News has confirmed a report in the New York Times today that Donald Trump quote secretly secretly signed a directive to the Pentagon to begin using military force against certain Latin American drug cartels that his administration has deemed terrorist organizations. End quote. This predictably led to an outcry from the Mexican president Claudia Shinbomb who said, "The United States is not going to come to Mexico with the military. We cooperate. We collaborate but there is not going to be an invasion.That is ...

RT Department of State (@StateDept).@SecRubio on designating drug cartels as Foreign Terrorist Organizations: "We cannot continue to just treat these guys as local street gangs. They have weaponry that looks like what terrorists, in some cases armies, have. They control territory in many cases ... It’s no longer a law enforcement issue. It becomes a national security issue." ...

Geopolitical Strategy & Security - Israel's security cabinet approved Prime Minister Netanyahu's plan to take full control of Gaza City, aiming to topple Hamas after 22 months of fighting [1] - Netanyahu intends to hand over Gaza's governance to Arab forces, establishing a security perimeter without Israeli governance [1][2] - The Israeli Prime Minister describes the operation as military, not an occupation, while Israel effectively controls around 70% of the Gaza Strip [2] - The operation is considered the beginning of the end of the war against Hamas, which has strained Israel's military and economy [3] - The war has caused unprecedented humanitarian distress in Gaza and tested the patience of Israel's allies [4] Public Opinion & Political Landscape - Polls indicate a majority of Israelis favor a negotiated deal to return hostages, even if it means leaving Hamas in power, contrasting with Netanyahu's stance [6] - Netanyahu dismisses poll findings, asserting Israelis don't understand the implications of leaving Hamas [7] - Opposition leader Yair Lapid stated that the Israeli people don't want this war and will bear heavy costs for it [5] International Relations & Humanitarian Aid - There is increasing international pressure, particularly from European states, to recognize a Palestinian state at the UN General Assembly in September [9] - The US appears to explicitly support Israel's operation, with Trump expressing being fed up with Hamas [10] - The US is increasing humanitarian aid to Gaza, aiming to quadruple its output in concert with Israeli moves into the remaining 25% of the Gaza Strip [12] - Civilians evacuated from Gaza City will be tended to in new Jewish centers with staple foods, aiming to smooth over the rough patch of the war [13]

Financial Data and Key Metrics Changes - For fiscal year 2025, the company achieved revenue growth of 16% on an underlying basis, with an EBITDA margin of 11.2% and free cash flow of $442 million, reflecting a 16% increase in free cash flow per share [9][24][26] - In Q4, revenue reached $2.3 billion, representing a 13% year-over-year growth, with an EBITDA margin of 11.5% [22][24] - Adjusted diluted earnings per share for Q4 were $8.4, a 27% increase from the previous year [22] Business Line Data and Key Metrics Changes - The company won $10 billion in contract awards for the year, resulting in a book-to-bill ratio of 1.1x [10][32] - The company reported 10% organic growth for the full year, driven by strong customer demand for its differentiated technology [24][26] Market Data and Key Metrics Changes - The company generates 90% of its revenue from national security customers, benefiting from government funding initiatives such as the One Big Beautiful Bill Act, which allocates over $150 billion for defense [18][32] - The company has a healthy pipeline with $16 billion in bids under evaluation, 80% of which are for new business [34] Company Strategy and Development Direction - The company has positioned itself in well-funded areas aligned with national security priorities, focusing on software-based capabilities and modernization [11][19] - The company anticipates revenue growth of nearly 8% for fiscal year 2026, with an EBITDA margin in the mid-11% range and free cash flow per share growth of over 60% [19][29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate the current operating environment, highlighting strong customer demand and a robust pipeline of opportunities [17][19] - The company is closely monitoring the fiscal year 2026 budget process, indicating comfort in operating under a continuing resolution if necessary [18][19] Other Important Information - The company completed three strategic acquisitions and repurchased $150 million of shares during the year [28] - The company has a modest leverage ratio of 2.9x net debt to trailing twelve-month EBITDA, providing significant optionality for future capital deployment [28] Q&A Session Summary Question: Concerns about the competitive landscape and pipeline - Management clarified that the majority of their $16 billion pipeline consists of new work to CACI, with over half being new customer work, indicating a focus on value bids rather than traditional government services [41][44] Question: Impact of ceiling reduction on iTask program - Management confirmed that the ceiling reduction from $5.7 billion to $5 billion does not impact revenue or margins, and the program continues to execute well [47][49] Question: Budget outlook and potential for organic growth - Management indicated that a quicker budget process could lead to achieving the higher end of organic growth guidance, emphasizing a robust process for setting guidance [54][56] Question: Award environment and contracting officer availability - Management noted some modest impacts on award decisions but emphasized their ability to operate effectively in the current environment, with expectations of extended current work due to tighter procurement bandwidth [68][70] Question: Updates on space optical terminals and Golden Dome initiative - Management reported strong demand for their technology and ongoing success in the space optical terminal market, with investments on track despite some production delays [78][80] Question: Federal civilian exposure and budget outlook - Management stated that only 6% of revenue comes from federal civilian work, with a strategic focus on defense and intelligence sectors, minimizing exposure to federal civilian budget fluctuations [92][94]

