Q3 2020 ARC Document Solutions Inc Earnings Call

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Ladies and gentlemen, thank you for standing by and welcome to the arc Q3 2020 earnings report conference call at this time. All participants are in a listen-only mode averages speaker's presentation. There will be a question-and-answer session to ask a question during the session you need to press star one on your telephone keypad. If you require any further assistance, please press * 0. I will now like to turn the call over to our host for today David speaking VP Court Communications and investor relations. Thank you, please go ahead. Thank you and welcome everyone on the call with me today are SRI Sri Lanka Maharaja chairman president and Chief and sorry, sir, our chairman president and chief executive officer our chief operating officer dealing with Syria and George Avalos our Chief Financial Officer off. Our third quarter results for 2020 were publicized earlier today in a press release the press release and other company materials are available from our investor relations pages on Arc document Solutions website at

I r. In today's earnings announcement Ark offered expanded supplemental disclosures to provide shareholders and analysts with additional information in advance of our quarterly conference call. The disclosures are largely historical and will not be read on today's call. Please note that today's call will contain call will also contain references to certain non-gaap measures which are reconciled in today's press release and in our form 8-k filing.

I'll now turn the call over to our chairman president and CEO Surya Surya Kumar Sherry. Thank you, David and good afternoon. Everybody. We are extremely pleased to announce a strong in spite of the extraordinary circumstances. We have been operating under with regard to the pandemic.

Romaine recall immediately after the COVID-19 was declared a pandemic and businesses were forced into a lockdown. We embarked on an ambitious strategy to react in a company for a new environment. We made significant changes in our operation and our infrastructure to make sure that we could continue sendimage Imaging leading the way we've seen growing interest in environmental lead.

And educational graphic Imaging and of course health and safety signage remain in a high demand. We have also stretched these capabilities into new areas creating a product to fit our new environment like cube mate of a mobile desk creams for the education Market.

The majority of our new business is coming from outside of the construction industry that construction printing has remained the vital part of the mix as new and existing products continue to move forward.

The environment for Management Services is changing and creating new opportunities despite continued to work from home preferences and scanning and imaging has also proven resilient.

Working away from officers demands mobile-first attitude toward document and information management. So our customers are looking at digital document conversion in a new light bulb the company also continues to make inroads into the facility is Market.

Business was changing long before the pandemic start in some ways our new focus and reconfiguration of operation simply accelerated transformation into a new kind of company.

But at the heart of it it's availability to quickly recognize and respond to the needs of our customers our business and our shareholders this approach. This business has not only become second nature to us, but also has become a strategic necessary in our changing environment.

Depend any shows no sign of diminishing soon and we expect the challenging operating environment to persist but as the economic and cultural landscape see you all in the face of the pandemic. We are adapting to the opportunities it presents for new business refining our cost structure and opening up new markets.

Our third quarter impressive from almost any perspective and I'll turn over the call in a moment to deal enjoys to explain more. But before I do, I also want to retrace our long-term commitment to our shareholders.

A year ago, we made a commitment to begin returning shareholder value directly in the form of a dividend program and share repurchases. It was a month billing and it felt like we were interrupted almost immediately.

With the onset of the pandemic in March, we were compelled to suspend both programs to ensure the company and its cash flows were secure.

Two quarters. I think we have done both and such. We already ready to recommence these activities and we anticipate the resumption of our program and share repurchases before the end of the year.

How the pandemic ultimately affects our cultural and economic environment in the coming months remains to be seen it's a fluid environment to say the least and I will be surprised if if we weren't challenged along the way but I've always surprised to see our team right to those challenges and overcome them.

No, I do not call you with the deal and then George to provide perspective until 3 below.

Thank you, sir. When we last spoke most of our efforts revolving around implementing systems to keep our employees safe key organizing the service centers to accommodate New Life of work supporting customers by implementing good safety protocols such as curbside pickup non-contact deliveries and restricted access to walk in traffic pre-organized GMP is workflow to support customers working from home strengthening our online and e-commerce platform improving an increase in investment in our web and social media marketing efforts and reorganizing expenses to keep the company fit and strong entering new markets as we have done has required the sales force of

Hunter and a more aggressive approach to marketing and our team has embraced these new mindset on the operations side. I'm very pleased with our staff who work tirelessly to read janier the production centers and