Category: United States of America

  • MIL-OSI: Pulse Seismic Inc. Reports Strong Q2 2025 Financial Results and Declares Special and Regular Quarterly Dividends

    Source: GlobeNewswire (MIL-OSI)

    CALGARY, Alberta, July 22, 2025 (GLOBE NEWSWIRE) — Pulse Seismic Inc. (TSX:PSD) (OTCQX:PLSDF) (“Pulse” or the “Company”) is pleased to report its financial and operating results for the three and six months ended June 30, 2025. The unaudited condensed consolidated interim financial statements, accompanying notes and MD&A are being filed on SEDAR+ (www.sedarplus.ca) and will be available on Pulse’s website at www.pulseseismic.com.

    Today, Pulse’s Board of Directors declared a regular quarterly dividend of $0.0175 per common share and also declared a special dividend of $0.20 per common share. The total dividend declared will be approximately $11.0 million based on Pulse’s 50,755,057 common shares outstanding as of July 22, 2025, to be paid on August 20, 2025, to shareholders of record on August 13, 2025. This dividend is designated as an eligible dividend for Canadian income tax purposes. For non-resident shareholders, Pulse’s dividends are subject to Canadian withholding tax.

    “In the first half of 2025 the Company has benefited from increases in traditional data sales as well as energy sector M&A, generating revenue of $41.1 million, an EBITDA margin of 86% and $27.2 million of shareholder free cashflow,” stated Neal Coleman, Pulse’s President and CEO. “Pulse’s industry leading seismic data library contains vital subsurface information used by E&P companies for risk mitigation and maximization of drilling results,” he continued. “The Company continues to rely on shareholder free cashflow as the basis for its capital allocation strategy and remains focused on returns to shareholders, as evidenced by distributing 84% of 2025 free cash flow in the form of dividends. Pulse’s Board of Directors today declared the second special dividend of 2025,” Coleman continued. “In the last 24 months, special dividends of $0.80 have been declared, in addition to the regular dividend which has increased annually and is currently set at $0.07 per year,” he concluded.

    HIGHLIGHTS FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2025

    • The regular quarterly dividend of $0.0175 per common share declared and paid in the second quarter of 2025 was a 17% increase over the regular quarterly dividend of $0.015 per common share declared and paid in the first quarter of 2025. A special dividend of $0.20 per common share totaling $10.2 million was also declared and paid in the first quarter of 2025;
    • The Company renewed its Normal Course Issuer Bid (NCIB) on February 24, 2025. During the six months ended June 30, 2025, the Company purchased and cancelled 80,600 shares under the NCIB at an average price of $2.43 per share, for total cost of approximately $197,000;
    • Total revenue for the three months ended June 30, 2025, was $18.3 million, compared to $6.3 million for the same period in 2024. Total revenue for the six months ended June 30, 2025, was $41.1 million, compared to $15.1 million for the same period in 2024. Revenue generated in the first half of 2025 reflects an increase of 71% compared to the last three years average of annual revenue;
    • Shareholder free cash flow(a) was $11.7 million ($0.23 per share basic and diluted) for the three months ended June 30, 2025, compared to $3.9 million ($0.07 per share basic and diluted) for the same period in 2024. Shareholder free cash flow was $27.2 million ($0.53 per share basic and diluted) for the six months ended June 30, 2025, compared to $8.9 million ($0.17 per share basic and diluted) for the same period in 2024;
    • EBITDA(a) was $15.2 million ($0.30 per share basic and diluted) for the three months ended June 30, 2025, compared to $4.4 million ($0.0.09 per share basic and diluted) for the same period in 2024. For the six months ended June 30, 2025, EBITDA was $35.3 million ($0.69 per share basic and diluted) compared to $10.6 million ($0.21 per share basic and diluted) for the same period in 2024;
    • Net earnings for the three months ended June 30, 2025, was $9.6 million ($0.19 per share basic and diluted) compared to net earnings of $1.3 million ($0.03 per share basic and diluted) for the same period in 2024. Net earnings for the six months ended June 30, 2025, was $22.9 million ($0.45 per share basic and diluted) compared to net earnings of $4.0 million ($0.08 per share basic and diluted) for the same period in 2024; and
    • At June 30, 2025, the Company had a cash balance of $25.9 million as well as $5.0 million of available liquidity on its revolving demand credit facility.
    SELECTED FINANCIAL AND
    OPERATING INFORMATION
             
               
               
    (Thousands of dollars except per share data, Three months ended June 30, Six months ended June 30, Year ended,
    numbers of shares and kilometres of seismic data) 2025 2024   2025 2024 December 31,
      (Unaudited) (Unaudited) 2024
    Revenue 18,316 6,300   41,075 15,077 23,379
               
    Amortization of seismic data library 2,224 2,279   4,449 4,549 9,090
    Net earnings 9,565 1,341   22,940 4,022 3,391
    Per share basic and diluted 0.19 0.03   0.45 0.08 0.07
    Cash provided by (used in) operating activities 12,543 (1,269 ) 29,158 9,195 14,195
    Per share basic and diluted 0.25 (0.02 ) 0.57 0.18 0.28
    EBITDA (a) 15,238 4,418   35,286 10,647 15,496
    Per share basic and diluted (a) 0.30 0.09   0.69 0.21 0.30
    Shareholder free cash flow (a) 11,733 3,869   27,152 8,907 12,408
    Per share basic and diluted (a) 0.23 0.07   0.53 0.17 0.24
               
    Capital expenditures          
    Seismic data   225 225
    Property and equipment   45
    Total capital expenditures   225 270
               
    Dividends          
    Regular dividends declared 885 775   1,648 1,490 3,018
    Special dividends declared   10,167 2,548
    Total dividends declared 885 775   11,815 1,490 5,566
               
    Normal course issuer bid          
    Number of shares purchased and cancelled 37,300 539,500   80,600 1,166,800 1,784,000
    Cost of shares purchased and cancelled 91 1,222   197 2,407 3,880
               
    Weighted average shares outstanding          
    Basic and diluted 50,761,321 51,734,590   50,795,174 51,928,298 51,448,985
    Shares outstanding at period-end     50,755,057 51,455,063 50,837,863
               
    Seismic library          
    2D in kilometres     829,207 829,207 829,207
    3D in square kilometres     65,310 65,310 65,310
    FINANCIAL POSITION
    AND RATIO
             
          June 30, June 30, December 31,
    (Thousands of dollars except ratio)     2025 2024 2024
    Working capital     24,202 10,996 9,222
    Working capital ratio     4.8:1 4.0:1 5.1:1
    Cash and cash equivalents     25,876 9,392 8,722
    Total assets     36,479 29,184 21,516
    Trailing 12 -month (TTM) EBITDA(b)     40,135 27,528 15,496
    Shareholders’ equity     29,177 25,177 18,295
               

    (a)The Company’s continuous disclosure documents provide discussion and analysis of “EBITDA”, “EBITDA per share”, “shareholder free cash flow” and “shareholder free cash flow per share”. These financial measures do not have standard definitions prescribed by IFRS and, therefore, may not be comparable to similar measures disclosed by other companies. The Company has included these non-GAAP financial measures because management, investors, analysts and others use them as measures of the Company’s financial performance. The Company’s definition of EBITDA is cash available for interest payments, cash taxes, repayment of debt, purchase of its shares, discretionary capital expenditures and the payment of dividends, and is calculated as earnings (loss) from operations before interest, taxes, depreciation and amortization. The Company believes EBITDA assists investors in comparing Pulse’s results on a consistent basis without regard to non-cash items, such as depreciation and amortization, which can vary significantly depending on accounting methods or non-operating factors such as historical cost. EBITDA per share is defined as EBITDA divided by the weighted average number of shares outstanding for the period. Shareholder free cash flow further refines the calculation of capital available to invest in growing the Company’s 2D and 3D seismic data library, to repay debt, to purchase its common shares and to pay dividends by deducting non-discretionary expenditures from EBITDA. Non-discretionary expenditures are defined as non-cash expenses, debt financing costs (net of deferred financing expenses amortized in the current period), net restructuring costs and current tax provisions. Shareholder free cash flow per share is defined as shareholder free cash flow divided by the weighted average number of shares outstanding for the period.
    These non-GAAP financial measures are defined, calculated and reconciled to the nearest GAAP financial measures in the Management’s Discussion and Analysis.
    (b) TTM EBITDA is defined as the sum of EBITDA generated over the previous 12 months and is used to provide a comparable annualized measure.
    These non-GAAP financial measures are defined, calculated and reconciled to the nearest GAAP financial measures in the Management’s Discussion and Analysis.

    OUTLOOK
    Pulse had a very strong first half year, generating revenue of $41.1 million and ending the quarter with $24.2 million of working capital including $25.9 million in cash. These financial results have provided capital returns to shareholders, strengthened the balance sheet, and positioned the Company for solid financial performance in 2025.

    Pulse’s ability to forecast future revenue continues to be challenging, as significant annual fluctuations are the norm in the seismic data library business. Industry trends that we consider relevant as we look forward include land sales in Western Canada, drilling forecasts for the year, commodity price levels, M&A forecasts and the status of industry infrastructure improvements. It is difficult to predict in the midst of the current market dynamics how this will unfold through the remainder of 2025. M&A activity for the year so far, has surpassed many analysts’ earlier expectations and is expected to remain strong for the remainder of 2025. Lower oil prices have contributed to decreased corporate valuations which often lead to acquisition opportunities. Alberta land sales through 2024 were strong, but at midpoint in 2025 have generated just over half the amount for the same period in 2024. In British Columbia land sales were resumed in Q3 2024 after a pause of over three years. New infrastructure, such as the TMX pipeline expansion, a driver of increased drilling activity, which was completed in 2024 has provided increased export capacity. The Canadian Association of Energy Contractors, in November 2024 forecast an increase to 6,604 wells to be drilled in 2025, an approximate 7% increase over 2024. There has been no update published to this forecast, and drilling activity is reported to be relatively stable. LNG Canada’s liquified natural gas export facility is now operational and is expected to contribute to increased drilling and may lead to an improvement in Canadian natural gas prices.

    Of course, there continues to be a high level of uncertainty on political and economic fronts. Uncertainty around energy tariffs and trade policy between Canada and the United States, are contributing to the lack of clarity for the future. It is clear that Canada needs to continue to build pipelines and increase natural gas egress, to support the country’s energy security, as well as to secure new buyers of Canadian energy.

    Pulse, as previously stated, has low visibility regarding future seismic data library sales levels, regardless of industry conditions. The Company remains focused on business practices that have served throughout the full range of conditions. The Company maintains a strong balance sheet and carries no debt. Led by an experienced and capable management team, Pulse operates with a low-cost structure and focuses on maintaining excellent client relations and providing exceptional customer service. Pulse’s strong financial position, high leverage to increased revenue in its EBITDA margin and careful management of its cash resources continue to translate to the return of capital to shareholders through regular and special dividends.

    CORPORATE PROFILE

    Pulse is a market leader in the acquisition, marketing and licensing of 2D and 3D seismic data to the western Canadian energy sector. Pulse owns the largest licensable seismic data library in Canada, currently consisting of approximately 65,310 square kilometres of 3D seismic and 829,207 kilometres of 2D seismic. The library extensively covers the Western Canada Sedimentary Basin, where most of Canada’s oil and natural gas exploration and development occur.

    For further information, please contact:
    Neal Coleman, President and CEO
    Or
    Pamela Wicks, Vice President Finance and CFO
    Tel.: 403-237-5559
    Toll-free: 1-877-460-5559
    E-mail: info@pulseseismic.com.
    Please visit our website at www.pulseseismic.com

    This document contains information that constitutes “forward-looking information” or “forward-looking statements” (collectively, “forward-looking information”) within the meaning of applicable securities legislation. Forward-looking information is often, but not always, identified by the use of words such as “anticipate”, “believe”, “expect”, “plan”, “intend”, “forecast”, “target”, “project”, “guidance”, “may”, “will”, “should”, “could”, “estimate”, “predict” or similar words suggesting future outcomes or language suggesting an outlook.

    The Outlook section herein contain forward-looking information which includes, but is not limited to, statements regarding:

    > The outlook of the Company for the year ahead, including future operating costs and expected revenues;

    > Recent events on the political, economic, regulatory, and legal fronts affecting the industry’s medium- to longer-term prospects, including progression and completion of contemplated infrastructure projects;

    > The Company’s capital resources and sufficiency thereof to finance future operations, meet its obligations associated with financial liabilities and carry out the necessary capital expenditures through 2025;

    > Pulse’s capital allocation strategy;

    > Pulse’s dividend policy;

    > Oil and natural gas prices and forecast trends;

    > Oil and natural gas drilling activity and land sales activity;

    > Oil and natural gas company capital budgets;

    > Future demand for seismic data;

    > Future seismic data sales;

    > Pulse’s business and growth strategy; and

    > Other expectations, beliefs, plans, goals, objectives, assumptions, information and statements about possible future events, conditions, results and performance, as they relate to the Company or to the oil and natural gas industry as a whole.

    By its very nature, forward-looking information involves inherent risks and uncertainties, both general and specific, and risks that predictions, forecasts, projections and other forward-looking statements will not be achieved. Pulse does not publish specific financial goals or otherwise provide guidance, due to the inherently poor visibility of seismic revenue. The Company cautions readers not to place undue reliance on these statements as a number of important factors could cause the actual results to differ materially from the beliefs, plans, objectives, expectations and anticipations, estimates and intentions expressed in such forward-looking information.

    These factors include, but are not limited to:

    > Uncertainty of the timing and volume of data sales;

    > Volatility of oil and natural gas prices;

    > Risks associated with the oil and natural gas industry in general;

    > The Company’s ability to access external sources of debt and equity capital;

    > Credit, liquidity and commodity price risks;

    > The demand for seismic data;

    > The pricing of data library licence sales;

    > Cybersecurity;

    > Relicensing (change-of-control) fees and partner copy sales;

    > Environmental, health and safety risks;

    > Federal and provincial government laws and regulations, including those pertaining to taxation, royalty rates, environmental protection, public health and safety;

    > Competition;

    > Dependence on key management, operations and marketing personnel;

    > The loss of seismic data;

    > Protection of intellectual property rights;

    > The introduction of new products; and

    > Climate change.

    Pulse cautions that the foregoing list of factors that may affect future results is not exhaustive. Additional information on these risks and other factors which could affect the Company’s operations and financial results is included under “Risk Factors” in the Company’s most recent annual information form, and in the Company’s most recent audited annual financial statements, most recent MD&A, management information circular, quarterly reports, material change reports and news releases. Copies of the Company’s public filings are available on SEDAR+ at www.sedarplus.ca.

    When relying on forward-looking information to make decisions with respect to Pulse, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Furthermore, the forward-looking information contained in this document is provided as of the date of this document and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking information, except as required by law. The forward-looking information in this document is provided for the limited purpose of enabling current and potential investors to evaluate an investment in Pulse. Readers are cautioned that such forward-looking information may not be appropriate, and should not be used, for other purposes.

    PDF available: http://ml.globenewswire.com/Resource/Download/8df92694-2a01-45f3-b5b4-ecc0f5bd6edb

    The MIL Network

  • MIL-OSI USA: Frost and Cherfilus-McCormick Reintroduce Bill to Prevent Radioactive Materials from Being Used to Build Roads – the “No Radioactive Roads Act”

    Source: United States House of Representatives – Representative Maxwell Frost Florida (10th District)

    July 22, 2025

    Frost’s Bill Would Prevent Cancer-Causing Fertilizer Byproduct from Being Used in Road Construction

    WASHINGTON, D.C. — Today, Congressman Maxwell Alejandro Frost (D-FL) and Congresswoman Sheila Cherfilus-McCormick (D-FL) reintroduced the No Radioactive Roads Act, legislation to ensure the current Trump Administration or any future administration cannot allow for deadly, cancer-causing radioactive material, phosphogypsum (PG), to be used in road construction. Florida is the world’s largest PG producing area with 1 billion tons of PG stored in stacks, mainly in the Central Florida region. 

    The Biden-Harris Administration quickly reversed the first Trump Administration’s unscientific decision to allow PG in road construction in 2021. However, with Trump’s return to office, PG’s threat to people’s health is once again imminent. 

    In 2021, a tear at a PG stack facility allowed for millions of gallons of untreated wastewater to be released into Tampa Bay, devastating the clean waters of the bay and causing a red tide outbreak, killing millions of fish. Despite the environmental fallout, in 2023, Governor Ron DeSantis signed a bill into law to allow the cancer-causing material to be used in road construction. Most recently, ahead of the Trump Administration taking office, the Environmental Protection Agency authorized Mosaic’s pilot road project to use 1,200 tons of the hazardous material in Polk County, Florida. 

    Frost and Cherfilus-McCormick first introduced the bill in 2024. 

    “As Florida allows for PG to be used in our roads, endangering our workers, drivers, and entire communities, we need immediate federal action that puts public health over corporate profits,” said Congressman Maxwell Frost. “The science is abundantly clear—PG is a deadly, cancer-causing substance that harms our environment and puts lives at risk, and no administration should be able to permit its use without the highest safety standards. It’s unacceptable that the fertilizer industry is looking to offload toxic waste into our roads in order to boost their profits while leaders like DeSantis and Donald Trump enable it. The No Radioactive Roads Act puts our people, our planet, and our future over the profits of corporate polluters.”

    “Protecting the health and safety of our communities must be our top priority. Using radioactive materials like phosphogypsum in road construction endangers our families, harms our environment, and puts our future at risk,” said Congresswoman Sheila Cherfilus-McCormick. “The No Radioactive Roads Act is a crucial step in preventing communities from facing the long-term dangers of toxic exposure. I am proud to partner with Congressman Maxwell Frost on this legislation to protect the well-being of every Floridian.”

    “The EPA’s decision to weaken standards for phosphogypsum is both reckless and unfounded. We cannot allow the health and safety of our communities to be sacrificed for the financial interests of the fertilizer industry, which seeks to profit from incorporating this radioactive byproduct into our roads. The science is clear: exposure to phosphogypsum is directly linked to significantly increased cancer risk. We will not tolerate policies that endanger our residents and workers,” said Orange County Commissioner Kelly Martinez Semrad. “In Orange County, I am also introducing an accompanying resolution to prohibit the use of phosphogypsum in local roadway projects. Our stance is firm, and our message is clear: I fully support Congressman Frost’s bill on behalf of the people of our district, the state of Florida, and communities across the country.”

    The No Radioactive Roads Act has been endorsed by the League of Conservation Voters, Center for Biological Diversity, Food & Water Watch, Surfrider Foundation, and the Save Split Oak Campaign.

    “Representative Frost’s No Radioactive Roads Act will help protect the health and safety of communities as the Trump administration continues to roll back protections from toxic pollutants. Constructing roads with radioactive, cancer-causing phosphogypsum can harm workers, drivers, and nearby families who are already most impacted by environmental injustice and the climate crisis. We will continue to fight alongside our climate champions in Congress like Representative Frost to pass legislation to protect the health of our communities, our air and water, and our future generations,” said Madeleine Foote, Healthy Communities Program Director for League of Conservation Voters.

    “The EPA made it clear decades ago that radioactive phosphogypsum has no place in our roads,” said J.W. Glass, EPA policy specialist at the Center for Biological Diversity. “While Rep. Frost shouldn’t have to introduce legislation just to get the EPA to follow its own rules, this bill provides clear direction the agency needs to keep our water, workers and wildlife safe from radiation and other pollutants tied to this toxic waste.”

    “We sincerely thank Representative Frost for championing the No Radioactive Roads Act, which takes decisive action to safeguard our communities from the significant risks posed by phosphogypsum. Florida has experienced firsthand the devastating consequences of mismanaging this hazardous material, including the Piney Point disaster, where over 200 million gallons of contaminated wastewater spilled into Tampa Bay. Using phosphogypsum in road construction would endanger workers, drivers, drinking water supplies, and fragile ecosystems, not just in Florida but across the country. This legislation is a crucial step toward protecting public health and preserving the safety of our water resources. We are committed to working with Congress and communities to ensure this vital bill becomes law and helps prevent future disasters,” said Jim Walsh, Policy Director, Food & Water Watch.

    “Clean water and resilient watersheds are the foundation of healthy coastal communities and strong economies. The use of radioactive waste in roads presents a serious risk that puts public health and the environment in jeopardy for generations to come. The ‘No Radioactive Roads Act’ introduces common-sense safeguards for protecting human health, requiring water quality monitoring, and ensuring transparency,” said Katie Bauman, Florida Policy Manager for Surfrider Foundation.

    “On behalf of the Save Split Oak Forest campaign, we strongly support Congressman Frost’s No Radioactive Roads Act. This legislation is crucial for safeguarding Florida’s ecosystems from the dangers of radioactive road runoff, which can harm our waterways, soil, and wildlife. Protecting conservation lands like Split Oak Forest is essential for preserving biodiversity and ensuring smart, sustainable growth. We urge all members of Congress to back this act to prevent harmful pollution and promote a future where Florida’s natural environment and communities can thrive together,” said Lee Perry, Lead Volunteer of the Save Split Oak Campaign.

    Additional Background:

    For over 30 years, the Environmental Protection Agency (EPA) has prohibited the use of phosphogypsum (PG) for road construction because this fertilizer waste product emits deadly, cancer-causing radon gas and contains toxic heavy metals like arsenic, lead, mercury, and sulfur. 

    These toxins can become airborne or seep into the soil and groundwater. One of these elements, radium-226, has a 1,600-year half-life and will poison generations of people working on, living near, or traveling over any future radioactive roads.

    Scientific research makes clear that phosphogypsum (PG) is not safe to use as a road building material, but just months before leaving office, the first Trump Administration green-lit PG to be used in road construction.

    The Biden-Harris Administration quickly reversed the Trump Administration’s decision to allow PG in road construction but this means that PG’s threat to people’s health and safety can reemerge under the new Trump Administration. 

    ###

    MIL OSI USA News

  • MIL-OSI USA: Congresswoman Cherfilus-McCormick Introduces African Diaspora Investment and Development Act (AIDA)

    Source: United States House of Representatives – Congresswoman Sheila Cherfilus-McCormick (D-Florida 20th district))

    Unlocking the development potential of diaspora communities and helping reduce reliance on foreign aid

    WASHINGTON, D.C. – Today, Rep. Sheila Cherfilus-McCormick (D-FL) and Rep. Jonathan J. Jackson (D-IL) introduced the African Diaspora Investment and Development Act (AIDA), groundbreaking legislation that harnesses the economic power of African and Caribbean diaspora communities to advance sustainable development, reduce remittance costs, and align U.S. foreign policy with grassroots investment. 

    Millions of Americans with heritage in Africa and the Caribbean send billions of dollars annually to support loved ones and communities in their countries of origin. Yet, they often face high transaction fees, limited investment tools, and few incentives to grow their impact. AIDA addresses these barriers head-on. 

    As highlighted in Realizing Africa’s Potential: A Journey to Prosperity by Professor Landry Signé, published by the Brookings Institution, the diaspora can be a powerful driver of development in their home countries—not just through remittances, but by fostering trade, investment, research, innovation, and the transfer of knowledge and technology. This dynamic strengthens U.S. interests by empowering African and Caribbean diaspora communities, who are an integral part of the American fabric, to spur economic growth and innovation both abroad and at home, reinforcing U.S. global partnerships and domestic prosperity. 

    The African Diaspora Investment and Development Act: 

    • Reduces the cost of remittances by promoting transparency, competition, and innovation in money transfers.
    • Creates tax incentives for diaspora investments that drive sustainable economic development in African and Caribbean countries.
    • Encourages financial inclusion through fintech and diaspora-owned money transfer platforms.
    • Supports diaspora-led investments with U.S. financial backing.
    • Advances U.S. development goals by strengthening diaspora engagement in entrepreneurship, infrastructure, and community development projects abroad. 

    “The African and Caribbean diasporas are economic engines that deserve recognition and support,” said Rep. Sheila Cherfilus-McCormick (D-FL). “This bill creates smart incentives that empower families, foster sustainable development, and reflect our values in U.S. foreign policy. AIDA is about unlocking diaspora investment potential. By empowering these communities, we can reduce reliance on foreign aid and embrace a model based on investment, dignity, and shared prosperity.” 

    “This bill is timely and vital, especially at a time when US policy towards Africa and the Diaspora is shifting from aid to trade,” said Rep. Jonathan L. Jackson (D-IL). “Remittances ($90 billion inflow to Africa in 2023) have surpassed both foreign assistance and direct investment in many countries in Africa and the Caribbean; a source for development and economic growth. AIDA strengthens the Diaspora contributions in GPD growth through investments and family support – food, housing, education, health care, etc.” 

    “Reducing remittance costs and eliminating taxes on remittances are critical measures that ensure every dollar sent goes further, directly benefiting health, education, small businesses, and local infrastructure,” said President of the Nigerian Physicians Advocacy Group, Susan Edionwe. “These changes will empower organizations like ours, whose work relies heavily on diaspora contributions, to expand our impact and better serve the people of Nigeria and beyond.” 

    “The proposed AIDA bill is a fundamental recognition that as a nation of immigrants the USA holds the ultimate power of transformation in the contributions of its diaspora to the rest of the world,” said Founder and CEO of Hamstrings, Inc., Eric V. Guichard. “AIDA is about leveraging these diaspora resources for good. It is a paradigm shift in development finance whose time has come.” 

    “Remittances from family and friends in the U.S. to these regions primarily address basic necessities for recipients including housing, food, education, services, small business support and humanitarian assistance,” said Haiti Renewal Alliance. “A framework for partnerships with the U.S. DFC and diasporas via the AIDA Act to channel remittances for coordinated and robust investments with people on the ground in African and Caribbean countries, ushers the U.S. leading the next generation of successful global development for inclusive growth, peace, stability and opportunity, appreciating diaspora from Africa and Caribbean as key contributors.” 

    During a time when development assistance from the United States in Africa and in the Caribbean, is being drastically curtailed or even eliminated, African and Caribbean countries will need to increasingly rely on remittances coming from the Diaspora to meet basic needs and to get by,” said President of Constituency for Africa (CFA), Melvin Foote. “The proposed AIDA legislation if passed, would certainly be a huge step in the right direction.” 

    The legislation has received early praise from diaspora organizations, development experts, and financial inclusion advocates. 

    ### 

    MIL OSI USA News

  • MIL-OSI USA: Statement by Rep. Dan Goldman on DOJ’s Announcement That It Would Meet With Ghislaine Maxwell

    Source: US Congressman Dan Goldman (NY-10)

    “In a further effort to conceal the Epstein Files to protect President Trump, the Department of Justice is yet again using the criminal justice system for political purposes by belatedly and improperly seeking cooperation from Ghislaine Maxwell, who is serving a 20-year sentence on convictions for conspiring with Jeffrey Epstein to sexually abuse minors. 

    “As Deputy Attorney General Todd Blanche well knows from his lengthy tenure as a prosecutor and supervisor in the Southern District of New York, this is almost certainly not the first time the DOJ has inquired about cooperation from Ghislaine Maxwell, who, as a matter of course, would have been offered the opportunity to reduce her sentence in return for truthful and forthright information about Epstein and all others involved in the scheme.  

    “DAG Blanche is now doing an end-run around the SDNY and its institutional policies by acting as a political agent of President Trump to forestall the release of the full Epstein files by tacitly floating a pardon for Maxwell in return for information that politically benefits President Trump. 

    “Maxwell’s information is only as credible as any corroboration found in the Epstein files, including recordings, witness interviews, electronic communications, and photographs and videos. Neither the grand jury testimony nor Maxwell’s compromised information will expose the full extent of the conspiracy, including all those who may be included in the files.   

    “Do not be fooled: this latest delay tactic is yet another effort to conceal the Epstein files. Full transparency will only occur when DOJ releases the full and complete Epstein files, as they promised.”     

    MIL OSI USA News

  • MIL-OSI USA: Rep. Andrea Salinas Introduces Legislation to Level the Playing Field for the Cider Industry

    Source: US Representative Andrea Salinas (OR-06)

    Today, U.S. Representative Andrea Salinas (OR-06), introduced the Bubble Tax Modernization Act, which would lower the tax rate for lower-alcohol wine, cider, and mead made with fruit.

