LRT Capital Management, an investment management company, released its “LRT Global Opportunities Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The strategy leverages a systematic long/short approach to generate positive returns while effectively controlling downside risks and maintaining low net exposure to the equity markets. In September, the strategy returned -8.00% (net), and the YTD return was -0.17%. It was a challenging month for the strategy, as the marke ...

IES Holdings, Inc. (NASDAQ: IESC ) a 28-year-old business with deep roots in electrical contracting, currently serves as a diversified infrastructure services provider for a whole host of markets within the US (operations in 130+ locations), particularly housing, data centers, power, and industrial (see image below for otherAnalyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I ...

Small Cap write on sticky notes isolated on Office Desk. Stock market conceptgettySmall caps are (finally!) back, but most people are in the dark about how to tap them for serious dividends. But there is a proven way to do that—one that puts a rich 7.1% payout squarely on the table for us.Everyone has missed this one. We’re going to dive into it today.The main reason I hate to see people ignore small caps—especially now—is that, well, their time has come.Small Caps LagYchartsAs you can see, It’s been a soli ...

IES Holdings, Inc. (NASDAQ:IESC) is one of the 12 Stocks with Consistent Growth to Invest In. The company’s top executive makes a bold sale amid revenue increase and the acquisition of Qypsys. IES Holdings Expands Through Acquisition Amid Insider Stock Sales and Revenue Growth The company reported revenue of $890 million for the third quarter ended June 30, 2025, reaching a 16% increase compared to the same quarter the previous year. It also highlighted a backlog of approximately $2.1 billion. In additi ...

IES Holdings, Inc. (NASDAQ:IESC) is one of the stocks in focus in Jim Cramer’s latest lightning round. A caller asked for Cramer’s thoughts on the stock during the lightning round, and he commented: “I know that electrical contractor, that again, is going higher because it is data center. Do you see the pattern, everybody?” Photo by Yiorgos Ntrahas on Unsplash IES Holdings, Inc. (NASDAQ:IESC) provides electrical, mechanical, and technology solutions, including communications infrastructure, residentia ...

Group 1 - Semiconductor shares were leaders in trading, increasing by approximately 4.4% on the day [1] - Intel shares surged by about 28%, while Rigetti Computing shares rose by approximately 15.4% [1] - Construction shares also showed strength, up around 3% as a group, with Sterling Infrastructure increasing by about 7.5% and Ies Holdings rising by approximately 5.6% [1]

IES Holdings (IESC) FY Conference Summary Company Overview - IES Holdings is a diverse electrical and technology systems company providing critical infrastructure products and services across North America, including markets such as data centers, e-commerce, high-tech manufacturing, semiconductor plants, healthcare, and education facilities [2][3] Financial Performance - For fiscal year 2024, IES reported total revenue of approximately $2.9 billion and operating income of $301 million, with an adjusted EPS of $9.62 per share [3] - Over the past five years, IES has achieved a compound annual revenue growth rate of 22% and an operating income growth rate of 48%, with operating margins increasing from just under 4% to 10.4% [7] Growth Strategy - The growth strategy is supported by a mix of organic growth and acquisitions, with a focus on capital investments to enhance business segments [5][6] - IES has been active in strategic acquisitions since fiscal 2019, which have contributed to robust compound annual growth [10] - The company emphasizes a disciplined capital allocation strategy, funding acquisitions primarily through cash flow from operations [6][11] Market Trends and Opportunities - Favorable macroeconomic conditions and three critical secular tailwinds are driving growth: 1. Investment in technology infrastructure, particularly for data centers to support AI advancements 2. Increased residential construction needs 3. Growing investments in manufacturing facilities in the U.S. [8][9] - The demand for IES's cabling and communications technology is increasing, alongside adjacent infrastructure solutions like enclosures and backup generators [10] Segment Performance Communication Segment - The communication segment has seen substantial growth, particularly driven by investments in data centers and high-tech manufacturing [12] - IES has opportunities for repeat business with many customers, indicating a strong market position [12][37] Residential Segment - The residential segment provides electrical, HVAC, and plumbing installation services, primarily in the Southern U.S., with Texas and Florida as key markets [24] - Despite current headwinds in the residential market, long-term outlook remains optimistic due to positive demographic trends and pent-up housing demand [26][38] Infrastructure Solutions - The infrastructure solutions segment focuses on custom power solutions, with significant growth driven by demand for generator enclosures, particularly in the data center market [27] - IES has expanded manufacturing capacity significantly over the past four years to meet growing demand [39] Commercial and Industrial Segment - This segment services commercial buildings and industrial facilities, facing competitive pressures but also benefiting from a strong balance sheet and disciplined capital allocation [32][33] - The company is focusing on expanding capabilities for large data center projects within this segment [46] Challenges and Outlook - The residential housing market faces challenges from affordability and high borrowing costs, which may persist in the short term [36] - However, IES is positioning itself to capitalize on the eventual recovery in the housing market by enhancing its plumbing and HVAC service lines and strengthening relationships with builders [38] Conclusion - IES Holdings maintains a positive long-term outlook across its end markets, leveraging a flexible capital structure and strong balance sheet to support growth initiatives [48]

