13D Activist Fund is a mutual fund that focuses on companies invested in by shareholder activists. The fund released its Q3 2025 investor letter. The class I shared of the fund returned 8.88%, net of fees and expenses, in the quarter compared to 12.39% for the Russell 2000 Index. Overall, the fund was thrilled with its performance this quarter. However, on a relative basis, there is room for improvement. The Russell 2000 outperformed the S&P 500 by the largest margin in three years, with a return of 12.39% ...

Core Insights - Veeva Systems' international operations are crucial for understanding its financial resilience and growth potential, especially given its extensive global presence [1][2][3] Revenue Performance - The total revenue for Veeva Systems in the recent quarter reached $811.24 million, reflecting a 16% increase from the same quarter last year [4] - Revenue contributions from different regions include: - Middle East, Africa, and Latin America: $18.3 million (2.3% of total revenue), a decrease of 2.52% from expectations [5] - Europe: $238.26 million (29.4% of total revenue), exceeding expectations by 4.94% [6] - Asia Pacific: $71.14 million (8.8% of total revenue), falling short of projections by 2.77% [7] Future Projections - Analysts project Veeva to report $809 million in total revenue for the current fiscal quarter, a 12.2% increase year-over-year, with regional contributions expected to be: - Middle East, Africa, and Latin America: $18.69 million (2.3%) - Europe: $229.46 million (28.4%) - Asia Pacific: $72.63 million (9%) [8] - For the full year, total revenue is expected to reach $3.16 billion, a 14.9% increase from the previous year, with regional contributions anticipated as follows: - Middle East, Africa, and Latin America: $72.76 million (2.3%) - Europe: $906.36 million (28.7%) - Asia Pacific: $281.3 million (8.9%) [9] Market Dynamics - Veeva's reliance on international markets presents both opportunities and risks, making it essential to monitor international revenue trends for forecasting the company's prospects [10] - The company's performance in international markets is influenced by global interconnections and geopolitical factors, which are critical for analysts adjusting earnings predictions [10][11]

Core Insights - Tata Consultancy Services (TCS) is undergoing a significant strategic shift as it transitions into the capital-intensive data center business, marking one of the most consequential changes in its history [1] Company Summary - TCS is India's largest software services company, indicating its leading position in the industry [1] - The move into data centers reflects a broader trend in the technology sector towards capital-intensive operations, which may reshape TCS's business model and revenue streams [1] Industry Summary - The shift towards data centers is part of a larger industry trend where companies are investing heavily in infrastructure to support growing data demands [1] - This strategic pivot may position TCS to capitalize on increasing market opportunities in cloud computing and data management services [1]

Group 1 - In October, the total funding for startups in the MENA region reached $784.9 million, representing a year-on-year increase of 395% [1] - The UAE led the funding with $615.7 million raised through 15 transactions, followed by Saudi Arabia with $119.3 million from the same number of transactions, and Egypt with $33.3 million from 5 transactions [1] - The real estate sector was the most funded industry, securing $526 million, primarily driven by funding from Property Finder, while the software services sector followed with $60 million in funding [1]

Market Overview - The S&P BSE Sensex decreased by 0.5% to 84,317, down 420 points, while the NSE Nifty 50 fell by 0.4%, or 110 points, to 25,768 at the open [1] - By 9:51 AM, BSE Sensex was trading 350 points or 0.44% lower at 84,111, and Nifty50 dropped 111 points to 25,769 [1] - Tata Motors, Infosys, Tata Steel, ITC, Tech Mahindra, and Maruti were the main contributors to the losses, each falling between 1-3% [1] Company Performance - Tata Motors (Commercial Vehicles) shares fell over 3% after reporting a consolidated net loss of ₹867 crore for Q2, contrasting with a net profit of ₹498 crore in the same quarter last year [2] - The market reaction to the election results is expected to be temporary, with long-term trends driven by fundamentals and earnings growth [6] Institutional Investment - Foreign Institutional Investors (FIIs) sold equities worth over ₹384 crore on November 13, while Domestic Institutional Investors (DIIs) were net buyers amounting to ₹3,092 crore [8] Global Market Impact - Wall Street experienced significant declines, with the S&P 500 falling 1.66%, the Nasdaq dropping 2.29%, and the Dow Jones Industrial Average decreasing by 1.65% [9] - Gold prices retreated by 1% after reaching a three-week high, with spot gold down 1.1% at $4,151.86 per ounce [10] - Oil prices remained steady after a previous 4% drop, with Brent crude futures rising by 0.5% to $63.01 per barrel [11]

