Financial Data and Key Metrics Changes - ITT reported total orders of nearly $1 billion for the third consecutive quarter, up 3% year-over-year, supported by strong order intake from recent acquisitions [7] - Revenue grew 13% in total and 6% organically, reaching $999 million, with operating income growing nearly twice the organic sales growth rate [8][17] - Adjusted EPS increased by 21%, and free cash flow rose 46% to $368 million year-to-date, with expectations to reach the high end of the previous range at $500 million for the full year [8][11] - Operating margin expanded over 100 basis points, excluding M&A impacts, with free cash flow margin in the quarter exceeding 15% [8][11] Business Line Data and Key Metrics Changes - Industrial Process (IP) grew 11% organically, driven by a projects business that grew over 50% [9][17] - Connect and Control Technologies (CCT) delivered 25% total growth, with 6% organic growth, bolstered by defense momentum and aerospace demand [10][17] - Motion Technologies (MT) grew 4% organically, outperforming global auto production by 360 basis points, with significant contributions from China [10][17] Market Data and Key Metrics Changes - Orders in the defense and aerospace sectors were strong, with CCT orders up 27% and 6% organic growth [12] - The market share in China for ITT has increased from 31% to above 34% [12] - Svanehøj secured over $250 million in orders year-to-date, representing 59% growth compared to the previous year [14] Company Strategy and Development Direction - The company is focused on organic growth and margin expansion, compounded with M&A activities, aiming for a strong performance towards its 2030 targets [7][25] - ITT continues to invest in innovations like Vidar, which is being installed with major energy companies in North America [8][11] - The company expects to maintain a book-to-bill ratio above one for the full year, indicating a strong position for growth in 2026 [15][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the operational performance and the ability to deliver for customers and shareholders despite market challenges [11][20] - The outlook for 2026 is cautiously optimistic, with expectations for low double-digit growth driven by a strong backlog and project wins [50][92] - Management noted that while auto production is expected to be up 2% year-over-year, challenges remain in Europe and North America [37][89] Other Important Information - The company is raising its full-year adjusted EPS outlook, with the low end of the revised guidance now above the previous high end, reflecting strong operational performance [11][21] - The effective tax rate is expected to be lower than planned, contributing positively to the EPS outlook [20][22] Q&A Session Summary Question: What is the outlook for global auto production? - Management indicated that global auto production is expected to be up 2% year-over-year, with China showing significant growth while Europe and North America may see slight declines [37][89] Question: Can you provide insights on the funnel and order conversion in Industrial Process? - The funnel for active projects is up 22% year-over-year, indicating strong potential for order conversion [39] Question: What factors contributed to the $0.20 guidance raise? - The guidance raise is attributed to improved profitability, better performance from acquisitions, and a favorable tax rate [47] Question: How is the pricing environment evolving? - The pricing environment varies by business segment, with CCT showing more pricing power, while IP requires a more strategic approach [113] Question: What are the prospects for improving growth in Aerospace and Defense? - Management expects continued growth in Aerospace and Defense, with orders anticipated to accelerate in Q4 [123]

Financial Data and Key Metrics Changes - The company achieved 4% net sales growth in Q3 2025, with 3% organic daily sales growth and 11% growth in adjusted EBITDA compared to the prior year [5][14]. - Adjusted EBITDA for the quarter increased 11% to $127.5 million, with an adjusted EBITDA margin improvement of 60 basis points to 10.1% [16][28]. - Net income attributable to the company increased 33% to $59 million due to net sales growth, improved gross margin, and SG&A leverage [27]. Business Line Data and Key Metrics Changes - Organic sales volume grew 2% during Q3, with maintenance-related demand remaining steady and achieving 3% organic daily sales growth in agronomic products [14][25]. - Landscaping products also saw a 3% increase in organic daily sales, driven by sales initiatives and improved pricing [14][25]. - Acquisition sales contributed approximately $13 million or 1% to net sales growth [26]. Market Data and Key Metrics Changes - The company estimates an 18% share of the fragmented $25 billion wholesale landscape products distribution market, indicating significant long-term growth opportunities [8]. - Seven out of nine regions achieved positive organic daily sales growth in Q3, although sales in Sun Belt states like Texas were weaker due to softness in new residential construction [25][41]. Company Strategy and Development Direction - The company aims to leverage its scale and resources to deliver superior value to customers and suppliers while focusing on organic growth and acquisitions [9][10]. - The acquisition strategy is expected to continue filling in product lines and expanding geographic reach, with a focus on smaller companies [13][38]. - The company plans to consolidate or close 15-20 branches to optimize its footprint and cost structure [45]. Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in driving continued performance and growth despite softer end markets heading into 2026 [6][41]. - The outlook for the fourth quarter includes expectations for low single-digit organic daily sales growth, with continued focus on SG&A leverage and adjusted EBITDA margin expansion [44][45]. - Management noted that the repair and upgrade market has begun to stabilize, providing a more optimistic outlook for future growth [60]. Other Important Information - The company has completed over 100 acquisitions since 2014, adding more than $2 billion in acquired revenue, demonstrating the strength of its acquisition strategy [12]. - The effective tax rate for Q3 was 20.4%, down from 26.2% in the prior year, primarily due to increased excess tax benefits from stock-based compensation [27]. Q&A Session Summary Question: Why is the charge not excluded from adjusted EBITDA guidance? - The company maintains strict guidelines for adjusted EBITDA, which primarily reflect acquisitions and adjustments within the first year [50]. Question: What is the pricing realization in agronomic vs. landscape products? - Pricing for landscape products was up 1%, while agronomic products were flat, with expectations for fourth-quarter pricing between 1% and 2% [51][53]. Question: Are you seeing positive organic sales growth in October? - Yes, positive organic sales growth has been observed in October, although the fourth quarter is a tougher comp due to weather impacts [59]. Question: Any changes in competitor behavior due to demand softness? - The company has not seen unusual competitor behavior, although competition naturally increases in softer markets [67]. Question: Will branch closures affect the ability to serve a recovering market? - The company believes it can fully serve a stronger market with its current network and has the capacity to add associates as needed [70]. Question: What is the outlook for input inflation in commodities? - The company does not anticipate major swings in input inflation for commodities, as this is embedded in their guidance [74]. Question: Will there be a focus on shareholder returns if the M&A market remains soft? - The company is committed to investing in the business first, but being at the low end of the leverage range may lead to increased share repurchases [102].

Third Quarter 2025 Earnings Disclaimer Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may include, but are not limited to, statements relating to driving organic and inorganic growth, and 2025 Adjusted EBITDA outlook. Some of the forward-looking statements can be identified by the use of terms such as "may," "intend," "might," "will," "should," "could," "would," "expect, ...

Financial Data and Key Metrics Changes - Adjusted net income increased 48% year-over-year to $45.2 million or $0.52 per share [6] - Organic deposits grew $212 million or 7% annualized, including $80 million in non-interest-bearing deposits [6][15] - Net interest income was $133.5 million, a 5% increase from the prior quarter, and net interest margin expanded 3 basis points to 3.32% [6][8] - Tangible book value per share increased 9% year-over-year to $17.61 [7] Business Line Data and Key Metrics Changes - Wealth management achieved a record quarter with $258 million in new assets under management (AUM), the highest quarterly result in the division's history [9] - Non-interest income, excluding securities activity, was $24.7 million, increasing 5% from the prior year quarter [9] - Loan outstandings, excluding the impact of the Heartland acquisition, increased at an annualized 8% [11] Market Data and Key Metrics Changes - The pipeline for loans increased 30% to $1.2 billion, indicating strong demand across markets [11] - Non-performing loans declined by $3.6 million during the quarter, representing only 0.55% of total loans [13] Company Strategy and Development Direction - The company is focused on enhancing its return profile while delivering strong growth on both sides of the balance sheet [2] - The Villages Bancorporation acquisition is expected to provide significant growth opportunities and enhance liquidity [3][16] - The company aims to maintain a disciplined, conservative credit culture while expanding its loan portfolio [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth outlook and ability to deliver continued improvements and returns into 2026 [4][16] - The competitive landscape remains challenging, with tight credit spreads, but the company is navigating carefully [86] Other Important Information - The Heartland acquisition added four branches and approximately $824 million in assets, while The Villages acquisition added 19 branches and over $4 billion in assets [7][16] - The company expects to exit the year with a core net interest margin reaching approximately 3.45% [8] Q&A Session Summary Question: Growth outlook and pipeline momentum - Management highlighted impressive growth despite recent acquisitions and expressed confidence in maintaining high single-digit growth moving forward [21][24] Question: The Villages deal update - Management reported a smooth integration process and emphasized the importance of a seamless conversion for customers [40][42] Question: Loan pricing and spreads - Management noted that credit spreads are tight, particularly for high-quality loans, and emphasized a cautious approach [86] Question: Future investments and technology - Management confirmed ongoing investments in technology and infrastructure to support growth and compete effectively [48][49]

