Financial Performance - Adjusted EBITDA increased to $160.7 million compared to $157.0 million in Q3 FY24[15] - Adjusted EBITDA percentage improved to 14.2% from 13.5% in Q3 FY24[15] - Adjusted Class A Earnings Per Share increased to $1.03 from $0.92 in Q3 FY24[15] - Adjusted Free Cash Flow significantly increased to $170.7 million from $34.3 million in Q3 FY24[15] Portfolio Transformation - The company entered into a definitive agreement to divest the Containerboard business for $1.8 billion, expected to close effective August 31st, 2025[4] - The company also entered into a definitive agreement to divest the Land Management business for $462 million ($2,671/acre), anticipated October 1st[6,17] - Post-close, the anticipated proforma leverage ratio is less than 1.2x, targeting a range of 2.0 – 2.5x[6] Cost Optimization - The company achieved $20 million in run-rate savings as of Q3'25[6] - The company is committed to achieving $100 million in run-rate savings by 2027[6] - The company announced the closure of the Merced, CA steel and polymer plant as part of cost optimization efforts[6,17] Segment Performance - Customized Polymer Solutions net sales increased from $314.7 million to $339.8 million[18] - Durable Metal Solutions net sales decreased from $424.1 million to $399.8 million[18] - Sustainable Fiber Solutions net sales decreased from $325.6 million to $308.0 million[18] - Integrated Solutions net sales slightly increased from $86.2 million to $87.1 million[18] Guidance - The company provided 2025 Adjusted Free Cash Flow guidance of $305 - $315 million[22]

Financial Data and Key Metrics Changes - Kite Realty Group Trust reported NAREIT FFO per share of $0.51 and core FFO per share of $0.50 for Q2 2025, reflecting strong operational performance [14] - Same property NOI grew by 3.3%, driven by a 250 basis point contribution from higher minimum rents and a 50 basis point improvement in net recoveries [15] - The company increased its NAREIT and core FFO per share guidance by $0.01 each, primarily due to lower than anticipated bad debt and higher than anticipated overage rent [15] Business Line Data and Key Metrics Changes - Blended cash leasing spreads in Q2 were 17%, the highest quarterly blended spread in the past five years [5] - Leasing spreads for non-option renewals were nearly 20% in Q2 and 16% over the last twelve months [6] - New leasing volume more than doubled sequentially, driven by 11 new anchor leases executed in Q2 [6] Market Data and Key Metrics Changes - Over 80% of the boxes recaptured due to recent bankruptcies are leased or in active negotiations, indicating strong demand in the market [11] - The small shop lease rate increased by 30 basis points sequentially and 80 basis points year over year, reflecting a disciplined approach to leasing [8] Company Strategy and Development Direction - The company is focused on capital recycling efforts to reshape its portfolio and reduce exposure to at-risk tenants, with significant steps taken in executing its long-term portfolio vision [10] - Strategic partnerships with GIC now comprise over $1 billion of gross asset value, indicating a strong focus on lifestyle and mixed-use assets [11] - The company aims to enhance its long-term growth profile by prioritizing credit quality and strong starting rents in its leasing strategy [9] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the leasing momentum and the potential for significant occupancy gains in the coming quarters [14][45] - The company is focused on delivering strong results and creating long-term value, despite short-term disruptions from anchor bankruptcies [12][18] - Management believes that the current market conditions present a great opportunity for growth and investment in the stock [49] Other Important Information - The company has comprehensive flood insurance for Eastgate Crossing, which suffered flooding due to Tropical Storm Chantal [12] - The company opportunistically returned to the public debt market by issuing a seven-year $300 million bond at a coupon of 5.2% [17] Q&A Session Summary Question: Have you seen any meaningful changes in lease gestation periods? - Management noted that leasing activity has picked up substantially, indicating strong demand across the board [20] Question: What are you hearing from prospective tenants regarding higher embedded escalators? - Management reported success in generating higher growth, with embedded growth in the overall portfolio at 3.4% for the first half of the year [23][24] Question: Can you comment on the forward leasing pipeline and July activity? - Management expressed confidence in the strong demand and the quality of opportunities available for retailers [27] Question: What is the latest on the sale of City Center? - The property is still being marketed for sale, with new leasing activity providing some positive momentum [37] Question: How are you seeing investor interest in larger community centers? - Management indicated strong demand for larger format centers, with institutional investors showing renewed interest [43] Question: What is the appetite for share buybacks today? - Management stated that they are always considering buybacks but are currently focused on capital investments with high returns [102]

