Category: Machine Learning

MIL-OSI Security: USAF and USMC Work With Allies and Partners to Enhance Capabilities for CN25

Source: United States INDO PACIFIC COMMAND

ANDERSEN AIR FORCE BASE, Guam –

Aircraft from the United States Air Force along with our Allies and Partners line the runway at Andersen Air Force Base in Guam for Cope North 25. CN25 aims to enhance the capabilities of partner air forces through training, exercises, and knowledge sharing.

With Allies and Partners taking to the skies of Guam this week for the start of CN25, the main focus of the exercise is the integration and flight operations with the F-35A Lightning and F-35B Lightning II from all three participating nations: Japanese Air Self Defense Force, Royal Australian Air Force, and the United States.

“Exercise Cope North [25] will be the showcase for the true integration of 5th gen capability,” said RAAF GPCAPT Darryl Porter, Australian Task Force commander. “Most significantly with this being the first training exercise under the trilateral memorandum of intent signed by Japan, Australia, and the U.S., following the defense minister meeting last year.”

Following the influx of participating fighters and refuelers, CN25 kicked off with a welcoming brief and academics where the commanders of the participating nations took the stage to address military members and civilian participants of the exercise.

JASDF Col. Takeshi Okubo, flight group commander, 3rd Air Wing, addressed the attending participants by stressing the importance of a unified partnership to deter conflict.

“We train together and fight together,” said Okubo. “And together we are an active deterrence to conflict.”

With the idea of deterring conflict and achieving regional security, an emphasis on shared knowledge of 5th generation fighters has taken the spotlight in achieving these objectives. CN25 fosters the exchange of information and refining shared tactics, techniques, and procedures.

“When you have many different nations flying the same aircraft, it’s important to train together so that we learn small differences between how each nation employs, maintains, and C2’s [command and control] those airplanes,” said Schuck. “We’ll never learn those differences without actually exercising together. And the reason that 5th generation is so important is that 5th generation fighters are the forward edge of our fighting force, especially in the Indo-Pacific, so it’s important to practice together with all the nations that fly them.”

With two weeks left in the exercise, USAF and its representing commander are eager for the opportunity to learn with its Allies and Partners, with Schuck saying, “I’m happy to be here and represent the commander of PACAF to our foreign partners and Allies in order to strengthen our resolve, strengthen our alliance in the Pacific and hopefully lead to a stronger fighting force and a more open and freer Indo-Pacific.”

For over 45 years, Cope North has conducted exercises in the Pacific between the U.S. and allied forces, focusing on several aspects of defense and interoperability throughout the Indopacific. As with past iterations, CN25 maintains a dedication to realistic combat training for the success of air and space operations.

MIL Security OSI –

February 11, 2025
MIL-OSI China: Chinese Tencent Cloud launches Middle East cloud region

Source: China State Council Information Office

The Chinese Tencent Cloud Company has launched its first Middle East Cloud Region in Saudi Arabia, featuring two availability zones with full redundancy, advanced cloud services, and AI capabilities.

In a statement on Sunday, the company revealed that the new availability zones, expected to be operational in 2025, will integrate Saudi Arabia into Tencent Cloud’s global network of over 50 availability zones across 21 regions. It will enable the delivery of an expanded suite of cutting-edge Software-as-a-Service (SaaS) and Platform-as-a-Service (PaaS) solutions, including advanced analytics, AI, digital media innovations, superapp technologies, and more.

Hu Dan, vice president of Tencent Cloud International for the Middle East and North Africa, hailed the new Cloud Region as a milestone in Tencent Cloud’s Middle East growth story.

He said the new Cloud Region will strengthn Saudi Arabia’s digital transformation efforts across key sectors, including digital media and streaming, video gaming, esports, e-commerce, tourism, financial services, telecommunications, and more.

For his part, Mohammed Alrobayan, deputy minister for technology at Ministry of Communications and Information Technology of Saudi Arabia, said, “Tencent Cloud’s decision to launch its first cloud region in Saudi Arabia represents a significant milestone for digital transformation in the Middle East.”

“This new cloud region will enhance the Kingdom’s digital infrastructure and accelerate the adoption of advanced technologies. It also reflects confidence in Saudi Arabia’s ambition to become a global hub for digital solutions and smart technology, fostering an economy driven by innovation and knowledge,” he added.

MIL OSI China News –

February 11, 2025
MIL-OSI China: Tech hub unveils measures to boost innovation

Source: China State Council Information Office

The exhibition area of humanoid robots is pictured at the third Global Digital Trade Expo in Hangzhou, east China’s Zhejiang Province, Sept. 25, 2024. [Photo/Xinhua]

The eastern Chinese tech city of Hangzhou, home to e-commerce giant Alibaba and rising AI star DeepSeek, has announced a series of measures to further elevate its status as a high-level innovation hub.

The measures are aimed at enhancing high-level innovation platforms, promoting the technology transfer and application, and strengthening the role of enterprises as the main drivers of technological innovation, Lou Xiuhua, head of the municipal bureau of science and technology, said at a press conference.

Among the measures is a partnership plan, which encourages collaboration between tech innovation platforms, universities, enterprises and industrial chains.

The city will accelerate its construction of facilities and foundational projects such as large-scale models and computing power infrastructure. More computing power vouchers will also be allocated, Lou said.

Computing power vouchers are a government subsidy tool designed to help small and medium-sized enterprises (SMEs) access more computing resources at lower costs, aiming to promote innovative applications of AI technologies and digital transformation.

Additionally, Hangzhou will launch an “AI+” initiative to promote the integration and application of AI across industries. It will also introduce a reform related to the application of technological achievements, encouraging universities and research institutions to license their technological fruits to SMEs under a “use first, pay later” model.

Hangzhou, the capital of the economic powerhouse province of Zhejiang, has developed itself as an important hub in the internet and tech industries, driving advancements in e-commerce, AI and digital transformation.

MIL OSI China News –

February 11, 2025
MIL-OSI New Zealand: Address to Public Service Leaders

Source: New Zealand Government

Good afternoon everyone and thank you all for making the time to be here.
I wanted to speak to you early in my tenure as your new Minister for the Public Service because I have a message for you: I’m here to support you in your efforts to deliver the best service possible for the employer we have in common. The taxpayer.
I’m very happy to have the public service portfolio and I want to acknowledge your hard work and commitment during what has been a challenging past year for many, as ministries and departments have been right-sizing.
We know it is the right thing to do, to run a ruler over everything we do to make sure we are delivering our best, but it’s never easy telling someone a programme they’ve worked on for several years won’t be proceeding, or that their role no longer exists. I know. I have had to do it.
It’s not something the government has done lightly but it is something that absolutely needed to be done.
In the six years from 2017 to 2023, the number of people employed in the core public service* grew 34 percent, to 63,117 full-time equivalent employees. Total salary costs for this core public service workforce grew a staggering 72 percent, to about $6.1 billion a year, over the same period.
We simply do not have sufficient taxpayers to support that kind of growth. We do not have sufficient economic growth to support that level of public spending.
And, as I said before, taxpayers pay our wages, and it is the New Zealand taxpayers that we serve. They want to know we are spending their money in ways that are timely and cost-effective.
New challenges, new solutions
We live in a fast-changing world that constantly throws up new challenges. Governments and the public service are always under pressure to find new solutions and new ways of working.
I don’t need to tell you the business of government is complex and challenging and, at times, messy.
And when you are knee-deep trying to deliver priorities and the myriad daily challenges that come with the job, it’s not easy looking ahead.
I know you’ve heard all this before. But my point is this: the more complex and challenging it gets, the more simple we need to keep it.
Serving the public must always be our top priority, regardless of how tough the operating environment is. We should never lose sight of this simple objective.
Setting the highest standards
It almost goes without saying that the public service must set the highest standards.
For me, that means doing the basics well and sticking to core business. It means being competent at what you do, upholding political neutrality and delivering free and frank advice, being efficient with taxpayers’ money, being corruption-free and – above all – delivering results for the people we serve.
Keeping it simple is also being efficient and respectful with the use of taxpayers’ money. Taxpayers trust us to use their resources wisely, and we can not, in the fog of daily pressures and challenges, lose sight of that.
Here’s a simple question I would urge you and your staff to ask themselves: if this was my money, would I spend it this way? This is the simple question that I ask myself when I am making funding decisions. It’s what I need you to do and to enforce.
Think of the sharemilker up at the crack of dawn every day whatever the weather. Think of the aged care worker doing their best to give our elderly the care and respect they deserve in their twilight years. Think of the bus driver. The taxi driver. The truck driver.
All these people want – and deserve – to know that their money is being spent in a way that delivers the services they need in the best way possible. They want results. They don’t want flow charts, frameworks, roadmaps, or bubble diagrams.
They are inherently practical people who want to know that you are helping make their country wealthier, and safer. They want you to treat their taxpayers’ dollars as though it came out of your bank account.
Not doing so can harm the reputation of the government, an agency and the public service. Building trust and confidence, as you know, is a slow and laborious task over many years. But it can be destroyed with one seemingly innocuous act.
Free and frank
To that end, I cannot state clearly enough how important it is that you provide free and frank advice.
Public servants who speak truth to power by telling Ministers their pet policy ideas are crazy and unworkable don’t get far. But neither do public servants who nod along and promise to deliver the undeliverable. That is a betrayal of the responsibilities of a public servant and it results in policy disaster.
Ministers do want free and frank advice. Tell us how we can implement our priorities and policies. Tell us how we can improve our policies. Tell us how we can improve outcomes for individuals, families and communities. Tell us when intervention is necessary. And tell us when to stop or change a policy.
And remember that Ministers, just like senior public servants, have a way of coming back!
The best public servants know how to use analysis to persuade. They know how to reconcile the vision with realism. And they know how to square the hole. I’ve worked with some fine public servants … some of you here.
Public Service Act
One area of opportunity I want to touch on is the Public Service Act. I think it’s too prescriptive. It’s not allowing the public service to be as innovative as it could be.
I intend to look at tightening what the Act says around chief executive responsibilities. The way I see it is that your responsibilities have become too diffuse and roles have become confused. Instead of telling you that you have to comply with certain named laws brought in by a previous government, why not just require you to implement the law. Laws change. Standards should not.
Coming back into government, it seems to me that you are getting weighed down with things that don’t have much to do with your core responsibilities and where everything becomes a priority.
Your core role is to serve the government of the day and focus on the basics, and the Act should reflect this.
I’d like to hear your thoughts on this. What changes can we make to the Act that will help you do your job better? What are the barriers to you doing your job? What can we change that will allow you to drive innovation and improve service delivery. You are better placed than me and other ministers, so I look forward to any suggestions you have.
I know the Prime Minister and Minister Willis have asked you to be bold and take a few risks. I’d like to reinforce that. Freedom to fail (hopefully in a small way) can give us freedom to succeed.
Innovation isn’t just a nice-to-have – it’s a must. We are facing complex challenges that require immediate action. It’s not just being open to new ways of doing things, we need to be doing it. As Benjamin Franklin said, ‘well done is better than well said.’ That’s the culture I’d like to see in the public service.
Open to new ideas
I can assure you the Government is open to new ideas. My only condition is that it leads to better outcomes for the public. That’s tangible results.
And the language you use needs to be fit for the person who is your customer. As a lawyer in private practice, I learned to explain legal terminology in everyday language.
If I talked to customers about the ‘mens rea’ and the ‘actus reus’ required for an offence to have been committed, I would have shown them I know some ‘legal’ Latin, and they might have been impressed. But really, I would just be showing them that I did not understand the first rule of communication -which is to be understood.
You and your staff need to think about your customers. When you are talking to or writing to your customers, think how it sounds to them.
Is it gobbledygook?
Is it a word salad?
Is it arrogant and lacking in empathy?
Is it inherently distancing you from the people who are paying your salary?
My suggestion is to leave the acronyms at the door.
Keep your superior language skills for those who will appreciate them.
Be appropriate. And remember… it’s no use if you can understand you, but your audience can not. Speak to people as you would like to be spoken to and show respect. And, no matter what, be genuine.
Digitising government
As you know, I am also the Minister for Digitising Government. It’s a portfolio that goes hand in glove with the public service.
The use of data and Artificial Intelligence is the big opportunity of our time. We stand at the cusp of a digital revolution that has the power to transform the way our government serves New Zealanders.
If done right, the digitisation of our public service will be game changing, and I am committed to ensuring this happens.
Online portals, mobile applications and AI-enabled interfaces will ensure people and businesses can access important government services and information, anytime and from anywhere.
Data-driven AI technologies will allow government agencies to tailor services to meet the specific needs of individuals, communities and businesses.
New Zealanders already interact with AI-powered services daily. They expect government agencies will be analysing data to gain insights into customer behaviour, preferences and needs.
I’d like to see the public service embrace the potential of AI.
I look forward to seeing a centralised, AI-powered data platform that enables real-time sharing of insights and collaboration between agencies like health, education and housing. It will be able to identify connections that may not be immediately obvious.
Data dashboards and predictive analytics will provide the insight and evidence Ministers need to make better decisions and timely interventions to improve outcomes.
In modernising our public service for the benefit of New Zealanders, think about how we can, in digital procurement, help Kiwi businesses deliver. Other countries are looking to how they can use procurement as a way to deliver better and more cost effective results by emphasising their own industrial or technology base. When it makes sense, we should too.
Say Yes
The work you do is vital. New Zealanders depend on it, and on our ability to drive the change required.
We have to deliver results. There simply is no other option. New Zealanders need us and expect us to get on with the job now, and I back you to support the government to do what is required.
As the Prime Minister has made clear, a culture of saying No is not acceptable. Your challenge is to inspire your staff, your team, to say “Yes”.
Yes to the licence.
Yes to the permit.
Yes to considering trialling AI tutors for kids.
Yes to delivering a government app that provides the sort of service that the commercial world delivers.
And Yes to treating our customers like customers.
New Zealanders should be treated as though they are valued customers with options. That’s what we need to deliver. Treat the taxpayer with dignity and the level of respect that you like to receive.
I know you are up for the challenge. But performance is non-negotiable.
I know how hard you work. And you are doing some great work. But that doesn’t mean we shouldn’t take opportunities to reset and ensure our focus is on what matters most – delivering better, more timely results for New Zealanders.
I’m excited to be your Minister, and I’m excited at the prospect of what we can achieve together. And I have full confidence in each of you as leaders of our public service.
As we move forward together, let’s remember who we serve and how our work impacts the lives of New Zealanders.
With hard work, innovation, courage and a shared sense of purpose, we have the power to create a public service that is not only effective, but transformative.
I look forward to working with Sir Brian and you to drive the change that is required.
Thank you.

** The core Public Service are departments and departmental agencies only. It excludes the wider public sector, such as defence personnel, police, teachers and public healthcare workers.

MIL OSI New Zealand News –

February 11, 2025
MIL-OSI: Odysight.ai Announces the Pricing of $21.5 Million Public Offering and Uplisting to the Nasdaq Capital Market

Source: GlobeNewswire (MIL-OSI)

Odysight.ai common stock to begin trading on Nasdaq Tuesday, February 11, 2025, under the symbol “ODYS”

OMER, Israel, Feb. 10, 2025 (GLOBE NEWSWIRE) — Odysight.ai Inc. (Nasdaq: ODYS) (“Odysight.ai” or the “Company”), a pioneering developer of AI systems for Predictive Maintenance (PdM) and Condition-Based Monitoring (CBM), today announced the pricing of a public offering of 3,307,692 shares of its common stock at a price to the public of $6.50 per share. The sole book-running manager of the offering will have a 30-day option to purchase up to an additional 496,153 shares of common stock from Odysight.ai at the public offering price, less underwriting discounts and commissions.

Odysight.ai’s common stock has been approved for listing and is expected to begin trading on the Nasdaq Capital Market under the symbol “ODYS” on Tuesday, February 11, 2025.

The offering is expected to close on February 12, 2025, subject to customary closing conditions.

The gross proceeds to Odysight.ai from the offering, before deducting underwriting discounts and commissions and estimated offering expenses, are expected to be approximately $21.5 million. Odysight.ai intends to use the net proceeds from this offering for expanded research and development, increased sales and marketing, working capital and other general corporate purposes.

The Benchmark Company, LLC is acting as sole book-running manager for the offering.

A registration statement relating to these securities has been filed with the U.S. Securities and Exchange Commission, and became effective on February 10, 2025. The proposed offering will be made only by means of a prospectus. Copies of the final prospectus, when available, may be obtained from The Benchmark Company, LLC, 150 East 58th St., 17th Floor, New York, NY 10155, by telephone: (212) 312-6700, or by email at prospectus@benchmarkcompany.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Odysight.ai

Odysight.ai is pioneering the Predictive Maintenance (PdM) and Condition Based Monitoring (CBM) markets with its visualization and AI platform. Providing video sensor-based solutions for critical systems in the aviation, transportation, and energy industries, Odysight.ai leverages proven visual technologies and products from the medical industry. Odysight.ai’s unique video-based sensors, embedded software, and AI algorithms are being deployed in hard-to-reach locations and harsh environments across a variety of PdM and CBM use cases. Odysight.ai’s platform allows maintenance and operations teams visibility into areas which are inaccessible under normal operation, or where the operating ambience is not suitable for continuous real-time monitoring.

We routinely post information that may be important to investors in the Investors section of our website. For more information, please visit: https://www.odysight.ai or follow us on Twitter, LinkedIn and YouTube.

Forward-Looking Statements

Information set forth in this news release contains forward-looking statements within the meaning of safe harbor provisions of the Private Securities Litigation Reform Act of 1995 relating to future events or our future performance. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, but not limited to, statements regarding the completion of the offering, the satisfaction of customary closing conditions related to the offering and the intended use of net proceeds from the offering. In some cases, you can identify forward-looking statements by terminology such as “may,” “should,” “expects,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “potential” or “continue” or the negative of these terms or other comparable terminology. Those statements are based on information we have when those statements are made or our management’s current expectation and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward- looking statements. Factors that may affect our results, performance, circumstances or achievements include, but are not limited to the following: (i) market acceptance of our existing and new products, including those that utilize our micro Odysight.ai technology or offer Predictive Maintenance and Condition Based Monitoring applications, (ii) lengthy product delays in key markets, (iii) an inability to secure regulatory approvals for the sale of our products, (iv) intense competition in the medical device and related industries from much larger, multinational companies, (v) product liability claims, product malfunctions and the functionality of Odysight.ai’s solutions under all environmental conditions, (vi) our limited manufacturing capabilities and reliance on third-parties for assistance, (vii) an inability to establish sales, marketing and distribution capabilities to commercialize our products, (viii) an inability to attract and retain qualified personnel, (ix) our efforts to obtain and maintain intellectual property protection covering our products, which may not be successful, (x) our reliance on a single customer that accounts for a substantial portion of our revenues, (xi) our reliance on single suppliers for certain product components, including for miniature video sensors which are suitable for our Complementary Metal Oxide Semiconductor technology products, (xii) the fact that we will need to raise additional capital to meet our business requirements in the future and that such capital raising may be costly, dilutive or difficult to obtain, (xiii) the impact of computer system failures, cyberattacks or deficiencies in our cybersecurity, (xiv) the fact that we conduct business in multiple foreign jurisdictions, exposing us to foreign currency exchange rate fluctuations, logistical, global supply chain and communications challenges, burdens and costs of compliance with foreign laws and political and economic instability in each jurisdiction and (xv) political, economic and military instability in Israel, including the impact of Israel’s war against Hamas and Hezbollah. These and other important factors discussed in Odysight.ai’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on March 26, 2024 and our other reports filed with the SEC could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Except as required under applicable securities legislation, Odysight.ai undertakes no obligation to publicly update or revise forward-looking information.

Investor Relations Contact:
Miri Segal
MS-IR LLC
msegal@ms-ir.com

Company Contact:
Einav Brenner, CFO
info@odysight.ai

The MIL Network –

February 11, 2025
MIL-OSI Global: As Trump abandons the old world order, NZ must find its place in a new ‘Pax Autocratica’

Source: The Conversation – Global Perspectives – By Chris Ogden, Associate Professor in Global Studies, University of Auckland, Waipapa Taumata Rau

Donald Trump is moving rapidly to change the contours of contemporary international affairs, with the old US-dominated world order breaking down into a multipolar one with many centres of power.

The shift already includes the US leaving the World Health Organization and the Paris Climate Accords, questioning the value of the United Nations, and radical cuts to the US Agency for International Development (USAID).

Such a new geopolitical age also involves an assertion of raw power, with Trump using the threat of tariffs to assert global authority and negotiating positions.

While the US is not significantly less powerful, this new era may see it wield that power in more openly self-interested and isolationist ways. As new US Secretary of State Marco Rubio put it in January, “the post-war global order is not just obsolete – it is now a weapon being used against us”.

With global democracy in retreat, the emerging international order looks to be moving in an authoritarian direction. As it does, the position of New Zealand’s vibrant democracy will come under mounting pressure.

But world orders have come and gone for millennia, reflecting the ebb and flow of global economic, political and military power. Looking back to previous eras, and how countries and cultures responded to shifting geopolitical realities, can help us understand what is happening more clearly.

An evolving world order

Previous orders have often focused on specific centres – or “poles” – of power. These include the Concert of Europe from 1814 to 1914, the bipolar world of the Cold War between the US and the Soviet Union, and the unipolar world of American dominance after the end of the Cold War and since the September 11 attacks in 2001.

Periods of single-power dominance (or hegemony) are referred to as a “pax”, from the Latin for “peace”. We have seen the Pax Romana of the Roman Empire (27 BCE to 180 AD), multiple Pax Sinicas around China (most recently the Qing Dynasty 1644 to 1912), Pax Mongolica (the Mongol Empire from 1271 to 1368) and Pax Britannica (the British Empire from 1815 to 1924).

It is the Pax Americana of the US, from 1945 to the present, that Trump seems bent on dismantling. We now live in an international order that is visibly in flux. With autocracy on the rise and the US at its vanguard, a “Pax Autocratica” is emerging.

This is accentuated by the rapid rise of Asia as the main sphere of economic and military growth, particularly China and India. The world’s two most populous countries had the world’s largest and third largest economies respectively in 2023, and the second and fourth highest levels of military spending.

The simultaneous rise of multiple power centres was already challenging the Pax Americana. Now, a new international order appears to be a certainty, with Trump openly adapting to multipolarity. Several major powers now compete for global influence, rather than any one country dominating.

China’s preference for a multipolar international order is shared by India and Russia. Without one dominant entity, it will be the political and social basis of this order, as determined by its major actors, that matters most – not who leads it.

Pax Democratica

The current (now waning) international order has been underpinned by specific social, political and economic values stemming from the national identity and historical experience of the US.

According to US political expert G. John Ikenberry, former president Woodrow Wilson’s agenda for peace after the first world war sought to “reflect distinctive American ideas and ideals”.

Woodrow imagined an order based on collective security and shared sovereignty, liberal principles of democracy and universal human rights, free trade and international law.

As its dominance and military strength increased in the 20th century, the US also provided security to other countries. Such power enabled Washington to create open global trade markets, as well as build core global institutions like the World Bank, International Monetary Fund, World Trade Organization, United Nations and NATO.

For Ikenberry, this Pax Americana (we might call it a Pax Democratica) rested on consent to the US’s “provision of security, wealth creation, and social advancement”. This was aided by the its more than 800 military bases in over 80 countries.

The democratic deficit

Trump undercuts the central tenets of this liberal world order and accelerates a slide towards authoritarianism. Like Russia, India and China, the US is also actively constraining human rights, attacking minorities and weakening its electoral system.

This democratic retreat leaves a country such as New Zealand in a global minority. If Trump targets the region or country with economic tariffs, that precariousness might increase.

On the other hand, previous world orders have not been truly hegemonic. Pax Britannica did not encompass the entire world. Nor did Pax Americana, which didn’t include China, India, the former Soviet bloc, much of the Islamic world and many developing countries.

This suggests pockets of democracy can survive within a Pax Autocratica, especially in a multipolar world which is more tolerant of political independence.

The Economist Intelligence Unit’s 2023 Democracy Index ranked New Zealand, the Nordic countries, Switzerland, Iceland and Ireland highest because their citizens

choose their political leaders in free and fair elections, enjoy civil liberties, prefer democracy over other political systems, can and do participate in politics, and have a functioning government that acts on their behalf.

It is these countries that can be at the vanguard of democratic resilience.

Chris Ogden is a Senior Research Fellow with The Foreign Policy Centre, London.

– ref. As Trump abandons the old world order, NZ must find its place in a new ‘Pax Autocratica’ – https://theconversation.com/as-trump-abandons-the-old-world-order-nz-must-find-its-place-in-a-new-pax-autocratica-249358

MIL OSI – Global Reports –

February 11, 2025
MIL-OSI USA: IAM Union, Coalition Sue Over Elon Musk’s Unprecedented and Illegal Hack of Americans’ Private Data

Source: US GOIAM Union

WASHINGTON—A coalition of labor unions representing over 2 million workers filed a federal lawsuit today challenging a data heist carried out by Elon Musk’s so-called Department of Government Efficiency inside three federal government departments.

Six individuals personally harmed by Musk and DOGE’s theft of their private information joined the suit filed by the AFT, the National Active and Retired Federal Employees Association (NARFE), the International Association of Machinists and Aerospace Workers (IAM) and the National Federation of Federal Employees (NFFE-IAM). Protect Democracy and Munger, Tolles & Olson are counsel to the plaintiffs.

The suit alleges the Department of Education, the Office of Personnel Management and the Department of Treasury improperly disclosed the sensitive records of millions of Americans to DOGE staff who lack appropriate security clearances and have not been properly vetted, and granted access to some of the government’s most sensitive and closely guarded data systems, in violation of the Privacy Act. DOGE employees include a 19-year-old who has previously leaked proprietary information.

The Privacy Act carefully regulates how agency records about individuals can be shared and disclosures of personal information beyond what the statute authorizes are illegal.