Core Points - IES Holdings, Inc. will present at the Midwest IDEAS Investor Conference on August 27, 2025, at 4:50pm CT [1] - The presentation will be webcast and accessible through the conference host's website [1] - Presentation materials will be available in the investor relations section of IES's website [1] Company Overview - IES Holdings, Inc. designs and installs integrated electrical and technology systems [2] - The company provides infrastructure products and services to various end markets, including data centers, residential housing, and commercial and industrial facilities [2] - IES employs over 9,000 individuals serving clients across the United States [2]

Core Insights - IES reported a significant increase in revenue and net income for Q3 2025, exceeding Wall Street expectations, with revenue growing 16% to $890.2 million and non-GAAP EPS rising 45.2% to $3.95 compared to Q3 2024 [1][2] Financial Performance - Revenue for Q3 2025 reached $890 million, surpassing the consensus estimate of $833 million, and increased from $768 million in Q3 2024, reflecting a year-over-year growth of 15.9% [2] - Non-GAAP EPS was reported at $3.95, significantly higher than the expected $3.55 and up from $2.72 in the prior year, marking a 45.2% increase [2] - Operating income rose to $111.9 million, a 24.1% increase from $90.2 million in Q3 2024 [2] - Net income attributable to IES was $77.2 million, up 24.3% from $62.1 million in the same quarter last year [2] Business Overview - IES operates as a national provider of electrical and infrastructure services across various sectors, including Communications, Residential, Infrastructure Solutions, and Commercial & Industrial [3] - The company has focused on high-growth segments such as technology infrastructure and data centers, investing in capacity and targeted acquisitions [4] Segment Performance - The Communications and Infrastructure Solutions segments benefited from increased demand for data processing and storage, contributing to overall growth [5] - The Residential segment faced challenges, with revenue declining 8% to $346.1 million and operating income decreasing by 24%, attributed to a soft housing market [6] - The Commercial & Industrial segment experienced a 20% revenue growth, driven by activity in education, healthcare construction, and data center projects, although operating income remained flat compared to the previous year [7] Strategic Focus and Investments - IES is investing in technology and infrastructure capabilities, as evidenced by the Qypsys deal in Communications [8] - The company ended the quarter with cash and restricted cash totaling $108.4 million and marketable securities of $66.8 million, maintaining low net long-term debt of $20 million [9] Future Outlook - Management did not provide formal guidance but highlighted a record backlog and strong demand in data center infrastructure as indicators of growth potential [10] - Key areas to monitor include the performance of the Residential segment, margin performance in Commercial & Industrial, and the integration of new acquisitions [11]

Financial Performance - Revenue for the third quarter of fiscal year 2025 was $890 million, a 16% increase year-over-year[7] - Operating income for the third quarter of fiscal year 2025 was $111.9 million, a 24% increase year-over-year[7] - Earnings per share for the third quarter of fiscal year 2025 was $3.81, and adjusted earnings per share was $3.95[7] - Year-to-date revenue for fiscal year 2025 reached $2473.7 million, a 17% increase compared to $2108.6 million in the same period of fiscal year 2024[9, 19] - Year-to-date earnings per share increased by 45% from $6.84 to $10.03[11] Segment Performance - Communications segment revenue for the third quarter of fiscal year 2025 was $299.2 million, a 56% increase from the third quarter of fiscal year 2024[14] - Residential segment revenue for the third quarter of fiscal year 2025 was $346.1 million, an 8% decrease from the third quarter of fiscal year 2024[14] - Infrastructure Solutions segment revenue for the third quarter of fiscal year 2025 was $129.5 million, a 27% increase from the third quarter of fiscal year 2024[14] - Commercial & Industrial segment revenue for the third quarter of fiscal year 2025 was $115.4 million, a 19% increase from the third quarter of fiscal year 2024[14] Backlog - Remaining performance obligations, a GAAP measure of future revenue, stood at $1.3 billion[7] - Record backlog reached $2.1 billion[7] - Agreements without an enforceable obligation are valued at $772 million[24]