Joe [Unknown]'s questions to Itron Inc (ITRI) leadership • Q1 2025
Question
An analyst from Guggenheim asked for the amount of catch-up revenue in Q2 of the prior year to understand the organic growth comparison and questioned the future revenue fall-through for the high-margin Outcomes segment.
Answer
CFO Joan Hooper specified that there was approximately $40 million of catch-up revenue in Q2 2024. Regarding the Outcomes segment, she reiterated the mid-40s gross margin target, noting that while Q1 was strong, the year-over-year improvement was amplified by a weaker prior-year comp. She expects margins to continue growing year-on-year, but with quarterly variability due to software mix.