Summary of Lumen Technologies FY Conference Call Company Overview - **Company**: Lumen Technologies (NYSE: LUMN) - **Date of Conference**: November 19, 2025 Key Industry Insights - **Industry**: Telecommunications and Communications Infrastructure - **Current Trends**: Transition towards digital services and network-as-a-service offerings Core Points and Arguments 1. **Revenue Growth Strategy**: Lumen is transitioning from mid-single-digit revenue declines to projected growth by 2028 or 2029, with half of its revenue now coming from growth items and the other half from declining segments [7][8][9] 2. **Network-as-a-Service (NaaS)**: Lumen's NaaS offerings are growing at a rate of 30% quarter-on-quarter, indicating strong digital adoption and scalability compared to traditional telecom services [9][16] 3. **Competitive Advantage**: Lumen's existing infrastructure allows for significant scalability, with the ability to carry thousands of services over a single port, which is unique in the industry [16][23] 4. **AI and Data Infrastructure**: The company emphasizes the importance of its network in supporting AI and multi-cloud environments, positioning itself as a critical player in the AI infrastructure build-out [33][34] 5. **Financial Restructuring**: Lumen plans to reduce its debt significantly through the sale of fiber assets to AT&T, which will lower total debt from over $18 billion to just above $13 billion, enhancing financial stability [103][104] 6. **CapEx and Infrastructure Development**: The majority of capital expenditures are focused on utilizing existing conduits for fiber deployment, with a projected spend of around $2 billion in core business CapEx [65][70] 7. **Cost Transformation Initiatives**: Lumen is undergoing a broader cost transformation, including ERP modernization and leveraging AI to improve operational efficiency, targeting a $1 billion exit run rate by the end of 2027 [132][136] 8. **Market Positioning**: Lumen is focusing on large enterprises and public sector opportunities, with a strong emphasis on direct cloud on-ramps to enhance service delivery [141] Additional Important Insights 1. **Customer Engagement**: Lumen is shifting its focus from traditional telecom sales to engaging with C-suite executives, emphasizing the value of improved total cost of ownership through its services [25] 2. **Market Skepticism**: There are concerns about a potential AI bubble, but Lumen differentiates itself by being in the networking business, which is not overbuilt and is supported by customer prepayments [33][34] 3. **Future Outlook**: The company anticipates continued growth in its digital offerings and is exploring opportunities for further asset sales, including copper mining, to streamline operations [159][165] This summary encapsulates the key points discussed during the Lumen Technologies FY Conference Call, highlighting the company's strategic direction, financial health, and market positioning within the telecommunications industry.

Core Insights - Atlassian (TEAM) is set to report its first-quarter fiscal 2026 results on October 30, with projected revenues between $1.395 billion and $1.403 billion, indicating a year-over-year growth of 17.8% [1][10] Revenue Estimates - The Zacks Consensus Estimate for revenues is $1.40 billion, aligning with Atlassian's projections [1] - Cloud deployment revenues are estimated at $969.1 million, reflecting a 22.3% increase year-over-year, while Data Center deployment revenues are expected to grow 7.9% to $362.2 million [4][10] Earnings Expectations - The consensus estimate for earnings per share has been revised upward to 83 cents, compared to 77 cents in the same quarter last year [2] - Atlassian has consistently surpassed the Zacks Consensus Estimate in the past four quarters, with an average surprise of 19.9% [2] Growth Drivers - The strong adoption of cloud-based offerings and the trend towards digitalization and hybrid work models are expected to positively impact Atlassian's performance [3] - Demand for key products like Jira Software and Confluence Cloud, along with advanced solutions such as Jira Product Discovery Premium, is anticipated to drive growth [5] - The integration of AI features into collaboration software and a partnership with Google Cloud are likely to enhance revenue [6] Challenges - Despite strong demand, Atlassian's performance may be tempered by a soft IT spending environment and macroeconomic challenges, including high interest rates and inflation [7][10]

Core Viewpoint - Boost Run, LLC is set to go public through a business combination with Willow Lane Acquisition Corp, aiming to leverage the growing demand for AI cloud infrastructure and high-performance computing solutions [1][2][3] Company Overview - Boost Run specializes in AI Cloud Infrastructure and high-performance computing, providing secure and production-ready infrastructure across various GPU architectures [2][3] - The company has established partnerships with major suppliers like Nvidia and Lenovo, enhancing its distribution capabilities [2][3] - Boost Run's platform allows for on-demand GPU compute, catering to enterprise, government, and regulated industries [2][3] Financial Projections - Boost Run anticipates over 250% revenue growth in 2025 compared to 2024, with adjusted EBITDA margins exceeding 75% and high teens free cash flow margins [2][3] - The transaction values the combined entity at $614 million post-money, with plans to utilize over $112 million in cash from Willow Lane's trust account for GPU purchases and software development [3][9] Leadership and Expertise - Andrew Karos, the founder and CEO of Boost Run, has a strong background in algorithmic trading and has previously led a successful trading firm, Blue Fire Capital, which generated over $500 million in revenues [3][4] - The senior management team at Boost Run includes experienced professionals from Blue Fire and Galaxy Digital, bringing expertise in hardware, software, and cybersecurity [5][6] Market Opportunity - The merger positions investors to capitalize on the emerging multi-cloud industry, as businesses increasingly seek secure and efficient AI computing solutions [3][6] - The demand for AI cloud infrastructure is expected to grow significantly, with over $145 billion in private capital raised for AI-specific applications since 2024 [6][9]

