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  • MIL-OSI USA: Warner, Kaine, and Scott Applaud $380 Million in Inflation Reduction Act Funding for the Port of Virginia

    US Senate News:

    Source: United States Senator for Commonwealth of Virginia Mark R Warner
    WASHINGTON –  Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) and U.S. Representative Bobby Scott (D-VA-03) announced $380,000,000 in federal funding for the Port of Virginia to accelerate its plan to become carbon-neutral by 2040. Warner, Kaine, and Scott advocated for this funding and sent a letter of support for this grant. The funding was awarded through the Environmental Protection Agency’s Clean Ports Program, which was made possible by the Inflation Reduction Act that the members helped pass. 
    “The Port of Virginia is one of the largest and busiest ports on the eastern seaboard, and it’s critical to Virginia’s economy and offshore wind industry. As the Port of Virginia continues to grow thanks to investments we’re making, we must also ensure we’re reducing greenhouse gas emissions, which result in negative health and environmental impacts for our communities,” said the lawmakers. “That’s why we’re thrilled that this federal funding, which was made possible by theInflation Reduction Act we supported, will accelerate the Port’s efforts to achieve net-zero carbon emissions by 2040 and further cement Virginia’s place as a leader in clean energy.”  
    The Inflation Reduction Act made historic investments to support clean energy projects. It included clean energy tax credits that have incentivized a series of corporate investments in Virginia, including:
    A $681 million investment by LS GreenLink to build a state-of-the-art facility to manufacture high-voltage subsea cables used for offshore wind farms inChesapeake, which will create over 330 jobs in Virginia.
    An investment of over $400 million by Topsoe to build a new manufacturing facility in Chesterfield County, which will create at least 150 new jobs in Virginia.
    An investment of $208 million by Mack and Volvo Trucks—in addition to a federal grant award of over $208 million for the company—to sustain 7,900 union jobs and create 295 new jobs in Virginia, Maryland, and Pennsylvania. Volvo Trucks is the second largest employer in the New River Valley, sustaining 3,600 jobs in Dublin, including 3,200 United Automobile Workers (UAW) jobs. In September 2024, Warner and Kaine visited Volvo’s New River Valley plant to celebrate the investment.
    Today’s announcement builds on other transformational investments made to the Port of Virginia by the Biden-Harris administration with the backing of Warner, Kaine, and Scott. That includes $225.4 million to fully fund the Norfolk Harbor Deepening and Widening Project, which will improve navigation and expand capacity by deepening and widening Norfolk Harbor’s shipping channels, allowing for two-way traffic in and out of the harbor. Of this amount, $141.7 million was made available through the Infrastructure Investment and Jobs Act and $83.7 million was provided through the Fiscal Year 2022 omnibus appropriations bill.
    The Port also previously received $20 million in federal funding from the Department of Transportation for improvements to Portsmouth Marine Terminal that will allow it to serve as a staging area to support the manufacturing and movement of offshore wind goods to support the 2.6 gigawatt Coastal Virginia Offshore Wind commercial project and other commercial offshore wind projects up-and-down the East Coast. Warner, Kaine, and Scott led a Virginia Congressional Delegation letter to Secretary of Transportation Pete Buttigieg in support of the Port’s application for that funding.

    MIL OSI USA News –

  • MIL-OSI USA: Pelosi Family Statement on Sentencing in the Violent Assault on Paul Pelosi

    Source: United States House of Representatives – Congresswoman Nancy Pelosi Representing the 12th District of California

    San Francisco – The Pelosi family issued this statement and released the following letter from Mr. Paul Pelosi:

    “Two grueling years after the defendant violently broke into our family home with zip ties and a hammer yelling ‘where’s Nancy?,’ then kidnapped Mr. Pelosi and nearly killed him, legal justice has been served. Our entire family is grateful to the paramedics and lifesaving General Hospital trauma team, to the prosecution staff and to all who have sent love and prayers. Mostly, we are in awe of Pop’s courage on that horrible night two years ago — as well as on the witness stand at two criminal trials and every day of his recovery from the vicious assault on his life.

    “Since the violent break-in and shouts of ‘where’s Nancy?’ two years ago, not a day goes by that we do not think of this devastating assault, its trauma — or the possibility of future attacks. Today’s sentence of life without parole gives our Pop some measure of legal justice and, we hope, a message to others that political violence against elected officials or their family members will not be tolerated, minimized or condoned. We must each do our part to build a peaceful democracy.”

    ***

    Dear Judge Dorfman,

    The last peaceful sleep I had ended abruptly at 2:00 am on October 28, 2022 when the defendant violently broke into my home, burst into my bedroom and stood over my bed with a hammer and zip ties demanding to see my wife, yelling “Where’s Nancy?”

    Awakened by a large violent man wielding a weapon and threatening to tie up my wife and “take her out,” I did all I could to calm him and save my own life. I tried escaping from my bedroom to the elevator to call the police but he crowded into the elevator with me and prevented my escape or rescue. The defendant knew I was alone and could have left then and there once he learned that my wife Nancy Pelosi, then Speaker of the United States House of Representatives, was in Washington, DC for work — but he kept me hostage in my own home saying he would wait for her. He insisted that he was on a political mission to avenge what he considered to be my wife’s mistreatment of former President Donald Trump — and said he was going to wait for my wife, tie her up and interrogate her about that.

    I managed to make my way into my bathroom to call the police — and again the defendant could have left me there — but he continued to stay even after I dialed 911. I told the 911 operator who I was and tried to get her to understand that I needed help — all the while, the defendant lumbered over me, interrupted my conversation, falsely claimed to be a friend of Nancy’s and mine, and urged me to hang up, so I did. I thought I had a chance of saving my life if I went downstairs. Lord knows what would have happened if I was two floors up and the police arrived. So I convinced the defendant to go downstairs — which we did, slowly because I was still recovering from knee surgery — and just when the police arrived and I thought I would be free, he did not run away out the back patio door that he’d broken into — or even run past the police officers who stood at the door with no guns or tasers in hand. Instead, as he later testified, the defendant made me “take the punishment” with a vicious assault. After the defendant struck me in the head with blows from his hammer, I fell unconscious.

    When I awoke in a pool of my own blood, I had severe head, arm and hand injuries. The paramedics who cut off my pajamas and put tourniquets on my head and arms kept me awake and helped save my life. But even after emergency trauma surgery and six days at San Francisco General Hospital, my injuries were severe and persistent.

    My head injuries continue to affect my life. My hair grew back — but I have bumps on my head from the hammer blows that crushed my skull — and a metal plate that will forever remain in my head. The dizziness has not gone away. In late November of 2023 — 13 months after the assault — I felt vertigo and fell twice at home, leading to extensive medical evaluations including MRIs and nerve block injections in my neck. Treatments continue. To this day, I walk slowly and have difficulty with my balance. Nearly every day I get headaches that become migraines unless quickly addressed. I need to sleep during the day and cannot tolerate bright lights or loud noises for extended periods of time.

    The defendant’s violent attack severely damaged the nerves in my left hand. My forehand was “de-gloved” exposing raw nerves and blood vessels. Surgeries and treatments mostly healed the skin, but underneath I still felt pinched nerves in my left hand for months, making basic tasks like using buttons, cutlery and simple tools more difficult. My right arm had stitches for 8 weeks. Sleeping alone in my home still evokes memories of the defendant breaking into my house.

    It took many months to reclaim my home and well-being. I still keep away from media and video of the attack for my own peace of mind. Even after testifying in federal and state criminal trials, I do not read the coverage or willingly revisit the events. My family and friends were traumatized by the attack — and many political spouses with whom I have grown close during my wife’s service in Congress have been both sympathetic to me and scared for their own safety. To protect my healing, I still do not address the assault with my wife or anyone else. Nor do I discuss the trauma experienced by my wife who remains under 24-hour security two years later even though she is no longer serving as Speaker of the House. Even now, we do not answer our landline phone or our front door due to ongoing threats. We cannot fully remove the stain on the floor in the front entryway where I bled. As recently as this summer, we had to improve security measures at our home due to ongoing threats.

    I ask that you consider the premeditated, violent break-in of my home, kidnapping and vicious assault on my life, and the ongoing physical and mental injuries caused by the defendant.

    Since the violent break-in and shouts of “where’s Nancy?” echoing in my bedroom two years ago, not a day goes by that we do not think of this devastating assault, its trauma — or the possibility of future attacks. For these reasons, my entire family joins me in requesting that you sentence the defendant to the fullest extent the law provides.

    Thank you for your consideration.

    Sincerely,

    Paul Pelosi

    MIL OSI USA News –

  • MIL-OSI New Zealand: Think of others and use fireworks safely this Guy Fawkes season

    Source: Auckland Council

    Guy Fawkes is just around the corner and with fireworks going on sale in Tamāki Makaurau, here’s a reminder on the rules and tips, so you, your friends and whānau can enjoy fireworks safely.  

    Aotearoa New Zealand has strict rules around the purchase and sale of fireworks. They’re sold for four days leading up to and including Guy Fawkes (2 to 5 November 2024). Not just anyone can buy fireworks – you must be 18 years old and have a valid ID.

    Councillor Josephine Bartley, chair of Auckland Council’s Regulatory and Community Safety Committee urges people letting off fireworks to be mindful of others.

    “Some Aucklanders enjoy the Guy Fawkes season, but for others it can be an unsettling and worrying time.

    “Fireworks can be enjoyed on private property in Tamāki Makaurau, but please be aware that others, including your neighbours may not enjoy the sound and sight of them and pets can also be distressed by them.”

    “By all means enjoy fireworks in a safe and responsible manner, but please be respectful to others who may not share your enthusiasm for fireworks.”

    “Auckland Council has long held the view that central Government should ban the private sale of fireworks, and has taken

    opportunities in the past to present this view.”

    Taryn Crewe, Auckland Council’s General Manager Parks and Community Facilities says Aucklanders should give some thought to where they let off fireworks.

    “I hope people have a safe and enjoyable time letting off fireworks on their own property.”

    “Please be aware that using fireworks in parks and on beaches across Auckland is not allowed.”

    Muriwai beach access

    Te Oneone Rangatira / Muriwai Beach will be closed to vehicles during the Guy Fawkes period this year, from 2 to 11 November, to mitigate fire risk in the area.

    Enjoying fireworks safely and responsibly

    • Fireworks can only be let off on private property. 

    • It is not legal to light fireworks on council-controlled land, such as parks and beaches, across the whole of Tāmaki Makaurau.

    • Lighting fireworks is also prohibited in forests, conservation areas and on road surfaces, berms or footpaths on your street.

    • The Tūpuna Maunga Authority will close public access to 14 maunga across Tāmaki Makaurau from Saturday 2 November 2024 to Tuesday 5 November 2024 to protect them from fires. This is the sixth year in a row the Authority has closed our maunga.

    • Make sure yourself and others stand well back from fireworks once they are lit.

    • Inform your neighbours if possible and avoid using fireworks after 10pm.

    • Have water or a fire extinguisher handy.

    • Read and follow fireworks handling instructions carefully.

    • Do not light fireworks in windy or dry conditions.

    • Do not point fireworks at any person, animal, property or vegetation.

    • Always have a responsible adult present.

    • Keep pets inside or move animals to avoid stress.

    • On rural private land during Guy Fawkes (2-5 November) bonfires are allowed but must be lit during daylight hours and extinguished before nightfall. During a Restricted Fire Season a permit is need from Fire and Emergency New Zealand.

    • Sky lanterns, also known as Chinese lanterns, are a fire risk when left to fly away. They must be secured.

    • Don’t store fireworks after Guy Fawkes as it’s hard to know if they’ll be safe to use at a later date.

    Fire and Emergency New Zealand advises visiting its website for restrictions and fire safety advice. 

    Looking out for pets during Guy Fawkes

    Elly Waitoa, Auckland Council Animal Management Manager says people should be extra mindful of their pets during the days leading up to Guy Fawkes and the day itself.

    “Pets can be extremely sensitive to the sounds and light produced by fireworks. They can react negatively and become distressed.”

    “Organise a safe place inside for your pets and pay extra care to them during this time.

    “Please ensure your pets are safe and well confined if you aren’t at home with them during the Guy Fawkes period.”

    Ms Waitoa also says the time around Guy Fawkes usually sees an increase in the number of dogs entering council animal shelters.

    “Make sure your dog is registered and microchipped. This will make it easier for you to be reunited with your dog if it gets lost.”

    MIL OSI New Zealand News –

  • MIL-OSI New Zealand: Defence News – The latest update on the HMNZS Manawanui response

    Source: New Zealand Defence Force
    The latest update on the HMNZS Manawanui response:
    • The New Zealand Defence Force’s Senior National Representative in Samoa, Commodore Andrew Brown went on-board HMNZS Canterbury to thank our people for their involvement in supporting the Commonwealth Heads of Government Meeting (CHOGM) and Operation Resolution. 
    • The Canterbury has been in Samoa assisting New Zealand to support CHOGM and has been reloading Hato Hone St John Ambulances, three Royal New Zealand Air Force NH-90 helicopters and other equipment. 
    • The NZDF-led response team, working closely with the Government of Samoa, continues to monitor the coastal areas near the wreck of the Manawanui. To date, assessment teams have not found any oil or affected wildlife on the shoreline.
    • The HMNZS Matataua Dive team continues underwater surveillance of the ship along with other tasks including evidence gathering for the Royal New Zealand Navy Court of Inquiry. 
    • The Court of Inquiry continues their work gathering evidence to establish the facts on the grounding and subsequent sinking of HMNZS Manawanui. 

    MIL OSI New Zealand News –

  • MIL-OSI New Zealand: LEBANON: At least 2 children killed every day in five weeks of war

    Source: Save the Children

    Over 100 children have been killed by Israeli airstrikes in five weeks of war – an average of two children a day – said Save the Children. In the latest violence, at least 60 people, including two children, were killed overnight on Monday in Israeli strikes on Lebanon’s eastern Bekaa Valley, one of the deadliest incidents in the Bekaa since conflict escalated on 23 September.
    More than one million people – about one fifth of the population – have been forcibly displaced from their homes and about 2,700 people, including over 150 children, killed and more than 12,500 injured since October last year according to the Ministry of Public Health.
    Jennifer Moorehead, Save the Children’s Country Director in Lebanon said:
    “We’re plunging into a humanitarian crisis that is first and foremost a children’s crisis. We’re starting to see the same pattern we’ve witnessed in over a year of war in Gaza: mass casualty events with civilians, including children; health workers killed while on duty; more than 50 attacks on healthcare facilities; UN installations attacked, and journalists targeted.
    “Israeli airstrikes have expanded into densely populated areas, severely damaging critical infrastructure and creating mass displacement. The conflict has left over 25% of Lebanon under Israeli military displacement orders. On a daily basis, evacuation warnings are issued, many with little notice, giving families little time to escape before bombardments begin. In Beirut, we’re still seeing thousands of displaced children and families sleeping in the open air with their belongings piled around them, unable to find shelter or a safe place to go.
    “The longer the conflict lasts, the more challenging it will be for children to regain a sense of normalcy. Six out of 10 public schools have been repurposed as shelters for the displaced, with the beginning of the school year now postponed to November 4, and possibly longer. Every day away from the classroom, is a growing threat to children’s long-term physical and mental wellbeing. By law, children must be off-limits in war and must be protected. There is no time to waste, we urgently need a ceasefire now.” 
    Save the Children has been working in Lebanon since 1953. Since October 2023, we’ve been scaling up our response in Lebanon, supporting displaced Lebanese, Syrian and Palestinian children and families, and now have escalated an emergency response throughout the country in 194 collective shelters. Since October 2023, we’ve supported more than 110,000 people, including 47,000 children, with cash, blankets, mattresses and pillows, food parcels, water bottles and kits containing essential hygiene items. 

    MIL OSI New Zealand News –

  • MIL-OSI New Zealand: Education – Chronic absence in schools doubled in last decade, current model not working

    Source: Education Review Office

    New research from the Education Review Office (ERO) has found that chronic absence in students has doubled in the last decade, and that the system for addressing this is ineffective and failing.
    In Term 2 this year, one in 10 students were chronically absent, with over 80,000 students missing more than three weeks of school during the term. Since 2015 chronic absence has doubled in secondary schools and nearly tripled in primary schools.
    “The number of students who are chronically absent from school is at crisis point and is damaging students’ futures,” says Ruth Shinoda, Head of ERO’s Education Evaluation Centre.
    “Over half of students who are chronically absent from school do not go on to achieve NCEA Level 2. They have higher rates of offending, are more likely to be victims of crime, and are more likely to live in social and emergency housing as adults. By age of 20, they cost the Government three times as much as students who go to school.”
    ERO found that despite the dedication of schools and Attendance Services, the current system to get these students back to school is not effective and needs substantial reform.
    “Action is too slow, and students fall through the gaps,” says Shinoda.
    “Half of schools do not refer students to Attendance Services and too often intervention is too late. Over half of school leaders and Attendance Service staff report there aren’t good options to enforce good attendance”.
    Attendance Services are passionate about helping students get back to school, but they are not set up to succeed. At services ERO visited, caseloads for Attendance Services varied from 30 to more than 500 cases, and funding has not increased to match the increased levels of chronic absence.
    “There is a lack of information sharing, which can make it very challenging and time consuming for Attendance Services to find absent students. Half of Attendance Services report information isn’t shared often across agencies, schools, and Attendance Services.”
    Schools play a critical role and need to be supported to do more to prevent students becoming absent and to help students when they get back to school.
    “We found that some schools are successful in reducing chronic absence even when faced with challenges,” says Shinoda.
    To reverse the trend of increasing chronic absence, ERO is recommending substantial reform that increases the focus on preventing students from becoming chronically absent, puts in place timely and effective targeted support, and does more to ensure students stay in school once they return. It will require additional funding that matches the level of need.
    “We must do more to prevent students missing out on their education. It will take parents and whānau, schools, and Government agencies all working together to fix it and get chronically absent students back to school and thriving,” says Shinoda. 

    MIL OSI New Zealand News –

  • MIL-OSI New Zealand: Climate Science – Forecasting floods in a fraction of the time with AI – NIWA

    Source: NIWA

    NIWA is using machine learning to forecast flood inundation in a fraction of the time required to run physical models.
    NIWA Climate, Atmosphere & Hazards platform manager Nava Fedaeff leads the project – she says effective flood preparation and response requires detail beyond river flows.
    “What people really want to know is not just whether the river is running high, but what areas will be flooded, and what’s at risk from that potential flooding. We’re exploring how AI will help us to move from weather forecasts to inundation forecasts quickly enough so that useful information gets to those who need it,” said Fedaeff.
    Predicting flood maps with physical models can take 24 hours but with machine learning it takes only 1-2 minutes.
    Five days ahead of an event, scientists combine several elements such as weather forecasting, river flow predictions, inundation mapping and exposure assessments. This enables them to produce models that detail – down to street level – people, property or infrastructure at risk when storms strike.
    NIWA data scientist Dr Deidre Cleland used Westport as a case study in the project.
    She has produced a StoryMap detailing how the system works – with maps, animations and graphics – outlining how her team validated the AI flood model against the real-life 2021 Westport flooding.
    “Our next step is operationalising this machine learning capability so that rapid flood map forecasting is available for a real incoming flood event in Westport. We are also working on extending the machine learning approach to other locations around New Zealand, starting with those at highest risk of flooding,” said Dr Cleland.
    Floods are New Zealand’s most frequent and costly natural disaster, meaning that fast and accurate forecasting of flood impacts is crucial for reducing the risk to life, property and infrastructure.
    This project is part of a $5 million per year package by NIWA to tackle some of New Zealand’s most pressing challenges.

    MIL OSI New Zealand News –

  • MIL-OSI New Zealand: Pacific Trade Invest – Investment Webinar: EXPANDING the HORIZON for Women in Technology

    Source: Pacific Trade Invest NZ

    Pacific Trade Invest NZ is delighted to invite you to our upcoming hour-long webinar, Expanding the Horizon for Women in Technology.

    Join us on Thursday 7 November 2024 at 2:00 PM New Zealand time as industry experts and thought leaders discuss their involvement in the technology sector; what’s on the horizon and the investment possibilities the sector presents for investors.  

     

    Register here    https://shorturl.at/C34uL

     

    A great line-up of speakers is confirmed:
     
    Julia Arnott-Nene and Eteroa Lafaele, Co-Founders and Directors Fibre Fale
    Julia and Eteroa are an award-winning changemaker team in tech, on a mission for Digital Equity and increased representation of Pacific people in technology. Fibre Fale is an innovative Aotearoa collective creating pathways into technology for Pacific people. Fibre Fale builds future tech leaders and prepares the future of the technology industry in the Blue Pacific.

    Priyanka Brahmbhatt, Executive Director, Bankai Group and CEO Bankai Technology
    Global leader in technology and investments; a member of the Forbes Council. As a UN Youth Delegate she’s advocated for climate action, women in tech, mental health awareness, and socio-economic empowerment of marginalized communities.

    Tenanoia Simona, CEO Tuvalu Telecommunications Corporation
    An innovator and leader in implementing effective technology in the Blue Pacific. Simona has spearheaded initiatives from satellites, xGPON fibre network roll-out, and 4G LTE deployment in remote islands. She firmly believes that diversity and inclusion are vital for driving innovation and achieving meaningful progress in small island nations.

     

    The speakers will discuss topics such as: 

      • Technology as a rewarding career path for women
      • The positive role of government and educational institutions, in contributing to this transformation
      • The Fibre Fale model 
      • How technology has evolved over time.
      • Investing in women in technology

    Register here    https://shorturl.at/C34uL

     

    ABOUT PACIFIC TRADE INVEST NZ

    • Is part of the Pacific Trade Invest Global Network of offices operating in Sydney, Australia; Beijing, People’s Republic of China; Geneva, Switzerland and Auckland, New Zealand.
    • An agency of Pacific Islands Forum Secretariat (PIFS) and is funded by New Zealand’s Ministry of Foreign Affairs and Trade (MFAT).
    • Supports the 16 Forum Island countries and Territories: Cook Islands, Federated States of Micronesia, Fiji, French Polynesia, Kiribati, Republic of the Marshall Islands, Nauru, New Caledonia, Niue, Palau, Papua New Guinea, Samoa, Solomon Islands, Tonga, Tuvalu, and Vanuatu.

    MIL OSI New Zealand News –

  • MIL-OSI USA: FEMA Posts Public Notice for Tennessee Counties Affected by Helene

    Source: US Federal Emergency Management Agency

    Headline: FEMA Posts Public Notice for Tennessee Counties Affected by Helene

    FEMA Posts Public Notice for Tennessee Counties Affected by Helene

    A public notice has been posted that describes FEMA’s proposed funding for Tropical Storm Helene work projects that may adversely affect historic properties, floodplains or wetlands, or may result in continuing vulnerability of these areas to flood damage.By law, FEMA is required to announce its intent to provide federal assistance and grant opportunities under its Individual Assistance and Public Assistance programs and the Hazard Mitigation Grant Program after the Oct. 2 major disaster declaration for Tropical Storm Helene.The public notice is posted on FEMA’s disaster web page at DR-4832-TN Public Notice 004 | FEMA.gov and on the Tennessee Emergency Management Agency’s website at FEMA-4832 Public Notice. The major disaster declaration authorizes FEMA to provide financial assistance and direct services to individuals and households affected by the Sept. 26-30 storms in Carter, Cocke, Greene, Hamblen, Hawkins, Johnson, Unicoi and Washington counties.The declaration also authorizes FEMA to provide, under its Public Assistance program, reimbursement or direct federal assistance for emergency and permanent work to eligible state and local agencies and certain private nonprofits. Counties authorized under the Public Assistance program are: Carter, Claiborne, Cocke, Grainger, Greene, Hamblen, Hawkins, Jefferson, Johnson, Sevier, Sullivan, Unicoi and Washington counties.Federal funding is also available on a cost-sharing basis for hazard mitigation measures statewide.For more information about these actions or a specific project, write to FEMA Region 4, 3005 Chamblee Tucker Road, Atlanta, GA 30341-4112. You may also email FEMA-R4EHP@fema.dhs.gov. Include in the email subject line, “DR-4832-TN EHAD.” Comments should be sent in writing within 30 days of the date of the public notice.
    kwei.nwaogu
    Tue, 10/29/2024 – 19:44

    MIL OSI USA News –

  • MIL-OSI Security: Six Charged in Scheme to Defraud the Federal Government

    Source: United States Attorneys General 8

    Six defendants have been charged for their roles in schemes to rig bids, defraud the government and pay bribes and kickbacks in connection with the sale of IT products and services to federal government purchasers, which resulted in overcharges of millions of dollars to the U.S. government, including the Department of Defense (DoD). 

    On Oct. 9 and Oct. 16, a federal grand jury in Baltimore returned indictments against two additional defendants. Four other defendants were also charged. These are the first charges in the Justice Department’s ongoing investigation into IT manufacturers, distributors and resellers who sell products and services to government purchasers, including to the intelligence community. 

    “Antitrust crimes can undermine competition for products and services that are vital to our national security,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “When fraudsters siphon taxpayer funds, the Antitrust Division and its Procurement Collusion Strike Force (PCSF) partners across the government will hold accountable those who collude to subvert competition, line their pockets with federal procurement dollars and compromise the integrity of our intelligence community programs.”

    “This office and our partners will use all available resources to hold accountable those who would undermine and distort the government’s procurement of goods and services, especially those related to our cybersecurity infrastructure,” said U.S. Attorney Erek L. Barron for the District of Maryland. 

    “This investigation demonstrates the vital need to protect the DoD procurement process, particularly within the Intelligence Community,” said Special Agent in Charge Christopher Dillard of the DoD Office of Inspector General, Defense Criminal Investigative Service (DCIS), Mid-Atlantic Field Office. “The Defense Criminal Investigative Service is committed to identifying fraudsters who abuse public trust and enrich themselves through criminal schemes.”

    “There is no place for fraudsters and crooks scheming to manipulate the government bidding process for personal gain,” said Special Agent in Charge William J. DelBagno of the FBI Baltimore Field Office. “The FBI remains steadfastly committed to identifying, investigating and bringing to justice those conspiring to enrich themselves by cheating taxpayers.”

    “Investigating complex fraud schemes is a top priority of ours,” said National Security Agency Acting Inspector General Kevin Gerrity. “I commend our team, our law enforcement partners and the Justice Department for their work protecting the integrity of federal contracting.”

    “Each part of the government must do its part to detect and prosecute instances of waste, fraud and abuse, and CIA’s Office of Inspector General was pleased to join its law enforcement partners in investigating this egregious case,” said CIA Inspector General Robin C. Ashton.

    United States v. Victor Marquez

    Victor M. Marquez, a Maryland resident and owner of two IT companies with significant government contracts, was charged in a four-count indictment with wire fraud conspiracy, wire fraud and major fraud against the United States for rigging bids and inflating the amount of money obtained from valuable IT contracts. 

    Antwann C.K. Rawls, an employee of one of Marquez’s companies, and Scott A. Reefe, an IT sales executive, have been charged for their respective roles in the conspiracy.

    As alleged in the indictment, Marquez, Rawls, Reefe and their co-conspirators used their positions of trust to learn sensitive, confidential procurement information, including procurement budgets for large U.S. government IT contracts. The co-conspirators used that inside information to craft bids at artificially determined, non-competitive and non-independent prices, ensuring Marquez’s company would win the procurement. 

    According to court documents, the co-conspirators shared their bids in advance of submitting them to the government, with one co-conspirator emailing that he would submit a “high price third bid.” Marquez and his co-conspirators submitted their collusive bids despite knowing the government sought independent, competitive bids for the valuable contracts, and despite Marquez’s certification of independent bidding.

    If convicted, Marquez faces maximum penalties of 20 years in prison for each conspiracy and wire fraud count and 10 years in prison for the major fraud charge. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

    United States v. Breal L. Madison Jr.

    Breal L. Madison Jr., a Maryland resident, was charged in a 13-count indictment with conspiracy, bribery of a public official, mail fraud and money laundering for orchestrating a years-long scheme to defraud his employer and the United States out of over $7 million in connection with the sale of IT products to various government agencies.

    Brandon Scott Glisson, an IT contractor providing IT services to the U.S. government, and Glisson’s supervisor, Lawrence A. Eady, a former senior government employee, have also been charged for their respective roles in the scheme.

    According to court documents, through multiple misrepresentations, Madison and his co-conspirators conspired to steal money from Madison’s employer and government agencies, illegally siphoning over $9 million in stolen proceeds to Madison’s shell company, Trident Technology Solutions, and another shell company. They used the money to purchase luxury items and to pay approximately $630,000 in bribes to Eady in exchange for Eady’s ensuring the purchase of additional products sold by Madison. 

    Madison used his ill-gotten gains to buy a Vanquish VQ58 yacht, 2020 Lamborghini Huracan and multiple other vehicles, all of which the United States seeks to forfeit in the indictment. 

    If convicted, Madison faces maximum penalties of five years in prison for the conspiracy count, 15 years in prison for each bribery count, 20 years in prison for each mail fraud count and 10 years for each money laundering count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

    The DCIS, the FBI Baltimore Field Office, CIA Office of Inspector General and NSA Office of Inspector General investigated the case.

    Acting Assistant Chief Michael Sawers and Trial Attorneys Zachary Trotter and Elizabeth French of the Antitrust Division’s Washington Criminal Section and Assistant U.S. Attorneys Aaron S.J. Zelinsky, Sean M. Delaney and Darren Gardner for the District of Maryland are prosecuting the case. 

    Anyone with information about this investigation or other procurement fraud schemes should notify the PCSF at www.justice.gov/atr/webform/pcsf-citizen-complaint. The Justice Department created the PCSF in November 2019. It is a joint law enforcement effort to combat antitrust crimes and related fraudulent schemes that impact government procurement, grant and program funding at all levels of government — federal, state and local. For more information, visit www.justice.gov/procurement-collusion-strike-force.

    An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. 

    View the Rawls information.

    View the Eady information.

    View Reefe information.

    View the Glisson information.

    View the Madison indictment.

    View the Marquez indictment.

    MIL Security OSI –

  • MIL-OSI: Seaway7 awarded offshore wind contract in UK

    Source: GlobeNewswire (MIL-OSI)

    Luxembourg – 29 October 2024 – Subsea 7 S.A. (Oslo Børs: SUBC, ADR: SUBCY) today announced the award to Seaway7, part of the Subsea7 Group, of a substantial1 contract by Ørsted for the transport and installation of the inter-array cables of the Hornsea 3 offshore wind project located in the UK sector of the North Sea.

    Seaway7’s scope of work covers the transportation and installation (T&I) of 192 66kV inter-array cables, measuring approximately 500 kilometres in length, with offshore activities scheduled to commence in 2026.

    Stuart Fitzgerald, CEO Seaway7, said: “With this award we look forward to continuing our long-standing relationship with Ørsted. The Hornsea 3 project represents our seventh offshore wind project together, including the inter-array cables on the two previous phases of the Hornsea Wind Zone, Hornsea 1 and Hornsea 2. The award adds to our backlog and leading position in the UK, Europe’s largest offshore wind market.

    (1) Subsea7 defines a substantial contract as being between USD 150 million and USD 300 million.

    *******************************************************************************
    Subsea7 is a global leader in the delivery of offshore projects and services for the evolving energy industry. We create sustainable value by being the industry’s partner and employer of choice in delivering the efficient offshore solutions the world needs.

    Subsea7 is listed on the Oslo Børs (SUBC), ISIN LU0075646355, LEI 222100AIF0CBCY80AH62.

    *******************************************************************************

    Contact for investment community enquiries:
    Katherine Tonks
    Investor Relations Director
    Tel +44 (0)20 8210 5568
    ir@subsea7.com

    Contact for media enquiries:
    Nikki Beales
    Communications Manager, Seaway7
    Tel +44 (0)7843895292
    nikki.beales@seaway7.com
    www.seaway7.com

    Forward-Looking Statements: This document may contain ‘forward-looking statements’ (within the meaning of the safe harbour provisions of the U.S. Private Securities Litigation Reform Act of 1995). These statements relate to our current expectations, beliefs, intentions, assumptions or strategies regarding the future and are subject to known and unknown risks that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements may be identified by the use of words such as ‘anticipate’, ‘believe’, ‘estimate’, ‘expect’, ‘future’, ‘goal’, ‘intend’, ‘likely’ ‘may’, ‘plan’, ‘project’, ‘seek’, ‘should’, ‘strategy’ ‘will’, and similar expressions. The principal risks which could affect future operations of the Group are described in the ‘Risk Management’ section of the Group’s Annual Report and Consolidated Financial Statements. Factors that may cause actual and future results and trends to differ materially from our forward-looking statements include (but are not limited to): (i) our ability to deliver fixed price projects in accordance with client expectations and within the parameters of our bids, and to avoid cost overruns; (ii) our ability to collect receivables, negotiate variation orders and collect the related revenue; (iii) our ability to recover costs on significant projects; (iv) capital expenditure by oil and gas companies, which is affected by fluctuations in the price of, and demand for, crude oil and natural gas; (v) unanticipated delays or cancellation of projects included in our backlog; (vi) competition and price fluctuations in the markets and businesses in which we operate; (vii) the loss of, or deterioration in our relationship with, any significant clients; (viii) the outcome of legal proceedings or governmental inquiries; (ix) uncertainties inherent in operating internationally, including economic, political and social instability, boycotts or embargoes, labour unrest, changes in foreign governmental regulations, corruption and currency fluctuations; (x) the effects of a pandemic or epidemic or a natural disaster; (xi) liability to third parties for the failure of our joint venture partners to fulfil their obligations; (xii) changes in, or our failure to comply with, applicable laws and regulations (including regulatory measures addressing climate change); (xiii) operating hazards, including spills, environmental damage, personal or property damage and business interruptions caused by adverse weather; (xiv) equipment or mechanical failures, which could increase costs, impair revenue and result in penalties for failure to meet project completion requirements; (xv) the timely delivery of vessels on order and the timely completion of ship conversion programmes; (xvi) our ability to keep pace with technological changes and the impact of potential information technology, cyber security or data security breaches; (xvii) global availability at scale and commercially viability of suitable alternative vessel fuels; and (xviii) the effectiveness of our disclosure controls and procedures and internal control over financial reporting. Many of these factors are beyond our ability to control or predict. Given these uncertainties, you should not place undue reliance on the forward-looking statements. Each forward-looking statement speaks only as of the date of this document. We undertake no obligation to update publicly or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
    This information is considered to be inside information pursuant to the EU Market Abuse Regulation and is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act.
    This stock exchange release was published by Katherine Tonks, Investor Relations, Subsea7, on 29 October 2024 at 21:05 CET.

    Attachment

    The MIL Network –

  • MIL-OSI: Skyward Specialty Insurance Group Reports Third Quarter 2024 Results

    Source: GlobeNewswire (MIL-OSI)

    HOUSTON, Oct. 29, 2024 (GLOBE NEWSWIRE) — Skyward Specialty Insurance Group, Inc. (Nasdaq: SKWD) (“Skyward Specialty” or the “Company”) today reported third quarter 2024 net income of $36.7 million, or $0.89 per diluted share, compared to $21.7 million, or $0.57 per diluted share, for the same 2023 period. Net income for the first nine months of 2024 was $104.4 million, or $2.53 per diluted share, compared to $56.7 million, or $1.50 per diluted share, for the same 2023 period.

