Summary of Innventure FY Conference Call (March 24, 2026) Company Overview - **Innventure** is an operating company focused on launching new companies based on technologies developed or adopted by multinationals [1][2] - The company has recently made significant progress with its subsidiaries, including **AeroFlexx** and **Refinity** [1] Key Points and Arguments AeroFlexx - **AeroFlexx** is a flexible liquid packaging solution that has achieved six consecutive quarters of revenue growth [1] - Recently announced a partnership with **Aveda**, a subsidiary of Estée Lauder, marking a significant milestone for AeroFlexx [41] - The product is designed to be curbside recyclable and uses up to 85% less virgin plastic compared to traditional rigid bottles [39] - The total addressable market (TAM) for AeroFlexx is estimated at **$400 billion**, covering various sectors including oil, pet care, and human care [42] Refinity - **Refinity** is a new recycling company that has successfully executed a pilot scale validation using real-world commercial waste [1] - The technology has a higher yield rate of **70%** compared to the typical **20%** yield in the recycling industry [45] - Refinity aims to recycle mixed plastic waste into valuable chemical precursors, which can be used for various applications [45] Business Model and Strategy - Innventure's model focuses on launching companies with a low-cost basis, often skipping several years of development and significant capital investment [6] - The company aims to maintain majority ownership and control over its subsidiaries, allowing for consolidated cash flows and focused value creation [10] - The approach mitigates early-stage risks by ensuring that technologies are unique, well-funded, and have a clear market demand before launching [3][4][5] Market Dynamics - The company is experiencing increased momentum, with over **$50 million** in bookings reported for Q1 [15] - There is a growing interest in the technology solutions offered by Innventure, as evidenced by recent acquisitions in the industry, such as Ecolab's purchase of CoolIT for over **$4 billion** [23][25] - The market for cooling solutions is expanding, with Innventure positioned to capture growth through partnerships with major players like **Johnson Controls** and **Legrand** [19][20] Future Prospects - Innventure is set to implement a **65 MW** deployment of its two-phase direct-to-chip cooling technology in Canada, with plans for a total of **300 MW** [30][31] - The company is optimistic about the scalability of its solutions and the potential for increased adoption in the market [26][36] Additional Important Information - Innventure has a strong track record, having successfully launched **PureCycle**, which went public at a valuation of **$1.2 billion** after being seeded with just under **$10 million** [13][14] - The company emphasizes the importance of strategic partnerships and knowledge transfer with multinationals to enhance its technology offerings [4][9] - There are no exclusivity clauses in the contract with Johnson Controls, allowing Innventure to explore additional partnerships [54]

Core Insights - Modine Manufacturing (MOD) is transforming its business model to focus on AI-driven data centers and thermal management solutions, essential for high-powered computing systems [1][3] Business Strategy - The company is shifting away from lower-growth, cyclical businesses and is focusing on high-growth, high-margin opportunities related to AI, including spinning off its Performance Technologies unit and merging it with Gentherm through a Reverse Morris Trust [2] Financial Performance - Modine's data center sales increased by 31% sequentially and 78% year-over-year in the third quarter of fiscal 2026, with management projecting annual growth of 50% to 70% over the next two years [3][9] Market Demand - The demand for advanced cooling systems is driven by AI workloads that require significant computing power, particularly from high-density GPUs, which generate substantial heat [4] - Customers are increasingly focused on energy and water efficiency, making Modine's solutions more valuable as AI infrastructure expands [5] Capacity Expansion - Modine is expanding its production capabilities with multiple new lines across the U.S., targeting a total of approximately 20 chiller lines by early fiscal 2028, representing a 125% cumulative capacity expansion over two years [6][7] Competitive Landscape - In the AI-driven data center cooling market, Modine competes with established players like Vertiv Holdings and Johnson Controls, with Vertiv offering integrated solutions tailored for high-density data centers [8][10] Investor Outlook - Modine is positioning itself as a focused supplier of mission-critical cooling systems for AI infrastructure, benefiting from the ongoing AI buildout [11] - The company's shares have gained 32% over the past six months, outperforming the industry [14]

