Leslie's (NasdaqGS:LESL) Q1 2026 Earnings call February 17, 2026 05:00 PM ET Company ParticipantsJason McDonell - CEOJeff White - CFOJonathan Matuszewski - SVPSimeon Gutman - Managing DirectorOperatorGood afternoon, and welcome to the fiscal first quarter 2026 earnings conference call for Leslie's. At this time, all participants are in a listen-only mode. Following the prepared remarks, management will conduct a question-and-answer session. If you require any operator assistance during the conference call, ...

Leslie's (NasdaqGS:LESL) Q1 2026 Earnings call February 17, 2026 05:00 PM ET Company ParticipantsJason McDonell - CEOJeff White - CFOJonathan Matuszewski - SVPSimeon Gutman - Managing DirectorOperatorGood afternoon, and welcome to the fiscal first quarter 2026 earnings conference call for Leslie's. At this time, all participants are in a listen-only mode. Following the prepared remarks, management will conduct a question-and-answer session. If you require any operator assistance during the conference call, ...

Leslie's (NasdaqGS:LESL) Q1 2026 Earnings call February 17, 2026 05:00 PM ET Speaker3Good afternoon, and welcome to the fiscal first quarter 2026 earnings conference call for Leslie's. At this time, all participants are in a listen-only mode. Following the prepared remarks, management will conduct a question-and-answer session. If you require any operator assistance during the conference call, please press star zero on your telephone keypad. As a reminder, this conference call is being recorded and will be ...

Calian also used the quarter to introduce a simplified operating structure, moving from four reporting segments to two: defense and space and essential industries . Houston said the change is meant to better align the company with how customers buy and to bring “technology, expertise, delivery, and customer insights” together more effectively.In Q&A, management characterized gross margin as subject to some seasonality tied to hardware deliveries and mix, but said it expects gross margin to remain in the “lo ...

Investment Rating - The report maintains a "BUY" rating for Ke Holdings (Beike), indicating a potential return of over 15% over the next 12 months [1][16]. Core Insights - Ke Holdings is expected to experience a revenue decline of 28.5% YoY in 4Q25, with anticipated revenue of RMB22.2 billion and a non-GAAP net profit of RMB427 million, resulting in a net profit margin of 1.9% [1]. - The company is well-positioned to expand its market share in the home transaction business due to its strong technological capabilities, superior service quality, and established agent cooperation network [1]. - For FY26E, the report forecasts a recovery in earnings driven by cost optimization measures and profitability improvements in new businesses, projecting a non-GAAP net profit of RMB7.0 billion, which represents a 42% YoY growth [1]. - The target price has been raised by 5% to US$21.80, reflecting a positive long-term operating cash flow outlook [1][3]. Financial Summary - For FY23A, revenue is reported at RMB77.8 billion, with a YoY growth of 28.2%. The adjusted net profit is RMB9.8 billion, showing a significant growth of 244.7% [2]. - The revenue forecast for FY25E is RMB94.6 billion, with a slight YoY growth of 1.3%, while the adjusted net profit is expected to decline to RMB4.9 billion, a decrease of 31.5% [2]. - The report projects a revenue of RMB91.5 billion for FY26E, with an adjusted net profit of RMB7.0 billion, indicating a recovery and growth trajectory [2]. Valuation Metrics - The report indicates a P/E ratio of 52.2x for FY25E, which is expected to decrease to 29.4x in FY26E and further to 22.5x in FY27E, suggesting an improving valuation as earnings recover [2][14]. - The SOTP-based valuation for Beike Core is estimated at US$20.9 per ADS, with an additional US$0.9 per ADS for Shengdu, leading to a total valuation of US$21.80 per ADS [1][12].

Core Insights - The company achieved solid EBITDAaL growth of 4.0% for the full year 2025, slightly exceeding guidance, driven by synergies from the VOO acquisition and operational efficiencies [1][7][8] Financial Highlights - Revenues for H2 2025 decreased by 1.5% year-over-year to €1,000.6 million, with full-year revenues also down by 1.5% to €1,963.4 million [3][4] - Retail service revenues fell by 1.9% in H2 2025 to €791.4 million, with a similar decline for the full year [3] - EBITDAaL for H2 2025 increased by 3.4% to €301.3 million, with a full-year EBITDAaL of €566.1 million, reflecting a 4.0% increase [3][4] Customer Base and Operational Performance - Mobile postpaid customer base grew by 2.5% year-over-year to 3.6 million, while cable customer base increased by 1.8% to 1,039,000 [2][4] - Net adds for mobile postpaid decreased by 49.0% to 38,000, and cable net adds fell by 68.7% to 5,000 [2][4] Capital Expenditure and Cash Flow - eCapex for the full year increased by 2.1% to €375.9 million, driven by RAN sharing and 5G deployment [5][6] - Adjusted operating cash flow rose by 7.9% to €190.2 million, while net cash from operating activities increased by 4.5% to €525.6 million [5] Debt and Profitability - Net financial debt decreased by 4.7% to €1,815.1 million, with total borrowings down by 3.4% to €1,895.8 million [5] - Net profit for the period increased significantly by 139.5% to €41.3 million [5] Strategic Outlook - The company plans to target an EBITDAaL growth of approximately 3.5% for 2026, with expected eCapex around €360 million [9][11] - The Board of Directors will not propose a dividend for 2025 to preserve cash for future investments [10]

