Financial Data and Key Metrics Changes - The company reported a record net income of BRL 315 million, achieving a record return on equity (ROE) of 13.9% [39] - Total gross revenues reached BRL 2.0 billion, reflecting a year-over-year growth of 4835% [32] - The cost of risk was reported at 5%, with expectations to remain in the range of 5% to 5.25% [66][70] Business Line Data and Key Metrics Changes - The private payroll loan portfolio grew to BRL 728 million, serving 153,000 clients, indicating strong digital distribution [21] - Credit penetration among active clients reached 33.8%, supported by initiatives like monthly credit reassessments [20] - The investments vertical saw active clients grow by 38% year-over-year, reaching 7.9 million [22] Market Data and Key Metrics Changes - Total payment value grew by 33% year-over-year, reaching BRL 374 billion, with PIX accounting for BRL 346 billion [18] - The global account client base grew by 34% year-over-year, reaching 4.4 million, with deposits surpassing $294 million, marking a 90% year-over-year increase [25] - The company achieved a net promoter score of 85, indicating strong customer satisfaction [15] Company Strategy and Development Direction - The company aims to enhance client experience through innovative features like MyCredit and My Piggy Bank, focusing on sustainable credit options [8][10] - The strategy includes diversifying fee sources and building a strong funding franchise, which has compounded profitability over the last ten quarters [7] - The company is committed to maintaining a strong balance sheet while investing in long-term growth opportunities [39] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate economic challenges, citing a diversified loan portfolio and strong asset quality metrics [64] - The outlook for the private payroll product remains positive, with expectations of achieving an ROE beyond 30% [50] - Management highlighted the importance of client-centric approaches and effective capital allocation to drive future growth [94] Other Important Information - The company is in a subsidy period for converting BDRs to Class A shares, which is expected to enhance share liquidity in the U.S. market [42] - The company continues to invest in technology and marketing to strengthen brand awareness and operational efficiency [36][38] Q&A Session Summary Question: Update on the private payroll product and its success - Management is optimistic about the private payroll product, expecting to surpass BRL 1 billion in portfolio soon, with delinquency rates better than initially forecasted [48][50] Question: Outlook for credit quality and provisioning levels - Management indicated that the cost of risk is expected to remain stable, with a focus on optimizing risk-adjusted NIM [66][70] Question: Margins on NIM statement and product performance - The company reported improvements in personal loan yields, driven by a favorable competitive dynamic and effective repricing strategies [74][76] Question: Renegotiated portfolio classification and strategy - Management clarified that renegotiated portfolios are primarily classified within stage one, focusing on commercial renegotiations for real estate contracts [110][112] Question: Insights on the 06/3030 plan and future KPIs - Management expressed confidence in achieving the 06/3030 plan, emphasizing the network effect and the tools available to drive growth [94]

Financial Data and Key Metrics Changes - Consolidated earnings for 2025 were $1.15 per diluted share, down from $1.20 in 2024, with year-to-date results at $1.25 per diluted share, reflecting a nearly 7% increase over 2024 [5][7] - Consolidated earnings for the second quarter of 2025 were $0.17 per diluted share, compared to $0.29 in the same period of 2024 [5][6] - Valuation losses of $0.12 per diluted share in the second quarter materially impacted consolidated earnings [13][14] Business Line Data and Key Metrics Changes - Avista Utilities' year-to-date results showed strong performance, underpinned by diligent cost management and constructive regulatory outcomes [7][8] - Capital expenditures at Avista Utilities were $236 million in 2025, with expectations of overall capital expenditures of $525 million for the year [17] - From 2025 through 2029, capital expenditures are expected to reach nearly $3 billion, resulting in an annual growth of 56% [18] Market Data and Key Metrics Changes - The clean energy sector faced headwinds due to shifts in market sentiment and public policy, negatively impacting valuations within the company's investment portfolio [6][8][14] - The company received over 80 bids in its RFP process, indicating a broad range of resource options including wind, solar, battery storage, and natural gas [9][10] Company Strategy and Development Direction - The company is focused on serving customers and communities while ensuring reliable energy provision, with an RFP issued to meet identified needs by 2029 [9][10] - The company is optimistic about future opportunities, particularly in discussions with potential large load customers, with over 3,000 megawatts of requests in the pipeline [11][12] - The company plans to continuously invest in utility infrastructure to support customer growth and maintain system reliability [17] Management's Comments on Operating Environment and Future Outlook - Management affirmed consolidated earnings guidance for 2025, expecting a range of $2.52 to $2.72 per diluted share, with Avista Utilities contributing toward the upper end of $2.43 to $2.61 per diluted share [19][20] - The company anticipates that clarity in public policy will moderate valuation volatility in clean technology investments [14][15] - Management expressed confidence in achieving an expected return on equity of 8.8% at Avista Utilities, while acknowledging potential for additional growth [21][35] Other Important Information - The company has available liquidity of $106 million under its committed line of credit and $42 million under its letter of credit facility as of June 30 [18] - S&P removed the negative watch from the company's credit rating, indicating strength in its balance sheet and business plans [19] Q&A Session Summary Question: Characterization of the 3,000 megawatts of large load in discussions - Management indicated that the 3,000 megawatts in the pipeline includes a variety of load types, not limited to data centers or high-tech manufacturing, and that the RFP responses will help inform these discussions [27][28] Question: Comfort with the high end of the RFP of 400 megawatts - Management expressed confidence in having sufficient opportunities to support conversations with potential customers based on the 80 bids received [29] Question: Outlook on exit or monetization opportunities for non-regulated businesses - Management is analyzing future strategies for non-regulated businesses and is considering moderating budgets while assessing the clean energy landscape [30][31] Question: Potential upside to close the regulatory gap for ROE - Management stated that while the 8.8% ROE is achievable, they are focused on ensuring that the number is realistic and based on current opportunities for growth [35]

Financial Data and Key Metrics Changes - Consolidated earnings for Q2 2025 were $1.15 per diluted share, down from $1.20 in Q2 2024, reflecting a decrease of approximately 4.17% [4] - Year-to-date results for Avista Utilities showed earnings of $1.25 per diluted share, representing a nearly 7% increase over the same period in 2024 [5] - Consolidated earnings were impacted by valuation losses of $0.12 per diluted share in Q2 2025, primarily due to investments in clean technology focused funds [11][12] Business Line Data and Key Metrics Changes - Avista Utilities' performance remained strong, supported by constructive regulatory outcomes and diligent cost management [11] - The company expects capital expenditures of $525 million in 2025, with a projected total of nearly $3 billion from 2025 to 2029, indicating an annual growth of 56% [16][17] Market Data and Key Metrics Changes - The clean energy sector faced headwinds, affecting consolidated earnings performance in Q2 2025 [5] - Valuations within the clean technology investment portfolio were significantly impacted by shifts in public policy and market sentiment [6][12] Company Strategy and Development Direction - The company is focused on serving customers and communities while ensuring reliable energy provision, as evidenced by the issuance of an RFP for 100 to 425 megawatts of generation [7] - The RFP process received over 80 bids, including various resource options such as wind, solar, and natural gas, indicating a broad approach to meeting future energy needs [8][9] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future opportunities, particularly in relation to large load customers, with over 3,000 megawatts of requests in the pipeline [9] - The company confirmed its consolidated earnings guidance for 2025, expecting a range of $2.52 to $2.72 per diluted share, with Avista Utilities contributing toward the upper end of $2.43 to $2.61 per diluted share [18][19] Other Important Information - The company has available liquidity of $106 million under its committed line of credit and $42 million under its letter of credit facility as of June 30 [17] - S&P removed the negative watch from the company's credit rating, indicating strength in its balance sheet and business plans [18] Q&A Session Summary Question: Characterization of the 3,000 megawatts of large load in discussions - The 3,000 megawatts in the pipeline includes a variety of load types, not limited to data centers or high-tech manufacturing, and the RFP responses will help inform these discussions [25][26] Question: Potential for exit or monetization opportunities in other businesses - The company is analyzing its non-regulated businesses and considering moderation of budgets while maintaining strategic benefits from clean technology investments [28][30] Question: Outlook for wildfires in the region - Fire activity has been above normal, but the company has not seen significant starts in August and is employing mitigation tactics to minimize risks [42][44]

