Financial Data and Key Metrics Changes - Itron reported second quarter revenue of $607 million, adjusted EBITDA of $90 million, non-GAAP earnings per share of $1.62, and free cash flow of $91 million, achieving earnings above expectations despite macroeconomic uncertainties [5][11][12] - Gross margin reached an all-time quarterly record of 36.9%, an increase of 230 basis points year-over-year, driven by a favorable product mix [11][12] - Non-GAAP operating income was $82 million, a 19% increase year-over-year, while adjusted EBITDA increased 16% year-over-year [12] Business Segment Data and Key Metrics Changes - Device Solutions revenue decreased by 8% on a constant currency basis, primarily due to a decline in legacy electric product sales, partially offset by growth in water [13] - Network Solutions revenue decreased by 1% year-over-year, attributed to the non-recurrence of revenue catch-up from the previous year [13] - Outcomes revenue increased by 9% year-over-year, driven by growth in recurring revenue and software licenses [13][15] Market Data and Key Metrics Changes - Second quarter bookings totaled $454 million, primarily driven by Network Solutions and Outcomes segments, with expectations for annual bookings to be weighted towards the second half of the year [9] - The company anticipates a full-year revenue range of $2.35 billion to $2.4 billion, reflecting a 3% decline from initial guidance [18] Company Strategy and Development Direction - Itron's strategy focuses on expanding customer infrastructure and enhancing margins, with a strong emphasis on high-value solutions [6][21] - The company is actively pursuing mergers and acquisitions, particularly in software services, to enhance its portfolio [48] Management's Comments on Operating Environment and Future Outlook - Management noted that while the long-term market outlook remains positive, short-term project deployments are slowing due to complex customer and regulatory environments [7][20] - The company is adjusting its full-year revenue outlook midpoint down by approximately 3%, while increasing its EPS outlook midpoint by 13% [7][19] Other Important Information - Total debt stood at $1.265 billion, with net leverage at 0.1 times and cash and equivalents at $1.2 billion as of June 30 [16] - The company is experiencing a push towards higher-margin solutions, particularly in grid efficiency and reliability [31] Q&A Session Summary Question: Insights on margin expectations - Management indicated that the EBITDA margin is higher than expected due to structural changes in the device business, which have improved margins [25][26] Question: Near-term revenue outlook - The slowdown is attributed more to backlog delays rather than book and ship issues, with customers facing constraints in project sequencing and capital budgets [30][31] Question: Regulatory approval timelines - The pace of regulatory approvals is normal, with some projects experiencing delays due to sequencing issues [39][44] Question: M&A strategy amidst regulatory changes - The regulatory environment has not altered the company's M&A strategy, which remains focused on acquiring software services that enhance the portfolio [48] Question: Future revenue growth expectations - Management expects growth year-over-year for 2026, contingent on the trajectory of bookings in the second half of the year [52] Question: Complexity of projects affecting regulatory approvals - The complexity of projects is not a significant factor; regulators are primarily focused on balancing consumer costs with utility needs [58][60]

分组1 - Itron reported quarterly earnings of $1.62 per share, exceeding the Zacks Consensus Estimate of $1.33 per share, and up from $1.21 per share a year ago, representing an earnings surprise of +21.80% [1] - The company posted revenues of $606.76 million for the quarter ended June 2025, slightly missing the Zacks Consensus Estimate by 0.41%, and down from $609.07 million year-over-year [2] - Itron has surpassed consensus EPS estimates in all four of the last quarters and has topped consensus revenue estimates two times during the same period [2] 分组2 - The stock has gained approximately 27.5% since the beginning of the year, significantly outperforming the S&P 500's gain of 8.2% [3] - The current consensus EPS estimate for the upcoming quarter is $1.30 on revenues of $618 million, while for the current fiscal year, the estimate is $5.46 on revenues of $2.46 billion [7] - The Zacks Industry Rank indicates that the Electronics - Testing Equipment sector is currently in the bottom 13% of over 250 Zacks industries, suggesting potential challenges for stock performance [8]

Financial Performance - Q2 2025 - Revenue reached $607 million[4] - Adjusted EBITDA was $90 million[4], with a margin of 14.8%[11], a 210 bps increase year-over-year[11] - Non-GAAP diluted EPS stood at $1.62[4], a 34% increase year-over-year[11] - Free cash flow was $91 million[4], a 103% increase year-over-year[11] Bookings and Backlog - Q2 2025 bookings amounted to $454 million[7] - The book-to-bill ratio was 0.75[7] - The ending backlog reached $4.5 billion[7] Segment Performance - Q2 2025 - Device Solutions revenue decreased by 5%[20], or 8% in constant currency[20] - Networked Solutions revenue decreased by 1%[25] - Outcomes segment revenue increased by 9%[30] Outlook - Q3 2025 revenue is projected to be between $570 million and $585 million[36] - Full-year 2025 Non-GAAP EPS outlook revised to $600 to $620[37]