Financial Data and Key Metrics Changes - The company reported a 4.6% increase in net sales for Q2 fiscal 2026, reaching $314.8 million compared to $301.1 million in Q2 fiscal 2025 [9] - Diluted earnings per share increased by approximately 32% for the quarter, driven by strategic initiatives [2] - Gross profit increased by $6.9 million, or 13.2%, to $59.2 million, with gross profit margin rising to 18.8% from 17.4% in the prior year [11][12] - Net income for Q2 fiscal 2026 was $18 million, or $1.53 per diluted share, compared to $13.6 million, or $1.16 per diluted share in Q2 fiscal 2025 [13] Business Line Data and Key Metrics Changes - The consumer distribution channel saw an 8.4% decline in sales volume, primarily due to a 7.9% drop in private brand sales [10] - Sales volume in the contract manufacturing channel decreased by 26.5%, attributed to reduced granola volume processed [11] - The commercial ingredients channel remained relatively unchanged, with a slight decline of 1.1% in sales volume [11] Market Data and Key Metrics Changes - The snack nut and trail mix category experienced a 4% decline in pounds but a 3% increase in dollars, indicating higher prices [21] - The recipe nut category grew by 2% in pounds and 14% in dollars, driven by seasonal demand and higher prices [22] - The bar category saw a 6% growth in pounds and dollars, indicating a rebound in the market [24] Company Strategy and Development Direction - The company is focused on accelerating its snack and energy bar business, particularly in the protein-forward segment [4] - Strategic investments are being made to enhance operational efficiency and expand production capacity [4] - The long-range plan emphasizes growth in private brand business and branded distribution through innovation [19] Management's Comments on Operating Environment and Future Outlook - Management acknowledged headwinds from shifting consumer behavior and elevated retail prices impacting sales volume [3] - There is cautious optimism for the second half of fiscal 2026, supported by recent commercial momentum and new business secured [25] - The company remains committed to navigating challenges and creating long-term shareholder value through strategic initiatives [25] Other Important Information - A special dividend of $1 per share was distributed, reflecting the company's strong financial position [4] - The company is investing in new bar manufacturing capabilities, with 85% of new equipment on-site or in transit [5] Q&A Session Summary Question: Status of equipment delivery and quality assurance - The company confirmed that 85% of the equipment is being delivered and will be operational by July 2026, with confidence in the quality based on prior experience with manufacturers [30][32] Question: Pricing strategy in response to higher nut costs - The company explained that there is typically a 6-month price review with retailers, followed by a 60-90 day timeline to implement price changes [33]

Core Insights - Greif reported fiscal first-quarter 2026 results that met expectations despite ongoing softness in industrial demand, highlighting margin improvements driven by structural cost actions and increased shareholder returns through share repurchases [3][6][18] Financial Performance - Adjusted EBITDA increased by 24% year-over-year, with the adjusted EBITDA margin improving by 260 basis points to 12.3%, attributed to better price-cost dynamics and structural cost optimization [2][6] - The company reaffirmed the low end of its fiscal 2026 guidance, projecting $630 million in adjusted EBITDA and $315 million in adjusted free cash flow, with an expected free cash flow conversion of approximately 50% [5][6] Capital Allocation - Greif's capital allocation strategy prioritizes shareholder returns and balance-sheet strength, with leverage at approximately 1.2x. The company completed $130 million of a $150 million buyback and approved an additional $300 million repurchase authorization [4][18] - The company aims to repurchase up to 2% of shares outstanding annually, subject to board approval and balanced against other capital needs [18] Segment Performance - In Customized Polymer Solutions, demand was flat overall, with slight increases in intermediate bulk container volumes and declines in small and large containers. The company expects improvements in small containers in the second quarter due to agricultural seasonality [8] - Durable Metal Solutions faced pressure due to softness across regions, particularly among chemical customers, while Sustainable Fiber Solutions saw declining converting volumes amid North American industrial softness [10][12] Cost Optimization - Greif achieved run-rate cost optimization savings of $65 million, with a fiscal year-end target of $80–$90 million, primarily through SG&A actions [13] - Management emphasized that the cost optimization efforts are structural rather than cyclical, contributing to improved profitability despite volume headwinds [2][6] Market Outlook - The company noted that customer conversations indicate continued muted demand conditions, but it is actively pursuing commercial opportunities and transforming its commercial organization [14] - Greif's SiOx barrier technology is operational on its first machine in France, with additional machines planned for deployment, although the financial impact in fiscal 2026 is not expected to be significant [19][20]

