Industry Overview - Health and fitness companies are experiencing consistent demand due to increasing global awareness of health issues and the significance of physical fitness, driven by rising lifestyle-related diseases and a focus on preventive healthcare [1][10] - The industry's growth is supported by diverse revenue streams, including subscriptions, product sales, and services, making it appealing to long-term investors [2] Company Highlights Doximity Inc. (DOCS) - Doximity is a cloud-based digital platform for medical professionals in the U.S., covering over 80% of U.S. doctors and 60% of advanced practitioners, with a 95% subscription-based revenue model [7] - The company is expanding in a total addressable market of $18.55 billion and has integrated generative AI, enhancing product stickiness and physician utility [8] - Doximity's AI tools have seen a 5x usage growth year-over-year, supporting physicians in managing clinical documentation [9] - Expected revenue and earnings growth rates are 11.2% and 7%, respectively, for the current year [11] Planet Fitness Inc. (PLNT) - Planet Fitness is a leading franchisor and operator of fitness centers in the U.S., benefiting from higher royalties, new club openings, and member acquisitions [12] - The company ended Q2 with approximately 20.8 million members and over 2,762 clubs, achieving an 8.2% year-over-year increase in same-club sales [13] - Expected revenue and earnings growth rates are 10.2% and 13.1%, respectively, for the current year [14] United Natural Foods Inc. (UNFI) - United Natural Foods has shown strong growth supported by wholesale momentum and demand for natural and organic products, with strategic initiatives driving efficiency and cost savings [15][16] - The company has an expected revenue growth rate of 2.5% and earnings growth rate of over 100% for the current year [17] Peloton Interactive Inc. (PTON) - Peloton is evolving from a connected fitness brand to a broader wellness platform, leveraging commercial partnerships to drive growth [18] - The company has seen momentum in its Peloton for Business segment, with partnerships enhancing brand visibility [19] - Expected revenue and earnings growth rates are -1.1% and over 100%, respectively, for the current year [21] Performance Food Group Co. (PFGC) - Performance Food Group markets and distributes a wide range of food products, serving various sectors including restaurants and healthcare facilities [23][24] - The company has an expected revenue growth rate of 6.4% and earnings growth rate of 11.2% for the current year [25]

Financial Data and Key Metrics Changes - Total adjusted revenue for Q3 2025 grew 1% to $4.9 billion, while adjusted operating income decreased 7% to $1.8 billion, resulting in an adjusted operating margin of 37%, a decrease of 320 basis points [36][37] - Year-to-date adjusted revenue grew 5% to $14.9 billion, and adjusted operating income grew 5% to $5.7 billion, maintaining an adjusted operating margin of 38.2% [36][37] - Adjusted EPS for Q3 was $2.04, down 11% from $2.30 in the prior year [37] Business Line Data and Key Metrics Changes - Merchant Solutions segment organic revenue growth was 5% for the quarter and 7% year-to-date, with adjusted revenue growth also at 5% [39] - Financial Solutions segment organic revenue declined 3% in Q3 but grew 3% year-to-date, negatively impacted by lower periodic license revenue [43][44] - Clover revenue grew 26% in Q3, with GPV growth of 8% reported, and 11% excluding the 2023-2024 gateway conversion [40][18] Market Data and Key Metrics Changes - Argentina contributed significantly to organic growth, with a 257% growth in 2023 and 329% in 2024, impacting overall organic growth rates [9][10] - Excluding Argentina, the company's overall organic revenue growth rate was in the mid-single digits for both 2023 and 2024 [10][12] Company Strategy and Development Direction - The company is shifting its strategic focus to prioritize sustainable, client-focused opportunities, which may negatively impact near-term results but is expected to position the company for predictable growth [4][6] - The "One Fiserv" action plan includes investments in client-first operations, Clover platform enhancements, and operational excellence through AI [22][24] - The company aims to return to consistent mid-single-digit revenue growth and double-digit adjusted EPS growth starting in 2027 [33][21] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the need to reset growth and margin targets due to various factors, including slowing growth in Argentina and the impacts of deferred investments [9][12] - The company remains confident in its assets and growth opportunities, emphasizing that challenges are largely self-inflicted and addressable [14][15] - Future guidance for 2026 is expected to reflect a critical investment and transition year, with organic revenue growth anticipated in the low single digits [21][22] Other Important Information - The company announced several leadership changes, including new Co-Presidents and a new CFO, to drive the strategic initiatives forward [26][30] - Three acquisitions were made during the quarter to enhance client service and expand capabilities in stablecoin and digital currency [46][47] Q&A Session Summary Question: How long was Fiserv over earning with deferred investments and short-term initiatives? - Management indicated that a rigorous analysis was conducted over the past six months, revealing that the company has a solid foundation and growth opportunities, with a clear path to mid-single-digit growth [50][54] Question: What changed in the Financial Solutions segment's growth trajectory? - Management noted that while the segment faced challenges, it remains fundamentally strong, with ongoing investments aimed at improving execution and customer service [68][75] Question: Is Clover's 10% revenue growth for Q4 a decent proxy for next year? - Management expressed confidence in Clover's competitive positioning and highlighted ongoing investments in vertical and horizontal expansion, indicating strong growth potential [79][78]

