Financial Data and Key Metrics Changes - Total revenue for Q4 2025 was $20.1 million, up 16% sequentially and 30% year-over-year, exceeding guidance [20] - Full year 2025 total revenue reached $70.6 million, a 22% increase year-over-year [20] - Annual contract value plus royalties was $83.6 million, a 28% year-over-year increase, marking a new record [21] - Remaining performance obligations (RPO) totaled $117 million, representing a 32% year-over-year increase, another record high [21] - Non-GAAP gross profit for Q4 was $18.5 million, with a gross margin of 92% [22] - GAAP operating loss for Q4 was $8.5 million, compared to a loss of $7.1 million in the prior year [25] Business Line Data and Key Metrics Changes - Variable royalties increased by 50% year-over-year, with Q4 setting a new record [20] - FlexGen, an AI-driven smart NoC IP product, saw strong customer adoption, licensed for over 30 production device deployments [11] - Ncore, a cache coherent interconnect IP product, also experienced strength in licensing across various edge and server applications [12] Market Data and Key Metrics Changes - The largest impacts on revenue were seen in enterprise computing, automotive, and consumer electronics markets [7] - The number of large royalty reporters tripled in the last two years, indicating a diversified customer base [20] Company Strategy and Development Direction - The acquisition of Cycuity enhances Arteris' product portfolio, focusing on semiconductor cybersecurity assurance [8] - The company aims to address the growing need for cybersecurity in semiconductor designs, which is becoming a major issue [10] - Arteris is positioned to support semiconductor applications in the AI era across various sectors, including automotive and aerospace [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth trajectory, expecting to report a non-GAAP operating profit as early as Q4 2026 [28] - The company anticipates continued strong demand for its products driven by the proliferation of AI-driven semiconductor designs [7] Other Important Information - Free cash flow was positive $3 million for Q4 and positive $5.3 million for the full year [26] - The company ended the year with $59.5 million in cash and no financial debt [26] Q&A Session Summary Question: Cross-sell opportunities and customer segments - Management highlighted that hardware security assurance is a major issue, opening significant cross-sell opportunities across the semiconductor industry [30][31] Question: NXP's increased use of Arteris solutions - Management confirmed that deploying multiple solutions increases average selling prices significantly, especially with the addition of Cycuity [35][36] Question: Strength in royalties and market segments - Management noted that the growth in royalties was due to both customer diversification and strength in various market segments, particularly automotive [37][38] Question: Impact of security acquisition on P&L - Management indicated that approximately $7 million of the projected revenue for 2026 would come from Cycuity, with expectations of breakeven by Q4 2026 [45][46]

Financial Data and Key Metrics Changes - In Q4 2025, total revenue reached $20.1 million, a 30% year-over-year increase and 16% sequential growth, exceeding guidance [20] - For the full year 2025, total revenue was $70.6 million, representing a 22% increase year-over-year [20] - Annual contract value plus royalties hit a record $83.6 million, up 28% year-over-year [21] - Remaining performance obligations (RPO) totaled $117 million, a 32% year-over-year increase, with approximately half expected to be recognized as revenue in 2026 [21] - Non-GAAP gross profit for Q4 was $18.5 million, with a gross margin of 92% [22] - Non-GAAP operating loss for Q4 was $2.2 million, while the full year loss was $12.5 million, an improvement over the previous year [25] Business Line Data and Key Metrics Changes - The company reported a significant increase in variable royalties, which were 50% higher year-over-year, with Q4 setting a new record [20] - The number of large royalty reporters tripled over the last two years, contributing to a balanced mix of customers across vertical markets [20] - FlexGen, an AI-driven smart NoC IP product, saw strong adoption with over 30 production device deployments [11] - Ncore, a cache coherent interconnect IP product, also experienced strength in licensing across various applications [12] Market Data and Key Metrics Changes - The company noted expanding demand for AI-driven semiconductor designs across various markets, including enterprise computing, automotive, and consumer electronics [6] - The number of chiplet projects incorporating Arteris technology has more than tripled over the past two years, indicating strong market growth [15] - The automotive segment remains the largest vertical market, with emerging strength in consumer and aerospace sectors [39] Company Strategy and Development Direction - The acquisition of Cycuity enhances the company's product portfolio by adding cybersecurity assurance products, addressing market concerns about increasing cyberattacks [8][9] - The company aims to leverage its technology to improve hardware security and vulnerability testing across all SoCs, expanding its customer base [10] - Arteris is focusing on supporting semiconductor applications in the AI era, with a strong position in various sectors including autonomous vehicles and industrial automation [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's growth trajectory, expecting to report a non-GAAP operating profit as early as Q4 2026 [28] - The company anticipates continued strong demand for its products driven by the rise of AI and the need for efficient data movement in semiconductors [6] - Management highlighted the importance of addressing cybersecurity in semiconductor designs, which is becoming a critical issue in the industry [30] Other Important Information - The company ended the year with $59.5 million in cash and no financial debt, with positive free cash flow of $3 million for Q4 [26] - The guidance for Q1 2026 includes expected ACV plus royalties of $85 million-$89 million and revenue of $20.5 million-$21.5 million [27] Q&A Session Summary Question: Cross-sell opportunities and customer segments - Management indicated that hardware security assurance is a growing issue, and the acquisition opens significant opportunities to enhance system IP value across various semiconductor companies [30][31] Question: NXP announcement and customer interest - Management confirmed that NXP is now using four solutions, indicating increased interest in deploying a full suite of solutions, which could drive average selling prices above $1 million [36] Question: Strength in royalties and market segments - Management noted that the growth in royalties is attributed to both customer diversification and an increase in large royalty reporters across various segments, including automotive and consumer markets [38][39] Question: Impact of security on P&L - Management clarified that approximately $7 million of the projected revenue for 2026 is expected from the Cycuity acquisition, with a slight contribution to operating loss anticipated [47] Question: Equity raising efforts post-acquisition - Management stated that they are in the process of activating an ATM for equity raising, with expectations for small amounts to be raised in the first quarter [49]

