Toll Brothers (NYSE:TOL) Q1 2026 Earnings call February 18, 2026 08:30 AM ET Company ParticipantsDouglas Yearley - CEOGregg Ziegler - CFOJames McCanless - equity research analystKarl Mistry - Executive Vice PresidentRanda Shaw - Equity Research AssociateNone - Company RepresentativeConference Call ParticipantsAlan Ratner - Equity Research AnalystAlex Barron - Equity Research AnalystChris Dendrinos - Vice President and Equity Research AnalystJohn Lovallo - Equity Research AnalystMichael Rehaut - Equity Resea ...

Charles River Laboratories (NYSE:CRL) Q4 2025 Earnings call February 18, 2026 08:30 AM ET Company ParticipantsBirgit Girshick - EVP and COOCasey Woodring - VP, Equity ResearchDave Windley - Managing DirectorElizabeth Anderson - Senior Managing DirectorEric Coldwell - Managing DirectorJames Foster - Chair, President and CEOLuke Sergott - Director - Healthcare Equity ResearchMichael Knell - VP and Chief Financial OfficerMichael Ryskin - Managing DirectorTodd Spencer - VP of Investor RelationsConference Call P ...

Financial Data and Key Metrics Changes - Ternium's EBITDA margin reached 10% in 2025, supported by a cost reduction program that generated $250 million in savings compared to 2024 [4] - Net income for the fourth quarter totaled $171 million, impacted by one-time charges related to an impairment in one of its mining operations [13][14] - Cash generated by operations reached $2.3 billion in 2025, allowing the company to finance capital expenditures [18] Business Line Data and Key Metrics Changes - The steel segment experienced a decline in shipments due to weaker volumes in the US and Brazil, but higher volumes in Mexico partially offset this decline [15] - Mining cash operating income increased sequentially, driven by stronger shipments and higher realized iron ore prices [16] Market Data and Key Metrics Changes - Apparent consumption of steel in Mexico decreased by 10% in 2025, with flat products consumption down 14% compared to 2024 [23] - The Mexican government raised import tariffs on steel from 25% to 35%, aiming to protect local producers [5][9] Company Strategy and Development Direction - Ternium is focusing on enhancing operational efficiency and reducing costs while expanding its footprint in Mexico with new facilities [8][11] - The company is optimistic about profitability improvements in 2026, driven by cost reductions and favorable trade policies [10] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of ongoing trade negotiations in North America and expressed confidence in reaching a mutually beneficial agreement [10][11] - The company is cautious about the timing of the USMCA renewal, projecting it may not significantly impact 2026 but could be more relevant in 2027 [24][25] Other Important Information - Ternium secured a $1.25 billion loan through a green financing facility to support its new projects, which received several awards for sustainability [8][9] - The company proposed an annual dividend of $2.7 per ADS for fiscal year 2025, maintaining the same level as 2024, reflecting confidence in future prospects [18] Q&A Session Summary Question: Outlook for the Mexican market and demand recovery - Management noted that demand in Mexico was significantly low in 2025, with expectations for a 4% market growth in 2026, driven by local steel mills gaining market share [23][24] Question: Impact of anti-dumping measures in Brazil - Management indicated that the impact of anti-dumping measures would be gradual, with expectations for a moderate increase in domestic prices [22][26] Question: Ternium's plan if USMCA is not renewed - Management stated that they operated in 2025 without a renewed USMCA and would continue to adapt to the environment, focusing on market share gains [30][34] Question: Volume expectations for 2026 - Management expects volume increases in Mexico, with a recovery in Argentina anticipated in the second half of the year, while Brazil is expected to maintain healthy volume levels [35][36] Question: Margin potential without USMCA changes - Management expressed that they expect to enhance margins in 2026, aiming for a return to the 15%-20% range, but acknowledged that this would depend on market conditions [40][44] Question: Capital allocation priorities - Management confirmed that both increasing dividends and exploring growth opportunities in key markets are priorities, with no immediate plans for share buybacks [87]

LCI Industries (NYSE:LCII) Q4 2025 Earnings call February 18, 2026 08:30 AM ET Company ParticipantsDaniel Moore - Partner and Director of ResearchJason Lippert - President and CEOKevin Condon - Vice President and Senior Equity Research AssociateLillian Etzkorn - CFOConference Call ParticipantsBrandon Roll`e - Managing Director and Senior Equity Research AnalystBret Jordan - Managing Director and Senior Equity Research AnalystJoe Altobello - Managing Director and Senior Equity Research AnalystMike Albanese - ...