Financial Performance - Q3 2025 - Revenue increased by 74% year-over-year to $5415 million, or 65% in constant currency[5] - GAAP diluted EPS was $056, while adjusted diluted EPS reached $139[6] - GAAP operating margin was 160%, matching the adjusted operating margin[8] Cash Flow - Operating cash flow surged to $1227 million, compared to $847 million in Q3 2024[6] - Free cash flow also increased significantly to $1160 million from $791 million in the same period last year[6] Revenue Breakdown - Q3 2025 - Products & Resources segment revenue was $1383 million, a 126% year-over-year increase, or 114% in constant currency[17] - Health Sciences revenue reached $1604 million, up 59% year-over-year, or 51% in constant currency[17] - Financial Services revenue was $1578 million, reflecting a 62% year-over-year increase, or 54% in constant currency[17] - Communications, Media & Technology revenue totaled $850 million, a 42% year-over-year increase, or 36% in constant currency[17] Bookings and Employee Metrics - Trailing twelve-month bookings increased by 5% year-over-year to $275 billion, resulting in a book-to-bill ratio of 13x[39, 40] - Headcount increased to 3498 thousand[42] Guidance - Full-year 2025 revenue is projected to be between $2105 billion and $2110 billion, representing a 66% to 69% year-over-year increase, or 60% to 63% in constant currency[46] - Adjusted diluted EPS for the full year is expected to be in the range of $522 to $526[46]

Core Insights - Lockheed Martin and Google Public Sector have announced a strategic collaboration to integrate Google's generative AI, including Gemini models, into Lockheed Martin's AI Factory, aimed at enhancing capabilities in aerospace, space exploration, and cybersecurity [1][2]. Company Collaboration - The collaboration will enable Lockheed Martin's AI Factory team to utilize generative AI for improved speed and efficiency in handling workloads, focusing on safe, secure, and trustworthy AI solutions for 21st Century Security® [2][4]. - The first phase involves integrating Google's generative AI technologies into Lockheed Martin's unclassified on-premise environment, allowing access to Google's AI tools via Google Gemini on Google Distributed Cloud [3]. Security and Compliance - The initiative emphasizes adherence to high security and mission assurance requirements essential for national security applications, ensuring that operations are conducted safely and at scale [1][2][4]. Technological Advancements - The collaboration aims to accelerate innovation by providing Lockheed Martin's engineers with powerful AI tools, enhancing research and development, logistics optimization, and multi-modal data analysis capabilities [6].

Core Insights - US stock markets are nearing record highs, driven by tech giants like Amazon, Alphabet, and Microsoft, with expectations for continued growth in 2025 and beyond due to AI investments and rate cuts [1][2] Amazon - Amazon has evolved from a retail company to a leader in cloud computing, digital advertising, and logistics, with TTM revenue reaching US$670 billion, an 11% YoY increase [3] - The company's TTM net income grew 59% YoY, driven by higher-margin businesses like AWS and advertising, with AWS contributing over half of Amazon's total operating profit [4] - Despite increasing CAPEX leading to a decline in free cash flow, Amazon's investments are aimed at future growth, particularly in logistics automation and AI services [6][7] Alphabet - Alphabet is leveraging AI across its services, with a strong balance sheet and a recent US$13.6 billion share buyback in Q2 2025 [8] - Google Services segment revenue grew 12% YoY, maintaining a high operating margin of 40.1%, while Google Cloud's revenue surged 32% with improved operational efficiency [9][11] - Alphabet's annual free cash flow has remained above US$60 billion since 2021, despite a 61% YoY decline in Q2 2025 due to rising CAPEX [11][12] Microsoft - Microsoft is a leader in cloud computing, with its cloud business growing at 25% YoY in Q2 2025, and is integrating AI across its ecosystem [13] - The company maintains a higher operating profit margin compared to Amazon and Alphabet, and it also pays dividends and conducts share buybacks [15] - Microsoft's AI capabilities are monetized through enterprise productivity tools, contributing to quality growth with high margins [23]

