you all metrics. very into Dave. financial much, the momentum Well, key quarter positive continuing We thank across second saw
Second quarter by XX% sales in XX% increase were Americas. a again organically, led up
remained just We region. resiliency. better of market saw were healthy one. year's FX demand, anticipated, continue down which excluding Americas to the Orders book-to-bill last shipment supply chain see than the at volume We in improvements substantial X% quarter and and second supported from increased
healthy. normalization market Despite order the ongoing as as comparison, difficult remains well
have cover X. Slide also on We encouraging I'll and AI-related seen elaborate this when an activity, we
well million, was and as saw Our our benefits we volume increased cost. $XXX profit from adjusted operating as price
strong of flow am we report XXX to the continue adjusted Our as cash free $XXX particularly adjusted million second in points XX.X% to improved operational operating profit pleased margin to I strengthen quarter. basis execution.
ahead. much end X.Xx continue at the business see as successes the improve sheet the strengthen. to profile are at more We also leverage early continues the still QX of balance of These opportunity to and
free million now year cash at guidance. flow AOP to year be and $XXX full organically, fairly our expecting are significantly sales $XXX up at adjusted the XX% the midpoint. full raising of And at We are the million for midpoint
We are and continues. quarter one our executing a time, year plan deliver transformation full at the to our
forward in meaningful execution. making are our We operational steps
operational demonstrating intend relenting continue and there is are on not clear what that We traction and each execution, to is ahead. to creation demonstrate value we every focus our tremendous quarter. We're
turn now market let's to X. A So on Page changes few slide. environment the
segment of as by First, EMEA. of that days, was hyperscale new amount cloud capacity. last cloud signed we large of to the amount by being gigabytes leasing quarter and moved this we have an colocation XX incremental the that in hyperscale is acceleration substantiated well green seen Globally, as the in planned the capacity in past market capacity in
hard the industry is our and It and infrastructure. for in ready But our strengthened. certainly for getting AI what is clearly in we is pipeline have orders not. pipelines opportunities have unequivocally is AI are to delineate that books what know Our and we AI,
customers Conversations like, on look can there healthy colo a what arrangement and support available with commercial cloud are players and relevant outlook, and around this very making large are now to sure capacity in discussions several is encouraging. with we
the remain this move we telecom, balance XXXX, not of patterns of XX carriers. the the further are quiet As days, for area for spent further weakened telco carving atypical We has major These by some the anticipate in with last to particularly this not teleco market. worrisome. markets
market but most recovery across but positive orders we QX slower-than-expected are in XXXX, view, In market just some not signs for China a in APAC are anticipating to as China the companies. there segments. in see left healthy. year, current are we experienced our start pipelines turned have encouraging market yellow specifically, and the the not us for We The much
I'm shape clear commercial signals colocation markets No cloud and hyperscale the our second half than Overall, XXXX changes from demand encouraged view that days for support our XX more and XXXX. today around given ago, in enterprise view on or thinking SMB industrial.
are flat sequentially and than less QX. QX. more although X. XX% than coming orders anticipate Let's were move in Slide ratio they preserves QX to positive from together Orders one turning performed healthy stronger a backlog. or in better We expected, of down they up X%, Book-to-bill anticipated, and
in precision. in orders looked be like AI to is would – looks know quarter. interested what I candidly, And the answer that almost impossible everyone with
of would I tens the dollars. in of millions We AI-related say, have orders, seen
Our customers are and can discrete density applications, pipelines. today this infrastructure, used density we number. products in be evidence either able AI of retrofit or rate be high our won't on focused report regular a and Many we of for our AI out to see
heat transition For time, liquid cooled, portfolio. example, And are server loads most air but the today liquid. to of too, rack. traditional from we the the to stop these outside the removal AI a uniquely still and the being rack, served Vertiv viewed are positioned, perfectly will heat Over here remove by doesn't part of
to hole, to portfolio we heat do data the the remove have need from that. You a just and of solutions
are and quarters, into market, players, and say, I seeing beyond. As next demand but we relevant market XXXX acceleration having just signals very from securing with conversations clear well around the capacity few and are the we over not
us Let to supply the see this environment two transition are improving chain. but there to We story. parts
chain to lead continues in reducing, No more gradually First, are improve. is certainty and doubt, times supply. there incrementally supply
The second part is the self-health part.
vocal We about multisourcing been have programs. our
He of demand vision. experience now over Paul years be clear key most not chain to a is more Supply is One has considering resilience architects program, Ryan, important of strong resilience the us that this or operational ongoing than procurement. ahead. combined new has global waves is He Vertiv. leader me with record of track and our chain supply with execution of been XX a may and strategic decade very the
Let's now talk capacity.
and investing utilizing Dip] in a capacity coordinating have the on years balanced been few the globe. We a focus capacity is [Audio for in approach across globally.
and operational have We announced leading organization, a recently President, the with Manufacturing, excellence Anders Karlborg role effort. in the new Executive Logistics Vice
operations five we operations the the have Over the Americas. right seen company-wide years, deployment of year, specifically, to the as improvement system. as level well process Vertiv's on to Anders EMEA operations Vertiv finally, in the significant last improvements. and the In person past take led next all operating Americas organization over Asia, He's and
Our ability complex a of strong in navigate continues to improve. periods to environment growth
inflation. about talk Let's
the While dynamics than half bit favorably of a couple XXXX. anticipated, more inflation of a trending is influence second
and the QX year. over First, metal at last levels in lower prices were QX
we we're inflation, a bitter So in – half. the experiencing second a lap that bit higher as comparison, year-on-year higher
cause accelerates, on pressure when could We also inflationary anticipate demand increased the that Chinese commodities. economy additional
price We processes us good costs. better to tailwind from our for a cost have prepare volatility input in with place that related favorable seen
AI Let's aren't They in go to a Slide reinforcement workloads increase TAM. demand will replacing is applications. of are trend other digital X. our and AI overall We economy. our believe new AI to in incremental applications general,
technologies. general and in This in compute. Vertiv not all is believe additive benefits risk Vertiv. growth and a both liquid for We to growth displacement fact, cooling high is expect We density
out reach rejection. data step the heat we cooling, the into to With get take point from and controlling cooling, liquid rack rack Before parts generation the all additive. the would closer it while it's the We of liquid outside center building. still the to heat one outside heat
advanced density transition and to infrastructure well air that these will domain using need It orchestrated approach the cooling to tightly to to We with deepest complicated likely The center do high hybrid widest a technology of orchestrate with how liquid very our likely portfolio together on involve AI, data control both is technology and optimize approaches data expertise deployment. environment. technologies be will center very the systems. thermal environment available,
of field support the world maintenance X,XXX and the over engineers service to Hence deployment across the infrastructure.
believe increase very to you I our but hope sense scale conference for my more the come November, excitement. in and and have capacity. Investor to can density opportunity. well We positioned on this – I ability Much And AI at high the feel
With to that, David. over
