Oshkosh (NYSE:OSK) Q3 2025 Earnings Call October 29, 2025 09:30 AM ET Company ParticipantsMatt Field - EVP and CFOJohn Pfeifer - President and CEODavid Raso - Senior Managing Director and PartnerJamie Cook - Managing DirectorTami Zakaria - Executive DirectorAngel Castillo - Executive Director and Head of US Machinery and Construction Equity ResearchPat Davidson - SVP Investor RelationsConference Call ParticipantsKyle Menges - VP and Equity Research AnalystNone - AnalystStephen Volkmann - Equity AnalystTim T ...

Oshkosh (NYSE:OSK) Q3 2025 Earnings Call October 29, 2025 09:30 AM ET Speaker3Greetings and welcome to the Oshkosh Corporation Third Quarter 2025 Results Conference call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your hos ...

Leonardo DRS (NasdaqGS:DRS) Q3 2025 Earnings Call October 29, 2025 09:30 AM ET Speaker2Ladies and gentlemen, good day and welcome to the Leonardo DRS third quarter fiscal year 2025 earnings conference call. At this time, all participants are in the listen-only mode. Following the company's prepared remarks, there'll be an opportunity to ask questions and instructions will be given at that time. As a reminder, this event is being recorded. I would now like to turn the conference over to Steve Atter, Senior V ...

UMB Financial (NasdaqGS:UMBF) Q3 2025 Earnings Call October 29, 2025 09:30 AM ET Speaker2Hello everyone and welcome to the UMB Financial Third Quarter 2025 Financial Results Conference Call. My name is Carla and I will be coordinating your call today. During the presentation you can register to ask questions by pressing STAR followed by one on your telephone keypad. If you change your mind, please press STAR followed by two. I would now like to hand the call over to the Investor Relations at UMB, Kay Gregor ...

Financial Data and Key Metrics Changes - Loans held for investment increased by $83 million, or 0.6% linked quarter, and $448 million, or 3.4% year-over-year [4] - Deposit base grew by $550 million, or 3.4% linked quarter, with non-interest-bearing deposits increasing by 5.9% linked quarter [4] - Net income for the third quarter was $56.8 million, representing fully diluted EPS of $0.94, up 2.2% from the prior quarter and 11.9% from the prior year [4][5] - Return on average assets was 1.21% and return on average tangible equity was 12.84% [5] - Net interest income expanded by 2.4% to $165.2 million, with a net interest margin of 3.83%, an increase of two basis points from the prior quarter [5] Business Line Data and Key Metrics Changes - Credit quality remained solid with net charge-offs of $4.4 million, representing 13 basis points of average loans [6] - Non-interest income totaled $39.9 million, up 0.1% linked quarter and 6.3% year-over-year [5] - Non-interest expense increased by $5.8 million, or 4.7% linked quarter, including approximately $2.3 million in non-routine items [5] Market Data and Key Metrics Changes - The company reported a solid trend in criticized loans, with a decrease of about $49 million in the quarter, totaling a decline of $123 million for the first three quarters of the year [34] Company Strategy and Development Direction - The company is focused on organic growth initiatives and has added customer relationship managers in key markets [3][4] - The guidance for loans held for investment is expected to increase in mid-single digits for the full year 2025, with low single-digit growth in deposits [8] - The company plans to maintain a disciplined approach to capital deployment, focusing on organic loan growth and potential market expansion [9] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about maintaining net interest margin in the range of 3.80% to 3.83% despite potential short-term headwinds [31][44] - The company anticipates a proactive approach to share repurchase as capital levels continue to build [17][60] - Management highlighted the competitive landscape in the market, noting that M&A activity presents opportunities for growth [21][26] Other Important Information - The company repurchased $11 million of common stock during the quarter, with a total of $37 million repurchased in the first nine months of the year [6][7] - A quarterly cash dividend of $0.24 per share was declared, payable on December 15 [7] Q&A Session Summary Question: Can you provide details on hiring and future plans? - The company hired approximately 29 new associates in Q3, with a focus on key markets like Houston and Atlanta [12] Question: Will there be an increase in expenses due to hiring? - Yes, the company expects a slight increase in expenses related to new hires, with additional non-routine costs factored in [14][15] Question: How does the company view M&A opportunities? - Management sees M&A as a potential opportunity but emphasizes a focus on organic growth strategies [21][26] Question: What are the trends in classified and criticized loans? - There has been a positive trend with a decrease in criticized loans, contributing to lower provisioning [34] Question: How does the company plan to manage deposit costs? - The company aims to maintain deposit costs while managing competitive pressures and anticipates a drop in deposit costs following Fed rate cuts [43][44]

