Core Viewpoint - Kelso Technologies Inc. reported its first profitable quarter since Q1-2020, with a net income of $412,337 for Q1-2025, indicating a positive turnaround in financial performance [5][11]. Financial Performance Summary - Revenues for Q1-2025 reached $3,158,074, a 19.06% increase from $2,652,604 in Q1-2024 [4][5]. - Gross profit increased to $1,409,754, with a gross profit margin of 45%, up from 42% in the previous year [4][5]. - The company reported a net income of $412,337, compared to a net loss of $698,759 in Q1-2024 [4][5]. - Adjusted EBITDA for Q1-2025 was $412,172, significantly higher than $99,720 in Q1-2024 [4][6]. Liquidity and Capital Resources - As of March 31, 2025, the company had cash of $417,188 and accounts receivable of $1,596,583, compared to cash of $1,066,089 and accounts receivable of $939,641 as of March 31, 2024 [4][8]. - Working capital improved to $2,570,415 from $2,125,386 at the end of 2024 [9]. - Total assets were reported at $6,877,978, down from $10,207,748 in the previous year [6][9]. Strategic Outlook - The company anticipates flat to slightly positive sales growth of 0% to 5% for FY2025 compared to FY2024, focusing on cost discipline in preparation for increased tank car production expected in 2026/2027 [12][15]. - Kelso is seeking full approval from the Association of American Railroads (AAR) for its Bottom Outlet Valve and Angle Valve, which is expected to create new revenue opportunities [13]. - The forecast for tank car deliveries shows a modest increase, with expectations of 10,325 units in 2025, indicating a 15.8% rise over the average from 2021 to 2023 [14].

Guggenheim analyst Gregory Francfort reiterated the Neutral rating on Starbucks Corporation SBUX on Tuesday, lowering the price forecast from $95 to $83. Starbucks reported second-quarter fiscal year 2025 financial results after market close on Tuesday. Consolidated net revenue rose 2% year-over-year, but global comparable store sales fell 1% (transactions down 2%, average ticket up 1%), with North America down 1%, international down 2%, and China flat. Also Read: How To Earn $500 A Month From Starbucks Sto ...

Financial Data and Key Metrics Changes - The company reported sales of $964 million in Q1 2025, a decrease of 2% year-over-year, and earnings of $0.95 per share, down 5% compared to the prior period [11][12] - North America segment sales were $749 million, also a 2% decrease, with segment earnings of $185 million, down 7% year-over-year [11][12] - The overall segment margin was 24.7%, a decrease of 120 basis points year-over-year, primarily due to lower water heater volumes and continued strategic investments [11][12] Business Line Data and Key Metrics Changes - North America water heater sales declined by 4% in Q1 2025, driven by lower volumes, while boiler sales increased by 10% compared to Q1 2024 [7][9] - North America water treatment sales saw slight growth, offsetting retail declines as the company shifted focus away from that channel [9] - Rest of the world segment sales were essentially flat at $227 million, with earnings increasing by 15% due to expense management [12][13] Market Data and Key Metrics Changes - In China, third-party sales decreased by 4% in local currency, reflecting ongoing economic weakness and soft consumer demand [7][10] - The company anticipates a 5% to 8% decrease in sales in China for 2025, with a focus on maintaining premium brand positioning despite market challenges [24][25] Company Strategy and Development Direction - The company is focused on managing costs and optimizing production schedules to ensure efficiency, particularly in response to tariff-related cost increases [8][21] - A significant initiative for 2025 includes leveling production across the year to enhance plant efficiencies [8] - The company is actively pursuing acquisitions and has a robust pipeline, with a planned share repurchase of $400 million for the full year [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the volatile macro environment, emphasizing the stability provided by core water heater and boiler businesses [30][31] - The company is cautious about the near-term market outlook, particularly in China, where consumer confidence remains low [25][71] - The guidance for 2025 EPS remains unchanged at $3.60 to $3.90 per share, despite uncertainties related to tariffs and input costs [15][16] Other Important Information - The company repurchased approximately $121 million worth of shares in Q1 2025, front-loading part of its annual repurchase outlook [14] - The company opened a new commercial R&D testing lab in Lebanon, Tennessee, aimed at enhancing product development and engineering capabilities [29] - A. O. Smith was recognized as one of the world's most ethical companies for the second consecutive year, highlighting its commitment to ethical business practices [30] Q&A Session Summary Question: Demand destruction around pricing actions - Management indicated that pricing actions are expected to cover costs, with a stable replacement business providing some insulation against demand destruction [35][36] Question: Clarification on tariff exposure - The 6% to 8% tariff exposure includes costs related to imports, particularly from China, and is expected to impact the cost of goods sold [38][40] Question: Sequential demand expectations - Management expects a relatively normal seasonal demand pattern, with no significant changes anticipated in order rates [45][46] Question: Pricing actions and market dynamics - Pricing actions have been communicated to customers, and the company is working closely with them to manage the implications of tariffs and pricing changes [92][93] Question: China market outlook - The company is cautious about the Chinese market, focusing on consumer confidence as a key driver for recovery, rather than solely on the housing market [71][77]