Financial Data and Key Metrics Changes - The company reported a record net income of BRL315 million, achieving a record ROE of 13.9% [36] - Total gross revenues reached BRL2.0 billion, reflecting a year-over-year growth of 4835% [30] - The cost of risk reached 5%, with expectations to maintain this level despite growth in riskier products [64][66] Business Line Data and Key Metrics Changes - The private payroll loan portfolio grew to BRL728 million, serving 153,000 clients, demonstrating strong digital distribution [18] - Credit penetration among active clients reached 33.8%, indicating healthy growth in credit offerings [17] - The investments vertical saw a 38% year-over-year growth in active clients, reaching 7.9 million [19] Market Data and Key Metrics Changes - Total payment value grew by 33% year-over-year, reaching BRL374 billion, with PIX accounting for BRL346 billion [16] - The global account client base grew by 34% year-over-year, reaching 4.4 million, with deposits surpassing $294 million, up 90% year-over-year [22] - The company achieved a market share of 8% in the PIX segment, indicating strong competitive positioning [105] Company Strategy and Development Direction - The company focuses on building long-term value through innovative products like MyCredit and My Piggy Bank, enhancing client engagement and financial education [7][9] - The strategy emphasizes sustainable credit options and diversifying fee sources to strengthen profitability [6] - The company aims to leverage its digital platform to enhance user experience and drive cross-selling opportunities across its verticals [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining strong asset quality, with the lowest NPL levels since 2022 [62] - The outlook for credit quality remains positive, with expectations for continued growth in higher risk segments [64][66] - The company anticipates achieving its six-thirty-thirty plan by 2027, focusing on client growth, efficiency, and ROE [92][94] Other Important Information - The company is migrating share liquidity to the U.S. market, with over 50% of combined volume on most trading days [40] - The subsidy period for converting BDRs to Class A shares ends on August 30 [40] Q&A Session Summary Question: Update on the private payroll product and its success - Management is optimistic about the private payroll product, expecting it to exceed BRL1 billion in portfolio soon, with delinquency rates better than initially forecasted [46][64] Question: Outlook for credit quality and provisioning levels - Management indicated that the cost of risk is expected to remain between 5% to 5.25%, with improvements in asset quality and credit penetration [64][66] Question: Margins on NIM statement and product yields - The company reported an increase in personal loan yields from 19.5% to 23%, driven by a favorable competitive dynamic and product mix [71][73] Question: Changes in the credit card offering - The reshaping of the credit card portfolio focuses on increasing interest-earning products and improving customer solutions for delinquency [80][82] Question: Insights on the 06/3030 plan and future KPIs - Management is confident in achieving the six-thirty-thirty plan, emphasizing the importance of capital allocation and customer-centric approaches [92][94]

Financial Data and Key Metrics Changes - The company reported an 11% revenue growth to a record $219 million, including a $2 million benefit from foreign currency fluctuations, with a 10% growth excluding FX [23][24] - Diluted earnings per share increased by 11% to $1.91, or $2 per share excluding notable items, representing a 16% increase [23] - Commission revenue rose 12% to a record $192 million, driven by strong market volumes and increased volatility [24][27] Business Line Data and Key Metrics Changes - The client-initiated channel saw a 38% growth in block trading average daily dollar volume (ADD) across U.S. Credit, emerging markets, and Eurobonds [8][14] - Portfolio trading channel generated a 69% increase in total portfolio trading ADV [9] - Dealer-initiated channel experienced a 40% increase in dealer-initiated ADV [9] Market Data and Key Metrics Changes - U.S. High grade market share dropped to 10% in July from 12% in June, attributed to large trades moving to phone and chat [11] - The company reported a record 12.5% share of blocks in U.S. High grade, representing an increase of almost 200 basis points year-over-year [15] - Emerging markets and Eurobonds saw significant growth, with block trading volume up 27% in Q2 [56][100] Company Strategy and Development Direction - The company is focusing on becoming more protocol agnostic and expanding its addressable market through multiple trading protocols [5] - Strategic hires have been made to enhance product delivery and drive growth, including key personnel in product management and analytics [34][78] - The launch of the new Midex solution is expected to enhance dealer-to-dealer trading capabilities [18][34] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future growth, particularly in U.S. Credit, driven by new initiatives and a favorable macro environment [21][31] - The company acknowledged disappointing market share numbers in July but remains confident in its strategies to electronify the market [22][44] - Management highlighted the importance of adapting to market dynamics, particularly in the context of low volatility environments [42][72] Other Important Information - The company generated $360 million in free cash flow over the trailing twelve months, with $145 million remaining on the share repurchase