    Washington, D.C. – Today, U.S. Representative Andrea Salinas (OR-06), introduced the Bubble Tax Modernization Act, which would lower the tax rate for lower-alcohol wine, cider, and mead made with fruit.

    Despite the popularity of bubbly beverages, the carbonation tax–colloquially called the ‘bubble tax’ on fruit wine, fruit cider, and fruit mead makes carbonating these agricultural products at sparkling levels cost prohibitive. Most craft beverage entrepreneurs can’t afford to carbonate these products at the level the market wants. The result is that an important American agricultural sector is falling flat.

    “Oregon has some of the highest quality fruit in the country, but red tape in our tax code makes it nearly impossible to use these products to make the fruited wines, ciders, and meads that people want,” said Rep. Salinas. “My bill levels the playing field for the cider industry and makes it more affordable to produce the sparkling, fruited drinks consumers want.”

    “Cidermakers should not be limited to just pears and apples in order to avoid a massive, unnecessary tax hike on their products,” said Rep. Van Orden. “This bill works for everyone – farmers, cidermakers, and consumers – by allowing any type of fruit to be added to cider and taxed at the standard rate.”

    Currently, the tax code dictates that if a sparkling cider, wine, or mead is made with fruits other than apples and pears, then it can only be minimally carbonated, often to the point that it tastes flat to most consumers. If cidermakers want to carbonate their fruited drinks to the same level as other, non-fruited ciders, taxes on these fruited ciders triple. Rep. Salinas’ legislation allows cidermakers to create and carbonate fruited beverages without this higher tax burden, granting them more freedom to produce drinks to match public demand.

    “The Bubble Tax Modernization Act is a critical, overdue fix that will finally bring fairness to how cider is taxed in the U.S.,” said Monica Cohen, CEO of the American Cider Association. “It eliminates outdated penalties on carbonated, fruit-forward ciders and gives small cidermakers the freedom to innovate without being punished. This bill supports American agriculture, strengthens rural economies, and helps keep cider accessible to consumers. It’s common-sense legislation and we applaud Representatives Salinas and Van Orden for moving this forward.”

    “The Pacific Northwest is home to some of the most innovative and orchard-driven cider producers in the country. Yet outdated federal tax rules have unfairly penalized craft cideries and restricted innovation and expansion into the fruited cider category,” said Emily Ritchie, Executive Director of the Northwest Cider Association. “The Bubble Tax Modernization Act is a common-sense update that will allow our producers to grow, hire more local workers, and invest back into our rural communities and vibrant apple and pear orchards. This is a crucial step toward fairness and opportunity for the Northwest cider industry.” 

    “New York’s cider industry has become a national leader—thanks to the innovation, resilience, and agricultural roots of our cider producers. But outdated carbonation tax thresholds are holding us back,” said Scott Ramsey, Executive Director of the New York Cider Association. “The Bubble Tax Modernization Act represents a long-overdue step toward fairness for cider makers in New York and across the country. By leveling the playing field, this bill will empower our producers to expand their offerings, hire more local workers, and reinvest in the rural communities and orchards that fuel our economy. We’re proud to support this effort to strengthen one of New York’s most dynamic and agricultural industries.”

    The Bubble Tax Modernization Act is endorsed by the American Cider Association, Northwest Cider Association, North Carolina Cider Association, New York Cider Association, and Pennsylvania Cider Guild.

    To read the full text of this legislation, click here

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    MIL OSI USA News

  • MIL-OSI USA: Senate Intelligence Authorization Bill Advances with Key Provisions Authored by Senator Collins

    US Senate News:

    Source: United States Senator for Maine Susan Collins

    Washington, D.C. – U.S. Senator Susan Collins, a member of the Senate Select Committee on Intelligence, announced that the Committee advanced the Intelligence Authorization Act (IAA) for Fiscal Year 2026 by a 15-2 vote. The bill authorizes funding, provides legal authorities, and enhances congressional oversight for the U.S. Intelligence Community, and includes multiple provisions authored by Senator Collins. The bill now awaits consideration by the full Senate.

    “The Intelligence Authorization Act for Fiscal Year 2026 is critical for the Intelligence Community to defend U.S. interests and to arm policy and decision makers with critical information,” said Senator Collins. “This bipartisan bill would also build upon the effectiveness of the security clearance process, strengthen cybersecurity, and increase congressional oversight of the Intelligence Community.”

    The provisions co-authored by Senator Collins address the following issues:

    • Requiring improvement to the security of our voting and election systems through cybersecurity penetration testing and accreditation, by amending the Help America Vote Act of 2002. This provision was co-authored with Chairman Warner, and was originally introduced as the SECURE IT Act (“Strengthening and Enhancing Cybersecurity by Using Research, Education, Information, and Technology” Act) in the FY24 and FY25 IAA.
    • Ensuring continued support for victims of Anomalous Health Incidents (AHIs) by mandating that the Intelligence Community support Department of Defense AHI medical research, along with a requirement for the ODNI to issue standard AHI reporting guidelines. This provision was co-sponsored with Senators Cotton, Warner and Gillibrand.
    • Extension of the Cybersecurity Information Sharing Act of 2015, to 2035. This provision was co-sponsored with Senators Warner, King, and Rounds.

    Additional subjects of critical importance to Senator Collins which were included in this IAA were: AHI budget increase to military intelligence centers and health agencies for medical and mechanical research; new policy requirements to support biomedical and biotechnological research to defend against various threats; and multiple security clearance reform initiatives.

    MIL OSI USA News

  • MIL-OSI USA: Kelly highlights need for Medicare Advantage Prior Authorization reform during Ways & Means hearing

    Source: United States House of Representatives – Representative Mike Kelly (R-PA)

    WASHINGTON, D.C. — Today, during a joint hearing of the Ways & Means Subcommittees on Health & Oversight, U.S. Rep. Mike Kelly (R-PA), a member of the Ways & Means Subcommittee on Health, renewed calls for Medicare Advantage Prior Authorization reform and highlighted his highly popular legislation, the bipartisan Improving Seniors’ Timely Access to Care Act.

    “More than 33 million Americans, including more than 1.5 million Pennsylvanians, rely on Medicare Advantage as a part of their coverage. Patients, practitioners, and policymakers all agree — modernization of the prior authorization process is long overdue, and my legislation does just that,” said Rep. Kelly. “I am proud to reintroduce the Improving Seniors’ Timely Access to Care Act of 2025, which would move the health care sector into the 21st century by giving doctors and Medicare Advantage plans the tools to make health coverage decisions in a timely manner.”

    During Tuesday’s hearing, which focused on Medicare Advantage, Kelly highlighted how the legislation would improve both patient costs and patient outcomes. Kelly’s legislation has 145 co-sponsors in the U.S. House during the 119th Congress.

    You can watch his remarks from Tuesday’s hearing here.

    BACKGROUND

    The Improving Seniors’ Timely Access to Care Act would:

    • Establish an electronic prior authorization process for MA plans including a standardization for transactions and clinical attachments.
    • Increase transparency around MA prior authorization requirements and its use.
    • Clarify HHS’ authority to establish timeframes for e-prior authorization requests including   expedited determinations, real-time decisions for routinely approved items and services, and other prior authorization requests.
    • Expand beneficiary protections to improve enrollee experiences and outcomes.
    • Require HHS and other agencies to report to Congress on program integrity efforts and other ways to further improve the e-PA process.
    • Previously, Rep. Kelly led similar legislation in the 118th Congress. The Improving Seniors’ Timely Access to Care Act unanimously passed the House in the 117th Congress and was cosponsored by a majority of members in the Senate and House of Representatives. 

    You can read the full bill text here and a section-by-section here.

    MIL OSI USA News

  • MIL-OSI USA: Reps. Moore and Zinke Introduce Legislation to Codify Executive Order on National Parks

    Source: United States House of Representatives – Representative Riley Moore (WV-02)

    Washington, D.C. – Today, Congressman Riley M. Moore (WV-02) and Congressman Ryan Zinke (MT-01) introduced the PATRIOT Parks Act — which codifies President Trump’s Executive Order “Making America Beautiful Again by Improving Our National Parks.”

    Currently, the National Parks System faces more than $23 billion in deferred maintenance, including more than $200 million on parklands in West Virginia. This legislation implements increased entrance fees for foreign visitors at National Parks, with the additional funds being reinvested back into parks for maintenance and other basic operating costs. Senator Jim Banks of Indiana and Senator Tim Sheehy of Montana introduced companion legislation in the Senate.

    The bill is supported by the American Conservation Coalition Action (ACC Action) and the Property and Environment Research Center (PERC). Both organizations were instrumental in helping craft the President’s executive order. The Bull Moose Project and American Prairie are also supportive of the legislation.

    Congressman Moore issued the following statement:

    “From the New River Gorge in my home state to Shenandoah, the Great Smoky Mountains, the Everglades, and the Grand Canyon – God blessed our nation with a tremendous natural heritage. We owe it to future generations to ensure these natural marvels are protected.

    “Unfortunately, the National Park System currently faces a backlog of more than $23 billion in deferred maintenance, including more than $200 million on properties across the Mountain State. Our commonsense legislation keeps entry fees static for Americans while charging more for foreigners visiting our National Parks. This will allow us to finally start tackling this extensive maintenance backlog.”

    Here’s what others are saying:

    “National Parks are America’s best idea and maintaining that legacy for future generations means making smart investments in the management of the parks,” said Congressman Zinke. “Americans already pay for parks in our tax dollars as well as at the gates. It’s unfair to American taxpayers to foot the bill for millions of foreign visitors. Almost every other country charges foreign visitors more, it’s common sense. President Trump and Secretary Burgum did the right thing directing the National Park Service implement a foreign visitor fee. This legislation will codify the policy and ensure Americans are put First in our own parks.”

    “Americans already pay for our parks through federal taxes on top of standard admission fees, so it’s fair to ask foreign visitors to chip in more,” said Senator Banks. “This bill codifies President Trump’s executive order and helps protect our national treasures for future generations.”

    “Our national parks drive Montana’s tourism economy by bringing in visitors from all over the world and define our way life by offering an experience you can only find in America,” said Senator Sheehy. “Implementing a foreign visitor fee is an America First, commonsense way to secure affordable access for American families, improve our national parks for all visitors, and better manage our treasured public lands. It’s not too much for Americans to ask that their government puts them first, and that’s why I’m proud to support the PATRIOT Parks Act so more American families can enjoy our national parks for generations to come.”

    “Our national parks are America’s best idea and a crucial part of our natural heritage, but in recent decades, they have fallen into disrepair with a multibillion-dollar maintenance backlog,” said ACC Action President Chris Barnard.  “An increased entry fee for international visitors would raise needed revenue to steward our national treasures and ensure that everyone who enjoys them contributes to protecting them. The American Conservation Coalition Action and our thousands of members are proud to support this effort to bolster the National Park Service.”

    “Visitors from across the globe come to see the wonder of America’s national parks, and this proposal offers them a way to give back,” said PERC CEO Brian Yablonski. “Charging a modest fee to international tourists—something many countries already do—provides a steady source of funding to improve park infrastructure, enhance visitor experiences, and invest in long-overdue restoration. Drawing on years of PERC research, we’re grateful to Sen. Banks and Rep. Moore for championing efforts to conserve these iconic places for future generations.”

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    MIL OSI USA News

  • MIL-OSI USA: Moore’s Amendment Addressing Water Crisis in Southern Coalfields Passes House Appropriations Committee

    Source: United States House of Representatives – Representative Riley Moore (WV-02)

    Washington, D.C. – Today, Rep. Riley M. Moore’s amendment to address the the drinking water crisis in the Southern Coalfields of West Virginia passed the House Appropriations Committee. Congressman Moore worked in conjunction with Congresswoman Carol Miller on this important amendment.

    Specifically, the amendment directs the EPA to brief Congress on the federal resources available to communities, including Wyoming and McDowell Counties, that have high prevalence of violations of drinking water regulations.

    Rep. Moore and Rep. Miller issued the following statement:

    “Clean drinking water is a necessity, but tragically, some communities in West Virginia struggle to access this basic need. Our amendment that passed the House Appropriations Committee today will help us identify and deliver real solutions to this water crisis in the Southern Coalfields. No parent should ever have to wonder how they’re going to ensure their kids have water to drink or bathe in. We are committed to doing everything in our power to help these communities dealing with this terrible situation.”

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    MIL OSI USA News

  • MIL-OSI USA: ‘Why are we here?’ | Ranking Member Pingree Slams Sham Appropriations Process as Republicans Allow Trump to Usurp Power of the Purse

    Source: United States House of Representatives – Congresswoman Chellie Pingree (1st District of Maine)

    Congresswoman Chellie Pingree, Ranking Member of the Interior, Environment, and Related Agencies Subcommittee, spoke out against Republicans’ funding bill for the 2026 fiscal year during the Appropriations Committee’s markup today. In her opening remarks, Pingree called the entire appropriations process into question as the Trump Administration continues to undermine previous funding bills with cuts and rescissions. 

    “Now, as we Democrats are in the minority, we don’t expect to have a lot of power. But for all of us on this Appropriations Committee, why are we here and what is our role now as appropriators? Last week, the majority passed the Rescissions …and that bill eliminated spending that we had negotiated over the prior years,” Pingree said. “The hard work that we do every day in this committee, the hard work you’re doing right now—that is all gone when we pass the Rescissions bill. And how will it be any different once we pass this bill, or the other bills we intend to pass this week?”

    [embedded content]
    Watch Pingree’s full remarks here; Watch the Appropriations Committee markup here.

    Pingree also called out the reckless cuts this bill makes to the EPA, National Parks, and the arts and humanities, as well as 72 riders that undermine climate policies and add to the deficit.

    A transcript of Pingree’s opening remarks is copied below.

    +++

    Thank you, Mr. Chair, and thank you for yielding me the time. 

    First, I want to thank the Chair, Mr. Simpson, for the great working relationship we have on this committee. And thank you to Chairman Cole as well. Also, Rosa DeLauro, the Ranking Member of the full committee, for her amazing hard work on this committee, and to the staff on both sides of the aisle who work so hard to put together this legislation, and in particular the minority staff of this committee, Rita Culp, Jocelyn Hunn, and Michael Schmeltz. Thank you so much for all the work to get us here today.

    But I guess the first question I’d have to ask of the appropriators on this committee is, why are we actually here today? What is our role now as appropriators? In the last six months, we’ve seen President Trump propose a dramatic diminishment in the power of this committee and of the Congress. 

    Now, as we Democrats are in the minority, we don’t expect to have a lot of power. But for all of us on this Appropriations Committee, why are we here and what is our role now as appropriators? You know, everyone is so fond of saying they’re Republicans and Democrats and appropriators, but really, are there appropriators anymore? Do we actually have a role in this Congress? Do we have any more power? Last week, the majority passed the Rescissions package to the House, the Senate, back to the House again.

    And that bill eliminated spending that we had negotiated over the prior years. The hard work that we do every day in this committee, the hard work you’re doing right now—the snacks that you eat, the candy that’s going into your mouth, the amount of time that we take—that is all gone when we pass the Rescissions bill. And how will it be any different once we pass this bill, or the other bills we intend to pass this week?

    I truly appreciate Chairman Cole’s efforts to have this committee work through these bills and pass these bills. But the question is, what are we doing? And do we have any power left anymore? Now, this bill, like so many others, will continue the damage and the cuts that this President has done over the first six months of his presidency.

    I believe what he has done is illegal. These funding freezes and rescissions—and the compound damage he has done to our agencies and our states and communities—is something we will be dealing with for years. This bill—in particular at the EPA—cuts the funding to the states for water infrastructure by 62%. Cuts grant programs that fund our state environmental programs, and slashes the EPA by 23%.

    Nobody benefits when we make those levels of cuts. Our states still have to do the work—on water infrastructure, on permitting. But the cuts in this bill, coupled with the rescissions in the Big Ugly bill, will debilitate America’s ability to address the climate crisis or to address our infrastructure needs, or to make sure our vital needs in our states of permitting will be enacted.

    This presidency, this administration, is no longer just in denial. It is actively dismissing the government’s climate work and our vital environmental work. And this is work that needs to be done if we want to make sure we have a planet to hand over to our children and grandchildren. 

    Now, at the National Park Service, this bill cuts $213 million. And this is in addition to what happened in the Big Ugly bill, where nearly half a billion was rescinded from our national parks and our public lands. This is money that’s meant to go to conservation projects and habitat restoration, habitat restoration and critical staffing at our national parks. This is our vital season for national parks. And Americans want to be there.

     And it is all compounded because we have not reauthorized the Great American Outdoors Act, which is another $1.3 billion that should be going for the maintenance backlog. This bill also funds the arts, but what a mess this administration has made of that. It was appalling to watch this administration illegally terminate thousands of grants at the NEA and the NEH.

    They fired nearly 80% of the NEH staff, and they revoked funding for our State Humanities Council. This is money that’s meant to go to our communities, to our artists and workers, to kids in rural schools, to local economies that rely on cultural institutions and a don’t have a lot of other sources for funding. They’ve cut the Smithsonian by 12%, the National Gallery by 11%.

    [They’re] gutting these funds, by cutting these funds and sidelining anything that they deem artistically and culturally offensive. They are gutting our arts and cultural institutions. I am relieved—and I’m grateful to the chair of the subcommittee and the full committee—that funding for tribal programs didn’t suffer the same cuts. And I appreciate that bipartisan cooperation and understanding of our treaty and trust obligation.

    This bill also has 72 poison pill riders going after environmental protection, undermining our climate policies, and adding to our deficit. And overall, these cuts will only contribute to our struggling agencies. At the same time, this administration is redirecting funds to tax cuts and increasing our deficit by $3.4 trillion. 

    So I just want to go back to ending as I started this opening, OMB Director Vought has promised to send us more rescission packages. Each time we pass a rescission package, we undo—we wipe out—all the hard work we do negotiating in this committee. He said he’s looking to change the paradigm in appropriations, and that appropriations has to be less bipartisan. 

    When’s the last time one of your constituents came up to you and said, you people should be less bipartisan. You people should fight more, bicker more, and do less of what we ask you to do. How often do you hear that? 

    Now we’re appropriators, and we’re all proud to get to this moment when we actually get to serve on this committee. So let’s do our job. Let’s be appropriators, and let’s fight back for the power that goes to this committee and to our Congress. I encourage you to oppose this bill, unfortunately, and I yield back my time.

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    MIL OSI USA News

  • MIL-OSI USA: Democrats Fight Against Republican Funding Bill that Raises Utility Bills and Energy Prices, Slashes Resources for the Arts and National Parks

    Source: United States House of Representatives – Congresswoman Chellie Pingree (1st District of Maine)

    During today’s House Appropriations Committee markup of the 2026 Interior, Environment, and Related Agencies funding bill, Democrats shined a light on how Republicans drafted yet another funding bill that makes the cost-of-living crisis worse. Their bill raises energy utility bills while slashing funds for National Parks and the arts.

    House Republicans’ Interior funding bill takes an aggressive anti-environment, pro-pollution stance with crippling cuts to the Environmental Protection Agency (EPA) and policy provisions that endanger public health. 

    The bill:

    • Raises utility bills by shifting costs onto state and local governments and making utilities more expensive through funding cuts and extreme policies that would cripple renewable energy development.
    • Exposes more Americans to contaminated and polluted water by cutting funds for state and local governments to help communities across the country access clean, safe drinking water.
    • Worsens the climate crisis by defunding all Environmental Protection Agency (EPA) climate work.
    • Slashes funding for national parks, threatening Americans’ ability to enjoy public lands.
    • Guts resources for museums, arts, and culture, suppressing American’s engagement with the arts and art education.
    • Favors polluters over public health through dozens of harmful policies that undermine EPA’s ability to regulate pollution. 
    • Promotes environmental discrimination against rural and poor communities by defunding environmental justice initiatives, making it more difficult for hardworking people to deal with the rising costs associated with climate change. 
    • Exploits public lands and accelerates ecosystem decline by allowing harmful and dirty mining activities and by removing Endangered Species Act protections for numerous species.

    “Since President Trump took office, his Administration has undertaken a concerted and alarming assault on Congress’s power of the purse, with Republicans willingly ceding their authority to the Executive Branch,” Interior, Environment, and Related Agencies Appropriations Subcommittee Ranking Member Chellie Pingree (D-ME-01) said.“Coupled with the Administration’s illegal funding freezes, reckless cuts and rescissions, and the Republican Majority’s inability to pass full-year funding bills, it’s clear that the FY2026 Interior and Environment funding bill Republicans on the Committee passed today is nothing more than a hollow attempt at governance. This funding bill perpetuates a dangerous pattern of cuts and policy decisions that harm public health, weaken environmental protections, and threaten our treasured national parks. It undermines bipartisan agreements, deepens existing crises, and puts critical programs at risk, including drastic cuts to water infrastructure, EPA programs, and the arts and humanities. Congress must reclaim its constitutional authority and stop enabling this destructive agenda.”

    Congresswoman Chellie Pingree’s full remarks are here.

    “We are in the middle of a cost-of-living crisis. President Trump promised to lower costs on day one, but instead, he and House Republicans are making the cost-of-living crisis even worse,” Appropriations Committee Ranking Member Rosa DeLauro (D-CT-03) said. “House Republicans 2026 Interior, Environment funding bill would raise utility bills and energy prices, worsen the climate crisis, put polluters over public health, and abandon stewardship of our National Parks, all to benefit billionaires and big corporations. It doubles-down on President Trump’s pro-pollution, anti-environment, anti-Arts agenda. Instead of working with Democrats to make investments that can help lower their costs, protect our environment, and preserve our public lands and institutions, Republicans have put forward a bill that favors billionaires’ and corporations’ right to pollute and destroy the environment over the health and safety of the American people.”

    Congresswoman DeLauro’s full remarks are here.

    During today’s markup, Democrats fought to:

    • Increase funding for the Clean Water and Drinking Water State Revolving Funds to overcome House Republicans more than 60 percent cut to these critical funds that help ensure people in every state have access to clean water.
    • Restore funding for the National Endowment for the Arts and the National Endowment for the Humanities.
    • Prevent Republicans’ elimination of environmental justice resources. 

    House Republicans rejected these efforts. 

    A summary of the bill is here. A fact sheet is here. 

    The text of the bill, before the adoption of amendments in full committee, is here. The bill report, before the adoption of amendments in full Committee, is here. Information on Community Project Funding in the bill is here.

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    MIL OSI USA News

  • MIL-OSI USA: Pillen Thanks, Welcomes Home Nebraska Task Force One

    Source: US State of Nebraska

    . The 45-member group — Nebraska’s Urban Search and Rescue (US&R) Team — spent the last two weeks helping aid flood recovery efforts in Texas.   

    “As Nebraskans always do, Nebraska Task Force One stepped up to help our neighbors in need. We can’t thank these heroes enough,” said Gov. Pillen. “Our hearts continue to break as we think about the families and communities that have forever been changed. The State of Nebraska stands with our sister state Texas and will continue to coordinate with Governor Greg Abbott and do what we can to help Texans.” 

    Nebraska Task Force One is one of 28 US&R groups in the national disaster response system. Normally, those groups are deployed and managed under the Federal Emergency Management Agency (FEMA). This situation was unique in that the deployment was directed under the authority of Gov. Pillen through the Nebraska Emergency Management Act. 

    MIL OSI USA News

  • MIL-OSI USA: Luttrell, Guest Highlight Cybersecurity Concerns at U.S. Border

    Source:

    WASHINGTON — Congressmen Morgan Luttrell (R-TX) and Michael Guest (R-MS) urged the Department of Homeland Security to address potential cybersecurity concerns in systems used by U.S. Customs and Border Protection (CBP) at the border.

    CBP deploys advanced technology to secure our nation’s borders, including unmanned aerial systems, biometric identification systems, autonomous surveillance towers, land mobile radio communications, and the Border Enforcement Coordination Network. These critical operational systems require robust cybersecurity measures to protect against cyber threats that could compromise border security operations.

    In their letter, the members wrote:

    “We must defend our borders not only from physical threats, but from the growing danger in cyberspace. Our adversaries are getting smarter, faster, and more aggressive. That means our defenses must be sharper, stronger, and always one step ahead.”

    Under President Donald Trump’s second term in office, the southern border has witnessed unprecedented security — including record low illegal crossings and the construction of a border wall. The success of these efforts must not be diminished by vulnerabilities in the United States’ cybersecurity systems.

    Read the full letter here.

    MIL OSI USA News

  • MIL-OSI USA: SCHUMER ANNOUNCES MAJOR STEP FORWARD FOR BUILDING NEW CAPITAL DISTRICT ARMORY FOR NY ARMY NATIONAL GUARD’S 42ND INFANTRY DIVISION HEADQUARTERS

    US Senate News:

    Source: United States Senator for New York Charles E Schumer

    Current 42nd Infantry Division HQ Armory Built in 1971 Has Long-Been Running Out Of Space, Technology, And Infrastructure Needed To Maintain US Army Division HQ And Support Training, Readiness, And Mission Requirements

    After Months Of Work, Schumer Just Secured New $90M Authorization – Unlocking The Funding Process – For Project In The FY 2026 Senate NDAA; Senator Is Pushing To Deliver $$ In Future Appropriations Bill For New, Consolidated National Guard Headquarters

    Schumer: NDAA Authorization Is A Major Step Forward For A New Armory For NY Army National Guard’s 42nd Infantry Division In Capital Region!

    U.S. Senator Chuck Schumer today announced a major step forward for building a new armory and readiness center for the NY Army National Guard’s 42nd Infantry Division Headquarters to be located in Colonie at the former site of the old Heritage Park minor league baseball stadium that was home to the Albany-Colonie Yankees. The long needed new HQ will also consolidate NY Army National Guard facilities currently located at Watervliet Arsenal, which is needed to maximize space and accommodate planned modernization and expansion projects at Watervliet Arsenal.

    Schumer explained the current armory does not meet Army division HQ requirements, and securing this authorization for funding in the Senate’s National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2026 is a critical milestone that unlocks the funding process. The next step is to pursue funding in future appropriations. The $90 million authorization he secured to be eligible for the project in the Senate is a massive step forward for the NY Army National Guard which has long been pushing for a new modern expanded armory and readiness center.

    “This is a major step towards securing funding to build a new Armory for the 42nd Infantry Division, all while breathing new life into the former site of the Heritage Park minor league in Colonie. NY’s Army National Guard is critical to our national security, but the 42nd Infantry Division’s current headquarters was built over 50 years ago and needs more space to meet the Army’s growing requirements. When I heard the NY National Guard needed help to continue its vital mission and service in the Capital Region, I immediately got to work to secure this critical funding authorization so it can receive future appropriations funding in order to begin the process of building a new, modern facility,” said Senator Schumer. “This funding authorization in the Senate’s national defense bill is a major milestone for building a new state-of-the-art armory and readiness center for the Rainbow Division. I will continue to fight tooth and nail to secure this funding in future appropriations so we can get shovels in the ground for this new Armory.”

    Major General Ray Shields, Adjutant General, New York National Guard said, “Senator Schumer has delivered again for the New York Army National Guard – in the National Defense Authorization Act for FY2026 with $90M in authorized federal funds to build a new Readiness Center in Albany for the historic 42nd Infantry Division. Because of the Senator’s efforts to authorize this funding, we are one step closer to the construction of this new 140,000 square foot facility. The impact of this facility on the Division’s readiness will be significant and long lasting.”

    Schumer explained that the 42nd Infantry Division Armory in Troy was constructed in 1971 for a smaller organization, but the current Armory housing headquarters does not meet the Army’s minimum facility requirements, with the Division growing and needing a larger space. Simultaneously, the Watervliet Arsenal is modernizing its manufacturing facilities and production streams. However, as a result, this will displace the National Guard Division’s warehouses located on Watervliet Arsenal grounds by 2028. The New York Army National Guard will move the warehouses at Watervliet Arsenal to the site of the current Armory will continue to be used by the NYNG.

