Financial Data and Key Metrics Changes - Total revenues for Q4 2025 grew 2% to $184.2 million compared to $180.5 million in Q4 2024, with communication service revenues increasing 3% [16] - Operating income for Q4 2025 was $15.7 million, up from $8.7 million in the same period last year, reflecting cost management efforts [17] - Adjusted EBITDA for Q4 2025 increased 8% to $50 million from $46.2 million in Q4 2024, while full-year Adjusted EBITDA rose 3% to $190 million [18] Business Segment Performance Changes - International segment revenues increased nearly 3% to $97.3 million in Q4 2025, with full-year revenue up 1% to $381.9 million [19] - Domestic segment revenues increased 1% to $86.9 million in Q4 2025, but full-year revenue declined just under 2% to $346.1 million [20] - Adjusted EBITDA for the international segment increased 1% to $32.7 million in Q4 2025, while domestic segment Adjusted EBITDA increased 11% to $21.6 million in Q4 2025 [19][20] Market Data and Key Metrics Changes - The number of homes passed by high-speed broadband increased 25% over the past year, primarily due to fiber-fed fixed wireless solutions deployed in Alaska [9] - The company received provisional BEAD awards totaling over $150 million in key markets, expanding opportunities for high-speed broadband in underserved communities [10] Company Strategy and Industry Competition - The company is focused on mobility, high-speed data, and differentiated carrier and enterprise solutions, with a strategic shift away from legacy subsidized consumer offerings [5][8] - The pending sale of the Southwest U.S. tower portfolio for up to $297 million is expected to enhance financial flexibility and support long-term growth plans [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's progress and ability to generate long-term value for shareholders, emphasizing a disciplined approach to capital allocation [12][28] - The 2026 outlook anticipates Adjusted EBITDA to increase modestly from 2025 levels, despite headwinds from the conclusion of high-cost funding support [24][25] Other Important Information - Total cash equivalent and restricted cash increased to $117.2 million at year-end 2025, while total debt rose to $565.2 million [21] - Capital expenditures for 2025 were $90 million, reflecting a commitment to maintaining normalized levels of CapEx [22] Q&A Session Summary Question: How might the sale of the tower assets impact the business model in the US? - Management stated that the business model remains unchanged, continuing to provide carrier managed services on third-party towers [30] Question: Are legacy services nearing a point where they stop detracting from overall growth? - Management indicated that reductions in broadband subscribers are due to shutting down legacy services, with expectations for growth in high-speed data subscribers driven by BEAD outcomes [31][33] Question: What changes have been made in the go-to-market strategy to accelerate service growth? - Management highlighted investments in fiber facilities and a new leadership team in Alaska, aiming to enhance customer interaction and improve subscriber acquisition [34]

Financial Data and Key Metrics Changes - For the full year 2025, the company reported revenue of $884.2 million and adjusted EBITDA of $168.2 million, despite a challenging macroeconomic environment with sustained high interest rates [5][6] - In Q4 2025, consolidated revenue was $226.3 million, a decline of 1.9% compared to the prior year quarter, with the self-storage business down 0.4% and new construction down 8.1% [15][16] - Adjusted EBITDA for Q4 was $37.2 million, up 7.5% year-over-year, resulting in an adjusted EBITDA margin of 16.4%, an increase of approximately 140 basis points from the prior year [17][18] Business Line Data and Key Metrics Changes - The self-storage segment saw a revenue decline of 0.4% in Q4, while R3 revenue increased by 12.7%, driven by door replacement and renovation activity [15][16] - The international segment's revenue increased to $26 million, up 33.3% year-over-year, attributed to growth in new construction and market share gains [16] - The commercial and other segment experienced a revenue decrease of 5%, primarily due to softness in demand for commercial sheet doors, although rolling steel and TMC showed strength [16] Market Data and Key Metrics Changes - The company anticipates continued constraints in the North American market, particularly in new construction, for 2026, with organic self-storage revenue expected to decline mid-single digits [20][21] - The international market is expected to see high single-digit revenue growth in 2026, reflecting positive foreign exchange rates and market share gains [20] Company Strategy and Development Direction - The company aims to penetrate the self-storage market further, increase its share in the commercial market, drive adoption of access control technology, and pursue strategic acquisitions [8][9] - The acquisition of Kiwi II Construction is expected to enhance the company's exterior solutions offering and design build capabilities, complementing