Financial Data and Key Metrics Changes - In Q4 2025, net sales were $631 million, a decrease of 5.7% compared to Q4 2024, excluding the divestiture of European operations [24] - For the full year 2025, net sales were $2.4 billion, a 4.8% decline compared to 2024, also excluding the European divestiture [24] - Adjusted EBITDA for Q4 2025 was $55 million, down from $63 million in Q4 2024, while full-year adjusted EBITDA was $196 million, compared to $224 million in 2024 [26] - Adjusted diluted earnings per share for Q4 2025 was $0.36, consistent with Q4 2024, while full-year adjusted diluted earnings per share increased by 19% to $1.01 [26] Business Line Data and Key Metrics Changes - Targeted print categories, including direct mail and packaging, experienced net sales growth, while traditional print product lines like magazines and catalogs saw declines [4][25] - The QuadMed employer-sponsored healthcare business also showed revenue increases, offsetting declines in logistics and agency sales [25] Market Data and Key Metrics Changes - The company reported a significant increase in co-mail volumes by over 50%, enhancing carrier route density levels and achieving postal savings [57] - The postal service is expected to implement a mid-year rate increase of 6%-8%, which could impact marketing spend [80] Company Strategy and Development Direction - The company is focused on revenue diversification and has made targeted investments in artificial intelligence to drive efficiency and effectiveness in marketing solutions [4][19] - Quad aims to return to net sales growth by 2028, with a strategic emphasis on integrated marketing solutions and targeted print offerings [4][42] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the operating environment, noting increased confidence among clients and a potential for reinvestment [75] - The company is closely monitoring inflationary pressures and postal rate increases, which could affect marketing spend [40] Other Important Information - The company increased its quarterly dividend by 33% to $0.10 per share, reflecting a commitment to shareholder returns [5][31] - A significant transition in the manufacturing network was announced, with the closure of a plant in Thomaston, Georgia, expected to be completed by early March [22] Q&A Session Summary Question: Insights on direct mail performance and future trends - Management clarified the distinction between direct mail as a product and the direct marketing agency, emphasizing the importance of personalized, data-driven approaches to enhance response rates [47][48] Question: Impact of postal rate increases on catalogs - Management noted that while catalogs have been responsive, the significant increases in postal rates have led to further declines in catalog usage, particularly in prospecting mailings [56] Question: Updates on In-Store Connect and future deployments - Management indicated that there has been an acceleration in conversations and opportunities regarding In-Store Connect, with plans for further rollouts [60] Question: Factors influencing 2026 sales and Adjusted EBITDA guidance - Management highlighted that postal impacts and the momentum in targeted print categories will influence the sales trend, with expectations for improved margins as the revenue mix evolves [66][67] Question: Capital allocation strategy moving forward - Management confirmed a balanced approach to capital allocation, focusing on shareholder returns, potential tuck-in acquisitions, and growth investments [68][69]

Element Solutions (NYSE:ESI) Q4 2025 Earnings call February 18, 2026 08:30 AM ET Company ParticipantsBen Gliklich - CEOBhavesh Lodaya - US Chemicals Equity ResearchCarey Dorman - CFOFrank Mitsch - PresidentJosh Spector - Director of Equity ResearchVarun Gokarn - VP of Strategy and IntegrationConference Call ParticipantsAleksey Yefremov - Managing Director and Equity Research AnalystChris Parkinson - Managing Director and Senior Research AnalystDuffy Fischer - Chemicals Equity Research AnalystJohn Roberts - ...

