FY2025 Second Quarter Earnings Three Months Ended 3.31.25 May 8, 2025 CONFIDENTIAL & PROPRIETARY © Copyright 2025 DLH Holdings Corp. All Rights Reserved. 1 President and Chief Executive Officer Kathryn JohnBull Chief Financial Officer 2 CONFIDENTIAL & PROPRIETARY © Copyright 2025 DLH Holdings Corp. All Rights Reserved. Forward-Looking Statements Call Participants Zach Parker "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: This press release may contain forward-looking sta ...

Core Viewpoint - Microchip Technology (MCHP) is expected to report a significant decline in revenues and earnings for the fourth quarter of fiscal 2025, reflecting ongoing macroeconomic challenges and operational restructuring efforts [1][2][4]. Financial Performance - Microchip anticipates net sales between $920 million and $1 billion for the third quarter of fiscal 2025, with non-GAAP earnings expected between 5 cents and 15 cents per share [1]. - The Zacks Consensus Estimate for fiscal fourth-quarter 2025 revenues is $961.07 million, indicating a 27.51% decline from the previous year's quarter [1]. - The consensus for fiscal fourth-quarter earnings is set at 10 cents per share, representing an 82.46% year-over-year decline [2]. Operational Insights - Inventory levels have improved, reaching 266 days in the third quarter of fiscal 2025, an increase of 19 days sequentially, with expectations for a decrease in inventory days and dollar value in the upcoming quarter [3]. - Operating expenses are projected to rise to 37.7%-40.5% of sales in the fiscal fourth quarter, compared to 34.9% in the fiscal third quarter [5]. - The company is expected to incur $45 million in charges related to the cancellation of certain long-term agreements, negatively impacting the bottom line [5]. Market Context - Microchip is facing persistent macroeconomic weakness and limited visibility, particularly in the industrial and automotive sectors, but benefits from a diverse product portfolio and expansion into megatrends such as Edge Computing, IoT, and AI/ML [4]. - The company has initiated a corporate-wide layoff to drive operational savings [4]. Earnings Expectations - Microchip has an Earnings ESP of +8.03% and a Zacks Rank of 3, indicating a potential for an earnings beat [6].

Core Insights - Interactive Data, LLC (IDI) has announced a strategic integration with Ping Identity to enhance identity verification and risk mitigation services using PingOne DaVinci, a no-code identity orchestration service [1][5] - This partnership aims to improve access to IDI's AI/ML-powered technology platform and comprehensive identity graph, facilitating identity verification, risk management, and fraud prevention while enhancing consumer experience [1][5] Company Overview - IDI specializes in identity intelligence solutions, focusing on identity verification, risk mitigation, fraud detection, and regulatory compliance, catering to organizations of all sizes [6] - The company's coreIDENTITY™ DaVinci connector provides a suite of identity solutions for the entire consumer lifecycle, including identity data verification, data refresh, application pre-fill, fraud detection, and KYC compliance [3][4] Partnership Details - The collaboration with Ping Identity is part of the Ping Identity Global Technology Partner Program, which aims to deliver improved customer experiences through easy integration and design of digital user journeys [2] - Both companies emphasize the importance of innovation and seamless integration of identity insights into business workflows to empower organizations in making informed decisions [5]

