Auna (NYSE:AUNA) Q3 2025 Earnings Call November 21, 2025 08:00 AM ET Company ParticipantsNone - OperatorGisele Remy - CFO and EVPMauricio Cepeda - Equity Research Executive DirectorSuso Zamora - Executive Chairman and PresidentAna Maria Mora - Head of Investor RelationsNoneGood morning and welcome to Auna's Third Quarter 2025 Earnings Conference Call. My name is Eric, and I will be the operator for today's call. At this time, all participants are in listen-only mode, and please note that this call is being ...

Financial Data and Key Metrics Changes - The company reported weaker financial results for Q3 2025, with a 5% decline in total adjusted EBITDA primarily due to performance in Mexico [6][9] - Adjusted net income was PEN 58 million for the quarter, with FX-neutral consolidated revenue increasing by 1% [9][22] - Capacity utilization decreased by 3 percentage points to 64%, with a 1.5 percentage point increase in Peru offset by declines in Colombia and Mexico [9][10] Business Line Data and Key Metrics Changes - Peru's revenue grew by 9% and adjusted EBITDA increased by 15%, driven by improved healthcare pricing mix and strong insurance MLR [9][19] - Colombia's revenue grew by 5%, with adjusted EBITDA increasing by 18%, attributed to risk-sharing models and higher average tickets for surgery [20][21] - Mexico experienced a 12% revenue decline, although surgery volumes and oncology services increased [11][12] Market Data and Key Metrics Changes - Peru accounted for over half of the company's revenues, continuing to be a strong growth driver [21] - Colombia's share of revenues from major government payers decreased from 20% to 13%, indicating successful diversification efforts [20][21] - Mexico's revenue decline was influenced by a slower market and operational challenges, including the implementation of new IT systems [12][21] Company Strategy and Development Direction - The company is focused on capturing long-term growth opportunities in Mexico, anticipating a full recovery in 2026 [8][30] - Auna is rolling out new service offerings and enhancing collaboration with physicians to penetrate profitable market segments [14][15] - The partnership with Sojitz Corporation aims to accelerate growth in Mexico while maintaining a disciplined deleveraging path [31][35] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about Mexico's recovery, highlighting stable hospital operations and increased service volumes [6][8] - The company remains committed to improving its leverage ratio to below three times net debt to EBITDA in the medium term [26][27] - Management acknowledged the challenges in Colombia but emphasized the strength of Auna's positioning and growth potential [36][38] Other Important Information - Auna successfully refinanced $765 million in debt, improving its debt profile and extending maturities [26][27] - The company is implementing a comprehensive IT system to enhance operational efficiency and data management [18] Q&A Session Summary Question: Future strategy in Mexico and the rationale for expanding - Management clarified that the partnership with Sojitz is aimed at accelerating growth in Mexico while maintaining leverage targets [34][35] Question: Potential changes in Colombia's leadership and their impact - Management indicated that while political changes may not yield immediate improvements, there are signs of stabilization in the Colombian healthcare sector [36][38] Question: Key KPIs to track for recovery in 2026 - Management highlighted occupancy, payer mix, and surgical productivity as critical KPIs to monitor for tangible recovery [44] Question: Recent share price weakness and institutional investor activity - Management noted that the current share price does not reflect the company's fundamentals and is evaluating options to enhance shareholder value [45] Question: Return on investment timeline for Mexico performance - Management expects 2026 to be a growth year for Mexico, despite setbacks in 2025 [47] Question: Expansion plans in Peru and Mexico - Management confirmed plans to increase capacity in both countries, focusing on high-complexity services [48] Question: Details on the partnership with Sojitz and investment plans - Management confirmed that the $500 million investment plan is related to the MoU with Sojitz, aimed at significant top-line growth [49][50]

