Financial Data and Key Metrics Changes - Revenue for the quarter was $81.3 billion, up 17% year-over-year and 15% in constant currency [24] - Gross margin dollars increased by 16% and 14% in constant currency, while operating income rose by 21% and 19% in constant currency [24] - Earnings per share was $4.14, an increase of 24% and 21% in constant currency when adjusted for the impact from the investment in OpenAI [24] - Company gross margin percentage was 68%, slightly down year-over-year due to investments in AI infrastructure [25] - Operating expenses increased by 5% and 4% in constant currency, driven by R&D investments [25] Business Line Data and Key Metrics Changes - Microsoft Cloud revenue reached $51.5 billion, growing 26% and 24% in constant currency [30] - Revenue from productivity and business processes was $34.1 billion, growing 16% and 14% in constant currency [30] - M365 Commercial Cloud revenue increased by 17% and 14% in constant currency, with strong contributions from Copilot results [30] - Dynamics 365 revenue increased by 19% and 17% in constant currency, with growth across all workloads [31] - More Personal Computing revenue was $14.3 billion, declining by 3% [34] Market Data and Key Metrics Changes - Commercial bookings increased by 230% and 228% in constant currency, driven by large Azure commitments from OpenAI [28] - Commercial remaining performance obligation increased to $625 billion, up 110% year-over-year [29] - Microsoft Cloud gross margin percentage was slightly better than expected at 67% [30] - LinkedIn revenue increased by 11% and 10% in constant currency, driven by marketing solutions [31] Company Strategy and Development Direction - The company is focusing on AI diffusion and its impact on GDP, with a substantial growth in total addressable market (TAM) across the tech stack [5] - Investments are being made in AI infrastructure and high-value agentic experiences, with a focus on optimizing for long-term competitiveness [5][9] - The introduction of Agent 365 aims to extend governance and security controls to agents built on the cloud [14] - The company is committed to expanding its global footprint and sovereignty solutions to meet local data residency needs [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing demand for cloud services, with expectations of continued strong growth across commercial businesses [24][38] - The company anticipates revenue growth of 15%-17% for the next quarter, with a focus on balancing supply and demand [37] - Management highlighted the importance of investing in R&D and AI talent to drive future growth [49] Other Important Information - Capital expenditures for the quarter were $37.5 billion, with a significant portion allocated to short-lived assets like GPUs and CPUs [26] - Cash flow from operations was $35.8 billion, up 60%, driven by strong cloud billings [27] - The company returned $12.7 billion to shareholders through dividends and share repurchases, an increase of 32% year-over-year [27] Q&A Session Summary Question: Concerns about CapEx growth and Azure revenue - An investor raised concerns about the correlation between CapEx spending and Azure revenue growth, seeking clarity on ROI from these investments [47] - Management responded by emphasizing that CapEx is aimed at meeting increased demand for Azure and supporting long-term R&D and product innovation [48][49] Question: Understanding CapEx investment duration and revenue capture - Another investor inquired about the relationship between hardware CapEx investment and revenue, particularly regarding AI-centric investments [56] - Management clarified that much of the capital being spent is already contracted for its useful life, reducing associated risks [58] Question: Concerns about OpenAI exposure - An investor asked about the durability of the backlog related to OpenAI and its implications for the company [65] - Management highlighted the breadth and diversification of their portfolio, expressing confidence in the partnership with OpenAI [66][67] Question: Capacity additions and future growth - An investor sought comments on the magnitude of capacity additions, particularly in relation to specific sites [71] - Management indicated that they are working hard to add capacity globally and emphasized the need for efficient operations [72] Question: Performance of Maia 200 accelerator - An investor asked about the significance of the Maia 200 accelerator's performance and its implications for gross margins [77] - Management expressed excitement about the progress with Maia 200 and its potential to optimize costs and performance [78][80]

