Ampco-Pittsburgh Corporation (AP) investors have been experiencing some short-term gains from the stock of late. Shares of the Carnegie, PA-based manufacturer of highly-engineered, high-performance specialty metal products and customized industrial equipment have surged 253.9% in the past three months compared with the industry’s 18.1% rise. The stock also outperformed the sector and the S&P 500’s 18% and 1.7% gains, respectively, in the same time frame.A major development of AP in recent months includes th ...

Stellantis (NYSE:STLA) Q4 2025 Earnings call February 26, 2026 08:00 AM ET Company ParticipantsAntonio Filosa - CEOEd Ditmire - SVP of Investor RelationsEmmanuel Rosner - Managing DirectorHenning Cosman - European Head of Automotive ResearchHorst Schneider - Head of European Automotive ResearchJoao Laranjo - CFOJosé Asumendi - Head of Global Autos and European Autos Equity ResearchMike Tyndall - DirectorPatrick Hummel - Head of European Autos ResearchPhilippe Houchois - Managing DirectorStuart Pearson - Hea ...

Material Solutions showed a sharper acceleration. Harris said fourth-quarter net sales and segment operating adjusted EBITDA increased “substantially” versus 2024, driven by “net favorable volume and mix from inorganic and organic operations,” along with favorable pricing. Fourth-quarter adjusted EBITDA margin increased 530 basis points to 11.8% . For the full year, Material Solutions net sales increased 18.2% to $553 million , while adjusted EBITDA climbed 49.5% to $55.6 million , with the margin rising to ...

Core Viewpoint - Lucid is laying off 12% of its U.S. workforce to enhance gross margin and support long-term growth [1] Company Summary - The decision to reduce the workforce is part of Lucid's strategy to improve financial performance [1] - The layoffs indicate a shift in operational focus towards achieving better profitability [1] Industry Context - The electric vehicle sector is facing challenges that necessitate cost-cutting measures among manufacturers [1] - Companies in the industry are increasingly prioritizing efficiency and sustainable growth amid competitive pressures [1]

Core Insights - Fagron reported a strong performance in FY 2025 with a 9.2% topline growth and a 10.9% increase in REBITDA [1][6] Financial Performance - Revenue reached €952.2 million, exceeding guidance, with a reported growth of 9.2% (12.9% at constant exchange rates) [7] - Organic growth at constant exchange rates was 9.1%, driven by sustained underlying demand and disciplined commercial execution [7] - REBITDA increased by 10.9% year-over-year to €192.9 million, resulting in a REBITDA margin of 20.3% [7] - Operating cash flow was €155.3 million, with free cash flow of €125.9 million, reflecting a 29.0% year-over-year increase [7] - The leverage ratio decreased to 1.2x from 1.4x in 2024, providing capacity for expansion capital expenditures and acquisitions [7] - Earnings per share (EPS) rose to €1.25, a 13.6% increase year-over-year, with a 9% compound annual growth rate over the last eight years [7] - A dividend proposal of €0.40 per share was made, marking a 14.3% increase year-over-year [7] Regional Performance - EMEA showed resilient performance due to geographical diversification and integration of recent acquisitions [4] - Latin America, particularly Brazil, maintained strong momentum driven by the Brands portfolio and innovation pipeline [4] - North America-Pacific benefited from outsourcing demand and onboarding new customers, alongside ongoing efficiency initiatives [4] Strategic Initiatives - The company experienced significant M&A activity, announcing 12 acquisitions across all regions and segments, with integration progressing as planned [5][7] - The company remains focused on execution and capturing synergies from acquisitions [5] - The outlook for FY 2026 includes mid- to high-single digit organic sales growth and slight margin improvement year-over-year [7]

Core Insights - The company experienced varied performance across brands, with luxury brand revenue declining by 12.7% year over year, influenced by challenging prior-year comparisons and weak sales promotions late in the quarter [1] - Same-store revenues were flat, and gross profit decreased by 1.2%, reflecting strong execution relative to market conditions [2] - The company achieved record revenues of $9.2 billion in the fourth quarter, contributing to a full-year revenue of $37.6 billion, which is a 4% increase from the previous year [4] Revenue and Profitability - New vehicle revenue declined by 6.6% due to an 8.3% unit decline as industry demand softened and supply normalized, with new vehicle gross profit per unit (GPU) at $2,760, down $300 year over year [2] - Used vehicle revenue increased by 6.1%, driven by a 4.7% unit growth, while used GPU was $1,575, down $151 year over year [5] - Aftersales revenue grew by 10.9%, with gross profit increasing by 9.8%, resulting in a gross margin of 57.3% [7] Operational Efficiency - The company is focusing on improving market share and volume to enhance profitability, with a strategy to reduce selling, general, and administrative (SG&A) expenses while increasing dynamic pricing [3][8] - Inventory levels remained stable, with new vehicle day supply at 54 days and used inventory at 40 days, contributing to lower floor plan interest costs [7] - The company is investing in technology to enhance operational efficiency, including AI-powered solutions and a new dealer management system [10][22] Financing Operations - Driveway Finance Corporation (DFC) reported record income with a managed receivables portfolio of $4.8 billion, up 23% year over year, and a net interest margin of 4.8% [24] - DFC's penetration rate reached 15% for the quarter, up 650 basis points, indicating strong growth potential [24] - The company aims for a long-term target of 20% penetration for DFC, which will enhance recurring income streams [11] Capital Allocation - The company repurchased 3.8% of its shares in the quarter and 11.4% of its shares in the previous year, focusing on maximizing shareholder returns through disciplined capital deployment [12][27] - A balanced capital strategy will be maintained, prioritizing share buybacks, selective acquisitions, and organic investments [28][29] - The company aims to acquire $2 billion to $4 billion in annualized revenues, targeting high-return acquisitions to strengthen its market position [16] Future Outlook - The company is positioned for compounding earnings growth in 2026 as industry conditions normalize, with a focus on increasing profitability and expanding its digital reach [13][30] - Strategic acquisitions remain a core pillar, with a goal to triple revenue while maintaining consistent EPS growth [14][15] - The company anticipates mid-single-digit growth in aftersales and aims to improve used vehicle pricing strategies to enhance GPU [56][50]