    Adjusted operating income(1) for the third quarter of 2024 was $29.4 million, or $0.71 per diluted share, compared to $25.0 million, or $0.65 per diluted share, for the same 2023 period. Adjusted operating income(1) for the first nine months of 2024 was $93.4 million, or $2.26 per diluted share, compared to $56.5 million, or $1.49 per diluted share, for the same 2023 period.

    Highlights for the third quarter included:

    • Gross written premiums of $400.0 million an increase of 12.4% compared to the third quarter of 2023.
    • Combined ratio of 92.2% and ex-Cat combined ratio of 89.4% compared to 90.2% and 89.8%, respectively, for the third quarter of 2023.
    • Annualized return on equity of 19.1% through the first nine months of 2024 compared to 15.8% for the same 2023 period.
    • Book value per share of $19.89, an increase of 19% compared to December 31, 2023.
    (1)See “Reconciliation of Non-GAAP Financial Measures”

    Skyward Specialty Chairman and CEO Andrew Robinson commented, “These past weeks have proven to be a very difficult time and our thoughts continue to be with those impacted by Hurricanes Helene and Milton; I am proud of the extraordinary efforts of our claims team and partners who continue to deliver exceptional service to our customers affected by these catastrophes.”

    “As for our third quarter, our results reflect our continued excellent execution of our “Rule our Niche” strategy, and our disciplined underwriting and our strategic risk management. Our adjusted operating income was up nearly 18% over the prior year quarter, continuing the trend of strong earnings growth we have delivered every quarter as a public company, and our 19.1% annualized return on equity year to date is outstanding. We delivered gross written premiums growth of 12.4% over the prior year quarter while continuing to increase our mix of business to areas that are less exposed to the P&C cycles. Given investments into our business, the momentum building in certain divisions, and with full consideration for the market backdrop, I am confident that we are well positioned to deliver strong growth as we look forward to the coming quarters.”

    Results of Operations

    Underwriting Results

    Premiums                        
    ($ in thousands)   Three months ended September 30,   Nine months ended September 30,
    unaudited     2024       2023     % Change     2024       2023     % Change
    Gross written premiums   $ 400,014     $ 355,732     12.4 %   $ 1,354,877     $ 1,138,224     19.0 %
    Ceded written premiums   $ (131,692 )   $ (75,036 )   75.5 %   $ (502,326 )   $ (441,650 )   13.7 %
    Net retention     67.1 %     78.9 %   NM (1)       62.9 %     61.2 %   NM (1)  
    Net written premiums   $ 268,322     $ 280,696     (4.4 )%   $ 852,551     $ 696,574     22.4 %
    Net earned premiums   $ 269,557     $ 227,033     18.7 %   $ 763,482     $ 604,211     26.4 %
    (1)Not meaningful                        
                             

    The increase in gross written premiums for the third quarter and first nine months of 2024, when compared to the same 2023 periods, was driven by double-digit premium growth primarily from our transactional E&S, programs, captives, surety and global property & agriculture underwriting divisions.

    During the third quarter and first nine months of 2023, the Company cancelled a quota share reinsurance contract. Excluding the impact of the cancellation, net written premiums for the third quarter and first nine months of 2024 increased 16.5%(2) and 32.0%(2), respectively, when compared to the same 2023 periods.

    Combined Ratio   Three months ended September 30,   Nine months ended September 30,
    (unaudited)   2024   2023   2024   2023
    Non-cat loss and LAE(1)   60.6 %   60.7 %   60.6 %   60.9 %
    Cat loss and LAE(1)   2.8 %   0.4 %   1.5 %   1.8 %
    Prior accident year development – LPT(2)   (0.1 )%   (0.1 )%   (0.1 )%   (0.2 )%
    Loss Ratio   63.3 %   61.0 %   62.0 %   62.5 %
    Net policy acquisition costs   13.9 %   15.0 %   13.9 %   13.0 %
    Other operating and general expenses   15.7 %   15.1 %   15.8 %   16.3 %
    Commission and fee income   (0.7 )%   (0.9 )%   (0.8 )%   (1.0 )%
    Expense ratio   28.9 %   29.2 %   28.9 %   28.3 %
    Combined ratio   92.2 %   90.2 %   90.9 %   90.8 %
    Ex-Cat Combined Ratio(3)   89.4 %   89.8 %   89.4 %   89.0 %
                     
    Adjusted Underwriting Ratios                
    Adjusted loss ratio(2)   63.4 %   61.1 %   62.1 %   62.7 %
    Expense ratio   28.9 %   29.2 %   28.9 %   28.3 %
    Adjusted combined ratio(2)   92.3 %   90.3 %   91.0 %   91.0 %
    (1)Current accident year
    (2)See “Reconciliation of Non-GAAP Financial Measures”
    (3)Defined as the combined ratio excluding cat loss and LAE(1)            
                     

    The loss ratios for the third quarter and first nine months of 2024 increased 2.3 points and improved 0.5 points, respectively, when compared to the same 2023 periods. The third quarter of 2024 was impacted by higher catastrophe losses, primarily from Hurricanes Helene and Beryl.

    The expense ratios for the third quarter and first nine months of 2024 were comparable to the same 2023 periods.

    The expense ratios for all periods presented exclude the impact of IPO related stock compensation and secondary offering expenses, which are reported in other expenses in our condensed consolidated statements of operations and comprehensive income.

    Investment Results

    Net Investment Income                
    $ in thousands   Three months ended September 30,   Nine months ended September 30,
    (unaudited)     2024       2023       2024     2023  
    Short-term investments & cash and cash equivalents   $ 4,537     $ 3,022     $ 13,645   $ 8,007  
    Fixed income     15,458       9,488       41,722     24,867  
    Equities     596       650       1,974     1,332  
    Alternative & strategic investments     (1,070 )     (71 )     2,615     (7,888 )
    Net investment income   $ 19,521     $ 13,089     $ 59,956   $ 26,318  
    Net unrealized gains (losses) on securities still held   $ 8,378     $ (6,391 )   $ 15,609   $ 2,394  
    Net realized gains     1,809       3,407       1,056     934  
    Net investment gains (losses)   $ 10,187     $ (2,984 )   $ 16,665   $ 3,328  
     

    Beginning January 1, 2024 we simplified the investment portfolio classifications to align with our strategy and the underlying risk characteristics of the portfolio. The prior period has been reclassified to conform to the current period presentation.

    Net investment income for the third quarter and first nine months of 2024 increased $6.4 million and $33.6 million, respectively when compared to the same 2023 periods, primarily driven by increased income from our fixed income portfolio and short-term investments due to higher yields and larger asset bases.

    Stockholders’ Equity

    Stockholders’ equity was $797.5 million at September 30, 2024 which represents an increase of 10.2% when compared to stockholders’ equity of $723.6 million at June 30, 2024. The increase in stockholders’ equity was primarily due to net income and an increase in the market value of our investment portfolio.

    Share Repurchase Authorization

    In October 2024, the Company’s Board of Directors authorized a share repurchase program authorizing the repurchase of up to $50.0 million of the Company’s common stock.

    Skyward Specialty Chairman and CEO Andrew Robinson commented, “The share repurchase program allows Skyward to opportunistically deploy our capital in an accretive fashion and ultimately drive long-term value creation for our shareholders. Given our strong cash position and financing flexibility, the repurchase program will not limit our ability to support our near-term growth or our flexibility to support ongoing investment in the key growth areas of our business, or to capture additional value creating opportunities.”

    The shares may be repurchased from time to time in open market purchases, privately-negotiated transactions, block purchases, accelerated share repurchase agreements or a combination of methods and pursuant to safe harbors provided by Rule 10b-18 and Rule 10b5-1 under the Securities Exchange Act of 1934. The timing, manner, price and amount of any repurchases under the share repurchase program will be determined by the Company in its discretion. The stock repurchase program does not require the Company to repurchase any specific number of shares, and may be modified, suspended or terminated at any time.

    Conference Call

    At 9:30 a.m. eastern time tomorrow, October 30, 2024, Skyward Specialty management will hold a conference call to discuss quarterly results with insurance industry analysts. Interested parties may listen to the discussion at investors.skywardinsurance.com under Events & Presentations. Additionally, investors can access the earnings call via conference call by registering via the conference link. Users will receive dial-in information and a unique PIN to join the call upon registering.

    Non-GAAP Financial Measures

    This release contains certain financial measures and ratios that are not required by, or presented in accordance with, generally accepted accounting principles in the United States (“GAAP”). We refer to these measures as “non-GAAP financial measures.” We use these non-GAAP financial measures when planning, monitoring, and evaluating our performance.

    We have chosen to exclude the net impact of the Loss Portfolio Transfer (“LPT”), all development on reserves fully or partially covered by the LPT and amortization of deferred gains associated with recoveries of prior LPT reserve strengthening in certain non-GAAP metrics, where noted, as the business subject to the LPT is not representative of our continuing business strategy. The business subject to the LPT is primarily related to policy years 2017 and prior, was generated and managed under prior leadership, and has either been exited or substantially repositioned during the reevaluation of our portfolio. We consider these non-GAAP financial measures to be useful metrics for our management and investors to facilitate operating performance comparisons from period to period. While we believe that these non-GAAP financial measures are useful in evaluating our business, this information should be considered supplemental in nature and is not meant to be a substitute for revenue or net income, in each case as recognized in accordance with GAAP. In addition, other companies, including companies in our industry, may calculate such measures differently, which reduces their usefulness as comparative measures. For more information regarding these non-GAAP financial measures and a reconciliation of such measures to comparable GAAP financial measures, see the section entitled “Reconciliation of Non-GAAP Financial Measures.”

    About Skyward Specialty Insurance Group, Inc.

    Skyward Specialty is a rapidly growing and innovative specialty insurance company, delivering commercial property and casualty products and solutions on a non-admitted and admitted basis. The Company operates through eight underwriting divisions – Accident & Health, Captives, Global Property & Agriculture, Industry Solutions, Professional Lines, Programs, Surety and Transactional E&S. SKWD stock is traded on the Nasdaq Global Select Market, which represents the top fourth of all Nasdaq listed companies.

    Skyward Specialty’s subsidiary insurance companies consist of Houston Specialty Insurance Company, Imperium Insurance Company, Great Midwest Insurance Company, and Oklahoma Specialty Insurance Company. These insurance companies are rated A (Excellent) with stable outlook by A.M. Best Company. Additional information about Skyward Specialty can be found on our website at www.skywardinsurance.com.

    Forward-Looking Statements

    Except for historical information, all other information in this news release consists of forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements are typically, but not always, identified through use of the words “believe,” “expect,” “enable,” “may,” “will,” “could,” “intends,” “estimate,” “anticipate,” “plan,” “predict,” “probable,” “potential,” “possible,” “should,” “continue,” and other words of similar meaning. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected, anticipated or implied. The most significant of these uncertainties are described in Skyward Specialty’s Form 10-K, and include (but are not limited to) legislative changes at both the state and federal level, state and federal regulatory rule making promulgations and adjudications, class action litigation involving the insurance industry and judicial decisions affecting claims, policy coverages and the general costs of doing business, the potential loss of key members of our management team or key employees and our ability to attract and retain personnel, the impact of competition on products and pricing, inflation in the costs of the products and services insurance pays for, product development, geographic spread of risk, weather and weather-related events, other types of catastrophic events, our ability to obtain reinsurance coverage at prices and on terms that allow us to transfer risk and adequately protect our company against financial loss, and losses resulting from reinsurance counterparties failing to pay us on reinsurance claims. These forward-looking statements speak only as of the date of this release and the Company does not undertake any obligation to update or revise any forward-looking information to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise.

    Skyward Specialty Insurance Group, Inc.

    Investor contact:
    Natalie Schoolcraft,
    nschoolcraft@skywardinsurance.com
    614-494-4988

    or

    Media contact:
    Haley Doughty
    hdoughty@skywardinsurance.com
    713-935-4944

    Skyward Specialty Insurance Group, Inc.
    Consolidated Balance Sheets        
    ($ in thousands, except share and per share amounts)        
    (unaudited)   September 30, 2024   December 31, 2023
    Assets        
    Investments:        
    Fixed maturity securities, available-for-sale, at fair value (amortized cost of $1,359,700 and $1,047,713, respectively)   $ 1,357,500     $ 1,017,651  
    Fixed maturity securities, held-to-maturity, at amortized cost (net of allowance for credit losses of $239 and $329, respectively)     39,321       42,986  
    Equity securities, at fair value     124,719       118,249  
    Mortgage loans, at fair value     36,267       50,070  
    Equity method investments     102,111       110,653  
    Other long-term investments     23,802       3,852  
    Short-term investments, at fair value     206,358       270,226  
    Total investments     1,890,078       1,613,687  
    Cash and cash equivalents     105,573       65,891  
    Restricted cash     45,783       34,445  
    Premiums receivable, net     327,176       179,235  
    Reinsurance recoverables, net     686,725       596,334  
    Ceded unearned premium     236,962       186,121  
    Deferred policy acquisition costs     119,910       91,955  
    Deferred income taxes     18,502       21,991  
    Goodwill and intangible assets, net     87,607       88,435  
    Other assets     80,547       75,341  
    Total assets   $ 3,598,863     $ 2,953,435  
    Liabilities and stockholders’ equity        
    Liabilities:        
    Reserves for losses and loss adjustment expenses   $ 1,568,777     $ 1,314,501  
    Unearned premiums     692,452       552,532  
    Deferred ceding commission     44,984       37,057  
    Reinsurance and premium payables     200,967       150,156  
    Funds held for others     102,219       58,588  
    Accounts payable and accrued liabilities     73,001       50,880  
    Notes payable     100,000       50,000  
    Subordinated debt, net of debt issuance costs     18,956       78,690  
    Total liabilities     2,801,356       2,292,404  
    Stockholders’ equity        
    Common stock, $0.01 par value, 500,000,000 shares authorized, 40,099,931 and 39,863,756 shares issued and outstanding, respectively     401       399  
    Additional paid-in capital     716,095       710,855  
    Stock notes receivable     —       (5,562 )
    Accumulated other comprehensive loss     (1,703 )     (22,953 )
    Retained earnings (accumulated deficit)     82,714       (21,708 )
    Total stockholders’ equity     797,507       661,031  
    Total liabilities and stockholders’ equity   $ 3,598,863     $ 2,953,435  
             
    Skyward Specialty Insurance Group, Inc.
    Condensed Consolidated Statements of Operations and Comprehensive Income
    ($ in thousands)   Three months ended September 30,   Nine months ended September 30,
    (unaudited)     2024       2023       2024       2023  
                     
    Revenues:                
    Net earned premiums   $ 269,557     $ 227,033     $ 763,482     $ 604,211  
    Commission and fee income     1,818       2,085       5,897       5,817  
    Net investment income     19,521       13,089       59,956       26,318  
    Net investment gains (losses)     10,187       (2,984 )     16,665       3,328  
    Other loss     (195 )     —       (202 )     —  
    Total revenues     300,888       239,223       845,798       639,674  
    Expenses:                
    Losses and loss adjustment expenses     170,521       138,536       473,489       377,841  
    Underwriting, acquisition and insurance expenses     79,817       68,315       226,270       176,653  
    Interest expense     2,229       2,632       7,405       7,250  
    Amortization expense     351       463       1,099       1,336  
    Other expenses     1,117       1,482       3,350       4,061  
    Total expenses     254,035       211,428       711,613       567,141  
    Income before income taxes     46,853       27,795       134,185       72,533  
    Income tax expense     10,185       6,084       29,763       15,814  
    Net income     36,668       21,711       104,422       56,719  
    Net income attributable to participating securities     —       —       —       1,492  
    Net income attributable to common stockholders   $ 36,668     $ 21,711     $ 104,422     $ 55,227  
    Comprehensive income:                
    Net income   $ 36,668     $ 21,711     $ 104,422     $ 56,719  
    Other comprehensive income:                
    Unrealized gains and losses on investments:                
    Net change in unrealized gains (losses) on investments, net of tax     31,396       (8,722 )     24,527       (5,309 )
    Reclassification adjustment for losses on securities no longer held, net of tax     (1,963 )     (3,667 )     (3,277 )     (4,879 )
    Total other comprehensive income (loss)     29,433       (12,389 )     21,250       (10,188 )
    Comprehensive income   $ 66,101     $ 9,322     $ 125,672     $ 46,531  
                     
    Skyward Specialty Insurance Group, Inc.
    Share and Per Share Data                
    ($ in thousands, except share and per share amounts)   Three months ended September 30,   Nine months ended September 30,
    (unaudited)     2024       2023       2024       2023  
                     
    Weighted average basic shares     40,098,345       36,743,393       40,039,269       35,502,843  
    Weighted average diluted shares     41,428,557       38,403,843       41,302,108       37,830,431  
                     
    Basic earnings per share   $ 0.91     $ 0.59     $ 2.61     $ 1.56  
    Diluted earnings per share   $ 0.89     $ 0.57     $ 2.53     $ 1.50  
    Basic adjusted operating earnings per share   $ 0.73     $ 0.68     $ 2.33     $ 1.55  
    Diluted adjusted operating earnings per share   $ 0.71     $ 0.65     $ 2.26     $ 1.49  
                     
    Annualized ROE (1)     19.3 %     16.4 %     19.1 %     15.8 %
    Annualized adjusted ROE (2)     15.5 %     18.9 %     17.1 %     15.8 %
    Annualized ROTE (3)     21.8 %     19.7 %     21.7 %     19.4 %
    Annualized adjusted ROTE (4)     17.5 %     22.8 %     19.4 %     19.4 %
                     
                September 30   December 31
                  2024       2023  
                     
    Shares outstanding             40,099,931       39,863,756  
    Fully diluted shares outstanding             41,986,881       41,771,854  
                     
    Book value per share           $ 19.89     $ 16.72  
    Fully diluted book value per share           $ 18.99     $ 15.96  
    Fully diluted tangible book value per share           $ 16.91     $ 13.84  
                     
    (1)Annualized ROE is net income expressed on an annualized basis as a percentage of average beginning and ending stockholders’ equity during the period
    (2)Annualized adjusted ROE is adjusted operating income expressed on an annualized basis as a percentage of average beginning and ending stockholders’ equity during the period
    (3)Annualized ROTE is net income expressed on an annualized basis as a percentage of average beginning and ending tangible stockholders’ equity during the period
    (4)Annualized adjusted ROTE is adjusted operating income expressed on an annualized basis as a percentage of average beginning and ending tangible stockholders’ equity during the period

    Skyward Specialty Insurance Group, Inc.
    Reconciliation of Non-GAAP Financial Measures

    Adjusted operating income – We define adjusted operating income as net income excluding the impact of certain items that may not be indicative of underlying business trends, operating results, or future outlook, net of tax impact. We use adjusted operating income as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into our results of operations and our underlying business performance. Adjusted operating income should not be viewed as a substitute for net income calculated in accordance with GAAP, and other companies may define adjusted operating income differently.        

    ($ in thousands) Three months ended September 30,   Nine months ended September 30,
    (unaudited)   2024       2023       2024       2023  
      Pre-tax   After-tax   Pre-tax   After-tax   Pre-tax   After-tax   Pre-tax   After-tax
    Income as reported $ 46,853     $ 36,668     $ 27,795     $ 21,711     $ 134,185     $ 104,422     $ 72,533     $ 56,719  
    Less (add):                              
    Net investment gains (losses)   10,187       8,048       (2,984 )     (2,357 )     16,665       13,165       3,328       2,629  
    Net impact of loss portfolio transfer   318       251       266       210       800       632       970       766  
    Other loss   (195 )     (154 )     —       —       (202 )     (160 )     —       —  
    Other expenses   (1,117 )     (882 )     (1,482 )     (1,171 )     (3,350 )     (2,647 )     (4,061 )     (3,208 )
    Adjusted operating income $ 37,660     $ 29,405     $ 31,995     $ 25,029     $ 120,272     $ 93,432     $ 72,296     $ 56,532  
                                   


    Quota Share Reinsurance Cancellation     Reconciliation – to exclude the impact of the cancellation of a quota share reinsurance contract on ceded written premiums, net retention, net written premiums and net earned premiums for the three and nine months ended September 30, 2023:

      Three months ended September 30,
        2024       2023     %
    (unaudited) As Reported   As Reported   Adjustment   Adjusted   Change
    Ceded written premiums $ (131,692 )   $ (75,036 )   $ (50,462 )   $ (125,498 )   4.9 %
    Net retention   67.1 %     78.9 %         64.7 %   NM (1)
    Net written premiums $ 268,322     $ 280,696     $ (50,462 )   $ 230,234     16.5 %
    Net earned premiums $ 269,557     $ 227,033     $ (13,145 )   $ 213,888     26.0 %
                       
      Nine months ended September 30,
        2024       2023     %
      As Reported   As Reported   Adjustment   Adjusted   Change
    Ceded written premiums $ (502,326 )   $ (441,650 )   $ (50,462 )   $ (492,112 )   2.1 %
    Net retention   62.9 %             56.8 %   NM (1)
    Net written premiums $ 852,551     $ 696,574     $ (50,462 )   $ 646,112     32.0 %
    Net earned premiums $ 763,482     $ 604,211     $ (13,145 )   $ 591,066     29.2 %
                       
    (1)Not meaningful                  
                       


    Underwriting income     – We define underwriting income as net income before income taxes excluding net investment income, net realized and unrealized gains and losses on investments, impairment charges, interest expense, amortization expense and other income and expenses. Underwriting income represents the pre-tax profitability of our underwriting operations and allows us to evaluate our underwriting performance without regard to investment income. We use this metric as we believe it gives our management and other users of our financial information useful insight into our underlying business performance. Underwriting income should not be viewed as a substitute for pre-tax income calculated in accordance with GAAP, and other companies may define underwriting income differently.

    ($ in thousands)   Three months ended September 30,   Nine months ended September 30,
    (unaudited)     2024       2023       2024     2023
    Income before federal income tax expense   $ 46,853     $ 27,795     $ 134,185     $ 72,533
    Add:                
    Interest expense     2,229       2,632       7,405       7,250
    Amortization expense     351       463       1,099       1,336
    Other expenses     1,117       1,482       3,350       4,061
    Less:                
    Net investment income     19,521       13,089       59,956       26,318
    Net investment gains (losses)     10,187       (2,984 )     16,665       3,328
    Other loss     (195 )     —       (202 )     —
    Underwriting income   $ 21,037     $ 22,267     $ 69,620     $ 55,534
                     


    Adjusted Loss Ratio / Adjusted Combined Ratio     – We define adjusted loss ratio and adjusted combined ratio as the corresponding ratio (calculated in accordance with GAAP), excluding losses and LAE related to the LPT and all development on reserves fully or partially covered by the LPT and amortization of deferred gains associated with recoveries of prior LPT reserve strengthening. We use these adjusted ratios as internal performance measures in the management of our operations because we believe they give our management and other users of our financial information useful insight into our results of operations and our underlying business performance. Our adjusted loss ratio and adjusted combined ratio should not be viewed as substitutes for our loss ratio and combined ratio, respectively.

    ($ in thousands)   Three months ended September 30,   Nine months ended September 30,
    (unaudited)     2024       2023       2024       2023  
    Net earned premiums   $ 269,557     $ 227,033     $ 763,482     $ 604,211  
                     
    Losses and LAE     170,521       138,536       473,489       377,841  
    Less: Pre-tax net impact of LPT     (318 )     (266 )     (800 )     (970 )
    Adjusted losses and LAE   $ 170,839     $ 138,802     $ 474,289     $ 378,811  
                     
    Loss ratio     63.3 %     61.0 %     62.0 %     62.5 %
    Less: net impact of LPT   (0.1 )%   (0.1 )%   (0.1 )%   (0.2 )%
    Adjusted loss ratio     63.4 %     61.1 %     62.1 %     62.7 %
                     
    Combined ratio     92.2 %     90.2 %     90.9 %     90.8 %
    Less: net impact of LPT   (0.1 )%   (0.1 )%   (0.1 )%   (0.2 )%
    Adjusted combined ratio     92.3 %     90.3 %     91.0 %     91.0 %
                     

    Tangible Stockholders’ Equity – We define tangible stockholders’ equity as stockholders’ equity less goodwill and intangible assets. Our definition of tangible stockholders’ equity may not be comparable to that of other companies and should not be viewed as a substitute for stockholders’ equity calculated in accordance with GAAP. We use tangible stockholders’ equity internally to evaluate the strength of our balance sheet and to compare returns relative to this measure.

    ($ in thousands)   September 30,   December 31,
    (unaudited)   2024   2023   2023
    Stockholders’ equity   $ 797,507   $ 535,397   $ 661,031
    Less: Goodwill and intangible assets     87,607     88,808     88,435
    Tangible stockholders’ equity   $ 709,900   $ 446,589   $ 572,596
                 

    Skyward Specialty Insurance Group, Inc.
    Gross Written Premiums by Underwriting Division (Unaudited)

        Three months ended September 30,   Nine months ended September 30,
    ($ in thousands)   2024   2023   % Change   2024   2023   % Change
    Global Property & Agriculture   $ 54,360   $ 48,775   11.5 %   $ 279,721   $ 247,195   13.2 %
    Industry Solutions     74,089     79,798   (7.2 )%     236,460     226,680   4.3 %
    Captives     53,630     41,886   28.0 %     184,137     127,249   44.7 %
    Programs     54,434     41,735   30.4 %     166,256     143,032   16.2 %
    Transactional E&S     44,885     30,699   46.2 %     132,791     90,948   46.0 %
    Accident & Health     43,490     39,554   10.0 %     128,479     112,819   13.9 %
    Professional Lines     40,310     48,259   (16.5 )%     120,655     114,420   5.4 %
    Surety     34,816     24,977   39.4 %     106,395     75,899   40.2 %
    Total gross written premiums(1)   $ 400,014   $ 355,683   12.5 %   $ 1,354,894   $ 1,138,242   19.0 %
    (1)Excludes exited business                        

    The MIL Network –

  • MIL-OSI: Enovix Announces Third Quarter 2024 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    FREMONT, Calif., Oct. 29, 2024 (GLOBE NEWSWIRE) — Enovix Corporation (“Enovix”) (Nasdaq: ENVX), a global high-performance battery company, announced today financial results for third quarter 2024, which included the summary below from its President and CEO, Dr. Raj Talluri.

    Fellow Shareholders,

    In the third quarter of 2024, we made significant progress on our journey to scale. The unveiling of Fab2 was a major boost in confidence with multiple customers now indicating a desire to launch products with us starting from late 2025.

    Other recent highlights include:

    • Revenue growth: Revenues were $4.3 million in the third quarter, above our guidance midpoint and up from $3.8 million in the second quarter.
    • Manufacturing: The Company formally opened Fab2 in Malaysia and within weeks commenced shipping battery cells to customers.
    • Commercialization: A leading smartphone OEM signed a development agreement for qualification of our battery product and mass production launch in late 2025.
    • Cost reduction: We are on track to further reduce cash consumption by leveraging our new Malaysia operations which will provide runway into 2026.

    We are laser-focused on execution as we see increasing demand across our target markets. The strategy we established early last year prioritized large, high-value segments, such as smartphones and AR/VR headsets, where the need for higher energy density commands a premium. This approach has proven to be visionary, with the recent surge in AI-enabled smartphones further validating our strategy and driving significant pull for our products. We are confident that our go-to-market strategy positions Enovix on an expedient path to profitability while maintaining a competitive edge in innovation.

    Our analysis of recent smartphone launches highlights a critical shortfall in conventional batteries. Energy density improvements in flagship devices released in 2024 have stagnated, with a mere 1% year-over-year increase. We believe this trajectory is insufficient to meet escalating demands of modern devices, especially those powered by AI.

    In contrast, our battery technology roadmap offers a generational leap in energy density. With our Malaysia Fab now gearing up for production, we are in a full sprint to commercialize this transformative technology and meet the pressing needs of the industry. Our focus on rapid execution will enable us to offer substantial benefits to our customers and consumers alike, positioning us as a leader in next-generation battery solutions.

    Business Update

    Manufacturing. We formally opened Fab2 in Malaysia with various stakeholders including several leading smartphone OEMs that provided decidedly positive feedback on ramp quality and speed, as well as the level of automation. A total of 11 customers have now inspected our new facility. The Agility Line is fully operational with initial yields comparable to final levels we achieved with our first manufacturing line in California, with expected improvements on the horizon. Consistent with our plans, we commenced shipping EX-1M cells to customers in the third quarter, supporting their qualification and mass production timelines. We are on track to complete Site Acceptance Testing (SAT) of the High-Volume Line in Q4 2024.

    Commercialization. Our business team has made significant progress toward profitability by securing demand across multiple high-growth markets. We are excited to announce that we have formalized a strategic partnership with a second leading smartphone OEM. This agreement outlines key milestones, and upon meeting them, we are poised to enter the smartphone market in late 2025 with high-volume production from our Fab2 facility. This marks a major step forward in our journey to scale.

    In parallel, we have aligned on a production schedule with a leading IoT customer, which includes a mass production purchase order also slated for 2025. This partnership underscores our ability to diversify into high-value sectors beyond smartphones. Further, we are aggressively expanding our pipeline by engaging with strategic IoT customers to unlock high-growth opportunities and accelerate top-of-the-funnel momentum.

    In the EV space, we are advancing our targeted strategy of developing customized products with two of the world’s largest automotive OEMs. In Q4, we expect to complete our first milestone pursuant to the agreement with one of the major automakers in the EV market, which is a major milestone in our efforts to enter and grow within the EV market. Looking ahead, we are focused on expanding these relationships in 2025, leveraging a capital-efficient, licensing-based business model in the EV space that aligns with the long-term scalability of our technology.

    Products: Our product development team is advancing toward the 2025 mass production of EX-1M, which will highlight the capabilities of our breakthrough active silicon technology. In Q3, we successfully achieved UN38.3 certification, marking a critical milestone for market entry and a strong validation of our products’ safety.

    In addition, we are on track to sample EX-2M to select customers in Q4. We’re now making samples and have identified the product’s advanced electrochemistry. These early samples will be instrumental in accelerating the timeline to full-scale production. Finally, we have made progress on the comprehensive product definition of EX-3M, reaffirming our commitment to pushing the boundaries of innovation and delivering industry-leading solutions to customers across a range of industries.

    Financials: Revenue was $4.3 million in the third quarter of 2024, near the high end of our guidance range and up from $3.8 million in the second quarter of 2024.

    Our GAAP cost of revenue was $5.0 million in the third quarter of 2024 representing a slight reduction sequentially as a percentage of sales and leading to a similar gross income level.

    Our GAAP operating expenses of $48.6 million in the third quarter of 2024 were down from $88.1 million in the second quarter, due largely to lower restructuring costs which were concentrated in the previous quarter as the Company shifted our manufacturing operations from the U.S. to Malaysia. Our non-GAAP operating expenses were $27.2 million in the third quarter of 2024, down 12% from $30.9 million in the second quarter of 2024.

    Our GAAP net loss attributable to Enovix of $22.5 million in the third quarter of 2024 was down from $115.9 million in the second quarter of 2024 due to lower restructuring costs. Our GAAP net loss attributable to Enovix for the third quarter of 2024 also included $29.9 million of income due to a decrease in the fair value of our common stock warrants during the quarter.

    Adjusted EBITDA in the third quarter of 2024 was a loss of $21.6 million compared to an adjusted EBITDA loss of $23.1 million in the second quarter of 2024.

    Earnings per share loss in the third quarter of 2024 was $0.30 on a GAAP basis and $0.17 on a non-GAAP basis compared to second quarter earnings per share loss of $0.67 on a GAAP basis and $0.14 on a non-GAAP basis.

    We exited the third quarter of 2024 with $200.9 million of cash, cash equivalents, and short-term investments due to cash used in operating activities of $30.7 million and capital expenditures of $19.5 million during the quarter.

    A full reconciliation of our GAAP to non-GAAP results is available later in this report.

    Outlook

    For the fourth quarter of 2024, we expect revenue between $8.0 million and $10.0 million, a GAAP EPS loss of $0.23 to $0.29, an adjusted EBITDA loss of $19.0 million to $25.0 million, and a non-GAAP EPS loss of $0.15 to $0.21.

    Summary

    We are very pleased with our accomplishments in the third quarter. Fab2 is now operational and shipping samples to customers. We secured a 2025 launch commitment from a major smartphone OEM. And we made progress on our product roadmap for EX-2M and beyond. For the remaining months of 2024, the key objectives are completing SAT for the High-Volume Line and shipping EX-2M samples.

    Conference Call Information

    Enovix will hold a video conference call at 2:00 PM PT / 5:00 PM ET today, October 29, 2024, to discuss the company’s business updates and financial results. To join the call, participants must use the following link to register: https://enovix-q3-2024.open-exchange.net/registration. This link will also be available via the Investor Relations section of the Enovix’s website at https://ir.enovix.com. An archived version of the call will be available on the Enovix website for one year at https://ir.enovix.com.

    About Enovix

    Enovix is on a mission to deliver high-performance batteries that unlock the full potential of technology products. Everything from IoT, mobile, and computing devices, to the vehicle you drive, needs a better battery. Enovix partners with OEMs worldwide to usher in a new era of user experiences. Our innovative, materials-agnostic approach to building a higher performing battery without compromising safety keeps us flexible and on the cutting-edge of battery technology innovation.

    Enovix is headquartered in Silicon Valley with facilities in India, Korea and Malaysia. For more information visit www.enovix.com and follow us on LinkedIn.

    Non-GAAP Financial Measures

    EBITDA, Adjusted EBITDA, and other non-GAAP measures are intended as supplemental financial measures of our performance that provide an additional tool for investors to use in evaluating ongoing operating results, trends, and in comparing our financial measures with those of comparable companies.

    However, you should be aware that other companies may calculate similar non-GAAP measures differently. Non-GAAP financial measures have limitations, including that they exclude certain expenses that are required under GAAP, which adjustments reflect the exercise of judgment by management. Reconciliations of each non-GAAP financial measure to the most directly comparable GAAP financial measure can be found in the tables at the end of this shareholder letter.

    While Enovix provides fourth quarter 2024 guidance for adjusted EBITDA loss and non-GAAP EPS loss, we are unable to provide without unreasonable effort a GAAP to non-GAAP reconciliation of these projected non-GAAP measures. Such qualitative reconciliation to the corresponding GAAP financial measure cannot be provided without unreasonable effort because of the inherent difficulty in accurately forecasting the occurrence and financial impact of the various adjustments that have not yet occurred, are out of our control, or cannot be reasonably predicted, including but not limited to warrant liabilities and stock-based compensation. For the same reasons, we are unable to assess the probable significance of the unavailable information, which could have a material impact on our future GAAP financial results.