its existing businesses [9][10] - The company is focused on leveraging its differentiated R3 platform to meet renovation needs, as a significant portion of U.S. facilities are over 20 years old [10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term demand for self-storage solutions, citing sustained high occupancy rates and the potential recovery of the housing market [14][24] - The company remains committed to executing its strategy despite near-term challenges, emphasizing the importance of focusing on controllable factors [24] Other Important Information - The company completed a voluntary prepayment of $40 million on its first lien term loan and repurchased 1.9 million shares for $16 million throughout the year [6][7] - The company ended the year with $260.5 million in total liquidity and a net leverage of 2.1 times, with expectations to remain within the target range of 2 to 3 times post-acquisition [19][20] Q&A Session Summary Question: How does your visibility today compare to historic averages? - Management indicated that visibility remains similar to historical averages, with a 2-3 quarter outlook based on current backlog [29] Question: What key metrics are your REIT customers looking for to invest in new capacity? - The primary driver for self-storage investment is housing mobility, which is currently subdued due to high interest rates [32] Question: Can you provide more color on the headwind from the higher international mix in Q4? - Management noted that while international revenue grew, its EBITDA margins are lower than North America, contributing to margin pressure [38][39] Question: What are the assumptions for new versus R3 on the self-storage side? - The organic decline in the core business is primarily driven by new construction in North America, which is expected to continue impacting revenue [47] Question: What is the expected contribution from the Nok product line? - Management remains optimistic about Nok, anticipating significant growth as they approach the break-even threshold of 500,000 units [72]

Financial Data and Key Metrics Changes - BBVA Argentina's inflation-adjusted net income for 2025 was ARS 267.4 billion, a decrease of 43.2% compared to 2024, resulting in a cumulative ROE of 7.3% and a cumulative ROA of 1.1% [5][6] - The bank's net interest income decreased by 29.4% year-over-year due to lower interest rates and inflation, while net fee income increased by 36.9% [6][8] - The non-performing loan (NPL) ratio on private loans reached 4.18% as of December 2025, below the system average of 5.29% [4][11] Business Line Data and Key Metrics Changes - Private sector loans totaled ARS 14.8 trillion, increasing 7.6% quarter-over-quarter and 47.6% year-over-year, primarily driven by an increase in loans in pesos [10] - The bank's consolidated market share of private sector loans improved to 11.91%, up 64 basis points from 11.27% a year ago [11] - Total gross loans and other financing over deposits ratio was 88%, up from 78% in December 2024 [11] Market Data and Key Metrics Changes - Total private deposits reached ARS 16.7 trillion, increasing 3.1% quarter-over-quarter and 29.7% year-over-year, with a market share of 10.04% [13] - Private non-financial sector deposits in pesos decreased by 1.4% quarter-over-quarter, while deposits in foreign currency expressed in pesos increased by 11.6% [14][15] Company Strategy and Development Direction - BBVA Argentina aims to consolidate its growth strategy and maintain a key role in Argentina's economic recovery, focusing on small and medium-sized enterprises [3][4] - The bank plans to grow its loan portfolio by 25% to 30% in 2026, outpacing the expected 18% growth in the financial system [24][39] Management's Comments on Operating Environment and Future Outlook - Management indicated that the first quarter of 2026 may be challenging, but expects credit indicators to improve thereafter [22] - The bank is confident in achieving better profitability in 2026, targeting low to mid-teens ROE [27][28] Other Important Information - The bank's capital ratio reached 18.3%, with a 9.4% increase in Common Equity Tier 1 due to the recovery in the value of government bonds [16] - BBVA Argentina continues to pay dividends in installments, having completed 9 of 10 required payments for the 2024 fiscal year [18] Q&A Session Summary Question: Asset quality and loan growth outlook for 2026 - Management believes the first quarter will be tough, but expects NPLs to peak and credit indicators to improve thereafter, with a loan growth target of 25% to 30% for 2026 [22][24] Question: Profitability expectations for 2026 - Management maintains guidance for low to mid-teens ROE for 2026, confident in achieving better profitability than in 2025 [27][28] Question: Deposit growth strategy - The bank has been growing deposits faster than the system, focusing on retail and SME deposits, and expects to continue gaining market share [33][35] Question: Dividend payment structure for 2025 - Management is uncertain about the payment structure for dividends in 2025 but aims to maintain a lower payout ratio to support growth [55][56] Question: Inflation and tax expectations - Management expects inflation to be around 22% and GDP growth of 3% for 2026, with tax rates likely stabilizing around 35% [93][68]

