Cigna Group added $27.8 billion in new revenue in FY 2025 — and generated just $220 million in additional operating income. The 10-K reveals Evernorth's PBS sub-segment margin collapsed 55 basis points to 2.65% as the rebate-free transition extracted ~$722 million in foregone profit, exceeding the company's own $500 million optimization savings target. Meanwhile, CI simultaneously ran a $749 million restructuring program and acquired $548 million in new specialty pharmacy goodwill, funded by a $4.5 billion debt issuance.
Expedia reported 41.8% operating income growth on 7.6% revenue growth — 5.5x operating leverage that made FY2025 look like a transformation story. But the 10-K reveals that revenue margins were flat at 12.3% in both years, meaning every basis point of margin expansion came from cost cuts. The consumer-facing B2C business grew just 2.4% while B2B drove 18.2% growth. And the record $3.11B FCF is partially inflated by a $10B deferred-bookings tailwind that reverses if bookings slow. What replaces the restructuring story?
Otis Worldwide spent $145 million on its UpLift restructuring program in FY2025 and realized $84 million in savings — a net cost of $61 million. The 10-K reveals the real margin engine isn't the restructuring investors have been told to watch: it's the mechanical decline of New Equipment, where Q4 margins hit a record-low 3.64%. With GAAP EPS down 14% and adjusted EPS up 6%, the $0.55 per-share gap between the two earnings realities creates fundamentally different valuations — 24.8x or ~29x — for the same company.
Imperial Oil reported a 32% earnings collapse in FY 2025 — its steepest since the pandemic. But the 10-K's reconciliation tables reveal $1.031 billion in one-time charges (Norman Wells end-of-life and restructuring) explain 68% of the decline. Strip those out, and you find a company producing at a 30-year high of 438,000 boe/d, returning 142% of net income to shareholders, and funding the highest total shareholder yield (10.8%) among major energy peers — all while borrowing from ExxonMobil at 2.7%.
Medtronic delivered Q3 FY2026 revenue of $9.02 billion — its highest growth rate in 10 quarters at 8.7% year-over-year — with non-GAAP EPS of $1.36 beating consensus by $0.02. The stock fell 3.2% anyway. The 10-Q filing reveals why: $306-356M in MiniMed separation costs are front-loaded into the income statement, a $1.146B antitrust verdict went unmentioned in the press release, and Medical Surgical's $19.8B goodwill sits on a cushion of just 12%. Cardiovascular acceleration — up 13.8% with PFA capturing 80% of the EP market — is the real story, but the separation repricing makes it harder to see.
NXP Semiconductors reported $2.28 billion in free cash flow for FY2025 — up 20% while net income fell 20%. Wall Street cheered the cash generation. But the 10-K reveals the FCF surge has a $14 billion shadow: a VSMC foundry purchase commitment equal to 115% of annual revenue that doesn't appear in any standard cash flow metric. When you add annualized VSMC obligations back to reported capex, NXP's effective FCF yield drops from 4.2% to 1.6% — below the risk-free rate. Meanwhile, restructuring charges have tripled in two years ($98M to $261M), the new CEO's kitchen-sink Q4 included $100M in R&D cuts during a $1.27B SDV acquisition spree, and incremental returns on new capital are -58%.