Financial Data and Key Metrics Changes - Gross billings reached $40.5 million, a quarter-over-quarter growth of 42.1% and a year-over-year growth of 104.6% [4] - Net revenues for Q3 were $26.3 million, an increase of 87.5% from the same quarter last year [6] - Gross margin for Q3 was 73.3% [6] - Operating loss for Q3 was $4.2 million, with a net loss attributable to ordinary shareholders of $4.8 million, reflecting increases of 428.9% and 669.4% respectively from the same quarter last year [8] - Total cash equivalents and time deposits were $36.6 million at the end of Q3 [8] - Advances from students amounted to $70.7 million at the end of Q3 [8] - Expected net gross billings for Q4 are projected to be between $35 million and $38 million [8] Business Line Data and Key Metrics Changes - Active student base reached 112,600, marking a significant milestone in the company's global expansion strategy [4] - Q3 operating expenses were $23.4 million, a 97.9% increase compared to the same quarter last year, driven by sales and marketing expenses [6][8] - Sales and marketing expenses were $17.5 million, a 114.7% increase from the same quarter last year [6] Market Data and Key Metrics Changes - The company demonstrated robust growth in gross billings and active student enrollment, indicating a successful reach into new markets [4][5] Company Strategy and Development Direction - The company remains focused on executing strategic priorities while maintaining disciplined capital allocation to drive long-term shareholder value [5] - Participation in COP30 in Brazil highlighted the company's commitment to global engagement and diversification of its student portfolio [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the substantial opportunities presented by the global market and the team's ability to execute the strategic vision [5] - The outlook for Q4 reflects current market conditions and customer demand, which are subject to change [8] Other Important Information - The discussion included forward-looking statements under the Safe Harbor provisions, indicating inherent risks and uncertainties [2][3] Q&A Session Summary - There were no questions during the Q&A session [10]

Financial Data and Key Metrics Changes - Microsoft reported record-breaking financial results for FY25, with revenue growing 15% to over $281 billion, operating income increasing 17%, and earnings per share rising 16% [35][41] - The company returned a total of $37.7 billion in cash to shareholders, marking a 10% increase from the previous fiscal year [35] Business Line Data and Key Metrics Changes - Microsoft Cloud business revenue surpassed $168 billion, growing 23% year over year, with Azure revenue growing 34% to over $75 billion [36] - Microsoft 365 Commercial Cloud revenue grew 15%, while Dynamics 365 revenue increased by 19% [36] - The Microsoft 365 business exceeded $95 billion, up 14% year over year, with a consumer subscription base growing to 89 million [37] Market Data and Key Metrics Changes - LinkedIn revenue surpassed $17 billion, with membership growing to 1.2 billion professionals, marking four consecutive years of double-digit member growth [38] - Gaming revenue exceeded $23 billion, with Game Pass revenue reaching nearly $5 billion for the first time [38] Company Strategy and Development Direction - Microsoft is focused on three core business priorities: security, quality, and AI innovation, emphasizing the importance of these areas for future growth [41][40] - The company is investing in AI infrastructure, including new data centers and AI models, to enhance its offerings and meet customer demands [42][43] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to lead in AI and emphasized the transformative potential of AI across various sectors [41] - The company aims to create high-value solutions for customers and communities, ensuring broad access to AI technology [47] Other Important Information - The board of directors nominated John David Rainey for election, who is the CFO of Walmart, to replace Carlos A. Rodriguez [5] - Shareholders approved all management proposals, including executive compensation and the selection of Deloitte & Touche as the independent auditor [33] Q&A Session Summary - Shareholders raised concerns about Microsoft's human rights due diligence and the potential risks associated with AI and cloud services [23][25] - The company responded by highlighting its commitment to human rights and transparency in AI development [31][32] - Shareholders proposed several resolutions related to AI censorship risks and the effectiveness of Microsoft's human rights processes, all of which were not approved [33][34]