“Steamrolling into sensitive government record systems has led to a massive data breach that threatens to upend how these critical systems are maintained and seriously compromises the safety and security of personal identifying information for Americans all across the country,” the suit, filed in the U.S. District Court for the District of Maryland, reads. “It also violates federal law.”

Plaintiffs include veterans who receive benefit payments, current and former federal employees whose confidential employment files reside in OPM’s system, and teachers whose pathway to the classroom was reliant on student loans to pay for college tuition.

When Americans interact with the U.S. government, they often entrust federal agencies with sensitive personal information; the suit argues that bond of trust has been broken. The Education Department alone oversees the private information of 43 million student borrowers who hold $1.6 trillion in student debt. Treasury’s system contains records relating to every American who receives (among other things) a tax refund, Social Security benefit, veterans pay, or a federal salary. OPM holds exceedingly sensitive personal information for all 2.3 million federal employees.

Plaintiffs are asking the court to impose immediate relief that restores the protections of the Privacy Act. They seek injunctive and declaratory relief to ensure that improper disclosures to DOGE representatives stop immediately and that any data currently in DOGE’s possession be immediately deleted and destroyed.

Enacted in the wake of Watergate, the Privacy Act sought to restore trust in government and to address an existential threat to American democracy.

“Elon Musk and his minions are stealing Americans’ private personal and financial data in one of the biggest data hacks in U.S. history,” said AFT President Randi Weingarten. “I suspect no one who voted for Donald Trump thought he would allow Musk permission to invade their privacy. This is a breach of our fundamental freedoms. Right now, inside the Department of Education, the world’s richest man is rifling through 45 million people’s private student loan accounts and feeding the data into artificial intelligence.

“The department is effectively one of America’s biggest banks—if there was a breach of this magnitude in the private sector, it would rightly be a national scandal. Social Security numbers, financial data, home addresses, and personal demographic data about student borrowers and, in many instances, their parents, spouses or other family members are being illegally vacuumed up by Musk. This lawsuit is being filed to bring an end to his heist before he does irreversible damage to millions more American lives.”

“The federal government holds in trust vast amounts of data about American citizens, including federal employees and retirees,” said NARFE National President William “Bill” Shackelford. “Without legal guardrails in place to prevent improper use of such data, we risk disclosure to nefarious actors, and abuse by individuals within the government itself, threatening personal liberty and property. The Privacy Act provides those legal guardrails, reflecting a balance between the government’s need to utilize such data for legal purposes and its need to protect against abuse and misuse. Violating the Privacy Act infringes upon individuals’ rights that data held in trust is not misused or abused. NARFE joins this suit to ensure the administration is protecting personal data of federal employees and retirees as required by law.”

“Government agencies are not private entities that billionaires can simply buy and rummage through,” said IAM Union International President Brian Bryant. “Congressional oversight, advocacy and voting are how we make government work for us, not reckless takeovers that put the personal data of millions of Americans into the hands of unqualified, unvetted political operatives. It is up to us—the working families of America—to stand up here and now to protect our privacy and our democracy.”

“The richest person on the planet hacking into confidential and personal information is not only illegal, but also incredibly dangerous,” said NFFE-IAM National President Randy Erwin. “Musk and his DOGE operatives have no right to access extremely sensitive information of the American public, particularly federal workers who have been targeted and attacked since inauguration day. It is clear that these unauthorized actors intend to use this illegally acquired data to advance their political agenda and undermine the civil service.”

”We’re watching in real time as Trump’s cronies break the law to get access to Americans’ most sensitive and personal data,” said Kristy Parker, Counsel to the plaintiffs at Protect Democracy. “No one should be fooled into thinking they’re doing this for our benefit—to save us money or make our lives better. Their goal is to snoop on vast amounts of Americans’ data and try to use what they find to enrich themselves, reward their allies, and punish their critics.”

The full complaint can be read here.

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MIL OSI USA News –

February 11, 2025
MIL-OSI USA: Padilla, Colleagues Launch Probe Into DOGE’s Access to Sensitive Student Loan Data and Interference With Education Department
US Senate News:
Source: United States Senator Alex Padilla (D-Calif.)

Padilla, Colleagues Launch Probe Into DOGE’s Access to Sensitive Student Loan Data and Interference With Education Department
Musk’s team may have obtained access to personal information of millions of borrowers; raises concerns about violations of the law and failure to protect sensitive information

WASHINGTON, D.C. — U.S. Senator Alex Padilla (D-Calif.) joined Senator Elizabeth Warren (D-Mass.), Senate Minority Leader Chuck Schumer (D-N.Y.), and 13 of their Senate colleagues in launching a probe into recent reports that Elon Musk’s Department of Government Efficiency (DOGE) has infiltrated the Department of Education and gained access to federal student loan data, which includes millions of borrowers’ personal information.

According to public reporting, “a handful of 19-to-24-year-old engineers linked to Musk’s companies, with unclear titles, could be bypassing regular security protocols” during DOGE’s infiltration of federal agencies. The Senators also raised concerns that the access provided to DOGE-affiliated staff by the Department may violate the Privacy Act, which generally prohibits the disclosure of such information. The University of California Student Association, which represents thousands of California students, sued the Department on Friday, voicing similar concerns regarding the sharing of private student information.

There are over 40 million federal student loan borrowers in the United States, including approximately 4 million in California, the most of any state. The Department of Education’s student loan database contains millions of borrowers’ highly sensitive information, including Social Security numbers, marital status, and income data.

“This deeply troubling report raises questions about potential exposures of Americans’ private data, the abuse of this data by the Trump Administration, and whether officials who have access to the data may have violated the law or the federal government’s procedures for handling sensitive information,” wrote the Senators.

“We are especially troubled by this reporting given President Trump’s stated pledge to abolish the Department,” continued the Senators. “The millions of families who rely on [the Education Department] to help them achieve the American Dream deserve answers about reports that an unelected billionaire and his team now have access to some of their most sensitive personal information.”

Additional reporting suggests that DOGE has “fed sensitive data from across the Education Department into artificial intelligence software to probe the agency’s programs and spending.”

In addition to Senators Padilla, Warren, and Schumer, the letter was also signed by Senators Richard Blumenthal (D-Conn.), Cory Booker (D-N.J.), Tammy Duckworth (D-Ill.), Dick Durbin (D-Ill.), Mazie Hirono (D-Hawaii), Ben Ray Luján (D-N.M.), Edward J. Markey (D-Mass.), Jeff Merkley (D-Ore.), Jack Reed (D-R.I.), Tina Smith (D-Minn.), Chris Van Hollen (D-Md.), Reverend Raphael Warnock (D-Ga.), and Ron Wyden (D-Ore.).

The 16 senators requested answers from Acting Education Secretary Denise Carter about DOGE’s access to federal student loan data and any other sensitive databases by February 13, 2025.

Full text of the letter is available here and below:

Dear Acting Secretary Carter:

We write regarding recent reports that Elon Musk’s Department of Government Efficiency (DOGE) has infiltrated the Department of Education (ED or the Department) and that “DOGE staffers have gained access to federal student loan data, which includes personal information for millions of borrowers.”

The federal government’s student loan database contains highly sensitive information for millions of borrowers, including Social Security Numbers, marital status, and income information. Each year, 13 million students receive federal financial aid; there are over 40 million federal student loan borrowers in the United States. It is not at all clear that DOGE officials meet the strict criteria that would allow them to access this sensitive information protected by federal law—or whether DOGE officials have gained access to other sensitive ED databases as part of their efforts to “reform” the agency.

This deeply troubling report raises questions about potential exposures of Americans’ private data, the abuse of this data by the Trump Administration, and whether officials who have access to the data may have violated the law or the federal government’s procedures for handling sensitive information. According to public reporting, “a handful of 19-to-24-year-old engineers linked to Musk’s companies, with unclear titles, could be bypassing regular security protocols” in DOGE’s takeover of federal agencies. The access provided to DOGE-affiliated staff by the Department may also violate the Privacy Act, 5 U.S.C. § 552a, which, absent permission from the affected individuals, generally prohibits the disclosure of such information and requires agencies to follow rules of conduct and maintain systems with appropriate administrative, technical, and physical safeguards.

We are especially troubled by this reporting given President Trump’s stated pledge to abolish the Department. Efforts to abolish the Department have sparked fear and uncertainty for students, families, and teachers across the country who rely on the agency for critical financial aid, loans, grants, and other assistance. The millions of families who rely on ED to help them achieve the American Dream deserve answers about reports that an unelected billionaire and his team now have access to some of their most sensitive personal information. Accordingly, we ask that you answer the following questions by February 13, 2025:

Have Mr. Musk and his team been provided access to the National Student Loan Data System or other databases with sensitive federal student loan data? If so:

Please list all individuals who have gained access to borrowers’ personal data. What are these individuals’ job titles and responsibilities? Are they federal government employees? What is the nature of their service (e.g., Special Government Employee, Competitive Service, Senior Executive Service)?

What procedures were followed in giving these individuals access? Did the individuals who were granted access to these systems have appropriate authorization and clearances?

What data can these individuals access?

Do these individuals have the ability to download or copy data or to modify programs or systems for maintaining and analyzing data?

Who decided to give these individuals access?

What was the rationale for granting these individuals access?

Please describe what safeguards are in place to ensure that federal student loan data is not misused.

What safeguards and procedures are in place to protect borrowers’ personal data?

Did the Department and DOGE officials follow these safeguards and procedures?

What safeguards and procedures are in place to protect borrower’s data privacy within the rest of the federal student aid system and ensure that DOGE staffers do not interfere with the timely disbursement of federal aid?

Have Mr. Musk and his team been provided access to any other sensitive databases managed by the Education Department? If so:

Please list and describe all those databases.

Please list all individuals who have gained access to those databases. What are these individuals’ job titles and responsibilities? Are they federal government employees? What is the nature of their service (e.g., Special Government Employee, Competitive Service, Senior Executive Service)?

What procedures were followed in giving these individuals access? Did the individuals who were granted access to these systems have appropriate authorization and clearances?

What data can these individuals access?

Do these individuals have the ability to download or copy data or to modify programs or systems for maintaining and analyzing data?

Who decided to give these individuals access?

What was the rationale for granting these individuals access?

Thank you for your attention to this important matter.

Sincerely,
MIL OSI USA News –
February 11, 2025
MIL-OSI: Archimedes Tech SPAC Partners II Co. Announces Pricing of $200 Million Initial Public Offering

Source: GlobeNewswire (MIL-OSI)

CLAYMONT, Del., Feb. 10, 2025 (GLOBE NEWSWIRE) — Archimedes Tech SPAC Partners II Co. (the “Company”), a newly organized special purpose acquisition company formed as a Cayman Islands exempted company and led by Chairman Eric R. Ball and CEO Long Long, today announced the pricing of its initial public offering of 20,000,000 units at an offering price of $10.00 per unit, with each unit consisting of one ordinary share and one-half of one redeemable warrant. Each whole warrant will entitle the holder thereof to purchase one ordinary share at $11.50 per share. The units are expected to trade on The Nasdaq Global Market (“Nasdaq”) under the ticker symbol “ATIIU” beginning February 11, 2025. No fractional warrants will be issued upon separation of the units and only whole warrants will trade. Once the securities comprising the units begin separate trading, the ordinary shares and the warrants are expected to be traded on Nasdaq under the symbols “ATII” and “ATIIW,” respectively.

BTIG, LLC is acting as sole book-running manager for the offering.

The Company has granted the underwriter a 45-day option to purchase up to an additional 3,000,000 units at the initial public offering price to cover over-allotments, if any. The offering is expected to close on February 12, 2025, subject to customary closing conditions.

A registration statement relating to the securities sold in the initial public offering was declared effective by the U.S. Securities and Exchange Commission (the “SEC”) on February 10, 2025. The offering is being made only by means of a prospectus. When available, copies of the prospectus may be obtained from: BTIG, LLC, 65 East 55th Street, New York, New York 10022, or by email at ProspectusDelivery@btig.com, or by accessing the SEC’s website at www.sec.gov.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Archimedes Tech SPAC Partners II Co.

Archimedes Tech SPAC Partners II Co. is a blank check company, also commonly referred to as a special purpose acquisition company, or SPAC, formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, recapitalization, reorganization or other similar business combination with one or more businesses. While the Company may pursue a business combination target in any business, industry or geographical location, the Company intends to focus its search for businesses in the technology industry, and its focus will be on the artificial intelligence, cloud services and automotive technology sectors.

Forward-Looking Statements

This press release contains statements that constitute “forward-looking statements,” including with respect to the Company’s initial public offering (“IPO”) and search for an initial business combination. No assurance can be given that the offering discussed above will be completed on the terms described, or at all, or that the net proceeds of the offering will be used as indicated. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of the Company, including those set forth in the Risk Factors section of the Company’s registration statement and preliminary prospectus for the IPO filed with the SEC. Copies are available on the SEC’s website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

Contacts:

Long Long
Chief Executive Officer
Archimedes Tech SPAC Partners II Co.
(725) 312-2430

The MIL Network –

February 11, 2025
MIL-OSI United Kingdom: UK-backed AI companies to transform British cancer care and spark new drug breakthroughs
Source: United Kingdom – Executive Government & Departments

New AI models to diagnose and treat cancer and other incurable diseases will be made possible thanks to joint public-private investment giving flexible funding to British AI firms and researchers.
£82 million for 3 UK research projects Match-funding for European compute partnership.

£82.6 million in new flexible forms of research funding to support UK companies tackling cancer and accelerating drug discovery using AI and more

Collaboration between British and European experts on AI and High-Performance Computing gets match-funding boost

Backing for both these schemes shows the UK’s commitment to seizing the potential of new technologies like AI, to drive forward the Plan for Change

The UK government is today (Tuesday 11 February) unveiling £82.6 million in new flexible forms of research funding, plus a new commitment to give UK researchers access to cutting-edge computing resources as part of a plan to unlock the power of AI.

Two of the three projects benefiting from this support, which is helping to pioneer new ways of conducting research, will harness the power of AI to develop treatments and diagnostics for diseases like cancer and Alzheimer’s.

Coming as day two of the AI Action Summit gets underway, this is the latest evidence of the government’s commitment to seizing the potential of new technologies like AI to drive forward the Plan for Change, delivering economic growth and progress in key fields like health.

The government is putting £37.9 million backing behind three innovative British research projects, the Research Ventures Catalyst (RVC) programme. Together with a further £44.7 million in co-investment across the three projects, from other sources, this makes for a total £82.6 million backing.

The RVC programme is delivering novel ways of funding groundbreaking research, such as endowments, which are flexible and reflect the real needs of cutting-edge innovators. Too often, inflexible funding has been a barrier to some of the most innovative and creative research or has been an obstacle to new innovative businesses looking to scale-up. The RVC programme will support pioneering work training AI on the NHS’s vast pool of cancer data, drug discovery research, and more.

Today also sees the government expand UK involvement in the European High-Performance Computing (EuroHPC) Joint Undertaking by committing £7.8 million to fund UK researchers and businesses’ participation in EuroHPC research. This will mean British AI and high-performance computing researchers can work unobstructed with their peers across Europe. International collaboration and broad access to computational resources will be key to unlocking the benefits AI promises to deliver across society and the economy.

These announcements come on the final day of the AI Action Summit in France, where world leaders and AI companies have been holding a series of talks focused on the opportunities the technology can deliver for communities across the globe. The opportunities of AI are an area the UK government has placed a heavy focus on to kickstart 2025 – unveiling a new blueprint with 50 proposals in January which will spark a decade of national renewal.

Science and Technology Secretary, Peter Kyle said:

The focus of this Summit has been on how we can put AI to work in the public interest, and today’s announcements are living proof of how the UK is leading that charge through our Plan for Change.

We’ve already set out a bold new blueprint for AI which will help to spark a decade of national renewal, and key to that plan is supporting our expert researchers and businesses with the support they need to drive forward their game-changing innovations.

Today, we open new avenues for them to do exactly that – building bridges with our international partners so the entire global community can share in the boundless opportunities of AI-powered progress and backing new innovative companies applying AI to tackle real-world challenges.

Health and Social Care Secretary Wes Streeting said:

NHS innovation saved my life when I was diagnosed with cancer and treated by a world-class surgeon equipped with a robot. I want more patients to benefit from this kind of groundbreaking treatment, and AI will be central to our efforts.

This new funding is another step to unlock the enormous potential of AI for cancer research and drug discovery – ensuring more patients like me experience the highest quality care.

AI will help us speed up diagnoses, cut waiting times for patients and free up staff, as we deliver our Plan for Change and shift the NHS from analogue to digital.

EuroHPC is a high-powered compute partnership which pools EU resources with those of participating states. Businesses and researchers will now be supported to participate in EuroHPC research grants in the development of supercomputers and in their deployment to tackle the most pressing scientific challenges, working in tandem with like-minded partners on the continent. UKRI will work with businesses and researchers to support them to apply for grants where match-funding is available.

The three projects being supported by the Research Ventures Catalyst (RVC) programme.

PharosAI

£18.9 million government funding plus £24.7 million co-investment. PharosAI, whose King’s College London site is being visited by AI Minister Clark today, will bring together decades of NHS and Biobank data and host it on a unified, powerful, secure, AI platform. This will revolutionise cancer care by accelerating the development of the next generation of AI models which will deliver new breakthroughs for diagnosing and treating the disease – transforming outcomes for patients and saving lives.

Professor Anita Grigoriadis, Professor of Molecular and Digital Pathology at King’s College London, CEO of PharosAI said:

AI has the potential to revolutionise cancer care. The UK has a real opportunity to be a major innovator, leading to faster diagnosis, novel and more targeted cancer treatments, and better-informed healthcare for patients. PharosAI will democratise cancer AI and create an ecosystem to navigate the path to AI-powered precision medicine. Thanks to the RVC programme, we will build an unique operational approach between King’s College London, Queen Mary University of London, Guy’s and St Thomas’ NHS Foundation Trust, Barts Health Trust and industry partners. Our innovative collaboration will accelerate scientific breakthroughs and bring vastly improved cancer care to tomorrow’s patients.

Bind Research

£12.9 million government funding plus £12.9 million co-investment. The team at Bind Research meanwhile will tap into AI to learn the rules of drugging currently undruggable proteins, offering hope to cure diseases that were once thought to be untreatable. It will do this by targeting disordered proteins associated with various diseases which could unlock scores of new avenues for treatment – potentially giving thousands of patients across the country a new lifeline.

Dr Gabi Heller, Dr Thomas Löhr, and Dr Gogulan Karunanithy, scientific co-founders, Bind Research said:

The Research Ventures Catalyst Programme has been a game changer for Bind Research. It allowed us to reimagine our approach by adopting a not-for-profit Focused Research Organisation model – a strategy that, until now, was largely uncharted territory in the UK. This innovative structure enables us to harness collective expertise to deliver AI-enhanced tools and datasets as public goods to advance our mission of making disordered proteins druggable for everyone.

MEMetic

£6.1 million government funding plus £7.1 million co-investment. MEMetic will receive funding for work to revolutionise water management by combining nature’s highly evolved solutions with state-of-the-art polymer chemistry. This will support them to develop new solutions in a range of fields from lithium recovery in battery recycling, to facilitating clean water access – helping the world tackle the climate crisis.

Professor Alan Goddard and Dr Matthew Derry, Aston University said:

MEMetic represents the culmination of years of planning a significant, challenging, interdisciplinary research program which promises massive real-world benefits. This RVC award will allow us to leverage our fundamental science to create bespoke bioinspired filtration membranes for a range of industries. Such research really requires long term funding which is set up to take research to an applied setting and the Research Venture we envisage perfectly matches our philanthropic aims for water treatment for all.

Notes to editors

PharosAI is a joint venture between King’s College London, Queen Mary University of London, Guy’s and St Thomas’ NHS Foundation Trust, and Barts Health NHS Trust.

MEMetic is led by researchers at the Aston Institute for Membrane Excellence at Aston University.

DSIT media enquiries

Email press@dsit.gov.uk

Monday to Friday, 8:30am to 6pm 020 7215 300

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Published 11 February 2025
MIL OSI United Kingdom –
February 11, 2025
MIL-Evening Report: As Trump abandons the old world order, NZ must find its place in a new ‘Pax Autocratica’

Source: The Conversation (Au and NZ) – By Chris Ogden, Associate Professor in Global Studies, University of Auckland, Waipapa Taumata Rau

Donald Trump is moving rapidly to change the contours of contemporary international affairs, with the old US-dominated world order breaking down into a multipolar one with many centres of power.

The shift already includes the US leaving the World Health Organization and the Paris Climate Accords, questioning the value of the United Nations, and radical cuts to the US Agency for International Development (USAID).

Such a new geopolitical age also involves an assertion of raw power, with Trump using the threat of tariffs to assert global authority and negotiating positions.

While the US is not significantly less powerful, this new era may see it wield that power in more openly self-interested and isolationist ways. As new US Secretary of State Marco Rubio put it in January, “the post-war global order is not just obsolete – it is now a weapon being used against us”.

With global democracy in retreat, the emerging international order looks to be moving in an authoritarian direction. As it does, the position of New Zealand’s vibrant democracy will come under mounting pressure.

But world orders have come and gone for millennia, reflecting the ebb and flow of global economic, political and military power. Looking back to previous eras, and how countries and cultures responded to shifting geopolitical realities, can help us understand what is happening more clearly.

An evolving world order

Previous orders have often focused on specific centres – or “poles” – of power. These include the Concert of Europe from 1814 to 1914, the bipolar world of the Cold War between the US and the Soviet Union, and the unipolar world of American dominance after the end of the Cold War and since the September 11 attacks in 2001.

Periods of single-power dominance (or hegemony) are referred to as a “pax”, from the Latin for “peace”. We have seen the Pax Romana of the Roman Empire (27 BCE to 180 AD), multiple Pax Sinicas around China (most recently the Qing Dynasty 1644 to 1912), Pax Mongolica (the Mongol Empire from 1271 to 1368) and Pax Britannica (the British Empire from 1815 to 1924).

It is the Pax Americana of the US, from 1945 to the present, that Trump seems bent on dismantling. We now live in an international order that is visibly in flux. With autocracy on the rise and the US at is vanguard, a “Pax Autocratica” is emerging.

This is accentuated by the rapid rise of Asia as the main sphere of economic and military growth, particularly China and India. The world’s two most populous countries had the world’s largest and third largest economies respectively in 2023, and the second and fourth highest levels of military spending.

The simultaneous rise of multiple power centres was already challenging the Pax Americana. Now, a new international order appears to be a certainty, with Trump openly adapting to multipolarity. Several major powers now compete for global influence, rather than any one country dominating.

China’s preference for a multipolar international order is shared by India and Russia. Without one dominant entity, it will be the political and social basis of this order, as determined by its major actors, that matters most – not who leads it.

Pax Democratica

The current (now waning) international order has been underpinned by specific social, political and economic values stemming from the national identity and historical experience of the US.

According to US political expert G. John Ikenberry, former president Woodrow Wilson’s agenda for peace after the first world war sought to “reflect distinctive American ideas and ideals”.

Woodrow imagined an order based on collective security and shared sovereignty, liberal principles of democracy and universal human rights, free trade and international law.

As its dominance and military strength increased in the 20th century, the US also provided security to other countries. Such power enabled Washington to create open global trade markets, as well as build core global institutions like the World Bank, International Monetary Fund, World Trade Organization, United Nations and NATO.

For Ikenberry, this Pax Americana (we might call it a Pax Democratica) rested on consent to the US’s “provision of security, wealth creation, and social advancement”. This was aided by the its more than 800 military bases in over 80 countries.

The democratic deficit

Trump undercuts the central tenets of this liberal world order and accelerates a slide towards authoritarianism. Like Russia, India and China, the US is also actively constraining human rights, attacking minorities and weakening its electoral system.

This democratic retreat leaves a country such as New Zealand in a global minority. If Trump targets the region or country with economic tariffs, that precariousness might increase.

On the other hand, previous world orders have not been truly hegemonic. Pax Britannica did not encompass the entire world. Nor did Pax Americana, which didn’t include China, India, the former Soviet bloc, much of the Islamic world and many developing countries.

This suggests pockets of democracy can survive within a Pax Autocratica, especially in a multipolar world which is more tolerant of political independence.

The Economist Intelligence Unit’s 2023 Democracy Index ranked New Zealand, the Nordic countries, Switzerland, Iceland and Ireland highest because their citizens

choose their political leaders in free and fair elections, enjoy civil liberties, prefer democracy over other political systems, can and do participate in politics, and have a functioning government that acts on their behalf.

It is these countries that can be at the vanguard of democratic resilience.

Chris Ogden is a Senior Research Fellow with The Foreign Policy Centre, London.

– ref. As Trump abandons the old world order, NZ must find its place in a new ‘Pax Autocratica’ – https://theconversation.com/as-trump-abandons-the-old-world-order-nz-must-find-its-place-in-a-new-pax-autocratica-249358

MIL OSI Analysis – EveningReport.nz –

February 11, 2025
MIL-OSI Russia: MIL Analysis – Five best articles in Russian for 10.02.2025

MIL Analysis: Here are the top five Russian language articles published today. The analysis consists of five articles that are prioritized at the moment.

Today’s analysis provides us with economic performance and engagement with different communities. There is also a trend towards respect for human rights. The economy in China is growing and prospering.

Education is increasing computerization skills and introducing artificial intelligence.

“Samaraneftegaz” shows the innovative activities of Rosneft. Oil reserves have grown. In addition, science is developing day by day, so NSU scientists have developed a technique for measuring ultra-low concentrations of radioactive substances.

Below you can read one of the articles.

1. Financial news: Rules for managing conflicts of interest for NPFs.

Non-state pension funds (NPFs) will be required to identify and manage conflicts of interest. Funds will be able to allow conflicts to arise only if they have notified their clients and their rights are not violated. The Ministry of Justice of Russia has registered the corresponding decree of the Bank of Russia.

