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  • MIL-OSI USA: Rosen, Cornyn Introduce Bill to Lower Out-of-Pocket Prescription Drug Costs for Seniors

    US Senate News:

    Source: United States Senator Jacky Rosen (D-NV)

    WASHINGTON, D.C. – Today, U.S. Senators Jacky Rosen (D-NV) and John Cornyn (R-TX) introduced a bipartisan bill to reduce prescription drug costs for seniors. The Reducing Drug Prices for Seniors Act would directly reduce out-of-pocket costs by requiring that coinsurance payments for prescription drugs for seniors on Medicare be determined based on the lower net price of the medication as opposed to the higher list price.
    For example, if a senior has a 50 percent coinsurance and their medication’s list price is $200, they currently pay $100 out-of-pocket at the pharmacy – even if the insurance company only paid $150 for the medication. This bipartisan legislation would ensure that, in this example, the senior ends up only paying $75.
    “For far too long, Nevadans have been forced to pay extremely high prices for prescription drugs, and I believe no one should have to break the bank to pay for life-saving medication,” said Senator Rosen. “That’s why I’m introducing a bipartisan bill to lower out-of-pocket costs for prescription drugs for Nevada seniors and reduce the amount of money they have to pay at the pharmacy counter. I’ll keep working with anyone – Republican, Democrat, or Independent – to bring down costs for families in our state.”
    “Countless seniors in Texas face challenges with high out-of-pocket prescription drug costs,” said Senator Cornyn. “I am proud to support the Reducing Drug Prices for Seniors Act, which aims to ease this financial burden by lowering costs and improving access to potentially life-saving medications.”
    Senator Rosen has been actively working to lower health care and prescription drug costs for families. She helped pass the bill that gave Medicare the power to negotiate for lower prescription drugs and cap the price of insulin at $35 a month. At the beginning of this year, Senator Rosen announced the start of a cap on prescription drug prices for Nevada seniors that she helped pass. She also announced that more medications now qualify for Medicare price negotiations. 

    MIL OSI USA News –

  • MIL-OSI Security: Two Men Charged For Nationwide Fraud Scheme Targeting Hundreds Of Elderly Victims

    Source: Office of United States Attorneys

    Jingbin Jiang and Su Jian Liu Are Charged With Participating in a Scheme That Attempted to Steal Over $18 Million From Over 350 Victims

    United States Attorney for the Southern District of New York, Jay Clayton; Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), Christopher G. Raia; and Commissioner of the New York City Police Department (“NYPD”), Jessica S. Tisch,  announced charges against JINGBIN JIANG and SU JIAN LIU, a/k/a “Fatty,” a/k/a “Ah Pang,” for a scheme to defraud elderly victims across the United States, which attempted to steal over $18 million from over 350 victims and resulted in actual losses of over $5 million to over 70 victims.  JIANG was arrested in Staten Island this morning and will be presented today before U.S. Magistrate Judge Stewart D. Aaron.  LIU is still at large.  The case is assigned to U.S. District Judge Mary Kay Vyskocil.

    “As alleged, Jingbin Jiang and Su Jian Liu worked together with others to steal the hard-earned money of some our most vulnerable New Yorkers and others around the country,” said U.S. Attorney Jay Clayton.  “Taking advantage of our elderly after they have worked so hard to save and contributed so much to our city and this country is heartless and despicable.  These charges, and the efforts of the FBI and the NYPD, should serve as a warning to fraudsters and cybercriminals: New Yorkers want you held accountable for your crimes, and the women and men of our Office are committed to doing so.”

    “Jingbin Jiang and Su Jian Liu allegedly defrauded elderly victims of more than $5 million by utilizing extortionate tactics to coerce withdrawals of significant cash or purchases of gold,” said FBI Assistant Director Christopher G. Raia.  “This alleged conspiracy wielded fear of bankruptcy and arrest to ensure victims complied with the unlawful requests for money.  The FBI is committed to apprehending any individual who utilizes online platforms to target and exploit vulnerable victims across the country.”

    “These defendants allegedly led a nationwide fraud scheme with the goal of targeting innocent, elderly victims and stealing millions of their hard-earned savings,” said NYPD Commissioner Jessica S. Tisch.  “Jingbin Jiang and Su Jian Liu allegedly participated in a plot involving elaborate, fictitious narratives to manipulate elderly victims and trick them into participating in their scheme, which involved attempts to steal over $18 million from 350 people.  I am grateful to the members of the NYPD, FBI, and the U.S. Attorney’s Office for holding these alleged predatory fraudsters accountable.”

    According to the allegations in the Indictment unsealed today in Manhattan federal court:[1]

    Between at least in or about 2023 and in or about July 2025, JIANG and LIU participated with others in a fraudulent scheme that primarily targeted elderly victims located all across the United States, including in New York, New Jersey, Pennsylvania, Massachusetts, Texas, Washington, Wisconsin, California, Connecticut, Arizona, North Carolina, South Carolina, Missouri, Mississippi, Kentucky, Utah, Oregon, Colorado, and Montana.

    The scheme proceeded in the following manner: First, victims would typically see a pop-up message on their computers indicating that they needed to call a particular phone number controlled by members of the scheme.  The pop-up message would typically claim to come from a technology company, a bank, or the government.  Second, when victims called the phone number, they were told a fictitious narrative that would ultimately lead to a suggestion that the victims withdraw money from their bank account.  For example, some victims were falsely told that their computers had a virus, or that their computers had been hacked into and used to commit serious crimes, like downloading child sexual abuse material.  Others were falsely told that their bank accounts had been compromised and were vulnerable to unauthorized withdrawals.  To avoid arrest or protect their bank accounts from being compromised, victims were instructed to withdraw large amounts of cash from their bank accounts or purchase large quantities of gold.  Some victims were even told that their money would be safely held in the custody of a consumer protection agency like the Federal Trade Commission, and they were sent notices on fake federal government letterhead purporting to bear the signature of a federal government official:

    Third, many victims were told that a courier would be arriving at their home (or other coordinated pick-up location) to retrieve the gold and/or cash.  Victims were often provided with the courier’s name (which was fictitious), a description of the courier’s clothing, and sometimes a password, purportedly to ensure the courier was authorized to pick up the gold and/or cash.  Other victims were told to purchase and transfer cryptocurrency or gift cards, which did not require a courier.  Victims were typically under the impression that this gold and/or cash would then be deposited, on the victims’ behalf, into a new, safe, uncompromised bank account (or with the Federal Trade Commission, as noted above) that they could access without concern in the future.  In reality, these funds were stolen and never returned to the victims.  Some victims engaged in multiple transactions before realizing the fraudulent nature of the scheme.

    JIANG and LIU participated in the scheme by managing and supervising the couriers that traveled to meet the victims to pick up the cash and gold, which was then transported back to New York City.  JIANG and LIU received information about potential victims from other members of the scheme on text-messaging platforms, in messages that typically included the zip codes and the amounts of cash or gold to be collected from each victim. JIANG and LIU could then decide whether to accept the pick-up, and if they did, the other members of the scheme would provide more specific details about the victim and when and where to pick up the cash or gold.  After arranging for couriers to make the pick-ups, JIANG and LIU would provide updates to other members of the scheme about the couriers’ progress.  After the victims provided the criminal proceeds to the couriers, JIANG and LIU arranged for the criminal proceeds to be distributed to other members of the scheme, including by converting cash and gold into cryptocurrency to be easily transmitted to members of the scheme located overseas, including in India and China.  In total, members of the conspiracy have attempted to steal at least approximately $18 million from over 350 victims, and they have successfully stolen at least approximately $5 million from over 70 victims.

    If you or someone you know has been victimized by this scheme, please file a complaint with the FBI’s Internet Crime Complaint Center, which is available at ic3.gov.

    *                *                *

    JIANG, 37, of Staten Island, New York, and LIU, 38 of Edmond, Oklahoma, are both charged with one count of wire fraud conspiracy, which carries a maximum sentence of 20 years in prison; and one count of conspiracy to commit interstate transportation of stolen property, which carries a maximum sentence of five years in prison.

    The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.

    Mr. Clayton praised the investigative work of the FBI and NYPD’s Joint Organized Crime Task Force.  Mr. Clayton also thanked the New York State Police and the Bedford Police Department for their assistance in the investigation of this case.

    This case is being handled by the Office’s Violent & Organized Crime Unit. Assistant U.S. Attorneys Andrew K. Chan and Angela Zhu are in charge of the prosecution. 

    The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

    [1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described herein should be treated as an allegation.

    MIL Security OSI –

  • MIL-OSI Security: Florida Woman to Pay $400,000 to Settle Allegations of Falsifying Diagnoses in connection with an Amherst Compounding Pharmacy

    Source: Office of United States Attorneys

    CONCORD –Georgina Exposito of Florida, owner of 3rd Party Services of Florida, agreed to pay $400,000 to resolve allegations that they violated the False Claims Act (FCA) by submitting false claims to Medicare and TRICARE based on fake medical diagnoses, Acting U.S. Attorney Jay McCormack announces.

    According to the settlement agreement and the complaint in partial intervention, Exposito and her company altered patients’ medical diagnoses to obtain prior authorizations on behalf of pharmacies, including PerforMix Specialty Pharmacy, a compounding pharmacy located in Amherst. This resulted in the submission of false claims to Medicare and TRICARE.

    “Submitting false claims to federal health care programs like Medicare and TRICARE undermines the integrity of our health care system and diverts critical resources away from patients who need them,” said U.S. Attorney Jay McCormack. “Accountability in cases like this helps restore trust in our health care system and ensures taxpayer dollars are protected.”

    “The submission of falsified prior authorization requests undermines an important safeguard against unnecessary Medicare costs,” said Special Agent in Charge Roberto Coviello of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG).  “This settlement highlights HHS-OIG’s ongoing commitment to combatting fraud in the taxpayer-funded Medicare program, and we will continue to thoroughly pursue allegations of False Claims Act violations.”

    The False Claims Act permits whistleblowers to file civil lawsuits alleging that false claims have been submitted to the United States. This FCA settlement resolves allegations against Georgina Exposito’s company originally brought in a lawsuit filed by a whistleblower.  As part of the settlement the whistleblower will receive a portion of the settlement amount.

    The claims resolved by the settlement are allegations only, and there has been no determination of liability. The United States’ case against the other defendants named in the complaint in partial intervention continues. 

     This case was investigated by the Office of Inspector General of the U.S. Department of Health and Human Services, the Office of Inspector General of the Department of Defense, and the Federal Bureau of Investigation. The case is being handled by Assistant U.S. Attorney Raphael Katz.

    ###

     

    MIL Security OSI –

  • MIL-OSI USA: Cassidy Secures Over $70.3 Million for Louisiana in Latest FY 2026 Appropriations Bills

    US Senate News:

    Source: United States Senator for Louisiana Bill Cassidy

    WASHINGTON – U.S. Senator Bill Cassidy, M.D. (R-LA) announced he secured $70,286,000.00 in Congressionally Directed Spending (CDS) in the latest Fiscal Year (FY) 2026 Appropriations bills advanced by the U.S. Senate Appropriations Committee. These projects, included in the Transportation, Housing and Urban Development (THUD) and Interior & Environment bills, fund critical infrastructure improvements across Louisiana.
    “To make Louisiana even better, we must fix outdated sewer systems, congested roadways, and aging infrastructure,” said Dr. Cassidy. “I worked to return our federal tax dollars, supporting communities in 14 different parishes with better roads, better sewer systems, and stronger infrastructure.”
    Since taking office, Cassidy has been one of the most effective U.S. Senators at directing federal dollars home to Louisiana, despite not serving on the Appropriations Committee. In FY2024, Roll Call reported Cassidy was one of the top 20 senators in total funding secured for his state—and one of only five in that group who does not sit on the committee. That year, he secured a record $1.3 billion for Louisiana, the highest of any member of the state’s congressional delegation.
    This latest round of $70 million builds on the $49 million Cassidy announced earlier this month, bringing the total secured so far in FY2026 to over $115 million with more expected in the coming weeks.See below for a list of the funding secured by Senator Cassidy.

    Funding Amount
    Recipient
    Project Description

    $8,000,000.00
    Jefferson Parish
    This funding will support the West Bank Rail Alignment Project.

    $7,500,000.00
    City of Lafayette
    This funding will support Johnston Street Safety Mitigation and Enhancements.

    $7,000,000.00
    City of Kenner
    This funding will support stabilization and improvements to the city’s sewer and wastewater treatment plant.

    $6,500,000.00
    Nicholls State University
    This funding will support the Engineering Workforce Development Center in Thibodaux.

    $5,000,000.00
    Tangipahoa Parish
    This funding will support the Airport Road and Highway 3158 Roundabout Project.

    $5,000,000.00
    Livingston Parish
    This funding will support the Browns Road Improvement Project.

    $5,000,000.00
    City of Covington
    This funding will support the US 190 Widening Project.

    $5,000,000.00
    Baton Rouge
    This funding will support the McKinley Diversion Canal Retrofit Project.

    $5,000,000.00
    Lake Charles Harbor and Terminal District
    This funding will support harbor and terminal district improvements.

    $5,000,000.00
    Ascension Parish
    This funding will support the Airline Highway Raising Project.

    $4,500,000.00
    City of Monroe
    This funding will support improvements to the Benoit Community Center.

    $2,000,000.00
    City of St. George
    This funding will support safety improvements along Burbank Drive.

    $1,700,000.00
    Chennault International Airport
    This funding will support their Hangar and Apron Development Project.

    $1,500,000.00
    University of New Orleans
    This funding will support upgrades to the Shea Penland Coastal Research Educational Facility.

    $1,500,000.00
    City of Lake Charles
    This funding will support the North Lake Charles Water Rehabilitation Project.

    $86,000.00
    Kisatchie National Forest
    This funding will support cooperative law enforcement in adjacent parishes (Grant, Vernon, Winn).

    MIL OSI USA News –

  • MIL-OSI USA: Cassidy Introduces Legislation to Crack Down on Money Laundering, Terror Financing in Art Market

    US Senate News:

    Source: United States Senator for Louisiana Bill Cassidy

    WASHINGTON – U.S. Senator Bill Cassidy, M.D. (R-LA) introduced the Art Market Integrity Act to require art dealers and auction houses to comply with anti-money-laundering (AML) and counter-terrorism financing regulations under the Bank Secrecy Act (BSA). Currently, the art market, a $25 billion industry in the United States and the largest of its kind globally, is one of the last major markets not required to meet these standards, making it vulnerable to exploitation by criminals, terrorist financiers, and other sanctioned individuals.
    “Criminals and terrorists use art sales to fund their crimes,” said Dr. Cassidy. “We have similar rules for jewelry, precious metals, real estate, and more. Let’s do it for art too.”
    Cassidy was joined by U.S. Senators John Fetterman (D-PA), Chuck Grassley (R-IA), Sheldon Whitehouse (D-RI), David McCormick (R-PA), and Andy Kim (D-NJ) in introducing the legislation. 
    Background
    In recent years, the U.S. Department of the Treasury identified the art market as particularly susceptible to money laundering and sanctions evasion. High-profile cases have spotlighted the urgent need for reform, including the indictment of Hezbollah financier Nazem Ahmad using art as part of his scheme to launder over $160 million. Multiple Kremlin cronies have used art to evade sanctions: Arkady and Boris Rotenberg used $18 million worth of art to get around sanctions, Roman Abramovich transferred almost $1 billion in art to his wife ahead of new sanctions, and last year the DOJ indicted Anastasia Simes for laundering money on behalf of sanctioned Kremlin crony Aleksander Udadov.
    The bill is endorsed by the Antiquities Coalition, Transparency International U.S., the FACT Coalition, FDD Action, the American Jewish Committee, Razom for Ukraine, American Coalition for Ukraine, the Initiative for the Recovery of Venezuelan Assets(INRAV), the National Border Patrol Council, and the Federal Law Enforcement Officers Association (FLEOA).

    MIL OSI USA News –

  • MIL-OSI: Ruanyun Edai Technology Announces Financial Results for Fiscal Year 2025

    Source: GlobeNewswire (MIL-OSI)

    NANCHANG, China, July 31, 2025 (GLOBE NEWSWIRE) — Ruanyun Edai Technology Inc. (“Ruanyun” or the “Company”) (NASDAQ: RYET), a leading AI-powered education technology company in China, today announced its financial results for the fiscal year ended March 31, 2025.

    Key Financial Performance Highlights

    • Revenue decreased by 27.0% to $6.7 million in FY2025, primarily due to declines in SmartHomework® platform development and digitalization services, despite significant increases in revenues from SmartHomework® software customization and content development, and licensing sales, which rose by 3117% and 5492%, respectively, along with a 70.4% growth in SmartExam® services driven by international expansion after the IPO.
    • Gross profit rose 29.1% to $3.8 million, with gross margin improving from 32.1% to 56.7%, driven by a shift to higher-margin software services.
    • As a result, net loss narrowed to $0.5 million from $2.1 million.

    Yan Fu, Founder and CEO of Ruanyun, commented: “In FY2025, despite our decrease in total revenue, our software customization and content development segment saw strong growth. As policy changes in China impacted revenue from some of our services, we’re strategically shifting towards higher-margin software and AI-based services like AI-OCR for greater efficiency and customer diversification.”

    “Aggressive cost management significantly strengthened our financials. Cost of revenue dropped by more than 50% to approximately $2.9 million. This led to a substantial 29.1% gross profit increase to approximately $3.8 million, expanding our gross margin by 24.6% to 56.7%. Consequently, our net loss narrowed significantly to approximately $0.5 million in FY2025 from approximately $2.1 million a year earlier.”

    “Looking ahead, our U.S. IPO has already enabled the international replication of our business model, demonstrated by services provided to Lorpzenst Innovations LLC in the United States. Furthermore, our advancements in AI-based digital technology services, particularly with AI-OCR, present broad applicability beyond our current focus. In Saudi Arabia our innovative Chinese language learning platform, HanLink, has already established local partnerships and we are structured to keep expanding in the Middle Eastern region. We believe that this technological foundation and our proven operational model position us well for potential expansion into vocational, postgraduate, and adult education sectors, as well as broader geographic markets. Ruanyun believes that these strategic shifts, combined with improved profitability and efficient cost management, lay the groundwork for sustainable long-term growth and enhanced value for our shareholders.”

    Fiscal Year 2025 Financial Results

      For fiscal years ended March 31
    In USD Millions, except %, differences due to rounding. 2025
    		   2024
    		   Variances
    %
    Total revenues 6.7   9.2   (27.0)  
    Cost of revenues 2.9   6.2   (53.5)  
    Gross profit 3.8   2.9   29.1  
    Loss from operations (0.5)   (2.1)   (77.1)  
    Net loss (0.5)   (2.1)   (75.3)  
                 

    Revenue
    The Company’s revenue has primarily come from two main product lines: SmartExam® solution and SmartHomework® solution. These solutions generate revenue through six core streams: platform development, other testing services, software customization and content development, licensing, personalized exercise books and MOTK Pro, and digitalization services.

    Revenue decreased by approximately $2.5 million, or 27.0%, from approximately $9.2 million in fiscal year 2024 to approximately $6.7 million in fiscal year 2025. The decrease in revenue primarily reflects a decrease in SmartHomework® solution digitalization services and SmartHomework® solution platform development, which was partially offset by an increase in SmartHomework® solution software customization and content development sales, as explained in details below.

    The following table presents our revenue breakdown for the years indicated in absolute amounts:

      For the years ended March 31
    USD million, except %, differences due to rounding 2025 2024 Variances
    %
    SmartExam® solution 0.7 0.6 15.5  
    SmartHomework® solution 6.0 8.6 (29.8)  
    Total revenues 6.7 9.2 (27.0)  
             

    SmartExam® Solution

    • Platform Development revenue decreased by $97,758, or 31.5%, to $212,377 in FY2025 from $310,135 in FY2024, due to a smaller project scale, despite completing one project each year. Future growth hinges on capturing market share in China’s computerized testing sector.
    • Other Services revenue jumped 70.4%, from $265,707 in FY2024 to $452,881 in FY2025. This growth is largely due to our U.S. IPO enabling international business replication, notably with Lorpzenst Innovations LLC in the United States.

    SmartHomework® Solution

    • Platform Development revenue decreased significantly by approximately $2.6 million, or 81.8%, to $571,658 in FY2025 from approximately $3.1 million in FY2024. This decline was primarily due to the high capital risk of upfront hardware investments and extended repayment cycles for domestic government projects, leading us to reduce these constructions.
    • Software Customization and Content Development revenue soared by 3117%, from $74,138 in FY2024 to approximately $2.4 million in FY2025. This surge was driven by standardized, rapidly replicable software products meeting customer needs and enabling robust market expansion in China.
    • Licensing revenue increased by 5492%, from $2,748 to $153,666, despite a decrease from two subscribers in FY2024 to one in FY2025. This significant growth is attributable to our standardized question bank’s broad applicability, extending our reach to higher-paying vocational education.
    • Personalized Exercise Book and MOTK Pro revenue decreased by $55,040, or 62%, from $88,815 in FY2024 to $33,775 in FY2025. The drop was primarily due to changes in Chinese education policies prohibiting direct value-added service fees to students/parents, an impact we couldn’t fully offset despite seeking new collaborations such as with telecom operators.
    • Digitalization Services revenue decreased by approximately $2.4 million, or 45.5%, from approximately $5.3 million in FY2024 to approximately $2.9 million in FY2025. This was largely due to Chinese education policies limiting supplementary materials. However, this service is no longer a core focus of Ruanyun as the Company transitions to AI-based digital technology services using proprietary AI Optical Character Recognition (AI-OCR). This technology efficiently processes and converts various documents and images, enabling intelligent recognition, automated data collection and processing, automated data entry and verification, and customized OCR solutions.

    Cost of Revenue

    Cost of revenue decreased by approximately $3.3 million, or 53.5%, from approximately $6.2 million in FY2024 to approximately $2.9 million in FY2025. The decrease was primarily attributable to the Company’s plan to discontinue businesses with significant hardware investment, reduce cost input, and increase gross profit.

    Gross Profit and Margin

    Gross profit increased by $855,732, or 29.1%, from approximately $2.9 million in FY2024 to approximately $3.8 million in FY2025. Gross margin increased by 24.6% from 32.1% in FY2024 to 56.7% in FY2025.

    This increase was primarily due to personnel optimization and a strategic shift towards higher-margin software development and service businesses, boosting overall gross profit.

    Operating Expenses

    Operating expenses decreased by $779,212, or 15.4%, from approximately $5.1 million in FY2024 to $4.3 million in FY2025. The decrease was primarily due to reductions in selling expenses and research and development expenses, partially offset by an increase in general and administrative expenses.

    Selling Expenses

    Selling expenses decreased by $583,900, or 24.7%, from approximately $2.4 million in FY2024 to approximately $1.8 million in FY2025. This decrease was primarily due to a reduction of $787,847 digital publishing expense, partially offset by an increase in consulting services. The decline in digital publishing expense aligns with the decrease in digitization service revenue.

    General and Administrative Expenses

    General and administrative expenses increased by $125,377, or 8.7%, from approximately $1.4 million in FY2024 to approximately $1.6 million in FY2025, while core administrative expenses remained flat.

    Research and Development Expenses

    Research and development expenses decreased by $320,689, or 25.6%, from approximately $1.3 million in FY2024 to approximately $0.9 million in FY2025. This decrease primarily resulted from lower employee compensation and benefits for early-stage research, reduced rent expense and other R&D expense reductions.

    Net loss

    Net losses for FY2025 and FY2024 were approximately $0.5 million and approximately $2.1 million, respectively. This was primarily attributable to the decrease in revenue not being able to cover costs and operating expenses.

    Cash balances

    As of March 31, 2025 and March 31, 2024, cash balances were approximately $0.7 million and $1.1 million, respectively.

    Recent Developments

    On July 11, 2025, Ruanyun announced partnership with the Confucius Institute at Prince Sultan University to bring its AI-powered HanLink platform to Saudi Arabia’s first national online Confucius Institute.

    On May 20, 2025, Ruanyun announced the successful launch and pilot of its innovative Chinese language learning platform, HanLink via a four-week trial at Riyadh’s Education & Skills International School in Saudi Arabia.

    On April 09, 2025, Ruanyun completed its initial public offering on the Nasdaq Stock Exchange, raising total gross proceeds of approximately $15 million, before deducting underwriting discounts and other offering expenses.

    About Ruanyun Edai Technology Inc.

    Ruanyun Edai Technology Inc. is an innovative AI-driven education technology company dedicated to transforming the K-12 education landscape in China. By leveraging proprietary AI-powered solutions, the Company provides intelligent learning tools, assessment platforms, and adaptive learning systems that enhance academic performance and streamline educational processes. Committed to modernizing education, the Company empowers schools, teachers, and students with cutting-edge teaching, learning, and evaluation tools through the integration of AI and the internet, fostering a more efficient and effective learning model. For more information, please visit: http://www.ruanyun.net/, https://investors.ruanyun.net/.

    Forward-Looking Statement

    This press release contains forward-looking statements. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as “may, “will, “intend,” “should,” “believe,” “expect,” “anticipate,” “project,” “estimate” or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause the actual results to differ materially from the Company’s expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the uncertainties related to market conditions and other factors discussed in the “Risk Factors” section of the registration statement filed with the SEC. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company’s filings with the SEC, which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

    For more information, please contact:

    Investor Relations
    WFS Investor Relations Inc.

    Janice Wang
    Managing Partner
    Email: services@wealthfsllc.com
    Tel: +1 628 283 9214
    +86-1381-176-8559

    RUANYUN EDAI TECHNOLOGY INC. AND SUBSIDIARIES
    CONSOLIDATED BALANCE SHEETS
        As of March 31,
        2025       2024  
    Assets          
    Current assets          
    Cash $ 673,397     $ 1,101,235  
    Restricted cash   125,561       126,194  
    Accounts receivable, net   3,310,143       1,785,304  
    Due from related parties   11,410       37,506  
    Inventories   59,077       210,259  
    Deferred contract costs   63,392       379,284  
    Prepaid expenses and other current assets   35,923       269,339  
    Total current assets   4,278,903       3,909,121  
    Non-current assets          
    Property and equipment, net   460,314       405,365  
    Capitalized software development cost, net   202,166       357,264  
    Deferred offering Cost   838,804       441,067  
    Long term deposits   94,811       105,917  
    Total non-current assets   1,596,095       1,309,613  
    Total assets $ 5,874,998     $ 5,218,734  
    LIABILITIES          
    Current liabilities          
    Short-term bank loans $ 4,408,340     $ 2,471,374  
    Accounts payable   1,075,456       1,813,561  
    Deferred revenue   135,737       434,717  
    Due to related parties   43,289       63,403  
    Accrued expenses and other liabilities   718,327       406,540  
    Total Current Liabilities   6,381,149       5,189,595  
    Total non-current liabilities   –       –  
    Total liabilities   6,381,149       5,189,595  
    COMMITMENTS AND CONTINGENCIES          
    EQUITY          
    Ordinary shares (US$0.0002 par value, 5,000,000,000 shares authorized, 30,000,004 shares issued and outstanding as of March 31, 2025 and 2024)   6,000       6,000  
    Additional paid-in capital   15,210,301       15,210,301  
    Accumulated deficit   (15,630,351 )     (15,233,789 )
    Accumulated other comprehensive income   252,250       257,751  
    Total Ruanyun Group stockholders’ equity   (161,800 )     240,263  
    Non-controlling interest   (344,351 )     (211,124 )
    Total Equity   (506,151 )     29,139  
    Total liabilities and equity $ 5,874,998     $ 5,218,734  
                   
    RUANYUN EDAI TECHNOLOGY INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
               
        For the Years Ended
    March 31,    		     For the Years Ended
    March 31,
        2025       2024  
               
    Revenues from third parties $ 6,685,387     $ 9,154,072  
    Total revenues   6,685,387       9,154,072  
    Cost of revenues   (2,892,516 )     (6,216,933 )
    Gross profit   3,792,871       2,937,139  
    Operating expenses          
    Selling and marketing expenses   (1,784,837 )     (2,368,737 )
    General and administrative expenses   (1,563,423 )     (1,438,046 )
    Research and development expenses   (930,904 )     (1,251,593 )
    Total operating expenses   (4,279,164 )     (5,058,376 )
    Loss from operations   (486,293 )     (2,121,237 )
    Finance cost, net   (153,869 )     (203,779 )
    Government subsidy   11,811       264,250  
    Other income (expense), net   108,644       (43,308 )
    Loss before income taxes   (519,707 )     (2,104,074 )
    Income tax expenses   (16 )     –  
               
    Net loss   (519,723 )     (2,104,074 )
               
    Net loss attributable to non-controlling interests   (123,161 )     (97,948 )
               
    Net loss attributable to common shareholders   (396,562 )     (2,006,126 )
    COMPREHENSIVE LOSS          
    Net loss   (519,723 )     (2,104,074 )
    Unrealized foreign currency translation loss   (15,567 )     (20,450 )
    Comprehensive loss   (535,290 )     (2,124,524 )
    Less: comprehensive loss attributable to non-controlling interests   (133,227 )     (74,959 )
    Comprehensive loss attributable to common shareholders $ (402,063 )   $ (2,049,565 )
               
    Weighted average number of ordinary share outstanding          
    Basic and Diluted*   30,000,004       30,000,004  
    Loss per share          
    Basic and Diluted $ (0.01 )   $ (0.07 )
                   

    The MIL Network –

  • MIL-OSI: Asure Announces Second Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    Second Quarter 2025 Total Revenues Increased 7% to $30.1 million

    Recurring Revenues Grew 6% from Prior Year

    AUSTIN, Texas, July 31, 2025 (GLOBE NEWSWIRE) — Asure Software, Inc. (“we”, “us”, “our”, “Asure” or the “Company”) (Nasdaq: ASUR), a leading provider of cloud-based Human Capital Management (“HCM”) software solutions, today reported results for the second quarter ended June 30, 2025.

    Second Quarter 2025 Financial Highlights

    • Revenue of $30.1 million, up 7% year over year, excluding ERTC up 10% from the prior year second quarter
    • Recurring revenue of $28.6 million versus $27.1 million during the prior year second quarter
    • Net loss of $6.1 million versus a net loss of $4.4 million during the prior year second quarter
    • EBITDA(1) of $1.4 million versus $1.3 million during the prior year second quarter
    • Adjusted EBITDA(1) of $5.2 million versus $4.1 million during the prior year second quarter
    • Gross profit of $19.9 million versus $18.9 million during the prior year second quarter
    • Non-GAAP gross profit(1) of $21.9 million (Non-GAAP gross margin(1) of 73%) versus $20.4 million (and 73% in prior year second quarter)

    First Half 2025 Financial Highlights

    • Revenue of $65.0 million, up 9% from prior year first half
    • Revenue (excluding ERTC revenue) of $64.8 million, up 11% from prior year first half
    • Recurring revenue of $61.8 million, up 8% from prior year first half
    • Net loss of $8.5 million versus a net loss of $4.7 million in the prior year first half
    • EBITDA(1) of $5.6 million versus $5.7 million in the prior year first half
    • Adjusted EBITDA(1) of $12.6 million versus $10.9 million in the prior year first half
    • Gross profit of $44.5 million versus $41.5 million in the prior year first half
    • Non-GAAP gross profit(1) of $48.1 million (margin of 74%) versus $44.2 million (margin of 74%) in prior year first half

    Recent Business Highlights

    • On July 1, 2025 Asure acquired Lathem Time Corporation, a trusted name in employee time and attendance solutions with more than a century of innovation for a purchase price of $39.5 million. The company has transformed into a modern software provider delivering cloud-based time and attendance solutions through its flagship platform PayClock® Online. Lathem’s customer base and go to market strategy of selling direct and via a strong reseller network are complementary to Asure’s focus on growing businesses.

    (1)This financial measure is not calculated in accordance with GAAP and is defined on page 3 of this press release. A reconciliation of this non-GAAP measure to the most applicable GAAP measure begins on page 11 of this release.

    Management Commentary

    “We are pleased to report another solid performance for the second quarter where our revenues of $30.1 million increased 7% from the prior year second quarter and excluding the impact of ERTC, revenue growth was 10%. Our results were driven by continued strong performances coming from our Payroll Tax Management product line and improving attach rates of our HCM products,” said Asure Chairman and CEO Pat Goepel.

    “We are excited to have completed the acquisition of Lathem Time Corporation on July 1, 2025 which we believe will be a great addition to the Asure product offering. The acquisition is expected to add to the scale of our existing time and attendance business with additional high margin recurring revenue and drive the ability to accelerate further cross-selling opportunities of Asure’s suite of HCM products. Our continued positive momentum, the investments we have made in our technology plus recently acquired products we believe position us well for the continued growth of Asure.”

    Third Quarter 2025 and Full Year 2025 Revenue Guidance Ranges

    The Company provides guidance for the third quarter of 2025 and increases the full year 2025 revenue range based on the Company’s year-to-date results and recent business trends, including the acquisition of Lathem Time Corporation.

    New Guidance for 2025

    Guidance Range   Q3-2025   PRIOR FY-2025 NEW FY-2025
    Revenue $ 35.0 M – 37.0 M $ 134.0-138.0 M $138.0 M -142.0 M
    Adjusted EBITDA(1) $ 7.0M -9.0 M   23%-24% 22% -24%
               

    Management uses GAAP, non-GAAP and adjusted measures when planning, monitoring, and evaluating the Company’s performance. The primary purpose of using non-GAAP and adjusted measures is to provide supplemental information that may prove useful to investors and to enable investors to evaluate the Company’s results in the same way management does.

    Management believes that supplementing GAAP disclosures with non-GAAP and adjusted disclosures provides investors with a more complete view of the Company’s operational performance and allows for meaningful period-to-period comparisons and analysis of trends in the Company’s business. Further, to the extent that other companies use similar methods in calculating adjusted financial measures, the provision of supplemental non-GAAP and adjusted information can allow for a comparison of the Company’s relative performance against other companies that also report non-GAAP and adjusted operating results.

    Management has not provided a reconciliation of guidance of GAAP to non-GAAP or adjusted disclosures because management is unable to predict the nature and materiality of non-recurring expenses without unreasonable effort.

    Management’s projections are based on management’s current beliefs and assumptions about the Company’s business, and the industry and the markets in which it operates; there are known and unknown risks and uncertainties associated with these projections. There can be no assurance that our actual results will not differ from the guidance set forth above. The Company assumes no obligation to update publicly any forward-looking statements, including its 2025 earnings guidance, whether as a result of new information, future events or otherwise. Please refer to the “Use of Forward-Looking Statements” disclosures on page 5 of this press release as well as the risk factors in our quarterly and annual reports on file with the Securities and Exchange Commission for more information about risk that affect our business and industry.

    (1)This financial measure is not calculated in accordance with GAAP and is defined on page 3 of this press release. A reconciliation of this non-GAAP measure to the most applicable GAAP measure begins on page 11 of this release.

    Conference Call Details

    Asure management will host a conference call on Thursday, July 31, 2025, at 3:30 pm Central (4:30 pm Eastern). Asure Chairman and CEO Pat Goepel and CFO John Pence will participate in the conference call followed by a question-and-answer session. The conference call will be broadcast live and available for replay via the investor relations section of the Company’s website. Analysts may participate on the conference call by dialing 877-407-9219 or 201-689-8852.

    About Asure Software, Inc.

    Asure (Nasdaq: ASUR) provides cloud-based Human Capital Management (HCM) software solutions that assist organizations of all sizes in streamlining their HCM processes. Asure’s suite of HCM solutions includes HR, payroll, time and attendance, benefits administration, payroll tax management, and talent management. The company’s approach to HR compliance services incorporates AI technology to enhance scalability and efficiency while prioritizing client interactions. For more information, please visit www.asuresoftware.com. 

    Non-GAAP and Adjusted Financial Measures

    This press release includes information about non-GAAP gross profit, non-GAAP sales and marketing expense, non-GAAP general and administrative expense, non-GAAP research and development expense, EBITDA, EBITDA margin, adjusted EBITDA, and adjusted EBITDA margin. These non-GAAP and adjusted financial measures are measurements of financial performance that are not prepared in accordance with U.S. generally accepted accounting principles and computational methods may differ from those used by other companies. Non-GAAP and adjusted financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with the Company’s Condensed Consolidated Financial Statements prepared in accordance with GAAP. Non-GAAP and adjusted financial measures are reconciled to GAAP in the tables set forth in this release and are subject to reclassifications to conform to current period presentations.

    Non-GAAP gross profit differs from gross profit in that it excludes amortization, share-based compensation, and one-time items.

    Non-GAAP sales and marketing expense differs from sales and marketing expense in that it excludes share-based compensation and one-time items.

    Non-GAAP general and administrative expense differs from general and administrative expense in that it excludes share-based compensation and one-time items.

    Non-GAAP research and development expense differs from research and development expense in that it excludes share-based compensation and one-time items.

    EBITDA differs from net income (loss) in that it excludes items such as interest, income taxes, depreciation, and amortization. Asure is unable to predict with reasonable certainty the ultimate outcome of these exclusions without unreasonable effort.

    Adjusted EBITDA differs from EBITDA in that it excludes share-based compensation, other income (expense), net and one-time expenses. Asure is unable to predict with reasonable certainty the ultimate outcome of these exclusions without unreasonable effort.

    All adjusted and non-GAAP measures presented as “margin” are computed by dividing the applicable adjusted financial measure by total revenue.

    Specifically, as applicable to the respective financial measure, management is adjusting for the following items when calculating non-GAAP and adjusted financial measures as applicable for the periods presented. No additional adjustments have been made for potential income tax effects of the adjustments based on the Company’s current and anticipated de minimis effective federal tax rate, resulting from the Company’s continued losses for federal tax purposes and its tax net operating loss balances.

    Share-Based Compensation Expenses. The Company’s compensation strategy includes the use of share-based compensation to attract and retain employees and executives. It is principally aimed at aligning their interests with those of our stockholders and at long-term employee retention, rather than to motivate or reward operational performance for any particular period. Thus, share-based compensation expense varies for reasons that are generally unrelated to operational decisions and performance in any particular period.

    Depreciation. The Company excludes depreciation of fixed assets. Also included in the expense is the depreciation of capitalized software costs.

    Amortization of Purchased Intangibles. The Company views amortization of acquisition-related intangible assets, such as the amortization of the cost associated with an acquired company’s research and development efforts, trade names, customer lists and customer relationships, and acquired lease intangibles, as items arising from pre-acquisition activities determined at the time of an acquisition. While these intangible assets are continually evaluated for impairment, amortization of the cost of purchased intangibles is a static expense, one that is not typically affected by operations during any particular period.

    Interest Expense, Net. The Company excludes accrued interest expense, the amortization of debt discounts and deferred financing costs.

    Income Taxes. The Company excludes income taxes, both at the federal and state levels.

    One-Time Expenses. The Company’s adjusted financial measures exclude the following costs to normalize comparable reporting periods, as these are generally non-recurring expenses that do not reflect the ongoing operational results. These items are typically not budgeted and are infrequent and unusual in nature.

    Settlements, Penalties and Interest. The Company excludes legal settlements, including separation agreements, penalties and interest that are generally one-time in nature and not reflective of the operational results of the business.

    Acquisition and Transaction Related Costs. The Company excludes these expenses as they are transaction costs and expenses that are generally one-time in nature and not reflective of the underlying operational results of our business. Examples of these types of expenses include legal, accounting, regulatory, other consulting services, severance and other employee costs.

    Other non-recurring Expenses. The Company excludes these as they are generally non-recurring items that are not reflective of the underlying operational results of the business and are generally not anticipated to recur. Some examples of these types of expenses, historically, have included write-offs or impairments of assets, demolition of office space and cybersecurity consultants.

    Other (Expense) Income, Net. The Company’s adjusted financial measures exclude Other (Expense) Income, Net because it includes items that are not reflective of the underlying operational results of the business, such as loan forgiveness, adjustments to contingent liabilities and credits earned as part of the CARES Act, passed by Congress in the wake of the coronavirus pandemic.

    Use of Forward-Looking Statements

    This press release contains certain statements made by management that may constitute “forward-looking” statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements about our financial results may include expected or projected U.S GAAP and other operating and non-operating results. The words “believe,” “may,” “will,” “estimate,” “projects,” “anticipate,” “intend,” “expect,” “should,” “plan,” and similar expressions are intended to identify forward-looking statements. Examples of forward-looking statements include statements we make regarding our operating performance, future results of operations and financial position, revenue growth, earnings or other projections. We have based these forward-looking statements largely on our current expectations and projections about future events and trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives, and financial needs. The achievement or success of the matters covered by such forward-looking statements involves risks, uncertainties and assumptions, over many of which we have no control. If any such risks or uncertainties materialize or if any of the assumptions prove incorrect, our results could differ materially from the results expressed or implied by the forward-looking statements we make. The risks and uncertainties referred to above include—but are not limited to—risks associated with breaches of our security measures; risks related to material weaknesses; possible fluctuations in our financial and operating results; privacy concerns and laws and other regulations may limit the effectiveness of our applications; the financial and other impact of any previous and future acquisitions; domestic and international regulatory developments, including changes to or applicability to our business of privacy and data securities laws, money transmitter laws and anti-money laundering laws; regulatory pressures on economic relief enacted as a result of the COVID-19 pandemic that change or cause different interpretations with respect to eligibility for such programs; risk of our software and solutions not functioning adequately; interruptions, delays or changes in our services or our Web hosting; potential debt incurred to meet future capital requirements; volatility and weakness in bank and capital markets; access to additional capital; significant costs as a result of operating as a public company; the expiration of Employee Retention Tax Credits (“ERTC”) and the impact of the Internal Revenue Service recent measures regarding ERTC claims and the corresponding cash collections of existing receivables; the inability to continue to release timely updates for changes in laws; the inability to develop new and improved versions of our services and technological developments; customer’s nonrenewal of their agreements and other similar changes could negatively impact revenue, operating results and financial conditions; the exposure of market, interest, credit and liquidity risk on client funds held in trust; our operations in highly competitive markets; risk that our clients could have insufficient funds that could result in limitations in the ability to transmit ACH transactions; impairment of intangible assets; litigation and any related claims, negotiations and settlements, including with respect to intellectual property matters or industry-specific regulations; various financial aspects of our Software-as-a-Service model; adverse effects to our business a result of claims, lawsuits, and other proceedings; issues in the use of artificial intelligence in our HCM products and services; adverse changes to financial accounting standards to us; inability to maintain third-party licensed software; evolving regulation of the Internet, changes in the infrastructure underlying the Internet or interruptions in Internet; factors affecting our deferred tax assets and ability to value and utilize them; the nature of our business model; inability to adopt new or correctly interpret existing money service and money transmitter business status; our ability to hire, retain and motivate employees and manage our growth; interruptions to supply chains and extended shut down of businesses; potential enactment of adverse tax laws, regulation, political, economic and social factors; potential sales of a substantial number of shares of our common stock along with its volatility; risks associate with potential equity-related transactions including dividends, rights under the stockholder plan to discourage certain actions and other impacts as a result of actions of our stockholders.

    Please review the Company’s risk factors in its annual report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) on March 6, 2025 and its quarterly report on Form 10Q filed with the SEC on May 01, 2025 and July 31, 2025.

    The forward-looking statements, including the financial guidance and 2025 outlook, contained in this press release represent the judgment of the Company as of the date of this press release, and the Company expressly disclaims any intent, obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in the Company’s expectations with regard to these forward looking statements or any change in events, conditions or circumstances on which any such statements are based. © 2025 Asure Software, Inc. All rights reserved

     
    ASURE SOFTWARE, INC.
    CONDENSED CONSOLIDATED BALANCE SHEETS
    (in thousands, except per share amounts)
           
      June 30, 2025   December 31, 2024
           
    ASSETS      
    Current assets:      
    Cash , cash equivalents, and restricted cash $ 66,000     $ 21,425  
    Accounts receivable, net of allowance for credit losses of $7,279 and $6,328 at June 30, 2025 and December 31, 2024, respectively   13,623       18,154  
    Inventory   142       195  
    Prepaid expenses and other current assets   5,838       4,888  
    Total current assets before funds held for clients   85,603       44,662  
    Funds held for clients   213,972       192,615  
    Total current assets   299,575       237,277  
    Property and equipment, net   23,282       19,669  
    Goodwill   94,724       94,724  
    Intangible assets, net   69,596       69,114  
    Operating lease assets, net   4,748       4,041  
    Other assets, net   13,640       11,813  
    Total assets $ 505,565     $ 436,638  
    LIABILITIES AND STOCKHOLDERS’EQUITY      
    Current liabilities:      
    Current portion of notes payable $ 3,032     $ 7,008  
    Accounts payable   1,595       1,364  
    Accrued compensation and benefits   2,881       4,485  
    Operating lease liabilities, current   1,452       1,438  
    Other accrued liabilities   7,784       6,600  
    Deferred revenue   3,724       8,363  
    Total current liabilities before client fund obligations   20,468       29,258  
    Client fund obligations   214,839       194,378  
    Total current liabilities   235,307       223,636  
    Long-term liabilities:      
    Deferred revenue   2,635       3,430  
    Deferred tax liability   3,746       2,612  
    Notes payable, net of current portion   64,350       5,709  
    Operating lease liabilities, noncurrent   4,200       3,578  
    Other liabilities   1,075       358  
    Total long-term liabilities   76,006       15,687  
    Total liabilities   311,313       239,323  
    Stockholders’ equity:      
    Preferred stock, $0.01 par value; 1,500 shares authorized; none issued or outstanding   —       —  
    Common stock, $0.01 par value; 44,000 shares authorized; 27,365 and 26,671 shares issued, 27,365 and 26,671 shares outstanding at June 30, 2025 and December 31, 2024, respectively   274       267  
    Treasury stock at cost, zero(1)shares at June 30, 2025 and December 31, 2024   —       —  
    Additional paid-in capital   509,630       504,849  
    Accumulated deficit   (315,747 )     (307,226 )
    Accumulated other comprehensive income (loss)   95       (575 )
    Total stockholders’ equity   194,252       197,315  
    Total liabilities and stockholders’ equity $ 505,565     $ 436,638  
    (1) The aggregate Treasury stock of prior repurchases of the Company’s own common stock was retired and subsequently issued effective January 1, 2024. See the Consolidated Statement of Changes in Stockholders’ Equity for the impact of this transaction.
     