Financial Data and Key Metrics Changes - Microsoft reported record-breaking financial results for FY25, with revenue growing 15% to over $281 billion, operating income increasing 17%, and earnings per share rising 16% [35][41] - The company returned a total of $37.7 billion in cash to shareholders, marking a 10% increase from the previous fiscal year [35] Business Line Data and Key Metrics Changes - Microsoft Cloud business revenue surpassed $168 billion, growing 23% year over year, with Azure revenue growing 34% to over $75 billion [36] - Microsoft 365 Commercial Cloud revenue grew 15%, while Dynamics 365 revenue increased by 19% [36] - The Microsoft 365 business exceeded $95 billion, up 14% year over year, with a consumer subscription base growing to 89 million [37] Market Data and Key Metrics Changes - LinkedIn revenue surpassed $17 billion, with membership growing to 1.2 billion professionals, marking four consecutive years of double-digit member growth [38] - Gaming revenue exceeded $23 billion, with Game Pass revenue reaching nearly $5 billion for the first time [38] Company Strategy and Development Direction - Microsoft is focused on three core business priorities: security, quality, and AI innovation, with significant investments in AI infrastructure and solutions [41][42] - The company is building a planet-scale cloud and AI factory, with over 400 data centers across 70 regions [42] - Microsoft aims to lead in AI by integrating AI capabilities across its platforms and services, including the introduction of Copilot features in various applications [44][46] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining growth momentum and emphasized the importance of innovation in AI and security [41][39] - The company anticipates continued demand for its cloud services and AI solutions, projecting strong revenue growth in the upcoming fiscal year [39] Other Important Information - The board of directors nominated John David Rainey for election, who is the Executive Vice President and CFO of Walmart [5] - Shareholders approved all management proposals, including executive compensation and the ratification of Deloitte & Touche as the independent auditor [33] Q&A Session Summary Question: What are the key risks associated with Microsoft's AI initiatives? - Management highlighted the importance of transparency and responsible AI deployment, acknowledging the potential risks of bias and misuse in AI technologies [32][19] Question: How is Microsoft addressing shareholder concerns regarding human rights and AI? - The company stated its commitment to human rights due diligence and ongoing assessments to prevent misuse of its technologies [32][25] Question: What steps is Microsoft taking to ensure its technology aligns with climate goals? - Management acknowledged the need for transparency regarding the environmental impact of its technologies and committed to addressing these concerns in future disclosures [30][29]

Financial Data and Key Metrics Changes - Microsoft reported record-breaking financial results for FY25, with revenue growing 15% to over $281 billion, operating income increasing 17%, and earnings per share rising 16% [32][37] - The company returned a total of $37.7 billion in cash to shareholders, up 10% from the previous fiscal year, and announced a 10% increase in its quarterly dividend [32][33] Business Line Data and Key Metrics Changes - Microsoft Cloud business revenue surpassed $168 billion, growing 23% year over year, with Azure revenue growing 34% to over $75 billion [33] - Microsoft 365 Commercial Cloud revenue grew 15%, while Dynamics 365 revenue increased by 19% [33] - The Microsoft 365 business exceeded $95 billion, up 14% year over year, with a consumer subscription base growing to 89 million [34] Market Data and Key Metrics Changes - LinkedIn revenue surpassed $17 billion, with membership growing to 1.2 billion professionals, marking four consecutive years of double-digit member growth [35] - Gaming revenue exceeded $23 billion, with Game Pass revenue reaching nearly $5 billion for the first time [35] Company Strategy and Development Direction - Microsoft is focused on three core business priorities: security, quality, and AI innovation, with significant investments in AI infrastructure and solutions [37][38] - The company is building a planet-scale cloud and AI factory, optimizing its data centers and expanding its AI capabilities [39][40] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining growth momentum and emphasized the importance of investing in future technologies to create high-value solutions [32][36] - The company is excited about FY26, anticipating continued leadership in AI and innovation across various sectors [36] Other Important Information - The board of directors recommended a vote in favor of several management proposals, including executive compensation and the ratification of Deloitte & Touche as the independent auditor [7][30] - Shareholders did not approve any of the six shareholder proposals presented during the meeting [31] Q&A Session All Questions and Answers Question: What are the key priorities for Microsoft moving forward? - The company highlighted security, quality, and AI innovation as non-negotiable priorities for its future strategy [38] Question: How is Microsoft addressing shareholder concerns regarding AI and privacy? - Microsoft stated that it is committed to transparency and has detailed its existing Human Rights Due Diligence practices, along with plans to enhance them [29] Question: What is the outlook for Microsoft's cloud business? - The cloud business is expected to continue its strong growth trajectory, with significant investments being made to meet increasing demand [33][36]