2. Cultural Code of the Celestial Empire: How to Do Business in China.

Higher School of Economics

By 2035, China will overtake the US in terms of GDP and become the world’s largest economy. Today, there are over 108 million entrepreneurs and 50 million industrial enterprises in this country. Last year, the economy grew by 4.8%. This opens up unique opportunities for Russian companies. Vysshka experts tell us how to enter one of the most promising markets.

3. Vyshka launches advanced training course on AI in education.

The Computer Science Department of the National Research University Higher School of Economics is launching an advanced training course on artificial intelligence in education. The program is designed for educators, teachers, methodologists planning to integrate AI technologies into the educational process, as well as for management teams of educational institutions interested in improving educational processes through the introduction of AI.

4. “Samaraneftegaz replenished oil reserves by 180%.

“Samaraneftegaz (part of Rosneft’s oil production complex) added 19 million tons of commercial oil reserves by the end of 2024, which made it possible to replenish oil production 1.8 times.

5. NSU scientists have developed a methodology for determining ultra-low concentrations of radioactive substances.

Scientists of the Physics Department of Novosibirsk State University have developed a technique for measuring ultra-small concentrations of radioactive substances whose decay is accompanied by gamma radiation. Data collection is carried out using a detector made of ultrapure germanium, which is part of the equipment of the NSU Interdepartmental Laboratory of Atomic Physics and Spectrometry; a special hardware and software system has been created for data processing. The first project implemented with the use of this technique is research work to determine the level of radioactive substances (radon) in the soil of mines and coal mines in the Kemerovo region.

Learn more about MIL’s content and data services by visiting milnz.co.nz.

Regards MIL!

MIL OSI Russia News –

February 11, 2025
MIL-OSI: Foxx Development Expands Entertainment Offerings Through FreeCast Partnership

Source: GlobeNewswire (MIL-OSI)

Irvine, CA, Feb. 10, 2025 (GLOBE NEWSWIRE) — Foxx Development Holdings Inc. (“Foxx Development” or “Company”) (Nasdaq: FOXX), a leading provider of consumer electronics and integrated Internet-of-Things (IoT) solutions for retail and institutional clients, today announced that it has entered into a strategic distribution agreement with FreeCast Inc. so that FreeCast’s streaming platform will be available to users of the Company’s mobile device portfolio. The new integration will give Foxx Development’s users immediate access to FreeCast’s entertainment hub, consolidating hundreds of streaming services into a single user-friendly interface.

Under the agreement, FreeCast’s all-in-one streaming platform will be installed on hundreds of thousands of smartphones and tablets of the Company to expand its out-of-box entertainment offerings. Users will gain immediate access to FreeCast’s entertainment hub, which features over 700 free channels, extensive on-demand content, and integration with major streaming services, including Netflix, Amazon Prime Video, HBO Max, and Hulu. FreeCast’s intelligent universal search feature enables users to easily discover content across all platforms, while its innovative YouBundle feature simplifies subscription management by consolidating multiple streaming services into a single monthly bill.

“Modern content consumers face increasing complexity in their streaming entertainment choices, with recent industry surveys showing that approximately 65% of Americans struggle to discover content across multiple platforms,” said Greg Foley, CEO of Foxx Development Holdings. “Our partnership with FreeCast directly addresses these challenges by providing our users with an intelligent, cost-effective solution that simplifies content discovery and streaming subscription management.”

“Partnering with Foxx Development represents a significant milestone in FreeCast’s mission to simplify the streaming experience,” added William Mobley, Founder and CEO of FreeCast. “By integrating our platform directly into Foxx Development’s devices, we’re making it easier than ever for users to discover, access, and manage their entertainment. This collaboration demonstrates how device manufacturers and content platforms can work together to solve the fragmentation challenges facing today’s streamers.”

About Foxx Development Holdings Inc.
Foxx Development is a consumer electronics and integrated Internet-of-Things (IoT) solution company catering to both retail and institutional clients. With robust research and development capabilities and a strategic commitment to cultivating long-term partnerships with mobile network operators, distributors and suppliers around the world, it currently sells a diverse range of products including mobile phones, tablets and other consumer electronics devices throughout the United States, and is in the process of developing and distributing end-to-end communication terminals and IoT solutions. For more information, please visit http://foxxusa.com and http://ir.foxxusa.com.

About FreeCast
FreeCast Inc., founded in 2011 and headquartered in Orlando, Florida, is a leading streaming media platform that simplifies how users discover and enjoy digital entertainment. The company’s flagship solution addresses the challenges of managing multiple streaming services by consolidating hundreds of content providers into a single, intuitive interface. FreeCast’s comprehensive platform gives users access to over 700 free channels, premium on-demand content, and live TV streaming, while making it easy to search and browse content across major streaming services. Through its advanced content aggregation and universal search capabilities, FreeCast helps users find and organize their entertainment choices more efficiently and serves as a practical solution for the modern streamer. For more information, visit www.freecast.com.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the U.S. Securities Exchange Act of 1934, as amended (“Exchange Act”). Such statements include, but are not limited to, statements about future financial and operating results, our plans, objectives, expectations and intentions with respect to future operations, products and services; and other statements identified by words such as “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimated,” “believe,” “intend,” “plan,” “projection,” “outlook” or words of similar meaning. Such forward-looking statements are based upon the current beliefs and expectations of our management and are inherently subject to significant business, economic and competitive uncertainties, and contingencies, many of which are difficult to predict and generally beyond our control. Actual results and the timing of events may differ materially from the results anticipated in these forward-looking statements.

Investor Relations Contact:
International Elite Capital
Annabelle Zhang
Telephone: +1 (646) 866-7928
Email: foxx@iecapitalusa.com

The MIL Network –

February 11, 2025
MIL-OSI: MARA Holdings, Inc. Announces Postponement of Special Meeting of Stockholders

Source: GlobeNewswire (MIL-OSI)

Fort Lauderdale, FL, Feb. 10, 2025 (GLOBE NEWSWIRE) — MARA Holdings, Inc. (NASDAQ: MARA) (“MARA” or the “Company”), a global leader in leveraging digital asset compute to support the energy transformation, today announced that its Special Meeting of Stockholders (the “Special Meeting”), which was originally scheduled to be held on February 11, 2025, has been postponed. The Special Meeting is now scheduled to be held virtually, via live webcast at web.lumiconnect.com/266814323, on Wednesday, February 19, 2025 at 8:30 a.m. PST / 11:30 a.m. EST. The record date for the Special Meeting, January 17, 2025, is unchanged and applies to the postponed Special Meeting.

The Special Meeting has been postponed to provide the Company’s stockholders with additional time to vote in order to facilitate broader participation. The Company’s Board of Directors unanimously recommends that you vote FOR the proposals identified in the Company’s proxy statement for the Special Meeting. Stockholders who have already cast their votes do not need to take any action, unless they wish to change or revoke their prior proxy or voting instructions, and their votes will be counted at the postponed Special Meeting. For stockholders who have not yet cast their votes, we urge them to vote their shares now, so they can be tabulated prior to the postponed Special Meeting.

Important Additional Information

The Company has filed a definitive proxy statement with the Securities and Exchange Commission (the “SEC”) on January 21, 2025 (the “Proxy Statement”), which should be read in conjunction with this notice. To the extent information in this notice updates or conflicts with information contained in the Proxy Statement, the information in this notice is the more current information. STOCKHOLDERS ARE URGED TO READ THE PROXY STATEMENT (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO) FILED BY THE COMPANY AND ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC CAREFULLY AND IN THEIR ENTIRETY BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT ANY SOLICITATION. Stockholders may obtain a free copy of the Proxy Statement and the other relevant materials, and any other documents filed by the Company with the SEC, at the SEC’s website at https://www.sec.gov or on the “SEC Filings” section of the Company’s website at https://www.mara.com.

About MARA

MARA (NASDAQ:MARA) is a global leader in digital asset compute that develops and deploys innovative technologies to build a more sustainable and inclusive future. MARA secures the world’s preeminent blockchain ledger and supports the energy transformation by converting clean, stranded, or otherwise underutilized energy into economic value.

Forward-Looking Statements

Statements in this press release about future expectations, plans, and prospects, as well as any other statements regarding matters that are not historical facts, may constitute “forward-looking statements” within the meaning of The Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements relating to quorum at the Special Meeting and the timing of the Special Meeting. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would,” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including uncertainties related to quorum at the Special Meeting, receipt of stockholder approval of the proposals presented at the Special Meeting and the other factors discussed in the “Risk Factors” section of MARA’s Annual Report on Form 10-K filed with the U.S. Securities and Exchange Commission (the “SEC”) on February 28, 2024, as amended on May 24, 2024, the “Risk Factors” section of MARA’s Quarterly Report on Form 10-Q filed with the SEC on August 1, 2024, the “Risk Factors” section of MARA’s Quarterly Report on Form 10-Q filed with the SEC on November 12, 2024 and the risks described in other filings that MARA may make from time to time with the SEC. Any forward-looking statements contained in this press release speak only as of the date hereof, and MARA specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise, except to the extent required by applicable law.

MARA Company Contact:
Telephone: 800-804-1690
Email: ir@mara.com

The MIL Network –

February 11, 2025
MIL-OSI: Hut 8 Schedules Full-Year 2024 Earnings Release and Conference Call
Source: GlobeNewswire (MIL-OSI)

MIAMI, Feb. 10, 2025 (GLOBE NEWSWIRE) — Hut 8 Corp. (Nasdaq | TSX: HUT) (“Hut 8” or the “Company”), a leading, vertically integrated operator of large-scale energy infrastructure and one of North America’s largest Bitcoin miners, today announced it will release financial results for the full year of 2024 before the market opens on March 3, 2025. The Company will host a conference call and webcast to review the results on the same day at 8:30 a.m. ET.

Conference Call and Webcast Details

Date: Monday, March 3, 2025
Time: 8:30 a.m. ET

Investors can join the live webcast here. Analysts can register here.

Supplemental Materials and Upcoming Communications

The Company expects to make available on its website materials designed to accompany the discussion of its results, along with certain supplemental financial information and other data. For important news and information regarding the Company, including investor presentations and timing of future investor conferences, visit the Investor Relations section of the Company’s website, https://hut8.com/investors, and its social media accounts, including on X and LinkedIn. The Company uses its website and social media accounts as primary channels for disclosing key information to its investors, some of which may contain material and previously non-public information.

Upcoming Conferences and Events
- February 12, 2025: Maxim Group Digital Assets 2025: To Bitcoin and Beyond Conference, Virtual
- February 24–25, 2025: Capacity Media Metro Connect USA, Fort Lauderdale
- February 24–28, 2025: Bitcoin Investor Week, New York
- February 25–27, 2025: Infocast ERCOT Market Summit, Austin
- March 11–12, 2025: Cantor Crypto, Digital Assets & AI Infrastructure Conference, Miami
- March 16–18, 2025: 37th Annual ROTH Conference, Dana Point
About Hut 8

Hut 8 Corp. is an energy infrastructure operator and Bitcoin miner with self-mining, hosting, managed services, and traditional data center operations across North America. Headquartered in Miami, Florida, Hut 8 Corp. has a portfolio comprising fifteen sites: five Bitcoin mining, hosting, and Managed Services sites in Alberta, New York, and Texas, five high performance computing data centers in British Columbia and Ontario, four power generation assets in Ontario, and one non-operational site in Alberta. For more information, visit www.hut8.com and follow us on X (formerly known as Twitter) at @Hut8Corp.

Hut 8 Investor Relations
Sue Ennis
ir@hut8.com

Hut 8 Media Relations
media@hut8.com

The MIL Network –
February 11, 2025
MIL-OSI USA: News 02/10/2025 Blackburn, Baldwin Introduce Bipartisan Bill to Support Tennessee Small Dairy Businesses
US Senate News:
Source: United States Senator Marsha Blackburn (R-Tenn)

WASHINGTON, D.C. – U.S. Senators Marsha Blackburn (R-Tenn.) and Tammy Baldwin (D-Wisc.) introduced the Dairy Business Innovation Act to strengthen the Dairy Business Innovation Initiatives (DBII) to help more American dairy farmers and processors add value to their businesses, including creating new products, expanding their markets, and modernizing their production facilities:

“The dairy industry is an essential part of the American economy. It is crucial that we provide the resources that dairies in Tennessee need to expand and create new products,” said Senator Blackburn. “With many small Tennessee dairies struggling to remain open, this bill will allow these businesses to diversify and expand their market competitiveness.”

“My Dairy Business Innovation Initiative has helped Wisconsin dairy farmers, producers, and cheesemakers grow their operations, tap into new markets, and innovate new products,” said Senator Baldwin. “From expanding facilities and growing their operations to improving packaging and lowering their shipping costs, this program has helped Wisconsin businesses grow their bottom lines and create jobs in our rural communities. I’m fighting to expand this vital program so more farmers, cheesemakers, and dairy processors have the tools to innovate and drive our rural economy forward.”

DAIRY BUSINESS INNOVATION ACT:
- The DBII program was created in the 2018 Farm Bill, establishing multiple dairy business and innovation centers to serve producers across the country. These centers, in partnership with dairy farmers and processors, are spurring innovation in dairy businesses, fostering the development of new dairy products and modernizing existing dairy plants. As a result, the program has gone on to add value to the milk produced by American farmers and expand their market access.
- Each regional initiative is tasked with providing technical assistance and grants to farmers and processors, including:
- The Dairy Business Innovation Act builds on the support for regional dairy research and innovation centers across the country by raising the program’s annual authorization from $20 million to $36 million.
ENDORSEMENTS:

The legislation is endorsed by the Tennessee Farm Bureau Federation, University of Tennessee Institute of Agriculture, National Milk Producers Federation, Organic Valley, and International Dairy Foods Association.

“Tennessee’s dairy farmers are an integral part of our rural economy and provide wholesome, nutritious milk products to consumers. We thank Senators Blackburn and Baldwin for filing the Dairy Business Innovation Initiative which will be a successful opportunity for dairy farmers to add value to their milk and increase on-farm profitability. Further investments into DBII can create increased opportunities for consumers to access local dairy products and support their regional agricultural economy.” – Eric Mayberry, President of the Tennessee Farm Bureau Federation

“We are grateful to Senators Blackburn and Baldwin for their support of the Dairy Business Innovation Act. It has had a historic impact on our Tennessee dairy industry and the development of the new Center for Dairy Advancement and Sustainability at the University of Tennessee. These resources will continue to help UTIA provide Real.Life.Solutions. to producers and processors across the region. Additionally, it has provided us with new partnership opportunities around the country.” – Dr. Keith Carver, Senior Vice Chancellor and Senior Vice President of the University of Tennessee Institute of Agriculture

“The Dairy Business Innovation Act continues to be a critical tool for dairy farms and processors across the Southeast region to overcome a history of low income, limited reinvestment into existing businesses, and high barriers to entry for new dairy businesses. As the program manager for the Southeast region, the University of Tennessee Institute of Agriculture (UTIA) strongly supports the continuation and expansion of this valuable assistance to producers, processors, and the allied industries impacted by them. Since 2021, over $17 million has been directly invested into 189 dairy businesses across the 12 states and 1 territory in our region. Within Tennessee, 40 awards totaling almost $3.4 million have supported existing dairy farmers, processors, and emerging value-added dairy ventures. The funding for administration and research around the dairy industry has resulted in 5 new dairy Extension positions across Tennessee, Kentucky, and North Carolina and has increased our understanding of consumer motivations around dairy. The new Center for Dairy Advancement and Sustainability at the University of Tennessee is a direct outcome of these grants, providing a unique hub of food, animal, economic, and consumer interaction to support the dairy industry.” – Dr. Elizabeth Eckelkamp, Southeast Dairy Business Innovation Initiative Program Director and Dairy Extension Specialist at the University of Tennessee Institute of Agriculture

“We thank Senators Baldwin and Blackburn for their continued bipartisan leadership in strengthening the Dairy Business Innovation Initiatives program. Dairy has a storied history of pioneering effective new products and practices as dairy farmers and their cooperatives work to supply the U.S. and the world with nutritious, sustainably produced food. This program helps support researchers and their industry partners working to drive this innovation forward.” – Gregg Doud, President and CEO of National Milk Producers Federation

“Senator Tammy Baldwin and Senator Marsha Blackburn should be commended for a bill that enhances the assets and investments in the U.S. the dairy industry. Dairy is an economic engine in rural communities – we at Organic Valley know dairy processors who are doing more with support from this initiative and American farmers who are better positioned to bring milk to market because of it.” – Adam Warthesen, Vice President of Government and Industry Affairs at Organic Valley

“IDFA applauds Senators Baldwin and Blackburn for introducing the Dairy Business Innovation Act of 2025. The bill promotes innovation in the dairy processing sector and will help industry members work together to address common challenges and create new market opportunities for healthy and nutritious dairy products.” – Michael Dykes, D.V.M., President & CEO of International Dairy Foods Association
MIL OSI USA News –
February 11, 2025
MIL-OSI USA: Influenza A viruses adapt shape in response to environmental pressures
Source: US Department of Health and Human Services – 2
Media Advisory

Monday, February 10, 2025

NIH study identifies previously unknown adaptation.

What

Influenza A virus particles strategically adapt their shape—to become either spheres or larger filaments—to favor their ability to infect cells depending on environmental conditions, according to a new study from National Institutes of Health (NIH) scientists. This previously unrecognized response could help explain how influenza A and other viruses persist in populations, evade immune responses, and acquire adaptive mutations, the researchers explain in a new study published in Nature Microbiology.

The study, led by intramural researchers at NIH’s National Institute of Allergy and Infectious Diseases (NIAID), was designed to determine why many influenza A virus particles exist as filaments. The filament shape requires more energy to form than a sphere, they state, and its abundance has been previously unexplained. To find the answer, they developed a way to observe and measure real-time influenza A virus structure during formation.

The researchers found:
- Influenza A viruses rapidly adjust their shape when placed in conditions that reduce infection efficiency, such as the presence of antiviral antibodies or host incompatibility.
- A virus’ shape is dynamic and impacted by its environment, rather than being fixed by strain, as commonly believed.
- The study assessed 16 different virus-cell combinations that resulted in predictable shape trends.
Prior experiments by the research team showed that influenza A virus filaments can resist inactivation by antibodies, and the team is working understand exactly how antibodies influence shape and infection efficiency. They also anticipate learning how viral mutations affect the shape of the virus. Many other viruses – such as measles, Ebola, Nipah, Hendra and respiratory syncytial virus – also incorporate a mixed-shape infection strategy, the researchers note.

Article

E Partlow, et al. Influenza A virus rapidly adapts particle shape to environmental pressures. Nature Microbiology DOI: 10.1038/s41564-025-01925-9 (2025).

Who

Tijana Ivanovic, Ph.D., is chief of the Single Virion Biology and Biophysics Unit in the NIAID Laboratory of Viral Diseases.

NIAID conducts and supports research—at NIH, throughout the United States, and worldwide—to study the causes of infectious and immune-mediated diseases, and to develop better means of preventing, diagnosing and treating these illnesses. News releases, fact sheets and other NIAID-related materials are available on the NIAID website.

About the National Institutes of Health (NIH): NIH, the nation’s medical research agency, includes 27 Institutes and Centers and is a component of the U.S. Department of Health and Human Services. NIH is the primary federal agency conducting and supporting basic, clinical, and translational medical research, and is investigating the causes, treatments, and cures for both common and rare diseases. For more information about NIH and its programs, visit www.nih.gov.

NIH…Turning Discovery Into Health^®

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MIL OSI USA News –
February 11, 2025
MIL-OSI USA: MEDIA ADVISORY: HFAC Full Committee Hearing – The USAID Betrayal

Source: US House Committee on Foreign Affairs

Media Contact 202-226-8467

WASHINGTON, D.C. – The House Foreign Affairs Committee will hold a public hearing to examine United States Agency for International Development programs.

What: Full Committee Hearing

Date: Thursday, February 13, 2025

Time: 8:30am ET

Location: Rayburn 2172

Subject: The USAID Betrayal

Witnesses:

The Honorable Ted Yoho

Former U.S. Representative

Florida’s 3rd Congressional District

Max Primorac

Former Acting Administrator

Senior Research Fellow

Margaret Thatcher Center for Freedom

The Heritage Foundation

The Honorable Andrew Natsios

Former Administrator

U.S. Agency for International Development

***Coverage note: Check here for updates. The hearing will be webcast live here and open to the public and press. Spaces are limited – members of the media who would like to attend in-person should RSVP with with Joe Clark at joseph.clark@mail.house.gov to guarantee a seat. ***

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MIL OSI USA News –

February 11, 2025
MIL-OSI: Outbrain to Release Fourth Quarter and Full Year 2024 Financial Results on February 27, 2025

Source: GlobeNewswire (MIL-OSI)

NEW YORK, Feb. 10, 2025 (GLOBE NEWSWIRE) — Outbrain Inc. (NASDAQ: OB), which is operating under the new Teads brand, today announced that the company will release its fourth quarter and full year 2024 results before the market opens on Thursday, February 27, 2025, followed by a conference call at 8:30 a.m. (Eastern Time) that same day to discuss the company’s results and business outlook.

The conference call can be accessed live over the phone by dialing 1-877-497-9071 or for international callers, 1-201-689-8727. A replay will be available two hours after the call and can be accessed by dialing 1-877-660-6853, or for international callers, 1-201-612-7415. The passcode for the live call and the replay is 13750872. The replay will be available until March 13, 2025.

Interested investors and other parties may also listen to a simultaneous webcast of the conference call by logging onto the Investor Relations section of the Company’s website at https://investors.outbrain.com/. The online replay will be available for a limited time shortly following the call.

About The Combined Company
Outbrain Inc. (Nasdaq: OB) and Teads combined on February 3, 2025 and are operating under the new Teads brand. The new Teads is the omnichannel outcomes platform for the open internet, driving full-funnel results for marketers across premium media. With a focus on meaningful business outcomes, the combined company ensures value is driven with every media dollar by leveraging predictive AI technology to connect quality media, beautiful brand creative, and context-driven addressability and measurement. One of the most scaled advertising platforms on the open internet, the new Teads is directly partnered with more than 10,000 publishers and 20,000 advertisers globally. The company is headquartered in New York, with a global team of nearly 1,800 people in 36 countries.

To learn more, visit www.outbrain.com or www.teads.com

Media Contact
press@outbrain.com

Investor Relations Contact
IR@outbrain.com
(332) 205-8999

The MIL Network –

February 11, 2025
MIL-OSI USA: AFSCME’s Saunders: Workers and communities are paying the price of the administration dismantling federal agencies

Source: American Federation of State, County and Municipal Employees Union

WASHINGTON – AFSCME President Lee Saunders released the following statement after AFSCME members at the U.S. Department of Agriculture were placed on administrative leave to be furloughed:

“Federal workers and America’s communities are starting to pay the price of Elon Musk and his cronies’ unlawful efforts to dismantle essential public services. AFSCME members within the Department of Agriculture were notified that they will be furloughed since the administration has illegally eliminated the USAID, which funds the work they do. Because of these extremist actions, not only will people abroad go hungry, but American farmers will be left high and dry with no one to buy their crops. This is only the beginning of billionaires’ campaign to gut public services so they can hand over trillions in tax cuts to their wealthiest friends. It is shameful, and we will consider all our options to stop these actions.”

MIL OSI USA News –

February 11, 2025
MIL-OSI USA: Therapy helps peanut-allergic kids tolerate tablespoons of peanut butter

Source: US Department of Health and Human Services – 2

News Release

Monday, February 10, 2025

NIH trial informs potential treatment strategy for kids who already tolerate half a peanut or more.

Eating gradually increasing doses of store-bought, home-measured peanut butter for about 18 months enabled 100% of children with peanut allergy who initially could tolerate the equivalent of at least half a peanut to consume three tablespoons of peanut butter without an allergic reaction, researchers report. This easy-to-implement treatment strategy could potentially fulfill an unmet need for about half of children with peanut allergy, who already can tolerate the equivalent of at least half a peanut, considered a high threshold. The findings come from a trial sponsored and funded by the National Institutes of Health’s National Institute of Allergy and Infectious Diseases (NIAID) and published today in the journal NEJM Evidence.

“Children with high-threshold peanut allergy couldn’t participate in previous food allergy treatment trials, leaving them without opportunities to explore treatment options,” said NIAID Director Jeanne Marrazzo, M.D., M.P.H. “Today’s report focuses on this population and shows that a very safe and accessible form of therapy could be liberating for many of these children and their families.”

The food allergy treatments currently approved by the Food and Drug Administration were tested in children with low-threshold peanut allergy, who cannot tolerate the equivalent of even half a peanut. These treatments are designed to decrease the likelihood of a reaction to a small amount of peanut despite efforts to avoid it, as might occur with accidental exposure. This approach is not relevant to the estimated 800,000 U.S. children who may have high-threshold peanut allergy, leaving them with only one management strategy prior to the new report: peanut avoidance.

To address this need, researchers tested whether a low-cost, convenient treatment strategy could help children with high-threshold peanut allergy tolerate a much greater amount of peanut protein than they already did. The mid-stage trial involved 73 children ages 4 to 14 years. Based on parent or guardian report, nearly 60% of the children were white, 19% were Asian, 1.4% were Black, and 22% were more than one race. The study team assigned the children at random to either test the new treatment strategy or continue avoiding peanut.

Those in the peanut-ingestion group began with a minimum daily dose of 1/8 teaspoon of peanut butter. They gradually increased their dose every eight weeks up to 1 tablespoon of peanut butter or an equivalent amount of a different peanut product, such as peanut flour or candies. Dose increases took place under medical supervision at the study site. None of the children in the peanut-ingestion group needed epinephrine to treat severe allergic reactions during home dosing, and only one child needed epinephrine during a supervised dosing visit at the study site.