Financial Data and Key Metrics Changes - For Q3 2025, diluted earnings per share increased to $0.96 from $0.86 in the linked quarter, primarily due to a reduction in provision for credit losses and an increase in net interest income [18] - Net interest income rose to $43 million from $42.5 million in the linked quarter, while the net interest margin (NIM) was 4.05%, slightly down from 4.07% [18][19] - The consolidated common equity Tier 1 risk-based capital ratio was 14.41%, and the Tier 1 leverage ratio was 12.37% as of September 30, 2025 [8] Business Line Data and Key Metrics Changes - Loans held for investment decreased by $45.5 million to $3.05 billion, primarily due to a $46.5 million decrease in multifamily property loans [9] - The indirect auto loan portfolio remained relatively unchanged at $239 million, down from $296 million a year ago, with a focus on maintaining credit quality [13][15] - Non-interest income for Q3 was $11.2 million, down from $12.2 million in the linked quarter, mainly due to a decrease in mortgage banking revenues [16][17] Market Data and Key Metrics Changes - Deposits increased by $142.2 million to $3.88 billion, with significant growth in non-interest-bearing deposits, which rose to 27% of total deposits [19] - The major metro loan portfolio represented 33.2% of the total loan portfolio, with steady performance in Dallas, Houston, and El Paso [12] Company Strategy and Development Direction - The company aims to grow its lending team by up to 20% to enhance loan growth, with a focus on organic growth and potential M&A opportunities [5][7] - The management is optimistic about accelerating loan growth in 2026, despite current headwinds from higher-than-normal loan paydowns [5][16] - The company is actively engaging in discussions with potential acquisition targets that align with its conservative nature and culture [6][54] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the bank's strong financial position and ability to capitalize on growth opportunities, both organically and through acquisitions [4][94] - The management noted that while there are challenges in the current economic environment, they remain optimistic about the resilience of economic growth in Texas markets [16][71] Other Important Information - The company redeemed $50 million in subordinated debt, which was previously at a fixed rate of 4.5% and would have increased to 8% [22] - The tangible common equity to tangible assets ratio was 10.25%, reflecting a strong capital position [22] Q&A Session Summary Question: Plans for increasing the lending team - The company plans to increase its lending team by up to 20%, with about 40% of the base being true lenders, and has already achieved over 10% growth this year [27][28] Question: Specific markets for growth - Growth is expected in the Permian, Houston, and Dallas MSA markets [30] Question: Concerns about subprime loan concentration - Management clarified that there has not been a significant increase in subprime loans, and any changes in credit scores are being monitored closely [33][34] Question: Impact of redeemed subordinated debt - The redemption of subordinated debt incurred no additional expenses, as it was done within the call period [38][39] Question: Vulnerability of commercial real estate loans - Management acknowledged some scheduled payoffs in the commercial real estate book but emphasized that they will not lower credit standards to retain loans [88]

Financial Data and Key Metrics Changes - For Q3 2025, diluted earnings per share increased to $0.96 from $0.86 in the linked quarter, primarily due to a reduction in provision for credit losses and an increase in net interest income [18] - Net interest income rose to $43 million from $42.5 million in the linked quarter, while the net interest margin (NIM) was 4.05%, slightly down from 4.07% [18][19] - The consolidated common equity Tier 1 risk-based capital ratio was 14.41%, and the Tier 1 leverage ratio was 12.37% as of September 30, 2025 [8] Business Line Data and Key Metrics Changes - Loans held for investment decreased by $45.5 million to $3.05 billion, primarily due to a $46.5 million decrease in multifamily property loans [9] - The indirect auto loan portfolio remained relatively unchanged at $239 million, down from $296 million a year ago, with a focus on maintaining credit quality [13][15] - Non-interest income for Q3 was $11.2 million, down from $12.2 million in the linked quarter, mainly due to a