Financial Data and Key Metrics Changes - In Q4 2025, total revenue and adjusted gross profit (AGP) declined approximately 7% and 4% year-over-year, respectively [30][31] - The AGP decline was primarily driven by a 13% year-over-year decline in Global Forwarding's AGP due to a significant drop in ocean rates [30][31] - Personnel expenses were $337 million, including $15.2 million of restructuring charges, while excluding these charges, personnel expenses were down 8.2% year-over-year [31][32] - The company generated $305.4 million in cash from operations in Q4 and ended the quarter with approximately $1.49 billion of liquidity [37][38] Business Line Data and Key Metrics Changes - In North American Surface Transportation (NAST), total volume grew by 1% and truckload volume increased by approximately 3% year-over-year, contrasting with a 7.6% decline in the Cass Freight Shipment Index [5][12] - Global Forwarding expanded gross margins by 100 basis points year-over-year through improved revenue management [6] - The LTL business delivered year-over-year volume growth for the eighth consecutive quarter, reflecting consistent outperformance versus the broader LTL market [14] Market Data and Key Metrics Changes - The Cass Freight Shipment Index declined year-over-year for the thirteenth consecutive quarter, marking the lowest Q4 reading since the financial crisis of 2009 [3][12] - Spot market costs for truckload capacity spiked during the last five weeks of Q4 due to seasonal capacity decline and winter storms [3][17] - Dry van load-to-truck ratios increased to approximately 10 to 1, compared to 6 to 1 during the same period in 2024 [17] Company Strategy and Development Direction - The company is focused on controlling what it can, including providing differentiated service and solutions, executing with discipline, and continuously improving its business model [4][8] - The Lean AI strategy aims to enhance automation and improve customer outcomes while maintaining industry-leading operating margins [9][28] - The company is committed to building a scalable model that leverages AI to drive automation across its operations [9][26] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenging macro environment in Q4, characterized by weak global freight demand and rising costs [3][4] - The company remains confident in its ability to execute strategic initiatives and improve operating leverage when freight demand eventually increases [9][20] - Management emphasized the importance of their Lean AI strategy in navigating market conditions and driving sustainable, profitable growth [39][42] Other Important Information - The company returned approximately $207.7 million to shareholders in Q4 through share repurchases and dividends [38] - The effective tax rate for Q4 was 18.1%, with expectations for the full year tax rate in the range of 18%-20% for 2026 [35] Q&A Session Summary Question: Can you provide perspective on Q1 and AGP growth? - Management noted that December was challenging due to ocean rate normalization and that cost pressures carried into January, but they remain committed to demonstrating outperformance in Q1 [46][48] Question: What are the expectations for operating margins in 2027? - Management indicated that they are on a good trajectory to reach mid-cycle margins and will make decisions on whether to expand margins or reinvest in growth based on market conditions [47][51] Question: How does the company balance headcount reductions with maintaining service quality? - Management clarified that headcount is not a KPI and emphasized that productivity improvements come from process changes rather than simply reducing headcount [81][82]

Inuvo (NYSEAM:INUV) Update / briefing January 28, 2026 05:15 PM ET Company ParticipantsKatie Cooper - Director of Marketing and Creative ServicesRob Buchner - CEOOperatorGood afternoon and welcome to Inuvo's 2026 shareholder update conference call. Today's conference is being recorded. Ms. Katie Cooper of Inuvo, please go ahead.Katie CooperI'd like to thank everyone for joining us today for the Inuvo 2026 shareholder update call. Today, Inuvo's Chief Executive Officer, Rob Buchner, will be your presenter on ...