Financial Data and Key Metrics Changes - The company achieved revenues of $2.65 billion in Q1 2025, a 20% increase year-over-year, exceeding guidance [13][30] - Adjusted EPS for the quarter was $1.20, an increase of $0.37 or 45% year-over-year [14] - Adjusted operating margin reached 7.1%, marking the highest performance in the company's history, up 120 basis points [8][14] - Adjusted gross margin was 11.0%, up 110 basis points, driven by higher volumes and a favorable mix [14] Business Line Data and Key Metrics Changes - The CCS segment generated $1.84 billion in revenue, up 28%, driven by strong demand for networking switches [16] - The ATS segment revenue totaled $807 million, up 5%, primarily due to growth in the capital equipment business [15] - HPS revenue grew by 99% to just over $1 billion, accounting for 39% of total company revenue [18] Market Data and Key Metrics Changes - Communications end market revenues increased by 87%, driven by strong demand for HPS networking products [17] - Enterprise end market revenue decreased by 39%, better than the guidance of a mid-40s percentage decline, due to a technology transition in an AI/ML compute program [17] Company Strategy and Development Direction - The company raised its revenue outlook for 2025 from $10.7 billion to $10.85 billion, reflecting year-over-year growth of 12% [30] - The CCS segment is expected to grow in the high-teens percentage range in 2025, driven by hyperscaler customers [33] - The company is focusing on expanding its services component, particularly in higher-margin areas [73] Management's Comments on Operating Environment and Future Outlook - Management noted that the macro environment has become increasingly dynamic due to trade policy uncertainty, but resilient demand remains [9][10] - The company is confident in its ability to navigate the current macro environment, supported by a globally diversified manufacturing network [40] - Management expressed optimism about the demand outlook for the remainder of 2025, citing strong customer feedback [30] Other Important Information - The company generated $94 million of free cash flow in Q1 2025, $26 million higher than the prior year [21] - The gross debt at the end of the quarter was $887 million, with a net debt position of $584 million [23] - The company repurchased $75 million of shares during the first quarter and an additional $40 million after the quarter [24] Q&A Session Summary Question: Visibility with customers in CCS given uncertainty - Management indicated that visibility with hyperscaler customers remains strong, with no changes in CapEx plans due to tariffs [45][46] Question: Re-acceleration in enterprise side - Management expects a ramp in AI/ML compute transition starting in Q3 2025, contributing to growth in the enterprise segment [52] Question: Impact of tariffs on ATS - Management noted minimal impact from tariffs in ATS, with demand remaining strong [58] Question: Guidance for CCS communications - Management explained that flat sequential revenues are due to timing of programs, not a decline in demand [62][65] Question: 1.6T switch program updates - Management confirmed strong bookings and ongoing development, with mass production expected in the second half of 2026 [70][72] Question: Price elasticity and customer feedback on tariffs - Management reported that customers did not waver in their commitment to CapEx plans during elevated tariff periods [112] Question: Pipeline changes in the last month - Management stated that the pipeline remains strong, with no major changes due to tariffs [116] Question: Ramps and guidance interaction - Management indicated that sequential growth is expected in the second half of 2025, with ongoing strong demand for 800G programs [122] Question: Margin improvement in ATS - Management noted that margin-dilutive programs are reflected in guidance, with opportunities for further margin expansion in ATS [129]

Core Insights - Oracle has secured a firm-fixed price task order through the U.S. Department of Defense's Joint Warfighting Cloud Capability contract to provide cloud compute and storage services to the U.S. Army's Enterprise Cloud Management Agency [1][2] - The new task order aims to enhance the ECMA's mission of delivering a secure multicloud ecosystem, supporting the Army Digital Transformation Strategy and enabling further innovation across operational domains [2][3] Group 1 - The Oracle Defense Cloud is designed to meet demanding regulatory requirements and security standards across all DoD classification levels, offering a hyperscale cloud environment with consistent global pricing [4][5] - Organizations can expect significant cost savings and access to the same resource rates in Oracle Defense Cloud regions as those using Oracle's public cloud offerings [5][6] - The Oracle Defense Cloud leverages specialized hardware and software, including Oracle Exadata and Oracle Autonomous Database, to deliver superior performance for Oracle-specific workloads [6] Group 2 - ECMA, directed by COL Heath Giesecke, is focused on delivering and governing a secure multi-cloud ecosystem to support the Army Digital Transformation Strategy [7] - Federal agencies are under pressure to modernize infrastructure while maintaining high security standards and controlling costs, which Oracle's cloud solutions aim to address [6]

Core Viewpoint - Applied Digital Corporation will host a conference call on April 14, 2025, to discuss its operations and financial results for the fiscal third quarter ended February 28, 2025 [1][2]. Group 1: Conference Call Details - The conference call is scheduled for April 14, 2025, at 5:00 p.m. Eastern Time [2]. - Participants can join the call by dialing 1-800-549-8228 with Conference ID 19309 [2]. - A replay of the call will be available from April 14, 2025, at 8:00 p.m. Eastern Time until April 21, 2025, at 11:59 p.m. Eastern Time [3]. Group 2: Company Overview - Applied Digital develops, builds, and operates next-generation data centers and cloud infrastructure [4]. - The company focuses on high-performance computing (HPC) applications, providing secure, scalable, and sustainable digital hosting solutions [4]. - Applied Digital aims to support AI Factories and high-performance computing workloads, leveraging its expertise and available power [4].

NEWPORT NEWS, Va., March 29, 2025 (GLOBE NEWSWIRE) -- HII (NYSE:HII) hosted commencement exercises today, celebrating 77 graduates of the company's Newport News Shipbuilding Apprentice School. The ceremony was held at Liberty Live Church in Hampton. Virginia State Sen. Louise Lucas delivered the keynote commencement address. Founded in 1919, The Newport News Shipbuilding Apprentice School has been accredited since 1982 by the Council on Occupational Education. Certification to grant associate degrees and co ...