decrease in mortgage banking revenues [16][17] Market Data and Key Metrics Changes - Deposits increased by $142.2 million to $3.88 billion, with significant growth in non-interest-bearing deposits, which rose to $50.7 million [19] - The non-interest-bearing deposit-to-total deposit ratio increased to 27% from 26.7% in the linked quarter [19] Company Strategy and Development Direction - The company aims to grow its lending team by up to 20% to enhance loan growth, with a focus on organic growth and potential M&A opportunities [5][7] - The management is optimistic about accelerating loan growth in 2026, despite current headwinds from higher-than-normal loan paydowns [5][16] - The company is actively engaging in discussions with potential acquisition targets that align with its conservative nature and culture [6][54] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the bank's strong financial position and the potential for organic growth, while also being cautious about economic conditions [4][21] - The management noted that while there have been challenges, such as increased loan paydowns, they expect these to moderate in the coming year [9][16] - The company remains focused on maintaining asset quality and is prepared for varying economic conditions [21] Other Important Information - The company redeemed $50 million in subordinated debt, which was done to avoid higher interest rates as the debt was transitioning to a floating rate [22] - The tangible common equity to tangible assets ratio was 10.25%, an increase of 27 basis points from the previous quarter [22] Q&A Session Summary Question: Plans for increasing the lending team - The company plans to increase its lending team by up to 20%, with a current base of about 40 lenders, focusing solely on production staff [27][30] Question: Growth in specific markets - Growth is expected in the Permian, Houston, and Dallas MSA markets [30] Question: Concerns about subprime loan concentration - Management clarified that there has not been a significant increase in subprime loans, and any changes in credit scores are being monitored closely [33][34] Question: Impact of redeemed subordinated debt - The $50 million subordinated debt was redeemed to avoid an increase in interest payments, with no additional expenses incurred from the redemption [36][38] Question: Vulnerability of the commercial real estate book - Management acknowledged that while there are scheduled payoffs, they are not lowering credit standards and are focused on finding new business [88]

Financial Data and Key Metrics Changes - The company reported earnings of $0.73 per share for Q3 2025, with net interest income reaching a record $305 million, up 16% compared to Q3 2024 [6][8] - Total loans grew by 1% quarter-over-quarter and 3% year-over-year, with C&I loans leading the growth, increasing by nearly $1 billion year-to-date [6][11] - The CET1 capital ratio increased by 30 basis points year-to-date, reaching 10.33% in Q3 [5][20] Business Line Data and Key Metrics Changes - C&I lending saw significant growth, with nearly $300 million added in Q3 alone, contributing to a year-to-date increase of nearly $1 billion [7][11] - Core customer deposits increased by over $600 million in Q3, up 2% from Q2 and over 4% or $1.2 billion compared to the same period last year [12][14] - Non-interest income rose to $81 million in Q3, a 21% increase from the prior quarter, driven by capital markets revenue and wealth fees [8][18] Market Data and Key Metrics Changes - The company experienced strong seasonal deposit inflows, with core customer deposits up 2% or $628 million from Q2 [7][12] - The overall wholesale funding sources decreased by 2% versus Q2, indicating a shift towards lower-cost core deposits [12][14] - The company expects total bank loan growth of 5% to 6% for the year, despite challenges in the CRE sector [11][45] Company Strategy and Development Direction - The company is focused on organic growth and deepening customer relationships, with a strategy to hire talented relationship managers in underpenetrated metro markets [9][10] - The strategic investments are aimed at enhancing profitability and capital generation while maintaining a conservative credit culture [5][9] - The company plans to continue refining its focus on commercial deposits and enhancing its consumer value proposition [12][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to grow and deepen its customer base despite macroeconomic uncertainties [6][10] - The outlook for 2026 remains positive, with expectations for continued strong C&I growth and improved deposit production [30][31] - Management highlighted the importance of maintaining credit discipline and proactive portfolio management in the current economic environment [5][22] Other Important Information - The company reported flat delinquencies and non-accruals at 34 basis points of total loans, indicating stable asset quality [8][24] - The efficiency ratio improved to below 55%, reflecting positive operating leverage [19][20] - The company is preparing for product upgrades and enhancements in late Q4 2025 and into 2026 to attract and retain customers [12][14] Q&A Session Summary Question: What happens when the