Stellantis Overview - Stellantis (STLA) will incur charges of approximately €22.2 billion ($26.18 billion) for the second half of 2025 due to a reset in its business strategy amid weak demand for electric vehicles [3] - The company's shares fell about 14% in early trading following the announcement of these charges [3] - CEO Antonio Filosa stated that the charges reflect an overestimation of the energy transition pace and previous operational execution issues [3] Financial Implications - The charges will include cash payments of around €6.5 billion ($7.66 billion) to be paid over the next four years, related to cancelled products and adjustments in battery manufacturing capacity [3] - Stellantis announced it will not pay an annual dividend in 2026 as part of its financial restructuring [4]

Core Insights - Cummins reported a full-year revenue of $33.7 billion in 2025, a decrease of 1% from 2024, with EBITDA at $5.4 billion, or 16.0% of sales, down from $6.3 billion, or 18.6% in 2024 [1] - The company highlighted record underlying profitability in 2025, with adjusted EBITDA of $5.8 billion, or 17.4% of sales, despite challenges in North America truck demand [6][4] Financial Performance - For Q4 2025, EBITDA was $1.2 billion, or 13.5% of sales, compared to $1.0 billion, or 12.1% in the same quarter of the previous year [2] - Fourth-quarter revenue reached $8.5 billion, a 1% increase year-over-year, driven by strong global power generation demand and higher pickup-truck engine volumes [3] Segment Performance - Power Systems revenue rose 16% to a record $7.5 billion, with an EBITDA margin of 22.7%, up from 18.4% in 2024 [7] - Distribution revenue increased 9% to a record $12.4 billion, with an EBITDA margin of 14.6%, up from 12.1% in 2024 [7] - Engine revenue declined 7% to $10.9 billion, with an EBITDA margin of 12.7%, down from 14.1% in 2024 [7] - Components revenue fell 10% to $10.1 billion, but EBITDA margin improved to 13.8% from 13.5% [7] Strategic Initiatives - Cummins introduced new engines, including the X10 and B7.2 diesel engines, aimed at North American markets [9] - The company expanded its hybrid and power generation offerings, including a collaboration with Komatsu for hybrid powertrains [10] Outlook for 2026 - Cummins forecasts revenue growth of 3% to 8% for 2026, with an EBITDA margin of 17% to 18% [5] - The company expects a recovery in North America truck demand in the second half of 2026, with projected production of 220,000 to 240,000 heavy-duty trucks [14] - Power Systems is expected to grow 12% to 17% with an EBITDA margin of 23% to 24% [15] Tariff Impact - Tariffs are expected to create a ~50 basis-point headwind to EBITDA margin in 2026, despite mitigation efforts [12] - The company noted uncertainty around Section 232 details and its potential impact on operations [13] Capital Allocation - Capital spending for 2026 is projected to be between $1.35 billion and $1.45 billion, with a long-term goal of returning at least 50% of operating cash flow to shareholders [18]

Core Insights - Stellantis is undergoing a significant business reset to align with customer preferences and support profitable growth, with a new strategic plan to be communicated in May 2026 [2][4]. Financial Performance - Preliminary financial results for H2 2025 show improved Net Revenues and Industrial Free Cash Flow (IFCF), although Adjusted Operating Income (AOI) and Net Income were impacted by specific items [2][14]. - H2 2025 Net revenues are estimated between €78 billion and €80 billion, with a projected Net loss of €19 billion to €21 billion [15]. Strategic Shift - The company is focusing on a broader range of vehicles, including electric vehicles (EVs), hybrids, and advanced internal combustion engines, to meet diverse customer needs [3][4]. - A total of approximately €22.2 billion in charges was recorded for H2 2025, primarily due to realigning product plans with customer preferences and new emission regulations [10][11]. Operational Changes - Organizational changes include empowering regional teams to make decisions based on local customer knowledge and creating a more cost-efficient supply chain [6][10]. - Stellantis has seen a return to positive volume growth, with H2 2025 consolidated shipment volume reaching 2.8 million units, an increase of 277 thousand units or 11% year-over-year [7][36]. Market Position - Stellantis maintained a 7.9% market share in the U.S. for H2 2025, a 60 basis point increase sequentially, and retained its 2 market share position in Enlarged Europe [8][10]. - Customer order intake in Enlarged Europe increased by 13% year-over-year in H2 2025, with Q4 2025 orders up 23% year-over-year [8]. Quality Improvements - Initial quality management improvements have led to a reduction in reported vehicle issues by over 50% in North America and over 30% in Enlarged Europe since the beginning of 2025 [9]. Future Guidance - The company anticipates improvements in Net revenues, AOI margin, and cash generation in 2026, with a gradual sequential improvement expected throughout the year [18][19]. - Stellantis has suspended its dividend for 2026 in light of the 2025 Net loss and authorized the issuance of up to €5 billion in non-convertible subordinated perpetual hybrid bonds to maintain a strong balance sheet [16][17].

