Duke Energy (NYSE:DUK) Q3 2025 Earnings Call November 07, 2025 10:00 AM ET Company ParticipantsAbby Motsinger - VP of Investor RelationsHarry Sideris - President and CEOBrian Savoy - EVP and CFOCarly Davenport - VPDiana Niles - Equity Research Product Marketing AssociateConference Call ParticipantsNone - AnalystDavid Paz - SVP and Equity Research AnalystJulien Smith - Research AnalystNicholas Campanella - Senior Equity Research AnalystOperatorHello everyone, and thank you for joining us today for the Duke E ...

Alliant Energy (NasdaqGS:LNT) Q3 2025 Earnings Call November 07, 2025 10:00 AM ET Company ParticipantsRobert Durian - EVP and CFOSusan Gille - Manager of Investor RelationsLisa Barton - President and CEOConference Call ParticipantsWilliam Appicelli - Senior Equity Research AnalystJulien Dumoulin-Smith - Senior Equity Research AnalystAditya Gandhi - Senior Equity Research AnalystNicholas Campanella - Senior Equity Research AnalystOperatorThank you for holding, and welcome to Alliant Energy's Third Quarter 20 ...

Constellation Energy (NasdaqGS:CEG) Q3 2025 Earnings Call November 07, 2025 10:00 AM ET Company ParticipantsEmily Duncan - Senior VP of Investor Relations and Strategic InitiativesJames West - Managing DirectorShar Pourreza - Managing Director and Head of North American Power, Infrastructure, and UtilitiesDan Eggers - CFOJim McHugh - EVP and Chief Commercial OfficerJoe Dominguez - President and CEOAndrew Weisel - DirectorConference Call ParticipantsAngie Storozynski - Senior Equity Research AnalystDavid Arc ...

Financial Data and Key Metrics Changes - For Q3 2025, the company reported a net income of $164 million, down from $176 million a year ago, while diluted earnings per share increased to $1.67 from $1.65 [4][9] - The year-to-date return on equity was 13% as of September 30, 2025 [4] - Consolidated cash and investments totaled $6.6 billion with an annualized investment yield of 3.9% [6][7] Business Line Data and Key Metrics Changes - The U.S. mortgage insurance in force was $249 billion, a 2% increase year-over-year [5][9] - The mortgage insurance net premium earned for Q3 2025 was $232 million, including $15.9 million from Essent Re [10] - The average base premium rate for the U.S. mortgage insurance portfolio remained at 41 basis points, while the average net premium rate decreased by one basis point to 35 basis points [10] Market Data and Key Metrics Changes - The 12-month persistency rate was 86%, unchanged from the previous quarter [5][9] - The default rate on the U.S. mortgage insurance portfolio increased to 2.29%, up 17 basis points from the previous quarter [10] Company Strategy and Development Direction - The company maintains a conservative capital strategy to navigate market volatility while allowing for strategic growth investments [7][14] - A new $500 million share repurchase authorization was approved, running through year-end 2027, indicating a commitment to returning capital to shareholders [8][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of the business, benefiting from favorable credit trends and the current interest rate environment [4] - The company anticipates that the current level of mortgage rates will support elevated persistency in the near term [5] - Management highlighted the strong credit quality of the insurance in force, with a weighted average FICO of 746 [5] Other Important Information - The company repurchased nearly 9 million shares for over $500 million year-to-date through October 31, 2025 [8] - The estimated annual effective tax rate was increased from 15.4% to 16.2% due to withholding taxes incurred on a dividend [11] Q&A Session Summary Question: Credit trends and provisions - Management noted that the average loan size has increased, which impacts provisions when larger loans default [16] Question: Claims amount and severity - Management indicated that fluctuations in claims are dependent on document processing and that severity remains below reserves [18] Question: Seeded premiums and reinsurance transactions - Management explained that seeded premiums will vary based on default and provision activity, with seasonal trends expected [22] Question: Tax rate expectations - Management suggested a tax rate of around 16% going forward, influenced by capital distributions to shareholders [24] Question: Severity rates and long-term expectations - Management stated that while severity rates have increased, the overall risk remains low, and they are well-capitalized to handle potential losses [30][34] Question: Underwriting guardrails and credit score changes - Management reassured that current underwriting standards remain stringent and that any changes in credit score requirements by GSEs have not yet been implemented [42][45] Question: Upstreaming capital from MI subsidiary - Management indicated plans for consistent dividends from the MI subsidiary, with potential for a larger dividend in Q4 [48] Question: Diversification and growth avenues - Management discussed the performance of the Title business and indicated that while it is still small, it is being developed as a potential growth area [50]

3Q25 Earnings Conference Call November 7, 2025 2 3Q25 highlights¹ | | • | 1% increase in revenue to $209 million; 10% growth in revenue outside U.S. credit | | --- | --- | --- | | FINANCIAL PERFORMANCE | • | 9% increase in services revenue2 to a record $29 million | | | • | 3% decline in earnings per share to $1.84 | | | • | $385 million in TTM free cash flow3 generation | | | • | 14% increase in ADV across credit products (ex. U.S. credit) | | | • | Solid progress with our new initiatives across our three ...