     
    ASURE SOFTWARE, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
    (in thousands, except per share amounts)
           
      Three Months Ended
    June 30,    		   Six Months Ended
    June 30,
      2025   2024   2025   2024
                   
    Revenue:              
    Recurring $ 28,596     $ 27,051     $ 61,783     $ 57,324  
    Professional services, hardware and other   1,528       993       3,195       2,372  
    Total revenue   30,124       28,044       64,978       59,696  
    Cost of sales   10,213       9,176       20,459       18,221  
    Gross profit   19,911       18,868       44,519       41,475  
    Operating expenses:              
    Sales and marketing   8,149       6,924       16,535       14,691  
    General and administrative   10,968       10,118       22,868       20,181  
    Research and development   1,273       1,962       3,302       3,731  
    Amortization of intangible assets   4,173       4,046       8,481       7,495  
    Total operating expenses   24,563       23,050       51,186       46,098  
    Loss from operations   (4,652 )     (4,182 )     (6,667 )     (4,623 )
    Interest income   277       261       448       597  
    Interest expense   (809 )     (208 )     (1,260 )     (388 )
    Other income, net   (96 )     —       92       10  
    Loss from operations before income taxes   (5,280 )     (4,129 )     (7,387 )     (4,404 )
    Income tax expense   843       231       1,134       264  
    Net loss   (6,123 )     (4,360 )     (8,521 )     (4,668 )
    Other comprehensive income (loss):              
    Unrealized gain (loss) on marketable securities   228       9       670       (235 )
    Comprehensive loss $ (5,895 )   $ (4,351 )   $ (7,851 )   $ (4,903 )
                   
    Basic and diluted loss per share              
    Basic $ (0.22 )   $ (0.17 )   $ (0.31 )   $ (0.18 )
    Diluted $ (0.22 )   $ (0.17 )   $ (0.31 )   $ (0.18 )
                   
    Weighted average basic and diluted shares              
    Basic   27,237       25,840       27,100       25,587  
    Diluted   27,237       25,840       27,100       25,587  
                                   
     
    ASURE SOFTWARE, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    (in thousands)
       
      Six Months Ended June 30,
      2025   2024
    Cash flows from operating activities:      
    Net loss $ (8,521 )   $ (4,668 )
    Adjustments to reconcile loss to net cash provided by (used in) operations:      
    Depreciation and amortization   12,155       10,359  
    Amortization of operating lease assets   740       677  
    Amortization of debt financing costs and discount   537       302  
    Non-cash interest expense   724       —  
    Net accretion of discounts on available-for-sale securities   (236 )     (170 )
    Provision for expected losses   20       107  
    Provision for deferred income taxes   1,134       255  
    Loss on extinguishment of debt   103       —  
    Net realized gains on sales of available-for-sale securities   (1,310 )     (1,294 )
    Share-based compensation   3,754       3,390  
    Gain on disposals of long-term assets   (7 )     —  
    Changes in operating assets and liabilities:      
    Accounts receivable   4,512       (2,178 )
    Inventory   53       (108 )
    Prepaid expenses and other assets   (1,462 )     (1,636 )
    Operating lease right-of-use assets   21       98  
    Accounts payable   232       (1,330 )
    Accrued expenses and other long-term obligations   (1,039 )     (1,858 )
    Operating lease liabilities   (825 )     (374 )
    Deferred revenue   (5,434 )     (3,291 )
    Net cash provided by (used in) operating activities   5,151       (1,719 )
    Cash flows from investing activities:      
    Acquisition of intangible assets   (6,346 )     (4,097 )
    Purchases of property and equipment   (393 )     (375 )
    Software capitalization costs   (6,470 )     (5,042 )
    Purchases of available-for-sale securities   (12,304 )     (6,462 )
    Proceeds from sales and maturities of available-for-sale securities   7,699       8,617  
    Net cash used in investing activities   (17,814 )     (7,359 )
    Cash flows from financing activities:      
    Proceeds from notes payable, net of issuance costs   57,982       —  
    Payments of notes payable   (5,000 )     —  
    Debt extinguishment costs   (100 )     —  
    Payments made on amounts due for the acquisition of intangibles   (1,280 )     (236 )
    Net proceeds from issuance of common stock   1,034       572  
    Capital raise fees   —       (46 )
    Net change in client fund obligations   20,461       (28,225 )
    Net cash provided by (used in) financing activities   73,097       (27,935 )
    Net increase in cash, cash equivalents, restricted cash, and restricted cash equivalents   60,434       (37,013 )
    Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period   145,712       177,622  
    Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period $ 206,146     $ 140,609  
                   
     
    ASURE SOFTWARE, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (continued)
    (in thousands)
       
      Six Months Ended June 30,
      2025
    		   2024
           
    Reconciliation of cash, cash equivalents, restricted cash, and restricted cash equivalents to the Condensed Consolidated Balance Sheets
    Cash, cash equivalents, and restricted cash $ 66,000     $ 20,736  
    Restricted cash and restricted cash equivalents included in funds held for clients   140,146       119,873  
    Total cash, cash equivalents, restricted cash, and restricted cash equivalents $ 206,146     $ 140,609  
           
    Supplemental information:      
    Cash paid for interest $ 498     $ —  
           
    Non-cash investing and financing activities:      
    Acquisition of intangible assets $ 1,884     $ 5,450  
    Notes payable issued for acquisitions $ 1,150     $ 1,423  
    Shares issued for acquisitions $ —     $ 4,863  
                   
     
    ASURE SOFTWARE, INC.
    RECONCILIATION OF NON-GAAP AND ADJUSTED FINANCIAL MEASURES
    (unaudited)
                     
    (in thousands) Q2-25 Q1-25 Q4-24 Q3-24 Q2-24 Q1-24 Q4-23 Q2-23
    Revenue(1) $ 30,124   $ 34,854   $ 30,792   $ 29,304   $ 28,044   $ 31,652   $ 26,264   $ 30,420  
                     
    Gross Profit to non-GAAP Gross Profit                
    Gross Profit $ 19,911   $ 24,608   $ 20,928   $ 19,704   $ 18,868   $ 22,607   $ 17,839   $ 22,018  
    Gross Margin   66.1 %   70.6 %   68.0 %   67.2 %   67.3 %   71.4 %   67.9 %   72.4 %
                     
    Share-based Compensation   46     44     44     44     43     40     32     46  
    Depreciation   1,378     1,369     1,190     1,232     1,145     1,110     921     1,309  
    Amortization – intangibles   370     50     50     50     50     50     50     50  
    One-time expenses                
    Settlements, penalties & interest   46     29     25     2     3     —     (6 )   —  
    Acquisition and transaction costs   —     167     221     367     264     39     —     —  
    Other non-recurring expenses   106     —     84     —     —     —     —     —  
    Non-GAAP Gross Profit $ 21,857   $ 26,267   $ 22,542   $ 21,399   $ 20,373   $ 23,846   $ 18,836   $ 23,423  
    Non-GAAP Gross Margin   72.6 %   75.4 %   73.2 %   73.0 %   72.6 %   75.3 %   71.7 %   77.0 %
                     
    Sales and Marketing Expense to non-GAAP Sales and Marketing Expense
    Sales and Marketing Expense $ 8,149   $ 8,386   $ 6,945   $ 6,680   $ 6,924   $ 7,767   $ 6,422   $ 8,515  
                     
    Share-based Compensation   332     322     251     269     237     243     180     149  
    Depreciation   1     1     —     1     —     1     1     —  
    One-time expenses                
    Settlements, penalties & interest   40     51     78     (5 )   5     18     6     4  
    Acquisition and transaction costs   30     30     9     68     37     11     —     —  
    Other non-recurring expenses   164     —     52     —     —     —     —     180  
    Non-GAAP Sales and Marketing Expense $ 7,582   $ 7,982   $ 6,555   $ 6,347   $ 6,645   $ 7,494   $ 6,235   $ 8,182  
                     
    General and Administrative Expense to non-GAAP General and Administrative Expense
    General and Administrative Expense $ 10,968   $ 11,900   $ 9,940   $ 10,378   $ 10,118   $ 10,063   $ 9,747   $ 10,336  
                     
    Share-based Compensation   1,419     1,407     1,081     1,187     1,122     1,535     980     1,298  
    Depreciation   261     244     269     264     256     251     225     234  
    One-time expenses                
    Settlements, penalties & interest   365     492     142     377     304     98     284     432  
    Acquisition and transaction costs   812     491     282     371     245     57     51     —  
    Other non-recurring expenses   189     136     220     253     —     86     53     453  
    Non-GAAP General and Administrative Expense $ 7,922   $ 9,130   $ 7,946   $ 7,926   $ 8,191   $ 8,036   $ 8,154   $ 7,919  
                     
    Research and Development Expense to non-GAAP Research and Development Expense
    Research and Development Expense $ 1,273   $ 2,029   $ 2,103   $ 1,973   $ 1,962   $ 1,769   $ 1,739   $ 1,325  
                     
    Share-based Compensation   94     90     87     90     86     85     69     89  
    Depreciation   (1 )   1     —   $ —   $ —   $ —   $ —   $ —  
    One-time expenses                
    Settlements, penalties & interest   33     9     21     —     27     31     —     —  
    Acquisition and transaction costs   —     91     153     195     369     147     —     —  
    Other non-recurring expenses   35     —     29     —     —     —     —     —  
    Non-GAAP Research and Development Expense $ 1,112   $ 1,838   $ 1,813   $ 1,688   $ 1,480   $ 1,506   $ 1,670   $ 1,236  
                                                     

    (1)Note that first quarters are seasonally strong as recurring year-end W2/ACA revenue is recognized in this period.

     
    ASURE SOFTWARE, INC.
    RECONCILIATION OF NON-GAAP AND ADJUSTED FINANCIAL MEASURES (cont.)
    (unaudited)
                     
    (in thousands) Q2-25 Q1-25 Q4-24 Q3-24 Q2-24 Q1-24 Q4-23 Q3-23
    Revenue(1) $ 30,124   $ 34,854   $ 30,792   $ 29,304   $ 28,044   $ 31,652   $ 26,264   $ 29,334  
                     
    GAAP Net Loss to Adjusted EBITDA
    GAAP Net Loss $ (6,123 ) $ (2,398 ) $ (3,204 ) $ (3,901 ) $ (4,360 ) $ (308 ) $ (3,582 ) $ (2,206 )
                     
    Interest expense, net   532     280     211     109     (53 )   (156 )   (24 )   782  
    Income taxes   843     291     499     170     231     33     (158 )   (123 )
    Depreciation   1,640     1,614     1,460     1,497     1,402     1,361     1,148     1,185  
    Amortization – intangibles   4,543     4,358     4,482     4,345     4,096     3,499     3,743     3,384  
    EBITDA $ 1,435   $ 4,145   $ 3,448   $ 2,220   $ 1,316   $ 4,429   $ 1,127   $ 3,022  
    EBITDA Margin   4.8 %   11.9 %   11.2 %   7.6 %   4.7 %   14.0 %   4.3 %   10.3 %
                     
    Share-based Compensation   1,891     1,863     1,463     1,591     1,488     1,902     1,260     1,251  
    One Time Expenses                
    Settlements, penalties & interest   484     581     266     375     339     147     283     140  
    Acquisition and transaction costs   842     779     665     1,001     914     254     51     —  
    Other non-recurring expenses   494     136     385     253     —     86     53     —  
    Other expense (income), net   96     (188 )   2     —     —     (10 )   1     1,800  
    Adjusted EBITDA $ 5,242   $ 7,316   $ 6,229   $ 5,440   $ 4,057   $ 6,808   $ 2,775   $ 6,213  
    Adjusted EBITDA Margin   17.4 %   21.0 %   20.2 %   18.6 %   14.5 %   21.5 %   10.6 %   21.2 %
                                                     

    (1)Note that first quarters are seasonally strong as recurring year-end W2/ACA revenue is recognized in this period.

    Investor Relations Contact
    Patrick McKillop
    Vice President, Investor Relations
    617-335-5058
    patrick.mckillop@asuresoftware.com 

    The MIL Network –

  • MIL-OSI: Credit Acceptance Announces Second Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    Southfield, Michigan, July 31, 2025 (GLOBE NEWSWIRE) — Credit Acceptance Corporation (Nasdaq: CACC) (referred to as the “Company”, “Credit Acceptance”, “we”, “our”, or “us”) today announced consolidated net income of $87.4 million, or $7.42 per diluted share, for the three months ended June 30, 2025. Adjusted net income, a non-GAAP financial measure, for the three months ended June 30, 2025 was $100.8 million, or $8.56 per diluted share. The following table summarizes our financial results:

    (In millions, except per share data)   For the Three Months Ended
        June 30, 2025   March 31, 2025   June 30, 2024
    GAAP net income (loss)   $         87.4    $         106.3    $         (47.1)  
    GAAP net income (loss) per diluted share   $         7.42    $         8.66    $         (3.83)  
                 
    Adjusted net income   $         100.8    $         114.8    $         126.4   
    Adjusted net income per diluted share   $         8.56    $         9.35    $         10.29   

    Our results and achievements for the second quarter of 2025 included the following:

    • A decline in forecasted collection rates, which decreased forecasted net cash flows from our loan portfolio by $55.8 million, or 0.5%, and slower forecasted net cash flow timing.
    • A 6.8% increase in the average balance of our loan portfolio from the second quarter of 2024 to $8.0 billion, which is our largest ever.
    • A decline in Consumer Loan assignment unit and dollar volumes of 14.6% and 18.8%, respectively, as compared to the second quarter of 2024.
    • The repurchase of approximately 530,000 shares, or 4.5% of the shares outstanding at the beginning of the quarter.
    • The enrollment of 1,560 new dealers with 10,655 active dealers during the quarter.
    • $63.3 million in dealer holdback and accelerated dealer holdback payments to dealers.
    • $23.4 million contingent loss related to previously disclosed legal matters.
    • An increase in our estimated long-term effective income tax rate from 23% to 25%.
    • Named one of the 100 Best Companies to Work For® by Great Place to Work® and Fortune magazine for the eleventh time, with a #34 ranking, and a Spring 2025 Top Workplaces Culture Excellence award winner in the following five categories: Work-Life Flexibility, Leadership, Innovation, Purpose & Values, and Compensation & Benefits.

    Consumer Loan Metrics

    Dealers assign retail installment contracts (referred to as “Consumer Loans”) to Credit Acceptance. At the time a Consumer Loan is submitted to us for assignment, we forecast future expected cash flows from the Consumer Loan. Based on the amount and timing of these forecasts and expected expense levels, an advance or one-time purchase payment is made to the related dealer at a price designed to maximize economic profit, a non-GAAP financial measure that considers our return on capital, our cost of capital, and the amount of capital invested. 

    We use a statistical model to estimate the expected collection rate for each Consumer Loan at the time of assignment. We continue to evaluate the expected collection rate for each Consumer Loan subsequent to assignment. Our evaluation becomes more accurate as the Consumer Loans age, as we use actual performance data in our forecast. By comparing our current expected collection rate for each Consumer Loan with the rate we projected at the time of assignment, we are able to assess the accuracy of our initial forecast. The following table compares our aggregated forecast of Consumer Loan collection rates as of June 30, 2025, with the aggregated forecasts as of March 31, 2025 and at the time of assignment, segmented by year of assignment:

        Forecasted Collection Percentage as of (1)   Current Forecast Variance from
     Consumer Loan Assignment Year   June 30, 2025   March 31, 2025   Initial
    Forecast    		   March 31, 2025   Initial
    Forecast
    2016           63.9  %           63.9  %           65.4  %           0.0  %           -1.5  %
    2017           64.8  %           64.8  %           64.0  %           0.0  %           0.8  %
    2018           65.6  %           65.5  %           63.6  %           0.1  %           2.0  %
    2019           67.3  %           67.2  %           64.0  %           0.1  %           3.3  %
    2020           68.0  %           67.9  %           63.4  %           0.1  %           4.6  %
    2021           63.8  %           63.9  %           66.3  %           -0.1  %           -2.5  %
    2022           59.7  %           60.0  %           67.5  %           -0.3  %           -7.8  %
    2023           64.1  %           64.3  %           67.5  %           -0.2  %           -3.4  %
    2024           65.7  %           66.3  %           67.2  %           -0.6  %           -1.5  %
         2025 (2)           66.9  %           66.0  %           66.9  %           0.9  %           0.0  %

    (1)   Represents the total forecasted collections we expect to collect on the Consumer Loans as a percentage of the repayments that we were contractually owed on the Consumer Loans at the time of assignment. Contractual repayments include both principal and interest. Forecasted collection rates are negatively impacted by canceled Consumer Loans as the contractual amount owed is not removed from the denominator for purposes of computing forecasted collection rates.
    (2)   The forecasted collection rate for 2025 Consumer Loans as of June 30, 2025 includes both Consumer Loans that were in our portfolio as of March 31, 2025 and Consumer Loans assigned during the most recent quarter. The following table provides forecasted collection rates for each of these segments

        Forecasted Collection Percentage as of   Current Forecast Variance from
    2025 Consumer Loan Assignment Period   June 30, 2025   March 31, 2025   Initial
    Forecast    		   March 31, 2025   Initial
    Forecast
    January 1, 2025 through March 31, 2025           66.2  %           66.0  %           66.2  %           0.2  %           0.0  %
    April 1, 2025 through June 30, 2025           67.7  %           —              67.7  %           —              0.0  %

    For the three months ended June 30, 2025, forecasted collection rates improved for Consumer Loans assigned in 2025, declined for Consumer Loans assigned in 2022 through 2024, and were generally consistent with expectations at the start of the period for all other assignment years presented.

    The changes to our forecast of future net cash flows from our Loan portfolio (forecasted collections less forecasted dealer holdback payments) for each of the last eight quarters are shown in the following table:

    (Dollars in millions)   Decrease in Forecasted Net Cash Flows
    Three Months Ended   Total Loans   % Change from Forecast at Beginning of Period
    September 30, 2023   $         (69.4)             -0.7  %
    December 31, 2023             (57.0)             -0.6  %
    March 31, 2024             (30.8)             -0.3  %
    June 30, 2024             (189.3)             -1.7  %
    September 30, 2024             (62.8)             -0.6  %
    December 31, 2024             (31.1)             -0.3  %
    March 31, 2025             (20.9)             -0.2  %
    June 30, 2025             (55.8)             -0.5  %

    During the second quarter of 2025, we applied an adjustment to our methodology for forecasting the amount of future net cash flows from our loan portfolio, which reduced the forecasted collection rates for Consumer Loans assigned in 2024. Consumer Loans assigned in 2024 prior to the implementation of our scorecard adjustment during the third quarter of 2024 had underperformed relative to the forecast adjustment we implemented during the second quarter of 2024. Accordingly, in the second quarter of 2025, we applied an adjustment to that segment of the Consumer Loans assigned in 2024 to reduce forecasted collection rates to what we believed the ultimate collection rates would be based on these trends. Changes in the amount and timing of forecasted net cash flows are recognized in the period of change as a provision for credit losses. The implementation of this forecast adjustment during the second quarter of 2025 reduced forecasted net cash flows by $18.6 million, or 0.2%, and increased provision for credit losses by $16.5 million.

    The following table presents information on Consumer Loan assignments for each of the last 10 years:

         Average   Total Assignment Volume
     Consumer Loan
    Assignment Year    		   Consumer Loan (1)   Advance (2)   Initial Loan Term (in months)   Unit Volume   Dollar Volume (2)
    (in millions)
    2016   $         18,218   $         7,976   53   330,710   $         2,635.5
    2017     20,230     8,746   55   328,507     2,873.1
    2018     22,158     9,635   57   373,329     3,595.8
    2019     23,139     10,174   57   369,805     3,772.2
    2020     24,262     10,656   59   341,967     3,641.2
    2021     25,632     11,790   59   268,730     3,167.8
    2022     27,242     12,924   60   280,467     3,625.3
    2023     27,025     12,475   61   332,499     4,147.8
    2024     26,497     11,961   61   386,126     4,618.4
               2025 (3) (4)     25,376     11,362   60   185,764     2,110.7

    (1)   Represents the repayments that we were contractually owed on Consumer Loans at the time of assignment, which include both principal and interest.
    (2)   Represents advances paid to dealers on Consumer Loans assigned under the portfolio program and one-time payments made to dealers to purchase Consumer Loans assigned under the purchase program. Payments of dealer holdback and accelerated dealer holdback are not included.
    (3)   Represents activity for the six months ended June 30, 2025. Information in this table for each of the years prior to 2025 represents activity for all 12 months of that year.
    (4)   The averages for 2025 Consumer Loans include both Consumer Loans that were in our portfolio as of March 31, 2025 and Consumer Loans assigned during the most recent quarter. The following table provides averages for each of these segments:

        Average
    2025 Consumer Loan Assignment Period   Consumer Loan   Advance   Initial Loan Term (in months)
    January 1, 2025 through March 31, 2025   $         25,188   $         11,096           60
    April 1, 2025 through June 30, 2025             25,596             11,674           60

    The profitability of our loans is primarily driven by the amount and timing of the net cash flows we receive from the spread between the forecasted collection rate and the advance rate, less operating expenses and the cost of capital. Forecasting collection rates accurately at loan inception is difficult. With this in mind, we establish advance rates that are intended to allow us to achieve acceptable levels of profitability across our portfolio, even if collection rates are less than we initially forecast.
    The following table presents aggregate forecasted Consumer Loan collection rates, advance rates, and spreads (the forecasted collection rate less the advance rate), and the percentage of the forecasted collections that had been realized as of June 30, 2025, as well as forecasted collection rates and spreads at the time of assignment. All amounts, unless otherwise noted, are presented as a percentage of the initial balance of the Consumer Loan (principal + interest). The table includes both dealer loans and purchased loans.

        Forecasted Collection % as of       Spread % as of    
     Consumer Loan Assignment Year   June 30, 2025   Initial Forecast   Advance % (1)   June 30, 2025   Initial Forecast   % of Forecast
    Realized (2)
    2016           63.9  %           65.4  %           43.8  %           20.1  %           21.6  %           99.6  %
    2017           64.8  %           64.0  %           43.2  %           21.6  %           20.8  %           99.4  %
    2018           65.6  %           63.6  %           43.5  %           22.1  %           20.1  %           99.0  %
    2019           67.3  %           64.0  %           44.0  %           23.3  %           20.0  %           98.0  %
    2020           68.0  %           63.4  %           43.9  %           24.1  %           19.5  %           95.1  %
    2021           63.8  %           66.3  %           46.0  %           17.8  %           20.3  %           88.7  %
    2022           59.7  %           67.5  %           47.4  %           12.3  %           20.1  %           74.7  %
    2023           64.1  %           67.5  %           46.2  %           17.9  %           21.3  %           55.0  %
    2024           65.7  %           67.2  %           45.1  %           20.6  %           22.1  %           30.4  %
          2025 (3)           66.9  %           66.9  %           44.9  %           22.0  %           22.0  %           6.9  %

    (1)   Represents advances paid to dealers on Consumer Loans assigned under the portfolio program and one-time payments made to dealers to purchase Consumer Loans assigned under the purchase program as a percentage of the initial balance of the Consumer Loans.  Payments of dealer holdback and accelerated dealer holdback are not included.
    (2)   Presented as a percentage of total forecasted collections
    (3)   The forecasted collection rate, advance rate and spread for 2025 Consumer Loans as of June 30, 2025 include both Consumer Loans that were in our portfolio as of March 31, 2025 and Consumer Loans assigned during the most recent quarter. The following table provides forecasted collection rates, advance rates, and spreads for each of these segments:

        Forecasted Collection % as of       Spread % as of
    2025 Consumer Loan Assignment Period   June 30, 2025   Initial Forecast   Advance %   June 30, 2025   Initial Forecast
    January 1, 2025 through March 31, 2025           66.2  %           66.2  %           44.2  %           22.0  %           22.0  %
    April 1, 2025 through June 30, 2025           67.7  %           67.7  %           45.7  %           22.0  %           22.0  %

    The risk of a material change in our forecasted collection rate declines as the Consumer Loans age. For 2020 and prior Consumer Loan assignments, the risk of a material forecast variance is modest, as we have currently realized in excess of 90% of the expected collections. Conversely, the forecasted collection rates for more recent Consumer Loan assignments are less certain as a significant portion of our forecast has not been realized.

    The spread between the forecasted collection rate as of June 30, 2025 and the advance rate ranges from 12.3% to 24.1%, on an annual basis, for Consumer Loans assigned over the last 10 years. The spreads with respect to 2019 and 2020 Consumer Loans have been positively impacted by Consumer Loan performance, which has exceeded our initial estimates by a greater margin than the other years presented. The spreads with respect to 2021 through 2024 Consumer Loans have been negatively impacted by Consumer Loan performance, which has been lower than our initial estimates by a greater margin than the other years presented. The higher spread for 2025 Consumer Loans relative to 2024 Consumer Loans as of June 30, 2025 was primarily a result of Consumer Loan performance, as the performance of 2024 Consumer Loans has been lower than our initial estimates.

    The following table compares our forecast of aggregate Consumer Loan collection rates as of June 30, 2025 with the forecasts at the time of assignment, for dealer loans and purchased loans separately:

        Dealer Loans   Purchased Loans
        Forecasted Collection Percentage as of (1)       Forecasted Collection Percentage as of (1)    
     Consumer Loan Assignment Year   June 30,
    2025    		   Initial
    Forecast    		   Variance   June 30,
    2025    		   Initial
    Forecast    		   Variance
    2016           63.1  %           65.1  %           -2.0  %           66.1  %           66.5  %           -0.4  %
    2017           64.1  %           63.8  %           0.3  %           66.4  %           64.6  %           1.8  %
    2018           65.0  %           63.6  %           1.4  %           66.8  %           63.5  %           3.3  %
    2019           66.9  %           63.9  %           3.0  %           67.9  %           64.2  %           3.7  %
    2020           67.8  %           63.3  %           4.5  %           68.3  %           63.6  %           4.7  %
    2021           63.6  %           66.3  %           -2.7  %           64.3  %           66.3  %           -2.0  %
    2022           58.9  %           67.3  %           -8.4  %           61.7  %           68.0  %           -6.3  %
    2023           62.9  %           66.8  %           -3.9  %           67.6  %           69.4  %           -1.8  %
    2024           64.5  %           66.3  %           -1.8  %           70.0  %           70.7  %           -0.7  %
    2025           65.4  %           65.4  %           0.0  %           71.5  %           71.5  %           0.0  %

    (1)   The forecasted collection rates presented for dealer loans and purchased loans reflect the Consumer Loan classification at the time of assignment. The forecasted collection rates represent the total forecasted collections we expect to collect on the Consumer Loans as a percentage of the repayments that we were contractually owed on the Consumer Loans at the time of assignment. Contractual repayments include both principal and interest. Forecasted collection rates are negatively impacted by canceled Consumer Loans as the contractual amount owed is not removed from the denominator for purposes of computing forecasted collection rates.

    The following table presents aggregate forecasted Consumer Loan collection rates, advance rates, and spreads (the forecasted collection rate less the advance rate) as of June 30, 2025 for dealer loans and purchased loans separately.  All amounts are presented as a percentage of the initial balance of the Consumer Loan (principal + interest).

        Dealer Loans   Purchased Loans
     Consumer Loan Assignment Year   Forecasted Collection % (1)   Advance % (1)(2)   Spread %   Forecasted Collection % (1)   Advance % (1)(2)   Spread %
    2016           63.1  %           42.1  %           21.0  %           66.1  %           48.6  %           17.5  %
    2017           64.1  %           42.1  %           22.0  %           66.4  %           45.8  %           20.6  %
    2018           65.0  %           42.7  %           22.3  %           66.8  %           45.2  %           21.6  %
    2019           66.9  %           43.1  %           23.8  %           67.9  %           45.6  %           22.3  %
    2020           67.8  %           43.0  %           24.8  %           68.3  %           45.5  %           22.8  %
    2021           63.6  %           45.1  %           18.5  %           64.3  %           47.7  %           16.6  %
    2022           58.9  %           46.4  %           12.5  %           61.7  %           50.1  %           11.6  %
    2023           62.9  %           44.8  %           18.1  %           67.6  %           49.8  %           17.8  %
    2024           64.5  %           44.1  %           20.4  %           70.0  %           48.9  %           21.1  %
    2025           65.4  %           43.1  %           22.3  %           71.5  %           50.3  %           21.2  %

    (1)   The forecasted collection rates and advance rates presented for dealer loans and purchased loans reflect the Consumer Loan classification at the time of assignment.
    (2)   Represents advances paid to dealers on Consumer Loans assigned under the portfolio program and one-time payments made to dealers to purchase Consumer Loans assigned under the purchase program as a percentage of the initial balance of the Consumer Loans.  Payments of dealer holdback and accelerated dealer holdback are not included.

    Although the advance rate on purchased loans is higher as compared to the advance rate on dealer loans, purchased loans do not require us to pay dealer holdback.

    The spread as of June 30, 2025 on 2025 dealer loans was 22.3%, as compared to a spread of 20.4% on 2024 dealer loans. The increase was primarily a result of Consumer Loan performance, as the performance of 2024 dealer loans has been lower than our initial estimates.

    The spread as of June 30, 2025 on 2025 purchased loans was 21.2%, as compared to a spread of 21.1% on 2024 purchased loans, reflecting the net impact of two offsetting factors. Consumer Loan performance increased the spread from 2024 to 2025, as the performance of 2024 purchased loans has been lower than our initial estimates. This impact of Consumer Loan performance was partially offset by the impact of a lower initial spread on 2025 purchased loans, due to the advance rate increasing by a greater margin than the initial forecast in our purchased loan portfolio.

    Consumer Loan Volume

    The following table summarizes changes in Consumer Loan assignment volume in each of the last eight quarters as compared to the same period in the previous year:

        Year over Year Percent Change
    Three Months Ended   Unit Volume   Dollar Volume (1)
    September 30, 2023           13.0  %           10.5  %
    December 31, 2023           26.7  %           21.3  %
    March 31, 2024           24.1  %           20.2  %
    June 30, 2024           20.9  %           16.3  %
    September 30, 2024           17.7  %           12.2  %
    December 31, 2024           0.3  %           -4.9  %
    March 31, 2025           -10.1  %           -15.5  %
    June 30, 2025           -14.6  %           -18.8  %

    (1)   Represents advances paid to dealers on Consumer Loans assigned under the portfolio program and one-time payments made to dealers to purchase Consumer Loans assigned under the purchase program.  Payments of dealer holdback and accelerated dealer holdback are not included.

    Consumer Loan assignment volumes depend on a number of factors including (1) the overall demand for our financing programs and (2) the amount of capital available to fund new loans. Our pricing strategy is intended to maximize the amount of economic profit we generate, within the confines of capital constraints.

    Unit and dollar volumes declined 14.6% and 18.8%, respectively, during the second quarter of 2025 as the number of active dealers declined 0.8% and the average unit volume per active dealer declined 14.0%. Dollar volume declined by more than unit volume during the second quarter of 2025 due to a decrease in the average advance paid, primarily resulting from a decrease in the average size of Consumer Loans assigned. Unit volume for the 28-day period ended July 28, 2025 decreased 19.4% compared to the same period in 2024.

    The following table summarizes the changes in Consumer Loan unit volume and active dealers:

      For the Three Months Ended June 30,    
      2025   2024   % Change
    Consumer Loan unit volume         85,486            100,057            -14.6  %
    Active dealers (1)         10,655            10,736            -0.8  %
    Average volume per active dealer         8.0            9.3            -14.0  %
               
    Consumer Loan unit volume from dealers active both periods         68,747            82,646            -16.8  %
    Dealers active both periods         6,876            6,876            —   
    Average volume per dealer active both periods         10.0            12.0            -16.8  %
               
    Consumer loan unit volume from dealers not active both periods         16,739            17,411            -3.9  %
    Dealers not active both periods         3,779            3,860            -2.1  %
    Average volume per dealer not active both periods         4.4            4.5            -2.2  %

    (1)   Active dealers are dealers who have received funding for at least one Consumer Loan during the period.

    The following table provides additional information on the changes in Consumer Loan unit volume and active dealers: 

      For the Three Months Ended June 30,    
      2025     2024     % Change
    Consumer Loan unit volume from new active dealers         3,216              3,820              -15.8  %
    New active dealers (1)         1,094              1,080              1.3  %
    Average volume per new active dealer         2.9              3.5              -17.1  %
               
    Attrition (2)         -17.4  %           -16.7  %    

    (1)   New active dealers are dealers who enrolled in our program and have received funding for their first dealer loan or purchased loan from us during the period.
    (2)   Attrition is measured according to the following formula:  decrease in Consumer Loan unit volume from dealers who have received funding for at least one dealer loan or purchased loan during the comparable period of the prior year but did not receive funding for any dealer loans or purchased loans during the current period divided by prior year comparable period Consumer Loan unit volume.

    The following table shows the percentage of Consumer Loans assigned to us as dealer loans and purchased loans for each of the last eight quarters:

        Unit Volume   Dollar Volume (1)
    Three Months Ended   Dealer Loans   Purchased Loans   Dealer Loans   Purchased Loans
    September 30, 2023           74.8  %           25.2  %           71.7  %           28.3  %
    December 31, 2023           77.2  %           22.8  %           75.0  %           25.0  %
    March 31, 2024           78.2  %           21.8  %           76.6  %           23.4  %
    June 30, 2024           78.5  %           21.5  %           77.3  %           22.7  %
    September 30, 2024           79.5  %           20.5  %           78.4  %           21.6  %
    December 31, 2024           78.7  %           21.3  %           77.7  %           22.3  %
    March 31, 2025           77.0  %           23.0  %           75.1  %           24.9  %
    June 30, 2025           71.6  %           28.4  %           68.3  %           31.7  %

    (1)   Represents advances paid to dealers on Consumer Loans assigned under the portfolio program and one-time payments made to dealers to purchase Consumer Loans assigned under the purchase program.  Payments of dealer holdback and accelerated dealer holdback are not included.

    As of both June 30, 2025 and December 31, 2024, the net dealer loans receivable balance was 72.3% of the total net loans receivable balance. In 2025, we expanded dealer access to the purchase program for Consumer Loans to consumers with higher credit ratings. The increase in the percentage of purchased loans in 2025 Consumer Loan assignment volume was primarily related to Consumer Loans assigned under this expanded dealer access.

    Financial Results

    (Dollars in millions, except per share data) For the Three Months Ended June 30,    
        2025     2024     % Change
    GAAP average debt $         6,583.8    $         5,818.2              13.2  %
    GAAP average shareholders’ equity           1,635.9              1,623.5              0.8  %
    Average capital $         8,219.7    $         7,441.7              10.5  %
    GAAP net income (loss) $         87.4    $         (47.1)             285.6  %
    Diluted weighted average shares outstanding   11,771,525      12,282,174              -4.2  %
    GAAP net income (loss) per diluted share $         7.42    $         (3.83)             293.7  %

    The increase in GAAP net income for the three months ended June 30, 2025, as compared to the same period in 2024, was primarily a result of the following:

    • A decrease in provision for credit losses of 46.2% ($148.0 million), due to:
      • A decrease in provision for credit losses on forecast changes of $136.5 million, due to a smaller decline in Consumer Loan performance, which was primarily the result of a smaller downward forecast adjustment applied to our forecasting methodology during the second quarter of 2025 compared to the downward forecast adjustment applied in the second quarter of 2024. The implementation of the forecast adjustment during the second quarter of 2025 reduced forecasted net cash flows by $18.6 million, or 0.2%, and increased provision for credit losses by $16.5 million, whereas the implementation of the forecast adjustment during the second quarter of 2024 reduced forecasted net cash flows by $147.2 million, or 1.4%, and increased our provision for credit losses by $127.5 million.
      • A decrease in provision for credit losses on new Consumer Loan assignments of $11.5 million, primarily due to a 14.6% decrease in Consumer Loan assignment unit volume.
    • An increase in finance charges of 8.6% ($43.0 million), primarily due to an increase in the average balance of our loan portfolio.
    • A loss on sale of a building of $23.7 million recognized during the three months ended June 30, 2024.
    • An increase in interest expense of 13.0% ($13.6 million), primarily due to an increase in our average outstanding debt balance, primarily due to borrowings used to fund the growth of our loan portfolio and stock repurchases.
    • An increase in operating expenses of 25.0% ($31.1 million), primarily due to:
      • An increase in general and administrative expense of 94.8% ($22.0 million), primarily due to an increase in legal expenses, which included the recognition of a $23.4 million contingent loss during the second quarter of 2025 related to previously disclosed legal matters.
      • An increase in salaries and wages expense of 10.4% ($7.9 million), primarily due to increases in (i) the number of team members, as we are investing in our business with the goal of increasing the speed at which we enhance our product for dealers and consumers, and (ii) stock-based compensation expense, primarily due to equity awards granted to our executive officers and senior leaders.
    • An increase in provision for income taxes of 470.7% ($38.6 million), primarily due to an increase in pre-tax income.

    Adjusted financial results are provided to help shareholders understand our financial performance. The financial data below is non-GAAP, unless labeled otherwise. We use adjusted financial information internally to measure financial performance and to determine certain incentive compensation. We also use economic profit as a framework to evaluate business decisions and strategies, with the objective to maximize economic profit over the long term. In addition, certain debt facilities utilize adjusted financial information for the determination of loan collateral values and to measure financial covenants. The table below shows our results following adjustments to reflect non-GAAP accounting methods. Material adjustments are explained in the table footnotes and the subsequent “Floating Yield Adjustment” and “Senior Notes Adjustment” sections. Measures such as adjusted average capital, adjusted net income, adjusted net income per diluted share, adjusted interest expense (after-tax), adjusted net income plus adjusted interest expense (after-tax), adjusted return on capital, adjusted revenue, operating expenses, adjusted loans receivable, adjusted finance charges, adjusted average loans receivable, economic profit, and economic profit per diluted share are non-GAAP financial measures. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, our reported results prepared in accordance with GAAP.

    Adjusted financial results for the three months ended June 30, 2025, compared to the same period in 2024, include the following:

    (Dollars in millions, except per share data) For the Three Months Ended June 30,    
        2025       2024     % Change
    Adjusted average capital $         8,932.7      $         8,033.3              11.2  %
    Adjusted net income $         100.8      $         126.4              -20.3  %
    Adjusted interest expense (after-tax) $         88.6      $         80.5              10.1  %
    Adjusted net income plus adjusted interest expense (after-tax) $         189.4      $         206.9              -8.5  %
    Adjusted return on capital           8.5  %             10.3  %           -17.5  %
    Cost of capital           7.4  %             7.5  %           -1.3  %
    Economic profit $         24.4      $         56.2              -56.6  %
    Diluted weighted average shares outstanding   11,771,525        12,282,174              -4.2  %
    Adjusted net income per diluted share $         8.56      $         10.29              -16.8  %
    Economic profit per diluted share $         2.07      $         4.58              -54.8  %

    Economic profit decreased 56.6% for the three months ended June 30, 2025, as compared to the same period in 2024. Economic profit is a function of the return on capital in excess of the cost of capital and the amount of capital invested in the business. The following table summarizes the impact each of these components had on the changes in economic profit for the three months ended June 30, 2025, as compared to the same period in 2024:

    (In millions) Year over Year Change in Economic Profit
      For the Three Months Ended June 30, 2025
    Decrease in adjusted return on capital $         (40.6)  
    Decrease in cost of capital           2.5   
    Increase in adjusted average capital           6.3   
    Decrease in economic profit $         (31.8)  

    The decrease in economic profit for the three months ended June 30, 2025, as compared to the same period in 2024, was primarily a result of the following:

    • A decrease in our adjusted return on capital of 180 basis points, primarily due to:
      • A decrease in the yield used to recognize adjusted finance charges on our loan portfolio decreased our adjusted return on capital by 100 basis points, primarily due to both a decline in forecasted collection rates and slower forecasted net cash flow timing throughout 2024 and 2025. The slower forecasted net cash flow timing was primarily due to lower-than-expected Consumer Loan prepayments, which remain below historical averages.
      • An increase in operating expenses decreased our adjusted return on capital by 60 basis points as operating expenses increased by 25.0% while adjusted average capital increased by 11.2%. The increase in operating expenses was primarily due to an increase in legal expenses, which included the recognition of a $23.4 million contingent loss during the second quarter of 2025 related to previously disclosed legal matters.
      • An increase in our estimated long-term effective income tax rate decreased our adjusted return on capital by 20 basis points as the rate increased from 23% to 25% for the second quarter of 2025 and future periods. The increase in our long-term estimate was due to higher state and local income taxes in certain jurisdictions and lower excess tax benefits from stock-based compensation.
    • An increase in adjusted average capital of 11.2%, primarily due to an increase in the average balance of our loan portfolio.

    The following table shows adjusted revenue and operating expenses as a percentage of adjusted average capital, the adjusted return on capital, and the percentage change in adjusted average capital for each of the last eight quarters, compared to the same period in the prior year:

        For the Three Months Ended
        Jun. 30, 2025   Mar. 31, 2025   Dec. 31, 2024   Sept. 30, 2024   Jun. 30, 2024   Mar. 31, 2024   Dec. 31, 2023   Sept. 30, 2023
    Adjusted finance charges as a percentage of adjusted average loans receivable (1)           17.0  %           16.7  %           16.5  %           16.4  %           17.8  %           17.6  %           17.9  %           18.5  %
    Adjusted revenue as a percentage of adjusted average capital (1)           18.3  %           18.0  %           18.4  %           18.2  %           19.6  %           19.8  %           20.2  %           20.7  %
    Operating expenses as a percentage of adjusted average capital (1)           7.0  %           6.1  %           5.6  %           6.2  %           6.2  %           6.7  %           6.3  %           6.3  %
    Adjusted return on capital (1)           8.5  %           9.2  %           9.8  %           9.3  %           10.3  %           10.1  %           10.6  %           11.1  %
    Percentage change in adjusted average capital compared to the same period in the prior year           11.2  %           18.3  %           19.3  %           19.4  %           17.6  %           14.6  %           11.5  %           8.8  %

    (1)   Annualized.

    The decrease in adjusted return on capital for the three months ended June 30, 2025, as compared to the three months ended March 31, 2025, was primarily due to faster growth in operating expenses, which decreased the adjusted return on capital by 70 basis points, as operating expenses increased by 14.8% while adjusted average capital grew 0.6%. The $20.0 million increase in operating expenses was primarily due to an increase in legal expenses, which included the recognition of a $23.4 million contingent loss during the second quarter of 2025 related to previously disclosed legal matters. The decrease was partially offset by an increase in the yield used to recognize adjusted finance charges on our loan portfolio, which increased our adjusted return on capital by 40 basis points, due to higher yields on more recent Consumer Loan assignments, partially offset by a decline in Consumer Loan performance in the first and second quarters of 2025.

    The following tables provide a reconciliation of non-GAAP measures to GAAP measures.  Certain amounts do not recalculate due to rounding.

    (Dollars in millions, except per share data)   For the Three Months Ended
        Jun. 30, 2025   Mar. 31, 2025   Dec. 31, 2024   Sept. 30, 2024   Jun. 30, 2024   Mar. 31, 2024   Dec. 31, 2023   Sept. 30, 2023
    Adjusted net income                                
    GAAP net income (loss)   $         87.4      $         106.3      $         151.9      $         78.8      $         (47.1)     $         64.3      $         93.6      $         70.8   
    Floating yield adjustment (after-tax)             (117.1)               (118.9)               (116.8)               (115.1)               (96.1)               (92.4)               (83.9)               (76.4)  
    GAAP provision for credit losses (after-tax)             129.6                124.6                95.0                142.2                246.9                143.2                126.1                142.1   
    Loss on sale of building (after-tax) (1)             —                —                —                —                18.3                —                —                —   
    Senior notes adjustment (after-tax)             —                —                —                —                —                —                (2.6)               (0.5)  
    Income tax adjustment (2)             0.9                2.8                (4.1)               3.2                4.4                2.3                (4.1)               3.5   
    Adjusted net income   $         100.8      $         114.8      $         126.0      $         109.1      $         126.4      $         117.4      $         129.1      $         139.5   
                                     
    Adjusted net income per diluted share (3)   $         8.56       $         9.35      $         10.17      $         8.79      $         10.29      $         9.28      $         10.06      $         10.70   
    Diluted weighted average shares outstanding     11,771,525        12,279,446        12,388,072        12,415,143        12,282,174        12,646,529        12,837,181        13,039,638   
    Adjusted revenue                                
    GAAP total revenue   $         583.8      $         571.1      $         565.9      $         550.3      $         538.2      $         508.0      $         491.6      $         478.6   
    Floating yield adjustment             (156.0)               (154.5)               (151.8)               (149.4)               (124.8)               (120.0)               (108.9)               (99.3)  
    GAAP provision for claims             (19.8)               (16.1)               (17.7)               (18.5)               (20.3)               (17.0)               (16.6)               (16.5)  
    Adjusted revenue   $         408.0      $         400.5      $         396.4      $         382.4      $         393.1      $         371.0      $         366.1      $         362.8   
    Adjusted average capital                                
    GAAP average debt   $         6,583.8      $         6,398.3      $         6,202.5      $         6,071.1      $         5,818.2      $         5,306.8      $         4,986.3      $         4,831.4   
    Deferred debt issuance adjustment             —                —                —                —                —                —                20.9                24.5   
    Senior notes debt adjustment             —                —                —                —                —                —                2.8                3.4   
    Adjusted average debt             6,583.8                6,398.3                6,202.5                6,071.1                5,818.2                5,306.8                5,010.0                4,859.3   
    GAAP average shareholders’ equity             1,635.9                1,782.0                1,712.3                1,594.2                1,623.5                1,678.5                1,734.3                1,731.3   
    Senior notes equity adjustment             —                —                —                —                —                —                2.0                2.9   
    Income tax adjustment (4)             (100.5)               (118.5)               (118.5)               (118.5)               (118.5)               (118.5)               (118.5)               (118.5)  
    Floating yield adjustment             813.5                820.8                837.0                840.8                710.1                641.0                606.5                548.9   
    Adjusted average equity             2,348.9                2,484.3                2,430.8                2,316.5                2,215.1                2,201.0                2,224.3                2,164.6   
    Adjusted average capital   $         8,932.7      $         8,882.6      $         8,633.3      $         8,387.6      $         8,033.3      $         7,507.8      $         7,234.3      $         7,023.9   
    Adjusted revenue as a percentage of adjusted average capital (5)             18.3  %             18.0  %             18.4  %             18.2  %             19.6  %             19.8  %             20.2  %             20.7  %
    Adjusted loans receivable                                
    GAAP loans receivable, net   $         8,001.9      $         7,978.2      $         7,850.3      $         7,781.5      $         7,547.7      $         7,345.6      $         6,955.3      $         6,780.5   
    Floating yield adjustment             1,096.4                1,079.8                1,072.4                1,100.8                1,065.6                869.7                803.8                748.9   
    Adjusted loans receivable   $         9,098.3      $         9,058.0      $         8,922.7      $         8,882.3      $         8,613.3      $         8,215.3      $         7,759.1      $         7,529.4   
    Adjusted loan yield                                
    GAAP finance charges   $         540.7      $         526.7      $         518.2      $         507.6      $         497.7      $         469.2      $         451.6      $         441.7   
    Floating yield adjustment             (156.0)               (154.5)               (151.8)               (149.4)               (124.8)               (120.0)               (108.9)               (99.3)  
    Adjusted finance charges   $         384.7      $         372.2      $         366.4      $         358.2      $         372.9      $         349.2      $         342.7      $         342.4   
                                     
    GAAP average loans receivable, net   $         8,011.6      $         7,882.4      $         7,831.4      $         7,690.9      $         7,499.2      $         7,101.3      $         6,867.8      $         6,690.8   
    Average floating yield adjustment             1,064.1                1,048.9                1,071.4                1,072.2                903.2                819.7                775.6                701.0   
    Adjusted average loans receivable   $         9,075.7      $         8,931.3      $         8,902.8      $         8,763.1      $         8,402.4      $         7,921.0      $         7,643.4      $         7,391.8   
    Adjusted finance charges as a percentage of adjusted average loans receivable (5)             17.0  %             16.7  %             16.5  %             16.4  %             17.8  %             17.6  %             17.9  %             18.5  %

    (1)   The sale of one of our two office buildings in June 2024 resulted in a loss on the sale of the asset. As this transaction is both unusual and infrequent in nature, we applied this adjustment to remove the impact of the loss on sale of building from our adjusted net income.
    (2)   Adjustment to record taxes at our estimated long-term effective income tax rate. The adjustment for the three months ended June 30, 2025 is calculated using a 25% income tax rate, which is expected to be used for the remainder of 2025 and future periods. This rate represents an increase from 23%, which had been used to calculate after-tax adjustments since 2018, following the enactment in December 2017 of Public Law 115-97, commonly referred to as the Tax Cuts and Jobs Act (the “2017 Tax Act”). The increase in our long-term estimate was due to higher state and local income taxes in certain jurisdictions and lower excess tax benefits from stock-based compensation.
    (3)   Net income per diluted share is computed independently for each of the quarters presented. Therefore, the sum of quarterly net income per diluted share information may not equal year-to-date net income per diluted share.
    (4)   The enactment of the 2017 Tax Act resulted in the reversal of provision for income taxes to reflect a new, lower federal statutory income tax rate. We began applying the income tax adjustment at that time to remove the impact of this reversal from adjusted average capital. As the enactment of Public Law 119-21 on July 4, 2025 made the lower federal statutory tax rate permanent, removing uncertainty on the future federal statutory income tax rate, we increased our estimated long-term effective income tax rate from 23% to 25% to reflect higher expected state and local income taxes in certain jurisdictions and lower excess tax benefits from stock-based compensation in future periods. We believe the income tax adjustment provides a more accurate reflection of the performance of our business as we are recognizing provision for income taxes at the applicable long-term effective tax rate for the period.
    (5)   Annualized.

    (Dollars in millions)   For the Three Months Ended
        Jun. 30, 2025   Mar. 31, 2025   Dec. 31, 2024   Sept. 30, 2024   Jun. 30, 2024   Mar. 31, 2024   Dec. 31, 2023   Sept. 30, 2023
    Adjusted interest expense (after-tax)                                
    GAAP interest expense   $         118.1      $         114.7      $         111.3      $         111.2      $         104.5      $         92.5      $         78.8      $         70.5   
    Senior notes adjustment             —                —                —                —                —                —                3.5                0.7   
    Adjusted interest expense (pre-tax)             118.1                114.7                111.3                111.2                104.5                92.5                82.3                71.2   
    Adjustment to record tax effect (1)             (29.5)               (26.4)               (25.6)               (25.6)               (24.0)               (21.3)               (18.9)               (16.4)  
    Adjusted interest expense (after-tax)   $         88.6      $         88.3      $         85.7      $         85.6      $         80.5      $         71.2      $         63.4      $         54.8   
                                     
    Adjusted return on capital (2)                                
    Adjusted net income   $         100.8      $         114.8      $         126.0      $         109.1      $         126.4      $         117.4      $         129.1      $         139.5   
    Adjusted interest expense (after-tax)             88.6                88.3                85.7                85.6                80.5                71.2                63.4                54.8   
    Adjusted net income plus adjusted interest expense (after-tax)   $         189.4      $         203.1      $         211.7      $         194.7      $         206.9      $         188.6      $         192.5      $         194.3   
                                     
    Reconciliation of GAAP return on equity to adjusted return on capital (5)                                
    GAAP return on equity (3)             21.4  %             23.9  %             35.5  %             19.8  %             -11.6  %             15.3  %             21.6  %             16.4  %
    Non-GAAP adjustments             -29.9  %             -14.7  %             -25.7  %             -10.5  %             21.9  %             -5.2  %             -11.0  %             -5.3  %
    Adjusted return on capital (2)             8.5  %             9.2  %             9.8  %             9.3  %             10.3  %             10.1  %             10.6  %             11.1  %
                                     
    Economic profit                                
    Adjusted return on capital             8.5  %             9.2  %             9.8  %             9.3  %             10.3  %             10.1  %             10.6  %             11.1  %
    Cost of capital (4) (5)             7.4  %             7.6  %             7.4  %             7.3  %             7.5  %             7.3  %             7.6  %             7.1  %
    Adjusted return on capital in excess of cost of capital             1.1  %             1.6  %             2.4  %             2.0  %             2.8  %             2.8  %             3.0  %             4.0  %
    Adjusted average capital   $         8,932.7      $         8,882.6      $         8,633.3      $         8,387.6      $         8,033.3      $         7,507.8      $         7,234.3      $         7,023.9   
        Economic profit   $         24.4      $         35.3      $         51.3      $         41.4      $         56.2      $         51.4      $         55.9      $         69.1   
                                     
    Reconciliation of GAAP net income (loss) to economic profit                                
    GAAP net income (loss)   $         87.4      $         106.3      $         151.9      $         78.8      $         (47.1)     $         64.3      $         93.6      $         70.8   
    Non-GAAP adjustments             13.4                8.5                (25.9)               30.3                173.5                53.1                35.5                68.7   
    Adjusted net income             100.8                114.8                126.0                109.1                126.4                117.4                129.1                139.5   
    Adjusted interest expense (after-tax)             88.6                88.3                85.7                85.6                80.5                71.2                63.4                54.8   
    Adjusted net income plus adjusted interest expense (after-tax)             189.4                203.1                211.7                194.7                206.9                188.6                192.5                194.3   
    Less: cost of capital             165.0                167.8                160.4                153.3                150.7                137.2                136.6                125.2   
    Economic profit   $         24.4      $         35.3      $         51.3      $         41.4      $         56.2      $         51.4      $         55.9      $         69.1   
                                     
    Economic profit per diluted share (6)   $         2.07      $         2.87      $         4.14      $         3.33      $         4.58      $         4.06      $         4.35      $         5.30   
    Operating expenses as a percentage of adjusted average capital (5)             7.0  %             6.1  %             5.6  %             6.2  %             6.2  %             6.7  %             6.3  %             6.3  %
    Percentage change in adjusted average capital compared to the same period in the prior year             11.2  %             18.3  %             19.3  %             19.4  %             17.6  %             14.6  %             11.5  %             8.8  %

    (1)   Adjustment to record taxes at our estimated long-term effective income tax rate. The adjustment for the three months ended June 30, 2025 is calculated using a 25% income tax rate, which is expected to be used for the remainder of 2025 and future periods. This rate represents an increase from 23%, which had been used to calculate after-tax adjustments since 2018, following the enactment of the 2017 Tax Act. The increase in our long-term estimate was due to higher state and local income taxes in certain jurisdictions and lower excess tax benefits from stock-based compensation.
    (2)   Adjusted return on capital is defined as adjusted net income plus adjusted interest expense (after-tax) divided by adjusted average capital.
    (3)        Calculated by dividing GAAP net income (loss) by GAAP average shareholders’ equity.