Financial Data and Key Metrics Changes - The company reported revenues of $717 million for Q3 2026, representing a 13% increase year-over-year, and adjusted earnings per share of $1.94, up 18% compared to the same period last year [5][11] - Adjusted compensation expenses were $441 million for the quarter, compared to $390 million in the same period last year, maintaining an adjusted compensation expense ratio of 61.5% [12][14] Business Line Data and Key Metrics Changes - Corporate Finance generated $474 million in revenue, a 12% increase year-over-year, with 177 transactions closed, up from 170 in the same period last year [7][11] - Financial Restructuring produced $156 million in revenue, a 19% increase year-over-year, with 41 transactions closed, consistent with the same quarter last year [8][11] - Financial and Valuation Advisory revenues were $87 million, a 6% increase year-over-year, with 1,103 fee events, up 10% from 1,005 in the same period last year [12] Market Data and Key Metrics Changes - The company noted an acceleration in private equity activity, with more portfolio companies exploring liquidity options due to improving investor sentiment and expectations of declining interest rates [5][10] - The European market is experiencing significant growth, bolstered by recent acquisitions, which are expected to enhance the company's footprint in France and overall European operations [9][28] Company Strategy and Development Direction - The company aims to expand its workforce and capabilities in key markets, particularly in Europe, where it sees potential for growth comparable to its U.S. corporate finance business [9][10] - Recent acquisitions, including a controlling interest in Audere Partners, are part of the strategy to strengthen the company's position in Europe and enhance its Capital Solutions capabilities [9][14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the M&A recovery, citing improving market conditions and a positive outlook for fiscal year 2027 [5][10] - The company acknowledged potential revenue pressures in restructuring due to an improving market environment but noted that geopolitical events could drive restructuring activity levels higher [8][54] Other Important Information - The company ended the quarter with approximately $1.2 billion in cash and investments and repurchased approximately 418,000 shares as part of its share repurchase program [14][15] - The adjusted effective tax rate for the quarter was 30.6%, down from 33.3% in the same quarter last year, primarily due to decreased state taxes [14] Q&A Session Summary Question: Outlook for restructuring activity - Management indicated that while the market is improving for M&A, there is a structural decline in restructuring activity, though pockets of opportunity may arise due to geopolitical events [18][19] Question: Corporate finance revenue expectations - Management confirmed that corporate finance is strengthening, with increasing M&A activity, particularly in private equity, and good visibility for continued growth [21][22] Question: U.S. vs. non-U.S. growth outlook - Management highlighted that while the U.S. remains the largest market, European operations are growing significantly, supported by recent acquisitions [28][29] Question: Sponsor engagement and market pressures - Management noted a steady improvement in sponsor engagement, with broad-based activity across sectors, despite external pressures [42][44] Question: Capital management and acquisition pipeline - Management stated a strong acquisition pipeline and a preference for strategic acquisitions over share repurchases, while also considering share buybacks as appropriate [57][60] Question: Non-compensation expenses outlook - Management indicated that non-compensation expenses are expected to grow in line with year-to-date trends, with some increases in rent due to acquisitions [64][66] Question: Data bank product strategy - Management discussed the potential for monetizing proprietary data, indicating that it is still in early stages but viewed as a valuable asset for future growth [68][69] Question: Impact of geopolitical uncertainty on activity levels - Management noted that clients are increasingly willing to look past geopolitical noise and continue with business, indicating resilience in the market [74][75] Question: Capital Solutions group build-out - Management described the Capital Solutions group as still in early innings, with significant growth potential across various sectors [76][77] Question: Advisory cycle positioning - Management agreed that the advisory cycle is in early stages, with substantial pent-up demand still present in the market [86][90]

Financial Data and Key Metrics Changes - The company reported record net revenues of $3.7 billion for the fiscal first quarter, with net income available to common shareholders at $562 million and earnings per diluted share of $2.79 [12] - Adjusted net income available to common shareholders was $577 million, resulting in adjusted earnings per diluted share of $2.86, with a pre-tax margin of 19.5% and an adjusted pre-tax margin of 20% [13] - The annualized return on common equity was 18%, and the annualized adjusted return on tangible common equity was 21.4% [13] Business Line Data and Key Metrics Changes - The Private Client Group generated pre-tax income of $439 million on record quarterly net revenues of $2.77 billion, driven by higher assets under administration [14] - The Capital Markets segment generated quarterly net revenues of $380 million and