    Building a new, modernized Armory to house headquarters and consolidating warehouses, now at Watervliet, to the old Heritage Park site in Colonie would ensure that the 42nd Infantry Division has the centralization, resources, infrastructure, and capabilities needed to maintain the division’s mission readiness and its training and deployment activities.

    Albany County Executive Daniel P. McCoy said, “Building a new Capital District Armory on the former site of Heritage Park would be a win-win for both the NY Army National Guard’s 42nd Infantry Division and Albany County. A new division headquarters, on what has been a long vacant county-owned property, would accommodate the need for more space in a modern facility. It would also provide a nice shot in the arm for our restaurants and hotels in that area. I want to thank Senator Schumer for his continued efforts to move this forward and secure funding for what will be a transformational project. This state of the art center will keep the Division mission ready and be able to maintain vital training and preparation for deployments.” 

    Schumer took action to push for the federal funding needed to support the Army’s operations in the Capital Region. NY State has already provided $5 million to acquire a new Capital Region location for a headquarters facility near the Albany International Airport that is shovel-ready and capable of handling large military vehicles. The state has also delivered $10 million to advance design and has pledged to contribute an additional $30 million to bring this idea to life if the federal government is able to deliver the $90 million needed to complete the project.

    MIL OSI USA News

  • MIL-OSI USA: SCHUMER SECURES PROVISION IN SENATE NATIONAL DEFENSE AUTHORIZATION BILL TO ADDRESS FORT DRUM’S LONG-NEEDED EXPANSION FOR MATERNAL HEALTH CARE TO SUPPORT MILITARY MOMS & FAMILIES ON BASE – AND AT RURAL…

    US Senate News:

    Source: United States Senator for New York Charles E Schumer

    Fort Drum Has History Of OB/GYN Staffing Shortage & Relying on Local Hospitals & Providers For Maternal Care; Amid Nationwide OB/GYN Shortage, Senator Says Department of Defense Needs To Boost Access To Maternal Health Care At Fort Drum & In Watertown, As Well As Military Installations Across The U.S.

    After Months Of Work, Schumer Just Secured Language In The Senate NDAA To Address The Longstanding Maternal Healthcare Issues At Fort Drum, Directing The DoD To Develop A Comprehensive Plan & Study Of The OB/GYN Shortage In The Greater Watertown Area

    Schumer: Fort Drum’s Military Moms & Families Deserve The Very Best When It Comes To HealthCare

    U.S. Senator Chuck Schumer today announced he has secured legislation in the Senate’s National Defense Authorization Act (NDAA) for Fiscal Year 2026 (FY26) to begin to address the long standing shortage of Obstetrician-Gynecologists (OB/GYNs) at Fort Drum. For years, Fort Drum has faced shortages of OB/GYNs, forcing soldiers and military families in need of maternal health care to seek care from local hospitals off base or to drive for hours when local care is unavailable.

    Schumer said if this language passes into the final NDDA it would require the Department of Defense (DoD) and the Defense Health Agency (DHA) to immediately begin work to create a comprehensive plan to expand OB/GYN care serving Fort Drum and the surrounding Watertown area.

    “Our Fort Drum military moms & families, who serve our nation proudly, deserve better access to vital maternal healthcare. But right now, our servicemembers at Fort Drum and their families often have to leave base to access the basic maternal healthcare they need. The bottom line is that we need to take better care of our brave military moms,” said Senator Schumer. “The North Country already experiences major shortages when it comes to recruiting OB/GYNs, and we can’t be forcing our military families who sacrifice so much to be stuck without the proper care they need when they move to our community in service to our country. That is why I am proud to have secured a provision in the Senate NDAA to put Fort Drum’s military moms & families’ first. This is a massive step in the right direction, and we need DoD to immediately address this urgent need to expand OB/GYN care at military installations and make sure families—both at Fort Drum and around the country—have what they need to be safe and healthy. Fort Drum is woven in the very fabric of the North Country, and our military families, military moms and those on the base deserve only the best when it comes to health care.”

    Fort Drum has a history of relying on the civilian healthcare network for primary health care, as well as specialty care provided by OB/GYNs. When Camp Drum became Fort Drum in 1974, the decision was made to not build a hospital on-post, and to instead only have a clinic, in order to integrate Fort Drum families with the local network in Watertown.

    Shortages of OB/GYN providers on base force those in need of maternal health care to seek care in the community for a multitude of reasons, which can range in urgency from routine check-ups to emergency childbirth. Samaritan Medical Center and Carthage Area Hospital serve Fort Drum soldiers and families with incredible dedication and top-notch medical care, but when their OB/GYNs are spread too thin, soldiers and families must travel over an hour and a half to Syracuse or farther for care. Schumer said this not only increases the risk to patients unnecessarily, but it also saddles soldiers with expenses that they are not eligible to be compensated for under the Department of Defense’s Joint Travel Regulation (JTR).

    To help fix the situation, Schumer proudly pushed for and successfully secured language in the Senate version of the NDAA to develop a plan & study the administrative and cost barriers to expanding OB/GYN care specifically in the Watertown area and to create a comprehensive plan to expand OB/GYN care serving Fort Drum. The provision also directs the Secretary of Defense to brief Congress on the plan December 1 of this year to ensure that there is no more delay in providing the Fort Drum community with reliable, high-quality maternal health care close to home.

    Schumer said the shortage of OB/GYNs at Fort Drum is part of a nationwide shortage, with particularly low access in rural areas. OB/GYNs have one of the highest attrition rates compared to most medical professions, and increased threats to OB/GYN safety driven by anti-abortion politics. Labor and delivery units, especially in rural areas, are currently closing nationwide due to low reimbursement, and with Medicaid paying for more than 40% of births across the country, even more L&D units are at risk. The recent GOP cuts to Medicaid – the largest in history – will force more units in rural parts of the country to close. This will exacerbate the already dire situation of limited access to critical OB/GYN care for those living on bases in rural America.

    Erika Flint, Executive Director, Fort Drum Regional Health Planning Organization, said “Ensuring access to high-quality OBGYN care for military members and their families continues to be a key focus for the local healthcare community. Maintaining this standard of care—locally and consistently—reflects a deep commitment to the well-being of those who serve. We appreciate the support and attention given to this issue by Senator Schumer, which affects our North Country families, both civilian and military alike.”

    MIL OSI USA News

  • MIL-OSI USA: SCHUMER SECURES PROVISION IN SENATE NATIONAL DEFENSE AUTHORIZATION BILL TO ADDRESS FORT DRUM’S LONG-NEEDED EXPANSION FOR MATERNAL HEALTH CARE TO SUPPORT MILITARY MOMS & FAMILIES ON BASE – AND AT RURAL…

    US Senate News:

    Source: United States Senator for New York Charles E Schumer

    Fort Drum Has History Of OB/GYN Staffing Shortage & Relying on Local Hospitals & Providers For Maternal Care; Amid Nationwide OB/GYN Shortage, Senator Says Department of Defense Needs To Boost Access To Maternal Health Care At Fort Drum & In Watertown, As Well As Military Installations Across The U.S.

    After Months Of Work, Schumer Just Secured Language In The Senate NDAA To Address The Longstanding Maternal Healthcare Issues At Fort Drum, Directing The DoD To Develop A Comprehensive Plan & Study Of The OB/GYN Shortage In The Greater Watertown Area

    Schumer: Fort Drum’s Military Moms & Families Deserve The Very Best When It Comes To HealthCare

    U.S. Senator Chuck Schumer today announced he has secured legislation in the Senate’s National Defense Authorization Act (NDAA) for Fiscal Year 2026 (FY26) to begin to address the long standing shortage of Obstetrician-Gynecologists (OB/GYNs) at Fort Drum. For years, Fort Drum has faced shortages of OB/GYNs, forcing soldiers and military families in need of maternal health care to seek care from local hospitals off base or to drive for hours when local care is unavailable.

    Schumer said if this language passes into the final NDDA it would require the Department of Defense (DoD) and the Defense Health Agency (DHA) to immediately begin work to create a comprehensive plan to expand OB/GYN care serving Fort Drum and the surrounding Watertown area.

    “Our Fort Drum military moms & families, who serve our nation proudly, deserve better access to vital maternal healthcare. But right now, our servicemembers at Fort Drum and their families often have to leave base to access the basic maternal healthcare they need. The bottom line is that we need to take better care of our brave military moms,” said Senator Schumer. “The North Country already experiences major shortages when it comes to recruiting OB/GYNs, and we can’t be forcing our military families who sacrifice so much to be stuck without the proper care they need when they move to our community in service to our country. That is why I am proud to have secured a provision in the Senate NDAA to put Fort Drum’s military moms & families’ first. This is a massive step in the right direction, and we need DoD to immediately address this urgent need to expand OB/GYN care at military installations and make sure families—both at Fort Drum and around the country—have what they need to be safe and healthy. Fort Drum is woven in the very fabric of the North Country, and our military families, military moms and those on the base deserve only the best when it comes to health care.”

    Fort Drum has a history of relying on the civilian healthcare network for primary health care, as well as specialty care provided by OB/GYNs. When Camp Drum became Fort Drum in 1974, the decision was made to not build a hospital on-post, and to instead only have a clinic, in order to integrate Fort Drum families with the local network in Watertown.

    Shortages of OB/GYN providers on base force those in need of maternal health care to seek care in the community for a multitude of reasons, which can range in urgency from routine check-ups to emergency childbirth. Samaritan Medical Center and Carthage Area Hospital serve Fort Drum soldiers and families with incredible dedication and top-notch medical care, but when their OB/GYNs are spread too thin, soldiers and families must travel over an hour and a half to Syracuse or farther for care. Schumer said this not only increases the risk to patients unnecessarily, but it also saddles soldiers with expenses that they are not eligible to be compensated for under the Department of Defense’s Joint Travel Regulation (JTR).

    To help fix the situation, Schumer proudly pushed for and successfully secured language in the Senate version of the NDAA to develop a plan & study the administrative and cost barriers to expanding OB/GYN care specifically in the Watertown area and to create a comprehensive plan to expand OB/GYN care serving Fort Drum. The provision also directs the Secretary of Defense to brief Congress on the plan December 1 of this year to ensure that there is no more delay in providing the Fort Drum community with reliable, high-quality maternal health care close to home.

    Schumer said the shortage of OB/GYNs at Fort Drum is part of a nationwide shortage, with particularly low access in rural areas. OB/GYNs have one of the highest attrition rates compared to most medical professions, and increased threats to OB/GYN safety driven by anti-abortion politics. Labor and delivery units, especially in rural areas, are currently closing nationwide due to low reimbursement, and with Medicaid paying for more than 40% of births across the country, even more L&D units are at risk. The recent GOP cuts to Medicaid – the largest in history – will force more units in rural parts of the country to close. This will exacerbate the already dire situation of limited access to critical OB/GYN care for those living on bases in rural America.

    Erika Flint, Executive Director, Fort Drum Regional Health Planning Organization, said “Ensuring access to high-quality OBGYN care for military members and their families continues to be a key focus for the local healthcare community. Maintaining this standard of care—locally and consistently—reflects a deep commitment to the well-being of those who serve. We appreciate the support and attention given to this issue by Senator Schumer, which affects our North Country families, both civilian and military alike.”

    MIL OSI USA News

  • MIL-OSI USA: Luján Secures Nearly $190 Million in Federal Investments for New Mexico in Committee-Passed Appropriations Bills

    US Senate News:

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

    Washington, D.C. – Today, U.S. Senator Ben Ray Luján (D-N.M.) announced funding secured for New Mexico communities through the Appropriations Committee’s bipartisan passage of the Fiscal Year (FY) 2026 Military Construction, Veterans Affairs, and Related Agencies (MilCon-VA) Appropriations Bill and Fiscal Year (FY) 2026 Commerce, Justice, Science, and Related Agencies (CJS) Appropriations Bill.

    From both appropriations bills, Senator Luján secured $189,820,000 for key local projects that will strengthen our national security, boost violence intervention programs, and equip law enforcement with the resources needed to keep New Mexico communities safe.  

    “Across New Mexico, these vital investments will deliver resources to enhance public safety in our communities and upgrade infrastructure at our military bases to boost our military’s readiness and safety,” said Senator Luján. “This funding will equip our brave law enforcement officers with the tools they need to protect New Mexicans, support programs aimed at reducing youth violence and violence in Tribal communities, and reinforce critical infrastructure at our military bases. I’m proud to have fought to secure these investments for our communities, and I’ll continue working to deliver the federal support our families and communities need and deserve.”

    The Committee process is the first step, and the appropriations bills will next be considered by the full U.S. Senate.

    Senator Luján Secured Nearly $190 Million for the Following Local Projects:

    Strengthening New Mexico’s Air Force Bases:

    • $90,000,000 for Cannon Air Force Base to construct a 192-bed dormitory. Secured by Senator Luján and Senator Heinrich.
    • $83,000,000 for Kirtland Air Force Base to construct a Space Rapid Capabilities Office. Secured by Senator Luján and Senator Heinrich.
    • $8,100,000 for infrastructure upgrades at Cannon Air Force Base, specifically for ADAL Security Forces Facility. Secured by Senator Luján and Senator Heinrich.
    • $2,000,000 for infrastructure upgrades at Kirtland Air Force Base, specifically for the design for the Wyoming Gate Project. Secured by Senator Luján and Senator Heinrich.
    • $700,000 for infrastructure upgrades at Holloman Air Force Base, specifically for the design for the Holloman High Speed Test Track. Secured by Senator Luján and Senator Heinrich.

    Boosting Public Safety Throughout New Mexico:

    • $1,069,000 for the City of Albuquerque’s Real Time Crime Center for the purchase of law enforcement technology.
    • $1,042,000 for Bernalillo County Sheriff’s Office to purchase a new fleet of vehicles.
    • $1,031,000 for the New Mexico Department of Public Safety Police to provide 5G technology in fleet vehicles. Secured by Senator Luján, Senator Heinrich, and Representative Stansbury in the House-companion bill.
    • $1,000,000 for UNM Office of the Medical Investigator DNA processing laboratory to allow for the purchase of equipment for DNA identification. Secured by Senator Luján and Senator Heinrich.
    • $500,000 for Bernalillo County public safety technology upgrades to address high rates of crime in the Albuquerque metro area. Secured by Senator Luján, Senator Heinrich, and Representative Vasquez in the House-companion bill.
    • $250,000 for the San Juan County Partnership’s Law Enforcement Assisted Diversion (LEAD) program to assist in mitigating individuals with substance use disorder or mental/behavioral health challenges from continuously interacting with law enforcement.

    Funding Violence Intervention and Prevention Programs:

    • $1,0350,000 for the City of Albuquerque’s expansion of school-based violence intervention program to assist at risk students by improving grades and reducing youth violence.
    • $93,000 for the Coalition to Stop Violence Against Native women to address challenges in domestic violence and sexual violence in Tribal communities.

    MIL OSI USA News

  • MIL-OSI USA: Luján Statement on Latest CBO Analysis of Final Republican Budget Bill

    US Senate News:

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

    Nonpartisan Congressional Budget Office Predicts Republican Bill Will Add $3.4 Trillion to National Debt

    Washington, D.C. – U.S. Senator Ben Ray Luján (D-N.M.), a member of the Senate Budget Committee, issued the following statement after the nonpartisan Congressional Budget Office (CBO) published analysis that the final version of the Republican Budget Betrayal will add $3.4 trillion to the national debt over the next 10 years:

    “The latest CBO analysis confirms what we’ve known all along: the Republican budget betrayal will deal a devastating blow to our nation’s fiscal future and harm New Mexico families.

    “This law will rip health care away from millions of Americans, take food off the tables of hungry children, and pile an additional $3.4 trillion to the national debt. To satisfy President Trump’s demands, Congressional Republicans rushed through a reckless plan that cuts critical lifelines for working families, all to hand out massive tax breaks to the ultra-wealthy and big corporations.

    “The facts are clear: Congressional Republicans turned a blind eye and pushed through legislation that hurts children, families, and seniors, and leaves the American people to foot the bill.”

    Senator Luján backed a series of amendments and motions to the Republican reconciliation bill aimed at protecting access to health care and nutrition programs and lowering costs for New Mexicans. Senate Republicans blocked these common-sense proposals from Senator Luján and Senate Democrats. 

    MIL OSI USA News

  • MIL-OSI USA: Case To Host Another Live District-Wide Tele-Talk Story July 29th

    Source: United States House of Representatives – Congressman Ed Case (Hawai‘i – District 1)

    (Washington, DC) – U.S. Representative Ed Case (HI-01), now in his sixth full term in the U.S. House, will host another live virtual Tele-Talk Story with constituents on Tuesday, July 29, 2025. The event will be broadcast live on his Facebook page at @repedcase and on his official web site at https://case.house.gov/events/.

    “It is critical to my representation of a very diverse district in Congress that I communicate openly and frequently with my over 700,000 constituents in all possible ways,” said Case. “My regular in-person and virtual live districtwide events, at which I report back from Congress, listen to concerns and guidance and answer questions, have been a central part of my connection with my district throughout my time on Capitol Hill.”

    Since returning to Congress in 2019 representing Hawaii’s First Congressional District (Honolulu from Makapu’u to Mililani and Kapolei), Case has held 55 live districtwide in-person and virtual Talk Story meetings with his constituents, including throughout COVID-19. Case also served in Congress representing Hawaii’s Second Congressional District (Windward, North Shore, West O’ahu and all other islands) from 2002 to 2007, during which he hosted 172 live in-person Talk Story community meetings throughout the islands in order to reach a far more dispersed constituency.

    To broaden his 1st Congressional community outreach, Case also this year initiated his Walk Stories, in which he spends a week home from Capitol Hill randomly walking communities throughout his district, talking with his constituents where they live, work and play. He has completed two Walk Stories, as follows:  

    1.   In July, Case walked the communities of Pālolo, Kaimukī , Mō‘ili‘ili, Kalihi, Salt Lake, Āliamanu, Foster Village, Moanalua, Hālawa and ‘Aiea.

    2.   In April, Case walked parts of Kalama Valley, Niu Valley, ‘Āina Haina, Wai‘alae, Nui Valley, McCully, Pearlridge, Waimalu, Pearl City, Pacific Palisades, Mililani Mauka, Waipi‘o Acres, Waipahu, ‘Ewa Beach, ‘Ewa Villages, Kalaeloa and Kapolei.

    To join Case’s July 29th Tele-Talk Story, constituents can call during the Talk Story at (855) 274-9528 or go to https://case.house.gov/live/ or https://www.facebook.com/RepEdCase/ for a live broadcast or anytime during the Talk Story.

    Questions can be submitted in advance by emailing the Congressman at ed.case@mail.house.gov or, during the Talk Story, on his Facebook page at https://www.facebook.com/RepEdCase/.

    ###

    MIL OSI USA News

  • MIL-OSI Russia: Iran FM: Lifting sanctions, respecting country’s nuclear rights necessary to resume talks with US

    Translation. Region: Russian Federal

    Source: People’s Republic of China in Russian – People’s Republic of China in Russian –

    An important disclaimer is at the bottom of this article.

    Source: People’s Republic of China – State Council News

    TEHRAN, July 22 (Xinhua) — Iranian Foreign Minister Abbas Araghchi said on Tuesday that his country is ready to resume indirect talks with the United States on the condition that sanctions are lifted and Tehran’s right to use nuclear technology for “peaceful” purposes is respected.

    The diplomat made the statement at a meeting with members of the Iranian parliament’s National Security and Foreign Policy Committee, as reported by the official Iranian news agency IRNA, citing committee member Yaghub Rezazadeh.

    According to the legislator, A. Araghchi noted that “if sanctions are lifted and Iran’s right to use peaceful nuclear technologies is respected, indirect negotiations with the United States will take place before the issue of /activating/ the sanctions rollback mechanism is raised in October.”

    The sanctions snapback mechanism is part of the 2015 Iran nuclear deal, formally known as the Joint Comprehensive Plan of Action (JCPOA). It allows other parties to reimpose all international sanctions if Iran fails to comply with the agreement.

    As Y. Rezazadeh pointed out, in addition, the head of the Ministry of Foreign Affairs announced preparations for negotiations on the Iranian nuclear program between Iran and Russia, as well as a meeting of representatives of Iran and three European countries – France, Great Britain and Germany, which is scheduled to take place on July 25 in Istanbul and will be devoted to the same issue.

    Iran signed the JCPOA with six countries – Britain, China, France, Germany, Russia and the United States – in July 2015. Under the deal, Tehran agreed to curb its nuclear program in exchange for sanctions relief.

    In 2018, the United States unilaterally withdrew from the deal and reimposed sanctions on Iran, prompting Tehran to begin gradually backtracking on its nuclear commitments. –0–

    Please note: This information is raw content obtained directly from the source of the information. It is an accurate report of what the source claims and does not necessarily reflect the position of MIL-OSI or its clients.

    .

    MIL OSI Russia News

  • MIL-OSI: Talen Energy Reports PJM Auction Results for the 2026/2027 Planning Year

    Source: GlobeNewswire (MIL-OSI)

    HOUSTON, July 22, 2025 (GLOBE NEWSWIRE) — Talen Energy Corporation (“Talen,” “we,” or “our”) (NASDAQ: TLN), a leading independent power producer, today reported its results from the PJM Base Residual Auction for the 2026/2027 planning year. Talen cleared a total of 6,702 megawatts at a clearing price of $329.17 per megawatt-day across the MAAC, PPL and PSEG Locational Deliverability Areas, equating to approximately $805 million in capacity revenues for the 2026/2027 planning year. The planning year runs from June 1, 2026, through May 31, 2027.

    About Talen

    Talen Energy (NASDAQ: TLN) is a leading independent power producer and energy infrastructure company dedicated to powering the future. We own and operate approximately 10.7 gigawatts of power infrastructure in the United States, including 2.2 gigawatts of nuclear power and a significant dispatchable fossil fleet. We produce and sell electricity, capacity, and ancillary services into wholesale U.S. power markets, with our generation fleet principally located in the Mid-Atlantic and Montana. Our team is committed to generating power safely and reliably and delivering the most value per megawatt produced. Talen is also powering the digital infrastructure revolution. We are well-positioned to serve this growing industry, as artificial intelligence data centers increasingly demand more reliable, clean power. Talen is headquartered in Houston, Texas. For more information, visit https://www.talenenergy.com/.

    Investor Relations:
    Sergio Castro
    Vice President & Treasurer
    InvestorRelations@talenenergy.com

    Media:
    Taryne Williams
    Director, Corporate Communications
    Taryne.Williams@talenenergy.com

    Forward-Looking Statements

    This communication contains forward-looking statements within the meaning of the federal securities laws, which statements are subject to substantial risks and uncertainties. These forward-looking statements are intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact included in this communication, or incorporated by reference into this communication, are forward-looking statements. Throughout this communication, we have attempted to identify forward-looking statements by using words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “forecasts,” “goal,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “seek,” “should,” “will,” or other forms of these words or similar words or expressions or the negative thereof, although not all forward-looking statements contain these terms. Forward-looking statements address future events and conditions concerning, among other things, capital expenditures, earnings, litigation, regulatory matters, hedging, liquidity and capital resources and accounting matters. Forward-looking statements are subject to substantial risks and uncertainties that could cause our future business, financial condition, results of operations or performance to differ materially from our historical results or those expressed or implied in any forward-looking statement contained in this communication. All of our forward-looking statements include assumptions underlying or relating to such statements that may cause actual results to differ materially from expectations, and are subject to numerous factors that present considerable risks and uncertainties.

    The MIL Network

  • MIL-OSI: Baker Hughes Company Announces Second-Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    Second-quarter highlights

    • Orders of $7.0 billion, including $3.5 billion of IET orders.
    • RPO of $34.0 billion, including record IET RPO of $31.3 billion.
    • Revenue of $6.9 billion, down 3% year-over-year.
    • Attributable net income of $701 million.
    • GAAP diluted EPS of $0.71 and adjusted diluted EPS* of $0.63.
    • Adjusted EBITDA* of $1,212 million, up 7% year-over-year.
    • Cash flows from operating activities of $510 million and free cash flow* of $239 million.
    • Returns to shareholders of $423 million, including $196 million of share repurchases.

    HOUSTON and LONDON, July 22, 2025 (GLOBE NEWSWIRE) — Baker Hughes Company (Nasdaq: BKR) (“Baker Hughes” or the “Company”) announced results today for the second quarter of 2025.

    “We delivered strong second-quarter results, with total adjusted EBITDA margins increasing 170 basis points year-over-year to 17.5% despite a modest decline in revenue. This performance reflects the benefits of structural cost improvements and continued deployment of our business system, which is driving higher productivity, stronger operating leverage and more durable earnings across the company,” said Lorenzo Simonelli, Baker Hughes Chairman and Chief Executive Officer.

    “IET orders totaled $3.5 billion in the quarter, resulting in another record backlog for the segment. Importantly, order momentum remained strong, supported by more than $550 million of data center related orders, despite the absence of large LNG awards. Following a strong first half and a positive outlook for second half awards, we are confident of achieving the full-year order guidance range for IET.”

    “We remain confident in our ability to deliver solid performance in 2025, with continued growth in IET helping to offset softness in more market-sensitive areas of OFSE – underscoring the strength of our portfolio and the benefits of our strategic diversification. Accordingly, we are raising our full-year revenue and EBITDA guidance for IET and reestablishing full-year guidance for OFSE.”

    “During the quarter, we also announced three strategic transactions to advance our portfolio optimization strategy, reinforcing efforts to enhance the durability of earnings and cash flow while creating long-term value for shareholders. These actions are designed to unlock value from non-core businesses in our portfolio and redeploy that capital into higher-margin opportunities that fit our financial and strategic frameworks.”

    “We are progressing with our strategy of positioning the company for sustainable, differentiated growth and commend the focus and dedication of our people in executing this strategy,” concluded Simonelli.

    * Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

        Three Months Ended   Variance
    (in millions except per share amounts)   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Orders   $ 7,032   $ 6,459   $ 7,526     9 % (7 %)
    Revenue     6,910     6,427     7,139     8 % (3 %)
    Net income attributable to Baker Hughes     701     402     579     74 % 21 %
    Adjusted net income attributable to Baker Hughes*     623     509     568     22 % 10 %
    Adjusted EBITDA*     1,212     1,037     1,130     17 % 7 %
    Diluted earnings per share (EPS)     0.71     0.40     0.58     76 % 22 %
    Adjusted diluted EPS*     0.63     0.51     0.57     23 % 11 %
    Cash flow from operating activities     510     709     348     (28 %) 47 %
    Free cash flow*     239     454     106     (47 %) F


    * Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    Certain columns and rows in our tables and financial statements may not sum up due to the use of rounded numbers.

    “F” is used in most instances when variance is above 100%. Additionally, “U” is used when variance is below (100)%.

    Quarter Highlights

    Executing our portfolio optimization strategy

    In the second quarter, Baker Hughes announced three strategic transactions, all of which reflect a disciplined capital allocation framework and a focus on core businesses with strong return potential.

    First, the Company signed an agreement to form a joint venture with a subsidiary of Cactus, Inc., contributing the Oilfield Services & Equipment’s (OFSE) Surface Pressure Control (SPC) product line in exchange for approximately $345 million while maintaining a minority ownership stake.

    Second, the Company announced an agreement to sell the Precision Sensors & Instrumentation (PSI) product line within Industrial & Energy Technology (IET) to Crane Company for approximately $1.15 billion. These proceeds will enhance the Company’s flexibility to reinvest in higher-growth, higher-return areas that support further margin expansion and improved returns.

    Finally, Baker Hughes agreed to acquire Continental Disc Corporation (CDC), a leading provider of pressure management solutions, for approximately $540 million. The CDC acquisition strengthens the IET Industrial Products portfolio with a highly complementary, margin-accretive business that expands the Company’s position in the flow and pressure control market and enhances recurring, lifecycle driven revenue.

    Key awards and technology achievements

    The Company continued to support the development of critical data center projects, with year-to-date data center awards of more than $650 million. IET received an award to supply 30 NovaLT™ turbines, representing our largest data center award to-date. The turbines, alongside other associated Baker Hughes equipment, will deliver up to 500 megawatts (MW) of reliable and efficient power for data center development across various U.S. locations.