    (4)   The cost of capital includes both a cost of equity and a cost of debt.  The cost of equity capital is determined based on a formula that considers the risk of the business and the risk associated with our use of debt.  The formula utilized for determining the cost of equity capital is as follows: (the average 30-year Treasury rate + 5%) + [(1 – tax rate) x (the average 30-year Treasury rate + 5% – pre-tax average cost of debt rate) x average debt/(average equity + average debt x tax rate)].  For the periods presented, the average 30-year Treasury rate and the adjusted pre-tax average cost of debt were as follows:

        For the Three Months Ended
        Jun. 30, 2025   Mar. 31, 2025   Dec. 31, 2024   Sept. 30, 2024   Jun. 30, 2024   Mar. 31, 2024   Dec. 31, 2023   Sept. 30, 2023
    Average 30-year Treasury rate           4.8  %           4.7  %           4.4  %           4.3  %           4.6  %          4.3  %           4.7  %           4.2  %
    Pre-tax average cost of debt (5)           7.2  %           7.2  %           7.2  %           7.3  %           7.2  %           7.0  %           6.3  %           5.9  %

    (5)   Annualized.
    (6)   Economic profit per diluted share is computed independently for each of the quarters presented. Therefore, the sum of quarterly economic profit per diluted share information may not equal year-to-date economic profit per diluted share.

    Floating Yield Adjustment

    The net loan income (finance charge revenue less provision for credit losses expense) that we recognize over the life of a loan equals the cash we collect from the underlying Consumer Loan less the cash we pay to the dealer. We believe the economics of our business are best exhibited by recognizing loan revenue on a level-yield basis over the life of the loan based on expected future net cash flows. The purpose of this non-GAAP adjustment is to provide insight into our business by showing this level yield measure of income. Under GAAP, contractual amounts due in excess of the loan receivable balance at the time of assignment will be reflected as interest income, while contractual amounts due that are not expected to be collected are reflected in the provision for credit losses. Our non-GAAP floating yield adjustment recognizes the net effects of contractual interest income and expected credit losses in a single measure of finance charge revenue, consistent with how we manage our business. The floating yield adjustment recognizes revenue on a level-yield basis based upon expected future net cash flows, with any changes in expected future net cash flows, which are recognized immediately under GAAP as provision for credit losses, recognized over the remaining forecast period (up to 120 months after the origination date of the underlying Consumer Loans) for each individual dealer loan and purchased loan. The floating yield adjustment does not accelerate revenue recognition. Rather, it reduces revenue by taking amounts that are reported under GAAP as provision for credit losses and instead treating them as reductions of revenue over time.

    Under the GAAP methodology we employ, which is known as the current expected credit loss model, or CECL, we are required to recognize:

    • a significant provision for credit losses expense at the time of the loan’s assignment to us for contractual net cash flows we do not expect to realize; and
    • finance charge revenue in subsequent periods that is significantly in excess of our expected yield.

    Due to the GAAP treatment of contractual net cash flows we do not expect to realize at the time of loan assignment (i.e. significant expense at the time of loan assignment, which is offset by higher revenue in subsequent periods), we do not believe the GAAP methodology we employ provides sufficient transparency into the economics of our business, including our results of operations, financial condition, and financial leverage. Our floating yield adjustment enables us to provide measures of income that are not impacted by GAAP’s treatment of contractual net cash flows we do not expect to realize at the time of loan assignment. We believe the floating yield adjustment is presented in a manner which reflects both the economic reality of our business and how the business is managed and provides valuable supplemental information to help investors better understand our business, executive compensation, liquidity, and capital resources.

    Senior Notes Adjustment (applied in periods prior to December 31, 2023)

    This non-GAAP adjustment modifies our GAAP financial results to treat the issuance of certain senior notes as a refinancing of certain previously issued senior notes. Our historical adjusted financial information reflects application of the senior notes adjustment as described below in connection with (i) the issuance by us in 2014 of $300.0 million principal amount of 6.125% senior notes due 2021 (the “2021 senior notes”) and the related retirement of our 9.125% senior notes due 2017 (the “2017 senior notes”) and (ii) the issuance by us in 2019 of $400.0 million principal amount of 5.125% senior notes due 2024 (the “2024 senior notes”) and the related retirement of the 2021 senior notes and our 7.375% senior notes due 2023 (the “2023 senior notes”).

    We issued the 2024 senior notes on December 18, 2019. We used a portion of the net proceeds from the 2024 senior notes to repurchase or redeem all of the $300.0 million outstanding principal amount of the 2021 senior notes, of which $148.2 million was repurchased on December 18, 2019 and the remaining $151.8 million was redeemed on January 17, 2020. We used the remaining net proceeds from the 2024 senior notes, together with borrowings under our revolving credit facility, to redeem in full the $250.0 million outstanding principal amount of the 2023 senior notes on March 15, 2020. Under GAAP, the fourth quarter of 2019 included (i) a pre-tax loss on extinguishment of debt of $1.8 million related to the repurchase of 2021 senior notes in the fourth quarter of 2019 and the redemption of the remaining 2021 senior notes in the first quarter of 2020 and (ii) additional interest expense of $0.3 million on $160.0 million of additional outstanding debt caused by the one month lag from the issuance of the 2024 senior notes and repurchase of 2021 senior notes in the fourth quarter of 2019 to the redemption of the remaining 2021 senior notes in the first quarter of 2020. Under GAAP, the first quarter of 2020 included (i) a pre-tax loss on extinguishment of debt of $7.4 million related to the redemption of 2023 senior notes in the first quarter of 2020 and (ii) additional interest expense of $0.4 million on $160.0 million of additional outstanding debt caused by the one month lag from the issuance of the 2024 senior notes and repurchase of 2021 senior notes in the fourth quarter of 2019 to the redemption of the remaining 2021 senior notes in the first quarter of 2020.

    We issued the 2021 senior notes on January 22, 2014. On February 21, 2014, we used the net proceeds from the 2021 senior notes, together with borrowings under our revolving credit facilities, to redeem in full the $350.0 million outstanding principal amount of the 2017 senior notes. Under GAAP, the first quarter of 2014 included (i) a pre-tax loss on extinguishment of debt of $21.8 million related to the redemption of the 2017 senior notes in the first quarter of 2014 and (ii) additional interest expense of $1.4 million on $276.0 million of additional outstanding debt caused by the one month lag from the issuance of the 2021 senior notes to the redemption of the 2017 senior notes.

    Under our non-GAAP approach, the loss on extinguishment of debt and additional interest expense that were recognized for GAAP purposes were in each case deferred as debt issuance costs to be recognized ratably as interest expense over the term of the newly issued notes. In addition, for adjusted average capital purposes, the impact of additional outstanding debt related to the lag from the issuance of the new notes to the redemption of the previously issued notes was in each case deferred to be recognized ratably over the term of the newly issued notes. Upon the issuance of the 2024 senior notes in the fourth quarter of 2019, the outstanding unamortized balances of the non-GAAP adjustments related to the 2021 senior notes were deferred and were recognized ratably over the term of the 2024 senior notes, until the repurchase and redemption of the 2024 senior notes in December 2023.

    We believe the application of the senior notes adjustment as described above provides a more accurate reflection of the performance of our business, since we were recognizing the costs incurred with these transactions in a manner consistent with how we recognize the costs incurred when we periodically refinance our other debt facilities. We have determined not to apply the senior notes adjustments in connection with (i) the issuance by us in December 2023 of our 9.250% senior notes due 2028 and the related retirement of the 2024 senior notes or (ii) the issuance by us in February 2025 of our 6.625% senior notes due 2030 and the related retirement of the 2026 senior notes, because the adjustments would not be material.

    Cautionary Statement Regarding Forward-Looking Information

    We claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 for all of our forward-looking statements. Statements in this release that are not historical facts, such as those using terms like “may,” “will,” “should,” “believe,” “expect,” “anticipate,” “assume,” “forecast,” “estimate,” “intend,” “plan,” “target,” or similar expressions, and those regarding our future results, plans, and objectives, are “forward-looking statements” within the meaning of the federal securities laws. These forward-looking statements represent our outlook only as of the date of this release. Actual results could differ materially from these forward-looking statements since the statements are based on our current expectations, which are subject to risks and uncertainties. Factors that might cause such a difference include, but are not limited to, the factors set forth in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2024, filed with the Securities and Exchange Commission (the “SEC”) on February 12, 2025, and Item 1A in Part II of our Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2025, filed with the SEC on July 31, 2025, and other risk factors discussed herein or listed from time to time in our reports filed with the SEC and the following:

    Industry, Operational, and Macroeconomic Risks

    • Our inability to accurately forecast and estimate the amount and timing of future collections could have a material adverse effect on results of operations.
    • Due to competition from traditional financing sources and non-traditional lenders, we may not be able to compete successfully.
    • Adverse changes in economic conditions, the automobile or finance industries, or the non-prime consumer market could adversely affect our financial position, liquidity, and results of operations, the ability of key vendors that we depend on to supply us with services, and our ability to enter into future financing transactions.
    • Reliance on third parties to administer our ancillary product offerings could adversely affect our business and financial results.
    • We are dependent on our senior management, and the loss of any of these individuals or an inability to hire additional team members could adversely affect our ability to operate profitably.
    • Our reputation is a key asset to our business, and our business may be affected by how we are perceived in the marketplace.
    • An outbreak of contagious disease or other public health emergency could materially and adversely affect our business, financial condition, liquidity, and results of operations.
    • The concentration in several states of automobile dealers who participate in our programs could adversely affect us.
    • Reliance on our outsourced business functions could adversely affect our business.
    • Our ability to hire and retain foreign engineering personnel could be hindered by immigration restrictions.
    • We may be unable to execute our business strategy due to current economic conditions.
    • Natural disasters, climate change, military conflicts, acts of war, terrorist attacks and threats, or the escalation of military activity in response to terrorist attacks or otherwise may negatively affect our business, financial condition, and results of operations.
    • Governmental or market responses to climate change and related environmental issues could have a material adverse effect on our business.
    • A small number of our shareholders have the ability to significantly influence matters requiring shareholder approval and such shareholders have interests which may conflict with the interests of our other security holders.

    Capital and Liquidity Risks

    • We may be unable to continue to access or renew funding sources and obtain capital needed to maintain and grow our business.
    • The terms of our debt limit how we conduct our business.
    • A violation of the terms of our asset-backed secured financings or revolving secured warehouse facilities could have a material adverse impact on our operations.
    • Our substantial debt could negatively impact our business, prevent us from satisfying our debt obligations, and adversely affect our financial condition.
    • We may not be able to generate sufficient cash flows to service our outstanding debt and fund operations and may be forced to take other actions to satisfy our obligations under such debt.
    • Interest rate fluctuations may adversely affect our borrowing costs, profitability, and liquidity.
    • Reduction in our credit rating could increase the cost of our funding from, and restrict our access to, the capital markets and adversely affect our liquidity, financial condition, and results of operations.
    • We may incur substantially more debt and other liabilities. This could exacerbate further the risks associated with our current debt levels.
    • The conditions of the U.S. and international capital markets may adversely affect lenders with which we have relationships, causing us to incur additional costs and reducing our sources of liquidity, which may adversely affect our financial position, liquidity, and results of operations.

    Technology and Cybersecurity Risks

    • Our dependence on technology could have a material adverse effect on our business.
    • We depend on secure information technology, and a breach of our systems or those of our third-party service providers could result in our experiencing significant financial, legal, and reputational exposure and could materially adversely affect our business, financial condition, and results of operations.
    • Our use of electronic contracts could impact our ability to perfect our ownership or security interest in Consumer Loans.
    • Failure to properly safeguard our proprietary business information or confidential consumer and team member personal information could subject us to liability, decrease our profitability, and damage our reputation.
    • The development and use of artificial intelligence presents risks and challenges that may adversely impact our business.

    Legal and Regulatory Risks

    • Litigation we are involved in from time to time may adversely affect our financial condition, results of operations, and cash flows.
    • Changes in tax laws and the resolution of uncertain income tax matters could have a material adverse effect on our results of operations and cash flows from operations.
    • The regulations to which we are or may become subject could result in a material adverse effect on our business.

    Other factors not currently anticipated by management may also materially and adversely affect our business, financial condition, and results of operations. We do not undertake, and expressly disclaim any obligation, to update or alter our statements, whether as a result of new information or future events or otherwise, except as required by applicable law.

    Webcast Details

    We will host a webcast on July 31, 2025 at 5:00 p.m. Eastern Time to discuss our second quarter results. The webcast can be accessed live by visiting the “Investor Relations” section of our website at ir.creditacceptance.com or by telephone as described below. Only persons accessing the webcast by telephone will be able to pose questions to the presenters during the webcast. A replay and transcript of the webcast will be archived in the “Investor Relations” section of our website. 

    To participate in the webcast by telephone, you must pre-register at https://register.vevent.com/register/BIdf2e1302737241fd92014eec2b76a62f, or through the link posted on the “Investor Relations” section of our website at ir.creditacceptance.com. Upon registration you will be provided with the dial-in number and a unique PIN to access the webcast by telephone.

    Description of Credit Acceptance Corporation

    We make vehicle ownership possible by providing innovative financing solutions that enable automobile dealers to sell vehicles to consumers regardless of their credit history. Our financing programs are offered through a nationwide network of automobile dealers who benefit from sales of vehicles to consumers who otherwise could not obtain financing; from repeat and referral sales generated by these same customers; and from sales to customers responding to advertisements for our financing programs, but who actually end up qualifying for traditional financing.

    Without our financing programs, consumers are often unable to purchase vehicles or they purchase unreliable ones. Further, as we report to the three national credit reporting agencies, an important ancillary benefit of our programs is that we provide consumers with an opportunity to improve their lives by improving their credit score and move on to more traditional sources of financing. Credit Acceptance is publicly traded on the Nasdaq Stock Market under the symbol CACC. For more information, visit creditacceptance.com.

    CREDIT ACCEPTANCE CORPORATION
    CONSOLIDATED STATEMENTS OF INCOME
    (UNAUDITED)
            

    (Dollars in millions, except per share data) For the Three Months Ended June 30,
        2025     2024  
    Revenue:      
    Finance charges $         540.7    $         497.7   
    Premiums earned           24.1              24.3   
    Other income           19.0              16.2   
    Total revenue           583.8              538.2   
    Costs and expenses:      
    Salaries and wages           83.7              75.8   
    General and administrative           45.2              23.2   
    Sales and marketing           26.6              25.4   
    Total operating expenses           155.5              124.4   
           
    Provision for credit losses on forecast changes           101.3              237.8   
    Provision for credit losses on new Consumer Loan assignments           71.3              82.8   
    Total provision for credit losses           172.6              320.6   
           
    Interest           118.1              104.5   
    Provision for claims           19.8              20.3   
    Loss on sale of building           —              23.7   
    Total costs and expenses           466.0              593.5   
           Income (loss) before provision for income taxes           117.8              (55.3)  
    Provision (benefit) for income taxes           30.4              (8.2)  
           Net income (loss) $         87.4    $         (47.1)  
           
    Net income (loss) per share:      
    Basic $         7.55    $         (3.83)  
    Diluted $         7.42    $         (3.83)  
           
    Weighted average shares outstanding:      
    Basic           11,574,018              12,282,174   
    Diluted           11,771,525              12,282,174   

    CREDIT ACCEPTANCE CORPORATION
    CONSOLIDATED BALANCE SHEETS
    (UNAUDITED)

    (Dollars in millions, except per share data) As of
      June 30, 2025   December 31, 2024
    ASSETS:      
    Cash and cash equivalents $         70.0      $         343.7   
    Restricted cash and cash equivalents           493.8                501.3   
    Restricted securities available for sale           107.1                106.4   
           
    Loans receivable           11,563.0                11,289.1   
    Allowance for credit losses           (3,561.1)               (3,438.8)  
    Loans receivable, net           8,001.9                7,850.3   
           
    Property and equipment, net           13.2                14.7   
    Income taxes receivable           9.4                4.2   
    Other assets           29.2                34.0   
    Total assets $         8,724.6      $         8,854.6   
           
    LIABILITIES AND SHAREHOLDERS’ EQUITY:      
    Liabilities:      
    Accounts payable and accrued liabilities $         378.8      $         315.8   
    Revolving secured lines of credit           1.5                0.1   
    Secured financing           5,383.3                5,361.5   
    Senior notes           1,086.4                991.3   
    Deferred income taxes, net           306.1                319.1   
    Income taxes payable           13.8                117.2   
    Total liabilities           7,169.9                7,105.0   
           
    Shareholders’ Equity:      
    Preferred stock, $.01 par value, 1,000,000 shares authorized, none issued           —                —   
    Common stock, $.01 par value, 80,000,000 shares authorized, 11,237,396 and 12,048,151 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively           0.1                0.1   
    Paid-in capital           369.3                335.1   
    Retained earnings           1,184.3                1,414.7   
    Accumulated other comprehensive income (loss)           1.0                (0.3)  
    Total shareholders’ equity           1,554.7                1,749.6   
    Total liabilities and shareholders’ equity $         8,724.6      $         8,854.6   

    The MIL Network –

  • MIL-OSI: Silvercrest Asset Management Group Inc. Reports Q2 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    NEW YORK, July 31, 2025 (GLOBE NEWSWIRE) — Silvercrest Asset Management Group Inc. (NASDAQ: SAMG) (the “Company” or “Silvercrest”) today reported the results of its operations for the quarter ended June 30, 2025.

    Business Update

    Discretionary assets under management (“AUM”) increased $1.0 billion during the second quarter, primarily due to strong markets. While net flows were negative, Silvercrest added $80.0 million in organic new client accounts and has added $0.5 billion in new client accounts during the first half of 2025. That is on pace to be one of the stronger levels of organic new client flows over the past several years. Silvercrest has added approximately $2.0 billion in organic new client accounts over the past four quarters.

    Discretionary AUM, which drives revenue, now stands at $23.7 billion, which is a 4.4% sequential quarterly increase and an increase of 9.7% year-over-year. Total AUM at the end of the second quarter hit a new high for the firm at $36.7 billion.

    Barring short-term market volatility, the increase in AUM bodes well for future revenue, as Silvercrest primarily bills quarterly in advance. Silvercrest’s strategic investments continue to promote growth, and our earnings and Adjusted EBITDA1 reflect a concerted effort to invest capital to support our long-term strategic priorities. We remain highly optimistic about securing more significant organic flows over the course of 2025 and 2026, as our investments bear fruit.

    Our strategic initiatives highlight Silvercrest in both the institutional and wealth markets. The firm continues to invest in talent across the firm to drive new growth and successfully transition the business toward the next generation. Our new business pipeline remains robust.

    As previously discussed, Silvercrest will continue to monitor and adjust our interim compensation ratio to match important investments in the business as long as we have compelling opportunities to grow the firm and build our return on invested capital.

    We completed a $12.0 million stock repurchase program at the beginning of the second quarter. As a result, we announced a new buyback program of $25.0 million on May 23, 2025. Our strong balance sheet supports ongoing capital returns as well as our growth initiatives. 

    We will continue to look for opportunities to return capital to or accrete shareholders, especially as we invest in the business.

    On July 30, 2025, the Company’s Board of Directors approved an increase of 5% to the Company’s quarterly dividend, from $0.20 per share of Class A common stock to $0.21 per share of Class A common stock.  The dividend will be paid on or about September 19, 2025 to stockholders of record as of the close of business on September 12, 2025.

    Second Quarter 2025 Highlights

    • Total AUM of $36.7 billion, inclusive of discretionary AUM of $23.7 billion and non-discretionary AUM of $13.0 billion, at June 30, 2025.
    • Revenue of $30.7 million.
    • U.S. Generally Accepted Accounting Principles (“GAAP”) consolidated net income and net income attributable to Silvercrest of $3.1 million and $1.9 million, respectively.
    • Basic and diluted net income per share of $0.21.
    • Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”)1 of $5.7 million.
    • Adjusted net income1 of $3.3 million.
    • Adjusted basic and diluted earnings per share1,2 of $0.26 and $0.25, respectively.

    The table below presents a comparison of certain GAAP and non-GAAP (“Adjusted”) financial measures and AUM.

        For the Three Months
    Ended June 30,    		     For the Six Months
    Ended June 30,    		  
    (in thousands except as indicated)   2025     2024     2025     2024  
    Revenue   $ 30,673     $ 30,993     $ 62,065     $ 61,265  
    Income before other income (expense), net   $ 4,041     $ 5,309     $ 8,878     $ 11,213  
    Net income   $ 3,149     $ 4,380     $ 7,077     $ 9,295  
    Net income margin     10.3 %     14.1 %     11.4 %     15.2 %
    Net income attributable to Silvercrest   $ 1,918     $ 2,665     $ 4,387     $ 5,665  
    Net income per basic share   $ 0.21     $ 0.28     $ 0.47     $ 0.60  
    Net income per diluted share   $ 0.21     $ 0.28     $ 0.47     $ 0.60  
    Adjusted EBITDA1   $ 5,735     $ 7,232     $ 12,232     $ 14,685  
    Adjusted EBITDA Margin1     18.7 %     23.3 %     19.7 %     24.0 %
    Adjusted net income1   $ 3,258     $ 4,402     $ 7,152     $ 9,121  
    Adjusted basic earnings per share1, 2   $ 0.26     $ 0.31     $ 0.57     $ 0.65  
    Adjusted diluted earnings per share1, 2   $ 0.25     $ 0.30     $ 0.54     $ 0.63  
    Assets under management at period end (billions)   $ 36.7     $ 33.4     $ 36.7     $ 33.4  
    Average assets under management (billions)3   $ 36.0     $ 34.0     $ 36.6     $ 33.4  
    Discretionary assets under management (billions)   $ 23.7     $ 21.6     $ 23.7     $ 21.6  
    1 Adjusted measures are non-GAAP measures and are explained and reconciled to the comparable GAAP measures in Exhibits 2 and 3.
    2 Adjusted basic and diluted earnings per share measures for the three and six months ended June 30, 2025 are based on the number of shares of Class A common stock and Class B common stock outstanding as of June 30, 2025. Adjusted diluted earnings per share are further based on the addition of unvested restricted stock units and non-qualified stock options to the extent dilutive at the end of the reporting period.
    3 We have computed average AUM by averaging AUM at the beginning of the applicable period and AUM at the end of the applicable period.
       

    AUM at $36.7 Billion

    Silvercrest’s discretionary AUM increased by $2.1 billion, or 9.7%, to $23.7 billion at June 30, 2025, from $21.6 billion at June 30, 2024. Silvercrest’s total AUM increased by $3.3 billion, or 9.9%, to $36.7 billion at June 30, 2025, from $33.4 billion at June 30, 2024. The increase in total AUM was attributable to market appreciation of $2.8 billion and net client inflows of $0.5 billion.

    Silvercrest’s discretionary assets under management increased by $1.0 billion, or 4.4%, to $23.7 billion at June 30, 2025, from $22.7 billion at March 31, 2025. The increase was attributable to market appreciation of $1.4 billion partially offset by net client outflows of $0.4 billion. Silvercrest’s total AUM increased by $1.4 billion, or 4.0%, to $36.7 billion at June 30, 2025, from $35.3 billion at March 31, 2025. The increase was attributable to market appreciation of $1.8 billion partially offset by net client outflows of $0.4 billion.

    Second Quarter 2025 vs. Second Quarter 2024

    Revenue decreased by $0.3 million, or 1.0%, to $30.7 million for the three months ended June 30, 2025, from $31.0 million for the three months ended June 30, 2024. This decrease was driven by a decrease in the average annual management fee rate.

    Total expenses increased by $0.9 million, or 3.7%, to $26.6 million for the three months ended June 30, 2025, from $25.7 million for the three months ended June 30, 2024. Compensation and benefits expense increased by $0.3 million, or 1.7%, to $18.8 million for the three months ended June 30, 2025 from $18.5 million for the three months ended June 30, 2024. The increase was primarily attributable to an increase in salaries and benefits of $1.2 million primarily as a result of merit-based increases and newly-hired staff, partially offset by decreases in the accrual for bonuses of $0.8 million and equity-based compensation of $0.1 million. General and administrative expenses increased by $0.6 million, or 8.8%, to $7.8 million for the three months ended June 30, 2025 from $7.2 million for the three months ended June 30, 2024. This was primarily attributable to increases in professional fees of $0.2 million, occupancy and related costs of $0.1 million primarily related to new office space in Singapore, marketing and advertising costs of $0.1 million, shareholder expenses of $0.1 million and travel and entertainment expenses of $0.1 million.

    Consolidated net income was $3.1 million, or 10.3% of revenue, for the three months ended June 30, 2025, as compared to consolidated net income of $4.4 million, or 14.1% of revenue, for the same period in the prior year. Net income attributable to Silvercrest was $1.9 million, or $0.21 per basic and diluted share, for the three months ended June 30, 2025. Our adjusted net income1 was $3.3 million, or $0.26 per adjusted basic share and $0.25 per adjusted diluted share2, for the three months ended June 30, 2025.

    Adjusted EBITDA1 was $5.7 million, or 18.7% of revenue, for the three months ended June 30, 2025, as compared to $7.2 million, or 23.3% of revenue, for the same period in the prior year.

    Six Months Ended June 30, 2025 vs. Six Months Ended June 30, 2024

    Revenue increased by $0.8 million, or 1.3%, to $62.1 million for the six months ended June 30, 2025, from $61.3 million for the six months ended June 30, 2024. This increase was driven by market appreciation partially offset by net client outflows.

    Total expenses increased by $3.1 million, or 6.3%, to $53.2 million for the six months ended June 30, 2025, from $50.1 million for the six months ended June 30, 2024. Compensation and benefits expense increased by $1.5 million, or 4.2%, to $37.7 million for the six months ended June 30, 2025, from $36.2 million for the six months ended June 30, 2024. The increase was primarily attributable to an increase in salaries and benefits of $2.7 million primarily as a result of merit-based increases and newly-hired staff, partially offset by decreases in the accrual for bonuses of $1.1 million and severance expense of $0.1 million.  General and administrative expenses increased by $1.6 million, or 11.6%, to $15.5 million for the six months ended June 30, 2025, from $13.9 million for the six months ended June 30, 2024. This was primarily attributable to increases in professional fees of $0.6 million, occupancy and related costs of $0.1 million primarily related to new office space in Singapore, portfolio and systems expense of $0.3 million, shareholder expenses of $0.1 million, marketing and advertising costs of $0.1 million, office expenses of $0.1 million, sub-advisory and referral fees of $0.1 million and travel and entertainment expenses of $0.2 million.

    Consolidated net income was $7.1 million, or 11.4% of revenue, for the six months ended June 30, 2025, as compared to consolidated net income of $9.3 million, or 15.2% of revenue, for the same period in the prior year.  Net income attributable to Silvercrest was $4.4 million, or $0.47 per basic share and diluted share for the six months ended June 30, 2025.  Our adjusted net income1 was $7.2 million, or $0.57 per adjusted basic share and $0.54 per adjusted diluted share2 for the six months ended June 30, 2025.

    Adjusted EBITDA1 was $12.2 million, or 19.7% of revenue, for the six months ended June 30, 2025, as compared to $14.7 million, or 24.0% of revenue, for the same period in the prior year.

    Liquidity and Capital Resources

    Cash and cash equivalents were $30.0 million at June 30, 2025, compared to $68.6 million at December 31, 2024. As of June 30, 2025, there was nothing outstanding under our term loan with City National Bank and nothing outstanding on our revolving credit facility with City National Bank.

    Silvercrest Asset Management Group Inc.’s total equity was $100.0 million at June 30, 2025. We had 8,501,241 shares of Class A common stock outstanding and 4,126,476 shares of Class B common stock outstanding at June 30, 2025.

    Non-GAAP Financial Measures

    To provide investors with additional insight, promote transparency and allow for a more comprehensive understanding of the information used by management in its financial and operational decision-making, we supplement our consolidated financial statements presented on a basis consistent with GAAP with Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Earnings Per Share, which are non-GAAP financial measures of earnings. These adjustments, and the non-GAAP financial measures that are derived from them, provide supplemental information to analyze our operations between periods and over time. Investors should consider our non-GAAP financial measures in addition to, and not as a substitute for, financial measures prepared in accordance with GAAP.

    • EBITDA represents net income before provision for income taxes, interest income, interest expense, depreciation and amortization.
    • We define Adjusted EBITDA as EBITDA without giving effect to the Delaware franchise tax, professional fees associated with acquisitions or financing transactions, gains on extinguishment of debt or other obligations related to acquisitions, impairment charges and losses on disposals or abandonment of assets and leaseholds, client reimbursements and fund redemption costs, severance and other similar expenses, but including partner incentive allocations, prior to our initial public offering, as an expense. We believe that it is important to management and investors to supplement our consolidated financial statements presented on a GAAP basis with Adjusted EBITDA, a non-GAAP financial measure of earnings, as this measure provides a perspective of recurring earnings of the Company, taking into account earnings attributable to both Class A and Class B stockholders.
    • Adjusted EBITDA Margin is calculated by dividing Adjusted EBITDA by total revenue. We believe that it is important to management and investors to supplement our consolidated financial statements presented on a GAAP basis with Adjusted EBITDA Margin, a non-GAAP financial measure of earnings, as this measure provides a perspective of recurring profitability of the Company, taking into account profitability attributable to both Class A and Class B stockholders.
    • Adjusted Net Income represents recurring net income without giving effect to professional fees associated with acquisitions or financing transactions, losses on forgiveness of notes receivable from our partners, gains on extinguishment of debt or other obligations related to acquisitions, impairment charges and losses on disposals or abandonment of assets and leaseholds, client reimbursements and fund redemption costs, severance and other similar expenses. Furthermore, Adjusted Net Income includes income tax expense assuming a blended corporate rate of 26%. We believe that it is important to management and investors to supplement our consolidated financial statements presented on a GAAP basis with Adjusted Net Income, a non-GAAP financial measure of earnings, as this measure provides a perspective of recurring income of the Company, taking into account income attributable to both Class A and Class B stockholders.
    • Adjusted Earnings Per Share represents Adjusted Net Income divided by the actual Class A and Class B shares outstanding as of the end of the reporting period for basic Adjusted Earnings Per Share, and to the extent dilutive, we add unvested restricted stock units and non-qualified stock options to the total shares outstanding to compute diluted Adjusted Earnings Per Share. As a result of our structure, which includes a non-controlling interest, we believe that it is important to management and investors to supplement our consolidated financial statements presented on a GAAP basis with Adjusted Earnings Per Share, a non-GAAP financial measure of earnings, as this measure provides a perspective of recurring earnings per share of the Company as a whole as opposed to being limited to our Class A common stock.

    Conference Call

    The Company will host a conference call on August 1, 2025, at 8:30 am (Eastern Time) to discuss these results. Hosting the call will be Richard R. Hough III, Chief Executive Officer and President, and Scott A. Gerard, Chief Financial Officer. Listeners may access the call by dialing 1-844-836-8743 or for international listeners the call may be accessed by dialing 1-412-317-5723. A live, listen-only webcast will also be available via the investor relations section of www.silvercrestgroup.com. An archived replay of the call will be available after the completion of the live call on the Investor Relations page of the Silvercrest website at http://ir.silvercrestgroup.com/. 

    Forward-Looking Statements

    This release contains, and from time to time our management may make, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks, uncertainties and assumptions. These statements are only predictions based on our current expectations and projections about future events. Important factors that could cause actual results, level of activity, performance or achievements to differ materially from those indicated by such forward-looking statements include, but are not limited to: incurrence of net losses; fluctuations in quarterly and annual results; adverse economic or market conditions; our expectations with respect to future levels of assets under management, inflows and outflows; our ability to retain clients; our ability to maintain our fee structure; our particular choices with regard to investment strategies employed; our ability to hire and retain qualified investment professionals; the cost of complying with current and future regulation coupled with the cost of defending ourselves from related investigations or litigation; failure of our operational safeguards against breaches in data security, privacy, conflicts of interest or employee misconduct; our expected tax rate; our expectations with respect to deferred tax assets, adverse economic or market conditions; incurrence of net losses; adverse effects of management focusing on implementation of a growth strategy; failure to develop and maintain the Silvercrest brand; and other factors disclosed under “Risk Factors” in our annual report on Form 10-K for the year ended December 31, 2024, which is accessible on the U.S. Securities and Exchange Commission’s website at www.sec.gov. We undertake no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law.

    About Silvercrest

    Silvercrest was founded in April 2002 as an independent, employee-owned registered investment adviser. With offices in New York, Boston, Virginia, New Jersey, California and Wisconsin, Silvercrest provides traditional and alternative investment advisory and family office services to wealthy families and select institutional investors.

    Silvercrest Asset Management Group Inc.

    Contact: Richard Hough
    212-649-0601
    rhough@silvercrestgroup.com

    Exhibit 1

    Silvercrest Asset Management Group Inc.
    Condensed Consolidated Statements of Operations
    (Unaudited and in thousands, except share and per share amounts or as noted)
                 
        For the Three Months
    Ended June 30,    		     For the Six Months
    Ended June 30,    		  
        2025     2024     2025     2024  
                             
    Revenue                        
    Management and advisory fees   $ 29,515     $ 29,900     $ 59,783     $ 59,065  
    Family office services     1,158       1,093       2,282       2,200  
    Total revenue     30,673       30,993       62,065       61,265  
    Expenses                        
    Compensation and benefits     18,805       18,493       37,686       36,162  
    General and administrative     7,827       7,191       15,501       13,890  
    Total expenses     26,632       25,684       53,187       50,052  
    Income before other (expense) income, net     4,041       5,309       8,878       11,213  
    Other (expense) income, net                        
    Other (expense) income, net     20       7       27       15  
    Interest income     163       289       436       636  
    Interest expense     (15 )     (29 )     (30 )     (80 )
    Total other (expense) income, net     168       267       433       571  
    Income before provision for income taxes     4,209       5,576       9,311       11,784  
    Provision for income taxes     (1,060 )     (1,196 )     (2,234 )     (2,489 )
    Net income     3,149       4,380       7,077       9,295  
    Less: net income attributable to non-controlling interests     (1,231 )     (1,715 )     (2,690 )     (3,630 )
    Net income attributable to Silvercrest   $ 1,918     $ 2,665     $ 4,387     $ 5,665  
    Net income per share:                        
    Basic   $ 0.21     $ 0.28     $ 0.47     $ 0.60  
    Diluted   $ 0.21     $ 0.28     $ 0.47     $ 0.60  
    Weighted average shares outstanding:                        
    Basic     9,095,966       9,509,711       9,337,530       9,494,869  
    Diluted     9,124,278       9,547,879       9,370,217       9,531,730  
                                     

    Exhibit 2

    Silvercrest Asset Management Group Inc.
    Reconciliation of GAAP to non-GAAP (“Adjusted”) Adjusted EBITDA Measure
    (Unaudited and in thousands, except share and per share amounts or as noted)
                 
    Adjusted EBITDA   For the Three Months
    Ended June 30,    		     For the Six Months
    Ended June 30,    		  
        2025     2024     2025     2024  
    Reconciliation of non-GAAP financial measure:                        
    Net income   $ 3,149     $ 4,380     $ 7,077     $ 9,295  
    Provision for income taxes     1,060       1,196       2,234       2,489  
    Delaware Franchise Tax     50       50       100       100  
    Interest expense     15       29       30       80  
    Interest income     (163 )     (289 )     (436 )     (636 )
    Depreciation and amortization     1,079       1,058       2,118       2,077  
    Equity-based compensation     401       485       855       839  
    Other adjustments (A)     144       323       254       441  
    Adjusted EBITDA   $ 5,735     $ 7,232     $ 12,232     $ 14,685  
    Adjusted EBITDA Margin     18.7 %     23.3 %     19.7 %     24.0 %
                                     

    (A) Other adjustments consist of the following:

        Three Months Ended
    June 30,    		     Six Months Ended
    June 30,    		  
        2025     2024     2025     2024  
    Severance   $ —     $ —     $ —     $ 60  
    Other (a)     144       323       254       381  
    Total other adjustments   $ 144     $ 323     $ 254     $ 441  
                                     
    (a) For the three months ended June 30, 2025, represents an ASC 842 rent adjustment of $48 related to the amortization of property lease incentives, legal fees of $84 related to our application for licensure in the European Union (the “EU”) and rent expense of $12.  For the six months ended June 30, 2025, represents an ASC 842 rent adjustment of $96 related to the amortization of property lease incentives, legal fees of $84 related to our application for licensure in the EU, sign-on bonuses paid to certain employees of $62 and rent expense of $12.  For the three months ended June 30, 2024, represents a fair value adjustment to the Neosho contingent purchase price consideration of $12, an ASC 842 rent adjustment of $48 related to the amortization of property lease incentives, sign on bonuses paid to certain employees of $188, professional fees of $26 related to a transfer pricing project, legal fees of $46 and software implementation costs of $3.  For the six months ended June 30, 2024, represents a fair value adjustment to the Neosho contingent purchase price consideration of $12, an ASC 842 rent adjustment of $96 related to the amortization of property lease incentives, sign on bonuses paid to certain employees of $188, professional fees of $26 related to a transfer pricing project, legal fees of $46 and software implementation costs of $13.
       

    Exhibit 3

    Silvercrest Asset Management Group Inc.
    Reconciliation of GAAP to non-GAAP (“Adjusted”)
    Adjusted Net Income and Adjusted Earnings Per Share Measures
    (Unaudited and in thousands, except per share amounts or as noted)
                 
    Adjusted Net Income and Adjusted Earnings Per Share   Three Months Ended
    June 30,    		     Six Months Ended
    June 30,    		  
        2025     2024     2025     2024  
    Reconciliation of non-GAAP financial measure:                        
    Net income   $ 3,149     $ 4,380     $ 7,077     $ 9,295  
    Consolidated GAAP Provision for income taxes     1,060       1,196       2,234       2,489  
    Delaware Franchise Tax     50       50       100       100  
    Other adjustments (A)     144       323       254       441  
    Adjusted earnings before provision for income taxes     4,403       5,949       9,665       12,325  
    Adjusted provision for income taxes:                        
    Adjusted provision for income taxes (26% assumed tax rate)     (1,145 )     (1,547 )     (2,513 )     (3,205 )
                             
    Adjusted net income   $ 3,258     $ 4,402     $ 7,152     $ 9,121  
                             
    GAAP net income per share (B):                        
    Basic   $ 0.21     $ 0.28     $ 0.47     $ 0.60  
    Diluted   $ 0.21     $ 0.28     $ 0.47     $ 0.60  
                             
    Adjusted earnings per share/unit (B):                        
    Basic   $ 0.26     $ 0.31     $ 0.57     $ 0.65  
    Diluted   $ 0.25     $ 0.30     $ 0.54     $ 0.63  
                             
    Shares/units outstanding:                        
    Basic Class A shares outstanding     8,501       9,547       8,501       9,547  
    Basic Class B shares/units outstanding     4,127       4,443       4,127       4,443  
    Total basic shares/units outstanding     12,628       13,990       12,628       13,990  
                             
    Diluted Class A shares outstanding (C)     8,525       9,586       8,525       9,586  
    Diluted Class B shares/units outstanding (D)     4,630       5,038       4,630       5,038  
    Total diluted shares/units outstanding     13,155       14,624       13,155       14,624  
      (A) See A in Exhibit 2.   
      (B) GAAP earnings per share is strictly attributable to Class A stockholders. Adjusted earnings per share takes into account earnings attributable to both Class A and Class B stockholders.
      (C) Includes 23,426 and 38,936 unvested restricted stock units at June 30, 2025 and 2024, respectively.
      (D) Includes 137,100 and 228,118 unvested restricted stock units at June 30, 2025 and 2024, respectively, and 366,293 unvested non-qualified options at June 30, 2025 and 2024.
         

    Exhibit 4

    Silvercrest Asset Management Group Inc.
    Condensed Consolidated Statements of Financial Condition
    (Unaudited and in thousands)
                 
        June 30,
    2025    		     December 31,
    2024    		  
    Assets            
    Cash and cash equivalents   $ 30,041     $ 68,611  
    Investments     164       1,354  
    Receivables, net     13,129       12,225  
    Due from Silvercrest Funds     875       945  
    Furniture, equipment and leasehold improvements, net     7,302       7,387  
    Goodwill     63,675       63,675  
    Operating lease assets     15,127       16,032  
    Finance lease assets     189       254  
    Intangible assets, net     15,547       16,644  
    Deferred tax asset     2,737       4,220  
    Prepaid expenses and other assets     3,925       3,085  
    Total assets   $ 152,711     $ 194,432  
    Liabilities and Equity            
    Accounts payable and accrued expenses   $ 3,190     $ 1,953  
    Accrued compensation     17,811       39,865  
    Operating lease liabilities     21,071       22,270  
    Finance lease liabilities     197       262  
    Deferred tax and other liabilities     10,488       10,389  
    Total liabilities     52,757       74,739  
    Commitments and Contingencies (Note 10)            
    Equity            
    Preferred Stock, par value $0.01, 10,000,000 shares authorized; none issued
    and outstanding    		     —       —  
    Class A Common Stock, par value $0.01, 50,000,000 shares authorized; 10,801,353
    and 8,501,241 issued and outstanding, respectively, as of June 30, 2025;
    10,450,559 and 9,376,280 issued and outstanding, respectively, as of December 31, 2024    		     108       104  
    Class B Common Stock, par value $0.01, 25,000,000 shares authorized; 4,126,476
    and 4,373,315 issued and outstanding as of June 30, 2025 and December 31, 2024,
    respectively    		     40       42  
    Additional Paid-In Capital     58,704       56,369  
    Treasury Stock, at cost, 2,300,112 and 1,074,279 shares as of June 30, 2025 and
    December 31, 2024, respectively    		     (38,866 )     (19,728 )
    Accumulated other comprehensive income (loss)     (41 )     (43 )
    Retained earnings     44,660       43,953  
    Total Silvercrest Asset Management Group Inc.’s equity     64,605       80,697  
    Non-controlling interests     35,349       38,996  
    Total equity     99,954       119,693  
    Total liabilities and equity   $ 152,711     $ 194,432  

    Exhibit 5

    Silvercrest Asset Management Group Inc.
    Total Assets Under Management
    (Unaudited and in billions)
                 
    Total Assets Under Management:            
        Three Months Ended
    June 30,    		     % Change from June 30,  
        2025     2024     2024  
    Beginning assets under management   $ 35.3     $ 34.5       2.3 %
                       
    Gross client inflows     0.9       0.6       50.0 %
    Gross client outflows     (1.3 )     (1.5 )     -13.3 %
    Net client flows     (0.4 )     (0.9 )     55.6 %
                       
    Market appreciation/(depreciation)     1.8       (0.2 )   NM  
    Ending assets under management   $ 36.7     $ 33.4       9.9 %
        Six Months Ended
    June 30,    		     % Change from June 30,  
        2025     2024     2024  
    Beginning assets under management   $ 36.5     $ 33.3       9.6 %
                       
    Gross client inflows     2.3       1.7       35.3 %
    Gross client outflows     (2.5 )     (3.0 )     -16.7 %
    Net client flows     (0.2 )     (1.3 )     84.6 %
                       
    Market appreciation     0.4       1.4       -71.4 %
    Ending assets under management   $ 36.7     $ 33.4       9.9 %

    NM = Not Meaningful

    Exhibit 6

    Silvercrest Asset Management Group Inc.
    Discretionary Assets Under Management
    (Unaudited and in billions)
                 
    Discretionary Assets Under Management:            
                 
        Three Months Ended
    June 30,    		     % Change from June 30,  
        2025     2024     2024  
    Beginning assets under management   $ 22.7     $ 22.7       0.0 %
                       
    Gross client inflows     0.6       0.6       0.0 %
    Gross client outflows     (1.0 )     (1.5 )     -33.3 %
    Net client flows     (0.4 )     (0.9 )     55.6 %
                       
    Market appreciation/(depreciation)     1.4       (0.2 )   NM  
    Ending assets under management   $ 23.7     $ 21.6       9.7 %
        Six Months Ended
    June 30,    		     % Change from June 30,  
        2025     2024     2024  
    Beginning assets under management   $ 23.3     $ 21.9       6.4 %
                       
    Gross client inflows     1.6       1.2       33.3 %
    Gross client outflows     (1.7 )     (2.5 )     -32.0 %
    Net client flows     (0.1 )     (1.3 )     -92.3 %
                       
    Market appreciation     0.5       1.0       -50.0 %
    Ending assets under management   $ 23.7     $ 21.6       9.7 %

    NM = Not Meaningful

    Exhibit 7

    Silvercrest Asset Management Group Inc.
    Non-Discretionary Assets Under Management
    (Unaudited and in billions)
                 
    Non-Discretionary Assets Under Management:            
                 
        Three Months Ended
    June 30,    		     % Change from June 30,  
        2025     2024     2024  
    Beginning assets under management   $ 12.6     $ 11.8       6.8 %
                       
    Gross client inflows     0.3       —       100.0 %
    Gross client outflows     (0.3 )     —       100.0 %
    Net client flows     —       —       100.0 %
                       
    Market appreciation     0.4       —       100.0 %
    Ending assets under management   $ 13.0     $ 11.8       10.2 %
        Six Months Ended
    June 30,    		     % Change from June 30,  
        2025     2024     2024  
    Beginning assets under management   $ 13.2     $ 11.4       15.8 %
                       
    Gross client inflows     0.7       0.5       40.0 %
    Gross client outflows     (0.8 )     (0.5 )     60.0 %
    Net client flows     (0.1 )     —       -100.0 %
                       
    Market (depreciation)/appreciation     (0.1 )     0.4       -125.0 %
    Ending assets under management   $ 13.0     $ 11.8       10.2 %
                             

    Exhibit 8

    Silvercrest Asset Management Group Inc.
    Assets Under Management
    (Unaudited and in billions)
           
        Three Months Ended
    June 30,    		  
        2025     2024  
    Total AUM as of March 31,   $ 35.328     $ 34.509  
    Discretionary AUM:            
    Total Discretionary AUM as of March 31,   $ 22.655     $ 22.681  
    New client accounts/assets (1)     0.080       0.068  
    Closed accounts (2)     (0.071 )     (0.036 )
    Net cash inflow/(outflow) (3)     (0.426 )     (0.955 )
    Non-discretionary to Discretionary AUM (4)     —       —  
    Market appreciation/(depreciation)     1.430       (0.112 )
    Change to Discretionary AUM     1.013       (1.035 )
    Total Discretionary AUM at June 30,     23.668       21.646  
    Change to Non-Discretionary AUM (5)     0.332       (0.044 )
    Total AUM as of June 30,   $ 36.673     $ 33.430  
        Six Months Ended
    June 30,    		  
        2025     2024  
    Total AUM as of January 1,   $ 36.455     $ 33.281  
    Discretionary AUM:            
    Total Discretionary AUM as of January 1,   $ 23.319     $ 21.885  
    New client accounts/assets (1)     0.517       0.103  
    Closed accounts (2)     (0.125 )     (0.475 )
    Net cash inflow/(outflow) (3)     (0.540 )     (0.948 )
    Non-discretionary to Discretionary AUM (4)     0.001       (0.002 )
    Market appreciation     0.497       1.083  
    Change to Discretionary AUM     0.350       (0.239 )
    Total Discretionary AUM at June 30,     23.669       21.646  
    Change to Non-Discretionary AUM (5)     (0.132 )     0.388  
    Total AUM as of June 30,   $ 36.673     $ 33.430  
    (1) Represents new account flows from both new and existing client relationships.
    (2) Represents closed accounts of existing client relationships and those that terminated.
    (3) Represents periodic cash flows related to existing accounts.
    (4) Represents client assets that converted to Discretionary AUM from Non-Discretionary AUM.
    (5) Represents the net change to Non-Discretionary AUM.
       

    Exhibit 9

    Silvercrest Asset Management Group Inc.
    Equity Investment Strategy Composite Performance1, 2
    As of June 30, 2025
    (Unaudited)
           
    PROPRIETARY EQUITY PERFORMANCE 1, 2   ANNUALIZED PERFORMANCE  
        INCEPTION   1-YEAR     3-YEAR     5-YEAR     7-YEAR     INCEPTION  
    Large Cap Value Composite   4/1/02     10.1       12.6       13.4       10.7       9.6  
    Russell 1000 Value Index         13.7       12.8       13.9       9.6       8.0  
                                       
    Small Cap Value Composite   4/1/02     -0.1       7.4       11.9       6.0       9.7  
    Russell 2000 Value Index         5.5       7.5       12.5       4.9       7.5  
                                       
    Smid Cap Value Composite   10/1/05     8.7       8.6       11.8       6.4       9.2  
    Russell 2500 Value Index         10.5       10.7       14.0       6.9       7.7  
                                       
    Multi Cap Value Composite   7/1/02     11.4       11.3       12.0       8.5       9.6  
    Russell 3000 Value Index         13.3       12.5       13.9       9.3       8.4  
                                       
    Equity Income Composite   12/1/03     9.6       9.9       11.4       7.7       10.7  
    Russell 3000 Value Index         13.3       12.5       13.9       9.3       8.6  
                                       
    Focused Value Composite   9/1/04     15.1       8.0       9.1       5.7       9.4  
    Russell 3000 Value Index         13.3       12.5       13.9       9.3       8.4  
                                       
    Global Value Opportunity Composite   1/1/20     19.5       16.2       15.3       —       11.0  
    MSCI ACWI Value – Net Index         15.6       13.1       13.0       —       7.8  
                                       
    Small Cap Opportunity Composite   7/1/04     3.0       11.4       11.1       7.6       10.4  
    Russell 2000 Index         7.7       10.0       10.0       5.5       7.8  
                                       
    Small Cap Growth Composite   7/1/04     6.5       8.8       9.2       8.0       10.1  
    Russell 2000 Growth Index         9.7       12.4       7.4       5.7       8.3  
                                       
    Smid Cap Growth Composite   1/1/06     16.2       11.3       8.9       11.3       10.7  
    Russell 2500 Growth Index         8.8       12.1       7.5       7.5       9.2  
    1 Returns are based upon a time weighted rate of return of various fully discretionary equity portfolios with similar investment objectives, strategies and policies and other relevant criteria managed by Silvercrest Asset Management Group LLC (“SAMG LLC”), a subsidiary of Silvercrest. Performance results are gross of fees and net of commission charges. An investor’s actual return will be reduced by the advisory fees and any other expenses it may incur in the management of the investment advisory account. SAMG LLC’s standard advisory fees are described in Part 2 of its Form ADV. Actual fees and expenses will vary depending on a variety of factors, including the size of a particular account. Returns greater than one year are shown as annualized compounded returns and include gains and accrued income and reinvestment of distributions. Past performance is no guarantee of future results. This piece contains no recommendations to buy or sell securities or a solicitation of an offer to buy or sell securities or investment services or adopt any investment position. This piece is not intended to constitute investment advice and is based upon conditions in place during the period noted. Market and economic views are subject to change without notice and may be untimely when presented here. Readers are advised not to infer or assume that any securities, sectors or markets described were or will be profitable. SAMG LLC is an independent investment advisory and financial services firm created to meet the investment and administrative needs of individuals with substantial assets and select institutional investors. SAMG LLC claims compliance with the Global Investment Performance Standards (GIPS®).
    2 The market indices used to compare to the performance of Silvercrest’s strategies are as follows:
      The Russell 1000 Index is a capitalization-weighted, unmanaged index that measures the 1000 largest companies in the Russell 3000. The Russell 1000 Value Index is a capitalization-weighted, unmanaged index that includes those Russell 1000 Index companies with lower price-to-book ratios and lower expected growth values.
      The Russell 2000 Index is a capitalization-weighted, unmanaged index that measures the 2000 smallest companies in the Russell 3000. The Russell 2000 Value Index is a capitalization-weighted, unmanaged index that includes those Russell 2000 Index companies with lower price-to-book ratios and lower expected growth values.
      The Russell 2500 Index is a capitalization-weighted, unmanaged index that measures the 2500 smallest companies in the Russell 3000. The Russell 2500 Value Index is a capitalization-weighted, unmanaged index that includes those Russell 2000 Index companies with lower price-to-book ratios and lower expected growth values.
      The Russell 3000 Value Index is a capitalization-weighted, unmanaged index that measures those Russell 3000 Index companies with lower price-to-book ratios and lower forecasted growth.