Financial Data and Key Metrics Changes - For Q4 2025, revenue was $171.2 million, down 22.9% year-over-year, reflecting a strategic decision to reduce production [5] - Full-year 2025 revenue was $790.3 million, down 37.2% from 2024, with gross profit at $120.4 million or 15.2% of sales [6] - Diluted EPS for Q4 was $0.29 per share, with net income for the full year at $23 million or $1.98 per diluted share [6] Business Line Data and Key Metrics Changes - The company strategically decreased production to normalize distributor inventories, which has now returned to historical levels, allowing for improved visibility into retail demand [6][9] - SG&A expenses increased year-over-year due to one-time expenses related to a voluntary retirement program and transaction costs from the OMARS acquisition [6][7] Market Data and Key Metrics Changes - Domestic market conditions are improving with normalized distributor inventory and steadier retail demand as the company enters 2026 [9] - The export business remains strong, with growing demand in international markets such as Australia, Japan, Mexico, and Indonesia [9] Company Strategy and Development Direction - The acquisition of OMARS is a key part of the company's strategy to expand its European footprint and capitalize on strong regional demand for heavy-duty products [3][10] - The company plans to increase production levels in response to improved demand and is investing in expanding its manufacturing capabilities, including a significant project at the Ooltewah facility [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery of retail demand and production levels, expecting revenues between $850 million and $900 million for 2026 [13][14] - The company anticipates gross margins returning to historical levels in the mid-13% range as product mix normalizes [14] Other Important Information - The company has maintained a consistent quarterly dividend, increasing it by 5% to $0.21 per share, and has reduced debt to $20 million as of January 2026 [12][13] - A robust pipeline of military RFQs is expected to provide significant long-term growth opportunities, with over $150 million in military commitments secured [11] Q&A Session Summary Question: Understanding margin expectations - The company believes gross margins are normalizing and may be better than pre-COVID levels, with expectations to return to mid-13% range [20][21] Question: Impact of cost reductions on margins - Cost reductions primarily involved hourly employees, and as production ramps up, some employees will be added back to support operations [22] Question: Confidence in 2026 outlook compared to previous year - Management expressed higher confidence in the 2026 outlook due to improved data analysis and normalized distributor inventory [24][25] Question: Mix between chassis and tow sales - The mix is returning to a normalized level, but it is not a one-to-one ratio as some distributors provide their own chassis [28][29] Question: Accretion from OMARS acquisition - The OMARS acquisition is expected to be accretive in the first year, with additional long-term synergies anticipated as integration progresses [30][31]

Financial Data and Key Metrics Changes - In Q4 2025, oil production increased by over 1,700 barrels per day or 9% quarter-over-quarter, and by 26% compared to Q4 2024 [8][9] - Full year 2025 oil production increased by 15% year-over-year, while total equivalent production increased by 29% [9] - Adjusted EBITDAX increased by 3% quarter-over-quarter to $66 million, with margins rising from 59% to 63% [20] - Net income increased by $69 million quarter-over-quarter, benefiting from non-recurring items such as a $72 million gain from the midstream sale [19] Business Line Data and Key Metrics Changes - Development activity in 2025 was modest, with 18 net wells drilled, 28% fewer than in 2024, and 16.3 net wells turned to sales, 23% fewer than in 2024 [10] - New Mexico oil production grew by 74% year-over-year, representing 34% of total company oil production in 2025, up from 23% in 2024 [11][12] - The Silverback acquisition exceeded expectations, producing at a 65% higher oil rate than anticipated [12] Market Data and Key Metrics Changes - Pipeline maintenance constrained Permian gas egress, impacting Waha pricing during the quarter [17] - The company has a material amount of Waha basis hedged for the next year, which could translate to positive revenue starting in 2027 [17] Company Strategy and Development Direction - The company authorized a stock repurchase program of up to $100 million and began repurchasing shares in January 2026 [5] - For 2026, the company forecasts over 20% year-over-year oil volume growth, with plans for significant increases in activity and spending [5][13] - The company aims to replace 100% of its drilling inventory annually through strategic land acquisitions [90] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about 2026, citing a strong financial position and asset base [6] - The company plans to remain flexible and moderate activity if oil prices deteriorate [5] - Management highlighted the importance of the new pipeline infrastructure expected to be operational in Q3 2026, which will support increased production [33] Other Important Information - The company reduced its debt by $120 million during Q4 2025, enhancing financial flexibility [4][21] - Capital expenditures for Q4 2025 were $50 million, reflecting a return to normalized upstream activity [20] Q&A Session Summary Question: Can you help us shape production cadence for 2026 and expectations for capital efficiency in 2027? - Management indicated production is expected to increase each quarter in 2026, with a dip in Q1 due to downtime and deferred production [30][31] Question: How flexible is the company's plan given the current oil price environment? - Management stated they have a solid plan for 2026 and can adjust rig activity based on market conditions, emphasizing flexibility [42] Question: Can you elaborate on completion optimization and its impact on well performance? - Management discussed various strategies for completion optimization, including reduced sand usage and improved drilling techniques, leading to cost savings and better well performance [34][37] Question: Will the agreement with WaterBridge lower costs or improve efficiencies? - Management clarified that while costs may increase, the agreement allows for full-scale development of the field, enhancing overall efficiency [91] Question: How is the company approaching hedging in a volatile market? - Management emphasized a proactive approach to hedging, with a significant portion of forecasted oil volumes hedged at favorable prices [95]

Financial Data and Key Metrics Changes - GAAP net loss allocable to common shares in Q4 2025 was $3 million, or $0.43 per share, which included a net interest income of $10.7 million, an increase of $2.3 million from the prior quarter [12] - The total allowance for credit losses at December 31 was $20.4 million, representing 1.11% of the $1.8 billion loan portfolio at par [13] - GAAP book value per share increased to $30.01 on December 31 from $29.63 on September 30 [14] Business Line Data and Key Metrics Changes - In Q4 2025, the company closed new commitments of $571 million, resulting in a net increase to the loan portfolio of $443.8 million [5] - The weighted average spread on newly originated loans was 2.83%, with the portfolio's weighted average spread now at 3.35% over one-month term SOFR rates [6] - The weighted average risk rating of the loan portfolio decreased to 2.7 from 3.0 at the end of Q3 2025, with the portion of loans rated four or five dropping to 17% from 32% [7] Market Data and Key Metrics Changes - The company ended the quarter with $1.8 billion of commercial real estate loans across 53 individual investments [6] - The company expects net growth in the portfolio of $500 million to $700 million in 2026, indicating a strong outlook for loan originations [27] Company Strategy and Development Direction - The company remains focused on investing in high-quality commercial real estate loans and actively managing the portfolio to grow earnings for shareholders [5] - The management team is optimistic about the opportunities in the asset class and competitive landscape, aiming to deploy capital through careful underwriting [17] Management's Comments on Operating Environment and Future Outlook - Management noted a decrease in current expected credit losses, driven by loan payoffs and improvements in credit risk models, despite a general decline in projected macroeconomic factors [13] - The company is positioned to resume paying dividends to common shareholders, reflecting confidence in its financial health and operational strategy [16] Other Important Information - The company sold an REO asset in Austin, Texas, resulting in an earnings available for distribution gain of $1.3 million [10] - The company has incurred minimal realized losses on almost $8 billion of invested capital since inception [10] Q&A Session Summary Question: Could you touch a little bit more on the loans that you guys completed this quarter? - The majority of the loans were multi-family, with average loan sizes around $40 million to $50 million, and spreads ranging between 250 and 325 [19] Question: How long is the reinvestment period? - The reinvestment period is 30 months [20] Question: What is the plan for equity investments? - The company expects to exit from one of the smaller land deals currently under LOI and is open to offers on another asset [21] Question: What caused the jump in non-controlling interest? - The increase was due to the sale of a position in a previously issued financing arrangement with JP Morgan [22] Question: Could we see the same pace of deployment in the near term? - The company expects a significant amount of deployment in the first quarter of 2026, projecting net growth in the portfolio of $500 million to $700 million for the year [27] Question: Will future gains on REO be fully taxed? - The company still has remaining net operating losses available, which should protect against taxation on future gains [28] Question: Was the $3.4 million of realized losses on core activities just the mezzanine loan write-off? - Yes, a significant portion was related to the mezzanine loan write-off, with additional improvements in net credit contributing to the overall losses [31]