    Forward-Looking Statements

    This letter to shareholders contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements generally relate to future events or our future financial or operating performance and can be identified by words such as anticipate, believe, continue, could, estimate, expect, intend, may, might, plan, possible, potential, predict, project, should, would and similar expressions that convey uncertainty about future events or outcomes. Forward-looking statements in this letter to shareholders include, without limitation, our expectations regarding, and our ability to respond to, market and customer demand; our expectations regarding the level of customers’ interest in our batteries, the demand for more energy dense batteries and the suitability of our products to address this demand, and the impact of artificial intelligence (“AI”) features on the foregoing; our financial and business performance; projected improvements in our manufacturing and commercialization and R&D activities at Fab2, including the ability of the sales team to support the path to profitability by attracting demand across high-growth markets ; our achievement of the milestones under our strategic partnership with a second leading smartphone OEM and our ability to enter into the smartphone market in 2025 with high-volume production from our Fab2 facility; our expectations regarding EX-1M production and mass production purchase order with a leading IoT customer in 2025, completion of site acceptance testing for our High-Volume Line, and the shipment of EX-2M samples in Q4; our ability to meet goals for yield and throughput; our expectations regarding Fab2 in and its capacity to support multiple customer qualifications; the anticipated contributions of our R&D teams to support product innovation; our revenue funnel; our efforts in the portable electronics and EV markets, including the IoT, smartphone and virtual reality categories; our ability to meet milestones and deliver on our objectives and expectations, including achieving certain safety certifications for our products and our ability sample batteries from our Agility Line to customers; the implementation and expected success of our business model and growth strategy, including our focus on the addressable market categories in which we believe an improved battery drives a high value to the product and premium pricing for our solutions; our ability to manage our expenses and realize our annual cost savings goals; our ability to manage and achieve the benefits of our restructuring efforts; and forecasts of our financial and performance metrics.

    Actual results could differ materially from these forward-looking statements as a result of certain risks and uncertainties, including, without limitation, our ability to improve energy density among our products, establish sufficient manufacturing operations and optimize manufacturing processes to meet demand, source materials and establish supply relationships, and secure adequate funds to execute on our operational and strategic goals; the safety hazards associated with our batteries and the manufacturing process; a concentration of customers in the military market; certain unfavorable terms in our commercial agreements that may limit our ability to market our products; market acceptance of our products; changes in consumer preferences or demands; changes in industry standards; the impact of technological development and competition; and global economic conditions, including inflationary and supply chain pressures, and political, social, and economic instability, including as a result of armed conflict, war or threat of war, or trade and other international disputes that could disrupt supply or delivery of, or demand for, our products.

    For additional information on these risks and uncertainties and other potential factors that could cause actual results to differ from the results predicted, please refer to our filings with the Securities and Exchange Commission (“SEC”), including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of our annual report on Form 10-K and quarterly reports on Form 10-Q and other documents that we have filed, or will file, with the SEC. Any forward-looking statements in this letter to shareholders speak only as of the date on which they are made. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

    For media and investor inquiries, please contact:

    Enovix Corporation
    Robert Lahey
    Email: ir@enovix.com

    Enovix Corporation
    Condensed Consolidated Balance Sheets
    (Unaudited)
    (In Thousands, Except Share and per Share Amounts)
     
      September 29,
    2024    		   December 31,
    2023
    Assets      
    Current assets:      
    Cash and cash equivalents $ 200,912     $ 233,121  
    Short-term investments   —       73,694  
    Accounts receivable, net   1,911       909  
    Notes receivable, net   —       1,514  
    Inventory   9,564       8,737  
    Prepaid expenses and other current assets   11,598       5,202  
    Total current assets   223,985       323,177  
    Property and equipment, net   157,680       166,471  
    Customer relationship intangibles and other intangibles, net   37,583       42,168  
    Operating lease, right-of-use assets   13,810       15,290  
    Goodwill   12,217       12,098  
    Other assets, non-current   2,746       5,100  
    Total assets $ 448,021     $ 564,304  
    Liabilities and Stockholders’ Equity      
    Current liabilities:      
    Accounts payable $ 15,046     $ 21,251  
    Accrued expenses   13,855       13,976  
    Accrued compensation   8,038       10,731  
    Short-term debt   11,555       5,917  
    Deferred revenue   6,206       6,708  
    Other liabilities   4,760       2,435  
    Total current liabilities   59,460       61,018  
    Long-term debt, net   168,744       169,099  
    Warrant liability   23,265       42,900  
    Operating lease liabilities, non-current   14,346       15,594  
    Deferred revenue, non-current   3,774       3,774  
    Deferred tax liability   8,178       10,803  
    Other liabilities, non-current   12       13  
    Total liabilities   277,779       303,201  
    Commitments and Contingencies      
    Stockholders’ equity:      
    Common stock, $0.0001 par value; authorized shares of 1,000,000,000; issued and outstanding shares of $177,591,877 and $167,392,315 as of September 29, 2024 and December 31, 2023, respectively   18       17  
    Additional paid-in-capital   951,237       857,037  
    Accumulated other comprehensive loss   (42 )     (62 )
    Accumulated deficit   (783,621 )     (598,845 )
    Total Enovix’s stockholders’ equity   167,592       258,147  
    Non-controlling interest   2,650       2,956  
    Total equity   170,242       261,103  
    Total liabilities and equity $ 448,021     $ 564,304  
     
    Enovix Corporation
    Condensed Consolidated Statements of Operations
    (Unaudited)
    (In Thousands, Except Share and per Share Amounts)
     
      Quarters Ended   Fiscal Years-to-Date Ended
      September 29,
    2024    		   October 1,
    2023    		   September 29,
    2024    		   October 1,
    2023
    Revenue $ 4,317     $ 200     $ 13,357     $ 263  
    Cost of revenue   4,959       16,809       16,454       43,292  
    Gross margin   (642 )     (16,609 )     (3,097 )     (43,029 )
    Operating expenses:              
    Research and development   24,220       13,508       102,073       53,810  
    Selling, general and administrative   20,744       17,245       61,176       61,207  
    Impairment of equipment   —       —       —       4,411  
    Restructuring cost   3,661       3,021       41,807       3,021  
    Total operating expenses   48,625       33,774       205,056       122,449  
    Loss from operations   (49,267 )     (50,383 )     (208,153 )     (165,478 )
    Other income (expense):              
    Change in fair value of common stock warrants   29,899       31,320       17,359       4,140  
    Interest income   2,859       4,326       9,745       9,942  
    Interest expense   (1,718 )     (1,557 )     (5,068 )     (2,827 )
    Other income (loss), net   (2,217 )     109       (1,509 )     129  
    Total other income, net   28,823       34,198       20,527       11,384  
    Loss before income tax benefit   (20,444 )     (16,185 )     (187,626 )     (154,094 )
    Income tax expense (benefit)   2,194       —       (2,544 )     —  
    Net loss   (22,638 )     (16,185 )     (185,082 )     (154,094 )
    Net loss attributable to non-controlling interests   (102 )     —       (306 )     —  
    Net loss attributable to Enovix $ (22,536 )   $ (16,185 )   $ (184,776 )   $ (154,094 )
                   
    Net loss per share attributable to Enovix shareholders, basic $ (0.13 )   $ (0.10 )   $ (1.07 )   $ (0.98 )
    Weighted average number of common shares outstanding, basic   176,680,578       159,829,716       172,393,869       157,559,138  
    Net loss per share attributable to Enovix shareholders, diluted $ (0.30 )   $ (0.29 )   $ (1.07 )   $ (1.00 )
    Weighted average number of common shares outstanding, diluted   176,872,382       161,371,417       172,393,869       158,260,393  
                                   
    Enovix Corporation
    Condensed Consolidated Statements of Cash Flows
    (Unaudited)
    (In Thousands)
     
      Fiscal Years-to-Date Ended
      September 29, 2024   October 1, 2023
    Cash flows used in operating activities:      
    Net loss $ (185,082 )   $ (154,094 )
    Adjustments to reconcile net loss to net cash used in operating activities      
    Depreciation, accretion and amortization   37,417       10,000  
    Stock-based compensation   48,630       57,832  
    Changes in fair value of common stock warrants   (17,359 )     (4,140 )
    Impairment and loss on disposals of long-lived assets   38,249       4,411  
    Others   174       —  
    Changes in operating assets and liabilities:      
    Accounts and notes receivables   494       169  
    Inventory   (827 )     418  
    Prepaid expenses and other assets   (3,913 )     546  
    Accounts payable   (10,018 )     4,338  
    Accrued expenses and compensation   3,175       3,113  
    Deferred revenue   (502 )     —  
    Deferred tax liability   (3,303 )     —  
    Other liabilities   190       (1 )
    Net cash used in operating activities   (92,675 )     (77,408 )
    Cash flows from investing activities:      
    Purchase of property and equipment   (59,830 )     (32,979 )
    Purchases of investments   (31,812 )     (115,736 )
    Maturities of investments   106,621       16,700  
    Net cash provided by (used in) investing activities   14,979       (132,015 )
    Cash flows from financing activities:      
    Proceeds from issuance of Convertible Senior Notes and loans   4,572       172,500  
    Repayment of debt   (180 )     —  
    Payments of debt issuance costs   —       (5,251 )
    Purchase of Capped Calls   —       (17,250 )
    Payroll tax payments for shares withheld upon vesting of RSUs   (5,601 )     (2,988 )
    Proceeds from the exercise of stock options and issuance of common stock, net of issuance costs   44,285       9,232  
    Proceeds from issuance of common stock under employee stock purchase plan   1,145       1,169  
    Repurchase of unvested restricted common stock   (4 )     (23 )
    Net cash provided by financing activities   44,217       157,389  
    Effect of exchange rate changes on cash, cash equivalents and restricted cash   1,303       —  
    Change in cash, cash equivalents, and restricted cash   (32,176 )     (52,034 )
    Cash and cash equivalents and restricted cash, beginning of period   235,123       322,976  
    Cash and cash equivalents, and restricted cash, end of period $ 202,947     $ 270,942  
           

    Net Loss Attributable to Enovix to Adjusted EBITDA Reconciliation

    While we prepare our consolidated financial statements in accordance with GAAP, we also utilize and present certain financial measures that are not based on GAAP. We refer to these financial measures as “non-GAAP” financial measures. In addition to our financial results determined in accordance with GAAP, we believe that EBITDA and Adjusted EBITDA are useful measures in evaluating its financial and operational performance distinct and apart from financing costs, certain non-cash expenses and non-operational expenses.

    These non-GAAP financial measures should be considered in addition to results prepared in accordance with GAAP but should not be considered a substitute for or superior to GAAP. We endeavor to compensate for the limitation of the non-GAAP financial measures presented by also providing the most directly comparable GAAP measures.

    We use non-GAAP financial information to evaluate our ongoing operations and for internal planning, budgeting and forecasting purposes. We believe that non-GAAP financial information, when taken collectively, may be helpful to investors in assessing its operating performance and comparing its performance with competitors and other comparable companies. You should review the reconciliations below but not rely on any single financial measure to evaluate our business.

    “EBITDA” is defined as earnings (net loss) attributable to Enovix adjusted for interest expense, income tax benefit, depreciation and amortization expense. “Adjusted EBITDA” includes additional adjustments to EBITDA such as stock-based compensation expense, change in fair value of common stock warrants, inventory step-up, impairment of equipment and other special items as determined by management which it does not believe to be indicative of its underlying business trends.

    Below is a reconciliation of net loss attributable to Enovix on a GAAP basis to the non-GAAP EBITDA and Adjusted EBITDA financial measures for the periods presented below (in thousands):

      Quarters Ended   Fiscal Years-to-Date Ended
      September 29,
    2024    		   October 1,
    2023    		   September 29,
    2024    		   October 1,
    2023
    Net loss attributable to Enovix $ (22,536 )   $ (16,185 )   $ (184,776 )   $ (154,094 )
    Interest expense   1,718       1,557       5,068       2,827  
    Income tax expense (benefit)   2,194       —       (2,544 )     —  
    Depreciation and amortization   6,500       2,900       37,417       10,000  
    EBITDA   (12,124 )     (11,728 )     (144,835 )     (141,267 )
    Stock-based compensation expense (1)   16,722       13,274       47,414       57,473  
    Change in fair value of common stock warrants   (29,899 )     (31,320 )     (17,359 )     (4,140 )
    Inventory step-up   —       —       1,907       —  
    Impairment of equipment   —       —       —       4,411  
    Restructuring cost (1)   3,661       3,021       41,807       3,021  
    Acquisition cost   —       1,115       —       1,115  
    Adjusted EBITDA $ (21,640 )   $ (25,638 )   $ (71,066 )   $ (79,387 )
       
       
       
    (1) $0.1 million and $1.2 million of stock-based compensation expense are included in the restructuring cost line of the table above for the quarter and fiscal year-to-date ended September 29, 2024, respectively. $0.4 million of stock-based compensation expense is included in the restructuring cost line of the table above for the quarter and fiscal year-to-date ended October 1, 2023.
     

    Free Cash Flow Reconciliation

    We define “Free Cash Flow” as (i) net cash from operating activities less (ii) capital expenditures, net of proceeds from disposals of property and equipment, all of which are derived from our Consolidated Statements of Cash Flow. The presentation of non-GAAP Free Cash Flow is not intended as an alternative measure of cash flows from operations, as determined in accordance with GAAP. We believe that this financial measure is useful to investors because it provides investors to view our performance using the same tool that we use to gauge our progress in achieving our goals and it is an indication of cash flow that may be available to fund investments in future growth initiatives. Below is a reconciliation of net cash used in operating activities to the Free Cash Flow financial measures for the periods presented below (in thousands):

      Fiscal Years-to-Date Ended
      September 29,
    2024    		   October 1,
    2023
    Net cash used in operating activities $ (92,675 )   $ (77,408 )
    Capital expenditures   (59,830 )     (32,979 )
    Free Cash Flow $ (152,505 )   $ (110,387 )
     

    Other Non-GAAP Financial Measures Reconciliation
    (In Thousands, Except Share and per Share Amounts)

        Quarters Ended   Fiscal Years-to-Date Ended
        September 29,
    2024    		   October 1,
    2023    		   September 29,
    2024    		   October 1,
    2023
    Revenue   $ 4,317     $ 200     $ 13,357     $ 263  
                     
    GAAP cost of revenue   $ 4,959     $ 16,809     $ 16,454     $ 43,292  
    Stock-based compensation expense     (101 )     (2,396 )     (196 )     (5,001 )
    Inventory step-up     —       —       (1,907 )     —  
    Non-GAAP cost of revenue   $ 4,858     $ 14,413     $ 14,351     $ 38,291  
                     
    GAAP gross margin   $ (642 )   $ (16,609 )   $ (3,097 )   $ (43,029 )
    Stock-based compensation expense     101       2,396       196       5,001  
    Inventory step-up     —       —       1,907       —  
    Non-GAAP gross margin   $ (541 )   $ (14,213 )   $ (994 )   $ (38,028 )
                     
    GAAP research and development (R&D) expense   $ 24,220     $ 13,508     $ 102,073     $ 53,810  
    Stock-based compensation expense     (5,914 )     (4,949 )     (19,771 )     (22,072 )
    Amortization of intangible assets     (417 )     —       (1,248 )     —  
    Non-GAAP R&D expense   $ 17,889     $ 8,559     $ 81,054     $ 31,738  
                     
    GAAP selling, general and administrative (SG&A) expense   $ 20,744     $ 17,245     $ 61,176     $ 61,207  
    Stock-based compensation expense     (10,707 )     (5,929 )     (27,447 )     (30,400 )
    Amortization of intangible assets     (774 )     —       (2,304 )     —  
    Acquisition cost     —       (1,115 )     —       (1,115 )
    Non-GAAP SG&A expense   $ 9,263     $ 10,201     $ 31,425     $ 29,692  
                     
    GAAP operating expenses   $ 48,625     $ 33,774     $ 205,056     $ 122,449  
    Stock-based compensation expense included in R&D expense     (5,914 )     (4,949 )     (19,771 )     (22,072 )
    Stock-based compensation expense included in SG&A expense     (10,707 )     (5,929 )     (27,447 )     (30,400 )
    Amortization of intangible assets     (1,191 )     —       (3,552 )     —  
    Impairment of equipment     —       —       —       (4,411 )
    Restructuring cost (1)     (3,661 )     (3,021 )     (41,807 )     (3,021 )
    Acquisition cost     —       (1,115 )     —       (1,115 )
    Non-GAAP operating expenses   $ 27,152     $ 18,760     $ 112,479     $ 61,430  
                     
       
       
    (1) $0.1 million and $1.2 million of stock-based compensation expense is included in the restructuring cost line of the table above for the quarter and fiscal year-to-date ended September 29, 2024, respectively. $0.4 million of stock-based compensation expense is included in the restructuring cost line of the table above for the quarter and fiscal year-to-date ended October 1, 2023.
       
        Quarters Ended   Fiscal Years-to-Date Ended
        September 29,
    2024    		   October 1,
    2023    		   September 29,
    2024    		   October 1,
    2023
    GAAP loss from operations   $ (49,267 )   $ (50,383 )   $ (208,153 )   $ (165,478 )
    Stock-based compensation expense (1)     16,722       13,274       47,414       57,473  
    Amortization of intangible assets     1,191       —       3,552       —  
    Inventory step-up     —       —       1,907       —  
    Impairment of equipment     —       —       —       4,411  
    Restructuring cost (1)     3,661       3,021       41,807       3,021  
    Acquisition cost     —       1,115       —       1,115  
    Non-GAAP loss from operations   $ (27,693 )   $ (32,973 )   $ (113,473 )   $ (99,458 )
                     
    GAAP net loss attributable to Enovix   $ (22,536 )   $ (16,185 )   $ (184,776 )   $ (154,094 )
    Stock-based compensation expense (1)     16,722       13,274       47,414       57,473  
    Change in fair value of common stock warrants     (29,899 )     (31,320 )     (17,359 )     (4,140 )
    Inventory step-up     —       —       1,907       —  
    Amortization of intangible assets     1,191       —       3,552       —  
    Impairment of equipment     —       —       —       4,411  
    Restructuring cost (1)     3,661       3,021       41,807       3,021  
    Acquisition cost     —       1,115       —       1,115  
    Non-GAAP net loss attributable to Enovix shareholders   $ (30,861 )   $ (30,095 )   $ (107,455 )   $ (92,214 )
                     
    GAAP net loss per share attributable to Enovix, basic   $ (0.13 )   $ (0.10 )   $ (1.07 )   $ (0.98 )
    GAAP weighted average number of common shares outstanding, basic     176,680,578       159,829,716       172,393,869       157,559,138  
                     
    GAAP net loss per share attributable to Enovix, diluted   $ (0.30 )   $ (0.29 )   $ (1.07 )   $ (1.00 )
    GAAP weighted average number of common shares outstanding, diluted     176,872,382       161,371,417       172,393,869       158,260,393  
                     
    Non-GAAP net loss per share attributable to Enovix, basic   $ (0.17 )   $ (0.19 )   $ (0.62 )   $ (0.59 )
    GAAP weighted average number of common shares outstanding, basic     176,680,578       159,829,716       172,393,869       157,559,138  
                     
    Non-GAAP net loss per share attributable to Enovix, diluted   $ (0.17 )   $ (0.19 )   $ (0.62 )   $ (0.58 )
    GAAP weighted average number of common shares outstanding, diluted     176,872,382       161,371,417       172,393,869       158,260,393  
                                     
       
       
    (1) $0.1 million and $1.2 million of stock-based compensation expense is included in the restructuring cost line of the table above for the quarter and fiscal year-to-date ended September 29, 2024, respectively. $0.4 million of stock-based compensation expense is included in the restructuring cost line of the table above for the quarter and fiscal year-to-date ended October 1, 2023.
       

    The MIL Network –

  • MIL-OSI: Varonis Announces Third Quarter 2024 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    Annual recurring revenues grew 18% year-over-year
    SaaS ARR as a percentage of total ARR was approximately 43%
    Year-to-date cash from operations generated $90.9 million vs. $49.0 million last year
    Year-to-date free cash flow generated $88.6 million vs. $46.0 million last year

    NEW YORK, Oct. 29, 2024 (GLOBE NEWSWIRE) — Varonis Systems, Inc. (Nasdaq: VRNS), a leader in data security, today announced financial results for the third quarter ended September 30, 2024.

    Yaki Faitelson, Varonis CEO, said, “We are encouraged by the many tailwinds that are contributing to the strong growth in our business, and our third quarter results reflect the continued strong adoption of our SaaS platform and positive momentum from our Managed Data Detection and Response offering.”

    Guy Melamed, Varonis CFO & COO, added, “The robust demand for Varonis SaaS from both new and existing customers is evident with 43% of total company ARR coming from SaaS. This demand is benefiting our ARR growth and cash flow generation and gives us confidence as we enter the fourth quarter.”

    Financial Summary for the Third Quarter Ended September 30, 2024

    • Total revenues were $148.1 million, compared with $122.3 million in the third quarter of 2023.
    • SaaS revenues were $57.8 million, compared with $13.7 million in the third quarter of 2023.
    • Term license subscription revenues were $68.8 million, compared with $84.0 million in the third quarter of 2023.
    • Maintenance and services revenues were $21.5 million, compared with $24.6 million in the third quarter of 2023.
    • GAAP operating loss was ($23.6) million, compared to GAAP operating loss of ($29.1) million in the third quarter of 2023.
    • Non-GAAP operating income was $9.1 million, compared to non-GAAP operating income of $4.9 million in the third quarter of 2023.

    The tables at the end of this press release include a reconciliation of GAAP operating income (loss) to non-GAAP operating income (loss) and GAAP net income (loss) to non-GAAP net income (loss) for the three and nine months ended September 30, 2024 and 2023. An explanation of these measures is included below under the heading “Non-GAAP Financial Measures and Key Performance Indicators.”

    Key Performance Indicators and Recent Business Highlights

    • Annual recurring revenues, or ARR, was $610.0 million as of the end of the third quarter, up 18% year-over-year.
    • As of September 30, 2024, the Company had $1.2 billion in cash and cash equivalents, short-term deposits and short-term and long-term marketable securities.
    • During the nine months ended September 30, 2024, the Company generated $90.9 million of cash from operations, compared to $49.0 million generated in the prior year period.
    • During the nine months ended September 30, 2024, the Company generated $88.6 million of free cash flow, compared to $46.0 million generated in the prior year period.
    • Raised net proceeds of $394.1 million through an offering of 1.00% Convertible Senior Notes due 2029.
    • Announced new AI-powered data discovery and classification capabilities that enhance our industry-leading data classification technology.
    • Integrated the Varonis platform with SentinelOne and Microsoft Defender for Endpoint, expanding visibility to customers’ endpoints and enabling end-to-end threat detection and response.
    • Expanded Salesforce security offering with new automated remediation capabilities.

    An explanation of ARR is included below under the heading “Non-GAAP Financial Measures and Key Performance Indicators.” In addition, the tables at the end of this press release include a reconciliation of net cash provided by operating activities to non-GAAP free cash flow. An explanation of this measure is also included below under the heading “Non-GAAP Financial Measures and Key Performance Indicators.”

    Financial Outlook

    For the fourth quarter of 2024, the Company expects:

    • Revenues of $162.0 million to $167.0 million, or year-over-year growth of 5% to 8%.
    • Non-GAAP operating income of $20.0 million to $22.0 million.
    • Non-GAAP net income per diluted share in the range of $0.13 to $0.14, based on 135.0 million diluted shares outstanding.

    For full year 2024, the Company now expects:

    • ARR of $635.0 million to $639.0 million, or year-over-year growth of 17% to 18%.
    • Free cash flow of $95.0 million to $100.0 million.
    • Revenues of $554.4 million to $559.4 million, or year-over-year growth of 11% to 12%.
    • Non-GAAP operating income of $20.6 million to $22.6 million.
    • Non-GAAP net income per diluted share in the range of $0.26 to $0.27, based on 134.9 million diluted shares outstanding.

    Actual results may differ materially from the Company’s Financial Outlook as a result of, among other things, the factors described below under “Forward-Looking Statements”.

    Conference Call and Webcast
    Varonis will host a conference call today, Tuesday, October 29, 2024, at 4:30 p.m. Eastern Time, to discuss the Company’s third quarter 2024 financial results. To access this call, dial 877-425-9470 (domestic) or 201-389-0878 (international). The passcode is 13749435. A replay of this conference call will be available through November 5, 2024 at 844-512-2921 (domestic) or 412-317-6671 (international). The replay passcode is 13749435. A live webcast of this conference call will be available on the “Investors” page of the Company’s website (www.varonis.com), and a replay will be archived on the website as well.

    Non-GAAP Financial Measures and Key Performance Indicators
    Varonis believes that the use of non-GAAP operating income (loss) and non-GAAP net income (loss) is helpful to our investors. These measures, which the Company refers to as our non-GAAP financial measures, are not prepared in accordance with GAAP.

    Non-GAAP operating income (loss) is calculated as operating income (loss) excluding (i) stock-based compensation expense, (ii) payroll tax expense related to stock-based compensation, and (iii) amortization of acquired intangible assets and acquisition-related expenses.

    Non-GAAP net income (loss) is calculated as net income (loss) excluding (i) stock-based compensation expense, (ii) payroll tax expense related to stock-based compensation, (iii) amortization of acquired intangible assets and acquisition-related expenses, (iv) foreign exchange gains (losses) which include exchange rate differences on lease contracts as a result of the implementation of ASC 842 and (v) amortization of debt issuance costs.

    The Company believes that the exclusion of these expenses provides a more meaningful comparison of our operational performance from period to period and offers investors and management greater visibility to the underlying performance of our business. Specifically:

    • Stock-based compensation expenses utilize varying available valuation methodologies, subjective assumptions and a variety of equity instruments that can impact a company’s non-cash expenses;
    • Payroll taxes are tied to the exercise or vesting of underlying equity awards and the price of our common stock at the time of vesting or exercise, factors which may vary from period to period;
    • Acquired intangible assets are valued at the time of acquisition and are amortized over an estimated useful life after the acquisition, and acquisition-related expenses are unrelated to current operations and neither are comparable to the prior period nor predictive of future results;
    • The Company incurs foreign exchange gains or losses from the revaluation of its significant operating lease liabilities in foreign currencies as well as other assets and liabilities denominated in non-U.S. dollars, which may vary from period to period; and
    • Amortization of debt issuance costs, which relate to the Company’s convertible senior notes issued in 2020 and 2024, are a non-cash item.

    Free cash flow is calculated as net cash provided by or used in operating activities less purchases of property and equipment. We believe that free cash flow is a useful indicator of liquidity that provides information to management and investors about the amount of cash provided by or used in our operations that, after the investments in property and equipment, can be used for strategic initiatives.

    Each of our non-GAAP financial measures is an important tool for financial and operational decision making and for evaluating our own operating results over different periods of time. The non-GAAP financial measures do not represent our financial performance under U.S. GAAP and should not be considered as alternatives to operating income (loss) or net income (loss) or any other performance measures derived in accordance with GAAP. Non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies in our industry, as other companies in our industry may calculate non-GAAP financial results differently, particularly related to non-recurring, unusual items. In addition, there are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with GAAP, and exclude expenses that may have a material impact on our reported financial results. Further, stock-based compensation expense and payroll tax expense related to stock-based compensation have been, and will continue to be for the foreseeable future, significant recurring expenses in our business and an important part of the compensation provided to our employees. Also, the amortization of intangible assets are expected recurring expenses over the estimated useful life of the underlying intangible asset and acquisition-related expenses will be incurred to the extent acquisitions are made in the future. Additionally, foreign exchange rates may fluctuate from one period to another, and the Company does not estimate movements in foreign currencies. Finally, the amortization of debt issuance costs are expected recurring expenses until the maturity of the senior notes in 2029.

    The presentation of non-GAAP financial information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP. Varonis urges investors to review the reconciliation of our non-GAAP financial measures to the comparable GAAP financial measures included below, and not to rely on any single financial measures to evaluate our business.

    A reconciliation for non-GAAP operating income (loss) and non-GAAP net income (loss) referred to in our “Financial Outlook” is not provided because, as forward-looking statements, such reconciliation is not available without unreasonable effort due to the high variability, complexity, and difficulty of estimating certain items such as charges to stock-based compensation expense and currency fluctuations which could have an impact on our consolidated results. The Company believes the information provided is useful to investors because it can be considered in the context of the Company’s historical disclosures of this measure.

    ARR is a key performance indicator defined as the annualized value of active term-based subscription license contracts, SaaS contracts, and maintenance contracts in effect at the end of that period. Subscription license contracts, SaaS contracts, and maintenance contracts are annualized by dividing the total contract value by the number of days in the term and multiplying the result by 365. The annualized value of contracts is a legal and contractual determination made by assessing the contractual terms with our customers. The annualized value of maintenance contracts is not determined by reference to historical revenues, deferred revenues or any other GAAP financial measure over any period. ARR is not a forecast of future revenues, which can be impacted by contract start and end dates and renewal rates.

    Forward-Looking Statements

    This press release contains, and statements made during the above referenced conference call will contain, “forward-looking” statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including regarding the Company’s growth rate and its expectations regarding future revenues, operating income or loss or earnings or loss per share. These statements are not guarantees of future performance but are based on management’s expectations as of the date of this press release and assumptions that are inherently subject to uncertainties, risks and changes in circumstances that are difficult to predict. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements. Important factors that could cause actual results to differ materially from those expressed or implied by these forward-looking statements include the following: the impact of potential information technology, cybersecurity or data security breaches; risks associated with anticipated growth in Varonis’ addressable market; general economic and industry conditions, such as foreign currency exchange rate fluctuations and expenditure trends for data and cybersecurity solutions; Varonis’ ability to predict the timing and rate of subscription renewals and their impact on the Company’s future revenues and operating results; risks associated with international operations; the impact of global conflicts on the budgets of our clients and on economic conditions generally; competitive factors, including increased sales cycle time, changes in the competitive environment, pricing changes and increased competition; the risk that Varonis may not be able to attract or retain employees, including sales personnel and engineers; Varonis’ ability to build and expand its direct sales efforts and reseller distribution channels; risks associated with the closing of large transactions, including Varonis’ ability to close large transactions consistently on a quarterly basis; new product introductions and Varonis’ ability to develop and deliver innovative products; Varonis’ ability to provide high-quality service and support offerings; the expansion of cloud-delivered services; and risks associated with our convertible notes and capped-call transactions. These and other important risk factors are described more fully in Varonis’ reports and other documents filed with the Securities and Exchange Commission and could cause actual results to vary from expectations. All information provided in this press release and in the conference call is as of the date hereof, and Varonis undertakes no duty to update or revise this information, whether as a result of new information, new developments or otherwise, except as required by law.

    About Varonis

    Varonis (Nasdaq: VRNS) is a leader in data security, fighting a different battle than conventional cybersecurity companies. Our cloud-native Data Security Platform continuously discovers and classifies critical data, removes exposures, and detects advanced threats with AI-powered automation.

    Thousands of organizations worldwide trust Varonis to defend their data wherever it lives — across SaaS, IaaS, and hybrid cloud environments. Customers use Varonis to automate a wide range of security outcomes, including data security posture management (DSPM), data classification, data access governance (DAG), data detection and response (DDR), data loss prevention (DLP), and insider risk management.

    Varonis protects data first, not last. Learn more at www.varonis.com.