Financial Data and Key Metrics Changes - Total revenue for Q3 2025 was $719 million, representing a 47% year-over-year increase and a 9% quarter-over-quarter increase [17] - Cost of goods sold for the quarter was $1.1 billion, an increase of 85% year-over-year and 21% quarter-over-quarter [18] - Gross margin was negative 56.2%, compared to negative 24% in Q3 2024 and negative 41.1% in Q2 2025 [18] - Net loss for the quarter was negative $953 million, with a net loss margin of negative 132.7% [21] - Total available liquidity as of September 30 was $3.7 billion, providing approximately 18 months of operational runway [22] Business Line Data and Key Metrics Changes - In Q3 2025, VinFast delivered 38,195 EVs, a 74% increase year-over-year and 7% quarter-over-quarter [3] - For the first nine months of 2025, total EV deliveries reached 110,362, representing a 149% increase year-over-year [4] - E-scooter and e-bike deliveries totaled 120,052, reflecting a 535% year-over-year increase and 73% quarter-over-quarter growth [4] - The VF3 and VF5 models contributed 47% of total deliveries, while the Green Series accounted for 25% [4] Market Data and Key Metrics Changes - In Vietnam, VinFast's volumes grew 82% year-over-year, while the overall auto industry reported flat sales [7] - In India, VinFast ranked within the top eight for EV registration in October, with sales exceeding internal forecasts [9] - In Indonesia, VinFast captured approximately 5% of the BEV market, ranking fifth among top BEV brands year-to-date [10] - In the Philippines, VinFast opened 13 showrooms and is expanding its marketing efforts [11] Company Strategy and Development Direction - VinFast is focused on growth both domestically and internationally, with a strategy to broaden its EV e-scooter lineup and deepen its presence in the B2B fleet channel [5] - The company is investing in innovation, particularly in vehicle platforms, electrical architecture, and autonomy [5][16] - VinFast aims to balance top-line growth with cost rationalization as a medium-term priority [5] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of continued investment in R&D to strengthen long-term competitiveness [16] - The company remains optimistic about achieving its 2025 guidance and expects to reach 30,000 vehicle deliveries per month soon [34] - Management acknowledged the challenges in the U.S. market but emphasized the need to cultivate relationships with existing dealers [31] Other Important Information - The company plans to introduce three distinct brands by 2026, targeting different market segments [15] - VinFast is expanding its battery infrastructure through VGreen, which is emerging as a significant player in the charging network [12][42] Q&A Session Summary Question: What is the expected timeline and cost for developing the autonomy stack? - The plan for launching is next year in 2026 for the low-cost version for robotaxi [23] Question: What are the capital needs and timeline for achieving positive gross margin? - Total liquidity is $3.7 billion, sufficient for another 18 months based on current projections [24] Question: What percentage of sales in Q4 will come from outside Vietnam? - A slight increase in sales from outside Vietnam is expected in Q4, primarily from India and Indonesia [25] Question: How much will R&D increase to support the new platform? - The target for R&D spending is about $1.6 billion for the year, with a significant portion capitalized for new models [26] Question: What is the outlook for the two-wheeler business in 2026? - The target is to deliver 1.5 million two-wheelers in Vietnam in 2026, representing about 50% of total new sales [45]

OMS Energy Technologies (NasdaqCM:OMSE) Q2 2026 Earnings Call November 21, 2025 07:00 AM ET Company ParticipantsHow Meng Hock - CEOOperatorHello, ladies and gentlemen. Thank you for standing by for OMS Energy Technologies' first half of fiscal year 2026 earnings conference call. At this time, all participants are in listen-only mode. Today's conference call is being recorded. Before we begin, the company's financial and operational results were released through Globe Newswire Services earlier today and have ...

OMS Energy Technologies (NasdaqCM:OMSE) Q2 2026 Earnings Call November 21, 2025 07:00 AM ET Company ParticipantsHow Meng Hock - CEOOperatorHello, ladies and gentlemen. Thank you for standing by for OMS Energy Technologies Inc's first half of fiscal year 2026 earnings conference call. At this time, all participants are in listen-only mode. Today's conference call is being recorded. Before we begin, the company's financial and operational results were released through GlobeNewswire Services earlier today and ...

