Charged Alpha Stock Encyclopedia

Super Hi (HDL) Q2 2026 — Q2 2026 (three months ended June 30, 2026): revenue $218.8m vs $198.9m, up 10.0%; Haidilao restaurant revenue $197.8m, up 4.6%; same-store sales $179.4m vs $180.9m, down 0.8%; income from operation $8.1m vs $3.7m, margin 3.7% vs 1.9%; loss for the period $1.9m against a $16.4m profit. The 9658 ordinary line fell 6.93% on August 27 on 1,745,400 shares; the ADS closed $13.275, down 6.05% on 1,157 shares.

Super Hi International, which operates the Haidilao hot pot restaurants outside China, reported Q2 2026 at 07:00 Eastern on August 26: revenue $218.8m, up 10.0%, and an operating measure the company defines itself that more than doubled to $8.1m. Five pages later the same release prints the same-store table. Across the 111 restaurants open through both quarters, sales fell 0.8% - $179.4m against $180.9m - after rising 1.7% across the full half. The comparison rolled over inside the half.

THE CALL: BEARISH (3/5, A REAL MARGIN GAIN ON A DEMAND LINE THAT TURNED NEGATIVE INSIDE THE HALF) — base-case value ~$10.88 vs ~$13.275 today.

KEY METRICS:

- THE SPINE: revenue +10.0%, Haidilao restaurant revenue +4.6%, and same-store sales -0.8%. Each layer is smaller than the one above it.

- THE MIX: delivery $7.6m (+105.4%) and condiments $13.4m (+119.7%) added $11.2m of the $19.9m the group added. The restaurants added $8.7m.

- NO PRICING: average spend per guest was $24.30 in both quarters. Guest visits rose 5.2% to 8.1m. All of the growth is volume and mix.

- NORTH AMERICA: same-store sales -8.5%, table turnover 4.0 to 3.6 turns a day, spend per guest $41.00 from $39.10. Fewer guests, higher ticket.

- THE CONCESSION: restaurant level margin 6.4% to 10.7% over the half, +430bp, and income from operation $11.8m to $22.1m, up 86.7%. Real.

- THE LOSS: a $20.6m currency swing and $4.7m of tax on $2.8m of pre-tax profit made it a $1.9m loss. There is no hedging policy at all.

- THE CASH: $269.9m of cash and no borrowings, but $234.4m of leases take about $56.2m a year out below operating cash flow.

- OUR CALL: BEARISH, 3/5, fair value $10.88 vs $13.28. Bear $8.54, base $11.30, bull $15.87. Five Hong Kong analysts average $18.45 an ADS.

What to watch: UP: restaurant level operating margin went from 6.4% to 10.7% across the half, a 430 basis point gain, and restaurant level profit rose from $24.8m to $44.4m. Staff cost fell to 34.3% of revenue from 35.3%. There are no bank borrowings and cash plus pledged deposits of $269.9m is 31.3% of the market value. DOWN: same-store sales are negative, North American comps fell 8.5% with table turnover down from 4.0 to 3.6 turns a day, average daily revenue per restaurant fell to $17.4k from $17.6k, and 56.3% of the quarter's growth came from delivery and condiments, which are 9.6% of sales.

Also on YouTube: @ChargedAlpha

DISCLAIMER: For informational and educational purposes only. Not financial advice. Do your own research before any investment decision.

Formula Systems (FORTY) Q2 2026 — Q2 2026 (three months ended June 30, 2026): revenue $782.4m vs $602.7m, up 29.8%; gross margin 20.2% vs 20.4%; operating profit $71.6m, up 41.3%, margin 9.2% vs 8.4%; group continuing profit $51.6m of which 54.9% is minority; attributable $23.3m vs $8.8m; diluted continuing EPS $1.47 vs $0.56. Shares closed August 25 at $117.51, up 1.96% on 608 shares, and $121.36 on August 26.

Formula Systems reported Q2 2026 before the open on August 25: revenue $782.4m, up 29.8% to a second-quarter record, and diluted continuing EPS of $1.47 against $0.56. Both comparisons are like-for-like - the 2025 columns were restated under IFRS 5 with Sapiens as discontinued operations. But Formula earns in shekels and reports in dollars, and the average rate went from 3.5719 to 2.9511 across the same three months. At last year's rate this quarter is $646.5m, or +7.3% - close to the +6.3% Matrix reported in its own currency.

THE CALL: HOLD (3/5, A REAL RECORD ON A CURRENCY TAILWIND, AND AN ASSET DISCOUNT WITH NO CATALYST) — base-case value ~$128.30 vs ~$121.36 today.