authorization [29] - Operating expenses increased by 6% year-over-year, driven by higher employee compensation and technology costs [28] - The effective tax rate rose to 26.9%, reflecting increased accrual for uncertain tax positions [26] Q&A Session Summary Question: Can you provide details on the progress of new initiatives and market share? - Management reported significant growth in key areas, with investment grade portfolio trading up 47% year-to-date and market share in portfolio trading up 340 basis points [38][39] Question: What are the drivers behind the decline in fee per million? - The decline was attributed to protocol mix and increased portfolio trading volumes, although there was a slight recovery in July due to changes in high-grade duration [50][51] Question: Can you elaborate on the block trading initiative? - Management noted that block trading volume year-to-date is up over 20%, with significant growth in both Eurobonds and emerging markets [54][56] Question: What is the outlook for the municipal business? - The municipal business has seen a year-over-year growth of 23%, with a focus on enhancing electronic trading capabilities [85][89] Question: How does the company view M&A opportunities? - The company remains focused on organic growth but is also open to bolt-on acquisitions, leveraging a strong balance sheet for potential M&A activities [92][95]

Financial Data and Key Metrics Changes - Sales in the second quarter were down 1.2% on an organic basis compared to the prior year, which was in line with expectations [7] - Adjusted earnings per share for the quarter was $2.48, an increase of 8.3% year-over-year [12] - Adjusted EBITDA margin was 22%, down 20 basis points from the prior year [12] - Free cash flow generated in the second quarter was $493 million, with $368.5 million related to an accounts receivable securitization program [12][26] Business Line Data and Key Metrics Changes - **Automation and Motion Control (AMC)**: Sales down 3.4% year-over-year, primarily due to weakness in the medical end market and project timing [17] - **Industrial Powertrain Solutions (IPS)**: Sales down 4.4% year-over-year, reflecting project timing impacts in Metals and Mining [20] - **Power Efficiency Solutions (PES)**: Sales up 6.5% year-over-year, driven by strong growth in residential and commercial HVAC [23] Market Data and Key Metrics Changes - Orders in AMC were down 7.5% year-over-year, impacted by destocking in the medical market and timing of a large data center order [19] - IPS orders on a daily basis were up 3% in the second quarter, with a backlog increase of 15% year-to-date [22] - Daily organic orders for Regal Rexnord in July were up 4.4%, primarily driven by strength in data centers [11] Company Strategy and Development Direction - The company is on track to deliver at least $250 million of cross-sell synergies from the Rexnord and Ultra transactions [13] - Focus on selling a richer mix of subsystem solutions and new product launches to drive growth [34] - The company aims to neutralize tariff impacts on adjusted EBITDA and earnings by mid-2026 [30] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about sales growth in the low single digits for 2025, supported by a growing backlog [9] - The company expects to see a recovery in the medical market and improved conditions in the industrial sector by 2026 [38][111] - Management noted that while there are macro uncertainties, they have not seen significant demand deterioration due to tariffs [31] Other Important Information - The accounts receivable securitization program completed in the second quarter allows for accelerated debt repayment and is expected to provide $4 million in annualized interest savings [26][27] - The gross annual unmitigated cost impact from tariffs has decreased from $130 million to approximately $125 million [30] Q&A Session Summary Question: Expectations for end market recovery in the back half of the year - Management expects orders to be up mid-single digits in the second half, driven by strong markets like energy, aerospace, and data centers [39] Question: Exposure to rare earth magnets and data center wins - Rare earth magnets represent about 1% of sales, with challenges in procurement expected to be resolved in the second half [41] - Data center wins are expected to continue, with a strong funnel of opportunities [42] Question: AMC division margin ramp and rare earth recovery - AMC's margin guidance has been widened, reflecting backlog visibility and expected recovery in rare earth supply [98] Question: Competitive position in data centers - The company is well-positioned in the data center market, focusing on customized solutions rather than standard offerings [89] Question: Impact of rare earth issues on revenue and profit - The rare earth impact in Q2 was approximately $10 million in sales and $6 million in profit, with expectations to recover in the second half [62][64]