Core Insights - Castellum, Inc. achieved its first-ever quarterly GAAP net income in Q3 2025, marking a significant milestone for the company [1][5][7] - The company reported record revenue and improved operating performance, alongside a strong cash position and further debt reduction [1][4][5] Financial Performance - Q3 2025 revenue reached $14.6 million, an increase from $14.0 million in Q2 2025 and $11.6 million in Q3 2024, representing the third consecutive quarter of year-over-year organic revenue growth [2][5] - Operating profit for the quarter was $0.4 million, a turnaround from an operating loss of $(0.4) million in Q2 2025 and $(7.3) million in Q3 2024, reflecting improved cost discipline and operating leverage [3][5] - Adjusted EBITDA for the quarter was $1.1 million, excluding non-cash and one-time items [3] Cash and Debt Management - Castellum ended Q3 2025 with a record cash balance of $17.8 million, up from $14.7 million at the end of Q2 2025, demonstrating strong liquidity management [4][5] - Total debt was reduced to $2.4 million during the quarter, enhancing the company's financial flexibility [4][5] Management Commentary - The CFO highlighted the company's commitment to disciplined operating performance and cash management, which has led to its best performance and balance sheet strength to date [6] - The CEO emphasized the importance of long-term growth through strategic investments and maintaining positive cash flow, while also achieving net income this quarter [7]

Financial Data and Key Metrics Changes - Global sales for Q3 2025 were $3.3 billion, reflecting a sales growth of 5.2% compared to Q3 2024, with constant currency sales growth of 4.0% [17] - GAAP operating margin for Q3 2025 was 4.88%, a decrease of six basis points year-over-year, while non-GAAP operating margin was 7.83%, an increase of 19 basis points [18] - GAAP net income for Q3 2025 was $101 million, or $0.84 per diluted share, compared to $99 million, or $0.78 per diluted share in the prior year [19] - Non-GAAP net income for Q3 2025 was $167 million, or $1.38 per diluted share, compared to $155 million, or $1.22 per diluted share in Q3 2024 [19] Business Line Data and Key Metrics Changes - Global distribution and value-added services group sales grew by 4.8%, with U.S. dental merchandise sales increasing by 3.3% and U.S. dental equipment sales growing by 1.2% [22] - Global specialty products group sales grew by 5.9%, with strong performance in implants and biomaterials, particularly in the value segment [23] - Global technology group sales grew by 9.7%, driven by practice management software and revenue cycle management solutions [23] Market Data and Key Metrics Changes - U.S. medical distribution sales grew by 4.7%, despite lower demand for influenza vaccines and respiratory diagnostic products [22] - International dental merchandise sales grew by 6.0%, with strong performance in Brazil, Canada, Italy, Spain, and Australia [22] - International implant sales increased by high single digits, particularly in the Dutch region and Latin America [12] Company Strategy and Development Direction - The company is focused on executing the BOLD+1 strategy, aiming for over 50% of non-GAAP operating income to come from high-growth, high-margin businesses by the end of 2027 [8] - A $750 million increase in the share repurchase program was approved, with expectations to continue buybacks at a similar pace [8] - The company is rolling out a new global e-commerce platform, with a phased launch in North America expected [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning to long-term goals of high single-digit to low double-digit earnings growth, supported by ongoing value creation initiatives [6][24] - The cyber incident is now behind the company, and management is optimistic about sales momentum and market share gains [36] - The effective tax rate for Q3 2025 was 22.9%, with expectations to return to a range of 24-25% in Q4 [19] Other Important Information - The company recorded restructuring expenses of $34 million in Q3 2025, with expectations of achieving annual run-rate savings of over $100 million from the restructuring program [24] - The company generated strong operating cash flow of $174 million in Q3 2025, compared to $151 million in Q3 2024 [25] - The company celebrated its 30th anniversary since its IPO, highlighting significant growth over the years [28] Q&A Session Summary Question: Comments on future earnings growth and restructuring benefits - Management indicated that the $200 million operating income improvement from value creation initiatives is a multi-year plan, with some benefits expected in 2026 [36][38] Question: Clarification on EPS guidance and remeasurement gain - The midpoint of 2025 EPS guidance increased by $0.05, reflecting stable markets and sales momentum, with the remeasurement gain contributing $0.08 [39][40] Question: Market stability and share gains - Management noted that the market is generally stable, with some inflation, and that the company is gaining market share in distribution and specialty products [41][42] Question: Specialty products operating profit and margin dynamics - Management acknowledged that while specialty products' operating profit was up, the growth in value implants diluted margins compared to premium implants [49][50] Question: Phasing of the $200 million operating income improvement - Management stated that the $200 million is a net opportunity for operating income improvement, with some reinvestments expected [56][57]