Financial Performance - Adjusted EPS reached $2.75, exceeding the high end of the guidance range[12] - Organic sales grew by 5%, surpassing the guidance range, with Building Automation leading at 8% growth[12] - Free cash flow was $1.0 billion[12] - The company returned over $2.4 billion to shareholders, including $1.7 billion in share repurchases[12] - Backlog reached a record $36.6 billion, up 10% year-over-year excluding acquisitions[12] Portfolio Transformation and Separations - The company is continuing its portfolio transformation to position three future independent companies for success[4] - The spin-off of Solstice Advanced Materials is expected to be completed in the fourth quarter[9] - The company completed the PPE sale for $1.3 billion[12] - Sundyne acquisition closed for $2.2 billion and Catalyst Technologies acquisition announced for £1.8 billion[12] Guidance - The company is raising its 2025 organic growth and earnings guidance[4] - Full year sales are projected to be $40.8 billion - $41.3 billion, with organic growth of 4% - 5%[17] - Adjusted EPS for the full year is expected to be $10.45 - $10.65[17]

Core Insights - Honeywell reported strong second-quarter results, with sales growth of 8% year-over-year and organic sales growth of 5%, exceeding guidance [2][3] - The company raised its full-year organic growth and adjusted earnings per share guidance, reflecting confidence in its performance and strategic initiatives [1][3] Financial Performance - Second-quarter sales reached $10.4 billion, with operating income increasing by 7% to $2.1 billion and segment profit rising 8% to $2.4 billion [2][9] - Earnings per share for the quarter was $2.45, a 4% increase year-over-year, while adjusted earnings per share rose 10% to $2.75 [2][9] - Operating cash flow was $1.3 billion, down 4% year-over-year, and free cash flow was $1.0 billion, down 9% year-over-year [2][9] Segment Performance - Aerospace Technologies sales increased 6% organically, driven by a 13% growth in defense and space [7] - Building Automation saw an 8% organic sales increase, with segment margin expanding 90 basis points to 26.2% [10] - Energy and Sustainability Solutions reported a 6% organic sales growth, with UOP growing 16% [11] Strategic Initiatives - Honeywell is pursuing a separation of its Automation and Aerospace businesses, aiming to create three publicly-listed industry leaders by the second half of 2026 [4][5] - The company has been actively optimizing its portfolio, including the acquisition of Johnson Matthey's Catalyst Technologies for £1.8 billion and the acquisition of Sundyne for $2.2 billion [5][9] - A comprehensive portfolio review has concluded, leading to a strategic evaluation of alternatives for its Productivity Solutions and Services and Warehouse and Workflow Solutions businesses [5][9] Updated Guidance - Full-year sales are now expected to be between $40.8 billion and $41.3 billion, with organic sales growth projected at 4% to 5% [3][13] - Adjusted earnings per share guidance has been raised to a range of $10.45 to $10.65, reflecting a 20-cent increase at the midpoint from prior guidance [3][13]

Company Overview - Enpro's market capitalization is $3.3 billion as of May 2, 2025[11] - The company's Last Twelve Months (LTM) revenue was $1.1 billion as of March 31, 2025[11] - LTM Adjusted EBITDA was $264 million, representing a 24.8% margin as of March 31, 2025[11] - Aftermarket revenue accounted for 54% of LTM revenue as of March 31, 2025[11] Financial Performance & Guidance - First quarter 2025 Adjusted EBITDA was $67.8 million, representing a 24.8% margin[29] - Free cash flow for the quarter ended March 31, 2025, was $11.6 million, an increase from $(2.0) million in the previous year[24, 41, 42] - The company paid $6.6 million in dividends for the three months ended March 31, 2025[24] - 2025 revenue is expected to grow at a low to mid-single-digit rate[25] - Adjusted EBITDA for 2025 is projected to be between $262 million and $277 million[25] - Adjusted Diluted EPS for 2025 is expected to be between $7.00 and $7.70[25] Debt & Capital Allocation - Net debt was $398 million as of March 31, 2025[22] - A revolving credit facility was increased to $800 million, with $230 million outstanding as of May 1, 2025[22, 24]

