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The industrial conglomerate has seven core segments -- automotive, test & measurement and electronics, food equipment, construction products, welding, polymers & fluids, and specialty products. ROCE is a profitability metric that is calculated as earnings before interest and taxes divided by total assets minus current liabilities.
The conglomerate possesses an array of strong entertainment businesses. In its fiscal first quarter ended June 30, the conglomerate's revenue rose 12% year over year to 2.6 Its Q2 total liabilities of $4.2 These segments made up about 60% of its revenue in its 2023 fiscal year, ended March 31, 2024. billion included $3.8
Berkshire Hathaway Chief Executive Officer Warren Buffett is a big fan of buying insurance companies, which have been a key component of the conglomerate's long-term success. That's because people and businesses are always looking to protect themselves from risks such as weather-related events, liability protection, or cybersecurity attacks.
Excluding the impact of the change in accounting estimate, operating margins increased roughly 6 points driven by improved operating leverage through cost management and the higher gross margin noted earlier. And so, I think that focus is really helping on both execution and leverage. Now to our segment results. Thank you, guys.
Thousands of top consumer brands joined in, leveraging Shop Cash and shop campaigns to draw in new buyers. We also signed a global agreement with Luxottica, the Italian eyewear conglomerate, to launch the first of what we hope will be many brands coming to Shopify in the future.
In addition to signing new customers, we renewed and expanded with our existing restaurant customers this quarter, including a leading restaurant conglomerate in the U.S., These third-party applications leverage the cloud-based architecture of our platform and generate either transaction-based or recurring revenue with healthy margins.
With the power of both our brands, now combined with the distribution cloud of Disney, we believe we can leverage our collective strengths to really take advantage of the increased demand while distinguishing ourselves from competition. A key component of the new arrangement is the ability to leverage the powerful Disney sales network.
During the quarter, we saw continued success, including an expansion with an Italian eyewear conglomerate, who will be leveraging our platform capabilities to support their migration to SAP S/4HANA. But how do we think about margin leverage kind of going forward? Moving on to our partner ecosystem.
We continue to leverage our broad portfolio of our intellectual property with the licensing of game feature patents, helping to drive non-terminal revenue, up 45% in the second quarter. Net debt leverage was confirmed at 2.9 I think it's been hampered by the conglomerate discount that our company received. Liquidity of $1.7
And finally, with Freddy Insights, we are leveraging AI to provide even more proactive insights and recommendations through a conversational interface. Within Freshmarketers, we are leveraging generative AI to help marketers gain insights into customer behavior, preferences, and purchase patterns and launch highly personalized campaigns.
A leading global pet care conglomerate with 30,000 employees, launched Dayforce to its U.S. On openness, we're accelerating customers' ability to leverage our ecosystem and create more connected systems with innovations like Dayforce Integration studio, which now has interoperability across our entire partner network.
Wins this quarter included supporting a consumer healthcare company's business unit spin-off with Dell, setting up a hybrid IT environment by leveraging colocation and cloud for their SAP environment in London and Singapore. Our net leverage remains low relative to our peers at 3.7 Keith Taylor -- Chief Financial Officer Great.
Our new Splunk AI system leverages generative AI to provide an immersive chat experience and helps make our search processing language, or SPL, are easier to use by enabling the use of natural language to create SPL queries. In addition, we're applying AI to help teams accelerate time-to-value through assisted intelligence. In Q2, a U.S.-based
As you've read in our shareholder letter, FY '25 is off to a good start, with fresh off our Team '24 Europe event in Barcelona, where we heard our customers like Vodafone, Lloyds Banking Group and Mercedes-Benz are leveraging our products in powerful ways to drive team productivity and deliver superior service.
Finally, a multinational conglomerate company has signed a deal with us to manage its ALM needs for data center decommissioning as well as their end user devices. With strong EBITDA performance, we ended the quarter with net lease adjusted leverage of 5.1 We expect to operate within our target leverage range, which is 4.5
For instance, a multinational conglomerate has seen a 75% improvement in case deflection rates with ITSM and HRSD Enterprise Plus, pushing toward its goal of automating 60% of transactional work. That's the leverage as we're scaling, especially on the operational side of things. It's always been an area of huge focus for us.
We achieved all of these records while closely managing every P&L line delivering significant year-over-year operating leverage and our fifth consecutive quarter of GAAP profitability. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability.
We continue to target a 3% to 5% annual distribution growth rate while balancing our leverage reduction, increasing equity returns, and maintaining sufficient cash flow to invest in our incredible backlog of growth opportunities. And then how would you look at your leverage profile? This distribution represents an increase from $0.23
We are also very pleased to continue to strengthen our leadership position in Sleep/Wake with licensing of TPM-1116, licensing and audits and assets were the natural next step for us, as it leverages our established experience and expertise, both in development and commercialization of treatments of Sleep/Wake disorders.
It also leverages ODDITY LABS to develop high performing products from our proprietary molecules that truly solve consumer skin issues and concerns. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. Spoiled is over $100 million of net revenue.
The team was able to leverage that success to help them demonstrate our value for their global campus network, which spans across hundreds and thousands of square feet globally. The core spine leverages the same U.S. For this AI center, as we call it, is going to be a conglomeration of both the front and the back.
And we're on track to deliver the highest-performing lowest-power 800 gig pluggable that will leverage three-nanometer technology and enable our customers to reach greater distances and unmatched economics. I think the larger conglomerates that offer multiservice access wireless, others have been burned through inventory.
It also brings with it the power of Disney, the world's largest media and entertainment conglomerate. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. They have so many different capabilities to promote and activate the market. National Parks.
And finally, we signed a co-brand agreement with Indian conglomerate, Adani, serving 400 million customers through retail, airports, and online travel services, among others. As you all know, merchants bear liability for fraud in the e-commerce space. It's a score from one to 99. The pilot is just getting going.
So it used to be within private markets that you would find a good business, apply quite a bit of leverage to it, at least in the private equity business, and be able to make a pretty good return by buying good solid businesses as they are. Leverage levels have come down materially. LAYTON: Leverage levels have changed.
We will leverage the rigorous operating principles underpinning our accelerating operating system to prevent business disruption and manage the onetime cost of $1.5 The automation businesses will lead margin expansion for the year, as BA sees volume leverage from recovery in building product sales and IA benefits from midyear sale of PPE.
In addition, our focus on cost discipline delivered more than 100 basis points of fixed cost leverage for the full year. Second, we plan to reduce our overall leverage by repaying our convertible notes due in May 2025, with cash on the balance sheet. We leverage multiple sources. We'll continue to get fixed cost leverage.
AI-driven transformation is changing work, work artifacts and workflow across every role, function, and business process, helping customers drive new growth and operating leverage. We're not a conglomerate here. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability.
Second, ServiceNow has thousands of AI agents leveraging 20 years of automation, data, and outcomes. In our largest nonprofit deal to date, Scouting America will leverage the ServiceNow platform to digitally transform its legacy HR and customer service processes with AI. There's a reason for that.
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