Good afternoon. My name is Cristina, and I will be your conference operator today. At this time, I would like to welcome everyone to the 2017 Third Quarter Conference Call. [Operator Instructions] Jack Monti, Director of Investor Relations, you may begin your conference.

Thanks, Cristina. And thanks so much everyone for joining Rogers' third quarter 2017 earnings call. To follow along with the presentation, please see the Investors section of our website. Turning to Slide 2, we have a disclosure on forward-looking statements. During the call, we'll be making certain forward-looking statements subject to a number of risks and uncertainties, which may cause actual results to differ materially versus today's outlook. In addition, some of our financial metrics discussed will be on a non-GAAP basis, which management believes better reflects the underlying core operating performance of the business. Turning to Slide 3, it’s my pleasure to introduce Roger's Management team. Bruce Hoechner, President and CEO, is joined by Janice Stipp, Senior Vice President and CFO, and Bob Daigle, Senior Vice President and CTO. I will now turn the call over to Bruce.

Thanks Jack, good afternoon everyone and thank you for joining us on today's call. I'm very pleased to report that in Q3 2017 Rogers achieved all time record net sales and record third quarter earnings. Net sales were $207 million, an increase of 25% over Q3 2016. Revenue growth was evenly split between organic sales and contributions from our recent acquisitions. Notably, our Q3 results marked Rogers' fourth consecutive quarter of double-digit organic growth. Net sales combined with our commitment to operational improvements led to substantial profit gains during the quarter. Compared to Q3 2016, we achieved gross margins of 40% up 220 basis points, adjusted EBITDA of $51 million up 47% and adjusted EPS of the $1.41 up 46%. Over the past several years Rogers has greatly expanded, diversified and improved the performance of our business portfolio through new product innovation, thoughtfully identified well-integrated acquisitions, increased geographic penetration, and enhanced operational execution. Today our products play a vital role in many exciting advanced mobility and advanced connectivity applications such as Advanced Driver Assistance Systems or ADAS, electric and hybrid electric vehicles or EV HEV and the latest generation of high performance wireless networks. These rapidly emerging markets play well to Rogers' strengths putting us in a great position to capitalize on the significant growth opportunity. Please turn to Slide 5, I would like to take a few minutes to review Rogers growth strategy. Our results confirm that we have implemented a winning approach and we are clearly benefiting from our solid execution. We have confidence that our commitment to the four pillars of this roadmap will help us maintain our record of generating substantial and sustainable results, as well as strong shareholder returns. Our focus on market driven innovation is helping us advance our position in a number of…

Thank you Bruce, and good afternoon everyone. Our Q3 results reflect a continued momentum of the positive trends we have experienced throughout 2017 including double digit growth in our business units driven by our leading technologies, acquisition strategy, solid margin expansion all while continuing to invest in strategic growth initiative. As you'll see in the presentation today, the momentum we experienced in the first half continues into the third quarter of 2017. Now let me turn to Slide 12, I’ll review our third quarter results in more detail followed by our fourth quarter guidance forecast. Q3 2017 revenue as previously noted was $207 million, which exceeded both our guidance in Q3 2016. Our growth was primarily the result of strong volumes across all our business units and a recent acquisition. Adjusted operating margin was up 400 basis points from 15.5% in Q3 2016 to 19.5% in Q3 2017, a significant increase primarily due to higher volume, performance and acquisitions partially offset by SG&A primarily due to incentive compensation, acquired SG&A, higher sales marketing expense related to our higher sales and timing of professional services. Adjusted operating income was $40.3 million in Q3 2017 improving $14.8 million versus 25.5 million last year. Adjusted EBITDA of $50.7 million improved $16.2 million or approximately 47% compared to the third quarter of 2016. Net income of $25.5 million in the third quarter of 2017 was up $9.4 million versus the prior year or 260 basis points as a percent of revenue. Third quarter 2017 adjusted earnings per share of $1.41 was above our guidance exceeded Q3 2016 by 40% or 45.4%. Please turn now to Slide 13 for a review of our quarterly revenue. Our revenue was up 25.1% on year-over -year basis. Third quarter effective currency exchange rate favorably impacted revenue by $0.9…

Thank you, Janice. This now concludes our prepared remarks. We’ll now open the line for Q&A.

