Financial Data and Key Metrics Changes - Agilent reported Q4 revenue of $1.86 billion, growing 7.2% on a core basis, marking the sixth consecutive quarter of core growth acceleration [8][28] - Earnings per share for the quarter was $1.59, above the midpoint of guidance and reflecting a 9% year-over-year growth [31] - Gross margins improved sequentially by 100 basis points to 54.1%, although down 100 basis points year-over-year due to tariff headwinds [30] Business Segment Data and Key Metrics Changes - Life Sciences and Diagnostics Group (LDG) grew 11%, driven by strong performance in LC and LCMS instruments and robust CDMO results [29] - Applied Markets Group (AMG) grew 3%, led by high single-digit growth in GC and GCMS [29] - Agilent CrossLab Group (ACG) grew 6%, with high single-digit growth in the rest of the world offset by mid-single-digit declines in China [29] Market Data and Key Metrics Changes - The pharma market saw a 12% growth, with biotech spending growing in the low 20s during the quarter [18][19] - Chemical and advanced materials grew 7%, driven by strong demand in the Americas and Europe [20] - Diagnostics and clinical grew 7%, while environmental and forensics grew 9% [20] Company Strategy and Development Direction - Agilent's strategy focuses on innovative products and services, customer intimacy, increased capabilities, and the Ignite Operating System to drive long-term growth [10][15] - The company aims to advance its Ignite operating system, sharpen commercial execution, and capture opportunities from improving end markets [22][24] - Agilent anticipates 4%-6% core growth for FY2026, supported by structural growth drivers and a focus on instrument replacement cycles [24][26] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the improving pharma market and the potential for reshoring in the pharmaceutical sector [23][60] - The company expects to deliver 75 basis points of operating margin expansion in FY2026, with a focus on innovation and strategic capacity expansion [25][26] - Management highlighted the importance of customer relationships and the positive impact of recent product innovations on future growth [50][66] Other Important Information - Agilent's Ignite Operating System has already delivered over $150 million in annualized savings and improved operational efficiencies [16][17] - The company is focused on deploying capital where it delivers the highest long-term value, balancing investments in innovation and returning capital to shareholders [26][27] Q&A Session Summary Question: Comments on BIOVECTRA performance and CapEx increase - Management expressed satisfaction with BIOVECTRA's performance, attributing strong results to GLP business and indicating plans for key molecules in 2026 [40] - The $100 million CapEx increase is primarily for NASD capacity and consumable expansion [41] Question: Insights on margins and potential for improvement - Management guided for a 75 basis points margin improvement in 2026, driven by pricing optimization and operational efficiencies [42][43] Question: General tone from biopharma customers - Management noted a 12% growth in pharma and low 20s growth in biotech, indicating improved funding and capital spending among large biotech firms [49][50] Question: Visibility on NASD business and capacity expansion - Management confirmed a robust order book for NASD and indicated that capacity expansions are expected to come online in early to mid-2027 [54] Question: Performance in China and future expectations - Management reported a 4% decline in China, attributing it to various market dynamics and maintaining a stable revenue expectation of around $300 million per quarter [57][58] Question: Growth outlook for GLP-1s and competitive positioning - Management indicated that GLP-1 revenue was approximately $130 million in 2025, with strong growth expected in 2026, particularly in India [64][66] Question: Academic and government market performance - Management reported a 10% decline in the academic and government market, primarily due to U.S. federal spending reductions [70]

Financial Data and Key Metrics Changes - For Q3 2026, net sales were $267 million, up 4% sequentially and up 13% year-over-year, driven by data center and LoRa portfolio momentum [4] - Adjusted operating margins grew 180 basis points sequentially and 230 basis points year-over-year [4] - Adjusted diluted earnings per share were $0.48, up 17% sequentially and 85% year-over-year [25] - Adjusted EBITDA was $62.7 million, up 11% sequentially and 23% year-over-year, with an adjusted EBITDA margin of 23.5% [22] Business Line Data and Key Metrics Changes - Infrastructure net sales were $77.9 million, up 6% sequentially and 18% year-over-year, supported by data center business [7] - Data center net sales reached a record $56.2 million, up 8% sequentially and 30% year-over-year [8] - High-end