    Frontier Infrastructure awarded a contract for NovaLT™ turbines, delivering up to 270 MW of power for its data center projects in Wyoming and Texas. This follows the March 2025 enterprise-wide agreement to accelerate large scale carbon capture and storage (CCS) and power solutions.

    Baker Hughes continues to grow the pipeline of future data center opportunities. At the Saudi-U.S. Investment Forum in May, the Company signed an MoU with DataVolt that plans to power data centers globally, including the NEOM project in the Kingdom that intends to utilize Baker Hughes’ multi-fuel NovaLT™ technology solution.

    In addition to growing demand from data center applications, IET experienced increased demand for NovaLT™ turbines in the gas infrastructure sector. During the second quarter, the segment secured an award for four gas turbines to support Aramco’s Master Gas System III pipeline project. Including this award, we have secured a total of $2.9 billion in gas infrastructure equipment orders over the past six quarters.

    Highlighting the durability of IET’s lifecycle model, the segment was awarded several aftermarket services contracts. In Gas Technology Services (GTS), the Company secured more than $350 million of Contractual Services Agreements (CSA) during the quarter. We signed a maintenance agreement with Belayim Petroleum Company (“Petrobel”) to improve uptime and reliability of critical turbomachinery equipment in Egypt. Also in GTS, we renewed a multi-year service agreement with Oman LNG, including resident engineering support along with digital remote monitoring and diagnostics services delivered through iCenter™.

    The Company gained further traction with New Energy globally, with year-to-date bookings now totaling $1.25 billion. In Climate Technology Solutions (CTS), we secured one of our largest CCS orders to-date, providing compression technology for a CCS hub in the Middle East. Also in CTS, we signed a framework agreement with Energinet in Denmark to supply 16 reciprocating compressor packages, supporting an increase in biogas production while driving methane and CO2 emissions reduction for gas infrastructure across the country.

    Industrial Technology continued to demonstrate strong momentum across multiple end markets. In Industrial Solutions, we secured a variety of awards for our Cordant™ suite of solutions. This includes an award from a large NOC to deploy Asset Performance Management across several compression stations in the Middle East, and an award from NOVA Chemicals to optimize maintenance spend and maximize production.

    OFSE maintained strong momentum in Mature Assets Solutions around the globe. In Angola, OFSE was awarded multi-year production solutions contracts for chemicals, artificial lift, and digital services to support a major operator’s offshore activities. In Kazakhstan, the TOPAN and Baker Hughes joint venture secured a critical production chemicals and services award. In Norway, Equinor awarded OFSE a contract to industrialize offshore plug and abandonment (P&A) operations in the Oseberg East field, which followed the announcement of a multi-year P&A framework agreement for integrated well services.

    OFSE saw continued adoption of Leucipa™ automated field production solution, securing an award from Repsol for next-generation AI capabilities following the MoU signed in October 2024. The Company also signed an agreement with ENI to deploy Leucipa for electric submersible pumps (ESP) optimization and AI-powered predictive failure analytics in the Middle East.

    Also in the Middle East, Baker Hughes signed a master services agreement with Aramco for installation and maintenance of ESPs across the Kingdom of Saudi Arabia.

    In North America, OFSE secured a multi-year contract to provide drag reducing chemicals to be deployed on Genesis Energy’s Cameron Highway Oil Pipeline and Poseidon systems, each of which is operated and 64% owned by Genesis Energy. To support this agreement, OFSE will expand its chemicals manufacturing footprint and deploy Leucipa. Additionally, bp awarded OFSE a multi-year chemicals management services contract to optimize throughput and asset reliability in the U.S. Gulf Coast.

    In Germany, OFSE successfully drilled Lower Saxony’s first productive deep geothermal exploration well, a project that leverages OFSE’s integrated well construction and production capabilities and the Company’s industry-leading subsurface-to-surface digital solutions to monitor and optimize operational performance.

    Consolidated Financial Results

    Revenue for the quarter was $6,910 million, an increase of 8% sequentially and down $229 million year-over-year. The decrease in revenue year-over-year was driven by a decrease in OFSE partially offset by an increase in IET.

    The Company’s total book-to-bill ratio in the second quarter of 2025 was 1.0; the IET book-to-bill ratio was 1.1.

    Net income as determined in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for the second quarter of 2025 was $701 million. Net income increased $299 million sequentially and increased $122 million year-over-year.

    Adjusted net income (a non-GAAP financial measure) for the second quarter of 2025 was $623 million, which excludes adjustments totaling $78 million. A list of the adjusting items and associated reconciliation from GAAP has been provided in Table 1b in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” Adjusted net income for the second quarter of 2025 was up 22% sequentially and up 10% year-over-year.

    Depreciation and amortization for the second quarter of 2025 was $293 million.

    Adjusted EBITDA (a non-GAAP financial measure) for the second quarter of 2025 was $1,212 million, which excludes adjustments totaling $102 million. See Table 1a in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” Adjusted EBITDA for the second quarter was up 17% sequentially and up 7% year-over-year.

    The sequential increase in adjusted net income and adjusted EBITDA was primarily driven by an increase in volume, favorable FX, and overall productivity. The year-over-year increase in adjusted net income and adjusted EBITDA was driven by productivity and structural cost out initiatives, favorable FX, partially offset by lower volume in OFSE, and cost inflation in both segments.

    Other Financial Items

    Remaining Performance Obligations (“RPO”) in the second quarter of 2025 ended at $34 billion, an increase of $0.8 billion from the first quarter of 2025. OFSE RPO was $2.7 billion, down 3% sequentially, while IET RPO was $31.3 billion, up 3% sequentially. Within IET RPO, GTE RPO was $11.3 billion, and GTS RPO was $15.6 billion.

    Income tax expense in the second quarter of 2025 was $256 million.

    Other (income) expense, net in the second quarter of 2025 was $(134) million, primarily related to changes in fair value for equity securities of $(119) million.

    GAAP diluted earnings per share was $0.71. Adjusted diluted earnings per share (a non-GAAP financial measure) was $0.63. Excluded from adjusted diluted earnings per share were all items listed in Table 1b in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    Cash flow from operating activities was $510 million for the second quarter of 2025. Free cash flow (a non-GAAP financial measure) for the quarter was $239 million. A reconciliation from GAAP has been provided in Table 1c in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    Capital expenditures, net of proceeds from disposal of assets, were $271 million for the second quarter of 2025, of which $184 million was for OFSE and $68 million was for IET.

    Results by Reporting Segment

    The following segment discussions and variance explanations are intended to reflect management’s view of the relevant comparisons of financial results on a sequential or year-over-year basis, depending on the business dynamics of the reporting segments.

    Oilfield Services & Equipment

    (in millions)   Three Months Ended   Variance
    Segment results   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Orders   $ 3,503   $ 3,281   $ 4,068     7 % (14 %)
    Revenue   $ 3,617   $ 3,499   $ 4,011     3 % (10 %)
    EBITDA   $ 677   $ 623   $ 716     9 % (5 %)
    EBITDA margin     18.7 %   17.8 %   17.8 %   0.9pts 0.9pts
    (in millions)   Three Months Ended   Variance
    Revenue by Product Line   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Well Construction   $ 921   $ 892   $ 1,090     3 % (16 %)
    Completions, Intervention, and Measurements     935     925     1,118     1 % (16 %)
    Production Solutions     968     899     958     8 % 1 %
    Subsea & Surface Pressure Systems     793     782     845     1 % (6 %)
    Total Revenue   $ 3,617   $ 3,499   $ 4,011     3 % (10 %)
    (in millions)   Three Months Ended   Variance
    Revenue by Geographic Region   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    North America   $ 928   $ 922   $ 1,023     1 % (9 %)
    Latin America     639     568     663     12 % (4 %)
    Europe/CIS/Sub-Saharan Africa     653     580     827     13 % (21 %)
    Middle East/Asia     1,398     1,429     1,498     (2 %) (7 %)
    Total Revenue   $ 3,617   $ 3,499   $ 4,011     3 % (10 %)
                   
    North America   $ 928   $ 922   $ 1,023     1 % (9 %)
    International   $ 2,689   $ 2,577   $ 2,988     4 % (10 %)


    EBITDA excludes depreciation and amortization of
    $233 million, $226 million, and $223 million for the three months ended June 30, 2025, March 31, 2025, and June 30, 2024, respectively. EBITDA margin is defined as EBITDA divided by revenue.

    OFSE orders of $3,503 million for the second quarter of 2025 increased by 7% sequentially. Subsea and Surface Pressure Systems orders were $698 million, up 31% sequentially, and down 21% year-over-year.

    OFSE revenue of $3,617 million for the second quarter of 2025 was up 3% sequentially, and down 10% year-over-year.

    North America revenue was $928 million, up 1% sequentially. International revenue was $2,689 million, up 4% sequentially, with increase in all regions with the exception of Middle East and Asia.

    Segment EBITDA for the second quarter of 2025 was $677 million, an increase of $54 million, or 9% sequentially. The sequential increase in EBITDA was primarily driven by productivity, structural cost-out initiatives, volume increase, partially offset by inflation and revenue mix.

    Industrial & Energy Technology

    (in millions)   Three Months Ended   Variance
    Segment results   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Orders   $ 3,530   $ 3,178   $ 3,458     11 % 2 %
    Revenue   $ 3,293   $ 2,928   $ 3,128     12 % 5 %
    EBITDA   $ 585   $ 501   $ 497     17 % 18 %
    EBITDA margin     17.8 %   17.1 %   15.9 %   0.7pts 1.9pts
    (in millions)   Three Months Ended   Variance
    Orders by Product Line   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Gas Technology Equipment   $ 781   $ 1,335   $ 1,493     (42 %) (48 %)
    Gas Technology Services     986     913     769     8 % 28 %
    Total Gas Technology     1,767     2,248     2,261     (21 %) (22 %)
    Industrial Products     513     501     524     2 % (2 %)
    Industrial Solutions     327     281     281     16 % 16 %
    Total Industrial Technology     839     782     805     7 % 4 %
    Climate Technology Solutions     923     148     392     F F
    Total Orders   $ 3,530   $ 3,178   $ 3,458     11 % 2 %
    (in millions)   Three Months Ended   Variance
    Revenue by Product Line   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Gas Technology Equipment   $ 1,624   $ 1,456   $ 1,539     12 % 6 %
    Gas Technology Services     752     592     691     27 % 9 %
    Total Gas Technology     2,377     2,047     2,230     16 % 7 %
    Industrial Products     488     445     509     10 % (4 %)
    Industrial Solutions     273     258     262     6 % 4 %
    Total Industrial Technology     761     703     770     8 % (1 %)
    Climate Technology Solutions     156     178     128     (12 %) 22 %
    Total Revenue   $ 3,293   $ 2,928   $ 3,128     12 % 5 %


    EBITDA excludes depreciation and amortization of
    $56 million, $53 million, and $55 million for the three months ended June 30, 2025, March 31, 2025, and June 30, 2024, respectively. EBITDA margin is defined as EBITDA divided by revenue.

    “F” is used in most instances when variance is above 100%. Additionally, “U” is used when variance is below (100)%.

    IET orders of $3,530 million for the second quarter of 2025 increased by $72 million, or 2% year-over-year. The increase was driven primarily by Climate Technology Solutions and partially offset by Gas Technology.

    IET revenue of $3,293 million for the second quarter of 2025 increased $165 million, or 5% year-over-year. The increase was driven by Gas Technology Equipment, up $85 million or 6% year-over-year, Gas Technology Services, up $61 million or 9% year-over-year, and Climate Technology Solutions, up $28 million or 22% year-over-year.

    Segment EBITDA for the quarter was $585 million, an increase of $88 million, or 18% year-over-year. The year-over-year increase in segment EBITDA was driven by positive pricing, favorable FX, and productivity, partially offset by cost inflation.

    Reconciliation of GAAP to non-GAAP Financial Measures

    Management provides non-GAAP financial measures because it believes such measures are widely accepted financial indicators used by investors and analysts to analyze and compare companies on the basis of operating performance (including adjusted EBITDA; adjusted net income attributable to Baker Hughes; and adjusted diluted earnings per share) and liquidity (free cash flow) and that these measures may be used by investors to make informed investment decisions. Management believes that the exclusion of certain identified items from several key operating performance measures enables us to evaluate our operations more effectively, to identify underlying trends in the business, and to establish operational goals for certain management compensation purposes. Management also believes that free cash flow is an important supplemental measure of our cash performance but should not be considered as a measure of residual cash flow available for discretionary purposes, or as an alternative to cash flow from operating activities presented in accordance with GAAP.

    Table 1a. Reconciliation of Net Income Attributable to Baker Hughes to Adjusted EBITDA and Segment EBITDA

        Three Months Ended
    (in millions)   June 30, 2025 March 31, 2025 June 30, 2024
    Net income attributable to Baker Hughes (GAAP)   $ 701   $ 402   $ 579  
    Net income attributable to noncontrolling interests     10     7     2  
    Provision for income taxes     256     152     243  
    Interest expense, net     54     51     47  
    Depreciation & amortization     293     285     283  
    Change in fair value of equity securities (1)     (119 )   140     (19 )
    Other charges and credits (1)     17         (6 )
    Adjusted EBITDA (non-GAAP)     1,212     1,037     1,130  
    Corporate costs     78     85     83  
    Other (income) / expense not allocated to segments     (28 )   1      
    Total Segment EBITDA (non-GAAP)   $ 1,262   $ 1,124   $ 1,213  
    OFSE     677     623     716  
    IET     585     501     497  


    (1) 
    Change in fair value of equity securities and other charges and credits are reported in “Other (income) expense, net” on the condensed consolidated statements of income (loss).

    Table 1a reconciles net income attributable to Baker Hughes, which is the directly comparable financial result determined in accordance with GAAP, to adjusted EBITDA and Segment EBITDA. Adjusted EBITDA and Segment EBITDA exclude the impact of certain identified items.

    Table 1b. Reconciliation of Net Income Attributable to Baker Hughes to Adjusted Net Income Attributable to Baker Hughes

        Three Months Ended
    (in millions, except per share amounts)   June 30, 2025 March 31, 2025 June 30, 2024
    Net income attributable to Baker Hughes (GAAP)   $ 701   $ 402   $ 579  
    Change in fair value of equity securities     (119 )   140     (19 )
    Other adjustments     17         14  
    Tax adjustments(1)     24     (32 )   (6 )
    Total adjustments, net of income tax     (78 )   108     (11 )
    Less: adjustments attributable to noncontrolling interests              
    Adjustments attributable to Baker Hughes     (78 )   108     (11 )
    Adjusted net income attributable to Baker Hughes (non-GAAP)   $ 623   $ 509   $ 568  
             
    Denominator:        
    Weighted-average shares of Class A common stock outstanding diluted     991     999     1,001  
    Adjusted earnings per share – diluted (non-GAAP)   $ 0.63   $ 0.51   $ 0.57  


    (1) 
    All periods reflect the tax associated with the other (income) loss adjustments.

    Table 1b reconciles net income attributable to Baker Hughes, which is the directly comparable financial result determined in accordance with GAAP, to adjusted net income attributable to Baker Hughes. Adjusted net income attributable to Baker Hughes excludes the impact of certain identified items.

    Table 1c. Reconciliation of Net Cash Flows from Operating Activities to Free Cash Flow

        Three Months Ended
    (in millions)   June 30, 2025 March 31, 2025 June 30, 2024
    Net cash flows from operating activities (GAAP)   $ 510   $ 709   $ 348  
    Add: cash used for capital expenditures, net of proceeds from disposal of assets     (271 )   (255 )   (242 )
    Free cash flow (non-GAAP)   $ 239   $ 454   $ 106  

    Table 1c reconciles net cash flows from operating activities, which is the directly comparable financial result determined in accordance with GAAP, to free cash flow. Free cash flow is defined as net cash flows from operating activities less expenditures for capital assets plus proceeds from disposal of assets.


    Financial Tables (GAAP)

    Condensed Consolidated Statements of Income (Loss)
    (Unaudited)
     
        Three Months Ended June 30, Six Months Ended June 30,
    (In millions, except per share amounts)     2025     2024     2025     2024  
    Revenue   $ 6,910   $ 7,139   $ 13,337   $ 13,557  
    Costs and expenses:          
    Cost of revenue     5,295     5,493     10,247     10,469  
    Selling, general and administrative     567     643     1,144     1,261  
    Research and development costs     161     158     307     322  
    Other (income) expense, net     (134 )   (26 )   6     (48 )
    Interest expense, net     54     47     105     88  
    Income before income taxes     967     824     1,528     1,465  
    Provision for income taxes     (256 )   (243 )   (408 )   (421 )
    Net income     711     581     1,120     1,044  
    Less: Net income attributable to noncontrolling interests     10     2     17     10  
    Net income attributable to Baker Hughes Company   $ 701   $ 579   $ 1,103   $ 1,034  
               
    Per share amounts:      
    Basic income per Class A common stock   $ 0.71   $ 0.58   $ 1.11   $ 1.04  
    Diluted income per Class A common stock   $ 0.71   $ 0.58   $ 1.11   $ 1.03  
               
    Weighted average shares:          
    Class A basic     988     996     990     997  
    Class A diluted     991     1,001     995     1,002  
               
    Cash dividend per Class A common stock   $ 0.23   $ 0.21   $ 0.46   $ 0.42  
    Condensed Consolidated Statements of Financial Position
    (Unaudited)
     
    (In millions)   June 30, 2025 December 31, 2024
    ASSETS
    Current Assets:      
    Cash and cash equivalents   $ 3,087   $ 3,364  
    Current receivables, net     6,511     7,122  
    Inventories, net     5,105     4,954  
    All other current assets     2,915     1,771  
    Total current assets     17,618     17,211  
    Property, plant and equipment, less accumulated depreciation     5,176     5,127  
    Goodwill     5,801     6,078  
    Other intangible assets, net     3,919     3,951  
    Contract and other deferred assets     1,841     1,730  
    All other assets     4,385     4,266  
    Total assets   $ 38,740   $ 38,363  
    LIABILITIES AND EQUITY
    Current Liabilities:      
    Accounts payable   $ 4,340   $ 4,542  
    Short-term debt     66     53  
    Progress collections and deferred income     5,680     5,672  
    All other current liabilities     2,429     2,724  
    Total current liabilities     12,515     12,991  
    Long-term debt     5,968     5,970  
    Liabilities for pensions and other postretirement benefits     997     988  
    All other liabilities     1,392     1,359  
    Equity     17,868     17,055  
    Total liabilities and equity   $ 38,740   $ 38,363  
           
    Outstanding Baker Hughes Company shares:      
    Class A common stock     985     990  
    Condensed Consolidated Statements of Cash Flows
    (Unaudited)
     
        Three Months Ended June 30, Six Months Ended June 30,
    (In millions)     2025     2025     2024  
    Cash flows from operating activities:        
    Net income   $ 711   $ 1,120   $ 1,044  
    Adjustments to reconcile net income to net cash flows from operating activities:        
    Depreciation and amortization     293     579     566  
    Stock-based compensation cost     52     102     101  
    Change in fair value of equity securities     (119 )   21     (71 )
    (Benefit) provision for deferred income taxes     36     (17 )   33  
    Working capital     (120 )   98     (36 )
    Other operating items, net     (343 )   (684 )   (505 )
    Net cash flows provided by operating activities     510     1,219     1,132  
    Cash flows from investing activities:        
    Expenditures for capital assets     (301 )   (601 )   (625 )
    Proceeds from disposal of assets     30     74     101  
    Other investing items, net     (15 )   (69 )   (6 )
    Net cash flows used in investing activities     (286 )   (596 )   (530 )
    Cash flows from financing activities:        
    Repayment of long-term debt             (125 )
    Dividends paid     (227 )   (456 )   (419 )
    Repurchase of Class A common stock     (196 )   (384 )   (324 )
    Other financing items, net     (20 )   (105 )   (61 )
    Net cash flows used in financing activities     (443 )   (945 )   (929 )
    Effect of currency exchange rate changes on cash and cash equivalents     29     45     (35 )
    Decrease in cash and cash equivalents     (190 )   (277 )   (362 )
    Cash and cash equivalents, beginning of period     3,277     3,364     2,646  
    Cash and cash equivalents, end of period   $ 3,087   $ 3,087   $ 2,284  
    Supplemental cash flows disclosures:        
    Income taxes paid, net of refunds   $ 211   $ 418   $ 336  
    Interest paid   $ 98   $ 148   $ 150  


    Supplemental Financial Information

    Supplemental financial information can be found on the Company’s website at: investors.bakerhughes.com in the Financial Information section under Quarterly Results.

    Conference Call and Webcast

    The Company has scheduled an investor conference call to discuss management’s outlook and the results reported in today’s earnings announcement. The call will begin at 9:30 a.m. Eastern time, 8:30 a.m. Central time on Wednesday, July 23, 2025, the content of which is not part of this earnings release. The conference call will be broadcast live via a webcast and can be accessed by visiting the Events and Presentations page on the Company’s website at: investors.bakerhughes.com. An archived version of the webcast will be available on the website for one month following the webcast.

    Forward-Looking Statements

    This news release (and oral statements made regarding the subjects of this release) may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, (each a “forward-looking statement”). Forward-looking statements concern future circumstances and results and other statements that are not historical facts and are sometimes identified by the words “may,” “will,” “should,” “potential,” “intend,” “expect,” “would,” “seek,” “anticipate,” “estimate,” “overestimate,” “underestimate,” “believe,” “could,” “project,” “predict,” “continue,” “target,” “goal” or other similar words or expressions. There are many risks and uncertainties that could cause actual results to differ materially from our forward-looking statements. These forward-looking statements are also affected by the risk factors described in the Company’s annual report on Form 10-K for the annual period ended December 31, 2024 and those set forth from time to time in other filings with the Securities and Exchange Commission (“SEC”). The documents are available through the Company’s website at: www.investors.bakerhughes.com or through the SEC’s Electronic Data Gathering and Analysis Retrieval system at: www.sec.gov. We undertake no obligation to publicly update or revise any forward-looking statement, except as required by law. Readers are cautioned not to place undue reliance on any of these forward-looking statements.

    Our expectations regarding our business outlook and business plans; the business plans of our customers; oil and natural gas market conditions; cost and availability of resources; economic, legal and regulatory conditions, and other matters are only our forecasts regarding these matters.

    These forward-looking statements, including forecasts, may be substantially different from actual results, which are affected by many risks, along with the following risk factors and the timing of any of these risk factors:

    • Economic and political conditions – the impact of worldwide economic conditions and rising inflation; the impact of tariffs and the potential for significant increases thereto; the impact of global trade policy and the potential for significant changes thereto; the effect that declines in credit availability may have on worldwide economic growth and demand for hydrocarbons; foreign currency exchange fluctuations and changes in the capital markets in locations where we operate; and the impact of government disruptions and sanctions.
    • Orders and RPO – our ability to execute on orders and RPO in accordance with agreed specifications, terms and conditions and convert those orders and RPO to revenue and cash.
    • Oil and gas market conditions – the level of petroleum industry exploration, development and production expenditures; the price of, volatility in pricing of, and the demand for crude oil and natural gas; drilling activity; drilling permits for and regulation of the shelf and the deepwater drilling; excess productive capacity; crude and product inventories; liquefied natural gas supply and demand; seasonal and other adverse weather conditions that affect the demand for energy; severe weather conditions, such as tornadoes and hurricanes, that affect exploration and production activities; Organization of Petroleum Exporting Countries (“OPEC”) policy and the adherence by OPEC nations to their OPEC production quotas.
    • Terrorism and geopolitical risks – war, military action, terrorist activities or extended periods of international conflict, particularly involving any petroleum-producing or consuming regions, including Russia and Ukraine; and the recent conflict in the Middle East; labor disruptions, civil unrest or security conditions where we operate; potentially burdensome taxation, expropriation of assets by governmental action; cybersecurity risks and cyber incidents or attacks; epidemic outbreaks.

    About Baker Hughes:

    Baker Hughes (Nasdaq: BKR) is an energy technology company that provides solutions to energy and industrial customers worldwide. Built on a century of experience and conducting business in over 120 countries, our innovative technologies and services are taking energy forward – making it safer, cleaner and more efficient for people and the planet. Visit us at bakerhughes.com.

    For more information, please contact:

    Investor Relations

    Chase Mulvehill
    +1 346-297-2561
    investor.relations@bakerhughes.com

    Media Relations

    Adrienne M. Lynch
    +1 713-906-8407
    adrienne.lynch@bakerhughes.com

    The MIL Network

  • MIL-OSI: Baker Hughes Company Announces Second-Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    Second-quarter highlights

    • Orders of $7.0 billion, including $3.5 billion of IET orders.
    • RPO of $34.0 billion, including record IET RPO of $31.3 billion.
    • Revenue of $6.9 billion, down 3% year-over-year.
    • Attributable net income of $701 million.
    • GAAP diluted EPS of $0.71 and adjusted diluted EPS* of $0.63.
    • Adjusted EBITDA* of $1,212 million, up 7% year-over-year.
    • Cash flows from operating activities of $510 million and free cash flow* of $239 million.
    • Returns to shareholders of $423 million, including $196 million of share repurchases.

    HOUSTON and LONDON, July 22, 2025 (GLOBE NEWSWIRE) — Baker Hughes Company (Nasdaq: BKR) (“Baker Hughes” or the “Company”) announced results today for the second quarter of 2025.

    “We delivered strong second-quarter results, with total adjusted EBITDA margins increasing 170 basis points year-over-year to 17.5% despite a modest decline in revenue. This performance reflects the benefits of structural cost improvements and continued deployment of our business system, which is driving higher productivity, stronger operating leverage and more durable earnings across the company,” said Lorenzo Simonelli, Baker Hughes Chairman and Chief Executive Officer.

    “IET orders totaled $3.5 billion in the quarter, resulting in another record backlog for the segment. Importantly, order momentum remained strong, supported by more than $550 million of data center related orders, despite the absence of large LNG awards. Following a strong first half and a positive outlook for second half awards, we are confident of achieving the full-year order guidance range for IET.”

    “We remain confident in our ability to deliver solid performance in 2025, with continued growth in IET helping to offset softness in more market-sensitive areas of OFSE – underscoring the strength of our portfolio and the benefits of our strategic diversification. Accordingly, we are raising our full-year revenue and EBITDA guidance for IET and reestablishing full-year guidance for OFSE.”

    “During the quarter, we also announced three strategic transactions to advance our portfolio optimization strategy, reinforcing efforts to enhance the durability of earnings and cash flow while creating long-term value for shareholders. These actions are designed to unlock value from non-core businesses in our portfolio and redeploy that capital into higher-margin opportunities that fit our financial and strategic frameworks.”

    “We are progressing with our strategy of positioning the company for sustainable, differentiated growth and commend the focus and dedication of our people in executing this strategy,” concluded Simonelli.

    * Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

        Three Months Ended   Variance
    (in millions except per share amounts)   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Orders   $ 7,032   $ 6,459   $ 7,526     9 % (7 %)
    Revenue     6,910     6,427     7,139     8 % (3 %)
    Net income attributable to Baker Hughes     701     402     579     74 % 21 %
    Adjusted net income attributable to Baker Hughes*     623     509     568     22 % 10 %
    Adjusted EBITDA*     1,212     1,037     1,130     17 % 7 %
    Diluted earnings per share (EPS)     0.71     0.40     0.58     76 % 22 %
    Adjusted diluted EPS*     0.63     0.51     0.57     23 % 11 %
    Cash flow from operating activities     510     709     348     (28 %) 47 %
    Free cash flow*     239     454     106     (47 %) F


    * Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    Certain columns and rows in our tables and financial statements may not sum up due to the use of rounded numbers.

    “F” is used in most instances when variance is above 100%. Additionally, “U” is used when variance is below (100)%.

    Quarter Highlights

    Executing our portfolio optimization strategy

    In the second quarter, Baker Hughes announced three strategic transactions, all of which reflect a disciplined capital allocation framework and a focus on core businesses with strong return potential.