[Operator Instructions] Your first question comes from Craig Ellis from FBR. Your line is open.

It's B Riley FBR. Our team congratulations on the very good execution once again in the quarter. Bruce I wanted to follow-up on what I think were two references in your prepared comments to capacity and investment clearly you're seeing a very strong demand environment good execution I think year-to-date capital expenditures were about $17.7 million but where do you feel like there needs to be further capacity investments and where do you have room to grow into the plant and equipment that you do have?

There are couple of product lines that are tight on capacity getting up to a point where we're bit uncomfortable. So we've already moved ahead on approving investments there for capital expansion. We are now evaluating more broadly given the tailwinds that we've seen pretty much across all the product lines for additional strategic investments to ensure that we have appropriate capacity. And we’re in the midst of doing that now so in our Q4 call we will be able to give much clear guidance on the full year outlook in 2018 for CapEx.

And then I wanted to follow-up on one of the segments you mentioned in talking about communication infrastructure, the announcement that was out on the investment China 100,000 base stations for 5G. As we look ahead and it seems like no matter where you look there are signs of 5G pull in but as we look what’s happening in the segment a good performance in the quarter, are we at a point where with the activity that you're seeing in 5G we’re ready to hand off to a more sustained growth in that business or could it still be a bit lumpy in the near term before you move into the sweet spot of that infrastructure investment?

What we’re seeing is the 4.5G rollout essentially completion of 4G across places like China plus NB IoT narrowband Internet-of-Things also specifically in China growing and basically bridging the timeframe between when 5G really starts rolling out as you referenced the 100,000 base stations towards the end of 2018 going in to 2019 is the beginning of that and then we'll see more certainly as 2019 roles through. So this is a bit of a bridging timeframe that we’re seeing but we were encouraged in Q3 by the strength overall in the telecom space we did see growth and we're anticipating a similar sort of outlook in this quarter. So as I mentioned a bit of a bridging at this point with really 5G towards the end of next year 2018 and moving into 2019.

That's helpful and the last one from me before I jump back in the queue. Nice balance with organic and inorganic growth in the quarter the company mentioned that yet again there was good revenue execution from DeWAL and DSP where are we with those two business in terms of taking their U.S. based revenue from acquisition and importing that internationally and driving international growth with those two franchises?

As we had mentioned earlier that was part of the strategy for that acquisition and just to mention we've seen through the year through the first three quarters of this year approximately just over 20% growth in our sales for DeWAL in Asia and I think that reflects our focus on expanding that business strategically into Asia and we anticipate continued success as we move through.

[Operator Instructions] Your next question comes from Daniel Moore from CJS. Your line is open.

So Bruce you talked about the 4.5 G obviously, it sounds like 4G traditional 4G LTE had a little bit of a resurgence, so I am reading that correctly it is that also embedded in the Q4 guide and then we’ll switch gears to some of the other end markets.

We’re seeing - I would say that 4G and when we look 4G is really driven primarily right now in China. When we look at China its probably close to 90% 4G build out and we anticipate that over the next year or so that build out will get up closer to the 98%, 99% and so that’s what driving a bit of the investment that you're seeing and the growth that we’re seeing in 4G.

And then switching over to PES, you talked about I mean it sounds like all your end markets are going gang busters. But with laser diodes where are we now in terms of percentage of revenue I’m just trying to get sense of how meaningful that will be going forward. And maybe an update on renewable energy what are you seeing and what your expectations for continued growth into 2018 there?

