Core Viewpoint - Saia is focusing on cost controls and efficiency initiatives to navigate through current challenges while awaiting a market recovery [1] Financial Performance - Saia reported third-quarter adjusted earnings per share of $2.81, exceeding consensus estimates by 25 cents but down 65 cents year-over-year [1] - Revenue for the quarter was $840 million, slightly down year-over-year but $11 million above consensus estimates [2] - Tonnage declined 1.5% year-over-year, with daily shipments down 2% year-over-year but up 3% from the second quarter [4][5] Tonnage Trends - Tonnage showed a deteriorating trend throughout the quarter, with a 0.9% increase in July followed by declines of 2.2% and 3.3% in August and September, respectively [3] - October tonnage is down 4% year-over-year, with management noting weaker performance in the first weeks of the month [3] Operational Efficiency - The adjusted operating ratio was reported at 87.6%, which is 250 basis points worse year-over-year but 20 basis points better than the second quarter [7] - New terminals showed a 100 basis points improvement in operating ratio and are now operating below a 95% average [8] Pricing Environment - Management indicated that the pricing environment remains rational, with contractual rate increases averaging 5.1% in the quarter and a new general rate increase of 5.9% implemented on October 1 [6]

Financial Performance & Highlights - FY25 revenue reached $737 billion, a 05% increase from the previous year[7] - FY25 adjusted EBIT was $976 million, up 37% year-over-year, with an adjusted EBIT margin of 132%, a 40 bps improvement[7] - FY25 adjusted EPS was $530, representing a 73% increase from the prior year[7] - Q1 2026 sales reached a record $211 billion, a 74% increase year-over-year, with adjusted EBIT at $3378 million, up 29%[56,58] Strategic Initiatives & Growth Drivers - The company is focused on system selling, turnkey solutions, and maintenance & repair to drive growth[10] - MAP 2025 initiatives have led to consistent improvements, including record sales, adjusted EBIT, and adjusted EPS[11,12] - The company is focusing on efficiency initiatives, capital allocation, and collaboration to accelerate organic growth[18] Market Position & Segmentation - The company operates in a ~$102 billion Serviceable Addressable Market (SAM)[29] - The company's sales are divided into North America ($58 billion, 78%), Europe ($11 billion, 14%), Latin America ($290 million, 4%), Asia/Pacific ($159 million, 2%), and Africa/Middle East/Other Foreign ($109 million, 2%)[34] Shareholder Value - The company's stock has shown a 2795% cumulative total return over the past 10 years, compared to 3354% for the S&P 500 and 2251% for its peer group[20] - The company has increased its annual cash dividend by 6% to $216 per share, marking 52 consecutive years of dividend increases[72,73]

Financial Data and Key Metrics Changes - BrightSpring's total revenue for Q2 2025 was $3,100,000,000, representing a 29% year-over-year growth [7][26] - Adjusted EBITDA for the quarter was $143,000,000, also reflecting a 29% increase compared to the same period last year [8][29] - The EBITDA margin remained flat at 4.5% compared to Q2 2024 [8][30] - The company has increased its 2025 revenue guidance to a range of $12,200,000,000 to $12,600,000, indicating a growth of 21.1% to 25.1% over 2024 [33] Business Line Data and Key Metrics Changes - Pharmacy Solutions revenue grew 32% year-over-year to $2,800,000,000, with adjusted EBITDA also increasing by 32% [7][12] - Provider Services revenue was $358,000,000, marking an 11% growth year-over-year, with home health care revenue growing 17% [28][15] - Specialty and Infusion business revenue grew 39% year-over-year, driven by strong service levels and patient satisfaction [13][14] Market Data and Key Metrics Changes - The average daily census in home health care grew 6% year-over-year to over 30,000, with hospice census growth of 10% [16] - Specialty scripts grew 38% in Q2, supported by both brand and generic drug growth [12][13] - The company reported a 99.99% dispense accuracy in home and community pharmacy services [11] Company Strategy and Development Direction - BrightSpring is focused on disciplined growth, leveraging scale and best practices while investing in areas that enhance care services [6][10] - The company aims to improve operational efficiencies and patient outcomes through continuous improvement initiatives [10][24] - BrightSpring is committed to maintaining high-quality services and expanding its market presence in home health, hospice, and specialty pharmacy [10][23] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued growth in the second half of 2025, driven by strong performance across all business segments [50][51] - The company anticipates favorable rate developments in hospice and home health services, which could enhance revenue [51][62] - Management highlighted the importance of ongoing investments in technology and operational improvements to sustain growth [50][52] Other Important Information - The Community Living divestiture is expected to close in Q4 2025, which will impact future financial reporting [6][9] - The company has a strong cash flow outlook, expecting to deliver over $300,000,000 in annual operating cash flow in 2025 [31] - BrightSpring's net debt outstanding was approximately $2,500,000,000, with a leverage ratio of 3.6 times [31] Q&A Session Summary Question: Can you discuss the infusion performance in the quarter and expectations for growth? - Management noted that the infusion business had its best quarter in a long time, with expectations for continued growth driven by new leadership and operational efficiencies [35][38] Question: What factors contributed to the increase in full-year guidance? - Management indicated that continued momentum across the company, particularly in the provider segment, and structural factors like the number of operational days contributed to the raised guidance [47][49] Question: Can you provide insights on the growth in the home health business? - Management stated that the home health rule would not have a material impact on the business, and they expect future rate support to improve as they grow into the market [59][62] Question: How sustainable is the growth in specialty pharmacy? - Management expressed confidence in the sustainability of growth in specialty pharmacy, attributing it to strong service levels and ongoing investments [66][69] Question: What is the outlook for generics and their impact on revenue growth? - Management highlighted the importance of driving generic utilization and the investments made in clinical liaison teams to support this growth [85][88]