Key Takeaways ITRI will introduce its Cyble 5 module to Asia Pacific, enhancing mechanical water meters with smart features. Over 2 million Cyble 5 units are already deployed in EMEA, with production in Indonesia set for late 2025. Module enables automated metering, leak detection and cost savings without full infrastructure replacement.Itron, Inc. (ITRI) is set to introduce its Cyble 5 communication module to the Asia-Pacific region. This advanced module, already widely deployed throughout Europe, the Mi ...

Core Insights - Itron, Inc. released its 2024 Corporate Sustainability Report, emphasizing its commitment to sustainability and the positive impact of its solutions on customers and communities [1][2][3] Sustainability Strategy - The company completed its first enterprise-wide double materiality assessment in 2024, aligning sustainability priorities with stakeholder expectations and regulatory requirements [2][4] - Itron's ESG strategy is integrated into its operations, with oversight from the board of directors [3] Environmental Impact - Itron's solutions helped customers avoid 7.5 million metric tons of greenhouse gas emissions in 2024, driven by improved operational efficiency and consumer engagement [4] - The company achieved 100% ISO 14001 certification across all manufacturing facilities and reduced Scope 1 and 2 emissions by over 50% since 2019 [4] Community and Employee Engagement - Itron was recognized as one of America's Greatest Workplaces, with nearly 95% of employees expressing intent to stay with the company [4] - The company invested over $1 million in corporate philanthropy, educational outreach, and volunteerism [4] Ethical Conduct and Governance - In 2024, 100% of employees completed the Code of Conduct training, and nearly 90% of the Board remained independent [4] - Itron received an "AA" MSCI rating and a "Low Risk" designation from Sustainalytics, reflecting its strong ESG profile and values-driven leadership [4]

Core Insights - Itron, Inc. is launching its Cyble™ 5 communications module in the Asia-Pacific region, which enhances mechanical water meters into communication devices for automated meter reading and advanced metering infrastructure [1][2] - The module will be produced in Cikarang, Indonesia, starting Q4 2025, addressing utility challenges in the region, including smart metering and water conservation [2] - The Cyble 5 module is designed to withstand extreme weather conditions, making it suitable for various climates, and allows utilities to upgrade without replacing existing infrastructure [3] Group 1 - The Cyble 5 module enables utilities to reduce costs and support sustainability initiatives by improving existing metering infrastructure [1][2] - It features leak detection capabilities, which are particularly beneficial in regions facing water scarcity, such as Australia and New Zealand [2] - Itron has successfully shipped over 2 million Cyble 5 modules in the EMEA region, helping utilities like Severn Trent Water significantly reduce water losses [4] Group 2 - The module's design includes resistance to water, contaminants, corrosion, humidity, and high temperatures, ensuring durability and versatility for utilities [3] - The easy installation process of the Cyble 5 module allows utilities to transition at their own pace without the need for extensive infrastructure changes [3] - Itron positions itself as a leader in energy, water, and smart city solutions, focusing on innovative systems and resource conservation [6]

Core Insights - Itron, Inc. is accepting nominations for the 7th annual Itron Innovator Award, aimed at recognizing utility or city customers who have utilized Itron's partner enablement program to implement innovative solutions that enhance resource efficiency, safety, and community connectivity [1][4]. Group 1: Award Details - The award will be presented at Itron Inspire 2025, scheduled for October 24-30 in Orlando, Florida, with a nomination deadline of June 30, 2025 [1]. - Eligible nominations must involve solutions that are either in a pilot phase, deployed in the field, or generating quantifiable outcomes, with successful integration with Itron solutions being a key criterion [2]. Group 2: Previous Winners - In 2024, Hydro One, Ontario's largest electricity provider, won the award for its technology initiatives that utilized Itron's Distributed Intelligence applications to support grid modernization efforts [3]. Group 3: Company Overview - Itron operates in over 100 countries, providing critical infrastructure solutions for utilities and cities, including smart networks, software, services, meters, and sensors to manage electricity, gas, and water resources [6]. - The company emphasizes collaboration with customers to enhance quality of life, safety, and sustainability for millions globally, aiming to create a more resourceful world [6].