Core Viewpoint - The 2026 Future Industry New Materials Expo (FINE 2026) will be held from June 10-12 at the Shanghai New International Expo Center, showcasing innovations in new materials and leading the global development in this sector [2][8]. Group 1: Event Overview - FINE 2026 has over 500 companies registered to exhibit, with a booth reservation rate of 70% [2]. - The expo will feature over 30 cutting-edge thematic forums and expects to attract more than 70,000 professional visitors [8][29]. - The total exhibition area is projected to be 50,000 square meters, with over 800 exhibitors and 300 reports scheduled [8]. Group 2: Thematic Exhibitions - Seven thematic exhibition areas will be set up, focusing on advanced semiconductors, advanced batteries and energy materials, AI chip and power device thermal management, lightweight and sustainable materials, and future intelligent terminals [11][18][20]. - The advanced semiconductor exhibition will highlight third and fourth-generation semiconductors, including diamond, silicon carbide, and gallium nitride [11]. - The advanced battery and energy materials exhibition will focus on solid-state batteries, sodium batteries, and supercapacitors, targeting emerging fields like robotics and smart vehicles [15]. Group 3: Forums and Reports - FINE 2026 will host over 30 specialized vertical forums covering topics such as intelligent computing, low-altitude economy, aerospace, and AI consumer electronics [23]. - Key forums will include discussions on future industry innovation, AI chip thermal management, and advanced battery technologies [24][25]. - The event aims to share insights on technological innovation, industry trends, and investment strategies [23].

Core Viewpoint - The article discusses the upcoming "5th Advanced Thermal Management Technology Summit and AI and AI Intelligent Agent Developer Forum" scheduled for March 23-24, 2026, in Shanghai, China, focusing on opportunities and challenges in thermal management technology across various sectors, including AI servers, automotive electronics, humanoid robots, and high-performance chips [3][4]. Group 1: Event Overview - The summit will feature over 70 speakers and 600 industry experts, covering key topics such as AI server data centers, automotive electronics, humanoid robots, and smart terminals [4]. - The event will include a main conference and four specialized sessions, focusing on high-performance and high-power chip thermal management technology [4]. Group 2: Key Topics and Technologies - Key technologies discussed will include AI and AI intelligent agents, AI server data centers, smart terminals, humanoid robots, high-performance and high-power chips, high thermal conductivity materials, and microchannel cooling technology [4]. - Specific sessions will address liquid cooling technologies, embedded microfluidic cooling, and thermal management solutions for AI computing infrastructure [5][6]. Group 3: Participating Companies and Presentations - Notable companies participating include ZTE Corporation, Lenovo, and Ansys, presenting on topics such as high-power liquid cooling technology and thermal simulation solutions [5][15]. - Various universities and research institutions, including Peking University and Xiamen University, will also present their findings on advanced thermal management technologies [6][17]. Group 4: Industry Challenges and Innovations - The summit will explore challenges in thermal management for electric vehicle motor controllers and the principles of automotive thermal management design [8][23]. - Innovations in thermal management for humanoid robots will be discussed, focusing on key difficulties such as high power density and dynamic coupling effects [7][22].

Core Insights - Blackstone Energy Transition Partners has entered into a definitive agreement to acquire a majority stake in Advanced Cooling Technologies, Inc. (ACT), a leading U.S. manufacturer of thermal management and energy efficiency solutions [1][1][1] Company Overview - Advanced Cooling Technologies, Inc. was founded in 2003 and is headquartered in Pennsylvania, specializing in thermal management solutions for advanced computing and mission-critical applications [1][1] - ACT's product portfolio includes two-phase liquid cooling, heat pipes, phase change materials, cold plates, environmental control units, and composite thermal and structural systems [1][1] Investment Rationale - Blackstone's investment aims to enhance ACT's service level while adding capacity and capabilities to meet increasing customer demand [1][1] - The investment is positioned to capitalize on the growing importance of thermal management due to rising power intensity and advancements in AI technology [1][1] Management and Future Plans - ACT's executive team will remain in place and continue as significant shareholders, ensuring continuity in leadership [1][1] - The CEO of ACT expressed excitement about the partnership with Blackstone, emphasizing a commitment to innovation, teamwork, and customer care [1][1] Market Context - The transaction is expected to close in the second quarter of 2026, subject to customary conditions [1][1] - Blackstone Energy Transition Partners has a successful long-term record, having committed over $27 billion of equity globally across various sectors within the energy industry [1][1]