Group 1 - BP p.l.c. is recognized as one of the best energy stocks to buy for dividends in 2026, highlighting its strong dividend yield and investment potential [1] - The company expects its net debt to decrease to between $22 billion and $23 billion by the end of 2025, down from $26.1 billion in Q3 2025, aided by approximately $5.3 billion in divestments [3] - BP aims to further reduce its debt load to between $14 billion and $18 billion by 2027, indicating a strategic focus on financial health [3] Group 2 - BP plans to optimize operations by cutting costs by up to $5 billion and divesting $20 billion in assets by 2027, reflecting a commitment to operational efficiency [4] - The company is refocusing on fossil fuels and anticipates impairments of $4 billion to $5 billion in Q4, primarily related to its low-carbon energy businesses [4] - BP offers an annual dividend yield of 5.54%, positioning it among the top crude oil stocks for dividends [4]

Financial Data and Key Metrics Changes - The IT services revenue for Q3 FY26 was $2.64 billion, reflecting a sequential growth of 1.4% in constant currency and 1.2% in reported currency [5][11] - Year-on-year revenue growth was flat at 0.2% in reported terms but declined by 1.2% in constant currency terms [11] - Operating margin improved to 17.6%, an increase of 40 basis points quarter-on-quarter and 10 basis points year-on-year [11][12] - Adjusted net income for the quarter was INR 33.6 billion, with adjusted EPS at INR 3.21, marking a 3.5% increase quarter-on-quarter and flat year-on-year [12] Business Line Data and Key Metrics Changes - Americas 1 grew 1.8% sequentially and 2.8% year-on-year, while Americas 2 saw a decline of 0.8% sequentially and 5.2% year-on-year [12] - Europe experienced a sequential growth of 3.3% but a year-on-year decline of 4.6% [12] - APMEA grew 1.7% sequentially and 6.6% year-on-year, with BFSI growing 2.6% sequentially and 0.4% year-on-year [12][13] - The consumer sector grew 0.7% sequentially but declined 5.7% year-on-year [12] Market Data and Key Metrics Changes - The Americas 1 market showed strong performance in healthcare, consumer, and LATAM, while Europe saw growth driven by a ramp-up of a previously announced mega deal [6][12] - APMEA's growth was led by India, the Middle East, and Southeast Asia, with BFSI showing strong traction [7] Company Strategy and Development Direction - The company is positioning itself for an AI-first world, focusing on AI-led transformation, cost optimization, and vendor consolidation [4][5] - Wipro Intelligence is a unified approach to delivering AI-powered transformation across industries, anchored on industry platforms, delivery platforms, and an innovation network [7][8] - The acquisition of Harman DTS is expected to enhance engineering capabilities and accelerate AI-driven product innovation [10] Management's Comments on Operating Environment and Future Outlook - Management noted that organizations are reshaping priorities due to AI's influence on business models and operations [4] - The guidance for Q4 projects IT services revenue growth of 0%-2% in constant currency, impacted by fewer working days and delayed ramp-ups [10][14] - Management expressed confidence in the deal pipeline, particularly in energy and manufacturing sectors, despite current macroeconomic uncertainties [20][23] Other Important Information - The board declared an interim dividend of INR 6 per share, with total cash distributed to shareholders exceeding $1.3 billion for the financial year [15] - The company has a gross cash position of $6.5 billion, indicating strong liquidity [14] Q&A Session Summary Question: Concerns about revenue loss in energy manufacturing resources - Management acknowledged a $24 million revenue loss in the EMR vertical, attributing it to macroeconomic uncertainties and supply chain issues, but noted a strong deal pipeline [17][20] Question: Delays in ramp-ups impacting growth - Management indicated that some deals would take a few quarters to ramp up, with confidence in future growth as these deals convert [18][19] Question: Outlook for the consumer vertical - Management highlighted tariff impacts and a large SAP program on hold, but noted that some earlier wins are ramping up [28][29] Question: Impact of Harman DTS acquisition on growth - Management stated that the acquisition would enhance capabilities in tech and communications sectors, improving win rates [41][42] Question: Future of buybacks and excess cash - Management confirmed that buybacks remain an option for returning cash to shareholders, contingent on market conditions and statutory considerations [74][75]