KEY METRICS:

- THE SPINE: revenue +29.8% reported, but the dollar bought 3.5719 shekels in Q2 2025 and 2.9511 in Q2 2026. At last year's rate: $646.5m, or +7.3%.

- THE CROSS-CHECK: Matrix is 91.8% of group revenue and reported +6.3% in shekels. Two routes to the same constant-currency answer.

- THE OTHER HALF: attributable profit $8.8m to $23.3m. Formula's slice of group profit went 30.5% to 45.1% - worth $7.6m; growth gave $6.9m.

- WHY THE SLICE MOVED: net financial expense halved, $11.1m to $5.6m, on interest earned at the parent where there are no minorities.

- THE CONCESSION: operating profit $71.6m up 41.3%, margin 9.2% from 8.4% - up 74bp on cost lines 94bp lower. Currency cancels out of a ratio.

- THE ASSET: Matrix closed at NIS 99.92 on 92.54m shares = $3.12bn. The filed 47.68% is $1.49bn against a $1.86bn value for all of Formula.

- THE DISCOUNT: net asset value $154.46 vs a $121.36 tape, 21.4% off. The market implies $980.2m for the Matrix stake, 34.1% below its quote.

- OUR CALL: HOLD, 3/5, fair value $128.30 vs $121.36. Bear $101.28, bull $149.35. No sell-side board: four vendor endpoints return empty.

What to watch: UP: at constant currency the group still grew 7.3% and the operating margin widened 74 basis points, which currency cannot explain because costs are earned in shekels too. Net financial debt to capitalisation is negative 27.08% against a 65% covenant. And Formula's filed 47.68% of Tel Aviv listed Matrix is worth $1.49bn against a $1.86bn market value for the whole company. DOWN: a shekel reversal takes reported dollar revenue down about a fifth with no operational change. Formula keeps only 45.1% of group profit, the holding-company discount has no mechanism to close, and 608 shares moved on results day.

Also on YouTube: @ChargedAlpha

DISCLAIMER: For informational and educational purposes only. Not financial advice. Do your own research before any investment decision.

Strattec Security Corporation (STRT) Q4 FY2026 — Fiscal Q4 and FY2026 (periods ended June 28, 2026): Q4 sales $151.8m vs $152.0m; Q4 gross margin 15.6% vs 16.7%; Q4 profit from operations $6.2m, down 27.5%; Q4 adjusted EBITDA $12.5m vs $13.0m; Q4 adjusted EPS $2.06, identical to a year earlier, against a $1.36 estimate; Q4 GAAP EPS $0.95 vs $2.01. FY sales $579.4m, up 2.5%; FY adjusted EBITDA $50.5m, up 15.3%. Shares closed August 26 at $72.76, down 7.98% from $79.07 on 274,608 shares, 3.4x the 30-day median.

Strattec Security reported fiscal Q4 and full-year 2026 adjusted EPS of $2.06 against a $1.36 estimate - a 51% beat - and the stock fell 7.98% the next session. Two things explain it. First, that $2.06 is EXACTLY what the company earned on the same adjusted basis a year earlier, to the cent, while profit from operations fell 27.5%. Second, the company's own per-quarter reconciliation shows the full-year improvement was entirely a first-half event: profit from operations ran +$5.4m and +$2.7m against the prior year in the September and December quarters, then -$2.0m and -$2.3m in March and June. The first half added $8.1m; the second half gave $4.4m back; the whole year gained $3.7m.

THE CALL: HOLD (3/5, A GENUINELY BETTER YEAR WHOSE ENTIRE IMPROVEMENT WAS EARNED IN THE FIRST HALF) — base-case value ~$75.99 vs ~$72.76 today.

KEY METRICS:

- THE SPINE: profit from operations against the prior-year quarter ran +$5.4m, +$2.7m, then -$2.0m and -$2.3m. First half +$8.1m, second half -$4.4m, full year +$3.7m.

- THE EXIT RATE: adjusted EBITDA by fiscal 2026 quarter $15.6m, $12.3m, $10.1m, $12.5m. Margin 10.2% to 8.3%, under the 8.5% of the year-ago quarter.

- THE BEAT: adjusted EPS $2.06 vs a $1.36 estimate is +51%. It is also identical to the $2.06 of a year earlier. GAAP EPS was $0.95 vs $2.01.

- THE TAX: Q4 effective rate 62.4% vs 21.2%. Pre-tax profit fell only 6% but tax expense rose to $6.0m, and a $2.4m discrete tax item is 53% of the whole GAAP-to-adjusted bridge.

- THE YEAR, CONCEDED: sales $579.4m up 2.5%, gross margin 16.5% wider by 149 basis points, adjusted EBITDA $50.5m up 15.3%, adjusted EPS $6.88 vs $5.38.