    First, the Company signed an agreement to form a joint venture with a subsidiary of Cactus, Inc., contributing the Oilfield Services & Equipment’s (OFSE) Surface Pressure Control (SPC) product line in exchange for approximately $345 million while maintaining a minority ownership stake.

    Second, the Company announced an agreement to sell the Precision Sensors & Instrumentation (PSI) product line within Industrial & Energy Technology (IET) to Crane Company for approximately $1.15 billion. These proceeds will enhance the Company’s flexibility to reinvest in higher-growth, higher-return areas that support further margin expansion and improved returns.

    Finally, Baker Hughes agreed to acquire Continental Disc Corporation (CDC), a leading provider of pressure management solutions, for approximately $540 million. The CDC acquisition strengthens the IET Industrial Products portfolio with a highly complementary, margin-accretive business that expands the Company’s position in the flow and pressure control market and enhances recurring, lifecycle driven revenue.

    Key awards and technology achievements

    The Company continued to support the development of critical data center projects, with year-to-date data center awards of more than $650 million. IET received an award to supply 30 NovaLT™ turbines, representing our largest data center award to-date. The turbines, alongside other associated Baker Hughes equipment, will deliver up to 500 megawatts (MW) of reliable and efficient power for data center development across various U.S. locations.

    Frontier Infrastructure awarded a contract for NovaLT™ turbines, delivering up to 270 MW of power for its data center projects in Wyoming and Texas. This follows the March 2025 enterprise-wide agreement to accelerate large scale carbon capture and storage (CCS) and power solutions.

    Baker Hughes continues to grow the pipeline of future data center opportunities. At the Saudi-U.S. Investment Forum in May, the Company signed an MoU with DataVolt that plans to power data centers globally, including the NEOM project in the Kingdom that intends to utilize Baker Hughes’ multi-fuel NovaLT™ technology solution.

    In addition to growing demand from data center applications, IET experienced increased demand for NovaLT™ turbines in the gas infrastructure sector. During the second quarter, the segment secured an award for four gas turbines to support Aramco’s Master Gas System III pipeline project. Including this award, we have secured a total of $2.9 billion in gas infrastructure equipment orders over the past six quarters.

    Highlighting the durability of IET’s lifecycle model, the segment was awarded several aftermarket services contracts. In Gas Technology Services (GTS), the Company secured more than $350 million of Contractual Services Agreements (CSA) during the quarter. We signed a maintenance agreement with Belayim Petroleum Company (“Petrobel”) to improve uptime and reliability of critical turbomachinery equipment in Egypt. Also in GTS, we renewed a multi-year service agreement with Oman LNG, including resident engineering support along with digital remote monitoring and diagnostics services delivered through iCenter™.

    The Company gained further traction with New Energy globally, with year-to-date bookings now totaling $1.25 billion. In Climate Technology Solutions (CTS), we secured one of our largest CCS orders to-date, providing compression technology for a CCS hub in the Middle East. Also in CTS, we signed a framework agreement with Energinet in Denmark to supply 16 reciprocating compressor packages, supporting an increase in biogas production while driving methane and CO2 emissions reduction for gas infrastructure across the country.

    Industrial Technology continued to demonstrate strong momentum across multiple end markets. In Industrial Solutions, we secured a variety of awards for our Cordant™ suite of solutions. This includes an award from a large NOC to deploy Asset Performance Management across several compression stations in the Middle East, and an award from NOVA Chemicals to optimize maintenance spend and maximize production.

    OFSE maintained strong momentum in Mature Assets Solutions around the globe. In Angola, OFSE was awarded multi-year production solutions contracts for chemicals, artificial lift, and digital services to support a major operator’s offshore activities. In Kazakhstan, the TOPAN and Baker Hughes joint venture secured a critical production chemicals and services award. In Norway, Equinor awarded OFSE a contract to industrialize offshore plug and abandonment (P&A) operations in the Oseberg East field, which followed the announcement of a multi-year P&A framework agreement for integrated well services.

    OFSE saw continued adoption of Leucipa™ automated field production solution, securing an award from Repsol for next-generation AI capabilities following the MoU signed in October 2024. The Company also signed an agreement with ENI to deploy Leucipa for electric submersible pumps (ESP) optimization and AI-powered predictive failure analytics in the Middle East.

    Also in the Middle East, Baker Hughes signed a master services agreement with Aramco for installation and maintenance of ESPs across the Kingdom of Saudi Arabia.

    In North America, OFSE secured a multi-year contract to provide drag reducing chemicals to be deployed on Genesis Energy’s Cameron Highway Oil Pipeline and Poseidon systems, each of which is operated and 64% owned by Genesis Energy. To support this agreement, OFSE will expand its chemicals manufacturing footprint and deploy Leucipa. Additionally, bp awarded OFSE a multi-year chemicals management services contract to optimize throughput and asset reliability in the U.S. Gulf Coast.

    In Germany, OFSE successfully drilled Lower Saxony’s first productive deep geothermal exploration well, a project that leverages OFSE’s integrated well construction and production capabilities and the Company’s industry-leading subsurface-to-surface digital solutions to monitor and optimize operational performance.

    Consolidated Financial Results

    Revenue for the quarter was $6,910 million, an increase of 8% sequentially and down $229 million year-over-year. The decrease in revenue year-over-year was driven by a decrease in OFSE partially offset by an increase in IET.

    The Company’s total book-to-bill ratio in the second quarter of 2025 was 1.0; the IET book-to-bill ratio was 1.1.

    Net income as determined in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for the second quarter of 2025 was $701 million. Net income increased $299 million sequentially and increased $122 million year-over-year.

    Adjusted net income (a non-GAAP financial measure) for the second quarter of 2025 was $623 million, which excludes adjustments totaling $78 million. A list of the adjusting items and associated reconciliation from GAAP has been provided in Table 1b in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” Adjusted net income for the second quarter of 2025 was up 22% sequentially and up 10% year-over-year.

    Depreciation and amortization for the second quarter of 2025 was $293 million.

    Adjusted EBITDA (a non-GAAP financial measure) for the second quarter of 2025 was $1,212 million, which excludes adjustments totaling $102 million. See Table 1a in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” Adjusted EBITDA for the second quarter was up 17% sequentially and up 7% year-over-year.

    The sequential increase in adjusted net income and adjusted EBITDA was primarily driven by an increase in volume, favorable FX, and overall productivity. The year-over-year increase in adjusted net income and adjusted EBITDA was driven by productivity and structural cost out initiatives, favorable FX, partially offset by lower volume in OFSE, and cost inflation in both segments.

    Other Financial Items

    Remaining Performance Obligations (“RPO”) in the second quarter of 2025 ended at $34 billion, an increase of $0.8 billion from the first quarter of 2025. OFSE RPO was $2.7 billion, down 3% sequentially, while IET RPO was $31.3 billion, up 3% sequentially. Within IET RPO, GTE RPO was $11.3 billion, and GTS RPO was $15.6 billion.

    Income tax expense in the second quarter of 2025 was $256 million.

    Other (income) expense, net in the second quarter of 2025 was $(134) million, primarily related to changes in fair value for equity securities of $(119) million.

    GAAP diluted earnings per share was $0.71. Adjusted diluted earnings per share (a non-GAAP financial measure) was $0.63. Excluded from adjusted diluted earnings per share were all items listed in Table 1b in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    Cash flow from operating activities was $510 million for the second quarter of 2025. Free cash flow (a non-GAAP financial measure) for the quarter was $239 million. A reconciliation from GAAP has been provided in Table 1c in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    Capital expenditures, net of proceeds from disposal of assets, were $271 million for the second quarter of 2025, of which $184 million was for OFSE and $68 million was for IET.

    Results by Reporting Segment

    The following segment discussions and variance explanations are intended to reflect management’s view of the relevant comparisons of financial results on a sequential or year-over-year basis, depending on the business dynamics of the reporting segments.

    Oilfield Services & Equipment

    (in millions)   Three Months Ended   Variance
    Segment results   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Orders   $ 3,503   $ 3,281   $ 4,068     7 % (14 %)
    Revenue   $ 3,617   $ 3,499   $ 4,011     3 % (10 %)
    EBITDA   $ 677   $ 623   $ 716     9 % (5 %)
    EBITDA margin     18.7 %   17.8 %   17.8 %   0.9pts 0.9pts
    (in millions)   Three Months Ended   Variance
    Revenue by Product Line   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Well Construction   $ 921   $ 892   $ 1,090     3 % (16 %)
    Completions, Intervention, and Measurements     935     925     1,118     1 % (16 %)
    Production Solutions     968     899     958     8 % 1 %
    Subsea & Surface Pressure Systems     793     782     845     1 % (6 %)
    Total Revenue   $ 3,617   $ 3,499   $ 4,011     3 % (10 %)
    (in millions)   Three Months Ended   Variance
    Revenue by Geographic Region   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    North America   $ 928   $ 922   $ 1,023     1 % (9 %)
    Latin America     639     568     663     12 % (4 %)
    Europe/CIS/Sub-Saharan Africa     653     580     827     13 % (21 %)
    Middle East/Asia     1,398     1,429     1,498     (2 %) (7 %)
    Total Revenue   $ 3,617   $ 3,499   $ 4,011     3 % (10 %)
                   
    North America   $ 928   $ 922   $ 1,023     1 % (9 %)
    International   $ 2,689   $ 2,577   $ 2,988     4 % (10 %)


    EBITDA excludes depreciation and amortization of
    $233 million, $226 million, and $223 million for the three months ended June 30, 2025, March 31, 2025, and June 30, 2024, respectively. EBITDA margin is defined as EBITDA divided by revenue.

    OFSE orders of $3,503 million for the second quarter of 2025 increased by 7% sequentially. Subsea and Surface Pressure Systems orders were $698 million, up 31% sequentially, and down 21% year-over-year.

    OFSE revenue of $3,617 million for the second quarter of 2025 was up 3% sequentially, and down 10% year-over-year.

    North America revenue was $928 million, up 1% sequentially. International revenue was $2,689 million, up 4% sequentially, with increase in all regions with the exception of Middle East and Asia.

    Segment EBITDA for the second quarter of 2025 was $677 million, an increase of $54 million, or 9% sequentially. The sequential increase in EBITDA was primarily driven by productivity, structural cost-out initiatives, volume increase, partially offset by inflation and revenue mix.

    Industrial & Energy Technology

    (in millions)   Three Months Ended   Variance
    Segment results   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Orders   $ 3,530   $ 3,178   $ 3,458     11 % 2 %
    Revenue   $ 3,293   $ 2,928   $ 3,128     12 % 5 %
    EBITDA   $ 585   $ 501   $ 497     17 % 18 %
    EBITDA margin     17.8 %   17.1 %   15.9 %   0.7pts 1.9pts
    (in millions)   Three Months Ended   Variance
    Orders by Product Line   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Gas Technology Equipment   $ 781   $ 1,335   $ 1,493     (42 %) (48 %)
    Gas Technology Services     986     913     769     8 % 28 %
    Total Gas Technology     1,767     2,248     2,261     (21 %) (22 %)
    Industrial Products     513     501     524     2 % (2 %)
    Industrial Solutions     327     281     281     16 % 16 %
    Total Industrial Technology     839     782     805     7 % 4 %
    Climate Technology Solutions     923     148     392     F F
    Total Orders   $ 3,530   $ 3,178   $ 3,458     11 % 2 %
    (in millions)   Three Months Ended   Variance
    Revenue by Product Line   June 30, 2025 March 31, 2025 June 30, 2024   Sequential Year-over-year
    Gas Technology Equipment   $ 1,624   $ 1,456   $ 1,539     12 % 6 %
    Gas Technology Services     752     592     691     27 % 9 %
    Total Gas Technology     2,377     2,047     2,230     16 % 7 %
    Industrial Products     488     445     509     10 % (4 %)
    Industrial Solutions     273     258     262     6 % 4 %
    Total Industrial Technology     761     703     770     8 % (1 %)
    Climate Technology Solutions     156     178     128     (12 %) 22 %
    Total Revenue   $ 3,293   $ 2,928   $ 3,128     12 % 5 %


    EBITDA excludes depreciation and amortization of
    $56 million, $53 million, and $55 million for the three months ended June 30, 2025, March 31, 2025, and June 30, 2024, respectively. EBITDA margin is defined as EBITDA divided by revenue.

    “F” is used in most instances when variance is above 100%. Additionally, “U” is used when variance is below (100)%.

    IET orders of $3,530 million for the second quarter of 2025 increased by $72 million, or 2% year-over-year. The increase was driven primarily by Climate Technology Solutions and partially offset by Gas Technology.

    IET revenue of $3,293 million for the second quarter of 2025 increased $165 million, or 5% year-over-year. The increase was driven by Gas Technology Equipment, up $85 million or 6% year-over-year, Gas Technology Services, up $61 million or 9% year-over-year, and Climate Technology Solutions, up $28 million or 22% year-over-year.

    Segment EBITDA for the quarter was $585 million, an increase of $88 million, or 18% year-over-year. The year-over-year increase in segment EBITDA was driven by positive pricing, favorable FX, and productivity, partially offset by cost inflation.

    Reconciliation of GAAP to non-GAAP Financial Measures

    Management provides non-GAAP financial measures because it believes such measures are widely accepted financial indicators used by investors and analysts to analyze and compare companies on the basis of operating performance (including adjusted EBITDA; adjusted net income attributable to Baker Hughes; and adjusted diluted earnings per share) and liquidity (free cash flow) and that these measures may be used by investors to make informed investment decisions. Management believes that the exclusion of certain identified items from several key operating performance measures enables us to evaluate our operations more effectively, to identify underlying trends in the business, and to establish operational goals for certain management compensation purposes. Management also believes that free cash flow is an important supplemental measure of our cash performance but should not be considered as a measure of residual cash flow available for discretionary purposes, or as an alternative to cash flow from operating activities presented in accordance with GAAP.

    Table 1a. Reconciliation of Net Income Attributable to Baker Hughes to Adjusted EBITDA and Segment EBITDA

        Three Months Ended
    (in millions)   June 30, 2025 March 31, 2025 June 30, 2024
    Net income attributable to Baker Hughes (GAAP)   $ 701   $ 402   $ 579  
    Net income attributable to noncontrolling interests     10     7     2  
    Provision for income taxes     256     152     243  
    Interest expense, net     54     51     47  
    Depreciation & amortization     293     285     283  
    Change in fair value of equity securities (1)     (119 )   140     (19 )
    Other charges and credits (1)     17         (6 )
    Adjusted EBITDA (non-GAAP)     1,212     1,037     1,130  
    Corporate costs     78     85     83  
    Other (income) / expense not allocated to segments     (28 )   1      
    Total Segment EBITDA (non-GAAP)   $ 1,262   $ 1,124   $ 1,213  
    OFSE     677     623     716  
    IET     585     501     497  


    (1) 
    Change in fair value of equity securities and other charges and credits are reported in “Other (income) expense, net” on the condensed consolidated statements of income (loss).

    Table 1a reconciles net income attributable to Baker Hughes, which is the directly comparable financial result determined in accordance with GAAP, to adjusted EBITDA and Segment EBITDA. Adjusted EBITDA and Segment EBITDA exclude the impact of certain identified items.

    Table 1b. Reconciliation of Net Income Attributable to Baker Hughes to Adjusted Net Income Attributable to Baker Hughes

        Three Months Ended
    (in millions, except per share amounts)   June 30, 2025 March 31, 2025 June 30, 2024
    Net income attributable to Baker Hughes (GAAP)   $ 701   $ 402   $ 579  
    Change in fair value of equity securities     (119 )   140     (19 )
    Other adjustments     17         14  
    Tax adjustments(1)     24     (32 )   (6 )
    Total adjustments, net of income tax     (78 )   108     (11 )
    Less: adjustments attributable to noncontrolling interests              
    Adjustments attributable to Baker Hughes     (78 )   108     (11 )
    Adjusted net income attributable to Baker Hughes (non-GAAP)   $ 623   $ 509   $ 568  
             
    Denominator:        
    Weighted-average shares of Class A common stock outstanding diluted     991     999     1,001  
    Adjusted earnings per share – diluted (non-GAAP)   $ 0.63   $ 0.51   $ 0.57  


    (1) 
    All periods reflect the tax associated with the other (income) loss adjustments.

    Table 1b reconciles net income attributable to Baker Hughes, which is the directly comparable financial result determined in accordance with GAAP, to adjusted net income attributable to Baker Hughes. Adjusted net income attributable to Baker Hughes excludes the impact of certain identified items.

    Table 1c. Reconciliation of Net Cash Flows from Operating Activities to Free Cash Flow

        Three Months Ended
    (in millions)   June 30, 2025 March 31, 2025 June 30, 2024
    Net cash flows from operating activities (GAAP)   $ 510   $ 709   $ 348  
    Add: cash used for capital expenditures, net of proceeds from disposal of assets     (271 )   (255 )   (242 )
    Free cash flow (non-GAAP)   $ 239   $ 454   $ 106  

    Table 1c reconciles net cash flows from operating activities, which is the directly comparable financial result determined in accordance with GAAP, to free cash flow. Free cash flow is defined as net cash flows from operating activities less expenditures for capital assets plus proceeds from disposal of assets.


    Financial Tables (GAAP)

    Condensed Consolidated Statements of Income (Loss)
    (Unaudited)
     
        Three Months Ended June 30, Six Months Ended June 30,
    (In millions, except per share amounts)     2025     2024     2025     2024  
    Revenue   $ 6,910   $ 7,139   $ 13,337   $ 13,557  
    Costs and expenses:          
    Cost of revenue     5,295     5,493     10,247     10,469  
    Selling, general and administrative     567     643     1,144     1,261  
    Research and development costs     161     158     307     322  
    Other (income) expense, net     (134 )   (26 )   6     (48 )
    Interest expense, net     54     47     105     88  
    Income before income taxes     967     824     1,528     1,465  
    Provision for income taxes     (256 )   (243 )   (408 )   (421 )
    Net income     711     581     1,120     1,044  
    Less: Net income attributable to noncontrolling interests     10     2     17     10  
    Net income attributable to Baker Hughes Company   $ 701   $ 579   $ 1,103   $ 1,034  
               
    Per share amounts:      
    Basic income per Class A common stock   $ 0.71   $ 0.58   $ 1.11   $ 1.04  
    Diluted income per Class A common stock   $ 0.71   $ 0.58   $ 1.11   $ 1.03  
               
    Weighted average shares:          
    Class A basic     988     996     990     997  
    Class A diluted     991     1,001     995     1,002  
               
    Cash dividend per Class A common stock   $ 0.23   $ 0.21   $ 0.46   $ 0.42  
    Condensed Consolidated Statements of Financial Position
    (Unaudited)
     
    (In millions)   June 30, 2025 December 31, 2024
    ASSETS
    Current Assets:      
    Cash and cash equivalents   $ 3,087   $ 3,364  
    Current receivables, net     6,511     7,122  
    Inventories, net     5,105     4,954  
    All other current assets     2,915     1,771  
    Total current assets     17,618     17,211  
    Property, plant and equipment, less accumulated depreciation     5,176     5,127  
    Goodwill     5,801     6,078  
    Other intangible assets, net     3,919     3,951  
    Contract and other deferred assets     1,841     1,730  
    All other assets     4,385     4,266  
    Total assets   $ 38,740   $ 38,363  
    LIABILITIES AND EQUITY
    Current Liabilities:      
    Accounts payable   $ 4,340   $ 4,542  
    Short-term debt     66     53  
    Progress collections and deferred income     5,680     5,672  
    All other current liabilities     2,429     2,724  
    Total current liabilities     12,515     12,991  
    Long-term debt     5,968     5,970  
    Liabilities for pensions and other postretirement benefits     997     988  
    All other liabilities     1,392     1,359  
    Equity     17,868     17,055  
    Total liabilities and equity   $ 38,740   $ 38,363  
           
    Outstanding Baker Hughes Company shares:      
    Class A common stock     985     990  
    Condensed Consolidated Statements of Cash Flows
    (Unaudited)
     
        Three Months Ended June 30, Six Months Ended June 30,
    (In millions)     2025     2025     2024  
    Cash flows from operating activities:        
    Net income   $ 711   $ 1,120   $ 1,044  
    Adjustments to reconcile net income to net cash flows from operating activities:        
    Depreciation and amortization     293     579     566  
    Stock-based compensation cost     52     102     101  
    Change in fair value of equity securities     (119 )   21     (71 )
    (Benefit) provision for deferred income taxes     36     (17 )   33  
    Working capital     (120 )   98     (36 )
    Other operating items, net     (343 )   (684 )   (505 )
    Net cash flows provided by operating activities     510     1,219     1,132  
    Cash flows from investing activities:        
    Expenditures for capital assets     (301 )   (601 )   (625 )
    Proceeds from disposal of assets     30     74     101  
    Other investing items, net     (15 )   (69 )   (6 )
    Net cash flows used in investing activities     (286 )   (596 )   (530 )
    Cash flows from financing activities:        
    Repayment of long-term debt             (125 )
    Dividends paid     (227 )   (456 )   (419 )
    Repurchase of Class A common stock     (196 )   (384 )   (324 )
    Other financing items, net     (20 )   (105 )   (61 )
    Net cash flows used in financing activities     (443 )   (945 )   (929 )
    Effect of currency exchange rate changes on cash and cash equivalents     29     45     (35 )
    Decrease in cash and cash equivalents     (190 )   (277 )   (362 )
    Cash and cash equivalents, beginning of period     3,277     3,364     2,646  
    Cash and cash equivalents, end of period   $ 3,087   $ 3,087   $ 2,284  
    Supplemental cash flows disclosures:        
    Income taxes paid, net of refunds   $ 211   $ 418   $ 336  
    Interest paid   $ 98   $ 148   $ 150  


    Supplemental Financial Information

    Supplemental financial information can be found on the Company’s website at: investors.bakerhughes.com in the Financial Information section under Quarterly Results.

    Conference Call and Webcast

    The Company has scheduled an investor conference call to discuss management’s outlook and the results reported in today’s earnings announcement. The call will begin at 9:30 a.m. Eastern time, 8:30 a.m. Central time on Wednesday, July 23, 2025, the content of which is not part of this earnings release. The conference call will be broadcast live via a webcast and can be accessed by visiting the Events and Presentations page on the Company’s website at: investors.bakerhughes.com. An archived version of the webcast will be available on the website for one month following the webcast.

    Forward-Looking Statements

    This news release (and oral statements made regarding the subjects of this release) may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, (each a “forward-looking statement”). Forward-looking statements concern future circumstances and results and other statements that are not historical facts and are sometimes identified by the words “may,” “will,” “should,” “potential,” “intend,” “expect,” “would,” “seek,” “anticipate,” “estimate,” “overestimate,” “underestimate,” “believe,” “could,” “project,” “predict,” “continue,” “target,” “goal” or other similar words or expressions. There are many risks and uncertainties that could cause actual results to differ materially from our forward-looking statements. These forward-looking statements are also affected by the risk factors described in the Company’s annual report on Form 10-K for the annual period ended December 31, 2024 and those set forth from time to time in other filings with the Securities and Exchange Commission (“SEC”). The documents are available through the Company’s website at: www.investors.bakerhughes.com or through the SEC’s Electronic Data Gathering and Analysis Retrieval system at: www.sec.gov. We undertake no obligation to publicly update or revise any forward-looking statement, except as required by law. Readers are cautioned not to place undue reliance on any of these forward-looking statements.

    Our expectations regarding our business outlook and business plans; the business plans of our customers; oil and natural gas market conditions; cost and availability of resources; economic, legal and regulatory conditions, and other matters are only our forecasts regarding these matters.

    These forward-looking statements, including forecasts, may be substantially different from actual results, which are affected by many risks, along with the following risk factors and the timing of any of these risk factors:

    • Economic and political conditions – the impact of worldwide economic conditions and rising inflation; the impact of tariffs and the potential for significant increases thereto; the impact of global trade policy and the potential for significant changes thereto; the effect that declines in credit availability may have on worldwide economic growth and demand for hydrocarbons; foreign currency exchange fluctuations and changes in the capital markets in locations where we operate; and the impact of government disruptions and sanctions.
    • Orders and RPO – our ability to execute on orders and RPO in accordance with agreed specifications, terms and conditions and convert those orders and RPO to revenue and cash.
    • Oil and gas market conditions – the level of petroleum industry exploration, development and production expenditures; the price of, volatility in pricing of, and the demand for crude oil and natural gas; drilling activity; drilling permits for and regulation of the shelf and the deepwater drilling; excess productive capacity; crude and product inventories; liquefied natural gas supply and demand; seasonal and other adverse weather conditions that affect the demand for energy; severe weather conditions, such as tornadoes and hurricanes, that affect exploration and production activities; Organization of Petroleum Exporting Countries (“OPEC”) policy and the adherence by OPEC nations to their OPEC production quotas.
    • Terrorism and geopolitical risks – war, military action, terrorist activities or extended periods of international conflict, particularly involving any petroleum-producing or consuming regions, including Russia and Ukraine; and the recent conflict in the Middle East; labor disruptions, civil unrest or security conditions where we operate; potentially burdensome taxation, expropriation of assets by governmental action; cybersecurity risks and cyber incidents or attacks; epidemic outbreaks.

    About Baker Hughes:

    Baker Hughes (Nasdaq: BKR) is an energy technology company that provides solutions to energy and industrial customers worldwide. Built on a century of experience and conducting business in over 120 countries, our innovative technologies and services are taking energy forward – making it safer, cleaner and more efficient for people and the planet. Visit us at bakerhughes.com.

    For more information, please contact:

    Investor Relations

    Chase Mulvehill
    +1 346-297-2561
    investor.relations@bakerhughes.com

    Media Relations

    Adrienne M. Lynch
    +1 713-906-8407
    adrienne.lynch@bakerhughes.com

    The MIL Network

  • MIL-OSI: Renasant Corporation Announces Earnings for the Second Quarter of 2025

    Source: GlobeNewswire (MIL-OSI)

    TUPELO, Miss., July 22, 2025 (GLOBE NEWSWIRE) — Renasant Corporation (NYSE: RNST) (the “Company”) today announced earnings results for the second quarter of 2025.

    (Dollars in thousands, except earnings per share) Three Months Ended   Six Months Ended
      Jun 30,
    2025
    Mar 31,
    2025
    Jun 30,
    2024
      Jun 30,
    2025
    Jun 30,
    2024
    Net income and earnings per share:            
    Net income $ 1,018   $ 41,518   $ 38,846   $ 42,536   $ 78,255
    Merger and conversion related expenses (net of tax)   (15,935 )   (593 )       (16,527 )  
    Day 1 acquisition provision (net of tax)   (50,026 )           (50,026 )  
    Basic EPS   0.01     0.65     0.69     0.54     1.39
    Diluted EPS   0.01     0.65     0.69     0.53     1.38
    Adjusted diluted EPS (Non-GAAP)(1)   0.69     0.66     0.69     1.36     1.33
    Impact to diluted EPS from merger and conversion related expenses (net of tax)   (0.17 )   (0.01 )       (0.21 )  
    Impact to diluted EPS from Day 1 acquisition provision (net of tax)   (0.53 )           (0.63 )  
                                 

    “The results for the quarter reflect significant progress on the merger and integration of The First Bancshares, Inc.,” remarked Kevin D. Chapman, Chief Executive Officer of the Company. “Our employees continue to work diligently on bringing two strong companies together to better serve our customers.”

    Quarterly Highlights

    Merger with The First Bancshares, Inc.