Core Insights - Visa is positioned as a "hyperscaler" in the payments industry, facilitating partners to leverage its network, with stablecoin settlements surpassing a $2.5 billion annualized run rate [1][4]. Financial Performance - Visa's fiscal fourth quarter results indicated an 8% increase in U.S. payments volume, with both credit and debit spending also rising by 8% [2][8]. - Value-added services revenue grew by 25% in constant dollars, reaching $3 billion, driven by issuing solutions [4]. - Full year fiscal 2025 commercial payments volume increased by 7% in constant currency to $1.8 billion, with cross-border volumes up 11% and eCommerce up 13% [8]. Market Trends - There is broad-based strength in spending categories, including retail services, travel, and fuel, with both discretionary and nondiscretionary spending increasing from Q3 [3][10]. - The number of Visa tokens issued has risen to over 16 billion, up from 10 billion in May 2024, with a goal of 100% of e-Commerce transactions being tokenized [6]. Technological Advancements - Visa is deploying a next-generation VisaNet with a cloud-ready microservices architecture, over half of which was developed using generative AI [5]. - The company is enhancing its support for four stablecoins, allowing conversions to over two dozen fiat currencies [4]. Consumer Behavior - Contactless payments have gained traction, with 79% of face-to-face transactions being tap-to-pay, an increase of 8% year-over-year; in the U.S., this figure stands at 66% [7]. - Higher spending cardholders are driving growth, indicating consumer resilience in the current economic climate [10]. Future Outlook - Visa anticipates adjusted net revenue growth in the low double digits for the current fiscal year, reflecting positive market conditions [9]. - The company is focusing on "agentic commerce," which could lead to increased transactions as consumers engage with a broader range of merchants [12].

Financial Data and Key Metrics Changes - Fiscal fourth quarter net revenue grew 12% year over year to $10.7 billion, with full-year net revenue growth of 11% to $40 billion [5][34] - EPS increased by 10% year over year, resulting in a full-year EPS growth of 14% to $11.47 [5][34] - Total full-year payments volume reached $14 trillion, up 8% year over year in constant dollars, with processed transactions totaling $258 billion, up 10% year over year [5][34] Business Line Data and Key Metrics Changes - Consumer payments revenue was driven by strong payments volume, cross-border volume, and processed transaction growth [31] - Commercial and money movement solutions revenue grew 14% year over year in constant dollars, with commercial payments volume growing 10% [31] - Value-added services revenue grew 25% in constant dollars to $3 billion, driven by issuing solutions and advisory services [32] Market Data and Key Metrics Changes - U.S. payments volume was up 8%, with e-commerce growing faster than face-to-face spend [28] - Total international payments volume was up 10% year over year in constant dollars, with acceleration in Asia-Pacific [28] - Cross-border volume, excluding intra-Europe, was up 11%, with e-commerce up 13% and travel improving to 10% [28][29] Company Strategy and Development Direction - The company is focused on innovation and building the future of payments through the Visa-as-a-Service stack [5][25] - Investments in the next generation of VisaNet are aimed at enhancing product development speed and adaptability to market changes [7][73] - The company aims to expand its stablecoin capabilities and enhance cross-border money movement solutions [11][38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of consumer spending and the strength of the macroeconomic environment [48] - The company anticipates continued strong performance in 2026, driven by major events like the Olympic and Paralympic Games and the FIFA World Cup [37][42] - Management expects adjusted net revenue growth in the low double digits for 2026, with a focus on maintaining strong client relationships and expanding service offerings [36][41] Other Important Information - The company bought back approximately $4.9 billion in stock and distributed $1.1 billion in dividends in Q4 [33] - The tax rate for the quarter was 18.8%, in line with expectations, and the company expects to remain below its long-term tax rate in 2026 [32][40] Q&A Session Summary Question: Concerns about economic choppiness and consumer spending habits - Management noted strong momentum exiting FY25 and emphasized the diversification of Visa's business, which supports resilience in consumer spending [46][48] Question: Role of Visa in agentic commerce - Management highlighted Visa's leadership in setting standards for agentic commerce and the introduction of the Visa Trusted Agent Protocol to ensure secure transactions [52][55] Question: Sustainability of data processing yield growth - Management confirmed that data processing revenue growth was driven by pricing and mix, with expectations for continued benefits from new pricing implemented in FY2025 [66] Question: Differences between Visa's and competitors' agentic commerce protocols - Management emphasized the open and easy integration of the Visa Trusted Agent Protocol, positioning it as a foundational layer for the agentic commerce ecosystem [82][84]