Financial Data and Key Metrics Changes - The company reported a strong first quarter with EBITDA exceeding the midpoint by $20 million, achieving a margin of 22.4% [77][89] - The company anticipates margin expansion opportunities, targeting 24% for the year and aiming for 30% in the HPMC segment [89] Business Line Data and Key Metrics Changes - Aerospace and Defense (A&D) now accounts for approximately 65% of total revenue, with energy, medical, and electronics contributing to about 80% [3][25] - Jet engines represent about 37% of revenues, with sales up 35% in Q1, and the aftermarket is expected to remain between 30% to 50% of jet engine revenues [5][21] Market Data and Key Metrics Changes - The company is experiencing strong demand across various markets, including aerospace, defense, and energy, with significant growth opportunities identified [25][26] - The company has secured a new five-year contract worth $1 billion with Airbus, bringing it to parity with Boeing [20][41] Company Strategy and Development Direction - The company has exited low-margin and commodity businesses, focusing on advanced materials and forgings to support growth in aerospace and defense [2][4] - The company is investing in new technologies, including a patent-pending nickel melting process aimed at eliminating defects, which will enhance its competitive position [8][9] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth trajectory in aerospace and defense, citing strong demand and the potential for continued growth in MRO activities [18][21] - The company is well-positioned to meet future demand, with plans to increase capacity and improve productivity [8][25] Other Important Information - The company is one of only two suppliers for certain advanced materials, which provides a competitive advantage in the market [25][60] - The company has established long-term agreements with customers that extend to 2040, allowing for flexibility in pricing and material fluctuations [55][58] Q&A Session Summary Question: How do you see the year unfolding in Q2 and beyond? - Management anticipates continued strong performance in Q2, with evaluations for full-year guidance to occur after the second quarter [78][84] Question: What is the impact of tariffs on the business? - The tariff impact is minimal from a cost standpoint, with effective pass-through mechanisms in place [81][84] Question: What are the capital investment priorities for the next few years? - The company is focusing on titanium and nickel investments, as well as increasing production capacity for zirconium and hafnium [95][96] Question: How does the company plan for capacity needs in the long term? - The company engages in discussions with customers to align capital investments with anticipated demand, typically planning for a five-year horizon [66][70]

Financial Performance & Guidance - NN's Q1 2025 net sales were $105.7 million, flat year-over-year on a pro forma basis, but down $15.5 million as reported[14, 40] - Adjusted EBITDA for Q1 2025 was $10.6 million, with an adjusted EBITDA margin of 10.0%, reconfirming FY 2025 guidance of $53-$63 million[14] - The company is lowering its 2025 net sales guidance to $430-$460 million due to GDP uncertainties, but reiterating adjusted EBITDA guidance of $53-$63 million and new business awards guidance of $60-$70 million[12] - NN initiates 2025 guidance for free cash flow at $14 to $16 million[12] Business Transformation & New Business - NN is launching 120 new programs in 2025, expected to add approximately $55 million in peak annual sales[11] - The company's new business program has secured $160 million of new business from January 2023 to May YTD 2025[16, 18, 21] - NN Europe achieved $6.7 million in new wins in Q1 2025, with an estimated total program value of over $50 million[25] - The company's working capital has been reduced by 20%, or $21.6 million, over the last two years, from $106.4 million in Q1 2023 to $84.8 million in Q1 2025[37, 38] Cost Reduction & Operational Efficiency - NN has reduced its global staff by 16%, or 525 people, over two years, with further reductions planned for 2025[29, 33] - The company is implementing a $6.5 million payroll reduction plan in 2025[33] - NN is advancing its organic transition into non-auto areas by leveraging $340 million of installed assets and investing $10-$14 million additional cash capex per year[12]