Financial Data and Key Metrics Changes - Net sales increased by 7% to $244 million, driven by a 5% increase in net price and a 2% increase in volume [4][7][15] - Adjusted EBITDA increased by 16% to $59 million, with adjusted EBITDA margin expanding by 170 basis points to 24.2% [4][7][15] - Gross profit margin increased by 150 basis points to 51.2% [4][7][15] - Net leverage reduced to 1.8x, the lowest level in nearly four years [5][19] Business Line Data and Key Metrics Changes - North American net sales increased by 7% to $208 million, with net price realization increasing by 7% and stable volume [16][17] - European and rest of the world net sales increased by 11% to $36 million, with an 8% increase in volume offsetting a 1% reduction in net price realization [17][18] Market Data and Key Metrics Changes - Strong demand trends were reported, particularly in North America and Canada, with Canada seeing over 20% growth [8][27] - The aftermarket model remains resilient, with approximately 85% of sales aligned with serving the aftermarket needs of the existing installed base [8][9] Company Strategy and Development Direction - The company is focused on expanding customer relationships, developing innovative products, and leveraging operational excellence capabilities [5][6] - Investments are being made in advanced engineering and product development, particularly with the introduction of the OmniX automation platform [11][12][34] - The company is also pursuing additional acquisition opportunities in residential and commercial pool sectors [21][47] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the dynamic environment and raised full-year guidance for net sales and adjusted EBITDA [6][22][23] - The company anticipates solid cash flow generation and a conversion of greater than 100% of net income [23] - Management noted that the macroeconomic and tariff environment continues to evolve, but they remain positive about the long-term growth outlook for the pool industry [24][23] Other Important Information - The company is implementing AI tools to enhance customer service, with new AI agents resolving approximately 80% of inbound calls without human intervention [14][13] - The company has authorized a share repurchase program of up to $450 million over three years [21][22] Q&A Session Summary Question: Demand trends since July and upside in Q3 - Management noted strong sales out demand, particularly in September, and highlighted improved performance in Canada and Europe [26][27][28] Question: Early buy program and price increase reception - The early buy program is tracking well, with discounts offered to mitigate price increases due to inflation and tariffs [29][30] Question: Investments in new products and their impact on sales - The company is making targeted investments in new product development, particularly in technology and innovation, which is expected to drive future sales [33][34] Question: Impact of private label competition - Management believes that their loyal dealer base will continue to appreciate the value proposition of Hayward products despite competition from lower-priced alternatives [40][41] Question: Increase in cash flow guidance - The increase in cash flow guidance is attributed to improved EBITDA, project timing, and working capital management [43][44] Question: International market margin improvements - European margins improved due to stabilization of production capabilities and a cumulative tariff refund [74][75] Question: Tariff refunds and supply chain realignment - The company is actively pursuing tariff refunds and has made significant progress in reducing exposure to China [82][84]

IDEX (NYSE:IEX) Q3 2025 Earnings Call October 29, 2025 09:00 AM ET Company ParticipantsAkhil Mahendra - Interim CFO and VP of Corporate DevelopmentEric Ashleman - President and CEORob Jamieson - VP of Industrial Technology ResearchJim Giannakouros - VP of Investor RelationsConference Call ParticipantsMichael Halloran - Senior Research AnalystNathan Jones - MD and Industrials Equity AnalystWalt Liptak - MD and Senior Equity AnalystBryan Blair - MD and Senior AnalystJoe Giordano - MD and Stock AnalystBrett Li ...