Arteris 4Q 2025 Earnings Presentation Charlie Janac CEO Nick Hawkins CFO February 12, 2026 1 © 2026 Arteris, Inc. Disclaimer This presentation and the accompanying oral presentation have been prepared by Arteris, Inc. ("Arteris" or "the "Company") for informational purposes only and not for any other purpose. Nothing contained in this presentation is, or should be construed as, a recommendation, promise or representation by the presenter or Arteris or any officer, director, employee, agent or advisor of Art ...

Core Viewpoint - The article highlights the increasing flow of foreign vehicles into Russia through Chinese intermediaries, circumventing international sanctions and automakers' commitments to exit the Russian market following the 2022 invasion of Ukraine [1][2]. Group 1: Vehicle Acquisition and Trade Dynamics - Russian dealers are increasingly utilizing informal networks to acquire vehicles, often misclassifying new cars as "used" to evade manufacturer controls [2]. - Many of the vehicles entering Russia are either manufactured in China or routed through China after production elsewhere, leveraging China's competitive automotive market and subsidy programs [2]. Group 2: Gray-Market Operations - China's heavily subsidized automotive sector enables traders to export surplus vehicles profitably, with cars discounted in China often selling at near-new prices in Russia [3]. - A growing network of intermediaries is emerging, connecting Chinese factories with Russian buyers, driven by the price incentives created by the disparity in vehicle costs [3].

Accelerating The Creation Of Semiconductors Corporate Overview Charlie Janac CEO Nick Hawkins CFO February 2026 1 © 2026 Arteris, Inc. Disclaimer This presentation and the accompanying oral presentation have been prepared by Arteris, Inc. ("Arteris" or "the "Company") for informational purposes only and not for any other purpose. Nothing contained in this presentation is, or should be construed as, a recommendation, promise or representation by the presenter or Arteris or any officer, director, employee, ag ...

Core Viewpoint - Major automakers, including Mercedes-Benz, BMW, and Volkswagen, are attempting to comply with sanctions against Russia by prohibiting sales and preventing unauthorized exports, but face challenges in monitoring compliance due to the complexity of investigations [1][6][15]. Group 1: Sanctions and Compliance - Automakers have pledged to prevent sales to Russia and are implementing measures such as training and contractual clauses with dealers to avoid unauthorized exports [1][6]. - The difficulty in investigating potential breaches of sanctions is highlighted, with Mercedes stating that such probes are "time-consuming and complex" [1]. - BMW has instructed its China retail operation to oppose any vehicle exports to Russia, emphasizing that any gray-market imports occur outside their control [8]. Group 2: Gray-Market Trade - A significant gray-market trade in vehicles is emerging, with tens of thousands of cars being exported from China to Russia, often circumventing sanctions [7][10]. - Many vehicles are classified as "used" to bypass restrictions, allowing for easier export from China to Russia [4][10]. - The number of vehicles manufactured in China has more than doubled since 2023, now accounting for nearly half of the total vehicles sold in Russia from sanctioned countries [10][16]. Group 3: Vehicle Sales Data - Autostat data indicates that imports from China are increasingly dominating the market for Western and Japanese brand vehicles in Russia [9][10]. - In 2022, over 700,000 vehicles from foreign brands were sold in Russia, with a notable increase in sales of Chinese-made vehicles [10][16]. - Nearly 30,000 Toyotas and almost 24,000 Mazdas were sold in Russia last year, with a significant portion being manufactured in China [18]. Group 4: Luxury Vehicle Market - German luxury vehicles, including brands like BMW, Mercedes, and Volkswagen, are also being imported through gray-market channels, with nearly 47,000 such vehicles registered in Russia last year [19][20]. - More than 20,000 of these luxury vehicles were manufactured in China, indicating a trend of importing through China regardless of the original manufacturing location [20][22]. - The Mercedes G-class is highlighted as a popular model among the Russian elite, selling for approximately $142,700 [21].