Financial Data and Key Metrics Changes - Revenue for 2025 grew by 10%, accelerating from 8% in 2024 [4] - Adjusted EBITDA reached $92 million, up 23% year-over-year, with a margin of 21% [4] - Fourth quarter revenue was $107.2 million, up 3% year-over-year, with record adjusted EBITDA of $26.5 million and an adjusted EBITDA margin of 25% [15][16] - Free cash flow in Q4 2025 was $21.8 million [16] - For 2026, revenue is expected to be in the range of $380 million to $420 million, representing year-over-year growth of -12% to -3% [19][21] Business Line Data and Key Metrics Changes - Marketplace revenue in Q4 was $71.5 million, driven by 3.1 million active buyers and a spend per buyer of $342 [16] - Services revenue in Q4 was $35.6 million, representing year-over-year growth of 18% and accounting for 33% of total revenue [18] - GMV from transactions over $1,000 grew 22.8% year-over-year in Q4 [17] Market Data and Key Metrics Changes - The company is experiencing a shift in marketplace dynamics, with a decline in low-end transactions and an increase in high-value work [17][36] - Projects over $1,000 currently represent less than 15% of marketplace GMV but are growing at a rate of 23% year-over-year [8] Company Strategy and Development Direction - The company is transforming from a transaction-oriented marketplace to a trusted work platform, focusing on high-value, complex projects [5][10] - A multi-year execution plan is being developed around four pillars: matching, product, go-to-market, and operational excellence [11] - The company aims to prioritize high-value work and AI-native use cases, with a focus on building partnerships and expanding into enterprise channels [9][28] Management's Comments on Operating Environment and Future Outlook - Management believes that AI is reshaping access to talent and expanding project ambition, leading to increased demand for higher-value specialized work [7][12] - The company expects 2026 to be a transformational year, with significant investments in data infrastructure and product experience [11][19] - Management anticipates elevated volatility in marketplace revenue as the company deprioritizes low-end transactions [17] Other Important Information - The company has initiated a restructuring to accelerate its transformation and has appointed new leadership roles to support this transition [13][14] - The company maintains a disciplined capital allocation strategy, with $67.5 million remaining on its buyback authorization [19][73] Q&A Session Summary Question: Insights on execution plan around matching product and capital allocation - The company is deprioritizing low-end transactions to focus on high-end projects, which currently contribute less than 15% of revenues [26] - The balance sheet has approximately $300 million in cash, with a disciplined approach to M&A [30] Question: Financial implications of deprioritizing lower-end market - The deprioritization is aimed at directing resources towards high-end segments, which have shown significant growth [35][36] Question: Margin profile expectations post-transformation - Short-term EBITDA margins may see pressure due to increased investments, but long-term margins are expected to return to around 25% [41] Question: Revenue expectations for 2026 - Revenue is expected to decline in the second half of the year due to ongoing trends in the marketplace [60] Question: Free cash flow expectations for 2026 - Free cash flow is expected to follow EBITDA trends, with a midpoint EBITDA margin of 18% [68] Question: Building marketplace for recurring work - The company is upgrading data infrastructure and matching algorithms to optimize for recurring work [72] Question: Disconnect between new business formations and company performance - New business formations impact only a small part of the catalog focused on early-stage companies [77]

Financial Data and Key Metrics Changes - Genco Shipping reported a net income of $15.4 million for Q4 2025, translating to 35 cents per share, with adjusted net income at $17.3 million or 40 cents per share, excluding certain expenses [18] - Adjusted EBITDA for Q4 reached $42 million, a 94% increase compared to Q3, contributing to a full-year total of $85.9 million for 2025 [18] - The company ended 2025 with cash and debt positions of $55.5 million and $200 million, respectively, and had $400 million in undrawn revolver availability [18] Business Line Data and Key Metrics Changes - Genco declared its 26th consecutive dividend, marking an annualized yield of 9% on the current share price, the highest level since Q4 2022 [7] - The company achieved its highest levels of EBITDA and Time Charter Equivalent (TCE) for the year at $42 million and $20,064 per day, respectively [7][8] - The estimated Q1 2026 TCE is projected to be approximately $18,000 per day, over 50% higher than Q1 2025 levels [9] Market Data and Key Metrics Changes - The dry bulk freight rate environment improved significantly in the second half of 2025, with the Baltic Capesize Index averaging nearly $29,000 per day in Q4 [24] - China's iron ore imports rose by 7% year-over-year in Q4, contributing to a strong demand for dry bulk shipping [24] - Brazilian iron ore shipments increased by 26% in the second half of 2025 compared to the first half, indicating robust supply growth [25] Company Strategy and Development Direction - Genco's comprehensive value strategy focuses on dividends, financial deleveraging, and opportunistic fleet growth, with notable success in achieving these objectives over the past five years [5][6] - The company plans to continue capital allocation towards dividends and fleet modernization, cycling out older vessels for more fuel-efficient ships [36] - Genco aims to maintain a balanced fleet composition, with a focus on high-specification, premium-earning vessels, particularly in the Capesize sector [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's performance and future prospects, highlighting a strong balance sheet and significant operating leverage [28] - The company anticipates a higher dividend in Q1 2026 compared to the previous year, supported by strong cash flow and TCE levels [9][21] - Management noted that the current market conditions are favorable, with low supply growth and increasing demand expected to drive future earnings [25][27] Other Important Information - Genco has invested $347 million in modern vessels and distributed $270 million in dividends since the implementation of its value strategy [6] - The company has a low cash flow breakeven rate of under $10,000 per day, providing a competitive advantage in various market conditions [20] - Genco's corporate governance practices are highlighted as a differentiator, with a diverse and independent board and no related party transactions [16][17] Q&A Session Summary Question: Strategic outlook for Genco considering asset values - Management indicated that capital allocation will prioritize dividends and fleet modernization, with a focus on replacing older vessels with modern, fuel-efficient ships [36] Question: Insights on term charter markets and deployment of ships - Management noted that there has not been as much liquidity in the dry bulk time charter market, with owners hesitant to lock in rates due to positive market sentiment [40] Question: Activity of Chinese buyers in the S&P market - Management confirmed that Chinese buyers remain active, particularly in acquiring older assets, which reflects confidence in the market [57] Question: Impact of geopolitical disruptions on dry bulk shipping - Management stated that a resolution to the Russia-Ukraine situation could lead to increased grain shipments, which would be beneficial for dry bulk shipping [60] Question: Operating costs and chartered-in fleet strategy - Management emphasized a focus on larger ships for growth and noted that chartering-in is opportunistic, with no plans for speculative long-term charters [70]