consumer net sales for Q3 were $41.9 million, up 2% sequentially and 5% year-over-year [12] - Industrial net sales were $147.2 million, up 3% sequentially and 12% year-over-year, driven by strong LoRa performance [13] Market Data and Key Metrics Changes - The data center business is expected to see continued growth, with projections for a 10% sequential increase in Q4 [26] - The high-end consumer market is anticipated to decrease by about 3% sequentially in Q4, partially offset by market share gains [26] - The industrial end market is expected to remain flat, with growth in IoT systems and connectivity [26] Company Strategy and Development Direction - The company is focused on capturing growth opportunities in core assets and optimizing its portfolio [19] - The acquisition of the Force Sensing business is expected to enhance the sensor portfolio and create cross-selling opportunities [5][13] - The company aims to lead in ultra-power-efficient solutions across high-bandwidth data center networking and IoT applications [18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth trajectory of the data center business, supported by strong demand for low-power solutions [9][10] - The company is well-positioned to drive LoRa adoption with new capabilities and features [15] - Management highlighted the importance of maintaining a strong balance sheet and reducing interest expenses to support strategic investments [24] Other Important Information - The company completed a $402.5 million convertible note offering, significantly reducing annual interest expenses [23][24] - Operating cash flow for Q3 was $47.5 million, up 60% year-over-year, indicating strong cash generation [25] - The company is actively engaged in divesting non-core assets, with multiple indications of interest from potential acquirers [6][52] Q&A Session Summary Question: What is the outlook for CopperEdge with the lead CSP? - Management indicated that CopperEdge is designed into three programs, with a substantial ramp expected throughout fiscal year 2026 [30][31] Question: How does LPO fit into the market? - Management anticipates a meaningful contribution from LPO in Q4, with strong design wins expected [34] Question: What is the expected gross margin for Q4? - The semiconductor gross margin is projected to be 60.5%, with lower margins anticipated in the IoT systems and connectivity segment [57] Question: What has changed regarding the divestiture of non-core assets? - Management noted increased interest from potential acquirers due to improved geopolitical conditions and business opportunities [52] Question: What is the status of the ACC opportunity? - Management confirmed that there are no reliability issues with ACC, and the ramp is expected to begin in Q4 [60]

Financial Data and Key Metrics Changes - Net sales for fiscal 2025 were $3.1 billion, a decrease of 2% due to lower demand in pet durables and the transition of product lines [14][17] - Non-GAAP gross profit increased to $1 billion, up 4.5%, with non-GAAP gross margin expanding 210 basis points to 32.1% [15][17] - Non-GAAP net income totaled $174 million, up 22%, with record GAAP and non-GAAP earnings per share of $2.55 and $2.73, respectively [17] - Adjusted EBITDA for the year was $371 million compared to $334 million [17] Business Line Data and Key Metrics Changes - In the pet segment, net sales were $428 million, a decrease of 2%, impacted by the closure of U.K. operations and lower durable sales [20] - The garden segment saw net sales of $250 million, a 7% increase, driven by favorable weather and improved sell-through [21] - Consumables now represent approximately 84% of total pet segment sales, highlighting the strength of the core business [20] Market Data and Key Metrics Changes - E-commerce represented 27% of total pet segment sales, consistent with previous quarters, indicating steady consumer engagement [21] - Garden e-commerce sales grew at a double-digit rate, surpassing 10% of total segment sales for the first time [22] Company Strategy and Development Direction - The company is focused on a central-to-home strategy, streamlining operations, and optimizing its portfolio for sustainable growth [4][9] - Strategic investments are being made in innovation, e-commerce, and digital technology to enhance competitive advantage [10][11] - The company aims to balance cost management with targeted investments to fuel organic growth [10] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for fiscal 2026, anticipating challenges due to tariffs and consumer confidence [38][46] - The company expects non-GAAP earnings per share to be $2.70 or better for fiscal 2026, supported by margin expansion and operational performance [9][24] - Management highlighted the importance of weather conditions for the garden segment's performance in the upcoming season [29][46] Other Important Information - The