a pre-tax income of $9 million, with revenues declining year-over-year and sequentially due to lower M&A and advisory revenues [14][15] - The asset management segment achieved record pre-tax income of $143 million on record net revenues of $326 million, attributed to higher financial assets under management and strong net inflows [15] - The bank segment generated net revenues of $487 million and record pre-tax income of $173 million, with net interest income growing 6% sequentially [15] Market Data and Key Metrics Changes - The company reported net new asset annualized growth of 8% this quarter, with $31 billion of net new assets, marking the second-best quarter ever [5][31] - Total client assets recruited over the past twelve months exceeded $69 billion across all platforms, reflecting strong recruiting momentum [6] Company Strategy and Development Direction - The company is focused on long-term capital deployment, including investments in technology, acquisitions, and share repurchases, with a commitment to maintaining a strong balance sheet [5][10] - Recent acquisitions, including Clark Capital Management and GreensLedge, are aimed at enhancing the platform and expanding capabilities [9][11] - The company emphasizes a culture that respects advisor independence and ownership, which is seen as a differentiator in attracting and retaining financial advisors [7][32] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future growth driven by a robust advisor recruiting pipeline and strong commitments from prospective advisors [7] - The company acknowledged headwinds from lower interest rates and seasonal impacts typical in the second fiscal quarter but remains focused on generating long-term sustainable growth [27][28] - Management highlighted the importance of personal relationships and a stable platform for advisors, which is expected to differentiate the company in a competitive environment [28][41] Other Important Information - The company repurchased $400 million of common stock at an average share price of $162 during the quarter, with a Tier 1 Leverage Ratio of 12.7% [11][24] - The effective tax rate for the quarter was 22.7%, with an expectation of approximately 24%-25% for fiscal 2026 [24] Q&A Session Summary Question: On net new assets and areas of strength - Management noted that $31 billion of net new assets in the quarter was broad-based, with strong retention of existing advisors and a robust recruiting activity [31][32] Question: On sustainability of net new assets growth - Management expressed confidence in sustaining growth based on strong pipelines and advisor satisfaction, despite competitive pressures [41][54] Question: On capital markets outlook and revenue growth - Management indicated a strong pipeline in capital markets, with expectations for revenue to improve above the current quarter's level [46][61] Question: On M&A results and advisory performance - Management acknowledged challenges in comparing results with peers but emphasized long-term growth trends and sector expertise [82][84] Question: On non-compensation expenses and technology investments - Management highlighted ongoing investments in technology as a key driver of non-compensation expenses, balancing growth with operational efficiency [88][89]

Financial Data and Key Metrics Changes - Consolidated net sales for the second quarter were $149.9 million, benefiting from a higher starting retail backlog and a higher average ticket price, but offset by fewer contract sales and lower demand [7] - Retail written orders declined by 17.9%, while wholesaler orders were down 19.3% compared to the previous year, reflecting macroeconomic challenges and a difficult prior year comparison [7] - Consolidated gross margin was 60.9%, an increase of 60 basis points from a year ago, attributed to a change in sales mix and reduced headcount [8] - Adjusted operating income was $13.5 million, with an operating margin of 9%, significantly higher than the 5.4% margin in the pre-pandemic second quarter of 2019 [8] - Adjusted diluted EPS was $0.44, with an effective tax rate of 25.3% [9] Business Line Data and Key Metrics Changes - Retail written orders showed a decline, with a notable decrease in design center traffic by 11% [7] - The wholesale backlog at the end of the quarter was $49.8 million, influenced by a lower volume of contract orders [8] Market Data and Key Metrics Changes - The company experienced a significant impact from the government shutdown, leading to lower consumer confidence and reduced traffic to design centers [4] - Positive written order growth was observed in January, indicating a potential recovery in consumer behavior [7][34] Company Strategy and Development Direction - The company aims to strengthen its vertically integrated structure, focusing on product programs, marketing, and logistics [13][16] - Approximately 75% of furniture is manufactured in North America, providing a competitive advantage and mitigating tariff exposure [12][13] - Increased advertising spend by 25%, primarily in digital media, is expected to yield future benefits despite not fully impacting the second quarter [15][36] Management's Comments on Operating Environment and Future Outlook - Management noted that the government shutdown had a major impact on orders, but there are signs of recovery as orders are beginning to come in again [21] - The company believes it can maintain strong gross margins due to improvements in talent and technology across its operations [22] - There is cautious optimism regarding