    Investor Relations Contact:
    Tim Perz
    Varonis Systems, Inc.
    646-640-2112
    investors@varonis.com

    News Media Contact:
    Rachel Hunt
    Varonis Systems, Inc.
    877-292-8767 (ext. 1598)
    pr@varonis.com

    Varonis Systems, Inc.
    Condensed Consolidated Statements of Operations
    (in thousands, except for share and per share data)
      Three Months Ended
    September 30,    		   Nine Months Ended
    September 30,
        2024       2023       2024       2023  
      Unaudited   Unaudited
    Revenues:              
    Term license subscriptions $ 68,751     $ 83,963     $ 187,460     $ 250,306  
    SaaS   57,805       13,716       136,575       21,437  
    Maintenance and services   21,512       24,629       68,401       73,318  
    Total revenues   148,068       122,308       392,436       345,061  
                   
    Cost of revenues   24,007       17,381       67,792       52,404  
                   
    Gross profit   124,061       104,927       324,644       292,657  
                   
    Operating expenses:              
    Research and development   53,459       44,818       146,219       135,694  
    Sales and marketing   71,378       68,610       212,646       207,324  
    General and administrative   22,864       20,646       65,878       61,618  
    Total operating expenses   147,701       134,074       424,743       404,636  
                   
    Operating loss   (23,640 )     (29,147 )     (100,099 )     (111,979 )
    Financial income, net   10,245       8,634       27,039       24,872  
                   
    Loss before income taxes   (13,395 )     (20,513 )     (73,060 )     (87,107 )
    Income taxes   (4,938 )     (2,504 )     (9,711 )     (12,911 )
                   
    Net loss $ (18,333 )   $ (23,017 )   $ (82,771 )   $ (100,018 )
                   
    Net loss per share of common stock, basic and diluted $ (0.16 )   $ (0.21 )   $ (0.74 )   $ (0.92 )
                   
    Weighted average number of shares used in computing net loss per share of common stock, basic and diluted   112,268,210       109,429,722       111,382,582       109,187,063  
                   
    Stock-based compensation expense for the three and nine months ended September 30, 2024 and 2023 is included in the Condensed Consolidated Statements of Operations as follows (in thousands):
                   
      Three Months Ended
    September 30,    		   Nine Months Ended
    September 30,
      2024   2023   2024   2023
      Unaudited   Unaudited
    Cost of revenues $ 1,357   $ 1,416   $ 4,017   $ 5,946
    Research and development   10,442     11,323     31,057     37,480
    Sales and marketing   9,860     11,201     30,985     37,861
    General and administrative   10,272     9,040     28,054     26,889
      $ 31,931   $ 32,980   $ 94,113   $ 108,176
     
    Payroll tax expense related to stock-based compensation for the three and nine months ended September 30, 2024 and 2023 is included in the Condensed Consolidated Statements of Operations as follows (in thousands):
                   
      Three Months Ended
    September 30,    		   Nine Months Ended
    September 30,
      2024   2023   2024   2023
      Unaudited   Unaudited
    Cost of revenues $ 15   $ 24   $ 631   $ 385
    Research and development   187     75     566     232
    Sales and marketing   150     122     3,050     1,820
    General and administrative   49     18     1,165     486
      $ 401   $ 239   $ 5,412   $ 2,923
     
    Amortization of acquired intangibles and acquisition-related expenses for the three and nine months ended September 30, 2024 and 2023 is included in the Condensed Consolidated Statements of Operations as follows (in thousands):
                   
      Three Months Ended
    September 30,    		   Nine Months Ended
    September 30,
      2024   2023   2024   2023
      Unaudited   Unaudited
    Cost of revenues $ 381   $ 382   $ 1,143   $ 1,144
    Research and development   —     412     —     1,235
    Sales and marketing   —     —     —     —
    General and administrative   —     —     —     —
      $ 381   $ 794   $ 1,143   $ 2,379
     
    Varonis Systems, Inc.
    Condensed Consolidated Balance Sheets
    (in thousands)
      September 30, 2024   December 31, 2023
      Unaudited    
    Assets      
    Current assets:      
    Cash and cash equivalents $ 282,218     $ 230,740  
    Marketable securities   562,568       253,175  
    Short-term deposits   34,174       49,800  
    Trade receivables, net   119,203       169,116  
    Prepaid expenses and other short-term assets   76,206       64,326  
    Total current assets   1,074,369       767,157  
    Long-term assets:      
    Long-term marketable securities   332,329       211,063  
    Operating lease right-of-use assets   45,390       51,838  
    Property and equipment, net   28,908       33,964  
    Intangible assets, net   119       1,263  
    Goodwill   23,135       23,135  
    Other assets   16,904       15,490  
    Total long-term assets   446,785       336,753  
    Total assets $ 1,521,154     $ 1,103,910  
           
    Liabilities and stockholders’ equity      
    Current liabilities:      
    Trade payables $ 1,489     $ 672  
    Accrued expenses and other short-term liabilities   123,256       125,057  
    Convertible senior notes, net   251,625       —  
    Deferred revenues   217,605       181,049  
    Total current liabilities   593,975       306,778  
    Long-term liabilities:      
    Convertible senior notes, net   449,759       250,477  
    Operating lease liabilities   43,654       51,313  
    Deferred revenues   1,530       886  
    Other liabilities   3,676       4,808  
    Total long-term liabilities   498,619       307,484  
           
    Stockholders’ equity:      
    Share capital      
    Common stock   112       109  
    Accumulated other comprehensive loss   (4,381 )     (8,649 )
    Additional paid-in capital   1,159,990       1,142,578  
    Accumulated deficit   (727,161 )     (644,390 )
    Total stockholders’ equity   428,560       489,648  
    Total liabilities and stockholders’ equity $ 1,521,154     $ 1,103,910  
     
    Varonis Systems, Inc.
    Condensed Consolidated Statements of Cash Flows
    (in thousands)
      Nine Months Ended
    September 30,
        2024       2023  
      Unaudited
    Cash flows from operating activities:      
    Net loss $ (82,771 )   $ (100,018 )
    Adjustments to reconcile net loss to net cash provided by operating activities:      
    Depreciation and amortization   8,543       8,736  
    Stock-based compensation   94,113       108,176  
    Amortization of deferred commissions   19,906       17,547  
    Non-cash operating lease costs   7,050       7,087  
    Amortization of debt issuance costs   1,264       1,133  
    Amortization of premium and accretion of discount on marketable securities   (11,288 )     (5,557 )
    Acquired in-process research and development   6,653       —  
           
    Changes in assets and liabilities:      
    Trade receivables   49,913       24,895  
    Prepaid expenses and other short-term assets   (10,889 )     (11,118 )
    Deferred commissions   (23,846 )     (18,338 )
    Other long-term assets   (129 )     (963 )
    Trade payables   817       (1,634 )
    Accrued expenses and other short-term liabilities   (5,882 )     (17,652 )
    Deferred revenues   37,200       33,555  
    Other long-term liabilities   272       3,120  
    Net cash provided by operating activities   90,926       48,969  
           
    Cash flows from investing activities:      
    Proceeds from maturities of marketable securities   157,100       28,850  
    Investment in marketable securities   (576,753 )     (331,651 )
    Proceeds from short-term and long-term deposits   25,038       170,925  
    Investment in short-term and long-term deposits   (9,233 )     (118,605 )
    Purchase of in-process research and development   (6,653 )     —  
    Purchases of property and equipment   (2,342 )     (2,945 )
    Net cash used in investing activities   (412,843 )     (253,426 )
           
    Cash flows from financing activities:      
    Proceeds from issuance of convertible senior notes, net of issuance costs   450,099       —  
    Purchases of capped calls   (55,522 )     —  
    Proceeds from employee stock plans   16,082       11,346  
    Taxes paid related to net share settlement of equity awards   (37,264 )     (19,971 )
    Repurchase of common stock   —       (43,522 )
    Net cash provided by (used in) financing activities   373,395       (52,147 )
    Increase (decrease) in cash and cash equivalents   51,478       (256,604 )
    Cash and cash equivalents at beginning of period   230,740       367,800  
    Cash and cash equivalents at end of period $ 282,218     $ 111,196  
     
    Varonis Systems, Inc.
    Reconciliation of GAAP Measures to non-GAAP
    (in thousands, except share and per share data)
      Three Months Ended September 30,   Nine Months Ended
    September 30,
        2024       2023       2024       2023  
      Unaudited   Unaudited
    Reconciliation to non-GAAP operating income:              
                   
    GAAP operating loss $ (23,640 )   $ (29,147 )   $ (100,099 )   $ (111,979 )
                   
    Add back:              
    Stock-based compensation expense   31,931       32,980       94,113       108,176  
    Payroll tax expenses related to stock-based compensation   401       239       5,412       2,923  
    Amortization of acquired intangible assets and acquisition-related expenses   381       794       1,143       2,379  
    Non-GAAP operating income $ 9,073     $ 4,866     $ 569     $ 1,499  
                   
    Reconciliation to non-GAAP net income:              
                   
    GAAP net loss $ (18,333 )   $ (23,017 )   $ (82,771 )   $ (100,018 )
                   
    Add back:              
    Stock-based compensation expense   31,931       32,980       94,113       108,176  
    Payroll tax expenses related to stock-based compensation   401       239       5,412       2,923  
    Amortization of acquired intangible assets and acquisition-related expenses   381       794       1,143       2,379  
    Foreign exchange rate differences, net   (1,052 )     (1,002 )     (2,302 )     (3,206 )
    Amortization of debt issuance costs   496       379       1,264       1,133  
    Non-GAAP net income $ 13,824     $ 10,373     $ 16,859     $ 11,387  
                   
    GAAP weighted average number of shares used in computing net loss per share of common stock – basic and diluted   112,268,210       109,429,722       111,382,582       109,187,063  
    Non-GAAP weighted average number of shares used in computing net income per share of common stock – basic   112,268,210       109,429,722       111,382,582       109,187,063  
    Non-GAAP weighted average number of shares used in computing net income per share of common stock – diluted   134,713,048       126,748,606       134,821,002       126,777,843  
                   
    GAAP net loss per share of common stock – basic and diluted $ (0.16 )   $ (0.21 )   $ (0.74 )   $ (0.92 )
    Non-GAAP net income per share of common stock – basic $ 0.12     $ 0.09     $ 0.15     $ 0.10  
    Non-GAAP net income per share of common stock – diluted $ 0.10     $ 0.08     $ 0.13     $ 0.09  
     
    Varonis Systems, Inc.
    Reconciliation of GAAP Measures to non-GAAP
    (in millions)
           
      Nine Months Ended September 30,
        2024       2023  
      Unaudited
    Reconciliation to non-GAAP free cash flow:      
    Net cash provided by operating activities $ 90.9     $ 49.0  
    Purchases of property and equipment   (2.3 )     (3.0 )
    Free cash flow $ 88.6     $ 46.0  
     
    Varonis Systems, Inc.
    Reconciliation of GAAP Measures to non-GAAP
    (in millions)
           
      Twelve Months Ended December 31, 2024
      Low   High
    Reconciliation to non-GAAP free cash flow:      
    Net cash provided by operating activities $ 100.0     $ 107.0  
    Purchases of property and equipment   (5.0 )     (7.0 )
    Free cash flow $ 95.0     $ 100.0  

    The MIL Network –

  • MIL-OSI: Medallion Financial Corp. Reports 2024 Third Quarter Results

    Source: GlobeNewswire (MIL-OSI)

    NEW YORK, Oct. 29, 2024 (GLOBE NEWSWIRE) — Medallion Financial Corp. (NASDAQ: MFIN, “Medallion” or the “Company”), a specialty finance company that originates and services loans in various consumer and commercial industries, as well as offers loan products and services through fintech strategic partners, announced today its results for the quarter ended September 30, 2024.

    2024 Third Quarter Highlights

    • Net income was $8.6 million, or $0.37 per share, compared to $11.2 million, or $0.48 per share, in the prior year quarter.
    • Net interest income grew 8% to $52.7 million from $48.8 million in the prior year quarter.
    • Net interest margin on gross loans was 8.11%, compared to 8.35% in the prior year quarter, and on net loans it was 8.42%, compared to 8.64% in the prior year quarter.
    • Loan originations were $275.6 million, compared to $217.4 million in the prior year quarter.
    • Loans grew 13% to $2.5 billion as of September 30, 2024, compared to $2.2 billion a year ago.
    • The credit loss provision increased to $20.2 million from $14.5 million in the prior year quarter.
    • The Company repurchased 122,344 shares of common stock at an average cost of $7.89 per share.
    • Subsequent to September 30, 2024, the Board of Directors increased the quarterly cash dividend 10% to $0.11 per share.

    Executive Commentary – Andrew Murstein, President of Medallion

    “We continue to be pleased with our quarterly performance. The earnings were strong despite lower taxi medallion related recoveries and the absence of equity gains, both of which we experienced in the prior year quarter. At $0.37 per share, our earnings included approximately $0.07 per share of additional allowance tied to the growth of our consumer lending segments, which saw recreation and home improvement loans grow 4% and 5% from the previous quarter to a combined $2.4 billion, with over $235 million in originations this quarter. We continue to be comfortable with the overall credit performance of these two consumer segments, which carry weighted average coupons of 14.92% for recreation loans and 9.76% for home improvement loans. During the quarter we originated recreation loans at an average rate of 16.33% and home improvement loans at an average rate of 10.75%.

    Our net interest income reached $52.7 million during the quarter, up 6% from just a quarter ago. We remain cautiously optimistic that the solid performance of our loan portfolio will continue. Our net interest margin during the quarter was 8.11%, decreasing only 1 basis point from the prior quarter, as we continue to increase our yield to offset the rise in our average cost of borrowings.

    Our total interest income of $76.4 million, net interest income of $52.7 million, and total assets of $2.9 billion were all record highs. Our fintech strategic partnership program at Medallion Bank had its highest volume quarter ever with $40 million of new loans, up from $24 million in the second quarter of this year. As a result, we are optimistic about the quarters ahead and are hopeful to continue delivering meaningful growth in origination volumes in our newest business line.

    Lastly, we are pleased to announce that our board of directors has authorized an increase of our quarterly dividend to $0.11 per share beginning with the upcoming payment next month, reflecting our strong financial performance and ongoing commitment to delivering value to our shareholders. This increase underscores our confidence in the Company’s future growth and stability, as well as our focus on returning capital to investors.”

    Business Segment Highlights

    Recreation Lending Segment

    • Originations were $139.1 million during the quarter, compared to $92.6 million a year ago.
    • Recreation loans grew 15% to $1.6 billion as of September 30, 2024, compared to $1.3 billion a year ago.
    • Recreation loans were 63% of total loans as of September 30, 2024, compared to 61% a year ago.
    • Net interest income grew 9% to $38.9 million for the quarter, from $35.6 million in the prior year quarter.
    • The average interest rate was 14.92% at quarter-end, compared to 14.73% a year ago.
    • Recreation loans 90 days or more past due were $7.5 million, or 0.50% of gross recreation loans, as of September 30, 2024, compared to $5.9 million, or 0.45%, a year ago.
    • Allowance for credit loss rate was 4.53% as of September 30, 2024, compared to 4.24% a year ago.

    Home Improvement Lending Segment

    • Originations were $96.5 million during the quarter, compared to $79.3 million a year ago.
    • Home improvement loans grew 8% to $814.1 million as of September 30, 2024, compared to $750.5 million a year ago.
    • Home improvement loans were 33% of total loans as of September 30, 2024, compared to 34% a year ago.
    • Net interest income grew 5% to $12.0 million for the quarter, from $11.4 million in the prior year quarter.
    • The average interest rate was 9.76% at quarter-end, compared to 9.38% a year ago.
    • Home improvement loans 90 days or more past due were $1.6 million, or 0.19% of gross home improvement loans, as of September 30, 2024, compared to $1.0 million, or 0.13%, a year ago.
    • Allowance for credit loss rate was 2.42% as of September 30, 2024, compared to 2.31% a year ago.

    Commercial Lending Segment

    • Commercial loans were $110.1 million at September 30, 2024, compared to $100.3 million a year ago.
    • The average interest rate on the portfolio was 12.90%, compared to 12.91% a year ago.

    Taxi Medallion Lending Segment

    • The Company collected $4.1 million of cash on taxi medallion-related assets during the quarter.
    • Total net taxi medallion assets declined to $8.8 million (comprised of $1.9 million of loans net of allowance for credit losses and $6.9 million of loan collateral in process of foreclosure), a 46% reduction from a year ago, and represented less than half a percent of the Company’s total assets as of September 30, 2024.

    Capital Allocation

    Quarterly Dividend

    • The Board of Directors declared a quarterly dividend of $0.11 per share, payable on November 27, 2024 to shareholders of record at the close of business on November 15, 2024.

    Stock Repurchase Plan

    • During the third quarter, the Company repurchased 122,344 shares of its common stock at an average cost of $7.89 per share, for a total of $1.0 million.
    • As of September 30, 2024, the Company had $15.4 million remaining under its $40 million share repurchase program.

    Conference Call Information

    The Company will host a conference call to discuss its third quarter financial results tomorrow, Wednesday, October 30, 2024 at 9:00 a.m. Eastern time.

    In connection with its earnings release, the Company has updated its quarterly supplement presentation, which is now available at www.medallion.com.

    How to Participate

    • Date: Wednesday, October 30, 2024
    • Time: 9:00 a.m. Eastern time
    • U.S. dial-in number: (833) 816-1412
    • International dial-in number: (412) 317-0504
    • Live webcast: Link to Webcast of 3Q24 Earnings Call

    A link to the live audio webcast of the conference call will also be available at the Company’s IR website.

    Replay Information

    The webcast replay will be available at the Company’s IR website until the next quarter’s results are announced.

    The conference call replay will be available following the end of the call through Wednesday, November 6.

    • U.S. dial-in number: (844) 512-2921
    • International dial-in number: (412) 317-6671
    • Access ID: 1019 3247

    About Medallion Financial Corp.

    Medallion Financial Corp. (NASDAQ:MFIN) and its subsidiaries originate and service a growing portfolio of consumer loans and mezzanine loans in various industries. Key industries served include recreation (towable RVs and marine) and home improvement (replacement roofs, swimming pools, and windows). Medallion Financial Corp. is headquartered in New York City, NY, and its largest subsidiary, Medallion Bank, is headquartered in Salt Lake City, Utah. For more information, please visit www.medallion.com.

    Forward-Looking Statements
    Please note that this press release contains forward-looking statements that involve risks and uncertainties relating to business performance, cash flow, net interest income and expenses, other expenses, earnings, growth, and our growth strategy. These statements are often, but not always, made using words or phrases such as “will” and “continue” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These statements relate to future public announcements of our earnings, the impact of the pending SEC litigation, expectations regarding our loan portfolio, including collections on our medallion loans, the potential for future asset growth, and market share opportunities. Medallion’s actual results may differ significantly from the results discussed in such forward-looking statements. For example, statements about the effects of the current economy, whether inflation or the risk of recession, operations, financial performance and prospects constitute forward-looking statements and are subject to the risk that the actual impacts may differ, possibly materially, from what is reflected in those forward-looking statements due to factors and future developments that are uncertain, unpredictable and in many cases beyond Medallion’s control. In addition to risks relating to the current economy, a description of certain risks to which Medallion is or may be subject, including risks related to the pending SEC litigation, please refer to the factors discussed under the heading “Risk Factors” in Medallion’s 2023 Annual Report on Form 10-K.

    Company Contact:
    Investor Relations
    212-328-2176
    InvestorRelations@medallion.com

    MEDALLION FINANCIAL CORP.
    CONSOLIDATED BALANCE SHEETS
    (UNAUDITED)
     
    (Dollars in thousands, except share and per share data)   September 30, 2024     December 31, 2023     September 30, 2023  
    Assets                  
    Cash, cash equivalents, and federal funds sold   $ 187,929     $ 149,845     $ 127,642  
    Investment and equity securities     66,651       65,712       63,717  
    Loans     2,485,279       2,215,886       2,203,038  
    Allowance for credit losses     (96,518 )     (84,235 )     (79,133 )
    Net loans receivable     2,388,761       2,131,651       2,123,905  
    Goodwill and intangible assets, net     170,311       171,394       171,755  
    Property, equipment, and right-of-use lease asset, net     14,172       14,076       13,278  
    Accrued interest receivable     14,108       13,538       13,593  
    Loan collateral in process of foreclosure     8,818       11,772       15,923  
    Other assets     29,302       29,839       28,814  
    Total assets   $ 2,880,052     $ 2,587,827     $ 2,558,627  
    Liabilities                  
    Deposits   $ 2,108,132     $ 1,866,657     $ 1,855,096  
    Long-term debt     232,037       235,544       218,137  
    Short-term borrowings     49,000       8,000       18,489  
    Deferred tax liabilities, net     20,598       21,207       23,131  
    Operating lease liabilities     5,534       7,019       7,075  
    Accrued interest payable     6,888       6,822       4,624  
    Accounts payable and accrued expenses     26,687       30,804       34,813  
    Total liabilities     2,448,876       2,176,053       2,161,365  
    Total stockholders’ equity     362,388       342,986       328,474  
    Non-controlling interest in consolidated subsidiaries     68,788       68,788       68,788  
    Total equity     431,176       411,774       397,262  
    Total liabilities and equity   $ 2,880,052     $ 2,587,827     $ 2,558,627  
    Number of shares outstanding     23,084,277       23,449,646       23,363,731  
    Book value per share   $ 15.70     $ 14.63     $ 14.06  
                             
    MEDALLION FINANCIAL CORP.‌
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (UNAUDITED)‌
     
        Three Months Ended September 30,     Nine Months Ended September 30,  
    (Dollars in thousands, except share and per share data)   2024     2023     2024     2023  
    Total interest income   $ 76,409     $ 65,886     $ 214,183     $ 183,455  
    Total interest expense     23,672       17,102       63,661       44,379  
    Net interest income     52,737       48,784       150,522       139,076  
    Provision for credit losses     20,151       14,532       55,929       27,045  
    Net interest income after provision for credit losses     32,586       34,252       94,593       112,031  
    Other income (loss)                        
    (Loss) gain on equity investments     (519 )     2,180       3,136       2,189  
    Gain on sale of loans and taxi medallions     340       1,417       1,170       4,578  
    Write-down of loan collateral in process of foreclosure     (19 )     (30 )     (19 )     (303 )
    Other income     785       739       2,802       1,868  
    Total other income, net     587       4,306       7,089       8,332  
    Other expenses                        
    Salaries and employee benefits     9,456       9,630       28,347       27,805  
    Loan servicing fees     2,790       2,501       7,951       7,084  
    Collection costs     1,673       1,583       4,799       4,729  
    Regulatory fees     961       1,021       2,826       2,484  
    Professional fees     818       1,148       3,434       4,223  
    Rent expense     664       629       2,019       1,855  
    Amortization of intangible assets     361       361       1,084       1,084  
    Other expenses     2,272       2,216       6,755       7,220  
    Total other expenses     18,995       19,089       57,215       56,484  
    Income before income taxes     14,178       19,469       44,467       63,879  
    Income tax provision     4,055       6,727       14,196       18,582  
    Net income after taxes     10,123       12,742       30,271       45,297  
    Less: income attributable to the non-controlling interest     1,512       1,512       4,535       4,536  
    Total net income attributable to Medallion Financial Corp.   $ 8,611     $ 11,230     $ 25,736     $ 40,761  
    Basic net income per share   $ 0.38     $ 0.50     $ 1.14     $ 1.81  
    Diluted net income per share   $ 0.37     $ 0.48     $ 1.09     $ 1.77  
    Weighted average common shares outstanding                        
    Basic     22,490,792       22,596,982       22,576,446       22,469,968  
    Diluted     23,447,929       23,392,901       23,555,065       23,067,944  
    Dividends declared per common share   $ 0.10     $ 0.08     $ 0.30     $ 0.24  

    The MIL Network –

  • MIL-OSI: Dayforce Named a Leader in the 2024 Gartner® Magic Quadrant™ for Cloud HCM Suites for 1,000+ Employee Enterprises for Fifth Consecutive Year

    Source: GlobeNewswire (MIL-OSI)

    MINNEAPOLIS and TORONTO, Oct. 29, 2024 (GLOBE NEWSWIRE) — Dayforce, Inc. (NYSE: DAY; TSX: DAY), a global human capital management (HCM) leader that makes work life better, today announced it has been named a Leader in the 2024 Gartner Magic Quadrant for Cloud HCM Suites for 1,000+ Employees Enterprises. Dayforce was recognized for the fifth consecutive year, driven by Dayforce’s Ability to Execute and Completeness of Vision.

    Operating across North America, Europe, the Middle East, Africa (EMEA), and the Asia Pacific Japan (APJ) region, Dayforce delivers quantifiable value to organizations globally with a single platform backed by AI-enhanced innovation. Dayforce is trusted by more than 6,600 customers, including leading organizations such as Henkel, Nashville Predators, City of Columbus, Longo’s, and more.

    “In the face of increasingly complex and ever-changing HR challenges, leaders need to invest in differentiated technology to help drive efficiencies, manage compliance, and operate with confidence – all assisted by trusted AI,” said Joe Korngiebel, Chief Strategy, Product, and Technology Officer, Dayforce, Inc. “Dayforce is this solution, and we feel our recognition as a Leader in the Gartner Magic Quadrant for the fifth consecutive year affirms this. In one single, global people platform, we’re delivering quantifiable value for organizations around the world and helping them achieve simplicity at scale for their people operations.”

    As an all-in-one solution with a unified user experience for HR, payroll, workforce management, talent, and analytics, Dayforce enables business leaders to move their organizations forward while balancing the drive to empower their people.

    Additional Information

    Gartner Disclaimer

    Gartner, Magic Quadrant for Cloud HCM Suites for 1,000+ Employee Enterprises, Ranadip Chandra, Chris Pang, Et Al, 23 October 2024.

    GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally, and MAGIC QUADRANT is a registered trademark of Gartner, Inc. and/or its affiliates and are used herein with permission. All rights reserved.

    Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner’s research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

    About Dayforce
    Dayforce makes work life better. Everything we do as a global leader in HCM technology is focused on improving work for thousands of customers and millions of employees around the world. Our single, global people platform for HR, Pay, Time, Talent, and Analytics equips Dayforce customers to unlock their full workforce potential and operate with confidence. To learn how Dayforce helps create quantifiable value for organizations of all sizes and industries, visit dayforce.com.  

    Media Contact
    Allison Hacker
    +1 425-785-8276
    allison.hacker@dayforce.com

    The MIL Network –

  • MIL-OSI: Heartland Financial USA, Inc. (“HTLF”) Reports Quarterly Results as of September 30, 2024

    Source: GlobeNewswire (MIL-OSI)

    Third Quarter Highlights

    • Quarterly net income available to common stockholders of $62.1 million or $1.44 per common share
    • Adjusted earnings available to common stockholders of $50.6 million or $1.17 adjusted diluted earnings per common share (non-GAAP), which excludes:
      • Gain on sale, net, of $29.7 million due to the sale of Rocky Mountain Bank branches in Montana.
      • Loss on security sales of $9.5 million.
      • Loss on fixed assets of $2.9 million due to branch closures and write-downs on properties listed for sale.
    • Common equity to total assets increased to 11.11%; while the tangible common equity ratio (non-GAAP) improved 86 basis points to 8.14%.
    • Net interest margin, full tax-equivalent (non-GAAP) increased to 3.78% for the quarter ended September 30, 2024 up from 3.73% for the quarter ended June 30, 2024.
    • Nonperforming loans were $69.9 million or 0.61% of total loans, a decrease of $33.8 million or 33% from the quarter ended June 30, 2024.
      • Charge-offs of $32.1 million, of which the majority have been reserved for in prior periods, were recorded for the third quarter.
      For the Quarter Ended   For the Nine Months Ended
    September 30,
      9/30/2024   6/30/2024   9/30/2023   2024   2023
    Earnings Summary:                  
    Net income/(loss) available to common stockholders (in millions) $ 62.1     $ 37.7     $ 46.1     $ 149.6     $ 144.2  
    Diluted earnings/(loss) per common share   1.44       0.88       1.08       3.47       3.37  
    Annualized return on average assets   1.38 %     0.84 %     0.94 %     1.10 %     1.00 %
    Annualized return on average common equity   12.60       8.14       10.47       10.59       11.28  
    Annualized return on average tangible common equity (non-GAAP)(1)   18.32       12.28       16.32       15.77       17.82  
    Net interest margin   3.73       3.68       3.14       3.65       3.23  
    Net interest margin, fully tax-equivalent (non-GAAP)(1)   3.78       3.73       3.18       3.69       3.27  
    Efficiency ratio   48.58       65.69       63.77       58.94       61.86  
    Adjusted efficiency ratio, fully-tax equivalent (non-GAAP)(1)   57.98       57.73       59.95       58.16       58.98  
                       
    Adjusted Earnings Summary (1):                  
    Adjusted earnings available to common stockholders (in millions) $ 50.6     $ 49.6     $ 48.1     $ 152.7     $ 148.3  
    Adjusted diluted earnings per common share   1.17       1.15       1.12       3.54       3.47  
    Adjusted annualized return on average assets   1.14 %     1.09 %     0.98 %     1.12 %     1.02 %
    Adjusted annualized return on average common equity   10.27       10.71       10.92       10.81       11.60  
    Adjusted annualized return on average tangible common equity   14.98       16.05       17.02       16.09       18.31  
                       

    (1) Refer to “Non-GAAP Measures” in this earnings release for additional information on the usage and presentation of these non-GAAP measures, and refer to the financial tables for reconciliations to the most directly comparable GAAP measures.

    “HTLF delivered a solid third quarter. Net interest margin increased as we continue to pay down high cost wholesale deposits. Our tangible common equity ratio improved to 8.14%. In July we completed the strategic sale of Rocky Mountain Bank in Montana, resulting in a net gain of $29.7 million. We continue to work closely with our partners at UMB on integration planning for our two companies and we’re excited about closing the transaction, expected in Q1 2025.”
    Bruce K. Lee, President and Chief Executive Officer, HTLF

    DENVER, Oct. 29, 2024 (GLOBE NEWSWIRE) — Heartland Financial USA, Inc. (NASDAQ: HTLF) today reported the following results for the quarter ended September 30, 2024, compared to the quarter ended September 30, 2023:

    • Net income available to common stockholders of $62.1 million compared to $46.1 million, an increase of $16.1 million or 35%.
    • Earnings per diluted common share of $1.44 compared to $1.08, an increase of $0.36 or 33%.
    • Adjusted earnings available to common stockholders(1) of $50.6 million or $1.17 per diluted common share compared to $48.1 million or $1.12 per diluted common share, which excludes:
      • Gain on sale, net, of $29.7 million due to the sale of Rocky Mountain Bank branches in Montana.
      • Loss on security sales of $9.5 million.
      • Loss on fixed assets of $2.9 million due to branch closures and write-downs on properties listed for sale.
    • Net interest income of $157.9 million compared to $145.8 million, an increase of $12.1 million or 8%.
    • Annualized return on average assets of 1.38% compared to 0.94%. Adjusted annualized return on average assets(1) of 1.14% compared to 0.98%.
    • Annualized return on average common equity of 12.60% compared to 10.47%. Adjusted annualized return on average common equity(1) of 10.27% compared to 10.92%.
    • Annualized return on average tangible common equity(1) of 18.32% compared to 16.32%. Adjusted annualized return on average tangible common equity(1) of 14.98% compared to 17.02%.

    Rocky Mountain Bank Sale

    HTLF Bank closed on the sale of the Rocky Mountain Bank branches in Montana in mid-July to two purchasers, which included loans of $343.8 million, deposits of $531.9 million and fixed assets of $13.8 million. The gain on sale, net, of $29.7 million was realized in the third quarter of 2024.

    Net Interest Income and Net Interest Margin

    Net interest margin, expressed as a percentage of average earning assets, was 3.73% (3.78% on a fully tax-equivalent basis, non-GAAP) for the third quarter of 2024 compared to 3.68% (3.73% on a fully tax-equivalent basis, non-GAAP) for the second quarter of 2024, and 3.14% (3.18% on a fully tax-equivalent basis, non-GAAP) for the third quarter of 2023.

    Total interest income and average earning asset changes for the third quarter of 2024 compared to the third quarter of 2023 were:

    • Total interest income was $253.8 million compared to $245.4 million, an increase of $8.4 million or 3%, primarily attributable to an increase in yields on average earning assets. During the third quarter of 2024, HTLF recorded $5.3 million in additional interest income for a security that paid off.
    • Total interest income on a tax-equivalent basis (non-GAAP) was $255.8 million, an increase of $8.2 million or 3%, from $247.6 million. Subsequent to September 30, 2024, the fair value hedges were terminated in favorable market conditions in early October. HTLF recorded $10.3 million of interest income associated with the fair value hedges in the third quarter of 2024 in comparison to $5.6 million in the third quarter of 2023. As a result of the fair value hedge terminations, no additional interest income will be recorded.
    • Average earning assets decreased $1.60 billion or 9% to $16.84 billion compared to $18.44 billion, primarily due to the sale of $865.4 million of securities during the fourth quarter of 2023, $108.4 million of securities sold during the second quarter of 2024, and $40.3 million of securities sold during the third quarter of 2024. The proceeds were utilized to pay down high-cost wholesale deposits and borrowings.
    • The average rate on earning assets increased 71 basis points to 6.04% from 5.33%, primarily due to recent interest rate increases on earning assets.

    Total interest expense and average interest-bearing liability changes for the third quarter of 2024 compared to the third quarter of 2023 were:

    • Total interest expense was $95.9 million, a decrease of $3.8 million from $99.7 million, primarily due to a decrease in average interest-bearing liabilities.
    • The average interest rate paid on interest-bearing liabilities increased 17 basis points to 3.18% from 3.01%.
    • Average interest-bearing deposits decreased $1.65 billion or 13% to $11.03 billion from $12.68 billion.
    • The average interest rate paid on interest-bearing deposits decreased 4 basis points to 2.86% from 2.90%.
    • Average borrowings and term debt increased $478.2 million to $953.9 million from $475.7 million, and the average interest rate paid on borrowings decreased 40 basis points to 5.39% from 5.78%.

    Net interest income changes for the third quarter of 2024 compared to the third quarter of 2023 were:

    • Net interest income totaled $157.9 million compared to $145.8 million, an increase of $12.1 million or 8%.
    • Net interest income on a tax-equivalent basis (non-GAAP) totaled $159.9 million compared to $147.9 million, an increase of $12.0 million or 8%.

    Noninterest Income and Noninterest Expense

    Total noninterest income was $19.0 million during the third quarter of 2024 compared to $28.4 million during the third quarter of 2023, a decrease of $9.4 million or 33%. Significant changes within the noninterest income category for the third quarter of 2024 compared to the third quarter of 2023 were:

    • Service charges and fees decreased $1.5 million or 8% to $17.1 million from $18.6 million, primarily attributable to a decrease in consumer NSF and overdraft fees. In the fourth quarter of 2023, HTLF instituted a new fee policy across our single charter customer base in response to industry changes related to consumer overdraft fees.
    • Net security losses increased $9.4 million to $9.5 million compared to net security losses of $114,000.
    • Net gains on sales of loans held for sale decreased to $0 from $905,000, due to HTLF ceasing originations of residential mortgage loans to be sold to the secondary market.
    • Other noninterest income increased $957,000 to $1.6 million from $619,000, primarily due to an increase in deferred compensation income of $1.0 million to $1.5 million from $433,000.  

    Total noninterest expense was $85.9 million during the third quarter of 2024 compared to $111.1 million during the third quarter of 2023, a decrease of $25.1 million or 23%. Significant changes within the noninterest expense category for the third quarter of 2024 compared to the third quarter of 2023 were:

    • Salaries and employee benefits totaled $62.7 million compared to $62.3 million, an increase of $480,000 or 1%. The increase was attributable to higher benefit costs including incentive compensation and benefit expenses partially offset by a reduction of full-time equivalent employees. Full-time equivalent employees totaled 1,725 compared to 1,965, a decrease of 240 or 12%.
    • Professional fees totaled $17.4 million compared to $13.6 million, an increase of $3.8 million or 28%, primarily due to an increase legal expenses, including those associated with special asset loans.
    • Gain on sale of assets, net, totaled $26.4 million compared to a loss on sale of assets of $108,000. As discussed earlier, Rocky Mountain Bank, a division of HTLF Bank, was sold during the third quarter of 2024 which generated a gain on sale, net, of $29.7 million.

    The effective tax rate was 24.25% for the third quarter of 2024 compared to 21.89% for third quarter of 2023. The following items impacted the third quarter 2024 and 2023 tax calculations:

    • Various tax credits of $629,000 compared to $1.6 million.
    • Tax-exempt interest income as a percentage of pre-tax income of 8.92% compared to 13.14%.
    • Tax benefit of $140,000 compared to a tax expense of $41,000 resulting from the vesting of restricted stock units.
    • Tax expense of $1.1 million compared to $1.6 million resulting from the disallowed interest expense related to tax-exempt loans and securities.

    Total Assets, Total Loans and Total Deposits

    Total assets were $18.27 billion at September 30, 2024, compared to $18.81 billion at June 30, 2024, and $19.41 billion at December 31, 2023. Total assets decreased $540.1 million or 3% during the third quarter of 2024 and $1.14 billion or 6% since year-end 2023. Securities represented 27% and 29% of total assets at September 30, 2024, and December 31, 2023, respectively.

    Total loans held to maturity were $11.44 billion at September 30, 2024, compared to $11.61 billion at June 30, 2024, and $12.07 billion at December 31, 2023. Loans decreased $167.4 million or 1% during the third quarter of 2024 and $627.7 million or 5% since year-end 2023. Excluding the impact of Rocky Mountain Bank, loans held to maturity decreased $172.4 million or 1% during the third quarter of 2024 and decreased $284.0 million or 2% since year-end 2023.

    Significant changes by loan category at September 30, 2024 compared to June 30, 2024 included:

    • Commercial and business lending, which includes commercial and industrial, PPP and owner occupied commercial real estate loans, decreased $262.7 million or 4% to $5.99 billion compared to $6.26 billion. Excluding the impact of Rocky Mountain Bank, commercial and business lending decreased $119.4 million or 2%.
    • Commercial real estate lending, which includes non-owner occupied commercial real estate and construction loans, decreased $3.3 million, or less than 1%, to $3.58 billion compared to $3.58 billion. Excluding the impact of Rocky Mountain Bank, commercial real estate lending increased $67.0 million or 2%.
    • Agricultural and agricultural real estate loans decreased $167.2 million or 19% to $701.2 million compared to $868.4 million. Excluding the impact of Rocky Mountain Bank, agricultural and agricultural real estate loans decreased $99.9 million or 12%.
    • Residential mortgage loans decreased $56.7 million or 7% to $708.0 million compared to $764.7 million. Excluding the impact of Rocky Mountain Bank, residential mortgage loans decreased $25.7 million or 3%.

    Significant changes by loan category at September 30, 2024 compared to December 31, 2023 included:

    • Commercial and business lending, which includes commercial and industrial, PPP and owner occupied commercial real estate loans, decreased $298.6 million or 5% to $5.99 billion compared to $6.29 billion. Excluding the Rocky Mountain Bank loans sold of $143.3 million, commercial and business lending decreased $155.3 million or 2%.
    • Commercial real estate lending, which includes non-owner occupied commercial real estate and construction loans, increased $9.9 million or less than 1% to $3.58 billion compared to $3.57 billion. Excluding the Rocky Mountain Bank loans sold of $70.3 million, commercial real estate lending increased $80.2 million or 2%.
    • Agricultural and agricultural real estate loans decreased $218.0 million or 24% to $701.2 million compared to $919.2 million. Excluding the Rocky Mountain Bank loans sold of $67.3 million, agricultural and agricultural real estate loans decreased $150.7 million or 16%.
    • Residential mortgage loans decreased $89.8 million or 11% to $708.0 million compared to $797.8 million. Excluding the Rocky Mountain Bank loans sold of $31.0 million, residential mortgage loans decreased $58.9 million or 7%.