company has a strong balance sheet with cash and cash equivalents totaling $882 million, providing flexibility for growth investments [24] - The ongoing focus on working capital efficiency resulted in a $36 million reduction in inventory [23] Q&A Session Summary Question: Can you discuss the operating margin outlook for the upcoming fiscal year? - Management indicated intentions to expand margins into 2026, though the pace may be slower due to previous efficiencies being realized [27][28] Question: What is the outlook for the garden category in 2026? - Management expressed cautious optimism, citing an expected increase in distribution points and strong execution, but noted that weather will be a significant factor [29] Question: Can you provide details on corporate expenses in Q4? - Corporate expenses increased due to quarterly timing variations and investments to support commercial growth [30] Question: What was the impact of tariffs in Q4? - Gross tariffs were approximately $7 million to $8 million in the fourth quarter [31] Question: How is the company addressing pricing with retail customers? - Management stated that negotiations with customers are ongoing, with expectations to finalize discussions soon [33] Question: What is the company's view on pet ownership trends? - Management noted that pet ownership trends appear to be stabilizing, with slight gains observed in Q4 [41] Question: What is the company's approach to capital allocation? - The company is focused on M&A opportunities while maintaining a strong cash position, with share repurchases being opportunistic [43][50]

Financial Data and Key Metrics Changes - Agilent reported Q4 revenue of $1.86 billion, growing 7.2% on a core basis, marking the sixth consecutive quarter of core growth acceleration [8][27] - Earnings per share for the quarter was $1.59, above the midpoint of guidance and reflecting a 9% year-over-year growth [31] - Gross margins improved sequentially by 100 basis points to 54.1%, although down 100 basis points year-over-year due to tariff headwinds [30] Business Line Data and Key Metrics Changes - Life Sciences and Diagnostics Markets Group (LDG) grew 11%, driven by strong performance in LC and LCMS instruments and robust CDMO results [28] - Applied Markets Group (AMG) grew 3%, led by high single-digit growth in GC and GCMS [28] - Agilent CrossLab Group (ACG) grew 6%, with high single-digit growth in the rest of the world offset by mid-single-digit declines in China [28] Market Data and Key Metrics Changes - The pharma market saw a 12% growth, with biotech spending growing in the low 20s during the quarter [19][24] - Chemical and advanced materials grew 7%, driven by strong demand in the Americas and Europe [20] - Diagnostics and clinical grew 7%, while environmental and forensics grew 9% [20] Company Strategy and Development Direction - Agilent's strategy focuses on innovative products and services, customer intimacy, increased capabilities, and the Ignite operating system to drive long-term growth [10][18] - The company aims to advance its Ignite operating system, sharpen commercial execution, and capture opportunities from improving end markets [23][24] - Agilent anticipates mid-teens growth in specialty CDMO pharma services and continued strength in diagnostics and clinical testing demand [24][25] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the improving visibility around pricing and a stabilizing tariff environment, particularly in the pharma sector [24] - The company expects 4%-6% core growth for FY2026, driven by instrument replacement cycles and demand for specialty CDMO services [25][32] - Management highlighted the importance of reshoring in pharma and anticipates a $1 billion addressable market opportunity by 2030 [50] Other Important Information - Operating cash flow for Q4 was $545 million, with $93 million invested in capital expenditures and $85 million in share repurchases [31] - The company increased its dividend by 3%, reflecting strong financial discipline [31] - Agilent's integration of BioVectra is seen as a positive contributor to future growth [39] Q&A Session Summary Question: Comment on BioVectra's performance - Management expressed satisfaction with BioVectra's performance, driven by GLP business, and highlighted strong integration [39] Question: Clarification on margin guidance - Management provided insights on the 75 basis points margin improvement guidance, attributing it to Ignite pricing optimization and operational efficiencies [40] Question: General tone from biopharma customers - Management noted a positive sentiment in pharma, with a 12% growth overall, and indicated that biotech is starting to recover [42] Question: Visibility on NASD business - Management confirmed a robust order book for the NASD business, with capacity expansions planned for 2026 [45][47] Question: Downside variance in China - Management explained that China experienced a 4% decline, with stable contributions around $300 million per quarter, and noted the impact of federal spending reductions [48][49] Question: Growth outlook for GLP-1s - Management indicated that GLP-1 revenue was about $130 million in 2025, with expectations for continued growth in 2026 [51][52] Question: Academic and government market performance - Management reported a 10% decline in the academic and government market, primarily due to U.S. federal spending reductions [53][54]