consumer behavior returning to normal, with increased traffic noted in January [34] Other Important Information - The company has a robust balance sheet with total cash and investments of $179.3 million and no debt [9] - The company is exposed to tariffs on imported goods, with strategies in place to mitigate these costs through vendor cost sharing and selective price increases [11][30] Q&A Session Summary Question: Retail written orders trends during the quarter - Management acknowledged that retail written orders were impacted by difficult comparisons, with an average decrease of 18% throughout the quarter [19] Question: Improvement in contract side of the business post-government shutdown - Management reported that orders are coming in reasonably high but are lower than the previous year, with a gradual increase observed [21] Question: Sustainability of gross margins moving forward - Management expressed confidence in maintaining gross margins due to ongoing improvements in operations and technology [22] Question: Impact of tariffs and mitigation strategies - Management outlined a three-pronged approach to mitigate tariff impacts, including vendor cost sharing, sourcing diversification, and selective price increases [30][32] Question: January trends and marketing effectiveness - Management attributed improved trends in January to returning consumer confidence and effective marketing strategies [34][36]

Financial Data and Key Metrics Changes - The company delivered 3,435 residential units in Q4 2025, exceeding guidance, with a total of 10,792 units delivered for the full year [4] - Net income for Q4 was $36 million, or $1.21 per diluted share, with adjusted net income at $47 million, or $1.59 per diluted share [19] - Home sales revenues for Q4 reached $1.1 billion, up 16% sequentially, while average sales price decreased by 5% to $367,000 [19][20] - The company reduced net leverage to 26% and generated cash flow from operations of over $150 million [5] Business Line Data and Key Metrics Changes - The Century Living segment contributed to revenues with the sale of a 300-unit multifamily community for $97 million [20] - The company achieved a record net new contracts of 2,702 homes in Q4, a 10% increase year-over-year and a 13% increase sequentially [9] - Direct construction costs decreased by an average of $13,000 per home, and cycle times improved to a record 114 calendar days [6][12] Market Data and Key Metrics Changes - The mortgage capture rate was 84% for both Q4 and the full year, representing records for the company [22] - Adjustable rate mortgages accounted for approximately 25% of originated mortgages in Q4, up from nearly 20% in Q3 [11] Company Strategy and Development Direction - The company plans to grow deliveries by 10% annually in 2026 and 2027 based on existing lot counts, assuming improved market conditions [6][15] - A disciplined approach will be maintained in slower market conditions, focusing on flexibility in land acquisition and development [7][15] - The company aims to deepen its market share in existing markets to drive improved margins and returns [17] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the spring selling season, noting improved order activity and potential consumer interest [28][30] - The company remains cautious, acknowledging that previous expectations for strong sales did not materialize last year [28][52] - Management highlighted the importance of external factors such as interest rate relief and consumer confidence in driving demand [7] Other Important Information - The company repurchased over 7% of its shares outstanding at the beginning of the year and returned a record $178 million to shareholders through dividends and share repurchases [5][23] - The average community count increased by 13% to 318 communities, with expectations for low- to mid-single-digit percentage growth in 2026 [12][14] Q&A Session Summary Question: Insights on the spring selling season and consumer behavior - Management noted that while January sales pace has been slower, order activity has improved sequentially, and there is hope for a better spring selling season [27][28] Question: Expectations for gross margin in the upcoming quarter - Management indicated that gross margins may see a slight pullback due to incentives but expect a more balanced approach moving forward [39] Question: Geographic performance trends - Management did not identify specific regions outperforming others but noted increased traffic driven by mortgage rate trends [40] Question: Remaining stock repurchase authorization - Approximately 1.5 million shares remain under the stock repurchase program [42] Question: Factors influencing SG&A as a percentage of sales - Management explained that Q1 is typically the lowest closing quarter, contributing to a higher percentage of SG&A [49] Question: Confidence in dialing back incentives - Management expressed caution, indicating that they will need to monitor market conditions closely before adjusting incentives [52]

Fair Isaac (NYSE:FICO) Q1 2026 Earnings call January 28, 2026 05:00 PM ET Company ParticipantsAlexander Hess - VP of Equity ResearchDave Singleton - VP of Investor RelationsFaiza Alwy - Managing DirectorKevin McVeigh - Managing DirectorKyle Peterson - Managing Director and Equity ResearchOwen Lau - Managing DirectorRayna Kumar - Managing DirectorRyan Griffin - VP of Equity ResearchSami Nasir - Equity Research AssociateScott Wurtzel - Director of Equity ResearchSteve Weber - CFOWill Lansing - CEOConference C ...