Financial Data and Key Metrics Changes - CoStar Group reported Q3 2025 revenue of $834 million, a 20% year-over-year increase, marking the 58th consecutive quarter of double-digit revenue growth [4][52] - Adjusted EBITDA for Q3 rose to $115 million, up 51% from Q3 2024, with a profit margin of 47% in commercial information and marketplace businesses [4][52] - Net new bookings totaled $84 million, representing a 92% year-over-year increase [4][52] Business Line Data and Key Metrics Changes - Revenue from residential real estate portals reached $411 million in Q3, with a 22.7% quarter-over-quarter and 31.3% year-over-year growth [5][6] - Apartments.com generated $303 million in Q3 revenue, an 11% increase year-over-year, with a 99% monthly renewal rate [6][7] - LoopNet achieved 10% revenue growth in Q3, with expectations for low double-digit growth next year [44][55] Market Data and Key Metrics Changes - Homes.com rental traffic grew 55% year-over-year, with annualized net new bookings rising to $16 million, a 53% quarter-over-quarter increase [8][10] - The U.K. marketplace OnTheMarket saw leads up 21% year-over-year in Q3 2025, with significant ROI delivered to its 16,000 subscribing customers [33] - Domain's residential marketplace generated over 50% direct contribution margin, with a 24% year-over-year increase in audience metrics [35][36] Company Strategy and Development Direction - The company aims to enhance its AI capabilities, particularly with the launch of AI Smart Search on Homes.com, which is expected to improve user engagement significantly [18][19] - CoStar Group plans to leverage its proprietary data resources and expertise to capitalize on the opportunities presented by generative AI in the real estate sector [20][24] - The acquisition of Domain is expected to expand market share in Australia, with plans to integrate Homes.com, CoStar, and LoopNet platforms [35][38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the continued growth of the residential portals and the potential for long-term margins exceeding 40% adjusted EBITDA [6][7] - The company anticipates strong performance in Q4 2025, with revenue expectations of $885 million to $895 million, driven by the Domain acquisition [59] - Management highlighted the legal challenges facing Zillow, predicting that these could significantly impact Zillow's operations and market position [27][29] Other Important Information - CoStar's cash balance as of September 30 was $2 billion, with a net interest income of $26 million in Q3 [58] - The company repurchased 576,000 shares for $51 million in Q3, with plans for an additional $50 million in share repurchases in Q4 [58] Q&A Session Summary Question: Inquiry about seasonal behaviors in bookings - Management noted that Apartments.com typically experiences seasonality, particularly around the NAA event, but current sales trends for Homes.com show a linear progression without significant seasonality [61][62] Question: Follow-up on seasonal trends - Management confirmed that while some seasonality may occur during year-end holidays, the current sales line for Homes.com remains smooth, indicating strong performance [63]

Financial Data and Key Metrics Changes - CoStar Group reported Q3 2025 revenue of $834 million, a 20% year-over-year increase, marking the 58th consecutive quarter of double-digit revenue growth [4][52] - Adjusted EBITDA rose to $115 million, up 51% from Q3 2024, with a profit margin of 47% in commercial information and marketplace businesses [4][52] - Net new bookings totaled $84 million, representing a 92% year-over-year increase [4][52] Business Line Data and Key Metrics Changes - Revenue from residential real estate portals reached $411 million in Q3, with a 22.7% quarter-over-quarter and 31.3% year-over-year growth [4][5] - Apartments.com generated $303 million in Q3 revenue, an 11% increase year-over-year, with a 99% monthly renewal rate and a 93 NPS score [5][6] - Homes.com saw annualized net new bookings rise to $16 million, up 53% quarter-over-quarter, and revenue increased by 20% year-over-year [8][10] Market Data and Key Metrics Changes - Homes.com achieved 115 million unique monthly visitors in Q3, with total visits increasing to 560 million, up 7% compared to Q2 [14][15] - CoStar's lender business closed $4.3 million in annual net new bookings, with nearly $100 million in revenue [43] - The UK business reported record net new bookings, up 125% year-over-year, with revenue growth of 17% [50] Company Strategy and Development Direction - The company aims to leverage AI technologies to enhance user engagement and improve search functionalities on Homes.com [18][19] - CoStar Group plans to expand its presence in Australia through the acquisition of Domain, focusing on integrating its platforms and improving profitability [34][38] - The strategy includes enhancing Matterport's integration into its marketplaces to unlock additional revenue opportunities [40] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the continued growth trajectory, with expectations for Q4 revenue growth between 15% to 17% for LoopNet and 11% to 12% for Apartments.com [54][55] - The company anticipates that the ongoing legal challenges faced by Zillow could create competitive advantages for CoStar Group [26][29] - Management highlighted the importance of maintaining expense discipline while pursuing growth opportunities across various segments [52][56] Other Important Information - CoStar Group's balance sheet included $2 billion in cash, with a net interest income of $26 million in Q3 [58] - The company repurchased 576,000 shares for $51 million in Q3, with plans for additional repurchases in Q4 [58] - The acquisition of Domain contributed $25 million in revenue for the stub period from August 28 to September 30 [58] Q&A Session Summary Question: Can you point out any seasonal behaviors noticed in bookings, especially on the residential side? - Management noted that Apartments.com typically experiences seasonality, particularly around the NAA event, but current sales trends for Homes.com are linear with minimal seasonality observed [61][62] Question: Can you provide more detail on sequential booking trends in the third quarter? - Management indicated that bookings for core businesses like Apartments.com and LoopNet are expected to continue their upward trajectory into Q4, supported by a larger sales force and improved productivity [64]