Core Insights - Broadcom has introduced Sian3 and Sian2M, expanding its 200G/lane DSP PHY portfolio to meet the connectivity demands of AI/ML clusters [1][2] - The new DSPs focus on optimizing power consumption for both single-mode fiber (SMF) and short-reach multi-mode fiber (MMF) links in 800G and 1.6T optical transceiver applications [1][2] Product Highlights - Sian3 is a 3nm 200G/lane PAM4 DSP PHY that achieves the lowest power consumption in the industry for 800G and 1.6T optical transceivers, offering over 20% power reduction compared to previous models [3][6] - Sian2M integrates VCSEL drivers and is designed for short-reach MMF links, enhancing performance and efficiency for AI clusters [4][6] - Broadcom's DSPs are complemented by a portfolio of 200G/lane lasers, which are already in volume production, ensuring quality and reliability for AI optical interconnects [5][6] Market Context - The demand for increased bandwidth and interconnect density in AI clusters is driven by the rapid growth of AI workloads, with optical interconnect power being a key limiting factor for scalability [2][6] - By 2028, the market for PAM4 DSPs is expected to exceed $1 billion, driven by the transition to next-generation 102T switch systems [6] Technical Specifications - Sian3 supports data rates of 212.5-Gb/s and 226.875-Gb/s for InfiniBand and Ethernet, with multiple FEC options and sub-75ns roundtrip latency for AI/ML applications [7] - Sian2M is designed for low-power short-reach applications, supporting both 800G and 1.6T pluggable modules [11] Availability - Broadcom is currently sampling Sian3 and Sian2M to early access customers, with production of Sian3 expected to ramp in Q3 2025 [9]

Core Viewpoint - The PCI Express 7.0 specification is expected to be finalized and released in late 2025, with the current version 0.9 available for member review, indicating no further functional changes are anticipated [1][3]. Summary by Sections Specification Overview - PCIe 7.0 will achieve a maximum data rate of 128.0 GT/s, utilizing PAM4 encoding, and is designed to support a bidirectional throughput of up to 512 GB/s [2][4]. - The specification aims to double the channel speed to meet the increasing demands of emerging applications and markets [3]. Historical Context - PCI-SIG has consistently doubled the bandwidth of PCIe specifications approximately every three years to adapt to evolving technology needs, with the last major update being PCIe 6.0 in 2022 [3]. Key Features - The PCIe 7.0 specification focuses on channel parameters, coverage, and energy efficiency while maintaining low latency and high reliability [4]. - It will support high-bandwidth applications such as 800 G Ethernet, AI/ML, cloud computing, and quantum computing, as well as data-intensive markets like large-scale data centers and high-performance computing [3]. Performance Metrics - The performance metrics for PCIe 7.0 in various lane configurations are as follows: - x1: 32 GB/s - x2: 64 GB/s - x4: 128 GB/s - x8: 256 GB/s - x16: 512 GB/s [5].

Core Viewpoint - Snowflake Inc reported strong fourth-quarter results, leading to a rise in its stock price amid a positive earnings season [1] Group 1: Financial Performance - Total revenue for the fourth quarter increased by 27% year-on-year to $987 million, with Product revenue reaching $943 million, up 28% [2] - Management's fiscal 2026 guidance indicates a growth rate approximately 2 percentage points higher than the previous year's guidance [3] - Snowflake's first-quarter guidance suggests Product revenue growth of 21%-22%, estimating between $955 million to $960 million, and a full-year revenue of $4.280 billion, implying a 24% growth, which exceeds consensus estimates of $4.234 billion [5] Group 2: Analyst Ratings and Insights - Analyst Mark Murphy from JPMorgan maintained an Overweight rating and raised the price target from $185 to $210, noting that the fourth-quarter beat was less broad-based compared to the previous quarter [2] - Analyst Mike Cikos from Needham maintained a Buy rating and increased the price target from $200 to $215, highlighting strong full-year guidance [5] - Analyst Blair Abernethy from Rosenblatt Securities reaffirmed a Buy rating with a price target of $205, citing revenue beats and operational efficiency improvements that raised margins to around 9% [7] Group 3: Growth Drivers and Market Trends - The acceleration in year-on-year growth is expected to be driven by Data Engineering, Snowpark, and AI/ML initiatives [6] - Several large customers have exceeded their commitments, indicating a potential tailwind for bookings [6] - New product launches and improved consumption levels are contributing to management's higher-than-expected full-year guidance [8]