Core Viewpoint - Suzhou Moli Electronics has demonstrated impressive performance in 2025, with significant growth in revenue and net profit, driven by advancements in thermal management technology for high-power semiconductor chips and increasing demand from emerging industries such as AI and renewable energy [2][3]. Financial Performance - In 2025, Suzhou Moli Electronics achieved a revenue of 260.01 million yuan, representing a year-on-year increase of 57.31% - The net profit attributable to shareholders reached 36.83 million yuan, a staggering increase of 211.59% compared to the previous year, highlighting the company's robust growth momentum and improving profitability [2]. Technological Advancements - The company focuses on thermal management products for high-power semiconductor chips, addressing challenges related to high heat flux density in miniaturized and highly integrated devices - Suzhou Moli Electronics has developed a dual product system comprising "chip-level thermal management components" and "system-level thermal management solutions," with applications in cutting-edge fields such as electric vehicles, AI data centers, high-end medical equipment, semiconductor testing, and intelligent robotics [3]. Industry Leadership - The company's liquid cooling technology is leading in multiple sectors, successfully breaking the technological monopoly of foreign manufacturers - In the ultra-high voltage sector, it has achieved domestic substitution with its press-fit IGCT liquid cooling components - In semiconductor testing, it became the first domestic manufacturer to mass-produce liquid cooling test boards for storage chips, gaining recognition from major foreign companies [5]. Research and Development - Suzhou Moli Electronics has made significant strides in R&D, with notable patent achievements, including a composite cold plate patent and a cooling system control method for data center boards - The company emphasizes elevating thermal management technology from component thinking to system engineering, optimizing product performance and reliability through simulation and experimental feedback [5]. Capital Market Strategy - The company has officially initiated the listing process on the Beijing Stock Exchange, signing a listing guidance agreement with Guojin Securities and submitting the necessary documentation - This move is expected to empower the company through capital markets, enabling further capacity expansion and deepening technological R&D to solidify its industry-leading position [6].

Core Viewpoint - The rapid growth in sectors such as electric vehicles, data centers, and energy storage systems highlights the critical role of water cooling plates (liquid cooling plates) in determining equipment stability and lifespan. The design of flow channel structures in liquid cooling units significantly impacts the thermal performance of battery modules, with well-designed units enhancing thermal uniformity. The manufacturing process of water cooling plates is influenced by material selection, flow channel design, pressure resistance, and cost efficiency [2]. Group 1: Material Selection and Preprocessing - Aluminum alloy is the primary material for power battery water cooling plates due to its balanced properties of thermal conductivity, lightweight, strength, processability, and cost, with 3003 aluminum alloy being widely used for its good overall performance [5]. - Copper alloy, specifically purple copper (thermal conductivity of 401 W/m.K), is used in high-power scenarios (e.g., 800V high-voltage platforms) but requires nickel plating or anodizing to address corrosion issues [5]. - Composite materials are utilized when higher strength is required, typically in a three-layer structure: core material + brazing layer + sacrificial layer [5]. - Surface degreasing is performed using ultrasonic cleaning (frequency 28-80 kHz) to remove oil and ensure effective subsequent welding or passivation [5]. - Passivation treatment involves forming a nano-level protective film on the surface using chromate or non-chromate passivation solutions, achieving over 1000 hours in salt spray tests [5]. Group 2: Manufacturing Processes - Stamping forming is a core process for mass production, utilizing a servo press to achieve 60 strokes per minute with a flow channel depth tolerance of ±0.05mm, suitable for medium and small cooling plates with over 70% material utilization [6]. - Hydraulic forming is recognized for its ability to create complex flow channels, while extrusion forming offers a low-cost standardized solution by extruding aluminum profiles with pre-formed flow channels [10][11]. - 3D printing represents a breakthrough in structural innovation, allowing for the creation of intricate designs that enhance cooling efficiency [14]. Group 3: Flow Channel Processing - The embedded pipe process involves milling grooves in aluminum substrates and inserting copper pipes, suitable for shallow embedded cooling plates [17]. - Advances in technology include the use of Direct Metal Laser Sintering (DMLS) to manufacture seamless cooling plates, achieving over 6 bar pressure resistance [18]. - Innovative designs, such as oblique fins, have been implemented to improve heat dissipation efficiency by 20% in specific applications [18]. Group 4: Welding Processes - Vacuum brazing is the preferred choice for large-scale production, allowing for complex flow designs and achieving over 30% improvement in heat dissipation efficiency [23]. - Friction Stir Welding (FSW) offers high-strength connections with excellent fatigue resistance, although it has limitations in equipment customization costs and welding speed [26]. - The combination of stamping and brazing processes provides an optimal cost-performance ratio, supporting complex flow channel designs [30]. Group 5: Surface Treatment and Quality Control - Anodizing enhances corrosion resistance by generating a 5-20μm oxide film, improving durability by 10 times [35]. - Helium mass spectrometry leak detection is utilized for battery cooling plates, achieving a leak rate of ≤0.1 sccm [36]. - Internal quality checks include ultrasonic C-SAM detection to identify brazing defects and coordinate measuring machines to verify flow channel dimensions [40]. Group 6: Comparison of Typical Manufacturers' Processes - CATL employs a combination of hydraulic forming, vacuum brazing, and helium testing, achieving a 35% reduction in costs for battery pack cooling plates [37]. - BYD utilizes stamping forming, direct cooling technology, and AI visual inspection, enhancing processing efficiency by 40% [39]. - Tesla integrates 3D printing, biomimetic flow channels, and ultrasonic welding, leading the industry in structural innovation by 2 years [39]. - Valeo combines extrusion forming, biomimetic flow channels, and FSW, resulting in a 20% improvement in cooling efficiency for high-end vehicle cooling plates [42].