Financial Data and Key Metrics Changes - Freeport-McMoRan generated $1.9 billion in EBITDA for Q1 2025, with expectations for improved margins and cash flows in the remaining quarters of the year [16][56] - The company anticipates a 20% increase in quarterly copper sales volumes and nearly four times the gold sales compared to Q1 levels, with unit net cash costs expected to be 30% lower on average in the remaining quarters [17][56] Business Line Data and Key Metrics Changes - Copper and gold production met expectations, with copper sales exceeding forecasts, while gold shipments were impacted by timing [15][16] - The smelter repairs are ahead of schedule, and the company is making significant progress on low-cost leach innovation projects in the US [18][41] Market Data and Key Metrics Changes - Copper prices ranged from $3.94 to $4.53 per pound on the London Metals Exchange, reaching a high of $5.22 per pound on the US COMEX exchange in March [25] - The US copper market is experiencing a premium of approximately 13% above LME prices, translating to an estimated $800 million annual financial benefit for Freeport's US copper sales [30][31] Company Strategy and Development Direction - The company aims to be a global leader in copper, focusing on large-scale copper-producing assets and a strong balance sheet to support long-term growth [9][10] - Freeport is pursuing innovative projects to enhance margins and profitability, including a target of 300 million pounds per annum from leaching initiatives by year-end 2025 [21][39] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong fundamentals of the copper market, driven by increasing demand for electrification and infrastructure investments [25][26] - The company is well-positioned to meet rising demand with a robust pipeline of projects and a focus on operational excellence [18][46] Other Important Information - The company has repurchased 2.3 million shares for approximately $80 million year-to-date, reflecting a commitment to returning cash to shareholders [19][60] - Freeport's capital expenditures are expected to be approximately $4.4 billion in 2025 and 2026, with significant investments in growth projects [57][58] Q&A Session Summary Question: Expected cost reduction or efficiency gains from the Baghdad autonomous haulage system - Management highlighted that the autonomous haulage system at Baghdad is expected to reduce staffing needs and improve efficiency, targeting an average cost of $2.50 per pound by 2027 [66][70] Question: Update on the new smelter and concentrate export permit in Indonesia - Management confirmed that they have sufficient quota to meet sales targets and expect the new smelter to ramp up to full capacity over a six-month period starting in May [74][80] Question: Feasibility of the Baghdad expansion given current economic conditions - Management is reviewing the economics of the Baghdad expansion project, considering infrastructure investments that are necessary regardless of the project's status [83][130] Question: Potential for Freeport to accumulate assets in the US - Management indicated that they are always looking for opportunities to enhance their position in the US, particularly given their existing resources and infrastructure [134][136]

Core Insights - Mondelez International, Inc. (MDLZ) is expected to report revenue growth of 0.4% year-over-year, with a consensus estimate of $9.3 billion for first-quarter 2025 earnings [1] - However, the company's earnings per share (EPS) is projected to decline by 30.5% year-over-year, with a consensus estimate of 66 cents [2] - The company has a history of delivering earnings surprises, averaging 8.3% over the last four quarters [2] Revenue and Growth Factors - Continuous reinvestments in brands and capabilities, along with effective portfolio reshaping, are contributing to Mondelez's performance [2] - Focus on core categories such as chocolate, biscuits, and baked snacks is expected to support revenue growth, with a projected 0.7% increase in the biscuit category for the first quarter [2] - The company is benefiting from a favorable pricing environment, with an expected organic revenue growth of 3.1% driven by a 3.2% increase in pricing [3] Cost Pressures - Ongoing challenges from elevated input costs, particularly cocoa, are anticipated to impact profitability in the first quarter [4] Earnings Prediction Model - The Zacks model indicates that Mondelez does not conclusively predict an earnings beat this time, with a Zacks Rank of 3 (Hold) and an Earnings ESP of -1.96% [5]