Financial Data and Key Metrics Changes - For Q4 2025, the company reported record revenue of $3.5 billion, a year-over-year increase of 7.9%, with 3.5% being organic growth [6][19] - Full year 2025 revenue reached a record $13.2 billion, growing 12.5%, with 3.9% organic growth [7][18] - Adjusted EBITDA for Q4 was $255 million, exceeding guidance, while full year Adjusted EBITDA was $881 million, an 8% increase [6][19] - Adjusted Diluted EPS for the full year was $2.51, with an expected increase of 20% for 2026 [18][21] - Free Cash Flow in Q4 was $163 million, maintaining strong operating Return on Invested Capital [20] Business Line Data and Key Metrics Changes - New business wins totaled $1.1 billion in 2025, with significant contracts in life sciences, aerospace, and defense sectors [7][24] - Incremental new business revenue of $774 million is already secured for 2026, representing over 20% growth compared to the previous year [7][26] - The company is focusing on high-growth verticals such as life sciences, aerospace and defense, and technology, particularly data centers [24][25] Market Data and Key Metrics Changes - The company noted strong performance across all regions, with organic revenue growth in every area [19] - The total addressable market for contract logistics exceeds $500 billion, with significant opportunities identified in priority B2B verticals [14][41] Company Strategy and Development Direction - The company aims to accelerate organic growth and expand margins through leadership changes and operational improvements [9][17] - A focus on automation, robotics, and AI is central to the company's strategy, with plans to deploy nearly 20,000 robots by the end of 2026 [11][27] - The integration of Wincanton is progressing, with expected cost synergies of $60 million by the end of 2026 [21][78] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilient business model and its ability to navigate a dynamic macro environment [7][23] - The company anticipates a solid foundation for growth in 2026 and beyond, driven by a robust sales pipeline and strategic focus on high-value verticals [16][26] - Management highlighted the increasing demand for contract logistics outsourcing as a viable alternative for customers facing economic challenges [97] Other Important Information - The company has a strong balance sheet, having executed $200 million in share buybacks and completed a European bond offering [20] - The company is committed to maintaining disciplined capital expenditure and working capital management to support long-term growth [20] Q&A Session Summary Question: Can you speak to your overall philosophy on ensuring GXO's value is recognized by customers? - Management emphasized the importance of client-aligned solutions to deliver value and enhance pricing power in strategic verticals [30][31] Question: Can you walk through how we should think about the cadence through 2026? - Management indicated that EBITDA phasing will reflect project timing, with high visibility due to new business wins [32][33] Question: What does the second half run rate look like as we exit 2026 into 2027? - Management noted that the sales cycle is 6-9 months, with a ramp-up period for new operations, expecting benefits from new business wins to accelerate in the fourth quarter [39][40] Question: What are the macro assumptions baked into the guidance range? - Management expects flat volumes in operations, with a conservative view on customer volumes, while anticipating organic growth to drive top-line performance [49][50] Question: What are the key items that could impact the high and low ends of the guidance range? - Management highlighted the speed of new business implementation and productivity improvements as key factors influencing guidance [54][56]