Financial Data and Key Metrics Changes - Emerson reported underlying orders growth of 4%, exceeding expectations, with all regions showing positive results, including China [6][12] - Underlying sales were up 2%, with Process and Hybrid businesses growing mid-single digits, while adjusted earnings per share increased by 9% year over year to $1.48 [12][24] - Free cash flow was $738 million, reflecting a 14% increase year over year, with a free cash flow margin of 17% [24][25] Business Line Data and Key Metrics Changes - Process and Hybrid markets grew by 6%, while Discrete businesses turned positive with Test and Measurement orders up 8% [6][14] - Software and Control segment grew by 7%, driven by higher software sales, while Intelligent Devices remained flat due to safety and productivity issues [22] - The Industrial Software business saw an 11% year-over-year increase in annual contract value (ACV), supported by strong demand for AspenTech's offerings [21] Market Data and Key Metrics Changes - Demand for Process and Hybrid businesses remained strong, particularly in energy and LNG projects, with significant capital investment noted in regions like the Middle East, Africa, and India [14][18] - The Americas experienced mid-single-digit growth, while Europe saw low single-digit growth, with continued momentum in Energy Transition and Life Sciences [18][19] - The company expects mid-single-digit growth in Process and Hybrid sales in the second half, with a more muted recovery anticipated in factory automation and automotive sectors [20][36] Company Strategy and Development Direction - Emerson is focused on integrating AspenTech as a key priority for 2025, targeting $100 million in cost synergies by 2028 [10] - The company has completed its portfolio transformation, retaining the Safety and Productivity business due to its strong profitability and cash generation potential [11] - Emerson aims to maintain disciplined capital allocation, prioritizing reinvestment in the business, dividends, and share repurchases while targeting bolt-on acquisitions under $1 billion [39][96] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's plans for the year, guiding for underlying sales growth of approximately 4% and raising the midpoint of adjusted EPS guidance to between $5.90 and $6.05 [9][34] - The management noted that while there are signs of tariff-induced impacts, they have not seen widespread indications affecting demand [16][32] - The company anticipates a favorable spending environment in LNG and power sectors, driven by energy security and self-reliance commitments [16][36] Other Important Information - Emerson's gross exposure to tariffs is estimated at $245 million for 2025, which the company expects to fully mitigate through pricing actions and operational adjustments [7][31] - The company reported a backlog of $7.5 billion, with a book-to-bill ratio of 1.04, indicating a healthy order flow [22] Q&A Session Summary Question: What is improving in discrete automation? - Management highlighted recovery in Test and Measurement driven by Aerospace and Defense, while noting continued weakness in automotive sectors, particularly in China and Germany [42][44] Question: How real is the pharmaceutical spending? - Management confirmed that the commitments from pharmaceutical companies are genuine, with early projects emerging in the life sciences sector [46][48] Question: What can be done with AspenTech now that the deal is closed? - Management expressed excitement about the growth opportunities with AspenTech, emphasizing the potential for double-digit ACV growth and enhanced collaboration with existing Emerson platforms [53][55] Question: Will tariff impacts be offset by the end of the fiscal year? - Management confirmed that they expect to completely cover the tariff impacts by the end of fiscal 2025 [57][59] Question: Why retain the Safety and Productivity business? - Management concluded that retaining the business would provide the best value for shareholders, given its strong profitability and alignment with U.S. manufacturing trends [66][68] Question: What data points indicate softness in China? - Management noted that softness is primarily in the chemical sector, with some positive signs in power generation and marine business [70][72] Question: What is the outlook for Test and Measurement? - Management indicated strong growth in Aerospace and Defense and a recovery in semiconductors, while automotive remains a concern [92][94]