Financial Data and Key Metrics Changes - Total company revenue for 2025 was $547 million, with Adjusted EBITDA of $73.2 million, reflecting a stable operational performance despite market challenges [4][20] - Fourth quarter revenue was $142.2 million, up from $128.9 million in the third quarter and essentially flat compared to $143.1 million in the fourth quarter of 2024 [17] - Full year net income was $3.2 million or $0.14 per diluted share, compared to $1.2 million or $0.05 per diluted share in the prior quarter [19] Business Line Data and Key Metrics Changes - High-spec rigs generated $92.3 million in revenue for the fourth quarter, up from $80.9 million in the third quarter and $87 million in the fourth quarter of 2024, with rig hours growing 16% sequentially [18] - Processing Solutions and Ancillary Services contributed $37.5 million in revenue, representing a 22% sequential increase from Q3, driven by organic performance and contributions from the AWS acquisition [18] - Wireline services revenue was $12.4 million, down from $17.2 million in the third quarter, reflecting lower completed stage counts [18] Market Data and Key Metrics Changes - The operating environment in 2025 was characterized by stable demand and a focus on high-quality service execution, with continued emphasis on efficiency and cost management [5][12] - The company expects the operating environment in 2026 to remain generally stable, similar to 2025, with a focus on execution and strategic evaluation [12] Company Strategy and Development Direction - The acquisition of American Well Services (AWS) aims to broaden the company's footprint and enhance service offerings in the Permian Basin, with integration progressing well [6][7] - The EchoRig program represents a significant advancement in well service technology, focusing on reducing emissions and improving operational efficiency [8][9] - The company plans to continue investing in growth opportunities while maintaining capital discipline, with a focus on safety, efficiency, and customer service [11][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to execute and build on its foundation, with expectations for healthy cash generation and continued growth opportunities [15][26] - The pro forma financial profile post-AWS acquisition suggests an annual EBITDA generation opportunity of over $100 million in 2026, with potential for further growth in a supportive macro environment [13][14] Other Important Information - Free cash flow for 2025 was $42.9 million, with a conversion rate of nearly 60%, reflecting disciplined operational execution [23] - The company returned over 40% of free cash flow to shareholders in 2025 through dividends and stock repurchases, demonstrating confidence in long-term cash generation capabilities [25] Q&A Session Summary Question: Update on Echo build-out and customer conversations - Management indicated productive conversations with customers regarding Echo rigs and expressed confidence in manufacturing capabilities to meet demand [32][33] Question: Details on plug and abandonment contract - The contract is with the Texas regulator and aims to position the company as a contractor of choice for complex wells, with potential growth opportunities [35] Question: CapEx metrics for EchoRig program - Management noted that CapEx will ramp up in the back half of the year, with progress milestone payments expected in the first half [37][39] Question: Earnings power with Echo rig build-out - Management highlighted that Echo rigs could represent a significant portion of the fleet, with potential margin expansion expected as contracts are executed [50][56]

Financial Data and Key Metrics Changes - Vermilion generated $241 million of Funds From Operations in Q4 2025, with Free Cash Flow of $49 million [11] - Production averaged 121,308 BOE per day, with a 69% weighting to natural gas, marking a significant increase compared to previous quarters [11][12] - Total proved plus probable (2P) reserves increased by 36% from the prior year, reaching 592 million BOEs [6][7] Business Line Data and Key Metrics Changes - In Canada, production benefited from a three-rig drilling program in the Deep Basin, resulting in 17 liquids-rich gas wells brought on production [11][12] - International operations averaged 30,137 BOE per day, consistent with Q3, with new production in the Netherlands and increased gas output in Germany [12][13] - The Osterheide well in Germany generated approximately $8 million of Free Cash Flow in Q4 alone, with production 40% higher compared to Q3 [5][12] Market Data and Key Metrics Changes - Realized gas pricing was $5.50 per