“What I would say to you for 2026, my expectation remains that we will be above the long-term margin range that we normally offer you. Always say 30 to 50 basis points is what you should expect. My view is in 2026, we will beat that number.”

In context

“njiv, earlier you talked about your restructuring that you booked in the fourth quarter. If we take that $230 million, can we assume a roughly one-to-one ratio to savings? If we do that, it points to something like a 70 basis point margin uplift in '26. Or maybe we get it in the second half when it rolls forward. Is that reasonable? And then just to think about net margin expansion, how do you see OpEx inflation tracking over the year? Thank you. Sanjiv Lamba: Thanks, Toni. So the easy way to answer that is, typically, you've heard us say this previously as well, so I'll just reiterate that. Our restructuring paybacks on a cash basis tend to be on average about two years. And I think if you take that into account, you can kind of do the math and get to the numbers that you're looking for. What I would say to you for 2026, my expectation remains that we will be above the long-term margin range that we normally offer you. Always say 30 to 50 basis points is what you should expect. My view is in 2026, we will beat that number. Toni Jones: That's really helpful. Thank you. Operator: And our next question comes from the line of Josh Spector with UBS. Your line is open. Josh Spector: Yeah. Hi. Good morning. I had a couple questions I put together around the space opportunity for you guys. I mean, first, I wanted to ask if any of that is contributing to the CapEx increase you're projecting for 2026. It's not backlog. So is it in there? Is it upside? How should we think about that? Thank you. Matthew White: Hey, Josh. I briefly glanced through the report that you sent out. It was a nice report. Well done. I'll say this to you. You know, the CapEx in the backlog does not include about half a billion of projects that we have invested in, and we continue to make investments in 2026 as well to be able to support this gr”