    • On April 1, 2025, the Company completed its merger with The First Bancshares, Inc. (“The First”). As of the effective date of the merger, The First operated 116 locations throughout Louisiana, Mississippi, Alabama, Georgia and Florida and, net of purchase accounting adjustments, had $7.9 billion in assets, $5.2 billion in loans, and $6.4 billion in deposits

    Earnings

    • Net income for the second quarter of 2025 was $1.0 million, which includes merger and conversion expenses of $20.5 million and Day 1 acquisition provision for credit losses of $66.6 million; diluted EPS and adjusted diluted EPS (non-GAAP)(1) were $0.01 and $0.69, respectively
    • Net interest income (fully tax equivalent) for the second quarter of 2025 was $222.7 million, up $85.3 million linked quarter, primarily due to the merger with The First
    • For the second quarter of 2025, net interest margin was 3.85%, up 40 basis points linked quarter. Adjusted net interest margin (non-GAAP)(1) was 3.58%, up 16 basis points linked quarter
    • Cost of total deposits was 2.12% for the second quarter of 2025, down 10 basis points linked quarter
    • Noninterest income increased $11.9 million linked quarter, primarily due to the merger with The First
    • Mortgage banking income increased $3.1 million linked quarter. Gain on sale of mortgage servicing rights (“MSRs”) was $1.5 million. The mortgage division generated $679.6 million in interest rate lock volume in the second quarter of 2025, up $47.5 million linked quarter. Gain on sale margin was 1.87% for the second quarter of 2025, up 45 basis points linked quarter
    • Noninterest expense increased $69.3 million linked quarter, primarily due to the merger with The First. Merger and conversion expenses and core deposit intangible amortization increased $19.7 million and $7.8 million, respectively, linked quarter

    Balance Sheet

    • The combined company generated net organic loan growth of $311.6 million for the quarter, or 6.9% annualized
    • Securities increased $1.4 billion linked quarter, which includes $1.5 billion of securities acquired from The First. In the second quarter of 2025, the Company sold a portion of the acquired securities for proceeds of $686.5 million, which were reinvested in higher yielding assets
    • The combined company generated net organic deposit growth of $361.3 million for the quarter, or 6.8% annualized. Noninterest bearing deposits increased $1.8 billion linked quarter, primarily due to the merger with The First, and represented 24.8% of total deposits at June 30, 2025

    Capital and Stock Repurchase Program

    • Book value per share and tangible book value per share (non-GAAP)(1) decreased 7.1% and 14.7%, respectively, linked quarter, due to the merger with The First
    • The Company has a $100.0 million stock repurchase program in effect through October 2025 under which the Company is authorized to repurchase outstanding shares of its common stock either in open market purchases or privately-negotiated transactions. There was no buyback activity during the second quarter of 2025

    Credit Quality

    • The Company recorded a provision for credit losses of $81.3 million for the second quarter of 2025, which includes a $66.6 million Day 1 acquisition provision for credit losses and unfunded commitments
    • The ratio of the allowance for credit losses on loans to total loans was 1.57% at June 30, 2025, up one basis point linked quarter; net loan charge-offs for the second quarter of 2025 were $12.1 million
    • The coverage ratio, or the allowance for credit losses on loans to nonperforming loans, was 204.97% at June 30, 2025, compared to 206.55% at March 31, 2025
    • Nonperforming loans to total loans remained at 0.76% at June 30, 2025, and criticized loans (which include classified and Special Mention loans) to total loans increased to 2.66% at June 30, 2025, compared to 2.45% at March 31, 2025, primarily due to the merger with The First

    (1) This is a non-GAAP financial measure. A reconciliation of all non-GAAP financial measures disclosed in this release from GAAP to non-GAAP is included in the tables at the end of this release. The information below under the heading “Non-GAAP Financial Measures” explains why the Company believes the non-GAAP financial measures in this release provide useful information and describes the other purposes for which the Company uses non-GAAP financial measures.

    Income Statement

    (Dollars in thousands, except per share data) Three Months Ended   Six Months Ended
      Jun 30,
    2025
    Mar 31,
    2025
    Dec 31,
    2024
    Sep 30,
    2024
    Jun 30,
    2024
      Jun 30,
    2025
    Jun 30,
    2024
    Interest income                
    Loans held for investment $ 301,794 $ 196,566 $ 199,240   $ 202,655   $ 198,397     $ 498,360 $ 390,787  
    Loans held for sale   4,639   3,008   3,564     4,212     3,530       7,647   5,838  
    Securities   28,408   12,117   10,510     10,304     10,410       40,525   21,110  
    Other   9,057   8,639   12,030     11,872     7,874       17,696   15,655  
    Total interest income   343,898   220,330   225,344     229,043     220,211       564,228   433,390  
    Interest expense                
    Deposits   111,921   79,386   85,571     90,787     87,621       191,307   170,234  
    Borrowings   13,118   6,747   6,891     7,258     7,564       19,865   14,840  
    Total interest expense   125,039   86,133   92,462     98,045     95,185       211,172   185,074  
    Net interest income   218,859   134,197   132,882     130,998     125,026       353,056   248,316  
    Provision for credit losses                
    Provision for loan losses   75,400   2,050   3,100     1,210     4,300       77,450   6,938  
    Provision for (Recovery of) unfunded commitments   5,922   2,700   (500 )   (275 )   (1,000 )     8,622   (1,200 )
    Total provision for credit losses   81,322   4,750   2,600     935     3,300       86,072   5,738  
    Net interest income after provision for credit losses   137,537   129,447   130,282     130,063     121,726       266,984   242,578  
    Noninterest income   48,334   36,395   34,218     89,299     38,762       84,729   80,143  
    Noninterest expense   183,204   113,876   114,747     121,983     111,976       297,080   224,888  
    Income before income taxes   2,667   51,966   49,753     97,379     48,512       54,633   97,833  
    Income taxes   1,649   10,448   5,006     24,924     9,666       12,097   19,578  
    Net income $ 1,018 $ 41,518 $ 44,747   $ 72,455   $ 38,846     $ 42,536 $ 78,255  
                     
    Adjusted net income (non-GAAP)(1) $ 65,877 $ 42,111 $ 46,458   $ 42,960   $ 38,846     $ 107,987 $ 75,421  
    Adjusted pre-provision net revenue (“PPNR”) (non-GAAP)(1) $ 103,001 $ 57,507 $ 54,177   $ 56,238   $ 51,812     $ 160,508 $ 100,043  
                     
    Basic earnings per share $ 0.01 $ 0.65 $ 0.70   $ 1.18   $ 0.69     $ 0.54 $ 1.39  
    Diluted earnings per share   0.01   0.65   0.70     1.18     0.69       0.53   1.38  
    Adjusted diluted earnings per share (non-GAAP)(1)   0.69   0.66   0.73     0.70     0.69       1.36   1.33  
    Average basic shares outstanding   94,580,927   63,666,419   63,565,437     61,217,094     56,342,909       79,209,073   56,275,628  
    Average diluted shares outstanding   95,136,160   64,028,025   64,056,303     61,632,448     56,684,626       79,671,775   56,607,947  
    Cash dividends per common share $ 0.22 $ 0.22 $ 0.22   $ 0.22   $ 0.22     $ 0.44 $ 0.44  

    (1) This is a non-GAAP financial measure. A reconciliation of all non-GAAP financial measures disclosed in this release from GAAP to non-GAAP is included in the tables at the end of this release. The information below under the heading “Non-GAAP Financial Measures” explains why the Company believes the non-GAAP financial measures in this release provide useful information and describes the other purposes for which the Company uses non-GAAP financial measures.

    Performance Ratios

      Three Months Ended   Six Months Ended
      Jun 30,
    2025
    Mar 31,
    2025
    Dec 31,
    2024
    Sep 30,
    2024
    Jun 30,
    2024
      Jun 30,
    2025
    Jun 30,
    2024
    Return on average assets 0.02 % 0.94 % 0.99 % 1.63 % 0.90 %   0.39 % 0.91 %
    Adjusted return on average assets (non-GAAP)(1) 1.01   0.95   1.03   0.97   0.90     0.98   0.88  
    Return on average tangible assets (non-GAAP)(1) 0.13   1.01   1.07   1.75   0.98     0.48   0.99  
    Adjusted return on average tangible assets (non-GAAP)(1) 1.18   1.02   1.11   1.05   0.98     1.12   0.96  
    Return on average equity 0.11   6.25   6.70   11.29   6.68     2.66   6.77  
    Adjusted return on average equity (non-GAAP)(1) 7.06   6.34   6.96   6.69   6.68     6.76   6.52  
    Return on average tangible equity (non-GAAP)(1) 1.43   10.16   10.97   18.83   12.04     5.24   12.25  
    Adjusted return on average tangible equity (non-GAAP)(1) 13.50   10.30   11.38   11.26   12.04     12.10   11.81  
    Efficiency ratio (fully taxable equivalent) 67.59   65.51   67.61   54.73   67.31     66.78   67.41  
    Adjusted efficiency ratio (non-GAAP)(1) 57.07   64.43   65.82   64.62   66.60     59.95   67.41  
    Dividend payout ratio 2200.00   33.85   31.43   18.64   31.88     81.48   31.65  


    Capital and Balance Sheet Ratios

      As of
      Jun 30,
    2025
    Mar 31,
    2025
    Dec 31,
    2024
    Sep 30,
    2024
    Jun 30,
    2024
    Shares outstanding   95,019,311     63,739,467     63,565,690     63,564,028     56,367,924  
    Market value per share $ 35.93   $ 33.93   $ 35.75   $ 32.50   $ 30.54  
    Book value per share   39.77     42.79     42.13     41.82     41.77  
    Tangible book value per share (non-GAAP)(1)   23.10     27.07     26.36     26.02     23.89  
    Shareholders’ equity to assets   14.19 %   14.93 %   14.85 %   14.80 %   13.45 %
    Tangible common equity ratio (non-GAAP)(1)   8.77     9.99     9.84     9.76     8.16  
    Leverage ratio(2)   9.36     11.39     11.34     11.32     9.81  
    Common equity tier 1 capital ratio(2)   11.09     12.59     12.73     12.88     10.75  
    Tier 1 risk-based capital ratio(2)   11.09     13.35     13.50     13.67     11.53  
    Total risk-based capital ratio(2)   14.99     16.89     17.08     17.32     15.15  

    (1) This is a non-GAAP financial measure. A reconciliation of all non-GAAP financial measures disclosed in this release from GAAP to non-GAAP is included in the tables at the end of this release. The information below under the heading “Non-GAAP Financial Measures” explains why the Company believes the non-GAAP financial measures in this release provide useful information and describes the other purposes for which the Company uses non-GAAP financial measures.

    (2) Preliminary

    Noninterest Income and Noninterest Expense

    (Dollars in thousands) Three Months Ended   Six Months Ended
      Jun 30,
    2025
    Mar 31,
    2025
    Dec 31,
    2024
    Sep 30,
    2024
    Jun 30,
    2024
      Jun 30,
    2025
    Jun 30,
    2024
    Noninterest income                
    Service charges on deposit accounts $ 13,618 $ 10,364 $ 10,549 $ 10,438 $ 10,286   $ 23,982 $ 20,792
    Fees and commissions   6,650   3,787   4,181   4,116   3,944     10,437   7,893
    Insurance commissions           2,758       5,474
    Wealth management revenue   7,345   7,067   6,371   5,835   5,684     14,412   11,353
    Mortgage banking income   11,263   8,147   6,861   8,447   9,698     19,410   21,068
    Gain on sale of insurance agency         53,349        
    Gain on extinguishment of debt                 56
    BOLI income   3,383   2,929   3,317   2,858   2,701     6,312   5,392
    Other   6,075   4,101   2,939   4,256   3,691     10,176   8,115
    Total noninterest income $ 48,334 $ 36,395 $ 34,218 $ 89,299 $ 38,762   $ 84,729 $ 80,143
    Noninterest expense                
    Salaries and employee benefits $ 99,542 $ 71,957 $ 70,260 $ 71,307 $ 70,731   $ 171,499 $ 142,201
    Data processing   5,438   4,089   4,145   4,133   3,945     9,527   7,752
    Net occupancy and equipment   17,359   11,754   11,312   11,415   11,844     29,113   23,233
    Other real estate owned   157   685   590   56   105     842   212
    Professional fees   4,223   2,884   2,686   3,189   3,195     7,107   6,543
    Advertising and public relations   4,490   4,297   3,840   3,677   3,807     8,787   8,693
    Intangible amortization   8,884   1,080   1,133   1,160   1,186     9,964   2,398
    Communications   3,184   2,033   2,067   2,176   2,112     5,217   4,136
    Merger and conversion related expenses   20,479   791   2,076   11,273       21,270  
    Other   19,448   14,306   16,638   13,597   15,051     33,754   29,720
    Total noninterest expense $ 183,204 $ 113,876 $ 114,747 $ 121,983 $ 111,976   $ 297,080 $ 224,888


    Mortgage Banking Income

    (Dollars in thousands) Three Months Ended   Six Months Ended
      Jun 30,
    2025
    Mar 31,
    2025
    Dec 31,
    2024
    Sep 30,
    2024
    Jun 30,
    2024
      Jun 30,
    2025
    Jun 30,
    2024
    Gain on sales of loans, net $ 5,316 $ 4,500 $ 2,379 $ 4,499 $ 5,199   $ 9,816 $ 9,734
    Fees, net   3,740   2,317   2,850   2,646   2,866     6,057   4,720
    Mortgage servicing income, net   2,207   1,330   1,632   1,302   1,633     3,537   6,614
    Total mortgage banking income $ 11,263 $ 8,147 $ 6,861 $ 8,447 $ 9,698   $ 19,410 $ 21,068


    Balance Sheet

    (Dollars in thousands) As of
      Jun 30,
    2025
    Mar 31,
    2025
    Dec 31,
    2024
    Sep 30,
    2024
    Jun 30,
    2024
    Assets          
    Cash and cash equivalents $ 1,378,612   $ 1,091,339   $ 1,092,032   $ 1,275,620   $ 851,906  
    Securities held to maturity, at amortized cost   1,076,817     1,101,901     1,126,112     1,150,531     1,174,663  
    Securities available for sale, at fair value   2,471,487     1,002,056     831,013     764,844     749,685  
    Loans held for sale, at fair value   356,791     226,003     246,171     291,735     266,406  
    Loans held for investment   18,563,447     13,055,593     12,885,020     12,627,648     12,604,755  
    Allowance for credit losses on loans   (290,770 )   (203,931 )   (201,756 )   (200,378 )   (199,871 )
    Loans, net   18,272,677     12,851,662     12,683,264     12,427,270     12,404,884  
    Premises and equipment, net   465,100     279,011     279,796     280,550     280,966  
    Other real estate owned   11,750     8,654     8,673     9,136     7,366  
    Goodwill   1,419,782     988,898     988,898     988,898     991,665  
    Other intangibles   163,751     13,025     14,105     15,238     16,397  
    Bank-owned life insurance   486,613     337,502     391,810     389,138     387,791  
    Mortgage servicing rights   64,539     72,902     72,991     71,990     72,092  
    Other assets   457,056     298,428     300,003     293,890     306,570  
    Total assets $ 26,624,975   $ 18,271,381   $ 18,034,868   $ 17,958,840   $ 17,510,391  
               
    Liabilities and Shareholders’ Equity          
    Liabilities          
    Deposits:          
    Noninterest-bearing $ 5,356,153   $ 3,541,375   $ 3,403,981   $ 3,529,801   $ 3,539,453  
    Interest-bearing   16,226,484     11,230,720     11,168,631     10,979,950     10,715,760  
    Total deposits   21,582,637     14,772,095     14,572,612     14,509,751     14,255,213  
    Short-term borrowings   405,349     108,015     108,018     108,732     232,741  
    Long-term debt   556,976     433,309     430,614     433,177     428,677  
    Other liabilities   301,159     230,857     245,306     249,102     239,059  
    Total liabilities   22,846,121     15,544,276     15,356,550     15,300,762     15,155,690  
               
    Shareholders’ equity:          
    Common stock   488,612     332,421     332,421     332,421     296,483  
    Treasury stock   (90,248 )   (91,646 )   (97,196 )   (97,251 )   (97,534 )
    Additional paid-in capital   2,393,566     1,486,849     1,491,847     1,488,678     1,304,782  
    Retained earnings   1,100,965     1,121,102     1,093,854     1,063,324     1,005,086  
    Accumulated other comprehensive loss   (114,041 )   (121,621 )   (142,608 )   (129,094 )   (154,116 )
    Total shareholders’ equity   3,778,854     2,727,105     2,678,318     2,658,078     2,354,701  
    Total liabilities and shareholders’ equity $ 26,624,975   $ 18,271,381   $ 18,034,868   $ 17,958,840   $ 17,510,391  


    Net Interest Income and Net Interest Margin

    (Dollars in thousands) Three Months Ended
      June 30, 2025 March 31, 2025 June 30, 2024
      Average
    Balance
    Interest
    Income/
    Expense
    Yield/
    Rate
    Average
    Balance
    Interest
    Income/
    Expense
    Yield/
    Rate
    Average
    Balance
    Interest
    Income/
    Expense
    Yield/
    Rate
    Interest-earning assets:                  
    Loans held for investment $ 18,448,000 $ 304,834 6.63 % $ 12,966,869 $ 199,504 6.24 % $ 12,575,651 $ 200,670 6.41 %
    Loans held for sale   287,855   4,639 6.45 %   200,917   3,008 5.99 %   219,826   3,530 6.42 %
    Taxable securities   3,106,565   24,917 3.21 %   1,883,535   10,971 2.33 %   1,832,002   9,258 2.02 %
    Tax-exempt securities   462,732   4,309 3.72 %   259,800   1,443 2.22 %   263,937   1,451 2.20 %
    Total securities   3,569,297   29,226 3.28 %   2,143,335   12,414 2.32 %   2,095,939   10,709 2.04 %
    Interest-bearing balances with banks   901,803   9,057 4.03 %   824,743   8,639 4.25 %   595,030   7,874 5.32 %
    Total interest-earning assets   23,206,955   347,756 6.01 %   16,135,864   223,565 5.61 %   15,486,446   222,783 5.77 %
    Cash and due from banks   357,338       181,869       187,519    
    Intangible assets   1,589,490       1,002,511       1,008,638    
    Other assets   1,029,082       669,392       688,766    
    Total assets $ 26,182,865     $ 17,989,636     $ 17,371,369    
    Interest-bearing liabilities:                  
    Interest-bearing demand(1) $ 11,191,443 $ 76,542 2.74 % $ 7,835,617 $ 54,710 2.83 % $ 7,094,411 $ 56,132 3.17 %
    Savings deposits   1,322,007   1,032 0.31 %   813,451   711 0.35 %   839,638   729 0.35 %
    Brokered deposits     %     %   294,650   3,944 5.37 %
    Time deposits   3,404,482   34,347 4.05 %   2,474,218   23,965 3.93 %   2,487,873   26,816 4.34 %
    Total interest-bearing deposits   15,917,932   111,921 2.82 %   11,123,286   79,386 2.89 %   10,716,572   87,621 3.28 %
    Borrowed funds   1,036,045   13,118 5.07 %   556,734   6,747 4.88 %   583,965   7,564 5.19 %
    Total interest-bearing liabilities   16,953,977   125,039 2.96 %   11,680,020   86,133 2.99 %   11,300,537   95,185 3.38 %
    Noninterest-bearing deposits   5,233,976       3,408,830       3,509,109    
    Other liabilities   249,861       208,105       223,992    
    Shareholders’ equity   3,745,051       2,692,681       2,337,731    
    Total liabilities and shareholders’ equity $ 26,182,865     $ 17,989,636     $ 17,371,369    
    Net interest income/ net interest margin   $ 222,717 3.85 %   $ 137,432 3.45 %   $ 127,598 3.31 %
    Cost of funding     2.26 %     2.31 %     2.58 %
    Cost of total deposits     2.12 %     2.22 %     2.47 %

    (1) Interest-bearing demand deposits include interest-bearing transactional accounts and money market deposits.

    Net Interest Income and Net Interest Margin, continued

    (Dollars in thousands) Six Months Ended
      June 30, 2025 June 30, 2024
      Average
    Balance
    Interest
    Income/
    Expense
    Yield/  
     Rate
    Average
    Balance
    Interest
    Income/
    Expense
    Yield/  
     Rate
    Interest-earning assets:            
    Loans held for investment $ 15,722,576 $ 504,338 6.47 % $ 12,491,814 $ 395,310 6.35 %
    Loans held for sale   244,626   7,647 6.25 %   187,604   5,838 6.22 %
    Taxable securities   2,498,428   35,888 2.87 %   1,861,909   18,763 2.02 %
    Tax-exempt securities   361,827   5,752 3.18 %   267,108   2,956 2.21 %
    Total securities   2,860,255   41,640 2.91 %   2,129,017   21,719 2.04 %
    Interest-bearing balances with banks   863,486   17,696 4.13 %   582,683   15,655 5.40 %
    Total interest-earning assets   19,690,943   571,321 5.84 %   15,391,118   438,522 5.72 %
    Cash and due from banks   270,088       188,011    
    Intangible assets   1,297,622       1,009,232    
    Other assets   850,231       701,770    
    Total assets $ 22,108,884     $ 17,290,131    
    Interest-bearing liabilities:            
    Interest-bearing demand(1) $ 9,522,800 $ 131,252 2.78 % $ 7,025,200 $ 108,632 3.10 %
    Savings deposits   1,069,134   1,743 0.33 %   850,018   1,459 0.34 %
    Brokered deposits     %   370,129   9,931 5.38 %
    Time deposits   2,941,920   58,312 3.99 %   2,403,646   50,212 4.20 %
    Total interest-bearing deposits   13,533,854   191,307 2.85 %   10,648,993   170,234 3.21 %
    Borrowed funds   797,714   19,865 5.00 %   573,182   14,840 5.19 %
    Total interest-bearing liabilities   14,331,568   211,172 2.97 %   11,222,175   185,074 3.31 %
    Noninterest-bearing deposits   4,326,445       3,513,860    
    Other liabilities   229,098       228,090    
    Shareholders’ equity   3,221,773       2,326,006    
    Total liabilities and shareholders’ equity $ 22,108,884     $ 17,290,131    
    Net interest income/ net interest margin   $ 360,149 3.68 %   $ 253,448 3.30 %
    Cost of funding     2.28 %     2.52 %
    Cost of total deposits     2.16 %     2.41 %

    (1) Interest-bearing demand deposits include interest-bearing transactional accounts and money market deposits.

    Loan Portfolio

    (Dollars in thousands) As of
      Jun 30,
    2025
    Mar 31,
    2025
    Dec 31,
    2024
    Sep 30,
    2024
    Jun 30,
    2024
    Loan Portfolio:          
    Commercial, financial, agricultural $ 2,666,923 $ 1,888,580 $ 1,885,817 $ 1,804,961 $ 1,847,762
    Lease financing   89,568   85,412   90,591   98,159   102,996
    Real estate – construction   1,339,967   1,090,862   1,093,653   1,198,838   1,355,425
    Real estate – 1-4 family mortgages   4,874,679   3,583,080   3,488,877   3,440,038   3,435,818
    Real estate – commercial mortgages   9,470,134   6,320,120   6,236,068   5,995,152   5,766,478
    Installment loans to individuals   122,176   87,539   90,014   90,500   96,276
    Total loans $ 18,563,447 $ 13,055,593 $ 12,885,020 $ 12,627,648 $ 12,604,755


    Credit Quality and Allowance for Credit Losses on Loans

    (Dollars in thousands) As of
      Jun 30,
    2025
    Mar 31,
    2025
    Dec 31,
    2024
    Sep 30,
    2024
    Jun 30,
    2024
    Nonperforming Assets:          
    Nonaccruing loans $ 137,999   $ 98,638   $ 110,811   $ 113,872   $ 97,795  
    Loans 90 days or more past due   3,860     95     2,464     5,351     240  
    Total nonperforming loans   141,859     98,733     113,275     119,223     98,035  
    Other real estate owned   11,750     8,654     8,673     9,136     7,366  
    Total nonperforming assets $ 153,609   $ 107,387   $ 121,948   $ 128,359   $ 105,401  
               
    Criticized Loans          
    Classified loans $ 333,626   $ 224,654   $ 241,708   $ 218,135   $ 191,595  
    Special Mention loans   159,931     95,778     130,882     163,804     138,343  
    Criticized loans(1) $ 493,557   $ 320,432   $ 372,590   $ 381,939   $ 329,938  
               
    Allowance for credit losses on loans $ 290,770   $ 203,931   $ 201,756   $ 200,378   $ 199,871  
    Net loan charge-offs (recoveries) $ 12,054   $ (125 ) $ 1,722   $ 703   $ 5,481  
    Annualized net loan charge-offs / average loans   0.26 %   %   0.05 %   0.02 %   0.18 %
    Nonperforming loans / total loans   0.76     0.76     0.88     0.94     0.78  
    Nonperforming assets / total assets   0.58     0.59     0.68     0.71     0.60  
    Allowance for credit losses on loans / total loans   1.57     1.56     1.57     1.59     1.59  
    Allowance for credit losses on loans / nonperforming loans   204.97     206.55     178.11     168.07     203.88  
    Criticized loans / total loans   2.66     2.45     2.89     3.02     2.62  

    (1) Criticized loans include classified and Special Mention loans.

    CONFERENCE CALL INFORMATION:
    A live audio webcast of a conference call with analysts will be available beginning at 10:00 AM Eastern Time (9:00 AM Central Time) on Wednesday, July 23, 2025.

    The webcast is accessible through Renasant’s investor relations website at www.renasant.com or https://event.choruscall.com/mediaframe/webcast.html?webcastid=gtM01rRI. To access the conference via telephone, dial 1-877-513-1143 in the United States and request the Renasant Corporation 2025 Second Quarter Earnings Webcast and Conference Call. International participants should dial 1-412-902-4145 to access the conference call.

    The webcast will be archived on www.renasant.com after the call and will remain accessible for one year. A replay can be accessed via telephone by dialing 1-877-344-7529 in the United States and entering conference number 6698526 or by dialing 1-412-317-0088 internationally and entering the same conference number. Telephone replay access is available until August 6, 2025.

    ABOUT RENASANT CORPORATION:
    Renasant Corporation is the parent of Renasant Bank, a 121-year-old financial services institution. Renasant has assets of approximately $26.6 billion and operates 300 banking, lending, mortgage and wealth management offices throughout the Southeast and also offers factoring and asset-based lending on a nationwide basis.

    CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:

    This press release may contain, or incorporate by reference, statements about Renasant Corporation that constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements preceded by, followed by or that otherwise include the words “believes,” “expects,” “projects,” “anticipates,” “intends,” “estimates,” “plans,” “potential,” “focus,” “possible,” “may increase,” “may fluctuate,” “will likely result,” and similar expressions, or future or conditional verbs such as “will,” “should,” “would” and “could,” are generally forward-looking in nature and not historical facts. Forward-looking statements include information about the Company’s future financial performance, business strategy, projected plans and objectives and are based on the current beliefs and expectations of management. The Company’s management believes these forward-looking statements are reasonable, but they are all inherently subject to significant business, economic and competitive risks and uncertainties, many of which are beyond the Company’s control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Actual results may differ from those indicated or implied in the forward-looking statements, and such differences may be material. Prospective investors are cautioned that any forward-looking statements are not guarantees of future performance and involve risks and uncertainties and, accordingly, investors should not place undue reliance on these forward-looking statements, which speak only as of the date they are made.