After undergoing the treatment regimen, the peanut-consuming children participated in an oral food challenge carefully supervised by the study team to see how much peanut butter they could eat without an allergic reaction. All 32 children who participated in the challenge could tolerate the maximum amount of 9 grams of peanut protein, the equivalent of 3 tablespoons of peanut butter. By contrast, only three of the 30 children in the avoidance group who underwent the oral food challenge after a similar amount of time in the trial could tolerate 9 grams of peanut protein. Three additional children in the avoidance group tolerated a challenge dose at least two doses greater than the amount they could tolerate at the start of the study.

The trial took place during the COVID-19 pandemic, and some families preferred to avoid indoor close contact with others at that time, so some children did not return to the study site for the oral food challenge. Using a common statistical technique to account for those missing challenge results, 100% of the ingestion group and 21% of the avoidance group tolerated at least two doses greater than they could at the outset.

Children in the peanut-ingestion group who could tolerate 9 grams of peanut protein during the oral food challenge consumed at least 2 tablespoons of peanut butter weekly for 16 weeks, then avoided peanut entirely for eight weeks. At that point, they were asked to return to the study site for a final oral food challenge.

Twenty-six of the 30 treated children (86.7%) who participated in the final challenge continued to tolerate 9 grams of peanut protein, indicating they had achieved sustained unresponsiveness to peanut. The three children in the avoidance group who could eat 9 grams of peanut protein without a reaction at the earlier challenge were considered to have developed natural tolerance to peanut. Analyzing these outcomes and including all 73 children who began the trial, regardless of whether they participated in the final challenge, investigators found that 68.4% of the peanut-ingestion group achieved sustained unresponsiveness, while only 8.6% of the avoidance group developed natural tolerance.

Based on these encouraging results, the investigators want to learn if the same treatment strategy would work for food allergens other than peanuts. Future follow-up is needed to determine the therapy’s effectiveness at inducing long-lasting tolerance of peanut.

Scott H. Sicherer, M.D., and Julie Wang, M.D., led the trial, which took place at the Elliot and Roslyn Jaffe Food Allergy Institute in Mount Sinai Kravis Children’s Hospital, New York. Dr. Sicherer is director of the Institute and the Elliot and Roslyn Jaffe Professor of Pediatric Allergy and Immunology. He is also chief of the Division of Allergy and Immunology in the Department of Pediatrics and medical director of the Clinical Research Unit in the ConduITS Institute for Translational Sciences at Icahn School of Medicine at Mount Sinai. Dr. Wang is a professor of pediatric allergy and immunology in the Elliot and Roslyn Jaffe Food Allergy Institute.

More information about the clinical trial, called the CAFETERIA study, is available at ClinicalTrials.gov under study identifier NCT03907397.

NIAID conducts and supports research—at NIH, throughout the United States, and worldwide—to study the causes of infectious and immune-mediated diseases, and to develop better means of preventing, diagnosing and treating these illnesses. News releases, fact sheets and other NIAID-related materials are available on the NIAID website.

About the National Institutes of Health (NIH): NIH, the nation’s medical research agency, includes 27 Institutes and Centers and is a component of the U.S. Department of Health and Human Services. NIH is the primary federal agency conducting and supporting basic, clinical, and translational medical research, and is investigating the causes, treatments, and cures for both common and rare diseases. For more information about NIH and its programs, visit www.nih.gov.

NIH…Turning Discovery Into Health^®

Reference

SH Sicherer et al. Randomized trial of high dose, home measured peanut oral immunotherapy in children with high threshold peanut allergy. NEJM Evidence DOI: 10.1056/EVIDoa2400306 (2025)

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MIL OSI USA News –

February 11, 2025
MIL-OSI USA: ICYMI: Sen. Joni Ernst in WSJ: USAID Is a Rogue Agency

US Senate News:

Source: United States Senator Joni Ernst (R-IA)
WASHINGTON – In case you missed it, U.S. Senator Joni Ernst (R-Iowa) detailed in the Wall Street Journal how the U.S. Agency for International Development (USAID) acts against our nation’s best interests and stonewalled her oversight of where tax dollars are going and why.
As Senate DOGE Caucus chair and founder, Senator Ernst will continue to work with President Trump’s Department of Government Efficiency (DOGE) to examine how taxpayers’ money is spent and put an end to any waste, fraud, and abuse.
WSJ: Sen. Joni Ernst: USAID Is a Rogue Agency
It dodges congressional questions about money that went to sex traffickers and the Wuhan virus lab.
By: Senator Joni Ernst
In moments of crisis, America can be counted on for leadership. Our nation’s compassionate giving has saved millions of lives around the world that were at risk from starvation or disease. All Americans should be able to take great pride in our generosity. And the government agencies coordinating aid efforts should be eager to share details about how they’re using taxpayers’ money to make the world a better place.
Yet the U.S. Agency for International Development, entrusted with disbursing tens of billions of aid dollars to other nations annually, is a rogue bureaucracy. I’ve uncovered that the agency often acts at odds with our nation’s best interests and uses intimidation and shell games to hide where money is going, how it’s being spent and why.
USAID repeatedly rebuffed my requests for a list of recipients of U.S. tax dollars sent to Ukraine, claiming that the information was classified. Despite the pushback, I persisted. Eventually, USAID permitted my staff to review documents under surveillance in a highly secure room at USAID headquarters, with note-taking prohibited.
What warranted such secrecy? We learned that the aid that was supposed to alleviate economic distress in the war-torn nation was spent on such frivolous activities as sending Ukrainian models and designers on junkets to New York City, London Fashion Week, Paris Fashion Week and South by Southwest in Austin, Texas.
I faced the same stonewalling from USAID when I asked about tax dollars being diverted from project missions for largely unrelated costs, known as the negotiated indirect cost rate. The agency claimed that it wasn’t possible to track. My team debunked that by providing USAID staff with a link to a public database. The agency fired back, warning that divulging this information would violate federal laws, including the Economic Espionage Act.
When I launched a formal investigation in cooperation with the House Foreign Affairs Committee, USAID relented. Turns out, the agency is allowing grantees to skim significant amounts of money, up to and even beyond half of the total, for themselves.
We need guarantees that U.S. assistance is helping people in need, but a recent review by the agency’s own inspector general found USAID still “does not have proper documentation to support indirect costs charged” by grant recipients.
I shouldn’t have to ask these questions. All federal spending is required to be publicly available on the website USAspending.gov, a searchable database created nearly two decades ago by a bipartisan law.
USAID’s sketchy spending schemes were the impetus for this law aimed at making federal funding more transparent. Congressional investigators in 2005 caught the agency supporting an organization involved with the trafficking of teenage girls in Asia. USAID staff called the claims “destructive” and vehemently denied them. The evidence proved otherwise. A pass-through group, set up with the help of former agency employees, was found funneling U.S. tax dollars into abetting the sex trade operation.
The agency has learned to exploit loopholes in the law, as my investigation into the origins of the pandemic exposed. The watchdog organization White Coat Waste Project was the first to release evidence that both USAID and Anthony Fauci’s National Institute of Allergy and Infectious Diseases were financing bat studies involving coronaviruses at the Wuhan Institute of Virology. Yet no grants to the Chinese lab appeared in USAspending.gov. Audits later uncovered that more than a million dollars from the U.S. government were paying for the dangerous research. The bulk of the money was provided by USAID, not Dr. Fauci.
USAID evaded the obligation to report this transaction to USAspending.gov by using multiple pass-through organizations, including the nefarious EcoHealth Alliance, which is now barred from receiving U.S. government grants.
What was our international development agency developing at China’s Wuhan Institute of Virology? If the Central Intelligence Agency and Federal Bureau of Investigation are correct that the Covid virus likely originated from a lab leak, USAID may have had a hand in a once-in-a-century pandemic that claimed the lives of millions.
There’s no shortage of other questionable USAID projects. More than $9 million intended for civilian food and medical supplies in Syria ended up in the hands of violent terrorists. Another $2 million was spent promoting tourism to Lebanon, a nation the State Department warns against traveling to due to the risks of terrorism, kidnapping and unexploded land mines.
USAID spent millions of dollars paying people to dig irrigation ditches in Afghanistan and encouraging farmers to grow food crops instead of poppies for opium. The result: Poppy cultivation nearly doubled.
Many other groups supported by USAID are doing great work, such as caring for orphans and people living with HIV. Imagine how much more good work could be supported with the dollars that instead ended up enriching terrorists, sex traffickers, mad scientists and drug cartels.
After keeping its spending records hidden from Congress and taxpayers, USAID employees are now protesting the review of the agency’s records by President Trump’s Department of Government Efficiency. It’s no surprise that Washington insiders are more upset at DOGE for trying to stop wasteful spending than at USAID for misusing tax dollars.
The question we should be asking isn’t why USAID’s grants are being scrutinized, but why it took so long.
Ms. Ernst, an Iowa Republican, is founder and chairwoman of the Senate DOGE Caucus.

MIL OSI USA News –

February 11, 2025
MIL-OSI: ConnectM Publishes 2024 Impact Scorecard
Source: GlobeNewswire (MIL-OSI)

~Ends 2024 With Triple Digit Growth Across All Electrification Metrics~

MARLBOROUGH, Mass., Feb. 10, 2025 (GLOBE NEWSWIRE) — ConnectM Technology Solutions, Inc. (NASDAQ:CNTM) (“ConnectM” or the “Company”), a technology company focused on the electrification economy, today published its impact scorecard for the fourth quarter of 2024. Following the end of each quarter, ConnectM publishes its quarterly scorecard to provide the Company’s key electrification indicators which we use as internal operating performance measures. ConnectM determines its quarterly impact score metrics by aggregating data and behavioral analytics sourced from our Energy Intelligence Network and integrated artificial intelligence technology.

Electrification Impact Scorecard for year-end 2024 (compared to year-end 2023)
- 95.5 GWh of Electrification, an increase of 331% over last year and equivalent to 35,000 homes powered per day¹
- 73,506 Metric Tons of Co2 Displaced, an increase of 391% over last year and equivalent to the amount of CO2 3.4 million trees can absorb in a year²
- 6.7 Million Gallons of Fossil Fuel Displaced, an increase of 343% over last year and equivalent to driving around the world roughly 7,000 times³
Bhaskar Panigrahi, Chairman and Chief Executive Officer of ConnectM, commented, “ConnectM’s 2024 impact scorecard reaffirms our unwavering commitment to accelerating the electrification economy. Our triple-digit growth across key metrics reflects the power of AI-driven insights and data intelligence in scaling cleaner, more efficient energy solutions. As we expand our technology’s reach, we remain focused on delivering measurable, sustainable impact for our customers, partners, and stakeholders.”

About ConnectM Technology Solutions, Inc.
ConnectM is a pioneer in the electrification economy, integrating energy assets with its AI-driven technology platform. Focused on delivering solutions that drive efficiency, affordability, and sustainability, ConnectM serves home, facility, and fleet across three major segments: Building Electrification, Distributed Energy, and Transportation and Logistics. The company’s vertically integrated approach combines technology, service/distribution networks, and strategic partnerships to accelerate the transition to an all-electric energy economy.

For more information, please visit: www.connectm.com. Stockholders looking to receive Company updates directly to their inbox should sign up here.

Contact:
Investor Relations
Dave Gentry, CEO
RedChip Companies, Inc.
1-407-644-4256
CNTM@redchip.com

____________________
¹U.S. Energy Information Administration (EIA) – Assuming the average home uses about 30 kilowatt-hours per day.
²US Department of Agriculture
³Assumes 26 miles per gallon

The MIL Network –
February 11, 2025

MIL-OSI: PrairieSky Announces Fourth Quarter and Year-End Results for 2024, Including Record Annual Oil Royalty Production and Increased Annual Dividend

Source: GlobeNewswire (MIL-OSI)

CALGARY, Alberta, Feb. 10, 2025 (GLOBE NEWSWIRE) — PrairieSky Royalty Ltd. (“PrairieSky” or the “Company”) (TSX: PSK) is pleased to announce its fourth quarter and year-end operating and financial results for the period ended December 31, 2024. PrairieSky is also pleased to announce a 4% increase in its annual dividend policy to $1.04 per common share ($0.26 per common share quarterly).

Fourth Quarter Highlights:

Oil royalty production volumes averaged 13,317 barrels per day, a 4% increase over Q4 2023⁽¹⁾, driven by strong third-party activity in the Mannville Stack⁽²⁾ and Clearwater. Total royalty production averaged 24,982 BOE per day, a 2% decrease from Q4 2023 due to declines in natural gas and NGL production.
Royalty production revenue of $115.6 million combined with other revenue of $20.0 million to generate total revenues of $135.6 million for Q4 2024⁽¹⁾. Other revenue included bonus consideration of $15.8 million earned on entering into 60 new leasing arrangements focused on light and heavy oil targets across a number of different plays.
Funds from operations totaled $99.0 million or $0.41 per share, 11% below Q4 2023 primarily due to lower natural gas benchmark pricing.
Declared a fourth quarter dividend of $59.9 million ($0.25 per common share), representing a payout ratio of 61%.
Completed $31.5 million of both producing and non-producing royalty interest acquisitions primarily targeting light and heavy oil plays in Central Alberta and Saskatchewan. Acquisitions of producing assets (50 BOE per day) closed in late December 2024.

Annual Highlights:

Record annual oil royalty production volumes averaged 13,125 barrels per day, a 6% increase over YE 2023⁽¹⁾. Total royalty production averaged 25,186 BOE per day, a 1% increase over YE 2023 as higher oil royalty volumes were partially offset by lower natural gas and NGL royalty volumes due to shut-ins and declines related to weak benchmark natural gas pricing.
Royalty production revenue of $465.8 million combined with other revenue of $43.4 million to generate total revenues of $509.2 million for YE 2024⁽¹⁾. Other revenue included bonus consideration of $30.8 million earned on entering into 219 new leasing arrangements focused on light and heavy oil targets across a number of different plays.
Funds from operations totaled $380.5 million or $1.59 per share, 1% below YE 2023.
Corporate proved plus probable reserves totaled 63,653 MBOE relative to 65,762 MBOE at December 31, 2023. Proved plus probable oil reserves totaled 26,620 Mbbl, a 3.5% increase over the prior year primarily due to drilling extensions in the Clearwater, Duvernay and Mannville light and heavy oil plays.
Declared cumulative annual dividends of $239.0 million ($1.00 per common share), representing a payout ratio of 63%.
Completed $57.3 million of both producing and non-producing royalty interest acquisitions primarily targeting light and heavy oil plays in Central Alberta and Saskatchewan.
Net debt totaled $134.9 million as at December 31, 2024, a decrease of $87.2 million or 39% since December 31, 2023.

Dividend Increase:

PrairieSky is pleased to announce a 4% increase in its annual dividend policy to $1.04 per common share, to be paid on a quarterly basis ($0.26 per common share quarterly). Subject to the approval of the Board of Directors, the first quarterly dividend of $0.26 per common share is expected to be effective for the March 31, 2025 record date.

President’s Message

Oil royalty production averaged 13,317 barrels per day in Q4 2024 and drove funds from operations which totaled $99.0 million ($0.41 per share). These results capped off a strong 2024 with annual funds from operations of $380.5 million ($1.59 per share) and record annual oil royalty production of 13,125 barrels per day, a 6% increase over YE 2023. The growth in oil royalty volumes is a direct result of our strategy of investing in royalties in low-cost oil plays. For 2024, oil royalty production from the Clearwater and Mannville Stack plays represented 21% of total oil royalty production, up from 17% in 2023. The momentum in these plays is expected to continue into 2025 and beyond. We have also seen strong initial results from new wells on our West Shale Duvernay acreage as well as incremental well licensing, which we expect to provide growth in high netback light oil volumes in 2025.

Third-party operators spud 205 wells on PrairieSky’s royalty acreage during Q4 2024, an increase from 197 wells spud in Q4 2023. The average royalty rate for wells spud in the quarter was 6.2% (Q4 2023 – 7.2%). There were 46 wells spud in the Clearwater, a 5% increase over Q4 2023, with an additional 13 wells spud in the Mannville Stack in the quarter. This brought 2024 annual spuds on PrairieSky’s royalty properties to 741 wells, as compared to 805 wells in 2023, with an average royalty rate of 5.9% (2023 – 7.2%). Multi-lateral drilling continues to increase on our lands accounting for 77 of the spuds in the quarter and bringing 2024 annual multi-lateral drilling to 36% of the activity on our royalty lands versus 31% in YE 2023. Increased multi-lateral drilling activity helped drive the 3.5% increase in proved plus probable oil reserves to 26,620 Mbbl. Corporate proved plus probable reserves decreased to 63,653 MBOE primarily due to lower natural gas pricing impacting both the level of activity in 2024 and future economics.

Strong oil royalty volumes generated royalty revenue of $100.0 million and represented 87% of total royalty production revenue of $115.6 million for Q4 2024. Natural gas royalty production of 55.1 MMcf per day and NGL royalty production of 2,482 barrels per day decreased 9% and 8% in the quarter, respectively, as compared to Q4 2023 due to lower third-party drilling activity driven by weak natural gas benchmark pricing with daily AECO index pricing averaging $1.48 per Mcf. Natural gas royalty revenue totaled $6.3 million and NGL royalty revenue totaled $9.3 million in the quarter. Total royalty production averaged 24,982 BOE per day in Q4 2024, 2% lower than Q4 2023. PrairieSky’s annual total royalty production averaged 25,186 BOE per day, 1% ahead of YE 2023, and generated annual royalty production revenue of $465.8 million, 2% behind YE 2023.

Leasing continued to be busy across a number of oil plays including the Duvernay, Mannville and Mannville Stack. Our team issued 60 new leases to 47 separate counterparties and earned $15.8 million in lease bonus consideration in the quarter, which included non-cash consideration of $8.2 million for certain leases that were exchanged for a non-producing gross overriding royalty interest targeting Mannville heavy oil with polymer enhanced oil recovery⁽³⁾ potential. For YE 2024, lease bonus consideration totaled $30.8 million from issuing 219 new leases to 101 separate counterparties, the second highest number of leases issued in a single year as third-party operators looked to build out their drilling inventories.

In addition to active leasing in the quarter, PrairieSky acquired $31.5 million of incremental producing and non-producing royalty interests focused on heavy and light oil plays in Central Alberta and Saskatchewan. Acquisitions of producing assets, approximately 50 BOE per day, closed in late December 2024. PrairieSky also entered into an arrangement with a third-party operator to provide a letter of credit which secured their bank facility in order to provide capital to the operator to advance its Montney oil drilling program where PrairieSky has a royalty interest. The letter of credit is secured by a debenture over certain of the third-party operator’s assets. For YE 2024, acquisitions of producing and non-producing royalty properties totaled $57.3 million and were focused on heavy and light oil plays in Central Alberta and Saskatchewan. On January 10, 2025, PrairieSky completed an acquisition of fee lands, lessor interests and gross overriding royalty interests primarily in Central Alberta and Southeast Saskatchewan for cash consideration of $50 million, before customary closing adjustments. The acquisition is expected to add approximately 350 BOE per day of production (65% liquids).

PrairieSky declared a dividend of $0.25 per share or $59.9 million in the quarter with a resulting payout ratio of 61%. Excess funds from operations, after the payment of the dividend and acquisitions, were used to reduce PrairieSky’s net debt which totaled $134.9 million at December 31, 2024, a decrease of $87.2 million from December 31, 2023. During the quarter, PrairieSky amended its credit facility, voluntarily reducing it to $350 million from $725 million. The credit facility provides for a permitted increase up to $600 million, subject to lender consent. Management believes PrairieSky’s high margin, low-cost business model is uniquely suited to provide sustainable returns to shareholders through all commodity price cycles and we are pleased to announce a 4% increase to our annual dividend policy to $1.04 per common share annually ($0.26 per share quarterly). Subject to the approval of the Board of Directors, the first quarterly dividend of $0.26 per common share is expected to be effective for the March 31, 2025 record date.

The level of activity on our land base and cash flow generation underscores the benefits of our strategy of investing in low-cost oil plays and the optionality of owning fee mineral title acreage. I am very pleased with our 2024 annual results and the trajectory of the business. I would like to thank our staff for their hard work throughout the year and our shareholders for their continued support.

Andrew Phillips, President & CEO

ACTIVITY ON PRAIRIESKY’S ROYALTY PROPERTIES

Third-party operators continued to be active across PrairieSky’s land base in Q4 2024. There were 205 wells spud (97% oil wells) in the quarter which included 114 wells on GORR acreage, 80 wells on Fee Lands, and 11 unit wells. There were a total of 198 oil wells spud during the quarter which included 55 Mannville light and heavy oil wells, 46 Clearwater wells, 28 Viking wells, 22 Mississippian wells, 17 Bakken wells and 30 additional oil wells spud in the Belly River, Cardium, Charlie Lake, Devonian, Duvernay, Montney, Nisku, and Triassic formations. There were 3 Montney natural gas wells spud in Q4 2024 as well as additional gas wells in the Mannville and Viking formations. PrairieSky’s average royalty rate for wells spud in Q4 2024 was 6.2% (Q4 2023 – 7.2%). 2024 annual spuds on PrairieSky’s royalty properties totaled 741 wells, as compared to 805 wells in 2023, with an average royalty rate of 5.9% (2023 – 7.2%).

For YE 2024, PrairieSky estimates that $1.9 billion (net – $93 million) in third-party capital was spent drilling and completing wells on PrairieSky’s royalty properties, a decrease from $2.0 billion (net capital – $112 million) in YE 2023. Activity on PrairieSky’s lands drove a 3.5% increase in proved plus probable oil reserves as discussed further below.

ANNUAL DIVIDEND INCREASED 4% TO $1.04 PER SHARE

PrairieSky is pleased to announce a 4% increase in its annual dividend policy to $1.04 per common share in 2025, to be paid on a quarterly basis. Subject to the approval of the Board of Directors, the first quarterly dividend of $0.26 per common share is expected to be effective for the March 31, 2025 record date. In determining changes to the dividend policy, the Board of Directors considers a number of factors including current and projected activity levels on PrairieSky’s royalty lands, the current commodity price environment, the working capital and bank debt balance and net earnings of the Company.

2024 RESERVES INFORMATION

PrairieSky’s proved plus probable oil reserves increased 3.5% to 26,620 MBOE at December 31, 2024, as drilling extensions and improved recoveries outpaced annual production. PrairieSky’s corporate proved plus probable reserves totaled 63,653 MBOE at December 31, 2024 (December 31, 2023 – 65,762 MBOE). Proved plus probable reserves decreased from 2023, with positive year over year changes to oil reserves outpaced by declines in natural gas and NGL reserves, primarily as a result of lower natural gas pricing impacting both activity on the royalty properties in 2024 and the future economics of certain natural gas plays using the pricing assumptions at December 31, 2024. The increase in oil proved plus probable reserves drove a 5% increase in the before-tax net present value of total proved plus probable reserves, discounted at 10%, to $1.93 billion (2023 – $1.84 billion). Changes to proved plus probable reserves comprised of additions related to third-party drilling and improved recovery (7,131 MBOE), technical additions (624 MBOE) and acquisitions (205 MBOE) less 2024 royalty production volumes of 9,218 MBOE and economic factors (851 MBOE). PrairieSky’s proved plus probable reserves include only developed assets (developed producing and developed non-producing properties) and do not include any future development capital on undeveloped lands.

PrairieSky’s YE 2024 reserves were evaluated by independent reserves evaluators GLJ Ltd. The evaluation of PrairieSky’s royalty properties was done in accordance with the definitions, standards and procedures contained in the Canadian Oil and Gas Evaluation Handbook and National Instrument 51-101 – Standards of Disclosure for Oil and Gas Activities. PrairieSky’s reserves information is included in the Company’s Annual Information Form for the year ended December 31, 2024, which is available on SEDAR+ at www.sedarplus.com and PrairieSky’s website at www.prairiesky.com.

2025 INVESTOR DAY

PrairieSky will be hosting an investor day on May 14, 2025, in Calgary, Alberta, where members of PrairieSky’s management team will present details on the Company’s oil and natural gas plays. The investor day will be webcast starting at 9:30 a.m. MDT (11:30 a.m. EDT). Interested parties may participate in the webcast which will be available through PrairieSky’s investor center at www.prairiesky.com. The webcast will be archived and accessible for replay after the event.

NOTES AND REFERENCES

(1) In this press release, the financial reporting periods are referred to as follows: “Q4 2024” or “the quarter” refers to the three months ended December 31, 2024; “YE 2024” or “the year” refers to the year ended December 31, 2024; “Q4 2023” and “YE 2023” refer to the three months and year ended December 31, 2023, respectively.

(2) For further details on the “Mannville Stack”, we refer you to PrairieSky’s most recent Corporate Presentation contained on PrairieSky’s website at www.prairiesky.com.

(3) “enhanced oil recovery” means the extraction of additional crude oil, natural gas, and related substances from reservoirs through a production process other than natural depletion; includes both secondary and tertiary recovery processes such as pressure maintenance, cycling, waterflooding, thermal methods, chemical flooding, and using miscible and immiscible displacement fluids.

Unless otherwise indicated or the context otherwise requires, terms used in this press release but not defined above are as defined in in the Company’s Annual Information Form for the year ended December 31, 2024 which is available on SEDAR+ at www.sedarplus.com and PrairieSky’s website at www.prairiesky.com.

FINANCIAL AND OPERATIONAL INFORMATION

The following table summarizes select operational and financial information of the Company for the periods noted. All dollar amounts are stated in Canadian dollars unless otherwise noted.

A full version of PrairieSky’s management’s discussion and analysis (“MD&A”) and annual audited consolidated financial statements and notes thereto for the fiscal period ended December 31, 2024 is available on SEDAR+ at www.sedarplus.com and PrairieSky’s website at www.prairiesky.com.