So laser diodes in the quarter, laser diode coolers grew at a very high rate 25% and it’s a relatively low base. It accounts for the total of the corporation only about 2% of the corporation. But again we see the outlook for this to have continued high growth as far as we can see now this is all part of the automation that moving forward in the industrial side, medical side as well. So we're very bullish on that. In terms of renewable energy which was a growth area that was a primarily solar renewable energy in China that propelled that growth forwarded. We’ve seen that ebb and flow over the course of the last couple years and I think it's very project related. But I think the big news in curamik is pretty much or I should say in PES across the board we saw very strong growth. And I’ll draw particular attention to EV HEV also eMobility overall advanced mobility both EV HEV, as well as X-By-Wires we call it the electrification of traditional internal combustion engine. So a lot of focus there a lot of growth and our curamik materials are very well suited as a mentioned in my prepared remarks as the technology moves in that direction.

And then let me just throw one more at portable electronics is gone from what was a headwind for a period of time to nice tailwind. Talk about your expectations for continued content growth in 2018?

Well again we don’t project really much pass the fourth quarter but as our more strategic outlook in that business and we've done a very good job and the team has done an outstanding job in really understanding the customer needs next generation need and we’re getting the wins that that we think we deserve. Some challenges out there OLED continues to be a challenge for us that’s a very tough application the back pad on OLED because it's so thin. But we continue to look at next generation OLED is well, the flexible and bendable screens. And those are coming in the next two years or so. And our technology is very well suited in those areas.

[Operator Instructions] Your next question comes from Craig Ellis from B. Riley, FBR. Your line is open.

Janice I wanted ask you a few, with regards to operating expenses and admittedly the variances are typically done year-on-year, but when I look at the trends in the business in the third quarter revenues was up nicely sequentially, operating expense actually declined a little bit I was surprised with that. Was there anything special that happened quarter-on-quarter is that just classic Rogers' efficiency initiatives are coming into play?

Yes, various efficiencies coming into that really fall in cost utilization but also the other things that was offsetting was the copper, copper is growing we do have derivatives in place to offset it and we have indexing so that was a little bit of the mismatch in the quarter. So one thing we could have an operational for this quarter is premium freight that we’re getting the handle on that’s really to the raw material, supply we had some constraints with the supplier. We are working on a second source in addition that supplier has given us more production allocation so we won't have any issues in the next quarter for that product which is really the copper foil.

Just clarifying those comments though, the copper derivatives and the premium freight were those OpEx items or COGs items.

Premium freight is – in your growth volume cost of goods sold derivatives, we don't have hedge accounting, so that would be other income and expense.

And then Bruce, for you, and perhaps for Janice as well, at the Analyst Day the company was real clear on the importance of inorganic growth in achieving the $1.2 billion target, can you just give us an update on how you're looking at the landscape now and in the readiness of the company given the progress made thus far with DSP and DeWAL integration.

Sure, we have - as you mentioned this is part of our core strategy - M&A is part of our core strategy and we have a very seasoned team now out identifying opportunities and we continue to work through those. So we see still opportunities out in front of us and we are as an organization quite able and ready to pull the trigger at the appropriate time.

And do you sense that evaluation expectations are still reasonable one of the things that has changed fairly meaningfully since Analyst Day is that we have had a significant and fairly broad-based move in the market. Do you sense that you can still transact at multiples that are as reasonable as some of the things that we've seen in the last year or has the market really inflated expectations for counterparties and put things in a position where targets are as abundant as you would like?

We’re seeing multiples that are reasonable in the sense of what they’ve been over the last couple of years and so from our perspective we are - we still think there's good value out there.

[Operator Instructions] And there are no further questions at this time. I’ll turn the call back over to the presenters.

Thank you very much. And thank you everyone for joining the call today. We're pleased with our performance in Q3 and we’re looking forward to a strong finish in 2017. Have a good day everyone, thank you.

This concludes today's conference call. You may now disconnect.