Core Points - Itron, Inc. is accepting nominations for the 7th annual Itron Innovator Award, aimed at recognizing innovative solutions from utility or city customers that enhance resource efficiency and community connectivity [1][4] - The award will be presented at Itron Inspire 2025, scheduled for October 24-30 in Orlando, Florida, with a nomination deadline of June 30, 2025 [1][5] - The nominated solutions should be in a pilot phase, deployed, or generating quantifiable outcomes, with successful integration with Itron's solutions being a key criterion [2] Company Overview - Itron is a global leader in energy and water management, providing critical infrastructure solutions to utilities and cities in over 100 countries [6] - The company offers a comprehensive portfolio that includes smart networks, software, services, meters, and sensors to help manage electricity, gas, and water resources [6] - Itron aims to enhance the quality of life, safety, and sustainability for millions globally through collaboration with its customers [6]

Core Viewpoint - Itron, Inc. has introduced the Solar Battery Access Point, a solar-powered device aimed at providing cost-effective and flexible networking solutions for water and gas utilities, addressing the challenges of traditional infrastructure [1][2]. Group 1: Product Features and Benefits - The Solar Battery AP eliminates the need for expensive tower-based or utility pole-mounted infrastructure, allowing utilities to utilize their own assets for mounting [2][6]. - It features a rechargeable power management system with an integrated solar panel, which generates the necessary power, thus avoiding costs associated with power drops and monthly bills [6]. - The device is designed for long-lasting performance, with an operational lifespan of up to 20 years in the field [6]. - It enhances connectivity by delivering a low-latency, battery-powered mesh network, which expands the network capabilities for gas and water utilities [6]. Group 2: Market Position and Future Outlook - The Solar Battery AP is set to be available in North America in the second half of 2025 and will be showcased at the American Gas Association Operations Conference [1]. - The introduction of this technology is expected to help utilities and municipalities improve the safety and reliability of critical services while creating new engagement opportunities with customers [3].

Core Insights - Itron Inc. reported non-GAAP EPS of $1.52 for Q1 2025, exceeding the Zacks Consensus Estimate by 16.9% and up from $1.24 in the prior-year quarter [1][3] - Revenues increased by 1% year over year to $607 million, but fell short of the Zacks Consensus Estimate of $614.3 million and management's guidance of $610-$620 million [1][2] - The company experienced mixed performance across its segments, with steady customer demand driven by grid modernization and automation [2][3] Revenue Breakdown - Product revenues were $523.1 million, accounting for 86.2% of total revenues, down 0.9% year over year, while service revenues rose 11.1% to $84 million [2] - Device Solutions segment generated $125.9 million, down 1% year over year, while Networked Solutions revenues decreased by 1% to $402.7 million [4][5] - Outcomes segment saw a 14% increase in revenues to $78.5 million, driven by higher recurring revenues and increased software license sales [5] Operating Performance - Gross margin improved to 35.8%, up 180 basis points year over year, attributed to a favorable product mix and operational efficiencies [6] - Non-GAAP operating income rose to $80.3 million from $67.3 million in the previous year, reflecting improved gross profit and reduced operating costs [6] Financial Position - As of March 31, 2025, cash and cash equivalents were $1.123 billion, up from $1.05 billion at the end of 2024, with net long-term debt reduced to $786.1 million [8] - Free cash flow reached $67 million, doubling from $34 million in the prior-year quarter, due to stronger earnings and better working capital management [9] Future Guidance - For Q2 2025, Itron expects revenues between $605 million and $615 million, with non-GAAP EPS anticipated in the range of $1.30-$1.40, indicating about 12% growth at the midpoint compared to the previous year [10]