    The MIL Network –

  • MIL-OSI: Monolithic Power Systems Provides Earnings Commentary for the Quarter Ended June 30, 2025

    Source: GlobeNewswire (MIL-OSI)

    KIRKLAND, Wash., July 31, 2025 (GLOBE NEWSWIRE) — MPS will report its results after the market closes on July 31, 2025 and host a question-and-answer webinar at 2:00 p.m. PT / 5:00 p.m. ET. The live event will be held via a Zoom webcast, which can be accessed at https://mpsic.zoom.us/j/98147401910.

    Q2 2025 Financial Summary           (Unaudited)
    GAAP
     
      Q2’25 Q1’25 Q2’24   QoQ Change YoY Change
    Revenue ($k) $664,574 $637,554 $507,431   Up 4.2% Up 31.0%
    Gross Margin 55.1% 55.4% 55.3%   Down 0.3 pts Down 0.2 pts
    Opex ($k) $201,258 $184,471 $164,042   Up 9.1% Up 22.7%
    Operating Margin 24.8% 26.5% 23.0%   Down 1.7 pts Up 1.8 pts
    Net income ($k) $133,726 $133,791 $100,366   Flat Up 33.2%
    Diluted EPS $2.78 $2.79 $2.05   Down 0.4% Up 35.6%
    Non-GAAP
     
      Q2’25 Q1’25 Q2’24   QoQ Change YoY Change
    Revenue ($k) $664,574 $637,554 $507,431   Up 4.2% Up 31.0%
    Gross Margin 55.5% 55.7% 55.7%   Down 0.2 pts Down 0.2 pts
    Opex ($k) $137,604 $133,526 $111,667   Up 3.1% Up 23.2%
    Operating Margin 34.8% 34.7% 33.7%   Up 0.1 pts Up 1.1 pts
    Net income ($k) $202,180 $193,813 $155,076   Up 4.3% Up 30.4%
    Diluted EPS $4.21 $4.04 $3.17   Up 4.2% Up 32.8%
    Tax Rate 15.0% 15.0% 12.5%   Flat Up 2.5 pts
    Revenue by End Market
     
        Revenue   YoY Change  % of Revenue
    End Market ($M)   Q2’25 Q2’24   $   % Q2’25   Q2’24  
    Storage & Computing     $195.3   $114.9     $80.4   70.0 % 29.4 % 22.7 %
    Automotive     145.1   87.2     57.9   66.4 % 21.8   17.2  
    Enterprise Data     144.0   187.2     (43.2 ) (23.1 %) 21.7   36.9  
    Communications     73.8   43.6     30.2   69.3 % 11.1   8.5  
    Consumer     59.7   42.2     17.5   41.5 % 9.0   8.3  
    Industrial     46.7   32.3     14.4   44.6 % 7.0   6.4  
    Total     $664.6   $507.4     $157.2   31.0 % 100 % 100 %


    Ongoing Business Conditions

    In Q2 2025, MPS achieved record quarterly revenue of $664.6 million, 4.2% higher than revenue in the first quarter of 2025 and 31.0% higher than revenue in the second quarter of 2024.

    Our performance during the quarter reflected the resilience of our diversified market strategy as we continued to see strong broad-based ordering patterns.

    Q2 2025 highlights include:

    • We continued to see diversified revenue growth across all our end markets.
    • We began initial shipments of our power solutions to support our customers new ASIC based AI products.
    • Storage and Compute revenue grew sequentially off a strong Q1 as we continued to see demand for both memory and notebook power solutions.

    MPS continues to focus on innovation, solving our customers’ most challenging problems, and maintaining the highest level of quality. We continue to invest in new technology, expand into new markets, and to diversify our end-market applications and global supply chain. This will allow us to capture future growth opportunities, maintain supply stability, and swiftly adapt to market changes as they occur.

    “Our proven, long-term growth strategy remains intact as we continue our transformation from being a chip-only, semiconductor supplier to a full service, silicon-based solutions provider,” said Michael Hsing, CEO and founder of MPS.

    Q2’25 Revenue Results

    MPS reported second quarter revenue of $664.6 million, 4.2% higher than the first quarter of 2025 and 31.0% higher than the second quarter of 2024. Compared with the first quarter of 2025, sales improved sequentially across all end markets.

    Second quarter 2025 Industrial revenue of $46.7 million increased 9.6% from the first quarter of 2025 primarily due to higher sales for instrumentation and security applications. Second quarter 2025 Industrial revenue was up 44.6% year over year. Industrial revenue represented 7.0% of our total second quarter 2025 revenue compared with 6.7% in the first quarter of 2025.

    In our Enterprise Data market, second quarter 2025 revenue of $144.0 million increased 8.4% from the first quarter of 2025 from higher sales of our power management solutions for AI and server applications. Second quarter 2025 Enterprise Data revenue was down 23.1% year over year. Enterprise Data revenue represented 21.7% of our total second quarter 2025 revenue compared with 20.8% in the first quarter of 2025. Second quarter 2025 Consumer revenue of $59.7 million increased 4.9% from the first quarter of 2025 primarily from higher sales in monitors and gaming solutions. Second quarter 2025 Consumer revenue was up 41.5% year over year. Consumer revenue represented 9.0% of our total second quarter 2025 revenue compared with 8.9% in the first quarter of 2025.

    Second quarter 2025 Storage and Computing revenue of $195.3 million increased 3.6% from the first quarter of 2025. The sequential increase was primarily driven by higher sales of power solutions for notebooks as well as memory. Second quarter 2025 Storage and Computing revenue was up 70.0% year over year. Storage and Computing revenue represented 29.4% of MPS’s second quarter 2025 revenue compared with 29.6% in the first quarter of 2025.

    Second quarter 2025 Communications revenue of $73.8 million was up 2.8% from the first quarter of 2025 primarily on higher sales of power solutions for optical modules and routers. Second quarter 2025 Communications revenue was up 69.3% year over year. Communications sales represented 11.1% of our total second quarter 2025 revenue compared with 11.3% the first quarter of 2025.

    Second quarter Automotive revenue of $145.1 million increased 0.1% from the from the first quarter of 2025. Second quarter 2025 Automotive revenue was up 66.4% year over year. Automotive revenue represented 21.8% of MPS’s second quarter 2025 revenue compared with 22.7% in the first quarter of 2025.

    Q2’25 Gross Margin & Operating Income

    GAAP gross margin was 55.1%, down 0.3 percentage points compared to the first quarter of 2025. Our GAAP operating income was $164.8 million compared to $168.8 million reported in the first quarter of 2025.

    Non-GAAP gross margin for the second quarter of 2025 was 55.5%, down 0.2 percentage points compared to the first quarter of 2025. Our non-GAAP operating income was $231.2 million compared to $221.5 million reported in the first quarter of 2025.

    Q2’25 Operating Expenses

    Our GAAP operating expenses were $201.3 million in the second quarter of 2025 compared with $184.5 million in the first quarter of 2025.

    Our Non-GAAP operating expenses were $137.6 million, up from $133.5 million in the first quarter of 2025.

    The differences between non-GAAP operating expenses and GAAP operating expenses for the quarters discussed here are primarily stock-based compensation and related expenses and deferred compensation plan expense.

    Total stock-based compensation and related expenses, including approximately $1.9 million charged to cost of goods sold, was $60.3 million compared with $53.8 million recorded in the first quarter of 2025.

    The Bottom Line

    Second quarter 2025 GAAP net income was $133.7 million or $2.78 per fully diluted share, compared with $133.8 million or $2.79 per share in the first quarter of 2025.

    Second quarter 2025 non-GAAP net income was $202.2 million or $4.21 per fully diluted share, compared with $193.8 million or $4.04 per fully diluted share in the first quarter of 2025.

    Second quarter 2025 non-GAAP tax rate of 15% was flat to the first quarter of 2025.

    There were 48 million fully diluted shares outstanding at the end of the second quarter of 2025.

    Balance Sheet and Cash Flow

    Cash, cash equivalents and short-term investments were $1,146.1 million at the end of the second quarter of 2025 compared to $1,026.7 million at the end of the first quarter of 2025. For the second quarter of 2025, MPS generated operating cash flow of $237.6 million compared with the first quarter of 2025 operating cash flow of $256.4 million.

    Accounts receivable at the end of the second quarter of 2025 were $194.8 million, representing 27 days of sales outstanding, which was 4 days lower than the 31 days reported at the end of the first quarter of 2025.

    Our internal inventories at the end of the second quarter of 2025 were $490.6 million, up from $454.8 million at the end of the first quarter of 2025. Days of inventory of 150 days at the end of the second quarter of 2025 was 4 days higher than at the end of the first quarter of 2025.

    We continue to manage our internal inventories, balancing the uncertainty in the market with being prepared to capture market upturns as they occur. Comparing current inventory levels using next quarter’s projected revenue, days of inventory at the end of the second quarter of 139 days was flat to the end of the first quarter of 2025.

    Selected Balance Sheet and Inventory Data (Unaudited)
           
      Q2’25 Q1’25 Q2’24
    Cash, Cash Equivalents, and Short-Term Investments $ 1,146.1 M $ 1,026.7 M $ 1,307.2 M
    Operating Cash Flow $ 237.6 M $ 256.4 M $ 141.0 M
    Accounts Receivable $ 194.8 M $ 214.9 M $ 157.9 M
    Days of Sales Outstanding 27 Days 31 Days 28 Days
    Internal Inventories $ 490.6 M $ 454.8 M $ 426.8 M
    Days of Inventory (current quarter revenue) 150 Days 146 Days 171 Days
    Days of Inventory (next quarter revenue) 139 Days 139 Days 140 Days


    Q3’25 Business Outlook

    For the third quarter of 2025 ending September 30, we are forecasting:

    • Revenue in the range of $710 million to $730 million.
    • GAAP gross margin in the range of 54.9% to 55.5%.
    • Non-GAAP gross margin in the range of 55.2% to 55.8%, which excludes the impact from stock-based compensation and related expenses as well as the impact from amortization of acquisition-related intangible assets.
    • Total stock-based compensation and related expenses in the range of $60.1 million to $62.1 million including approximately $1.8 million that would be charged to cost of goods sold.
    • GAAP operating expenses between $201.3 million and $207.3 million.
    • Non-GAAP operating expenses in the range of $143.0 million to $147.0 million. This estimate excludes stock-based compensation and related expenses in the range of $58.3 million to $60.3 million.
    • Interest and other income in the range from $6.4 million to $6.8 million before foreign exchange gains or losses.
    • Non-GAAP tax rate of 15% for 2025.
    • Fully diluted shares outstanding in the range of 47.9 to 48.3 million shares.

    For further information, contact:
    Bernie Blegen
    Executive Vice President and Chief Financial Officer
    Monolithic Power Systems, Inc.
    408-826-0777
    MPSInvestor.Relations@monolithicpower.com

    Safe Harbor Statement

    This earnings commentary contains, and statements that will be made during the accompanying webinar will contain, forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995, including under the “Q3’25 Business Outlook” section herein, our statement regarding our business focus, our statement regarding the expansion and diversification of our global supply chain, our statement regarding the expected ramping of ASIC AI power products, our statement regarding geographically balanced capacity, our statement regarding our ability to capture future growth opportunities, maintain supply stability and swiftly adapt to market changes as they occur, and the quote from our CEO and founder, including, among other things, (i) projected revenue, GAAP and non-GAAP gross margin, GAAP and non-GAAP operating expenses, stock-based compensation and related expenses, amortization of acquisition-related intangible assets, other income before foreign exchange gains or losses, and fully diluted shares outstanding, (ii) our outlook for the third quarter of fiscal year 2025 and the near-term, medium-term and long-term prospects of MPS, including our ability to adapt to changing market conditions, performance against our business plan, our ability to grow despite the various challenges facing our business, our industry and the global economic environment, revenue growth in certain of our end markets, potential new business segments, our continued investment in research and development (“R&D”), expected revenue growth, customers’ acceptance of our new product offerings, the prospects of our new product development, our expectations regarding market and industry trends and prospects, and our projected expansion of capacity and the impact it may have on our business, (iii) our ability to penetrate new markets and expand our market share, (iv) the seasonality of our business, (v) our ability to reduce our expenses, and (vi) statements regarding the assumptions underlying or relating to any statement described in (i), (ii), (iii), (iv), or (v). These forward-looking statements are not historical facts or guarantees of future performance or events, are based on current expectations, estimates, beliefs, assumptions, goals, and objectives, and involve significant known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from the results expressed by these statements. Readers of this earnings commentary and listeners to the accompanying conference call are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date hereof. Factors that could cause actual results to differ include, but are not limited to, continued uncertainties in the global economy, including due to the Russia-Ukraine and Middle East conflicts, global tariffs and retaliatory measures and announcements regarding same, inflation, consumer sentiment and other factors; adverse events arising from orders or regulations of governmental entities, including such orders or regulations that impact our customers or suppliers, and adoption of new or amended accounting standards; adverse changes in laws and government regulations such as tariffs on imports of foreign goods, export regulations and export classifications, and tax laws (including the recent H.R.1 Act signed into law on July 4, 2025) or the interpretation of same, including in foreign countries where MPS has offices or operations; the effect of export controls, trade and economic sanctions regulations and other regulatory or contractual limitations on our ability to sell or develop our products in certain foreign markets, particularly in China; our ability to obtain governmental licenses and approvals for international trading activities or technology transfers, including export licenses; acceptance of, or demand for, our products, in particular the new products launched recently, being different than expected; our ability to increase market share in our targeted markets; difficulty in predicting or budgeting for future customer demand and channel inventories, expenses and financial contingencies (including as a result of any continuing impact from the Russia-Ukraine and Middle East conflicts); our ability to efficiently and effectively develop new products and receive a return on our R&D expense investment; our ability to attract new customers and retain existing customers; our ability to meet customer demand for our products due to constraints on our third-party suppliers’ ability to manufacture sufficient quantities of our products or otherwise; our ability to expand manufacturing capacity to support future growth; adverse changes in production and testing efficiency of our products; any political, cultural, military, regulatory, economic, foreign exchange and operational changes in China, where a significant portion of our manufacturing capacity comes from; any market disruptions or interruptions in our schedule of new product development releases; our ability to manage our inventory levels; adequate supply of our products from our third-party manufacturing partners; adverse changes or developments in the semiconductor industry generally, which is cyclical in nature, and our ability to adjust our operations to address such changes or developments; the ongoing consolidation of companies in the semiconductor industry; competition generally and the increasingly competitive nature of our industry; our ability to realize the anticipated benefits of companies and products that MPS acquires, and our ability to effectively and efficiently integrate these acquired companies and products into our operations; the risks, uncertainties and costs of litigation in which MPS is involved; the outcome of any upcoming trials, hearings, motions and appeals; the adverse impact on our financial performance if its tax and litigation provisions are inadequate; our ability to effectively manage our growth and attract and retain qualified personnel; the effect of epidemics and pandemics on the global economy and on our business; the risks associated with the financial market, economy, global tariffs and retaliatory measures and announcements regarding same, and geopolitical uncertainties, including the Russia-Ukraine and Middle East conflicts; and other important risk factors identified under the caption “Risk Factors” and elsewhere in our Securities and Exchange Commission (“SEC”) filings, including, but not limited to, our Annual Report on Form 10-K filed with the SEC on March 3, 2025. MPS assumes no obligation to update the information in this earnings commentary or in the accompanying webinar.

    Non-GAAP Financial Measures

    This earnings commentary contains references to certain non-GAAP financial measures. Non-GAAP net income, non-GAAP net income per share, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income, non-GAAP other income, net, and non-GAAP income before income taxes differ from net income, net income per share, gross margin, operating expenses, other income, net, operating income and income before income taxes determined in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”). Non-GAAP net income and non-GAAP net income per share exclude the effect of stock-based compensation and related expenses, which include stock-based compensation expense and employer payroll taxes in relation to the stock-based compensation, net deferred compensation plan expense, amortization of acquisition-related intangible assets and related tax effects. Non-GAAP gross margin excludes the effect of stock-based compensation and related expenses, amortization of acquisition-related intangible assets and deferred compensation plan expense. Non-GAAP operating expenses exclude the effect of stock-based compensation and related expenses, amortization of acquisition-related intangible assets and deferred compensation plan expense. Non-GAAP operating income excludes the effect of stock-based compensation and related expenses, amortization of acquisition-related intangible assets and deferred compensation plan expense. Non-GAAP other income, net excludes the effect of deferred compensation plan income. Non-GAAP income before income taxes excludes the effect of stock-based compensation and related expenses, amortization of acquisition-related intangible assets and net deferred compensation plan expense. Projected non-GAAP gross margin excludes the effect of stock-based compensation and related expenses, and amortization of acquisition-related intangible assets. Projected non-GAAP operating expenses exclude the effect of stock-based compensation and related expenses. These non-GAAP financial measures are not prepared in accordance with GAAP and should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. A schedule reconciling non-GAAP financial measures is included at the end of this press release. MPS utilizes both GAAP and non-GAAP financial measures to assess what it believes to be its core operating performance and to evaluate and manage its internal business and assist in making financial operating decisions. MPS believes that the inclusion of non-GAAP financial measures, together with GAAP measures, provides investors with an alternative presentation useful to investors’ understanding of MPS’s core operating results and trends. Additionally, MPS believes that the inclusion of non-GAAP measures, together with GAAP measures, provides investors with an additional dimension of comparability to similar companies. However, investors should be aware that non-GAAP financial measures utilized by other companies are not likely to be comparable in most cases to the non-GAAP financial measures used by MPS. See the GAAP to Non-GAAP reconciliations in the tables set forth below.

    RECONCILIATION OF NET INCOME TO NON-GAAP NET INCOME
    (Unaudited, in thousands, except per share amounts)
     
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Net income   $ 133,726     $ 100,366     $ 267,517     $ 192,907  
                                     
    Adjustments to reconcile net income to non-GAAP net income:                                
    Stock-based compensation and related expenses     60,280       52,704       114,091       104,473  
    Amortization of acquisition-related intangible assets     320       372       640       663  
    Deferred compensation plan expense, net     281       106       275       153  
    Tax effect     7,573       1,528       13,470       (5,628 )
    Non-GAAP net income   $ 202,180     $ 155,076     $ 395,993     $ 292,568  
                                     
    Non-GAAP net income per share:                                
    Basic   $ 4.22     $ 3.19     $ 8.27     $ 6.01  
    Diluted   $ 4.21     $ 3.17     $ 8.25     $ 5.98  
                                     
    Shares used in the calculation of non-GAAP net income per share:                                
    Basic     47,887       48,687       47,869       48,660  
    Diluted     48,019       48,945       48,012       48,935  
    RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN
    (Unaudited, in thousands)
     
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Gross profit   $ 366,016     $ 280,578     $ 719,246     $ 533,019  
    Gross margin     55.1 %     55.3 %     55.2 %     55.2 %
                                     
    Adjustments to reconcile gross profit to non-GAAP gross profit:                                
    Stock-based compensation and related expenses     1,915       1,635       3,621       3,535  
    Amortization of acquisition-related intangible assets     287       339       574       597  
    Deferred compensation plan expense     605       100       442       540  
    Non-GAAP gross profit   $ 368,823     $ 282,652     $ 723,883     $ 537,691  
    Non-GAAP gross margin     55.5 %     55.7 %     55.6 %     55.7 %
    RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES
    (Unaudited, in thousands)
     
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Total operating expenses   $ 201,258     $ 164,042     $ 385,729     $ 320,996  
                                     
    Adjustments to reconcile total operating expenses to non-GAAP total operating expenses:                                
    Stock-based compensation and related expenses     (58,365 )     (51,069 )     (110,470 )     (100,938 )
    Amortization of acquisition-related intangible assets     (33 )     (33 )     (66 )     (66 )
    Deferred compensation plan expense     (5,256 )     (1,273 )     (4,063 )     (4,899 )
    Non-GAAP operating expenses   $ 137,604     $ 111,667     $ 271,130     $ 215,093  
    RECONCILIATION OF OPERATING INCOME TO NON-GAAP OPERATING INCOME
    (Unaudited, in thousands)
     
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Total operating income   $ 164,758     $ 116,536     $ 333,517     $ 212,023  
                                     
    Adjustments to reconcile total operating income to non-GAAP total operating income:                                
    Stock-based compensation and related expenses     60,280       52,704       114,091       104,473  
    Amortization of acquisition-related intangible assets     320       372       640       663  
    Deferred compensation plan expense     5,861       1,373       4,505       5,439  
    Non-GAAP operating income   $ 231,219     $ 170,985     $ 452,753     $ 322,598  
    RECONCILIATION OF OTHER INCOME, NET, TO NON-GAAP OTHER INCOME, NET
    (Unaudited, in thousands)
     
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Total other income, net   $ 12,220     $ 7,512     $ 17,351     $ 17,052  
                                     
    Adjustments to reconcile other income, net to non-GAAP other income, net:                                
    Deferred compensation plan income     (5,580 )     (1,266 )     (4,230 )     (5,285 )
    Non-GAAP other income, net   $ 6,640     $ 6,246     $ 13,121     $ 11,767  
    RECONCILIATION OF INCOME BEFORE INCOME TAXES TO NON-GAAP INCOME BEFORE INCOME TAXES
    (Unaudited, in thousands)
     
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Total income before income taxes   $ 176,978     $ 124,048     $ 350,868     $ 229,075  
                                     
    Adjustments to reconcile income before income taxes to non-GAAP income before income taxes:                                
    Stock-based compensation and related expenses     60,280       52,704       114,091       104,473  
    Amortization of acquisition-related intangible assets     320       372       640       663  
    Deferred compensation plan expense, net     281       106       275       153  
    Non-GAAP income before income taxes   $ 237,859     $ 177,230     $ 465,874     $ 334,364  
    2025 THIRD QUARTER OUTLOOK
    RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN
    (Unaudited)
           
        Three Months Ending  
        September 30, 2025  
        Low
    		   High
    Gross margin     54.9 %     55.5 %
    Adjustment to reconcile gross margin to non-GAAP gross margin:                
    Stock-based compensation and other expenses     0.3 %     0.3 %
    Non-GAAP gross margin     55.2 %     55.8 %
    RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES
    (Unaudited, in thousands)
         
        Three Months Ending
        September 30, 2025
        Low   High
    Operating expenses   $ 201,300     $ 207,300  
    Adjustments to reconcile operating expenses to non-GAAP operating expenses:                
    Stock-based compensation and other expenses     (58,300 )     (60,300 )
    Non-GAAP operating expenses   $ 143,000     $ 147,000  

    The MIL Network –

  • MIL-OSI: Monolithic Power Systems Announces Results for the Second Quarter Ended June 30, 2025

    Source: GlobeNewswire (MIL-OSI)

    KIRKLAND, Wash., July 31, 2025 (GLOBE NEWSWIRE) — Monolithic Power Systems, Inc. (“MPS”) (Nasdaq: MPWR), a fabless global company that provides high-performance, semiconductor-based power electronics solutions, today announced financial results for the quarter ended June 30, 2025.

    The financial results for the quarter ended June 30, 2025 were as follows:

    • Revenue was $664.6 million for the quarter ended June 30, 2025, a 4.2% increase from $637.6 million for the quarter ended March 31, 2025 and a 31.0% increase from $507.4 million for the quarter ended June 30, 2024.
    • GAAP gross margin was 55.1% for the quarter ended June 30, 2025, compared with 55.3% for the quarter ended June 30, 2024.
    • Non-GAAP gross margin (1) was 55.5% for the quarter ended June 30, 2025, excluding the impact of $1.9 million for stock-based compensation and related expenses, $0.6 million for deferred compensation plan expense and $0.3 million for amortization of acquisition-related intangible assets, compared with 55.7% for the quarter ended June 30, 2024, excluding the impact of $1.6 million for stock-based compensation and related expenses, $0.3 million for amortization of acquisition-related intangible assets and $0.1 million for deferred compensation plan expense.
    • GAAP operating expenses were $201.3 million for the quarter ended June 30, 2025, compared with $164.0 million for the quarter ended June 30, 2024.
    • Non-GAAP operating expenses (1) were $137.6 million for the quarter ended June 30, 2025, excluding $58.4 million for stock-based compensation and related expenses and $5.3 million for deferred compensation plan expense, compared with $111.7 million for the quarter ended June 30, 2024, excluding $51.1 million for stock-based compensation and related expenses and $1.3 million for deferred compensation plan expense.
    • GAAP operating income was $164.8 million for the quarter ended June 30, 2025, compared with $116.5 million for the quarter ended June 30, 2024.
    • Non-GAAP operating income (1) was $231.2 million for the quarter ended June 30, 2025, excluding $60.3 million for stock-based compensation and related expenses, $5.9 million for deferred compensation plan expense and $0.3 million for amortization of acquisition-related intangible assets, compared with $171.0 million for the quarter ended June 30, 2024, excluding $52.7 million for stock-based compensation and related expenses, $1.4 million for deferred compensation plan expense and $0.4 million for amortization of acquisition-related intangible assets.
    • GAAP other income, net was $12.2 million for the quarter ended June 30, 2025, compared with $7.5 million for the quarter ended June 30, 2024.
    • Non-GAAP other income, net (1) was $6.6 million for the quarter ended June 30, 2025, excluding $5.6 million for deferred compensation plan income, compared with $6.2 million for the quarter ended June 30, 2024, excluding $1.3 million for deferred compensation plan income.
    • GAAP income before income taxes was $177.0 million for the quarter ended June 30, 2025, compared with $124.0 million for the quarter ended June 30, 2024.
    • Non-GAAP income before income taxes (1) was $237.9 million for the quarter ended June 30, 2025, excluding $60.3 million for stock-based compensation and related expenses, $0.3 million for amortization of acquisition-related intangible assets and $0.3 million for net deferred compensation plan expense, compared with $177.2 million for the quarter ended June 30, 2024, excluding $52.7 million for stock-based compensation and related expenses, $0.4 million for amortization of acquisition-related intangible assets and $0.1 million for net deferred compensation plan expense.
    • GAAP net income was $133.7 million and $2.78 per diluted share for the quarter ended June 30, 2025. Comparatively, GAAP net income was $100.4 million and $2.05 per diluted share for the quarter ended June 30, 2024.
    • Non-GAAP net income (1) was $202.2 million and $4.21 per diluted share for the quarter ended June 30, 2025, excluding $60.3 million for stock-based compensation and related expenses, $0.3 million for amortization of acquisition-related intangible assets, $0.3 million for net deferred compensation plan expense and $7.6 million for related tax effects, compared with $155.1 million and $3.17 per diluted share for the quarter ended June 30, 2024, excluding $52.7 million for stock-based compensation and related expenses, $0.4 million for amortization of acquisition-related intangible assets, $0.1 million for net deferred compensation plan expense and $1.5 million for related tax effects.

    The financial results for the six months ended June 30, 2025 were as follows:

    • Revenue was $1,302.1 million for the six months ended June 30, 2025, a 34.9% increase from $965.3 million for the six months ended June 30, 2024.
    • GAAP gross margin was 55.2% for the six months ended June 30, 2025, flat as compared to the six months ended June 30, 2024.
    • Non-GAAP gross margin (1) was 55.6% for the six months ended June 30, 2025, excluding the impact of $3.6 million for stock-based compensation and related expenses, $0.6 million for amortization of acquisition-related intangible assets and $0.4 million for deferred compensation plan expense, compared with 55.7% for the six months ended June 30, 2024, excluding the impact of $3.5 million for stock-based compensation and related expenses, $0.6 million for amortization of acquisition-related intangible assets and $0.5 million for deferred compensation plan expense.
    • GAAP operating expenses were $385.7 million for the six months ended June 30, 2025, compared with $321.0 million for the six months ended June 30, 2024.
    • Non-GAAP operating expenses (1) were $271.1 million for the six months ended June 30, 2025, excluding $110.5 million for stock-based compensation and related expenses, $4.1 million for deferred compensation plan expense and $0.1 million for amortization of acquisition-related intangible assets, compared with $215.1 million for the six months ended June 30, 2024, excluding $100.9 million for stock-based compensation and related expenses, $4.9 million for deferred compensation plan expense and $0.1 million for amortization of acquisition-related intangible assets.
    • GAAP operating income was $333.5 million for the six months ended June 30, 2025, compared with $212.0 million for the six months ended June 30, 2024.
    • Non-GAAP operating income (1) was $452.8 million for the six months ended June 30, 2025, excluding $114.1 million for stock-based compensation and related expenses, $4.5 million for deferred compensation plan expense and $0.6 million for amortization of acquisition-related intangible assets, compared with $322.6 million for the six months ended June 30, 2024, excluding $104.5 million for stock-based compensation and related expenses, $5.4 million for deferred compensation plan expense and $0.7 million for amortization of acquisition-related intangible assets.
    • GAAP other income, net was $17.4 million for the six months ended June 30, 2025, compared with $17.1 million for the six months ended June 30, 2024.
    • Non-GAAP other income, net (1) was $13.1 million for the six months ended June 30, 2025, excluding $4.2 million for deferred compensation plan income, compared with $11.8 million for the six months ended June 30, 2024, excluding $5.3 million for deferred compensation plan income.
    • GAAP income before income taxes was $350.9 million for the six months ended June 30, 2025, compared with $229.1 million for the six months ended June 30, 2024.
    • Non-GAAP income before income taxes (1) was $465.9 million for the six months ended June 30, 2025, excluding $114.1 million for stock-based compensation and related expenses, $0.6 million for amortization of acquisition-related intangible assets and $0.3 million for net deferred compensation plan expense, compared with $334.4 million for the six months ended June 30, 2024, excluding $104.5 million for stock-based compensation and related expenses, $0.7 million for amortization of acquisition-related intangible assets and $0.2 million for net deferred compensation plan expense.
    • GAAP net income was $267.5 million and $5.57 per diluted share for the six months ended June 30, 2025. Comparatively, GAAP net income was $192.9 million and $3.94 per diluted share for the six months ended June 30, 2024.
    • Non-GAAP net income (1) was $396.0 million and $8.25 per diluted share for the six months ended June 30, 2025, excluding $114.1 million for stock-based compensation and related expenses, $0.6 million for amortization of acquisition-related intangible assets, $0.3 million for net deferred compensation plan expense and $13.5 million for related tax effects, compared with $292.6 million and $5.98 per diluted share for the six months ended June 30, 2024, excluding $104.5 million for stock-based compensation and related expenses, $0.7 million for amortization of acquisition-related intangible assets, $0.2 million for net deferred compensation plan expense and $5.6 million for related tax effects.

    The following is a summary of revenue by end market (in thousands):

        Three Months Ended June 30,   Six Months Ended June 30,
    End Market   2025   2024   2025   2024
    Storage and Computing   $ 195,320     $ 114,955     $ 383,831     $ 221,076  
    Automotive     145,132       87,193       290,036       174,285  
    Enterprise Data     143,964       187,211       276,888       336,938  
    Communications     73,783       43,566       145,454       90,211  
    Consumer     59,663       42,229       116,610       80,303  
    Industrial     46,712       32,277       89,309       62,503  
    Total   $ 664,574     $ 507,431     $ 1,302,128     $ 965,316  

    “Our proven, long-term growth strategy remains intact as we continue our transformation from being a chip-only, semiconductor supplier to a full service, silicon-based solutions provider,” said Michael Hsing, CEO and founder of MPS. 

    Business Outlook

    The following are MPS’s financial targets for the third quarter ending September 30, 2025:

    • Revenue in the range of $710.0 million to $730.0 million.
    • GAAP gross margin between 54.9% and 55.5%. Non-GAAP gross margin (1) between 55.2% and 55.8%, which excludes the impact from stock-based compensation and related expenses as well as the impact from amortization of acquisition-related intangible assets.
    • GAAP operating expenses between $201.3 million and $207.3 million. Non-GAAP operating expenses (1) between $143.0 million and $147.0 million, which excludes estimated stock-based compensation and related expenses in the range of $58.3 million to $60.3 million.
    • Total stock-based compensation and related expenses of $60.1 million to $62.1 million including approximately $1.8 million that would be charged to cost of goods sold.
    • Interest and other income in the range of $6.4 million to $6.8 million before foreign exchange gains or losses.
    • Non-GAAP tax rate of 15% for 2025.
    • Fully diluted shares outstanding between 47.9 million and 48.3 million.

    (1) Non-GAAP net income, non-GAAP net income per share, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income, non-GAAP other income, net and non-GAAP income before income taxes differ from net income, net income per share, gross margin, operating expenses, operating income, other income, net and income before income taxes determined in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”). Non-GAAP net income and non-GAAP net income per share exclude the effect of stock-based compensation and related expenses, which include stock-based compensation expense and employer payroll taxes in relation to the stock-based compensation, net deferred compensation plan expense, amortization of acquisition-related intangible assets and related tax effects. Non-GAAP gross margin excludes the effect of stock-based compensation and related expenses, amortization of acquisition-related intangible assets and deferred compensation plan expense. Non-GAAP operating expenses exclude the effect of stock-based compensation and related expenses, amortization of acquisition-related intangible assets and deferred compensation plan expense. Non-GAAP operating income excludes the effect of stock-based compensation and related expenses, amortization of acquisition-related intangible assets and deferred compensation plan expense. Non-GAAP other income, net excludes the effect of deferred compensation plan income. Non-GAAP income before income taxes excludes the effect of stock-based compensation and related expenses, amortization of acquisition-related intangible assets and net deferred compensation plan expense. Projected non-GAAP gross margin excludes the effect of stock-based compensation and related expenses, and amortization of acquisition-related intangible assets. Projected non-GAAP operating expenses exclude the effect of stock-based compensation and related expenses. These non-GAAP financial measures are not prepared in accordance with GAAP and should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. A schedule reconciling non-GAAP financial measures is included at the end of this press release. MPS utilizes both GAAP and non-GAAP financial measures to assess what it believes to be its core operating performance and to evaluate and manage its internal business and assist in making financial operating decisions. MPS believes that the inclusion of non-GAAP financial measures, together with GAAP measures, provides investors with an alternative presentation useful to investors’ understanding of MPS’s core operating results and trends. Additionally, MPS believes that the inclusion of non-GAAP measures, together with GAAP measures, provides investors with an additional dimension of comparability to similar companies. However, investors should be aware that non-GAAP financial measures utilized by other companies are not likely to be comparable in most cases to the non-GAAP financial measures used by MPS. See the GAAP to non-GAAP reconciliations in the tables set forth below.

    Earnings Commentary
    Earnings commentary on the results of operations for the quarter ended June 30, 2025 is available under the Investor Relations page on the MPS website.

    Earnings Webinar
    MPS plans to host a question-and-answer webinar covering its financial results at 2:00 p.m. PT / 5:00 p.m. ET, July 31, 2025. The live event will be held via a Zoom webcast, which can be accessed at: https://mpsic.zoom.us/j/98147401910. The Zoom webcast can also be accessed live over the phone by dialing (669) 444-9171; the webcast ID is 98147401910. A replay of the event will be archived and available for replay for one year under the Investor Relations page on the MPS website.

    Safe Harbor Statement
    This press release contains, and statements that will be made during the accompanying earnings webinar will contain, forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995, including under the “Business Outlook” section and the quote from our CEO herein, including, among other things, (i) projected revenue, GAAP and non-GAAP gross margin, GAAP and non-GAAP operating expenses, stock-based compensation and related expenses, amortization of acquisition-related intangible assets, other income before foreign exchange gains or losses, and fully diluted shares outstanding, (ii) our outlook for the third quarter of fiscal year 2025 and the near-term, medium-term and long-term prospects of MPS, including our ability to adapt to changing market conditions, performance against our business plan, our ability to grow despite the various challenges facing our business, our industry and the global economic environment, revenue growth in certain of our market segments, potential new business segments, our continued investment in research and development (“R&D”), expected revenue growth, customers’ acceptance of our new product offerings, the prospects of our new product development, our expectations regarding market and industry segment trends and prospects, and our projected expansion of capacity and the impact it may have on our business, (iii) our ability to penetrate new markets and expand our market share, (iv) the seasonality of our business, (v) our ability to reduce our expenses, and (vi) statements regarding the assumptions underlying or relating to any statement described in (i), (ii), (iii), (iv), or (v). These forward-looking statements are not historical facts or guarantees of future performance or events, are based on current expectations, estimates, beliefs, assumptions, goals, and objectives, and involve significant known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from the results expressed by these statements. Readers of this press release and listeners to the accompanying earnings webinar are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date hereof. Factors that could cause actual results to differ include, but are not limited to, continued uncertainties in the global economy, including due to the Russia-Ukraine and Middle East conflicts, global tariffs and retaliatory measures and announcements regarding same, inflation, consumer sentiment and other factors; adverse events arising from orders or regulations of governmental entities, including such orders or regulations that impact our customers or suppliers, and adoption of new or amended accounting standards; adverse changes in laws and government regulations such as tariffs on imports of foreign goods, export regulations and export classifications, and tax laws (including the recent H.R.1 Act signed into law on July 4, 2025) or the interpretation of same, including in foreign countries where MPS has offices or operations; the effect of export controls, trade and economic sanctions regulations and other regulatory or contractual limitations on our ability to sell or develop our products in certain foreign markets, particularly in China; our ability to obtain governmental licenses and approvals for international trading activities or technology transfers, including export licenses; acceptance of, or demand for, our products, in particular the new products launched recently, being different than expected; our ability to increase market share in our targeted markets; difficulty in predicting or budgeting for future customer demand and channel inventories, expenses and financial contingencies (including as a result of any continuing impact from the Russia-Ukraine and Middle East conflicts); our ability to efficiently and effectively develop new products and receive a return on our R&D expense investment; our ability to attract new customers and retain existing customers; our ability to meet customer demand for our products due to constraints on our third-party suppliers’ ability to manufacture sufficient quantities of our products or otherwise; our ability to expand manufacturing capacity to support future growth; adverse changes in production and testing efficiency of our products; any political, cultural, military, regulatory, economic, foreign exchange and operational changes in China, where a significant portion of our manufacturing capacity comes from; any market disruptions or interruptions in our schedule of new product development releases; our ability to manage our inventory levels; adequate supply of our products from our third-party manufacturing partners; adverse changes or developments in the semiconductor industry generally, which is cyclical in nature, and our ability to adjust our operations to address such changes or developments; the ongoing consolidation of companies in the semiconductor industry; competition generally and the increasingly competitive nature of our industry; our ability to realize the anticipated benefits of companies and products that MPS acquires, and our ability to effectively and efficiently integrate these acquired companies and products into our operations; the risks, uncertainties and costs of litigation in which MPS is involved; the outcome of any upcoming trials, hearings, motions and appeals; the adverse impact on our financial performance if our tax and litigation provisions are inadequate; our ability to effectively manage our growth and attract and retain qualified personnel; the effect of epidemics and pandemics on the global economy and on our business; the risks associated with the financial market, economy, global tariffs and retaliatory measures and announcements regarding same, and geopolitical uncertainties, including the Russia-Ukraine and Middle East conflicts; and other important risk factors identified under the caption “Risk Factors” and elsewhere in our Securities and Exchange Commission (“SEC”) filings, including, but not limited to, our Annual Report on Form 10-K filed with the SEC on March 3, 2025. MPS assumes no obligation to update the information in this press release or in the accompanying earnings webinar.

    About Monolithic Power Systems

    Monolithic Power Systems, Inc. (“MPS”) is a fabless global company that provides high-performance, semiconductor-based power electronics solutions. MPS’s mission is to reduce energy and material consumption to improve all aspects of quality of life. Founded in 1997 by our CEO Michael Hsing, MPS has three core strengths: deep system-level knowledge, strong semiconductor expertise, and innovative proprietary technologies in the areas of semiconductor processes, system integration, and packaging. These combined advantages enable MPS to deliver reliable, compact, and monolithic solutions that are highly energy-efficient, cost-effective, and environmentally responsible while providing a consistent return on investment to our stockholders. MPS can be contacted through its website at www.monolithicpower.com or its support offices around the world.

    Monolithic Power Systems, MPS, and the MPS logo are registered trademarks of Monolithic Power Systems, Inc. in the U.S. and trademarked in certain other countries. 

    Contact:
    Bernie Blegen
    Executive Vice President and Chief Financial Officer
    Monolithic Power Systems, Inc.
    408-826-0777
    MPSInvestor.Relations@monolithicpower.com 

     
    Monolithic Power Systems, Inc.
    Condensed Consolidated Balance Sheets
    (Unaudited, in thousands, except par value)
     
        June 30,   December 31,
        2025   2024
    ASSETS                
    Current assets:                
    Cash and cash equivalents   $ 787,382     $ 691,816  
    Short-term investments     358,695       171,130  
    Accounts receivable, net     194,821       172,518  
    Inventories     490,642       419,611  
    Other current assets     87,217       109,978  
    Total current assets     1,918,757       1,565,053  
    Property and equipment, net     563,885       494,945  
    Acquisition-related intangible assets, net     9,364       9,938  
    Goodwill     25,944       25,944  
    Deferred tax assets, net     1,309,981       1,326,840  
    Other long-term assets     144,279       194,377  
    Total assets   $ 3,972,210     $ 3,617,097  
                     
    LIABILITIES AND STOCKHOLDERS’ EQUITY                
    Current liabilities:                
    Accounts payable   $ 129,919     $ 102,526  
    Accrued compensation and related benefits     81,296       63,918  
    Other accrued liabilities     172,293       128,123  
    Total current liabilities     383,508       294,567  
    Income tax liabilities     73,185       65,193  
    Other long-term liabilities     113,449       111,570  
    Total liabilities     570,142       471,330  
    Commitments and contingencies                
    Stockholders’ equity:                
    Common stock and additional paid-in capital: $0.001 par value; shares authorized: 150,000; shares issued and outstanding: 47,892 and 47,823, respectively     822,582       706,817  
    Retained earnings     2,603,177       2,487,461  
    Accumulated other comprehensive loss     (23,691 )     (48,511 )
    Total stockholders’ equity     3,402,068       3,145,767  
    Total liabilities and stockholders’ equity   $ 3,972,210     $ 3,617,097  
                     
    Monolithic Power Systems, Inc.
    Condensed Consolidated Statements of Operations
    (Unaudited, in thousands, except per share amounts)
     
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Revenue   $ 664,574     $ 507,431     $ 1,302,128     $ 965,316  
    Cost of revenue     298,558       226,853       582,882       432,297  
    Gross profit     366,016       280,578       719,246       533,019  
    Operating expenses:                                
    Research and development     96,266       77,945       188,493       153,935  
    Selling, general and administrative     104,992       86,097       197,236       167,061  
    Total operating expenses     201,258       164,042       385,729       320,996  
    Operating income     164,758       116,536       333,517       212,023  
    Other income, net     12,220       7,512       17,351       17,052  
    Income before income taxes     176,978       124,048       350,868       229,075  
    Income tax expense     43,252       23,682       83,351       36,168  
    Net income   $ 133,726     $ 100,366     $ 267,517     $ 192,907  
                                     
    Net income per share:                                
    Basic   $ 2.79     $ 2.06     $ 5.59     $ 3.96  
    Diluted   $ 2.78     $ 2.05     $ 5.57     $ 3.94  
    Weighted-average shares outstanding:                                
    Basic     47,887       48,687       47,869       48,660  
    Diluted     48,019       48,945       48,012       48,935  
                                     
    RECONCILIATION OF NET INCOME TO NON-GAAP NET INCOME
    (Unaudited, in thousands, except per share amounts)
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Net income   $ 133,726     $ 100,366     $ 267,517     $ 192,907  
                                     
    Adjustments to reconcile net income to non-GAAP net income:                                
    Stock-based compensation and related expenses     60,280       52,704       114,091       104,473  
    Amortization of acquisition-related intangible assets     320       372       640       663  
    Deferred compensation plan expense, net     281       106       275       153  
    Tax effect     7,573       1,528       13,470       (5,628 )
    Non-GAAP net income   $ 202,180     $ 155,076     $ 395,993     $ 292,568  
                                     
    Non-GAAP net income per share:                                
    Basic   $ 4.22     $ 3.19     $ 8.27     $ 6.01  
    Diluted   $ 4.21     $ 3.17     $ 8.25     $ 5.98  
                                     
    Shares used in the calculation of non-GAAP net income per share:                                
    Basic     47,887       48,687       47,869       48,660  
    Diluted     48,019       48,945       48,012       48,935  
                                     
    RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN
    (Unaudited, in thousands)
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Gross profit   $ 366,016     $ 280,578     $ 719,246     $ 533,019  
    Gross margin     55.1 %     55.3 %     55.2 %     55.2 %
                                     
    Adjustments to reconcile gross profit to non-GAAP gross profit:                                
    Stock-based compensation and related expenses     1,915       1,635       3,621       3,535  
    Amortization of acquisition-related intangible assets     287       339       574       597  
    Deferred compensation plan expense     605       100       442       540  
    Non-GAAP gross profit   $ 368,823     $ 282,652     $ 723,883     $ 537,691  
    Non-GAAP gross margin     55.5 %     55.7 %     55.6 %     55.7 %
                                     
    RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES
    (Unaudited, in thousands)
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Total operating expenses   $ 201,258     $ 164,042     $ 385,729     $ 320,996  
                                     
    Adjustments to reconcile total operating expenses to non-GAAP total operating expenses:                                
    Stock-based compensation and related expenses     (58,365 )     (51,069 )     (110,470 )     (100,938 )
    Amortization of acquisition-related intangible assets     (33 )     (33 )     (66 )     (66 )
    Deferred compensation plan expense     (5,256 )     (1,273 )     (4,063 )     (4,899 )
    Non-GAAP operating expenses   $ 137,604     $ 111,667     $ 271,130     $ 215,093  
                                     
    RECONCILIATION OF OPERATING INCOME TO NON-GAAP OPERATING INCOME
    (Unaudited, in thousands)
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Total operating income   $ 164,758     $ 116,536     $ 333,517     $ 212,023  
                                     
    Adjustments to reconcile total operating income to non-GAAP total operating income:                                
    Stock-based compensation and related expenses     60,280       52,704       114,091       104,473  
    Amortization of acquisition-related intangible assets     320       372       640       663  
    Deferred compensation plan expense     5,861       1,373       4,505       5,439  
    Non-GAAP operating income   $ 231,219     $ 170,985     $ 452,753     $ 322,598  
                                     
    RECONCILIATION OF OTHER INCOME, NET, TO NON-GAAP OTHER INCOME, NET
    (Unaudited, in thousands)
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Total other income, net   $ 12,220     $ 7,512     $ 17,351     $ 17,052  
                                     
    Adjustments to reconcile other income, net to non-GAAP other income, net:                                
    Deferred compensation plan income     (5,580 )     (1,266 )     (4,230 )     (5,285 )
    Non-GAAP other income, net   $ 6,640     $ 6,246     $ 13,121     $ 11,767  
                                     
    RECONCILIATION OF INCOME BEFORE INCOME TAXES TO NON-GAAP INCOME BEFORE INCOME TAXES
    (Unaudited, in thousands)
        Three Months Ended June 30,   Six Months Ended June 30,
        2025   2024   2025   2024
    Total income before income taxes   $ 176,978     $ 124,048     $ 350,868     $ 229,075  
                                     
    Adjustments to reconcile income before income taxes to non-GAAP income before income taxes:                                
    Stock-based compensation and related expenses     60,280       52,704       114,091       104,473  
    Amortization of acquisition-related intangible assets     320       372       640       663  
    Deferred compensation plan expense, net     281       106       275       153  
    Non-GAAP income before income taxes   $ 237,859     $ 177,230     $ 465,874     $ 334,364  
                                     
    2025 THIRD QUARTER OUTLOOK
    RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN
    (Unaudited)
        Three Months Ending
        September 30, 2025
        Low   High
    Gross margin     54.9 %     55.5 %
    Adjustment to reconcile gross margin to non-GAAP gross margin:                
    Stock-based compensation and other expenses     0.3 %     0.3 %
    Non-GAAP gross margin     55.2 %     55.8 %
                     
    RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES
    (Unaudited, in thousands)
        Three Months Ending
        September 30, 2025
        Low   High
    Operating expenses   $ 201,300     $ 207,300  
    Adjustments to reconcile operating expenses to non-GAAP operating expenses:                
    Stock-based compensation and other expenses     (58,300 )     (60,300 )
    Non-GAAP operating expenses   $ 143,000     $ 147,000  
                     

    The MIL Network –

  • MIL-OSI: StoneX Completes Acquisition of R.J. O’Brien, Becoming the Largest Non-Bank FCM in the United States and Enhancing Global Multi-Asset Capabilities

    Source: GlobeNewswire (MIL-OSI)

    NEW YORK, July 31, 2025 (GLOBE NEWSWIRE) — StoneX Group Inc. (NASDAQ: SNEX) (“StoneX” or the “Company”), today announced the successful completion of its previously announced acquisition of R.J. O’Brien (“RJO”), the oldest independent futures brokerage in the United States. This transformative acquisition makes StoneX the largest non-bank Futures Commission Merchant (“FCM”) in the U.S. and positions the company as a market leader in global derivatives.

    Founded in 1914, RJO supports over 75,000 client accounts and serves the industry’s largest global network of approximately 300 introducing brokers (“IBs”), as well as commercial and institutional clients, and individual investors. RJO brings an attractive financial profile to StoneX, having generated $766 million in revenue and approximately $170 million in EBITDA during calendar 2024.