Financial Data and Key Metrics Changes - Revenues for Q3 2025 were $96.9 million, with operating income at $30.6 million and net income at $15.1 million. Adjusted EBITDA was reported at $61.6 million [4][9] - Available liquidity as of September 30, 2025, was $125.2 million, consisting of $77.2 million in cash and cash equivalents, plus $48 million in undrawn capacity on credit facilities, which is $20.4 million higher than at the end of Q2 2025 [4][9] Business Line Data and Key Metrics Changes - The company operated with a utilization rate of 99.9%, accounting for scheduled dry docking, resulting in an overall utilization of 96.5% [4] - The company extended its backlog to $963 million of fixed contracts, averaging 2.6 years, with potential for more if all options are exercised [9] Market Data and Key Metrics Changes - The shuttle tanker market is tightening in both Brazil and the North Sea, driven by FPSO startups and ramp-ups, which are expected to increase shuttle tanker demand [8][12] - Petrobras' five-year plan indicates that overall production volumes and project startup timelines are in line with or above prior expectations, which is positive for the Brazilian offshore market [12][13] Company Strategy and Development Direction - The company is focused on maintaining a robust financial model, evidenced by successful refinancing efforts and a commitment to debt repayment of $95 million or more per year [9] - The company has established a buyback program and completed the purchase of the Daqing Knutsen, indicating a strategy to enhance shareholder value and fleet growth [5][13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the shuttle tanker demand absorbing the current order book, with expectations of a medium-term shortage of shuttle tankers against forthcoming production [13] - The management refrained from commenting on specific rates related to the Fortaleza Knutsen but indicated satisfaction with the expected rate under the new contract [19][20] Other Important Information - An unsolicited and non-binding offer from the sponsor, KNOT, to buy the publicly owned common units for $10 per unit is currently under evaluation by the Conflicts Committee [3][4] - The company has completed its refinancing schedule for the year, securing a $71 million loan and a $25 million revolving credit facility [8] Q&A Session Summary Question: Can you give me an appreciation for the potential rate change for Fortaleza? - Management did not comment on individual rates but expressed satisfaction with the expected rate [19][20] Question: How many dry dockings are expected in 2026? - Management confirmed that there would be at least four to five dry dockings in 2026 [21] Question: Will G&A expenses change with the acquisition of Daqing? - Management does not expect a material change in G&A expenses, maintaining it at approximately $1.6 million per quarter [22] Question: Has the buyback program concluded? - Management confirmed that the buyback program has concluded, stopping at three million instead of the full ten million authorization [25][26] Question: What is the timeframe for the independent committee process regarding the KNOT offer? - Management indicated that all available information was provided in the press release and that no further comments could be made [28][30]

Financial Data and Key Metrics Changes - Revenues for Q3 2025 were $96.9 million, with operating income at $30.6 million and net income at $15.1 million. Adjusted EBITDA was reported at $61.6 million [4][9] - Available liquidity as of September 30, 2025, was $125.2 million, consisting of $77.2 million in cash and cash equivalents, plus $48 million in undrawn capacity on credit facilities, which is $20.4 million higher than at the end of Q2 2025 [4][9] Business Line Data and Key Metrics Changes - The company operated with a utilization rate of 99.9%, accounting for scheduled dry docking, resulting in an overall utilization of 96.5% [4] - The company extended its backlog to $963 million of fixed contracts, averaging 2.6 years, with potential for more if all options are exercised [8][9] Market Data and Key Metrics Changes - The shuttle tanker market is tightening in both Brazil and the North Sea, driven by FPSO startups and ramp-ups, which are expected to increase shuttle tanker demand [8][12] - Petrobras' five-year plan indicates that overall production volumes and project startup timelines in the pre-salt region are in line with