1st Quarter Fiscal Year 2026 Earnings Presentation July 31, 2025 Agenda for Today 1 Q1 Performance Highlights and Business Update 2 Detailed Review of Q1 Results and Guidance Update Q&A 3 2 We believe EBIT, adjusted EBIT, Non-GAAP income before income taxes, Non-GAAP net income, Non-GAAP net income attributable to DXC common stockholders, and Non-GAAP EPS provide investors with useful supplemental information about our operating performance after excluding certain categories of expenses as well as gains and ...

Q2'25 Earnings Forward-looking statements and non-GAAP financial measures This press release contains certain forward-looking statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or our future financial or operating performance and are based on current expectations, estimates, and projections about our industry, management's beliefs, and certain assumptions made by management based on ...

Q2 2025 Financial Results July 31, 2025 Copyright © 2025 Strategy. All Rights Reserved. Strategy Q2 2025 Earnings Call Safe Harbor Statement FORWARD-LOOKING STATEMENTS Some of the information we provide in this presentation regarding our future expectations, plans, guidance, and prospects may constitute forward-looking statements, including, without limitation, our guidance with respect to 2025 operating income, net income, earnings per share, BTC Yield and BTC $ Gain, and the hypothetical valuation models ...

Financial Performance Highlights - Revenue for Q4 Fiscal Year 2025 reached $3175 billion, showing a year-over-year growth of 24% and a quarter-over-quarter growth of 4%[11] - The company achieved a gross margin of 632% and an operating margin of 442%[12] - Net income for the quarter was $12 billion[12] - Non-GAAP diluted EPS stood at $938, while GAAP diluted EPS was $906[14] Revenue Breakdown - Semiconductor Process Control segment contributed $2879 billion in revenue, with a year-over-year growth of 25% and a quarter-over-quarter growth of 5%[16] - PCB and Component Inspection segment generated $142 million in revenue, showing a year-over-year growth of 17% but a quarter-over-quarter decrease of 9%[16] - Specialty Semiconductor Process segment accounted for $154 million in revenue, with a year-over-year growth of 10% but a quarter-over-quarter decrease of 9%[16] - Wafer Inspection accounted for $1772 billion in revenue, with a year-over-year growth of 52% and a quarter-over-quarter growth of 18%[19] Regional Performance - Taiwan accounted for 56% of the company's revenue[19] - China contributed 12% to the company's revenue[19] - North America accounted for 14% of the company's revenue[19] Balance Sheet and Cash Flow - The company holds a strong investment-grade balance sheet with total cash of $4495 billion[21] - Free cash flow for the June quarter was $1065 billion, resulting in a free cash flow margin of 34%[33, 34] - The company returned $6797 million to shareholders through share buybacks ($426 million) and dividends ($254 million) in the June quarter[35] Guidance for Q1 FY2026 - The company projects revenue of $315 billion +/- $150 million for the September 2025 quarter[37] - Non-GAAP gross margin is expected to be 62% +/- 1%[37] - Non-GAAP diluted EPS is forecasted at $853 +/- $077[37]

Financial Performance - The Company's adjusted EBITDA nearly doubled compared to the year-ago period[4] - Gross profit margin reached its highest level in five quarters[5], increasing from 29% to 31%[7, 14] - Q2 2025 EBITDA increased to $11 million from $6 million in Q2 2024[7] - The Company maintains 2025 EBITDA guidance of $40 million to $44 million and revenue guidance of $535 million - $545 million[6] Revenue Analysis - Total Net Sales increased by 1% from $128.209 million in Q2 2024 to $129.313 million in Q2 2025[10] - U S Crop revenue increased by 1% from $52.289 million to $52.674 million[10] - U S Non-Crop revenue increased by 2% from $19.011 million to $19.585 million[10] Operational Efficiency and Debt Reduction - Operating expenses decreased by 13% year-over-year[17] - The company's revolving line of credit decreased from $211 million to $190 million year-over-year[19]

Financial Performance & Outlook - Lumen reported total revenue of $3092 million, a decrease of 5.4% year-over-year and 2.8% quarter-over-quarter[30] - Adjusted EBITDA was $877 million, down 13.3% year-over-year, with an adjusted EBITDA margin of 28.4%, a decrease of 250 bps[35] - The company is guiding towards the high end of its adjusted EBITDA range due to strength in modernization and simplification programs[8] - Lumen revised its 2025 free cash flow outlook upwards to $1.2 to $1.4 billion, primarily driven by a $400 million tax refund, lower capital expenditures, better adjusted EBITDA performance, and lower interest expense[40] Debt Management - Lumen has reached nearly $9 billion in Private Connectivity Fabric (PCF) deals signed to date[8] - The company completed $2 billion in debt refinancing, extending maturities and reducing cash interest[8] - Pro forma Lumen SP debt paydown is projected to result in total debt of $13.5 billion and a gross leverage of 3.9x[28] Strategic Initiatives - Lumen announced the sale of its Consumer FTTH (fiber-to-the-home) business to AT&T for $5.75 billion to reduce leverage and focus on enterprise services[8] - The company is focused on building the backbone for AI, balancing capacity and utilization for optimal return on investment[10] - Lumen is experiencing strong NaaS (Network as a Service) adoption, with a 35% quarter-over-quarter increase in LCF (Lumen Cloud Fabric) customers purchasing and using one or more ports[14] Mass Markets - Total Mass Markets revenue was $602 million, a decrease of 12.8% year-over-year[30] - Fiber Broadband revenue within Mass Markets was $217 million, an increase of 19.9% year-over-year, contributing 36% to total broadband revenue[32]