Financial Data and Key Metrics Changes - Genco Shipping recorded a net income of $15.4 million or $0.35 per share for Q4 2025, with adjusted net income at $17.3 million or $0.40 per share, excluding certain expenses [18] - Adjusted EBITDA for Q4 totaled $42 million, a 94% increase compared to Q3 2025, bringing the full year 2025 total to $85.9 million [18] - The company ended Q4 2025 with cash of $55.5 million and debt of $200 million, with an undrawn revolver availability of $400 million [18] Business Line Data and Key Metrics Changes - Genco declared its 26th consecutive dividend, representing an annualized yield of 9% on the current share price, marking the highest dividend level since Q4 2022 [7] - The company generated the highest levels of EBITDA and TCE for the year at $42 million and $20,064 per day, respectively [7][8] - Estimated Q1 2026 TCE is approximately $18,000 per day for 80% of the quarter, which is over 50% higher than Q1 2025 levels [9][22] Market Data and Key Metrics Changes - The dry bulk freight rate environment improved significantly in the second half of 2025, with the Baltic Capesize Index averaging nearly $29,000 per day in Q4 [24] - China's iron ore imports rose by 7% year-over-year in Q4, contributing to the strong demand for dry bulk shipping [24] - Brazilian iron ore shipments increased by 26% in the second half of 2025 compared to the first half, indicating a positive trend for the Capesize sector [25] Company Strategy and Development Direction - Genco's comprehensive value strategy focuses on dividends, financial deleveraging, and opportunistic fleet growth, with notable success in achieving these objectives over the past five years [5][6] - The company aims to transform into a low-leverage, high-dividend entity while maintaining flexibility for fleet growth [5] - Genco plans to continue capital allocation towards dividends and fleet renewal, cycling out older vessels for more modern, fuel-efficient ships [36] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's performance and future prospects, highlighting a strong balance sheet and significant operating leverage [28] - The company anticipates a higher dividend in Q1 2026 compared to the previous year, supported by strong TCE levels and a favorable market environment [9][21] - Management noted that the current market conditions provide a solid foundation for a positive outlook in the dry bulk sector, despite potential volatility [27] Other Important Information - Genco has invested $347 million in high-quality vessels and distributed $270 million in dividends since the implementation of its value strategy [6] - The company has a low cash flow breakeven rate of under $10,000 per day, which is a key differentiator compared to peers [10][20] - Genco's corporate governance practices are highlighted as a core part of its identity, with a diverse and independent board and no related party transactions [16][17] Q&A Session Summary Question: Strategic outlook for Genco considering asset values - Management emphasized that dividends and the value strategy remain top priorities, with plans to cycle out older vessels and invest in modern ships as asset values rise [36] Question: Insights on term charter markets - Management noted that there has not been as much liquidity in the dry bulk TC market compared to tankers, with owners hesitant to lock in rates due to optimistic market conditions [40] Question: Activity of Chinese buyers in the S&P market - Management confirmed that Chinese buyers remain active, particularly in acquiring older assets, which reflects confidence in the market's future [57] Question: Impact of geopolitical disruptions on dry bulk shipping - Management indicated that a resolution to the Russia-Ukraine situation could positively impact grain and iron ore shipments, while disruptions in the Red Sea have minimal effect on dry bulk operations [60] Question: Operating costs and chartered-in fleet strategy - Management acknowledged operating cost inflation but emphasized a focus on maintaining low break-even costs and being opportunistic with chartered-in vessels [71]

The Vita Coco Company (NasdaqGS:COCO) Q4 2025 Earnings call February 18, 2026 08:30 AM ET Company ParticipantsCorey Baker - CFOJohn Mills - Managing PartnerMartin Roper - CEOMike Kirban - Executive ChairmanConference Call ParticipantsEric Des Lauriers - Senior Research AnalystJim Salera - Research AnalystLuke Maloney - Equity Research AnalystOperatorHello, and welcome to the Vita Coco Company's fourth quarter and full year 2025 earnings conference call. My name is Liz. I'll be coordinating your call today. ...