Core Viewpoint - The software services sector experienced a significant upward movement, with notable gains in various companies, indicating a positive trend in the industry [1]. Company Performance - Foxit Software reached its daily limit up, reflecting strong investor interest and confidence in its performance [1]. - Haixia Innovation saw an increase of over 18%, showcasing robust market activity and potential growth [1]. - Other companies such as Hehe Information, Dingjie Zhizhi, Tax Friend Co., QCloud Technology, and Deepin Technology also reported notable gains, contributing to the overall positive sentiment in the software services sector [1].

Market Performance - The Sci-Tech Innovation 50 Index opened lower on October 30 and continued to adjust, ultimately closing down significantly at 1461.3 points, with a decline of 1.87% and a trading range of 2.22%, totaling a transaction volume of approximately 98.81 billion yuan [1] - The Sci-Tech Comprehensive Index also closed down by 1.38% at 1667.81 points, with a total transaction volume of 261.1 billion yuan [2] Stock Performance - Excluding the suspended stock Lingzhi Software, the remaining 591 stocks on the Sci-Tech Board mostly experienced declines, with an average drop of 1.07% and an average turnover rate of 3.49% [2] - Notable individual stock performances included World, which rose by 19.64%, and Minxin Technology, which fell by 12.62% [3] Trading Activity - The stock with the highest transaction volume was Cambrian, with 16.89 billion yuan, while ST Pava had the lowest at 802.4 thousand yuan [4] - The stock with the highest turnover rate was Xi'an Yichai at 49.36%, while Haohai Biological had the lowest at 0.25% [5]

Core Insights - Infosys raised its revenue forecast for the current fiscal year after reporting stronger-than-expected results for the July-September quarter [1] - The company is experiencing a slow revival in client spending despite facing challenges from global uncertainties and trade tensions [3][4] Financial Performance - Infosys reported a 13.19% year-on-year increase in net profit to 73.6 billion rupees ($837.7 million) for the July-September quarter, surpassing analyst expectations [4] - Revenue rose 8.5% year-on-year to 444.9 billion rupees, exceeding forecasts of 439.29 billion rupees [4] Revenue Outlook - The company now expects revenue growth of 2% to 3% on a constant-currency basis for the current financial year, up from the previous forecast of 1% to 3% [3][4] - Infosys continues to make strategic investments to ensure business resilience amid high uncertainty [5]