	Three months ended						Year ended
	December 31		September 30		December 31		December 31		December 31
($ millions, except per share or as otherwise noted)	2024		2024		2023		2024		2023
FINANCIAL
Revenues	135.6		117.3		136.6		509.2		513.2

Funds from operations	99.0		92.4		111.1		380.5		382.5
Per share – basic and diluted⁽¹⁾	0.41		0.39		0.46		1.59		1.60

Net earnings	60.2		47.3		67.4		215.3		227.6
Per share – basic and diluted⁽¹⁾	0.25		0.20		0.28		0.90		0.95

Dividends declared⁽²⁾	59.9		59.7		57.3		239.0		229.2
Per share	0.25		0.25		0.24		1.00		0.96

Dividend payout ratio⁽³⁾	61	%	65	%	52	%	63	%	60	%

Acquisitions – including non-cash consideration⁽⁴⁾	31.5		4.7		22.2		57.3		58.4
Net debt⁽⁵⁾	134.9		149.6		222.1		134.9		222.1

Shares outstanding
Shares outstanding at period end	239.0		239.0		239.0		239.0		239.0
Weighted average – basic and diluted	239.0		239.0		239.0		239.0		239.0

OPERATIONAL
Royalty production volumes
Crude oil (bbls/d)	13,317		12,733		12,844		13,125		12,438
NGL (bbls/d)	2,482		2,189		2,697		2,378		2,502
Natural gas (MMcf/d)	55.1		57.0		60.4		58.1		59.5
Royalty Production (BOE/d)⁽⁶⁾	24,982		24,422		25,608		25,186		24,857

Realized pricing
Crude oil ($/bbl)	81.66		85.90		83.27		84.12		82.52
NGL ($/bbl)	40.68		41.10		46.07		43.28		47.60
Natural gas ($/Mcf)	1.23		0.50		2.19		1.13		2.60
Total ($/BOE)⁽⁶⁾	50.30		49.63		51.78		50.53		52.31

Operating netback per BOE⁽⁷⁾	45.86		46.65		48.68		45.82		46.32

Funds from operations per BOE	43.07		41.12		47.16		41.28		42.16

Oil price benchmarks
West Texas Intermediate (WTI) (US$/bbl)	70.27		75.10		78.32		75.72		77.62
Edmonton light sweet ($/bbl)	94.90		97.77		99.72		97.55		100.46
Western Canadian Select (WCS) crude oil differential to WTI (US$/bbl)	(12.55	)	(13.55	)	(21.89	)	(14.76	)	(18.65	)

Natural gas price benchmarks
AECO Monthly Index ($/Mcf)	1.46		0.81		2.66		1.44		2.93
AECO Daily Index ($/Mcf)	1.48		0.69		2.30		1.46		2.64

Foreign exchange rate (US$/CAD$)	0.7147		0.7341		0.7343		0.7299		0.7410
(1) Funds from operations and net earnings per share are calculated using the weighted average number of basic and diluted common shares outstanding. (2) A dividend of $0.25 per share was declared on December 3, 2024. The dividend was paid on January 15, 2025 to shareholders of record as at December 31, 2024. (3) Dividend payout ratio is defined under the “Non-GAAP Measures and Ratios” section of this press release. (4) Excluding right-of-use asset additions. (5) See Note 16 “Capital Management” in the annual audited consolidated financial statements for the years ended December 31, 2024 and 2023 and Note 14 “Capital Management” in the interim condensed consolidated financial statements for the three and nine months ended September 30, 2024 and 2023. (6) See “Conversions of Natural Gas to BOE”. (7) Operating netback per BOE is defined under the “Non-GAAP Measures and Ratios” section of this press release.

CONFERENCE CALL DETAILS

A conference call to discuss the results will be held for the investment community on Tuesday, February 11, 2025, beginning at 6:30 a.m. MST (8:30 a.m. EST). To participate in the conference call, you are asked to register at one of the links provided below. Details regarding the call will be provided to you upon registration.

Live call participant registration
URL: https://register.vevent.com/register/BIec7e34fab05745059bfbdddfab97dbdb

Live webcast participant registration (listen in only)
URL: https://edge.media-server.com/mmc/p/xfyj3o3u

FORWARD-LOOKING STATEMENTS

This press release includes certain forward-looking information and forward-looking statements (collectively, “forward-looking statements”) which may include, but are not limited to PrairieSky’s future plans, current expectations and views of future operations and contains forward-looking statements that the Company believes allow readers to better understand the Company’s business and prospects. The use of any of the words “expect”, “expected to”, “anticipate”, “continue”, “estimate”, “objective”, “ongoing”, “may”, “will”, “project”, “should”, “believe”, “plans”, “intends”, “strategy” and similar expressions (including negative variations) are intended to identify forward-looking information or statements. Forward-looking statements contained in this press release include, but are not limited to, estimates regarding our expectations with respect to PrairieSky’s business and growth strategy and trajectory, including the benefits of the Company’s strategy of investing in low-cost oil plays and the optionality of owning fee mineral title acreage, the expectation that the production growth momentum in the Clearwater and Mannville Stack heavy oil plays will continue, the expectation that incremental well licensing in the Duvernay play will provide growth in high netback light oil volumes in 2025 and the expectation that, subject to approval of the Board of Directors, PrairieSky will declare a quarterly dividend of $0.26 per common share for shareholders of record on March 31, 2025.

With respect to forward-looking statements contained in this press release, PrairieSky has made several assumptions including those described in detail in our MD&A and the Annual Information Form for the year ended December 31, 2024. Readers and investors are cautioned that the assumptions used in the preparation of such forward-looking information and statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. PrairieSky’s actual results, performance, or achievements could differ materially from those expressed in, or implied by, these forward-looking statements. PrairieSky can give no assurance that any of the events anticipated will transpire or occur, or if any of them do, what benefits the Company will derive from them.

By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond PrairieSky’s control, including the impact of general economic conditions including inflation, industry conditions, volatility of commodity prices, lack of pipeline capacity, currency fluctuations, increasing interest rates, imprecision of reserve estimates, competitive factors impacting royalty rates, environmental risks, taxation, regulation, changes in tax or other legislation, competition from other industry participants, the lack of availability of qualified personnel or management, stock market volatility, political and geopolitical instability, the imposition of any tariffs or other restrictive trade measures or countermeasures affecting trade between Canada and the United States and the Company’s ability to access sufficient capital from internal and external sources. In addition, PrairieSky is subject to numerous risks and uncertainties in relation to acquisitions. These risks and uncertainties include risks relating to the potential for disputes to arise with counterparties, and limited ability to recover indemnification under certain agreements. The foregoing and other risks, uncertainties and assumptions are described in more detail in PrairieSky’s MD&A, and the Annual Information Form for the year ended December 31, 2024 under the headings “Risk Management” and “Risk Factors”, respectively, each of which is available on SEDAR+ at www.sedarplus.com and PrairieSky’s website at www.prairiesky.com.

Further, any forward-looking statement is made only as of the date of this press release, and PrairieSky undertakes no obligation to update or revise any forward-looking statement or statements to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by applicable securities laws. New factors emerge from time to time, and it is not possible for PrairieSky to predict all of these factors or to assess, in advance, the impact of each such factor on PrairieSky’s business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.

CONVERSIONS OF NATURAL GAS TO BOE

To provide a single unit of production for analytical purposes, natural gas production and reserves volumes are converted mathematically to equivalent barrels of oil (BOE). PrairieSky uses the industry-accepted standard conversion of six thousand cubic feet of natural gas to one barrel of oil (6 Mcf = 1 bbl). The 6:1 BOE ratio is based on an energy equivalency conversion method primarily applicable at the burner tip. It does not represent a value equivalency at the wellhead and is not based on either energy content or current prices. While the BOE ratio is useful for comparative measures and observing trends, it does not accurately reflect individual product values and might be misleading, particularly if used in isolation. As well, given that the value ratio, based on the current price of crude oil to natural gas, is significantly different from the 6:1 energy equivalency ratio, using a 6:1 conversion ratio may be misleading as an indication of value.

NON-GAAP MEASURES AND RATIOS

Certain measures and ratios in this document do not have any standardized meaning as prescribed by IFRS and, therefore, are considered non-GAAP measures and ratios. These measures and ratios may not be comparable to similar measures and ratios presented by other issuers. These measures and ratios are commonly used in the oil and natural gas industry and by PrairieSky to provide potential investors with additional information regarding the Company’s liquidity and its ability to generate funds to conduct its business. Non-GAAP measures and ratios include operating netback per BOE and dividend payout ratio. Management’s use of these measures and ratios is discussed further below. Further information can be found in the Non-GAAP Measures and Ratios section of PrairieSky’s MD&A for the year ended December 31, 2024 and 2023.

“Operating netback per BOE” represents the cash margin for products sold on a BOE basis. Operating netback per BOE is calculated by dividing the operating netback (royalty production revenue less production and mineral taxes and cash administrative expenses) by the average daily production volumes for the period. Operating netback per BOE is used to assess the cash generating and operating performance per unit of product sold and the comparability of the underlying performance between years. Operating netback per BOE measures are commonly used in the oil and natural gas industry to assess performance comparability. Refer to the Operating Results table on page 7 of PrairieSky’s MD&A for the year ended December 31, 2024 and 2023 and page 7 of PrairieSky’s MD&A for the three and nine months ended September 30, 2024 and 2023.

	Three months ended						Year ended
	December 31		September 30		December 31		December 31		December 31
($ millions)	2024		2024		2023		2024		2023
Cash from operating activities	91.3		109.6		128.0		379.9		318.9
Other revenue	(20.0	)	(5.8	)	(14.6	)	(43.4	)	(38.6	)
Other revenue – non-cash	8.2		–		–		8.2		0.5
Amortization of debt issuance costs	(0.2	)	(0.1	)	(0.1	)	(0.5	)	(0.4	)
Finance expense	2.3		2.7		3.9		12.2		17.5
Current tax expense	16.2		15.6		14.4		65.5		58.8
Interest on lease obligation	(0.1	)	–		–		(0.1	)	–
Net change in non-cash working capital	7.7		(17.2	)	(16.9	)	0.6		63.6
Operating netback	105.4		104.8		114.7		422.4		420.3

“Operating Margin” represents operating netback as a percentage of royalty production revenue. Management uses this measure to demonstrate the comparability between the Company and production and exploration companies in the oil and natural gas industry as it shows net revenue generation from operations.

	Three months ended						Year ended
	December 31		September 30		December 31		December 31		December 31
($ millions)	2024		2024		2023		2024		2023
Royalty production revenue	115.6		111.5		122.0		465.8		474.6
Operating netback	105.4		104.8		114.7		422.4		420.3
Operating margin	91	%	94	%	94	%	91	%	89	%

“Dividend payout ratio” is calculated as dividends declared as a percentage of funds from operations. Payout ratio is used by dividend paying companies to assess dividend levels in relation to the funds generated and used in operating activities.

	Three months ended						Year ended
	December 31		September 30		December 31		December 31		December 31
($ millions, except otherwise noted)	2024		2024		2023		2024		2023
Funds from operations	99.0		92.4		111.1		380.5		382.5
Dividends declared	59.9		59.7		57.3		239.0		229.2
Dividend payout ratio	61	%	65	%	52	%	63	%	60	%

ABOUT PRAIRIESKY ROYALTY LTD.

PrairieSky is a royalty company, generating royalty production revenues as oil and natural gas are produced from its properties. PrairieSky has a diverse portfolio of properties that have a long history of generating funds from operations and that represent the largest and most consolidated independently-owned fee simple mineral title position in Canada. PrairieSky’s common shares trade on the Toronto Stock Exchange under the symbol PSK.

FOR FURTHER INFORMATION PLEASE CONTACT:

Andrew M. Phillips
President & Chief Executive Officer
PrairieSky Royalty Ltd.
(587) 293-4005

Michael T. Murphy
Vice-President, Geosciences & Capital Markets
PrairieSky Royalty Ltd.
(587) 293-4056

Investor Relations
(587) 293-4000
www.prairiesky.com

Pamela P. Kazeil
Senior Vice-President, Finance & Chief Financial
Officer
PrairieSky Royalty Ltd.
(587) 293-4089

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The MIL Network –

February 11, 2025

MIL-OSI: Astera Labs Announces Financial Results for the Fourth Quarter of Fiscal Year 2024

Source: GlobeNewswire (MIL-OSI)

Record quarterly revenue of $141.1 million, up 25% QoQ and up 179% YoY
Fiscal 2024 record revenue of $396.3 million, up 242% versus the prior year
Ramping across diverse set of customers and platforms with four product families in fiscal 2025

SANTA CLARA, Calif., Feb. 10, 2025 (GLOBE NEWSWIRE) — Astera Labs, Inc. (Nasdaq: ALAB), a global leader in semiconductor-based connectivity solutions for cloud and AI infrastructure, today announced preliminary financial results for the fourth quarter and full fiscal year 2024, ended December 31, 2024.

“Astera Labs delivered strong Q4 results, with revenue growing 25% versus the previous quarter, and capped off a stellar 2024 with 242% revenue growth year-over-year,” said Jitendra Mohan, Astera Labs’ Chief Executive Officer. “The revenue growth in 2024 was largely driven by Aries PCIe Retimer products, with Taurus Smart Cable Modules for Ethernet coming in strongly in Q4. We expect 2025 to be a breakout year as we enter a new phase of growth driven by revenue from all four of our product families to support a diverse set of customers and platforms. This includes our flagship Scorpio Fabric products for head-node PCIe connectivity and backend AI accelerator scale-up clustering.”

Fourth Quarter of Fiscal 2024 Financial Highlights

GAAP Financial Results:

Revenue of $141.1 million, up 25% sequentially and up 179% year-over-year
GAAP gross margin of 74.0%
GAAP operating income of $0.1 million
GAAP operating margin of 0.1%
GAAP net income of $24.7 million
GAAP diluted net earnings per share of $0.14

Non-GAAP Financial Results (excluding the impact of stock-based compensation expense and the income tax effects of non-GAAP adjustments):

Non-GAAP gross margin of 74.1%
Non-GAAP operating income of $48.4 million
Non-GAAP operating margin of 34.3%
Non-GAAP net income of $66.5 million
Non-GAAP diluted earnings per share of $0.37

Full Year Fiscal 2024 Financial Highlights

GAAP Financial Results:

Revenue of $396.3 million, up 242% year-over-year
GAAP gross margin of 76.4%
GAAP operating loss of $116.1 million
GAAP operating margin of (29.3%)
GAAP net loss of $83.4 million
GAAP diluted net loss per share of $0.64

Non-GAAP and Non-GAAP Financial Results (excluding the impact of stock-based compensation expense and the income tax effects of non-GAAP adjustments):

Non-GAAP gross margin of 76.6%
Non-GAAP operating income of $119.6 million
Non-GAAP operating margin of 30.2%
Non-GAAP net income of $143.3 million
Pro forma non-GAAP diluted earnings per share of $0.84

Full Year Fiscal 2024 Business Highlights

Introduced new portfolio of Scorpio Smart Fabric Switches purpose-built for AI infrastructure at cloud-scale. The Scorpio Smart Fabric Switch family features two application-specific product lines with a multi-generational roadmap, including the P-Series for GPU-to-CPU/NIC/SSD PCIe Gen 6 connectivity and the X-Series for platform-specific, back-end AI accelerator clustering. Scorpio is currently shipping in pre-production quantities.
Joined the Ultra Accelerator Link Consortium as a promoting member on the Board of Directors. UALink technology will be used to enable efficient high-speed scale-up connectivity between AI accelerators within large and growing cluster sizes for AI workloads. Astera Labs is well positioned to quickly contribute to this new and compelling industry initiative to develop and advance UALink technology.
Demonstrated the industry’s first end-to-end PCIe optical connectivity link to provide extended reach for larger, disaggregated GPU clusters. PCIe over optics expands Astera Labs’ widely deployed and field-tested Aries family of Smart DSP retimers and Smart Cable Modules (SCMs) to deliver robust PCIe and CXL connectivity in chip-to-chip, box-to-box, and rack-to-rack topologies throughout the data center.
Expanded the widely deployed and field-tested Aries PCIe/CXL Smart DSP Retimer portfolio with the introduction and initial shipment of Aries 6 Retimers, the industry’s lowest power PCIe 6.x/CXL 3.x Retimer solution, to achieve higher bandwidth and extended reach across complex AI and compute topologies.
Shipped Aries PCIe/CXL Smart Cable Modules for Active Electrical Cable applications to enable multi-rack GPU clustering and low-latency memory fabric connectivity within AI infrastructure. The solution drives seven meters of reach over flexible copper cables to seamlessly and affordably interconnect clusters of GPUs across rack enclosures.
Showcased the first public demonstration of end-to-end interoperability between a PCIe 6.x Switch and a PCIe 6.x SSD at DesignCon 2025. The PCIe 6.x link-up was between an Astera Labs Scorpio P-Series Fabric Switch and Micron’s PCIe 6.x SSDs and showcased remarkable sequential read speeds exceeding 26GB/s.

First Quarter of Fiscal 2025 Financial Outlook

Based on current business trends and conditions, Astera Labs estimates the following:

GAAP Financial Outlook:

Revenue within a range of $151 million to $155 million
GAAP gross margin of approximately 74%
GAAP operating expenses within a range of approximately $113 million to $114 million
GAAP tax expense of approximately $3 million
GAAP diluted earnings per share within a range of approximately $0.03 to $0.04 on weighted-average diluted shares outstanding of approximately 180 million

Non-GAAP Financial Outlook (excluding the impact of approximately $47 million of stock-based compensation and including approximately $3 million of additional income taxes):

Non-GAAP gross margin of approximately 74%
Non-GAAP operating expenses within a range of approximately $66 million to $67 million
Non-GAAP tax rate of approximately 10%
Non-GAAP diluted earnings per share within a range of approximately $0.28 to $0.29 on non-GAAP weighted-average diluted shares outstanding of approximately 180 million

Earnings Webcast and Conference Call
Astera Labs will host a conference call to review its financial results for the fourth quarter and full year of fiscal 2024 and to discuss our financial outlook today at 1:30 p.m. Pacific Time. Interested parties may join the conference call by dialing 1-800-715-9871 and using conference ID 5908687. The call will also be webcast and can be accessed at the Astera Labs website at https://ir.asteralabs.com/. The webcast will be recorded and available for replay on the company’s website for the next six months.

Discussion of Non-GAAP Financial Measures
We use certain non-GAAP financial measures to supplement the performance measures in our consolidated financial statements, which are presented in accordance with GAAP. A reconciliation of these non-GAAP measures to the closest GAAP measure can be found later in this release. These non-GAAP financial measures include non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income (loss), non-GAAP operating margin, non-GAAP tax rate, non-GAAP net income (loss), non-GAAP diluted earnings (loss) per share, and non-GAAP weighted-average share count. We use these non-GAAP financial measures for financial and operational decision-making and as a means to assist us in evaluating period-to-period comparisons. By excluding certain items that may not be indicative of our recurring core operating results, we believe that, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income (loss), non-GAAP operating margin, non-GAAP tax rate, non-GAAP net income (loss), non-GAAP pro forma diluted earnings (loss) per share, and non-GAAP pro forma weighted-average share count provide meaningful supplemental information regarding our performance. Accordingly, we believe these non-GAAP financial measures are useful to investors and others because they allow for additional information with respect to financial measures used by management in its financial and operational decision-making and they may be used by our institutional investors and the analyst community to help them analyze the health of our business. However, there are a number of limitations related to the use of non-GAAP financial measures, and these non-GAAP measures should be considered in addition to, not as a substitute for or in isolation from, our financial results prepared in accordance with GAAP. Other companies, including companies in our industry, may calculate these non-GAAP financial measures differently or not at all, which reduces their usefulness as comparative measures.

No reconciliation is provided with respect to the forward-looking non-GAAP financial measures included in our non-GAAP financial outlook, as the GAAP measures are not accessible on a forward-looking basis. As a result, we cannot reliably predict all necessary components or their impact to reconcile such financial measures without unreasonable effort. The events necessitating a non-GAAP adjustment are inherently unpredictable and may have a significant impact on our future GAAP financial results.

We adjust the following items from one or more of our non-GAAP financial measures:

Stock-based compensation expense
We exclude stock-based compensation expense, which is a non-cash expense, from certain of our non-GAAP financial measures because we believe that excluding this item provides meaningful supplemental information regarding operational performance. In particular, companies calculate non-cash stock-based compensation expense using a variety of valuation methodologies and subjective assumptions. Moreover, stock-based compensation expense is a non-cash charge that can vary significantly from period to period for reasons that are unrelated to our core operating performance, and therefore excluding this item provides investors and other users of our financial information with information that allows meaningful comparisons of our business performance across periods.

Employer payroll taxes related to stock-based compensation resulting from our IPO
We exclude employer payroll taxes related to the time-based vesting and net settlement of restricted stock units in connection with our initial public offering (the “IPO”), because this does not correlate to the operation of our business. We believe that excluding this item provides meaningful supplemental information regarding operational performance given the amount of employer payroll tax-related items on employee stock transactions was immaterial prior to our IPO.

Income tax effect
This represents the impact of the non-GAAP adjustments on an after-tax basis and one-off discrete tax adjustments that are unrelated to our core operating performance in connection with the presentation of non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share. This approach is designed to enhance investors’ ability to understand the impact of our non-GAAP tax expense on our current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments.

Non-GAAP pro forma weighted-average shares to compute non-GAAP pro forma net income (loss) per share
We present non-GAAP pro forma weighted-average shares, assuming our redeemable convertible preferred stock is converted from the beginning of each respective periods presented, to provide meaningful supplemental information regarding EPS trend on a consistent basis. All of our outstanding redeemable preferred stock converted into the equivalent number of shares of common stock in connection with our IPO.

Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements based on Astera Labs’ current expectations. The words “believe”, “estimate”, “expect”, “intend”, “may”, “anticipate”, “plan”, “project”, “will”, and similar phrases as they relate to Astera Labs are intended to identify such forward-looking statements. These forward-looking statements reflect the current views and assumptions of Astera Labs and are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. These forward-looking statements include but are not limited to, statements regarding our future operating results, financial position and guidance, including for the first quarter of fiscal 2025, our business strategy and plans, our objectives for future operations, our development or delivery of new or enhanced products and anticipated results of those products for our customers, our competitive positioning, including to meet the connectivity market opportunity in the future and initiative to advance UALink technology, technological capabilities and plans, our plans to add R&D talent and strategic IP blocks, and macroeconomic trends in cloud and AI infrastructure. A variety of risks and factors that are beyond our control could cause actual results to differ materially from those in the forward-looking statements including, without limitation: the competitive and cyclical nature of the semiconductor industry; the concentration of our customer base; the changes in demand for AI; the macroeconomic environment; risks that demand and the supply chain may be adversely affected, including by the imposition of tariffs by the United States and any corresponding retaliatory tariffs, changes in political policies, military conflict (such as between Russia/Ukraine and Israel/Hamas), terrorism, sanctions or other geopolitical events globally (including conflict between Taiwan and China); quarterly fluctuations in revenues and operating results; difficulties developing new products that achieve market acceptance; risks associated with managing international activities (including trade barriers, particularly with respect to China); absence of long-term commitments from customers; risks that Astera Labs may not be able to manage strains associated with its growth; credit risks associated with its accounts receivable; stock price volatility; information technology risks, including cyber-attacks against Astera Labs’ products and its networks; and other risks and uncertainties that are detailed under the caption “Risk Factors” and elsewhere in our Annual Report on 10-K that will be filed with the Securities and Exchange Commission (the “SEC”) and in Quarterly Reports on Form 10-Q filed with the SEC and the other SEC filings and reports Astera Labs may make from time to time. Moreover, we operate in a very competitive and rapidly changing environment, and new risks may emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor(s) may cause actual results or outcomes to differ materially from those contained in any forward-looking statements we may make. Accordingly, you should not rely on any of the forward-looking statements. Astera Labs disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.

About Astera Labs
Our PCIe, CXL and Ethernet semiconductor-based connectivity solutions are purpose-built to unleash the full potential of accelerated computing at cloud-scale. Inspired by trusted partnerships with hyperscalers and the data center ecosystem, we are an innovation leader of products that are customizable, interoperable, and reliable. Discover how we are transforming AI and modern data-driven applications at www.asteralabs.com.