    As a combined company, StoneX provides clients with access to nearly every major global derivatives exchange, and offers one of the most comprehensive multi-asset platforms in the industry. RJO’s clients can now access StoneX’s extensive range of markets, products, and services, including an expansive over-the-counter (“OTC”) hedging platform, physical commodity hedging, financing, and logistics services, as well as access to deep liquidity across fixed income products.

    Through the integration of the two companies, StoneX has targeted significant revenue synergies via cross-sell opportunities in OTC derivatives, physical commodity trading, and fixed income products. StoneX has also targeted $50 million in expense savings and unlocking at least $50 million in capital synergies through operational consolidation. The acquisition, which expands StoneX’s client float by nearly $6 billion, is expected to enhance StoneX’s margins, return on equity and be accretive to earnings.

    “This is a proud moment for both companies. With more than 200 years of combined futures and commodities expertise, we are strengthening StoneX’s role as an integral part of the global financial infrastructure,” said Sean O’Connor, Executive Vice-Chairman of StoneX. “This acquisition creates an unmatched knowledge base and reinforces our position as the counterparty of choice for clients.”

    Philip Smith, Chief Executive Officer of StoneX, added: “This transaction significantly expands our scale and increases our capabilities in several critical areas, including through a materially expanded client network and the addition of the leading introducing broker business. The combination of the companies’ leading technologies and tools, such as in OTC hedging, risk management, and trading execution and liquidity across multiple asset classes, will deliver clients important benefits. This transaction adds significant value for our clients and reinforces our ability to deliver across asset classes through every market cycle.”

    Gerry Corcoran, Chairman and CEO of RJO, said: “Today marks an exciting milestone as RJO joins StoneX to deliver broader services and greater reach to our clients. We will continue to deliver the same level of outstanding and personalized service we’ve always provided – now on an even larger scale with more extensive resources. We couldn’t be more pleased about the cultural fit and strong client-first approach at StoneX that mirrors RJO’s philosophy.”

    Speaking on behalf of the O’Brien family, the majority shareholders in RJO, Board member John O’Brien, Jr. said: “We are incredibly proud of our heritage in the futures industry spanning nearly 111 years, along with the clients we’ve served and the industry we helped grow. We are grateful for the thousands of employees who have met our clients’ needs so faithfully for all these years. And now, as we embark on the next chapter of this amazing story, we are confident that StoneX will carry on the important legacy of both firms while building a leading multi-asset global organization for the future.”

    About StoneX Group Inc.

    StoneX Group Inc., through its subsidiaries, operates a global financial services network that connects companies, organizations, traders and investors to the global market ecosystem through a unique blend of digital platforms, end-to-end clearing and execution services, high touch service and deep expertise. The Company strives to be the one trusted partner for its clients, providing its network, product and services to allow them to pursue trading opportunities, manage their market risks, make investments and improve their business performance. A Fortune 50 company headquartered in New York City and listed on the Nasdaq Global Select Market (NASDAQ: SNEX), StoneX Group Inc. and its more than 4,700 employees serve more than 54,000 commercial, institutional, and global payments clients, and more than 260,000 self-directed/retail accounts, from more than 80 offices spread across six continents. Further information on the Company is available at www.stonex.com.

    About R.J. O’Brien

    Founded in 1914, R.J. O’Brien & Associates is one of the leading futures brokerage and clearing firms in the United States, serving more than 75,000 institutional, commercial and individual clients globally, in addition to a network of approximately 300 IBs. RJO services the industry’s most expansive global network of IBs, a vast array of middle market firms and many of the world’s largest financial, industrial and agricultural institutions. The firm offers state-of-the-art electronic trading and 24-hour trade execution on every major futures exchange worldwide. RJO received the FOW International Award for Non-Bank FCM of the Year for five consecutive years, and the firm and its UK affiliate have earned eight honors from the HFM Global publications (now With Intelligence) in recent years.

    Press Inquiries: stonex@cognitomedia.com

    Investor Relations Inquiries: Kevin.Murphy@stonex.com

    Cautionary Note Regarding Forward-Looking Statements

    Statements in this release that are not historical facts are “forward-looking” statements and “safe harbor statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and/or uncertainties, including those described in StoneX’s public filings with the Securities and Exchange Commission. Forward-looking statements are based on management’s current expectations and assumptions and not on historical facts. Examples of these statements include, but are not limited to, statements about the benefits of the proposed acquisition of RJO, including expected synergies and future financial and operating results, the plans, objectives, expectations and intentions of StoneX after the acquisition, the expected timing to close the acquisition and the expected use of proceeds of any debt financing. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict. Our actual results may differ materially from those contemplated by the forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. Therefore, we caution you against relying on any of these forward-looking statements. Among the important factors that could cause actual results to differ materially from those indicated in such forward-looking statements include the risks related to the proposed acquisition and the integration of RJO as well as the risks and other factors described in StoneX’s periodic reports filed with the Securities and Exchange Commission. In providing forward-looking statements, StoneX is not undertaking any duty or obligation to update these statements publicly as a result of new information, future events or otherwise, except as required by law. If StoneX updates one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those other forward-looking statements.

    SNEX-G

    The MIL Network –

  • MIL-OSI: NCS Multistage to Acquire ResMetrics, Further Expanding Tracer Diagnostics Offering

    Source: GlobeNewswire (MIL-OSI)

    HOUSTON, July 31, 2025 (GLOBE NEWSWIRE) — NCS Multistage Holdings, Inc. (NASDAQ:NCSM) (“NCS” or the “Company”) today announced that it has acquired ResMetrics LLC (“ResMetrics”), a leading provider of chemical tracer diagnostics services used by oil and gas operators to validate reservoir development strategies, improve hydraulic fracture stimulation designs, evaluate inter-well connectivity, and optimize enhanced oil recovery injection programs, complementing and further strengthening NCS’s tracer diagnostics capabilities.

    “I am excited to welcome the ResMetrics team to NCS,” said Ryan Hummer, NCS’s Chief Executive Officer. “ResMetrics brings trusted chemical tracer technologies that complement our existing capabilities, enhancing our ability to deliver actionable insights that help customers maximize well performance and financial returns.”

    “ResMetrics has built a strong reputation for delivering high quality and reliable tracer diagnostics services to our customers,” said Sharad Behal, Chief Executive Officer of ResMetrics. “We expect that joining together with NCS will accelerate our growth and increase the breadth of diagnostics and other solutions available to our customers.”

    ResMetrics was built in conjunction with CSL Capital Management. Charlie Leykum, Founding Partner and CEO of CSL, expressed his admiration for the achievements of the ResMetrics team, stating, “I am incredibly proud of the dedication and innovation demonstrated by ResMetrics since its founding. Their commitment to advancing tracer diagnostics and delivering value to customers has solidified their leadership position in the industry. We are excited to see ResMetrics enter this next chapter with NCS and look forward to all that the future holds for the company and its talented team.”

    Shook, Hardy and Bacon L.L.P. served as legal advisor to NCS. Piper Sandler acted as exclusive financial advisor and Winston Strawn LLP served as legal advisor to ResMetrics.

    NCS will provide additional details on the ResMetrics acquisition during its second quarter earnings conference call scheduled for August 1, 2025.

    NCS Multistage Holdings, Inc. is a leading provider of highly engineered products and support services that facilitate the optimization of oil and natural gas well construction, well completions and field development strategies. NCS provides products and services primarily to exploration and production companies for use in onshore and offshore wells, predominantly wells that have been drilled with horizontal laterals in both unconventional and conventional oil and natural gas formations. NCS’s products and services are utilized in oil and natural gas basins throughout North America and in selected international markets, including the North Sea, the Middle East, Argentina and China. NCS’s common stock is traded on the Nasdaq Capital Market under the symbol “NCSM.” Additional information is available on the website, www.ncsmultistage.com.

    ResMetrics, LLC is a leading provider of oilfield tracer services, leveraging robust quality control systems and its state-of-the-art analytical laboratory to ensure accurate results. ResMetrics provides its customers with valuable data to assess and improve completion designs and to efficiently optimize reservoir development and production, including in enhanced oil recovery and high-temperature applications. ResMetrics provides its services primarily in the United States, the UAE and Kuwait.

    Contact:
    Mike Morrison
    Chief Financial Officer and Treasurer
    +1 281-453-2222
    IR@ncsmultistage.com

    The MIL Network –

  • MIL-OSI USA: Newly Declassified Appendix to Durham Report Sheds Additional Light on Clinton Campaign Plan to Falsely Tie Trump to Russia and FBI’s Failure to Investigate

    US Senate News:

    Source: United States Senator for Iowa Chuck Grassley

    WASHINGTON – Senate Judiciary Committee Chairman Chuck Grassley (R-Iowa) today is making public the formerly Classified Appendix (“Durham annex”) to John Durham’s 2023 Special Counsel report. The Unclassified Report and the Classified Appendix form the entirety of Durham’s Special Counsel Report.

    The Durham annex contains previously classified information exposing a reported Clinton campaign plan to falsely tie President Donald Trump to Russia.

    The annex also goes into further detail on matters discussed in the Unclassified Report, specifically:

    • The FBI’s failure – under the leadership of then-Director James Comey – to investigate intelligence that the Clinton campaign may have created the Russia collusion hoax. Meanwhile the Comey-led FBI used the Steele Dossier – a Clinton campaign creation – to obtain FISA warrants on Carter Page.

    Attorney General Pam Bondi, Federal Bureau of Investigation (FBI) Director Kash Patel and Intelligence Community elements declassified the Durham annex at Grassley’s request. In requesting its declassification, which included declassification of information by the Central Intelligence Agency (CIA) and National Security Agency (NSA), Grassley argued that “the overriding public interest demands the release of this information, and doing so would benefit public transparency and accountability.”

    “Based on the Durham annex, the Obama FBI failed to adequately review and investigate intelligence reports showing the Clinton campaign may have been ginning up the fake Trump-Russia narrative for Clinton’s political gain, which was ultimately done through the Steele Dossier and other means. These intelligence reports and related records, whether true or false, were buried for years. History will show that the Obama and Biden administration’s law enforcement and intelligence agencies were weaponized against President Trump. This political weaponization has caused critical damage to our institutions and is one of the biggest political scandals and cover-ups in American history. The new Trump administration has a tremendous responsibility to the American people to fix the damage done and do so with maximum speed and transparency,” Grassley said.

    “For years, I’ve fought to assemble and publicize all the facts surrounding Durham’s investigation, Crossfire Hurricane and related matters. The American people shouldn’t be shortchanged or strung out on matters of significant public interest, and that firm belief fuels my tireless oversight. It’s been a refreshing change to see Attorney General Bondi and Director Patel’s increased efforts to bring transparency to a very dark corner of the people’s government. I hope that attitude continues, and you can be sure my oversight work will continue as well, because there’s much work yet to be done,” Grassley concluded.

    Read the Durham annex HERE.

    Key Findings of the Durham Annex:

    The Clinton Campaign Plan

    In 2016, the Obama administration obtained intelligence information from a source contained in two separate memoranda – one memorandum from January 2016 and another from March 2016. The two memoranda “described ‘confidential conversations’ between then-Democratic National Committee (DNC) Chair Debbie Wasserman Schultz and two individuals at the [Soros] Open Society Foundations (i) [Leonard] Benardo and (ii) Jeffrey Goldstein.” (Pgs. 2-3)

    • This memo stated, in part, that “[the Democratic Party’s] opposition is focused on discrediting Trump…. [a]mong other things, the Clinton staff, with support from special services, is preparing scandalous revelations of business relations between Trump and the ‘Russian Mafia’”. (Pg. 4)

    • According to the Durham annex, based on an analysis and translation of the intelligence, FBI analysts believed that, at the time, the “special services” in the March 2016 memorandum could refer “to the FBI and the CIA or more broadly to the intelligence and law enforcement communities” in the United States, or, analysts speculated, it could refer to “Trump dossier author Christopher Steele.” (Pg. 5)

    • When the Obama administration received this intelligence in March 2016, Fusion GPS was preparing open source opposition research regarding purported ties between Trump and Russians. The research was paid for by Clinton’s campaign and the DNC. (Pg. 5).

    • Notably, on April 15, 2020, Grassley released Department of Justice Office of the Inspector General (DOJ OIG) footnotes showing that Russian intelligence was aware of Steele’s anti-Trump research in early July 2016. Further, the FBI had reports in hand in 2017 that the Dossier may have Russian sources and was potentially Russian disinformation.

    On March 31, 2016, FBI personnel, including then-Deputy Director Andrew McCabe, shared the intelligence regarding the potential Clinton Campaign Plan with high-ranking career officials at DOJ. (Pg. 5)

    FBI Receipt of Additional Intelligence Information on the Clinton Campaign Plan

    The Durham annex describes that, in July 2016, the FBI received additional intelligence regarding a possible Clinton Campaign Plan, including documents with purported emails allegedly sent by Leonard Benardo, Senior Vice President of Soros’ Open Society Foundations. The intelligence included data providing specificity on the plan and the attempt to smear then-candidate Donald Trump by falsely linking him to Russia, while apparently counting on the support of the FBI to open up an investigation. (Pgs. 7-11)

    The intelligence the FBI received also included information and analysis from purported Leonard Benardo emails that stated, in part:

    • “During the first stage of the campaign, due to lack of direct evidence, it was decided to disseminate the necessary information through the FBI-affiliated…technical structures… in particular, the Crowdstrike and ThreatConnect companies, from where the information would then be disseminated through leading U.S. publications.” (Pg. 8)

    • “The point is making the Russian play a U.S. domestic issue… In absence of direct evidence, Crowdstrike and ThreatConnect will supply the media, and GRU [Russia’s Main Intelligence Directive] will hopefully carry on to give more facts.” (Pg. 11)

    Assessment of Authenticity of the “Benardo Emails” Intelligence

    • The Durham annex states, “Analysts and officers whom [Durham’s team] interviewed, and who were well-versed in the Sensitive Intelligence collection, stated that their best assessment was that the Bernardo emails were likely authentic.” (Pg. 11)

    Durham’s team conducted investigative work to inform their assessment. Per the Durham annex:

    • Communications the Durham team reviewed provided additional support that the Clinton campaign was engaged in a plan to tie Trump to Russia and that the campaign wanted or expected the Office of the Vice President, the FBI or other parts of the Intelligence Community, such as the State Department’s Bureau of Intelligence and Research (INR), to aid that effort. (Pgs. 16-17)

    • The Durham annex states, “The Office’s best assessment is that the … emails that purport to be from Benardo were ultimately a composite of several emails that were obtained through Russian intelligence hacking of the U.S.-based Think Tanks, including the Open Society Foundations, the Carnegie Endowment, and others.” (Pg. 17)

    • The Durham annex concludes, “It is a logical deduction [redacted] [Julianne] Smith was, at minimum, playing a role in the Clinton campaign’s efforts to tie Trump to Russia,” and that the communications it reviewed “certainly lends at least some credence that such a plan existed.” (Pg. 17)

    The Obama-Biden Administration’s Response to Intelligence on the Clinton Campaign Plan

    • According to the Durham annex, following the receipt of this intelligence, multiple high-ranking U.S. officials were briefed on the matter, including an August 3, 2016 briefing in the White House by CIA Director John Brennan to President Obama, Vice President Joe Biden, Director of National Intelligence James Clapper, FBI Director Comey, among others. As described in Durham’s Unclassified Report, ultimately, the CIA sent the FBI an investigative referral that included the “purported Clinton campaign plan.” (Pg. 18)

    • In 2017, the “CIA prepared a written assessment of the authenticity and veracity of the above-referenced intelligence. The CIA stated that it did not assess that the above [redacted] memoranda, or [redacted] hacked U.S. communications, to be the product of Russian fabrications.” (Pg. 19)

    • The Durham annex notes that “FBI was fully alerted to the possibility that at least some of the information it was receiving about the Trump campaign might have its origin either with the Clinton campaign or its supporters, or alternatively, was the product of Russian disinformation.”

    • The Durham annex concludes, in part, that “[d]espite this awareness, the FBI appears to have dismissed the [intelligence information] as not credible without any investigative steps actually having been taken to either corroborate or disprove the allegations.” (Pgs. 22-24)

    The Threat of Foreign Election Influence and Assessment in FISA Renewal Applications

    As the Unclassified Durham Report noted, “[b]eginning in late 2014… the FBI learned from a well-placed Confidential Human Source that a foreign government (“Foreign Government-2”) was planning to send an individual (“Non-U.S. Person-I”) to contribute to Clinton’s anticipated presidential campaign, as a way to gain influence with Clinton should she win the presidency.”

    The Durham annex notes that “Non-U.S.Person-I” was “directly tasked by the leader of Foreign Government-2” with facilitating this plan, but had indicated plans to travel to the U.S. in late 2014.

    • However, as known from the Unclassified Durham Report, the FISA “application lingered because ‘everyone was super more careful’ and ‘scared with the big name [Clinton]’ involved.”

    • Ultimately, after four months, the FISA authority was authorized following a commitment that Clinton and others targeted by Foreign Government-2 would receive defensive briefings. (Pgs. 23-24)

    The remainder of the Durham annex reinforces that the FBI provided false and misleading information to the FISA court in pursuit of FISA renewals, and at least one Confidential Human Source lied to his handlers.

    The information in the Durham annex, taken together with previously released details in the Unclassified Report, reinforce the FBI’s disparate treatment of Trump versus Clinton. Despite lacking probable cause and relying on false information, the FBI secured a FISA warrant and multiple renewals to surveil Carter Page and did not provide Trump a defensive briefing equivalent to Clinton’s briefings.

    -30-

    MIL OSI USA News –

  • MIL-OSI USA: Luján Presses President Trump’s New NTIA Administrator on Day One: Stop Delaying Broadband Funds for New Mexico

    US Senate News:

    Source: United States Senator Ben Ray Luján (D-New Mexico)

    Washington, D.C. – U.S. Senator Ben Ray Luján (D-N.M.), Ranking Member of the Subcommittee on Telecommunications and Media, called on Arielle Roth, the recently confirmed Administrator of the National Telecommunications and Information Administration (NTIA), to fulfill her responsibility to fully implement programs authorized and funded by Congress – specifically, the Digital Equity Act and the Broadband Equity, Access, and Deployment (BEAD) Program. Senator Luján urged Roth to make her first act as Administrator the immediate restoration of suspended digital equity grants and the release of approved federal funding to connect all New Mexicans to broadband.

    “Now that you have been confirmed as Administrator of the National Telecommunications and Information Administration (NTIA), I urge you to fulfill your commitments to Congress that you will ‘follow the law,’ ‘act impartially,’ and ‘deliver the best broadband service possible for all Americans,’” said Senator Luján. “Your first act as Administrator should be to immediately restore the suspended digital equity grants and swiftly approve and release BEAD funding to states like New Mexico.”

    “Congressionally appropriated funds for the Digital Equity Act and the BEAD program are not optional – they are essential.  They represent not only a historic investment in our infrastructure, but a statutory obligation to the people of New Mexico and every unserved and underserved community across this country,” concluded Senator Luján.

    As Ranking Member of the Commerce Subcommittee on Telecommunications and Media, Senator Luján is a strong champion for 100% broadband connectivity. Senator Luján has  pressed Commerce Secretary Lutnick multiple times and called on President Trump directly to release funding for the BEAD program.

    In the 118th Congress, Senator Luján introduced the bipartisan Tribal Connect Act to make it easier for Tribes to secure high-speed internet access at Tribal Essential Community-Serving Institutions through the Federal Communications Commission’s (FCC) Universal Service Fund (USF) Schools and Libraries Program, or E-Rate program. 

    In the 117th Congress, Senator Luján introduced legislation to help close the homework gap by equipping school buses with Wi-Fi technology and improving financing options for broadband deployment.

    The full letter can be found here or below:

    Dear Ms. Roth: 

    Now that you have been confirmed as Administrator of the National Telecommunications and Information Administration (NTIA), I urge you to fulfill your commitments to Congress that you will “follow the law,” “act impartially,” and “deliver the best broadband service possible for all Americans.”

    This responsibility includes fully implementing programs authorized and funded by Congress under the Bipartisan Infrastructure and Investment and Jobs Act (IIJA), specifically the Digital Equity Act and the Broadband Equity, Access, and Deployment (BEAD) Program. Your first act as Administrator should be to immediately restore the suspended digital equity grants and swiftly approve and release BEAD funding to states like New Mexico. 

    The Digital Equity Act represents a Congressionally mandated $2.75 billion investment to advance digital inclusion for historically underserved populations across this county. New Mexico, a state with deep rural divides, Tribal lands, and persistent poverty, was awarded more than $8 million to launch programs such as digital navigators, workforce development, and cybersecurity training. These funds were designed to reach nearly two million residents who still face significant barriers that prevent them from fully participating in the digital world. 

    As you noted, “[m]aking sure Americans have the resources and skills they need to participate in the digital economy was part of the IIJA and I will follow the law.” 2 You also stated that once confirmed you would “commit to implementing NTIA’s statutory requirements, including with respect to the Digital Equity Act.” 3 Distribution of these digital equity funds is not a discretionary choice, it is a statutory obligation. You must uphold your commitment to follow the law by immediately reinstating and resuming the disbursement of funds awarded under the Digital Equity Act.

    Congress also created the $42.45 billion BEAD Program to finish the job of connecting nearly 25 million Americans that continue to wait for affordable, high-speed, reliable internet service. The BEAD program is our once-in-a-century opportunity to finish closing the digital divide and states have already invested years in developing implementation plans tailored to local needs, technical realities, and the bipartisan intent of Congress. 

    As NTIA Administrator you must uphold the statutory flexibility given to the states. This includes:

    1. No new delays. The BEAD Restructuring Policy Notice should not be used to further delay approvals or revisit established allocations—such as the over $675 million allocated to New Mexico.
    2. A meaningful low-cost service option. Internet service providers that win BEAD funding must offer a low-cost service option that is affordable and high-speed, not just a box checking exercise. 
    3. Deference for local expertise. States are best suited to determine what technology is appropriate for their terrain and therefore must be afforded deference on priority project determinations, so long as they meet the speed, latency and scalability requirements of IIJA.

    Failing to adhere to these statutory requirements and current approval timeline risks setting broadband deployment back by years.

    Moreover, Congress also explicitly authorized states to use BEAD funding for a variety of uses beyond deployment. These uses include data collection, broadband mapping, planning, installation of Internet connections within multifamily residential buildings where low-income residents live, broadband adoption efforts, including programs to provide affordable internet-capable devices, and other uses as determined by the Assistant Secretary. It is important to follow the law and release non-deployment guidance as soon as possible.

    I request that you respond to these questions by August 15, 2025.

    1. The IIJA included $2.75 billion to support three grant programs under the Digital Equity Act to equip individuals and communities with the skills and tools needed for full participation in all aspects of society. Earlier this year, the states’ Capacity Grants were wrongfully terminated as were the Competitive Grant grantees and the others recommended for an award. In accordance with the law, when will you reinstate the grant programs under the Digital Equity Act? Please provide a specific date.
    2. States would already have shovels in the ground if not for the delays this administration introduced with the initial 90 day extension and subsequent June 6th Public Notice. Will you commit to no further delays and approve States’ BEAD Plans within 90 days of submission?
    3. Congress authorized BEAD funds for non-deployment uses, including affordability and adoption. Further guidance from NTIA should not hinder states’ ability to exercise discretion granted by statute to use funds for non-deployment. When will you release the updated guidance for these uses? Please provide a specific date.

    We share the goals of connecting every American to broadband and ensuring that broadband is affordable to low-income Americans. Congressionally appropriated funds for the Digital Equity Act and the BEAD program are not optional – they are essential. They represent not only a historic investment in our infrastructure, but a statutory obligation to the people of New Mexico and every unserved and underserved community across this country. 

    I look forward to your response.

    Respectfully,

    MIL OSI USA News –

  • MIL-OSI Canada: British Columbia harvester fined over a million dollars and receives a six-year jail sentence for illegal fishing and sale of sea cucumber

    Source: Government of Canada News (2)

    July 31, 2025                                                                

    Nanaimo, BC – Fisheries and Oceans Canada (DFO) is committed to the enforcement of the Fisheries Act and is working with partners to strengthen surveillance, monitoring, and prosecution of serious fisheries violations.

    The Honourable Justice Crerar of the British Columbia Supreme Court has sentenced Scott Steer, a repeat offender with a history of serious violations under the Fisheries Act, for illegal sea cucumber harvesting and sale. The sentencing follows Mr. Steer’s conviction on January 8, 2025, on multiple counts related to the unlawful harvest and sale of sea cucumbers between July 2019 and June 2020. 

    Penalties include:

    • a six-year jail sentence for Scott Steer to be served consecutively;
    • a global fine of $1,105,718 dollars ($1,005,718 and an additional $100,000 fine for the corporate offenders) for which Mr. and Mrs. Steer are jointly liable which is to be paid by monthly installment over 20 years; and
    • forfeiture of all items seized during the investigation, other than Mrs. Steer’s two phones, including two vessels, two vehicles, a trailer and many items related to fishing.

    Mr. Steer has an extensive history of fisheries violations that have resulted in numerous convictions, prohibitions, fines, and jail sentences. He had previously been prohibited by the Courts in 2016 from possessing or acquiring fishing gear, being onboard any fishing vessel, or applying for a fishing license until 2038. Despite these prohibitions, he actively orchestrated an illegal fishing operation, acquiring and outfitting vessels, recruiting crew, forging DFO records, and selling unlawfully harvested sea cucumbers.

    The court found that Mr. Steer’s illegal activities resulted in the sale of over 87,000 pounds of sea cucumbers, generating more than $1 million in revenue through fraudulent transactions with a Vancouver-based processing company. Justice Crerar determined that 1215419 B.C. Ltd. was a sham corporation used to circumvent Mr. Steer’s prohibitions and court orders, and that Mrs. Steer was fully involved in the scheme.

    Fisheries and Oceans Canada reminds the public that illegal fishing threatens the sustainability of Canada’s fisheries and urges anyone with information on potential violations to report them to DFO’s toll-free violation reporting line at 1-800-465-4336 or by email at DFO.ORR-ONS.MPO@dfo-mpo.gc.ca.

    MIL OSI Canada News –

  • MIL-OSI: Zoom to Release Financial Results for the Second Quarter of Fiscal Year 2026

    Source: GlobeNewswire (MIL-OSI)

    SAN JOSE, Calif., July 31, 2025 (GLOBE NEWSWIRE) — Zoom Communications, Inc. (NASDAQ: ZM) today announced it will release its financial results for the second quarter of fiscal year 2026 on Thursday, August 21, 2025, after the market closes.

    A live Zoom Webinar of the event can be accessed at 2:00 pm PT / 5:00 pm ET through Zoom’s investor relations website at https://investors.zoom.com. A replay will be available approximately two hours after the conclusion of the live event.

    About Zoom
    Zoom’s mission is to provide an AI-first work platform for human connection. Reimagine teamwork with Zoom Workplace — Zoom’s open collaboration platform with AI Companion empowers teams to be more productive. Together with Zoom Workplace, Zoom’s Business Services for sales, marketing, and customer experience teams, including Zoom Contact Center, strengthen customer relationships throughout the customer lifecycle. Founded in 2011, Zoom is publicly traded (NASDAQ:ZM) and headquartered in San Jose, California. Get more information at zoom.com.

    Public Relations
    Colleen Rodriguez
    Head of Global PR for Zoom
    press@zoom.us

    Investor Relations
    Charles Eveslage
    Head of Investor Relations for Zoom
    investors@zoom.us

    The MIL Network –

  • MIL-OSI: Fidus Investment Corporation Schedules Second Quarter 2025 Earnings Release and Conference Call

    Source: GlobeNewswire (MIL-OSI)

    EVANSTON, Ill., July 31, 2025 (GLOBE NEWSWIRE) — Fidus Investment Corporation (NASDAQ: FDUS) (“Fidus” or the “Company”) today announced that it will report its second quarter 2025 financial results on Thursday, August 7, 2025 after the close of the financial markets.

    Management will host a conference call to discuss the operating and financial results at 9:00am ET on Friday, August 8, 2025. To participate in the conference call, please dial (844) 808-7136 approximately 10 minutes prior to the call. International callers should dial (412) 317-0534. Please ask to be joined into the Fidus Investment Corporation call.

    A live webcast of the conference call will be available at https://investor.fdus.com/news-events/events-presentations. Please access the website 15 minutes prior to the start of the call to download and install any necessary audio software.

    A webcast replay of the conference call will be available two hours after the call on the investor relations section of the Company’s website.

    ABOUT FIDUS INVESTMENT CORPORATION

    Fidus Investment Corporation provides customized debt and equity financing solutions to lower middle-market companies, which management generally defines as U.S. based companies with revenues between $10 million and $150 million. The Company’s investment objective is to provide attractive risk-adjusted returns by generating both current income from debt investments and capital appreciation from equity related investments. Fidus seeks to partner with business owners, management teams and financial sponsors by providing customized financing for change of ownership transactions, recapitalizations, strategic acquisitions, business expansion and other growth initiatives.

    Fidus is an externally managed, closed-end, non-diversified management investment company that has elected to be treated as a business development company under the Investment Company Act of 1940, as amended. In addition, for tax purposes, Fidus has elected to be treated as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended. Fidus was formed in February 2011 to continue and expand the business of Fidus Mezzanine Capital, L.P., which commenced operations in May 2007 and is licensed by the U.S. Small Business Administration as a Small Business Investment Company (SBIC).

    FORWARD-LOOKING STATEMENTS

    This press release may contain certain forward-looking statements which are based upon current expectations and are inherently uncertain, including, but not limited to, statements about the future performance and financial condition of the Company, the prospects of our existing and prospective portfolio companies, the financial condition and ability of our existing and prospective portfolio companies to achieve their objectives, and the timing, form and amount of any distributions or supplemental dividends in the future. Any such statements, other than statements of historical fact, are likely to be affected by other unknowable future events and conditions, including elements of the future that are or are not under the Company’s control, and that the Company may or may not have considered, such as changes in the financial and lending markets and the impact of interest rate volatility, including the decommissioning of LIBOR and rising interest rates; accordingly, such statements cannot be guarantees or assurances of any aspect of future performance. Actual developments and results are highly likely to vary materially from these estimates and projections of the future as a result of a number of factors related to changes in the markets in which the Company invests, changes in the financial, capital, and lending markets, and other factors described from time to time in the Company’s filings with the Securities and Exchange Commission. Such statements speak only as of the time when made, and are based on information available to the Company as of the date hereof and are qualified in their entirety by this cautionary statement. The Company undertakes no obligation to update any such statement now or in the future, except as required by applicable law.

    The MIL Network –

  • MIL-OSI: LPL Financial Announces Second Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    Key Financial Results:

    • Net Income was $273 million, translating to diluted earnings per share (“EPS”) of $3.40, up 5% from a year ago
    • Adjusted EPS* increased 16% year-over-year to $4.51
      • Gross profit* increased 21% year-over-year to $1,304 million
      • Core G&A* increased 15% year-over-year to $426 million
      • Adjusted pre-tax income* increased 23% year-over-year to $490 million

    Key Business Results:

    • Total advisory and brokerage assets increased 28% year-over-year to $1.9 trillion
      • Advisory assets increased 28% year-over-year to $1.1 trillion
      • Advisory assets as a percentage of total assets decreased to 55.3%, down from 55.4% a year ago
    • Total organic net new assets were $21 billion, representing 5% annualized growth
      • This included $0.1 billion of assets from Wintrust Investments, LLC and certain private client business at Great Lakes Advisors, LLC (collectively, “Wintrust”), and $4 billion of assets that off-boarded as part of the previously disclosed planned separation from misaligned large OSJs. Prior to these impacts, organic net new assets were $24 billion, translating to a 5% annualized growth rate
    • Recruited assets(1)were $18 billion, down 24% from a year ago
      • Recruited assets over the trailing twelve months were $161 billion
    • Total client cash balances were $51 billion, a decrease of $2 billion sequentially and an increase of $7 billion year-over-year
      • Client cash balances as a percentage of total assets were 2.6%, down from 3.0% in the prior quarter and down from 2.9% in the prior year

    Key Capital and Liquidity Measures:

    • Corporate cash(2)was $3.6 billion
    • Leverage ratio(3)was 1.23x
    • Dividends paid were $24.0 million

    *See the Non-GAAP Financial Measures section and the endnotes to this release for further details about these non-GAAP financial measures

    Key Updates

    Large Institutions:

    • First Horizon Bank (“First Horizon”): Expect to onboard in the third quarter of 2025. First Horizon supports approximately 120 advisors, managing approximately $17 billion of brokerage and advisory assets

    M&A:

    • Atria Wealth Solutions, Inc. (“Atria”): Completed the conversion of Atria to the LPL platform
    • Commonwealth Financial Network (“Commonwealth”): Expect to close the acquisition of Commonwealth on August 1, 2025 and complete the conversion in the fourth quarter of 2026. Commonwealth supports approximately 3,000 advisors in the U.S., managing approximately $305 billion of brokerage and advisory assets(4)
    • Liquidity & Succession: Deployed approximately $105 million of capital to close nine deals in Q2, including one external practice

    Core G&A:

    • Given our performance to date, we are lowering our 2025 Core G&A* outlook to a range of $1,720-1,750 million, including $170-180 million related to Prudential and Atria
    • Additionally, we are increasing the range by $160-170 million to include costs related to the acquisition of Commonwealth, resulting in an updated range of $1,880-1,920 million

    Capital Management:

    • Debt Rating: On July 14, 2025, Fitch Ratings assigned LPL a long-term issuer default rating of BBB, further improving our profile in the investment grade market

    SAN DIEGO, July 31, 2025 (GLOBE NEWSWIRE) — LPL Financial Holdings Inc. (Nasdaq: LPLA) (the “Company”) today announced results for its second quarter ended June 30, 2025, reporting net income of $273 million, or $3.40 per share. This compares with $244 million, or $3.23 per share, in the second quarter of 2024 and $319 million, or $4.24 per share, in the prior quarter.

    “We continue to execute on our vision to be the best firm in wealth management,” said Rich Steinmeier, CEO. “In Q2, we delivered another quarter of strong business performance and excellent financial results, while continuing to advance key initiatives.”

    “In the second quarter, we recorded industry-leading organic growth, continued preparation to onboard First Horizon, and successfully onboarded Atria. In addition, we expect to complete our acquisition of Commonwealth tomorrow morning,” said Matt Audette, President and CFO. “Looking ahead, our business momentum and financial strength position us well to continue delivering long-term shareholder value.”

    Dividend Declaration

    The Company’s Board of Directors declared a $0.30 per share dividend to be paid on August 29, 2025 to all stockholders of record as of August 15, 2025.

    Conference Call and Additional Information

    The Company will hold a conference call to discuss its results at 5:00 p.m. ET on Thursday, July 31, 2025. The conference call will be accessible and available for replay at investor.lpl.com/events.

    Contacts

    Investor Relations
    investor.relations@lplfinancial.com

    Media Relations
    media.relations@lplfinancial.com

    About LPL Financial

    LPL Financial Holdings Inc. (Nasdaq: LPLA) is among the fastest growing wealth management firms in the U.S. As a leader in the financial advisor-mediated marketplace(5), LPL supports over 29,000 financial advisors and the wealth management practices of approximately 1,100 financial institutions, servicing and custodying approximately $1.9 trillion in brokerage and advisory assets on behalf of approximately 7 million Americans. The firm provides a wide range of advisor affiliation models, investment solutions, fintech tools and practice management services, ensuring that advisors and institutions have the flexibility to choose the business model, services, and technology resources they need to run thriving businesses. For further information about LPL, please visit https://lpl.com/.

    Securities and advisory services offered through LPL Financial LLC (“LPL Financial”) or its affiliate LPL Enterprise, LLC (“LPL Enterprise”), both registered investment advisers and broker-dealers. Members FINRA/SIPC.

    Throughout this communication, the terms “financial advisors” and “advisors” are used to refer to registered representatives and/or investment advisor representatives affiliated with LPL Financial or LPL Enterprise.

    We routinely disclose information that may be important to shareholders in the “Investor Relations” or “Press Releases” section of our website.

    Forward-Looking Statements

    This press release contains statements regarding:

    • the expected closing of the Company’s acquisition of Commonwealth, the Company’s retention of Commonwealth advisors following the closing and Commonwealth’s future financial and operating performance;
    • the amount and timing of the onboarding of acquired, recruited or transitioned brokerage and advisory assets, including Commonwealth and First Horizon;
    • the Company’s future financial and operating results, growth, plans, priorities and business strategies, including forecasts and statements related to the Company’s ICA yield, service and fee revenue, transaction revenue, tax rate, core G&A expense, promotional expense, interest expense and income, depreciation and amortization, leverage ratio (including plans to reduce leverage), payout rate, corporate cash, run-rate EBITDA, transaction revenue, operating margin and share repurchases; and
    • future capabilities, future advisor service experience, future investments and capital deployment, including share repurchase activity and dividends, if any, and long-term shareholder value.

    These and any other statements that are not related to present facts or current conditions, or that are not purely historical, constitute forward-looking statements. They reflect the Company’s expectations and objectives as of July 31, 2025 and are not guarantees that expectations or objectives expressed or implied will be achieved. The achievement of such expectations and objectives involves risks and uncertainties that may cause actual results, levels of activity or the timing of events to differ materially from those expressed or implied by forward-looking statements. Important factors that could cause or contribute to such differences include:

    • the failure to satisfy the closing conditions applicable to the Company’s purchase agreement with Commonwealth;
    • difficulties and delays in onboarding the assets of acquired, recruited or transitioned advisors, including the receipt and timing of regulatory approvals that may be required;
    • disruptions in the businesses of the Company and Commonwealth that could make it more difficult to maintain relationships with advisors and their clients;
    • the choice by clients of acquired or recruited advisors not to open brokerage and/or advisory accounts at the Company;
    • changes in general economic and financial market conditions, including retail investor sentiment;
    • changes in interest rates and fees payable by banks participating in the Company’s client cash programs, including the Company’s success in negotiating agreements with current or additional counterparties;
    • the Company’s strategy and success in managing client cash program fees;
    • fluctuations in the levels of advisory and brokerage assets, including net new assets, and the related impact on revenue;
    • effects of competition in the financial services industry and the success of the Company in attracting and retaining financial advisors and institutions, and their ability to provide financial products and services effectively;
    • whether retail investors served by newly-recruited advisors choose to move their respective assets to new accounts at the Company;
    • changes in the growth and profitability of the Company’s fee-based offerings and asset-based revenues;
    • the effect of current, pending and future legislation, regulation and regulatory actions, including disciplinary actions imposed by federal and state regulators and self-regulatory organizations;
    • the cost of defending, settling and remediating issues related to regulatory matters or legal proceedings, including civil monetary penalties or actual costs of reimbursing customers for losses in excess of our reserves or insurance;
    • changes made to the Company’s services and pricing, including in response to competitive developments and current, pending and future legislation, regulation and regulatory actions, and the effect that such changes may have on the Company’s gross profit streams and costs;
    • the execution of the Company’s capital management plans, including its compliance with the terms of the Company’s amended and restated credit agreement, the committed revolving credit facilities of the Company and LPL Financial, and the indentures governing the Company’s senior unsecured notes;
    • strategic acquisitions and investments, including pursuant to the Company’s Liquidity & Succession solution, and the effect that such acquisitions and investments may have on the Company’s capital management plans and liquidity;
    • the price, availability and trading volumes of shares of the Company’s common stock, which will affect the timing and size of future share repurchases by the Company, if any;
    • the execution of the Company’s plans and its success in realizing the synergies, expense savings, service improvements or efficiencies expected to result from its investments, initiatives and acquisitions, expense plans and technology initiatives;
    • whether advisors affiliated with Commonwealth and First Horizon will transition registration to the Company and whether assets reported as serviced by such financial advisors will translate into assets of the Company;
    • the performance of third-party service providers to which business processes have been transitioned;
    • the Company’s ability to control operating risks, information technology systems risks, cybersecurity risks and sourcing risks; and
    • the other factors set forth in the Company’s most recent Annual Report on Form 10-K, as may be amended or updated in the Company’s Quarterly Reports on Form 10-Q or other filings with the Securities and Exchange Commission.

    Except as required by law, the Company specifically disclaims any obligation to update any forward-looking statements as a result of developments occurring after the date of this earnings release, and you should not rely on statements contained herein as representing the Company’s view as of any date subsequent to the date of this press release.


    LPL Financial Holdings Inc.
    Condensed Consolidated Statements of Income
    (In thousands, except per share data)
    (Unaudited)
        Three Months Ended   Three Months Ended  
        June 30, March 31,   June 30,  
          2025     2025   Change   2024   Change
    REVENUE            
    Advisory   $ 1,717,738   $ 1,689,245   2% $ 1,288,163   33%
    Commission:            
    Sales-based     619,792     610,038   2%   423,070   46%
    Trailing     418,295     437,719   (4%)   363,976   15%
    Total commission     1,038,087     1,047,757   (1%)   787,046   32%
    Asset-based:            
    Client cash     397,332     392,031   1%   341,475   16%
    Other asset-based     305,015     303,210   1%   259,533   18%
    Total asset-based     702,347     695,241   1%   601,008   17%
    Service and fee     151,839     145,199   5%   135,000   12%
    Interest income, net     76,941     43,851   75%   47,478   62%
    Transaction     60,541     67,864   (11%)   58,935   3%
    Other     87,532     (19,150 ) n/m   14,139   n/m
        Total revenue     3,835,025     3,670,007   4%   2,931,769   31%
    EXPENSE            
    Advisory and commission     2,483,165     2,353,925   5%   1,819,027   37%
    Compensation and benefits     319,100     305,546   4%   274,000   16%
    Promotional     177,552     145,645   22%   136,125   30%
    Interest expense on borrowings     105,636     85,862   23%   64,341   64%
    Depreciation and amortization     96,231     92,356   4%   70,999   36%
    Occupancy and equipment     81,443     77,240   5%   69,529   17%
    Amortization of other intangibles     46,103     43,521   6%   30,607   51%
    Brokerage, clearing and exchange     43,290     44,138   (2%)   32,984   31%
    Professional services     41,092     36,326   13%   22,100   86%
    Communications and data processing     21,417     19,506   10%   19,406   10%
    Other     51,192     48,689   5%   62,580   (18%)
        Total expense     3,466,221     3,252,754   7%   2,601,698   33%
    INCOME BEFORE PROVISION FOR INCOME TAXES     368,804     417,253   (12%)   330,071   12%
    PROVISION FOR INCOME TAXES     95,555     98,680   (3%)   86,271   11%
    NET INCOME   $ 273,249   $ 318,573   (14%) $ 243,800   12%
    EARNINGS PER SHARE            
    Earnings per share, basic   $ 3.42   $ 4.27   (20%) $ 3.26   5%
    Earnings per share, diluted   $ 3.40   $ 4.24   (20%) $ 3.23   5%
    Weighted-average shares outstanding, basic     79,984     74,600   7%   74,725   7%
    Weighted-average shares outstanding, diluted     80,373     75,112   7%   75,548   6%
    LPL Financial Holdings Inc.
    Condensed Consolidated Statements of Income
    (In thousands, except per share data)
    (Unaudited)
        Six Months Ended  
        June 30,  
          2025     2024   Change
    REVENUE        
    Advisory   $ 3,406,983   $ 2,487,974   37%
    Commission:        
    Sales-based     1,229,830     808,305   52%
    Trailing     856,014     725,187   18%
    Total commission     2,085,844     1,533,492   36%
    Asset-based:        
    Client cash     789,363     693,857   14%
    Other asset-based     608,225     507,872   20%
    Total asset-based     1,397,588     1,201,729   16%
    Service and fee     297,038     267,172   11%
    Transaction     128,405     116,193   11%
    Interest income, net     120,792     91,003   33%
    Other     68,382     66,799   2%
        Total revenue     7,505,032     5,764,362   30%
    EXPENSE        
    Advisory and commission     4,837,090     3,552,514   36%
    Compensation and benefits     624,646     548,369   14%
    Promotional     323,197     262,744   23%
    Interest expense on borrowings     191,498     124,423   54%
    Depreciation and amortization     188,587     138,157   37%
    Occupancy and equipment     158,683     135,793   17%
    Amortization of other intangibles     89,624     60,159   49%
    Brokerage, clearing and exchange     87,428     63,516   38%
    Professional services     77,418     35,379   119%
    Communications and data processing     40,923     39,150   5%
    Other     99,881     99,895   —%
        Total expense     6,718,975     5,060,099   33%
    INCOME BEFORE PROVISION FOR INCOME TAXES     786,057     704,263   12%
    PROVISION FOR INCOME TAXES     194,235     171,699   13%
    NET INCOME   $ 591,822   $ 532,564   11%
    EARNINGS PER SHARE        
    Earnings per share, basic   $ 7.66   $ 7.13   7%
    Earnings per share, diluted   $ 7.61   $ 7.05   8%
    Weighted-average shares outstanding, basic     77,307     74,644   4%
    Weighted-average shares outstanding, diluted     77,760     75,529   3%
    LPL Financial Holdings Inc.
    Condensed Consolidated Statements of Financial Condition
    (In thousands, except share data)
    (Unaudited)
        June 30, 2025 March 31, 2025 December 31, 2024
    ASSETS
    Cash and equivalents   $ 4,185,337   $ 1,229,181   $ 967,079  
    Cash and equivalents segregated under federal or other regulations     1,611,200     1,513,037     1,597,249  
    Restricted cash     116,675     112,458     119,724  
    Receivables from clients, net     710,463     613,766     633,834  
    Receivables from brokers, dealers and clearing organizations     129,490     112,249     76,545  
    Advisor loans, net     2,536,190     2,468,033     2,281,088  
    Other receivables, net     951,063     939,411     902,777  
    Investment securities ($124,639, $122,729, and $42,267 at fair value at June 30, 2025, March 31, 2025, and December 31, 2024, respectively)     139,962     138,007     57,481  
    Property and equipment, net     1,278,991     1,237,693     1,210,027  
    Goodwill     2,213,393     2,213,100     2,172,873  
    Other intangibles, net     1,641,133     1,570,558     1,482,988  
    Other assets     1,959,779     1,815,729     1,815,739  
    Total assets   $ 17,473,676   $ 13,963,222   $ 13,317,404  
    LIABILITIES AND STOCKHOLDERS’ EQUITY
    LIABILITIES:        
    Client payables   $ 2,090,520   $ 2,045,285   $ 1,898,665  
    Payables to brokers, dealers and clearing organizations     273,593     252,035     129,228  
    Accrued advisory and commission expenses payable     303,614     303,837     323,996  
    Corporate debt and other borrowings, net     7,175,032     5,686,678     5,494,724  
    Accounts payable and accrued liabilities     556,086     479,803     588,450  
    Other liabilities     2,000,415     2,071,801     1,951,739  
    Total liabilities     12,399,260     10,839,439     10,386,802  
    STOCKHOLDERS’ EQUITY:        
    Common stock, $0.001 par value; 600,000,000 shares authorized; 136,603,206, 131,194,549, and 130,914,541 shares issued at June 30, 2025, March 31, 2025, and December 31, 2024, respectively     136     131     131  
    Additional paid-in capital     3,787,009     2,089,155     2,066,268  
    Treasury stock, at cost — 56,599,471, 56,611,181, and 56,253,909 shares at June 30, 2025, March 31, 2025, and December 31, 2024, respectively     (4,332,275 )   (4,331,582 )   (4,202,322 )
    Retained earnings     5,619,546     5,366,079     5,066,525  
    Total stockholders’ equity     5,074,416     3,123,783     2,930,602  
    Total liabilities and stockholders’ equity   $ 17,473,676   $ 13,963,222   $ 13,317,404  
    LPL Financial Holdings Inc.
    Management’s Statements of Operations
    (In thousands, except per share data)
    (Unaudited)
    Certain information in this release is presented as reviewed by the Company’s management and includes information derived from the Company’s unaudited condensed consolidated statements of income, non-GAAP financial measures and operational and performance metrics. For information on non-GAAP financial measures, please see the section titled“Non-GAAP Financial Measures”in this release.
        Quarterly Results
        Q2 2025 Q1 2025 Change Q2 2024 Change
    Gross Profit(6)            
    Advisory   $ 1,717,738   $ 1,689,245   2% $ 1,288,163   33%
    Trailing commissions     418,295     437,719   (4%)   363,976   15%
    Sales-based commissions     619,792     610,038   2%   423,070   46%
    Advisory fees and commissions     2,755,825     2,737,002   1%   2,075,209   33%
    Production-based payout(7)     (2,406,692 )   (2,374,368 ) 1%   (1,812,050 ) 33%
    Advisory fees and commissions, net of payout     349,133     362,634   (4%)   263,159   33%
    Client cash(8)     413,516     408,224   1%   361,316   14%
    Other asset-based(9)     305,015     303,210   1%   259,533   18%
    Service and fee     151,839     145,199   5%   135,000   12%
    Transaction     60,541     67,864   (11%)   58,935   3%
    Interest income, net(10)     60,738     27,637   120%   27,618   120%
    Other revenue(11)     6,785     2,023   n/m   6,621   2%
    Total net advisory fees and commissions and attachment revenue     1,347,567     1,316,791   2%   1,112,182   21%
    Brokerage, clearing and exchange expense     (43,290 )   (44,138 ) (2%)   (32,984 ) 31%
    Gross Profit(6)     1,304,277     1,272,653   2%   1,079,198   21%
    G&A Expense            
    Core G&A(12)     425,595     413,069   3%   370,912   15%
    Regulatory charges     7,267     6,887   6%   7,594   (4%)
    Promotional (ongoing)(13)(14)     163,575     151,932   8%   147,830   11%
    Acquisition costs excluding interest(14)     71,562     43,407   65%   36,876   94%
    Employee share-based compensation     19,504     18,366   6%   19,968   (2%)
    Total G&A     687,503     633,661   8%   583,180   18%
    EBITDA(15)     616,774     638,992   (3%)   496,018   24%
    Depreciation and amortization     96,231     92,356   4%   70,999   36%
    Amortization of other intangibles     46,103     43,521   6%   30,607   51%
    Interest expense on borrowings(16)     102,323     80,725   27%   64,341   59%
    Acquisition costs – interest(14)     3,313     5,137   (36%)   —   100%
    INCOME BEFORE PROVISION FOR INCOME TAXES     368,804     417,253   (12%)   330,071   12%
    PROVISION FOR INCOME TAXES     95,555     98,680   (3%)   86,271   11%
    NET INCOME   $ 273,249   $ 318,573   (14%) $ 243,800   12%
    Earnings per share, diluted   $ 3.40   $ 4.24   (20%) $ 3.23   5%
    Weighted-average shares outstanding, diluted     80,373     75,112   7%   75,548   6%
    Adjusted EBITDA(15)   $ 688,336   $ 682,399   1% $ 532,894   29%
    Adjusted pre-tax income(17)   $ 489,782   $ 509,318   (4%) $ 397,554   23%
    Adjusted EPS(18)   $ 4.51   $ 5.15   (12%) $ 3.88   16%
    LPL Financial Holdings Inc.
    Operating Metrics
    (Dollars in billions, except where noted)
    (Unaudited)
        Q2 2025 Q1 2025 Change Q2 2024 Change
    Market Drivers            
    S&P 500 Index (end of period)     6,205     5,612   11%   5,460   14%
    Russell 2000 Index (end of period)     2,175     2,012   8%   2,048   6%
    Fed Funds daily effective rate (average bps)     433     433   —bps   533   (100bps)
                 