Financial Data and Key Metrics Changes - Booking Holdings reported a strong third quarter with gross bookings increasing by 14% year-over-year, reaching $50 billion, and revenue growing by 13% to $9 billion, both exceeding prior guidance [4][26]. - Adjusted EBITDA for the quarter was approximately $4.2 billion, up 15% year-over-year, and adjusted earnings per share grew 19% to $99.50 [29][30]. - Room nights reached 323 million, an 8% increase year-over-year, surpassing expectations [4][18]. Business Line Data and Key Metrics Changes - The connected trip transactions, which include multiple travel verticals, grew mid-20% year-over-year, now representing a low double-digit percentage of total transactions [8]. - Flight ticket bookings increased by 32% year-over-year, while attractions bookings surged nearly 90% from a smaller base [23][24]. - Alternative accommodations room night growth was about 10%, with a global mix of alternative accommodation room nights at 36%, up one percentage point from the previous year [23][16]. Market Data and Key Metrics Changes - The U.S. market saw high single-digit growth in room nights, driven by stronger outbound travel and B2B business momentum [4][19]. - Asia remains a key growth driver, with the region expected to grow in the high single digits over the next several years [17]. - Global average daily rates (ADRs) increased by about 1% year-over-year, indicating a positive trend in pricing [20]. Company Strategy and Development Direction - The company is focused on advancing its connected trip vision, enhancing loyalty programs, and leveraging AI capabilities to create more value for travelers and partners [5][11]. - Investments are being made to improve the customer experience across various travel verticals, including accommodations, flights, and attractions [6][10]. - The Genius loyalty program is a core differentiator, with members accounting for over 30% of the active base and mid-50% of room nights booked [9][10]. Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the strength of the value proposition through the connected trip and the Genius loyalty program, despite macroeconomic uncertainties [18][34]. - The company anticipates continued stable global leisure travel demand and expects fourth quarter room night growth to be between 4% and 6% [32][33]. - Full-year guidance has been increased, with expectations for gross bookings to rise by 11% to 12% and revenue by 12% [34]. Other Important Information - The company is experiencing a positive impact from foreign exchange rates, which are expected to benefit growth rates by approximately 400 to 500 basis points [5][26]. - The transformation program is projected to deliver significant cost savings, with estimated in-year savings for 2025 exceeding $225 million [30]. Q&A Session Summary Question: U.S. acceleration and B2B initiatives - Management noted that both B2B and B2C segments are performing well, with a focus on improving efficiency and product offerings [38][40]. Question: OpenAI app integration and economic impact - Management acknowledged the early stages of integration with OpenAI and emphasized the importance of providing value through execution and transaction fulfillment [44][46]. Question: Risk of hotel partners bypassing platforms - Management downplayed the risk, stating that customer trust and value provided through the platform will continue to attract users [50][52]. Question: Social media marketing effectiveness - Management confirmed ongoing investments in social media marketing while maintaining a focus on measuring ROI [56]. Question: Growth in Asia and market penetration - Management highlighted the strong performance in Asia, with localized strategies for Agoda and global optimization for Booking.com [59][60].