Core Viewpoint - United Parcel Service (UPS) has faced significant challenges in recent years, including a 39% decline in stock price, while the S&P 500 has increased by approximately 67% [2]. However, there are signs of potential recovery and profitability improvements that could make UPS stock more attractive moving forward. Financial Performance - For the year-end results of 2025, UPS reported consolidated fourth-quarter revenue of $24.5 billion, exceeding analysts' expectations of $24 billion [3]. The adjusted per-share profit was $2.38, surpassing the anticipated $2.20 earnings per share [3]. Strategic Changes - UPS is reducing the number of deliveries it handles for Amazon, which it describes as "extraordinarily dilutive." This controversial decision aims to strengthen profit margins, aligning with CEO Carol Tome's goal of improving profitability [4]. Stock Performance - As of the start of 2026, UPS shares have increased by 17% year-to-date and have rallied over 37% in the past six months, indicating a positive trend despite previous struggles [5]. The stock is now considered a more attractive investment compared to one or two years ago [5]. Valuation and Dividend - Despite the recent stock rally, UPS trades at a reasonable valuation of 15 times its estimated future earnings based on analyst expectations [6]. Additionally, the stock offers an attractive dividend yield of 6.2%, enhancing its appeal as a buy [6].

Financial Data and Key Metrics Changes - The company reported a 30.2% Adjusted EBITDA margin, marking one of the most profitable third quarters in its history [6][9] - Adjusted EBITDA increased by 9% despite flat revenue, resulting in a 250 basis points increase in the Adjusted EBITDA margin [9][10] - Year-to-date cash from operations reached $779 million, a 44% increase year-over-year, converting more than 100% of Adjusted EBITDA into cash [14][15] Business Line Data and Key Metrics Changes - Allied Products sales increased by 8%, driven by key products like StormTech storage chambers and water quality products [6][10] - Infiltrator revenue grew by 2%, with strong activity in the Southeast and South [6][10] - Pipe revenue saw a slight decline, with HP Pipe growth offset by weaker sales in residential and infrastructure markets [8][10] Market Data and Key Metrics Changes - Sales in the core non-residential market increased by 5%, particularly in the Southeast, Midwest, and Northeast [8][10] - Residential market sales were down slightly, but the Infiltrator core residential business outperformed the market due to new products [9][10] - The company updated its in-market demand forecast for the non-residential market to a decline in low to mid-single digits [8][10] Company Strategy and Development Direction - The company continues to prioritize higher growth, higher margin Allied and Infiltrator products to strengthen profitability [5][10] - The recent acquisition of NDS is expected to enhance the company's stormwater capture portfolio and improve offerings in distribution and retail channels [10][11] - The company is committed to long-term growth, focusing on innovation and new product development while navigating a challenging market environment [12][13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strategies and product portfolio to increase market participation as the residential market recovers [9][10] - The long-term outlook remains strong, supported by secular tailwinds driving demand for water management solutions across North America [13] - Management acknowledged the impact of adverse weather on construction activities, particularly in the fourth quarter [17][22] Other Important Information - The company announced a new $1 billion stock repurchase authorization, bringing the total authorization to $1.148 billion [16] - The company plans to host its Third Investor Day on June 18, 2026, to discuss growth priorities and updates on acquisitions [11][12] Q&A Session Summary Question: Non-residential market guidance reduction - Management indicated that the guidance reduction reflects a mark-to-market update based on performance in the first nine months and acknowledged the impact of recent storms on the fourth quarter [19][21][22] Question: Future product pipeline and contributions - Management noted that new products are contributing tens of millions of dollars in revenue and expect this to accelerate as commercialization improves [23][25] Question: NDS integration and cost synergies - NDS will be integrated into the Allied and Other segments, with expected cost synergies of $25 million by year three [29][30] Question: Capital expenditures outlook - The increase in CapEx outlook is due to timing rather than specific projects [33][34] Question: Infrastructure project visibility - Management reported improved quoting activity in infrastructure but noted variability by geography and project type [50][51] Question: Raw material costs and pricing - Management confirmed stable pricing and favorable material costs compared to the previous year, with ongoing monitoring of costs [79][81] Question: Margin expansion despite NDS's lower margin profile - Management attributed margin expansion to a favorable product mix and self-help initiatives implemented over the past 16-18 months [87][89]