    Advisory and Brokerage Assets(19)            
    Advisory assets   $ 1,060.7   $ 977.4   9% $ 829.1   28%
    Brokerage assets     858.5     817.5   5%   668.7   28%
    Total Advisory and Brokerage Assets   $ 1,919.2   $ 1,794.9   7% $ 1,497.8   28%
    Advisory as a % of Total Advisory and Brokerage Assets     55.3 %   54.5 % 80bps   55.4 % (10bps)
                 
    Assets by Platform            
    Corporate advisory assets(20)   $ 766.4   $ 699.1   10% $ 567.8   35%
    Independent RIA advisory assets(20)     294.3     278.3   6%   261.3   13%
    Brokerage assets     858.5     817.5   5%   668.7   28%
    Total Advisory and Brokerage Assets   $ 1,919.2   $ 1,794.9   7% $ 1,497.8   28%
                 
    Centrally Managed Assets            
    Centrally managed assets(21)   $ 183.5   $ 164.4   12% $ 126.9   45%
    Centrally Managed as a % of Total Advisory Assets     17.3 %   16.8 % 50bps   15.3 % 200bps
    LPL Financial Holdings Inc.
    Operating Metrics
    (Dollars in billions, except where noted)
    (Unaudited)
        Q2 2025 Q1 2025 Change Q2 2024 Change
    Organic Net New Assets (NNA)(22)            
    Organic net new advisory assets   $ 23.1   $ 35.7   n/m $ 26.6   n/m
    Organic net new brokerage assets     (2.6 )   35.2   n/m   2.5   n/m
    Total Organic Net New Assets   $ 20.5   $ 70.9   n/m $ 29.0   n/m
                 
    Acquired Net New Assets(22)            
    Acquired net new advisory assets   $ —   $ 1.9   n/m $ 0.3   n/m
    Acquired net new brokerage assets     —     6.0   n/m   4.8   n/m
    Total Acquired Net New Assets   $ —   $ 7.9   n/m $ 5.0   n/m
                 
    Total Net New Assets(22)            
    Net new advisory assets   $ 23.1   $ 37.6   n/m $ 26.8   n/m
    Net new brokerage assets     (2.6 )   41.2   n/m   7.2   n/m
    Total Net New Assets   $ 20.5   $ 78.8   n/m $ 34.0   n/m
                 
    Net brokerage to advisory conversions(23)   $ 6.4   $ 5.9   n/m $ 3.7   n/m
    Organic advisory NNA annualized growth(24)     9.5 %   14.9 % n/m   13.4 % n/m
    Total organic NNA annualized growth(24)     4.6 %   16.3 % n/m   8.1 % n/m
                 
    Net New Advisory Assets(22)            
    Corporate RIA net new advisory assets   $ 24.8   $ 31.7   n/m $ 23.4   n/m
    Independent RIA net new advisory assets     (1.7 )   5.9   n/m   3.4   n/m
    Total Net New Advisory Assets   $ 23.1   $ 37.6   n/m $ 26.8   n/m
    Centrally managed net new advisory assets(22)   $ 6.1   $ 6.5   n/m $ 4.4   n/m
                 
    Net buy (sell) activity(25)   $ 36.6   $ 42.0   n/m $ 39.3   n/m
    Note: Totals may not foot due to rounding.
    LPL Financial Holdings Inc.
    Client Cash Data
    (Dollars in thousands, except where noted)
    (Unaudited)
        Q2 2025 Q1 2025 Change Q2 2024 Change
    Client Cash Balances (in billions)(26)            
    Insured cash account sweep   $ 34.2   $ 36.1   (5%) $ 31.0   10%
    Deposit cash account sweep     10.8     10.7   1%   9.2   17%
    Total Bank Sweep     44.9     46.8   (4%)   40.2   12%
    Money market sweep     3.7     4.3   (14%)   2.3   61%
    Total Client Cash Sweep Held by Third Parties     48.6     51.1   (5%)   42.5   14%
    Client cash account (CCA)     2.0     1.9   5%   1.5   33%
    Total Client Cash Balances   $ 50.6   $ 53.1   (5%) $ 44.0   15%
    Client Cash Balances as a % of Total Assets     2.6 %   3.0 % (40bps)   2.9 % (30bps)
    Note: Totals may not foot due to rounding.
      Three Months Ended
      June 30, 2025 March 31, 2025 June 30, 2024
    Interest-Earnings Assets Average Balance (in billions) Revenue Net Yield (bps)(27) Average Balance (in billions) Revenue Net Yield (bps)(27) Average Balance (in billions) Revenue Net Yield (bps)(27)
    Insured cash account sweep $ 34.4 $ 293,420 342 $ 36.0 $ 299,618 337 $ 31.7 $ 250,804 318
    Deposit cash account sweep   10.7   101,298 381   10.2   89,728 356   9.0   89,070 399
    Total Bank Sweep   45.1   394,718 351   46.2   389,346 341   40.7   339,874 336
    Money market sweep   4.0   2,614 26   4.1   2,685 26   2.3   1,601 28
    Total Client Cash Held ByThird Parties   49.1   397,332 325   50.4   392,031 316   43.0   341,475 320
    Client cash account (CCA)   1.7   16,184 378   1.8   16,193 368   1.7   19,841 472
    Total Client Cash   50.8   413,516 326   52.2   408,224 317   44.7   361,316 326
    Margin receivables   0.6   12,080 807   0.6   11,444 789   0.5   10,521 889
    Other interest revenue   4.4   48,658 448   1.3   16,193 512   1.3   17,097 545
    Total Client Cash andInterest Income, Net $ 55.8 $ 474,254 341 $ 54.0 $ 435,861 327 $ 46.5 $ 388,934 337
    Note: Totals may not foot due to rounding.
    LPL Financial Holdings Inc.
    Monthly Metrics
    (Dollars in billions, except where noted)
    (Unaudited)
        June 2025 May 2025 Change April 2025 March 2025
    Advisory and Brokerage Assets(19)            
    Advisory assets   $ 1,060.7   $ 1,021.6   4% $ 978.6   $ 977.4  
    Brokerage assets     858.5     832.9   3%   809.4     817.5  
    Total Advisory and Brokerage Assets   $ 1,919.2   $ 1,854.5   3% $ 1,787.9   $ 1,794.9  
                 
    Organic Net New Assets (NNA)(22)            
    Organic net new advisory assets   $ 7.9   $ 8.3   n/m $ 6.9   $ 12.7  
    Organic net new brokerage assets     0.1     (1.8 ) n/m   (0.8 )   0.5  
    Total Organic Net New Assets   $ 8.0   $ 6.5   n/m $ 6.1   $ 13.1  
                 
    Acquired Net New Assets(22)            
    Acquired net new advisory assets   $ —   $ —   n/m $ —   $ 1.8  
    Acquired net new brokerage assets     —     —   n/m   —     5.3  
    Total Acquired Net New Assets   $ —   $ —   n/m $ —   $ 7.1  
                 
    Total Net New Assets(22)            
    Net new advisory assets   $ 7.9   $ 8.3   n/m $ 6.9   $ 14.5  
    Net new brokerage assets     0.1     (1.8 ) n/m   (0.8 )   5.8  
    Total Net New Assets   $ 8.0   $ 6.5   n/m $ 6.1   $ 20.2  
    Net brokerage to advisory conversions(23)   $ 2.4   $ 2.2   n/m $ 1.7   $ 1.9  
                 
    Client Cash Balances(26)            
    Insured cash account sweep   $ 34.2   $ 33.4   2% $ 35.2   $ 36.1  
    Deposit cash account sweep     10.8     10.6   2%   10.7     10.7  
    Total Bank Sweep     44.9     44.0   2%   45.9     46.8  
    Money market sweep     3.7     3.9   (5%)   4.2     4.3  
    Total Client Cash Sweep Held by Third Parties     48.6     47.9   1%   50.2     51.1  
    Client cash account (CCA)     2.0     1.3   54%   1.6     1.9  
    Total Client Cash Balances   $ 50.6   $ 49.2   3% $ 51.8   $ 53.1  
                 
    Net buy (sell) activity(25)   $ 12.7   $ 13.5   n/m $ 10.4   $ 13.2  
                 
    Market Drivers            
    S&P 500 Index (end of period)     6,205     5,912   5%   5,569     5,612  
    Russell 2000 Index (end of period)     2,175     2,066   5%   1,964     2,012  
    Fed Funds effective rate (average bps)     433     433   —bps   433     433  
    Note: Totals may not foot due to rounding.
    LPL Financial Holdings Inc.
    Financial Measures
    (Dollars in thousands, except where noted)
    (Unaudited)
        Q2 2025 Q1 2025 Change Q2 2024 Change
    Commission Revenue by Product            
    Annuities   $ 629,763   $ 615,594   2% $ 469,100   34%
    Mutual funds     223,317     233,895   (5%)   187,432   19%
    Fixed income     53,014     61,553   (14%)   53,192   —%
    Equities     47,811     49,074   (3%)   34,434   39%
    Other     84,182     87,641   (4%)   42,888   96%
    Total commission revenue   $ 1,038,087   $ 1,047,757   (1%) $ 787,046   32%
                 
    Commission Revenue by Sales-based and Trailing                    
    Sales-based commissions            
    Annuities   $ 393,654   $ 365,767   8% $ 260,188   51%
    Mutual funds     52,301     55,607   (6%)   42,981   22%
    Fixed income     53,014     61,553   (14%)   53,192   —%
    Equities     47,811     49,074   (3%)   34,434   39%
    Other     73,012     78,037   (6%)   32,275   126%
    Total sales-based commissions   $ 619,792   $ 610,038   2% $ 423,070   46%
    Trailing commissions            
    Annuities   $ 236,109   $ 249,827   (5%) $ 208,912   13%
    Mutual funds     171,016     178,288   (4%)   144,451   18%
    Other     11,170     9,604   16%   10,613   5%
    Total trailing commissions   $ 418,295   $ 437,719   (4%) $ 363,976   15%
    Total commission revenue   $ 1,038,087   $ 1,047,757   (1%) $ 787,046   32%
                 
    Payout Rate(7)     87.33 %   86.75 % 58bps   87.32 % 1bps
    LPL Financial Holdings Inc.
    Capital Management Measures
    (Dollars in thousands, except where noted)
    (Unaudited)
        Q2 2025 Q1 2025 Q4 2024
    Cash and equivalents   $ 4,185,337   $ 1,229,181   $ 967,079  
    Cash at regulated subsidiaries     (1,288,722 )   (1,085,459 )   (884,779 )
    Excess cash at regulated subsidiaries per the Credit Agreement     720,359     476,908     397,138  
    Corporate Cash(2)   $ 3,616,974   $ 620,630   $ 479,438  
             
    Corporate Cash(2)        
    Cash at LPL Holdings, Inc.   $ 2,841,718   $ 104,080   $ 39,782  
    Excess cash at regulated subsidiaries per the Credit Agreement     720,359     476,908     397,138  
    Cash at non-regulated subsidiaries     54,897     39,642     42,518  
    Corporate Cash   $ 3,616,974   $ 620,630   $ 479,438  
             
    Leverage Ratio        
    Total debt   $ 7,220,000   $ 5,720,000   $ 5,517,000  
    Total corporate cash     3,616,974     620,630     479,438  
    Credit Agreement Net Debt   $ 3,603,026   $ 5,099,370   $ 5,037,562  
    Credit Agreement EBITDA (trailing twelve months)(28)   $ 2,922,433   $ 2,797,285   $ 2,665,033  
    Leverage Ratio     1.23 x   1.82 x   1.89 x
        June 30, 2025  
    Total Debt   Balance Current Applicable Margin Interest Rate Maturity
    Revolving Credit Facility(a)   $ —   ABR+37.5 bps / SOFR+147.5 bps 5.797 % 5/20/2029
    Broker-Dealer Revolving Credit Facility     —   SOFR+125 bps 5.700 % 5/18/2026
    Senior Unsecured Term Loan A     1,020,000   SOFR+147.5 bps(b) 5.791 % 12/5/2026
    Senior Unsecured Notes     500,000   5.700% Fixed 5.700 % 5/20/2027
    Senior Unsecured Notes     400,000   4.625% Fixed 4.625 % 11/15/2027
    Senior Unsecured Notes     500,000   4.900% Fixed 4.900 % 4/3/2028
    Senior Unsecured Notes     750,000   6.750% Fixed 6.750 % 11/17/2028
    Senior Unsecured Notes     900,000   4.000% Fixed 4.000 % 3/15/2029
    Senior Unsecured Notes     750,000   5.200% Fixed 5.200 % 3/15/2030
    Senior Unsecured Notes     500,000   5.150% Fixed 5.150 % 6/15/2030
    Senior Unsecured Notes     400,000   4.375% Fixed 4.375 % 5/15/2031
    Senior Unsecured Notes     500,000   6.000% Fixed 6.000 % 5/20/2034
    Senior Unsecured Notes     500,000   5.650% Fixed 5.650 % 3/15/2035
    Senior Unsecured Notes     500,000   5.750% Fixed 5.750 % 6/15/2035
    Total / Weighted Average   $ 7,220,000     5.352 %  
    (a) Unsecured borrowing capacity of $2.25 billion at LPL Holdings, Inc.
    (b) The SOFR rate option is a one-month SOFR rate and subject to an interest rate floor of 0 bps.
    LPL Financial Holdings Inc.
    Key Business and Financial Metrics
    (Dollars in thousands, except where noted)
    (Unaudited)
        Q2 2025 Q1 2025 Change Q2 2024 Change
    Business Metrics            
    Advisors     29,353     29,493   —%   23,462   25%
    Net new advisors     (140 )   605   (123%)   578   (124%)
    Annualized advisory fees and commissions per advisor(29)   $ 375   $ 375   —% $ 358   5%
    Average total assets per advisor ($ in millions)(30)   $ 65.4   $ 60.9   7% $ 63.8   3%
    Transition assistance loan amortization ($ in millions)(31)   $ 89.4   $ 81.8   9% $ 61.9   44%
    Total client accounts (in millions)     10.5     10.4   1%   8.6   22%
    Recruited AUM ($ in billions)     18.4     38.6   (52%)   24.3   (24%)
                 
    Employees(32)     9,389     9,097   3%   8,625   9%
                 
    AUM retention rate (quarterly annualized)(33)     97.6 %   98.2 % (60bps)   98.4 % (80bps)
                 
    Capital Management            
    Capital expenditures ($ in millions)(34)   $ 137.0   $ 119.5   15% $ 128.9   6%
     Acquisitions, net ($ in millions)(35)   $ 102.8   $ 95.1   8% $ 115.1   n/m
                 
    Share repurchases ($ in millions)   $ —   $ 100.0   (100%) $ —   —%
    Dividends ($ in millions)     24.0     22.4   7%   22.4   7%
    Total Capital Returned ($ in millions)   $ 24.0   $ 122.4   (80%) $ 22.4   7%


    Non-GAAP Financial Measures

    Management believes that presenting certain non-GAAP financial measures by excluding or including certain items can be helpful to investors and analysts who may wish to use this information to analyze the Company’s current performance, prospects and valuation. Management uses this non-GAAP information internally to evaluate operating performance and in formulating the budget for future periods. Management believes that the non-GAAP financial measures and metrics discussed below are appropriate for evaluating the performance of the Company.

    Adjusted EPS and Adjusted net income

    Adjusted EPS is defined as adjusted net income, a non-GAAP measure defined as net income plus the after-tax impact of amortization of other intangibles and acquisition costs, divided by the weighted average number of diluted shares outstanding for the applicable period. The Company presents adjusted net income and adjusted EPS because management believes that these metrics can provide investors with useful insight into the Company’s core operating performance by excluding non-cash items, acquisition costs, and certain other charges that management does not believe impact the Company’s ongoing operations. Adjusted net income and adjusted EPS are not measures of the Company’s financial performance under GAAP and should not be considered as alternatives to net income, earnings per diluted share or any other performance measure derived in accordance with GAAP. For a reconciliation of net income and earnings per diluted share to adjusted net income and adjusted EPS, please see the endnote disclosures in this release.

    Gross profit

    Gross profit is calculated as total revenue less advisory and commission expense; brokerage, clearing and exchange expense; and market fluctuations on employee deferred compensation. All other expense categories, including depreciation and amortization of property and equipment and amortization of other intangibles, are considered general and administrative in nature. Because the Company’s gross profit amounts do not include any depreciation and amortization expense, the Company considers gross profit to be a non-GAAP financial measure that may not be comparable to similar measures used by others in its industry. Management believes that gross profit can provide investors with useful insight into the Company’s core operating performance before indirect costs that are general and administrative in nature. For a calculation of gross profit, please see the endnote disclosures in this release.

    Core G&A

    Core G&A consists of total expense less the following expenses: advisory and commission; depreciation and amortization; interest expense on borrowings; brokerage, clearing and exchange; amortization of other intangibles; market fluctuations on employee deferred compensation; promotional (ongoing); employee share-based compensation; regulatory charges; and acquisition costs. Management presents core G&A because it believes core G&A reflects the corporate expense categories over which management can generally exercise a measure of control, compared with expense items over which management either cannot exercise control, such as advisory and commission, or which management views as promotional expense necessary to support advisor growth and retention, including conferences and transition assistance. Core G&A is not a measure of the Company’s total expense as calculated in accordance with GAAP. For a reconciliation of the Company’s total expense to core G&A, please see the endnote disclosures in this release. The Company does not provide an outlook for its total expense because it contains expense components, such as advisory and commission, that are market-driven and over which the Company cannot exercise control. Accordingly, a reconciliation of the Company’s outlook for total expense to an outlook for core G&A cannot be made available without unreasonable effort.

    EBITDA and Adjusted EBITDA

    EBITDA is defined as net income plus interest expense on borrowings, provision for income taxes, depreciation and amortization, and amortization of other intangibles. Adjusted EBITDA is defined as EBITDA, a non-GAAP measure, plus acquisition costs. The Company presents EBITDA and adjusted EBITDA because management believes that they can be useful financial metrics in understanding the Company’s earnings from operations. EBITDA and adjusted EBITDA are not measures of the Company’s financial performance under GAAP and should not be considered as alternatives to net income or any other performance measure derived in accordance with GAAP. For a reconciliation of net income to EBITDA and adjusted EBITDA, please see the endnote disclosures in this release.

    Adjusted pre-tax income

    Adjusted pre-tax income is defined as income before provision for income taxes plus amortization of other intangibles and acquisition costs. The Company presents adjusted pre-tax income because management believes that it can provide investors with useful insight into the Company’s core operating performance by excluding non-cash items, acquisition costs, and certain other charges that management does not believe impact the Company’s ongoing operations. Adjusted pre-tax income is not a measure of the Company’s financial performance under GAAP and should not be considered as an alternative to income before provision for income taxes or any other performance measure derived in accordance with GAAP. For a reconciliation of income before provision for income taxes to adjusted pre-tax income, please see the endnote disclosures in this release.

    Credit Agreement EBITDA

    Credit Agreement EBITDA is defined in, and calculated by management in accordance with, the Company’s amended and restated credit agreement (“Credit Agreement”) as “Consolidated EBITDA,” which is Consolidated Net Income (as defined in the Credit Agreement) plus interest expense on borrowings, provision for income taxes, depreciation and amortization, and amortization of other intangibles, and is further adjusted to exclude certain non-cash charges and other adjustments, and to include future expected cost savings, operating expense reductions or other synergies from certain transactions. The Company presents Credit Agreement EBITDA because management believes that it can be a useful financial metric in understanding the Company’s debt capacity and covenant compliance under its Credit Agreement. Credit Agreement EBITDA is not a measure of the Company’s financial performance under GAAP and should not be considered as an alternative to net income or any other performance measure derived in accordance with GAAP. For a reconciliation of net income to Credit Agreement EBITDA, please see the endnote disclosures in this release.

    Endnote Disclosures

    (1) Represents the estimated total advisory and brokerage assets expected to transition to the Company’s primary broker-dealer subsidiary, LPL Financial, in connection with advisors who transferred their licenses to LPL Financial during the period. The estimate is based on prior business reported by the advisors, which has not been independently and fully verified by LPL Financial. The actual transition of assets to LPL Financial generally occurs over several quarters and the actual amount transitioned may vary from the estimate.

    (2) Corporate cash, a component of cash and equivalents, is the sum of cash and equivalents from the following: (1) cash and equivalents held at LPL Holdings, Inc., (2) cash and equivalents held at regulated subsidiaries as defined by the Company’s Credit Agreement, which include LPL Financial, LPL Enterprise, LLC, The Private Trust Company, N.A. and certain of Atria’s introducing broker-dealer subsidiaries, in excess of the capital requirements of the Company’s Credit Agreement and (3) cash and equivalents held at non-regulated subsidiaries.

    (3) Compliance with the Leverage Ratio is only required under the Company’s revolving credit facility.

    (4) Based on unaudited information of Commonwealth for the quarter ended June 30, 2025.

    (5) The Company was named a Top RIA custodian (Cerulli Associates, 2024 U.S. RIA Marketplace Report); No. 1 Independent Broker-Dealer in the U.S. (based on total revenues, Financial Planning magazine 1996-2022); and, among third-party providers of brokerage services to banks and credit unions, No. 1 in AUM Growth from Financial Institutions; No. 1 in Market Share of AUM from Financial Institutions; No. 1 in Market Share of Revenue from Financial Institutions; No. 1 on Financial Institution Market Share; No. 1 on Share of Advisors (2021-2022 Kehrer Bielan Research and Consulting Annual TPM Report). Fortune 500 as of June 2021.

    (6) Gross profit is a non-GAAP financial measure. Please see a description of gross profit under the “Non-GAAP Financial Measures” section of this release for additional information. Below is a calculation of gross profit for the periods presented (in thousands):

        Q2 2025 Q1 2025 Q2 2024
    Total revenue   $ 3,835,025   $ 3,670,007   $ 2,931,769  
    Advisory and commission expense     2,483,165     2,353,925     1,819,027  
    Brokerage, clearing and exchange expense     43,290     44,138     32,984  
    Employee deferred compensation     4,293     (709 )   560  
    Gross profit   $ 1,304,277   $ 1,272,653   $ 1,079,198  

    (7) Production-based payout is a financial measure calculated as advisory and commission expense plus (less) advisor deferred compensation. The payout rate is calculated by dividing the production-based payout by total advisory and commission revenue. Below is a reconciliation of the Company’s advisory and commission expense to the production-based payout and a calculation of the payout rate for the periods presented (in thousands, except payout rate):

        Q2 2025 Q1 2025 Q2 2024
    Advisory and commission expense   $ 2,483,165   $ 2,353,925   $ 1,819,027  
    Plus (Less): Advisor deferred compensation     (76,473 )   20,443     (6,977 )
    Production-based payout   $ 2,406,692   $ 2,374,368   $ 1,812,050  
             
    Advisory and commission revenue   $ 2,755,825   $ 2,737,002   $ 2,075,209  
             
    Payout rate     87.33 %   86.75 %   87.32 %

    (8) Below is a reconciliation of client cash revenue per Management’s Statements of Operations to client cash revenue, a component of asset-based revenue, on the Company’s condensed consolidated statements of income for the periods presented (in thousands):

             
        Q2 2025 Q1 2025 Q2 2024
    Client cash on Management’s Statement of Operations   $ 413,516   $ 408,224   $ 361,316  
    Interest income on CCA balances segregated under federal or other regulations(10)     (16,184 )   (16,193 )   (19,841 )
    Client cash on Condensed Consolidated Statements of Income   $ 397,332   $ 392,031   $ 341,475  

    (9) Consists of revenue from the Company’s sponsorship programs with financial product manufacturers, omnibus processing and networking services but does not include fees from client cash programs.

    (10) Below is a reconciliation of interest income, net per Management’s Statements of Operations to interest income, net on the Company’s condensed consolidated statements of income for the periods presented (in thousands):

        Q2 2025 Q1 2025 Q2 2024
    Interest income, net on Management’s Statement of Operations   $ 60,738   $ 27,637     27,618  
    Interest income on CCA balances segregated under federal or other regulations(8)     16,184     16,193     19,841  
    Interest income on deferred compensation     19     21     19  
    Interest income, net on Condensed Consolidated Statements of Income   $ 76,941   $ 43,851   $ 47,478  

    (11) Below is a reconciliation of other revenue per Management’s Statements of Operations to other revenue on the Company’s condensed consolidated statements of income for the periods presented (in thousands):

        Q2 2025 Q1 2025 Q2 2024
    Other revenue on Management’s Statement of Operations   $ 6,785   $ 2,023   $ 6,621  
    Interest income on deferred compensation     (19 )   (21 )   (19 )
    Deferred compensation     80,766     (21,152 )   7,537  
    Other revenue on Condensed Consolidated Statements of Income   $ 87,532   $ (19,150 ) $ 14,139  

    (12) Core G&A is a non-GAAP financial measure. Please see a description of core G&A under the “Non-GAAP Financial Measures” section of this release for additional information. Below is a reconciliation of the Company’s total expense to core G&A for the periods presented (in thousands):

        Q2 2025 Q1 2025 Q2 2024
    Core G&A Reconciliation        
    Total expense   $ 3,466,221   $ 3,252,754   $ 2,601,698  
    Advisory and commission     (2,483,165 )   (2,353,925 )   (1,819,027 )
    Depreciation and amortization     (96,231 )   (92,356 )   (70,999 )
    Interest expense on borrowings(16)     (105,636 )   (85,862 )   (64,341 )
    Brokerage, clearing and exchange     (43,290 )   (44,138 )   (32,984 )
    Amortization of other intangibles     (46,103 )   (43,521 )   (30,607 )
    Employee deferred compensation     (4,293 )   709     (560 )
    Total G&A     687,503     633,661     583,180  
    Promotional (ongoing)(13)(14)     (163,575 )   (151,932 )   (147,830 )
    Acquisition costs excluding interest(14)     (71,562 )   (43,407 )   (36,876 )
    Employee share-based compensation     (19,504 )   (18,366 )   (19,968 )
    Regulatory charges     (7,267 )   (6,887 )   (7,594 )
    Core G&A   $ 425,595   $ 413,069   $ 370,912  

    (13) Promotional (ongoing) includes $21.2 million, $14.8 million and $12.2 million for the three months ended June 30, 2025, March 31, 2025 and June 30, 2024, respectively, of support costs related to full-time employees that are classified within Compensation and benefits expense in the condensed consolidated statements of income and excludes costs that have been incurred as part of acquisitions that have been classified within acquisition costs.

    (14) Acquisition costs include the costs to setup, onboard and integrate acquired entities and other costs that were incurred as a result of the acquisitions. The below table summarizes the primary components of acquisition costs for the periods presented (in thousands):

        Q2 2025 Q1 2025 Q2 2024
    Acquisition costs        
    Change in fair value of contingent consideration(36)   $ 309   $ 6,594   $ 24,624  
    Compensation and benefits     16,054     17,417     6,827  
    Professional services     11,057     6,145     3,567  
    Promotional(13)     35,198     8,538     539  
    Interest(16)     3,313     5,137     —  
    Other     8,944     4,713     1,319  
    Acquisition costs   $ 74,875   $ 48,544   $ 36,876  

    (15) EBITDA and adjusted EBITDA are non-GAAP financial measures. Please see a description of EBITDA and adjusted EBITDA under the “Non-GAAP Financial Measures” section of this release for additional information. Below is a reconciliation of net income to EBITDA and adjusted EBITDA for the periods presented (in thousands):

        Q2 2025 Q1 2025 Q2 2024
    EBITDA and adjusted EBITDA Reconciliation        
    Net income   $ 273,249   $ 318,573   $ 243,800  
    Interest expense on borrowings(16)     105,636     85,862     64,341  
    Provision for income taxes     95,555     98,680     86,271  
    Depreciation and amortization     96,231     92,356     70,999  
    Amortization of other intangibles     46,103     43,521     30,607  
    EBITDA   $ 616,774   $ 638,992   $ 496,018  
    Acquisition costs excluding interest(14)     71,562     43,407     36,876  
    Adjusted EBITDA   $ 688,336   $ 682,399   $ 532,894  

    (16) Below is a reconciliation of interest expense on borrowings per Management’s Statements of Operations to interest expense on borrowings on the Company’s condensed consolidated statements of income for the periods presented (in thousands):

        Q2 2025 Q1 2025 Q2 2024
    Interest expense on borrowings on Management’s Statement of Operations   $ 102,323   $ 80,725   $ 64,341  
    Cost of debt issuance related to Commonwealth acquisition(14)     3,313     5,137     —  
    Interest expense on borrowings on Condensed Consolidated Statements of Income   $ 105,636   $ 85,862   $ 64,341  

    (17) Adjusted pre-tax income is a non-GAAP financial measure. Please see a description of adjusted pre-tax income under the “Non-GAAP Financial Measures” section of this release for additional information. Below is a reconciliation of income before provision for income taxes to adjusted pre-tax income for the periods presented (in thousands):

        Q2 2025 Q1 2025 Q2 2024
    Income before provision for income taxes   $ 368,804   $ 417,253   $ 330,071  
    Amortization of other intangibles     46,103     43,521     30,607  
    Acquisition costs(14)     74,875     48,544     36,876  
    Adjusted pre-tax income   $ 489,782   $ 509,318   $ 397,554  

    (18) Adjusted net income and adjusted EPS are non-GAAP financial measures. Please see a description of adjusted net income and adjusted EPS under the “Non-GAAP Financial Measures” section of this release for additional information. Below is a reconciliation of net income and earnings per diluted share to adjusted net income and adjusted EPS for the periods presented (in thousands, except per share data):

        Q2 2025 Q1 2025 Q2 2024
        Amount Per Share Amount Per Share Amount Per Share
    Net income / earnings per diluted share   $ 273,249   $ 3.40   $ 318,573   $ 4.24   $ 243,800   $ 3.23  
    Amortization of other intangibles     46,103     0.57     43,521     0.58     30,607     0.41  
    Acquisition costs(14)     74,875     0.93     48,544     0.65     36,876     0.49  
    Tax benefit     (31,433 )   (0.39 )   (23,937 )   (0.32 )   (17,816 )   (0.24 )
    Adjusted net income / adjusted EPS   $ 362,794   $ 4.51   $ 386,701   $ 5.15   $ 293,467   $ 3.88  
    Diluted share count     80,373       75,112       75,548    
    Note: Totals may not foot due to rounding.

    (19) Consists of total advisory and brokerage assets under custody at the Company’s primary broker-dealer subsidiary, LPL Financial, as well as assets under custody of a third-party custodian related to Atria’s seven introducing broker-dealer subsidiaries.

    (20) Assets on the Company’s corporate advisory platform are serviced by investment advisor representatives of LPL Financial. Assets on the Company’s independent RIA advisory platform are serviced by investment advisor representatives of separate registered investment advisor firms rather than representatives of LPL Financial.

    (21) Consists of advisory assets in LPL Financial’s Model Wealth Portfolios, Optimum Market Portfolios, Personal Wealth Portfolios and Guided Wealth Portfolios platforms.

    (22) Consists of total client deposits into advisory or brokerage accounts less total client withdrawals from advisory or brokerage accounts, plus dividends, plus interest, minus advisory fees. The Company considers conversions from and to brokerage or advisory accounts as deposits and withdrawals, respectively.

    (23) Consists of existing custodied assets that converted from brokerage to advisory, less existing custodied assets that converted from advisory to brokerage.

    (24) Calculated as annualized current period organic net new assets divided by preceding period assets in their respective categories of advisory assets or total advisory and brokerage assets.

    (25) Represents the amount of securities purchased less the amount of securities sold in client accounts custodied with LPL Financial.

    (26) Client cash balances include CCA and exclude purchased money market funds. CCA balances include cash that clients have deposited with LPL Financial that is included in Client payables in the condensed consolidated balance sheets. The following table presents purchased money market funds for the periods presented (in billions):

        Q2 2025 Q1 2025 Q2 2024
    Purchased money market funds   $ 47.0   $ 44.7   $ 35.7  

    (27) Calculated by dividing revenue for the period by the average balance during the period.

    (28) EBITDA and Credit Agreement EBITDA are non-GAAP financial measures. Please see a description of EBITDA and Credit Agreement EBITDA under the “Non-GAAP Financial Measures” section of this release for additional information. Under the Credit Agreement, management calculates Credit Agreement EBITDA for a trailing twelve month period at the end of each fiscal quarter and in doing so may make further adjustments to prior quarters. Below are reconciliations of trailing twelve month net income to trailing twelve month EBITDA and Credit Agreement EBITDA for the periods presented (in thousands):

        Q2 2025 Q1 2025 Q4 2024
    EBITDA and Credit Agreement EBITDA Reconciliations        
    Net income   $ 1,117,874   $ 1,088,425   $ 1,058,616  
    Interest expense on borrowings     341,256     299,961     274,181  
    Provision for income taxes     356,812     347,528     334,276  
    Depreciation and amortization     358,957     333,725     308,527  
    Amortization of other intangibles     164,699     149,203     135,234  
    EBITDA   $ 2,339,598   $ 2,218,842   $ 2,110,834  
    Credit Agreement Adjustments:        
    Acquisition costs and other(14)(37)   $ 269,638   $ 249,870   $ 223,614  
    Employee share-based compensation     84,226     84,690     88,957  
    M&A accretion(38)     222,150     237,160     235,048  
    Advisor share-based compensation     2,838     2,740     2,597  
    Loss on extinguishment of debt     3,983     3,983     3,983  
    Credit Agreement EBITDA   $ 2,922,433   $ 2,797,285   $ 2,665,033  

    (29) Calculated based on the average advisor count from the current period and prior periods.

    (30) Calculated based on the end of period total advisory and brokerage assets divided by end of period advisor count.

    (31) Represents amortization expense on forgivable loans for transition assistance to advisors and institutions.

    (32) During the first quarter of 2025, the Company updated its reporting of employees to include all full-time employees, including those reflected in Core G&A, promotional (ongoing) and advisory and commission expense. Prior period disclosures have been updated to reflect this change as applicable.

    (33) Reflects retention of total advisory and brokerage assets, calculated by deducting quarterly annualized attrition from total advisory and brokerage assets, divided by the prior quarter total advisory and brokerage assets.

    (34) Capital expenditures represent cash payments for property and equipment during the period.

    (35) Acquisitions, net represent cash paid for acquisitions, net of cash acquired during the period. Acquisitions, net for the three months ended March 31, 2025 excludes $70.2 million related to The Investment Center, Inc., which was prefunded on October 1, 2024 in conjunction with the close of the Atria acquisition, as well as cash inflows associated with working capital and other post-closing adjustments.

    (36) Represents a fair value adjustment to our contingent consideration liabilities that is reflected in other expense in the condensed consolidated statements of income.

    (37) Acquisition costs and other primarily include acquisition costs related to Atria, costs incurred related to the integration of the strategic relationship with Prudential Advisors, a $26.4 million reduction related to the departure of the Company’s former Chief Executive Officer and related clawback of share-based compensation awards, and an $18.0 million regulatory charge recognized during the three months ended September 30, 2024 reflecting the amount of a penalty proposed by the SEC as part of its civil investigation of the Company’s compliance with certain elements of the Company’s AML compliance program.

    (38) M&A accretion is an adjustment to reflect the annualized expected run rate EBITDA of an acquisition as permitted by the Credit Agreement for up to eight fiscal quarters following the close of such acquisition.

    The MIL Network –

  • MIL-OSI: Horizon Bank Announces Appointment of Senior Vice President, Director of Marketing, John D. Hatfield

    Source: GlobeNewswire (MIL-OSI)

    MICHIGAN CITY, Ind., July 31, 2025 (GLOBE NEWSWIRE) — Horizon Bank, a commercial banking subsidiary of Horizon Bancorp, Inc. (NASDAQ GS: HBNC), announced today the appointment of John Hatfield as the Senior Vice President, Director of Marketing.

    “John is a seasoned professional with 20+ years of experience in strategic marketing, business development, and branding across multiple industry verticals. He brings to Horizon a proven track record of success building cohesive teams that contribute to the strategic initiatives of organizations and tangible results for our key stakeholders,” CEO and President, Thomas Prame stated. “We believe Horizon is well-positioned for future growth in our markets through enhanced brand awareness that aligns with our core business model. We have been our client’s trusted advisors for over 150 years, and we look forward to expanding on this success with John leading our Marketing strategy.”

    “I am excited to join Horizon Bank and lead a team that shares Horizon’s desire to expand on its superior reputation as a trusted financial partner for our clients and the communities we serve,” stated Hatfield.

    In his new role, John will lead the strategic direction of Horizon’s marketing, enhancing the brand awareness and sales effectiveness of Horizon Bank. He will provide oversight and insight into the creation of multi-channel marketing campaigns aimed at customer acquisition across all lines of business. Additionally, John will expand on Horizon’s local outreach efforts, ensuring Horizon’s desire to help the communities we call home continue to thrive.

    About Horizon Bancorp, Inc.
    Celebrating over 150 years of success, Horizon Bancorp, Inc. is an independent, commercial bank holding company serving Indiana and Michigan through its commercial banking subsidiary, Horizon Bank. Horizon Bank and Horizon Bancorp, Inc. may be reached online at www.horizonbank.com. Its common stock is traded on the NASDAQ Global Select Market under the symbol HBNC.

    Contact: Thomas Prame
    Chief Executive Officer and President
    Phone: (219) 814-5983

    The MIL Network –

  • MIL-OSI: iRhythm Technologies Announces Second Quarter 2025 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    SAN FRANCISCO, July 31, 2025 (GLOBE NEWSWIRE) — iRhythm Technologies, Inc. (NASDAQ: IRTC), a leading digital health care company focused on creating trusted solutions that detect, predict, and prevent disease, today reported financial results for the three months ended June 30, 2025.

    Second Quarter 2025 Financial Highlights

    • Revenue of $186.7 million, a 26.1% increase compared to second quarter 2024
    • Gross margin of 71.2%, a 130-basis point increase compared to second quarter 2024
    • Unrestricted cash, cash equivalents, and marketable securities of $545.5 million as of June 30, 2025
    • Increased fiscal year 2025 guidance for revenue and adjusted EBITDA

    Recent Operational Highlights

    • Second quarter 2025 record quarterly revenue driven by continued momentum in our core long-term continuous monitoring business, sustained demand for Zio AT, progress within innovative value-based care accounts, and contribution from international markets
    • Executed strategic partnership with Lucem Health, a leader in AI-driven early disease detection, to accelerate early identification of undiagnosed arrhythmias in patient populations with comorbid conditions, a bold step toward predictive, preventive, and precise care that is powered by AI, informed by data, and designed for scale1
    • Results from two large-scale real-world studies presented at the American Diabetes Association’s 85th Scientific Sessions (ADA 2025) demonstrated that cardiac arrhythmias present frequent, early, and often preceding major cardiovascular events (MACE), highlighting a critical opportunity to enhance early detection strategies in at-risk cardiometabolic populations

    “The second quarter of 2025 was another record quarter for iRhythm, with growth of more than 26%, showcasing the strength of our diversified growth strategy,” said Quentin Blackford, President and Chief Executive Officer of iRhythm. “Our continued momentum spans three key areas: accelerating growth in our core monitoring business, continued penetration of Zio AT across major health systems, and successful expansion with innovative value-based care partners. With strong execution, combined with our transformative AI partnership with Lucem Health and the growing abundance of compelling clinical evidence, we’re uniquely positioned to revolutionize early cardiac detection and create substantial value for patients, providers, and shareholders while addressing the growing need for preventative care.”

    Second Quarter Financial Results
    Revenue for the second quarter of 2025 was $186.7 million, up 26.1% from $148.0 million during the same period in 2024. The increase was driven by growth in demand for Zio services within core existing accounts, from continued market penetration of Zio AT, and at new innovative channel partners.

    Gross profit for the second quarter of 2025 was $132.9 million, up 28.4% from $103.5 million during the same period in 2024, while gross margin was 71.2%, up from 69.9% during the same period in 2024. The increase in gross profit was primarily due to increased volume of Zio services provided due to higher demand. The increase in gross margin was primarily due to volume leverage as well as operational efficiencies, partially offset by an increased blended cost per unit from a higher Zio AT product mix.

    Operating expenses for the second quarter of 2025 were $151.6 million, compared to $126.5 million for the same period in 2024. Adjusted operating expenses for the second quarter of 2025 were $145.2 million, compared to $125.2 million during the same period in 2024. The increase in adjusted operating expenses was primarily driven by funding of new and sustaining development activities as well as incremental costs to serve a growing volume of patients globally.

    Net loss for the second quarter of 2025 was $14.2 million, or a diluted loss of $0.44 per share, compared with net loss of $20.1 million, or a diluted loss of $0.65 per share, for the same period in 2024. Adjusted net loss for the second quarter of 2025 was $10.2 million, or a diluted loss of $0.32 per share, compared with an adjusted net loss of $18.8 million, or a diluted loss of $0.61 per share, for the same period in 2024. The decrease in net loss was primarily driven by our revenue growth and operating leverage achieved through implementation of efficiency initiatives.

    Unrestricted cash, cash equivalents, and marketable securities were $545.5 million as of June 30, 2025.

    2025 Annual Guidance
    iRhythm projects revenue for the full year 2025 between $720 million to $730 million. Adjusted EBITDA margin for the full year 2025 is expected to range from approximately 8.0% to 8.5% of revenues.

    Webcast and Conference Call Information
    iRhythm’s management team will host a conference call today beginning at 1:30 p.m. PT/4:30 p.m. ET. Interested parties may access a live and archived webcast of the presentation on the “Events & Presentations” section of the company’s investor website at investors.irhythmtech.com.

    About iRhythm Technologies, Inc.
    iRhythm is a leading digital health care company that creates trusted solutions that detect, predict, and prevent disease. Combining wearable biosensors and cloud-based data analytics with powerful proprietary algorithms, iRhythm distills data from millions of heartbeats into clinically actionable information. Through a relentless focus on patient care, iRhythm’s vision is to deliver better data, better insights, and better health for all.

    Reclassifications
    Certain prior period amounts have been reclassified to conform to the current year presentation. These reclassifications have no impact on previously reported results of operations or financial position.

    Use of Non-GAAP Financial Measures
    We refer to certain financial measures that are not recognized under U.S. generally accepted accounting principles (GAAP) in this press release, including adjusted EBITDA, adjusted net loss, adjusted net loss per share and adjusted operating expenses. We use these non-GAAP financial measures for financial and operational decision-making and as a means to evaluate period-to-period comparisons. See the schedules attached to this press release for additional information and reconciliations of such non-GAAP financial measures. We have not reconciled our adjusted operating expenses and adjusted EBITDA margin estimates for full year 2025 because certain items that impact these figures are uncertain or out of our control and cannot be reasonably predicted. Accordingly, a reconciliation of adjusted operating expenses and adjusted EBITDA estimates is not available without unreasonable effort.

    Adjusted EBITDA excludes non-cash operating charges for stock-based compensation expense, changes in fair value of strategic investments, impairment and restructuring charges, business transformation costs, certain intellectual property litigation expenses and settlements, and loss on extinguishment of debt. Business transformation costs include costs associated with professional services, employee termination and relocation, third-party merger and acquisition, integration, and other costs to augment and restructure the organization, inclusive of both outsourced and offshore resources.

    Forward-Looking Statements
    This press release 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, and the Private Securities Litigation Reform Act of 1995. An investor can identify these statements by the fact that they do not relate strictly to historical or current facts. They use words such as ‘anticipate’, ‘estimate’, ‘expect’, ‘intend’, ‘will’, ‘project’, ‘plan’, ‘believe’, ‘target’ and other words and terms of similar meaning in connection with any discussion of future actions or operating or financial performance. In particular, these statements include statements regarding financial guidance, market opportunity, ability to penetrate the market, international market expansion, anticipated productivity and quality improvements, and expectations for growth. Such statements are based on current assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially. These risks and uncertainties, many of which are beyond our control, include risks described in the section entitled “Risk Factors” and elsewhere in our filings made with the Securities and Exchange Commission, including those on the Form 10-Q expected to be filed on or about July 31, 2025. These forward-looking statements speak only as of the date hereof and should not be unduly relied upon. iRhythm disclaims any obligation to update these forward-looking statements.

    Investor Contact
    Stephanie Zhadkevich
    investors@irhythmtech.com

    Media Contact
    Kassandra Perry
    irhythm@highwirepr.com

    1. The predictive-AI solution does not represent the functionality of any Zio branded medical device.
    IRHYTHM TECHNOLOGIES, INC.
    Condensed Consolidated Balance Sheets
    (In thousands, except par value)
    (unaudited)
     
      June 30, 2025   December 31, 2024
    Assets      
    Current assets:      
    Cash and cash equivalents $ 309,105     $ 419,597  
    Marketable securities   236,435       115,956  
    Accounts receivable, net   82,153       79,941  
    Inventory   18,399       14,039  
    Prepaid expenses and other current assets   17,825       16,286  
    Total current assets   663,917       645,819  
    Property and equipment, net   139,703       125,092  
    Operating lease right-of-use assets   44,749       47,564  
    Restricted cash   8,358       8,358  
    Goodwill   862       862  
    Long-term strategic investments   64,897       61,902  
    Other assets   41,544       41,852  
    Total assets $ 964,030     $ 931,449  
    Liabilities and Stockholders’ Equity      
    Current liabilities:      
    Accounts payable $ 12,775     $ 7,221  
    Accrued liabilities   99,577       84,900  
    Deferred revenue   3,499       2,932  
    Operating lease liabilities, current portion   16,360       15,867  
    Total current liabilities   132,211       110,920  
    Long-term senior convertible notes   648,007       646,443  
    Other noncurrent liabilities   9,775       8,579  
    Operating lease liabilities, noncurrent portion   70,377       74,599  
    Total liabilities   860,370       840,541  
    Stockholders’ equity:      
    Preferred stock, $0.001 par value – 5,000 shares authorized; none issued and outstanding at June 30, 2025 and December 31, 2024   —       —  
    Common stock, $0.001 par value – 100,000 shares authorized; 32,334 shares issued and 32,105 shares outstanding at June 30, 2025, respectively; and 31,621 shares issued and 31,392 shares outstanding at December 31, 2024, respectively   32       31  
    Additional paid-in capital   932,467       874,607  
    Accumulated other comprehensive (loss) income   (26 )     165  
    Accumulated deficit   (803,813 )     (758,895 )
    Treasury stock, at cost; 229 shares at June 30, 2025 and December 31, 2024   (25,000 )     (25,000 )
    Total stockholders’ equity   103,660       90,908  
    Total liabilities and stockholders’ equity $ 964,030     $ 931,449  
     
    IRHYTHM TECHNOLOGIES, INC.
    Condensed Consolidated Statements of Operations
    (In thousands, except per share data)
    (unaudited)
     
        Three Months Ended June 30,   Six Months Ended June 30,
          2025       2024       2025       2024  
    Revenue, net   $ 186,687     $ 148,047     $ 345,364     $ 279,976  
    Cost of revenue     53,830       44,576       103,291       88,989  
    Gross profit     132,857       103,471       242,073       190,987  
    Operating expenses:                
    Research and development     21,012       19,690       42,531       36,684  
    Acquired in-process research and development     1,698       —       1,994       —  
    Selling, general and administrative     126,376       106,762       246,333       215,422  
    Impairment charges     2,479       —       2,479       —  
    Total operating expenses     151,565       126,452       293,337       252,106  
    Loss from operations     (18,708 )     (22,981 )     (51,264 )     (61,119 )
    Interest and other income (expense), net:                
    Interest income     5,321       6,685       10,240       9,742  
    Interest expense     (3,278 )     (3,312 )     (6,551 )     (6,172 )
    Loss on extinguishment of debt     —       —       —       (7,589 )
    Other income (expense), net     2,264       (305 )     3,139       (410 )
    Total interest and other income (expense), net     4,307       3,068       6,828       (4,429 )
    Loss before income taxes     (14,401 )     (19,913 )     (44,436 )     (65,548 )
    Income tax (benefit) provision     (183 )     194       482       226  
    Net loss   $ (14,218 )   $ (20,107 )   $ (44,918 )   $ (65,774 )
    Net loss per common share, basic and diluted   $ (0.44 )   $ (0.65 )   $ (1.41 )   $ (2.12 )
    Weighted-average shares, basic and diluted     31,990       31,145       31,791       31,089  
     
    IRHYTHM TECHNOLOGIES, INC.
    Reconciliation of GAAP to Non-GAAP Financial Information
    (in thousands, except per share data)
    (unaudited)
     
        Three Months Ended June 30,   Six Months Ended June 30,
          2025       2024       2025       2024  
    Adjusted EBITDA reconciliation*                
    Net loss, as reported1   $ (14,218 )   $ (20,107 )   $ (44,918 )   $ (65,774 )
    Interest expense     3,278       3,312       6,551       6,172  
    Interest income     (5,321 )     (6,685 )     (10,240 )     (9,742 )
    Changes in fair value of strategic investments     (2,152 )     —       (2,995 )     —  
    Income tax (benefit) provision     (183 )     194       482       226  
    Depreciation and amortization     5,105       5,160       10,315       10,291  
    Stock-based compensation     22,827       21,821       46,171       42,812  
    Impairment charges     2,479       —       2,479       —  
    Business transformation costs     925       1,296       1,428       1,296  
    Intellectual property litigation costs2     2,956       —       3,788       —  
    Loss on extinguishment of debt     —       —       —       7,589  
    Adjusted EBITDA   $ 15,696     $ 4,991     $ 13,061     $ (7,130 )
                     
    Adjusted net loss reconciliation*                
    Net loss, as reported1   $ (14,218 )   $ (20,107 )   $ (44,918 )   $ (65,774 )
    Impairment charges     2,479       —       2,479       —  
    Business transformation costs     925       1,296       1,428       1,296  
    Intellectual property litigation costs2     2,956       —       3,788       —  
    Changes in fair value of strategic investments     (2,152 )     —       (2,995 )     —  
    Loss on extinguishment of debt     —       —       —       7,589  
    Tax effect of adjustments3     (214 )     —       (305 )     —  
    Adjusted net loss   $ (10,224 )   $ (18,811 )   $ (40,523 )   $ (56,889 )
                     
    Adjusted net loss per share reconciliation*                
    Net loss per share, as reported1   $ (0.44 )   $ (0.65 )   $ (1.41 )   $ (2.12 )
    Impairment charges per share     0.08       —       0.08       —  
    Business transformation costs per share     0.03       0.04       0.04       0.04  
    Intellectual property litigation costs per share2     0.09       —       0.12       —  
    Changes in fair value of strategic investments per share     (0.07 )     —       (0.09 )     —  
    Loss on extinguishment of debt per share     —       —       —       0.24  
    Tax effect of adjustments per share3     (0.01 )     —       (0.01 )     —  
    Adjusted net loss per share   $ (0.32 )   $ (0.61 )   $ (1.27 )   $ (1.84 )
    Weighted-average shares, basic and diluted     31,990       31,145       31,791       31,089  
        Three Months Ended June 30,   Six Months Ended June 30,
          2025       2024       2025       2024  
    Adjusted operating expenses reconciliation*                
    Operating expenses, as reported   $ 151,565     $ 126,452     $ 293,337     $ 252,106  
    Impairment charges     (2,479 )     —       (2,479 )     —  
    Business transformation costs     (925 )     (1,296 )     (1,428 )     (1,296 )
    Intellectual property litigation costs2     (2,956 )     —       (3,788 )     —  
    Adjusted operating expenses   $ 145,205     $ 125,156     $ 285,642     $ 250,810  
     

    *Certain numbers expressed may not sum due to rounding.
    1 Net loss for the three and six months ended June 30, 2025 includes $1.7 million and $2.0 million of acquired in-process research and development expense, respectively.
    2 Excludes third-party attorneys’ fees and expenses associated with patent litigation brought against the Company by Welch Allyn, Inc. and Bardy Diagnostics, Inc., subsidiaries of Baxter International, Inc.
    3 Income tax impact of Non-GAAP adjustments listed.