Financial Data and Key Metrics Changes - Ore Royalty earned 19,700 GEOs in Q2 2025, a modest increase from Q1, on track to meet the full year guidance of 80,000 to 88,000 GEOs [3] - Quarterly revenues reached $60.4 million, an increase compared to the same period last year, driven by higher commodity prices [6] - Net earnings improved to $0.17 per basic common share, a significant year-over-year improvement from a loss in the previous year [6] - Cash flow per share increased to $0.27 from $0.21 in Q2 of last year, and adjusted earnings rose to $0.18 from $0.13 [6][4] - The company ended Q2 with $49.6 million in cash and achieved a net cash position for the first time in several years [4] Business Line Data and Key Metrics Changes - Over 93% of GEOs earned came from precious metals, with a modest increase in copper contribution primarily from the CSA mine [6][7] - Canadian Malartic showed strong performance with expectations for continued improvement in the second half of the year [7][34] - Mantos Blancos production was flat year-over-year, with expectations for silver grades to improve in the second half [7][34] Market Data and Key Metrics Changes - The gold-silver ratio tightened to approximately 89:1 from highs of 105:1 earlier in the year, indicating potential leverage for investors in silver [10] - Ore Royalty's revenues were predominantly generated from Tier one mining jurisdictions, including Canada, the U.S., and Australia [11] Company Strategy and Development Direction - The company aims to maintain a disciplined capital allocation strategy focused on high-quality accretive streams and royalties [30] - Ore Royalty is committed to returning capital to shareholders, having declared a quarterly dividend of $0.55 per share [5] - The corporate development team is focused on producing assets and high-quality development assets that can contribute to GEOs within the next five years [37][38] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for a stronger second half of 2025, with expectations for increased GEOs from Canadian Malartic and Mantos Blancos [34] - The company is actively pursuing new transaction opportunities while maintaining a strong balance sheet with significant liquidity [30][16] Other Important Information - Ore Royalty's total debt was just under $36 million, with a net cash position of $14 million, indicating a strong financial position [16] - The company is not looking to divest its equity position in Osisko Development, currently at approximately 14.3% [52] Q&A Session Summary Question: Can you provide more color on the second half of this year and where the incremental GEO sales are coming from? - Management expects Canadian Malartic and Mantos Blancos to contribute significantly, with a 55% production split in the second half [33] Question: Can you talk about the preference for producing versus development stage royalties? - The preference is for accretive deals on producing assets, but the company is also looking at high-quality development assets that can contribute within five years [36][38] Question: What criteria do you consider for the new five-year guidance? - Key criteria include confidence in asset contributions, financing visibility, and social license [42][45] Question: How do you see Ore Royalty positioned for larger transactions? - The company is open to billion-dollar transactions if they meet economic returns, but is also working on smaller transactions [47] Question: Are you happy with the 14.3% position in Osisko Development? - Management is pleased with the 14.3% position and does not plan to divest in the near term [52] Question: What is the typical transaction size range for potential deals? - Transaction sizes range from approximately $35 million to close to $1 billion [58]

Financial Data and Key Metrics Changes - Adjusted EBITDA for the quarter fell well below plan, reflecting a significant decline in attendance due to macro factors and extreme weather conditions [20][24][34] - The company ended the quarter with approximately $107 million in cash and cash equivalents, with total liquidity of $540 million [20] - Gross debt outstanding at the end of the second quarter was approximately $5.3 billion, with net debt to annualized second quarter adjusted EBITDA at approximately 6.2 times, above the target range of sub four times [22][34] Business Line Data and Key Metrics Changes - Attendance at Legacy Cedar Fair parks was up 3% during July, while per capita spending on admissions increased by 4% [25][30] - Per capita spending on in-park products at Legacy Cedar Fair parks was up 3%, driven by higher guest spending on food, beverage, and merchandise [25] - The company introduced a reimagined pass structure for the 2026 season pass program to enhance appeal and attract new customers [16] Market Data and Key Metrics Changes - Combined attendance was down 12% over a six-week period due to severe weather, while attendance was flat during the first seven weeks of the quarter when weather was not an issue [24] - Attendance in July was up 1%, with preliminary net revenues down approximately 3% due to pressure on guest spending [29][34] - The company experienced a surge in demand for parks in July, with season pass sales climbing rapidly [11][29] Company Strategy and Development Direction - The company is focused on optimizing assets and reducing net leverage while executing integration efforts [10][18] - A significant restructuring was completed to flatten leadership layers and improve agility, aiming for annualized labor cost reductions of over $20 million [17] - The company is actively