Financial Data and Key Metrics Changes - Blue Bird achieved record sales and adjusted EBITDA for Fiscal 2025, with adjusted EBITDA of $221 million, representing 15% of revenue, which is $38 million higher than the previous year [6][18][33] - Total revenue for Fiscal 2025 reached $1.48 billion, an increase of $133 million compared to the prior year [6][18] - The company sold 9,409 buses in 2025, with an average bus revenue per unit of $146,000, up $8,000 from the previous year [6][17] Business Line Data and Key Metrics Changes - Bus net revenue for the year was $1.377 billion, an increase of $134 million or 11% year-over-year [12][18] - Electric vehicle (EV) sales totaled 901 units, a 30% increase from the previous year, representing 9.6% of total volume [6][17] - Parts revenue remained flat at $103 million, maintaining strong demand due to an aging fleet [17][18] Market Data and Key Metrics Changes - The backlog at the end of Q4 was 3,100 units, including 680 EVs, but has since increased to nearly 4,000 units, with over 850 EVs [7][14] - Year-over-year selling prices for buses increased by nearly $8,300 per unit, reflecting pricing actions and tariff recovery [8][12] - The company noted that the fleet is aging, leading to a heavy replacement cycle and pent-up demand in the market [8][22] Company Strategy and Development Direction - Blue Bird is focusing on long-term manufacturing strategies, including automation and production efficiency improvements [4][5] - The company plans to invest in projects with clear returns and is optimistic about the EV market, particularly in the school bus sector [5][9] - The strategy includes maintaining pricing discipline and managing tariff impacts to achieve margin-neutral outcomes [6][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating tariff volatility and highlighted a strong outlook for EVs, supported by state mandates and funding programs [9][22] - The company anticipates a significant increase in EV sales in the second half of Fiscal 2026, similar to the previous year [22][23] - Management remains cautious about the operating environment due to unpredictable tariffs and material costs but maintains a positive long-term outlook [21][22] Other Important Information - Blue Bird ended the year with $229 million in cash and a record liquidity of $371 million [20][21] - The company repurchased $40 million worth of shares during the year and plans to continue returning value to shareholders [20][28] - The upcoming commercial chassis products are expected to contribute to growth, with positive early feedback from customers [40][41] Q&A Session Summary Question: Importance of federal EV bus program for Fiscal 2026 guidance - Management indicated that the Fiscal 2026 guidance does not rely on rounds four and five of the federal EV program, with a strong backlog supporting the outlook [35][36] Question: Order season and demand outlook - Management acknowledged a conservative stance until post-holiday orders are received, but noted strong fundamentals supporting demand [38][39] Question: Commercial chassis project details - The commercial chassis prototypes are undergoing testing, with positive initial reactions from customers [40][41] Question: EV backlog and state incentive programs - Management confirmed an increase in EV backlog and noted that state-level funding programs are becoming more significant drivers of demand [48][49] Question: Competitive dynamics in the school bus market - Management stated it is too early to determine any significant competitive shifts in the school bus market due to tariffs affecting other segments [53][54]

