W. P. Carey (WPC) Q1 2025 Earnings Call April 30, 2025 11:00 AM ET Company Participants Peter Sands - Executive Director & Head of Investor RelationsJason Fox - CEOToni Sanzone - MD & CFOGreg Mcginniss - DirectorSmedes Rose - DirectorBrooks Gordon - MD & Head of Asset ManagementJana Galan - DirectorAnthony Paolone - Executive DirectorSpenser Glimcher - Managing DirectorJames Kammert - Managing DirectorEric Borden - Vice PresidentJason Wayne - VP - Equity Research Conference Call Participants Michael Goldsmi ...

Equity Residential (EQR) Q1 2025 Earnings Call April 30, 2025 11:00 AM ET Company Participants Marty McKenna - IRMark Parrell - President, CEO & TrusteeMichael Manelis - EVP & COOEric Wolfe - DirectorAlexander Brackenridge - EVP & CIOSteve Sakwa - Senior Managing DirectorRobert Garechana - EVP & CFOJeffrey Spector - Managing DirectorAmi Probandt - Equity Research AssociateNone - ExecutiveRich Hightower - Managing Director, U.S. REIT ResearchAlexander Goldfarb - Managing DirectorNicholas Yulico - Managing Di ...

PPL (PPL) Q1 2025 Earnings Call April 30, 2025 11:00 AM ET Company Participants Andrew Ludwig - VP, IRVincent Sorgi - President and Chief Executive OfficerJoseph Bergstein - EVP & CFOShar Pourreza - Senior Managing DirectorPaul Zimbardo - Managing DirectorAnthony Crowdell - Managing DirectorDavid Paz - Senior Vice PresidentIan Rapp - Vice President Conference Call Participants None - AnalystAngie Storozynski - Senior Equity Research Analyst Operator Please note, today's event is being recorded. I would now ...

Public Service Enterprise Group (PEG) Q1 2025 Earnings Call April 30, 2025 11:00 AM ET Speaker0 Ladies and gentlemen, thank you for standing by. My name is Shamali, and I am your event operator today. I would like to welcome everyone to today's conference Public Service Enterprise Group's First Quarter twenty twenty five Earnings Conference Call and Webcast. At this time, all participants are in a listen only mode. Later, we will conduct a question and answer session for members of the financial community. ...

Financial Data and Key Metrics Changes - The company reported $29 million of adjusted free cash flow, representing a 62% conversion of adjusted EBITDA [6] - First quarter orders grew by 11.5%, primarily driven by nuclear power orders, marking the best first quarter performance since going public [6][10] - Adjusted EBITDA totaled $47 million, an 18.2% increase year-over-year, with margins improving by 260 basis points to 23.1% [8][23] - Adjusted EPS increased by 67% to $0.10 per share compared to $0.06 in Q1 2024 [9][24] Business Line Data and Key Metrics Changes - Organic revenue grew by 6% year-over-year, with significant contributions from the nuclear power end market [8][22] - The Nuclear Safety segment saw first quarter revenue of $133.4 million, a 6% increase, with organic revenue up 7.6% [24] - The Medical segment reported first quarter revenue of $68.6 million, a 2.7% increase, with organic revenue growth of 3% [27][29] Market Data and Key Metrics Changes - The nuclear power market is expected to see high single-digit growth for the full year, driven by the existing installed base [25][70] - The company noted that 79% of the year-over-year nuclear power order growth came from the existing nuclear fleet [15][66] - The 2024 National Nuclear Energy Public Opinion Survey indicated that over 75% of Americans support the use of nuclear energy, reflecting growing public and political support [12] Company Strategy and Development Direction - The company aims for adjusted EBITDA margins of 30% by 2028, supported by operating leverage and procurement savings [8][15] - The acquisition of OncoSpace, a cloud-native data analytics platform, is expected to enhance the company's cancer care portfolio and go-to-market strategy [6][7] - The company is maintaining a disciplined approach to M&A activity amid uncertain market dynamics [7][20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the prospects for large one-time opportunities in the pipeline, estimated at $300 to $400 million [10][20] - The company is well-positioned to navigate the current economic environment, with over 70% of revenue being recurring or repeat in nature [14][19] - Management reaffirmed full-year guidance for organic revenue growth, adjusted EBITDA, adjusted EPS, and adjusted free cash flow [20][32] Other Important Information - The company repurchased 1.2 million shares for $18.6 million as part of its capital deployment strategy [9][31] - The expected tariff exposure for 2025 is estimated to be between $3 million tailwind and $8 million headwind, with mitigating actions in place [19][20] Q&A Session Summary Question: Can you elaborate on the situation in China regarding tariffs? - Management indicated that most exposure comes from medical equipment produced in the U.S. and that there is potential for some products to be exempt from retaliatory tariffs [38] Question: What is the timeline for the $300 to $400 million pipeline? - Management expects a majority of contracts to be awarded within 2025, with projects being larger than typical flow business [47] Question: How is the company positioned regarding pricing power? - Management believes that competitive advantages may strengthen due to anticipated long-term tariff scenarios, potentially enhancing pricing power [78]

