Group 1 - Instacart is represented by its new CEO, Chris Rogers, at the Communacopia Technology Conference [1] - The presentation includes forward-looking statements that involve risks and uncertainties, which may lead to actual results differing from expectations [2] - Instacart's recent Form 10-Q discusses risk factors that could impact actual results, and non-GAAP financial metrics will be referenced during the presentation [3]

Core Insights - Bowman Consulting Group Ltd. reported strong financial results for the second quarter of 2025, highlighting significant growth and strategic progress driven by high demand in core verticals such as transportation, renewables, and energy transmission [2][3][11]. Financial Performance - Gross contract revenue for Q2 2025 was $122.1 million, a 17% increase from $104.5 million in Q2 2024 [7]. - Net service billing reached $108.0 million, up 15% from $94.0 million year-over-year [7]. - Adjusted EBITDA for Q2 2025 was $20.2 million, reflecting a 50.7% increase from $13.4 million in Q2 2024 [7]. - The adjusted EBITDA margin improved to 18.7%, a 440-basis point increase from 14.3% in the previous year [7]. - Net income for Q2 2025 was $6.0 million, compared to a net loss of $2.1 million in Q2 2024 [7]. Year-to-Date Performance - For the first six months of 2025, gross contract revenue was $235.0 million, an 18% increase from $199.4 million in the same period of 2024 [7]. - Net service billing for the first half of 2025 was $208.1 million, a 16% increase from $179.7 million [7]. - Adjusted EBITDA for the first six months was $34.7 million, a 36.1% increase from $25.5 million [7]. - The adjusted EBITDA margin for the first half improved to 16.7%, up 250 basis points from 14.2% [7]. Backlog and Future Outlook - The gross backlog increased to $438.2 million, a 24.7% rise from $351.4 million year-over-year [7]. - The company anticipates net revenue for fiscal year 2025 to be between $430 million and $442 million, with adjusted EBITDA expected to be between $71 million and $77 million [11]. Stock Repurchase and Capital Management - During Q2 2025, Bowman repurchased $6.7 million of common stock, with an average price of approximately $22.19 per share [8]. - A new share repurchase program was authorized, allowing for the repurchase of up to $25 million of common stock over a 12-month period starting June 9, 2025 [9]. Adjusted Earnings Per Share - For Q2 2025, the basic adjusted earnings per share (non-GAAP) was $0.56, compared to a loss of $0.03 in Q2 2024 [10]. - For the first half of 2025, the diluted adjusted earnings per share was $0.62, up from $0.16 in the same period of 2024 [10].

Financial Metrics Definitions - The report defines Non-GAAP Gross Profit, Non-GAAP SG&A Expense, and Adjusted EBITDA as key metrics for understanding the business[3] - Adjusted EBITDA is calculated as Non-GAAP Gross Profit minus Non-GAAP SG&A Expense[7] Unit Sales Performance - Retail units sold increased from 108,651 in Q2 2024 to 143,280 in Q2 2025[8] - Wholesale vehicle units sold increased from 50,368 in Q1 2024 to 72,770 in Q2 2025[8] - Wholesale marketplace units transacted increased from 234,361 in Q2 2024 to 258,756 in Q2 2025[8] Gross Profit per Unit (GPU) Analysis - Total GPU (GAAP) increased from $7,049 in Q2 2024 to $7,426 in Q2 2025, a $377 increase[9] - Retail GPU (Non-GAAP) increased from $3,539 in Q2 2024 to $3,734 in Q2 2025, a $195 increase, driven by lower recon and inbound costs and tariff-related effects[9] - Wholesale vehicle GPU (Non-GAAP) increased from $483 in Q2 2024 to $558 in Q2 2025, a $75 increase, due to lower wholesale depreciation rates and higher wholesale units volume[9] - Wholesale marketplace GPU (Non-GAAP) decreased from $621 in Q2 2024 to $461 in Q2 2025, a $160 decrease, despite a 5% increase in wholesale marketplace units transacted, offset by 41% retail units sold[9] - Other GPU (Non-GAAP) increased from $2,701 in Q2 2024 to $2,827 in Q2 2025, a $126 increase, due to improvements in cost of funds offset by lower sell through rate and higher VSC attach rate[9] SG&A Expense per Unit Analysis - Total SG&A Expense per Unit (GAAP) decreased from $4,485 in Q2 2024 to $3,846 in Q2 2025, a $639 decrease[9] - Total SG&A Expense per Unit (Non-GAAP) decreased from $3,845 in Q2 2024 to $3,385 in Q2 2025, a $460 decrease[9] - Carvana Operations SG&A per unit decreased by $147 from Q2 2024 to Q2 2025 due to continued operations efficiencies[9] - Wholesale marketplace Operations SG&A per unit decreased by $29 from Q2 2024 to Q2 2025 due to cost leverage on retail units sold growth[9] - Overhead SG&A per unit decreased by $328 from Q2 2024 to Q2 2025 due to cost leverage on retail units sold growth[9] - Advertising SG&A per unit increased by $44 from Q2 2024 to Q2 2025 due to increased advertising spend[9]