Core Insights - Stellantis is undergoing a strategic reset to align its business with customer preferences, focusing on a diverse range of vehicles including EVs, hybrids, and advanced internal combustion engines [2][4] - The company reported preliminary financial results for H2 2025, showing improved net revenues and industrial free cash flow, despite a net loss due to specific charges [10][13] Business Strategy and Changes - The reset involves a thorough assessment of the company's strategy and costs to better meet customer needs, with a new strategic plan to be communicated in May 2026 [2][4] - Key actions taken include re-empowering regional teams for decision-making, creating a cost-efficient supply chain, and reallocating capital to support electrified vehicle programs [6][10] Financial Performance - H2 2025 consolidated shipment volume reached 2.8 million units, an increase of 277 thousand units or 11% year-over-year, with North America showing the strongest growth at 39% [7][30] - Preliminary net revenues for H2 2025 are estimated between €78 billion and €80 billion, with a net loss projected between €19 billion and €21 billion [14] Market Position - Stellantis maintained a 7.9% market share in the U.S. for H2 2025, a 60 basis point increase sequentially, and retained its 2 market share position in Enlarged Europe [8] - Customer order intake in Enlarged Europe increased by 13% year-over-year in H2 2025, with Q4 orders up 23% year-over-year [8] Quality Improvements - The company has seen a significant reduction in vehicle issues reported in the first month of service, with a decrease of over 50% in North America and over 30% in Enlarged Europe since early 2025 [9] Charges and Financial Adjustments - The reset resulted in charges of approximately €22.2 billion for H2 2025, including €14.7 billion related to realigning product plans with customer preferences and new emission regulations [10][12] - The company will not pay a dividend in 2026 due to the net loss in 2025 and has authorized the issuance of up to €5 billion in non-convertible subordinated perpetual hybrid bonds [15][16] Future Guidance - Stellantis anticipates improvements in net revenues, adjusted operating income margin, and industrial free cash flows in 2026, with a mid-single-digit percentage increase in net revenues projected [17][19] - The company expects to achieve positive industrial free cash flow in 2027, despite ongoing regulatory uncertainties [18][19]

Group 1 - KKR has established a strategic partnership with HMC, focusing on energy transition, with a total investment of A$600 million [1] - The partnership aims to accelerate the development of sustainable energy solutions and technologies [1] - This collaboration reflects KKR's commitment to investing in the energy transition sector and supporting the global shift towards renewable energy [1]

Core Insights - Duke Energy has been ranked No. 3 among electric and gas utilities in Fortune's World's Most Admired Companies list for 2026, improving from No. 4 last year, marking its ninth consecutive year on the list [1][2][3] Company Performance - The recognition indicates growing confidence in Duke Energy's leadership as it modernizes the grid, meets rising customer demand, and navigates a transformative period in the energy industry [2] - Duke Energy serves 8.6 million electric customers and 1.7 million natural gas customers across several states, with a total energy capacity of 55,100 megawatts [5] Investment and Infrastructure - The company is focused on an ambitious energy transition, investing in electric grid upgrades and cleaner generation sources, including natural gas, nuclear, renewables, and energy storage [6] - Over the next five years, Duke Energy plans to add more than 13 gigawatts of new generation capacity and invest over $35 billion in grid modernization [8] Reliability and Resilience - Smart, self-healing grid technology helped avoid 2.2 million customer outages in 2025, saving 5.2 million hours of total outage time, with nearly 75% of customers benefiting from this technology [8] - Since 2016, Duke Energy and its foundation have invested over $34.2 million in community resilience, emergency preparedness, and disaster relief [8]