Financial Data and Key Metrics Changes - ECD reported Q3 2025 revenue of $5.8 million, a decrease of $1.2 million compared to Q2 2025 and a decrease of $0.6 million year-on-year [14] - Gross profit for the quarter was negative $1.7 million, down $3.1 million from Q2 2025 and $3.7 million from Q3 2024, primarily due to the completion of older builds [14][15] - Loss from operations was $5.1 million, an increase of $2.5 million from the prior quarter and $4.5 million from the prior year [16] - Net income was $2.2 million compared to a net loss of $4.3 million in the prior quarter and a net loss of $2.6 million in Q3 2024, attributed to non-cash fair value gains from debt conversion [16] Business Line Data and Key Metrics Changes - The company focused on clearing production of older vehicles, which impacted gross margin, but is now shifting to new client builds with healthier economics [6][7] - The average selling price of completed vehicles ranges between $300,000 and $400,000, with almost 700 vehicles completed to date [6] Market Data and Key Metrics Changes - ECD operates in a $90 billion-plus global classic car ecosystem, with a capital-light model and multiple growth channels including retail and licensing [5] - The company is expanding into the Porsche market with a bespoke Porsche 911 restoration, which is expected to elevate average selling prices and drive efficiencies [8][9] Company Strategy and Development Direction - ECD is diversifying its product offerings and has entered the Porsche market, which aligns with its strategy to target high-demand, high-value segments [8][9] - The collaboration with Chelsea Truck Company aims to create modern luxury builds, expanding the total addressable market and leveraging existing factory capacity [10][11] - The company is also focusing on retail strategies and partnerships with dealerships to enhance brand reach and customer engagement [11][12] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing pressures from tariffs and logistics inflation but is implementing measures to optimize sourcing and reshape vendor strategies [7] - The company remains confident in restoring compliance with NASDAQ and is focused on executing its growth strategy to deliver long-term value to shareholders [14][17] Other Important Information - ECD received an extension until January 26 to resolve bid price and shareholder equity deficits [14] - The company has initiated sales of common stock under an equity purchase facility agreement, providing capacity for up to $300 million in common stock sales [17] Q&A Session Summary - There were no questions during the Q&A session, and the call concluded with closing remarks from management [19][20]

Financial Performance and Key Metrics - Keysight reported fourth quarter revenue of $1,419 million, exceeding guidance and reflecting a 10% increase year-over-year, or 9% on a core basis [16] - Orders for the fourth quarter reached $1,533 million, up 14% on a reported basis or 12% on a core basis [17] - Full year revenue was $5,375 million, an 8% increase as reported, or 7% on a core basis, with earnings per share (EPS) of $7.16, up 14% [17][18] Business Segment Performance - The Communication Solutions Group (CSG) generated fourth quarter revenue of $990 million, up 11% on a reported basis, driven by strong wireline and wireless performance [18] - The Electronic Industrial Solutions Group (EISG) reported revenue of $429 million, a 9% increase on a reported basis, with growth in semiconductor and general electronics [18] - Software and services accounted for approximately 37% of total revenue, with annual recurring revenue at 29% [18] Market Performance - Wireline orders and revenue grew double digits in Q4 and for the full year, driven by AI infrastructure buildouts and technology upgrades [6][10] - Wireless orders and revenue grew high single digits for the full year, supported by ongoing standards evolution and early 6G research [9] - Aerospace, defense, and government sectors saw record orders, with revenue increasing by 8% for the year, reflecting strong customer engagement in defense modernization [10][11] Company Strategy and Industry Competition - Keysight's strategy focuses on software-centric solutions and recent acquisitions to enhance capabilities in AI, 6G, and semiconductor markets [4][5] - The company is well-positioned to capture growth opportunities in emerging technologies, including AI and defense, with a robust sales pipeline [4][10] - Keysight aims to realize over $100 million in synergies from recent acquisitions, which are expected to be accretive to earnings within 12 months post-close [20][21] Management Commentary on Operating Environment and Future Outlook - Management expressed optimism about wireless growth in FY2026, driven by stabilization in 5G and advancements in next-gen connectivity [24] - The company anticipates revenue growth in FY2026 to be at or above the high end of its long-term target of 5%-7%, excluding acquisitions [20][22] - Keysight's operating model is expected to generate strong free cash flow, allowing for continued investment in R&D and shareholder returns [5][19] Other Important Information - Keysight achieved record free cash flow of $1.3 billion in FY2025, with $375 million returned to shareholders through buybacks [5][19] - The company has authorized an additional $1.5 billion share repurchase program to support ongoing capital return [5] Q&A Session Summary Question: How does the company see wireless trending in FY2026? - Management is optimistic about wireless growth, driven by stabilization in 5G