- THE BALANCE SHEET: $108.2m cash, $0.0m borrowings, enterprise value $208.0m = 4.12x. Free cash flow $39.0m = $9.80 a share, a 13.5% yield.

- BASIS PROVED: all four filed quarters sum exactly to the filed year on sales, operating profit, adjusted EBITDA and both earnings measures.

- OUR CALL: HOLD, 3/5, fair value $75.99 vs $72.76. Bear $63.45, base $77.03, bull $86.46. The only sourced Street target is $89.00, set 107 days before this print.

What to watch: UP: fiscal 2026 was genuinely better - sales $579.4m up 2.5%, gross margin 16.5% wider by 149 basis points, adjusted EBITDA $50.5m up 15.3%. ZERO borrowings after repaying $8.0m, and $108.2m of cash - $27.21 a share, 37% of the price - leaving an enterprise value of $208.0m, or 4.12x. Free cash flow $39.0m, $9.80 a share, a 13.5% yield, and clean: working capital added just +$0.5m against +$37.5m last year. The board bought $7.4m of stock at $67.10 and authorised a new $40.0m programme. DOWN: the exit quarter margin of 8.3% is below the 10.2% the year opened with AND the 8.5% of the year-ago quarter; the second half annualises at $45.3m against a $50.5m year; fiscal 2027 was guided with the three largest customers down ~6% and a peso move worth ~100 basis points of gross margin; capital spending ran at 49% of depreciation.

Also on YouTube: @ChargedAlpha

DISCLAIMER: For informational and educational purposes only. Not financial advice. Do your own research before any investment decision.

Tuya Inc. (TUYA) Q2 2026 — Q2 2026 (three months ended June 30, 2026): revenue $92.9m, up 16.0%; net profit $18.6m, up 48.0%; non-GAAP net profit $18.9m, DOWN 5.8%; EPS $0.03 per ADS on both a GAAP and a non-GAAP basis, in line with a $0.03 bar; gross margin 46.3% vs 48.4%; operating cash flow $6.2m vs $18.2m. Shares closed August 25 at $1.79, up 1.70% from $1.76 on 1,721,865 shares.

Tuya Inc. reported net profit of $18.6m for the June quarter, up 48.0% from $12.6m, on revenue of $92.9m, up 16.0%. The stock closed up just 1.70%. The reason is in the company's own non-GAAP reconciliation. Tuya defines non-GAAP profit by adding back share-based compensation - and that expense collapsed 92.0%, from $7.479m to $0.602m, as equity awards granted at 2021 IPO valuations finished amortising. On the company's OWN non-GAAP measure, net profit FELL 5.8%, from $20.1m to $18.9m. The $6.877m fall in stock compensation is 84% of the entire $8.220m rise in operating profit. And of the pre-tax profit that remains, financial income of $10.556m - interest on a $976.1m cash pile - exceeded the $9.308m the whole operating business earned.

THE CALL: HOLD (3/5, A HEADLINE PROFIT JUMP THAT WAS AN AMORTISATION SCHEDULE EXPIRING) — base-case value ~$1.94 vs ~$1.79 today.

KEY METRICS:

- THE SPINE: GAAP net profit rose 48.0% to $18.6m, but the company's OWN non-GAAP net profit FELL 5.8%, $20.1m to $18.9m. Same quarter, same filing.

- THE CAUSE: share-based compensation fell 92.0%, $7.479m to $0.602m. That $6.877m fall is 84% of the $8.220m rise in operating profit.

- THE PROOF: G&A fell $4.670m in total, but the stock compensation inside it fell $5.265m - so every other administrative cost actually rose.

- THE BANK: financial income $10.556m vs operating profit $9.308m - 1.13x. Interest is 56.0% of pre-tax profit, and it fell 13.4% across the half.

- THE CASH: operating cash flow $18.2m to $6.2m, down 66.1%. Inventory $30.9m to $63.8m (70 to 124 days); fixed assets $15.7m to $35.0m.

- THE COUNTER: revenue +16.0% and accelerating four quarters running. Strip the cash out and the enterprise is $127m - just 4.2x non-GAAP operating profit.

- THE BOOK: $976.1m of cash and ZERO borrowings against a $1,103m market value. Net cash is $1.58 of the $1.79 share price - 88% of it.

- THE CALL: HOLD 3/5, fair value $1.94 vs $1.79 (+8.4%): cash at a 20% haircut plus 16x after-tax operating profit. Bull $2.62, bear $1.39. The only live Street target is $3.69 (Jefferies, 3 March 2026, set 175 days before this print).