or above prior expectations, suggesting a positive outlook for the Brazilian offshore market [12][13] Company Strategy and Development Direction - The company is focused on maintaining a robust financial model, evidenced by successful refinancing efforts and a commitment to debt repayment of $95 million or more per year [9][10] - The company has established a buyback program and completed the purchase of the Dan Cisne, indicating a strategy to enhance shareholder value and fleet growth [5][6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the shuttle tanker demand absorbing the current order book, with expectations of a medium-term shortage of shuttle tankers against forthcoming production [13] - The management refrained from commenting on specific rates related to the Fortaleza contract but indicated satisfaction with the expected rate change [19][20] Other Important Information - An unsolicited and non-binding offer from the sponsor, KNOT, to buy publicly owned common units for $10 per unit is currently under evaluation by the Conflicts Committee [3][4] - The company has completed its refinancing schedule for the year, securing loans and credit facilities to support its operations [8][10] Q&A Session Summary Question: Can you provide insight on the potential rate change for Fortaleza when it moves to KNOT? - Management did not comment on individual rates but expressed satisfaction with the expected rate [19][20] Question: How many dry dockings are expected in 2026? - Management confirmed that there would likely be four to five dry dockings in 2026 [21] Question: Will G&A expenses change with the acquisition of Dan Cisne? - Management indicated that G&A is not expected to change materially and will remain around $1.6 million per quarter [22] Question: Has the unit buyback program concluded? - Management confirmed that the buyback program has concluded, stopping at three units instead of the full ten [25][26] Question: What is the expected timeframe for the independent committee process regarding the KNOT offer? - Management stated that no further information is available beyond the press release and that the process is ongoing [28][30]

Financial Data and Key Metrics Changes - Revenues for Q3 2025 were $96.9 million, with operating income at $30.6 million and net income at $15.1 million. Adjusted EBITDA was reported at $61.6 million [4][9] - Available liquidity as of September 30, 2025, was $125.2 million, consisting of $77.2 million in cash and cash equivalents and $48 million in undrawn credit facilities, which is $20.4 million higher than at the end of Q2 2025 [4][9] Business Line Data and Key Metrics Changes - The company operated with a utilization rate of 99.9%, accounting for scheduled dry docking, resulting in an overall utilization of 96.5% [4] - The company extended its backlog to $963 million in fixed contracts, averaging 2.6 years, with potential for more if all options are exercised [9][12] Market Data and Key Metrics Changes - The shuttle tanker market is tightening in both Brazil and the North Sea, driven by FPSO startups and ramp-ups, which have positively impacted shuttle tanker demand growth [8][12] - Petrobras' five-year plan for 2026 to 2030 indicates that overall production volumes and project startup timelines are in line with or above prior expectations, suggesting a favorable outlook for the Brazilian offshore market [12] Company Strategy and Development Direction - The company has initiated a buyback program, purchasing nearly 385,000 common units at an average price of $7.87 per unit, which concluded in October [5][26] - The company is focused on prudent debt repayment, targeting $95 million or more per year, to manage its depreciating asset base effectively [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strength of the charter market, indicating that charterers' options are likely to be exercised due to favorable market conditions [11] - The company is optimistic about the future demand for shuttle tankers, anticipating a medium-term shortage against forthcoming production [13] Other Important Information - The company received an unsolicited and non-binding offer from its sponsor, KNOT, to buy publicly owned common units for $10 each, which is currently under evaluation by the Conflicts Committee [3][4] - The company has completed refinancing of two facilities, including a $71 million loan secured by the Synnøve Knutsen and a $25 million revolving credit facility [7][10] Q&A Session Summary Question: Can you provide insight on the potential rate change for Fortaleza when it moves to KNOT? - Management refrained from commenting on specific rates but indicated satisfaction with the expected rate [18][19] Question: Will G&A expenses remain stable despite the acquisition of Dan Cisne? - Management confirmed that G&A is not expected to change materially, maintaining around $1.6 million per quarter [21] Question: Has the unit buyback program concluded? - Management confirmed that the buyback program has concluded, stopping at approximately $3 million instead of the full $10 million authorization [24][26] Question: What is the expected timeframe for the independent committee's evaluation process? - Management stated that all available information has been disclosed, and further details will depend on the Conflicts Committee's discussions with KNOT [27][29]