    Total deposits were $14.95 billion as of September 30, 2024, compared to $14.96 billion as of June 30, 2024, a decrease of $3.4 million or less than 1%. Total deposits were $14.95 billion as of September 30, 2024, compared to $16.20 billion at December 31, 2023, which was a decrease of $1.25 billion or 8%. Excluding the impact of Rocky Mountain Bank, deposits decreased $9.8 million or less than 1% during the third quarter of 2024 and decreased $716.6 million or 4% since year-end 2023.

    Total customer deposits were $14.35 billion as of September 30, 2024, compared to $14.13 billion at June 30, 2024, an increase of $217.6 million or 2%. Excluding the impact of Rocky Mountain Bank, customer deposits increased $211.2 million or 1%. Significant customer deposit changes by category at September 30, 2024, compared to June 30, 2024, included:

    • Customer demand deposits decreased $367.6 million or 8% to $4.01 billion compared to $4.38 billion. Excluding the impact of Rocky Mountain Bank, customer demand deposits decreased $235.9 million or 6%.
    • Customer savings deposits increased $270.0 million or 3% to $8.71 billion compared to $8.44 billion. Excluding the impact of Rocky Mountain Bank, customer savings deposits increased $554.4 million or 7%.
    • Customer time deposits decreased $223.1 million or 12% to $1.63 billion compared to $1.85 billion. Excluding the impact of Rocky Mountain Bank, customer time deposits decreased $107.3 million or 6%.

    Total customer deposits were $14.35 billion as of September 30, 2024, compared to $14.86 billion at December 31, 2023, a decrease of $505.1 million or 3%. Excluding the Rocky Mountain Bank customer deposits sold of $531.9 million, customer deposits increased $26.7 million. Significant customer deposit changes by category at September 30, 2024, compared to December 31, 2023, included:

    • Customer demand deposits decreased $491.1 million or 11% to $4.01 billion compared to $4.50 billion. Excluding the Rocky Mountain Bank customer demand deposits sold of $131.7 million, customer demand deposits decreased $359.3 million or 8%.
    • Customer savings deposits increased $302.0 million or 4% to $8.71 billion compared to $8.41 billion. Excluding the Rocky Mountain Bank customer savings deposits sold of $284.3 million, customer savings deposits increased $586.3 million or 7%.
    • Customer time deposits decreased $316.0 million or 16% to $1.63 billion compared to $1.94 billion. Excluding the Rocky Mountain Bank customer time deposits sold of $115.8 million, customer time deposits decreased $200.2 million or 10%.

    Total wholesale and institutional deposits were $601.9 million as of September 30, 2024, a decrease of $221.0 million or 27% from $822.9 million at June 30, 2024. Significant wholesale and institutional deposit changes by category at September 30, 2024 compared to June 30, 2024 included:

    • Wholesale and institutional savings deposits decreased $105.7 million or 33% to $213.0 million compared to $318.6 million.
    • Wholesale time deposits decreased $115.3 million or 23% to $389.0 million compared to $504.3 million.

    Total wholesale and institutional deposits were $601.9 million as of September 30, 2024, which was a decrease of $743.4 million or 55% from $1.35 billion at December 31, 2023. Significant wholesale and institutional deposit changes by category at September 30, 2024 compared to December 31, 2023 included:

    • Wholesale and institutional savings deposits decreased $181.4 million or 46% to $213.0 million compared to $394.4 million.
    • Wholesale time deposits decreased $562.0 million or 59% to $389.0 million compared to $950.9 million.

    Provision and Allowance

    Provision and Allowance for Credit Losses for Loans
    Provision for credit losses for loans for the third quarter of 2024 was $8.9 million, an increase of $6.2 million from $2.7 million recorded in the third quarter of 2023.

    The allowance for credit losses for loans totaled $106.8 million at September 30, 2024 and $122.6 million at December 31, 2023. The following items impacted the allowance for credit losses for loans at September 30, 2024:

    • Provision expense for the nine months ended September 30, 2024, totaled $22.3 million. Provision expense was primarily impacted in the third quarter of 2024 by a nonperforming food manufacturing syndication loan currently in bankruptcy proceedings. HTLF recorded a charge-off of $19.2 million for this credit during the third quarter of 2024, of which $10.0 million was reserved for in a prior period.
    • Net charge-offs of $38.0 million, of which the majority have been reserved for in prior periods, were recorded for the first nine months of 2024.

    Provision and Allowance for Credit Losses for Unfunded Commitments
    The allowance for unfunded commitments decreased $6.0 million or 36% to $10.5 million at September 30, 2024, from $16.5 million at December 31, 2023. The following impacted HTLF’s allowance for credit losses for unfunded commitments during 2024:

    • Provision benefit for the nine months ended September 30, 2024, totaled $6.0 million.
    • Reduction of $82.9 million in unfunded commitments for construction loans, which carry the highest loss rate.
    • Total unfunded commitments decreased $684.5 million or 15% to $3.94 billion at September 30, 2024 compared to $4.63 billion at December 31, 2023.

    Total Provision and Allowance for Lending Related Credit Losses
    The total provision expense for lending related credit losses was $6.3 million for the third quarter of 2024 compared to $1.5 million for the third quarter of 2023. The total allowance for lending related credit losses was $117.3 million or 1.02% of total loans at September 30, 2024, compared to $139.0 million or 1.15% of total loans as of December 31, 2023.

    Nonperforming Assets

    Nonperforming assets were $76.8 million or 0.42% of total assets at September 30, 2024, compared to $110.5 million or 0.57% of total assets at December 31, 2023. Nonperforming assets were reduced by charge-offs of $32.1 million and the return to performing status of a $10.4 million owner occupied commercial real estate loan relationship. The reduction was partially offset by the addition of a $10.1 million non-owner commercial real estate loan relationship. Nonperforming loans were $69.9 million or 0.61% of total loans at September 30, 2024, compared to $97.9 million or 0.81% of total loans at December 31, 2023. At September 30, 2024, loans delinquent 30-89 days were 0.26% of total loans compared to 0.09% of total loans at December 31, 2023. The increase in the 30-89 day delinquencies was due to a single $12.8 million real estate construction loan. Other real estate owned, net, decreased $5.7 million or 46% to $6.8 million at September 30, 2024 from $12.5 million at December 31, 2023.

    Non-GAAP Financial Measures

    This earnings release contains references to financial measures which are not defined by generally accepted accounting principles (“GAAP”). Management believes the non-GAAP measures are helpful for investors to analyze and evaluate the company’s financial condition and operating results. However, these non-GAAP measures have inherent limitations and should not be considered a substitute for operating results determined in accordance with GAAP. Additionally, because non-GAAP measures are not standardized, it may not be possible to compare the non-GAAP measures in this earnings release with other companies’ non-GAAP measures. Reconciliations of each non-GAAP measure to the most directly comparable GAAP measure may be found in the financial tables in this earnings release.

    Below are the non-GAAP measures included in this earnings release, management’s reason for including each measure and the method of calculating each measure:

    • Adjusted earnings available to common stockholders and adjusted diluted earnings per common share, adjust net income for the gain/loss from sale of securities, and other non-operating expenses as well as the tax effect of those transactions. Management believes these measures enhance the comparability net income available to common stockholders as it reflects adjustments commonly made by management, investors and analysts to evaluate the ongoing operations and enhance comparability with the results of prior periods.
    • Adjusted annualized return on average assets, adjusts net income for the gain/loss from sale of securities, and other non-operating expenses as well as the tax effect of those transactions. Management believes this measure enhances the comparability of annualized return on average assets as it reflects adjustments commonly made by management, investors and analysts to evaluate the ongoing operations and enhance comparability with the results of prior periods.
    • Annualized net interest margin, fully tax-equivalent, adjusts net interest income for the tax-favored status of certain loans and securities. Management believes this measure enhances the comparability of net interest income arising from taxable and tax-exempt sources.
    • Adjusted efficiency ratio, fully tax equivalent, expresses noninterest expenses as a percentage of fully tax-equivalent net interest income and noninterest income. This efficiency ratio is presented on a tax-equivalent basis which adjusts net interest income and noninterest expenses for the tax favored status of certain loans, securities, and tax credit projects. Management believes the presentation of this non-GAAP measure provides supplemental useful information for proper understanding of the financial results as it enhances the comparability of income and expenses arising from taxable and nontaxable sources and excludes specific items as noted in reconciliation contained in this earnings release.
    • Net interest income, fully tax equivalent, is net income adjusted for the tax-favored status of certain loans and securities. Management believes this measure enhances the comparability of net interest income arising from taxable and tax-exempt sources. Net interest margin, fully tax equivalent, is net interest income adjusted for the tax-favored status of certain loans and securities divided by average earning assets.
    • Tangible book value per common share is total common equity less goodwill and core deposit and customer relationship intangibles, net, divided by common shares outstanding, net of treasury. This measure is included as it is considered to be a critical metric to analyze and evaluate use of equity, financial condition and capital strength.
    • Tangible common equity ratio is total common equity less goodwill and core deposit and customer relationship intangibles, net, divided by total assets less goodwill and core deposit and customer relationship intangibles, net. This measure is included as it is considered to be a critical metric to analyze and evaluate financial condition and capital strength.
    • Adjusted annualized return on average common equity, adjusts net income for the loss from sale of securities, and other non-operating expenses as well as the tax effect of those transactions. Management believes this measure enhances the comparability of annualized return on average assets as it reflects adjustments commonly made by management, investors and analysts to evaluate the ongoing operations and enhance comparability with the results of prior periods.
    • Annualized return on average tangible common equity is net income excluding intangible amortization calculated as (1) net income excluding tax-effected core deposit and customer relationship intangibles amortization, divided by (2) average common equity less goodwill and core deposit and customer relationship intangibles, net. This measure is included as it is considered to be a critical metric to analyze and evaluate use of equity, financial condition and capital strength.
    • Adjusted annualized return on average tangible common equity, adjusts net income available to common stockholders for the loss from sale of securities, and other non-operating expenses as well as the tax effect of those transactions. Management believes this measure enhances the comparability of annualized return on average assets as it reflects adjustments commonly made by management, investors and analysts to evaluate the ongoing operations and enhance comparability with the results of prior periods.
    • Annualized ratio of core expenses to average assets adjusts noninterest expenses to exclude specific items noted in the reconciliation. Management includes this measure as it is considered to be a critical metric to analyze and evaluate controllable expenses related to primary business operations.

    About HTLF

    Heartland Financial USA, Inc., is a Denver, Colorado-based bank holding company operating under the brand name HTLF, with assets of $18.27 billion as of September 30, 2024. HTLF’s banks serve customers in the West, Southwest and Midwest regions. HTLF is committed to serving the banking needs of privately owned businesses, their owners, executives and employees. Our core commercial business is supported by a strong retail banking operation, in addition to a diversified line of financial services including treasury management, wealth management and investments. Additional information is available at www.htlf.com.

    Safe Harbor Statement

    This release (including any information incorporated herein by reference), and future oral and written statements of the company and its management, may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the business, financial condition, results of operations, plans, objectives and future performance of HTLF.

    Any statements about the company’s expectations, beliefs, plans, objectives, assumptions or future events or performance are not historical facts and may be forward-looking. Forward-looking statements may include information about possible or assumed future results of the company’s operations or performance. These forward-looking statements are generally identified by the use of the words such as “believe”, “expect”, “intent”, “anticipate”, “plan”, “intend”, “estimate”, “project”, “may”, “will”, “would”, “could”, “should”, “may”, “view”, “opportunity”, “potential”, or similar or negative expressions of these words or phrases that are used in this release, and future oral and written statements of the company and its management. Although the company may make these statements based on management’s experience, beliefs, expectations, assumptions and best estimate of future events, the ability of the company to predict results or the actual effect or outcomes of plans or strategies is inherently uncertain, and there may be events or factors that management has not anticipated. Therefore, the accuracy and achievement of such forward-looking statements and estimates are subject to a number of risks, many of which are beyond the ability of management to control or predict, that could cause actual results to differ materially from those in its forward-looking statements. These factors, which the company currently believes could have a material effect on its operations and future prospects, are detailed below and in the risk factors in HTLF’s reports filed with the Securities and Exchange Commission (“SEC”), including the “Risk Factors” section under Item 1A of Part I of the company’s Annual Report on Form 10-K for the year ended December 31, 2023 and updates in HTLF’s Forms 10-Q filed thereafter, and include, among others:

    • Economic and Market Conditions Risks, including risks related to the deterioration of the U.S. economy in general and in the local economies in which HTLF conducts its operations and future civil unrest, natural disasters, pandemics and governmental measures addressing them, climate change and climate-related regulations, persistent inflation, higher interest rates, supply chain issues, labor shortages, terrorist threats or acts of war;
    • Credit Risks, including risks of increasing credit losses due to deterioration in the financial condition of HTLF’s borrowers, changes in asset and collateral values due to climate and other borrower industry risks, which may impact the provision for credit losses and net charge-offs;
    • Liquidity and Interest Rate Risks, including the impact of capital market conditions, rising interest rates and changes in monetary policy on our borrowings and net interest income;
    • Risks related to the planned merger with UMB Financial Corporation (the “Merger”), the fluctuation of the market value of the merger consideration, risks related to combining our businesses, including expenses related to the Merger and integration of the combined entity, risks that the Merger may not occur, and the risk of litigation related to the Merger;
    • Operational Risks, including processing, information systems, cybersecurity, vendor, business interruption, and fraud risks;
    • Strategic and External Risks, including economic, political, and competitive forces impacting our business;
    • Legal, Compliance and Reputational Risks, including regulatory and litigation risks; and
    • Risks of Owning Stock in HTLF, including stock price volatility and dilution as a result of future equity offerings and acquisitions.

    There can be no assurance that other factors not currently anticipated by HTLF will not materially and adversely affect HTLF’s business, financial condition and results of operations. Additionally, all statements in this release, including forward-looking statements speak only as of the date they are made. HTLF does not undertake and specifically disclaims any obligation to publicly release the results of any revisions which may be made to or correct or update any forward-looking statement to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events or to otherwise update any statement in light of new information or future events. Further information concerning HTLF and its business, including additional factors that could materially affect HTLF’s financial results, is included in HTLF’s filings with the SEC.

    -FINANCIAL TABLES FOLLOW-

    CONTACT:
    Kevin L. Thompson
    Executive Vice President
    Chief Financial Officer
    (563) 589-1994
    kthompson@htlf.com 
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA
      For the Quarter Ended
    September 30,    		   For the Nine Months Ended
    September 30,
        2024       2023       2024       2023  
    Interest Income              
    Interest and fees on loans $ 192,506     $ 182,394     $ 587,328     $ 505,136  
    Interest on securities:              
    Taxable   51,116       54,800       145,511       168,948  
    Nontaxable   5,979       6,584       18,062       18,990  
    Interest on federal funds sold   —       3       —       3  
    Interest on deposits with other banks and short-term investments   4,193       1,651       10,244       4,833  
    Total Interest Income   253,794       245,432       761,145       697,910  
    Interest Expense              
    Interest on deposits   82,976       92,744       247,609       231,617  
    Interest on borrowings   7,378       1,167       25,727       4,437  
    Interest on term debt   5,543       5,765       16,956       16,756  
    Total Interest Expense   95,897       99,676       290,292       252,810  
    Net Interest Income   157,897       145,756       470,853       445,100  
    Provision for credit losses   6,276       1,516       16,270       9,969  
    Net Interest Income After Provision for Credit Losses   151,621       144,240       454,583       435,131  
    Noninterest Income              
    Service charges and fees   17,100       18,553       51,127       55,316  
    Loan servicing income   111       278       349       1,403  
    Trust fees   5,272       4,734       15,847       15,810  
    Brokerage and insurance commissions   853       692       2,501       2,065  
    Capital markets fees   2,116       1,845       5,003       8,331  
    Securities gains (losses), net   (9,520 )     (114 )     (19,573 )     (1,532 )
    Unrealized gain on equity securities, net   377       13       605       165  
    Net gains on sale of loans held for sale   —       905       104       3,786  
    Income on bank owned life insurance   1,107       858       3,610       3,042  
    Other noninterest income   1,576       619       5,289       2,489  
    Total Noninterest Income   18,992       28,383       64,862       90,875  
    Noninterest Expense              
    Salaries and employee benefits   62,742       62,262       191,817       186,510  
    Occupancy   6,318       6,438       19,843       20,338  
    Furniture and equipment   2,062       2,720       6,554       8,698  
    Professional fees   17,448       13,616       48,351       41,607  
    FDIC insurance assessments   3,035       3,313       11,344       9,627  
    Advertising   1,937       1,633       4,663       6,670  
    Core deposit intangibles amortization   1,345       1,625       4,258       5,128  
    Other real estate and loan collection expenses, net   395       481       1,422       984  
    (Gain) loss on sales/valuations of assets, net   (26,419 )     108       (26,012 )     (2,149 )
    Acquisition, integration and restructuring costs   2,026       2,429       9,374       5,994  
    Partnership investment in tax credit projects   222       1,136       938       1,828  
    Other noninterest expense   14,816       15,292       43,214       46,307  
    Total Noninterest Expense   85,927       111,053       315,766       331,542  
    Income Before Income Taxes   84,686       61,570       203,679       194,464  
    Income taxes   20,533       13,479       48,077       44,181  
    Net Income/(Loss)   64,153       48,091       155,602       150,283  
    Preferred dividends   (2,013 )     (2,013 )     (6,038 )     (6,038 )
    Net Income/(Loss) Available to Common Stockholders $ 62,140     $ 46,078     $ 149,564     $ 144,245  
    Earnings/(loss) per common share-diluted $ 1.44     $ 1.08     $ 3.47     $ 3.37  
    Weighted average shares outstanding-diluted   43,195,257       42,812,563       43,080,422       42,769,872  
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA
      For the Quarter Ended
      9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
    Interest Income                  
    Interest and fees on loans $ 192,506     $ 199,161     $ 195,661     $ 192,861     $ 182,394  
    Interest on securities:                  
    Taxable   51,116       47,381       47,014       54,573       54,800  
    Nontaxable   5,979       6,042       6,041       6,278       6,584  
    Interest on federal funds sold   —       —       —       —       3  
    Interest on deposits with other banks and short-term investments   4,193       3,045       3,006       2,174       1,651  
    Total Interest Income   253,794       255,629       251,722       255,886       245,432  
    Interest Expense                  
    Interest on deposits   82,976       80,499       84,134       88,071       92,744  
    Interest on borrowings   7,378       10,825       7,524       5,874       1,167  
    Interest on term debt   5,543       5,564       5,849       5,804       5,765  
    Total Interest Expense   95,897       96,888       97,507       99,749       99,676  
    Net Interest Income   157,897       158,741       154,215       156,137       145,756  
    Provision for credit losses   6,276       9,008       986       11,738       1,516  
    Net Interest Income After Provision for Credit Losses   151,621       149,733       153,229       144,399       144,240  
    Noninterest Income                  
    Service charges and fees   17,100       16,964       17,063       18,708       18,553  
    Loan servicing income   111       107       131       158       278  
    Trust fees   5,272       5,532       5,043       4,905       4,734  
    Brokerage and insurance commissions   853       894       754       729       692  
    Capital markets fees   2,116       1,996       891       1,676       1,845  
    Securities gains (losses), net   (9,520 )     (10,111 )     58       (140,007 )     (114 )
    Unrealized gain on equity securities, net   377       133       95       75       13  
    Net gains on sale of loans held for sale   —       —       104       94       905  
    Income on bank owned life insurance   1,107       1,326       1,177       729       858  
    Other noninterest income   1,576       1,366       2,347       1,132       619  
    Total Noninterest Income   18,992       18,207       27,663       (111,801 )     28,383  
    Noninterest Expense                  
    Salaries and employee benefits   62,742       65,120       63,955       64,766       62,262  
    Occupancy   6,318       6,262       7,263       6,509       6,438  
    Furniture and equipment   2,062       2,155       2,337       2,901       2,720  
    Professional fees   17,448       15,372       15,531       17,060       13,616  
    FDIC insurance assessments   3,035       3,340       4,969       10,313       3,313  
    Advertising   1,937       1,368       1,358       1,677       1,633  
    Core deposit intangibles amortization   1,345       1,421       1,492       1,611       1,625  
    Other real estate and loan collection expenses, net   395       515       512       505       481  
    (Gain) loss on sales/valuations of assets, net   (26,419 )     193       214       2,072       108  
    Acquisition, integration and restructuring costs   2,026       5,973       1,375       4,365       2,429  
    Partnership investment in tax credit projects   222       222       494       3,573       1,136  
    Other noninterest expense   14,816       14,303       14,095       14,933       15,292  
    Total Noninterest Expense   85,927       116,244       113,595       130,285       111,053  
    Income Before Income Taxes   84,686       51,696       67,297       (97,687 )     61,570  
    Income taxes   20,533       11,954       15,590       (27,324 )     13,479  
    Net Income/(Loss)   64,153       39,742       51,707       (70,363 )     48,091  
    Preferred dividends   (2,013 )     (2,012 )     (2,013 )     (2,012 )     (2,013 )
    Net Income/(Loss) Available to Common Stockholders $ 62,140     $ 37,730     $ 49,694     $ (72,375 )   $ 46,078  
    Earnings/(loss) per common share-diluted $ 1.44     $ 0.88     $ 1.16     $ (1.69 )   $ 1.08  
    Weighted average shares outstanding-diluted   43,195,257       43,060,354       42,915,768       42,838,405       42,812,563  
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA
      As of
      9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
    Assets                  
    Cash and due from banks $ 228,719     $ 226,735     $ 208,176     $ 275,554     $ 248,756  
    Interest-bearing deposits with other banks and short-term investments   359,675       147,211       236,190       47,459       99,239  
    Cash and cash equivalents   588,394       373,946       444,366       323,013       347,995  
    Time deposits in other financial institutions   1,050       1,340       1,240       1,240       1,490  
    Securities:                  
    Carried at fair value   4,057,335       4,185,054       4,418,222       4,646,891       5,482,687  
    Held to maturity, at cost   839,623       842,980       841,055       838,241       835,468  
    Other investments, at cost   69,511       70,684       68,524       91,277       90,001  
    Loans held for sale   —       348,761       352,744       5,071       6,262  
    Loans:                  
    Held to maturity   11,440,917       11,608,309       11,644,641       12,068,645       11,872,436  
    Allowance for credit losses   (106,797 )     (126,861 )     (123,934 )     (122,566 )     (110,208 )
    Loans, net   11,334,120       11,481,448       11,520,707       11,946,079       11,762,228  
    Premises, furniture and equipment, net   155,140       175,953       176,582       181,070       187,436  
    Goodwill   576,005       576,005       576,005       576,005       576,005  
    Core deposit intangibles, net   14,157       15,501       16,923       18,415       20,026  
    Cash surrender value on life insurance   199,998       199,036       197,671       197,085       196,694  
    Other real estate, net   6,805       7,533       2,590       12,548       14,362  
    Other assets   430,155       534,429       516,198       574,772       609,139  
    Total Assets $ 18,272,293     $ 18,812,670     $ 19,132,827     $ 19,411,707     $ 20,129,793  
    Liabilities and Equity                  
    Liabilities                  
    Deposits:                  
    Demand $ 4,009,218     $ 4,244,169     $ 4,264,390     $ 4,500,304     $ 4,792,813  
    Savings   8,926,192       8,470,416       8,669,221       8,805,597       8,754,911  
    Time   2,017,806       2,242,005       2,368,555       2,895,813       3,553,269  
    Total deposits   14,953,216       14,956,590       15,302,166       16,201,714       17,100,993  
    Deposits held for sale   —       538,308       596,328       —       —  
    Borrowings   546,219       694,909       650,033       622,255       392,634  
    Term debt   373,324       372,988       372,652       372,396       372,059  
    Accrued expenses and other liabilities   259,161       222,025       232,815       282,225       438,577  
    Total Liabilities   16,131,920       16,784,820       17,153,994       17,478,590       18,304,263  
    Stockholders’ Equity                  
    Preferred equity   110,705       110,705       110,705       110,705       110,705  
    Common stock   42,884       42,852       42,784       42,688       42,656  
    Capital surplus   1,098,837       1,096,619       1,093,207       1,090,740       1,088,267  
    Retained earnings   1,252,247       1,203,092       1,178,330       1,141,501       1,226,740  
    Accumulated other comprehensive income/(loss)   (364,300 )     (425,418 )     (446,193 )     (452,517 )     (642,838 )
    Total Equity   2,140,373       2,027,850       1,978,833       1,933,117       1,825,530  
    Total Liabilities and Equity $ 18,272,293     $ 18,812,670     $ 19,132,827     $ 19,411,707     $ 20,129,793  
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA
      For the Quarter Ended
      9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
    Average Balances                  
    Assets $ 18,439,910     $ 19,043,362     $ 19,296,638     $ 19,667,825     $ 20,207,920  
    Loans, net of unearned   11,584,999       12,010,289       12,021,930       11,938,272       11,800,064  
    Total deposits   15,148,944       15,562,920       16,042,402       16,709,394       17,507,813  
    Customer deposits   14,347,965       14,768,407       14,816,652       14,969,948       14,699,235  
    Earning assets   16,838,131       17,331,435       17,597,068       17,853,957       18,439,010  
    Interest-bearing liabilities   11,986,220       12,461,957       12,607,745       12,721,680       13,158,631  
    Common equity   1,962,334       1,863,236       1,832,959       1,729,086       1,746,818  
    Total stockholders’ equity   2,073,039       1,973,941       1,943,664       1,839,791       1,857,523  
    Tangible common equity (non-GAAP)(1)   1,371,515       1,271,046       1,239,313       1,133,888       1,149,992  
                       
    Key Performance Ratios                  
    Annualized return on average assets   1.38 %     0.84 %     1.08 %   (1.42 )%     0.94 %
    Adjusted annualized return on average assets (non-GAAP)(1)   1.14       1.09       1.13       0.96       0.98  
    Annualized return on average common equity (GAAP)   12.60       8.14       10.90       (16.61 )     10.47  
    Adjusted annualized return on average common equity (non-GAAP)(1)   10.27       10.71       11.50       10.46       10.92  
    Annualized return on average tangible common equity (non-GAAP)(1)   18.32       12.28       16.49       (24.89 )     16.32  
    Adjusted annualized return on average tangible common equity (non-GAAP)(1)   14.98       16.05       17.38       16.38       17.02  
    Annualized ratio of net charge-offs/(recoveries) to average loans   0.99       0.23       0.08       0.01       0.12  
    Annualized net interest margin (GAAP)   3.73       3.68       3.52       3.47       3.14  
    Annualized net interest margin, fully tax-equivalent (non-GAAP)(1)   3.78       3.73       3.57       3.52       3.18  
    Annualized cost of deposits   2.18       2.08       2.11       2.09       2.10  
    Efficiency ratio (GAAP)   48.58       65.69       62.46       293.86       63.77  
    Adjusted efficiency ratio, fully tax-equivalent (non-GAAP)(1)   57.98       57.73       58.77       59.31       59.95  
    Annualized ratio of total noninterest expenses to average assets (GAAP)   1.85       2.46       2.37       2.63       2.18  
    Annualized ratio of core expenses to average assets (non-GAAP)(1)   2.35       2.30       2.25       2.23       2.08  
                       
      For the Quarter Ended
    September 30,    		   For the Nine Months Ended
    September 30,
        2024       2023       2024       2023  
    Average Balances              
    Assets $ 18,439,910     $ 20,207,920     $ 18,924,862     $ 20,182,808  
    Loans, net of unearned   11,584,999       11,800,064       11,871,358       11,602,741  
    Total deposits   15,148,944       17,507,813       15,583,165       17,567,614  
    Customer deposits   14,347,965       14,699,235       14,642,347       14,778,030  
    Earning assets   16,838,131       18,439,010       17,254,023       18,451,907  
    Interest-bearing liabilities   11,986,220       13,158,631       12,350,640       12,985,665  
    Common equity   1,962,334       1,746,818       1,886,454       1,710,230  
    Total stockholders’ equity   2,073,039       1,857,523       1,997,159       1,820,935  
    Tangible common equity (non-GAAP)(1)   1,371,515       1,149,992       1,294,241       1,111,724  
                   
    Key Performance Ratios              
    Annualized return on average assets   1.38 %     0.94 %     1.10 %     1.00 %
    Adjusted annualized return on average assets (non-GAAP)(1)   1.14       0.98       1.12       1.02  
    Annualized return on average common equity (GAAP)   12.60       10.47       10.59       11.28  
    Adjusted annualized return on average common equity (non-GAAP)(1)   10.27       10.92       10.81       11.60  
    Annualized return on average tangible common equity (non-GAAP)(1)   18.32       16.32       15.77       17.82  
    Adjusted annualized return on average tangible common equity (non-GAAP)(1)   14.98       17.02       16.09       18.31  
    Annualized ratio of net charge-offs/(recoveries) to average loans   0.99       0.12       0.43       0.14  
    Annualized net interest margin (GAAP)   3.73       3.14       3.65       3.23  
    Annualized net interest margin, fully tax-equivalent (non-GAAP)(1)   3.78       3.18       3.69       3.27  
    Annualized cost of deposits   2.18       2.10       2.12       1.76  
    Efficiency ratio (GAAP)   48.58       63.77       58.94       61.86  
    Adjusted efficiency ratio, fully tax-equivalent (non-GAAP)(1)   57.98       59.95       58.16       58.98  
    Annualized ratio of total noninterest expenses to average assets (GAAP)   1.85       2.18       2.23       2.20  
    Annualized ratio of core expenses to average assets (non-GAAP)(1)   2.35       2.08       2.30       2.12  
                   
    (1) Refer to “Non-GAAP Measures” in this earnings release for additional information on the usage and presentation of these non-GAAP measures, and refer to these financial tables for the reconciliations to the most directly comparable GAAP measures.
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE AND FULL TIME EQUIVALENT EMPLOYEE DATA
      As of and for the Quarter Ended
      9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
    Common Share Data                  
    Book value per common share $ 47.33     $ 44.74     $ 43.66     $ 42.69     $ 40.20  
    Tangible book value per common share (non-GAAP)(1)   33.57       30.94       29.81       28.77       26.23  
    ASC 320 effect on book value per common share   (8.78 )     (10.82 )     (11.18 )     (11.00 )     (16.27 )
                       
    Common shares outstanding, net of treasury stock   42,883,865       42,852,180       42,783,670       42,688,008       42,656,303  
                       
    Capital Ratios                  
    Common equity to total assets   11.11 %     10.19 %     9.76 %     9.39 %     8.52 %
    Tangible common equity ratio (non-GAAP)(1)   8.14       7.28       6.88       6.53       5.73  
    Tier 1 leverage ratio   10.77       10.13       9.84       9.44       9.59  
    Common equity tier 1 ratio(2)   12.66       11.68       11.40       10.97       11.37  
    Total risk based capital ratio(2)   16.34       15.32       14.99       14.53       14.90  
                       
    Other Selected Trend Information                  
    Effective tax rate   24.25 %     23.12 %     23.17 %     27.97 %     21.89 %
    Full time equivalent employees   1,725       1,843       1,888       1,970       1,965  
                       
    Loans Held to Maturity                  
    Commercial and industrial $ 3,503,093     $ 3,541,239     $ 3,545,051     $ 3,652,047     $ 3,591,809  
    Paycheck Protection Program (“PPP”)   1,582       1,864       2,172       2,777       3,750  
    Owner occupied commercial real estate   2,489,697       2,555,964       2,545,033       2,638,175       2,429,659  
    Commercial and business lending   5,994,372       6,099,067       6,092,256       6,292,999       6,025,218  
    Non-owner occupied commercial real estate   2,455,396       2,434,258       2,495,068       2,553,711       2,656,358  
    Real estate construction   1,119,922       1,082,726       1,041,583       1,011,716       1,029,554  
    Commercial real estate lending   3,575,318       3,516,984       3,536,651       3,565,427       3,685,912  
    Total commercial lending   9,569,690       9,616,051       9,628,907       9,858,426       9,711,130  
    Agricultural and agricultural real estate   701,211       802,958       809,876       919,184       842,116  
    Residential mortgage   707,984       733,401       756,021       797,829       813,803  
    Consumer   462,032       455,899       449,837       493,206       505,387  
    Total loans held to maturity $ 11,440,917     $ 11,608,309     $ 11,644,641     $ 12,068,645     $ 11,872,436  
                       
    Total unfunded loan commitments $ 3,941,268     $ 4,381,565     $ 4,537,718     $ 4,625,768     $ 4,813,798  
                       
    Deposits                  
    Demand-customer $ 4,009,218     $ 4,244,169     $ 4,264,390     $ 4,500,304     $ 4,792,813  
    Savings-customer   8,713,228       8,151,794       8,269,956       8,411,240       8,190,430  
    Savings-wholesale and institutional   212,964       318,622       399,265       394,357       564,481  
    Total savings   8,926,192       8,470,416       8,669,221       8,805,597       8,754,911  
    Time-customer   1,628,856       1,737,723       1,734,971       1,944,884       1,814,335  
    Time-wholesale   388,950       504,282       633,584       950,929       1,738,934  
    Total time   2,017,806       2,242,005       2,368,555       2,895,813       3,553,269  
    Total deposits $ 14,953,216     $ 14,956,590     $ 15,302,166     $ 16,201,714     $ 17,100,993  
                       
    Total customer deposits $ 14,351,302     $ 14,133,686     $ 14,269,317     $ 14,856,428     $ 14,797,578  
    Total wholesale and institutional deposits   601,914       822,904       1,032,849       1,345,286       2,303,415  
    Total deposits $ 14,953,216     $ 14,956,590     $ 15,302,166     $ 16,201,714     $ 17,100,993  
                       
    (1) Refer to “Non-GAAP Measures” in this earnings release for additional information on the usage and presentation of these non-GAAP measures, and refer to these financial tables for the reconciliations to the most directly comparable GAAP measures.
    (2) September 30, 2024 calculation is preliminary.
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA
      As of and for the Quarter Ended
      9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
    Allowance for Credit Losses-Loans                  
    Balance, beginning of period $ 126,861     $ 123,934     $ 122,566     $ 110,208     $ 111,198  
    Provision for credit losses   8,871       9,737       3,668       12,750       2,672  
    Charge-offs   (32,137 )     (7,388 )     (4,093 )     (3,886 )     (3,964 )
    Recoveries   3,202       578       1,793       3,494       302  
    Balance, end of period $ 106,797     $ 126,861     $ 123,934     $ 122,566     $ 110,208  
                       
    Allowance for Unfunded Commitments                  
    Balance, beginning of period $ 13,057     $ 13,786     $ 16,468     $ 17,480     $ 18,636  
    Provision for credit losses   (2,595 )     (729 )     (2,682 )     (1,012 )     (1,156 )
    Balance, end of period $ 10,462     $ 13,057     $ 13,786     $ 16,468     $ 17,480  
                       
    Allowance for lending related credit losses $ 117,259     $ 139,918     $ 137,720     $ 139,034     $ 127,688  
                       