Core Insights - Investors should focus on companies that deliver strong returns after considering both operating and non-operating expenses, making profitable businesses more appealing than those with losses [1] - The net income ratio is a key measure of profitability, reflecting the percentage of net income relative to total sales revenues, indicating a company's effectiveness in managing expenses [3] Company Highlights - Micron Technology, Inc. (MU) has a net profit margin of 28.2% and an expected earnings growth rate of 307.5% for the current year, making it a top pick for profitability [6][8] - Ralph Lauren Corporation (RL) has a net profit margin of 11.7% with an expected earnings growth rate of 30.5% for the current year, positioning it as a strong candidate for investment [7][8] - Modine Manufacturing Company (MOD) has a net profit margin of 3.4% and an expected earnings growth rate of 18.8% for the current year, also qualifying as a profitable investment option [9][8] Screening Criteria - The screening process identified stocks with a Zacks Rank of 1 (Strong Buy), indicating a history of outperformance regardless of market conditions [4] - Companies with trailing 12-month sales and net income growth higher than their industry are likely to perform well, alongside those with a net income ratio exceeding their industry average [5] - A strong buy percentage rating greater than 70% indicates that a significant majority of broker recommendations favor these stocks [5]

Core Insights - Johnson Controls is acquiring Alloy Enterprises to enhance its thermal management portfolio for data centers and mission-critical industrial applications [6] - The acquisition aligns with Johnson Controls' strategy to expand its presence in data centers and life sciences through advanced cooling solutions [3][5] Company Developments - Alloy Enterprises' platform offers direct liquid-cooling components that improve thermal management efficiency by up to 35%, allowing for faster and more effective heat removal [6] - The acquisition is expected to enable Johnson Controls to optimize the overall thermal management architecture of data centers, addressing the increasing compute demands [6] Industry Trends - The rise of multistory data centers and AI factories is increasing the density of white space by up to 10 times, necessitating higher density thermal management solutions [4] - There is a strong demand for differentiated cooling solutions in the data center market, reflecting both existing customer needs and new customer acquisition [4]

Core Viewpoint - The "AI Chip and Power Device Thermal Management Conference and Exhibition" will focus on the engineering challenges of thermal management in high heat flux density scenarios, driven by advancements in AI, electric vehicles, and energy storage systems [3]. Group 1: Event Overview - The event will take place from June 10-12, 2026, at the Shanghai New International Expo Center, covering an area of 50,000 square meters and expecting over 100,000 attendees [5]. - The conference will include over 300 strategic and cutting-edge technology reports, showcasing innovations in AI, intelligent computing, low-altitude economy, aerospace, smart vehicles, and more [18][21]. Group 2: Key Topics and Discussions - Key topics will include high-performance thermal interface materials, diamond and silicon carbide composites, thermal ceramics, and advanced cooling technologies [8]. - Specialized forums will address liquid cooling solutions for data centers, thermal management for power batteries, and energy storage systems [9]. Group 3: Exhibition Highlights - The exhibition will feature five main themes: data center liquid cooling, energy storage and power semiconductor liquid cooling, liquid cooling materials and components, and manufacturing and processing equipment [10]. - Various cooling solutions will be presented, including AI data center systems, power semiconductor modules, and robotics joint modules [10]. Group 4: Organizers and Support - The event is organized by DT New Materials and supported by various associations and institutions, including the China Productivity Promotion Center and the Harbin Institute of Technology Alumni Association [6]. - Media promotion will involve multiple platforms, ensuring broad outreach and engagement [6]. Group 5: Registration and Participation - Early bird registration fees are set at ¥2200 for attendees and ¥1200 for students, with standard fees increasing to ¥3000 and ¥1500 respectively [12]. - The event aims to create a one-stop platform for collaboration, communication, and procurement in the new materials sector [18].