    The MIL Network –

  • MIL-OSI: Great Elm Group Announces Strategic Partnership with Kennedy Lewis Investment Management

    Source: GlobeNewswire (MIL-OSI)

    – Purchases 4.9% of Great Elm Group’s Common Stock; $150 Million Debt Investment in Monomoy Properties REIT to Accelerate Industrial Real Estate Platform Expansion –

    – Company to Host Conference Call at 8:30 a.m. ET on August 1, 2025 –

    Transaction Highlights:

    • Certain funds affiliated with Kennedy Lewis Investment Management LLC (“KLIM”) purchase 4.9% of Great Elm Group, Inc’s (“GEG”) outstanding common stock at market price, approximately $2.11 per share.
    • $150 million of term loans in total strategic financing for Monomoy Properties REIT, LLC (“Monomoy REIT”) from KLIM to catalyze growth across the Monomoy industrial real estate platform recently consolidated under Great Elm Real Estate Ventures, LLC (“Real Estate Ventures”)
    • KLIM appoints board representatives at both GEG and Monomoy REIT, underscoring its commitment to a long-term partnership

    PALM BEACH GARDENS, Fla., July 31, 2025 (GLOBE NEWSWIRE) —  Great Elm Group, Inc. (“we,” “us,” “our,” “GEG” or “Great Elm,”) (NASDAQ: GEG), a publicly traded alternative asset manager, today announced a transformational strategic partnership with KLIM, an institutional alternative investment firm focused on opportunistic credit strategies including real estate with over $30 billion in assets under management. This partnership delivers up to $150 million in leverageable capital to support continued growth across Great Elm’s real estate platform, which includes Monomoy REIT, Monomoy CRE (MCRE), Monomoy Construction Services (MCS), and Monomoy BTS (MBTS) (together “Monomoy”). Monomoy offers a full-service suite of project management, procurement, construction management, asset management, market analysis and feasibility services for its industrial real estate tenants.

    Under the terms of the transaction, KLIM is providing an initial $100 million term loan to Monomoy REIT, and the option for an additional $50 million in future capital. Additionally, KLIM is purchasing 4.9% of GEG’s common stock at market price, approximately $2.11 a share, and will hold an initial 15% profits interest (which may be increased to 20% under certain circumstances) in the newly formed Great Elm Real Estate Ventures, LLC, which consolidates GEG’s real estate subsidiaries: MCRE, MCS, and MBTS.

    “KLIM’s investment strengthens our position as a full-spectrum real estate enterprise,” said Jason Reese, Chief Executive Officer of Great Elm. “Their deep sector expertise, alignment with our long-term vision, and capital commitment empower us to deliver superior value to Monomoy’s tenants and clients as well as our shareholders.”

    KLIM is also appointing a board representative at each of Great Elm and Monomoy REIT, underscoring its role as a long-term partner.

    “We are excited to partner with Great Elm and support the continued expansion of its industrial real estate platform,” said David Chene, Co-Founder of KLIM. “The integrated strategy being executed through Monomoy is exactly the kind of scalable, opportunity-rich platform we seek to support. We look forward to working closely with the leadership team to unlock the full potential of this business.”

    About the Monomoy Platform

    Monomoy Properties REIT, LLC (REIT) is a private real estate investment trust with approximately $400 million of diversified net leased IOS assets. Backed by disciplined investment principles and a long-term view, the REIT provides investors with exposure to mission-critical facilities occupied by high-quality tenants. The REIT offers investors returns through dividends and long-term capital appreciation.

    Great Elm Real Estate Ventures (Real Estate Ventures), a newly created entity comprised of wholly owned subsidiaries of GEG, brings together a vertically integrated group of real estate-focused businesses, each playing a strategic role in delivering best-in-class industrial outdoor storage (IOS) properties across the United States. The wholly owned subsidiaries of GEG include the following:

    Monomoy CRE, LLC (MCRE) serves as the real estate asset manager at the core of the Monomoy platform. MCRE is responsible for executing Monomoy Properties REIT’s day-to-day investment strategy while also sourcing and identifying prime IOS real estate opportunities for development by BTS. With deep market expertise and a proactive approach, MCRE ensures seamless coordination across acquisition, development, and asset management functions.

    Monomoy BTS Corp. (BTS) focuses on acquiring land and developing custom-built IOS properties tailored to tenant needs. Each project is executed with precision, supporting business growth and operational efficiency for its clients.

    Monomoy Construction Services, LLC (MCS) offers full-service procurement and construction management. MCS serves the REIT, BTS, and select third-party clients, ensuring consistent delivery, quality, cost control, and timely execution.

    Together, these entities create a powerful, end-to-end real estate platform that combines deep market insight, professional asset management services investment expertise, and turnkey execution capabilities to generate long-term value for tenants and investors alike.

    Transforming Into a Full-Service Real Estate Platform

    This capital injection represents a major milestone in the continued growth and ongoing evolution of Great Elm’s real estate business. This structure enables Great Elm Real Estate Ventures to serve its tenants as a comprehensive, value-added real estate partner, enhancing delivery of real estate solutions from acquisition through development and management.

    Strategic and Financial Impact

    The KLIM financing substantially improves Monomoy REIT’s cost of capital and allows for the refinancing of existing convertible debt and repayment of key credit facilities. The capital will also be used to fund new acquisitions and further scale Monomoy’s operations.

    Great Elm Real Estate Ventures Conference Call & Webcast Information

    When: Friday, August 1, 2025, 8:30 a.m. Eastern Time (ET)

    Call: All interested parties are invited to participate in the conference call by dialing +1 (877) 407-0752; international callers should dial +1 (201) 389-0912. Participants should enter the Conference ID 13755229 if asked.

    Webcast: The conference call will be webcast simultaneously and can be accessed here. A copy of the slide presentation accompanying the conference call, can be found here.

    About Kennedy Lewis Investment Management, LLC

    Kennedy Lewis is a credit focused alternative investment manager founded in 2017 by David K. Chene and Darren L. Richman with over $30 billion under management.   The firm and its affiliates manage private funds, a publicly traded REIT focused on landbanking (Millrose Properties, Inc.), a non-exchange traded business development company (Kennedy Lewis Capital Company), and collateralized loan obligations (Generate Advisors, LLC).

    About Great Elm Group, Inc.

    Great Elm Group, Inc. (NASDAQ: GEG) is an alternative asset manager focused on building a scalable and diversified portfolio of long-duration and permanent capital vehicles across credit, real estate, specialty finance, and other alternative strategies. GEG manages Great Elm Capital Corp. (NASDAQ: GECC), a publicly-traded business development company, Monomoy Properties REIT, LLC, an industrial outdoor storage-focused real estate investment trust along with its growing real estate services platform through Monomoy CRE, MBTS, and MCS. Learn more at www.greatelmgroup.com.

    About Great Elm Real Estate Ventures

    Great Elm Real Estate Ventures, a wholly owned subsidiary of GEG, consolidates the Monomoy real estate platform comprised of Monomoy CRE, LLC (MCRE), Monomoy Construction Services, LLC (MCS), and Monomoy BTS Corp (MBTS). Great Elm Real Estate Ventures operates as a full-service industrial outdoor space (IOS) enterprise that provides solutions for our tenants through property management, real estate investments, construction and development. Through the Monomoy platform, Real Estate Ventures invests in build-to-suit and existing Class A, B, and C single-tenant industrial properties across the US, focusing on equipment rental, building supply, materials, manufacturing, warehousing, distribution, and logistics, while specifically targeting critical markets with economic growth.

    Cautionary Statement Regarding Forward-Looking Statements

    Statements in this press release that are “forward-looking” statements, including statements regarding expected benefits from the transaction, growth, profitability, acquisition opportunities involve risks and uncertainties that may individually or collectively impact the matters described herein. Investors are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date they are made and represent GEG’s assumptions and expectations in light of currently available information. These statements involve risks, variables and uncertainties, and GEG’s actual performance results may differ from those projected, and any such differences may be material. For information on certain factors that could cause actual events or results to differ materially from GEG’s expectations, please see GEG’s filings with the Securities and Exchange Commission (“SEC”), including its most recent annual report on Form 10-K and subsequent reports on Forms 10-Q and 8-K. Additional information relating to GEG’s financial position and results of operations is also contained in GEG’s annual and quarterly reports filed with the SEC and available for download at its website www.greatelmgroup.com or at the SEC website www.sec.gov.

    This press release does not constitute an offer of any securities for sale.

    Media & Investor Contact:
    Investor Relations
    geginvestorrelations@greatelm.com

    The MIL Network –

  • MIL-OSI: Bimini Capital Management Announces Second Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    VERO BEACH, Fla., July 31, 2025 (GLOBE NEWSWIRE) — Bimini Capital Management, Inc. (OTCQB: BMNM), (“Bimini Capital,” “Bimini,” or the “Company”), today announced results of operations for the three-month period ended June 30, 2025.

    Second Quarter 2025 Highlights

    • Net income of approximately $43 thousand, or $0.00 per common share
    • Book value per share of $0.74
    • Company to discuss results on Friday, August 1, 2025, at 10:00 AM ET

    Management Commentary

    Commenting on the second quarter results, Robert E. Cauley, Chairman and Chief Executive Officer, said, “When we announced our first quarter results, the second quarter of 2025 was off to a very rough start.  Markets were in turmoil as a result of the extensive reciprocal tariffs announced by the Trump administration. While these conditions abated gradually, all the companies in the mortgage REIT sector that have reported second quarter earnings to date reported losses for the quarter. Our MBS segment produced a loss of $1.3 million as well but our advisory services segment generated earnings of $1.9 million and Bimini as a whole generated modest net income of approximately $43 thousand.  For the six months ended June 30, 2025, Bimini recorded net income of $0.6 million, or $0.06 per share, representing a return on stockholders’ equity of 8.7%, unannualized.

    “Our advisory service revenues for the quarter and six months ended June 30, 2025 increased by 20% and 21%, respectively, over the comparable 2024 periods. While we sold $9.8 million of MBS early in the second quarter in response to the adverse market conditions mentioned above, our interest revenues for the quarter and six months ended June 30, 2025 increased 23% and 24%, respectively, over the comparable 2024 periods. As our cash positions have increased over the past few months, we anticipate resuming growth of the RMBS portfolio in the near-term.

    “As the third quarter unfolds markets are considerably calmer than when the second quarter was starting, and Agency RMBS are still trading at attractive levels.  Market conditions generally are quite favorable for RMBS – a positive development for both Bimini and Orchid Island as well.  As long as we have no new adverse developments with respect to reciprocal tariffs and interest rate volatility remains low, the sector should perform well.  With respect to the macroeconomic backdrop, the economy has remained surprisingly resilient, but in the event that conditions deteriorate, the Federal Reserve appears likely to act and reduce over-night rates, which should buttress the economy.”

    Details of Second Quarter 2025 Results of Operations

    Orchid reported a net loss for the second quarter of 2025 of $33.6 million and generated a (4.66)% return on its book value for the quarter – not annualized. Orchid also raised $139.4 million during the quarter and its stockholders’ equity increased from $855.9 million at March 31, 2025 to $912.0 million at June 30, 2025. As a result, Bimini’s advisory service revenues of approximately $3.8 million represented a 20% increase over the second quarter of 2024 and a 6% increase over the first quarter of 2025. 

    Royal Palm sold approximately $9.8 million of its MBS portfolio in the second quarter of 2025 after increasing its MBS holdings throughout 2024. Interest revenue increased 23% over the second quarter of 2024, but decreased 9% from the first quarter of 2025.  With funding costs down as a result of Fed rates cuts late in 2024, net interest income, inclusive of dividends from holdings of Orchid common shares, increased approximately 78% over the second quarter of 2024, but decreased by approximately 7% from the first quarter of 2025 owing primarily to the sale of assets in the MBS portfolio.  These amounts represent the net interest income from the investment portfolio and do not include interest charges on our trust preferred or other long-term debt.

    Interest charges on the trust preferred and other long-term debt of $0.54 million were virtually unchanged from the first quarter of 2025 and were down 11% from the second quarter of 2024. Expenses of $2.82 million decreased by 4% from the first quarter of 2025 and increased by 1% over the second quarter of 2024.  Bimini recorded an income tax provision of $6.5 thousand for the second quarter of 2025.

    Management of Orchid Island Capital, Inc.

    Orchid is managed and advised by Bimini. As Manager, Bimini is responsible for administering Orchid’s business activities and day-to-day operations. Pursuant to the terms of a management agreement, our subsidiary, Bimini Advisors, provides Orchid with its management team, including its officers, along with appropriate support personnel. Bimini also maintains a common stock investment in Orchid, which is accounted for under the fair value option, with changes in fair value recorded in the statement of operations for the current period. For the three months ended June 30, 2025, Bimini’s statement of operations included a fair value adjustment of $(0.3) million and dividends of $0.2 million from its investment in Orchid common stock. Also, during the three months ended June 30, 2025, Bimini recorded $3.8 million in advisory services revenue for managing Orchid’s portfolio, consisting of $3.0 million of management fees, $0.6 million in overhead reimbursement, and $0.2 million in repurchase, clearing and administrative fees.

    Book Value Per Share

    The Company’s book value per share on June 30, 2025 was $0.74. The Company computes book value per share by dividing total stockholders’ equity by the total number of outstanding shares of the Company’s Class A Common Stock. At June 30, 2025, the Company’s stockholders’ equity was $7.4 million, with 10,005,457 Class A Common shares outstanding.

    Capital Allocation and Return on Invested Capital

    The Company allocates capital between two MBS sub-portfolios, the pass-through MBS portfolio and the structured MBS portfolio, consisting of interest-only and inverse interest-only securities. The table below details the changes to the respective sub-portfolios during the quarter.

    Portfolio Activity for the Quarter
              Structured Security Portfolio          
                  Inverse                  
      Pass     Interest-     Interest-                  
      Through     Only     Only                  
      Portfolio     Securities     Securities     Sub-total     Total  
    Market Value – March 31, 2025 $ 118,704,355     $ 2,252,898     $ 7,871     $ 2,260,769     $ 120,965,124  
    Securities purchased   –       –       –       –       –  
    Securities sold   (9,786,053 )     –       –       –       (9,786,053 )
    (Losses) gains on sales   (178,140 )     –       –       –       (178,140 )
    Return of investment   n/a       (79,850 )     (379 )     (80,229 )     (80,229 )
    Pay-downs   (3,198,435 )     n/a       n/a       n/a       (3,198,435 )
    Discount accreted due to pay-downs   (42,251 )     n/a       n/a       n/a       (42,251 )
    Mark to market (losses) gains   (65,709 )     10,292       (970 )     9,322       (56,387 )
    Market Value – June 30, 2025 $ 105,433,767     $ 2,183,340     $ 6,522     $ 2,189,862     $ 107,623,629  

    The tables below present the allocation of capital between the respective portfolios at June 30, 2025 and March 31, 2025, and the return on invested capital for each sub-portfolio for the three-month period ended June 30, 2025. Capital allocation is defined as the sum of the market value of securities held, less associated repurchase agreement borrowings, plus cash and cash equivalents and restricted cash associated with repurchase agreements. Capital allocated to non-portfolio assets is not included in the calculation.

    Capital Allocation
              Structured Security Portfolio          
                  Inverse                  
      Pass     Interest-     Interest-                  
      Through     Only     Only                  
      Portfolio     Securities     Securities     Sub-total     Total  
    June 30, 2025                                      
    Market value $ 105,433,767     $ 2,183,340     $ 6,522     $ 2,189,862     $ 107,623,629  
    Cash equivalents and restricted cash   6,583,906       –       –       –       6,583,906  
    Repurchase agreement obligations   (101,742,000 )     –       –       –       (101,742,000 )
    Total $ 10,275,673     $ 2,183,340     $ 6,522     $ 2,189,862     $ 12,465,535  
    % of Total   82.4 %     17.5 %     0.1 %     17.6 %     100.0 %
    March 31, 2025                                      
    Market value $ 118,704,355     $ 2,252,898     $ 7,871     $ 2,260,769     $ 120,965,124  
    Cash equivalents and restricted cash   5,500,438       –       –       –       5,500,438  
    Repurchase agreement obligations   (115,510,999 )     –       –       –       (115,510,999 )
    Total $ 8,693,794     $ 2,252,898     $ 7,871     $ 2,260,769     $ 10,954,563  
    % of Total   79.4 %     20.5 %     0.1 %     20.6 %     100.0 %

    The returns on invested capital in the PT MBS and structured MBS portfolios were approximately (4.1)% and 1.9%, respectively, for the three months ended June 30, 2025. The combined portfolio generated a return on invested capital of approximately (2.9)%.

    Returns for the Quarter Ended June 30, 2025  
              Structured Security Portfolio          
                  Inverse                  
      Pass     Interest-     Interest-                  
      Through     Only     Only                  
      Portfolio     Securities     Securities     Sub-total     Total  
    Interest income (net of repo cost) $ 357,713     $ 33,052     $ 23     $ 33,075     $ 390,788  
    Realized and unrealized losses (gains)   (286,100 )     10,292       (970 )     9,322       (276,778 )
    Hedge losses   (430,791 )     n/a       n/a       n/a       (430,791 )
    Total Return $ (359,178 )   $ 43,344     $ (947 )   $ 42,397     $ (316,781 )
    Beginning capital allocation $ 8,693,794     $ 2,252,898     $ 7,871     $ 2,260,769     $ 10,954,563  
    Return on invested capital for the quarter(1)   (4.1 )%     1.9 %     (12.0 )%     1.9 %     (2.9 )%
     
    (1)   Calculated by dividing the Total Return by the Beginning Capital Allocation, expressed as a percentage.


    Prepayments

    For the second quarter of 2025, the Company received approximately $3.3 million in scheduled and unscheduled principal repayments and prepayments, which equated to a 3-month constant prepayment rate (“CPR”) of approximately 9.9%. Prepayment rates on the two MBS sub-portfolios were as follows (in CPR):

      PT   Structured    
      MBS Sub-   MBS Sub-   Total
    Three Months Ended Portfolio   Portfolio   Portfolio
    June 30, 2025 10.3   7.3   9.9
    March 31, 2025 7.5   6.2   7.3
    December 31, 2024 10.9   12.5   11.1
    September 30, 2024 6.3   6.7   6.3
    June 30, 2024 10.9   5.5   10.0
    March 31, 2024 18.0   9.2   16.5


    Portfolio

    The following tables summarize the MBS portfolio as of June 30, 2025 and December 31, 2024:

    ($ in thousands)                                      
                              Weighted          
              Percentage             Average          
              of     Weighted     Maturity          
      Fair     Entire     Average     in     Longest  
    Asset Category Value     Portfolio     Coupon     Months     Maturity  
    June 30, 2025                                      
    Fixed Rate MBS $ 105,434       98.0 %     5.60 %     333       1-Aug-54  
    Structured MBS   2,190       2.0 %     2.87 %     277       15-May-51  
    Total MBS Portfolio $ 107,624       100.0 %     5.25 %     332       1-Aug-54  
    December 31, 2024                                      
    Fixed Rate MBS $ 120,056       98.1 %     5.60 %     341       1-Jan-55  
    Structured MBS   2,292       1.9 %     2.85 %     281       15-May-51  
    Total MBS Portfolio $ 122,348       100.0 %     5.26 %     340       1-Jan-55  
    ($ in thousands)                              
      June 30, 2025     December 31, 2024  
              Percentage of             Percentage of  
    Agency Fair Value     Entire Portfolio     Fair Value     Entire Portfolio  
    Fannie Mae $ 30,700       28.5 %   $ 32,692       26.7 %
    Freddie Mac   76,924       71.5 %     89,656       73.3 %
    Total Portfolio $ 107,624       100.0 %   $ 122,348       100.0 %
      June 30, 2025     December 31, 2024  
    Weighted Average Pass Through Purchase Price $ 102.99     $ 102.72  
    Weighted Average Structured Purchase Price $ 4.48     $ 4.48  
    Weighted Average Pass Through Current Price $ 100.84     $ 99.63  
    Weighted Average Structured Current Price $ 14.01     $ 13.71  
    Effective Duration (1)   2.931       3.622  
    (1) Effective duration is the approximate percentage change in price for a 100 basis point change in rates. An effective duration of 2.931 indicates that an interest rate increase of 1.0% would be expected to cause a 2.931% decrease in the value of the MBS in the Company’s investment portfolio at June 30, 2025. An effective duration of 3.622 indicates that an interest rate increase of 1.0% would be expected to cause a 3.622% decrease in the value of the MBS in the Company’s investment portfolio at December 31, 2024. These figures include the structured securities in the portfolio but not the effect of the Company’s hedges. Effective duration quotes for individual investments are obtained from The Yield Book, Inc.


    Financing and Liquidity

    As of June 30, 2025, the Company had outstanding repurchase obligations of approximately $101.7 million with a net weighted average borrowing rate of 4.49%. These agreements were collateralized by MBS with a fair value, including accrued interest, of approximately $107.8 million. At June 30, 2025, the Company’s liquidity was approximately $5.7 million, consisting of unpledged MBS and cash and cash equivalents.

    We may pledge more of our structured MBS as part of a repurchase agreement funding but retain cash in lieu of acquiring additional assets. In this way, we can, at a modest cost, retain higher levels of cash on hand and decrease the likelihood that we will have to sell assets in a distressed market in order to raise cash. Below is a list of outstanding borrowings under repurchase obligations at June 30, 2025.

    ($ in thousands)                              
    Repurchase Agreement Obligations
                      Weighted     Weighted  
      Total             Average     Average  
      Outstanding     % of     Borrowing     Maturity  
    Counterparty Balances     Total     Rate     (in Days)  
    Marex Capital Markets Inc. $ 22,925       22.6 %     4.47 %     53  
    DV Securities, LLC Repo   18,420       18.1 %     4.48 %     28  
    Mirae Asset Securities (USA) Inc.   18,238       17.9 %     4.53 %     136  
    South Street Securities, LLC   15,806       15.5 %     4.47 %     85  
    Clear Street LLC   15,696       15.4 %     4.48 %     84  
    Mitsubishi UFJ Securities (USA), Inc.   10,657       10.5 %     4.52 %     15  
      $ 101,742       100.0 %     4.49 %     69  


    Summarized Consolidated Financial Statements

    The following is a summarized presentation of the unaudited consolidated balance sheets as of June 30, 2025, and December 31, 2024, and the unaudited consolidated statements of operations for the six and three month periods ended June 30, 2025 and 2024. Amounts presented are subject to change.

     
    BIMINI CAPITAL MANAGEMENT, INC.
    CONSOLIDATED BALANCE SHEETS
    (Unaudited – Amounts Subject to Change)
     
      June 30, 2025     December 31, 2024  
    ASSETS              
    Mortgage-backed securities $ 107,623,629     $ 122,348,170  
    Cash equivalents and restricted cash   6,583,906       7,422,746  
    Orchid Island Capital, Inc. common stock, at fair value   3,989,188       4,427,372  
    Accrued interest receivable   525,593       601,640  
    Deferred tax assets, net   15,743,570       15,930,953  
    Other assets   4,281,649       4,122,776  
    Total Assets $ 138,747,535     $ 154,853,657  
                   
    LIABILITIES AND STOCKHOLDERS’ EQUITY              
    Repurchase agreements $ 101,742,000     $ 117,180,999  
    Long-term debt   27,357,495       27,368,158  
    Other liabilities   2,231,331       3,483,093  
    Total Liabilities   131,330,826       148,032,250  
    Stockholders’ equity   7,416,709       6,821,407  
    Total Liabilities and Stockholders’ Equity $ 138,747,535     $ 154,853,657  
    Class A Common Shares outstanding   10,005,457       10,005,457  
    Book value per share $ 0.74     $ 0.68  
     
    BIMINI CAPITAL MANAGEMENT, INC.
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (Unaudited – Amounts Subject to Change)
     
      Six Months Ended June 30,     Three Months Ended June 30,  
      2025     2024     2025     2024  
    Advisory services $ 7,393,135     $ 6,096,316     $ 3,810,846     $ 3,167,055  
    Interest and dividend income   3,733,656       3,091,156       1,786,616       1,492,191  
    Interest expense   (3,575,435 )     (3,577,794 )     (1,731,415 )     (1,762,116 )
    Net revenues   7,551,356       5,609,678       3,866,047       2,897,130  
    Other (expense) income   (1,025,540 )     646,728       (997,795 )     (280,003 )
    Expenses   5,743,131       5,811,971       2,818,974       2,782,576  
    Net income (loss) before income tax provision   782,685       444,435       49,278       (165,449 )
    Income tax provision   187,383       505,172       6,546       108,396  
    Net income (loss) $ 595,302     $ (60,737 )   $ 42,732     $ (273,845 )
                                   
    Basic and Diluted Net (Loss) Income Per Share of:                              
    CLASS A COMMON STOCK $ 0.06     $ (0.01 )   $ 0.00     $ (0.03 )
    CLASS B COMMON STOCK $ 0.06     $ (0.01 )   $ 0.00     $ (0.03 )
      Three Months Ended June 30,  
    Key Balance Sheet Metrics 2025     2024  
    Average MBS(1) $ 114,294,375     $ 87,539,021  
    Average repurchase agreements(1)   108,626,500       83,737,499  
    Average stockholders’ equity(1)   7,395,343       8,203,927  
                   
    Key Performance Metrics              
    Average yield on MBS(2)   5.54 %     5.88 %
    Average cost of funds(2)   4.39 %     5.53 %
    Average economic cost of funds(3)   3.97 %     5.32 %
    Average interest rate spread(4)   1.15 %     0.35 %
    Average economic interest rate spread(5)   1.57 %     0.56 %
    (1) Average MBS, repurchase agreements and stockholders’ equity balances are calculated using two data points, the beginning and ending balances.
    (2) Portfolio yields and costs of funds are calculated based on the average balances of the underlying investment portfolio/repurchase agreement balances and are annualized for the quarterly periods presented.
    (3) Represents interest cost of our borrowings and the effect of derivative agreements attributed to the period related to hedging activities, divided by average repurchase agreements.
    (4) Average interest rate spread is calculated by subtracting average cost of funds from average yield on MBS.
    (5) Average economic interest rate spread is calculated by subtracting average economic cost of funds from average yield on MBS.


    About Bimini Capital Management, Inc.

    Bimini Capital Management, Inc. invests primarily in, but is not limited to investing in, residential mortgage-related securities issued by the Federal National Mortgage Association (Fannie Mae), the Federal Home Loan Mortgage Corporation (Freddie Mac) and the Government National Mortgage Association (Ginnie Mae). Its objective is to earn returns on the spread between the yield on its assets and its costs, including the interest expense on the funds it borrows. In addition, Bimini generates a significant portion of its revenue serving as the manager of the MBS portfolio of, and providing certain repurchase agreement trading, clearing and administrative services to, Orchid Island Capital, Inc.

    Forward Looking Statements

    Statements herein relating to matters that are not historical facts are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. The reader is cautioned that such forward-looking statements are based on information available at the time and on management’s good faith belief with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in such forward-looking statements. Important factors that could cause such differences are described in Bimini Capital Management, Inc.’s filings with the Securities and Exchange Commission, including Bimini Capital Management, Inc.’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Bimini Capital Management, Inc. assumes no obligation to update forward-looking statements to reflect subsequent results, changes in assumptions or changes in other factors affecting forward-looking statements, except as may be required by applicable law.

    Earnings Conference Call Details

    An earnings conference call and live audio webcast will be hosted Friday, August 1, 2025, at 10:00 AM ET. Participants can register and receive dial-in information at https://register-conf.media-server.com/register/BI93827b97dab34b2f8cabd3a04f5bddd5. A live audio webcast of the conference call can be accessed at https://edge.media-server.com/mmc/p/jgk2gti4 or via the investor relations section of the Company’s website at https://ir.biminicapital.com. An audio archive of the webcast will be available on the website for 30 days after the call.

    CONTACT:
    Bimini Capital Management, Inc.
    Robert E. Cauley, 772-231-1400
    Chairman and Chief Executive Officer
    https://ir.biminicapital.com

    The MIL Network –

  • MIL-OSI: AppFolio Names Tim Eaton as Chief Financial Officer

    Source: GlobeNewswire (MIL-OSI)

    SANTA BARBARA, Calif., July 31, 2025 (GLOBE NEWSWIRE) — AppFolio (NASDAQ:APPF), the technology leader powering the future of the real estate industry, today announced that its Board of Directors has appointed Tim Eaton as the Chief Financial Officer of AppFolio, effective July 30, 2025.

    Eaton’s appointment follows a distinguished tenure at AppFolio, where he most recently served as Interim Chief Financial Officer since October 2024. Since joining AppFolio in 2020, he has also held other key positions including Chief of Staff to the CEO and various other leadership roles. Before joining AppFolio, Eaton built a strong foundation through his work in financial, strategic, and operational positions at Visa, Google, and Goldman Sachs. He earned his M.B.A. in finance and entrepreneurship from the Wharton School at the University of Pennsylvania, a B.S. in Business Management from Brigham Young University, and is a CFA charterholder.

    “Tim’s appointment reflects his impactful leadership in positioning AppFolio for long-term growth and success,” said Shane Trigg, CEO of AppFolio. “I look forward to continuing to partner with Tim as we drive AppFolio’s path forward, focused on creating even greater value for our customers, our people, and our shareholders.”

    “AppFolio’s future is bright, and I am deeply proud to be part of an organization that values continuous innovation, close customer partnerships, and building trust every day,” said Eaton. “We are building the platform where the real estate industry comes to do business, and I am honored to fully embrace the CFO role and help lead our exceptional team as we power the future of the real estate industry.”

    About AppFolio
    AppFolio is the technology leader powering the future of the real estate industry. Our innovative platform and trusted partnership enable our customers to connect communities, increase operational efficiency, and grow their business. For more information about AppFolio, visit appfolio.com.

    For more information, please contact:
    Stephanie Mitchell
    pr@appfolio.com

    Lori Barker
    ir@appfolio.com

    Forward-Looking Statements
    This press release 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, which statements are subject to considerable risks and uncertainties. Forward-looking statements include all statements that are not statements of historical fact contained in this press release, and can be identified by words such as “anticipates,” “believes,” “could,” “estimates,” “expects,” “intends,” “may,” “plans,” “potential,” “future’” “predicts, “projects,” “target,” “seeks,” “contemplates,” “should,” “will,” “would” or similar expressions and the negatives of those expressions. In particular, forward-looking statements contained in this press release relate to future operating results and financial position, including the Company’s fiscal year 2025 financial outlook, anticipated future expenses and investments, the Company’s business opportunities, the impact of the Company’s strategic actions and initiatives, the effect of the Company’s 2025 Share Repurchase Program, the potential benefits and effect of the Company’s resident experience related services, including FolioSpace, and their impact on the Company’s plans, objectives, expectations and capabilities.

    Forward-looking statements represent AppFolio’s current beliefs and expectations based on information currently available and speak only as of the date the statement is made. Forward-looking statements are subject to numerous known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. The risks, uncertainties and other factors that may cause the Company’s actual results, performance or achievements to materially differ from those expressed or implied by these forward-looking statements include those risks, uncertainties and other factors described in the section entitled “Risk Factors” in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024, which was filed with the SEC on February 6, 2025, as such risk factors may be updated from time to time in our subsequent filings with the SEC, and the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recently filed Annual Report on Form 10-K or Quarterly Report on Form 10-Q, as well as in the Company’s other filings with the SEC. You should read this press release with the understanding that the Company’s actual future results may be materially different from the results expressed or implied by these forward-looking statements.

    The Company undertakes no obligation to update any forward-looking statements made in this press release to reflect events or circumstances after the date of this press release or to reflect new information or the occurrence of unanticipated events, except as required by law.

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/898e150a-0354-4ac2-8326-f803d579ccd2

    The MIL Network –

  • MIL-OSI: AppFolio, Inc. Announces Second Quarter 2025 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    SANTA BARBARA, Calif., July 31, 2025 (GLOBE NEWSWIRE) — AppFolio, Inc. (NASDAQ: APPF) (“AppFolio” or the “Company”), a technology leader powering the future of the real estate industry, today announced its financial results for the second quarter ended June 30, 2025.

    “Our second quarter results reflect that we continue to win in the market,” said Shane Trigg, President and CEO, AppFolio. “Our customers are seeing tangible performance benefits by adopting our central, AI-native platform, with 96% of customers having used one or more of our AI-powered solutions. AppFolio is proving to be a competitive advantage for ambitious property management businesses.”

    Financial Highlights for Second Quarter of 2025

    • Revenue grew 19% year-over-year to $236 million.
    • Total units under management grew 6% year-over-year to 8.9 million.
    • GAAP operating income was $41 million, or 17.2% of revenue, compared to operating income of $36 million, or 18.3% of revenue in Q2 2024.
    • Non-GAAP operating income was $62 million, or 26.2% of revenue, compared to non-GAAP operating income of $51 million, or 26.0% of revenue, in Q2 2024.
    • Net cash provided by operating activities was $53 million, or 22.3% of revenue, compared to $51 million, or 25.8% of revenue, in Q2 2024.

    Financial Outlook
    Based on information available as of July 31, 2025, AppFolio’s outlook for fiscal year 2025 follows:

    • Full year revenue is expected to be in the range of $935 million to $945 million.
    • Full year non-GAAP operating margin as a percentage of revenue is expected to be in the range of 24.5% to 26.5%.
    • Diluted weighted average shares outstanding are expected to be approximately 37 million for the full year.

    Conference Call Information
    As previously announced, the Company will host a conference call today, July 31, 2025, at 2:00 p.m. Pacific Time (PT), 5:00 p.m. Eastern Time (ET), to discuss the Company’s second quarter financial results. A live webcast of the call will be available at: https://edge.media-server.com/mmc/p/ijgr58yt. To access the call by phone, please go to the following link: https://register-conf.media-server.com/register/BIdccd543a8ef7485c8f06cd2837c68ea9, and you will be provided with dial in details. A replay of the webcast will also be available for a limited time on AppFolio’s Investor Relations website at https://ir.appfolioinc.com/news-events/events.

    The Company also provides announcements regarding its financial results and other matters, including SEC filings, investor events, and press releases, on its Investor Relations website at https://ir.appfolioinc.com/, as a means of disclosing material nonpublic information and for complying with AppFolio’s disclosure obligations under Regulation FD.

    About AppFolio
    AppFolio is a technology leader powering the future of the real estate industry. Our innovative platform and trusted partnership enable our customers to connect communities, increase operational efficiency, and grow their business. For more information about AppFolio, visit ir.appfolioinc.com.

    Investor Relations Contact:
    Lori Barker
    ir@appfolio.com 

    Use of Non-GAAP Financial Measures
    Reconciliations of current and historical non-GAAP financial measures to AppFolio’s financial results as determined in accordance with GAAP are included at the end of this press release following the accompanying financial data. For a description of these non-GAAP financial measures, including the reasons management uses each measure, please see the section of the tables entitled “Statement Regarding the Use of Non-GAAP Financial Measures.”

    AppFolio is unable, at this time, to provide GAAP equivalent guidance measures on a forward-looking basis for non-GAAP operating margin because certain items that impact this measure are uncertain, out of our control, or cannot be reasonably predicted, such as charges related to stock-based compensation expense. The effect of these excluded items may be significant.

    Forward-Looking Statements
    This press release 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, which statements are subject to considerable risks and uncertainties. Forward-looking statements include all statements that are not statements of historical fact contained in this press release, and can be identified by words such as “anticipates,” “believes,” “could,” “estimates,” “expects,” “intends,” “may,” “plans,” “potential,” “future’” “predicts, “projects,” “target,” “seeks,” “contemplates,” “should,” “will,” “would” or similar expressions and the negatives of those expressions. In particular, forward-looking statements contained in this press release relate to future operating results and financial position, including the Company’s fiscal year 2025 financial outlook, anticipated future expenses and investments, the Company’s business opportunities, the impact of the Company’s strategic actions and initiatives, the potential benefits and effect of the Company’s AI-powered solutions, and their impact on the Company’s plans, objectives, expectations and capabilities.

    Forward-looking statements represent AppFolio’s current beliefs and expectations based on information currently available and speak only as of the date the statement is made. Forward-looking statements are subject to numerous known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. The risks, uncertainties and other factors that may cause the Company’s actual results, performance or achievements to materially differ from those expressed or implied by these forward-looking statements include those risks, uncertainties and other factors described in the section entitled “Risk Factors” in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024, which was filed with the SEC on February 6, 2025, as such risk factors may be updated from time to time in our subsequent filings with the SEC, and the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recently filed Annual Report on Form 10-K or Quarterly Report on Form 10-Q, as well as in the Company’s other filings with the SEC. You should read this press release with the understanding that the Company’s actual future results may be materially different from the results expressed or implied by these forward-looking statements.

    The Company undertakes no obligation to update any forward-looking statements made in this press release to reflect events or circumstances after the date of this press release or to reflect new information or the occurrence of unanticipated events, except as required by law.

    CONDENSED CONSOLIDATED BALANCE SHEETS
    (UNAUDITED)
    (in thousands)
     
        June 30,
    2025    		   December 31,
    2024
    Assets        
    Current assets        
    Cash and cash equivalents   $ 73,478   $ 42,504
    Investment securities—current     54,088     235,745
    Accounts receivable, net     32,543     24,346
    Prepaid expenses and other current assets     37,026     32,807
    Total current assets     197,135     335,402
    Property and equipment, net     22,641     24,483
    Operating lease right-of-use assets     16,464     17,472
    Capitalized software development costs, net     12,414     15,429
    Goodwill     96,410     96,410
    Intangible assets, net     43,942     49,057
    Deferred income taxes     90,095     76,910
    Long-term investments     77,033     2,033
    Other long-term assets     11,269     9,482
    Total assets   $ 567,403   $ 626,678
    Liabilities and Stockholders’ Equity        
    Current liabilities        
    Accounts payable   $ 3,254   $ 2,378
    Accrued employee expenses     25,784     30,157
    Accrued expenses     18,103     14,658
    Other current liabilities     20,448     16,087
    Total current liabilities     67,589     63,280
    Operating lease liabilities     35,180     37,476
    Other liabilities     8,988     6,632
    Total liabilities     111,757     107,388
    Stockholders’ equity     455,646     519,290
    Total liabilities and stockholders’ equity   $ 567,403   $ 626,678
                 
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
    (UNAUDITED)
    (in thousands, except per share amounts)
      Three Months Ended
    June 30,    		   Six Months Ended
    June 30,
        2025       2024     2025     2024
    Revenue(1) $ 235,575     $ 197,375   $ 453,277   $ 384,805
    Costs and operating expenses:              
    Cost of revenue (exclusive of depreciation and amortization)(2)   83,827       69,601     163,325     134,247
    Sales and marketing(2)   36,776       27,300     67,833     51,755
    Research and product development(2)   46,674       39,522     90,432     77,417
    General and administrative(2)   21,936       20,254     45,287     41,386
    Depreciation and amortization   5,850       4,670     12,105     9,882
    Total costs and operating expenses   195,063       161,347     378,982     314,687
    Income from operations   40,512       36,028     74,295     70,118
    Other (loss)/income, net   (11 )     —     45     —
    Interest income, net   1,466       3,476     4,419     6,468
    Income before provision for income taxes   41,967       39,504     78,759     76,586
    Provision for income taxes   5,987       9,839     11,396     8,258
    Net income $ 35,980     $ 29,665   $ 67,363   $ 68,328
    Net income per common share:              
    Basic $ 1.00     $ 0.82   $ 1.87   $ 1.89
    Diluted $ 0.99     $ 0.81   $ 1.85   $ 1.86
    Weighted average common shares outstanding              
    Basic   35,922       36,241     36,111     36,164
    Diluted   36,204       36,742     36,425     36,720
                             

    (1) The following table presents our revenue categories:

      Three Months Ended
    June 30,    		   Six Months Ended
    June 30,
        2025     2024     2025     2024
    Core solutions $ 52,473   $ 44,024   $ 101,986   $ 86,944
    Value Added Services   180,145     151,620     344,851     293,951
    Other   2,957     1,731     6,440     3,910
    Total revenue $ 235,575   $ 197,375   $ 453,277   $ 384,805
                           

    (2) Includes stock-based compensation expense as follows:

      Three Months Ended
    June 30,    		   Six Months Ended
    June 30,
        2025     2024     2025     2024
    Costs and operating expenses:              
    Cost of revenue (exclusive of depreciation and amortization) $ 1,419   $ 1,175   $ 2,706   $ 2,135
    Sales and marketing   3,045     1,703     5,893     3,213
    Research and product development   8,176     6,472     15,107     12,154
    General and administrative   5,659     5,444     10,964     10,766
    Total stock-based compensation expense $ 18,299   $ 14,794   $ 34,670   $ 28,268
                           
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    (UNAUDITED)
    (in thousands)
     
      Three Months Ended
    June 30,    		   Six Months Ended
    June 30,
        2025       2024       2025       2024  
    Cash from operating activities              
    Net income $ 35,980     $ 29,665     $ 67,363     $ 68,328  
    Adjustments to reconcile net income to net cash provided by operating activities:              
    Depreciation and amortization   5,850       4,670       12,105       9,881  
    Amortization of operating lease right-of-use assets   507       530       1,008       1,053  
    Amortization of costs capitalized to obtain revenue contracts, net   2,699       2,485       5,419       4,985  
    Deferred income taxes   (7,644 )     —       (13,185 )     —  
    Stock-based compensation, including as amortized   18,299       14,795       34,670       28,269  
    Other   (131 )     (2,181 )     (1,048 )     (4,005 )
    Changes in operating assets and liabilities:              
    Accounts receivable   (5,081 )     488       (8,197 )     (4,982 )
    Prepaid expenses and other assets   (5,966 )     (6,177 )     (11,426 )     172  
    Accounts payable   (1,694 )     (296 )     852       437  
    Operating lease liabilities   (1,051 )     (943 )     (2,102 )     (1,418 )
    Accrued expenses and other liabilities   10,875       7,833       5,649       (8,897 )
    Net cash provided by operating activities   52,643       50,869       91,108       93,823  
    Cash from investing activities              
    Purchases of available-for-sale investments   (1,732 )     (94,377 )     (64,034 )     (151,539 )
    Proceeds from sales of available-for-sale investments   99,944       —       202,662       —  
    Proceeds from maturities of available-for-sale investments   1,670       57,785       43,820       94,455  
    Purchases of property and equipment   (275 )     (38 )     (505 )     (1,458 )
    Capitalization of software development costs   (842 )     (1,404 )     (1,478 )     (2,529 )
    Purchases of long-term investments   (75,000 )     —       (75,000 )     —  
    Cash paid in business acquisition, net of cash acquired   —       —       (906 )     —  
    Net cash used in investing activities   23,765       (38,034 )     104,559       (61,071 )
    Cash from financing activities              
    Proceeds from stock option exercises   117       24       128       3,898  
    Tax withholding for net share settlement   (10,020 )     (12,434 )     (19,098 )     (26,520 )
    Purchase of common stock   (49,960 )     —       (145,723 )     —  
    Net cash used in financing activities   (59,863 )     (12,410 )     (164,693 )     (22,622 )
    Net decrease in cash, cash equivalents and restricted cash   16,545       425       30,974       10,130  
    Cash, cash equivalents and restricted cash              
    Beginning of period   57,183       59,464       42,754       49,759  
    End of period $ 73,728     $ 59,889     $ 73,728     $ 59,889  
        RECONCILIATION FROM GAAP TO NON-GAAP RESULTS
    (UNAUDITED)
    (in thousands, except per share data)
         
          Three Months Ended
    June 30,    		   Six Months Ended
    June 30,
            2025       2024       2025       2024  
    Costs and operating expenses:
    		                  
      GAAP cost of revenue (exclusive of depreciation and amortization) $ 83,827     $ 69,601     $ 163,325     $ 134,247  
        Stock-based compensation expense   (1,419 )     (1,175 )     (2,706 )     (2,135 )
      Non-GAAP cost of revenue (exclusive of depreciation and amortization) $ 82,408     $ 68,426     $ 160,619     $ 132,112  
      GAAP cost of revenue (exclusive of depreciation and amortization) as a percentage of revenue   36 %     35 %     36 %     35 %
      Non-GAAP cost of revenue (exclusive of depreciation and amortization) as a percentage of revenue   35 %     35 %     35 %     34 %
                       
      GAAP sales and marketing $ 36,776     $ 27,300     $ 67,833     $ 51,755  
        Stock-based compensation expense   (3,045 )     (1,703 )     (5,893 )     (3,213 )
      Non-GAAP sales and marketing $ 33,731     $ 25,597     $ 61,940     $ 48,542  
      GAAP sales and marketing as a percentage of revenue   16 %     14 %     15 %     13 %
      Non-GAAP sales and marketing as a percentage of revenue   14 %     13 %     14 %     13 %
                       
      GAAP research and product development $ 46,674     $ 39,522     $ 90,432     $ 77,417  
        Stock-based compensation expense   (8,176 )     (6,472 )     (15,107 )     (12,154 )
      Non-GAAP research and product development $ 38,498     $ 33,050     $ 75,325     $ 65,263  
      GAAP research and product development as a percentage of revenue   20 %     20 %     20 %     20 %
      Non-GAAP research and product development as a percentage of revenue   16 %     17 %     17 %     17 %
                       
      GAAP general and administrative $ 21,936     $ 20,254     $ 45,287     $ 41,386  
        Stock-based compensation expense   (5,659 )     (5,444 )     (10,964 )     (10,766 )
      Non-GAAP general and administrative $ 16,277     $ 14,810     $ 34,323     $ 30,620  
      GAAP general and administrative as a percentage of revenue   9 %     10 %     10 %     11 %
      Non-GAAP general and administrative as a percentage of revenue   7 %     8 %     8 %     8 %
                       
      GAAP depreciation and amortization $ 5,850     $ 4,670     $ 12,105     $ 9,882  
        Amortization of stock-based compensation capitalized in software development costs   (241 )     (471 )     (482 )     (989 )
        Amortization of purchased intangibles   (2,558 )     (118 )     (5,115 )     (237 )
      Non-GAAP depreciation and amortization $ 3,051     $ 4,081     $ 6,508     $ 8,656  
      GAAP depreciation and amortization as a percentage of revenue   2 %     2 %     3 %     3 %
      Non-GAAP depreciation and amortization as a percentage of revenue   1 %     2 %     1 %     2 %
          Three Months Ended
    June 30,    		   Six Months Ended
    June 30,
            2025       2024       2025       2024  
    Income from operations:              
      GAAP income from operations $ 40,512     $ 36,028     $ 74,295     $ 70,118  
        Stock-based compensation expense   18,299       14,794       34,670       28,268  
        Amortization of stock-based compensation capitalized in software development costs   241       471       482       989  
        Amortization of purchased intangibles   2,558       118       5,115       237  
      Non-GAAP income from operations $ 61,610     $ 51,411     $ 114,562     $ 99,612  
                       
    Operating margin:              
      GAAP operating margin   17.2 %     18.3 %     16.4 %     18.2 %
        Stock-based compensation expense as a percentage of revenue   7.8       7.4       7.7       7.3  
        Amortization of stock-based compensation capitalized in software development costs as a percentage of revenue   0.1       0.2       0.1       0.3  
        Amortization of purchased intangibles as a percentage of revenue   1.1       0.1       1.1       0.1  
      Non-GAAP operating margin   26.2 %     26.0 %     25.3 %     25.9 %
                       
    Net income (loss):              
      GAAP net income $ 35,980     $ 29,665     $ 67,363     $ 68,328  
        Stock-based compensation expense   18,299       14,794       34,670       28,268  
        Amortization of stock-based compensation capitalized in software development costs   241       471       482       989  
        Amortization of purchased intangibles   2,558       118       5,115       237  
        Income tax effect of adjustments   (7,257 )     (3,883 )     (13,599 )     (18,262 )
      Non-GAAP net income $ 49,821     $ 41,165     $ 94,031     $ 79,560  
                       
    Net income per share, basic:              
      GAAP net income per share, basic $ 1.00     $ 0.82     $ 1.87     $ 1.89  
        Non-GAAP adjustments to net income   0.39       0.32       0.73       0.31  
      Non-GAAP net income per share, basic $ 1.39     $ 1.14     $ 2.60     $ 2.20  
                       
    Net income per share, diluted:              
      GAAP net income per share, diluted $ 0.99     $ 0.81     $ 1.85     $ 1.86  
        Non-GAAP adjustments to net income   0.39       0.31       0.73       0.31  
      Non-GAAP net income per share, diluted $ 1.38     $ 1.12     $ 2.58     $ 2.17  
                       
      Weighted-average shares used in GAAP and non-GAAP per share calculation              
        Basic   35,922       36,241       36,111       36,164  
        Diluted   36,204       36,742       36,425       36,720  

    Statement Regarding the Use of Non-GAAP Financial Measures

    We use the following non-GAAP financial measures in addition to, and not as a substitute for, or superior to, financial measures calculated in accordance with GAAP.