Core Viewpoint - Foot Locker, Inc. is currently undervalued with a low price-to-sales (P/S) multiple of 0.17, significantly below the industry average of 1.39 and sector average of 1.47, presenting an attractive investment opportunity [1][3] Financial Performance - In the fourth quarter of fiscal 2024, comparable sales increased by 2.6% year over year, with gross margin improving by 300 basis points to 29.6% despite a promotional environment [6] - The company achieved $35 million in cost savings in the fiscal fourth quarter and $100 million in total savings for fiscal 2024, exceeding its target [7] - For fiscal 2025, Foot Locker anticipates gross margin expansion of 40-80 basis points, reaching 29.3-29.7%, supported by stronger full-price selling and ongoing savings [8] Strategic Initiatives - Foot Locker's Lace Up Plan is driving sales growth, margin expansion, and digital acceleration, with multiple quarters of positive comparable sales growth [5] - The company plans to refresh over 400 stores in fiscal 2024 and an additional 300 in 2025, with the "Reimagined" store concept expected to generate annual sales of $4-$5 million per location [9] - Digital transformation efforts have led to a 12.4% increase in global digital comparable sales in the fiscal fourth quarter, with digital sales penetration reaching 21.8% of total sales [10] Customer Engagement - The relaunch of the FLX Rewards Program has significantly boosted customer retention, reaching 49% of North American sales in the fiscal fourth quarter, with membership growing by 3.2 million [11][12] Future Outlook - Foot Locker expects fiscal 2025 comparable sales growth of 1-2.5% and adjusted EPS projected at $1.35-$1.65, reflecting a 10% growth at the midpoint compared to fiscal 2024 [13] - The company is prioritizing high-return investments to ensure long-term growth despite challenges in international markets and underperforming apparel sales [8][14]

Group 1: Company Performance and Growth - Illinois Tool Works Inc. (ITW) is expected to benefit from growth in institutional end markets in North America and increased demand in European warewash and cooking end markets within the Food Equipment segment [1] - The Specialty Products segment is experiencing strong momentum in ground support equipment, appliances, consumer packaging, and strength films businesses [1] - The Polymers & Fluids segment is supported by strength in polymers and growth in fluids businesses, driven by higher demand in Europe from the life sciences end market [2] Group 2: Financial Performance and Margin - ITW's focus on cost management and enterprise initiatives is enhancing its margin performance, with a 4.9% year-over-year decrease in cost of sales in 2024 [3] - The operating margin increased to 26.8%, up 170 basis points year-over-year, with enterprise initiatives contributing 130 basis points [3] - The company anticipates an operating margin range of 26.5% to 27.5% for 2025, with enterprise initiatives expected to add approximately 100 basis points [3] Group 3: Shareholder Returns - In 2024, ITW paid dividends totaling $1.7 billion and repurchased approximately $1.5 billion in common stock [4] - The dividend was increased by 7% to $1.50 per share in August 2024, and a new $5 billion buyback program was approved in August 2023 [4] - ITW plans to repurchase around $1.5 billion worth of shares in 2025, with $3.5 billion remaining under the 2023 buyback program as of the end of Q4 2024 [4] Group 4: Market Challenges - The Automotive OEM segment is facing revenue declines due to a decrease in North American auto build rates and unfavorable customer mix [7] - The Welding segment is experiencing softness in consumables and equipment business due to declining demand in industrial and commercial end markets [7] - The Construction Products segment is impacted by lower demand in the U.S., North American, and European commercial and residential end markets [7] Group 5: International Expansion and Risks - ITW aims to enhance revenues and profitability through overseas business expansion, which introduces risks related to political, environmental, and foreign currency exchange fluctuations [8] - In Q4 2024, foreign currency translation negatively affected ITW's revenues by 1% [8]