    Provision for Credit Losses                  
    Provision for credit losses-loans $ 8,871     $ 9,737     $ 3,668     $ 12,750     $ 2,672  
    Provision for credit losses-unfunded commitments   (2,595 )     (729 )     (2,682 )     (1,012 )     (1,156 )
    Total provision (benefit) for credit losses $ 6,276     $ 9,008     $ 986     $ 11,738     $ 1,516  
                       
    Asset Quality                  
    Nonaccrual loans $ 69,115     $ 103,123     $ 94,800     $ 95,426     $ 51,304  
    Loans past due ninety days or more   832       663       611       2,507       511  
    Other real estate owned   6,805       7,533       2,590       12,548       14,362  
    Other repossessed assets   —       —       —       —       1  
    Total nonperforming assets $ 76,752     $ 111,319     $ 98,001     $ 110,481     $ 66,178  
                       
    Nonperforming Assets Activity                  
    Balance, beginning of period $ 111,319     $ 98,001     $ 110,481     $ 66,178     $ 66,097  
    Net loan (charge-offs) recoveries   (28,935 )     (6,810 )     (2,300 )     (392 )     (3,662 )
    New nonperforming loans   25,441       48,346       5,470       61,193       19,295  
    Reduction of nonperforming loans(1)   (30,240 )     (28,050 )     (5,692 )     (14,278 )     (14,691 )
    OREO/Repossessed assets sales proceeds   (833 )     (168 )     (9,958 )     (2,220 )     (861 )
    Balance, end of period $ 76,752     $ 111,319     $ 98,001     $ 110,481     $ 66,178  
                       
    Asset Quality Ratios                  
    Ratio of nonperforming loans to total loans   0.61 %     0.89 %     0.82 %     0.81 %     0.44 %
    Ratio of nonperforming assets to total assets   0.42       0.59       0.51       0.57       0.33  
    Annualized ratio of net loan charge-offs (recoveries) to average loans   0.99       0.23       0.08       0.01       0.12  
    Allowance for loan credit losses as a percent of loans   0.93       1.09       1.06       1.02       0.93  
    Allowance for lending related credit losses as a percent of loans   1.02       1.21       1.18       1.15       1.08  
    Allowance for loan credit losses as a percent of nonperforming loans   152.68       122.23       129.89       125.15       212.70  
    Loans delinquent 30-89 days as a percent of total loans   0.26       0.25       0.31       0.09       0.12  
                       
    (1) Includes principal reductions, transfers to performing status and transfers to OREO.
    HEARTLAND FINANCIAL USA, INC.    
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS
      For the Quarter Ended
      September 30, 2024   June 30, 2024   September 30, 2023
      Average
    Balance    		   Interest   Rate   Average
    Balance    		   Interest   Rate   Average
    Balance    		   Interest   Rate
    Earning Assets                                  
    Securities:                                  
    Taxable $ 4,254,529     $ 51,116   4.78 %   $ 4,490,407     $ 47,381   4.24 %   $ 5,726,057     $ 54,800   3.80 %
    Nontaxable(1)   768,483       7,313   3.79       759,234       7,383   3.91       881,162       8,085   3.64  
    Total securities   5,023,012       58,429   4.63       5,249,641       54,764   4.20       6,607,219       62,885   3.78  
    Interest on deposits with other banks and
    short-term investments    		   355,394       4,193   4.69       194,824       3,045   6.29       142,301       1,651   4.60  
    Federal funds sold   —       —   —       —       —   —       152       3   7.83  
    Loans:(2)                                  
    Commercial and industrial(1)   3,531,206       65,972   7.43       3,638,004       69,469   7.68       3,610,677       63,001   6.92  
    PPP loans   1,759       5   1.13       2,242       7   1.26       3,948       11   1.11  
    Owner occupied commercial real estate   2,527,006       35,189   5.54       2,615,504       37,028   5.69       2,412,501       30,127   4.95  
    Non-owner occupied commercial real estate   2,474,036       39,536   6.36       2,519,346       39,272   6.27       2,586,011       38,779   5.95  
    Real estate construction   1,106,387       22,878   8.23       1,093,399       21,770   8.01       1,027,544       19,448   7.51  
    Agricultural and agricultural real estate   757,745       11,536   6.06       879,707       13,390   6.12       822,957       12,582   6.07  
    Residential real estate   725,901       9,110   4.99       776,821       9,454   4.89       827,402       9,482   4.55  
    Consumer   460,959       8,956   7.73       485,266       9,421   7.81       509,024       9,615   7.49  
    Less: allowance for credit losses   (125,274 )     —   —       (123,319 )     —   —       (110,726 )     —   —  
    Net loans   11,459,725       193,182   6.71       11,886,970       199,811   6.76       11,689,338       183,045   6.21  
    Total earning assets   16,838,131       255,804   6.04 %     17,331,435       257,620   5.98 %     18,439,010       247,584   5.33 %
    Nonearning Assets   1,601,779               1,711,927               1,768,910          
    Total Assets $ 18,439,910             $ 19,043,362             $ 20,207,920          
    Interest-bearing Liabilities                                  
    Savings $ 8,842,494     $ 59,307   2.67 %   $ 8,834,746     $ 55,440   2.52 %   $ 8,737,581     $ 49,195   2.23 %
    Time deposits   2,189,861       23,669   4.30       2,372,653       25,059   4.25       3,945,371       43,549   4.38  
    Borrowings   580,707       7,378   5.05       881,738       10,825   4.94       103,567       1,167   4.47  
    Term debt   373,158       5,543   5.91       372,820       5,564   6.00       372,112       5,765   6.15  
    Total interest-bearing liabilities   11,986,220       95,897   3.18 %     12,461,957       96,888   3.13 %     13,158,631       99,676   3.01 %
    Noninterest-bearing Liabilities                                  
    Noninterest-bearing deposits   4,116,589               4,355,521               4,824,861          
    Accrued interest and other liabilities   264,062               251,943               366,905          
    Total noninterest-bearing liabilities   4,380,651               4,607,464               5,191,766          
    Stockholders’ Equity   2,073,039               1,973,941               1,857,523          
    Total Liabilities and Stockholders’ Equity $ 18,439,910             $ 19,043,362             $ 20,207,920          
    Net interest income, fully tax-equivalent
    (non-GAAP)    (1)(3)    		     $ 159,907           $ 160,732           $ 147,908    
    Net interest spread(1)         2.86 %           2.85 %           2.32 %
    Net interest income, fully tax-equivalent
    (non-GAAP    )(1)(3)to total earning assets    		         3.78 %           3.73 %           3.18 %
    Interest-bearing liabilities to earning assets   71.18 %             71.90 %             71.36 %        
                                       
    (1) Computed on a tax-equivalent basis using an effective tax rate of 21%.    
    (2) Nonaccrual loans and loans held for sale are included in the average loans outstanding.
    (3) Refer to “Non-GAAP Measures” in this earnings release for additional information on the usage and presentation of these non-GAAP measures, and refer to these financial tables for the reconciliations to the most directly comparable GAAP measures.
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS
      For the Nine Months Ended
      September 30, 2024   September 30, 2023
      Average
    Balance    		   Interest   Rate   Average
    Balance    		   Interest   Rate
    Earning Assets                      
    Securities:                      
    Taxable $ 4,469,258     $ 145,511   4.35 %   $ 5,927,026     $ 168,948   3.81 %
    Nontaxable(1)   768,782       22,079   3.84       899,613       23,611   3.51  
    Total securities   5,238,040       167,590   4.27       6,826,639       192,559   3.77  
    Interest on deposits with other banks and other short-term investments   268,122       10,244   5.10       133,910       4,833   4.83  
    Federal funds sold   —       —   —       51       3   7.86  
    Loans:(2)                      
    Commercial and industrial(1)   3,603,668       202,426   7.50       3,547,256       169,552   6.39  
    PPP loans   2,195       19   1.16       6,718       61   1.21  
    Owner occupied commercial real estate   2,583,886       107,734   5.57       2,355,545       84,927   4.82  
    Non-owner occupied commercial real estate   2,514,452       118,657   6.30       2,459,965       105,111   5.71  
    Real estate construction   1,087,280       65,497   8.05       1,051,298       56,107   7.14  
    Agricultural and agricultural real estate   838,395       38,682   6.16       835,673       36,191   5.79  
    Residential mortgage   764,515       28,699   5.01       840,143       28,138   4.48  
    Consumer   476,967       27,578   7.72       506,143       26,925   7.11  
    Less: allowance for credit losses-loans   (123,497 )     —   —       (111,434 )     —   —  
    Net loans   11,747,861       589,292   6.70       11,491,307       507,012   5.90  
    Total earning assets   17,254,023       767,126   5.94 %     18,451,907       704,407   5.10 %
    Nonearning Assets   1,670,839               1,730,901          
    Total Assets $ 18,924,862             $ 20,182,808          
    Interest-bearing Liabilities                      
    Savings $ 8,828,973     $ 169,414   2.56 %   $ 9,130,980     $ 128,372   1.88 %
    Time deposits   2,447,293       78,195   4.27       3,344,434       103,245   4.13  
    Borrowings   701,548       25,727   4.90       138,157       4,437   4.29  
    Term debt   372,826       16,956   6.08       372,094       16,756   6.02  
    Total interest-bearing liabilities   12,350,640       290,292   3.14 %     12,985,665       252,810   2.60 %
    Noninterest-bearing Liabilities                      
    Noninterest-bearing deposits   4,306,899               5,092,200          
    Accrued interest and other liabilities   270,164               284,008          
    Total noninterest-bearing liabilities   4,577,063               5,376,208          
    Stockholders’ Equity   1,997,159               1,820,935          
    Total Liabilities and Stockholders’ Equity $ 18,924,862             $ 20,182,808          
    Net interest income, fully tax-equivalent (non-GAAP)(1)(3)     $ 476,834           $ 451,597    
    Net interest spread(1)         2.80 %           2.50 %
    Net interest income, fully tax-equivalent (non-GAAP)(1)(3)to total earning assets         3.69 %           3.27 %
    Interest-bearing liabilities to earning assets   71.58 %             70.38 %        
                           
    (1) Computed on a tax-equivalent basis using an effective tax rate of 21%.    
    (2) Nonaccrual loans and loans held for sale are included in the average loans outstanding.
    (3) Refer to “Non-GAAP Measures” in this earnings release for additional information on the usage and presentation of these non-GAAP measures, and refer to these financial tables for the reconciliations to the most directly comparable GAAP measures.
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA AND FULL TIME EQUIVALENT EMPLOYEE DATA
      For the Quarter Ended
      9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
    Reconciliation of Annualized Return on Average Tangible Common Equity (non-GAAP)                  
    Earnings available to common stockholders (GAAP) $ 62,140     $ 37,730     $ 49,694     $ (72,375 )   $ 46,078  
    Plus core deposit intangibles amortization, net of tax(2)   1,022       1,081       1,131       1,229       1,240  
    Earnings available to common stockholders excluding intangible amortization (non-GAAP) $ 63,162     $ 38,811     $ 50,825     $ (71,146 )   $ 47,318  
                       
    Average common equity (GAAP) $ 1,962,334     $ 1,863,236     $ 1,832,959     $ 1,729,086     $ 1,746,818  
    Less average goodwill   576,005       576,005       576,005       576,005       576,005  
    Less average core deposit intangibles, net   14,814       16,185       17,641       19,193       20,821  
    Average tangible common equity (non-GAAP) $ 1,371,515     $ 1,271,046     $ 1,239,313     $ 1,133,888     $ 1,149,992  
    Annualized return on average common equity (GAAP)   12.60 %     8.14 %     10.90 %   (16.61 )%     10.47 %
    Annualized return on average tangible common equity (non-GAAP)   18.32 %     12.28 %     16.49 %   (24.89 )%     16.32 %
                       
    Reconciliation of Annualized Net Interest Margin, Fully Tax-Equivalent (non-GAAP)                  
    Net Interest Income (GAAP) $ 157,897     $ 158,741     $ 154,215     $ 156,137     $ 145,756  
    Plus tax-equivalent adjustment(1)   2,010       1,991       1,981       2,058       2,152  
    Net interest income, fully tax-equivalent (non-GAAP) $ 159,907     $ 160,732     $ 156,196     $ 158,195     $ 147,908  
                       
    Average earning assets $ 16,838,131     $ 17,331,435     $ 17,597,068     $ 17,853,957     $ 18,439,010  
                       
    Annualized net interest margin (GAAP)   3.73 %     3.68 %     3.52 %     3.47 %     3.14 %
    Annualized net interest margin, fully tax-equivalent (non-GAAP)   3.78       3.73       3.57       3.52       3.18  
    Net purchase accounting discount amortization on loans included in annualized net interest margin   0.02       0.01       0.02       0.02       0.01  
    Reconciliation of Tangible Book Value Per Common Share (non-GAAP)                  
    Common equity (GAAP) $ 2,029,668     $ 1,917,145     $ 1,868,128     $ 1,822,412     $ 1,714,825  
    Less goodwill   576,005       576,005       576,005       576,005       576,005  
    Less core deposit intangibles, net   14,157       15,501       16,923       18,415       20,026  
    Tangible common equity (non-GAAP) $ 1,439,506     $ 1,325,639     $ 1,275,200     $ 1,227,992     $ 1,118,794  
                       
    Common shares outstanding, net of treasury stock   42,883,865       42,852,180       42,783,670       42,688,008       42,656,303  
    Common equity (book value) per share (GAAP) $ 47.33     $ 44.74     $ 43.66     $ 42.69     $ 40.20  
    Tangible book value per common share (non-GAAP) $ 33.57     $ 30.94     $ 29.81     $ 28.77     $ 26.23  
                       
    Reconciliation of Tangible Common Equity Ratio (non-GAAP)                  
    Tangible common equity (non-GAAP) $ 1,439,506     $ 1,325,639     $ 1,275,200     $ 1,227,992     $ 1,118,794  
                       
    Total assets (GAAP) $ 18,272,293     $ 18,812,670     $ 19,132,827     $ 19,411,707     $ 20,129,793  
    Less goodwill   576,005       576,005       576,005       576,005       576,005  
    Less core deposit intangibles, net   14,157       15,501       16,923       18,415       20,026  
    Total tangible assets (non-GAAP) $ 17,682,131     $ 18,221,164     $ 18,539,899     $ 18,817,287     $ 19,533,762  
    Tangible common equity ratio (non-GAAP)   8.14 %     7.28 %     6.88 %     6.53 %     5.73 %
                       
    (1) Computed on a tax-equivalent basis using an effective tax rate of 21%.
    (2) Tax effect is calculated based on the respective periods’ year-to-date effective tax rate excluding the impact of discrete items.
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA
      For the Quarter Ended
    9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
    Reconciliation of Adjusted Efficiency Ratio, fully tax-equivalent (non-GAAP)  
    Net interest income (GAAP) $ 157,897     $ 158,741     $ 154,215     $ 156,137     $ 145,756  
    Tax-equivalent adjustment(1)   2,010       1,991       1,981       2,058       2,152  
    Fully tax-equivalent net interest income   159,907       160,732       156,196       158,195       147,908  
    Noninterest income   18,992       18,207       27,663       (111,801 )     28,383  
    Securities (gains)/losses, net   9,520       10,111       (58 )     140,007       114  
    Unrealized gain on equity securities, net   (377 )     (133 )     (95 )     (75 )     (13 )
    Adjusted revenue (non-GAAP) $ 188,042     $ 188,917     $ 183,706     $ 186,326     $ 176,392  
                       
    Total noninterest expenses (GAAP) $ 85,927     $ 116,244     $ 113,595     $ 130,285     $ 111,053  
    Less:                  
    Core deposit intangibles amortization   1,345       1,421       1,492       1,611       1,625  
    Partnership investment in tax credit projects   222       222       494       3,573       1,136  
    (Gain) loss on sales/valuation of assets, net   (26,419 )     193       214       2,072       108  
    Acquisition, integration and restructuring costs   2,026       5,973       1,375       4,365       2,429  
    FDIC special assessment   (267 )     (631 )     2,049       8,145       —  
    Core expenses (non-GAAP) $ 109,020     $ 109,066     $ 107,971     $ 110,519     $ 105,755  
                       
    Efficiency ratio (GAAP)   48.58 %     65.69 %     62.46 %     293.86 %     63.77 %
    Adjusted efficiency ratio, fully tax-equivalent (non-GAAP)   57.98 %     57.73 %     58.77 %     59.31 %     59.95 %
                       
    Reconciliation of Annualized Ratio of Core Expenses to Average Assets (non-GAAP)                  
    Total noninterest expenses (GAAP) $ 85,927     $ 116,244     $ 113,595     $ 130,285     $ 111,053  
    Core expenses (non-GAAP)   109,020       109,066       107,971       110,519       105,755  
                       
    Average assets $ 18,439,910     $ 19,043,362     $ 19,296,638     $ 19,667,825     $ 20,207,920  
    Total noninterest expenses to average assets (GAAP)   1.85 %     2.46 %     2.37 %     2.63 %     2.18 %
    Core expenses to average assets (non-GAAP)   2.35 %     2.30 %     2.25 %     2.23 %     2.08 %
                       
    Acquisition, integration and restructuring costs                  
    Salaries and employee benefits $ 58     $ 462     $ 168     $ 1,425     $ 94  
    Occupancy   —       —       —       1,092       —  
    Furniture and equipment   52       53       —       19       —  
    Professional fees   1,674       5,385       931       793       1,617  
    Advertising   —       —       —       28       178  
    Other noninterest expenses   242       73       276       1,008       540  
    Total acquisition, integration and restructuring costs $ 2,026     $ 5,973     $ 1,375     $ 4,365     $ 2,429  
                       
    (1) Computed on a tax-equivalent basis using an effective tax rate of 21%.
     
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA
      For the Quarter Ended
      9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
    Reconciliation of Adjusted Earnings                  
    Net income/(loss) $ 64,153     $ 39,742     $ 51,707     $ (70,363 )   $ 48,091  
    (Gain)/loss from sale of securities   9,520       10,111       (58 )     140,007       114  
    (Gain)/loss on sales/valuation of assets, net   (26,419 )     193       214       2,072       108  
    Acquisition, integration and restructuring costs   2,026       5,973       1,375       4,365       2,429  
    FDIC special assessment   (267 )     (631 )     2,049       8,145       —  
    Total adjustments   (15,140 )     15,646       3,580       154,589       2,651  
    Tax effect of adjustments(2)   3,634       (3,739 )     (866 )     (36,638 )     (628 )
    Adjusted earnings $ 52,647     $ 51,649     $ 54,421     $ 47,588     $ 50,114  
                       
    Preferred dividends   (2,013 )     (2,012 )     (2,013 )     (2,012 )     (2,013 )
    Adjusted earnings available to common stockholders $ 50,634     $ 49,637     $ 52,408     $ 45,576     $ 48,101  
                       
    Plus core deposit intangibles amortization, net of tax(2)   1,022       1,081       1,131       1,229       1,240  
    Earnings available to common stockholders excluding intangible amortization (non-GAAP) $ 51,656     $ 50,718     $ 53,539     $ 46,805     $ 49,341  
                       
    Reconciliation of Adjusted Annualized Return on Average Assets                  
    Average assets $ 18,439,910     $ 19,043,362     $ 19,296,638     $ 19,667,825     $ 20,207,920  
    Adjusted annualized return on average assets (non-GAAP)   1.14 %     1.09 %     1.13 %     0.96 %     0.98 %
                       
    Reconciliation of Adjusted Annualized Return on Average Common Equity                  
    Average common stockholders’ equity (GAAP) $ 1,962,334     $ 1,863,236     $ 1,832,959     $ 1,729,086     $ 1,746,818  
    Adjusted annualized average common equity (non-GAAP)   10.27 %     10.71 %     11.50 %     10.46 %     10.92 %
                       
    Reconciliation of Adjusted Annualized Return on Average Tangible Common Equity                  
    Average tangible common equity (non-GAAP) $ 1,371,515     $ 1,271,046     $ 1,239,313     $ 1,133,888     $ 1,149,992  
    Adjusted annualized average tangible common equity (non-GAAP)   14.98 %     16.05 %     17.38 %     16.38 %     17.02 %
                       
    Reconciliation of Adjusted Diluted Earnings Per Common Share                  
    Weighted average shares outstanding-diluted   43,195,257       43,060,354       42,915,768       42,838,405       42,812,563  
    Adjusted diluted earnings per common share $ 1.17     $ 1.15     $ 1.22     $ 1.06     $ 1.12  
                       
    (2) Tax effect is calculated based on the respective periods’ year-to-date effective tax rate excluding the impact of discrete items.
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA
      For the Quarter Ended
    September 30,    		   For the Nine Months Ended
    September 30,
        2024       2023       2024       2023  
    Reconciliation of Annualized Return on Average Tangible Common Equity (non-GAAP)              
    Earnings available to common stockholders (GAAP) $ 62,140     $ 46,078     $ 149,564     $ 144,245  
    Plus core deposit intangibles amortization, net of tax(2)   1,022       1,240       3,236       3,908  
    Earnings available to common stockholders excluding intangible amortization (non-GAAP) $ 63,162     $ 47,318     $ 152,800     $ 148,153  
                   
    Average common equity (GAAP) $ 1,962,334     $ 1,746,818     $ 1,886,454     $ 1,710,230  
    Less average goodwill   576,005       576,005       576,005       576,005  
    Less average core deposit intangibles, net   14,814       20,821       16,208       22,501  
    Average tangible common equity (non-GAAP) $ 1,371,515     $ 1,149,992     $ 1,294,241     $ 1,111,724  
    Annualized return on average common equity (GAAP)   12.60 %     10.47 %     10.59 %     11.28 %
    Annualized return on average tangible common equity (non-GAAP)   18.32 %     16.32 %     15.77 %     17.82 %
                   
    Reconciliation of Annualized Net Interest Margin, Fully Tax-Equivalent (non-GAAP)              
    Net Interest Income (GAAP) $ 157,897     $ 145,756     $ 470,853     $ 445,100  
    Plus tax-equivalent adjustment(1)   2,010       2,152       5,981       6,497  
    Net interest income, fully tax-equivalent (non-GAAP) $ 159,907     $ 147,908     $ 476,834     $ 451,597  
                   
    Average earning assets $ 16,838,131     $ 18,439,010     $ 17,254,023     $ 18,451,907  
                   
    Annualized net interest margin (GAAP)   3.73 %     3.14 %     3.65 %     3.23 %
    Annualized net interest margin, fully tax-equivalent (non-GAAP)   3.78       3.18       3.69       3.27  
    Net purchase accounting discount amortization on loans included in annualized net interest margin   0.02       0.01       0.02       0.02  
                   
    (1) Computed on a tax-equivalent basis using an effective tax rate of 21%.
    (2) Tax effect is calculated based on the respective periods’ year-to-date effective tax rate excluding the impact of discrete items.
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA
      For the Quarter Ended
    September 30,    		   For the Nine Months Ended
    September 30,
      2024       2023       2024       2023  
    Reconciliation of Adjusted Efficiency Ratio, Fully Tax-Equivalent (non-GAAP)              
    Net interest income (GAAP) $ 157,897     $ 145,756     $ 470,853     $ 445,100  
    Tax-equivalent adjustment(1)   2,010       2,152       5,981       6,497  
    Fully tax-equivalent net interest income   159,907       147,908       476,834       451,597  
    Noninterest income (GAAP)   18,992       28,383       64,862       90,875  
    Securities (gains)/losses, net   9,520       114       19,573       1,532  
    Unrealized gain on equity securities, net   (377 )     (13 )     (605 )     (165 )
    Adjusted revenue (non-GAAP) $ 188,042     $ 176,392     $ 560,664     $ 543,839  
                   
    Total noninterest expenses (GAAP) $ 85,927     $ 111,053     $ 315,766     $ 331,542  
    Less:              
    Core deposit intangibles amortization   1,345       1,625       4,258       5,128  
    Partnership investment in tax credit projects   222       1,136       938       1,828  
    (Gain)/loss on sales/valuation of assets, net   (26,419 )     108       (26,012 )     (2,149 )
    Acquisition, integration and restructuring costs   2,026       2,429       9,374       5,994  
    FDIC special assessment   (267 )     —       1,151       —  
    Core expenses (non-GAAP) $ 109,020     $ 105,755     $ 326,057     $ 320,741  
                   
    Efficiency ratio (GAAP)   48.58 %     63.77 %     58.94 %     61.86 %
    Adjusted efficiency ratio, fully tax-equivalent (non-GAAP)   57.98 %     59.95 %     58.16 %     58.98 %
                   
    Reconciliation of Annualized Ratio of Core Expenses to Average Assets (non-GAAP)              
    Total noninterest expenses (GAAP) $ 85,927     $ 111,053     $ 315,766     $ 331,542  
    Core expenses (non-GAAP)   109,020       105,755       326,057       320,741  
                   
    Average assets $ 18,439,910     $ 20,207,920     $ 18,924,862     $ 20,182,808  
    Total noninterest expenses to average assets (GAAP)   1.85 %     2.18 %     2.23 %     2.20 %
    Core expenses to average assets (non-GAAP)   2.35 %     2.08 %     2.30 %     2.12 %
                   
    Acquisition, integration and restructuring costs              
    Salaries and employee benefits $ 58     $ 94     $ 689     $ 261  
    Occupancy   —       —       —       —  
    Furniture and equipment   52       —       105       —  
    Professional fees   1,674       1,617       7,990       3,619  
    Advertising   —       178       —       522  
    Other noninterest expenses   242       540       590       1,592  
    Total acquisition, integration and restructuring costs $ 2,026     $ 2,429     $ 9,374     $ 5,994  
                   
    (1) Computed on a tax-equivalent basis using an effective tax rate of 21%.              
    HEARTLAND FINANCIAL USA, INC.
    CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited)
    DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA
      For the Quarter Ended
    September 30,    		   For the Nine Months Ended
    September 30,
        2024       2023       2024       2023  
    Reconciliation of Adjusted Earnings (non-GAAP)              
    Net income/(loss) $ 64,153     $ 48,091     $ 155,602     $ 150,283  
    (Gain)/loss from sale of securities   9,520       114       19,573       1,532  
    (Gain)/loss on sales/valuation of assets, net   (26,419 )     108       (26,012 )     (2,149 )
    Acquisition, integration and restructuring costs   2,026       2,429       9,374       5,994  
    FDIC special assessment   (267 )     —       1,151       —  
    Total adjustments   (15,140 )     2,651       4,086       5,377  
    Tax effect of adjustments(2)   3,634       (628 )     (981 )     (1,280 )
    Adjusted earnings $ 52,647     $ 50,114     $ 158,707     $ 154,380  
                   
    Preferred dividends   (2,013 )     (2,013 )     (6,038 )     (6,038 )
    Adjusted earnings available to common stockholders $ 50,634     $ 48,101     $ 152,669     $ 148,342  
                   
    Plus core deposit intangibles amortization, net of tax(2)   1,022       1,240       3,236       3,908  
    Earnings available to common stockholders excluding intangible amortization (non-GAAP) $ 51,656     $ 49,341     $ 155,905     $ 152,250  
                   
    Reconciliation of Adjusted Annualized Return on Average Assets              
    Average assets $ 18,439,910     $ 20,207,920     $ 18,924,862     $ 20,182,808  
    Adjusted annualized return on average assets (non-GAAP)   1.14 %     0.98 %     1.12 %     1.02 %
                   
    Reconciliation of Adjusted Annualized Return on Average Common Equity              
    Average common stockholders’ equity (GAAP) $ 1,962,334     $ 1,746,818     $ 1,886,454     $ 1,710,230  
    Adjusted annualized return on average common equity (non-GAAP)   10.27 %     10.92 %     10.81 %     11.60 %
                   
    Reconciliation of Adjusted Annualized Return on Average Tangible Common Equity              
    Average tangible common equity (non-GAAP) $ 1,371,515     $ 1,149,992     $ 1,294,241     $ 1,111,724  
    Adjusted annualized return on average tangible common equity (non-GAAP)   14.98 %     17.02 %     16.09 %     18.31 %
                   
    Reconciliation of Adjusted Diluted Earnings Per Common Share              
    Weighted average shares outstanding-diluted   43,195,257       42,812,563       43,080,422       42,769,872  
    Adjusted diluted earnings per common share $ 1.17     $ 1.12     $ 3.54     $ 3.47  
                   
    (2) Tax effect is calculated based on the respective periods’ year-to-date effective tax rate excluding the impact of discrete items.

    The MIL Network –

  • MIL-OSI: Montauk Renewables Schedules Third Quarter 2024 Conference Call for Tuesday, November 12, 2024, at 5:00 p.m. ET

    Source: GlobeNewswire (MIL-OSI)

    PITTSBURGH, Oct. 29, 2024 (GLOBE NEWSWIRE) — Montauk Renewables, Inc. (“Montauk” or “the Company”) (NASDAQ: MNTK), a renewable energy company specializing in the management, recovery and conversion of biogas into renewable natural gas (“RNG”), will host a conference call and webcast on Tuesday, November 12, 2024, at 5:00 p.m. Eastern time to discuss its financial results for the third quarter ended September 30, 2024. The Company will issue a press release reporting the financial results after the close of regular stock market trading hours on the same day as the conference call and webcast.

    Third Quarter 2024 Conference Call and Webcast Details
         
    Date:   Tuesday, November 12, 2024
    Time:   5:00 p.m. ET
    Participant Access:   [Link Here]

    Please register for the conference call and webcast using the above link in advance of the call start time. The webcast platform will register your name and organization as well as provide dial-in numbers and a unique access pin. Please contact Gateway Group at (949) 574-3860 if you experience technical difficulties.

    The conference call and webcast will have a live Q&A session and be available here and on the Company’s website at https://ir.montaukrenewables.com.

    A replay of the conference call and webcast will be available after 8:00 p.m. Eastern time on the same day through November 12, 2025.

    About Montauk Renewables, Inc.

    Montauk Renewables, Inc. (NASDAQ: MNTK) is a renewable energy company specializing in the management, recovery and conversion of biogas into RNG. The Company captures methane, preventing it from being released into the atmosphere, and converts it into either RNG or electrical power for the electrical grid (“Renewable Electricity”). The Company, headquartered in Pittsburgh, Pennsylvania, has more than 30 years of experience in the development, operation and management of landfill methane-fueled renewable energy projects. The Company has operations at 14 projects and ongoing development projects located in California, Idaho, Ohio, Oklahoma, Pennsylvania, North Carolina, South Carolina, and Texas. The Company sells RNG and Renewable Electricity, taking advantage of Environmental Attribute premiums available under federal and state policies that incentivize their use. For more information, visit https://ir.montaukrenewables.com.

    Company Contact:

    John Ciroli
    Chief Legal Officer (CLO) & Secretary
    investors@montaukenergy.com
    (412) 747-8700

    Investor Relations Contact:

    Georg Venturatos
    Gateway Group
    MNTK@Gateway-grp.com
    (949) 574-3860

    The MIL Network –

  • MIL-OSI: Evolution Petroleum Schedules Fiscal First Quarter 2025 Earnings Release and Conference Call

    Source: GlobeNewswire (MIL-OSI)

    HOUSTON, Oct. 29, 2024 (GLOBE NEWSWIRE) — Evolution Petroleum Corporation (NYSE American: EPM) (“Evolution” or the “Company”) today announced that it plans to release its fiscal first quarter 2025 financial and operating results on Tuesday, November 12, 2024, after the market closes. Additionally, Kelly Loyd, President and Chief Executive Officer, Ryan Stash, Senior Vice President, Chief Financial Officer, and Treasurer, and Mark Bunch, Chief Operating Officer, will review the results on a conference call at 10:00 a.m. Central Time on Wednesday, November 13, 2024.

    Conference Call and Webcast Details

    Date: Wednesday, November 13, 2024
    Time: 10:00 a.m. Central Time
    Dial-In: (844) 481-2813
    International Dial-In: (412) 317-0677
    Note: Dial-in participants should ask to join the Evolution Petroleum Corporation call.
    Webcast: https://event.choruscall.com/mediaframe/webcast.html?webcastid=zEqrDXV4

    A webcast replay will be available through November 13, 2025, via the webcast link above and on Evolution’s website at www.ir.evolutionpetroleum.com.

    About Evolution Petroleum

    Evolution Petroleum Corporation is an independent energy company focused on maximizing total shareholder returns through the ownership of and investment in onshore oil and natural gas properties in the U.S. The Company aims to build and maintain a diversified portfolio of long-life oil and natural gas properties through acquisitions, selective development opportunities, production enhancements, and other exploitation efforts. Properties include non-operated interests in the following areas: the SCOOP/STACK plays of the Anadarko Basin in Oklahoma; the Chaveroo Oilfield located in Chaves and Roosevelt Counties, New Mexico; the Jonah Field in Sublette County, Wyoming; the Williston Basin in North Dakota; the Barnett Shale located in North Texas; the Hamilton Dome Field located in Hot Springs County, Wyoming; the Delhi Holt-Bryant Unit in the Delhi Field in Northeast Louisiana; as well as small overriding royalty interests in four onshore Texas wells. Visit www.evolutionpetroleum.com for more information.

    Contact
    Investor Relations
    (713) 935-0122
    ir@evolutionpetroleum.com

    The MIL Network –

  • MIL-OSI: Onity Group Schedules Conference Call – Third Quarter 2024 Results and Business Update

    Source: GlobeNewswire (MIL-OSI)

    WEST PALM BEACH, Fla., Oct. 29, 2024 (GLOBE NEWSWIRE) — Onity Group Inc. (NYSE: ONIT) (“Onity” or the “Company”), a leading non-bank mortgage servicer and originator, today announced that it will hold a conference call on Tuesday, November 5, 2024 at 8:30 a.m. (ET) to review the Company’s third quarter 2024 operating results and provide a business update.

    All interested parties are welcome to participate. You can access the conference call by dialing (800) 343-5172 or (203) 518-9856 approximately 10 minutes prior to the call; please reference the conference ID “Onity.” Participants can also access the conference call through a live audio webcast available from the Shareholder Relations page at onitygroup.com under Events and Presentations.

    An investor presentation will accompany the conference call and be available by visiting the Shareholder Relations page at onitygroup.com prior to the call.

    A replay of the conference call will be available via the website approximately two hours after the conclusion of the call. A telephonic replay will also be available approximately three hours following the call’s completion through November 19, 2024, by dialing (844) 512-2921 or (412) 317-6671; please reference access code 11157248.

    About Onity Group

    Onity Group Inc. (NYSE: ONIT) is a leading non-bank mortgage servicer and originator providing solutions through its primary brands, PHH Mortgage and Liberty Reverse Mortgage. PHH Mortgage is one of the largest servicers in the country, focused on delivering a variety of servicing and lending programs. Liberty is one of the nation’s largest reverse mortgage lenders dedicated to education and providing loans that help customers meet their personal and financial needs. We are headquartered in West Palm Beach, Florida, with offices and operations in the United States, the U.S. Virgin Islands, India and the Philippines, and have been serving our customers since 1988. For additional information, please visit onitygroup.com.

    For Further Information Contact:

    Dico Akseraylian, SVP, Corporate Communications
    (856) 917-0066
    mediarelations@onitygroup.com

    The MIL Network –

  • MIL-OSI: AMD Reports Third Quarter 2024 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    SANTA CLARA, Calif., Oct. 29, 2024 (GLOBE NEWSWIRE) — AMD (NASDAQ:AMD) today announced revenue for the third quarter of 2024 of $6.8 billion, gross margin of 50%, operating income of $724 million, net income of $771 million and diluted earnings per share of $0.47. On a non-GAAP(*) basis, gross margin was 54%, operating income was $1.7 billion, net income was $1.5 billion and diluted earnings per share was $0.92.