AUM and Flows - Ending AUM was $16612 billion, a decrease of 1% compared to the prior year[7,9,11] - Long-term inflows increased 78% year-over-year to $3439 billion[7,48] - Long-term net outflows were $974 billion, compared to $326 billion in the prior year[7] - Excluding Western Asset Management, long-term net inflows were $445 billion, compared to $160 billion in the prior year[7] - ETF AUM increased by 56% to $491 billion with $137 billion of net inflows[7] - Retail SMA AUM increased by 13% to $1645 billion with $27 billion in net inflows[7] - Canvas® AUM increased by 71% to $163 billion with $47 billion of net inflows[7] Financial Performance - Adjusted revenue increased 21% year-over-year to $67011 million[9,11,12] - Adjusted operating income decreased 43% year-over-year to $16402 million[9,11,12] - Adjusted net income decreased 63% year-over-year to $11958 million[9,11,12] - Adjusted diluted EPS decreased 75% year-over-year to $222[9,11,12] Alternatives - Alternative AUM increased to $2639 billion after $139 billion in realizations and distributions[7] - Fundraised $262 billion in alternatives, including $229 billion in private markets[7,17] Capital Management - Returned $930 million to shareholders through dividends ($690 million) and share repurchases ($240 million)[15] - Cash and investments totaled $674 billion[10,12]

Financial Performance - Q3 2025 - Sales reached $448 million, compared to $404 million in the same period of 2024[9, 29] - Adjusted EBITDA stood at $92 million, resulting in an Adjusted EBITDA margin of 20.4%[9, 29] - Adjusted earnings per share (EPS) was $0.69[9, 29] - Adjusted Free Cash Flow was $72 million[9] - Net income was $55 million, with diluted earnings per share at $0.66[10, 29] Balance Sheet and Capital Allocation - The company has $618 million in liquidity[32] - Net Debt to Adjusted EBITDA ratio is 1.0x[32] - $30 million of share repurchases were executed in Q3 2025, with $61 million repurchased year-to-date[32] - The quarterly dividend was increased by 10% to $0.055 per share[32] 2025 Outlook - Sales are projected to be in the range of $1.72 billion to $1.745 billion[33] - Adjusted EBITDA margin is expected to be between 19.50% and 20.0%[33] - Adjusted earnings per share are forecasted to be $2.50 to $2.65[33]

A Clear Path to Transformational Growth Q3 2025 FINANCIAL RESULTS CONFERENCE CALL & WEBCAST NOVEMBER 7, 2025 A CLEAR PATH TO TRANSFORMATIONAL GROWTH The Avino Mine Property A Clear Path to Transformational Growth 2 CAUTIONARY DISCLAIMER: FORWARD-LOOKING STATEMENTS This presentation contains "forward-looking information" and "forward-looking statements" (together, the "forward looking statements") within the meaning of applicable securities laws and the United States Private Securities Litigation Reform Act ...

