Core Insights - Evertz Technologies reported a quarterly revenue of $132.7 million for the second quarter ended October 31, 2025, representing an increase of $7.5 million or 6.0% compared to the same quarter last year [4][5][6] - The company declared a regular quarterly dividend of $0.205 per share and a special dividend of $1.00 per share, reflecting strong operational performance and a solid balance sheet [10][11] Financial Performance - Revenue for Q2 2026 was $132.7 million, up from $125.3 million in Q2 2025, with a gross margin of $77.8 million [2][4] - Earnings from operations increased to $25.0 million, a 17.0% rise from the previous quarter, while net earnings reached $18.6 million, up 16.9% from the prior quarter [4][6] - Fully diluted earnings per share rose to $0.24 from $0.21 in the same period last year [6][12] Regional Revenue Breakdown - Revenue from the United States/Canada region was $98.5 million, an increase of $3.7 million or 3.9% year-over-year [5][6] - International revenue was $34.2 million, up $3.8 million or 12.5% compared to the same quarter last year [4][5] Expenses and Cash Flow - Selling and administrative expenses were $19.1 million, compared to $18.4 million in the same quarter last year [6][12] - Cash used from operations was $5.0 million for the quarter, down from $9.7 million used in the same quarter last year [8][9] Liquidity and Capital Resources - As of October 31, 2025, cash and cash equivalents were $96.7 million, down from $111.7 million on April 30, 2025 [7][12] - Working capital was $205.7 million, slightly down from $206.9 million on April 30, 2025 [7][12] Shipments and Backlog - The purchase order backlog exceeded $240 million at the end of November 2025, with shipments during November totaling $46 million [9]

Core Viewpoint - Evertz Technologies Limited has received approval from the Toronto Stock Exchange to initiate a Normal Course Issuer Bid (NCIB) to repurchase up to 3,774,227 of its common shares, representing approximately 5% of its outstanding shares, due to the belief that the current market price does not reflect the company's underlying value [1][2][5]. Group 1: NCIB Details - The NCIB will allow Evertz to purchase shares from December 11, 2025, to December 10, 2026 [2]. - Evertz plans to buy shares at market price and will cancel all purchased shares [3]. - The company can buy up to 5,615 shares per day, which is about 25% of its average daily trading volume [4]. Group 2: Previous NCIB Performance - Under a previous NCIB, Evertz purchased 534,107 shares at an average price of $11.42 from November 27, 2024, to October 31, 2025 [5]. Group 3: Automatic Securities Purchase Plan (ASPP) - Evertz will implement an Automatic Securities Purchase Plan (ASPP) with an independent broker to facilitate share repurchases during blackout periods [7][8]. - The ASPP allows the broker to purchase shares at times when Evertz cannot, based on pre-established parameters [9]. - The ASPP will terminate when the purchase limit is reached or if Evertz decides to terminate it [10]. Group 4: Company Overview - Evertz Technologies Limited designs, manufactures, and markets video and audio infrastructure solutions for the television, telecommunications, and new-media industries, enabling customers to enhance revenue and reduce costs through efficient content management [13].

Core Viewpoint - Evertz Technologies Limited is set to announce its second quarter 2026 financial results on December 10, 2025, followed by a conference call for discussion with financial analysts [1][2]. Company Overview - Evertz Technologies Limited (TSX: ET) specializes in designing, manufacturing, and marketing video and audio infrastructure solutions for the television, telecommunications, and new-media industries [4]. - The company's solutions cater to content creators, broadcasters, specialty channels, and television service providers, enabling them to manage increasingly complex multi-channel digital environments, including high and ultra-high definition television (HDTV and UHD) [4]. - Evertz's products help customers generate additional revenue while reducing costs through efficient signal routing, distribution, monitoring, and management of content, as well as automation and orchestration of streamlined workflow processes both on-premise and in the cloud [4].