OMS Energy Technologies (NasdaqCM:OMSE) Q2 2026 Earnings Call November 21, 2025 07:00 AM ET Speaker0Hello, ladies and gentlemen. Thank you for standing by for OMS Energy Technologies' first half of fiscal year 2026 earnings conference call. At this time, all participants are in listen-only mode. Today's conference call is being recorded. Before we begin, the company's financial and operational results were released through Globe Newswire Services earlier today and have been made available online. You can al ...

Financial Data and Key Metrics Changes - For the first quarter of fiscal year 2026, consolidated revenue grew just under 1% year over year to $1.16 billion, with service revenue increasing just under 1% and purchased vehicle sales increasing nearly 2% [17] - Net income was $404 million, up 11.5% versus last year, and earnings per diluted share increased 10.8% to $0.41, driven by revenue growth and margin expansion [18] - Gross profit increased 4.9% to $537 million, with gross margin improving 184 basis points to 46.5% [17][18] Business Line Data and Key Metrics Changes - Total global units sold decreased 6.7%, with global insurance units declining 8.1% and global non-insurance units declining 1.5% [16] - In the U.S., total units sold declined 7.9%, with U.S. insurance volumes declining 9.5% [18] - U.S. purchased vehicle sales increased 10.9%, reflecting higher average sale prices which increased over 50% from the prior year period [20] Market Data and Key Metrics Changes - International revenue increased 1.6% year over year to $202 million, with international service revenues increasing 7.9% [24] - The average selling price for international insurance units declined 2.4% from the prior year period [24] - International buyers purchased vehicles that are 38% higher in value than comparable U.S. buyers [11] Company Strategy and Development Direction - The company is focusing on expanding its non-insurance vehicle business, leveraging rising total loss frequency to draw buyers for repairable vehicles [7][8] - Investments in technology, storage capacity, and logistics infrastructure are aimed at supporting long-term international growth [25] - The company continues to prioritize organic growth while remaining open to strategic acquisitions if compelling opportunities arise [73] Management's Comments on Operating Environment and Future Outlook - Management noted that the decline in insurance unit volumes is tied to changes in consumer behavior and market share shifts among insurance carriers [31] - The long-term trend of total loss frequency is expected to continue upward, despite short-term fluctuations [34] - Management expressed confidence in the company's ability to navigate macroeconomic uncertainties and maintain operational efficiency [25][70] Other Important Information - The company ended the quarter with liquidity of approximately $6.5 billion, including cash and cash equivalents of $5.2 billion and no debt [25] - The company is focused on disciplined capital allocation to support growth while generating robust free cash flow [25] Q&A Session Summary Question: Concerns about the larger than expected decline in unit volumes - Management attributed the decline to changes in insurance coverage and consumer behavior rather than a shift in market share among competitors [31] Question: Insights on total loss frequency trends - Management indicated that total loss frequency is expected to continue its long-term upward trend, despite recent fluctuations [34] Question: Impact of ADAS technology on accident claims - Management acknowledged that safety technologies have historically reduced accident rates, but total loss frequency remains a more significant factor [42] Question: Handling of vehicles involved in severe accidents without insurance - Management confirmed that the company can capture such vehicles through its consumer business, although it is less efficient than institutional relationships [43] Question: Disparity between international and U.S. bidders - Management clarified that international buyers tend to purchase higher value vehicles, leading to a 38% higher average selling price compared to U.S. buyers [50] Question: Future capacity investments - Management stated that while capacity needs have decreased, they will continue to invest in areas where growth is projected [55] Question: Share repurchase strategy - Management emphasized a focus on capital deployment for long-term value creation, with share repurchases being a potential avenue in the future [84][87]