Financial Data and Key Metrics Changes - The company reported net sales of $1.47 billion, an increase of 9% year-over-year, with adjusted gross margin expansion of 170 basis points and earnings growth of 45% [8][27][32] - Adjusted operating income for the third quarter was break-even, better than the guidance of an adjusted operating loss of $35 million-$55 million [33][34] - Adjusted net loss per share was $0.27, significantly better than the guidance of $0.55-$0.75 [34] Business Line Data and Key Metrics Changes - The intimates business returned to growth, up mid-single digits, gaining over 1% share in the U.S. intimates market [6][15] - PINK achieved double-digit sales growth, with a notable increase in customer acquisition and engagement [17][19] - The Beauty segment grew low single digits, building on last year's mid-teens increase [20][30] Market Data and Key Metrics Changes - The international business saw sales grow over 30%, driven by exceptional performance in China, particularly in the digital channel [8][30] - The U.S. intimates market declined, yet the company grew its market share by over 1% [24][30] Company Strategy and Development Direction - The company is advancing its "Path to Potential" strategy, focusing on four pillars: Supercharging Bra Authority, Recommitting to PINK, Fueling Growth in Beauty, and Evolving Brand Projection [5][25] - The strategy aims to enhance brand distinctiveness and unlock greater value across the ecosystem to drive sustained shareholder returns [5][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to execute the strategy and deliver a strong finish to fiscal 2025, despite being cautious about potential consumer pullback post-holiday [45][37] - The company raised its full-year outlook for net sales to $6.45 billion-$6.48 billion, reflecting strong momentum into the fourth quarter [36][37] Other Important Information - The Victoria's Secret fashion show significantly impacted brand engagement, resulting in increased customer acquisition and social media impressions [10][11] - The company is focusing on reducing promotions while enhancing regular price selling, which has contributed to gross margin expansion [51][70] Q&A Session Summary Question: How is the company maintaining momentum post-fashion show? - Management noted strong traffic and engagement, particularly in stores and internationally, driven by bras and glamour products [48] Question: Can you elaborate on strategies to pull back on promotions? - The company is successfully using gifts with purchase (GWPs) to provide value while reducing promotions, contributing positively to gross margin [51] Question: What is the profile of new customers being acquired? - New customer acquisition is focused on the 18-24 age group, with higher average order values, indicating quality engagement rather than price-driven purchases [58] Question: What is the outlook for operating margins? - Management believes a low double-digit operating margin is achievable over the next couple of years, supported by growth and disciplined expense management [60][61] Question: What is in the pipeline for bra launches in 2026? - The company has several bra launches planned for 2026, building on successful marketing strategies and customer engagement [66]

Financial Data and Key Metrics Changes - The company reported net sales of $1.47 billion, an increase of 9% year-over-year, with adjusted gross margin expansion of 170 basis points and earnings growth of 45% [8][27][32] - Adjusted operating income for the third quarter was break-even, better than the guidance of an adjusted operating loss of $35 million to $55 million [33][34] - Adjusted net loss per share was $0.27, significantly better than the guidance of $0.55 to $0.75 [34] Business Line Data and Key Metrics Changes - The intimates business returned to growth, up mid-single digits, gaining over 1% share in the U.S. intimates market [6][15] - PINK achieved double-digit sales growth, with a notable return to growth in intimates for the first time in years [17][19] - The beauty business grew low single digits, building on last year's mid-teens increase [20][30] Market Data and Key Metrics Changes - International retail sales grew over 30% during the quarter, driven by exceptional performance in China, particularly in the digital channel [8][31] - The company gained over 1% market share in the U.S. intimates market despite the overall market decline [24][30] Company Strategy and Development Direction - The company is focused on a "Path to Potential" strategy