    “We delivered strong third quarter financial results with record revenue led by higher sales of EPYC and Instinct data center products and robust demand for our Ryzen PC processors,” said AMD Chair and CEO Dr. Lisa Su. “Looking forward, we see significant growth opportunities across our data center, client and embedded businesses driven by the insatiable demand for more compute.”

    “We are pleased with our execution in the third quarter, delivering strong year-over-year expansion in gross margin and earnings per share,” said AMD EVP, CFO and Treasurer Jean Hu. “We are on-track to deliver record annual revenue for 2024 based on significant growth in our Data Center and Client segments.”

    GAAP Quarterly Financial Results
     
      Q3 2024 Q3 2023 Y/Y Q2 2024 Q/Q
    Revenue ($M) $6,819 $5,800  Up 18% $5,835  Up 17%
    Gross profit ($M) $3,419 $2,747  Up 24% $2,864  Up 19%
    Gross margin 50% 47%  Up 3 ppts 49%  Up 1 ppt
    Operating expenses ($M) $2,709 $2,533  Up 7% $2,605  Up 4%
    Operating income ($M) $724 $224  Up 223% $269  Up 169%
    Operating margin 11% 4%  Up 7 ppts 5%  Up 6 ppts
    Net income ($M) $771 $299  Up 158% $265  Up 191%
    Diluted earnings per share $0.47 $0.18  Up 161% $0.16  Up 194%
     
    Non-GAAP(*) Quarterly Financial Results
     
      Q3 2024 Q3 2023 Y/Y Q2 2024 Q/Q
    Revenue ($M) $6,819 $5,800  Up 18% $5,835  Up 17%
    Gross profit ($M) $3,657 $2,963  Up 23% $3,101  Up 18%
    Gross margin 54% 51%  Up 3 ppts 53%  Up 1 ppt
    Operating expenses ($M) $1,956 $1,697  Up 15% $1,847  Up 6%
    Operating income ($M) $1,715 $1,276  Up 34% $1,264  Up 36%
    Operating margin 25% 22%  Up 3 ppts 22%  Up 3 ppts
    Net income ($M) $1,504 $1,135  Up 33% $1,126  Up 34%
    Diluted earnings per share $0.92 $0.70  Up 31% $0.69  Up 33%
     

    Segment Summary

    • Record Data Center segment revenue of $3.5 billion was up 122% year-over-year and 25% sequentially primarily driven by the strong ramp of AMD Instinct™ GPU shipments and growth in AMD EPYC™ CPU sales.
    • Client segment revenue was $1.9 billion, up 29% year-over-year and 26% sequentially primarily driven by strong demand for “Zen 5” AMD Ryzen™ processors. 
    • Gaming segment revenue was $462 million, down 69% year-over-year and 29% sequentially primarily due to a decrease in semi-custom revenue.
    • Embedded segment revenue was $927 million, down 25% year-over-year as customers normalized their inventory levels. On a sequential basis, revenue increased 8% as demand improved in several end markets.

    Recent PR Highlights

    • At the Advancing AI 2024 event this month, AMD and strategic partners including Dell, Google Cloud, HPE, Lenovo, Meta, Microsoft, Oracle Cloud Infrastructure, Supermicro and AI leaders Databricks, Essential AI, Fireworks AI, Luma AI and Reka AI unveiled a broad portfolio of solutions delivering enterprise AI at scale based on the latest AMD Instinct accelerators, EPYC CPUs, AMD networking solutions and Ryzen PRO CPUs:
      • New AMD EPYC 9005 Series processors, with record-breaking performance and energy efficiency for diverse data center needs, available in a wide range of platforms from leading OEMs and ODMs.
      • AMD Instinct MI325X accelerators, delivering leadership performance and memory capabilities for the most demanding AI workloads. AMD also shared new details on next-gen AMD Instinct accelerators planned to launch in 2025 and 2026.
      • An expanded high performance networking portfolio to maximize performance, scalability and efficiency for AI systems, with the new AMD Pensando™ Salina DPU and AMD Pensando Pollara 400 NIC.
      • New Ryzen AI PRO 300 Series mobile processors, powering next-gen AI PCs for the enterprise with 50+ AI TOPS and leadership performance, battery life, security and manageability features.
    • AMD continues to extend leadership AI performance, optimizations and customer adoption for AMD Instinct accelerators and AMD ROCm™ open software:
      • Oracle Cloud Infrastructure selected AMD Instinct MI300X accelerators with AMD ROCm open software to power its latest OCI Compute Supercluster designed for demanding AI workloads.
      • AMD unveiled its first results on leading AI benchmark MLPerf, revealing excellent performance for AMD Instinct MI300X accelerators advanced by the AMD ROCm software platform, on-par with NVIDIA H100.
      • AMD highlighted support for the latest Llama 3.2 release from Meta, enabling developers to build new agentic applications and personalized AI experiences on AMD accelerators and processors from cloud to edge and AI PCs.
    • AMD and ecosystem partners are enabling new AI PC platforms and capabilities:
      • In partnership with Microsoft, AMD announced that Copilot+ will be enabled on AMD CPU-powered AI PCs via a free upgrade planned to be available starting in November 2024.
      • OEM partners including Acer, HP, Lenovo and Asus announced new systems powered by AMD Ryzen AI 300 Series mobile processors, leveraging the leadership gaming, content creation and everyday performance of the new “Zen 5” architecture.
    • AMD expanded its embedded portfolio for a range of applications, including:
    • AMD announced an agreement to acquire ZT Systems, a leading provider of AI and general purpose compute infrastructure for the world’s largest hyperscale providers, to expand the company’s data center AI systems capabilities and accelerate deployment of AMD AI rack scale systems with cloud and enterprise customers. The acquisition is subject to regulatory clearance and other customary closing conditions and is expected to close in the first half of 2025.
    • AMD completed the acquisition of Silo AI to accelerate development and deployment of AI models on AMD hardware.
    • AMD and Intel announced the creation of an x86 ecosystem advisory group with Broadcom, Dell, Google, HPE, HP, Lenovo, Meta, Microsoft, Oracle, Red Hat and industry luminaries Linus Torvalds and Tim Sweeney to collaborate on architectural interoperability and simplify software development.

    Current Outlook

    AMD’s outlook statements are based on current expectations. The following statements are forward-looking and actual results could differ materially depending on market conditions and the factors set forth under “Cautionary Statement” below.

    For the fourth quarter of 2024, AMD expects revenue to be approximately $7.5 billion, plus or minus $300 million. At the mid-point of the revenue range, this represents year-over-year growth of approximately 22% and sequential growth of approximately 10%. Non-GAAP gross margin is expected to be approximately 54%.

    AMD Teleconference

    AMD will hold a conference call for the financial community at 2:00 p.m. PT (5:00 p.m. ET) today to discuss its third quarter 2024 financial results. AMD will provide a real-time audio broadcast of the teleconference on the Investor Relations page of its website at www.amd.com.

    Media Contact:
    Drew Prairie
    AMD Communications
    512-602-4425
    drew.prairie@amd.com

    Investor Contact:
    Mitch Haws
    AMD Investor Relations
    408-749-3124
    mitch.haws@amd.com

    RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
    (in millions, except per share data) (Unaudited)

      Three Months Ended
      September 28,
    2024    		   June 29,
    2024    		   September 30,
    2023
    GAAP gross profit $ 3,419     $ 2,864     $ 2,747  
    GAAP gross margin   50 %     49 %     47 %
    Stock-based compensation   5       5       6  
    Amortization of acquisition-related intangibles   233       231       210  
    Acquisition-related and other costs(1)   —       1       —  
    Non-GAAP gross profit $ 3,657     $ 3,101     $ 2,963  
    Non-GAAP gross margin   54 %     53 %     51 %
               
    GAAP operating expenses $ 2,709     $ 2,605     $ 2,533  
    GAAP operating expenses/revenue %   40 %     45 %     44 %
    Stock-based compensation   346       341       347  
    Amortization of acquisition-related intangibles   352       372       450  
    Acquisition-related and other costs(1)   55       45       39  
    Non-GAAP operating expenses $ 1,956     $ 1,847     $ 1,697  
    Non-GAAP operating expenses/revenue %   29 %     32 %     29 %
               
    GAAP operating income $ 724     $ 269     $ 224  
    GAAP operating margin   11 %     5 %     4 %
    Stock-based compensation   351       346       353  
    Amortization of acquisition-related intangibles   585       603       660  
    Acquisition-related and other costs(1)   55       46       39  
    Non-GAAP operating income $ 1,715     $ 1,264     $ 1,276  
    Non-GAAP operating margin   25 %     22 %     22 %
      Three Months Ended
      September 28,
    2024    		   June 29,
    2024    		   September 30,
    2023
    GAAP net income / earnings per share $ 771     $ 0.47     $ 265     $ 0.16     $ 299     $ 0.18  
    (Gains) losses on equity investments, net   (1 )     —       —       —       (4 )     —  
    Stock-based compensation   351       0.21       346       0.21       353       0.22  
    Equity income in investee   (7 )     —       (7 )     —       (3 )     —  
    Amortization of acquisition-related intangibles   585       0.36       603       0.37       660       0.41  
    Acquisition-related and other costs(1)   56       0.03       46       0.03       39       0.02  
    Income tax provision   (251 )     (0.15 )     (127 )     (0.08 )     (209 )     (0.13 )
    Non-GAAP net income / earnings per share $ 1,504     $ 0.92     $ 1,126     $ 0.69     $ 1,135     $ 0.70  
    (1)   Acquisition-related and other costs primarily comprised of transaction costs, purchase price adjustments for inventory, certain compensation charges, contract termination and workforce rebalancing charges.

    About AMD

    For more than 50 years AMD has driven innovation in high-performance computing, graphics and visualization technologies. AMD employees are focused on building leadership high-performance and adaptive products that push the boundaries of what is possible. Billions of people, leading Fortune 500 businesses and cutting-edge scientific research institutions around the world rely on AMD technology daily to improve how they live, work and play. For more information about how AMD is enabling today and inspiring tomorrow, visit the AMD (NASDAQ: AMD) website, blog, LinkedIn and X pages.

    Cautionary Statement

    This press release contains forward-looking statements concerning Advanced Micro Devices, Inc. (AMD) such as AMD’s expectations for future growth in data center, client and embedded businesses; AMD being on track to deliver record annual revenue growth for 2024 based on significant growth in AMD’s Data Center and Client segments; AMD’s expectations about the demand for more compute; the features, functionality, performance, availability, timing and expected benefits of future AMD products; AMD’s anticipated acquisition of ZT Systems and the expected timing of the transaction; and AMD’s expected fourth quarter 2024 financial outlook, including revenue and non-GAAP gross margin, which are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are commonly identified by words such as “would,” “may,” “expects,” “believes,” “plans,” “intends,” “projects” and other terms with similar meaning. Investors are cautioned that the forward-looking statements in this press release are based on current beliefs, assumptions and expectations, speak only as of the date of this press release and involve risks and uncertainties that could cause actual results to differ materially from current expectations. Such statements are subject to certain known and unknown risks and uncertainties, many of which are difficult to predict and generally beyond AMD’s control, that could cause actual results and other future events to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Material factors that could cause actual results to differ materially from current expectations include, without limitation, the following: Intel Corporation’s dominance of the microprocessor market and its aggressive business practices; Nvidia’s dominance in the graphics processing unit market and its aggressive business practices; the cyclical nature of the semiconductor industry; market conditions of the industries in which AMD products are sold; loss of a significant customer; competitive markets in which AMD’s products are sold; economic and market uncertainty; quarterly and seasonal sales patterns; AMD’s ability to adequately protect its technology or other intellectual property; unfavorable currency exchange rate fluctuations; ability of third party manufacturers to manufacture AMD’s products on a timely basis in sufficient quantities and using competitive technologies; availability of essential equipment, materials, substrates or manufacturing processes; ability to achieve expected manufacturing yields for AMD’s products; AMD’s ability to introduce products on a timely basis with expected features and performance levels; AMD’s ability to generate revenue from its semi-custom SoC products; potential security vulnerabilities; potential security incidents including IT outages, data loss, data breaches and cyberattacks; uncertainties involving the ordering and shipment of AMD’s products; AMD’s reliance on third-party intellectual property to design and introduce new products; AMD’s reliance on third-party companies for design, manufacture and supply of motherboards, software, memory and other computer platform components; AMD’s reliance on Microsoft and other software vendors’ support to design and develop software to run on AMD’s products; AMD’s reliance on third-party distributors and add-in-board partners; impact of modification or interruption of AMD’s internal business processes and information systems; compatibility of AMD’s products with some or all industry-standard software and hardware; costs related to defective products; efficiency of AMD’s supply chain; AMD’s ability to rely on third party supply-chain logistics functions; AMD’s ability to effectively control sales of its products on the gray market; long-term impact of climate change on AMD’s business; impact of government actions and regulations such as export regulations, tariffs and trade protection measures; AMD’s ability to realize its deferred tax assets; potential tax liabilities; current and future claims and litigation; impact of environmental laws, conflict minerals related provisions and other laws or regulations; evolving expectations from governments, investors, customers and other stakeholders regarding corporate responsibility matters; issues related to the responsible use of AI; restrictions imposed by agreements governing AMD’s notes, the guarantees of Xilinx’s notes and the revolving credit agreement; the ability to obtain applicable regulatory approvals for the acquisition of ZT Systems in a timely manner or otherwise and to satisfy other closing conditions to the transaction; impact of acquisitions, joint ventures and/or investments on AMD’s business and AMD’s ability to integrate acquired businesses;  impact of any impairment of the combined company’s assets; political, legal and economic risks and natural disasters; future impairments of technology license purchases; AMD’s ability to attract and retain qualified personnel; and AMD’s stock price volatility. Investors are urged to review in detail the risks and uncertainties in AMD’s Securities and Exchange Commission filings, including but not limited to AMD’s most recent reports on Forms 10-K and 10-Q. 

    (*)   In this earnings press release, in addition to GAAP financial results, AMD has provided non-GAAP financial measures including non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating expenses/revenue%, non-GAAP operating income, non-GAAP operating margin, non-GAAP net income and non-GAAP diluted earnings per share. AMD uses a normalized tax rate in its computation of the non-GAAP income tax provision to provide better consistency across the reporting periods. For fiscal 2024, AMD uses a projected non-GAAP tax rate of 13%, which excludes the tax impact of pre-tax non-GAAP adjustments, reflecting currently available information. AMD also provided adjusted EBITDA, free cash flow and free cash flow margin as supplemental non-GAAP measures of its performance. These items are defined in the footnotes to the selected corporate data tables provided at the end of this earnings press release. AMD is providing these financial measures because it believes this non-GAAP presentation makes it easier for investors to compare its operating results for current and historical periods and also because AMD believes it assists investors in comparing AMD’s performance across reporting periods on a consistent basis by excluding items that it does not believe are indicative of its core operating performance and for the other reasons described in the footnotes to the selected data tables. The non-GAAP financial measures disclosed in this earnings press release should be viewed in addition to and not as a substitute for or superior to AMD’s reported results prepared in accordance with GAAP and should be read only in conjunction with AMD’s Consolidated Financial Statements prepared in accordance with GAAP. These non-GAAP financial measures referenced are reconciled to their most directly comparable GAAP financial measures in the data tables in this earnings press release. This earnings press release also contains forward-looking non-GAAP gross margin concerning AMD’s financial outlook, which is based on current expectations as of October 29, 2024 and assumptions and beliefs that involve numerous risks and uncertainties. Adjustments to arrive at the GAAP gross margin outlook typically include stock-based compensation, amortization of acquired intangible assets and acquisition-related and other costs. The timing and impact of such adjustments are dependent on future events that are typically uncertain or outside of AMD’s control, therefore, a reconciliation to equivalent GAAP measures is not practicable at this time. AMD undertakes no intent or obligation to publicly update or revise its outlook statements as a result of new information, future events or otherwise, except as may be required by law.
         

    ©2024 Advanced Micro Devices, Inc. All rights reserved. AMD, the AMD Arrow logo, 3D V-Cache, Alveo,  EPYC, FidelityFX, Instinct, Kria, Radeon, Ryzen, Threadripper, Ultrascale+, Versal, Zynq, and combinations thereof, are trademarks of Advanced Micro Devices, Inc.

    ADVANCED MICRO DEVICES, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
    (Millions except per share amounts and percentages) (Unaudited)

      Three Months Ended   Nine Months Ended
      September 28,
    2024    		   June 29,
    2024    		   September 30,
    2023    		   September 28,
    2024    		   September 30,
    2023
    Net revenue $ 6,819     $ 5,835     $ 5,800     $ 18,127     $ 16,512  
    Cost of sales   3,167       2,740       2,843       8,590       8,236  
    Amortization of acquisition-related intangibles   233       231       210       694       727  
    Total cost of sales   3,400       2,971       3,053       9,284       8,963  
    Gross profit   3,419       2,864       2,747       8,843       7,549  
    Gross margin   50 %     49 %     47 %     49 %     46 %
    Research and development   1,636       1,583       1,507       4,744       4,361  
    Marketing, general and administrative   721       650       576       1,991       1,708  
    Amortization of acquisition-related intangibles   352       372       450       1,116       1,449  
    Licensing gain   (14 )     (10 )     (10 )     (37 )     (28 )
    Operating income   724       269       224       1,029       59  
    Interest expense   (23 )     (25 )     (26 )     (73 )     (79 )
    Other income (expense), net   36       55       59       144       148  
    Income before income taxes and equity income   737       299       257       1,100       128  
    Income tax provision (benefit)   (27 )     41       (39 )     (38 )     (49 )
    Equity income in investee   7       7       3       21       10  
    Net income $ 771     $ 265     $ 299     $ 1,159     $ 187  
    Earnings per share                  
    Basic $ 0.48     $ 0.16     $ 0.18     $ 0.72     $ 0.12  
    Diluted $ 0.47     $ 0.16     $ 0.18     $ 0.71     $ 0.11  
    Shares used in per share calculation                  
    Basic   1,620       1,618       1,616       1,619       1,613  
    Diluted   1,636       1,637       1,629       1,638       1,625  

    ADVANCED MICRO DEVICES, INC.
    CONDENSED CONSOLIDATED BALANCE SHEETS
    (Millions)

      September 28,
    2024    		   December 30,
    2023
      (Unaudited)    
    ASSETS      
    Current assets:      
    Cash and cash equivalents $ 3,897     $ 3,933  
    Short-term investments   647       1,840  
    Accounts receivable, net   7,241       5,376  
    Inventories   5,374       4,351  
    Receivables from related parties   29       9  
    Prepaid expenses and other current assets   1,547       1,259  
    Total current assets   18,735       16,768  
    Property and equipment, net   1,669       1,589  
    Operating lease right-of-use assets   647       633  
    Goodwill   24,839       24,262  
    Acquisition-related intangibles, net   19,572       21,363  
    Investment: equity method   137       99  
    Deferred tax assets   1,183       366  
    Other non-current assets   2,854       2,805  
    Total Assets $ 69,636     $ 67,885  
           
    LIABILITIES AND STOCKHOLDERS’ EQUITY      
    Current liabilities:      
    Accounts payable $ 2,530     $ 2,055  
    Payables to related parties   461       363  
    Accrued liabilities   4,120       3,082  
    Current portion of long-term debt, net   —       751  
    Other current liabilities   389       438  
    Total current liabilities   7,500       6,689  
    Long-term debt, net of current portion   1,720       1,717  
    Long-term operating lease liabilities   518       535  
    Deferred tax liabilities   1,162       1,202  
    Other long-term liabilities   1,751       1,850  
           
    Stockholders’ equity:      
    Capital stock:      
    Common stock, par value   17       17  
    Additional paid-in capital   60,896       59,676  
    Treasury stock, at cost   (5,812 )     (4,514 )
    Retained earnings   1,882       723  
    Accumulated other comprehensive income (loss)   2       (10 )
    Total stockholders’ equity $ 56,985     $ 55,892  
    Total Liabilities and Stockholders’ Equity $ 69,636     $ 67,885  

    ADVANCED MICRO DEVICES, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    (Millions) (Unaudited)

      Three Months Ended   Nine Months Ended
      September 28,
    2024    		   September 30,
    2023    		   September 28,
    2024    		   September 30,
    2023
    Cash flows from operating activities:              
    Net income $ 771     $ 299     $ 1,159     $ 187  
    Adjustments to reconcile net income to net cash provided by operating activities:              
    Depreciation and amortization   756       823       2,309       2,654  
    Stock-based compensation   351       353       1,068       1,010  
    Amortization of operating lease right-of-use assets   30       25       82       73  
    Deferred income taxes   (607 )     (218 )     (863 )     (800 )
    Inventory loss at contract manufacturer   —       —       65       —  
    Other   (13 )     (23 )     (50 )     (31 )
    Changes in operating assets and liabilities              
    Accounts receivable, net   (1,489 )     (743 )     (1,862 )     (929 )
    Inventories   (386 )     122       (1,096 )     (674 )
    Prepaid expenses and other assets   (16 )     (143 )     (250 )     (380 )
    Receivables from and payables to related parties, net   36       14       78       (136 )
    Accounts payable   832       (547 )     476       (238 )
    Accrued and other liabilities   363       459       626       550  
    Net cash provided by operating activities   628       421       1,742       1,286  
    Cash flows from investing activities:              
    Purchases of property and equipment   (132 )     (124 )     (428 )     (407 )
    Purchases of short-term investments   (142 )     (496 )     (707 )     (3,312 )
    Proceeds from maturity of short-term investments   149       746       1,351       1,917  
    Proceeds from sale of short-term investments   589       —       591       248  
    Acquisitions, net of cash acquired   (548 )     (14 )     (548 )     (14 )
    Related party equity method investment   (17 )     —       (17 )     —  
    Other   (37 )     (10 )     (129 )     (5 )
    Net cash provided by (used in) investing activities   (138 )     102       113       (1,573 )
    Cash flows from financing activities:              
    Repayment of debt   —       —       (750 )     —  
    Proceeds from sales of common stock through employee equity plans   4       4       152       148  
    Repurchases of common stock   (250 )     (511 )     (606 )     (752 )
    Common stock repurchases for tax withholding on employee equity plans   (460 )     (295 )     (686 )     (382 )
    Other   —       (1 )     (1 )     1  
    Net cash used in financing activities   (706 )     (803 )     (1,891 )     (987 )
    Net decrease in cash and cash equivalents $ (216 )   $ (280 )   $ (36 )   $ (1,274 )
    Cash and cash equivalents at beginning of period   4,113       3,841       3,933       4,835  
    Cash and cash equivalents at end of period $ 3,897     $ 3,561     $ 3,897     $ 3,561  

    ADVANCED MICRO DEVICES, INC.
    SELECTED CORPORATE DATA
    (Millions) (Unaudited)

      Three Months Ended   Nine Months Ended
      September 28,
    2024    		   June 29,
    2024    		   September 30,
    2023    		   September 28,
    2024    		   September 30,
    2023
    Segment and Category Information(1)                  
    Data Center                  
    Net revenue $ 3,549     $ 2,834     $ 1,598     $ 8,720     $ 4,214  
    Operating income $ 1,041     $ 743     $ 306     $ 2,325     $ 601  
    Client                  
    Net revenue $ 1,881     $ 1,492     $ 1,453     $ 4,741     $ 3,190  
    Operating income (loss) $ 276     $ 89     $ 140     $ 451     $ (101 )
    Gaming                  
    Net revenue $ 462     $ 648     $ 1,506     $ 2,032     $ 4,844  
    Operating income $ 12     $ 77     $ 208     $ 240     $ 747  
    Embedded                  
    Net revenue $ 927     $ 861     $ 1,243     $ 2,634     $ 4,264  
    Operating income $ 372     $ 345     $ 612     $ 1,059     $ 2,167  
    All Other                  
    Net revenue $ —     $ —     $ —     $ —     $ —  
    Operating loss $ (977 )   $ (985 )   $ (1,042 )   $ (3,046 )   $ (3,355 )
    Total                  
    Net revenue $ 6,819     $ 5,835     $ 5,800     $ 18,127     $ 16,512  
    Operating income $ 724     $ 269     $ 224     $ 1,029     $ 59  
                       
    Other Data                  
    Capital expenditures $ 132     $ 154     $ 124     $ 428     $ 407  
    Adjusted EBITDA(2) $ 1,887     $ 1,430     $ 1,439     $ 4,612     $ 3,920  
    Cash, cash equivalents and short-term investments $ 4,544     $ 5,340     $ 5,785     $ 4,544     $ 5,785  
    Free cash flow(3) $ 496     $ 439     $ 297     $ 1,314     $ 879  
    Total assets $ 69,636     $ 67,886     $ 67,626     $ 69,636     $ 67,626  
    Total debt $ 1,720     $ 1,719     $ 2,467     $ 1,720     $ 2,467  
    (1)   The Data Center segment primarily includes server microprocessors (CPUs), graphics processing units (GPUs), accelerated processing units (APUs), data processing units (DPUs), Field Programmable Gate Arrays (FPGAs), Smart Network Interface Cards (SmartNICs), Artificial Intelligence (AI) accelerators and Adaptive System-on-Chip (SoC) products for data centers.
        The Client segment primarily includes CPUs, APUs, and chipsets for desktop, notebook and handheld personal computers.
        The Gaming segment primarily includes discrete GPUs, and semi-custom SoC products and development services.
        The Embedded segment primarily includes embedded CPUs, GPUs, APUs, FPGAs, System on Modules (SOMs), and Adaptive SoC products.
        From time to time, the Company may also sell or license portions of its IP portfolio.
        All Other category primarily includes certain expenses and credits that are not allocated to any of the operating segments, such as amortization of acquisition-related intangible asset, employee stock-based compensation expense, acquisition-related and other costs, inventory loss at contract manufacturer, and licensing gain.
    (2)   Reconciliation of GAAP Net Income to Adjusted EBITDA
      Three Months Ended   Nine Months Ended
    (Millions) (Unaudited) September 28,
    2024    		   June 29,
    2024    		   September 30,
    2023    		   September 28,
    2024    		   September 30,
    2023
    GAAP net income $ 771     $ 265     $ 299     $ 1,159     $ 187  
    Interest expense   23       25       26       73       79  
    Other (income) expense, net   (36 )     (55 )     (59 )     (144 )     (148 )
    Income tax provision (benefit)   (27 )     41       (39 )     (38 )     (49 )
    Equity income in investee   (7 )     (7 )     (3 )     (21 )     (10 )
    Stock-based compensation   351       346       353       1,068       1,006  
    Depreciation and amortization   171       166       163       499       478  
    Amortization of acquisition-related intangibles   585       603       660       1,810       2,176  
    Inventory loss at contract manufacturer   —       —       —       65       —  
    Acquisition-related and other costs   56       46       39       141       201  
    Adjusted EBITDA $ 1,887     $ 1,430     $ 1,439     $ 4,612     $ 3,920  
     

    The Company presents “Adjusted EBITDA” as a supplemental measure of its performance. Adjusted EBITDA for the Company is determined by adjusting GAAP net income for interest expense, other (income) expense, net, income tax provision (benefit), equity income in investee, stock-based compensation, depreciation and amortization expense, amortization of acquisition-related intangibles, inventory loss at contract manufacturer, and acquisition-related and other costs. The Company calculates and presents Adjusted EBITDA because management believes it is of importance to investors and lenders in relation to its overall capital structure and its ability to borrow additional funds. In addition, the Company presents Adjusted EBITDA because it believes this measure assists investors in comparing its performance across reporting periods on a consistent basis by excluding items that the Company does not believe are indicative of its core operating performance. The Company’s calculation of Adjusted EBITDA may or may not be consistent with the calculation of this measure by other companies in the same industry. Investors should not view Adjusted EBITDA as an alternative to the GAAP operating measure of income or GAAP liquidity measures of cash flows from operating, investing and financing activities. In addition, Adjusted EBITDA does not take into account changes in certain assets and liabilities that can affect cash flows.

    (3)   Reconciliation of GAAP Net Cash Provided by Operating Activities to Free Cash Flow
      Three Months Ended   Nine Months Ended
    (Millions except percentages) (Unaudited) September 28,
    2024    		   June 29,
    2024    		   September 30,
    2023    		   September 28,
    2024    		   September 30,
    2023
    GAAP net cash provided by operating activities $ 628     $ 593     $ 421     $ 1,742     $ 1,286  
    Operating cash flow margin %   9 %     10 %     7 %     10 %     8 %
    Purchases of property and equipment   (132 )     (154 )     (124 )     (428 )     (407 )
    Free cash flow $ 496     $ 439     $ 297     $ 1,314     $ 879  
    Free cash flow margin %   7 %     8 %     5 %     7 %     5 %
     

    The Company also presents free cash flow as a supplemental Non-GAAP measure of its performance. Free cash flow is determined by adjusting GAAP net cash provided by operating activities for capital expenditures, and free cash flow margin % is free cash flow expressed as a percentage of the Company’s net revenue. The Company calculates and communicates free cash flow in the financial earnings press release because management believes it is of importance to investors to understand the nature of these cash flows. The Company’s calculation of free cash flow may or may not be consistent with the calculation of this measure by other companies in the same industry. Investors should not view free cash flow as an alternative to GAAP liquidity measures of cash flows from operating activities.

    The MIL Network –

  • MIL-OSI: Greenlight Capital Re, Ltd. Schedules Third Quarter 2024 Financial Results and Conference Call

    Source: GlobeNewswire (MIL-OSI)

    GRAND CAYMAN, Cayman Islands, Oct. 29, 2024 (GLOBE NEWSWIRE) — Greenlight Capital Re, Ltd. (NASDAQ: GLRE) (the “Company” or “Greenlight Re”), a multiline property and casualty insurer and reinsurer, today announced that it expects to release financial results for the quarter ended September 30, 2024, after the market closes on Monday, November 4, 2024.  A live conference call to discuss the financial results will be held on Tuesday, November 5, 2024, at 9:00 a.m. Eastern Time.

    Conference Call Details

    To participate in the Greenlight Re Third Quarter 2024 Earnings Call, please dial in to the conference call at:

    U.S. toll free        1-877-407-9753
    International        1-201-493-6739

    The conference call can also be accessed via webcast at:

    https://event.webcasts.com/starthere.jsp?ei=1692074&tp_key=a944f284f8

    A telephone replay will be available following the call through November 11, 2024.  The replay of the call may be accessed by dialing 1-877-660-6853 (U.S. toll free) or 1-201-612-7415 (international), access code 13749374. An audio file of the call will also be available on the Company’s website, www.greenlightre.com.

    About Greenlight Capital Re, Ltd.
    Greenlight Re (www.greenlightre.com) provides multiline property and casualty insurance and reinsurance through its licensed and regulated reinsurance entities in the Cayman Islands and Ireland, and its Lloyd’s platform, Greenlight Innovation Syndicate 3456. The Company complements its underwriting activities with a non-traditional investment approach designed to achieve higher rates of return over the long term than reinsurance companies that exclusively employ more traditional investment strategies. The Company’s innovations unit, Greenlight Re Innovations, supports technology innovators in the (re)insurance space by providing investment capital, risk capacity, and access to a broad insurance network.

    Investor Relations Contact
    Karin Daly
    Vice President, The Equity Group Inc.
    (212) 836-9623
    IR@greenlightre.ky

    The MIL Network –

  • MIL-OSI: Artisan Partners Asset Management Inc. Reports 3Q24 Results

    Source: GlobeNewswire (MIL-OSI)

    MILWAUKEE, Oct. 29, 2024 (GLOBE NEWSWIRE) — Artisan Partners Asset Management Inc. (NYSE: APAM) (the “Company” or “Artisan Partners”) today reported its results for the three and nine months ended September 30, 2024, and declared a quarterly dividend. The full September 2024 quarter earnings release and investor presentation can be viewed at www.apam.com.

    Conference Call

    The Company will host a conference call on October 30, 2024, at 1:00 p.m. (Eastern Time) to discuss its results for the three and nine months ended September 30, 2024. Hosting the call will be Eric Colson, Chief Executive Officer, Jason Gottlieb, President, and C.J. Daley, Chief Financial Officer. Supplemental materials that will be reviewed during the call are available on the Company’s website at www.apam.com. The call will be webcast and can be accessed via the Company’s website. Listeners may also access the call by dialing 877.328.5507 or 412.317.5423 for international callers; the conference ID is 10192111. A replay of the call will be available until November 6, 2024, at 9:00 a.m. (Eastern Time), by dialing 877.344.7529 or 412.317.0088 for international callers; the replay conference ID is 5832848. An audio recording will also be available on the Company’s website.

    About Artisan Partners

    Artisan Partners is a global investment management firm that provides a broad range of high value-added investment strategies to sophisticated clients around the world. Since 1994, the firm has been committed to attracting experienced, disciplined investment professionals to manage client assets. Artisan Partners’ autonomous investment teams oversee a diverse range of investment strategies across multiple asset classes. Strategies are offered through various investment vehicles to accommodate a broad range of client mandates.

    Source: Artisan Partners Asset Management Inc.

    Investor Relations Inquiries

    866.632.1770
    ir@artisanpartners.com

    The MIL Network –

  • MIL-OSI: Defiance ETFs Announces Increase in Leverage for MSTX and SMST ETFs to 2x

    Source: GlobeNewswire (MIL-OSI)

    MIAMI, Oct. 29, 2024 (GLOBE NEWSWIRE) — Defiance ETFs, a pioneer in leveraged single-stock ETFs, is excited to announce an increase in leverage for two of its flagship products, MSTX and SMST, from 1.75x and 1.5x respectively to 2x daily target exposure. This change marks a strategic enhancement, positioning Defiance to stay at the forefront of the market amid increased investor interest.

    MSTX, Defiance’s first-of-its-kind leveraged ETF providing long exposure to MicroStrategy (NASDAQ: MSTR), will now deliver 2x daily targeted exposure, enhancing potential returns for investors seeking amplified access to MicroStrategy’s price movements. MicroStrategy, a leader in data analytics and one of the largest corporate holders of Bitcoin, presents an innovative investment vehicle for investors looking to capitalize on the unique and volatile dynamics of the cryptocurrency market.

    SMST, Defiance’s Short MicroStrategy ETF, has likewise increased to 2x inverse daily exposure, enabling sophisticated traders to capitalize on potential downturns in MicroStrategy’s stock with greater leverage. This ETF offers traders a powerful tool to hedge against Bitcoin volatility, considering MicroStrategy’s significant holdings in the cryptocurrency. With this enhanced inverse leverage, SMST allows investors to tactically manage risk or capitalize on anticipated market declines with a more potent instrument.

    “Following the strong response to MSTX and SMST, we recognized the importance of delivering enhanced leverage in response to investor demand and competitive dynamics,” said Sylvia Jablonski, CEO of Defiance ETFs. “With the transition to 2x leverage, Defiance ETFs is committed to providing investors with leading-edge tools to engage with both bullish and bearish views on the Bitcoin market and MicroStrategy’s strategic role within it.”