ASTERA LABS, INC.CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (In thousands)

	December 31, 2024			December 31, 2023
Assets
Current assets
Cash and cash equivalents	$	79,551		$	45,098
Marketable securities		834,750			104,215
Accounts receivable, net		38,811			8,335
Inventory		43,215			24,095
Prepaid expenses and other current assets		16,652			4,064
Total current assets		1,012,979			185,807
Property and equipment, net		35,651			4,712
Other assets		5,878			5,773
Total assets	$	1,054,508		$	196,292

Liabilities, Redeemable Convertible Preferred Stock and Stockholders’ Equity (Deficit)
Current liabilities
Accounts payable	$	26,918		$	6,337
Accrued expenses and other current liabilities		59,624			28,742
Total current liabilities		86,542			35,079
Other liabilities		3,167			3,787
Total liabilities		89,709			38,866
Commitments and contingencies
Redeemable convertible preferred stock		–			255,127
Stockholders’ equity (deficit)
Common stock		16			4
Additional paid-in capital		1,173,153			27,411
Accumulated other comprehensive income		426			259
Accumulated deficit		(208,796	)		(125,375	)
Total stockholders’ equity (deficit)		964,799			(97,701	)
Total liabilities, redeemable convertible preferred stock and stockholders’ equity (deficit)	$	1,054,508		$	196,292


ASTERA LABS, INC.CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In thousands, except per share amounts)

	Three Months Ended									Years Ended
	December 31, 2024			September 30, 2024			December 31, 2023			December 31, 2024			December 31, 2023
Revenue	$	141,096		$	113,086		$	50,514		$	396,290		$	115,794
Cost of revenue		36,648			25,209			11,489			93,591			35,967
Gross profit		104,448			87,877			39,025			302,699			79,827

Operating expenses
Research and development		56,524			50,659			19,654			200,830			73,407
Sales and marketing		22,818			23,248			4,995			123,652			19,992
General and administrative		24,962			22,866			5,356			94,283			15,925
Total operating expenses		104,304			96,773			30,005			418,765			109,324
Operating income (loss)		144			(8,896	)		9,020			(116,066	)		(29,497	)
Interest income		10,558			10,912			1,674			34,288			6,549
Income (loss) before income taxes		10,702			2,016			10,694			(81,778	)		(22,948	)
Income tax (benefit) provision		(14,011	)		9,609			(3,631	)		1,643			3,309
Net income (loss)	$	24,713		$	(7,593	)	$	14,325		$	(83,421	)	$	(26,257	)

Net income (loss) per share attributable to common stockholders:
Basic	$	0.15		$	(0.05	)	$	—		$	(0.64	)	$	(0.71	)
Diluted	$	0.14		$	(0.05	)	$	—		$	(0.64	)	$	(0.71	)
Weighted-average shares used in calculating net income (loss) per share attributable to common stockholders:
Basic		159,895			156,831			38,627			131,262			37,131
Diluted		177,559			156,831			47,636			131,262			37,131


ASTERA LABS, INC.CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (In thousands)

	Years Ended December 31,
		2024			2023
Cash flows from operating activities
Net loss	$	(83,421	)	$	(26,257	)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities
Stock-based compensation		234,588			10,679
Depreciation		3,154			1,781
Non-cash operating lease expense		2,428			1,232
Warrants contra revenue		1,395			805
Inventory write-downs		168			10,343
Accretion of discounts on marketable securities		(8,341	)		(1,624	)
Changes in operating assets and liabilities:
Accounts receivable, net		(30,480	)		2,386
Inventory		(19,287	)		(5,564	)
Prepaid expenses and other assets		(13,031	)		(720	)
Accounts payable		20,887			(4,264	)
Accrued expenses and other liabilities		31,018			(167	)
Operating lease liability		(2,402	)		(1,346	)
Net cash provided by (used in) operating activities		136,676			(12,716	)

Cash flows from investing activities
Purchases of property and equipment		(34,245	)		(2,761	)
Purchases of marketable securities		(930,575	)		(126,225	)
Sales and maturities of marketable securities		208,665			111,214
Other investing activities		(1,413	)		—
Net cash used in investing activities		(757,568	)		(17,772	)

Cash flows from financing activities
Proceeds from issuance of common stock in connection with initial public offering, net of underwriting discounts and commissions		672,198			—
Payment of deferred offering costs		(4,801	)		(1,407	)
Proceeds from exercises of stock options		5,458			1,115
Proceeds from employee stock purchase plan		4,160			—
Tax withholding related to net share settlements of restricted stock units		(20,111	)		—
Repurchase of common stock upon termination		(1,066	)		(210	)
Net cash provided by (used in) financing activities		655,838			(502	)
Net increase (decrease) in cash, cash equivalents, and restricted cash		34,946			(30,990	)
Cash, cash equivalents, and restricted cash
Beginning of the period		45,098			76,088
End of the period	$	80,044		$	45,098


ASTERA LABS, INC.RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (Unaudited) (In thousands, except percentages and per share amounts)

	Three Months Ended									Years Ended
	December 31, 2024			September 30, 2024			December 31, 2023			December 31, 2024			December 31, 2023
GAAP gross profit	$	104,448		$	87,877		$	39,025		$	302,699		$	79,827
Stock-based compensation expense upon IPO ⁽¹⁾		—			—			—			516			—
Stock-based compensation expense		131			102			8			329			24
Non-GAAP gross profit	$	104,579		$	87,979		$	39,033		$	303,544		$	79,851

GAAP gross margin		74.0	%		77.7	%		77.3	%		76.4	%		68.9	%
Stock-based compensation expense upon IPO ⁽¹⁾		—			—			—			0.1			—
Stock-based compensation expense		0.1			0.1			—			0.1			0.1
Non-GAAP gross margin		74.1	%		77.8	%		77.3	%		76.6	%		69.0	%

GAAP operating income (loss)	$	144		$	(8,896	)	$	9,020		$	(116,066	)	$	(29,497	)
Stock-based compensation expense upon IPO ⁽¹⁾		—			—			—			88,873			—
Stock-based compensation expense		48,218			45,535			3,299			145,715			10,679
Employer payroll tax related to stock-based compensation from IPO ⁽²⁾		—			—			—			1,072			—
Non-GAAP operating income (loss)	$	48,362		$	36,639		$	12,319		$	119,594		$	(18,818	)

GAAP operating margin		0.1	%	(7.9)%				17.9	%	(29.3)%			(25.5)%
Stock-based compensation expense upon IPO ⁽¹⁾		—			—			—			22.4			—
Stock-based compensation expense		34.2			40.3			6.5			36.8			9.2
Employer payroll tax related to stock-based compensation from IPO ⁽²⁾		—			—			—			0.3			—
Non-GAAP operating margin		34.3	%		32.4	%		24.4	%		30.2	%	(16.3)%

GAAP net income (loss)	$	24,713		$	(7,593	)	$	14,325		$	(83,421	)	$	(26,257	)
Stock-based compensation expense upon IPO ⁽¹⁾		—			—			—			88,873			—
Stock-based compensation expense		48,218			45,535			3,299			145,715			10,679
Employer payroll tax related to stock-based compensation from IPO ⁽²⁾		—			—			—			1,072			—
Income tax effect ⁽³⁾		(6,439	)		2,340			—			(8,910	)		—
Non-GAAP net income (loss)	$	66,492		$	40,282		$	17,624		$	143,329		$	(15,578	)

Net income (loss) per share attributable to common stockholders:
GAAP – basic	$	0.15		$	(0.05	)	$	—		$	(0.64	)	$	(0.71	)
GAAP – diluted	$	0.14		$	(0.05	)	$	—		$	(0.64	)	$	(0.71	)
Non-GAAP pro forma – diluted	$	0.37		$	0.23		$	0.12		$	0.84		$	(0.12	)

Weighted average shares used to compute net income (loss) per share attributable to common stockholders:
GAAP – basic		159,895			156,831			38,627			131,262			37,131
GAAP – diluted		177,559			156,831			47,636			131,262			37,131
Non-GAAP pro forma – diluted ⁽⁴⁾		177,559			173,832			138,527			168,913			128,022

____________________

(1) Stock-based compensation expense recognized in connection with the time-based vesting and settlement of RSUs that had previously met the time-based vesting condition and for which the liquidity event vesting condition was satisfied in connection with our IPO.

(2) Employer payroll taxes related to the time-based vesting and settlement of RSUs, that had previously met the time-based vesting condition and for which the liquidity event vesting condition was satisfied in connection with our IPO.

(3) Income tax effect is calculated based on the tax laws in the jurisdictions in which we operate and is calculated to exclude the impact of stock-based compensation expense and one-off discrete tax adjustments that are unrelated to our core operating performance. For the three months ended December 31, 2024 and September 30, 2024, the non-GAAP tax benefit rate was 13% and tax expense rate of 15%, respectively. The adjustments for the three months ended December 31, 2023 were not material. For the years ended December 31, 2024, the non-GAAP tax expense rate was 7% compared to a tax benefit rate of 27% for the year ended December 31, 2023.

(4) We present the non-GAAP pro forma weighted average shares to provide meaningful supplemental information of comparable shares for each periods presented. The non-GAAP pro forma weighted average shares is calculated as follows:

	Three Months Ended			Years Ended
	December 31, 2024	September 30, 2024	December 31, 2023	December 31, 2024	December 31, 2023
Shares used to compute GAAP net income (loss) per share attributable to common stockholders – diluted	177,559	156,831	47,636	131,262	37,131
Weighted average effect of the assumed conversion of redeemable convertible preferred stock from the beginning of the periods	—	—	90,891	19,165	90,891
Effect of dilutive equivalent shares	—	17,001	—	18,486	—
Shares used to compute non-GAAP pro forma net income (loss) per share- diluted	177,559	173,832	138,527	168,913	128,022


ASTERA LABS, INC.SUPPLEMENTAL FINANCIAL INFORMATIONSTOCK-BASED COMPENSATION EXPENSE (Unaudited) (In thousands)

	Three Months Ended						Years Ended
	December 31, 2024		September 30, 2024		December 31, 2023		December 31, 2024		December 31, 2023
Cost of revenue	$	131	$	102	$	8	$	845	$	24
Research and development		18,808		14,641		2,303		76,427		7,360
Sales and marketing		14,671		16,200		681		95,887		2,067
General and administrative		14,608		14,592		307		61,429		1,228
Total stock-based compensation expense ⁽¹⁾	$	48,218	$	45,535	$	3,299	$	234,588	$	10,679

____________________

(1) Stock-based compensation expense recognized during the year ended December 31, 2024 included $88.9 million of cumulative stock-based compensation expense related to the time-based vesting and settlement of RSUs that had previously met the time-based vesting condition and for which the liquidity event vesting condition was satisfied in connection with our IPO.

IR CONTACT: Leslie Green
leslie.green@asteralabs.com

The MIL Network –

February 11, 2025

MIL-OSI: PennantPark Floating Rate Capital Ltd. Announces Financial Results for the First Quarter Ended December 31, 2024

Source: GlobeNewswire (MIL-OSI)

MIAMI, Feb. 10, 2025 (GLOBE NEWSWIRE) — PennantPark Floating Rate Capital Ltd. (NYSE: PFLT) announced today its financial results for the first quarter ended December 31, 2024.

HIGHLIGHTS
Quarter ended December 31, 2024 (Unaudited)
($ in millions, except per share amounts)

Assets and Liabilities:
Investment portfolio ⁽¹⁾	$	2,193.9
Net assets	$	962.7
GAAP net asset value per share	$	11.34
Quarterly increase in GAAP net asset value per share		0.3	%
Adjusted net asset value per share ⁽²⁾	$	11.34
Quarterly increase in adjusted net asset value per share ⁽²⁾		0.3	%

Credit Facility	$	608.8
2036 Asset-Backed Debt	$	284.2
2036-R Asset Backed Debt	$	265.3
2026 Notes	$	184.0
Regulatory debt to equity	1.40x
Weighted average yield on debt investments at quarter-end		10.6	%

Operating Results:
Net investment income	$	30.0
Net investment income per share (GAAP)	$	0.37
Core net investment income per share ⁽³⁾	$	0.33
Distributions declared per share	$	0.31

Portfolio Activity:
Purchases of investments	$	606.9
Sales and repayments of investments	$	401.3

PSSL Portfolio data:
PSSL investment portfolio	$	1,046.2
Purchases of investments	$	224.9
Sales and repayments of investments	$	86.6

Includes investments in PennantPark Senior Secured Loan Fund I LLC, or PSSL, an unconsolidated joint venture, totaling $286.6 million, at fair value.
This is a non-GAAP financial measure. The Company believes that this number provides useful information to investors and management because it reflects the Company’s financial performance excluding the impact of the unrealized amounts on the Credit Facility. The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial results prepared in accordance with GAAP.
Core net investment income (“Core NII”) is a non-GAAP financial measure. The Company believes that Core NII provides useful information to investors and management because it reflects the Company’s financial performance excluding one-time or non-recurring investment income and expenses. The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial results prepared in accordance with GAAP. For the quarter ended December 31, 2024, Core NII excluded: i) $3.8m of accelerated amortization income from the early repayment of a loan and ii) $0.8m of incentive fee expense.

CONFERENCE CALL AT 9:00 A.M. ET ON FEBRUARY 11, 2025

The Company will also host a conference call at 9:00 a.m. (Eastern Time) on Tuesday February 11, 2025 to discuss its financial results. All interested parties are welcome to participate. You can access the conference call by dialing toll-free (888) 394-8218 approximately 5-10 minutes prior to the call. International callers should dial (929) 477-0402. All callers should reference conference ID #1777320 or PennantPark Floating Rate Capital Ltd. An archived replay will also be available on a webcast link located on the Quarterly Earnings page in the Investor section of PennantPark’s website.

PORTFOLIO AND INVESTMENT ACTIVITY

“We are pleased to have another quarter of solid performance from both an NAV and net investment income perspective. We are actively investing in this excellent vintage of new core middle market loans,” said Art Penn, Chairman and CEO. “Through the growing balance sheets of PFLT and our PSSL joint venture, we are driving meaningfully increased income.”

As of December 31, 2024, our portfolio totaled $2,193.9 million, and consisted of $1,963.8 million of first lien secured debt (including $237.7 million in PSSL), $3.4 million of subordinated debt and $226.7 million of preferred and common equity (including $48.9 million in PSSL). Our debt portfolio consisted of approximately 100% variable-rate investments. As of December 31, 2024, we had two portfolio companies on non-accrual, representing 0.4% and 0.1% of our overall portfolio on a cost and fair value basis, respectively. As of December 31, 2024, the portfolio had net unrealized depreciation of $40.4 million. Our overall portfolio consisted of 159 companies with an average investment size of $13.8 million and had a weighted average yield on debt investments of 10.6%.

As of September 30, 2024, our portfolio totaled $1,983.5 million and consisted of $1,746.7 million of first lien secured debt (including $237.7 million in PSSL), $2.7 million of second lien secured debt and subordinated debt and $234.1 million of preferred and common equity (including $56.5 million in PSSL). Our debt portfolio consisted of approximately 100% variable-rate investments. As of September 30, 2024, we had two portfolio companies on non-accrual, representing 0.4% and 0.2% of our overall portfolio on a cost and fair value basis, respectively. As of September 30, 2024, the portfolio had net unrealized depreciation of $11.4 million. Our overall portfolio consisted of 158 companies with an average investment size of $12.6 million, and a weighted average yield on debt investments of 11.5%.

For the three months ended December 31, 2024, we invested $606.9 million in 11 new and 58 existing portfolio companies at a weighted average yield on debt investments of 10.3%. Sales and repayments of investments for the same period totaled $401.3 million including $187.7 million of sales to PSSL. For the three months ended December 31, 2023, we invested $302.6 million in 13 new and 34 existing portfolio companies with a weighted average yield on debt investments of 11.9%. Sales and repayments of investments for the same period totaled $103.8 million, including $62.7 million of sales to PSSL.

PennantPark Senior Secured Loan Fund I LLC

The Company and its joint venture partner jointly agreed to invest an additional $100 million of capital in PSSL. In conjunction with increased leverage capacity at PSSL, the $100 million investment will expand the joint venture’s total investment capacity to $1.5 billion, representing a nearly $500 million increase.

As of December 31, 2024, PSSL’s portfolio totaled $1,046.2 million, consisted of 118 companies with an average investment size of $8.9 million and had a weighted average yield on debt investments of 10.8%. As of September 30, 2024, PSSL’s portfolio totaled $913.3 million, consisted of 109 companies with an average investment size of $8.4 million and had a weighted average yield on debt investments of 11.4%.

For the three months ended December 31, 2024, PSSL invested $224.9 million (including $187.7 million purchase from the Company) in 17 new and eight existing portfolio companies with a weighted average yield on debt investments of 10.3%. PSSL’s sales and repayments of investments for the same period totaled $86.6 million. For the three months ended December 31, 2023, PSSL invested $75.7 million (including $62.7 million purchased from the Company) in four new and nine existing portfolio companies with a weighted average yield on debt investments of 12.3%. PSSL’s sales and repayments of investments for the same period totaled $27.7 million.

RESULTS OF OPERATIONS

Set forth below are the results of operations for the three months ended December 31, 2024 and 2023.

Investment Income

For the three months ended December 31, 2024 investment income was $67.0 million, which was attributable to $61.0 million from first lien secured debt and $6.0 million from other investments. For the three months ended December 31, 2023, investment income was $38.0 million, which was attributable to $33.2 million from first lien secured debt and $4.8 million from other investments. The increase in investment income was primarily due to the increase in the size of the debt portfolio.

Expenses

For the three months ended December 31, 2024, expenses totaled $37.0 million and were comprised of: $22.4 million of debt related interest and expenses, $5.3 million of base management fees, $7.5 million of performance-based incentive fees, $1.7 million of general and administrative expenses and $0.2 million of taxes. For the three months ended December 31, 2023, expenses totaled $18.5 million and were comprised of: $8.9 million of debt related interest and expenses, $3.0 million of base management fees, $4.9 million of performance-based incentive fees, $1.6 million of general and administrative expenses and $0.2 million of taxes. The increase in expenses was primarily due to the increase in interest expense from increased borrowings and an increase in base management fees and incentive fee as a result of the increase in our investment portfolio.

Net Investment Income

For the three months ended December 31, 2024 and 2023, net investment income totaled $30.0 million or $0.37 per share, and $19.4 million or $0.33 per share, respectively. The increase in net investment income was primarily due to an increase in investment income partially offset by an increase in expenses.

Net Realized Gains or Losses

For the three months ended December 31, 2024 and 2023, net realized gains (losses) totaled $26.7 million and $(3.1) million, respectively. The change in net realized gains (losses) was primarily due to changes in the market conditions of our investments and the values at which they were realized.

Unrealized Appreciation or Depreciation on Investments and Debt

For the three months ended December 31, 2024 and 2023, we reported net change in unrealized appreciation (depreciation) on investments of $(29.0) million and $6.2 million, respectively. As of December 31, 2024 and September 30, 2024, our net unrealized appreciation (depreciation) on investments totaled $(40.4) million and $(11.4) million, respectively. The net change in unrealized appreciation (depreciation) on our investments was primarily due to the operating performance of the portfolio companies within our portfolio and changes in the capital market conditions of our investments and realization of investments.

For the three months ended December 31, 2024 and 2023, our Credit Facility had a net change in unrealized appreciation (depreciation) of $0.1 million and of less than ($0.1) million, respectively. As of December 31, 2024 and September 30, 2024, the net unrealized appreciation (depreciation) on the Credit Facility totaled approximately $0.1 million and zero, respectively. The net change in net unrealized (appreciation) or depreciation was primarily due to changes in the capital markets.

Net Change in Net Assets Resulting from Operations

For the three months ended December 31, 2024 and 2023, net increase (decrease) in net assets resulting from operations totaled $28.3 million or $0.35 per share and $22.5 million, or $0.38 per share, respectively. The net increase or (decrease) from operations was primarily due to operating performance of our portfolio and changes in capital market conditions of our investments along with change in size and cost yield of our debt portfolio and costs of financing.

LIQUIDITY AND CAPITAL RESOURCES

Our liquidity and capital resources are derived primarily from cash flows from operations, including income earned, proceeds from investment sales and repayments, and proceeds of securities offerings and debt financings. Our primary use of funds from operations includes investments in portfolio companies and payments of fees and other operating expenses we incur. We have used, and expect to continue to use, our debt capital, proceeds from our portfolio and proceeds from public and private offerings of securities to finance our investment objectives and operations.

The multi-currency Credit Facility with affiliates of Truist Bank, or the Lenders, was upsized during the quarter to $736 million (increased from $636 million in December 2024).

For the three months ended December 31, 2024 and 2023, the annualized weighted average cost of debt, inclusive of the fee on the undrawn commitment on the Credit Facility, amendment costs and debt issuance costs, was 7.0% and 6.8%, respectively. As of December 31, 2024 and September 30, 2024, we had $127.1 million and $192.1 million of unused borrowing capacity under the Credit Facility, respectively, subject to leverage and borrowing base restrictions.

As of December 31, 2024 and September 30, 2024, we had cash equivalents of $102.3 million and $112.1 million, respectively, available for investing and general corporate purposes. We believe our liquidity and capital resources are sufficient to take advantage of market opportunities.

For the three months ended December 31, 2024, our operating activities used cash of $232.7 million and our financing activities provided cash of $222.9 million. Our operating activities used cash primarily due to our investment activities and our financing activities provided cash primarily from proceeds from the ATM program and borrowings under the Credit Facility.

For the three months ended December 31, 2023, our operating activities used cash of $181.9 million and our financing activities provided cash of $157.2 million. Our operating activities used cash primarily due to our investment activities and our financing activities provided cash primarily due to borrowings under the Credit Facility partially offset by the repayment of the 2023 Notes.

DISTRIBUTIONS

During the three months ended December 31, 2024 we declared distributions of $0.3075 per share for total distributions of $25.2 million. During the three months ended December 31, 2023, we declared distributions of $0.3075 per share for total distributions of $18.1 million. We monitor available net investment income to determine if a return of capital for tax purposes may occur for the fiscal year. To the extent our taxable earnings fall below the total amount of our distributions for any given fiscal year, stockholders will be notified of the portion of those distributions deemed to be a tax return of capital. Tax characteristics of all distributions will be reported to stockholders subject to information reporting on Form 1099-DIV after the end of each calendar year and in our periodic reports filed with the SEC.

RECENT DEVELOPMENTS

In February 2025, the Company priced a new securitization financing that is expected to close by early March. The new financing is a $361 million term debt securitization transaction with a weighted average spread of 1.59%, a four-year reinvestment period and a 12-year final maturity. The weighted average spread of 1.59% is a decrease of 30 basis points from an existing securitization financing that we refinanced in July 2024.

Securitization financing continues to be a good match for our lower risk first lien assets. We believe securitizations are attractive financing structures as they have a 12 year stated maturity and generally have 4 to 5 year reinvestment periods. The securitization financings are governed by an indenture similar to other bond instruments which prescribes how the securitization deals with credit deterioration, which means there is no risk of unpredictable behavior from the counterparties. In addition, securitizations are non mark to market financings regardless of broader market volatility. The only time an asset gets marked to market would be if there are defaults or if we experience CCC downgrades that would cause an excess CCC concentration, whereby only the excess CCC collateral is marked to market. The securitizations provide an attractive cost of capital that is well matched to the portfolio and provide a downside mitigation tool given the stable and consistent long-term nature of the financing.

AVAILABLE INFORMATION

The Company makes available on its website its Quarterly Report on Form 10-Q filed with the SEC, and stockholders may find such report on its website at www.pennantpark.com.

PENNANTPARK FLOATING RATE CAPITAL LTD. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES (in thousands, except per share data)

	December 31, 2024			September 30, 2024
	(unaudited)
Assets
Investments at fair value
Non-controlled, non-affiliated investments (amortized cost— $1,894,793 and $1,622,669, respectively)	$	1,907,349		$	1,632,269
Controlled, affiliated investments (amortized cost— $339,500 and $372,271, respectively)		286,561			351,235
Total investments (amortized cost— $2,234,293 and $1,994,940, respectively)		2,193,910			1,983,504
Cash and cash equivalents (cost— $102,273 and $112,046, respectively)		102,262			112,050
Interest receivable		13,024			12,167
Receivables from investments sold		29,090			—
Distributions receivable		577			635
Due from affiliate		312			291
Prepaid expenses and other assets		5,026			198
Total assets		2,344,201			2,108,845
Liabilities
Credit Facility payable, at fair value (cost— $608,855 and $443,855, respectively)		608,791			443,880
2026 Notes payable, net (par—$185,000)		184,026			183,832
2036 Asset-Backed Debt, net (par—$287,000)		284,222			284,086
2036-R Asset-Backed Debt, net (par-$266,000)		265,268			265,235
Payable for investments purchased		471			20,363
Interest payable on debt		13,318			14,645
Distributions payable		8,698			7,834
Base management fee payable		5,264			4,588
Incentive fee payable		7,492			3,189
Accounts payable and accrued expenses		2,920			2,187
Deferred tax liability		1,080			1,712
Total liabilities		1,381,550			1,231,551
Net assets
Common stock, 84,855,896 and 77,579,896 shares issued and outstanding, respectively Par value $0.001 per share and 200,000,000 shares authorized		85			78
Paid-in capital in excess of par value		1,058,949			976,744
Accumulated deficit		(96,383	)		(99,528	)
Total net assets	$	962,651		$	877,294
Total liabilities and net assets	$	2,344,201		$	2,108,845
Net asset value per share	$	11.34		$	11.31

PENNANTPARK FLOATING RATE CAPITAL LTD. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except per share data) (Unaudited)

	Three Months Ended December 31,
	2024			2023
Investment income:
From non-controlled, non-affiliated investments:
Interest	$	47,463		$	23,768
Dividend		577			508
Other income		1,480			1,763
From controlled, affiliated investments:
Interest		12,808			8,434
Dividend		4,375			3,500
Other income		306			—
Total investment income		67,009			37,973
Expenses:
Interest and expenses on debt		22,361			8,942
Performance-based incentive fee		7,492			4,863
Base management fee		5,264			2,951
General and administrative expenses		1,200			988
Administrative services expenses		500			626
Expenses before provision for taxes and financing costs		36,817			18,370
Provision for taxes on net investment income		225			154
Total expenses		37,042			18,524
Net investment income		29,967			19,449
Realized and unrealized gain (loss) on investments and debt:
Net realized gain (loss) on:
Non-controlled, non-affiliated investments		1,181			(3,089	)
Non-controlled and controlled, affiliated investments		25,493			—
Provision for taxes on realized gain on investments		(73	)		—
Net realized gain (loss) on investments		26,601			(3,089	)
Net change in unrealized appreciation (depreciation) on:
Non-controlled, non-affiliated investments		2,943			5,228
Controlled and non-controlled, affiliated investments		(31,904	)		943
Provision for taxes on unrealized appreciation (depreciation) on investments		632			—
Debt appreciation (depreciation)		90			(62	)
Net change in unrealized appreciation (depreciation) on investments and debt		(28,239	)		6,109
Net realized and unrealized gain (loss) from investments and debt		(1,638	)		3,020
Net increase (decrease) in net assets resulting from operations	$	28,329		$	22,469
Net increase (decrease) in net assets resulting from operations per common share	$	0.35		$	0.38
Net investment income per common share	$	0.37		$	0.33

ABOUT PENNANTPARK FLOATING RATE CAPITAL LTD.

PennantPark Floating Rate Capital Ltd. is a business development company which primarily invests in U.S. middle-market companies in the form of floating rate senior secured loans, including first lien secured debt, second lien secured debt and subordinated debt. From time to time, the Company may also invest in equity investments. PennantPark Floating Rate Capital Ltd. is managed by PennantPark Investment Advisers, LLC.