built around four pillars: supercharging bra authority, recommitting to PINK, fueling growth in beauty, and evolving brand projection [5][13][19] - The strategy aims to enhance customer acquisition and retention, with a strong emphasis on innovation and emotional connection with customers [12][14][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to execute the strategy and deliver strong results, particularly heading into the holiday season [25][45] - There is caution regarding potential consumer pullback post-holiday, but the company remains optimistic about maintaining momentum [45][76] Other Important Information - The company raised its full-year outlook for net sales to a range of $6.45 billion to $6.48 billion, compared to previous guidance [36][37] - Adjusted operating income guidance for fiscal year 2025 was raised to $350 million to $375 million [37] Q&A Session Summary Question: How is the company maintaining momentum post-fashion show? - Management noted strong traffic and engagement, particularly in stores, and emphasized the importance of the Path to Potential initiatives [48][49] Question: Can you elaborate on strategies to reduce promotions? - The company is pulling back on promotions while utilizing gifts with purchase (GWPs) to drive customer engagement and higher average order values [51][52] Question: What is the profile of new customers being acquired? - New customer acquisition is focused on the 18-24 age group, with a noted increase in higher average order values [55][56] Question: Is a low double-digit EBIT margin achievable? - Management believes a low double-digit operating margin is achievable over the next couple of years, supported by growth and disciplined expense management [58][59]

Financial Data and Key Metrics Changes - The company reported net sales of $1.47 billion, an increase of 9% year-over-year, with adjusted gross margin expansion of 170 basis points and earnings growth of 45% [6][27][32] - Adjusted operating income for the third quarter was break-even, better than the guidance of an adjusted operating loss of $35 million to $55 million [33][34] - Adjusted net loss per share was $0.27, significantly better than the guidance of $0.55 to $0.75 [34] Business Line Data and Key Metrics Changes - The intimates business returned to growth, up mid-single digits, gaining over 1% share in the U.S. intimates market [5][14] - PINK achieved low double-digit sales growth, marking a significant recovery [17][30] - The beauty business grew low single digits, building on last year's mid-teens increase [20][30] Market Data and Key Metrics Changes - International retail sales grew over 30% during the quarter, driven by exceptional performance in China, particularly in the digital channel [6][31] - The company gained market share in the U.S. intimates market despite an overall market decline [25][62] Company Strategy and Development Direction - The company is focused on four strategic pillars: supercharging bra authority, recommitting to PINK, fueling growth in beauty, and evolving brand projection and go-to-market strategy [4][12][19] - The Path to Potential strategy aims to create a powerful multiplier effect, unlocking greater value across the ecosystem [4][26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to execute the strategy and deliver a strong holiday season, despite being cautious about potential consumer pullback post-holiday [25][45] - The company raised its full-year outlook for net sales to a range of $6.45 billion to $6.48 billion, reflecting strong momentum [35][36] Other Important Information - The Victoria's Secret fashion show significantly boosted brand engagement, resulting in nearly 9 million new social followers and 51 billion total media impressions [9][10] - The company is investing in talent to scale its beauty business and enhance its innovation pipeline [20][21] Q&A Session Summary Question: How is the company maintaining momentum post-fashion show? - Management noted strong traffic and engagement, particularly in stores, and emphasized the importance of the Path to Potential initiatives [46][47] Question: Can you elaborate on strategies to reduce promotions? - The company is pulling back on promotions while utilizing gifts with purchase (GWPs) to maintain customer value, contributing positively to gross margin [49] Question: What is the profile of new customers being acquired? - New customer acquisition is focused on the 18-24 age group, with a noted increase in higher average order values [51][52] Question: What is the outlook for operating margins? - Management believes a low double-digit operating margin is achievable over the next couple of years, supported by growth and disciplined expense management [53] Question: What is the cadence of monthly comps in Q3? - Strong performance was noted throughout Q3, with significant amplification in October due to the fashion show, sustaining momentum into November [60][61]