EXHIBIT 99.1 Itron Announces Second Quarter 2025 Financial Results LIBERTY LAKE, Wash., July 31, 2025 (GLOBE NEWSWIRE) -- Itron, Inc. (NASDAQ: ITRI), which is innovating the way utilities and cities manage energy and water, announced today financial results for its second quarter ended June 30, 2025. Key results for the quarter include (compared with the second quarter of 2024): "Itron delivered solid second quarter results driving quarterly record levels of margin, profitability, and cash flow," said Tom D ...

Core Insights - Itron, Inc. reported solid second quarter results with record levels of margin, profitability, and cash flow despite macroeconomic uncertainties [1][2] - Total revenue for the second quarter was $607 million, slightly down from $609 million in the prior year, reflecting a catch-up of previously constrained revenue [2][8] - The company experienced a 5% decrease in Device Solutions revenue, while Outcomes revenue increased by 9% due to higher recurring revenue and software licenses [3][8] Revenue Breakdown - Device Solutions revenue decreased by 5%, or 8% in constant currency, primarily due to lower legacy electricity product sales [3] - Networked Solutions revenue saw a 1% decrease compared to the second quarter of 2024, attributed to the timing of shipments and project deployments [3] - Outcomes revenue increased by 9%, driven by increased recurring revenue and software licenses [3] Profitability Metrics - Gross margin for the second quarter was 36.9%, an increase of 230 basis points from the prior year, attributed to product and customer mix [4] - GAAP operating income rose to $76 million, a $12 million increase from the prior year, while non-GAAP operating income increased by $13 million to $82 million [5] - Net income attributable to Itron, Inc. was $68 million, or $1.47 per diluted share, compared to $51 million, or $1.10 per diluted share in 2024 [6] Cash Flow and Backlog - Net cash provided by operating activities was $97 million, up from $52 million in the prior year, with free cash flow increasing to $91 million from $45 million [8][9] - Total backlog at the end of the quarter was $4.5 billion, compared to $4.1 billion in the prior year, with bookings totaling $454 million [10] Outlook - The company updated its outlook for the full year 2025, projecting revenue between $2.35 billion and $2.4 billion and non-GAAP diluted EPS between $6.00 and $6.20 [14]

Core Insights - The report "Smart Metering in North America - 7th Edition" highlights the growing deployment of smart metering as a foundation for future smart grids, with significant initiatives in both developed and developing countries [1] - North America is projected to see a compound annual growth rate of 2.9% in the installed base of smart electricity meters from 152.4 million in 2024 to 180.9 million by 2030 [3][5] Market Overview - Asia-Pacific is the largest market for smart metering, while North America ranks third after Europe, with both regions experiencing a surge in smart metering projects in the past decade [2] - The penetration rate of smart electricity meters in North America is expected to rise from 82% in 2024 to over 91% by 2030, primarily driven by large investor-owned utility projects [7] Regional Insights - The installed base of smart electricity meters in the US reached 136.9 million in 2024, while Canada had 15.5 million [3] - Canada currently has a higher penetration of smart electricity meters compared to the US, but this gap is expected to narrow by 2030, with projected rates of 97% for Canada and 91% for the US [4] Industry Dynamics - Major players in the North American smart metering market include Itron, Landis+Gyr, and Aclara, with Itron holding a 35% market share and Landis+Gyr at 32% [8] - The market is characterized by a shift towards wireless RF technologies, which dominate installations in both electricity and gas sectors [9] Technology Trends - The report discusses the evolution of communication technologies for smart metering, highlighting the preference for RF mesh networks, particularly Wi-SUN-based systems [10] - Cellular communications have seen limited adoption due to cost concerns, but interest in private cellular networks is growing, potentially enhancing their role in smart metering [12] Future Outlook - The second wave of smart metering deployments is anticipated, with early adopters expected to account for nearly 75% of annual shipment volumes by the end of the forecast period [7] - Increasing investments in distribution automation, electric vehicle charging infrastructure, and smart streetlighting are driving the need for further synergies in smart metering applications [14]

Core Viewpoint - Itron, Inc. is set to release its financial results for the quarter ending June 30, 2025, on July 31, 2025, before market opens, followed by a management conference call to discuss the results [1]. Group 1 - The financial results will be available on the company's website at 8:30 a.m. EDT on July 31, 2025 [1]. - A management conference call will take place at 10 a.m. EDT on the same day to discuss the financial results [1]. - Interested parties can access the conference call via a live webcast and should pre-register and test audio software beforehand [2]. Group 2 - A replay of the conference call will be available until August 7, 2025, on the company's website [3]. - Itron is focused on transforming the management of energy, water, and city services through intelligent infrastructure solutions [4]. - The company aims to improve efficiency, build resilience, and provide safe, reliable, and affordable services to utilities and cities [4].