Core Insights - VINCI achieved outstanding performance in 2025, with record free cash flow of €7 billion and a reduction in net financial debt by €1.3 billion despite a challenging macroeconomic environment [2][13][8] Financial Performance - Revenue increased by 4.2% to €74.6 billion, with international revenue accounting for 59% of the total [7][9] - Operating income (Ebit) rose by 6.2% to €9.6 billion, representing 12.8% of revenue [10] - Net income attributable to owners was €4.9 billion, a slight increase of 0.8%, with a 10% increase when excluding exceptional tax contributions [11][12] - Earnings per share increased by 2.6% to €8.65, and by 12% to €9.44 when excluding exceptional tax contributions [12][8] - Free cash flow reached a record €7.0 billion, up from €6.8 billion in 2024, with an adjusted figure of €7.4 billion when excluding exceptional tax contributions [13][8] Business Segments Concessions - Revenue from Concessions rose by 5% to €12 billion, with Ebitda exceeding €8 billion [18] - VINCI Airports welcomed 334 million passengers, a 5% increase from 2024, contributing to a revenue of €4.8 billion [19][20] - Free cash flow from Concessions totaled €3.9 billion, an increase of €336 million compared to 2024 [18] Energy Solutions - Revenue in Energy Solutions grew by 8% to €30 billion, with 71% generated outside France [22] - Free cash flow for Energy Solutions was €1.2 billion, reflecting significant investments in electricity generation and transmission [23] Construction - Construction revenue remained stable at €33 billion, with an Ebit margin improvement to over 4% [30] - Free cash flow reached a record €1.4 billion, nearly double that of 2024, driven by improved customer payment processes [35] Strategic Developments - VINCI is conducting portfolio reviews across its three business segments to enhance returns on investment [5] - The Group is focused on long-term value creation, operational excellence, and responding to mobility and energy transition needs [6] Future Outlook - VINCI anticipates further revenue and earnings growth in 2026, with a proposed dividend of €5.00 per share, a 5.3% increase from 2024 [8][46] - The Group expects to maintain its discipline in new orders and acquisitions while focusing on margin improvement and cash flow generation [46]

Financial Data and Key Metrics Changes - In 2025, the company delivered EBITDA of $6.5 billion, equivalent to $121 EBITDA per ton shipped, nearly double the margin achieved at previous cyclical low points, indicating a structural improvement in earnings power [9] - The company generated $1.9 billion of investable cash flow in 2025, bringing the total since 2021 to $23.5 billion, with a proposed base dividend of $0.60 per share, marking a doubling over the past five years [10][11] Business Line Data and Key Metrics Changes - Strategic projects contributed $0.7 billion of new EBITDA in 2025, driven by strong performance in Liberia and the build-out of renewables capacity in India [9] - The company expects higher steel production and shipments across all regions in 2026, supported by operational improvements and strengthened trade protections [11] Market Data and Key Metrics Changes - The European market has seen significant changes in trade policy, with the introduction of a carbon border adjustment mechanism and tariff rate quotas, creating a more level playing field for competition [4][5] - The company anticipates incremental support from trade measures in Canada and Brazil, which should positively impact results in those regions [5] Company Strategy and Development Direction - The growth strategy focuses on energy transition, expanding the renewables portfolio, and building electrical steel capacities to support electrification and mobility [6][7] - The company aims to maintain competitiveness by allocating capital to high-return opportunities while consistently returning cash to shareholders [7][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to generate positive free cash flows in 2026 and beyond, emphasizing a disciplined approach to capital allocation [11] - The management highlighted the importance of customer demand as a signpost for bringing idle capacity online, ensuring profitability and sustainable returns on capital [19] Other Important Information - The company has a strong focus on safety, with measurable progress in safety KPIs and a commitment to achieving zero fatalities and serious injuries [3] - The share count has been reduced by 38% over the past five years, significantly enhancing value per share [10] Q&A Session Questions and Answers Question: Capacity ramp-up in Europe - The company is well-positioned to bring idle capacity online quickly, with a focus on customer demand and ensuring profitable returns on capital before increasing capacity [19] Question: Profit bridges from Q4 to Q1 - North America is expected to see a recovery in volumes and prices, while Europe will also experience higher shipments and prices, particularly in Q2 [24][26] Question: Decarbonization projects in Europe - The company is evaluating decarbonization projects sequentially, with a focus on economic viability and maintaining a CapEx guidance of $4.5 billion to $5 billion [31][32] Question: Market consolidation in Europe - The company is comfortable with its current footprint in Europe and does not see significant benefits from further consolidation at this time [73] Question: Impact of import quotas - The company is prepared to meet the demand created by the displacement of imports, with no significant additional CapEx required to maintain market share [52]