Mcf, double the AECO benchmark, driven by direct European gas exposure where TTF prices averaged $15 per MMBtu [5][11] - The company has a strong exposure to European gas markets, with inventories well below five-year averages and current prices over $20 per MMBtu [19] Company Strategy and Development Direction - The company is focused on becoming a global gas producer with a long-duration asset base capable of delivering sustainable Free Cash Flow [2][3] - Vermilion's strategic roadmap to 2030 emphasizes disciplined capital allocation and long-term profitability, aiming for meaningful per-share excess Free Cash Flow growth [19][20] - The company is actively pursuing M&A opportunities to create a focused portfolio, particularly in Canada and Europe [58] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the operational performance and the ability to deliver attractive shareholder returns over the long term [15][19] - The recent run-up in global gas prices is seen as a substantial advantage for the company, reinforcing the importance of being able to sell products at higher prices [18][19] - The company expects production in Q1 2026 to be in line with recent levels, with a forecast of 122,000-124,000 BOEs per day [18] Other Important Information - The company has identified up to six additional drilling locations on the Bommelsen license, representing significant upside for European reserves [8][9] - Vermilion's tax Net Present Value of 2P reserves discounted at 10% is estimated at $23 per basic share, well above the current share price [10] Q&A Session Summary Question: Free Cash Flow inflection in 2028 - Management indicated that the Free Cash Flow inflection is driven by ramp-up in Germany volumes and production increases in Montney, with updated estimates reflecting a 40% increase in excess Free Cash Flow [22][25] Question: Hedging strategy - The company is about 50% hedged on European gas for 2026 and has been active in locking in recent price increases, with potential to increase hedge percentages if opportunities arise [30][31] Question: Deep Basin well outperformance - Management confirmed that the positive results in the Deep Basin are expected to continue, with a focus on tier one locations and a strong inventory depth [36][40] Question: Australian production ramp-up - Production in Australia is expected to return to normal levels by Q2 2026, following recent disruptions [46][47] Question: Negative technical revisions on reserves - Negative technical revisions were attributed to high-grading the reserves book due to M&A activity, with a focus on replacing locations with better profitability [52][53] Question: M&A market outlook - The company is exploring M&A opportunities, particularly following the Westbrick acquisition, and is open to potential deals in Canada and Europe [57][58]

Financial Data and Key Metrics Changes - Overall revenue growth for Q4 2025 was 13%, reaching almost $94 million, with subscriber revenue growth at 15% [5][18] - EBITDA for Q4 increased to over $25 million, marking a record and achieving a yearly EBITDA run rate exceeding $100 million for the first time [5][19] - Net income for Q4 was $15.3 million, or diluted earnings per share of $0.77, reflecting a 10% increase year-over-year [19] - For the full year 2025, total revenues reached a record $359 million, a 7% increase from $336.3 million in 2024 [20] Business Line Data and Key Metrics Changes - Subscription revenues for Q4 were $71.1 million, up 15%, representing 76% of total revenues, while product revenues were $22.4 million, up 5% year-over-year [18] - The subscriber base reached 2.63 million by the end of 2025, with an increase of 42,000 in Q4 and 221,000 year-over-year, marking a record year for subscriber growth [6][18] Market Data and Key Metrics Changes - Geographic revenue breakdown for Q4 showed Israel contributing 55%, Brazil 23%, and the rest of the world 22% [18] - The company is expanding its presence in the U.S. market with the IturanMob platform, targeting small and mid-sized car rental companies [9][10] Company Strategy and Development Direction - The company aims to enhance its telematics and connected car products, focusing on partnerships with OEMs like Stellantis, Renault, Yamaha, and BMW [6][14] - New initiatives include the IturanMob smart-mobility platform and the Credit Carbon program, which aims to monetize carbon savings for electric vehicle drivers [11][12] - The company is exploring big data monetization opportunities, leveraging its extensive telematics dataset to support government and commercial needs [13][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining subscriber growth and EBITDA margins, with expectations for continued revenue growth across all regions [17][28] - The geopolitical situation was acknowledged, but management does not foresee major disruptions to operations or supply chains in 2026 [52][54] Other Important Information - The board declared a total dividend of $30 million for Q4, including a special dividend of $20 million, representing approximately 100% of net income for the year [15][21] - The company has a strong balance sheet with over $100 million in cash and no debt, allowing for continued investment in growth and shareholder returns [14][16] Q&A Session Summary Question: Can you provide insights on ARPU and EBITDA dynamics for 2026? - Management refrained from providing specific guidance but indicated that ARPU should remain stable due to a large subscriber base and potential upselling opportunities [28][36] Question: How is the motorcycle market in Brazil performing? - The company has recently entered the motorcycle segment and expects to add thousands of subscribers in 2026, with ongoing efforts to expand partnerships with OEMs [40][41] Question: What are the expected economics for the new big data and Credit Carbon products? - Management highlighted the potential for significant revenue generation from these initiatives but cautioned that contributions would be minimal in 2026 as they are still in the commercialization phase [45][48] Question: What is the impact of foreign exchange on the business? - The FX impact on EBIT for 2025 was estimated to be between $1 million to $1.5 million, with future predictions being uncertain [51] Question: Are there any expected disruptions due to geopolitical issues? - Management does not anticipate major disruptions, citing past experiences and the resilience of their operations in Israel [52][54] Question: Can you discuss competition in Brazil and Israel? - The company faces strong competition but has successfully gained market share in both regions through technological advancements and customer satisfaction [76][78]

Financial Data and Key Metrics Changes - In 2025, the company achieved an EBITDA of COP 46.7 trillion, maintaining a stable EBITDA margin of 39% despite lower crude prices compared to 2024 [31] - Net income for the year totaled COP 9 trillion, close to the target established in the financial plan, despite a decline in Brent prices from $80 in 2024 to $68 per barrel in 2025 [36][39] - The company transferred COP 35 trillion to the nation in dividends, taxes, and royalties, reaffirming its role in national economic development [6] Business Line Data and Key Metrics Changes - Average production reached 745,000 barrels per day, with national crude production at 517,000 barrels, the highest level in the last five years [15] - The transportation segment achieved an EBITDA of COP 11 trillion and net income close to COP 5 trillion, marking one of the highest results in its history [18] - Refining throughput reached 417,000 barrels per day, with a gross refinement margin increasing by 32% compared to 2024 [19] Market Data and Key Metrics Changes - The company achieved the best crude differential in four years, closing 2025 at $4.6 per barrel, an improvement of $2 compared to 2024 [6] - The company marketed 100% of the Ceres gas in advance and signed gas sales contracts for an average of 326 GBTUde for 2026, covering 76% of demand [24][25] Company Strategy and Development Direction - The company aims to maintain a clear strategic focus on traditional business while advancing energy transition initiatives, including offshore projects and green hydrogen production [47] - The investment plan for 2026 ranges between $5.4 billion and $6.7 billion, with approximately 70% allocated to hydrocarbons and 30% to low-emission businesses [44][46] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of financial discipline and operational efficiency in navigating a challenging environment marked by lower crude prices and inflationary pressures [31][39] - The company expects to maintain a net income breakeven close to $47 per barrel in 2026, with a focus on optimizing financial costs and debt structure [46][72] Other Important Information - The company achieved a reserves replacement ratio of 121%, the highest in the last four years, driven by organic growth and operational optimization [7][8] - The efficiency program delivered historic results, accumulating more than COP 16 trillion over the past three years [5] Q&A Session Summary Question: Production fall in Termo and drilling intensity - Management explained that the production fall is related to the development plans and market prices, estimating 38-40 wells to be drilled in 2026 [51][53] Question: Dividend approval and cash flow impact - The dividend proposal of COP 110 per share is subject to the collection of fiscal balances, with discussions ongoing with the Ministry of Treasury to align payment timelines [55][56] Question: Tax and equity payments - The estimated equity tax payment is between COP 1 billion and COP 1.3 billion, with sufficient liquidity to manage these payments [64][65] Question: Changes in agreements with the National Hydrocarbons Agency - Management clarified that there were no changes in contracts, but a legal decision allowed for royalties to be paid in cash, which has been validated by the SEC [66][67] Question: Breakeven profits and tax impact - The breakeven is expected to be closer to $46 per barrel in 2026, with a tax component of $9-$10 per barrel contributing to the overall costs [72]