Core Insights - The Stibnite Gold Project is recognized as a "Transparency Project" by the National Economic Development Council, highlighting its strategic importance for U.S. national security and critical mineral supply chains [2][9] - The project is expected to create over 550 direct jobs in rural Idaho during its construction and operational phases, providing family-wage employment opportunities [1][3] - Perpetua Resources has committed to supporting local education through the Stibnite Launch Scholarship, which will fund scholarships for students in the Geosciences and Mining Technician programs at the College of Western Idaho [3][5] Company Overview - Perpetua Resources Corp. focuses on the exploration, site restoration, and redevelopment of gold-antimony-silver deposits in the Stibnite-Yellow Pine district of central Idaho [9] - The Stibnite Gold Project is one of the highest-grade open-pit gold deposits in the U.S. and aims to restore an abandoned mine site while producing gold and the only domestically mined source of antimony [9] - The project has received over $80 million in funding from the Department of Defense to advance its development, emphasizing its role in meeting U.S. defense needs [2][9] Educational Initiatives - The Stibnite Launch Scholarship will provide $250,000 to support 12 or more students annually in CWI's Geosciences and Mining Technician programs for the next three years [3][5] - This initiative is designed to complement the Idaho LAUNCH grant program, which covers 80% of tuition and fees for eligible students, thereby closing the funding gap for those pursuing education in mining [5][6] - The partnership between Perpetua Resources and CWI aims to enhance hands-on learning and workforce opportunities, ensuring local communities thrive economically [6][4] Government Support - The visit from U.S. Secretary of Labor Lori Chavez-DeRemer and Idaho Governor Brad Little underscores the government's commitment to domestic critical mineral projects and job creation [2][8] - The discussions during the visit included the need for permitting reform to advance critical mining projects and the importance of educational programs like Idaho LAUNCH for workforce readiness [7][8] - Secretary Chavez-DeRemer emphasized the importance of initiatives like the Stibnite Gold Project in securing critical mineral supply chains and creating in-demand jobs [3][8]

🚨JUST IN: CHINA’S MINISTRY OF STATE SECURITY FLAGS IRIS DATA-FOR-CRYPTO PROJECTS AS POTENTIAL NATIONAL SECURITY THREATS ...

National Security Concerns - China warns that iris data collection for cryptocurrency projects like Worldcoin poses a national security threat [1] Cryptocurrency Regulation - The warning highlights increasing scrutiny and potential regulatory challenges for cryptocurrency projects involving biometric data collection in China [1]

China's Economy & Trade Talks - China's economy is in relatively good shape, with July data showing improvement compared to June, although growth is not exceeding year-ago levels [1][2] - China has included export controls in trade negotiations, giving them significant leverage, particularly concerning rare earths and critical minerals [3][5] - The inclusion of export controls has created a situation of mutually assured destruction, giving China a choke point over the United States economy [6] Manufacturing Sector - Despite PMI data suggesting weakness, the manufacturing sector in China remains strong and continues to export [9][10] - While exports to the United States have contracted, there has been a surge in exports to Asia, indicating the manufacturing machine is still productive [10] - Manufacturing's strength is crucial as China currently lacks other significant growth drivers [11] Security Concerns & Chip Industry - China is raising potential security risks with chips, potentially as a response to concerns about Huawei [6] - There are concerns about the future ability to geographically track chips, leading to worries about transshipment and potential circumvention of regulations [7]

Company Overview - PMGC Holdings Inc. has terminated a non-binding letter of intent to acquire a U.S.-based electronics manufacturing company, originally announced on June 9, 2025 [1] - Following a strategic review, the company has decided to focus its M&A efforts on CNC machine shops servicing aerospace, defense, and industrial sectors, aligning with its long-term growth strategy [2] Industry Outlook - The U.S. machine shop services market was estimated at approximately USD 44.7 billion in 2024, with around 17,100 companies employing over 259,000 people [3] - The global machining market is projected to grow from USD 402.6 billion in 2024 to USD 755.7 billion by 2034, at a CAGR of 6.5% [3] - The U.S. machine tools segment, primarily CNC metal-cutting, was valued at about USD 12.7 billion in 2025, expected to grow at a 3.4% CAGR from 2025 through 2030 [3] Demand and Growth Drivers - Demand from aerospace, defense, and industrial sectors is strong, with new U.S. metalworking machinery orders surging 32.6% from February to March 2025, reaching USD 515.8 million [4] - Aerospace machine shops are experiencing record-setting order volumes and capital investments due to reshoring momentum and robust defense procurement trends [4] - Structural growth in the industry is supported by regulations and incentives such as the CHIPS Act and Inflation Reduction Acts, positioning precision CNC machine shops as a critical segment for reshoring and national security [5] Acquisition Details - On June 24, 2025, PMGC announced a non-binding letter of intent to acquire a profitable, AS9100 and ISO 9001-certified CNC precision machining company in the U.S. [6] - The target company specializes in high-complexity aerospace and defense components, generating approximately USD 4.5 million in revenue and USD 500,000 in adjusted EBITDA in 2024 [7]

US-China Trade & Technology Competition - The US and China are competing in AI, manufacturing, and energy, with American security, prosperity, and leadership as the primary goal [1] - Trade negotiations are a means to achieve American security and prosperity [2] - The US imports $300 billion more from China than it exports, creating a vulnerability due to reliance on an adversary [2] - Rebalancing the trade relationship is crucial to incentivize domestic production of essential goods for national security [4] - The US aims to lead in rare earth processing and critical minerals, ensuring cleaner, more efficient, and trustworthy practices compared to China [6] Trade Negotiation Dynamics - Everything is on the table in trade negotiations between the US and China, with the US holding leverage [7] - The US seeks a better deal that promotes prosperity, freedom, and security, incentivizing key sectors for American leadership [9] - The US aims to incentivize industries crucial for American leadership [9] Technology & Export Strategy - China aims for an independent, controllable AI hardware and software system, potentially excluding American tech [10] - Deals with allies like the EU and Japan, representing 60-70% of global GDP, are crucial for deploying American technologies [12] - The US aims to have more countries and companies adopt US and allied technology over Chinese tech [17] - The US administration plans to create exportable aid packages to facilitate the adoption of American technology [18]