Artisan Partners, an investment management company, released its “Artisan Global Discovery Fund” second-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the second quarter, the fund’s Investor Class APFDX returned 10.84%, Advisor Class APDDX posted a return of 10.83%, and Institutional Class APHDX returned 10.93%, compared to a 11.84% return for the MSCI All Country World Small Mid Index. Global markets experienced volatility in Q2, shifting from double-digit declines to gains. ...

Financial Data and Key Metrics Changes - Tucows reported a consolidated top line growth of 10% year over year in Q2 2025, with gross profit increasing by 6% and adjusted EBITDA rising by 37% to $12.6 million [6][32] - Corporate net debt decreased to $190.3 million, marking a fifth consecutive quarterly decline, with net leverage at 3.14 times and interest coverage at 3.99 times [6][36] - Year-to-date adjusted EBITDA reached $26.2 million, slightly ahead of the full year guidance of $47 million [6][36] Business Line Data and Key Metrics Changes - Tucows Domains experienced an 8% year-over-year revenue increase in Q2, with gross margin expanding by 14% and adjusted EBITDA growing by 12% [10][33] - WaveLow's revenue increased by 20.5% year over year to $12.7 million, with gross margin rising by 23.6% [16][34] - Ting's revenue grew by 12% year over year to $16.4 million, driven by an 8% increase in subscribers and small ARPU improvements [23][34] Market Data and Key Metrics Changes - The overall combined renewal rate for all TLDs across Tucows' brands was 75%, slightly declining but above the industry average [12] - The wholesale channel revenue rose by 8% year over year to $57.3 million, while retail channel revenue increased by 10% to $10.3 million [11] Company Strategy and Development Direction - Tucows is focusing on executing the Radix migration and developing hosting and billing initiatives, while pursuing new GTLD opportunities slated for 2026 [15] - The company is transitioning from building networks to a pure play ISP model, with a focus on selling non-strategic assets [26][40] - The strategy includes leveraging AI tools to improve customer acquisition costs and conversion rates [30][41] Management's Comments on Operating Environment and Future Outlook - The management noted mixed economic signals but remains prudent and conservative in their approach [38] - The US fiber market is transitioning towards execution, with increasing demand and a shift in capital strategies [41] - The company is actively evaluating strategic paths to unlock value and support long-term success [43] Other Important Information - Tucows signed a contract with Radix to provide technical services, with migration expected towards the end of the year [9][14] - The company successfully sold non-strategic assets for over $15 million in three transactions [26][36] Q&A Session Summary - No live Q&A session was held; instead, questions were invited via email, with responses to be posted on August 26 [2][3][44]