pursuing divestitures of non-core assets to accelerate deleveraging [22][58] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that the challenges faced in the first half of the year are largely transient and not indicative of a fundamental change in consumer behavior [49] - The company anticipates stronger second-half results with normalized weather conditions and improved demand trends [37][39] - Management remains committed to reducing leverage and is evaluating opportunities to monetize non-core assets [38][39] Other Important Information - The company incurred $11 million in non-recurring merger-related integration costs and $28 million in adjusted EBITDA add-backs during the quarter [27] - The company expects to reduce full-year operating costs and expenses by 3% compared to last year's combined cost base [18][35] Q&A Session Summary Question: Clarification on macro pressures - Management clarified that macro pressures include significant weather impacts and some pressure on lower-income consumers, but overall spending behavior at parks remains strong [44][46] Question: Impact of weather on long-term targets - Management believes the challenges faced are transient and not reflective of long-term potential, with a focus on finishing 2025 strong and building momentum for 2026 [49][50] Question: Details on divestitures - Management is actively pursuing two non-core asset sales and evaluating other potential divestitures to optimize the portfolio [58][59] Question: Cost savings and synergies - Management confirmed that the goal for permanent cost savings remains at $120 million, with a focus on realizing these synergies in the second half of the year [61][62] Question: Guidance on attendance and pricing - Management indicated that attendance is expected to be flat for the second half, with pricing strategies being adjusted based on demand trends observed in recent weeks [34][91]

Financial Data and Key Metrics Changes - The total net income for Q2 2025 was ARS 40.3 billion, a decline from ARS 119.7 billion in the same quarter of 2024, primarily due to a negative variation of ARS 76 billion in financial results [7][8][13] - EBITDA for the natural gas transportation segment decreased to ARS 85.6 billion from ARS 118.2 billion in Q2 2024, reflecting a reduction of ARS 32 billion [9][10] - EBITDA for the liquids business fell over 50% to ARS 25.3 billion compared to ARS 52.6 billion in Q2 2024, largely due to extraordinary expenses from a flood [10][11] Business Line Data and Key Metrics Changes - The natural gas transportation segment's EBITDA decreased by ARS 32 billion, attributed to transitional tariff adjustments and inflation impacts [9][10] - The liquids segment's EBITDA decline was influenced by ARS 16.6 billion in extraordinary expenses from the March flood and a decrease in sales volume from 250,000 metric tons to 211,000 metric tons [10][11] - Midstream and other services saw an increase in EBITDA to ARS 52 billion from ARS 41.5 billion in 2024, driven by higher sales from increased natural gas transportation volumes [12] Market Data and Key Metrics Changes - The average natural gas transportation volume rose from 25 million permits per day in 2024 to 30 million in Q2 2025, while natural gas conditioning volume increased from 16 million to 27 million cubic meters per day [12] - The price of natural gas increased from ARS 2.9 to ARS 3.3 per million ETU, impacting EBITDA negatively [11] Company Strategy and Development Direction - The company is focused on expanding its transportation capacity, with a bid submitted for the Perito Moreno pipeline expansion project, which is expected to be awarded on October 13, 2025 [5][6] - The company has received a 20-year extension of its license, enhancing its operational stability and long-term planning [6] Management's Comments on Operating Environment and Future Outlook - Management noted that the monthly tariff adjustments will help mitigate some inflation impacts, but the overall operating expenses have increased due to the tariff revision process [30] - The company expects to generate ARS 300 million annually from the regulated EBITDA after the tariff process is completed, contingent on inflation rates in Argentina [41] Other Important Information - The company reported a cash position decrease of 33% to ARS 676 billion, with EBITDA generation during Q2 amounting to ARS 163 billion [14] - A dividend payment of ARS 200 billion was approved and paid in June 2025 [7] Q&A Session Summary Question: Confirmation of impairment related to the climate event - Management confirmed an impact of ARS 16.6 billion due to extraordinary expenses from the flood [18] Question: Update on the NCL project timeline - Management is evaluating costs and expects results by September [20] Question: Sustainability of current EBITDA levels - Management indicated that the midstream services segment is expected to continue growing [22] Question: Recovery of profitability in the liquids segment - Full operations resumed on May 7, and management expects improved performance moving forward [24] Question: Increase in general costs - Management explained that the tariff revision process has led to higher operational costs compared to the previous year [26] Question: Status of insurance