Financial Performance - Total revenues for Q1 2025 were $607,151,000, a slight increase of 0.12% compared to $603,442,000 in Q1 2024[9] - Net income for Q1 2025 was $65,350,000, representing a 26.2% increase from $51,787,000 in Q1 2024[9] - Gross profit increased to $217,219,000 in Q1 2025, up from $205,379,000 in Q1 2024, reflecting a gross margin improvement[9] - Operating income rose to $76,213,000 in Q1 2025, compared to $62,800,000 in Q1 2024, marking a 21.4% increase[9] - The company reported a comprehensive income of $78,898,000 for Q1 2025, significantly higher than $40,879,000 in Q1 2024[11] - Operating cash flow for Q1 2025 was $72,117,000, compared to $41,308,000 in Q1 2024, indicating improved cash generation[19] - Net income available to common shareholders for the three months ended March 31, 2025, was $65.474 million, compared to $51.721 million for the same period in 2024, representing a year-over-year increase of 26.5%[30] - Basic earnings per share (EPS) increased to $1.44 for Q1 2025 from $1.13 in Q1 2024, reflecting a growth of 27.5%[30] - Non-GAAP net income attributable to Itron, Inc. was $70.1 million in Q1 2025, compared to $57.3 million in Q1 2024[137] - Adjusted EBITDA for Q1 2025 was $87.9 million, compared to $76.5 million in Q1 2024[137] Assets and Liabilities - Cash and cash equivalents at the end of Q1 2025 were $1,123,267,000, up from $1,051,237,000 at the end of 2024[13] - Total assets increased to $3,503,142,000 as of March 31, 2025, compared to $3,407,623,000 at the end of 2024[13] - Itron's total liabilities decreased to $1,994,063,000 as of March 31, 2025, down from $1,996,195,000 at the end of 2024[13] - Total debt as of March 31, 2025, stands at $1,265,000,000, with a current portion of $457,747,000 and long-term debt of $786,137,000[43] - The company remains in compliance with debt covenants under the 2018 credit facility as of March 31, 2025[45] Revenue Segments - Product revenues in the Device Solutions segment were $125,387,000 for Q1 2025, compared to $125,908,000 in Q1 2024, indicating a decrease of 0.41%[113] - The Networked Solutions segment generated revenues of $402,732,000 in Q1 2025, up from $381,305,000 in Q1 2024, reflecting an increase of 5.8%[113] - The Outcomes segment reported revenues of $78,548,000 in Q1 2025, compared to $69,174,000 in Q1 2024, representing a growth of 13.6%[113] Expenses - Research and development expenses for the consolidated company in Q1 2025 were $42,224,000, compared to $43,600,000 in Q1 2024, a decrease of 3.16%[113] - Total stock-based compensation expense for the three months ended March 31, 2025, was $17,257,000, up from $12,878,000 in 2024, representing a year-over-year increase of approximately 33.5%[68] - Operating expenses decreased by $1.6 million, or 1%, compared to Q1 2024[137] Cash Flow and Backlog - Free cash flow for Q1 2025 was $67.478 million, a 97.6% increase from $34.163 million in Q1 2024, driven by higher operating cash flow and reduced capital expenditures[173] - Total backlog reached $4.7 billion as of March 31, 2025, compared to $4.3 billion a year earlier[137] - Twelve-month backlog was $1.6 billion at March 31, 2025, down from $1.9 billion at March 31, 2024[137] Tax and Compliance - The company’s tax rate for the three months ended March 31, 2025, was 21%, consistent with the federal statutory rate of 21%[73] - The income tax provision for the three months ended March 31, 2025, was $16.929 million, compared to $13.429 million in 2024, maintaining a tax rate of 21%[151] Stock and Shareholder Activities - The company authorized a stock repurchase program of up to $100 million effective September 19, 2024, with no shares repurchased under this program as of the reporting date[93] - The company completed the repurchase of 971,534 shares under the 2023 Stock Repurchase Program for a total of $100 million at an average price of $102.93 per share in June 2024[94] Restructuring and Future Plans - Total expected restructuring costs for the 2023 Projects were $51,256,000, with costs recognized during the three months ended March 31, 2025, amounting to $50,174,000, reflecting a slight increase of 2.2%[87] - The company’s restructuring activities are expected to optimize global supply chain and manufacturing operations, with projects substantially complete as of March 31, 2025[86] Risk Management - The company is focused on risk management strategies to hedge against foreign currency and interest rate risks, using derivative financial instruments[204] - As of March 31, 2025, the company had no outstanding variable rate debt, mitigating interest rate risk[205] - The company entered into 32 foreign exchange forward contracts to manage currency exposure, with notional amounts ranging from $112,486 thousand to $23.5 million[207]