Core Insights - The company is transforming the enterprise telecom space by digitizing its network, similar to how hyperscalers revolutionized compute and storage in the past [1] - This transformation is essential in the current multi-cloud and AI environment, where increasing workloads and disparate data make latency a critical factor [1] Group 1 - The company is leveraging its existing advantageous enterprise network, which has numerous routes and capacity, to monetize it through digitization [2] - By enabling digital access, customers can self-provision services on demand, enhancing their experience [2] - The company is also building an ecosystem where technology partners can integrate their products into the network via APIs, further improving customer experience [2]

Core Insights - Tencent is expanding its cloud business into Europe, leveraging its established gaming and social media expertise [1][2] - The company aims to differentiate itself from major U.S. competitors by focusing on specific technology areas [2][3] - Tencent's cloud solutions are designed to enhance video streaming, gaming experiences, and support for "super apps" like WeChat [3][4] Company Strategy - Tencent's cloud strategy includes partnerships with local companies, such as its collaboration with Orange to support the Max it app in Africa [4] - The company is addressing the need for improved latency in gaming, which is crucial for user experience [4] - Tencent anticipates that European companies will prefer a multi-cloud approach, allowing them to use services from various providers [5] Market Position - Tencent's entry into the European cloud market positions it against dominant players like Amazon, Microsoft, and Google, who hold a combined 70% market share [2] - The company is actively engaging with potential customers to showcase its unique technology capabilities developed over years [2][3]

Summary of Lumen Technologies Conference Call Company Overview - **Company**: Lumen Technologies - **Acquisition**: AT&T has acquired Lumen's mass markets fiber to the home business for **$5.75 billion** in cash [3][4][5] Key Points Transaction Details - The acquisition includes operations in **11 states**, approximately **4 million enablements**, and nearly **1 million customers** [5] - The deal is expected to close in the **first half of 2026** [5] - Lumen retains critical network infrastructure, including national, regional, state, and metro level fiber networks, as well as enterprise and wholesale relationships [5][6] Financial Implications - The retained assets are valued at approximately **$6 billion**, equating to about **$1,400 per enablement** [6] - Combined with the sale proceeds, Lumen anticipates a total of **$11.75 billion** or about **$2,900 per enablement** [6] - The consumer fiber assets being sold are projected to generate over **$750 million** in annual revenue [7] - After the transaction, Lumen plans to reduce debt by approximately **$4.8 billion**, leading to an estimated annual interest expense reduction of **$300 million** [7] - Annual capital expenditures (CapEx) are expected to decrease by about **$1 billion**, resulting in a positive cash flow impact of approximately **$1.3 billion** post-transaction [7] Strategic Focus - Lumen aims to focus on the enterprise market, which has a total addressable market (TAM) exceeding **$80 billion** [3] - The company is transitioning from a legacy telecom model to a more innovative approach, emphasizing AI and multi-cloud solutions [10][11] - Plans to expand the physical network to **47 million miles** by **2028** [11] Operational Changes - The transaction allows Lumen to simplify operations and strengthen its balance sheet, with a goal to reduce net debt to adjusted EBITDA from **4.9 times to 3.9 times** [7] - The company is committed to maintaining operational excellence and investing in growth and innovation [49][50] Customer and Market Dynamics - Lumen is responding to customer demands for faster and more efficient services in a rapidly evolving digital landscape [12] - The company is positioned to deliver high-value network architectures that enhance performance and security for enterprise customers [12][13] Future Outlook - Lumen's leadership expresses confidence in the company's transformation and the opportunities ahead, particularly in the AI and cloud sectors [15][49] - The company plans to share more details about its strategy and financial outlook at the upcoming Investor Day in the fall [81] Additional Considerations - The transaction is expected to have minimal operational disruptions, with existing commercial service agreements in place to ensure continuity [23][71] - Lumen's copper consumer business will continue to provide cash flow during the transition period, with a long-term strategy for decommissioning and monetizing these assets [28][30] This summary encapsulates the key points from the Lumen Technologies conference call, highlighting the strategic acquisition by AT&T, financial implications, operational changes, and future outlook for the company.