Financial Data and Key Metrics Changes - For the full year 2024, the company increased its adjusted EBITDAX to $300 million, a new record [7] - Record production reached almost 25,000 working interest barrels equivalent per day, with record sales of nearly 20,000 net interest barrels per day [7] - SEC proved reserves grew 57% year over year to 45 million BOE, while 2P CPR reserves increased to 96.1 million BOE [7][22] - The company returned $83 million to shareholders over the past two years through dividends and share buybacks [7] Business Line Data and Key Metrics Changes - In Cote D'Ivoire, the company completed the Svenska acquisition in April 2024, achieving a 1.8x payback on the initial investment by year-end [8] - Canadian production was approximately 60% liquid in Q1 and about 75% liquid from Q2 to Q4, indicating a shift towards more profitable liquid production [12] - In Egypt, the company completed 12 workover projects in 2024 to mitigate decline, with plans to drill an additional 8 to 13 wells in 2025 [14] Market Data and Key Metrics Changes - The company reported stable pricing in Q4 2024, supported by a hedging program to mitigate risks [29] - Production costs for Q4 2024 were below guidance, with absolute costs at $37.7 million and per barrel costs at $20.16 [30] Company Strategy and Development Direction - The company aims to maintain operational excellence and consistent production to expand adjusted EBITDAX, positioning itself for future growth [6] - Plans include extensive drilling campaigns in Gabon and Cote D'Ivoire, with a focus on maximizing production and reserves [43][44] - The company is also progressing with the FEED study for the Venus Block P in Equatorial Guinea, anticipating an economic final investment decision in 2025 [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's operational and financial momentum entering 2025, highlighting a diversified portfolio of high-quality assets [8][24] - The company noted improvements in collection rates in Egypt, which have outpaced revenues in early 2025 [35][63] - Management emphasized the undervaluation of the stock despite strong operational performance and a top quartile dividend yield [41][46] Other Important Information - The FPSO ceased hydrocarbon operations as scheduled on January 31, 2025, with significant development drilling expected to begin in 2026 [9] - The company secured a new revolving credit facility with an initial commitment of $190 million, expandable to $300 million, to support capital programs [36] Q&A Session Summary Question: Can you talk about the cycle times for exploration projects in Gabon and Cote D'Ivoire? - Management indicated that seismic acquisition for Gabon is expected in Q1 2026, with drilling likely starting in late 2026 or early 2027 [48][49] Question: What impact will the capital campaign in 2026 have on cost recovery pools? - Management noted that capital spent in Gabon will start recovering as soon as successful wells are in production, while Cote D'Ivoire offers a 25% uplift for every dollar invested [51][52] Question: How will the Gabon drilling campaign impact production volumes? - Management expressed optimism about achieving significant production increases, similar to past campaigns, with a focus on enhancing the drilling program [55] Question: What are the critical path items for the FPSO refurbishment in Cote D'Ivoire? - Key milestones include the turret bearing, which is already in transit to Dubai, with first oil expected between mid to late May 2026 [71][72] Question: How many H2S wells will be included in the drilling program? - Management confirmed that the Aburi wells will be part of the drilling program, with the first wells being drilled in 2026 [88]

Financial Data and Key Metrics Changes - In Q4 2024, the company reported net sales of $2.8 billion, a decrease of 4% compared to the prior year, but exceeded guidance [41][12] - Earnings per diluted share were $2.09, surpassing the guidance range of $1.94 to $2.07 [40] - The gross profit rate for Q4 was 46.7%, an increase of 80 basis points year-over-year [43] - Operating income for Q4 was $678 million, representing 24.3% of net sales [45] Business Line Data and Key Metrics Changes - Body care grew low-single digits year-over-year, driven by successful seasonal fragrance launches [17] - Home fragrance performance was slightly down year-over-year, but improved in the second half of 2024 [21][22] - Soaps and sanitizers grew mid-single digits, driven by demand during the quad-demic [23] - Adjacent categories, including men's, hair, lip, and laundry, represented approximately 10% of total business, with significant growth potential [30] Market Data and Key Metrics Changes - International net sales were $84 million, down 10% from the prior year, but expected to return to growth in 2025 [33][49] - System-wide retail sales were up nearly 10% in Q4 on a calendar-adjusted basis, with 20% growth in unaffected areas [33] Company Strategy and Development Direction - The company focuses on three priority areas: accelerating top-line growth, enhancing operational excellence, and deploying strong cash flow for growth and shareholder returns [15][48] - The strategy includes product innovation, marketing, and technology, along with expanding into adjacent categories and international markets [34][29] - The company plans to increase its off-mall store locations to 75% over time, reflecting consumer preferences [27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the innovation pipeline and the ability to sustain growth momentum into 2025 [69][68] - The company anticipates net sales growth of 1% to 3% for 2025, with diluted earnings per share expected between $3.25 and $3.60 [38][49] - Management acknowledged the competitive environment and value-seeking customer behavior but remains optimistic about future performance [12][10] Other Important Information - The company achieved approximately $155 million in incremental cost savings through its Fuel for Growth program in 2024, totaling over $300 million in two years [35][36] - The loyalty program grew by 6% year-over-year, with approximately 39 million active members [28][129] - The company plans to invest between $250 million and $270 million in capital expenditures in 2025, focusing on real estate and technology [60] Q&A Session Summary Question: What are the key areas of excitement for 2025? - Management highlighted the innovation pipeline and the positive customer response to collaborations, particularly with Disney [66][69] Question: Can you elaborate on the drivers of revenue growth and traffic acceleration? - Management noted that compelling product offerings and effective marketing strategies have driven traffic and revenue growth [74][78] Question: What assumptions underlie the full-year sales guidance? - Management indicated that the guidance assumes consistent trends with Q4 performance and does not factor in significant macroeconomic improvements [86][87] Question: How do you view the impact of international sales on margins? - Management expects international sales to return to growth, with Q1 having a significant impact on both top line and margin due to timing [110] Question: What is the expected growth for adjacent categories in 2025? - Management anticipates that adjacent categories will become a larger percentage of total sales, with a focus on men's products [117] Question: How does the company plan to manage cost savings going forward? - Management plans to continue seeking efficiencies and cost savings while maintaining customer experience [133]