Financial Data and Key Metrics Changes - Consolidated net sales for the second quarter were $149.9 million, benefiting from a higher starting retail backlog and a higher average ticket price, despite a decline in retail written orders by 17.9% and wholesaler orders by 19.3% compared to the previous year [7][8] - Consolidated gross margin was 60.9%, an increase of 60 basis points from a year ago, attributed to a favorable sales mix and reduced headcount [8] - Adjusted operating income was $13.5 million, with an operating margin of 9%, significantly higher than the 5.4% margin in the pre-pandemic second quarter of 2019 [8][9] - Adjusted diluted EPS was $0.44, with an effective tax rate of 25.3% [9] Business Line Data and Key Metrics Changes - Retail written orders declined 17.9%, while wholesaler orders decreased by 19.3%, reflecting macroeconomic challenges and a tough prior year comparison [7] - The wholesale backlog at the end of the quarter was $49.8 million, reduced due to lower contract orders and improved customer lead times [8] Market Data and Key Metrics Changes - Design center traffic declined by 11%, contributing to lower demand trends [7] - Positive written order growth was observed in January, indicating a potential recovery in consumer confidence [4][7] Company Strategy and Development Direction - The company aims to strengthen its vertically integrated structure, focusing on product programs, marketing, and logistics [13][16] - Approximately 75% of furniture is manufactured in North America, providing a competitive advantage and mitigating tariff exposure [12][13] - Increased advertising spend by 25%, primarily in digital media, to enhance customer engagement and drive traffic [15][36] Management's Comments on Operating Environment and Future Outlook - The government shutdown negatively impacted consumer confidence and retail traffic, but there are signs of recovery as traffic improved in January [4][34] - Management is optimistic about maintaining strong gross margins due to disciplined expense management and leveraging technology [22][32] Other Important Information - The company has a robust balance sheet with total cash and investments of $179.3 million and no debt [9][10] - The company declared a regular quarterly cash dividend of 39 cents per share, reflecting its commitment to returning value to shareholders [10] Q&A Session Summary Question: Retail written orders trends during the quarter - Management noted that retail written orders decelerated due to difficult comparisons, with an average decrease of 18% throughout the quarter [19] Question: Improvement in contract side of the business post-government shutdown - Orders are coming in reasonably high but are lower than last year, with a gradual increase observed as the government resumes operations [21] Question: Sustainability of gross margins moving forward - Management believes there is a good opportunity to maintain margins due to improvements in talent and technology across operations [22] Question: Impact of tariffs and mitigation strategies - The company is employing vendor cost sharing, sourcing diversification, and selective retail price increases to mitigate tariff impacts, though some headwinds remain [30][32] Question: Attribution of improved trends in January - Increased consumer traffic is attributed to the resolution of uncertainties from the previous quarter, leading to better engagement with clients [34] Question: Future marketing spend and its effectiveness - The company plans to continue focusing on digital marketing while reducing spending in other mediums, aiming to enhance customer acquisition and traffic [38]

IBM (NYSE:IBM) Q4 2025 Earnings call January 28, 2026 05:00 PM ET Company ParticipantsArvind Krishna - CEOJames Kavanaugh - CFOMatthew Swanson - Director and Equity ResearchOlympia McNerney - Head of Investor RelationsConference Call ParticipantsAmit Daryanani - AnalystOperatorWelcome, and thank you for standing by. At this time, all participants are in a listen-only mode. Today's conference is being recorded. If you have any objections, you may disconnect at this time. Now, I will turn the meeting over to ...