Financial Data and Key Metrics Changes - ProPetro generated total revenue of $294 million, a decrease of 10% compared to the prior quarter [19] - Net loss totaled $2 million or $0.02 loss per diluted share, an improvement from a net loss of $7 million or $0.07 loss per diluted share in the previous quarter [19] - Adjusted EBITDA was $35 million, representing 12% of revenue, and decreased by 29% compared to the prior quarter [19] - Free cash flow for the completions business was $25 million [19] Business Line Data and Key Metrics Changes - The completions business continues to generate sustainable free cash flow despite a decline in activity and related revenue [20] - Capital expenditures incurred were $98 million, with approximately $79 million supporting ProPWR orders [21] - The company anticipates full-year 2025 capital expenditures to be between $270 million and $290 million, down from previous guidance [22] Market Data and Key Metrics Changes - Approximately 70 full-time frac fleets are currently operating in the Permian, down from 90 to 100 fleets at the beginning of the year, indicating a slowdown in the completions market [4] - Pricing discipline has softened at the lower end of the market, particularly among subscale frac providers [7] Company Strategy and Development Direction - ProPetro is focusing on capital light investments and the ProPWR segment as key growth engines [6][10] - The company secured a long-term contract for 60 megawatts to support a hyperscale data center, marking its entry into the data center power market [11] - ProPetro plans to expand its capacity to 750 megawatts by the end of 2028, with a focus on both oilfield power projects and data center applications [12][15] Management's Comments on Operating Environment and Future Outlook - The management expects the challenging operating environment to persist into at least the first half of next year due to tariffs and OPEC production increases [5] - Despite current market challenges, ProPetro is well-positioned with a strong balance sheet and a focus on operational excellence [17] - The company anticipates maintaining 10 to 11 active fleets in the fourth quarter, with expectations for sequential improvement in the ProPWR segment [16] Other Important Information - ProPetro has executed a letter of intent for a $350 million leasing facility to support its ProPWR growth [13][25] - The company is committed to a disciplined approach to capital deployment, ensuring flexibility to pivot between key priorities [24] Q&A Session Summary Question: Details on the 60 megawatt data center contract - The contract involves reciprocating engines and battery energy storage systems, with potential for future capacity expansion [30][33] Question: Future funding structures and liquidity runway - The company prioritizes organic free cash flow for funding, with additional options available for future capital needs [35][38] Question: Contract duration preferences in the current environment - The company evaluates each deal on a case-by-case basis, balancing long-term contracts with potential for higher margins in shorter terms [44][46] Question: Equipment cost differentials between data centers and oilfield microgrids - There is no significant cost differential; the average cost of equipment is around $1.1 million per megawatt [47][48] Question: Deployment of megawatts across different markets - The company anticipates a balanced distribution between oilfield contracts and data center contracts, with potential shifts based on market opportunities [53][56] Question: Concerns about power being bid away from frac business - The company feels confident about its current positioning and the differentiation in equipment used for different applications [61][62] Question: Differentiation between frac and power generation services - Both service lines focus on customer needs, with a strong emphasis on operational excellence and flexibility [66][68]

Financial Data and Key Metrics Changes - ProPetro generated total revenue of $294 million, a decrease of 10% compared to the prior quarter [19] - Net loss totaled $2 million or $0.02 loss per diluted share, an improvement from a net loss of $7 million or $0.07 loss per diluted share in the second quarter [19] - Adjusted EBITDA was $35 million, representing 12% of revenue, and decreased by 29% compared to the prior quarter [19] - Free cash flow for the completions business was $25 million [19] Business Line Data and Key Metrics Changes - The completions business continues to generate sustainable free cash flow despite a decline in activity and related revenue [20] - Capital expenditures incurred were $98 million, with approximately $79 million supporting PROPWR orders [21] - The company anticipates full-year 2025 capital expenditures to be between $270 million and $290 million, down from previous guidance [23] Market Data and Key Metrics Changes - Approximately 70 full-time frac fleets are currently operating in the Permian, down from 90-100 fleets at the beginning of the year, indicating a slowdown in the completions market [4] - Pricing discipline has softened at the lower end of the market, particularly among subscale frac providers [7] Company Strategy and Development Direction - ProPetro is focusing on capital light investments and the industrialized operating model to generate free cash flow [4] - The company is prioritizing investments in PROPWR and FORCE Electric fleets to support future growth [7] - ProPetro secured a long-term contract for 60 MW to support a hyperscale data center, marking its entry into the data center power market [11] Management's Comments on Operating Environment and Future Outlook - Management expects the challenging operating environment to continue into at least the first half of next year due to tariffs and OPEC production increases [5] - The company anticipates maintaining 10-11 active fleets in the fourth quarter, with expectations for sequential improvement in the PROPWR segment [16] - Management remains confident in the company's strategy and future growth, particularly in the PROPWR segment [27] Other Important Information - ProPetro has secured a letter of intent for a $350 million leasing facility to support growth in the PROPWR business [13] - The company plans to reach at least 220 MW contracted by the end of the year, with expectations to deliver 750 MW by year-end 2028 [12] Q&A Session Summary Question: Details on the 60 MW data center contract - The technology deployed includes reciprocating engines and battery energy storage systems, with potential for future capacity expansion [33][34] Question: Future funding structures and liquidity runway - The company prioritizes organic free cash flow for funding, with the leasing facility providing flexible capital for growth [37][39] Question: Contract duration preferences - The 60 MW contract is long-term, with the company evaluating each deal on a case-by-case basis for optimal terms [45][47] Question: Equipment cost differentials - The average cost of equipment, including battery systems, is about $1.1 million per megawatt, with no significant cost differential between data center and Permian microgrid projects [48][49] Question: Deployment of megawatts across markets - The company anticipates a balanced distribution of contracts between data centers and oilfield applications, with potential shifts based on market opportunities [55][56] Question: Differentiation in service lines - Both the frac and power generation businesses focus on customer needs, with a strong emphasis on operational excellence and technology expertise [66][69]