    The Fund pursues a daily leveraged investment objective, which means that the Fund is riskier than alternatives that do not use leverage because the Fund magnifies the performance of its Underlying Security. It is designed only for sophisticated investors, such as traders and active investors employing dynamic strategies. Investors who do not understand the Funds or do not intend to actively manage and monitor their investments should not buy shares of the Funds.

    The Fund MSTX is not suitable for all investors. The Fund is designed to be utilized only by knowledgeable investors who understand the potential consequences of seeking 200% daily (2X) investment results, understand the risks associated with the use of leverage, and are willing to monitor their portfolios frequently. The Fund is not intended to be used by, and is not appropriate for, investors who do not intend to actively monitor and manage their portfolios. The Fund will lose money if the underlying security’s performance is flat, and that it is possible that the Fund will lose money even if the underlying security’s performance decreases over a period longer than a single day. An investor could lose the full principal value of his/her investment within a single day.

    The Fund SMST is not suitable for all investors. The Fund is designed to be utilized only by knowledgeable investors who understand the potential consequences of seeking 200% daily inverse (-2X) investment results, understand the risks associated with the use of leverage, and are willing to monitor their portfolios frequently. The Fund is not intended to be used by, and is not appropriate for, investors who do not intend to actively monitor and manage their portfolios. The Fund will lose money if the underlying security’s performance is flat, and that it is possible that the Fund will lose money even if the underlying security’s performance decreases over a period longer than a single day.An investor could lose the full principal value of his/her investment within a single day.

    About Defiance ETFs
    Founded in 2018, Defiance is at the forefront of ETF innovation. Our first-mover leveraged single-stock ETFs empower investors to take amplified positions in high-growth companies, providing precise leverage exposure without the need to open a margin account.

    Important Disclosures
    Investing involves risk. Principal loss is possible. The Funds’ investment objectives, risks, charges, and expenses must be considered carefully before investing. The prospectus contains this and other important information. Please read it carefully before investing. A hard copy of the prospectuses can be requested by calling 833.333.9383 or visiting www.defianceetfs.com/prospectuses

    Defiance ETFs LLC is the ETF sponsor. The Funds’ investment adviser is Tidal Investments, LLC (“Tidal” or the “Adviser”).

    SMST Key Risks:

    MSTR Price Appreciation Risk. As part of the Fund’s inverse investment strategy, the Fund purchases and sells swap contracts that are based on the share price of MSTR common stock (the “Underlying Security”). This strategy subjects the Fund to certain of the same risks as if it shorted shares of the Underlying Security, even though it does not. By virtue of the Fund’s indirect -1.5X exposure to changes in the share price of the Underlying Security, the Fund is subject to the risk that the Underlying Security’s share price increases. If the share price of the Underlying Security increases, the Fund will likely lose value and, as a result, the Fund may suffer significant losses.

    MSTR Good Performance Risk. MSTR may meet or exceed its publicly announced expectations or guidelines regarding its business, which could potentially lead to a rise in the share price of the Underlying Security.

    Bitcoin Positive Performance Risk. MSTR’s significant investment in Bitcoin has become a key driver of its stock price. Any positive movement in the price of Bitcoin, such as reaching new all-time highs, increased institutional adoption, or favorable regulatory developments, directly impacts MSTR’s balance sheet and investor perception. With MSTR holding a substantial amount of Bitcoin, its stock price tends to correlate with Bitcoin’s performance.

    Leverage Risk: Leverage may increase the risk of loss and cause fluctuations in the Fund’s portfolio value to have disproportionately large effects or cause the NAV to decline faster than it would otherwise.

    Compounding and Market Volatility Risk: Due to compounding, performance over periods greater than a trading day may differ from the underlying security’s performance.

    Derivatives and Single Issuer Risk: Derivatives may be more sensitive to market conditions and may amplify risks. Additionally, the focus on a single issuer can lead to increased volatility.

    MSTR key risks:

    Single Issuer Risk. Issuer-specific attributes may cause an investment in the Fund to be more volatile than a traditional pooled investment which diversifies risk or the market generally. The value of the Fund, which focuses on an individual security, may be more volatile than a traditional pooled investment or the market as a whole and may perform differently from the value of a traditional pooled investment or the market as a whole.

    Bitcoin Risk. While the Fund will not directly invest in digital assets, it will be subject to the risks associated with Bitcoin by virtue of its investments in options contracts that reference MSTR.

    Leverage Risk: Leverage may increase the risk of loss and cause fluctuations in the Fund’s portfolio value to have disproportionately large effects or cause the NAV to decline faster than it would otherwise.

    Compounding and Market Volatility Risk: Due to compounding, performance over periods greater than a trading day may differ from the underlying security’s performance.

    Derivatives and Single Issuer Risk: Derivatives may be more sensitive to market conditions and may amplify risks. Additionally, the focus on a single issuer can lead to increased volatility.

    Distributed by Foreside Fund Services, LLC.

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/4e5c8ab2-865a-4635-a0c2-a6535224f385

    The MIL Network –

  • MIL-OSI: Nokia Corporation: Repurchase of own shares on 29.10.2024

    Source: GlobeNewswire (MIL-OSI)

    Nokia Corporation
    Stock Exchange Release
    29 October 2024 at 22:30 EET

    Nokia Corporation: Repurchase of own shares on 29.10.2024

    Espoo, Finland – On 29 October 2024 Nokia Corporation (LEI: 549300A0JPRWG1KI7U06) has acquired its own shares (ISIN FI0009000681) as follows:

    Trading venue (MIC Code) Number of shares Weighted average price / share, EUR*
    XHEL 1,382,271 4.54
    CEUX 263,565 4.55
    BATE – –
    AQEU – –
    TQEX – –
    Total 1,645,836 4.54

    * Rounded to two decimals

    On 25 January 2024, Nokia announced that its Board of Directors is initiating a share buyback program to return up to EUR 600 million of cash to shareholders in tranches over a period of two years. The first phase of the share buyback program started on 20 March 2024. On 19 July 2024, Nokia decided to accelerate the share buybacks by increasing the number of shares to be repurchased during the year 2024. The post-increase repurchases in compliance with the Market Abuse Regulation (EU) 596/2014 (MAR), the Commission Delegated Regulation (EU) 2016/1052 and under the authorization granted by Nokia’s Annual General Meeting on 3 April 2024 started on 22 July 2024 and end by 31 December 2024 with a maximum aggregate purchase price of EUR 600 million for all purchases during 2024.

    Total cost of transactions executed on 29 October 2024 was EUR 7,474,564. After the disclosed transactions, Nokia Corporation holds 189,427,128 treasury shares.

    Details of transactions are included as an appendix to this announcement.

    On behalf of Nokia Corporation

    BofA Securities Europe SA

    About Nokia
    At Nokia, we create technology that helps the world act together.

    As a B2B technology innovation leader, we are pioneering networks that sense, think and act by leveraging our work across mobile, fixed and cloud networks. In addition, we create value with intellectual property and long-term research, led by the award-winning Nokia Bell Labs.

    Service providers, enterprises and partners worldwide trust Nokia to deliver secure, reliable and sustainable networks today – and work with us to create the digital services and applications of the future.

    Inquiries:

    Nokia Communications
    Phone: +358 10 448 4900
    Email: press.services@nokia.com
    Maria Vaismaa, Global Head of External Communications

    Nokia Investor Relations
    Phone: +358 40 803 4080
    Email: investor.relations@nokia.com

    Attachment

    The MIL Network –

  • MIL-OSI: Home Federal Bancorp, Inc. of Louisiana Reports Results of Operations for the Three Months Ended September 30, 2024

    Source: GlobeNewswire (MIL-OSI)

    Shreveport, Oct. 29, 2024 (GLOBE NEWSWIRE) — Home Federal Bancorp, Inc. of Louisiana (the “Company”) (Nasdaq: HFBL), the holding company of Home Federal Bank, reported net income for the three months ended September 30, 2024, of $941,000 compared to net income of $1.2 million reported for the three months ended September 30, 2023. The Company’s basic and diluted earnings per share were $0.31 for the three months ended September 30, 2024, compared to basic and diluted earnings per share of $0.40 and $0.39, respectively, for the three months ended September 30, 2023.

    The decrease in net income for the three months ended September 30, 2024, compared to the same period in 2023, resulted from a decrease in net interest income of $857,000, or 16.2%, and a decrease in non-interest income of $134,000, or 30.9%, partially offset by a decrease in non-interest expense of $177,000, or 4.2%, a decrease in provision for income taxes of $312,000, or 100.6%, a decrease in the provision of credit losses of $223,000. The decrease in net interest income for the three months ended September 30, 2024, compared to the same period in 2023, resulted from an increase in total interest expense of $524,000, or 18.8%, and a decrease in total interest income of $333,000, or 4.1%.  The Company’s average interest rate spread was 2.23% for the three months ended September 30, 2024, compared to 2.68% for the three months ended September 30, 2023. The Company’s net interest margin was 2.98% for the three months ended September 30, 2024, compared to 3.37% for the three months ended September 30, 2023.

    The following table sets forth the Company’s average balances and average yields earned and rates paid on its interest-earning assets and interest-bearing liabilities for the periods indicated.

        For the Three Months Ended September 30,  
        2024     2023  
        Average
    Balance    		     Average
    Yield/Rate    		     Average
    Balance    		     Average
    Yield/Rate    		  
        (Dollars in thousands)  
    Interest-earning assets:                                
    Loans receivable   $ 466,170       5.87 %   $ 498,242       5.79 %
    Investment securities     96,749       2.09       113,584       2.18  
    Interest-earning deposits     25,617       5.20       10,066       6.98  
    Total interest-earning assets   $ 588,536       5.22 %   $ 621,892       5.15 %
                                     
    Interest-bearing liabilities:                                
    Savings accounts   $ 82,556       1.61 %   $ 78,572       0.38 %
    NOW accounts     72,787       1.10       55,900       0.48  
    Money market accounts     75,216       2.29       108,891       2.26  
    Certificates of deposit     204,019       4.30       194,785       3.73  
    Total interest-bearing deposits      434,578       2.92       438,148       2.47  
    Other bank borrowings     5,989       7.75       8,654       8.39  
    FHLB advances     —       —       1,138       5.23  
    Total interest-bearing liabilities   $ 440,567       2.98 %   $ 447,940       2.47 %

    The $134,000 decrease in non-interest income for the three months ended September 30, 2024, compared to the same period in 2023, resulted from an increase in loss on sale of real estate of $220,000, partially offset by an increase in gain on sale of loans of $58,000, an increase in other non-interest income of $26,000, and an increase in income on bank owned life insurance of $2,000.

    The $177,000 decrease in non-interest expense for the three months ended September 30, 2024, compared to the same period in 2023, resulted from decreases in advertising expense of $86,000, compensation and benefits expense of $54,000, professional fees of $43,000, loan and collection expense of $32,000, data processing expense of $26,000, amortization of core deposit intangible expense of $20,000, and deposit insurance premium expense of $1,000, partially offset by increases in audit and examination fees of $30,000, other non-interest expense of $28,000, occupancy and equipment expense of $15,000, and franchise and bank shares tax expense of $12,000.

    Total assets decreased $9.1 million, or 1.4%, from $637.5 million at June 30, 2024 to $628.4 million at September 30, 2024. The decrease in assets was comprised of decreases in net loans receivable of $16.9 million, or 3.6%, from $470.9 million at June 30, 2024 to $454.0 million at September 30, 2024, real estate owned of $296,000, or 70.8% from $418,000 at June 30, 2024 to $122,000 at September 30, 2024, premises and equipment of $238,000, or 1.3%, from $18.3 million at June 30, 2024 to $18.1 million at September 30, 2024, core deposit intangible of $74,000, or 6.2%, from $1.2 million at June 30, 2024 to $1.1 million at September 30, 2024, and accrued interest receivable of $14,000, or 0.8%, from $1.78 million at June 30, 2024 to $1.76 million at September 30, 2024, partially offset by increases in cash and cash equivalents of $6.1 million, or 17.4%, from $34.9 million at June 30, 2024 to $41.0 million at September 30, 2024, investment securities of $1.4 million, or 1.5%, from $96.0 million at June 30, 2024 to $97.4 million at September 30, 2024, loans-held-for-sale of $535,000, or 30.9%, from $1.7 million at June 30, 2024 to $2.3 million at September 30, 2024, other assets of $224,000, or 16.6%, from $1.3 million at June 30, 2024 to $1.6 million at September 30, 2024, deferred tax asset of $29,000, or 2.5%, from $1.18 million at June 30, 2024 to $1.21 million at September 30, 2024, and bank owned life insurance of $29,000, or 0.4%, from $6.81 million at June 30, 2024 to $6.84 million at September 30, 2024. The increase in investment securities was primarily due to $4.0 million in security purchases and a $1.3 million reduction in unrealized losses on available for sale securities, partially offset by $3.5 million in principal payments. The increase in cash and cash equivalents from $34.9 million at June 30, 2024 to $41.0 million at September 30, 2024 was mainly due to decreases in loans receivable.

    Total liabilities decreased $10.6 million, or 1.8%, from $584.7 million at June 30, 2024 to $574.1 million at September 30, 2024. The decrease in liabilities was comprised of decreases in total deposits of $9.4 million, or 1.6%, from $574.0 million at June 30, 2024 to $564.6 million at September 30, 2024, and other borrowings of $1.5 million, or 21.4%, from $7.0 million at June 30, 2024 to $5.5 million at September 30, 2024, partially offset by increases in other accrued expenses and liabilities of $252,000, or 7.9%, from $3.2 million at June 30, 2024 to $3.4 million at September 30, 2024, and advances from borrowers for taxes and insurance of $123,000, or 23.6%, from $521,000 at June 30, 2024 to $644,000 at September 30, 2024,. The decrease in deposits resulted from decreases in certificates of deposit of $17.5 million, or 8.2%, from $214.9 million at June 30, 2024 to $197.3 million at September 30, 2024, and money market deposits of $5.9 million, or 6.9%, from $85.5 million at June 30, 2024 to $79.6 million at September 30, 2024, partially offset by increases in savings deposits of $9.2 million, or 12.0%, from $76.6 million at June 30, 2024 to $85.8 million at September 30, 2024, non-interest deposits of $3.0 million, or 2.3%, from $130.3 million at June 30, 2024 to $133.3 million at September 30, 2024, and NOW accounts of $1.9 million, or 2.8%, from $66.6 million at June 30, 2024 to $68.5 million at September 30, 2024. The Company had no balances in brokered deposits at September 30, 2024 or June 30, 2024.

    At September 30, 2024, the Company had $1.9 million of non-performing assets (defined as non-accruing loans, accruing loans 90 days or more past due, and other real estate owned) compared to $2.0 million on non-performing assets at June 30, 2024, consisting of two commercial non-real estate loans, five single-family residential loans, four home equity line-of-credit loans, and one single-family residence in other real estate owned at September 30, 2024, compared to five single-family residential loans, three commercial non-real estate loans, four home equity line-of-credit loans and three single-family residences in other real estate owned at June 30, 2024.  At September 30, 2024 the Company had five commercial non-real-estate loans, one commercial real-estate loan, six single family residential loans, four home-equity line-of-credit loans, and one auto loan classified as substandard, compared to six single family residential loans, five commercial non-real-estate loans, four home equity line-of-credit loans and one auto loan classified as substandard at June 30, 2024.  There were no loans classified as doubtful at September 30, 2024 or June 30, 2024.

    Shareholders’ equity increased $1.5 million, or 2.8%, from $52.8 million at June 30, 2024 to $54.3 million at September 30, 2024. The increase in shareholders’ equity was comprised of net income for the three month period of $941,000, the vesting of restricted stock awards, stock options, and the release of employee stock ownership plan shares totaling $94,000, proceeds from the issuance of common stock from the exercise of stock options of $19,000, and a decrease in the Company’s accumulated other comprehensive loss of $1.0 million, partially offset by dividends paid totaling $409,000, and stock repurchases of $182,000.

    Home Federal Bancorp, Inc. of Louisiana is the holding company for Home Federal Bank which conducts business from its ten full-service banking offices and home office in northwest Louisiana.

    Statements contained in this news release which are not historical facts may be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995.  Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts.  They often include words like “believe”, “expect”, “anticipate”, “estimate”, and “intend”, or future or conditional verbs such as “will”, “would”, “should”, “could”, or “may”.  We undertake no obligation to update any forward-looking statements.

    In addition to factors previously disclosed in the reports filed by the Company with the Securities and Exchange Commission and those identified elsewhere in this press release, the following factors, among others, could cause actual results to differ materially from forward-looking statements or historical performance: the strength of the United States economy in general and the strength of the local economies in which the Company conducts its operations; general economic conditions; legislative and regulatory changes; monetary and fiscal policies of the federal government; changes in tax policies, rates and regulations of federal, state and local tax authorities including the effects of the Tax Reform Act; changes in interest rates, deposit flows, the cost of funds, demand for loan products and the demand for financial services, competition, changes in the quality or composition of the Company’s loans, investment and mortgage-backed securities portfolios; geographic concentration of the Company’s business; fluctuations in real estate values; the adequacy of loan loss reserves; the risk that goodwill and intangibles recorded in the Company’s financial statements will become impaired; changes in accounting principles, policies or guidelines and other economic, competitive, governmental and technological factors affecting the Company’s operations, markets, products, services and fees.

    HOME FEDERAL BANCORP, INC. OF LOUISIANA
    CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
    (In thousands except share and per share data)
        September 30, 2024     June 30, 2024  
        (Unaudited)          
    ASSETS                
                     
    Cash and Cash Equivalents (Includes Interest-Bearing Deposits with Other Banks of $32,743 and $25,505 at September 30, 2024 and June 30, 2024, Respectively)   $ 41,044     $ 34,948  
    Securities Available-for-Sale (amortized cost September 30, 2024: $31,977; June 30, 2024: $30,348, Respectively)     29,934       27,037  
    Securities Held-to-Maturity (fair value September 30, 2024: $56,584; June 30, 2024: $54,450, Respectively)     65,800       67,302  
    Other Securities     1,633       1,614  
    Loans Held-for-Sale     2,268       1,733  
    Loans Receivable, Net of Allowance for Credit Losses (September 30, 2024: $4,703; June 30, 2024: $4,574, Respectively)     454,039       470,852  
    Accrued Interest Receivable     1,761       1,775  
    Premises and Equipment, Net     18,065       18,303  
    Bank Owned Life Insurance     6,839       6,810  
    Goodwill     2,990       2,990  
    Core Deposit Intangible     1,125       1,199  
    Deferred Tax Asset     1,210       1,181  
    Real Estate Owned     122       418  
    Other Assets     1,574       1,350  
                     
    Total Assets   $ 628,404     $ 637,512  
                     
    LIABILITIES AND SHAREHOLDERS’ EQUITY                
                     
    LIABILITIES                
                     
    Deposits:                
    Non-interest bearing   $ 133,293     $ 130,334  
    Interest-bearing     431,267       443,673  
    Total Deposits     564,560       574,007  
    Advances from Borrowers for Taxes and Insurance     644       521  
    Other Borrowings     5,500       7,000  
    Other Accrued Expenses and Liabilities     3,433       3,181  
                     
    Total Liabilities     574,137       584,709  
                     
    SHAREHOLDERS’ EQUITY                
                     
    Preferred Stock – $0.01 Par Value; 10,000,000 Shares Authorized: None Issued and Outstanding     –       –  
    Common Stock – $0.01 Par Value; 40,000,000 Shares Authorized: 3,129,668 and 3,144,168 Shares Issued and Outstanding at September 30, 2024 and June 30, 2024, Respectively     32       32  
    Additional Paid-in Capital     41,822       41,739  
    Unearned ESOP Stock     (379 )     (408 )
    Retained Earnings     14,406       14,055  
    Accumulated Other Comprehensive Loss     (1,614 )     (2,615 )
                     
    Total Shareholders’ Equity     54,267       52,803  
                     
    TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY   $ 628,404     $ 637,512  
    HOME FEDERAL BANCORP, INC. OF LOUISIANA
    CONSOLIDATED STATEMENTS OF INCOME
    (Unaudited) (In thousands except share and per share data)
        Three Months Ended  
        September 30,  
        2024     2023  
    INTEREST INCOME                
    Loans, including fees   $ 6,895     $ 7,274  
    Investment securities     67       150  
    Mortgage-backed securities     443       473  
    Other interest-earning assets     336       177  
    Total interest income     7,741       8,074  
                     
    INTEREST EXPENSE                
    Deposits     3,197       2,592  
    Federal Home Loan Bank borrowings     —       15  
    Other bank borrowings     117       183  
    Total interest expense     3,314       2,790  
    Net interest income     4,427       5,284  
                     
    RECOVERY OF CREDIT LOSSES     (223 )     —  
    Net interest income after recovery of credit losses     4,650       5,284  
                     
    NON-INTEREST INCOME                
    Gain on sale of loans     96       38  
    Loss on sale of real estate     (254 )     (34 )
    Income on bank owned life insurance     28       26  
    Service charges on deposit accounts     391       391  
    Other income     39       13  
                     
    Total non-interest income     300       434  
                     
    NON-INTEREST EXPENSE                
    Compensation and benefits     2,302       2,356  
    Occupancy and equipment     564       549  
    Data processing     219       245  
    Audit and examination fees     132       102  
    Franchise and bank shares tax     168       156  
    Advertising     57       143  
    Professional fees     117       160  
    Loan and collection     28       60  
    Amortization core deposit intangible     74       94  
    Deposit insurance premium     90       91  
    Other expenses     260       232  
    Total non-interest expense     4,011       4,188  
                     
    Income before income taxes     939       1,530  
    PROVISION FOR INCOME TAX EXPENSE     (2 )     310  
                     
    NET INCOME   $ 941     $ 1,220  
                     
    EARNINGS PER SHARE                
    Basic   $ 0.31     $ 0.40  
    Diluted   $ 0.31     $ 0.39  
        Three Months Ended
    September 30,    		  
        2024     2023  
                     
    Selected Operating Ratios(1):                
    Average interest rate spread     2.23 %     2.68 %
    Net interest margin     2.98 %     3.37 %
    Return on average assets     0.59 %     0.73 %
    Return on average equity     7.23 %     9.46 %
                     
    Asset Quality Ratios(2):                
    Non-performing assets as a percent of total assets     0.31 %     0.28 %
    Allowance for credit losses as a percent of non-performing loans     258.46 %     403.96 %
    Allowance for credit losses as a percent of total loans receivable     1.03 %     1.00 %
                     
    Per Share Data:                
    Shares outstanding at period end     3,129,668       3,133,351  
    Weighted average shares outstanding:                
    Basic     3,058,286       3,028,597  
    Diluted     3,071,716       3,107,834  
    (1)     Ratios for the three-month period are annualized.
    (2)     Asset quality ratios are end of period ratios.

    The MIL Network –

  • MIL-OSI: Bitdeer Announces Third Quarter 2024 Earnings Conference Call for November 18, 2024

    Source: GlobeNewswire (MIL-OSI)

    SINGAPORE, Oct. 29, 2024 (GLOBE NEWSWIRE) — Bitdeer Technologies Group (NASDAQ: BTDR) (“Bitdeer” or the “Company”), a world-leading technology company for blockchain and high-performance computing, today announced that it has scheduled its third quarter 2024 earnings conference call and webcast for Monday, November 18, 2024 at 8:00 AM EST. During the call, Bitdeer management will discuss the unaudited financial and operational results for the quarter ended September 30, 2024, followed by a question and answer session.

    Bitdeer will release the third quarter results before the call at approximately 7:00 AM EST on November 18, 2024. A copy of the earnings release will be available on the Company’s Investor Relations website at https://ir.bitdeer.com.

    Conference Call Information:

    • Date: November 18, 2024
    • Time: 8:00 AM EST / 8:00 PM SGT
    • Participant Call Links:
      • Live Webcast: Link
      • Participant Call Registration: Link

    Participants wishing to join the conference call by phone should register using the Participant Call Registration link provided above. After completing the registration, the participants will receive an email with the necessary details to access the call including dial-in number, passcode, and PIN. To ensure a timely start, the Company encourages all callers to connect about 5 minutes before the scheduled time.

    A live and archived webcast of the conference call will be available on the Investors section of Bitdeer’s website at https://ir.bitdeer.com.

    About Bitdeer Technologies Group

    Bitdeer is a world-leading technology company for blockchain and high-performance computing. Bitdeer is committed to providing comprehensive computing solutions for its customers. The Company handles complex processes involved in computing such as equipment procurement, transport logistics, datacenter design and construction, equipment management, and daily operations. The Company also offers advanced cloud capabilities to customers with high demand for artificial intelligence. Headquartered in Singapore, Bitdeer has deployed datacenters in the United States, Norway, and Bhutan. To learn more, visit https://ir.bitdeer.com/ or follow Bitdeer on X @ BitdeerOfficial and LinkedIn @ Bitdeer Group.

    Investors and others should note that Bitdeer may announce material information using its website and/or on its accounts on social media platforms, including X, formerly known as Twitter, Facebook, and LinkedIn. Therefore, Bitdeer encourages investors and others to review the information it posts on the social media and other communication channels listed on its website.

    Forward-Looking Statements

    Statements in this press release about future expectations, plans, and prospects, as well as any other statements regarding matters that are not historical facts, may constitute “forward-looking statements” within the meaning of The Private Securities Litigation Reform Act of 1995. The words “anticipate,” “look forward to,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including factors discussed in the section entitled “Risk Factors” in Bitdeer’s annual report on Form 20-F, as well as discussions of potential risks, uncertainties, and other important factors in Bitdeer’s subsequent filings with the U.S. Securities and Exchange Commission. Any forward-looking statements contained in this press release speak only as of the date hereof. Bitdeer specifically disclaims any obligation to update any forward-looking statement, whether due to new information, future events, or otherwise. Readers should not rely upon the information on this page as current or accurate after its publication date.

    For investor and media inquiries, please contact:

    Investor Relations
    Orange Group
    Yujia Zhai
    bitdeerIR@orangegroupadvisors.com

    Public Relations
    Wachsman
    Bee Shin
    bitdeer@wachsman.com

    The MIL Network –

  • MIL-OSI Submissions: Tech and Efficiency – “AI will replace hard skills” says recruitment CEO, emphasis on soft skills needed

    Source: Robert Walters

    In a recent study, recruitment specialists Robert Walters have unveiled the increasing significance of soft skills in today’s workplace. The research, which surveyed over 2,000 white collar professionals, found that 96% believe that soft skills are either equal to or more important than hard skills. Furthermore, an overwhelming 92% of employers admitted to rejecting candidates due to insufficient soft skills.

    The Rise of AI: A Game-Changer for Hard Skills

    Robert Walters CEO for Australia and New Zealand, Shay Peters, attributes this paradigm shift to the rapid emergence of AI. Peters stated, “The growth of AI has been remarkable in recent years, and I predict that it will eventually replace almost all hard skills in white collar industries. This means that soft skills will take centre stage in talent acquisition, as the human touch becomes the distinguishing factor.”

    The Crucial Role of Soft Skills

    According to 90% of recruiters, a lack of soft skills often underpins failures in the workplace. Consequently, hiring managers are increasingly willing to pay a premium for candidates who possess exceptional soft skills.

    Peters further highlighted the growing emphasis on soft skills in client conversations, stating, “Clients are now placing greater importance on qualities such as effective communication, negotiation, and problem-solving. These attributes will set candidates apart from their peers as we continue to see AI replace hard skills. Additionally, clients are expressing the need for candidates to not only utilise AI but also collaborate with it effectively.”

    Gen Z: Leveraging the AI Advantage

    Peters also noted that Gen Z individuals have a distinct advantage, given their innate ability to adapt seamlessly to technology and incorporate it into their work practices. The ability to work harmoniously with AI is becoming an increasingly sought-after skill.

    Understanding Soft Skills

    Soft skills encompass personal attributes and interpersonal abilities that enable individuals to interact effectively with others. Unlike technical skills, which are specific and measurable, soft skills are broader and encompass traits such as communication, teamwork, and problem-solving. These skills are indispensable for fostering a positive work environment and facilitating professional growth.

    According to new research released by Indeed which asked employers what the most important skills for the future of work are, communication came out as most important skill in the future, with 55% of employers citing this. This is followed by teamwork and collaboration (52%), adaptability (48%), problem solving (48%) and tech savviness (40%).

    Investing in Soft Skills Development

    CEO Shay Peters stressed the urgency for employees and candidates to prioritise the development of their soft skills. Peters remarked, “In today’s highly competitive job market, where countless highly skilled individuals are vying for positions, your soft skills will be the ultimate differentiator. As AI inevitably replaces hard skills in white-collar industries, your soft skills will be all you have left. Investing time in improving these skills will ensure you stand out when the time comes.”

    AI can never replace human interaction and face to face communication which is why this is becoming a priority for employers. This balance between AI’s capabilities and human strengths is shaping the future of work, making soft skills a key differentiator in career success.

    About Robert Walters  

    Robert Walters is one of the world’s leading specialist professional recruitment consultancies with a global presence spanning 31 countries. The New Zealand business recruits across the fields of accounting & finance, property, general management, human resources, information technology, legal, risk management, compliance & audit, sales, marketing & communications, secretarial & business support and supply chain & procurement. 

    MIL OSI – Submitted News –

  • MIL-OSI Submissions: Africa – Shelter Afrique Development Bank (ShafDB) and BRVM sign MOU to Mobilize Capital for Affordable Housing Projects in Africa

    Source: Media Fast

    Washington, DC, October 29, 2024 – Shelter Afrique Development Bank (ShafDB), the pan-African housing and urban development multilateral bank and the Bourse Régionale des Valeurs Mobilières (BRVM), the regional stock exchange serving the West African Economic and Monetary Union (WAEMU) region, have signed a Memorandum of Understanding (MOU) to mobilize capital for affordable housing projects across Africa.

    The MOU establishes a framework for collaboration between the two organizations to address Africa’s growing housing deficit, currently estimated at over 53 million units. The partnership will focus on mobilizing financial resources through innovative instruments such as Green, Sustainability-linked, and Social (GSSS) bonds, as well as Real Estate Investment Trusts (REITs).

    Dr. Edoh Kossi Amenounve, CEO of BRVM, and Thierno-Habib Hann, CEO of Shelter Afrique, signed the MOU at a ceremony held in Washington DC on the sidelines of the IMF-World Bank Group Annual Meetings last week.

    The collaboration represents a critical step towards enhancing the capacity of African markets to finance sustainable housing development, particularly in the eight WAEMU countries, namely Benin, Burkina Faso, Côte d’Ivoire, Guinea-Bissau, Mali, Niger, Senegal, and Togo.

    Key Areas of Collaboration

    ShafDB and BRVM will work together to design and implement an issuance plan for debt securities on the BRVM regional financial market.  

    The parties will explore sustainability-linked Bonds by promoting the use of green, gender, Islamic, and diaspora bonds to support housing finance within the WAEMU region and mobilize capital and encourage capital investment in the community housing sector via Real Estate Investment Funds (REITs).  

    Both parties will also exchange knowledge, provide technical assistance, and collaborate on joint research and publications to promote their common objectives.

    Speaking at the signing ceremony, Thierno-Habib Hann emphasized the significance of the partnership in addressing Africa’s housing crisis.

    “This partnership with BRVM is a significant milestone for Shelter Afrique Development Bank. With Africa’s housing deficit now exceeding 53 million units, we need to scale our efforts rapidly. This MOU offers us the opportunity to mobilize the capital necessary to finance affordable and sustainable housing projects across the continent,” Hann said.

    Commenting on the partnership’s potential impact, Dr. Edoh Kossi Amenounve said, “BRVM is proud to partner with Shelter Afrique Development Bank (ShafDB) to boost investment flows into Africa’s housing market. This collaboration is aligned with our mission to promote capital markets and support sustainable development within the WAEMU region.”

     Note:

    About Shelter Afrique Development Bank:

    Shelter Afrique Development Bank (ShafDB) is the Pan-African Multilateral Development Bank (MDB) dedicated to promoting and financing sustainable green housing, urban development and related infrastructure. It operates through a shareholding of 44 African governments and two institutional shareholders: the African Development Bank (AfDB) and the African Reinsurance Corporation (Africa-Re).

    The institution is involved in financing housing and related infrastructure across the value chain, both on the demand and supply sides, through its four (4) business lines: Financial Institutions Group (FIG), the Project Finance Group (PFG), the Sovereign and Public-Private partnerships (PPP) Group, and the Fund Management Group (FMG).

    About BRVM

    The Bourse Régionale des Valeurs Mobilières (BRVM) is the regional stock exchange serving the WAEMU zone. It facilitates access to capital markets for companies and governments across eight West African countries, promoting investment, economic growth, and regional integration. BRVM is committed to enhancing financial inclusion and sustainable development through innovative market solutions.

    MIL OSI – Submitted News –

  • MIL-OSI Submissions: Tech – AST Reygar Unveils New User-Friendly Website to Streamline Access to Industry-Leading Vessel Monitoring Solutions

    Source: AST Reygar

    Revamped Website Puts Spotlight on Award-Winning BareFLEET System,  
    Enhancing Support for Maritime Efficiency and Compliance

    AST Reygar, a leader in vessel monitoring and fleet management solutions, is excited to announce the launch of its redesigned, user-friendly website, now live at www.ast-reygar.com. The revamped website enhances accessibility and provides a streamlined platform for industry professionals to explore AST Reygar’s cutting-edge solutions, including its award-winning fleet monitoring system, BareFLEET.

    Built with a focus on simplicity and ease of navigation, the new AST Reygar website offers an intuitive experience, allowing users to seamlessly access information on the company’s advanced technologies, case studies, latest news and insights, and comprehensive customer support resources

    BareFLEET: Industry-Leading Vessel Monitoring for Operational Excellence

    At the heart of AST Reygar’s offering is BareFLEET, an award winning, remote monitoring and reporting system designed to optimise fleet performance, reduce operating costs, and help to support informed decision-making. Trusted by operators globally, BareFLEET provides unparalleled insights into fuel consumption, engine health, vessel motion monitoring, and emissions management, enhancing vessel efficiency and reducing environmental impacts.

    “Through BareFLEET, our clients are equipped with real-time data that’s instrumental in improving operational efficiency and compliance. With the launch of our new website, we’re making it even easier for users to access the tools and support they need to operate their fleets effectively.” Said Daniel Clark, General Manager – Director at AST Reygar.

    A New Digital Experience for Clients and Partners
    The new AST Reygar website reflects the company’s commitment to providing exceptional service to the maritime sector, by offering easy access to product information, client success stories, and resources for technical support. Features include:

    Detailed Product Pages: Comprehensive overviews of AST Reygar’s offerings, including BareFLEET.

    Client Case Studies: Real-world examples demonstrating how AST Reygar solutions support fleet efficiency and environmental compliance.

    Enhanced Support Centre: Dedicated resources and direct contact options to ensure clients have access to responsive, ongoing support.  

    About AST Reygar

    AST Reygar is a leading prover of remote monitoring and fleet management solutions, providing maritime operators worldwide with innovative tools that improve efficiency, safety, and compliance. With BareFLEET as its flagship system, AST Reygar continues to deliver award-winning technology that empowers clients to make data-driven decisions and promotes a sustainable future for maritime operations.

    AST Reygar is part of AST Networks, and a leading provider of innovative solutions for the maritime industry, dedicated to enhancing fuel efficiency and operational performance through cutting-edge technology. 

     For more information, please visit www.ast-reygar.com

    MIL OSI – Submitted News –