    • Non-GAAP presentation of income from operations, costs and operating expenses, operating margin, net income, and net income per share. These measures exclude certain non-cash or non-recurring items, including stock-based compensation expense, amortization of stock-based compensation capitalized in software development costs, amortization of purchased intangibles, and the related income tax effect of these adjustments, as applicable and described below. Non-GAAP operating margin is calculated as non-GAAP operating income from operations as a percentage of revenue.

    We use each of these non-GAAP financial measures internally to assess and compare operating results across reporting periods, for internal budgeting and forecasting purposes, and to evaluate our financial performance. We believe these non-GAAP financial measures also provide useful supplemental information to investors and facilitate the analysis of our operating results and comparison of operating results across reporting periods.

    In particular, we believe these non-GAAP financial measures are useful to investors and others in assessing our operating performance due to the following factors:

    • Stock-based compensation expense and amortization of stock-based compensation capitalized in software development costs. We utilize stock-based compensation to attract and retain employees. It is principally aimed at aligning their interests with those of our stockholders while ensuring long-term retention, rather than to address operational performance for any particular period. As a result, stock-based compensation expenses vary for reasons that are generally unrelated to financial and operational performance in any particular period.
    • Amortization of purchased intangibles. We view amortization of purchased intangible assets as items arising from pre-acquisition activities determined at the time of an acquisition. While these intangible assets are evaluated for impairment regularly, amortization of the cost of purchased intangibles is an expense that is not typically affected by operations during any particular period.
    • Income tax effects of adjustments. We utilize a fixed long-term projected tax rate in our computation of non-GAAP income tax effects to provide better consistency across interim reporting periods. In projecting this long-term non-GAAP tax rate, we utilize a financial projection that excludes the direct impact of other non-GAAP adjustments. The projected rate, which we have determined to be 21% and 25% for 2025 and 2024, respectively, considers other factors such as our current operating structure, existing tax positions in various jurisdictions, and key legislation in major jurisdictions where we operate. We periodically re-evaluate this tax rate, as necessary, for significant events, based on relevant tax law changes, and material changes in the forecasted geographic earnings mix.

    Our non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies in our industry, as other companies may calculate non-GAAP financial results differently. In addition, there are limitations in using non-GAAP financial measures because non-GAAP financial measures are not prepared in accordance with GAAP and can exclude expenses that may have a material impact on our reported financial results. As such, non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. A reconciliation of the historical non-GAAP financial measures to their most directly comparable GAAP measures has been provided in the tables above. We encourage investors to review the reconciliation of these historical non-GAAP financial measures to their most directly comparable GAAP financial measures.

    The MIL Network –

  • MIL-OSI: NCS Multistage Holdings, Inc. Announces Second Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    Second Quarter Results

    • Total revenues of $36.5 million, a 23% year-over-year improvement
    • Net income of $0.9 million and diluted earnings per share of $0.34, which includes a positive impact of $1.4 million related to the release of our deferred tax valuation allowance in Canada
    • Adjusted EBITDA of $2.2 million, a $1.3 million year-over-year improvement   
    • $25.4 million in cash and $7.7 million of total debt as of June 30, 2025

    HOUSTON, July 31, 2025 (GLOBE NEWSWIRE) — NCS Multistage Holdings, Inc. (Nasdaq: NCSM) (the “Company,” “NCS,” “we” or “us”), a leading provider of highly engineered products and support services that facilitate the optimization of oil and natural gas well construction, well completions and field development strategies, today announced its results for the quarter ended June 30, 2025.

    Review and Outlook

    NCS’s Chief Executive Officer, Ryan Hummer commented, “Our team at NCS has continued to enable strong operational and financial performance in an industry and market environment marked by uncertainty. Our revenue and Adjusted EBITDA for the second quarter exceeded the high end of the expectations we provided in our last earnings call and our year-over-year revenue improvement for the quarter of 23% outperformed industry activity levels, demonstrating the value we bring to our customers.

    Furthermore, our revenue and Adjusted EBITDA for the first six months of 2025 have improved by $12.9 million, or 18%, and $3.4 million, or 49%, respectively, as compared to 2024, as we continue to benefit from our core strategies of building upon our leading market positions, capitalizing on international and offshore opportunities and commercializing innovative solutions to complex customer challenges.

    We have maintained our strong balance sheet, ending the second quarter with over $25 million in cash and over $17 million in availability under our undrawn credit facility and only $8 million in debt, comprised entirely of capital leases.

    We’re also excited to announce today’s acquisition of Reservoir Metrics, LLC, and its related entities (“ResMetrics”). ResMetrics, a leader in reservoir analysis utilizing chemical tracer technology, is a profitable and rapidly growing business serving a high-quality customer base in the U.S. and internationally. For the trailing twelve months ended June 30, 2025, ResMetrics’ unaudited revenue was over $10 million with an EBITDA margin of over 30%. We believe that ResMetrics’ business is highly complementary with NCS’s tracer diagnostics service line, and we look forward to working with the ResMetrics team to deliver valuable and actionable reservoir insights to our customers. This all-cash transaction represents a strategic fit for NCS operationally, a strategic use of our balance sheet, and adds to our talented team.

    This has been a strong start to 2025 for NCS and we remain cautiously optimistic about the second half of the year. That optimism is tempered by market conditions that have continued to deteriorate, with continued U.S. rig count declines, a slower than normal rig count recovery in Canada following spring break-up, the potential for an oversupplied oil market in late 2025 as announced OPEC+ oil supply increases materialize, and ongoing uncertainties related to tariffs and trade.

    I want to extend my continued appreciation to the outstanding teams at NCS and Repeat Precision and welcome the ResMetrics team to NCS. Our results, and the opportunities ahead, reflect the vision, ability and commitment of our people and our aligned pursuit of NCS’s strategic priorities. We have the right people, the right technology, and the right strategies in place to deliver tangible benefits to our customers, develop industry solutions, and create shareholder value.”

    Financial Review

    Total revenues were $36.5 million for the quarter ended June 30, 2025 compared to $29.7 million for the second quarter of 2024. Revenue growth was driven primarily by increased fracturing systems activity and frac plug sales in Canada and the United States. The increase for Canada occurred despite a decline in Canadian rig counts during 2025, reflecting more activity with customers that remained active during spring break-up. Our international revenues decreased primarily due to reduced tracer diagnostics activity in the Middle East, partially offset by higher sales of well construction products in the Middle East and fracturing systems equipment in the North Sea.

    Compared to the first quarter of 2025, total revenues decreased by 27%, primarily due to a decrease in Canada of 52%, attributable to the normal seasonal decline associated with spring break-up, partially offset by an increase of 67% in international revenues and a 45% increase in U.S. revenues.

    Gross profit was $12.3 million, or a gross margin of 34%, for the second quarter of 2025, compared to $11.3 million, or a gross margin of 38%, for the second quarter of 2024. Gross margin for 2025 declined, reflecting the mix of products sold and services provided during the respective periods. Adjusted gross profit, which we define as total revenues less total cost of sales, exclusive of depreciation and amortization (“DD&A”), was $13.0 million, or an adjusted gross margin of 36%, for the second quarter of 2025, compared to $12.0 million, or 40%, for the second quarter of 2024.

    Selling, general and administrative (“SG&A”) expenses totaled $13.6 million for the second quarter of 2025, a decrease of $1.2 million compared to the same period in 2024, with a decrease in professional fees, lower payroll and employee benefit expenses, and a decrease in research and development expense, partially offset by higher share-based compensation expense attributable to cash settled awards remeasured at the balance sheet date based on the price of our common stock.

    Other income was $1.6 million for the second quarter of 2025 compared to $2.2 million for the second quarter of 2024. The decline in other income reflects a reduction in the amount attributable to the technical services and assistance agreement with our local partner in Oman, as the program ended in November 2024, with no contribution associated with this agreement in the second quarter of 2025. In addition, there was a year-over-year decrease in royalty income earned from licensees for these periods, as the second quarter of 2024 included an initial payment from a new licensee reflecting both current and certain historical volumes.

    Income tax benefit was $1.0 million for the second quarter of 2025 compared to an expense of $0.3 million for the second quarter of 2024. As of June 30, 2025, we reversed a portion of the valuation allowance previously recorded against the deferred tax assets of our Canadian operating subsidiary due to sustained improvements in operating results, including a return to profitability and forecasts of future taxable income that are sufficient to realize the remaining deferred tax assets. The reversal of the valuation allowance resulted in a deferred income tax benefit of $1.4 million during the period ended June 30, 2025. 

    Net income was $0.9 million, or $0.34 per diluted share, for the quarter ended June 30, 2025 compared to a net loss of $(3.1) million, or $(1.21) per share for the quarter ended June 30, 2024. 

    Adjusted EBITDA was $2.2 million for the quarter ended June 30, 2025, an increase of $1.3 million compared to the same period a year ago. This improvement is primarily the result of an increase in revenues and lower SG&A expenses. Adjusted EBITDA margin of 6% for the quarter ended June 30, 2025, compared to 3% for the same period a year ago. 

    Cash flow from operating activities for the six months ended June 30, 2025 was a source of cash of $1.9 million, a $2.2 million decrease compared to the same period in 2024. For the six months ended June 30, 2025, free cash flow less distributions to non-controlling interest was a source of cash of $0.5 million compared to $3.2 million for the same period in 2024. The overall change in free cash flow was largely attributed to our change in net working capital including payment of incentive bonuses and cash-settled awards in the first quarter of 2025 and an increase in the amount distributed to our non-controlling interest in 2025, partially offset by an increase in net income in 2025.

    Liquidity and Capital Expenditures

    As of June 30, 2025, NCS had $25.4 million in cash, $7.7 million in total indebtedness related to finance lease obligations, and a borrowing base under the undrawn asset-based revolving credit facility (“ABL Facility”) of $17.2 million. Our working capital, defined as current assets minus current liabilities, was $87.2 million and $80.2 million as of June 30, 2025 and December 31, 2024, respectively.

    Net working capital, calculated as working capital, less cash and excluding the current maturities of long-term debt, was $64.0 million and $56.4 million as of June 30, 2025 and December 31, 2024, respectively. The increase in net working capital was primarily attributable to an increase in accounts receivable and inventory and a decrease in accrued expenses and other current liabilities due in part to payment of our 2024 incentive bonus and cash-settled awards in the first quarter of 2025, partially offset by an increase in accounts payable. 

    NCS incurred capital expenditures, net of proceeds from the sale of property and equipment, of $0.5 million and $0.4 million for the six months ended June 30, 2025 and 2024, respectively.

    EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted EBITDA Less Share-Based Compensation, Adjusted Gross Profit, Adjusted Gross Margin, Free Cash Flow, Free Cash Flow Less Distributions to Non-Controlling Interest and Net Working Capital are non-GAAP financial measures. For an explanation of these measures and a reconciliation, refer to “Non-GAAP Financial Measures” below.

    Strategic Acquisition of Reservoir Metrics, LLC

    On July 31, 2025, we acquired 100% of the equity interests of ResMetrics, a provider of tracer diagnostics services, for $5.9 million, on a cash-free, debt-free basis, in cash and assumed debt, subject to a working capital adjustment, with an additional earn-out of up to $1.3 million to be paid in early 2026, depending solely on changes in international trade tariff rates for certain chemical imports during 2025. We believe the purchase of ResMetrics will further expand and complement our existing tracer diagnostics offerings.

    Conference Call

    The Company will host a conference call to discuss its second quarter 2025 results and latest earnings guidance on Friday, August 1, 2025 at 7:30 a.m. Central Time (8:30 a.m. Eastern Time). The conference call will be available via a live audio webcast. Participants who wish to ask questions may register for the call here to receive the dial-in numbers and unique PIN. If you wish to join the conference call but do not plan to ask questions, you may join the listen-only webcast here. The live webcast can also be accessed by visiting the Investors section of the Company’s website at ir.ncsmultistage.com. It is recommended that participants join at least 10 minutes prior to the event start.

    The replay will be available in the Investors section of the Company’s website shortly after the conclusion of the call and will remain available for approximately seven days.

    About NCS Multistage Holdings, Inc.

    NCS Multistage Holdings, Inc. is a leading provider of highly engineered products and support services that facilitate the optimization of oil and natural gas well construction, well completions and field development strategies. NCS provides products and services primarily to exploration and production companies for use in onshore and offshore wells, predominantly wells that have been drilled with horizontal laterals in both unconventional and conventional oil and natural gas formations. NCS’s products and services are utilized in oil and natural gas basins throughout North America and in selected international markets, including the North Sea, the Middle East, Argentina and China. NCS’s common stock is traded on the Nasdaq Capital Market under the symbol “NCSM.” Additional information is available on the website, www.ncsmultistage.com.

    Forward Looking Statements

    This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects” and similar references to future periods, or by the inclusion of forecasts or projections. Examples of forward-looking statements include, but are not limited to, statements we make regarding the outlook for our future business and financial performance. Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other future conditions. Because forward-looking statements relate to the future, by their nature, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result, our actual results may differ materially from those contemplated by the forward-looking statements. Important factors that could cause our actual results to differ materially from those in the forward-looking statements include regional, national or global political, economic, business, competitive, market and regulatory conditions and the following: declines in the level of oil and natural gas exploration and production activity in Canada, the United States and internationally; oil and natural gas price fluctuations; significant competition for our products and services that results in pricing pressures, reduced sales, or reduced market share; inability to successfully implement our strategy of increasing sales of products and services into the U.S. and international markets; loss of significant customers; losses and liabilities from uninsured or underinsured business activities and litigation; change in trade policy, including the impact of tariffs; our failure to identify and consummate potential acquisitions; the financial health of our customers including their ability to pay for products or services provided; our inability to integrate or realize the expected benefits from acquisitions; our inability to achieve suitable price increases to offset the impacts of cost inflation; loss of any of our key suppliers or significant disruptions negatively impacting our supply chain; risks in attracting and retaining qualified employees and key personnel; risks resulting from the operations of our joint venture arrangement; currency exchange rate fluctuations; impact of severe weather conditions; our inability to accurately predict customer demand, which may result in us holding excess or obsolete inventory; failure to comply with or changes to federal, state and local and non-U.S. laws and other regulations, including tax policies, anti-corruption and environmental regulations, guidelines and regulations for the use of explosives; impairment in the carrying value of long-lived assets including goodwill; system interruptions or failures, including complications with our enterprise resource planning system, cybersecurity breaches, identity theft or other disruptions that could compromise our information; our inability to successfully develop and implement new technologies, products and services that align with the needs of our customers, including addressing the shift to more non-traditional energy markets as part of the energy transition and the adoption of artificial intelligence and machine learning; our inability to protect and maintain critical intellectual property assets, the inability to protect our current royalty income, or the losses and liabilities from adverse decisions in intellectual property disputes; loss of, or interruption to, our information and computer systems; our failure to establish and maintain effective internal control over financial reporting; restrictions on the availability of our customers to obtain water essential to the drilling and hydraulic fracturing processes; changes in legislation or regulation governing the oil and natural gas industry, including restrictions on emissions of greenhouse gases; our inability to meet regulatory requirements for use of certain chemicals by our tracer diagnostics business; the reduction in our ABL Facility borrowing base or our inability to comply with the covenants in our debt agreements; and our inability to obtain sufficient liquidity on reasonable terms, or at all and other factors discussed or referenced in our filings made from time to time with the Securities and Exchange Commission. Any forward-looking statement made by us in this press release speaks only as of the date on which we make it. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

    Contact

    Mike Morrison
    Chief Financial Officer and Treasurer
    (281) 453-2222
    IR@ncsmultistage.com 

    NCS MULTISTAGE HOLDINGS, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
    (In thousands, except per share data)
    (Unaudited)
     
        Three Months Ended     Six Months Ended  
        June 30,     June 30,  
        2025     2024     2025     2024  
    Revenues                                
    Product sales   $ 27,776     $ 19,022     $ 62,842     $ 50,780  
    Services     8,678       10,668       23,617       22,768  
    Total revenues     36,454       29,690       86,459       73,548  
    Cost of sales                                
    Cost of product sales, exclusive of depreciation and amortization expense shown below     18,214       12,209       38,566       31,901  
    Cost of services, exclusive of depreciation and amortization expense shown below     5,242       5,510       13,040       12,105  
    Total cost of sales, exclusive of depreciation and amortization expense shown below     23,456       17,719       51,606       44,006  
    Selling, general and administrative expenses     13,626       14,820       29,821       28,650  
    Depreciation     1,235       1,134       2,439       2,207  
    Amortization     167       167       334       334  
    (Loss) income from operations     (2,030 )     (4,150 )     2,259       (1,649 )
    Other income (expense)                                
    Interest expense, net     (68 )     (115 )     (110 )     (215 )
    Other income, net     1,563       2,203       2,446       3,340  
    Foreign currency exchange gain (loss), net     1,201       (507 )     1,198       (1,005 )
    Total other income     2,696       1,581       3,534       2,120  
    Income (loss) before income tax     666       (2,569 )     5,793       471  
    Income tax (benefit) expense     (1,032 )     270       (359 )     757  
    Net income (loss)     1,698       (2,839 )     6,152       (286 )
    Net income attributable to non-controlling interest     774       256       1,172       739  
    Net income (loss) attributable to NCS Multistage Holdings, Inc.   $ 924     $ (3,095 )   $ 4,980     $ (1,025 )
    Earnings (loss) per common share                                
    Basic earnings (loss) per common share attributable to NCS Multistage Holdings, Inc.   $ 0.36     $ (1.21 )   $ 1.93     $ (0.41 )
    Diluted earnings (loss) per common share attributable to NCS Multistage Holdings, Inc.   $ 0.34     $ (1.21 )   $ 1.84     $ (0.41 )
    Weighted average common shares outstanding                                
    Basic     2,594       2,548       2,581       2,528  
    Diluted     2,734       2,548       2,704       2,528  
     
    NCS MULTISTAGE HOLDINGS, INC.
    CONDENSED CONSOLIDATED BALANCE SHEETS
    (In thousands, except share data)
    (Unaudited)
     
        June 30,     December 31,  
        2025     2024  
    Assets                
    Current assets                
    Cash and cash equivalents   $ 25,372     $ 25,880  
    Accounts receivable—trade, net     34,216       31,513  
    Inventories, net     43,510       40,971  
    Prepaid expenses and other current assets     2,707       2,063  
    Other current receivables     5,165       5,143  
    Total current assets     110,970       105,570  
    Noncurrent assets                
    Property and equipment, net     20,470       21,283  
    Goodwill     15,222       15,222  
    Identifiable intangibles, net     3,356       3,690  
    Operating lease assets     5,468       5,911  
    Deposits and other assets     622       712  
    Deferred income taxes, net     1,869       424  
    Total noncurrent assets     47,007       47,242  
    Total assets   $ 157,977     $ 152,812  
    Liabilities and Stockholders’ Equity                
    Current liabilities                
    Accounts payable—trade   $ 9,997     $ 8,970  
    Accrued expenses     6,803       8,351  
    Income taxes payable     790       683  
    Operating lease liabilities     1,685       1,602  
    Current maturities of long-term debt     2,200       2,141  
    Other current liabilities     2,331       3,672  
    Total current liabilities     23,806       25,419  
    Noncurrent liabilities                
    Long-term debt, less current maturities     5,462       6,001  
    Operating lease liabilities, long-term     4,338       4,891  
    Other long-term liabilities     206       206  
    Deferred income taxes, net     186       186  
    Total noncurrent liabilities     10,192       11,284  
    Total liabilities     33,998       36,703  
    Commitments and contingencies                
    Stockholders’ equity                
    Preferred stock, $0.01 par value, 10,000,000 shares authorized, no shares issued and outstanding at June 30, 2025 and December 31, 2024     —       —  
    Common stock, $0.01 par value, 11,250,000 shares authorized, 2,607,362 shares issued and 2,540,849 shares outstanding at June 30, 2025 and 2,563,979 shares issued and 2,507,430 shares outstanding at December 31, 2024     26       26  
    Additional paid-in capital     448,582       447,384  
    Accumulated other comprehensive loss     (85,916 )     (87,604 )
    Retained deficit     (254,044 )     (259,024 )
    Treasury stock, at cost, 66,513 shares at June 30, 2025 and 56,549 shares at December 31, 2024     (2,211 )     (1,943 )
    Total stockholders’ equity     106,437       98,839  
    Non-controlling interest     17,542       17,270  
    Total equity     123,979       116,109  
    Total liabilities and stockholders’ equity   $ 157,977     $ 152,812  
     
    NCS MULTISTAGE HOLDINGS, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    (In thousands)
    (Unaudited)
      Six Months Ended  
      June 30,  
      2025   2024  
    Cash flows from operating activities            
    Net income (loss) $ 6,152   $ (286 )
    Adjustments to reconcile net income (loss) to net cash provided by operating activities:            
    Depreciation and amortization   2,773     2,541  
    Amortization of deferred loan costs   104     103  
    Share-based compensation   2,837     2,062  
    Provision for inventory obsolescence   191     679  
    Deferred income tax (benefit) expense   (1,398 )   21  
    Gain on sale of property and equipment   (475 )   (340 )
    Provision for (recovery of) credit losses   19     (5 )
    Net foreign currency unrealized (gain) loss   (1,854 )   956  
    Proceeds from note receivable   —     61  
    Changes in operating assets and liabilities:            
    Accounts receivable—trade   (1,827 )   (1,024 )
    Inventories, net   (1,476 )   (1,501 )
    Prepaid expenses and other assets   972     (619 )
    Accounts payable—trade   1,719     1,353  
    Accrued expenses   (1,680 )   1,761  
    Other liabilities   (4,101 )   (2,092 )
    Income taxes receivable/payable   (80 )   429  
    Net cash provided by operating activities   1,876     4,099  
    Cash flows from investing activities            
    Purchases of property and equipment   (745 )   (633 )
    Purchase and development of software and technology   —     (53 )
    Proceeds from sales of property and equipment   271     293  
    Net cash used in investing activities   (474 )   (393 )
    Cash flows from financing activities            
    Payments on finance leases   (1,072 )   (932 )
    Line of credit borrowings   2,338     2,974  
    Payments of line of credit borrowings   (2,338 )   (2,974 )
    Treasury shares withheld   (268 )   (237 )
    Distribution to noncontrolling interest   (900 )   (500 )
    Net cash used in financing activities   (2,240 )   (1,669 )
    Effect of exchange rate changes on cash and cash equivalents   330     (143 )
    Net change in cash and cash equivalents   (508 )   1,894  
    Cash and cash equivalents beginning of period   25,880     16,720  
    Cash and cash equivalents end of period $ 25,372   $ 18,614  
    Noncash investing and financing activities            
    Assets obtained in exchange for new finance lease liabilities $ 723   $ 1,821  
    Assets obtained in exchange for new operating lease liabilities $ 247   $ —  
                 
    NCS MULTISTAGE HOLDINGS, INC.
    REVENUES BY GEOGRAPHIC AREA
    (In thousands)
    (Unaudited)
     
        Three Months Ended     Six Months Ended  
        June 30,     June 30,  
        2025     2024     2025     2024  
    United States                                
    Product sales   $ 11,930     $ 8,550     $ 18,797     $ 16,317  
    Services     1,682       3,241       4,187       5,485  
    Total United States     13,612       11,791       22,984       21,802  
    Canada                                
    Product sales     13,021       8,263       39,864       30,938  
    Services     4,948       3,795       15,823       12,789  
    Total Canada     17,969       12,058       55,687       43,727  
    Other Countries                                
    Product sales     2,825       2,209       4,181       3,525  
    Services     2,048       3,632       3,607       4,494  
    Total other countries     4,873       5,841       7,788       8,019  
    Total                                
    Product sales     27,776       19,022       62,842       50,780  
    Services     8,678       10,668       23,617       22,768  
    Total revenues   $ 36,454     $ 29,690     $ 86,459     $ 73,548  
     

    NCS MULTISTAGE HOLDINGS, INC.
    RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL INFORMATION
    (In thousands, except per share data)
    (Unaudited)

    Non-GAAP Financial Measures 

    EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted EBITDA Less Share-Based Compensation, Adjusted Gross Profit, Adjusted Gross Margin, Free Cash Flow, Free Cash Flow Less Distributions to Non-Controlling Interest and Net Working Capital (our “non-GAAP financial measures”) are not defined under generally accepted accounting principles (“GAAP”), are not measures of net income (loss), income (loss) from operations, gross profit and gross margin (inclusive of DD&A), cash provided by (used in) operating activities, working capital or any other performance measure derived in accordance with GAAP, and are subject to important limitations. Our non-GAAP financial measures may not be comparable to similarly titled measures of other companies in our industry and are not measures of performance calculated in accordance with GAAP. Our non-GAAP financial measures have important limitations as analytical tools and you should not consider them in isolation or as substitutes for analysis of our financial performance as reported under GAAP, and they should not be considered as alternatives to net income (loss), income (loss) from operations, gross profit, gross margin, cash provided by (used in) operating activities, working capital or any other performance measures derived in accordance with GAAP as measures of operating performance or as alternatives to cash flow from operating activities as measures of our liquidity.

    However, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted EBITDA Less Share-Based Compensation, Adjusted Gross Profit, Adjusted Gross Margin, Free Cash Flow, Free Cash Flow Less Distributions to Non-Controlling Interest and Net Working Capital are key metrics that management uses to assess the period-to-period performance of our core business operations or metrics that enable investors to assess our performance from period to period relative to the performance of other companies that are not subject to such factors, or who may provide similar non-GAAP measures in their public disclosures.

    The tables below set forth reconciliations of our non-GAAP financial measures to the most directly comparable measures of financial performance calculated under GAAP:

    NET WORKING CAPITAL

    Net working capital is defined as total current assets, excluding cash and cash equivalents, minus total current liabilities, excluding current maturities of long-term debt. Net working capital excludes cash and cash equivalents and current maturities of long-term debt in order to evaluate the investments in working capital that we believe are required to support our business. We believe that net working capital is useful in analyzing the cash flow and working capital needs of the Company, including determining the efficiencies of our operations and our ability to readily convert assets into cash.

        June 30,     December 31,  
        2025     2024  
    Working capital   $ 87,164     $ 80,151  
    Cash and cash equivalents     (25,372 )     (25,880 )
    Current maturities of long term debt     2,200       2,141  
    Net working capital   $ 63,992     $ 56,412  
     


    NCS MULTISTAGE HOLDINGS, INC.
    RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL INFORMATION
    (In thousands, except per share data)
    (Unaudited)

    ADJUSTED GROSS PROFIT AND ADJUSTED GROSS MARGIN

    Adjusted gross profit is defined as total revenues minus cost of sales, exclusive of depreciation and amortization expense, which we present as a separate line item in our statement of operations. Adjusted gross margin represents adjusted gross profit as a percentage of total revenues.

        Three Months Ended     Six Months Ended  
        June 30,     June 30,  
        2025     2024     2025     2024  
    Total revenues   $ 36,454     $ 29,690     $ 86,459     $ 73,548  
    Total cost of sales, exclusive of depreciation and amortization expense     23,456       17,719       51,606       44,006  
    Total depreciation and amortization associated with cost of sales     729       653       1,444       1,269  
    Gross Profit   $ 12,269     $ 11,318     $ 33,409     $ 28,273  
    Gross Margin     34 %     38 %     39 %     38 %
    Exclude total depreciation and amortization associated with cost of sales     (729 )     (653 )     (1,444 )     (1,269 )
    Adjusted Gross Profit   $ 12,998     $ 11,971     $ 34,853     $ 29,542  
    Adjusted Gross Margin     36 %     40 %     40 %     40 %
     


    NCS MULTISTAGE HOLDINGS, INC.
    RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL INFORMATION
    (In thousands)
    (Unaudited)

    EBITDA, ADJUSTED EBITDA, ADJUSTED EBITDA MARGIN, AND ADJUSTED EBITDA LESS SHARE-BASED COMPENSATION

    EBITDA is defined as net income (loss) before interest expense, net, income tax expense and depreciation and amortization. Adjusted EBITDA is defined as EBITDA adjusted to exclude certain items which we believe are not reflective of ongoing operating performance or which, in the case of share-based compensation, is non-cash in nature. Adjusted EBITDA Margin represents Adjusted EBITDA as a percentage of total revenues. Adjusted EBITDA Less Share-Based Compensation is defined as Adjusted EBITDA minus share-based compensation expense. We believe that Adjusted EBITDA is an important measure that excludes costs that do not reflect the Company’s ongoing operating performance, legal proceedings for intellectual property as further described below, and certain costs associated with our capital structure. We believe that Adjusted EBITDA Less Share-Based Compensation presents our financial performance in a manner that is comparable to the presentation provided by many of our peers.

    We periodically incur legal costs associated with the assertion of, or defense of, intellectual property, which we exclude from our definition of Adjusted EBITDA and Adjusted EBITDA Less Share-Based Compensation, unless we believe that settlement will occur prior to any material legal spend (included in the table below as “Professional Fees”). Although these costs may recur between periods, depending on legal matters then outstanding or in process, we believe the timing of when these costs are incurred does not typically match the settlement or recoveries associated with such matters, and therefore, can distort our operating results. Similarly, we exclude from Adjusted EBITDA and Adjusted EBITDA Less Share-Based Compensation the one-time settlement or recovery payment associated with these excluded legal matters when realized but would not exclude any go forward royalties or payments, if applicable. We expect to continue to incur these legal costs for current matters under appeal and for any future cases that may go to trial, provided that the amount will vary by period. 

        Three Months Ended     Six Months Ended  
        June 30,     June 30,  
        2025     2024     2025     2024  
    Net income (loss)   $ 1,698     $ (2,839 )   $ 6,152     $ (286 )
    Income tax (benefit) expense     (1,032 )     270       (359 )     757  
    Interest expense, net     68       115       110       215  
    Depreciation     1,235       1,134       2,439       2,207  
    Amortization     167       167       334       334  
    EBITDA     2,136       (1,153 )     8,676       3,227  
    Share-based compensation (a)     646       667       1,198       1,433  
    Professional fees (b)     370       677       1,359       930  
    Foreign currency exchange (gain) loss (c)     (1,201 )     507       (1,198 )     1,005  
    Other (d)     272       218       402       398  
    Adjusted EBITDA   $ 2,223     $ 916     $ 10,437     $ 6,993  
    Adjusted EBITDA Margin     6 %     3 %     12 %     10 %
    Adjusted EBITDA Less Share-Based Compensation   $ 1,577     $ 249     $ 9,239     $ 5,560  

    _______________________

    (a) Represents non-cash compensation charges related to share-based compensation granted to our officers, employees and directors.
    (b) Represents non-capitalizable costs of professional services primarily incurred or reversed in connection with our legal proceedings associated with the assertion of, or defense of, intellectual property as further described above as well as the cost incurred for the evaluation of potential strategic transactions.
    (c) Represents realized and unrealized foreign currency exchange gains and losses primarily due to movement in the foreign currency exchange rates during the applicable periods.
    (d) Represents the impact of a research and development subsidy that is included in income tax expense in accordance with GAAP along with other charges and credits.
       


    NCS MULTISTAGE HOLDINGS, INC.
    RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL INFORMATION
    (In thousands)
    (Unaudited)

    FREE CASH FLOW AND FREE CASH FLOW LESS DISTRIBUTIONS TO NON-CONTROLLING INTEREST

    Free cash flow is defined as net cash provided by (used in) operating activities less purchases of property and equipment (inclusive of the purchase and development of software and technology) plus proceeds from sales of property and equipment, as presented in our consolidated statement of cash flows. We define free cash flow less distributions to non-controlling interest as free cash flow less amounts reported in the financing activities section of the statement of cash flows as distributions to non-controlling interest. We believe free cash flow is useful because it provides information to investors regarding the cash that was available in the period that was in excess of our needs to fund our capital expenditures and other investment needs. We believe that free cash flow less distributions to non-controlling interest is useful because it provides information to investors regarding the cash that was available in the period that was in excess of our needs to fund our capital expenditures, other investment needs, and cash distributions to our joint venture partner.

        Six Months Ended  
        June 30,  
        2025     2024  
    Net cash provided by operating activities   $ 1,876     $ 4,099  
    Purchases of property and equipment     (745 )     (633 )
    Purchase and development of software and technology     —       (53 )
    Proceeds from sales of property and equipment     271       293  
    Free cash flow   $ 1,402     $ 3,706  
    Distributions to non-controlling interest     (900 )     (500 )
    Free cash flow less distributions to non-controlling interest   $ 502     $ 3,206  

    The MIL Network –

  • MIL-OSI: Enovix Announces Second Quarter 2025 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    FREMONT, Calif., July 31, 2025 (GLOBE NEWSWIRE) — Enovix Corporation (Nasdaq: ENVX, ENVXW) (“Enovix”), a global high-performance battery company, announced that it posted on its website here a letter to shareholders from President and CEO, Dr. Raj Talluri, and CFO, Ryan Benton, discussing the company’s second quarter 2025 results. The company will host a live webcast at 5:00 PM ET / 2:00 PM PT to discuss the results and provide business updates. To register for the webcast, please visit: https://enovix-q2-2025.open-exchange.net/. 

    About Enovix

    Enovix is a leader in advancing lithium-ion battery technology with its proprietary cell architecture designed to deliver higher energy density and improved safety. The Company’s breakthrough silicon-anode batteries are engineered to power a wide range of devices from wearable electronics and mobile communications to industrial and electric vehicle applications. Enovix’s technology enables longer battery life and faster charging, supporting the growing global demand for high-performance energy storage. Enovix holds a robust portfolio of issued and pending patents covering its core battery design and manufacturing process. For more information, visit https://www.enovix.com.

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

    For media and investor inquiries, please contact:

    Investor Contact:
    Robert Lahey
    ir@enovix.com

    Chief Financial Officer:
    Ryan Benton
    ryan.benton@enovix.com

    The MIL Network –

  • MIL-OSI: iRhythm and Lucem Health Partner to Introduce Predictive AI Solution for Early Detection of Arrhythmias in Patient Populations with Comorbid Conditions

    Source: GlobeNewswire (MIL-OSI)

    • Partnership aims to utilize predictive AI to help identify arrhythmias earlier in patient populations with an elevated risk for arrhythmias to enable timely care for millions who remain undiagnosed
    • Commercial offering from this collaboration designed to support scalable population health and value-based care strategies

    SAN FRANCISCO, July 31, 2025 (GLOBE NEWSWIRE) — iRhythm Technologies, Inc. (NASDAQ:IRTC), a digital health leader focused on creating trusted solutions that detect, predict, and prevent disease, today announced a strategic partnership with Lucem Health, a leader in AI-driven early disease detection, to accelerate early identification of undiagnosed arrhythmias in patient populations with an elevated risk for arrhythmias.

    “Healthcare is entering an era where the goal is no longer just to detect disease, but to predict it,” said Quentin Blackford, iRhythm President and CEO. “Together with Lucem Health, iRhythm is helping lead a new way forward in care, with the goal of reaching patients before symptoms surface and before complications arise. This is a bold step toward predictive, preventive, and precise care powered by AI, informed by data, and designed for scale. We believe more than 27 million people in the U.S. alone could benefit from proactive cardiac monitoring1 — and this is just the beginning.”

    Traditional care models often rely on reactive diagnosis and can leave arrhythmias undetected until stroke, hospitalization, or worse. This partnership brings together Lucem Health’s Reveal AI powered early disease detection platform and iRhythm’s proven diagnostic service to shift that paradigm. By identifying risk earlier and enabling targeted cardiac monitoring, the goal is to help clinicians intervene sooner, improve outcomes across patient populations with elevated arrhythmia risk, and support scalable, data-driven strategies for health systems focused on value-based care.

    “Each day, clinicians find themselves reacting to the circumstances of the patients in their exam rooms — they often don’t have the time or the information they need to deliver truly proactive care,” said Sean Cassidy, founder and CEO of Lucem Health. “Together with iRhythm, we’re bringing predictive intelligence to healthcare’s front lines — enabling earlier action, smarter resource allocation, and better outcomes for patients.”

    This strategic partnership, supported by iRhythm’s direct investment in Lucem Health, reflects a shared commitment to advancing predictive innovation for population-level impact.

    Introducing a Predictive AI Solution for Smarter, Earlier Arrhythmia Detection

    The first commercial offering from the collaboration is an exclusive, AI-powered solution that analyzes subtle patterns in clinical and electronic health record (EHR) data to help identify elevated arrhythmia risk in individuals with Type 2 diabetes (T2D), chronic kidney disease (CKD), chronic obstructive pulmonary disease (COPD), and coronary artery disease (CAD) — individuals who may otherwise not be flagged as candidates for ambulatory cardiac monitoring. This offering enables healthcare organizations to proactively pinpoint patients with one or more specifically diagnosed or undiagnosed clinical conditions who could benefit from earlier cardiac monitoring and intervention.

    Once identified, appropriate patients can be monitored using iRhythm’s clinically proven Zio® ECG monitors and service. The Zio ECG device is worn for up to 14 days, enabling continuous, uninterrupted heart rhythm monitoring, and the end-to-end service, powered by an advanced FDA-cleared AI algorithm, delivers actionable insights, reviewed and curated by qualified cardiac technicians, to help clinicians make the right diagnosis the first time and support timely care.

    By integrating predictive AI, the new offering builds on iRhythm’s existing proactive monitoring programs deployed with healthcare systems focused on population health management and should enable even earlier arrhythmia risk identification and targeted intervention. The solution is designed to support accountable care organizations (ACOs), integrated health systems, payviders, and other managed care organizations that take on financial responsibility for the cost and quality of care as they pursue scalable value-based care strategies.

    Early pilot testing conducted by iRhythm, in collaboration with Lucem Health, suggests promising improvement in targeting patient populations with elevated arrhythmia risk and enabling earlier clinical engagement with greater precision. Both organizations anticipate that use of the AI-powered predictive tool will increase arrhythmia detection among an estimated 27 million undiagnosed patients in the U.S. alone,1 helping reduce healthcare resource utilization (HCRU) and costs, and improve patient outcomes.

    The Cost of Missed Arrhythmias and the Case for Earlier Detection

    Cardiac arrhythmias, conditions in which the heart beats too fast, too slow, or irregularly,2 affect roughly 1 in 20 U.S. adults3. Left undetected and untreated, they can lead to stroke, heart failure, hospitalization, or death,4 making early identification and intervention critical. Yet in many care pathways for individuals with T2D and/or other comorbid conditions, arrhythmias are not routinely screened for, despite elevated risk.5

    A growing body of evidence highlights the opportunity to detect arrhythmias earlier in at-risk populations — particularly around key clinical turning points in disease progression, as seen in recent data on patients with T2D.

    New research presented at the American Diabetes Association’s 85th Scientific Sessions (ADA 2025), based on a real-world study of more than 30 million U.S. adults, found that arrhythmias — often asymptomatic — frequently cluster around key moments in disease progression, particularly in T2D patients. Many arrhythmias were identified just before or shortly after diagnoses of CKD or major adverse cardiovascular events (MACE) such as stroke or heart failure.6

    Additional findings reinforce the broader clinical and economic impact of arrhythmias across chronic conditions like T2D and COPD, and the value of earlier detection and monitoring.

    Data presented at the American Heart Association’s 2024 Scientific Sessions revealed that patients with T2D and/or COPD who develop arrhythmias experience up to 2x higher hospitalization rates, 35–50% higher emergency care costs, and an average of $46,000 in annual healthcare expenses — compared to $30,000 for those without arrhythmias.7

    Adding to this evidence, new research presented at the American Thoracic Society (ATS) International 2025 conference, based on a real-world study of more than 2.5 million U.S. adults, found that COPD patients with arrhythmia have greater HCRU and costs compared to those without arrhythmia. However, among COPD patients with arrhythmia, those who were monitored had lower HCRU and costs compared to those who were never monitored.8

    Together, these findings underscore the clinical and economic impact of earlier, smarter detection — and the opportunity for predictive solutions like this initial offering from the iRhythm–Lucem Health collaboration to support value-based care models, reduce unnecessary healthcare utilization, and improve outcomes at scale for patient populations with elevated arrhythmia risk.

    Predictive AI-Powered Solution for Population Health and Value-Based Care
    U.S.-based innovative care delivery organizations, accountable care organizations (ACOs), integrated health systems, payviders, and other managed care organizations that assume financial responsibility for the cost and quality of care can learn more about the predictive AI solution9 and how it may support their population health strategies and value-based care goals by visiting iRhythm’s Value-Based Care page to connect with the iRhythm team.

    Forward-Looking Statements
    This press release 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, and the Private Securities Litigation Reform Act of 1995. An investor can identify these statements by the fact that they do not relate strictly to historical or current facts. They use words such as ‘anticipate,’ ‘estimate,’ ‘expect,’ ‘intend,’ ‘will,’ ‘project,’ ‘plan,’ ‘believe,’ ‘target’ and other words and terms of similar meaning in connection with any discussion of future actions or operating or financial performance. In particular, these include statements regarding market opportunity, ability to penetrate the market and expectations for growth. Such statements are based on current assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially. These risks and uncertainties, many of which are beyond our control, include risks described in the section entitled “Risk Factors” and elsewhere in our filings made with the Securities and Exchange Commission, including those on the Form 10-Q expected to be filed on or about July 31, 2025. These forward-looking statements speak only as of the date hereof and should not be unduly relied upon. iRhythm disclaims any obligation to update these forward-looking statements.

    About iRhythm Technologies
    iRhythm is a leading digital health care company that creates trusted solutions that detect, predict, and prevent disease. Combining our Zio® wearable biosensors and cloud-based data analytics with powerful proprietary algorithms, iRhythm distills data from millions of heartbeats into clinically actionable information. Through a relentless focus on patient care, our vision at Rhythm is to deliver better data, better insights, and better health for all.

    About Lucem Health
    Lucem Health helps healthcare providers accelerate disease detection and treatment using practical, responsible AI, so they can improve patients’ lives and increase the clinical and financial yield from today’s scarce care delivery resources. We envision a world in which clinicians detect problems before they become life-threatening and patients get world-class care, everywhere. Learn more at www.lucemhealth.com.

    Media Contact
    Kassandra Perry
    irhythm@highwirepr.com

    Investor Contact
    Stephanie Zhadkevich
    investors@irhythmtech.com

    1. iRhythm internal estimate based on analysis of public and proprietary sources, including U.S. Census Bureau data, CDC healthcare utilization data, Medicare Public Use Files, IQVIA, Komodo Health, Definitive Healthcare, and peer-reviewed literature on arrhythmia prevalence, symptom presentation, and diagnostic pathways. Full source list available upon request.
    2. What is an arrhythmia? National Heart Lung and Blood Institute, 2022. https://www.nhlbi.nih.gov/health/arrhythmias
    3. Desai et al. Arrhythmias. StatPearls [Internet], 2023. https://www.ncbi.nlm.nih.gov/books/NBK558923/
    4. Ataklte et al. Meta-analysis of ventricular premature complexes and their relation to cardiac mortality in general populations. The American Journal of Cardiology, 2013.
    5. Bhave, P. D., & Soliman, E. Z. (2024). Should patients with diabetes be routinely screened for atrial fibrillation? Expert Review of Cardiovascular Therapy, 22(1–3), 5–6. https://doi.org/10.1080/14779072.2024.2328645
    6. Russo P, Nathan R, Pfeffer D, Kamdar S, Wright B, Boyle K. Incidence and Timing of Major Arrhythmias in T2D and CKD: A Real-World Analysis [poster presentation]. Presented at: American Diabetes Association (ADA) 85th Scientific Sessions; June 20–23, 2025; Chicago, IL, USA.
    7. Russo P, Nathan R, Pfeffer D, Kamdar S, Wright B, Boyle K. Real-World Evidence on Health Care Resource Utilization and Economic Burden of Arrhythmias in Patients with Diabetes and COPD [poster presentation]. Presented at: American Heart Association (AHA) Scientific Sessions; November 16-18, 2024; Chicago, IL. Available at: https://s205.q4cdn.com/296879096/files/doc_events/2024/11/1/120-001752-003_DA_2024-AHA-Poster-iRhythmtech_RWE-HCRU-Arrhythmias_v2.pdf
    8. Russo P, Nathan R, Pfeffer D, Poh J, Jha V, Singh H, Wright B, Boyle K. Real-World Evidence on Health Care Resource Utilization and Economic Burden of Arrhythmias in Patients with COPD [poster presentation]. Presented at: American Thoracic Society (ATS) 2025 International Conference; May 16–21, 2025; San Francisco, CA, USA.
    9. The predictive-AI solution does not represent the functionality of any Zio branded medical device.

    The MIL Network –

  • MIL-OSI: Ready Capital Corporation Announces Second Quarter 2025 Results and Webcast Call

    Source: GlobeNewswire (MIL-OSI)

    NEW YORK, July 31, 2025 (GLOBE NEWSWIRE) — Ready Capital Corporation (NYSE: RC) (the “Company”) today announced that the Company will release its second quarter 2025 financial results after the New York Stock Exchange closes on Thursday, August 7, 2025. Management will host a webcast and conference call on Friday, August 8, 2025 at 8:30 a.m. Eastern Time to provide a general business update and discuss the financial results for the quarter ended June 30, 2025. 

    Webcast:
    The Company encourages use of the webcast due to potential extended wait times to access the conference call via dial-in. The webcast of the conference call will be available in the Investor Relations section of the Company’s website at www.readycapital.com. To listen to a live broadcast, go to the site at least 15 minutes prior to the scheduled start time in order to register, download and install any necessary audio software.

    Dial-in:
    The conference call can be accessed by dialing 877-407-0792 (domestic) or 201-689-8263 (international).

    Replay:
    A replay of the call will also be available on the Company’s website approximately two hours after the live call through August 22, 2025.  To access the replay, dial 844-512-2921 (domestic) or 412-317-6671 (international). The replay pin number is 13753253.

    About Ready Capital Corporation

    Ready Capital Corporation (NYSE: RC) is a multi-strategy real estate finance company that originates, acquires, finances and services investor and owner occupied commercial real estate loans. The Company specializes in loans backed by commercial real estate, including agency multifamily, investor, construction, and bridge as well as U.S. Small Business Administration loans under its Section 7(a) program. Headquartered in New York, New York, the Company employs approximately 500 professionals nationwide.

    Contact
    Investor Relations
    Ready Capital Corporation
    212-257-4666
    InvestorRelations@readycapital.com

    The MIL Network –

  • MIL-OSI Africa: African Peace Award 2025

    Source: APO – Report:

    I bring you compliments from the board and management of African Peace Magazine UK (https://AfricanPeace.org).

    On behalf of the Chairman Justice Suleiman Galadima, JSC, OFR, CFR (Rtd.) African Peace Magazine UK, humbly wish to specially invite you to attend the Hybrid and in person Award.

    The African Peace Magazine UK, in conjunction with her strategic partners: Rethink Africa Foundation, African Fact Checkers, Centre for peace and Conflict management in Africa, African Right Watch Television Ltd and several others is set to host the 15th Edition of the prestigious African Peace Awards, it is scheduled to hold in London England with the theme “The Magic of Peace”.

    African Peace Magazine UK, has been publishing for well over 15 years, and we are committed to promoting Peace, business networking, good governance and improved condition of living for Africans.

    Established in 2009, African Peace Award is an international award presented annually to honor individuals and organizations in various fields that have made outstanding contributions toward the realization of a peaceful and harmonious world as envisioned in the Declaration for All Life on Earth. They are selected not only in recognition of their past achievements, but for their ongoing contribution to building a better future. www.AfricanPeaceAwards.com

    African Peace Award is usually presented at a ceremony during the annual dinner and lecture, where the laureate takes center stage to deliver a commemorative address and receive a medal and a diploma together with a monetary prize.

    In addition to this annual award, the Culture of Peace Special Award is presented occasionally to honor individuals and organizations in various fields that have notably contributed to spreading and fostering a Culture of Peace around the world.

    The event is designed to host business, political, and diplomatic leaders. It is set to have in attendance, policy makers and think-tanks on Africa and Africa related issues.

    The African Peace Awards 2025 seeks to honor persons, institutions, organization, governments and others whose actions, and efforts have in one way improved or contributed to peace keeping and conflict management in Africa as well as improving the lives of Africans. 

    The African Peace brand has noted that Peace promotion and conflict management in any society alleviates uncertainty and risk which in turn promotes economic growth in any given community. It contributes to the economic growth of the community by increasing the productivity in capital and labour as well as good governance.

    The African Peace brand introduces its awards in the hopes of promoting peace globally and specifically in Africa with the hope of effecting change in Africa first and then globally.

    Several African Presidents, heads of Government, first ladies, past president and Vice presidents, top business CEOs, diplomats and others have received the Award in the past.

    – on behalf of African Peace Magazine.

    Contact Information:
    Attendance is strictly by invitation. For your VIP and VVIP Access cards
    To get you invite kindly contact us:
    +447771217805
    +2348033975746
    +447407399766
    +1(443)8835678

    For sponsorship, partnership, Exhibition and speaking opportunities and all other enquiries please contact:
    Chia Sandra
    International Affairs
    +2348033975746
    +447407399766

    Nigeria Abuja Office:
    Suite FT 12B Alibro Atrium Plaza Utako Abuja
    +2348033975746

    South African Office:
    16 Ridge Road Vorna Valley Midland 1686 South Africa
    +27662449117

    Angola:
    Call +244928690892
    +244993656970
    +244927589884

    London Office:
    10 Saint Andrew Road Bedford MK 402LJ England
    Call +447777121780
    WhatsApp +447407399766 

    Email: africanpeacemag@gmail.com

    Social Media:
    Twitter: https://apo-opa.co/4l31pm5
    Facebook: https://apo-opa.co/4fhNOWK
    Instagram: https://apo-opa.co/3UBY3eS
    LinkedIn: https://apo-opa.co/4lTpnBc

    About African Peace Magazine:
    The African Peace Magazine is published by African Peace Magazine (U.K.) Limited, a company registered in the United Kingdom. We are also registered in Nigeria, Angola and South Africa. The magazine focuses on bringing the best of Africa to a global audience, telling the African story from an African perspective, while evolving solutions to peculiar challenges being faced by the continent today.

    Websites: https://AfricanPeace.org
    www.AfricanPeaceAwards.com
    https://AfricanOilAndGasSummit.com

    Media files

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    MIL OSI Africa –