Financial Data and Key Metrics Changes - The company reported total net sales of $175.3 million for Q3 2025, a decrease of $4.2 million or 2.3% from Q3 2024 [17] - Adjusted EBITDA was $49.5 million, an increase of $6.3 million or 14.6% from the previous year, with an adjusted EBITDA margin of 28.2%, up approximately 410 basis points [21] - Free cash flow for the quarter was $59.2 million, $8.1 million lower than Q3 2024, primarily due to unfavorable working capital and a one-time cash contribution related to the pension plan settlement [31] Business Line Data and Key Metrics Changes - Software solutions net sales grew by 10.3% year-over-year, accounting for approximately 52% of total sales in the quarter [5][17] - ActiveDisclosure, a recurring compliance software product, saw sales growth of approximately 26%, marking the third consecutive quarter of double-digit growth [7][22] - Venue's sales increased by approximately 3% year-over-year, benefiting from stable demand across public and private companies [9][23] Market Data and Key Metrics Changes - Capital markets transactional revenue was recorded at $41.8 million, down $3.5 million from last year's Q3, despite a 25% year-over-year increase in U.S. IPO activity [25][26] - Compliance revenue decreased by $2.8 million or 15.4% compared to Q3 2024, driven by lower volume of compliance work [26] Company Strategy and Development Direction - The company is focused on transforming into a software-centric business, aiming to derive approximately 60% of total sales from software solutions by 2028 [6] - Continued investments in modernization and innovation of software products are expected to drive future growth [11] - The company is preparing its 2026 operating plan and extending its long-range plan through 2030, with an emphasis on growing the software solutions portfolio [37] Management's Comments on Operating Environment and Future Outlook - The ongoing U.S. government shutdown has impacted capital markets deal activity, delaying many transactions [12][13] - Despite the shutdown, the company remains well-positioned to capture latent demand when market activity normalizes [14][37] - The company expects Q4 2025 consolidated net sales in the range of $150 million to $160 million, reflecting a slight reduction compared to the previous year [33] Other Important Information - The company completed the termination of its primary defined benefit pension plan, resulting in a non-cash pre-tax settlement charge of $82.8 million [15][16] - The company repurchased approximately 659,000 shares of common stock during Q3 for $35.5 million [32] Q&A Session Summary Question: Impact of government shutdown on Q4 margins - Management indicated that the lower transactional revenue would negatively impact margins, but a recovery from healthcare expenses would help offset this [42][43] Question: SEC reporting frequency changes - Management is monitoring developments regarding the proposal to reduce reporting frequency and believes their subscription model provides insulation from potential impacts [50][52] Question: Resurgence of SPAC IPOs and DFIN's participation - Management noted a decline in market share due to the nature of recent SPAC deals but emphasized participation in quality deals [55][56] Question: Venue performance and timing of M&A deals - Management expressed optimism about Venue's performance and indicated that while the government shutdown has delayed some M&A deals, underlying activity remains strong [62][64] Question: Capital allocation strategy - Management reiterated that maintaining financial flexibility and being opportunistic with share repurchases are top priorities [76]