remaining RMs come off their non-compete? - Management expects C&I growth to accelerate as more relationship managers become available, with production up 12% and pipelines up 31% [30] Question: Can you discuss the fee income and expectations for Q4? - Management noted that Q3 included a one-time asset gain, and while Q4 may see a decline, underlying capital markets and commercial production trends remain positive [32] Question: How does the company view the margin outlook with potential rate cuts? - Management believes there is an opportunity for continued margin improvement, despite potential fluctuations due to market behavior [33][51] Question: What drove the modest increase in deposit costs in Q3? - The increase was attributed to seasonal factors and higher-end pricing accounts, but management remains comfortable with the overall deposit pricing [37] Question: What is the company's approach to hiring new relationship managers? - The company is open to hiring quality relationship managers year-round and will be opportunistic in seizing opportunities as they arise [40] Question: How does the company view the interplay between C&I growth and headwinds in other areas? - Management acknowledged that while RESI is a headwind in terms of balances, it is a purposeful strategy, and they expect to offset CRE payoffs with increased production in other areas [44]

Financial Data and Key Metrics Changes - For Q3 2025, diluted earnings per share increased to $0.96 from $0.86 in the linked quarter, driven by reduced provision for credit losses and increased net interest income [16] - Net interest income rose to $43 million from $42.5 million in the previous quarter, while the net interest margin (NIM) was 4.05%, slightly down from 4.07% [16][17] - The consolidated common equity Tier 1 risk-based capital ratio was 14.41%, and the Tier 1 leverage ratio was 12.37% as of September 30, 2025 [7] Business Line Data and Key Metrics Changes - Loans held for investment decreased by $45.5 million to $3.05 billion, primarily due to a $46.5 million decline in multifamily property loans [8] - The indirect auto loan portfolio remained relatively stable at $239 million, down from $296 million a year ago, with a focus on maintaining credit quality [12] - Non-interest income for Q3 was $11.2 million, down from $12.2 million in the linked quarter, mainly due to a decrease in mortgage banking revenues [14][15] Market Data and Key Metrics Changes - Deposits increased by $142.2 million to $3.88 billion, with significant growth in non-interest-bearing deposits, which rose to 27% of total deposits [17] - The major metro loan portfolio represented 33.2% of the total loan portfolio, with steady performance in Dallas, Houston, and El Paso [11] Company Strategy and Development Direction - The company aims to grow its lending team by up to 20% to enhance loan growth, with a focus on organic growth and potential M&A opportunities [5][6] - The management is optimistic about accelerating loan growth in 2026, despite current headwinds from higher-than-normal loan paydowns [5][14] - The company is actively engaging in discussions with potential acquisition targets that align with its conservative nature and culture [6][51] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the bank's strong financial position and ability to capitalize on growth opportunities, despite challenges in the current economic environment [4][86] - The management noted that while there are concerns about credit quality, particularly in the indirect auto portfolio, they have not seen significant increases in delinquencies [63][70] Other Important Information - The company redeemed $50 million in subordinated debt to avoid higher interest rates, reflecting a proactive approach to managing capital costs [20] - The tangible common equity to tangible assets ratio was 10.25%, indicating a solid capital position [21] Q&A Session Summary Question: Plans for increasing the lending team - The company plans to increase its lending team by up to 20%, with a current base of about 40 lenders, focusing on production staff [26][28] Question: Concerns about subprime loan concentration - Management clarified that there has not been a significant increase in subprime loans, and the data presented was updated to reflect current borrower credit scores [32][33] Question: Impact of redeemed subordinated debt - The redeemed subordinated debt was previously at 4.5% and would have increased to 8%, with no additional expenses incurred during the redemption [35][37] Question: Vulnerability of the commercial real estate book - Management acknowledged scheduled payoffs in the commercial real estate book but emphasized that they will not lower credit standards to retain loans [80][81]

