this work to drive margin improvement and operating leverage as we play out the year.

Second, with the Grain integration and e-commerce scale, the full integration of Grain is underway, and we expect revenue contribution to accelerate, and the cost synergies we identified at the announcement are tracking to plan. Third, we have a list of active targets, and we'll continue to work through those and progress them.

Our focus stays where it's been before: deep value, cash flow positive businesses that fit our Pro Center platform that we can buy at compressed valuations. Really to put a fine point on it, our job in this part of the cycle is to use BuildDirect's balance sheet, platform, and our execution to compound our footprint and density while others sit it out.

That's exactly what Q1 was, the TOA close, both represent. Lastly, with that, I'll turn it back over to Bob for any questions.

I'll take that one, Kerry. If you want to add anything to it afterwards, feel free.

If anything, I'm extremely optimistic. There definitely are a lot of great opportunities out there.

The latest acquisition in Florida really kind of speaks to what we are looking for and what's available. I would say, for us, definitely have a good feel for doing deals that make sense on both sides, team retention, the strategies, also being able to very quickly integrate and tap into the key value drivers on the hard synergy side is also great.

If you kind of think about it in a really basic, practical way, so, for example, TOA in Florida had a great legacy in the tile business, which is a considerable part of the flooring business our other operations were not in. You have foot traffic just flowing in, and with that, you have adjacent categories, things like vinyl plank, wood, carpet, on and so forth, area rugs that were not part of that product mix.

The flooring industry is not only fragmented when it comes to operators, there's also a lot of fragmentation that happens at the category level. You have businesses that specialize in, let's say, wood, for example, and others that specialize in tile, and we're able to bring that together.

Along with that, there's a very important pro focus for us. We get asked a lot, "Hey, why do you buy, why would a customer buy from you guys versus buying from Floor & Decor?"

I'll give you a specific soundbite. Standing in the Fort Myers location a couple days ago, one of our major pros, who literally works out of the location, they occupy one of our spaces in the back to work with customers, and they buy from us because we understand the product, we understand the installation, we don't mix up dye lots, it's the full service, we help their customer decide, the design support is real, and it's a great flow for a pro who's operating their own small business selling to their referral customers on the installation side.

We're able to take that complexity away. That type of specialty service, especially in an age of automation, is highly important, very practical, and helps solve real problems for pros versus going to competitors that have large buildings, lots of product, but lack that expertise to be able to help the customer, help a pro with their projects.

That's really where we our focus, and why we call all of our locations Pro Centers. For us, feel really good about the opportunities out there, and yeah, really haven't been, I've been pretty excited before, but even more so now, for sure.

I would say a couple things. We'll talk through category expansion is definitely, that's an example of a hard synergy.

Practically speaking, we have the locations today, you have your product assortment there, and there are net new categories that we're adding to those locations. As we mentioned, that will be done.

Really the confirmation points on the category expansion within those locations. The same thing applies to Grain.

For example, that company had a really good marketplace presence with big-box retail. That's great.

We in addition to that, we're able to add in a lot of SKUs on our existing profile, as well as expand to other partnerships. We typically don't PR specific company names, but just big-box retail, servicing those segments.

As those deals flow through, that's what I'd be looking at, and really where the hard synergies on the growth side come from.

Thanks, all. Bye.