Summary of IEP Q1 2026 Earnings Call

1Key Financial Results and Metrics

Net Loss: $459 million, or $0.71 per unit.

Adjusted EBITDA: Loss of $216 million, slightly improved from a loss of $228 million in Q1 2025.

Investment Segment Performance:

Positive return of 4.4% excluding refining hedges; negative return of 8.2% including them.

Net short notional exposure increased to 29% from 13% at year-end.

Cash Position: Approximately $782 million in cash at the funds; total liquidity at the holding company and subsidiaries was $4.1 billion.

2Strategic Updates and Business Highlights

NAV Increase: Up by $201 million from year-end, primarily due to a $605 million increase in the long position in CVI.

CVI Dividend: Announced a $0.10 dividend, with expectations for future debt reduction and capital returns.

Top Investments:

AEP: Stock up 14%, reaffirmed 2026 EPS outlook, and increased long-term earnings growth forecast.

Centuri: Strong revenue growth and positive guidance for 2026.

Caesars: Reported solid Q1 results with a 61% increase in digital EBITDA.

Automotive Segment: Same-store sales increased by approximately 2%, despite a revenue decrease due to store closures.

3Forward Guidance and Outlook

CVI: Positioned to capitalize on market opportunities driven by geopolitical events.

Investment Strategy: Focus on disciplined capital allocation and long-term growth.

Energy Segment: Anticipated benefits from global tightness in refined products and nitrogen fertilizers.

4Bad News, Challenges, or Points of Concern

Refining Hedges Losses: Significant losses of $425 million impacted overall performance.

Segment Challenges:

Automotive Services revenues decreased by $9 million due to store closures.

Food Packaging and Pharma segments reported declines in adjusted EBITDA due to lower volumes and competitive pressures.

Market Volatility: The company faces risks from geopolitical events and market fluctuations affecting its investment portfolio.

5Notable Q&A Insights

No questions were raised during the call, indicating a lack of immediate investor concerns or interest in further clarifications on the presented results. Overall, while IEP reported a significant net loss and challenges in certain segments, there were positive developments in NAV and key investments, alongside a strong liquidity position to pursue future opportunities.