Core Insights - Itron has achieved a significant milestone with the shipment of its 3 millionth Intelis gas meter, received by Peoples Natural Gas, the largest natural gas distribution company in Pennsylvania [1][2]. Company Overview - Itron is a global leader in energy, water, smart city, IIoT, and intelligent infrastructure services, focusing on building innovative systems and creating efficiencies for utilities and cities [3]. Product Features - The Intelis gas meter includes advanced safety features such as automatic valve closure during high pressure, high flow, or high temperature events, enhancing safety for users [5]. - It offers remote shut-off capabilities for safety events, move-outs, or line maintenance, improving operational efficiency [5]. - The meter supports both Automated Meter Reading (AMR) and Advanced Metering Infrastructure (AMI), allowing utilities to transition at their own pace [5]. - Itron provides advanced software for monitoring safety events and alarms generated by the Intelis gas meters, offering real-time visibility for gas distribution management [5]. - The Intelis gas meter is noted as the lightest residential gas meter in North America, weighing 4.35 pounds, which aids in installation and reduces carbon emissions [5]. Strategic Partnership - Peoples Natural Gas has been collaborating with Itron for nearly 30 years, emphasizing the importance of the Intelis gas meters in improving customer service and safety [2].

Core Insights - Itron reported revenue of $607.15 million for the quarter ended March 2025, reflecting a year-over-year increase of 0.6% and an EPS of $1.52, up from $1.24 in the same quarter last year [1] - The revenue fell short of the Zacks Consensus Estimate of $614.27 million by 1.16%, while the EPS exceeded the consensus estimate of $1.30 by 16.92% [1] Revenue Breakdown - Revenue from Networked Solutions was $402.73 million, below the average estimate of $416.08 million, representing a year-over-year decline of 1.2% [4] - Revenue from Outcomes reached $78.55 million, slightly below the average estimate of $79.19 million, but showed a year-over-year increase of 13.6% [4] - Revenue from Device Solutions was $125.87 million, exceeding the average estimate of $119.66 million, with a year-over-year decrease of 0.7% [4] - Total Product Revenue was reported at $523.14 million, compared to the average estimate of $536.93 million [4] Service Revenue Insights - Service Revenue from Device Solutions was $0.48 million, significantly below the average estimate of $1.25 million [4] - Service Revenue from Networked Solutions was $28.21 million, surpassing the average estimate of $25.48 million [4] - Service Revenue from Outcomes was $55.32 million, exceeding the average estimate of $50.30 million [4] - Total Service Revenue was $84.01 million, above the average estimate of $77.03 million [4] Product Revenue Details - Product Revenue from Networked Solutions was $374.52 million, below the average estimate of $391.22 million [4] - Product Revenue from Device Solutions was $125.39 million, exceeding the average estimate of $117.60 million [4] - Product Revenue from Outcomes was $23.23 million, below the average estimate of $28.11 million [4] Profitability Metrics - Gross Profit from Device Solutions was $37.75 million, significantly higher than the average estimate of $31.19 million [4] Stock Performance - Itron's shares have returned +3.7% over the past month, outperforming the Zacks S&P 500 composite, which declined by -0.7% [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]