Q2 2025 Financial Performance - Net sales increased to $202.8 million in Q2 2025, compared to $190.5 million in Q1 2025[19] - Gross margin improved to 31.6% in Q2 2025 from 29.9% in Q1 2025[19] - Adjusted earnings per diluted share increased to $0.34 in Q2 2025 from $0.27 in Q1 2025[19] - Adjusted EBITDA margin increased to 11.8% in Q2 2025 from 10.2% in Q1 2025[19] - The company reported a GAAP net loss of $73.6 million, primarily due to goodwill and other intangible impairment charges of $71.8 million related to the AES curamik® business[19] Market Dynamics and Response - The electric vehicle (EV) market is evolving rapidly, leading to a lower outlook for curamik® EV growth, particularly in North America and Europe[12, 13] - The company is right-sizing curamik® operations, expecting $13 million of annual run rate savings with approximately 1 year payback on restructuring actions[17] - The company is localizing manufacturing with a new curamik® facility in China scheduled to ramp production[17] Q3 2025 Guidance - The company expects net sales between $200 million and $215 million[27] - Gross margin is expected to be between 31.5% and 33.5%[27] - Adjusted earnings per diluted share are guided to be between $0.50 and $0.90[27]

Financial Performance - Total Revenue for Q2 2025 reached $88.7 million, an 8% increase compared to $82 million in Q2 2024[56] - Subscription Revenue for Q2 2025 grew by 12% to $73.3 million, up from $65.6 million in Q2 2024[56] - Adjusted EBITDA for Q2 2025 was $7.4 million, a $2.2 million increase from $5.2 million in Q2 2024[56] - Non-GAAP Earnings Per Share for Q2 2025 was $0.13, compared to $0.07 in Q2 2024[56] - Free Cash Flow for Q2 2025 was $3.2 million, a decrease of $3 million from $6.2 million in Q2 2024[56] - TTM (Trailing Twelve Months) Total Revenue reached $342.7 million, an 8% increase from $317.4 million[56] - TTM Subscription Revenue reached $280.5 million, a 12% increase from $250.7 million[56] - TTM Adjusted EBITDA reached $36.3 million, an $18.4 million increase from $18 million[56] - TTM Free Cash Flow reached $29.2 million, a $5.8 million increase from $23.4 million[56] - TTM Non-GAAP Earnings Per Share reached $0.56, a $0.34 increase from $0.22[56] Growth and Market Opportunity - PROS estimates an underpenetrated, addressable market of over $38 billion[8, 29] - The company processes over 4.5 trillion transactions annually, a 12% year-over-year increase[8, 24] - The company has a customer gross revenue retention rate of over 93%[8] - The company estimates subscription revenue between $295.5 million and $297.5 million for full year 2025[58]

Company Overview - Ryan Specialty is a rapidly growing provider of specialty products and solutions for insurance brokers, agents, and carriers[8] - The company's total revenue for the Last Twelve Months (LTM) ending June 30, 2025, was $2.8 billion[9] - As of June 30, 2025, Ryan Specialty's year-to-date (YTD) total revenue growth was 23.9%[9] - The YTD organic revenue growth was 9.6%[9] - Ryan Specialty is the 2nd largest U S P&C wholesale broker/managing underwriter[9] Market Position and Growth Strategy - Approximately 78% of Ryan Specialty's premiums are placed in the attractive Excess & Surplus (E&S) market[14] - Ryan Specialty's revenue growth with the top 100 retail brokerage firms exceeded the company's organic revenue growth of 12.8% in 2024[36] - The company has completed 62 acquisitions since its founding[35] - Ryan Specialty is capitalizing on market needs to enhance product capabilities through the launch of new Managing General Underwriters (MGUs) and Programs[38] Financial Performance - Ryan Specialty's LTM Adjusted EBITDAC as of June 30, 2025, was $915 million[52] - As of March 31, 2025, the company had $172 million in unrestricted cash and cash equivalents[59] - As of June 30, 2025, Ryan Specialty's net leverage on a credit basis was 3 5x[60]

Financial Performance - SPX Technologies achieved strong Q2 2025 performance with revenue growth of 10%[12] - Adjusted EBITDA grew by 16%, with a margin expansion of 120 bps primarily driven by HVAC[17] - Adjusted EPS increased by 16%[11], reaching $1.65 in Q2 2025[23] compared to $1.42 in Q2 2024[22] - Consolidated Segment Income increased by $18 million year-over-year[27], with HVAC being the primary driver of the margin increase of +110 bps[27] Segment Results - HVAC revenue increased by 5.7% year-over-year[33], with a segment income increase of $12 million and margin increase of 190 bps[33] - Detection & Measurement revenue increased by 21.3% year-over-year[39], with a segment income increase of $6 million[39] Financial Position & Guidance - The company is raising its 2025 guidance, implying +18% growth at midpoint for Adjusted EBITDA[9] - Full-year revenue guidance is $2.225-$2.275 billion[46] - Adjusted EBITDA guidance is $485-$510 million[46] - Adjusted EPS guidance is $6.35-$6.65[46]