What to watch: UP: revenue growth accelerating for a fourth straight quarter, +1.2%, +3.4%, +8.3%, +16.0%; PaaS revenue $67.9m, up 16.9%; non-GAAP operating profit up 11.7% to $9.6m; ZERO interest-bearing borrowings; $976.1m of cash, deposits and treasuries against a ~$1,103m market value, so an enterprise value of only ~$127m, or 4.2x trailing non-GAAP operating profit and 0.37x trailing revenue; premium PaaS customers 285 to 318; a $37.0m dividend paid in April. DOWN: non-GAAP net profit fell 5.8% and non-GAAP net margin went 25.1% to 20.4%; gross margin fell 2.0 points to 46.3% so gross profit grew only 11.1%; operating cash flow fell 66.1% to $6.2m as inventory doubled from $30.9m to $63.8m (70 to 124 days) and fixed assets doubled to $35.0m; interest income fell 13.4% across the half as the pile went $1,017.3m to $976.1m; no buyback and the diluted share count rose 0.97%.

Also on YouTube: @ChargedAlpha

DISCLAIMER: For informational and educational purposes only. Not financial advice. Do your own research before any investment decision.

SFL Corporation Ltd. (SFL) Q2 2026 — Q2 2026 (three months ended June 30, 2026): total operating revenues $200.8m vs $174.5m in Q1; net income $33.8m; basic and diluted EPS $0.25 vs a $0.14 consensus bar; adjusted EBITDA $129.9m including $7.8m from associates, up 19.9% on the quarter; 90th consecutive quarterly dividend of $0.22. Shares closed August 26 at $12.03, down 1.55% from $12.22 on 2,339,022 shares.

SFL Corporation beat on both lines: EPS $0.25 against a $0.14 bar and revenue $200.8m against $179.7m expected, with adjusted EBITDA up 19.9% sequentially to $129.9m. The stock opened higher, ran to $12.75 intraday, then closed down 1.55% at $12.03. The reason is in the six-month interim report rather than the press release. SFL sells a $3.8bn fixed-rate charter backlog with 6.2 years of weighted term - and contracted TIME CHARTER revenue, the line that backlog actually describes, fell 13.8% year on year, from $312.5m to $269.4m. A $43.1m hole. Total revenue barely moved because VOYAGE CHARTER AND POOL revenue - the spot line, in no backlog, repriced every voyage - went from $9.4m to $46.3m and filled 86% of it. Two Suezmax tankers earning $133,000 a day did that.

THE CALL: HOLD (3/5, A REAL BEAT DELIVERED BY THE QUARTER OF THE FLEET THAT IS IN NO BACKLOG) — base-case value ~$10.26 vs ~$12.03 today.

KEY METRICS:

- THE SPINE: six-month contracted time charter revenue fell 13.8%, $312.5m to $269.4m - a $43.1m hole in the one line the $3.8bn backlog describes.

- THE FILL: spot voyage and pool revenue rose 4.9x, $9.4m to $46.3m, covering 86% of that hole. Total six-month revenue moved just -1.1%.

- THE RATE: two Suezmax tankers averaged $133,000/day spot TCE; two Kamsarmax bulkers $16,000/day. Tanker charter hire jumped $16m on fewer operating days.

- THE RIGS: Energy took $24.3m of revenue to $1.1m of adjusted EBITDA (4.7%) and a $19.3m net loss at 50% utilisation. Shipping: $176.5m to $121.0m (68.6%).

- THE BRIDGE: Shipping earned $0.39/sh and Energy handed back $0.14/sh, to the filed $0.25. Basis proved: Q1 $0.20 + Q2 $0.25 = the filed half-year $0.45.

- THE BOOK: net debt $2,271m vs a $1,668m market value; EV $3,940m = 8.38x normalised adjusted EBITDA of $470m; book value $7.47/sh, so 1.61x.

- THE CALL: HOLD 3/5, fair value $10.26 vs $12.03 (-14.7%). An 8.0x asset multiple gives $10.74 and a dividend discount on $0.88 gives $9.78. Bull $14.17, bear $5.91.

What to watch: UP: a genuine beat on both lines; adjusted EBITDA +19.9% sequentially; a 68.6% Shipping segment adjusted EBITDA margin; 65% of the backlog to investment grade counterparties over 6.2 years; the 90th consecutive dividend, covered 1.14x by earnings and 2.97x by operating cash flow; $273m of liquidity after redeeming a $150m bond and tapping $78m more at a 6.8% implied yield. DOWN: contracted time charter revenue -13.8% year on year; the spot line that replaced it is four vessels and a $133k/day rate that does not annualise; the Energy segment turned $24.3m of revenue into $1.1m of adjusted EBITDA and a $19.3m net loss at 50% utilisation; net debt of $2,271m against a market value of $1,668m; the share count rose 4.27% in one quarter; first newbuild delivery is 2028.