Financial Data and Key Metrics Changes - The company reported net sales of approximately $1.5 billion, an increase of 11% from the prior year, driven primarily by the Vayner acquisition and organic volume growth across all segments [13][14] - Adjusted EBIT for the quarter increased by 17% year over year, resulting in record adjusted EBIT in the dispensing and specialty closures and custom container segments [13][15] - Record adjusted EPS of $0.82 increased by $0.13 or 19% from the prior year quarter [13][14] Business Line Data and Key Metrics Changes - In the dispensing and specialty closures segment, sales increased by 25% year over year, primarily due to the Vayner acquisition, which contributed approximately $126 million during the quarter [14] - The metal containers segment saw a 2% increase in sales, driven by a 4% increase in unit volumes, particularly in pet food and soup products [15] - Custom containers experienced a 2% increase in sales, with adjusted EBIT rising by 22% compared to the first quarter of 2024, attributed to favorable price cost and higher volumes [15] Market Data and Key Metrics Changes - The company expects mid single-digit volume growth in dispensing and specialty closures, metal containers, and custom containers for 2025, driven by strong demand in pet food and a partial recovery in fruit and vegetable pack volumes [11][12] - The pet food market continues to grow at a mid-single-digit rate, supported by pet population growth and premiumization trends [9][10] Company Strategy and Development Direction - The company emphasizes a customer intimacy model that sets it apart in the marketplace, focusing on innovation and meeting evolving customer needs [11][12] - The integration of the Vayner acquisition is on track, with expectations for continued growth and synergy capture [9][32] - The company remains confident in its ability to execute its strategic growth initiatives and deliver record results in 2025 [12][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving mid-single-digit volume growth across all segments despite potential macroeconomic uncertainties [23][30] - The company highlighted strong relationships with customers and a focus on non-discretionary consumer staples, which provide stability in demand [30][42] - Management noted that the ongoing benefits of cost reduction programs and strong customer relationships support a positive outlook for the remainder of 2025 [17][30] Other Important Information - The company confirmed its estimate of adjusted EPS for 2025 in the range of $4 to $4.2, representing a 13% increase at the midpoint compared to 2024 [16] - Free cash flow is estimated at approximately $450 million for 2025, a 15% increase from the prior year [16][108] Q&A Session Summary Question: Concerns about volume guidance amidst economic uncertainty - Management reiterated confidence in mid-single-digit volume growth across segments, citing strong performance in dispensing products and pet food [23][30] Question: Insights on the Vayner acquisition - Management expressed satisfaction with the Vayner acquisition, confirming it aligns with growth expectations and customer service models [31][32] Question: Impact of tariffs and customer purchasing patterns - Management indicated minimal impact from tariffs, with no unusual buying activity observed, particularly in the pet food segment [27][44] Question: Changes in customer new product activity - Management noted ongoing innovation and new product launches, particularly in the soup category, which supports confidence in volume growth [39][40] Question: Expectations for metal containers in Q2 - Management expects flat volume for metal containers in Q2, with growth anticipated in pet food and a stronger performance in the back half of the year [49][52] Question: Free cash flow and capital allocation priorities - Management confirmed free cash flow guidance of $450 million for 2025, with a preference for M&A as the primary use of cash flow [108][111]