Financial Data and Key Metrics Changes - Global units sold decreased by 6.7% in Q1 FY2026, with fee units down 6.3% [16] - Consolidated revenue grew just under 1% year-over-year to $1.16 billion, with service revenue increasing just under 1% and purchased vehicle sales increasing nearly 2% [17] - Gross profit increased by 4.9% to $537 million, with gross margin improving by 184 basis points to 46.5% [17] - Net income rose by 11.5% to $404 million, and earnings per diluted share increased by 10.8% to $0.41 [18] Business Line Data and Key Metrics Changes - Global insurance units declined by 8.1%, or 5.6% adjusted for catastrophic events, while global non-insurance units decreased by 1.5% [16] - U.S. insurance volumes declined by 9.5%, or 7.3% excluding catastrophic events [18] - U.S. non-insurance business performed well, with dealer unit sales increasing by 5.3% [18] - U.S. purchased vehicle sales increased by 10.9%, reflecting higher average sale prices which increased over 50% from the prior year [20] Market Data and Key Metrics Changes - Total loss frequency in the U.S. was reported at 22.6%, an increase of 80 basis points year-over-year [4] - International buyers purchased vehicles at a value 38% higher than U.S. buyers, indicating strong international demand [11][50] - International revenue increased by 1.6% year-over-year to $202 million, with service revenues up 7.9% [24] Company Strategy and Development Direction - The company is focusing on expanding its non-insurance vehicle business and enhancing auction returns for insurance clients [3][8] - Investments in technology, storage capacity, and logistics infrastructure are aimed at supporting long-term international growth [25] - The company continues to prioritize organic growth while remaining open to strategic acquisitions if compelling opportunities arise [73] Management's Comments on Operating Environment and Future Outlook - Management noted that consumer behavior is shifting towards reduced insurance coverage, impacting total loss processes [7] - The company remains confident in the long-term upward trend of total loss frequency despite recent fluctuations [34] - Management highlighted the importance of maintaining a strong balance sheet and disciplined capital allocation to support growth [25][85] Other Important Information - The company ended the quarter with liquidity of approximately $6.5 billion, including cash and cash equivalents of $5.2 billion and no debt [25] - The company is experiencing a decline in inventory levels, down over 17% from the previous year, while processing capacity is increasing [21] Q&A Session Summary Question: Concerns about the larger than expected decline in unit volumes - Management attributed the decline to changes in insurance coverage and consumer behavior rather than market share shifts [31] Question: Insights on total loss frequency trends - Management indicated that total loss frequency is expected to continue its long-term upward trend despite recent stability [34] Question: Impact of ADAS technology on accident claims - Management confirmed that safety technologies have historically reduced accident rates, but total loss frequency remains a more significant factor [41] Question: Handling of vehicles involved in severe accidents without insurance - Management stated that the company can capture these vehicles through its Cash for Cars platform, albeit less efficiently [43] Question: Disparity between international and U.S. bidders - Management clarified that international buyers tend to purchase higher value vehicles, leading to a significant price differential [50] Question: Future capacity investments - Management indicated that while capacity needs have decreased, they will continue to invest in areas with projected growth [55] Question: Market share dynamics with competitors - Management noted that the insurance industry is dynamic, with different players gaining and losing share over time [58] Question: Cash on the balance sheet and buyback strategy - Management emphasized a disciplined approach to capital allocation, prioritizing investments that create long-term value [83][87]