Financial Data and Key Metrics Changes - The company reported a year-end 2024 2P reserves of 513 million barrels of oil equivalent, representing a reserves to production ratio of twenty-two years, with a reserve replacement ratio of 137% [13][15][18] - Total CapEx is expected to fall significantly from over $800 million in 2023 and 2024 to $400 million in 2025, a reduction of over fifty percent [10][28] - The company achieved first LNG production from the GTA project in early February 2025, with first cargo lifting expected shortly [34][36] Business Line Data and Key Metrics Changes - Production for the fourth quarter was lower than guidance, primarily due to lower Jubilee production and delays in ramp-up from infill wells [21][22] - Net production in Ghana for 2024 was just over 41,000 barrels of oil equivalent, below the operator's target, driven by issues with water injection reliability [42][44] - The Gulf of America saw a gradual quarterly ramp-up in production from Q2 onwards, with full year guidance of 17,000 barrels of oil equivalent per day, a 20% increase year over year [49] Market Data and Key Metrics Changes - The company has hedged around 60% of its first half oil production with downside protection of approximately $70 per barrel, providing solid protection for cash flow [26][27] - The GTA project is positioned to deliver growth in revenue with increasing margins as gas and LNG continue to grow in the global energy mix [7][8] Company Strategy and Development Direction - The company aims to focus on cash generation through maximizing revenue and rigorous cost management, with a clear goal of reducing annual overhead by around $25 million by the end of 2025 [11][12][28] - The strategy includes prioritizing cash for debt pay down until leverage goals of below 1.5 times at mid-cycle oil prices are achieved [13][29] - The company is focused on sustainable cash generation, with a diverse reserve base supporting production for many years to come [15][53] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in addressing production issues and emphasized the importance of power generation reliability for future performance [111][112] - The company is optimistic about the future potential of the GTA project and its ability to meet local market gas needs while driving low-cost expansions [36][38] - Management highlighted the importance of rigorous capital allocation and cost management to sustain free cash flow yield [64][70] Other Important Information - The company achieved zero lost time injuries or total recordable injuries in 2024, maintaining high safety performance [17] - The company raised a total of $900 million in new bonds at competitive rates, enhancing its financial position and extending weighted average maturities [20][25] Q&A Session Summary Question: Discussion on startup costs and their nature - Management indicated that startup and commissioning costs are expected to be one-time in nature, with costs trending lower over time as production ramps up [56][58] Question: CapEx guidance and potential for lower spending - Management confirmed a ceiling of $400 million for CapEx in 2025, emphasizing a focus on free cash flow and disciplined capital allocation [63][65] Question: Clarification on GTA phase one plus - Management explained that phase one plus involves fully utilizing existing infrastructure to increase capacity with minimal additional CapEx [75][78] Question: Assumptions behind Jubilee production guidance - Management highlighted the importance of achieving 100% voidage replacement and reliable power generation as key assumptions for Jubilee's production guidance [82][86] Question: Confidence in Jubilee's performance and future plans - Management expressed confidence in addressing past issues and emphasized a clear set of objectives for field management to ensure future performance [112][114] Question: Thoughts on terminated discussions with Tullow - Management stated that there are no plans to revisit discussions with Tullow, focusing instead on free cash flow generation and maintaining a strong portfolio [120][121] Question: Timeline for achieving leverage goals - Management anticipates reaching a leverage level of around 1.5 times by the back half of 2026, with a focus on debt pay down and growth in EBITDAX [127][128] Question: CapEx implications for Tortue project - Management indicated that future CapEx for the Tortue project will be minor, focusing on sustaining current well counts and maximizing revenue [102][135]