Financial Data and Key Metrics Changes - The company generated AFFO per share of $1.17 for the first quarter, reflecting a year-over-year increase of 2.6% [21] - The AFFO guidance range remains reaffirmed at $4.82 to $4.92 per share, with expectations for growth above the 3.6% implied in the guidance [21][30] - Operating property NOI totaled $16.6 million, with expectations of generating between $70 million and $75 million of operating NOI during 2025, excluding expected dispositions [26][28] Business Line Data and Key Metrics Changes - The company closed approximately $450 million in investments year-to-date, with an initial weighted average cap rate of 7.4% [7] - Contractual same-store rent growth for the quarter was 2.4% year-over-year, with comprehensive same-store growth at 4.5% [22] - Leasing activity included 16 renewals or extensions, representing 1.8% of portfolio ABR, recapturing 103% of prior rents [23] Market Data and Key Metrics Changes - The investment pipeline is expected to be approximately $570 million for 2025, with a solid near-term pipeline [8] - The market for net lease real estate remains stable, with minimal disruption in transaction activity despite broader economic uncertainties [8][10] - The company anticipates that sale leaseback transactions will continue to increase, providing attractive capital sources during market volatility [9] Company Strategy and Development Direction - The company remains focused on executing its investment plan for 2025, with good visibility into additional deals closing soon [5] - The strategy includes funding investments primarily through non-core asset sales, with expectations to generate at least 100 basis points of spread between asset sales and new investments [12][14] - The company is positioned to benefit from potential tightening of mortgage lending criteria, enhancing its competitive advantage in new investments [10] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the operating environment, noting that uncertainty from tariffs has not yet impacted business performance [5][6] - The company believes its portfolio is resilient to economic downturns, focusing on large tenants with strong liquidity [15] - Management remains comfortable with the assumptions in their guidance and sees potential for growth in AFFO as visibility improves [18][31] Other Important Information - The company refinanced its euro term loan, fixing the interest rate below 3% through an interest rate swap, with minimal near-term debt maturities [11][29] - The dividend declared was $0.89 per share, representing a 2.9% increase over the prior year, with an expected annual payout ratio of 73% [30] Q&A Session Summary Question: Can you provide details on cap rates and the split between retail, industrial, and US/Europe? - The company targets cap rates in the mid-sevens, with a pipeline that is approximately 50% weighted towards Europe [36][38] Question: Will you consider selling more self-storage assets to fund acquisitions? - The company has flexibility in its disposition strategy and can consider additional self-storage sales if needed [44][46] Question: How does the company view its European exposure in relation to tariffs? - The majority of European tenants operate domestically, reducing exposure to tariffs, and the company remains confident in its European portfolio [54][56] Question: What is the company's approach to potential rent loss and repositioning capital? - The potential rent loss estimate includes downtime and is considered conservative, with minimal capital expenditures expected for repositioning [62][65] Question: What is the outlook for occupancy and known vacates in the next 18 months? - The overall scale of lease expirations is small, with one warehouse property expected to non-renew, fully embedded in guidance [71][72] Question: How is the company managing input costs for capital projects? - Most capital investments are subject to guaranteed contracts, with large buffers built in to manage cost exposure [77] Question: How competitive is the net lease market in the US and Europe? - The US market remains competitive with new entrants, while Europe is less competitive, providing the company with an advantage as an all-cash buyer [80][81] Question: How has inflation impacted lease negotiations? - The company has been able to push through higher fixed increases in leases, particularly in Europe, while CPI-linked increases have become more challenging in the US [86][88]

Financial Data and Key Metrics Changes - Net sales for Q1 2025 were $1.098 billion, down from $1.108 billion in the prior year, primarily due to lower sales in the banana segment and negative exchange rate fluctuations, partially offset by higher sales in fresh and value-added products [15] - Gross profit increased to $92 million from $82 million year-over-year, driven by higher sales in fresh and value-added segments, despite increased production and distribution costs [15] - Gross margin improved to 8.4% from 7.4% in the prior year and 6.8% in Q4 2024 [16] - Net income attributable to Fresh Del Monte was $31 million, up from $26 million in the prior year, with adjusted net income at $30 million compared to $16 million last year [17] Business Line Data and Key Metrics Changes - Fresh and value-added products segment net sales were $683 million, slightly up from $677 million, driven by higher avocado prices and fresh cut fruit sales in North America [19] - Banana segment net sales decreased to $364 million from $380 million, impacted by lower sales volume and prices in Asia and North America due to market demand and supply issues [21] - Other products and services segment net sales remained stable at $51 million, with gross profit increasing to $6 million from $5 million due to higher poultry and meat prices [22] Market Data and Key Metrics Changes - Strong consumer interest in avocados and fresh cut fruit continues, with the avocado segment expected to grow as sourcing diversifies from Peru and Colombia [39] - Pineapple demand exceeds supply, attributed to increasing consumption and favorable pricing compared to other fruits [44] Company Strategy and Development Direction - The company aims to lead in fresh and value-added products, focusing on quality, innovation, and sustainability, with a vision extending through 2025 to 2027 [12] - Strategic acquisition of a majority stake in Abolio, an avocado oil producer, aims to reduce waste and enhance value in a high-margin category [11] - The company is committed to operational excellence, resource efficiency, and global expansion while reducing reliance on any single market [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued solid demand for fresh produce despite consumer pressures, indicating resilience in the face of logistical disruptions [33] - The company is closely monitoring tariff impacts and working collaboratively with buyers to mitigate costs without negatively affecting consumers [37] - Expectations for full-year 2025 include a 2% growth in net sales and gross margins of 10-11% in fresh and value-added products, 5-7% in bananas, and 12-14% in other products [27][29] Other Important Information - The company declared a quarterly cash dividend of $0.30 per share, representing a 3.5% yield based on current share price [25] - Long-term debt decreased to $233 million, a 5% reduction from the previous fiscal year-end [25] Q&A Session Summary Question: Demand in the produce category - Management noted solid demand in fresh produce, with no expected reductions in consumption, viewing market disruptions as potential opportunities [33] Question: Logistic issues in the industry - Management confirmed that smaller operators face challenges due to logistics disruptions, while the company’s integrated supply chain allows for uninterrupted operations [34][36] Question: Impact of tariffs on pricing - The company is working with buyers to mitigate tariff impacts cooperatively, aiming to avoid negative effects on consumer prices [37] Question: Performance of avocado segment - The avocado segment is performing well, with growth expected as sourcing diversifies [39] Question: Fresh cut fruit margins - Management expressed confidence in maintaining strong margins in fresh cut fruit operations due to increased efficiency and demand [42] Question: Pineapple supply and demand - Management indicated that increasing consumption is driving demand for pineapples, which are still competitively priced compared to other fruits [44]