Also on YouTube: @ChargedAlpha

DISCLAIMER: For informational and educational purposes only. Not financial advice. Do your own research before any investment decision.

Citi Trends, Inc. (CTRN) Q2 FY2026 — Q2 FY2026 (thirteen weeks ended August 1, 2026): net sales $211.632m vs $190.750m; comps +10.5%; gross margin 40.6% vs 40.0%; operating loss $1.707m vs income of $3.517m; net loss $0.931m vs income of $3.818m; EPS -$0.11 vs $0.48 basic. Released before the open on Tuesday Aug 25 (8-K accepted 06:52 ET). The shares gapped -12.07% to $65.38, made that the day's low, and closed $69.71, -6.24%, on 6.8x the twelve-month median volume.

Citi Trends posted its eighth consecutive quarter of comparable store sales growth: comps +10.5%, sales up 10.9% to $211.6m, gross margin 60bp wider, adjusted SG&A leveraged 260bp. The shares opened 12.07% lower. Two reasons. The sales line was already public - pre-announced on August 10, fifteen days early - and store capital spending has gone $10.1m to $22.7m to a guided $35m-$40m, which is 93.8% of the $38m-$42m of adjusted EBITDA those stores are meant to earn.

THE CALL: HOLD (3/5, A REAL EIGHT-QUARTER TURNAROUND WHOSE PROFIT IS ALREADY SPOKEN FOR) — base-case value ~$58.67 vs ~$69.71 today.

KEY METRICS:

- THE SPINE: capital expenditure went $10.108m in FY2024 to $22.7m in FY2025 to a guided $35m-$40m in FY2026 - 3.71x in two years. Against a guided $38m-$42m of adjusted EBITDA that is 93.8% at the midpoints; FY2025 was 132.1%. Cumulatively the stores have cost $60.2m and produced $57.2m - the store bill runs $3.0m AHEAD of the profit it exists to create.

- SO FREE CASH FLOW IS NEGATIVE ON THE COMPANY'S OWN TWO GUIDED RANGES: $40.0m of adjusted EBITDA, less the $5.75m of equity compensation that measure adds back, less $37.5m of capital expenditure = -$3.25m, before working capital and before any cash tax.

- AND MANAGEMENT REALLOCATED INSIDE IT: new stores CUT from 25 to 20, remodels RAISED from 50 to 60-65, the capital line left unchanged. At that pace 594 stores cycle every 9.5 years - a running cost, not a project. 26 remodels were done in the quarter, 51 in the half.

- THE SALES WERE PUBLISHED 15 DAYS EARLY: on August 10 the company pre-announced Q2 sales of $211.6m and comps of +10.5% at an investor conference. It filed $211.632m on the 25th. The stock traded to $77.91 that day - its twelve-month high - and set its highest close, $76.18, the next session.

- THE PRIOR YEAR'S PROFIT WAS A BUILDING: Q2 FY2025 net income of $3.818m included an $11.0m gain on the sale of the Savannah office building - 287% of the whole of it. Ex-gain the comparative operating line was -$7.443m, so the merchandise business improved $5.7m in a quarter in which the printed line fell $5.2m.

- THE BUYBACK STOPPED AND A SHELF ARRIVED: $6.315m (250,555 shares) repurchased in the Feb-May 2025 quarter and nothing in the five since, with $40.0m still authorised. The weighted share count ROSE 1.87%. At 08:39 ET on print day - 51 minutes before the open - a $100,000,000 Form S-3, 17.2% of the market value, the first since 2007.

- THE STREET: only TWO sell-side targets could be sourced AND dated in all of 2026 - D.A. Davidson (Michael Baker) Buy $81 on Aug 26, and Craig-Hallum Buy $67 dated Mar 17, which pre-dates both quarters of this fiscal year. We value CTRN at $58.67 against $69.71: HOLD, 3/5. Bull $86.45, bear $32.30.

What to watch: UP: eight straight quarters of comps, +19.7% two-year; a 46.0% incremental gross margin and 31.6% flow-through to adjusted EBITDA; guidance raised a third time; no debt and $55.9m of cash. DOWN: guided free cash flow of -$3.25m; two years of capex ($60.2m) exceeding two years of adjusted EBITDA ($57.2m); a $100m shelf filed 51 minutes before the open, the first since 2007; short interest 11.7% of float.

Also on YouTube: @ChargedAlpha

DISCLAIMER: For informational and educational purposes only. Not financial advice. Do your own research before any investment decision.