    Important factors currently known to management that could cause the Company’s actual results to differ materially from those in forward-looking statements include the following: (i) the Company’s ability to efficiently integrate acquisitions (including its recently-completed merger with The First into its operations, retain the customers of these businesses, grow the acquired operations and realize the cost savings expected from an acquisition to the extent and in the timeframe anticipated by management (including the possibility that such cost savings will not be realized when expected, or at all, as a result of the impact of, or challenges arising from, the integration of the acquired assets and assumed liabilities into the Company, potential adverse reactions or changes to business or employee relationships, or as a result of other unexpected factors or events); (ii) potential exposure to unknown or contingent risks and liabilities the Company has acquired, or may acquire, or target for acquisition, including in connection with its merger with The First; (iii) the effect of economic conditions and interest rates on a national, regional or international basis; (iv) timing and success of the implementation of changes in operations to achieve enhanced earnings or effect cost savings; (v) competitive pressures in the consumer finance, commercial finance, financial services, asset management, retail banking, factoring and mortgage lending and auto lending industries; (vi) the financial resources of, and products available from, competitors; (vii) changes in laws and regulations as well as changes in accounting standards; (viii) changes in governmental and regulatory policy, whether applicable specifically to financial institutions or impacting the United States generally (such as, for example, changes in trade policy); (ix) increased scrutiny by, and/or additional regulatory requirements of, regulatory agencies as a result of the Company’s merger with The First; (x) changes in the securities and foreign exchange markets; (xi) the Company’s potential growth, including its entrance or expansion into new markets, and the need for sufficient capital to support that growth; (xii) changes in the quality or composition of the Company’s loan or investment portfolios, including adverse developments in borrower industries or in the repayment ability of individual borrowers or issuers of investment securities, or the impact of interest rates on the value of the Company’s investment securities portfolio; (xiii) an insufficient allowance for credit losses as a result of inaccurate assumptions; (xiv) changes in the sources and costs of the capital the Company uses to make loans and otherwise fund the Company’s operations, due to deposit outflows, changes in the mix of deposits and the cost and availability of borrowings; (xv) general economic, market or business conditions, including the impact of inflation; (xvi) changes in demand for loan and deposit products and other financial services; (xvii) concentrations of credit or deposit exposure; (xviii) changes or the lack of changes in interest rates, yield curves and interest rate spread relationships; (xix) increased cybersecurity risk, including potential network breaches, business disruptions or financial losses; (xx) civil unrest, natural disasters, epidemics and other catastrophic events in the Company’s geographic area; (xxi) geopolitical conditions, including acts or threats of terrorism and actions taken by the United States or other governments in response to acts or threats of terrorism and/or military conflicts, which could impact business and economic conditions in the United States and abroad; (xxii) the impact, extent and timing of technological changes; and (xxiii) other circumstances, many of which are beyond management’s control.

    Management believes that the assumptions underlying the Company’s forward-looking statements are reasonable, but any of the assumptions could prove to be inaccurate. Investors are urged to carefully consider the risks described in the Company’s filings with the Securities and Exchange Commission (the “SEC”) from time to time, including its most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q, which are available at www.renasant.com and the SEC’s website at www.sec.gov.

    The Company undertakes no obligation, and specifically disclaims any obligation, to update or revise forward-looking statements, whether as a result of new information or to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time, except as required by federal securities laws.

    NON-GAAP FINANCIAL MEASURES:

    In addition to results presented in accordance with generally accepted accounting principles in the United States of America (“GAAP”), this press release and the presentation slides furnished to the SEC on the same Form 8-K as this release contain non-GAAP financial measures, namely, (i) adjusted loan yield, (ii) adjusted net interest income and margin, (iii) pre-provision net revenue (including on an as-adjusted basis), (iv) adjusted net income, (v) adjusted diluted earnings per share, (vi) tangible book value per share, (vii) the tangible common equity ratio, (viii) the adjusted return on average assets and on average equity and certain other performance ratios (namely, the ratio of pre-provision net revenue to average assets and the return on average tangible assets and on average tangible common equity (including each of the foregoing on an as-adjusted basis)), and (ix) the adjusted efficiency ratio.

    These non-GAAP financial measures adjust GAAP financial measures to exclude intangible assets, including related amortization, and/or certain gains or charges (such as, for the second quarter of 2025, merger and conversion expenses, the Day 1 acquisition provision for credit losses and unfunded commitments, and gain on sales of MSRs), with respect to which the Company is unable to accurately predict when these charges will be incurred or, when incurred, the amount thereof. Management uses these non-GAAP financial measures when evaluating capital utilization and adequacy. In addition, the Company believes that these non-GAAP financial measures facilitate the making of period-to-period comparisons and are meaningful indicators of its operating performance, particularly because these measures are widely used by industry analysts for companies with merger and acquisition activities. Also, because intangible assets such as goodwill and the core deposit intangible can vary extensively from company to company and, as to intangible assets, are excluded from the calculation of a financial institution’s regulatory capital, the Company believes that the presentation of this non-GAAP financial information allows readers to more easily compare the Company’s results to information provided in other regulatory reports and the results of other companies. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the tables below under the caption “Non-GAAP Reconciliations”.

    None of the non-GAAP financial information that the Company has included in this release or the accompanying presentation slides are intended to be considered in isolation or as a substitute for any measure prepared in accordance with GAAP. Investors should note that, because there are no standardized definitions for the calculations as well as the results, the Company’s calculations may not be comparable to similarly titled measures presented by other companies. Also, there may be limits in the usefulness of these measures to investors. As a result, the Company encourages readers to consider its consolidated financial statements in their entirety and not to rely on any single financial measure.

    Non-GAAP Reconciliations

    (Dollars in thousands, except per share data) Three Months Ended   Six Months Ended
      Jun 30,
    2025
    Mar 31,
    2025
    Dec 31,
    2024
    Sep 30,
    2024
    Jun 30,
    2024
      Jun 30,
    2025
    Jun 30,
    2024
    Adjusted Pre-Provision Net Revenue (“PPNR”)            
    Net income (GAAP) $ 1,018   $ 41,518   $ 44,747   $ 72,455   $ 38,846     $ 42,536   $ 78,255  
    Income taxes   1,649     10,448     5,006     24,924     9,666       12,097     19,578  
    Provision for credit losses (including unfunded commitments)   81,322     4,750     2,600     935     3,300       86,072     5,738  
    Pre-provision net revenue (non-GAAP) $ 83,989   $ 56,716   $ 52,353   $ 98,314   $ 51,812     $ 140,705   $ 103,571  
    Merger and conversion expense   20,479     791     2,076     11,273           21,270      
    Gain on extinguishment of debt                             (56 )
    Gain on sales of MSR   (1,467 )       (252 )             (1,467 )   (3,472 )
    Gain on sale of insurance agency               (53,349 )              
    Adjusted pre-provision net revenue (non-GAAP) $ 103,001   $ 57,507   $ 54,177   $ 56,238   $ 51,812     $ 160,508   $ 100,043  
                     
    Adjusted Net Income and Adjusted Tangible Net Income            
    Net income (GAAP) $ 1,018   $ 41,518   $ 44,747   $ 72,455   $ 38,846     $ 42,536   $ 78,255  
    Amortization of intangibles   8,884     1,080     1,133     1,160     1,186       9,964     2,398  
    Tax effect of adjustments noted above(1)   (2,212 )   (270 )   (283 )   (296 )   (233 )     (2,481 )   (470 )
    Tangible net income (non-GAAP) $ 7,690   $ 42,328   $ 45,597   $ 73,319   $ 39,799     $ 50,019   $ 80,183  
                     
    Net income (GAAP) $ 1,018   $ 41,518   $ 44,747   $ 72,455   $ 38,846     $ 42,536   $ 78,255  
    Merger and conversion expense   20,479     791     2,076     11,273           21,270      
    Day 1 acquisition provision for loan losses   62,190                       62,190      
    Day 1 acquisition provision for unfunded commitments   4,422                       4,422      
    Gain on extinguishment of debt                             (56 )
    Gain on sales of MSR   (1,467 )       (252 )             (1,467 )   (3,472 )
    Gain on sale of insurance agency               (53,349 )              
    Tax effect of adjustments noted above(1)   (20,765 )   (198 )   (113 )   12,581           (20,964 )   694  
    Adjusted net income (non-GAAP) $ 65,877   $ 42,111   $ 46,458   $ 42,960   $ 38,846     $ 107,987   $ 75,421  
    Amortization of intangibles   8,884     1,080     1,133     1,160     1,186       9,964     2,398  
    Tax effect of adjustments noted above(1)   (2,212 )   (270 )   (283 )   (296 )   (233 )     (2,481 )   (470 )
    Adjusted tangible net income (non-GAAP) $ 72,549   $ 42,921   $ 47,308   $ 43,824   $ 39,799     $ 115,470   $ 77,349  
    Tangible Assets and Tangible Shareholders’ Equity            
    Average shareholders’ equity (GAAP) $ 3,745,051   $ 2,692,681   $ 2,656,885   $ 2,553,586   $ 2,337,731     $ 3,221,773   $ 2,326,006  
    Average intangible assets   (1,589,490 )   (1,002,511 )   (1,003,551 )   (1,004,701 )   (1,008,638 )     (1,297,622 )   (1,009,232 )
    Average tangible shareholders’ equity (non-GAAP) $ 2,155,561   $ 1,690,170   $ 1,653,334   $ 1,548,885   $ 1,329,093     $ 1,924,151   $ 1,316,774  
                     
    Average assets (GAAP) $ 26,182,865   $ 17,989,636   $ 17,943,148   $ 17,681,664   $ 17,371,369     $ 22,108,884   $ 17,290,131  
    Average intangible assets   (1,589,490 )   (1,002,511 )   (1,003,551 )   (1,004,701 )   (1,008,638 )     (1,297,622 )   (1,009,232 )
    Average tangible assets (non-GAAP) $ 24,593,375   $ 16,987,125   $ 16,939,597   $ 16,676,963   $ 16,362,731     $ 20,811,262   $ 16,280,899  
                     
    Shareholders’ equity (GAAP) $ 3,778,854   $ 2,727,105   $ 2,678,318   $ 2,658,078   $ 2,354,701     $ 3,778,854   $ 2,354,701  
    Intangible assets   (1,583,533 )   (1,001,923 )   (1,003,003 )   (1,004,136 )   (1,008,062 )     (1,583,533 )   (1,008,062 )
    Tangible shareholders’ equity (non-GAAP) $ 2,195,321   $ 1,725,182   $ 1,675,315   $ 1,653,942   $ 1,346,639     $ 2,195,321   $ 1,346,639  
                     
    Total assets (GAAP) $ 26,624,975   $ 18,271,381   $ 18,034,868   $ 17,958,840   $ 17,510,391     $ 26,624,975   $ 17,510,391  
    Intangible assets   (1,583,533 )   (1,001,923 )   (1,003,003 )   (1,004,136 )   (1,008,062 )     (1,583,533 )   (1,008,062 )
    Total tangible assets (non-GAAP) $ 25,041,442   $ 17,269,458   $ 17,031,865   $ 16,954,704   $ 16,502,329     $ 25,041,442   $ 16,502,329  
                     
    Adjusted Performance Ratios                
    Return on average assets (GAAP)   0.02 %   0.94 %   0.99 %   1.63 %   0.90 %     0.39 %   0.91 %
    Adjusted return on average assets (non-GAAP)   1.01     0.95     1.03     0.97     0.90       0.98     0.88  
    Return on average tangible assets (non-GAAP)   0.13     1.01     1.07     1.75     0.98       0.48     0.99  
    Pre-provision net revenue to average assets (non-GAAP)   1.29     1.28     1.16     2.21     1.20       1.28     1.20  
    Adjusted pre-provision net revenue to average assets (non-GAAP)   1.58     1.30     1.20     1.27     1.20       1.46     1.16  
    Adjusted return on average tangible assets (non-GAAP)   1.18     1.02     1.11     1.05     0.98       1.12     0.96  
    Return on average equity (GAAP)   0.11     6.25     6.70     11.29     6.68       2.66     6.77  
    Adjusted return on average equity (non-GAAP)   7.06     6.34     6.96     6.69     6.68       6.76     6.52  
    Return on average tangible equity (non-GAAP)   1.43     10.16     10.97     18.83     12.04       5.24     12.25  
    Adjusted return on average tangible equity (non-GAAP)   13.50     10.30     11.38     11.26     12.04       12.10     11.81  
                     
    Adjusted Diluted Earnings Per Share            
    Average diluted shares outstanding   95,136,160     64,028,025     64,056,303     61,632,448     56,684,626       79,671,775     56,607,947  
                     
    Diluted earnings per share (GAAP) $ 0.01   $ 0.65   $ 0.70   $ 1.18   $ 0.69     $ 0.53   $ 1.38  
    Adjusted diluted earnings per share (non-GAAP) $ 0.69   $ 0.66   $ 0.73   $ 0.70   $ 0.69     $ 1.36   $ 1.33  
                     
    Tangible Book Value Per Share                
    Shares outstanding   95,019,311     63,739,467     63,565,690     63,564,028     56,367,924       95,019,311     56,367,924  
                     
    Book value per share (GAAP) $ 39.77   $ 42.79   $ 42.13   $ 41.82   $ 41.77     $ 39.77   $ 41.77  
    Tangible book value per share (non-GAAP) $ 23.10   $ 27.07   $ 26.36   $ 26.02   $ 23.89     $ 23.10   $ 23.89  
                     
    Tangible Common Equity Ratio                
    Shareholders’ equity to assets (GAAP)   14.19 %   14.93 %   14.85 %   14.80 %   13.45 %     14.19 %   13.45 %
    Tangible common equity ratio (non-GAAP)   8.77 %   9.99 %   9.84 %   9.76 %   8.16 %     8.77 %   8.16 %
    Adjusted Efficiency Ratio                
    Net interest income (FTE) (GAAP) $ 222,717   $ 137,432   $ 135,502   $ 133,576   $ 127,598     $ 360,149   $ 253,448  
                     
    Total noninterest income (GAAP) $ 48,334   $ 36,395   $ 34,218   $ 89,299   $ 38,762     $ 84,729   $ 80,143  
    Gain on sales of MSR   (1,467 )       (252 )             (1,467 )   (3,472 )
    Gain on extinguishment of debt                             (56 )
    Gain on sale of insurance agency               (53,349 )              
    Total adjusted noninterest income (non-GAAP) $ 46,867   $ 36,395   $ 33,966   $ 35,950   $ 38,762     $ 83,262   $ 76,615  
                     
    Noninterest expense (GAAP) $ 183,204   $ 113,876   $ 114,747   $ 121,983   $ 111,976     $ 297,080   $ 224,888  
    Amortization of intangibles   (8,884 )   (1,080 )   (1,133 )   (1,160 )   (1,186 )     (9,964 )   (2,398 )
    Merger and conversion expense   (20,479 )   (791 )   (2,076 )   (11,273 )         (21,270 )    
    Total adjusted noninterest expense (non-GAAP) $ 153,841   $ 112,005   $ 111,538   $ 109,550   $ 110,790     $ 265,846   $ 222,490  
                     
    Efficiency ratio (GAAP)   67.59 %   65.51 %   67.61 %   54.73 %   67.31 %     66.78 %   67.41 %
    Adjusted efficiency ratio (non-GAAP)   57.07 %   64.43 %   65.82 %   64.62 %   66.60 %     59.95 %   67.41 %
                     
    Adjusted Net Interest Income and Adjusted Net Interest Margin            
    Net interest income (FTE) (GAAP) $ 222,717   $ 137,432   $ 135,502   $ 133,576   $ 127,598     $ 360,149   $ 253,448  
    Net interest income collected on problem loans   (2,779 )   (1,026 )   (151 )   (642 )   146       (3,805 )   23  
    Accretion recognized on purchased loans   (17,834 )   (558 )   (616 )   (1,089 )   (897 )     (18,392 )   (1,697 )
    Amortization recognized on purchased time deposits   4,396                       4,396      
    Amortization recognized on purchased long term borrowings   1,072                       1,072      
    Adjustments to net interest income $ (15,145 ) $ (1,584 ) $ (767 ) $ (1,731 ) $ (751 )   $ (16,729 ) $ (1,674 )
    Adjusted net interest income (FTE) (non-GAAP) $ 207,572   $ 135,848   $ 134,735   $ 131,845   $ 126,847     $ 343,420   $ 251,774  
                     
    Net interest margin (GAAP)   3.85 %   3.45 %   3.36 %   3.36 %   3.31 %     3.68 %   3.30 %
    Adjusted net interest margin (non-GAAP)   3.58 %   3.42 %   3.34 %   3.32 %   3.29 %     3.51 %   3.28 %
                     
    Adjusted Loan Yield                
    Loan interest income (FTE) (GAAP) $ 304,834   $ 199,504   $ 201,562   $ 204,935   $ 200,670     $ 504,338   $ 395,310  
    Net interest income collected on problem loans   (2,779 )   (1,026 )   (151 )   (642 )   146       (3,805 )   23  
    Accretion recognized on purchased loans   (17,834 )   (558 )   (616 )   (1,089 )   (897 )     (18,392 )   (1,697 )
    Adjusted loan interest income (FTE) (non-GAAP) $ 284,221   $ 197,920   $ 200,795   $ 203,204   $ 199,919     $ 482,141   $ 393,636  
                     
    Loan yield (GAAP)   6.63 %   6.24 %   6.29 %   6.47 %   6.41 %     6.47 %   6.35 %
    Adjusted loan yield (non-GAAP)   6.18 %   6.19 %   6.27 %   6.41 %   6.38 %     6.18 %   6.32 %

    (1) Tax effect is calculated based on the respective legal entity’s appropriate federal and state tax rates (as applicable) for the period, and includes the estimated impact of both current and deferred tax expense.

           
    Contacts: For Media:   For Financials:
      John S. Oxford   James C. Mabry IV
      Senior Vice President   Executive Vice President
      Chief Marketing Officer   Chief Financial Officer
      (662) 680-1219   (662) 680-1281

    The MIL Network

  • MIL-OSI: FS Bancorp, Inc. Reports Second Quarter Net Income of $7.7 Million or $0.99 Per Diluted Share and Declares 50th Consecutive Quarterly Cash Dividend in Addition to a Special Dividend 

    Source: GlobeNewswire (MIL-OSI)

    MOUNTLAKE TERRACE, Wash., July 22, 2025 (GLOBE NEWSWIRE) — FS Bancorp, Inc. (NASDAQ: FSBW) (the “Company”), the holding company for 1st Security Bank of Washington (the “Bank”) today reported 2025 second quarter net income of $7.7 million, or $0.99 per diluted share, compared to $9.0 million, or $1.13 per diluted share, for the comparable quarter one year ago. For the six months ended June 30, 2025, net income was $15.7 million, or $1.99 per diluted share, compared to net income of $17.4 million, or $2.20 per diluted share, for the comparable six-month period in 2024.

    “We are proud of the balance sheet growth this quarter driven by solid loan demand. Additionally, our share repurchase activity reflects our continued confidence and commitment to delivering long-term value to our shareholders,” stated Phillip Whittington, CFO.

    “We are pleased to announce that our Board of Directors has approved our 50th consecutive quarterly cash dividend of $0.28 per common share, demonstrating our continued commitment to delivering value to our shareholders. In recognition of this milestone, the Board also approved a special dividend of $0.22 per common share. Both dividends will be paid on August 21, 2025, to shareholders of record as of August 7, 2025,” noted Matthew Mullet, President.

    2025 Second Quarter Highlights

    • Net income was $7.7 million for the second quarter of 2025, compared to $8.0 million for the previous quarter, and $9.0 million for the comparable quarter one year ago;
    • Total deposits decreased $61.8 million, or 2.4%, to $2.55 billion at June 30, 2025, primarily due to a decrease of $59.1 million in brokered deposits, compared to $2.62 billion at March 31, 2025, and increased $170.6 million, or 7.2%, from $2.38 billion at June 30, 2024.  Noninterest-bearing deposits were $654.1 million at June 30, 2025, $676.7 million at March 31, 2025, and $623.3 million at June 30, 2024;
    • Borrowings increased $165.5 million, or 240.5% to $234.3 million at June 30, 2025, compared to $68.8 million at March 31, 2025, and increased $52.4 million, or 28.8%, from $181.9 million at June 30, 2024;
    • Loans receivable, net increased $81.2 million, or 3.2%, to $2.58 billion at June 30, 2025, compared to $2.50 billion at March 31, 2025, and increased $125.1 million, or 5.1%, from $2.46 billion at June 30, 2024;
    • Consumer loans were $606.3 million at June 30, 2025, a decrease of $2.6 million, or 0.4%, from $608.9 million in the previous quarter, and a decrease of $35.4 million, or 5.5%, from $641.7 million in the comparable quarter one year ago. During the three months ended June 30, 2025, consumer loan originations included 82.5% of home improvement loans originated with a Fair Isaac Corporation (“FICO”) score above 720;
    • Repurchased 132,282 shares of the Company’s common stock in the second quarter of 2025 at an average price of $38.92 per share with $725,000 remaining for future purchases under the existing share repurchase plan at June 30, 2025. In addition, as previously announced on July 9, 2025, the Board approved a new share repurchase plan authorizing the repurchase of up to $5.0 million in shares of the Company’s outstanding common stock;
    • Book value per share increased $0.43 to $39.55 at June 30, 2025, compared to $39.12 at March 31, 2025, and increased $2.40 from $37.15 at June 30, 2024.  Tangible book value per share (non-GAAP financial measure) increased $0.50 to $37.46 at June 30, 2025, compared to $36.96 at March 31, 2025, and increased $2.80 from $34.66 at June 30, 2024. See, “Non-GAAP Financial Measures;”
    • Segment reporting in the second quarter of 2025 reflected net income of $7.4 million for the Commercial and Consumer Banking segment and $351,000 for the Home Lending segment, compared to net income of $7.8 million and $242,000 in the prior quarter, and net income of $8.0 million and $1.0 million in the second quarter of 2024, respectively; and
    • Regulatory capital ratios at the Bank were 14.1% for total risk-based capital and 11.2% for Tier 1 leverage capital at June 30, 2025, compared to 14.4% for total risk-based capital and 11.3% for Tier 1 leverage capital at March 31, 2025.

    Segment Reporting

    The Company operates through two reportable segments: Commercial and Consumer Banking and Home Lending. The Commercial and Consumer Banking segment provides diversified financial products and services to our commercial and consumer customers. These products and services include deposit products; residential, consumer, business and commercial real estate lending and cash management services. This segment also manages the Bank’s investment portfolio and other assets. The Home Lending segment originates one-to-four-family residential mortgage loans primarily for sale in the secondary markets as well as loans held for investment.

    The tables below provide a summary of segment reporting at or for the three and six months ended June 30, 2025 and 2024 (dollars in thousands):

        At or For the Three Months Ended June 30, 2025  
    Condensed income statement:   Commercial and Consumer Banking     Home Lending     Total  
    Net interest income(1)   $ 29,179     $ 2,933     $ 32,112  
    Provision for credit losses     (1,849 )     (172 )     (2,021 )
    Noninterest income(2)     2,297       2,873       5,170  
    Noninterest expense(3)     (20,313 )     (5,189 )     (25,502 )
    Income before provision for income taxes     9,314       445       9,759  
    Provision for income taxes     (1,937 )     (94 )     (2,031 )
    Net income   $ 7,377     $ 351     $ 7,728  
    Total average assets for period ended   $ 2,466,917     $ 649,443     $ 3,116,360  
    Full-time employees (“FTEs”)     452       115       567  
        At or Three Months Ended June 30, 2024
    Condensed income statement:   Commercial and Consumer Banking   Home Lending   Total
    Net interest income(1)   $ 28,051     $ 2,350     $ 30,401  
    (Provision) recovery for credit losses     (1,214 )     137       (1,077 )
    Noninterest income(2)     2,269       3,599       5,868  
    Noninterest expense(3)     (19,043 )     (4,814 )     (23,857 )
    Income before provision for income taxes     10,063       1,272       11,335  
    Provision for income taxes     (2,113 )     (263 )     (2,376 )
    Net income   $ 7,950     $ 1,009     $ 8,959  
    Total average assets for period ended   $ 2,359,741     $ 588,090     $ 2,947,831  
    FTEs     450       121       571  
        At or For the Six Months Ended June 30, 2025  
    Condensed income statement:   Commercial and Consumer Banking     Home Lending     Total  
    Net interest income(1)   $ 57,586     $ 5,507     $ 63,093  
    Provision for credit losses     (3,170 )     (443 )     (3,613 )
    Noninterest income(2)     4,542       5,754       10,296  
    Noninterest expense(3)     (40,489 )     (10,067 )     (50,556 )
    Income before provision for income taxes     18,469       751       19,220  
    Provision for income taxes     (3,314 )     (157 )     (3,471 )
    Net income   $ 15,155     $ 594     $ 15,749  
    Total average assets for period ended   $ 2,440,654     $ 634,013     $ 3,074,667  
    FTEs     452       115       567  
        At or For the Six Months Ended June 30, 2024  
    Condensed income statement:   Commercial and Consumer Banking     Home Lending     Total  
    Net interest income(1)   $ 56,137     $ 4,610     $ 60,747  
    Provision for credit losses     (2,465 )     (11 )     (2,476 )
    Noninterest income(2)     4,662       6,317       10,979  
    Noninterest expense(3)     (38,051 )     (9,335 )     (47,386 )
    Income before provision for income taxes     20,283       1,581       21,864  
    Provision for income taxes     (4,182 )     (326 )     (4,508 )
    Net income   $ 16,101     $ 1,255     $ 17,356  
    Total average assets for period ended   $ 2,380,803     $ 572,386     $ 2,953,189  
    FTEs     450       121       571  

    __________________________

    (1)   Net interest income is the difference between interest earned on assets and the cost of liabilities to fund those assets. Interest earned includes actual interest earned on segment assets and, if the segment has excess liabilities, interest credits for providing funding to the other segment. The cost of liabilities includes interest expense on segment liabilities and, if the segment does not have enough liabilities to fund its assets, a funding charge based on the cost of assigned liabilities to fund segment assets.
    (2)   Noninterest income includes activity from certain residential mortgage loans that were initially originated for sale and measured at fair value and subsequently transferred to loans held for investment. Gains and losses from changes in fair value for these loans are reported in earnings as a component of noninterest income. For the three and six months ended June 30, 2025, the Company recorded a net increase in fair value of $3,000 and $266,000, respectively, compared to a net increase in fair value of $184,000 and $186,000, respectively for the three and six months ended June 30, 2024. As of June 30, 2025 and 2024, there were $13.2 million and $13.9 million, respectively, in residential mortgage loans recorded at fair value as they were previously transferred from loans held for sale to loans held for investment.
    (3)   Noninterest expense includes allocated overhead expense from general corporate activities. Allocation is determined based on a combination of segment assets and FTEs.  For the three and six months ended June 30, 2025 and 2024, the Home Lending segment included allocated overhead expenses of $1.8 million and $3.7 million, compared to $1.5 million and $3.0 million, respectively.
         

    Asset Summary

    The following table presents the components and changes in total assets as of the dates indicated.

    ASSETS                           Linked Quarter     Prior Year  
    (Dollars in thousands)   June 30,     March 31,     June 30,     Change     Quarter Change  
        2025     2025     2024     $     %     $     %  
    Cash and due from banks   $ 15,168     $ 18,657     $ 20,005     $ (3,489 )     (19 )%   $ (4,837 )     (24 )%
    Interest-bearing deposits at other financial institutions     18,027       44,084       13,006       (26,057 )     (59 )     5,021       39  
    Total cash and cash equivalents     33,195       62,741       33,011       (29,546 )     (47 )     184       1  
    Certificates of deposit at other financial institutions     248       1,234       12,707       (986 )     (80 )     (12,459 )     (98 )
    Securities available-for-sale, at fair value     302,692       291,133       221,182       11,559       4       81,510       37  
    Securities held-to-maturity, net     31,562       10,434       8,455       21,128       202       23,107       273  
    Loans held for sale, at fair value     53,630       31,038       53,811       22,592       73       (181 )      
    Loans receivable, net     2,582,272       2,501,117       2,457,184       81,155       3       125,088       5  
    Accrued interest receivable     14,270       14,406       13,792       (136 )     (1 )     478       3  
    Premises and equipment, net     30,098       29,451       29,999       647       2       99        
    Operating lease right-of-use     7,969       4,979       5,784       2,990       60       2,185       38  
    Federal Home Loan Bank stock, at cost     11,579       5,256       10,322       6,323       120       1,257       12  
    Deferred tax asset, net     7,782       7,009       4,590       773       11       3,192       70  
    Bank owned life insurance (“BOLI”), net     38,262       38,778       38,201       (516 )     (1 )     61        
    MSRs, held at the lower of cost or fair value     8,652       8,926       9,352       (274 )     (3 )     (700 )     (7 )
    Goodwill     3,592       3,592       3,592                          
    Core deposit intangible, net     12,071       12,879       15,483       (808 )     (6 )     (3,412 )     (22 )
    Other assets     38,139       43,105       23,912       (4,966 )     (12 )     14,227       59  
    TOTAL ASSETS   $ 3,176,013     $ 3,066,078     $ 2,941,377     $ 109,935       4 %   $ 234,636       8 %
                                                             

    The increase in total assets reflects the Company’s continued focus on balance sheet growth through loan origination and selective investment activity, funded by a combination of on-balance sheet liquidity and borrowings.