claims related to the flood - Insurance assessments are ongoing, with expectations for compensation numbers in two to four months [28] Question: Outlook for the regulated transportation segment - Management stated that future revenues will depend on the level of monthly adjustments based on inflation and wholesale price indices [30] Question: Perito Moreno pipeline tender status - Management confirmed they are the only bidder and expect the contract to be awarded on October 13 [32] Question: Financial investment decision timing - Discussions with gas producers are ongoing, with potential project advancement expected by the end of the year [33] Question: Total cost of maintenance due to the flood - Estimated total costs are around ARS 40 million for all expenses and asset impairments [34] Question: Amount received for ship or pay contract compensation - Management confirmed an amount of ARS 7 million received [35] Question: Deterioration of account receivable for the regulated transportation segment - The issue was attributed to a specific marketer, with 50% of the bad debt recovered [37] Question: CapEx for the Perito Moreno pipeline expansion - Management indicated a CapEx of around ARS 500 million for the project [38] Question: Financing for the GPM pipeline project - Management expects to finance imports of around ARS 70 million and use internal cash for the project [42]

Financial Data and Key Metrics Changes - The company reported a record second quarter with adjusted EBITDA of $464 million, excluding approximately $10 million of one-time transaction-related expenses, and distributable cash flows as adjusted of $300 million [3] - The leverage at the end of the quarter was just under 4.2 times [4] - A distribution of $90.88 per common unit was declared, representing an increase of 1.25% compared to the previous quarter, resulting in a trailing twelve-month coverage ratio of 1.9 times [4] Business Line Data and Key Metrics Changes - In the Fuel Distribution segment, adjusted EBITDA was $214 million, with volumes at 2.2 billion gallons, up 5% from the previous quarter but flat compared to the same quarter last year [6][7] - The Pipeline Systems segment reported adjusted EBITDA of $177 million, with throughput at 1.2 million barrels per day, down from 1.3 million barrels per day in the first quarter [8] - The Terminals segment delivered adjusted EBITDA of $73 million, with throughput at 692,000 barrels per day, up from 620,000 barrels per day in the first quarter [9] Market Data and Key Metrics Changes - The company continues to see solid demand across its system despite macro volatility, with gross profit supported by longer haul tariffs and strong agricultural demand in the Midwest [9] - The overall market for fuel distribution remains flat, but the company expects to leverage its investments for increased volume and EBITDA in the second half of the year [8][10] Company Strategy and Development Direction - The company aims to continue generating increasing distributable cash flow per unit, positioning itself for ongoing distribution increases and additional growth [5] - The acquisition of Parkland is expected to enhance the scale and efficiency of the company's pipeline and terminal segments, with anticipated double-digit accretion [13][14] - The company is focused on strong operational execution, expense discipline, and profit optimization while continuing to grow its asset base [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year guidance, with all three business segments performing well [12] - The company anticipates a strong second half of the year, outperforming the first half, driven by organic growth and acquisitions [12][14] - Recent macro developments, such as the expiration of the federal EV tax credit, are expected to support robust refined product demand for decades [16] Other Important Information - The company spent approximately $120 million on growth capital and $40 million on maintenance capital in the second quarter [3] - The company is on track to meet its 2025 projected capital spend, which includes at least $400 million of growth capital [3] Q&A Session Summary Question: Update on Parkland acquisition synergies and tax implications - Management feels confident in achieving $250 million in synergies by year three and maintaining a long-term leverage target of four times within twelve to eighteen months [21][24] - The recent budget bill is expected to minimize cash tax leakage and maintain parity dividends [25][26] Question: Expectations for fuel margins in the second half of the year - Management indicated that the fundamentals for the fuel distribution business remain healthy, with expectations for noticeable volume growth and healthy margins in the second half [31][33] Question: Capital allocation post-Parkland and Tanguid acquisitions - The top priorities post-acquisition are integrating the acquired assets and returning the balance sheet to the target leverage [44] - The company will assess market opportunities for growth after achieving integration and synergies [44][46] Question: Seasonal slowdown in fuel distribution volumes - Management confirmed expectations for a strong second half of the year, driven by organic investments and roll-up acquisitions [51][53]