Financial Data and Key Metrics Changes - In 2025, the company delivered EBITDA of $6.5 billion, equivalent to $121 EBITDA per ton shipped, nearly double the margin achieved at previous cyclical low points, indicating a structural improvement in earnings power [9] - The company generated $1.9 billion of investable cash flow in 2025, bringing the total since 2021 to $23.5 billion, with a proposed base dividend of $0.60 per share, marking a doubling of the dividend over the past five years [10][11] Business Line Data and Key Metrics Changes - Strategic projects contributed $0.7 billion of new EBITDA in 2025, driven by strong performance in Liberia and the build-out of renewables capacity in India [9] - The company expects higher steel production and shipments across all regions in 2026, supported by operational improvements and strengthened trade protections [11] Market Data and Key Metrics Changes - The European market has seen significant changes in trade policy, including the Carbon Border Adjustment Mechanism, which is expected to create a more balanced market structure and restore profitability [4][5] - The company anticipates that trade measures in Canada and Brazil will provide incremental support to results in those regions [5] Company Strategy and Development Direction - The growth strategy focuses on energy transition, expanding the renewables portfolio, and building electrical steel capacities to support electrification and mobility [6][7] - The company remains committed to capital allocation where the strongest returns can be achieved, consistently generating solid investable cash flow [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to generate positive free cash flows in 2026 and beyond, emphasizing a disciplined approach to capital allocation [11] - The management highlighted the importance of customer demand as a signpost for bringing idle capacity online, ensuring profitability and sustainable returns on capital [19] Other Important Information - The company has reduced its share count by 38% over the past five years, significantly enhancing value per share [10] - The management is focused on maintaining a balance between returning capital to shareholders and investing in growth opportunities [60][63] Q&A Session Summary Question: How quickly can you bring additional capacity online in Europe? - The company is well positioned to bring idle capacity online quickly, with no significant reline or rehiring needed, aiming to meet projected deadlines [19] Question: What are the signposts for bringing capacity online? - Customer demand is the primary signpost, with a focus on ensuring profitable returns on capital employed [19] Question: Can you provide insights on the profit bridges from Q4 to Q1? - North America is expected to see a recovery in volumes and prices, while Europe will also experience higher shipments and prices, particularly in Q2 [23][24] Question: What are the next steps for decarbonization projects in Europe? - The company is evaluating decarbonization of its Dunkirk facility, with a focus on economic viability and sequential project execution [31][32] Question: What is the outlook for the European market and potential consolidation? - The company is comfortable with its current footprint in Europe and does not see significant benefits from further consolidation at this time [73] Question: How is the company addressing risks in India and Mexico? - The company acknowledges heightened risks but remains confident in the growth potential in India, with ongoing government support for the steel industry [88][90]

Financial Data and Key Metrics Changes - Fourth quarter 2025 revenue was $138.3 million, up 3% compared to Q3 2025 and up 7% year-over-year [13] - Full year 2025 revenue was $526.5 million, slightly up year-over-year, driven by growth in service revenue but offset by a decline in US onshore completion activity [13][14] - Net income ex items for Q4 was $9.7 million, down 5% sequentially and down 7% year-over-year [24] - Earnings per diluted share ex items was $0.21 for Q4, compared to $0.22 in both the prior quarter and the same quarter last year [24] Business Line Data and Key Metrics Changes - Reservoir Description revenue for Q4 was $92.3 million, up over 5% compared to Q3, with operating income ex items of $12.7 million and operating margins of 14% [41] - Production enhancement revenue for Q4 was $46 million, up over 8% year-over-year, with operating income ex items of $3 million and operating margins of 7% [45][46] Market Data and Key Metrics Changes - Demand for laboratory services tied to crude oil assay was negatively impacted by geopolitical conflicts and sanctions, contributing to commodity price volatility [8] - International markets showed resilient activity levels with ongoing investments in long-cycle projects across key global basins [31] Company Strategy and Development Direction - The company continues to focus on technology investments to solve client problems and capitalize on technical and geographic opportunities [6] - Core Lab aims to maximize free cash flow, return on invested capital, and return excess free cash to shareholders [11] - The company plans to introduce new product and service offerings in key geographic markets while maintaining a strong balance sheet [10] Management's Comments on Operating Environment and Future Outlook - Management maintains a constructive multiyear outlook despite near-term economic headwinds and volatile commodity prices, with global crude oil demand projected to grow [36][40] - The company anticipates a decline in US land completion activity in the first half of 2026 but expects improvement in completion activity later in the year [33] - Geopolitical conflicts and evolving trade dynamics continue to create uncertainty in demand for Core Lab's products and services [32] Other Important Information - The company returned free cash to shareholders through dividends and share repurchases, with over 363,000 shares repurchased in Q4 [9] - Capital expenditures for operations in 2025 were $11.2 million, with expectations for 2026 to be in the range of $15 million-$18 million [28] Q&A Session Summary Question: Comments on Venezuela - Management noted a long history in Venezuela and potential to monetize legacy data if operators return, but immediate advantages may favor metal-heavy companies [56][57] Question: Middle East facility capabilities - Management confirmed expanded lab capabilities in Saudi Arabia and ongoing engagement with Aramco, with opportunities in North Africa and unconventional projects [60][61] Question: Future cash flows and debt management - Management indicated a mix of using free cash flow for share buybacks and debt reduction, with a focus on maintaining a comfortable leverage ratio [62][63] Question: Exploration activity in Africa and Brazil - Management sees a trend towards increased international exploration and larger projects, indicating a positive outlook for future demand [74][75] Question: Impact of commodity prices on US activity - Management suggested stability in commodity prices is needed for improved activity levels, with ongoing efforts to enhance recovery techniques [80][81] Question: Tariff impact in 2025 - Management acknowledged tariffs have become more impactful, particularly in the latter part of 2025, with ongoing costs expected to repeat unless tariffs change [83][84]