Non-GAAP Metrics Definition - Non-GAAP Gross Profit is defined as GAAP gross profit plus depreciation and amortization expense in cost of sales and share-based compensation expense in cost of sales, minus revenue related to Root Warrants[3] - Non-GAAP SG&A Expense is defined as GAAP SG&A expenses minus depreciation and amortization expense in SG&A expenses, share-based compensation expense in SG&A expenses, and restructuring expense in SG&A expenses[4] - Adjusted EBITDA is defined as net income (loss) plus income tax provision (benefit), interest expense, net, other operating expense, net, other income, net, depreciation and amortization expense in cost of sales and SG&A expenses, share-based compensation expense in cost of sales and SG&A expenses, loss on debt extinguishment, and restructuring expense in cost of sales and SG&A expenses, minus revenue related to Root Warrants; Adjusted EBITDA margin is Adjusted EBITDA as a percentage of total revenues[5] - Non-GAAP Gross Profit minus Non-GAAP SG&A Expense equals Adjusted EBITDA[6] Unit Sales - Retail units sold in Q1 2023 were 79,240, increasing to 91,878 in Q1 2024, and further to 133,898 in Q1 2025[7] - Wholesale vehicle units sold in Q1 2023 were 35,110, increasing to 44,155 in Q1 2024, and further to 63,454 in Q1 2025[7] - Wholesale marketplace units transacted in Q1 2023 were 213,764, increasing to 242,647 in Q1 2024, and further to 248,624 in Q1 2025[7] GPU & SG&A Expense Changes (Q1 2024 vs Q1 2025) - Total GPU, GAAP increased by $506, from $6,432 to $6,938[8] - Retail GPU, Non-GAAP increased by $97, from $3,211 to $3,308, driven by lower recon and inbound cost and lower retail depreciation rates, offset by decreases in spreads[8] - Wholesale marketplace GPU, Non-GAAP decreased by $160, from $631 to $471, due to +9% growth in wholesale marketplace gross profit, Non-GAAP offset by 46% retail units sold growth[8] - Total SG&A Expense per Unit, GAAP decreased by $967, from $4,963 to $3,996[8] - Total SG&A Expense per Unit, Non-GAAP decreased by $750, from $4,245 to $3,495[8]

