Veralto (VLTO) Q1 2025 Earnings Call April 30, 2025 08:30 AM ET Company Participants Ryan Taylor - Vice President - IRJennifer Honeycutt - President & CEOSameer Ralhan - Senior VP & CFOScott Davis - CEO & ChairmanDeane Dray - Managing DirectorMichael Halloran - Associate Director of ResearchNathan Jones - Managing DirectorJeffrey Sprague - Founder and Managing PartnerAndrew Buscaglia - Executive DirectorNatalia Bak - Equity Research AssociateBrian Lee - Vice President Conference Call Participants John McNul ...

东吴证券股份有限公司袁理,陈孜文近期对金科环境进行研究并发布了研究报告《2024年报&2025一季报点 评：25Q1业绩同增33%，AI产品化升级&工业应用场景持续拓展》，给予金科环境买入评级。 金科环境(688466) 投资要点 盈利预测与投资评级：考虑订单拓展及执行进展，我们将2025-2026年归母净利润预测从1.25/1.62亿元下 调至0.86/1.04亿元，预计2027年归母净利润为1.25亿元，对应2025-2027年PE22/18/15倍，公司为污废水资 源化专家，随着政策驱动、产品升级、销售渠道打开，订单有望加速复制，维持"买入"评级。 风险提示：订单执行进展不及预期，政策风险，行业竞争加剧等。 最新盈利预测明细如下： | 报告日期 机构简称 研究员 | | | 延三年小禮 预测准确度 | 研报数 覆盖时长 | 2025预测 净利润(元) | 2026预测 净利润(元) | 2027预测 (F) | | 目标价 (元) | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 2025-04-26 方正证券 | | 郑 ...

Core Viewpoint - Hawkins, Inc. has acquired the assets of WaterSurplus, enhancing its water treatment solutions and expanding its portfolio of value-added products, which aligns with its strategy to grow its higher-margin business [1][2][3] Financial Highlights - Hawkins generated $919 million in revenue for fiscal 2024 and anticipates its Water Treatment business to exceed $500 million in revenue in fiscal year 2026 [3][7] - WaterSurplus generated adjusted EBITDA of approximately $10 million for the fiscal year ending December 31, 2024 [6] - Hawkins closed on an amended $400 million revolving credit facility, increasing from $250 million, to fund the acquisition [6] Business Highlights - The acquisition of WaterSurplus is expected to be accretive to Hawkins' earnings per share in fiscal year 2027 and will improve the margin profile of Hawkins' current Water Treatment business [6] - Hawkins has completed 13 acquisitions over the last 5 years to build its Water Treatment business, indicating a strong integration capability [3] - WaterSurplus offers patented filtration products that reduce operational costs and enhance efficiency, which will complement Hawkins' existing offerings [9]

Financial Data and Key Metrics Changes - Revenue for Q4 2024 was $3.4 million, a 37% sequential increase from Q3 2024, but down from $3.9 million in Q4 2023 [9][42] - The net loss for Q4 2024 was $3.0 million, compared to $3.2 million for the same period in 2023 [47] - Cash at the end of Q4 2024 was $10.9 million, with underlying cash decreasing by approximately $2.4 million compared to the end of Q3 2024 [48] Business Line Data and Key Metrics Changes - Water treatment systems revenue was up nearly $750,000 or 108% sequentially, totaling $1.4 million in Q4 2024 [10][42] - Ceramic membrane sales were $1.1 million, flat compared to Q3 2024 and down from $1.4 million in Q4 2023 [42] - Simplastics revenue was $0.9 million, up 13% year-over-year and up 34% sequentially [33][42] Market Data and Key Metrics Changes - The company has ongoing pilot programs in various markets, including lithium brine production and petrochemical microplastics removal, which are critical for future growth [10][20] - The Middle East market has been slow in adoption, while the focus is increasingly directed towards the US market [22][23] Company Strategy and Development Direction - The company aims to lower its breakeven target to approximately $5.5 million to $6.0 million per quarter through cost reduction strategies [12][47] - A significant commercial order from Razorback Direct for PureFlow mobile units is expected to drive revenue growth in Q1 2025 [11][50] - The establishment of a joint venture in China aims to expand the company's focus within the marine market [27][29] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, particularly in the oil and gas industry, citing the successful execution of pilot programs leading to commercial orders [19][50] - The company is focused on building a strong sales pipeline in swimming pool systems and marine systems to drive revenue growth [60][61] Other Important Information - The company has implemented a cost reduction strategy, including a 10% reduction in headcount and senior management salaries [12][47] - The appointment of David Kowalczuk as the new Chief Financial and Operating Officer is expected to enhance the company's growth and profitability [34][36] Q&A Session Summary Question: Q4 revenues were towards the lower end of expectations. Was there a deterioration since the last call? - Management clarified that timing differences on key projects led to being on the lower end of guidance, but they remained within the expected range [56] Question: How will the new oil and gas PureFlow systems affect subsequent quarters? - Management indicated that while Q1 will see significant revenue from the PureFlow system, they expect contributions from other market segments in Q2 [58] Question: What is needed for a real take-off in revenues for LiqTech? - Management emphasized the importance of building a strong sales pipeline through distribution agreements and pilot programs [60] Question: Why would a customer choose LiqTech's oil and gas treatment technology over competitors? - Management highlighted that LiqTech's technology offers stable treatment and the ability for water reinjection and reuse, which competitors cannot provide [66][67] Question: What is the opportunity in the marine market following the supply approval from WinGD? - Management stated that pilot testing is underway, and they expect to recognize revenue from commercial sales by the end of Q2 [82][84]

Core Viewpoint - Fuel Tech, Inc. reported financial results for Q4 and full year 2024, indicating challenges in revenue generation primarily due to delayed project execution and lower performance in the Air Pollution Control (APC) segment, while the FUEL CHEM segment showed resilience and potential for growth in 2025 [2][3][9]. Financial Performance - Consolidated revenues for Q4 2024 were $5.3 million, down from $6.3 million in Q4 2023, mainly due to lower APC segment revenues [5]. - For the full year 2024, consolidated revenues decreased to $25.1 million from $27.1 million in 2023, driven by lower APC revenues but partially offset by an increase in FUEL CHEM revenues [9][10]. - The net loss for Q4 2024 was $(1.9) million, or $(0.06) per share, compared to a net loss of $(539,000), or $(0.02) per share, in Q4 2023 [6][10]. - The company ended 2024 with approximately $30 million in cash and investments and no long-term debt [2][11]. Segment Performance - The APC segment revenue for Q4 2024 was $1.8 million, down from $2.8 million in Q4 2023, with a gross margin decline to 35.9% from 55.0% [7]. - The FUEL CHEM segment revenue remained steady at $3.5 million, with a gross margin decline to 45.5% from 48.0% in Q4 2023 [8]. - The consolidated gross margin for Q4 2024 was 42.3%, down from 51.1% in Q4 2023, reflecting decreases in both APC and FUEL CHEM gross margins [5]. Future Outlook - The company anticipates improved performance in the FUEL CHEM segment in 2025, driven by normalized chemical program utilization and new commercial programs [3]. - Fuel Tech is pursuing new opportunities in emissions control solutions for data centers and municipal waste combustion units, driven by regulatory requirements [4][3]. - The company plans to showcase its Dissolved Gas Infusion (DGI) technology at Aquaculture 2025, with hopes of generating commercial revenues in 2025 [4]. Geographic Performance - For the year ended December 31, 2024, revenues from the United States were $17.8 million, down from $21.4 million in 2023, while foreign revenues increased to $7.3 million from $5.7 million [33].