Financial Data and Key Metrics Changes - The company reported net income of $12.8 million or $0.68 per diluted share, a 53% increase from Q3 2024 and a 16% increase from the linked quarter [5] - Pre-provision net revenue increased by $4.9 million or 45% compared to Q3 2024 and by $1.9 million or 14% from the linked quarter [5] - Net interest income totaled $34.5 million, consistent with the linked quarter, while net interest margin declined by six basis points to 3.58% [5][6] - Non-interest income increased by $3 million or 46.2% over the linked quarter, totaling $9.6 million, consistent with Q3 2024 [8][10] Business Line Data and Key Metrics Changes - Non-interest income for the quarter was $9.6 million, with a $494,000 decline in leasing fees offset by increases in other categories [10] - The company experienced a decline in total loans and leases by $55.1 million, primarily due to over $120 million in payoffs [12] - Significant declines were noted in commercial and agricultural loans by $36 million and non-owner occupied commercial real estate by $48 million [13] Market Data and Key Metrics Changes - Total deposits grew by $33.4 million, with a reduction in brokered deposits by $23 million [16] - The loan-to-deposit ratio was 95.8%, down from the linked quarter, with expectations to reduce this further post-acquisition of Farmers Savings Bank [18] Company Strategy and Development Direction - The company plans to use new capital to reduce overnight borrowings and strengthen tangible common equity, while focusing on organic growth and technology investments [6][7] - The merger with Farmers Savings Bank is expected to close shortly after November 4, enhancing the company's deposit base and operational capabilities [7][20] - The company aims to streamline deposit accounts and enhance digital services to attract new customers and deepen existing relationships [17][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the economic environment across their footprint, noting strong credit quality and stable credit metrics [21][22] - The company anticipates organic loan growth returning to mid-single digits in Q4 and increasing into mid to high single digits in 2026 [15][40] - The effective tax rate for the quarter was 18.5%, with expectations to remain in the 16% to 16.5% range for the remainder of the year [34] Other Important Information - The company announced a quarterly dividend of $0.17 per share, consistent with the prior quarter, representing a 3.3% yield [8] - The tangible common equity ratio increased from 6.7% to 9.21% due to strong earnings and a successful capital raise [20] Q&A Session Summary Question: Margin outlook with potential rate cuts - Management anticipates margin expansion by five basis points in Q4 if rate cuts occur as expected [27] Question: Capital priorities post-Farmers acquisition - The focus will be on organic growth and increasing tangible book value, with M&A opportunities evaluated on a disciplined basis [28][30] Question: Confidence in achieving loan growth targets - Management noted a strong pipeline and historical loan generation capabilities, despite recent payoffs [39][40] Question: Fee income outlook - Anticipated fee income for Q4 is around $9.2 million, including contributions from Farmers [45] Question: Loan yield decline explanation - The decline was attributed to a mix shift and pricing competition, with expectations for yield improvement as loans reprice [48][49] Question: Timing of Farmers acquisition closure - The acquisition is expected to close shortly after the shareholder meeting on November 4 [54][55]

Core Insights - Omnicom Group Inc. (OMC) reported strong third-quarter 2025 results, with both earnings and revenues exceeding the Zacks Consensus Estimate [1] - Following the earnings release on October 21, the stock price increased by 3.2% [1] Financial Performance - Earnings per share (EPS) reached $2.15, surpassing the consensus estimate by 4.2% and reflecting a year-over-year increase of 10.3% [2] - Total revenues amounted to $4.04 billion, exceeding the consensus estimate by 0.4% and showing a year-over-year growth of 4% [2] - The revenue growth was primarily driven by a 2.6% increase in organic growth [2] Segment Performance - Advertising & Media revenues grew organically by 9.1%, outperforming the estimated growth of 8.7% [3] - Precision marketing revenues increased by 0.8%, falling short of the estimated 6.7% growth [3] - Experiential revenues surged by 17.7%, exceeding the expected growth of 12.2% [3] - Public Relations revenues declined by 7.5%, contrasting with the estimated growth of 1.3% [4] - Healthcare revenues fell by 1.9% year over year, significantly better than the estimated decline of 34.1% [4] - Branding & Retail Commerce revenues decreased by 16.9%, worse than the estimated decline of 10.3% [4] - Execution and support revenues increased by 2%, slightly below the estimated growth of 2.5% [4] Regional Performance - Year-over-year organic revenue growth was 4.6% in the United States and 27.3% in Latin America [5] - Revenues increased by 5.9% in the Middle East & Africa and 3.7% in the U.K. [5] - Revenues decreased by 2.4% in Other North America, 2.5% in the U.K., 3.1% in Euro Markets & Other Europe, and 3.7% in Asia Pacific [5] Margin Analysis - Adjusted EBITA for the quarter was $651 million, reflecting a year-over-year increase of 4.6% [6] - The adjusted EBITA margin was 16.1%, slightly up from 16% in the previous year [6] - Operating profit was $530.1 million, down 11.7% year over year, with the operating margin declining by 240 basis points to 13.1% [6] Market Position - Omnicom currently holds a Zacks Rank of 2 (Buy) [7]