JOYY Inc. (JOYY) Q2 2026 — Q2 2026 (three months ended June 30, 2026): net revenues $590.8m vs $507.8m; operating income $13.8m vs $5.8m; non-GAAP operating income $49.1m vs $38.3m; non-GAAP net income $63.5m vs $77.0m; non-GAAP diluted EPS $1.24 per ADS vs $1.44. Released after the Tuesday Aug 25 US close, with the call at 9:00 PM ET Tuesday - 9:00 AM Wednesday in Singapore - so Wednesday Aug 26 was the reaction session. It gapped +1.59%, printed $80.90 (+7.87%) inside six minutes, traded down to $72.99 and closed $74.81, -0.25%.

JOYY's Q2 2026 revenue rose 16.3% to $590.8m, the fastest growth in five quarters and a genuine inflection after revenue FELL 5.1% across the whole of 2025. Both lines beat and the full-year profit guide was raised. But the segment doing the accelerating earned nothing on it. BIGO Ads revenue rose 53.1% to $133.7m - $46.4m of new revenue - and its gross profit went from $27.420m to $27.400m. Down $20,000. A 100.0% flow-through to third-party traffic cost, with segment gross margin falling 31.4% to 20.5%.

THE CALL: HOLD (3/5, A REAL REVENUE INFLECTION, A GROWTH ENGINE THAT EARNED NOTHING) — base-case value ~$73.90 vs ~$74.81 today.

KEY METRICS:

- THE SPINE: BIGO Ads revenue rose 53.1% to $133.7m - $46.4m of new revenue - and segment GROSS PROFIT went $27.420m to $27.400m. Down $20,000. A 100.0% flow-through to cost. Segment gross margin 31.4% to 20.5%; group gross margin 36.5% to 34.1% on mix alone.

- THE CROSSOVER: non-GAAP operating income of $49.1m beat interest and investment income of $39.5m by $9.6m - the FIRST time on file. Q1 2026 was $1.8m behind, Q4 2025 was $30,000 behind, FY2025 $11.8m behind and FY2024 $39.5m behind.

- AND IT IS PARTLY SUBTRACTION: net cash fell $3,258.0m to $3,059.3m over the half while $358.8m went to shareholders. Interest income was $162.6m in 2025 and is annualising $158.5m now. Part of the crossover is the business rising, part is the bank falling.

- ON A REPORTED BASIS NOTHING CROSSED: GAAP operating income was $13.8m on $590.8m of revenue and 277.1m monthly users - a 2.3% margin - while the deposits earned $39.5m, or 2.9x the entire operating business.

- THE PROFIT FALL IS NOT OPERATIONAL: non-GAAP EPS fell 13.9% to $1.24 per ADS, but currency swung $14.7m against the company ($0.29 per ADS) and the tax rate went 9.3% to 24.2%. On last year's currency line it would have been $1.53, ABOVE last year's $1.44.

- THE BALANCE SHEET, COUNTED PROPERLY: cash and cash equivalents is only $337.0m. Net cash on the company's own seven-line definition is $3,059.3m, rebuilt from the filed balance sheet to within $15,000. That is $62.47 per ADS, 83% of the price.

- THE STREET: only TWO targets could be sourced AND dated - J.P. Morgan Overweight $98 (Aug 12, an upgrade from Neutral) and Citi Buy $78 (Jan 13, reaffirmed Jul 22) - averaging $88.00. We value JOYY at $73.90 against $74.81: HOLD, 3/5.

What to watch: UP: adjusted operating income rose 28.2% and beat interest income for the FIRST time ever, by $9.6m; the full-year guide was RAISED to about 20% growth; net cash is $62.47 per ADS against a $74.81 close; and $358.8m was returned in under eight months. DOWN: the growth engine runs at 20.5% gross margin, group gross margin fell 240bp, stock compensation went $4.0m to $16.6m, and interest income is annualising 2.5% below 2025 as the pile is paid out.

Also on YouTube: @ChargedAlpha

DISCLAIMER: For informational and educational purposes only. Not financial advice. Do your own research before any investment decision.

Woodside Energy Group Ltd (WDS) H1 2026 — H1 2026 (six months ended June 30, 2026): operating revenue $7,446m vs $6,590m; NPAT $1,672m vs $1,316m; underlying NPAT $1,334m vs $1,247m; basic EPS 88.2 US cps vs 69.4. Released to the ASX on the morning of Aug 25 Australian time - 19:00 US Central on Mon Aug 24, four hours after the NYSE close - so the ADSs gapped -4.62% on Aug 25 and closed -4.03% on 1.95x 20-day volume, then added 0.17% on Aug 26.