ABOUT PENNANTPARK INVESTMENT ADVISERS, LLC

PennantPark Investment Advisers, LLC is a leading middle-market credit platform, managing $9.4 billion of investable capital, including potential leverage. Since its inception in 2007, PennantPark Investment Advisers, LLC has provided investors access to middle-market credit by offering private equity firms and their portfolio companies as well as other middle-market borrowers a comprehensive range of creative and flexible financing solutions. PennantPark Investment Advisers, LLC is headquartered in Miami and has offices in New York, Chicago, Houston, Los Angeles, and Amsterdam.

FORWARD-LOOKING STATEMENTS AND OTHER

This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. You should understand that under Section 27A(b)(2)(B) of the Securities Act of 1933, as amended, and Section 21E(b)(2)(B) of the Securities Exchange Act of 1934, as amended, or the Exchange Act, the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 do not apply to forward-looking statements made in periodic reports we file under the Exchange Act. All statements other than statements of historical facts included in this press release are forward-looking statements and are not guarantees of future performance or results, and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in filings with the Securities and Exchange Commission. PennantPark Floating Rate Capital Ltd. undertakes no duty to update any forward-looking statement made herein. You should not place undue influence on such forward-looking statements as such statements speak only as of the date on which they are made.

We may use words such as “anticipates,” “believes,” “expects,” “intends,” “seeks,” “plans,” “estimates” and similar expressions to identify forward-looking statements. Such statements are based on currently available operating, financial and competitive information and are subject to various risks and uncertainties that could cause actual results to differ materially from our historical experience and our present expectations.

The information contained herein is based on current tax laws, which may change in the future. The Company cannot be held responsible for any direct or incidental loss resulting from applying any of the information provided in this publication or from any other source mentioned. The information provided in this material does not constitute any specific legal, tax or accounting advice. Please consult with qualified professionals for this type of advice.

CONTACT:	Richard T. Allorto, Jr.
	PennantPark Floating Rate Capital Ltd.
	(212) 905-1000
	www.pennantpark.com

The MIL Network –

February 11, 2025

MIL-OSI: iBio Reports Fiscal Second Quarter 2025 Financial Results
Source: GlobeNewswire (MIL-OSI)

SAN DIEGO, Feb. 10, 2025 (GLOBE NEWSWIRE) — iBio, Inc. (NYSEA:IBIO), today reported financial results for the second quarter ended Dec. 31, 2024, and provided a corporate update on its progress.

“In our second fiscal quarter we further strengthened our leadership with key Board appointments, reinforcing our commitment to innovation and execution as we work to develop next-generation therapeutics,” said CEO and Chief Scientific Officer Dr. Martin Brenner, Ph.D. “Following more recent developments, we also want to highlight the significant strides we have made in advancing our preclinical pipeline with the in-licensing of potentially best-in-class IBIO-600, the notable discovery of a novel Activin E antibody, and the launch of a bispecific antibody program targeting myostatin/activin A. We are excited by the momentum we have built through these results and remain focused on leveraging our AI-driven platform as we aim to transform the treatment landscape for patients with cardiometabolic diseases and obesity, offering hope for more effective, targeted therapies addressing the underlying causes of these conditions while improving overall metabolic health and quality of life.”

Fiscal Second Quarter 2025 & Recent Corporate Updates:
- Discovered a novel antibody targeting activin E in collaboration with AstralBio, leveraging iBio’s Machine-Learning Antibody Engine to overcome significant technical challenges, demonstrating the platform’s ability to engineer innovative therapeutics potentially for cardiometabolic disease and obesity.
- Expanded iBio’s cardiometabolic and obesity program with IBIO-600, the long-acting anti-myostatin antibody in-licensed from AstralBio in January. IBIO-600 was discovered by AstralBio through the use of iBio’s Machine-Learning Antibody Engine and was designed for subcutaneous administration with the potential for an extended half-life.
- Initiated a bispecific antibody program targeting myostatin/activin A to promote weight loss, muscle preservation, and prevent weight regain with plans for clinical investigation in obesity and cardiometabolic disorders in 2026. The program leverages iBio’s Machine-Learning Antibody Engine as well as the technology of IBIO-600.
- In January we further extended our cash runway with the closing of a private placement offering with members of our Board of Directors and Officers, underscoring their confidence and support in our strategy to advance as a clinical-stage biotech.
Fiscal Second Quarter 2025 Financial Results:
- Revenue of $0.2 million was reported for services provided to a collaborative partner during the quarter ended Dec. 31, 2024.
- R&D and G&A expenses for the second quarter of fiscal 2025 totaled approximately $4.6 million as compared to $4.5 million in the same period of fiscal year 2024, an increase of approximately 3%. This slight increase is a result of additional spending on consumables supplies and research related activities offset by lower G&A personnel related costs, consulting fees and outside services spending. Net loss from continuing operations for the second quarter ended Dec. 31, 2024, was approximately $4.4 million, or $0.48 per share, compared to a net loss of approximately $4.5 million, or $2.42 per share, in the same period of fiscal 2024.
- Cash, cash equivalents and restricted cash as of Dec. 31, 2024, was approximately $7.2 million, inclusive of $0.2 million of restricted cash.
About iBio, Inc.

iBio (NYSEA: IBIO) is a cutting-edge biotech company leveraging AI and advanced computational biology to develop next-generation biopharmaceuticals for cardiometabolic diseases, obesity, cancer and other hard-to-treat diseases. By combining proprietary 3D modeling with innovative drug discovery platforms, iBio is creating a pipeline of breakthrough antibody treatments to address significant unmet medical needs. Our mission is to transform drug discovery, accelerate development timelines, and unlock new possibilities in precision medicine. For more information, visit www.ibioinc.com or follow us on LinkedIn.

Safe Harbor Statement

Any statements contained in this press release about future expectations, plans, and prospects, as well as any other statements regarding matters that are not historical facts, may constitute “forward-looking statements.” The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These statements include statements regarding the potential for IBIO-600 to be best-in-class; leveraging iBio’s AI-driven platform to transform the treatment landscape for patients with cardiometabolic diseases and obesity, offering hope for more effective, targeted therapies addressing the underlying causes of these conditions while improving overall metabolic health and quality of life; IBIO-600’s potential for an extended half-life; iBio’s clinical investigation in obesity and cardiometabolic disorders in 2026; advancing as a clinical-stage biotech; the creation of a pipeline of breakthrough antibody treatments to address significant unmet medical needs; and transforming drug discovery, accelerating development timelines, and unlocking new possibilities in precision medicine… Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including iBio’s ability to -leverage its AI-driven platform to transform the treatment landscape for patients with cardiometabolic diseases and obesity with more effective, targeted therapies addressing the underlying causes of these conditions while improving overall metabolic health and quality of life; extend the half-life of IBIO-600; advance as a clinical-stage biotech and commence a clinical investigation in obesity and cardiometabolic disorders in 2026; create a pipeline of breakthrough antibody treatments to address significant unmet medical needs; and transform drug discovery, accelerate development timelines, and unlock new possibilities in precision medicine the ability to advance iBio’s internal pipeline priorities in immuno-oncology and cardiometabolics, and drive partnerships in new therapeutic areas, the ability to finance when needed and the risk factors described in the Company’s Annual Report on Form 10-K for the year ended Juen 30, 2024, and the Company’s subsequent filings with the SEC, including subsequent periodic reports on Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Any forward-looking statements contained in this press release speak only as of the date hereof and, except as required by federal securities laws, iBio, Inc. specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise.

Corporate Contact:

iBio, Inc.
Investor Relations
ir@ibioinc.com

Media Contacts:

Ignacio Guerrero-Ros, Ph.D., or David Schull
Russo Partners, LLC
Ignacio.guerrero-ros@russopartnersllc.com
David.schull@russopartnersllc.com
(858) 717-2310 or (646) 942-5604

The MIL Network –
February 11, 2025

MIL-OSI: SPS Commerce Reports Fourth Quarter and Fiscal Year 2024 Financial Results

Source: GlobeNewswire (MIL-OSI)

Company delivers 96th consecutive quarter of topline growth

Fourth quarter 2024 revenue grew 18% and recurring revenue grew 19% from the fourth quarter of 2023

MINNEAPOLIS, Feb. 10, 2025 (GLOBE NEWSWIRE) — SPS Commerce, Inc. (NASDAQ: SPSC), a leader in retail supply chain cloud services, today announced financial results for the fourth quarter and year ended December 31, 2024.

Financial Highlights

Fourth Quarter 2024 Financial Highlights

Revenue was $170.9 million in the fourth quarter of 2024, compared to $145.0 million in the fourth quarter of 2023, reflecting 18% growth.
Recurring revenue grew 19% from the fourth quarter of 2023.
Net income was $17.6 million or $0.46 per diluted share, compared to net income of $19.0 million or $0.51 per diluted share in the fourth quarter of 2023.
Non-GAAP income per diluted share was $0.89, compared to non-GAAP income per diluted share of $0.75 in the fourth quarter of 2023.
Adjusted EBITDA for the fourth quarter of 2024 increased 18% to $49.6 million compared to the fourth quarter of 2023.

Fiscal Year 2024 Financial Highlights

Revenue was $637.8 million for the year ended December 31, 2024, compared to $536.9 million for the year ended December 31, 2023, reflecting 19% growth.
Recurring revenue grew 20% from the year ended December 31, 2023.
Net income was $77.1 million or $2.04 per diluted share for the year ended December 31, 2024, compared to net income of $65.8 million or $1.76 per diluted share for the comparable period in 2023, reflecting 17% growth in year-over-year net income.
Non-GAAP income per diluted share was $3.48, compared to non-GAAP income per diluted share of $2.85 in the year ended December 31, 2023.
Adjusted EBITDA for the year ended December 31, 2024 increased 18% to $186.6 million compared to the year ended December 31, 2023.

“We are pleased with what we have accomplished in 2024, and I would like to congratulate SPS Commerce employees for their unwavering commitment to excellence and exceptional understanding of the retail supply chain,” said Chad Collins, CEO of SPS Commerce. “With the depth and breadth of solutions we offer today, we are uniquely positioned to support all trading relationships and continue growing our network to move the world of commerce forward.”

“We believe that SPS’ leading retail network and competitive product portfolio position us well to continue on our profitable growth trajectory,” said Kim Nelson, CFO of SPS Commerce.

Guidance*

First Quarter 2025 Guidance

Revenue is expected to be in the range of $178.5 million to $180.0 million, representing 19% to 20% year-over-year growth.
Net income per diluted share is expected to be in the range of $0.39 to $0.41, with fully diluted weighted average shares outstanding of 38.7 million shares.
Non-GAAP income per diluted share is expected to be in the range of $0.82 to $0.84.
Adjusted EBITDA is expected to be in the range of $49.5 million to $50.5 million.
Non-cash, share-based compensation expense is expected to be $15.0 million, depreciation expense is expected to be $5.4 million, and amortization expense is expected to be $9.2 million.

Fiscal Year 2025 Guidance

Revenue is expected to be in the range of $758.0 million to $763.0 million, representing 19% to 20% growth over 2024.
Net income per diluted share is expected to be in the range of $1.93 to $1.99, with fully diluted weighted average shares outstanding of 38.9 million shares.
Non-GAAP income per diluted share is expected to be in the range of $3.78 to $3.84.
Adjusted EBITDA is expected to be in the range of $227.5 million to $231.0 million, representing 22% to 24% growth over 2024.
Non-cash, share-based compensation expense is expected to be $63.0 million, depreciation expense is expected to be $23.5 million, and amortization expense is expected to be $39.8 million.

*Inclusive of the expected results of the Carbon6 acquisition

The forward-looking measures and the underlying assumptions involve significant known and unknown risks and uncertainties, and actual results may vary materially. The Company does not present a reconciliation of the forward-looking non-GAAP financial measures, including Adjusted EBITDA, Adjusted EBITDA margin, and non-GAAP income per share, to the most directly comparable GAAP financial measures because it is impractical to forecast certain items without unreasonable efforts due to the uncertainty and inherent difficulty of predicting, within a reasonable range, the occurrence and financial impact of and the periods in which such items may be recognized.

Quarterly Conference Call

To access the call, please dial 1-833-816-1382, or outside the U.S. 1-412-317-0475 at least 15 minutes prior to the 3:30 p.m. CT start time. Please ask to join the SPS Commerce Q4 2024 conference call. A live webcast of the call will also be available at http://investors.spscommerce.com under the Events and Presentations menu. The replay will also be available on our website at http://investors.spscommerce.com.

About SPS Commerce

SPS Commerce is the world’s leading retail network, connecting trading partners around the globe to optimize supply chain operations for all retail partners. We support data-driven partnerships with innovative cloud technology, customer-obsessed service, and accessible experts so our customers can focus on what they do best. Over 45,000 recurring revenue customers in retail, grocery, distribution, supply, manufacturing, and logistics are using SPS as their retail network. SPS has achieved 96 consecutive quarters of revenue growth and is headquartered in Minneapolis. For additional information, contact SPS at 866-245-8100 or visit www.spscommerce.com.

SPS COMMERCE, SPS, SPS logo and INFINITE RETAIL POWER are marks of SPS Commerce, Inc. and registered in the U.S. Patent and Trademark Office, along with other SPS marks. Such marks may also be registered or otherwise protected in other countries.

SPS-F

Use of Non-GAAP Financial Measures

To supplement our consolidated financial statements, we provide investors with Adjusted EBITDA, Adjusted EBITDA Margin, and non-GAAP income per share, all of which are non-GAAP financial measures. We believe that these non-GAAP financial measures provide useful information to our management, Board of Directors, and investors regarding certain financial and business trends relating to our financial condition and results of operations.

Our management uses these non-GAAP financial measures to compare our performance to that of prior periods for trend analyses and planning purposes. Adjusted EBITDA is also used for purposes of determining executive and senior management incentive compensation. We believe these non-GAAP financial measures are useful to an investor as they are widely used in evaluating operating performance. Adjusted EBITDA and Adjusted EBITDA Margin are used to measure operating performance without regard to items such as depreciation and amortization, which can vary depending upon accounting methods and the book value of assets, and to present a meaningful measure of corporate performance exclusive of capital structure and the method by which assets were acquired.

These non-GAAP financial measures should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP. These non-GAAP financial measures exclude significant expenses and income that are required by GAAP to be recorded in our consolidated financial statements and are subject to inherent limitations. Investors should review the reconciliations of non-GAAP financial measures to the comparable GAAP financial measures that are included in this press release.

Adjusted EBITDA Measures:

Adjusted EBITDA consists of net income adjusted for income tax expense, depreciation and amortization expense, stock-based compensation expense, realized gain or loss from investments held and foreign currency impact on cash and investments, investment income, and other adjustments as necessary for a fair presentation. Other adjustments for the year ended December 31, 2024 included the expense impacts from disposals of certain capitalized internally developed software and one-time acquisition-related insurance costs. Other adjustments for the year ended December 31, 2023 included the expense impacts from disposals of certain capitalized internally developed software and acquisition-related employee severance costs. Net income is the comparable GAAP measure of financial performance.

Adjusted EBITDA Margin consists of Adjusted EBITDA divided by revenue. Margin, the comparable GAAP measure of financial performance, consists of net income divided by revenue.

Non-GAAP Income Per Share Measure:

Non-GAAP income per share consists of net income adjusted for stock-based compensation expense, amortization expense related to intangible assets, realized gain or loss from investments held and foreign currency impact on cash and investments, other adjustments as necessary for a fair presentation, including for the year ended December 31, 2024 the expense impacts from disposals of certain capitalized internally developed software and one-time acquisition-related insurance costs, and for the year ended December 31, 2023 the expense impacts from disposals of certain capitalized internally developed software and acquisition-related employee severance costs, and the corresponding tax impacts of the adjustments to net income, divided by the weighted average number of shares of common and diluted stock outstanding during each period. Net income per share, the comparable GAAP measure of financial performance, consists of net income divided by the weighted average number of shares of common and diluted stock outstanding during each period. To quantify the tax effects, we recalculated income tax expense excluding the direct book and tax effects of the specific items constituting the non-GAAP adjustments. The difference between this recalculated income tax expense and GAAP income tax expense is presented as the income tax effect of the non-GAAP adjustments.

Forward-Looking Statements

This press release may contain forward-looking statements, including information about management’s view of SPS Commerce’s future expectations, plans and prospects, including our views regarding future execution within our business, the opportunity we see in the retail supply chain world and our performance for the first quarter and full year of 2025, within the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks, uncertainties and other factors which may cause the results of SPS Commerce to be materially different than those expressed or implied in such statements. Certain of these risk factors and others are included in documents SPS Commerce files with the Securities and Exchange Commission, including but not limited to, SPS Commerce’s Annual Report on Form 10-K for the year ended December 31, 2023, as well as subsequent reports filed with the Securities and Exchange Commission. Other unknown or unpredictable factors also could have material adverse effects on SPS Commerce’s future results. The forward-looking statements included in this press release are made only as of the date hereof. SPS Commerce cannot guarantee future results, levels of activity, performance or achievements. Accordingly, you should not place undue reliance on these forward-looking statements. Finally, SPS Commerce expressly disclaims any intent or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.



SPS COMMERCE, INC. CONSOLIDATED BALANCE SHEETS (Unaudited; in thousands, except shares)

	December 31, 2024			December 31, 2023
ASSETS
Current assets
Cash and cash equivalents	$	241,017		$	219,081
Short-term investments		—			56,359
Accounts receivable		56,214			50,160
Allowance for credit losses		(4,179	)		(3,320	)
Accounts receivable, net		52,035			46,840
Deferred costs		65,342			62,403
Other assets		23,513			16,758
Total current assets		381,907			401,441
Property and equipment, net		37,547			36,043
Operating lease right-of-use assets		8,192			7,862
Goodwill		399,180			249,176
Intangible assets, net		181,294			107,344
Other assets
Deferred costs, non-current		20,572			20,347
Deferred income tax assets		505			505
Other assets, non-current		2,033			1,126
Total assets	$	1,031,230		$	823,844
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities
Accounts payable	$	8,577		$	7,420
Accrued compensation		47,160			41,588
Accrued expenses		12,108			8,014
Deferred revenue		74,256			69,187
Operating lease liabilities		4,583			4,460
Total current liabilities		146,684			130,669
Other liabilities
Deferred revenue, non-current		6,189			6,930
Operating lease liabilities, non-current		7,885			9,569
Deferred income tax liabilities		15,541			8,972
Other liabilities, non-current		241			229
Total liabilities		176,540			156,369
Commitments and contingencies
Stockholders’ equity
Common stock		40			39
Treasury stock		(99,748	)		(128,892	)
Additional paid-in capital		627,982			537,061
Retained earnings		336,099			259,045
Accumulated other comprehensive gain (loss)		(9,683	)		222
Total stockholders’ equity		854,690			667,475
Total liabilities and stockholders’ equity	$	1,031,230		$	823,844


SPS COMMERCE, INC. CONSOLIDATED STATEMENTS OF INCOME (Unaudited; in thousands, except per share amounts)

	Three Months Ended December 31,					Twelve Months Ended December 31,
		2024			2023		2024		2023
Revenues	$	170,907		$	144,965	$	637,765	$	536,910
Cost of revenues		55,585			49,040		210,714		182,069
Gross profit		115,322			95,925		427,051		354,841
Operating expenses
Sales and marketing		39,220			33,214		148,920		122,936
Research and development		17,142			14,216		62,809		53,654
General and administrative		26,354			20,612		102,929		84,887
Amortization of intangible assets		7,862			4,998		23,510		16,116
Total operating expenses		90,578			73,040		338,168		277,593
Income from operations		24,744			22,885		88,883		77,248
Other income (expense), net		(373	)		3,456		10,593		8,315
Income before income taxes		24,371			26,341		99,476		85,563
Income tax expense		6,812			7,330		22,422		19,739
Net income	$	17,559		$	19,011	$	77,054	$	65,824

Net income per share
Basic	$	0.47		$	0.52	$	2.07	$	1.80
Diluted	$	0.46		$	0.51	$	2.04	$	1.76

Weighted average common shares used to compute net income per share
Basic		37,646			36,831		37,306		36,646
Diluted		38,133			37,640		37,856		37,475


SPS COMMERCE, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited; in thousands)

	Twelve Months Ended December 31,
		2024			2023
Cash flows from operating activities
Net income	$	77,054		$	65,824
Reconciliation of net income to net cash provided by operating activities
Deferred income taxes		(9,786	)		(10,079	)
Depreciation and amortization of property and equipment		18,721			18,631
Amortization of intangible assets		23,510			16,116
Provision for credit losses		7,683			5,707
Stock-based compensation		54,557			45,508
Other, net		577			2,415
Changes in assets and liabilities, net of effects of acquisitions
Accounts receivable		(9,653	)		(11,949	)
Deferred costs		(3,120	)		(10,724	)
Other assets and liabilities		(7,313	)		1,834
Accounts payable		796			(3,947	)
Accrued compensation		1,434			7,143
Accrued expenses		4,115			1,302
Deferred revenue		728			6,464
Operating leases		(1,905	)		(1,947	)
Net cash provided by operating activities		157,398			132,298
Cash flows from investing activities
Purchases of property and equipment		(20,046	)		(19,761	)
Purchases of investments		(85,759	)		(133,994	)
Maturities of investments		143,275			131,331
Acquisition of businesses, net		(147,924	)		(70,218	)
Net cash used in investing activities		(110,454	)		(92,642	)
Cash flows from financing activities
Repurchases of common stock		(37,567	)		—
Net proceeds from exercise of options to purchase common stock		4,714			9,856
Net proceeds from employee stock purchase plan activity		9,827			8,114
Payments for contingent consideration		—			(2,000	)
Net cash provided by (used in) financing activities		(23,026	)		15,970
Effect of foreign currency exchange rate changes		(1,982	)		562
Net increase in cash and cash equivalents		21,936			56,188
Cash and cash equivalents at beginning of period		219,081			162,893
Cash and cash equivalents at end of period	$	241,017		$	219,081



SPS COMMERCE, INC. NON-GAAP RECONCILIATIONS (Unaudited; in thousands, except Margin, Adjusted EBITDA Margin, and per share amounts)

Adjusted EBITDA
	Three Months Ended						Twelve Months Ended
	December 31,						December 31,
		2024			2023			2024			2023
Net income	$	17,559		$	19,011		$	77,054		$	65,824
Income tax expense		6,812			7,330			22,422			19,739
Depreciation and amortization of property and equipment		4,711			4,667			18,721			18,631
Amortization of intangible assets		7,862			4,998			23,510			16,116
Stock-based compensation expense		12,293			9,411			54,557			45,508
Realized (gain) loss from investments held and foreign currency impact on cash and investments		2,521			(1,201	)		(115	)		(1,726	)
Investment income		(2,205	)		(2,287	)		(10,582	)		(7,660	)
Other		86			28			1,064			1,198
Adjusted EBITDA	$	49,639		$	41,957		$	186,631		$	157,630

Adjusted EBITDA Margin
	Three Months Ended						Twelve Months Ended
	December 31,						December 31,
	2024			2023			2024			2023
Revenue	$	170,907		$	144,965		$	637,765		$	536,910

Net income		17,559			19,011			77,054			65,824
Margin		10	%		13	%		12	%		12	%

Adjusted EBITDA		49,639			41,957			186,631			157,630
Adjusted EBITDA Margin		29	%		29	%		29	%		29	%

Non-GAAP Income per Share
	Three Months Ended						Twelve Months Ended
	December 31,						December 31,
		2024			2023			2024			2023
Net income	$	17,559		$	19,011		$	77,054		$	65,824
Stock-based compensation expense		12,293			9,411			54,557			45,508
Amortization of intangible assets		7,862			4,998			23,510			16,116
Realized (gain) loss from investments held and foreign currency impact on cash and investments		2,521			(1,201	)		(115	)		(1,726	)
Other		86			28			1,064			1,198
Income tax effects of adjustments		(6,371	)		(3,906	)		(24,505	)		(19,983	)
Non-GAAP income	$	33,950		$	28,341		$	131,565		$	106,937

Shares used to compute net income and non-GAAP income per share
Basic		37,646			36,831			37,306			36,646
Diluted		38,133			37,640			37,856			37,475

Net income per share, basic	$	0.47		$	0.52		$	2.07		$	1.80
Non-GAAP adjustments to net income per share, basic		0.43			0.25			1.46			1.12
Non-GAAP income per share, basic	$	0.90		$	0.77		$	3.53		$	2.92

Net income per share, diluted	$	0.46		$	0.51		$	2.04		$	1.76
Non-GAAP adjustments to net income per share, diluted		0.43			0.24			1.44			1.09
Non-GAAP income per share, diluted	$	0.89		$	0.75		$	3.48		$	2.85

The annual per share amounts may not cross-sum due to rounding.

Contact:
Investor Relations
The Blueshirt Group
Irmina Blaszczyk & Lisa Laukkanen
SPSC@blueshirtgroup.com
415-217-4962

The MIL Network –

February 11, 2025

MIL-OSI: PennantPark Investment Corporation Announces Financial Results for the Quarter Ended December 31, 2024

Source: GlobeNewswire (MIL-OSI)

MIAMI, Feb. 10, 2025 (GLOBE NEWSWIRE) — PennantPark Investment Corporation (NYSE: PNNT) announced today its financial results for the first quarter ended December 31, 2024.