Financial Data and Key Metrics Changes - The company reported Q1 2025 revenue of $1.6 billion, an increase of 8% year-over-year, and cash EPS of $4.51, up 10% [6][24] - Organic revenue growth for the quarter was 9%, with cash EPS expected to increase by 18% on a constant macro basis [6][24] - Retention rate remained steady at 92%, with new bookings up 35% compared to Q1 last year [7][24] Business Line Data and Key Metrics Changes - Corporate Payments revenue grew 19% organically, driven by solid spend volumes [25] - Vehicle Payments revenue increased 8% organically, with significant growth in Brazil [28] - Cross border sales grew 51% year-over-year, with revenue up 18% organically [25][26] Market Data and Key Metrics Changes - The company expects tariff impacts to be modest, with an estimated unfavorable impact of $10 million to $15 million on cross border revenue [28] - U.S. Vehicle Payments revenue growth was down 3% organically, but improvements in customer application approvals and retention were noted [30][31] Company Strategy and Development Direction - The company is focused on expanding its corporate payments business through strategic acquisitions, including a partnership with Mastercard and an investment in Avid [14][15][17] - Plans to divest three non-core businesses to create liquidity for further investments in corporate payments [16][114] - The company aims to enhance its product offerings and market presence, particularly in the U.S. and U.K. [19][90] Management's Comments on Operating Environment and Future Outlook - Management maintains a cautious outlook due to macroeconomic uncertainties but sees no immediate need to revise forecasts [9][39] - The company expects to maintain its full-year 2025 guidance, projecting organic revenue growth of 11% at the midpoint [11][39] - Management expressed confidence in the performance of the corporate payments segment and the potential for growth in the vehicle payments business [72][102] Other Important Information - The company completed the acquisition of Gringo in March, which had an immaterial impact on revenue and adjusted EPS [24] - Operating expenses increased by 8% year-over-year, influenced by recent acquisitions and higher transaction volumes [33][34] - The company ended the quarter with a leverage ratio of 2.69 times and over $2.5 billion in cash and revolver availability [35] Q&A Session Summary Question: Confidence in Mastercard partnership for incremental revenue growth - Management expressed optimism about the partnership with Mastercard, highlighting the potential for significant revenue growth through their extensive client base [42][44] Question: Nature of the Avid investment - The investment in Avid is strategic, aimed at enhancing corporate payments capabilities, with a focus on profit acceleration [45][46] Question: Update on enterprise sales pipeline - Management confirmed that the enterprise sales initiative is live and progressing well, with potential for significant growth [54][55] Question: Impact of tariffs on vehicle payments - Management clarified that while tariffs do not directly impact their business, clients with goods-based operations may experience indirect effects [61][62] Question: Performance of the hedging business - The cross border business showed strong performance in Q1, benefiting from market volatility, with expectations for continued growth [94][95] Question: Organic revenue guidance for the year - Management remains confident in achieving the full-year organic revenue growth target of 11%, with expectations for a strong Q2 [98][102]

Core Insights - KLA Corporation reported strong financial results for Q3 FY 2025, with GAAP net income of $1.09 billion and revenues of $3.06 billion, exceeding guidance expectations [1][9] - The company remains optimistic about demand in the semiconductor manufacturing sector despite global trade uncertainties, highlighting its relevance in AI investments [2][8] - KLA announced a quarterly dividend increase to $1.90 per share and authorized an additional $5 billion for stock repurchases, reflecting confidence in long-term value [6][9] Financial Performance - Total revenues for Q3 FY 2025 were $3,063 million, compared to $3,077 million in Q2 FY 2025 and $2,360 million in Q3 FY 2024 [3] - GAAP net income increased to $1,088 million from $825 million in Q2 FY 2025 and $602 million in Q3 FY 2024 [3] - Non-GAAP net income for Q3 FY 2025 was $1,121 million, with a diluted EPS of $8.41, up from $8.20 in Q2 FY 2025 and $5.26 in Q3 FY 2024 [4] Segment Performance - Semiconductor Process Control segment generated revenues of $2,738,817 thousand in Q3 FY 2025, up from $2,096,005 thousand in Q3 FY 2024 [17] - Specialty Semiconductor Process and PCB and Component Inspection segments also showed growth, contributing $156,500 thousand and $168,552 thousand respectively in Q3 FY 2025 [17] Cash Flow and Capital Returns - Cash flow from operating activities for Q3 FY 2025 was $1.07 billion, with free cash flow of $990 million [9][18] - Capital returns for the quarter totaled $732.5 million, including dividends and stock repurchases [9][18] Guidance for Q4 FY 2025 - KLA expects total revenues for Q4 FY 2025 to be in the range of $3.075 billion +/- $150 million, with GAAP gross margin projected at 61.7% +/- 1.0% [10][19]