Woodside's H1 2026 revenue rose 13% to $7,446m and profit rose 27% to $1,672m. Free cash flow rose 159% to $352m and capital expenditure fell 36% to $1,637m. Both of those last two turn on one figure: $1,725m of capital contributions received from Stonepeak and Williams for the Louisiana LNG terminal. The report states the $352m free cash flow INCLUDES it, and the company's own reconciliation on page 67 SUBTRACTS the same $1,725m from capital additions of $3,362m to reach the reported $1,637m. Strip it out and free cash flow was -$1,373m, and gross spending fell 24%, not 36%.

THE CALL: HOLD (3/5, A GOOD PRODUCING BASE, A HEADLINE HALF PAID FOR BY PARTNERS) — base-case value ~$24.22 vs ~$22.90 today.

KEY METRICS:

- THE SPINE: $1,725m of partner capital contributions is ADDED into the reported $352m free cash flow and SUBTRACTED from reported capital expenditure. Both treatments are disclosed. Neither is cash the business earned.

- WITHOUT IT: free cash flow was -$1,373m (from -$1,734m a year ago, so it did improve). On the plainest definition - operating less investing cash - the half consumed $1,273m while paying $1,122m of dividends.

- THE CEILING: Stonepeak committed up to $5,700m and had paid $4,262m by June 30 - 74.8% - against a Louisiana LNG terminal 28% complete with first cargo targeted 2029. Only $1,438m is left and it cannot be topped up.

- FRONT-LOADED BY DESIGN: Stonepeak owns 40% of Louisiana LNG Infrastructure but contributes 75% of expected project capex, in 2025 and 2026 only. On the call an analyst noted the contribution is fixed, so overruns fall on Woodside.

- A NON-CASH HALF: statutory NPAT of $1,672m EXCEEDS underlying $1,334m because $507m post-tax of deferred tax assets were recognised. That is 30% of reported profit; cash tax PAID rose to $825m.

- MORE REVENUE FROM FEWER BARRELS: production fell 13% to 86.5 MMboe while the realised price rose 20% to $74.0/boe. The July 29 Q2 report had already published $4,185m of quarterly revenue.

- THE STREET: seven named, dated Australian targets average A$31.54, or $22.58 - below the tape. All three notes published on results day are Hold and two were cuts. We value WDS at $24.22 against $22.90: HOLD, 3/5.

What to watch: UP: Scarborough is 98% complete with first cargo targeted this quarter, guidance implies a bigger second half than the first, reliability ran 98.7% / 99.5% / 99.1%, and a $350m cost-out target starts in 2028. DOWN: only $1,438m of the $5,700m partner ceiling is left against a terminal 28% built, $9,699m of contracted spending is still to come, and gearing is 20.6% against a 10-20% target.

Also on YouTube: @ChargedAlpha

DISCLAIMER: For informational and educational purposes only. Not financial advice. Do your own research before any investment decision.

Cadeler A/S (CDLR) H1 2026 — H1 2026 (six months ended June 30, 2026): revenue EUR 407.5m vs EUR 298.5m; EBITDA EUR 207.6m; profit EUR 87.9m vs EUR 167.7m; basic EPS EUR 0.24 vs EUR 0.48. Published 08:00 CET on Aug 25, six hours before the US open: the ADSs gapped +8.47% and closed +8.64% on 1.54x median volume, then gave back 3.23% on Aug 26.

Cadeler's H1 2026 revenue rose to EUR 407.5m and its EBITDA to EUR 207.6m - both more than doubled once you strip the EUR 111.0m of termination fees out of the comparative half. Yet profit fell from EUR 167.7m to EUR 87.9m and EPS halved. The explanation is one line below EBITDA: depreciation went from EUR 44.5m to EUR 86.3m and the net financing line swung from EUR 3.2m of income to EUR 34.5m of cost. Together the cost of OWNING the fleet rose EUR 79.4m against a EUR 79.8m fall in profit - 99.5% of it.

THE CALL: HOLD (3/5, THE FLEET STOPPED BEING BUILT AND STARTED BEING OWNED) — base-case value ~$25.01 vs ~$25.20 today.

KEY METRICS:

- THE SPINE: depreciation plus net financing cost rose EUR 79.421m. Profit fell EUR 79.832m. That is 99.5% of the entire fall, explained by two lines that contain no trading decision at all.

- THE MECHANISM: borrowing costs capitalised into hulls fell from EUR 29.0m to EUR 12.5m - at a CHEAPER capitalisation rate, 2.5% against 3.6%, so it is a quantity effect, not a rate effect.

- THE TRIGGER IS A DATE: EUR 390.2m of steel left assets under construction, taking the balance from EUR 600.1m to EUR 352.9m. The fleet is only 9.7% depreciated - this schedule is just starting.

- WHAT REACHED A SHAREHOLDER: adjusted EBITDA rose EUR 106.1m; depreciation took EUR 41.8m and financing EUR 37.7m; tax gave back EUR 4.5m; EUR 31.2m arrived. 29.4 cents in the euro.