Financial Data and Key Metrics Changes - For Q1 2026, consolidated revenue grew just under 1% year over year to $1.16 billion, with service revenue increasing just under 1% and purchased vehicle sales increasing nearly 2% [18] - Global units sold decreased 6.7%, with fee units decreasing 6.3%. Normalizing for catastrophic events, global units sold decreased 4.6% [17] - Net income was $404 million, up 11.5% versus last year, and earnings per diluted share increased 10.8% to $0.41 [19] Business Line Data and Key Metrics Changes - Global insurance units declined 8.1% or 5.6% adjusted for catastrophic events, while global non-insurance units declined 1.5% [17] - In the U.S., total units sold declined 7.9% or 5.2% excluding catastrophic events, with U.S. insurance volumes declining 9.5% or 7.3% excluding catastrophic events [19] - U.S. purchased vehicle sales increased 10.9%, reflecting higher average sale prices which increased over 50% from the prior year period [21] Market Data and Key Metrics Changes - Total loss frequency in the U.S. was 22.6%, an increase of 80 basis points year over year [4] - International buyers purchased vehicles that are 38% higher in value than comparable U.S. buyers [11] - Average selling price for international insurance units declined 2.4% from the prior year period [25] Company Strategy and Development Direction - The company is focusing on expanding its non-insurance vehicle business and enhancing auction returns for insurance clients [3][9] - Investments in technology, storage capacity, and logistics infrastructure are aimed at supporting long-term international growth [26] - The company continues to prioritize organic growth while remaining open to strategic acquisitions when compelling opportunities arise [78] Management's Comments on Operating Environment and Future Outlook - Management noted that consumer retrenchment in auto insurance purchasing behavior is impacting unit volumes, but believes total loss frequency will continue to rise over time [6][34] - The company remains confident in its competitive advantage in auction liquidity and returns, which are expected to expand further [14] - Management acknowledged the uncertainty in the macroeconomic environment but expressed optimism about the long-term growth potential [22][72] Other Important Information - The company ended the quarter with liquidity of approximately $6.5 billion, including cash and cash equivalents of $5.2 billion and no debt [26] - Gross profit for the international segment grew 13%, and operating income was $56 million, reflecting a 27.5% operating margin [25] Q&A Session Summary Question: What caused the larger than expected decline in unit volumes? - Management attributed the decline to changes in insurance coverage and consumer behavior, with fewer policies providing collision coverage [31] Question: What has caused the pause in the expansion of total loss frequency? - Management indicated that the total loss frequency is subject to various market dynamics and that fluctuations in input variables like tariffs and parts prices have contributed to the observed trends [34][36] Question: How does the company view the impact of ADAS technology on accident claims? - Management acknowledged that safety technologies have historically reduced accident rates, but the overall impact on total loss frequency remains significant [41] Question: What is the outlook for insurance rates and their impact on the business? - Management noted that potential softening in insurance rates could support business volume, as it may lead to more vehicles being covered by insurance [72] Question: How does the company plan to utilize its cash reserves? - Management emphasized a disciplined approach to capital allocation, focusing on investments that create long-term value, while also considering share repurchases when appropriate [88][92]

Financial Data and Key Metrics Changes - Total revenue for Q3 was $811 million, with non-GAAP operating income at $365 million, exceeding guidance [6] - CRM now constitutes about 20% of total revenue, down from 25% two years ago, indicating growth in other product areas [9] Business Line Data and Key Metrics Changes - Veeva AI is highlighted as a major initiative, with significant progress expected to benefit customers and the industry [6] - Crossix continues to perform well, with expectations for it to remain a growth driver in the coming years [34][39] Market Data and Key Metrics Changes - The overall health of the pharmaceutical industry remains strong, with no significant changes in customer buying behaviors noted [31] - Digital marketing spending is increasing, which positively impacts Crossix's business [39] Company Strategy and Development Direction - The company is focused on delivering integrated solutions across clinical operations and clinical data to drive efficiency [11] - Veeva aims to leverage its consulting, data, and software capabilities to provide comprehensive solutions for life sciences [47][48] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the industry, citing ongoing demand for innovative solutions to address uncured diseases [31] - The company anticipates no material impact on its 2030 goals despite some customer attrition in the CRM segment [9][75] Other Important Information - The company is investing in product and services teams, which may impact margins in the short term but is expected to yield positive results over time [58] - The partnership with IQVIA is seen as beneficial, enhancing customer confidence and operational capabilities [41][42] Q&A Session Summary Question: Concerns about CRM customer migration - Management acknowledged that CRM is about 20% of total revenue and that attrition is expected to have no immediate impact on 2030 goals [9][75] Question: Competitive landscape in EDC market - Management noted that while one customer returned to a previous provider, overall trends in clinical remain positive with opportunities for growth [11] Question: Impact of AI on sales force efficiency - Management indicated that while there have been some reductions in sales force size, the industry is cautious about making significant changes [28] Question: Demand environment in pharma - Management reported that the industry is healthy, with no significant changes in customer buying behaviors despite external political factors [31] Question: Crossix performance and future growth - Management confirmed that Crossix continues to perform well and is expected to be a strong growth driver moving forward [34][39] Question: Quality cloud expansion - Management highlighted that the quality cloud opportunity is expanding through reaching new customer types and product expansion [80]