Financial Data and Key Metrics Changes - The company reported a net income of $6.9 million or $0.08 per share, returning to profitability after a net loss of $14.1 million in the previous quarter [4] - Net interest margin expanded by nine basis points to 1.67%, with a significant reduction in provision expense and a $5 million decrease in non-interest expense compared to the fourth quarter [5][10] - Pre-provision net revenue increased to $9.7 million or $0.11 per share, compared to a loss of $2.3 million in the previous quarter [12] Business Line Data and Key Metrics Changes - The company funded $180 million in new loan balances at an average yield of 7.09%, with approximately 78% being commercial and industrial (C and I) loans [5] - Loans held for investment decreased primarily due to $354 million in payoffs, while loans held for sale remained unchanged at $1.3 billion [5] - Total non-interest income was $19.6 million, including a $4.7 million gain on the sale of securities [15] Market Data and Key Metrics Changes - Assets under management decreased to $5.1 billion from $5.4 billion at the end of the previous year, while trust assets under advisement increased to $1.2 billion from $1.1 billion [9] - Overall deposits declined to $9.6 billion, primarily due to a $400 million decrease in high-cost brokered deposits [9] Company Strategy and Development Direction - The company is focused on reducing its commercial real estate concentration and selectively exiting lower-yielding multifamily loans [5] - A strategic plan is in place to remix the loan portfolio, improve interest rate risk management, and grow non-interest income through various channels [8] - The company aims to improve sustainable profitability over the intermediate term, with expectations for net interest margin to reach between 1.8% and 2.2% by the end of 2026 [20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the financial future, highlighting strong capitalization, ample liquidity, and a focus on unlocking embedded value in the franchise [21] - The company anticipates a modest reduction in total assets as it works to reduce loans held for sale to zero and improve its deposit mix [20] - Management noted that while there is some hesitancy in capital expenditures among clients, there are also opportunities for growth in certain markets [27] Other Important Information - The company remains well-capitalized with a common equity Tier one ratio of 10.6% and a Tier one leverage ratio of 8.1% [19] - The tangible book value per share increased to $9.42 from $9.36 in the prior quarter [19] Q&A Session Summary Question: How have utilization rates trended thus far in 2025? - Management noted some hesitancy among clients regarding capital expenditures, but some clients have accelerated inventory purchases due to trade uncertainties [27] Question: Did you invest in any particular markets in 1Q? - The company added personnel in the Florida market and remains optimistic about that area, while most production is expected to come from California [29] Question: Is the decline in AUM due to fluctuations in customer account balances? - Management acknowledged some terminations and turnover but remains optimistic about the pipeline going forward [31] Question: What rate environment does the NIM outlook assume? - The company is assuming two rate cuts in 2025 and a total of six cuts through the end of 2027, remaining conservative in its outlook [36] Question: Any expense impact from internal control remediation? - Management indicated there will be some professional service expenses as they bring in expertise to accelerate the transition [43] Question: How do you expect overall loan balances to trend going forward? - The company expects modest growth in loan balances over time, focusing on reducing CRE concentration and increasing higher-yielding loans [70]

First Interstate BancSystem (FIBK) Q1 2025 Earnings Call April 30, 2025 11:00 AM ET Speaker0 Good morning, ladies and gentlemen, and welcome to the First Interstate BancSystem Inc. First Quarter Earnings Conference Call. At this time, all lines are in listen only mode. Following the presentation, we will conduct a question and answer session. This call is being recorded on Wednesday, 04/30/2025. I would now like to turn the conference over to Nancy Vermeulen. Please go ahead. Speaker1 Thanks very much. Good ...