Company Performance - Itron's stock closed at $132.78, reflecting a +1.17% change from the previous day, outperforming the S&P 500's daily gain of 0.8% [1] - Over the past month, Itron's shares have increased by 15.86%, while the Computer and Technology sector gained 8.5% and the S&P 500 gained 5.12% [1] Upcoming Financial Results - Analysts expect Itron to report earnings of $1.33 per share, indicating a year-over-year growth of 9.92% [2] - The consensus estimate for revenue is $609.26 million, showing a slight increase of 0.03% from the same quarter last year [2] Full Year Projections - For the full year, earnings are projected at $5.45 per share, reflecting a decrease of -3.02% from the previous year, while revenue is expected to be $2.46 billion, showing an increase of +0.76% [3] Analyst Estimates and Market Sentiment - Recent modifications to analyst estimates indicate evolving short-term business trends, with upward revisions suggesting positive sentiment towards Itron's operations [4] - The Zacks Rank system, which evaluates these estimate changes, currently ranks Itron at 3 (Hold) [6] Valuation Metrics - Itron's Forward P/E ratio is 24.08, which is a discount compared to the industry average Forward P/E of 24.57 [7] - The company has a PEG ratio of 0.83, significantly lower than the industry average PEG ratio of 2.67 [7] Industry Context - Itron operates within the Electronics - Testing Equipment industry, which is part of the Computer and Technology sector, currently holding a Zacks Industry Rank of 96, placing it in the top 40% of all industries [8]

Core Insights - Itron, Inc. has shipped over 2 million Cyble 5 communication modules, with Metz Eurométropole Water Utility receiving the milestone module, supporting its transition to advanced metering infrastructure (AMI) [1][2] - The Cyble 5 module enables real-time monitoring and advanced analytics, allowing water providers to make data-driven decisions for optimized operations and improved service delivery [2][3] - Metz Eurométropole Water Utility serves over 47,000 people and utilizes the Cyble 5 module to enhance leak prevention, resource allocation, and billing accuracy since its deployment began in 2022 [3] Company and Product Features - The Cyble 5 module connects to Metz Eurométropole's LoRaWAN AMI network, facilitating two-way communication and extensive data sets [3] - The module's durable design is IP68-rated, ensuring protection against harsh environments, which helps lower maintenance and meter replacement costs [6] - It offers interoperability with open standards, allowing seamless integration with AMR, AMI, and IoT networks [6] Strategic Importance - The deployment of the Cyble 5 module is seen as a strategic investment for Metz Eurométropole, enabling the utility to achieve its water management goals [2][4] - The improved data management capabilities allow for better targeting of investments, enabling reinvestment of savings into expanding smart water solutions [4] - Itron emphasizes the critical need for smarter operations in light of rising water demand, climate disruption, and urbanization [4]

Core Insights - Itron has signed a contract with Hellenic Electricity Distribution Network Operator S.A. (HEDNO) to enhance grid edge intelligence in Greece, aiming for improved customer experience and modernization of the electric grid to support net-zero emissions by 2050 [1][5] Group 1: Project Overview - HEDNO will implement Itron's Enterprise Edition Meter Data Management (MDM) system to manage 7.7 million meters and nearly 1 million new intelligent narrowband-IoT cellular smart meters [2][3] - The deployment will enhance operational efficiency, customer service, and provide better visibility into energy consumption, leading to faster issue resolution and flexible billing options [2][3] Group 2: Technological Integration - Itron's MDM system will allow HEDNO to access comprehensive meter datasets for accurate loss detection, improved revenue collection, and predictive maintenance capabilities [3][4] - The solution is pre-integrated with Itron's Intelligent Edge Operating System (IEOS), facilitating advanced grid capabilities such as energy forecasting and distributed energy resource management [4] Group 3: Strategic Importance - The project is deemed crucial for the modernization of the Greek electricity market, with Itron's MDM system serving as the central hub for data collection and analysis [5] - Itron's global experience managing over 50 million endpoints positions the company to effectively support HEDNO's evolving operational needs [6]