and investments in advanced technologies [24] Question: What is the expected growth from the adoption of 1.6 TB per second wireline? - The company believes that higher technological complexity will drive growth in wireline, with a strong focus on first-to-market solutions [25] Question: Can you elaborate on the order acceleration and its drivers? - The revenue outperformance was attributed to broad order strength across both CSG and EISG, with a robust pipeline for future growth [27][28] Question: What are the expectations for M&A revenue contributions? - Approximately 30% of the revenue from acquisitions is expected in Q1, with the remainder distributed evenly across the following quarters [39] Question: How does the company plan to achieve operating margin targets? - Management indicated that achieving the 31%-32% operating margin target is further out, with current margins at 26% [47] Question: What is the outlook for software and services revenue growth? - The company expects continued growth in software and services, particularly with the integration of recent acquisitions [56]

Financial Data and Key Metrics Changes - Total revenues increased by 16.6%, nearly doubling passenger traffic growth of 9.3% [11] - Adjusted EBITDA rose 34% to $194 million, marking a new record for the company [4][15] - Adjusted EBITDA margin expanded by 5.2 percentage points to 41.2% [16] Business Line Data and Key Metrics Changes - Aeronautical revenues increased by 15.2%, primarily driven by Argentina, with a 22.1% increase in aeronautical revenues in Argentina [11][12] - Commercial revenues were up 18%, significantly above the 9.3% increase in traffic, supported by higher contributions from cargo and passenger-related services [12][14] Market Data and Key Metrics Changes - Passenger traffic across the airport network increased by over 9%, with Argentina showing a 13% increase in total passenger traffic [3][5][6] - International traffic rose 8%, with Argentina, Italy, and Brazil leading the growth [5][7] - Cargo revenues increased by 20%, driven by a 23% increase in Argentina [9] Company Strategy and Development Direction - The company is advancing its investment plans in Armenia and Italy, with CAPEX program approvals underway [4][20] - Inorganic expansion projects are being evaluated across key target markets, including a recent award agreement for the Baghdad Airport project [20][35] Management's Comments on Operating Environment and Future Outlook - Management anticipates continued positive traffic trends into the fourth quarter, although with a more moderate pace of domestic traffic growth in Argentina [20] - The company remains focused on enhancing passenger experience and expanding commercial offerings [19] Other Important Information - The company ended the quarter with a total liquidity position of $661 million, up 26% from the previous year [17] - Total debt at quarter-end was $1.1 billion, with net debt decreasing to $579 million [17] Q&A Session Summary Question: Update on the rebalance in Argentina and future commercial revenues - Management is making good progress on the rebalance of the concession agreement, but a precise timetable is difficult to provide [24] - Commercial revenues were up 8% versus last year, and the trend is expected to continue [24] Question: Investment opportunities in Armenia and Italy - In Italy, the environmental assessment for the project has been approved, with the next step expected to commence towards the end of the first quarter [28] - Discussions in Armenia are progressing well, but a precise timetable is not available [30] Question: Size of the opportunity at Baghdad Airport - An award agreement has been signed, and management has a constructive view on potential traffic growth in the region [35]

Financial Data and Key Metrics Changes - Total revenues excluding IFRIC 12 increased by 16.6%, nearly doubling the passenger traffic growth of 9.3% [11] - Adjusted EBITDA rose 34% to $194 million, marking a new record for the company [4][15] - Adjusted EBITDA margin expanded by 5.2 percentage points to 41.2% [16] Business Line Data and Key Metrics Changes - Aeronautical revenues increased by 15.2%, primarily driven by Argentina, with a notable 22.1% increase in aeronautical revenues from Argentina [11][12] - Commercial revenues grew by 18%, significantly outpacing traffic growth, supported by higher contributions from cargo, VIP lounges, and other passenger-related services [12][13] Market Data and Key Metrics Changes - Passenger traffic across the airport network increased by over 9%, with Argentina showing a 13% increase in total passenger traffic [3][5] - Domestic traffic in Argentina grew nearly 11%, while international traffic increased by 16% [6] - Cargo revenues rose by 20% year-over-year, driven by a 23% increase in Argentina [9] Company Strategy and Development Direction - The