Financial Performance - Honeywell's Q1 2025 adjusted EPS was $2.51, exceeding the guidance range of $2.15-$2.25[24] - Organic sales grew by 4%, driven by double-digit growth in commercial aftermarket, defense and space, and building solutions[24] - Segment margin remained flat at 23.0%, with expansion in Energy and Sustainability Solutions (ESS) and Building Automation (BA)[24] - Free cash flow reached $0.3 billion in Q1 2025[24] Guidance and Outlook - The company is raising its 2025 EPS guidance while considering the net impact of tariffs, mitigation actions, and global economic uncertainty[4] - Q2 2025 sales are projected to be between $9.8 billion and $10.1 billion, with organic growth of 1%-4%[27] - The adjusted EPS for Q2 2025 is expected to be $2.60-$2.70, representing a 4%-8% increase[27] - Full-year 2025 sales are estimated to be $39.6 billion to $40.5 billion, with organic growth of 1%-4% excluding the Bombardier Agreement (BBD)[27] - Full-year 2025 adjusted EPS is projected to be $10.20-$10.50, a 3%-6% increase, or a (1%)-2% increase excluding BBD[27] - Free cash flow for 2025 is expected to be $5.4 billion to $5.8 billion, up 10%-18%, or down (2%)-up 5% excluding BBD[27] Portfolio Transformation - Honeywell is on track to complete the spin-offs of Aerospace and Automation, and Advanced Materials, while maintaining operational focus[17] - Share repurchase has been accelerated to $3 billion year-to-date, aiming for a 2% net share count reduction in 2025[17] - The company announced the Sundyne acquisition for $2.2 billion in an all-cash transaction[24] Mitigation of Global Trade Uncertainty - Honeywell estimates a $500 million exposure in 2025 due to current tariffs, which it plans to fully offset through mitigation efforts[22] - The company is utilizing a multi-pronged approach, including targeted pricing actions, direct material productivity, alternative sourcing, and proactive customer communication[23]

Financial Data and Key Metrics Changes - Honeywell exceeded the high end of its guidance on all metrics in the first quarter, with organic sales growth of 4% year over year [5][20] - Adjusted earnings per share (EPS) was $2.51, up 7% year over year, while earnings per share remained flat at $2.22 [21][22] - First quarter cash flow exceeded $300 million, over $100 million above the prior year, driven by better adjusted earnings [22][23] Business Line Data and Key Metrics Changes - Aerospace Technologies saw a 9% organic sales increase, with commercial aftermarket sales growing 15% due to robust demand [20][24] - Industrial Automation sales declined 2% organically, primarily due to lower demand in personal protective equipment [26] - Building Automation delivered an 8% organic sales increase, with significant growth in both Building Solutions and Building Products [27] Market Data and Key Metrics Changes - Orders reached $10.6 billion, up 3% year over year, supported by an organic backlog growth of 8% to a record $36.1 billion [22][24] - Advanced Materials sales declined 4% due to challenging prior year comparisons, but orders increased by 7% year over year [28] Company Strategy and Development Direction - Honeywell is focused on separating into three standalone public companies to unlock significant value and position each for long-term growth [10][44] - The company is actively pursuing acquisitions, having repurchased approximately $3 billion of its shares and announced the acquisition of Sundyne [12][35] - Honeywell's local for local strategy aims to mitigate tariff impacts and reduce exposure to international trade uncertainties [17][18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the current trade environment, despite increasing economic uncertainty and tariff impacts [5][18] - The company is maintaining its full-year organic growth guidance while raising adjusted EPS guidance, reflecting a proactive approach to mitigating risks [6][31] - Management acknowledged potential demand challenges but emphasized a strong backlog and operational stability [18][43] Other Important Information - Honeywell's segment margin for the first quarter remained flat at 23%, with an increase in R&D spending [21] - The company is taking a balanced approach to capital deployment, focusing on both share buybacks and strategic acquisitions [82][83] Q&A Session Summary Question: Details on tariffs and offset strategies - Management confirmed that the estimated tariff impact is approximately $500 million, with strategies including pricing adjustments and productivity measures to mitigate this impact [49][51] Question: Volume assumptions and contingency - Management indicated a conservative volume assumption of a decline of 1% to 2%, with a price increase of about 3% factored into the guidance [62][64] Question: Impact of tariffs by segment - The largest tariff exposure is in Industrial Automation and Aerospace, with Building Automation largely protected due to its local operations [88][89] Question: Aerospace aftermarket performance - The aftermarket saw a 15% growth, driven by a strong backlog, with pricing in line with initial guidance [107]