Latest news with #subscriberGrowth
Yahoo
10 hours ago
- Business
- Yahoo
Ituran Location and Control Ltd (ITRN) Q1 2025 Earnings Call Highlights: Record Revenue and ...
Revenue: $86.5 million, a 2% increase year-over-year. Subscription Fees Revenue: $62.2 million, a 2% increase year-over-year. Product Revenue: $24.3 million, a 1% increase year-over-year. EBITDA: $23.3 million, 26.9% of revenues, a 4% increase year-over-year. Net Income: $14.6 million, or $0.73 diluted earnings per share, a 12% increase year-over-year. Operating Cash Flow: $15.5 million for the first quarter. Subscriber Base: Increased by 99,000 to 2,508,000. Dividend: $10 million declared for the quarter, representing $0.50 per share. Net Cash: $75.7 million as of March 31, 2025. Warning! GuruFocus has detected 4 Warning Signs with MOV. Release Date: May 28, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Ituran Location and Control Ltd (NASDAQ:ITRN) achieved a significant milestone by surpassing 2.5 million subscribers, driven by a net addition of 99,000 subscribers in the first quarter. The company signed a new telematics service agreement with Stellantis, a major car OEM manufacturer, contributing to the subscriber growth. First-quarter revenues reached a record $86.5 million, marking a 2% increase year-over-year, with a 7% growth in local currency terms. EBITDA for the quarter increased by 4% to $23.3 million, with a 12% growth in local currency terms. Ituran Location and Control Ltd (NASDAQ:ITRN) declared a $10 million dividend for the quarter, reflecting strong profitability and cash flow, with an annualized dividend yield of around 6%. The strengthening of the US dollar negatively impacted financial results when translated from local currencies, particularly affecting revenues from Brazil and Mexico. The new OEM agreement with Stellantis, while contributing to subscriber growth, involves lower ARPU compared to the company's average. Increased R&D and marketing expenditures outpaced revenue growth, raising concerns about cost management. CapEx was higher than average in Q1, with expectations for it to decrease in subsequent quarters, indicating potential volatility in capital expenditures. The insurance market in Latin America, particularly in Brazil and Mexico, shows limited short-term potential for usage-based insurance (UBI) solutions, impacting growth opportunities in this segment. Q: In terms of new agreements, does it imply you set up new equipment and provide services for each produced car by Stellantis in Latin America, or do you have some options for them? A: Eyal Sheratzky, Co-CEO, explained that the current agreement with Stellantis is to provide services based on existing technology in their cars. While there is potential to broaden the relationship and add other services or hardware in the future, the current focus is on service provision. Q: What primarily affected the ramp-up of your subscription base, given the recent increase to roughly 100,000 per quarter? A: Eyal Sheratzky noted that the agreement with Stellantis initially brought a bulk of car owners to Ituran, which is not typical. Future quarters are expected to return to the usual rate of about 40,000 new subscribers per quarter. Q: Has Ituran taken steps to improve product gross margins, and what should we expect for the next couple of quarters? A: Eli Kamer, CFO, stated that the improvement in gross margins is due to operational leverage and cost savings. While telematics services margins are expected to improve with subscriber growth, product margins may fluctuate due to product mix changes. Q: What are your expectations for the Latin American insurance market, particularly regarding UBI insurance? A: Eyal Sheratzky mentioned that while there is high demand for car theft solutions in Brazil, the insurance companies in Brazil and Mexico are not yet ready to adopt UBI solutions. However, Argentina has shown some interest, and Ituran is prepared to capitalize on future opportunities. Q: Can you discuss the dynamics in the market for product revenues and how you see the pipeline evolving throughout the year? A: Eli Kamer explained that product revenue pipelines are managed on a daily basis, with stock levels adjusted according to demand. Gross margins for product revenues are expected to remain around 20-25%, depending on the product mix. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
31-05-2025
- Business
- Yahoo
Analyst on Netflix (NFLX): Every Selloff Has Been a ‘Tremendous' Opportunity
Commenting on JPMorgan's recent downgrade on Netflix, CNBC's Guy Adami said in a program that while the ratings action is 'reasonable,' Netflix Inc (NASDAQ:NFLX) has defied all selloffs in the past. Very reasonable. I mean, they're overweight, they go to neutral, still have a $1,220—what is it—1220 price target. Good for them. I mean, this is what the analyst community should be doing. I admire the call and I understand it—valuation, the market, all those different things. But with all that said, I don't think you really run all that far away from Netflix. I mean, every selloff for the last couple years has been a tremendous opportunity. They continue to dominate the space. JPMorgan recently cut its rating on Netflix Inc (NASDAQ:NFLX) to Neutral from Overweight. alin-surdu-j5GCqQM3eYA-unsplash (1) Harding Loevner Global Developed Markets Equity Strategy stated the following regarding Netflix, Inc. (NASDAQ:NFLX) in its Q4 2024 investor letter: 'During the quarter, we benefited from strong stocks within the Communication Services and Consumer Discretionary sectors. Netflix, Inc. (NASDAQ:NFLX) was our top relative contributor; the company provided a favorable outlook for subscriber growth in 2025 and made progress in two key areas, live TV and advertising. The streaming service broadcast its first sporting events, including two National Football League games on Christmas, and said that the ad-supported plan it launched two years ago amassed 70 million subscribers, more than investors expected.' While we acknowledge the potential of NFLX, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than NFLX and that has 100x upside potential, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
30-05-2025
- Business
- Yahoo
Analyst on Netflix (NFLX): Every Selloff Has Been a ‘Tremendous' Opportunity