- THE COUNTER-ARGUMENT, AT FULL STRENGTH: gross profit per contracted day ROSE 18.6%, to EUR 134.4k. Contracted days went 770 to 1,198 and June-quarter utilisation was 85% against 76%.

- IT GROWS AGAIN: EUR 228m drawn on Wind Ace in July, a EUR 380m facility for the EUR 501m Menck purchase in August, and EUR 805m of T-class vessels ordered for 2030 and 2031 delivery.

- THE VENDOR 'BEAT' IS A RESIDUAL: Cadeler files no standalone Q2 income statement. The quoted $1.16 EPS and $330.2m revenue are H1 minus the filed Q1, converted and divided by the 4:1 ADS ratio.

What to watch: UP: a EUR 2,487m order book with 77% behind a client FID, an equity ratio of 50%, and a foundation-vessel shortage the company's own supply chart puts from 2030. DOWN: EUR 1,110m of committed steel is unpaid, the funding slide ends at EUR 150m of net liquidity, and 2026 guidance still excludes Menck.

Also on YouTube: @ChargedAlpha

DISCLAIMER: For informational and educational purposes only. Not financial advice. Do your own research before any investment decision.

TORM plc (TRMD) Q2 2026 — Q2 2026 (quarter ended June 30, 2026): revenue $662.8m, UP 110.28%; TCE earnings $512.0m; net profit $338.3m vs $58.7m; basic EPS $3.31, diluted $3.25. TCE per ship per day $59,301 vs $26,672. Announced BEFORE the bell Aug 26 (6-K accepted 06:06 ET, call 09:00 ET); shares opened -0.16% and closed -4.42% on 3.55x median volume.

TORM plc reported the largest quarter in its 137-year history: TCE per ship per day of $59,301 against $26,672, net profit of $338.3m against $58.7m, and NO gain on selling ships in it at all. Then the shares fell 4.42%. The reason is on page two of the same document: as of August 18, TORM had already fixed 73% of the September quarter - 6,431 of 8,834 available days - at $38,606 a day, 34.90% BELOW the rate that produced the record. Only 2,403 days are still open.

THE CALL: HOLD (3/5, THE NEXT QUARTER IS ALREADY 73% SOLD AT A THIRD LESS) — base-case value ~$30.30 vs ~$30.08 today.

KEY METRICS:

- THE FORWARD BOOK: as of August 18, 6,431 of the September quarter's 8,834 available days were already fixed at $38,606/day - 73% of the quarter, at 34.90% below the $59,301/day that made the record. Every class: LR2 -26.5%, MR -38.2%, LR1 -43.3%.

- THE CEILING: only 2,403 days remain open. If they repeat the record exactly, September still blends to $44,235/day, 25.4% under June. To MATCH June they must average $114,686/day - 1.93x the $59,296 record spot rate.

- THE GUIDANCE AGREES: raised $200m to TCE of $1,400-1,600m. Strip out the $798.0m already delivered and the RAISED range implies a second half of $34,230-$45,602/day, a midpoint 32.7% below the June quarter.

- THE RECORD IS CLEAN: profit from selling ships was ZERO, there was no impairment, and non-recurring items were -$1.7m on a $338.3m result. Tax was $0.8m on $339.1m of pre-tax profit - a 0.24% rate under tonnage tax.

- THE PAYOUT IS A RESIDUAL: $2.40/share, $245.7m, described as 73% of net profit. The stated policy pays liquidity above $1.8m per vessel (=$174.6m on 97 ships) PLUS a Board discretionary element - and the Board held back $383.8m beyond the rule, 2.20x the rule itself.

- THE SHIPS: valuers marked the fleet at $4,056m on June 30, 39.0% above the $2,918.8m carrying value, against 13.8% six months earlier. Per ship that is $41.8m vs $33.4m in December, +25.0% in half a year. Stated NAV $36.50/share.

- EPS BASIS PROVED TWICE: $1.21 + $3.31 = $4.52 basic and $1.18 + $3.25 = $4.43 diluted, both exactly the filed half-year. The widely quoted 'EPS miss' compares the diluted actual to a figure that IS the basic line.

What to watch: UP: the strait shut again in early Q3, the Houthis resumed attacks, rerouting Saudi barrels could nearly double voyage distances, and net debt is 22.4% of ship values. DOWN: the RAISED guidance itself implies a second half 32.7% below June, and the $4,056m valuer mark was set at the top of the same cycle.

Also on YouTube: @ChargedAlpha

DISCLAIMER: For informational and educational purposes only. Not financial advice. Do your own research before any investment decision.