HIGHLIGHTS
Quarter ended December 31, 2024 (unaudited)
($ in millions, except per share amounts)

Assets and Liabilities:
Investment portfolio ⁽¹⁾	$	1,298.1
Net assets	$	494.3
GAAP net asset value per share	$	7.57
Quarterly increase in GAAP net asset value per share		0.1	%
Adjusted net asset value per share ⁽²⁾	$	7.57
Quarterly increase in adjusted net asset value per share ⁽²⁾		0.1	%

Credit Facility	$	460.0
2026 Notes	$	148.8
2026-2 Notes	$	163.3
Regulatory debt to equity	1.58x
Weighted average yield on debt investments		12.0	%

Operating Results:
Net investment income	$	13.0
Net investment income per share	$	0.20
Core net investment income per share ⁽³⁾	$	0.20
Distributions declared per share	$	0.24

Portfolio Activity:
Purchases of investments*	$	295.7
Sales and repayments of investments*	$	353.7

PSLF Portfolio data:
PSLF investment portfolio	$	1,275.1
Purchases of investments	$	353.8
Sales and repayments of investments	$	109.1

________________________
* excludes U.S. Government Securities

Includes investments in PennantPark Senior Loan Fund, LLC (“PSLF”), an unconsolidated joint venture, totaling $208.2 million, at fair value.
This is a non-GAAP financial measure. The Company believes that this number provides useful information to investors and management because it reflects the Company’s financial performance excluding the impact of unrealized gain on the Company’s multi-currency, senior secured revolving credit facility with Truist Bank, as amended, the “Credit Facility.” The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial results prepared in accordance with GAAP.
Core net investment income (“Core NII”) is a non-GAAP financial measure. The Company believes that Core NII provides useful information to investors and management because it reflects the Company’s financial performance excluding one-time or non-recurring investment income and expenses. The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial results prepared in accordance with GAAP. For the quarter ended December 31, 2024, there were no one-time events, resulting in $0.20 of Core NII..

CONFERENCE CALL AT 12:00 P.M. EST ON FEBRUARY 11, 2025

PennantPark Investment Corporation (“we,” “our,” “us” or the “Company”) will also host a conference call at 12:00 p.m. (Eastern Time) on Tuesday, February 11, 2025 to discuss its financial results. All interested parties are welcome to participate. You can access the conference call by dialing toll-free (888) 394-8218 approximately 5-10 minutes prior to the call. International callers should dial (646) 828-8193. All callers should reference conference ID #9452525 or PennantPark Investment Corporation. An archived replay will also be available on a webcast link located on the Quarterly Earnings page in the Investor section of PennantPark’s website.

PORTFOLIO AND INVESTMENT ACTIVITY

“We are pleased to announce another quarter of solid NAV and credit performance,” said Arthur Penn, Chairman and CEO. “Our earnings stream continues to be strong and is driven in part by the excellent returns generated by our PSLF Joint Venture. Additionally, our dividend stream is supported by substantial spillover income.”

As of December 31, 2024, our portfolio totaled $1,298.1 million and consisted of $575.0 million or 44% of first lien secured debt, $124.8 million or 10% of U.S. Government Securities, $50.0 million or 4% of second lien secured debt, $206.1 million or 16% of subordinated debt (including $132.2 million or 10% in PSLF) and $342.2 million or 26% of preferred and common equity (including $76.0 million or 6% in PSLF). Our interest bearing debt portfolio consisted of 92% variable-rate investments and 8% fixed-rate investments. As of December 31, 2024, we had two portfolio companies on non-accrual, representing 4.3% and 1.5% percent of our overall portfolio on a cost and fair value basis, respectively. Overall, the portfolio had net unrealized appreciation of $13.6 million as of December 31, 2024. Our overall portfolio consisted of 158 companies with an average investment size of $7.4 million (excluding U.S. Government Securities), had a weighted average yield on interest bearing debt investments of 12.0%.

As of September 30, 2024, our portfolio totaled $1,328.1 million and consisted of $667.9 million or 50% of first lien secured debt, $99.6 million or 8% of U.S. Government Securities, $67.2 million or 5% of second lien secured debt, $181.7 million or 14% of subordinated debt (including $115.9 million or 9% in PSLF) and $311.7 million or 23% of preferred and common equity (including $67.9 million or 5% in PSLF). Our interest bearing debt portfolio consisted of 94% variable-rate investments and 6% fixed-rate investments. As of September 30, 2024, we had two portfolio companies on non-accrual, representing 4.1% and 2.3% percent of our overall portfolio on a cost and fair value basis, respectively. Overall, the portfolio had net unrealized appreciation of $11.2 million as of September 30, 2024. Our overall portfolio consisted of 152 companies with an average investment size of $8.1 million (excluding U.S. Government Securities), had a weighted average yield on interest bearing debt investments of 12.3%.

For the three months ended December 31, 2024, we invested $295.7 million in 12 new and 61 existing portfolio companies with a weighted average yield on debt investments of 10.6% (excluding U.S. Government Securities). For the three months ended December 31, 2024, sales and repayments of investments totaled $353.7 million (excluding U.S. Government Securities).

For the three months ended December 31, 2023, we invested $231.1 million in 12 new and 32 existing portfolio companies with a weighted average yield on debt investments of 11.9%. For the three months ended December 31, 2023, sales and repayments of investments totaled $71.0 million (excluding U.S. Government Securities).

PennantPark Senior Loan Fund, LLC

As of December 31, 2024, PSLF’s portfolio totaled $1,275.1 million, consisted of 112 companies with an average investment size of $11.4 million and had a weighted average yield interest bearing debt investments of 10.7%.

As of September 30, 2024, PSLF’s portfolio totaled $1,031.2 million, consisted of 102 companies with an average investment size of $10.1 million and had a weighted average yield interest bearing debt investments of 11.3%.

For the three months ended December 31, 2024, PSLF invested $353.8 million (including $286.6 million was purchased from the Company) in 15 new and 43 existing portfolio companies at weighted average yield interest bearing debt investments of 10.5%. PSLF’s sales and repayments of investments for the same period totaled $109.1 million.

For the three months ended December 31, 2023, PSLF invested $81.0 million (including $50.8 million were purchased from the Company) in five new and seven existing portfolio companies at weighted average yield on interest bearing debt investments of 12.7%. PSLF’s sales and repayments of investments for the same period totaled $29.1 million.

RESULTS OF OPERATIONS

Set forth below are the results of operations during the three months ended December 31, 2024 and 2023.

Investment Income

For the three months ended December 31, 2024, investment income was $34.2 million, which was attributable to $25.2 million from first lien secured debt, $2.0 million from second lien secured debt, $1.1 million from subordinated debt and $5.9 million from other investments, respectively. For the three months ended December 31, 2023, investment income was $34.3 million, which was attributable to $25.1 million from first lien secured debt, $2.6 million from second lien secured debt, $1.3 million from subordinated debt and $5.3 million from preferred and common equity, respectively. The decrease in investment income for the three months ended December 31, 2024 was primarily due to the changes in our portfolio and investment yields.

Expenses

For the three months ended December 31, 2024, expenses totaled $21.2 million and were comprised of $11.7 million of debt related interest and expenses, $4.3 million of base management fees, $2.8 million of incentive fees, $1.7 million of general and administrative expenses and $0.7 million of provision for excise taxes. For the three months ended December 31, 2023, expenses totaled $18.7 million, and were comprised of; $9.6 million of debt-related interest and expenses, $4.0 million of base management fees, $3.3 million of incentive fees, $1.4 million of general and administrative expenses and $0.4 million of provision for excise taxes. The increase in expenses for the three months ended December 31, 2024 was primarily due an increase in debt related interest and expenses.

Net Investment Income

For the three months ended December 31, 2024 and 2023, net investment income totaled $13.0 million, or $0.20 per share and $15.7 million, or $0.24 per share. The decrease in net investment income for the three months ended December 31, 2024 was primarily due to increase in interest expense.

Net Realized Gains or Losses

For the three months ended December 31, 2024 and 2023, net realized gains (losses) totaled $(2.6) million and $1.8 million, respectively. The change in realized gains (losses) was primarily due to changes in the market conditions of our investments and the values at which they were realized.

Unrealized Appreciation or Depreciation on Investments and Debt

For the three months ended December 31, 2024 and 2023, we reported net change in unrealized appreciation (depreciation) on investments of $2.4 million and $(5.0) million, respectively. As of December 31, 2024 and September 30, 2024, our net unrealized appreciation (depreciation) on investments totaled $13.6 million and $11.2 million, respectively. The net change in unrealized depreciation on our investments was primarily due to changes in the capital market conditions of our investments and the values at which they were realized.

For the three months ended December 31, 2024 and 2023, the Truist Credit Facility had a net change in unrealized appreciation (depreciation) of $3.3 million and $(2.0) million, respectively. As of December 31, 2024 and September 30, 2024, the net unrealized appreciation (depreciation) on the Truist Credit Facility totaled $4.4 million and $1.1 million, respectively. The net change in unrealized depreciation was primarily due to changes in the capital markets.

Net Change in Net Assets Resulting from Operations

For the three months ended December 31, 2024 and 2023, net increase (decrease) in net assets resulting from operations totaled $16.1 million or $0.25 per share and $10.7 million or $0.16 per share, respectively. The increase in net assets from operations for the three months ended December 31, 2024 was primarily due to a decrease in the net realized and unrealized depreciation in the portfolio primarily driven by changes in market conditions.

LIQUIDITY AND CAPITAL RESOURCES

Our liquidity and capital resources are derived primarily from cash flows from operations, including investment sales and repayments, income earned, proceeds of securities offerings and debt financings. Our primary use of funds from operations includes investments in portfolio companies and payments of interest expense, fees and other operating expenses we incur. We have used, and expect to continue to use, our debt capital, proceeds from the rotation of our portfolio and proceeds from public and private offerings of securities to finance our investment objectives and operations.

As of December 31, 2024 and September 30, 2024, we had $464.5 million and $461.5 million, respectively, in outstanding borrowings under the Truist Credit Facility. The Truist Credit Facility had a weighted average interest rate of 6.8% and 7.2%, respectively, exclusive of the fee on undrawn commitments. As of December 31, 2024 and September 30, 2024, we had $10.5 million and $13.5 million of unused borrowing capacity under the Truist Credit Facility, respectively, subject to leverage and borrowing base restrictions.

As of December 31, 2024 and September 30, 2024, we had cash and cash equivalents of $55.9 million and $49.9 million, respectively, available for investing and general corporate purposes. We believe our liquidity and capital resources are sufficient to allows us to effectively operate our business.

For the three months ended December 31, 2024, our operating activities provided cash of $18.7 million and our financing activities used cash of $12.7 million. Our operating activities provided cash primarily due to our investment activities and our financing activities used cash primarily for distributions paid to stockholders.

For the three months ended December 31, 2023, our operating activities used cash of $155.1 million and our financing activities provided cash of $153.2 million. Our operating activities used cash primarily due to our investment activities and our financing activities provided cash primarily from borrowings under the Truist Credit Facility.

DISTRIBUTIONS

During the three months ended December 31, 2024, we declared distributions of $0.24 per share, for total distributions of $15.7 million. During the three months ended December 31, 2023, we declared distributions of $0.21 per share, for total distributions of $13.7 million. We monitor available net investment income to determine if a return of capital for tax purposes may occur for the fiscal year. To the extent our taxable earnings fall below the total amount of our distributions for any given fiscal year, stockholders will be notified of the portion of those distributions deemed to be a tax return of capital. Tax characteristics of all distributions will be reported to stockholders subject to information reporting on Form 1099-DIV after the end of each calendar year and in our periodic reports filed with the SEC.

RECENT DEVELOPMENTS

The multi-currency Truist Credit Facility was upsized to $500.0 million (increased from $475 million in February 2025).

AVAILABLE INFORMATION

The Company makes available on its website its Quarterly Report on Form 10-Q filed with the SEC and stockholders may find the report on our website at www.pennantpark.com.


PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES (In thousands, except share data)

	December 31, 2024			September 30, 2024
	(unaudited)
Assets
Investments at fair value
Non-controlled, non-affiliated investments (amortized cost—$856,406 and $916,168, respectively)	$	845,829		$	910,323
Non-controlled, affiliated investments (amortized cost—$57,109 and $56,734, respectively)		11,032			33,423
Controlled, affiliated investments (amortized cost—$370,967 and $343,970, respectively)		441,205			384,304
Total investments (amortized cost—$1,284,482 and $1,316,872, respectively)		1,298,066			1,328,050
Cash and cash equivalents (cost—$55,868 and $49,833, respectively)		55,851			49,861
Interest receivable		5,227			5,261
Receivable for investments sold		47,230			—
Distribution receivable		5,359			5,417
Due from affiliates		144			228
Prepaid expenses and other assets		214			269
Total assets		1,412,091			1,389,086
Liabilities
Truist Credit Facility payable, at fair value (cost—$464,456 and $461,456, respectively)		460,033			460,361
2026 Notes payable, net (par— $150,000)		148,796			148,571
2026 Notes-2 payable, net (par— $165,000)		163,293			163,080
Payable for investment purchased		125,050			100,096
Distributions payable		5,224			5,224
Base management fee payable		4,268			4,297
Incentive fee payable		2,756			3,057
Accounts payable and accrued expenses		5,500			4,053
Interest payable on debt		2,850			6,406
Due to affiliates		—			33
Total liabilities		917,770			895,178
Net assets
Common stock, 65,296,094 and 65,296,094 shares issued and outstanding, respectively Par value $0.001 per share and 200,000,000 shares authorized		65			65
Paid-in capital in excess of par value		743,968			743,968
Accumulated deficit		(249,712	)		(250,125	)
Total net assets	$	494,321		$	493,908
Total liabilities and net assets	$	1,412,091		$	1,389,086
Net asset value per share	$	7.57		$	7.56


PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except share data) (Unaudited)

	Three Months Ended December 31,
	2024			2023
Investment income:
From non-controlled, non-affiliated investments:
Interest	$	18,767		$	21,068
Payment-in-kind		1,421			2
Dividend income		508			692
Other income		582			1,425
From non-controlled, affiliated investments:
Payment-in-kind		—			347
From controlled, affiliated investments:
Interest		7,255			5,481
Payment-in-kind		823			632
Dividend income		4,851			4,689
Total investment income		34,207			34,336
Expenses:
Interest and expenses on debt		11,741			9,557
Base management fee		4,268			4,004
Incentive fee		2,756			3,321
General and administrative expenses		1,250			1,214
Administrative services expenses		500			189
Expenses before provision for taxes		20,515			18,285
Provision for taxes on net investment income		700			393
Net expenses		21,215			18,678
Net investment income		12,992			15,658
Realized and unrealized gain (loss) on investments and debt:
Net realized gain (loss) on investments and debt:
Non-controlled, non-affiliated investments		(2,560	)		2,581
Non-controlled and controlled, affiliated investments		—			(750	)
Net realized gain (loss) on investments and debt		(2,560	)		1,831
Net change in unrealized appreciation (depreciation) on:
Non-controlled, non-affiliated investments		(4,777	)		(12,270	)
Non-controlled and controlled, affiliated investments		7,138			7,324
Provision for taxes on unrealized appreciation (depreciation) on investments		(37	)		150
Debt appreciation (depreciation)		3,328			(2,040	)
Net change in unrealized appreciation (depreciation) on investments and debt		5,652			(6,836	)
Net realized and unrealized gain (loss) from investments and debt		3,092			(5,005	)
Net increase (decrease) in net assets resulting from operations	$	16,084		$	10,653
Net increase (decrease) in net assets resulting from operations per common share	$	0.25		$	0.16
Net investment income per common share	$	0.20		$	0.24

ABOUT PENNANTPARK INVESTMENT CORPORATION

PennantPark Investment Corporation, or the Company, is a business development company that invests primarily in U.S. middle-market companies in the form of first lien secured debt, second lien secured debt, subordinated debt and equity investments. PennantPark Investment Corporation is managed by PennantPark Investment Advisers, LLC.

ABOUT PENNANTPARK INVESTMENT ADVISERS, LLC

PennantPark Investment Advisers, LLC is a leading middle market credit platform, managing $9.4 billion of investable capital, including available leverage. Since its inception in 2007, PennantPark Investment Advisers, LLC has provided investors access to middle market credit by offering private equity firms and their portfolio companies as well as other middle-market borrowers a comprehensive range of creative and flexible financing solutions. PennantPark Investment Advisers, LLC is headquartered in Miami and has offices in New York, Chicago, Houston, Los Angeles, and Amsterdam.

FORWARD-LOOKING STATEMENTS

This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. You should understand that under Section 27A(b)(2)(B) of the Securities Act of 1933, as amended, and Section 21E(b)(2)(B) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 do not apply to forward-looking statements made in periodic reports PennantPark Investment Corporation files under the Exchange Act. All statements other than statements of historical facts included in this press release are forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in filings with the SEC. PennantPark Investment Corporation undertakes no duty to update any forward-looking statement made herein. You should not place undue influence on such forward-looking statements as such statements speak only as of the date on which they are made.

Contact:	Richard T. Allorto, Jr.
	PennantPark Investment Corporation
	(212) 905-1000
	www.pennantpark.com

The MIL Network –

February 11, 2025

MIL-OSI United Nations: Noting Terrorist Groups’ Resilience, UN Counter-Terrorism Chief Tells Security Council Lasting Global Collaboration Key to Address Conditions Conducive to Lawlessness

Source: United Nations General Assembly and Security Council

Speakers Discuss Risk ISIL/Da’esh, Their Affiliates Pose in Syria, Afghanistan, Across Africa

The resilience of terrorist groups underscores the need for sustained international collaboration and comprehensive, long-term responses that address the conditions conducive to terrorism, the Security Council heard today during a briefing on the threat posed by Islamic State in Iraq and the Levant (ISIL/Da’esh).

Vladimir Voronkov, Under-Secretary-General of the United Nations Office of Counter-Terrorism, discussing the Secretary-General’s twentieth biannual strategic-level report on the topic, highlighted the volatile situation in Syria, and “the risk that stockpiles of advanced weapons could fall into the hands of terrorists”. An estimated 42,500 individuals, some with alleged links to Da’esh, remain in detention camps in the north-east. Member States must “facilitate the safe, voluntary and dignified repatriation of their nationals still stranded in those camps and facilities”, he said.

Providing details on the global terrorism landscape during the past six months, he said that, in Afghanistan, ISIL-Khorasan continued to pose a significant threat noting that its supporters plotted attacks in Europe and were actively seeking to recruit individuals from Central Asian States. In West Africa and the Sahel, Da’esh affiliates and other terrorist groups intensified attacks, including against schools in Burkina Faso, Mali and Niger, while in Somalia, the organization successfully recruited foreign terrorist fighters.

Sub-Saharan Africa has become the epicenter of global terrorism, he said, noting that the United Nations has prioritized capacity-building support to the continent. His office increased its delivery of technical assistance by 16 per cent, relying notably on the work of its Rabat Office. Highlighting the Fusion Cells programme which delivered specialized training to 124 analysts from 21 African Member States, he stressed the need to further strengthen border security to counter movements of terrorists. His office partnered with the Governments of Kuwait and Tajikistan to organize a conference on this.

The Countering Terrorist Travel programme, he said, continued to expand with 63 beneficiary Member States who are increasingly relying on the goTRAVEL software to collect and process passenger data to detect and prevent terrorist movements. Noting that the Pact for the Future renewed the international community’s commitment to a future free from terrorism, he urged Member States to translate these commitments into action, prioritizing inclusive, networked and sustainable responses.

Approach Centered on Prevention, Respect for Human Rights Key to Countering Terrorist Threat

Also briefing the Council was Natalia Gherman, Executive Director of Counter-Terrorism Committee Executive Directorate, who voiced concern over the humanitarian and security crisis in north-eastern Syria, with over 40,000 individuals confined in camps and detention facilities, under conditions marked by overcrowding, inadequate shelter and limited access to clean water and sanitation. Beyond the Middle East, Da’esh remains agile, taking advantage of ongoing conflicts and regions experiencing growing instability, she continued. The group now poses a threat to security and sustainable development across the African continent.

Armed terrorist groups, such as Islamic State West Africa Province, are exploiting fragile conditions to recruit children, commit abductions and attack schools and hospitals. In the Sahel and the Lake Chad Basin, Da’esh’s centralized operations continue to proliferate as regional cooperation declines, she said, adding that the role of the regional financial hubs used by the group and its affiliates has also expanded.

“Addressing these threats requires an approach centered on prevention, grounded in respect for human rights, and with regional cooperation as the linchpin,” she stressed, noting the Committee’s visits to Côte d’Ivoire, Ghana, Malawi, Mauritania and the United Republic of Tanzania. Assessments revealed gaps in border security and the need for stronger regional collaboration to counter the transnational nature of Da’esh’s activities. For its part, the Executive Directorate has recently adopted the non-binding guiding principles on preventing, detecting and disrupting the use of new and emerging financial technologies for terrorist purposes — the so-called “Algeria Guiding Principles”, she said.

Council Members Concerned Over Terrorists’ Adeptness at Expanding Operations, Attractomg New Recruits

In the ensuing discussion, Council members expressed concern that, despite decades of counter-terrorism efforts, the phenomenon has transformed adeptly, taking advantage of new technology and financial innovations. Sierra Leone’s delegate said that ISIL/Da’esh and their affiliates “continue to demonstrate resilience and adapt their modus operandi with extensive propaganda, as well as increased finances, fighters’ expertise and technology”. 14,000 fatalities were recorded on the African continent alone in 2024, he said, noting the impact on women and girls. A security-centered approach alone is insufficient, he stressed.

Along similar lines, Algeria’s delegate said that terrorist groups use the lack of development and marginalization to recruit and expand — therefore, security arrangements and development initiatives are equally necessary to combat this. Highlighting the Sahel, he said that well-equipped armed groups are adopting advancing military strategies as well as using organized crime, narcotic trafficking, kidnapping and new technologies to finance such operations.

France’s speaker noted that Da’esh, Al-Qaida and their affiliates are misappropriating new technology — such as drones — to carry out more targeted and lethal attacks. “These groups thrive on the soil where basic human rights are being violated, where women are marginalized,” she stated, adding that their use of sexual violence as a means of sowing terror has been documented.

“Our work is far from complete,” said Somalia’s representative, spotlighting “patterns of expansion” across regions, with groups establishing networks that transcend national borders. For its part, his Government has successfully conducted military operations with international partners to neutralize foreign Da’esh affiliates and implement joint security initiatives.

The representative of the United States highlighted her Government’s “precision air strikes” against ISIS in Somalia on 1 February. Her country “stands ready to find and eliminate terrorists who threaten the United States and our allies,” she said. She also urged Council members to list more ISIL and Al-Qaida affiliates in the 1267 Sanctions Committee list so that they will be subject to its worldwide assets travel ban and arms embargo. While the Sahel has become “the global epicenter for fatalities from terrorist attacks”, ISIS-Khorasan is increasing its capabilities to conduct attacks and recruit in Afghanistan and Pakistan, she said.

Counter-terrorism Policies Must Oppose Double Standards and Selectivity

Pakistan’s delegate drew attention to the need to address white supremacy and far-right extremism, as well. Counter-terrorism policies have so far singled out only one religion — Islam — but they must address the negative impact of stigmatizing Muslims and fanning the flames of Islamophobia, he said. His country is at the forefront of counter-terrorism efforts, fighting not only Da’esh, but also TTP [Tehrik-e Taliban Pakistan] and Majid Brigade. Further, “the international community has failed to address State terrorism, including the use of State power to suppress legitimate struggles for self-determination or to continue foreign occupation”, he said.

It was the North Atlantic Treaty Organization’s (NATO) invasion into Libya and the invasion of Iraq which spawned ISIL, the Russian Federation’s delegate said. Further, the United Nations’ counter-terrorism officials must “study the facts” on assistance to terrorists provided by Western countries, he said, adding that Ukraine, for instance, has become a logistic hub from which weapons disseminate across the world. NATO troops who hastily left Afghanistan also abandoned vast quantities of weapons which fell into the hands of ISIL and affiliates, he said.

The Council should oppose double standards and selectivity in counter-terrorism efforts, China’s representative, Council President for the month, speaking in his national capacity, underscored. He also voiced concern over the Turkistan Islamic Party in Syria, and called on Damascus to fulfil its counter-terrorism obligations and prevent any terrorist forces from using the Syrian territory to threaten the security of other countries.

Calls to Ensure Terrorist Groups Do Not Take Advantage of Instability in Syria

Several speakers, including the delegates of Denmark and Slovenia, stressed the need to ensure that terrorist groups do not take advantage of the instability in Syria. Greece’s delegate underlined the need for a political road map in that country that includes constitutional reform, free and fair elections and inclusive governance. “This is the only way towards the eradication not only of Da’esh, but terrorism in general,” he added. The United Kingdom’s delegate spotlighted the Global Coalition’s efforts to reduce the risk Da’esh poses as Syria embarks on its historical political transition. However, “we cannot fight terrorism with force alone”, he emphasized, calling for a whole-of-society approach — with the meaningful participation of women — to address the long-term drivers of terrorism.

Terrorists’ Increased Use of Information and Communications Technology Draws Concern

Delegates also considered how to tackle terrorist groups’ increased use of information and communications technology (ICT), with Guyana’s representative noting that gaming and social media platforms bolster resources and recruitment. The Analytical Support and Sanctions Monitoring Team has reported extensively on the increased risk of online radicalization and recruitment targeting youth and minors and the increasing use of cryptocurrencies by Da’esh, she said.

Also noting Da’esh’s use of cryptocurrencies, Panama’s delegate said: “Terrorism thrives on secrecy and underground flows of money.” His country is the only Latin American nation to participate in the Global Coalition against Da’esh and is committed to preventing terrorists from using the Panamanian banking system for their financing.

The Republic of Korea’s speaker stressed that the international community must respond by leveraging artificial-intelligence-driven analytics to improve threat detection, disrupt terrorist narratives and bolster information integrity. Seoul’s new “AI and Preventing and Countering Violent Extremism” project, designed in collaboration with the United Nations Office of Counter-Terrorism, seeks to map out how terrorists exploit AI and build States’ capacity to counter these tactics by incorporating AI solutions, he said.

MIL OSI United Nations News –

February 11, 2025

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Speakers Discuss Risk ISIL/Da’esh, Their Affiliates Pose in Syria, Afghanistan, Across Africa