Financial Data and Key Metrics Changes - Total revenues for Q3 2025 were $37.1 million, down from $39.2 million in Q3 2024 [14] - Core FFO for the quarter was $11 million, or $0.19 per share, compared to $12 million, or $0.21 per share in the same quarter of 2024 [14] - Adjusted EBITDA was $17.4 million, down from $19.1 million in Q3 2024 [15] - Year-to-date core FFO for 2025 was $33.1 million, or $0.59 per share, including approximately $0.05 per share of lease-related termination income [14][15] - The company raised its full-year core FFO guidance to a range of $0.74-$0.76 per share, up from $0.67-$0.71 per share [20] Business Line Data and Key Metrics Changes - The company leased 303,000 sq ft of space in Q3 2025, with a weighted average lease term (WALT) of over 10 years [4] - Year-to-date leasing totaled 919,000 sq ft, in addition to 1.1 million sq ft leased last year [5] - Rent spreads on lease renewals were positive, up over 2% for renewals and over 4% for total leasing activity [6] - The operating property occupancy rate was 72.8% at quarter end, down from 73.7% at the end of 2024 [6] Market Data and Key Metrics Changes - The company has sold seven vacant or soon-to-be-vacant properties totaling 761,000 sq ft for a gross sales price of $64.4 million [8] - Agreements are in place to sell another four properties totaling over 500,000 sq ft for $46.6 million [9] - Approximately 33.9% of the portfolio by annualized base rent and 24.6% by square footage were dedicated use assets (DUAs) [12] Company Strategy and Development Direction - The company is focused on shifting its portfolio away from traditional office properties towards DUAs, which exhibit stronger renewal trends and more durable cash flows [11] - The strategy includes recycling capital from property dispositions into targeted acquisitions of DUAs [11] - The company aims to enhance the quality and durability of its portfolio, with a goal of increasing the WALT [4][12] Management's Comments on Operating Environment and Future Outlook - Management believes 2025 will represent a trough for core FFO, with expectations for accelerating earnings growth and rising occupancy in subsequent years [13][21] - The company is actively managing leverage while maintaining significant liquidity to support ongoing leasing efforts [12] - Management expressed confidence in the continued improvement of the leasing environment and the company's ability to execute its business plan [6][12] Other Important Information - The company ended the quarter with total liquidity of $273 million, including $33 million in cash and $240 million available on the credit facility revolver [17] - The board declared a quarterly cash dividend of $0.02 per share for Q4 2025 [19] Q&A Session Summary Question: Discussion on guidance and lease termination income - Management explained that lease termination income was a result of a negotiated settlement with a tenant, and that leasing efforts in Q3 and Q4 are contributing positively [24][25] Question: Leasing pipeline and demand - Management confirmed that demand for properties remains strong, and the slight decrease in the leasing pipeline is due to fewer expected vacancies and a smaller portfolio [26] Question: Acquisition pipeline and pricing - Management noted a strong pipeline of potential transactions but emphasized the need for selectivity based on pricing and property quality [28]

Financial Data and Key Metrics Changes - The company reported adjusted earnings per share of $1.81 for Q3 2025, an increase of over 11% compared to $1.62 in the previous year [4][13] - The full-year guidance range has been narrowed to $6.25 to $6.35, reflecting confidence in achieving financial targets [4][15] Business Line Data and Key Metrics Changes - Electric Utilities and Infrastructure segment saw an increase of $0.24 driven by higher retail sales volumes and new rate implementations [13] - Gas Utilities and Infrastructure results remained largely flat compared to the previous year, consistent with seasonal trends [13] - The other segment experienced a decline of $0.04 primarily due to higher interest expenses [13] Market Data and Key Metrics Changes - The company is on track to add over 13 gigawatts of capacity in the next five years, with significant investments in new generation [4][5] - The updated Carolinas resource plan anticipates annual customer bill impacts of approximately 2% over the coming decade, which is below the rate of inflation [8] Company Strategy and Development Direction - The company is focused on an ambitious generation build and modernization strategy, with a five-year capital plan projected between $95 billion and $105 billion [5][23] - The strategy includes leveraging AI and technology to maintain a competitive cost structure while ensuring customer affordability [6][7] - The company aims for a long-term EPS growth rate of 5% to 7% through 2029, with confidence in achieving the top half of this range starting in 2028 [5][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strong fundamentals and the ability to meet growing energy demands [11][12] - The company is actively engaging in economic development, securing significant capital commitments from commercial and industrial customers [19][20] - Management highlighted the importance of maintaining affordability for customers while managing costs effectively [6][7] Other Important Information - The company has a ten-year capital plan that is expected to generate over $370 billion in economic output and support nearly 170,000 jobs annually [11] - The company is committed to maintaining a strong balance sheet with a target of 15% FFO to debt over the long term [22][23] Q&A Session Summary Question: Can you speak to the incremental capital you are looking at? - Management indicated that the capital plan will see investments every year, with a focus on infrastructure to serve large load customers [28][29] Question: What is the role of nuclear in your future plans? - Management emphasized the importance of nuclear energy, highlighting the need to resolve cost overrun protections before moving forward with new projects [40][42] Question: How does the high end of the EPS growth range reflect incremental capital? - Management confirmed that the top half of the growth range is supported by the capital plan, which includes significant investments [63] Question: What is the pipeline for large load projects? - Management stated that there is a large and diverse pipeline of projects, focusing on credible hyperscalers and third-party developers [66] Question: What factors determine the equity funding range for capital projects? - Management explained that faster recovery investments would require less equity, while slower recovery projects would necessitate more equity funding [72][73]