Core Points - Evertz Technologies Limited held its 2025 Annual General Meeting of Shareholders in Burlington, Ontario, where key decisions were made regarding the election of directors and the re-appointment of auditors [1] Group 1: Election of Directors - Seven nominees were elected as directors of the company, with the following voting results: - Romolo Magarelli received 55,945,717 votes (94% for, 6% against) [2] - Douglas A. DeBruin received 55,912,045 votes (94% for, 6% against) [2] - Christopher M. Colclough received 57,042,870 votes (96% for, 4% against) [2] - Dr. Thomas V. Pistor received 57,690,539 votes (97% for, 3% against) [2] - Don Carson received 57,701,879 votes (97% for, 3% against) [2] - Rakesh Patel received 55,960,865 votes (95% for, 5% against) [2] - Brian Piccioni received 57,934,255 votes (98% for, 2% against) [2] Group 2: Re-appointment of Auditor - The resolution to re-appoint BDO Canada LLP as the company's auditors was unanimously approved through a show of hands [3] Group 3: Company Overview - Evertz Technologies Limited specializes in designing, manufacturing, and marketing video and audio infrastructure solutions for the television, telecommunications, and new-media industries [4] - The company's solutions are utilized by content creators, broadcasters, specialty channels, and television service providers to manage complex multi-channel digital environments, including high and ultra-high definition television [4] - Evertz's products enable customers to enhance revenue while reducing costs through efficient content management and streamlined workflow processes, both on-premise and in the cloud [4]

Core Viewpoint - Evertz Technologies Limited reported a modest increase in revenue and earnings for the first quarter of fiscal year 2026, driven by growth in the US/Canada region and improved gross margins [1][3][4]. Financial Performance - Revenue for the quarter ended July 31, 2025, was $112.1 million, up from $111.6 million in the same quarter last year, representing a growth of approximately 0.4% [1][3]. - Revenue from the US/Canada region was $79.5 million, an increase of $5.5 million or 7% compared to the prior year [3][4]. - Software and services revenue accounted for $51.6 million, which is 46% of total revenue for the quarter [3]. - Gross margin was $68.8 million, with a gross margin percentage of 61.4%, up from 59.4% in the prior year [4][10]. - Earnings from operations were $15.0 million, reflecting a 19% increase from $12.6 million in the same quarter last year [3][4]. - Net earnings rose to $11.9 million, a 22% increase from $9.7 million in the corresponding period last year [4][5]. Earnings Per Share - Fully diluted earnings per share for the quarter were $0.15, compared to $0.13 in the same quarter last year [5][10]. Operating Expenses - Selling and administrative expenses increased to $18.6 million from $17.6 million in the prior year [5][11]. - Research and development expenses were slightly reduced to $37.0 million from $37.4 million year-over-year [5][11]. Liquidity and Capital Resources - As of July 31, 2025, working capital was $202.6 million, down from $206.9 million on April 30, 2025 [6]. - Cash and cash equivalents increased to $124.3 million from $111.6 million on April 30, 2025 [6][10]. - Cash generated from operations was $33.5 million, up from $22.3 million in the same quarter last year [7]. Investments and Financing Activities - The company used $0.5 million for investing activities, primarily for capital asset acquisitions [8]. - Cash used in financing activities totaled $20.2 million, mainly due to dividends paid of $15.1 million and capital stock repurchase of $3.8 million [8]. Shipments and Backlog - As of the end of August 2025, the purchase order backlog exceeded $252 million, with shipments during August amounting to $41 million [9]. Dividend Declaration - The Board of Directors declared a quarterly dividend of $0.20 per share, payable on or about September 25, 2025 [9].

Company Announcement - Evertz Technologies Limited will announce its first quarter 2026 financial results on September 10, 2025 at approximately 5:00 p.m. (EDT) [2] - A conference call with financial analysts will be held on the same day to discuss the results, and interested parties can join in listen-only mode [3] Conference Call Details - The conference call can be accessed by dialing 289-514-5100 or Toll-Free (North America) 1-800-717-1738 [3] - A rebroadcast of the call will be available until October 10, 2025, accessible at 289-819-1325 or Toll-Free 1-888 660-6264, with the pass code for the rebroadcast being 75854 [4] Company Overview - Evertz Technologies Limited designs, manufactures, and markets video and audio infrastructure solutions for the television, telecommunications, and new-media industries [5] - The company's solutions are utilized by content creators, broadcasters, specialty channels, and television service providers to support complex multi-channel digital environments, including high and ultra-high definition television (HDTV and UHD) [5] - Evertz's products enable customers to generate additional revenue while reducing costs through efficient signal routing, distribution, monitoring, and management of content, as well as automation and orchestration of streamlined workflow processes both on-premise and in the cloud [5]