Financial Data and Key Metrics Changes - For Q4 2025, the company reported record revenue of $3.5 billion, a year-over-year increase of 7.9%, with 3.5% being organic growth [6][19] - Full-year 2025 revenue reached a record $13.2 billion, growing 12.5%, with 3.9% organic growth [7][18] - Adjusted EBITDA for Q4 was $255 million, exceeding guidance, while full-year Adjusted EBITDA was $881 million, an 8% increase [6][19] - Adjusted Diluted Earnings Per Share for the full year was $2.51, with an expected increase of 20% for 2026 [18][21] Business Line Data and Key Metrics Changes - New business wins totaled $1.1 billion in 2025, with significant contracts in life sciences, aerospace, and defense sectors [7][24] - Incremental new business revenue of $774 million is already secured for 2026, representing over 20% growth compared to the previous year [7][26] - The company is focusing on high-growth verticals such as life sciences, aerospace, and technology, with a robust sales pipeline of $2.3 billion [24][26] Market Data and Key Metrics Changes - The company noted strong performance across all regions, with organic revenue growth highlighting the resilience of its contractual business model [19] - The North American market is identified as a key growth lever, with a total addressable market of $250 billion [16][73] - The company is experiencing increased demand in the U.S. market, particularly in strategic verticals [16][73] Company Strategy and Development Direction - The company aims to accelerate organic growth and expand margins through leadership changes and operational improvements [9][17] - A focus on automation, robotics, and AI is central to the company's strategy, with plans to deploy nearly 20,000 robots by the end of 2026 [11][27] - The integration of Wincanton is expected to deliver $60 million in cost synergies by the end of 2026, enhancing operational efficiency [21][76] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate a dynamic macro environment, emphasizing the value proposition of contract logistics [96] - The company anticipates a solid foundation for growth in 2026, with a focus on high-margin verticals and improved customer engagement [16][75] - Management highlighted the importance of leveraging AI and automation to drive productivity and cost efficiency [11][84] Other Important Information - The company completed a European bond offering of EUR 500 million to refinance upcoming maturities, strengthening its balance sheet [20] - The company is committed to maintaining disciplined capital expenditure and working capital management to support long-term growth [20] Q&A Session Summary Question: Can you speak to your overall philosophy on ensuring GXO's value is recognized by customers? - Management emphasized the importance of client-aligned solutions to deliver value and pricing power in strategic verticals [30][31] Question: Can you walk through how we should think about the cadence through 2026? - Management indicated that EBITDA phasing reflects project timing, with high visibility due to new business wins [32][33] Question: What does the second half run rate look like as we exit 2026 into 2027? - Management noted a strong pipeline and expects benefits from new business wins to accelerate in the fourth quarter and into 2027 [39][40] Question: What are your macro assumptions baked into the guidance range? - Management is assuming flat volumes in operations for 2026, reflecting a conservative view of the macroeconomic situation [48][49] Question: What are the key items that could impact the high and low ends of your guidance? - Management highlighted the speed of new business implementation and productivity improvements as key factors influencing guidance [53][56]

Financial Data and Key Metrics Changes - For Q4 2025, the company reported record revenue of $3.5 billion, a year-over-year increase of 7.9%, with 3.5% being organic growth [18] - Full year 2025 revenue reached a record $13.2 billion, growing 12.5%, with 3.9% organic growth [17] - Adjusted EBITDA for Q4 was $255 million, exceeding guidance, while full year Adjusted EBITDA was $881 million, an 8% increase [17][18] - Adjusted Diluted EPS for the full year was $2.51, with an expected increase of 20% in 2026 [20] Business Line Data and Key Metrics Changes - New business wins totaled $1.1 billion in 2025, with significant contracts in life sciences, aerospace, and defense sectors [5][24] - The company secured $774 million in expected incremental new business revenue for 2026, representing over 20% growth compared to the previous year [5][26] Market Data and Key Metrics Changes - The company highlighted strong performance across all regions, with every region delivering organic revenue growth [18] - The North American market is identified as a key growth lever, with a total addressable market of $250 billion [15][70] Company Strategy and Development Direction - The company aims to accelerate organic growth and expand margins through leadership changes and operational improvements [4][8] - Focus areas include enhancing automation, robotics, and AI capabilities, with plans to deploy nearly 20,000 robots by the end of 2026 [10][27] - The company is targeting high-growth verticals such as life sciences, aerospace, and technology, with a robust sales pipeline of $2.3 billion [26][40] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilient business model despite macroeconomic challenges, emphasizing the value of contract logistics [92] - The company anticipates a solid foundation for growth in 2026, with a focus on profitable growth and operational excellence [16][20] Other Important Information - The integration of Wincanton is progressing well, with expected cost synergies of $60 million by the end of 2026 [20][73] - The company has a strong balance sheet, with improved leverage levels and disciplined capital expenditure [19] Q&A Session Summary Question: How does GXO ensure its value is recognized by customers? - Management emphasized the importance of client-aligned solutions in specific verticals to enhance pricing power and organic growth [31] Question: What is the expected cadence of growth and EBITDA through 2026? - Management indicated that growth and EBITDA will reflect the timing of project startups and exits, with high visibility on new business wins [32] Question: What are the macro assumptions in the guidance? - The company assumes flat volumes in operations for 2026, reflecting a conservative view of the macroeconomic situation [48] Question: What are the key factors that could impact the guidance range? - The speed of new business implementation and profitability realization are critical for the low end of the range, while successful execution of new wins could drive the high end [52] Question: When will the Investor Day be held? - Management confirmed that the Investor Day will take place in 2026, with a date to be announced soon [46] Question: What is the outlook for margin improvement? - Management believes there is a structural margin opportunity, with expected benefits from the Wincanton integration and productivity initiatives [72]

Group 1 - BMW is recalling hundreds of thousands of cars, as reported by the newspaper Bild, citing the German premium carmaker [1]