company is advancing its investment plans, with CapEx program approvals underway in Armenia and Italy [4][20] - Strategic initiatives include enhancing passenger experience and expanding commercial offerings, such as new rental hubs and duty-free stores [19][20] - The company is pursuing inorganic expansion opportunities, including a recent award agreement for Baghdad Airport [20] Management's Comments on Operating Environment and Future Outlook - Management anticipates continued positive traffic trends into the fourth quarter, albeit with a more moderate pace of domestic traffic growth in Argentina [20] - The company remains optimistic about the resilience of its business model and the quality of its assets [21] Other Important Information - The total liquidity position at the end of the quarter was $661 million, up 26% from the previous year [17] - Total debt at quarter-end was $1.1 billion, with net debt decreasing to $579 million [17] Q&A Session Summary Question: Update on the rebalance in Argentina and expectations for commercial revenues - Management is making progress on the rebalance of the concession agreement but cannot provide a precise timetable [24] - Commercial revenues were up 8% versus last year, with a continued positive trend expected [24] Question: Investment opportunities in Armenia and Italy - In Italy, the environmental assessment for the project has been approved, with the next steps expected to commence towards the end of the first quarter [28][29] - Discussions in Armenia are progressing well, but a precise timetable cannot be provided [30] Question: Size of the opportunity at Baghdad Airport - An award agreement has been signed, and management is optimistic about potential traffic growth in the region [35]

Financial Data and Key Metrics Changes - Total revenues increased by 16.6%, significantly outpacing passenger traffic growth of 9.3% [12] - Adjusted EBITDA rose 34% to $194 million, marking a new record for the company [5][15] - Adjusted EBITDA margin expanded by 5.2 percentage points to 41.2% [16] Business Line Data and Key Metrics Changes - Aeronautical revenues increased by 15.2%, driven primarily by Argentina, with a notable 22.1% increase in aeronautical revenues from Argentina [12][13] - Commercial revenues grew by 18%, supported by strong performance in cargo, VIP lounges, and other passenger-related services [12][13] - Cargo revenues were up 20% year-over-year, with Argentina seeing a 23% increase [10] Market Data and Key Metrics Changes - Passenger traffic across the airport network increased by over 9%, with Argentina showing a 13% increase in total passenger traffic [4][6] - Domestic traffic in Argentina grew nearly 11%, while international traffic increased by 16% [6] - Brazil and Italy also reported strong traffic growth, with Brazil's total traffic up over 8% [8][9] Company Strategy and Development Direction - The company is advancing its investment plans, with CAPEX program approvals underway in Armenia and Italy [5][20] - Strategic initiatives include enhancing passenger experience and expanding commercial offerings, such as new rental hubs and duty-free stores [19][20] - The company is pursuing inorganic expansion opportunities, including a recent award agreement for Baghdad Airport [20] Management's Comments on Operating Environment and Future Outlook - Management anticipates continued positive traffic trends into the fourth quarter, albeit with a more moderate pace of domestic traffic growth in Argentina [20] - The company remains focused on maintaining a competitive cost structure while enhancing cargo capabilities [11] - Overall, management expressed confidence in the resilience of the business model and the quality of assets [21] Other Important Information - The company ended the quarter with a total liquidity position of $661 million, up 26% from the previous year [17] - Total debt at quarter-end was $1.1 billion, with net debt decreasing to $579 million [17] Q&A Session Summary Question: Update on the rebalance in Argentina and commercial revenues outlook - Management confirmed progress in discussions regarding the rebalance of the concession agreement but could not provide a specific timetable [23][24] - Commercial revenues were reported to be up 8% versus last year, with expectations of continued positive trends [24] Question: Investment opportunities in Armenia and Italy - In Italy, the environmental assessment approval has been obtained, with the next steps expected to commence towards the end of the first quarter [27][28] - Discussions regarding investment opportunities in Armenia are ongoing, with no specific timeline provided [28] Question: Size of the opportunity at Baghdad Airport - Management indicated a constructive view on potential traffic growth in the region, with further details to be provided once the concession agreement is finalized [33][34]