Commenting on JPMorgan's recent downgrade on Netflix, CNBC's Guy Adami said in a program that while the ratings action is 'reasonable,' Netflix Inc (NASDAQ:NFLX) has defied all selloffs in the past. Very reasonable. I mean, they're overweight, they go to neutral, still have a $1,220—what is it—1220 price target. Good for them. I mean, this is what the analyst community should be doing. I admire the call and I understand it—valuation, the market, all those different things. But with all that said, I don't think you really run all that far away from Netflix. I mean, every selloff for the last couple years has been a tremendous opportunity. They continue to dominate the space. JPMorgan recently cut its rating on Netflix Inc (NASDAQ:NFLX) to Neutral from Overweight. alin-surdu-j5GCqQM3eYA-unsplash (1) Harding Loevner Global Developed Markets Equity Strategy stated the following regarding Netflix, Inc. (NASDAQ:NFLX) in its Q4 2024 investor letter: 'During the quarter, we benefited from strong stocks within the Communication Services and Consumer Discretionary sectors. Netflix, Inc. (NASDAQ:NFLX) was our top relative contributor; the company provided a favorable outlook for subscriber growth in 2025 and made progress in two key areas, live TV and advertising. The streaming service broadcast its first sporting events, including two National Football League games on Christmas, and said that the ad-supported plan it launched two years ago amassed 70 million subscribers, more than investors expected.' While we acknowledge the potential of NFLX, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than NFLX and that has 100x upside potential, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
Globe and Mail
27-05-2025
- Business
- Globe and Mail
Zacks Investment Ideas feature highlights: Netflix, Eaton and Centene
For Immediate Release Chicago, IL – May 27, 2025 – Today, Zacks Investment Ideas feature highlights Netflix NFLX, Eaton ETN and Centene CNC. These 3 Companies Crushed Earnings Season The 2025 Q1 earnings season is slowly winding down, with the majority of S&P 500 companies already delivering their results. The period has overall been positive, though commentary surrounding upcoming periods has largely dictated post-earnings moves amid elevated uncertainty stemming from tariff talks. Still, several companies – Netflix, Eaton and Centene – knocked it out of the park, posting robust results that had shareholders pleased. Let's take a closer look at each release for those interested in near-term momentum. Netflix Shares Surge Consistently strong results have led to NFLX's surge over the past year, with the reaffirmation of FY25 guidance in its latest print going a long way in alleviating investors amid the uncertain environment. Up 90% over the past year, the stock has been a massive bright spot, with its run seemingly being ignored by many amid other trends like the AI frenzy. Continued subscriber growth has been the real highlight from Netflix, with the company reporting a negative subscriber growth rate just once over its last 12 quarters. The ad-supported tiers were a big surprise to consumers initially given Netflix's popularity for being ad-free, but the success of the implementation is notable. A big crackdown on password sharing, though initially met with blowback among subscribers, has also unlocked many obvious benefits as the company looks to capture revenue from viewers who were potentially watching without an individual subscription. Netflix's sales growth has remained rock-solid, posting double-digit percentage YoY growth in six consecutive periods. Eaton Breaks Records Eaton's results were fantastic, with the company posting record Q1 adjusted EPS of $2.72 (up 13% YoY), record Q1 sales of $6.4 billion (up 7% YoY), and record segment margins of 23.9% (80 bp increase YoY). Further, organic sales growth totaled 9%, above the high end of previous guidance. ETN topped off the results by raising its organic revenue growth guidance for its current fiscal year. Backlog growth within its Electrical segment improved 6% year-over-year, whereas its Aerospace backlog also enjoyed a 16% surge from the year-ago period. The company's top line has shown solid, consistent growth, as shown below. In addition to consistent sales growth, the company has shown a nice commitment to increasingly rewarding shareholders, sporting a 7% five-year annualized dividend growth rate. As shown in the annual chart below, ETN's dividend growth has remained strong not just over the last five years, but over the last decade overall. Please note that the final value in the chart below is tracked on a trailing twelve-month basis, as the company's current fiscal year hasn't ended yet. Centene Raises Outlook Adjusted EPS of $2.90 and sales of $46.6 billion from Centene blew away our consensus estimates, with earnings up a strong 28% year-over-year. Higher than expected membership growth led the company to up its 2025 premium and service revenues guidance by $6.0 billion, which already improved by a strong 17% YoY throughout the quarter. As shown below, Centene's sales have remained strong over recent periods, with the most recent period reflecting a notable acceleration. The company also maintained its current year EPS guidance, providing investors with a nice sense of stability in an anxious setting. Analysts adjusted their current year sales expectations accordingly following the release and guidance upgrade, with Centene now expected to post $179.6 billion in revenues in its current fiscal year. The stock also sports a favorable Zacks Rank #2 (Buy). Bottom Line The 2025 Q1 earnings season is slowly grinding down, with the majority of S&P 500 companies already delivering their results. The period has been positive so far, with all three companies above posting robust results and either reaffirming or raising their guidance. Why Haven't You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year. Today you can access their live picks without cost or obligation. Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@ Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit for information about the performance numbers displayed in this press release. Zacks Names #1 Semiconductor Stock It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom. With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028. See This Stock Now for Free >> Netflix, Inc. (NFLX): Free Stock Analysis Report Eaton Corporation, PLC (ETN): Free Stock Analysis Report Centene Corporation (CNC): Free Stock Analysis Report
Bloomberg
13-05-2025
- Business
- Bloomberg
Bharti Airtel's Profit Beats Estimate on One-Time Tax Gain
Bharti Airtel Ltd. posted quarterly profit that beat expectations, as India's No. 2 wireless carrier continues to benefit from new subscriber additions and a one-time tax gain. Net income came in at 110.2 billion rupees ($1.29 billion) in the three months ended March, the company said in a statement. That surpassed the 65.1 billion-rupee average of analysts' estimates compiled by Bloomberg.