Core Insights - ASSA ABLOY reported record results for 2025, with sales reaching SEK 152,409 million and adjusted operating income of SEK 24,664 million, reflecting strong operational execution despite a challenging market environment [3][4]. Sales and Income - In Q4 2025, total sales were SEK 38,307 million, a decrease of 3% compared to the previous year, primarily due to negative currency effects of -10% [2][5]. - Organic growth for Q4 was 4%, with acquired net growth of 3% [4][5]. - The operating income (EBIT) for Q4 was SEK 6,448 million, down 1% from SEK 6,529 million, with an operating margin of 16.8% [4][6]. - Net income for Q4 was SEK 4,281 million, a slight increase from SEK 4,214 million [4][6]. - Earnings per share for Q4 were SEK 3.85, up from SEK 3.81 [4][6]. Acquisitions and Growth Strategy - The company completed seven acquisitions in Q4, with combined annual sales of approximately SEK 1,200 million [4][6]. - ASSA ABLOY has maintained an active acquisition strategy, completing a record 26 acquisitions in 2024 and 23 acquisitions in 2025, enhancing its global footprint and product offerings [6][7]. Profitability and Financial Performance - The adjusted EBIT margin improved from 15.3% to 16.2% since 2023, indicating strong underlying improvements in profitability [7]. - The operating cash flow for Q4 was SEK 7,815 million, with a conversion rate of 137% [6][7]. Future Outlook - The company remains confident in navigating varying market conditions, focusing on innovation, operational excellence, and strategic acquisitions to drive long-term growth [8].

Financial Data and Key Metrics Changes - Net revenue for the second quarter was $102.2 million, down 12% year-over-year and down 13% on a constant currency basis [16] - Product revenue decreased by 26% overall and 28% on a constant currency basis, primarily due to lower-than-expected product revenue in China [16] - Service revenue was $57.2 million, up 4% from the prior year and up 3% on a constant currency basis [16] - Overall gross margin for the quarter was 23.5%, down from 36.1% in the prior year, with product gross margins at 19.7% compared to 43.5% in the prior year [18] - Operating loss for the quarter was $11.6 million compared to an income of $4.7 million in the prior year [21] - Adjusted EBITDA for the quarter was a loss of $1.9 million compared to positive $9.6 million in the prior year [21] Business Line Data and Key Metrics Changes - Product gross orders for the second quarter were approximately $66 million, with a book-to-bill ratio of 1.5x [17] - Service gross margins were 26.6%, down from 27.7% in the prior year, primarily due to higher net parts consumption [19] Market Data and Key Metrics Changes - The company ended the second quarter with a reported order backlog of approximately $383 million, representing over 18 months of product revenue [17] - The decline in product revenue was significantly impacted by ongoing geopolitical tensions and tariffs affecting the China market [13][16] Company Strategy and Development Direction - The company announced a comprehensive strategic, operational, and organizational transformation plan aimed at improving accountability, cost control, and execution [6] - The transformation plan targets an approximately $25 million improvement in annualized operating profitability, including a workforce reduction of about 15% [7] - The company is shifting towards a comprehensive solutions-oriented service offering to increase customer uptime and drive higher-margin recurring revenue [8][10] Management's Comments on Operating Environment and Future Outlook - The management acknowledged that external pressures, including tariffs and geopolitical instability, have affected demand patterns and commercial activity [13][14] - The revised revenue guidance for fiscal 2026 is now in the range of $440 million-$450 million, with adjusted EBITDA guidance of $22 million-$25 million [14] - Despite external headwinds, the company remains focused on delivering against transformation commitments and strengthening its foundation for sustained, profitable growth [15] Other Important Information - The company expects approximately $10 million of restructuring charges across the second, third, and fourth fiscal quarters related to workforce reductions and other implementation costs [8] - The leadership team emphasizes the need for teamwork, cross-functional collaboration, and data-driven decision-making to create a performance-driven environment [12] Q&A Session Summary Question: Revenue guidance cut details - The company clarified that the revenue guidance cut was influenced by ongoing tariffs and an unstable geopolitical environment, particularly in China, which has affected demand patterns and commercial activity [26][27][28] Question: Future product gross margins expectations - Product gross margins are expected to be impacted by tariffs and inflation, with projections indicating they may range between 20%-30% depending on product mix and timing of releases [30][32] Question: New initiatives for returning to growth - The company is focusing on solutions-oriented service offerings and restructuring distributor partnerships to drive growth, with expectations for positive results from these initiatives [36][39]