                                                                Prior  
    LOAN PORTFOLIO                                                   Linked     Year  
    (Dollars in thousands)                                                   Quarter     Quarter  
    COMMERCIAL REAL ESTATE   June 30, 2025     March 31, 2025     June 30, 2024     $     $  
    (“CRE”) LOANS   Amount     Percent     Amount     Percent     Amount     Percent     Change     Change  
    CRE owner occupied   $ 180,250       6.8 %   $ 164,911       6.5 %   $ 177,723       7.1 %   $ 15,339     $ 2,527  
    CRE non-owner occupied     171,979       6.6       174,188       6.9       181,681       7.3       (2,209 )     (9,702 )
    Commercial and speculative construction and development     300,723       11.5       288,978       11.4       220,793       8.9       11,745       79,930  
    Multi-family     263,185       10.1       244,940       9.7       239,675       9.6       18,245       23,510  
    Total CRE loans     916,137       35.0       873,017       34.5       819,872       32.9       43,120       96,265  
                                                                     
    RESIDENTIAL REAL ESTATE LOANS                                                                
    One-to-four-family (excludes HFS)     639,881       24.4       637,299       25.2       588,966       23.7       2,582       50,915  
    Home equity     85,613       3.3       73,846       2.9       73,749       3.0       11,767       11,864  
    Residential custom construction     54,024       2.1       48,810       1.9       53,416       2.1       5,214       608  
    Total residential real estate loans     779,518       29.8       759,955       30.0       716,131       28.8       19,563       63,387  
                                                                     
    CONSUMER LOANS                                                                
    Indirect home improvement     530,375       20.3       532,038       21.0       563,621       22.6       (1,663 )     (33,246 )
    Marine     72,765       2.8       73,737       2.9       74,627       3.0       (972 )     (1,862 )
    Other consumer     3,151       0.1       3,118       0.1       3,440       0.1       33       (289 )
    Total consumer loans     606,291       23.2       608,893       24.0       641,688       25.7       (2,602 )     (35,397 )
                                                                     
    COMMERCIAL BUSINESS LOANS                                                                
    Commercial and industrial (“C&I”)     294,563       11.3       274,956       10.9       285,183       11.6       19,607       9,380  
    Warehouse lending     17,952       0.7       15,949       0.6       25,548       1.0       2,003       (7,596 )
    Total commercial business loans     312,515       12.0       290,905       11.5       310,731       12.6       21,610       1,784  
    Total loans receivable, gross     2,614,461       100.0 %     2,532,770       100.0 %     2,488,422       100.0 %     81,691       126,039  
                                                                     
    Allowance for credit losses on loans     (32,189 )             (31,653 )             (31,238 )             (536 )     (951 )
    Total loans receivable, net   $ 2,582,272             $ 2,501,117             $ 2,457,184             $ 81,155     $ 125,088  
                                                                     

    The composition of CRE loans at the dates indicated were as follows:

    (Dollars in thousands)   June 30, 2025     March 31, 2025     June 30, 2024  
    CRE by Type:   Amount     Amount     Amount  
    CRE non-owner occupied:                        
    Office   $ 39,141     $ 39,406     $ 41,380  
    Retail     38,652       35,520       37,507  
    Hospitality/restaurant     26,489       27,377       28,314  
    Self-storage     19,075       19,092       19,141  
    Mixed use     18,387       18,868       18,062  
    Industrial     14,444       15,033       17,163  
    Senior housing/assisted living     7,448       7,506       7,675  
    Other     3,670       6,579       6,847  
    Land     2,206       2,314       3,021  
    Education/worship     2,467       2,493       2,571  
    Total CRE non-owner occupied     171,979       174,188       181,681  
    CRE owner occupied:                        
    Industrial     77,419       66,618       63,970  
    Office     40,156       40,447       41,978  
    Retail     19,470       20,535       20,885  
    Other     9,483       8,529       8,354  
    Hospitality/restaurant     7,230       7,306       10,800  
    Automobile related     7,215       7,266       8,200  
    Mixed use     5,548       5,579       5,680  
    Agriculture     4,652       3,990       3,639  
    Education/worship     4,630       4,641       4,610  
    Car wash     4,447             9,607  
    Total CRE owner occupied     180,250       164,911       177,723  
    Total   $ 352,229     $ 339,099     $ 359,404  
                             

    The following table includes CRE loans repricing or maturing within the next two years, excluding loans that reprice simultaneously with changes to the prime rate:

                                                              Current
    (Dollars in                                                         Weighted
    thousands)   For the Quarter Ended       Average
    CRE by type:   Sep 30, 2025   Dec 31, 2025   Mar 31, 2026   Jun 30, 2026   Sep 30, 2026   Dec 31, 2026   Mar 31, 2027   Jun 30, 2027   Total   Rate
    Agriculture   $ 716   $ 314   $ 178   $ 265   $ 287   $   $   $   $ 1,760   6.28 %
    Apartment         13,679     1,128     13,788     9,747     7,062     4,117         49,521   4.96 %
    Hotel / hospitality     2,393         113     1,243             103         3,852   5.26 %
    Industrial         10,002     976     586     1,578         13,412     263     26,817   5.12 %
    Mixed use     241         7,101             379             7,721   8.14 %
    Office     15,015     6,055     515     1,629     554     7,695     2,857     1,213     35,533   5.50 %
    Other     1,921     240     884             1,485         3,515     8,045   4.80 %
    Retail     1,020         421     3,448         3,399     3,027     2,801     14,116   4.26 %
    Education/worship     1,314                 2,467                 3,781   5.18 %
    Senior housing and assisted living             2,142                     1,372     3,514   4.76 %
    Total   $ 22,620   $ 30,290   $ 13,458   $ 20,959   $ 14,633   $ 20,020   $ 23,516   $ 9,164   $ 154,660   5.22 %
                                                                 

    The composition of construction loans at the dates indicated were as follows:

    (Dollars in thousands)   June 30, 2025     March 31, 2025     June 30, 2024  
    Construction Types:   Amount     Percent     Amount     Percent     Amount     Percent  
    Commercial construction – retail   $ 8,447       2.4 %   $ 8,157       2.4 %   $ 8,698       3.2 %
    Commercial construction – office     9,083       2.6       6,487       1.9       4,737       1.7  
    Commercial construction – self storage     16,553       4.7       16,012       4.7       10,000       3.6  
    Commercial construction – hotel     3,673       1.0       402       0.1       7,807       2.8  
    Multi-family     23,119       6.5       31,275       9.3       30,960       11.3  
    Custom construction – single family residential and single family manufactured residential     45,570       12.8       41,143       12.2       46,106       16.8  
    Custom construction – land, lot and acquisition and development     8,454       2.4       7,667       2.3       7,310       2.7  
    Speculative residential construction – vertical     200,375       56.5       186,042       55.1       131,294       47.9  
    Speculative residential construction – land, lot and acquisition and development     39,473       11.1       40,603       12.0       27,297       10.0  
    Total   $ 354,747       100.0 %   $ 337,788       100.0 %   $ 274,209       100.0 %
                                                     

    Originations of one-to-four-family loans to purchase and refinance a home for the periods indicated were as follows:

    (Dollars in                                                 Prior Year  
    thousands)   For the Three Months Ended     Linked Quarter   Quarter  
        June 30, 2025     March 31, 2025     June 30, 2024     $   %   $     %  
        Amount   Percent     Amount   Percent     Amount   Percent     Change   Change   Change     Change  
    Purchase   $ 170,854   85.7 %   $ 120,719   83.0 %   $ 193,715   92.3 %   $ 50,135   41.5   $ (22,861 )   (11.8 )%
    Refinance     28,470   14.3       24,677   17.0       16,173   7.7       3,793   15.4     12,297     76.0 %
    Total   $ 199,324   100.0 %   $ 145,396   100.0 %   $ 209,888   100.0 %   $ 53,928   37.1   $ (10,564 )   (5.0 )%
    (Dollars in thousands)   For the Six Months Ended June 30,            
        2025     2024            
        Amount   Percent     Amount   Percent     $ Change   % Change  
    Purchase   $ 290,737   84.3 %   $ 329,292   90.5 %   $ (38,555 )   (11.7 ) %
    Refinance     53,983   15.7       34,545   9.5       19,438     56.3   %
    Total   $ 344,720   100.0 %   $ 363,837   100.0 %   $ (19,117 )   (5.3 ) %
                                             

    During the quarter ended June 30, 2025, the Company sold $127.1 million of one-to-four-family loans compared to $91.9 million during the previous quarter and $164.5 million during the same quarter one year ago. The increase in the volume of loans sold during the current quarter compared to the prior quarter was primarily due to seasonal factors, including the spring homebuying season. This increased demand for homes generally results in a higher volume of loan originations and, consequently, more loans available for sale. Gross margins on home loan sales decreased to 3.06% for the quarter ended June 30, 2025, compared to 3.26% in the previous quarter and increased from 2.96% in the same quarter one year ago. Gross margins are defined as the margin on loans sold (cash sales) without the impact of deferred costs.

    Liabilities and Equity Summary

    The following table summarizes the components and changes in deposits, borrowings, equity, and book value per common share at the dates indicated.

    (Dollars in thousands)                                                   Linked     Prior Year  
    Deposits   June 30, 2025     March 31, 2025     June 30, 2024     Quarter     Quarter  
    Transactional deposits:   Amount     Percent     Amount     Percent     Amount     Percent     $ Change     $ Change  
    Noninterest-bearing checking   $ 643,573       25.2 %   $ 659,417       25.2 %   $ 613,137       25.7 %   $ (15,844 )   $ 30,436  
    Interest-bearing checking:                                                                
    Retail deposits     181,240       7.1       171,396       6.6       166,839       7.0       9,844       14,401  
    Brokered deposits     30,020       1.2       30,073       1.1                   (53 )     30,020  
    Total interest-bearing checking     211,260       8.3       201,469       7.7       166,839       7.0       9,791       44,421  
    Escrow accounts related to mortgages serviced(1)     10,496       0.4       17,289       0.7       10,212       0.4       (6,793 )     284  
    Subtotal     865,329       33.9       878,175       33.6       790,188       33.1       (12,846 )     75,141  
    Savings and money market:                                                                
    Savings     159,601       6.3       160,332       6.1       151,398       6.4       (731 )     8,203  
    Money market:                                                                
    Retail deposits     350,548       13.6       343,098       13.1       339,946       14.2       7,450       10,602  
    Brokered deposits     251       0.1       251             4,049       0.2             (3,798 )
    Total money market     350,799       13.7       343,349       13.1       343,995       14.4       7,450       6,804  
    Subtotal     510,400       20.0       503,681       19.2       495,393       20.8       6,719       15,007  
    Certificates of deposit:                                                                
    Retail CDs     891,355       34.9       881,630       33.7       823,866       34.6       9,725       67,489  
    Nonretail CDs:                                                                
    Online CDs     3,423       0.1       9,354       0.4       9,354       0.4       (5,931 )     (5,931 )
    Public CDs     2,114       0.1       2,440       0.1       2,983       0.1       (326 )     (869 )
    Brokered CDs     280,754       11.0       339,871       13.0       261,019       11.0       (59,117 )     19,735  
    Total nonretail CDs     286,291       11.2       351,665       13.5       273,356       11.5       (65,374 )     12,935  
    Subtotal     1,177,646       46.1       1,233,295       47.2       1,097,222       46.1       (55,649 )     80,424  
    Total deposits   $ 2,553,375       100.0 %   $ 2,615,151       100.0 %   $ 2,382,803       100.0 %   $ (61,776 )   $ 170,572  
    Borrowings(2)   $ 234,305             $ 68,805             $ 181,895             $ 165,500     $ 52,410  
    Equity   $ 297,203             $ 298,840             $ 284,026             $ (1,637 )   $ 13,177  
    Book value per common share   $ 39.55             $ 39.12             $ 37.15             $ 0.43     $ 2.40  

    __________________________

    (1)   Primarily noninterest-bearing accounts based on applicable state law.
    (2)   Comprised of FHLB advances and Federal Reserve Bank borrowings.
         

    At June 30, 2025, the Bank had uninsured deposits of approximately $677.2 million, compared to approximately $679.4 million at March 31, 2025, and $586.6 million at June 30, 2024.  The uninsured amounts are estimates based on the methodologies and assumptions used for the Bank’s regulatory reporting requirements.

    In reference to the table above, the linked quarter decrease in stockholders’ equity at June 30, 2025, compared to March 31, 2025, was primarily due to share repurchases of $5.1 million, cash dividends paid of $2.1 million, and $525,000 in equity award compensation, partially offset by net income of $7.7 million. Stockholders’ equity was also impacted by a decline in unrealized fair value on securities available for sale of $1.2 million, net of tax, and fair value and cash flow hedges of $1.6 million, net of tax, reflecting changes in market interest rates during the quarter, resulting in a $2.8 million decrease in accumulated other comprehensive loss, net of tax.

    The Bank is considered “well capitalized” under the capital requirement established by the Federal Deposit Insurance Corporation (“FDIC”) and the Company exceeded all regulatory capital requirements. At June 30, 2025, capital ratios presented for the Bank and the Company were as follows:

        At June 30, 2025
        Bank   Company
    Total risk-based capital (to risk-weighted assets)   14.07 %   14.16 %
    Tier 1 leverage capital (to average assets)   11.18 %   9.65 %
    CET 1 capital (to risk-weighted assets)   12.82 %   11.07 %
                 

    Credit Quality

    The following table summarizes the changes in the ACL on loans, nonperforming loans, and substandard loans at the dates indicated.

    ACL ON LOANS   June 30,     March 31,     June 30,     Linked     Prior Year  
    (Dollars in thousands)   2025     2025     2024     Quarter     Quarter  
        Amount     Amount     Amount     $ Change     $ Change  
    Beginning ACL balance   $ (31,653 )   $ (31,870 )   $ (31,479 )   $ 217     $ (174 )
    Provision     (1,715 )     (1,505 )     (1,001 )     (210 )     (714 )
    Charge-offs                                        
    Indirect     1,555       1,579       825       (24 )     730  
    Marine     43       20       157       23       (114 )
    Other     42       37       33       5       9  
    Commercial business           433       733       (433 )     (733 )
    Subtotal     1,640       2,069       1,748       (429 )     (108 )
    Recoveries                                        
    Indirect     (330 )     (340 )     (307 )     10       (23 )
    Marine     (54 )     (3 )     (110 )     (51 )     56  
    Other     (7 )     (4 )     (4 )     (3 )     (3 )
    Commercial business     (70 )           (85 )     (70 )     15  
    Subtotal     (461 )     (347 )     (506 )     (114 )     45  
    Ending ACL balance   $ (32,189 )   $ (31,653 )   $ (31,238 )   $ (536 )   $ (951 )
    NONPERFORMING LOANS   June 30,   March 31,   June 30,   Linked   Prior Year
    (Dollars in thousands)   2025   2025   2024   Quarter   Quarter
    CRE LOANS   Amount   Amount   Amount   $ Change   $ Change
    CRE   $ 2,046   $ 1,196   $ 1,116   $ 850     $ 930  
    Commercial and speculative construction and development     9,083     6,487     4,737     2,596       4,346  
    Total CRE loans     11,129     7,683     5,853     3,446       5,276  
                                   
    RESIDENTIAL REAL ESTATE LOANS                              
    One-to-four-family (excludes HFS)     1,809     1,134     170     675       1,639  
    Home equity     251     252     156     (1 )     95  
    Total residential real estate loans     2,060     1,386     326     674       1,734  
                                   
    CONSUMER LOANS                              
    Indirect home improvement     3,365     2,821     2,319     544       1,046  
    Marine     567     648     327     (81 )     240  
    Other consumer     13     1     6     12       7  
    Total consumer loans     3,945     3,470     2,652     475       1,293  
                                   
    COMMERCIAL BUSINESS LOANS                              
    C&I     1,862     1,932     2,575     (70 )     (713 )
    Total nonperforming loans   $ 18,996   $ 14,471   $ 11,406   $ 4,525     $ 7,590  
                                       

    The increase in nonaccrual loans during the period was partly driven by a single commercial construction loan, which remains in active development. Ongoing construction disbursements on this loan contributed to a $2.6 million increase from the prior quarter and a $4.3 million increase compared to the same period last year. Increases in consumer loan delinquencies also contributed to the overall rise in nonaccrual loans between the periods. 

    CRITICIZED LOANS   June 30,   March 31,   June 30,   Linked   Prior Year
    (Dollars in thousands)   2025   2025   2024   Quarter   Quarter
    CRE LOANS   Amount   Amount   Amount   $ Change   $ Change
    CRE   $ 2,046   $ 2,040   $ 3,926   $ 6     $ (1,880 )
    Commercial and speculative construction and development     9,083     6,487     4,737     2,596       4,346  
    Total CRE loans     11,129     8,527     8,663     2,602       2,466  
                                   
    RESIDENTIAL REAL ESTATE LOANS                              
    One-to-four-family (excludes HFS)     4,383     3,728     2,854     655       1,529  
    Home equity     251     252     156     (1 )     95  
    Total residential real estate loans     4,634     3,980     3,010     654       1,624  
                                   
    CONSUMER LOANS                              
    Indirect home improvement     3,365     2,821     2,319     544       1,046  
    Marine     567     649     327     (82 )     240  
    Other consumer     13     1     6     12       7  
    Total consumer loans     3,945     3,471     2,652     474       1,293  
                                   
    COMMERCIAL BUSINESS LOANS                              
    C&I     5,220     7,524     9,954     (2,304 )     (4,734 )
    Total criticized loans   $ 24,928   $ 23,502   $ 24,279   $ 1,426     $ 649  
                                       

    Operating Results

    Net interest income increased $1.7 million to $32.1 million for the three months ended June 30, 2025, from $30.4 million for the three months ended June 30, 2024, primarily due to an increase in total interest income of $2.8 million, partially offset by an increase in interest expense of $1.1 million. The $2.8 million increase in total interest income was primarily due to an increase of $2.6 million in interest income on loans receivable, including fees, primarily as a result of net loan growth. The $1.1 million increase in total interest expense was primarily the result of higher average balances of deposits and borrowings to fund asset growth.

    For the six months ended June 30, 2025, net interest income increased $2.3 million to $63.1 million, from $60.7 million for the six months ended June 30, 2024, with a $4.7 million increase in total interest income, partially offset by a $2.3 million increase in interest expense for the same reasons mentioned above. 

    NIM (annualized) increased one basis point to 4.30% for the three months ended June 30, 2025, from 4.29% for the same period in the prior year and increased four basis points from 4.27% to 4.31% for the six months ended June 30, 2025. The change in NIM for the three and six months ended June 30, 2025, compared to the same period in 2024, reflects the increased yields on interest-earning assets, as a result of loan growth and repricing activity. The improvement also reflects a favorable shift in the asset mix and disciplined management of deposit and funding costs. 

    The average total cost of funds, including noninterest-bearing checking, increased one basis point to 2.39% for the three months ended June 30, 2025, from 2.38% for the three months ended June 30, 2024. This increase was predominantly due to higher average balances in borrowings. The average cost of funds increased eight basis points to 2.38% for the six months ended June 30, 2025, from 2.30% for the six months ended June 30, 2024, primarily for the same reason noted above as well as growth in the deposit mix from the prior year. 

    For the three and six months ended June 30, 2025, the provision for credit losses on loans was $2.0 million and $3.6 million, compared to $1.1 million and $2.5 million for the three and six months ended June 30, 2024, respectively. The provision for credit losses on loans reflects net loan growth and an increase in net charge-off activity.

    During the three months ended June 30, 2025, net charge-offs decreased $63,000 to $1.2 million, compared to the same period the prior year. During the six months ended June 30, 2025, net charge-offs increased $184,000, to $2.9 million, compared to $2.7 million during the six months ended June 30, 2024. The increase was primarily due to a $1.2 million increase in net charge-offs on indirect home improvement loans, partially offset by a $693,000 decrease in net charge-offs on commercial business loans and a $271,000 decrease in net charge-offs on marine loans. Management attributes the increase in net charge-offs for the current six month period to continued volatile economic conditions.

    Total noninterest income decreased $698,000 to $5.2 million for the three months ended June 30, 2025, from $5.9 million for the three months ended June 30, 2024. The decrease primarily reflects a $491,000 decrease in gain on sale of loans, primarily due to a decrease of loans available for sale, a $156,000 decrease in service charges and fee income and a $151,000 decrease in gain on sale of investment securities due to no sales activity in the current quarter compared to the same period last year. Total noninterest income decreased $683,000, to $10.3 million, for the six months ended June 30, 2025, from $11.0 million for the six months ended June 30, 2024. This decrease was primarily the result of a $629,000 decrease in gain on sale of loans, a $464,000 decrease in service charges and fee income, and a net decrease of $368,000 from no activity in gain on sales of MSRs and loss on sale of investment securities compared to an $8.2 million net gain on sale of MSRs, offset by the $7.8 million loss on sale of investment securities that occurred in the first half of 2024. These decreases in total noninterest income were partially offset by a $755,000 increase in other noninterest income as result of sales of nonmarketable equity securities at a $312,000 gain, bank owned life insurance proceeds of $195,000, and a $101,000 increase in brokered loans fees.

    Total noninterest expense was $25.5 million for the three months ended June 30, 2025, compared to $23.9 million for the three months ended June 30, 2024.  The $1.6 million increase was primarily due to a $710,000 increase in salaries and benefits, primarily due to competitive wage adjustments, a $305,000 increase in operations expense, and a $267,000 increase in professional and board fees.  Total noninterest expense increased $3.2 million to $50.6 million for the six months ended June 30, 2025, compared to $47.4 million for the six months ended June 30, 2024. Increases during the six month period ended June 30, 2025, compared to the same period last year included $1.7 million in salaries and benefits, $742,000 in operations expense, and $531,000 in professional and board fees.

    About FS Bancorp

    FS Bancorp, Inc., a Washington corporation, is the holding company for 1st Security Bank of Washington. The Bank offers a range of loan and deposit services primarily to small- and middle-market businesses and individuals in Washington and Oregon.  It operates through 27 bank branches, one headquarters office that provides loans and deposit services, and loan production offices in various suburban communities in the greater Puget Sound area, the Kennewick-Pasco-Richland metropolitan area of Washington, also known as the Tri-Cities, and in Vancouver, Washington. Additionally, the Bank services home mortgage customers across the Northwest, focusing on markets in Washington State including the Puget Sound, Tri-Cities, and Vancouver.

    Forward-Looking Statements

    When used in this press release and in other documents filed with or furnished to the Securities and Exchange Commission (the “SEC”), in press releases or other public stockholder communications, or in oral statements made with the approval of an authorized executive officer, the words or phrases “believe,” “will,” “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimate,” “project,” “plans,” or similar expressions are intended to identify “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not historical facts but instead represent management’s current expectations and forecasts regarding future events, many of which are inherently uncertain and outside of our control. Actual results may differ, possibly materially from those currently expected or projected in these forward-looking statements. Factors that could cause the Company’s actual results to differ materially from those described in the forward-looking statements, include but are not limited to, the following: adverse impacts to economic conditions in the Company’s local market areas, other markets where the Company has lending relationships, or other aspects of the Company’s business operations or financial markets, including, without limitation, as a result of employment levels; labor shortages, the effects of inflation, recessionary pressures or slowing economic growth; changes in interest rates and the duration of such changes, including actions by the Federal Reserve, which could adversely affect our revenues and expenses, the values of our assets and obligations, and the availability and cost of capital and liquidity; the impact of inflation and monetary and fiscal policy responses thereto and their impact on consumer and business behavior; geopolitical developments and international conflicts including but not limited to tensions or instability in Eastern Europe, the Middle east, and Asia, or the imposition of new or increased tariffs and trade restrictions, which may disrupt financial markets, global supply chains, energy prices, or economic activity in specific industry sectors; the effects of a federal government shutdown, debt ceiling standoff, or other fiscal policy uncertainty; increased competitive pressures, including repricing and competitors’ pricing initiatives, and their impact on our market position, loan, and deposit products; adverse changes in the securities markets, the Company’s ability to execute its plans to grow its residential construction lending, mortgage banking, and warehouse lending operations, and the geographic expansion of its indirect home improvement lending; challenges arising from expanding into new geographic markets, products, or services; secondary market conditions for loans and the Company’s ability to originate loans for sale and sell loans in the secondary market; volatility in the mortgage industry; fluctuations in deposits; liquidity issues, including our ability to borrow funds or raise additional capital, if necessary; the impact of bank failures or adverse developments at other banks and related negative press about the banking industry in general on investor and depositor sentiment; the ability to adapt to rapid technological changes, including advancements in artificial intelligence, digital banking, and cybersecurity; legislation or regulatory changes, including but not limited to shifts in capital requirements, banking regulation, tax laws, or consumer protection laws; vulnerabilities  in information systems or third-party service providers, including disruptions, breaches, or attacks; environmental, social and governance goals; the effects of climate change, severe weather events, natural disasters, pandemics, epidemics and other public health crises, acts of war or terrorism, domestic political unrest and other external events on our business; and other factors described in the Company’s latest Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and other reports filed with or furnished to the SEC which are available on its website at www.fsbwa.com and on the SEC’s website at www.sec.gov.

    Any of the forward-looking statements that the Company makes in this press release and in the other public statements are based upon management’s beliefs and assumptions at the time they are made and may turn out to be incorrect because of the inaccurate assumptions the Company might make, because of the factors illustrated above or because of other factors that cannot be foreseen by the Company. Therefore, these factors should be considered in evaluating the forward-looking statements, and undue reliance should not be placed on such statements. The Company does not undertake and specifically disclaims any obligation to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.

     
    FS BANCORP, INC. AND SUBSIDIARY
    CONSOLIDATED BALANCE SHEETS
    (Dollars in thousands) (Unaudited)
                                         
                                Linked     Prior Year  
        June 30,     March 31,     June 30,     Quarter     Quarter  
    ASSETS   2025     2025     2024     % Change     % Change  
    Cash and due from banks   $ 15,168     $ 18,657     $ 20,005       (19 )     (24 )
    Interest-bearing deposits at other financial institutions     18,027       44,084       13,006       (59 )     39  
    Total cash and cash equivalents     33,195       62,741       33,011       (47 )     1  
    Certificates of deposit at other financial institutions     248       1,234       12,707       (80 )     (98 )
    Securities available-for-sale, at fair value     302,692       291,133       221,182       4       37  
    Securities held-to-maturity, net     31,562       10,434       8,455       202       273  
    Loans held for sale, at fair value     53,630       31,038       53,811       73        
    Loans receivable, net     2,582,272       2,501,117       2,457,184       3       5  
    Accrued interest receivable     14,270       14,406       13,792       (1 )     3  
    Premises and equipment, net     30,098       29,451       29,999       2        
    Operating lease right-of-use     7,969       4,979       5,784       60       38  
    Federal Home Loan Bank stock, at cost     11,579       5,256       10,322       120       12  
    Deferred tax asset, net     7,782       7,009       4,590       11       70  
    Bank owned life insurance (“BOLI”), net     38,262       38,778       38,201       (1 )      
    MSRs, held at the lower of cost or fair value     8,652       8,926       9,352       (3 )     (7 )
    Goodwill     3,592       3,592       3,592              
    Core deposit intangible, net     12,071       12,879       15,483       (6 )     (22 )
    Other assets     38,139       43,105       23,912       (12 )     59  
    TOTAL ASSETS   $ 3,176,013     $ 3,066,078     $ 2,941,377       4       8  
    LIABILITIES                                        
    Deposits:                                        
    Noninterest-bearing accounts   $ 654,069     $ 676,706     $ 623,349       (3 )     5  
    Interest-bearing accounts     1,899,306       1,938,445       1,759,454       (2 )     8  
    Total deposits     2,553,375       2,615,151       2,382,803       (2 )     7  
    Borrowings     234,305       68,805       181,895       241       29  
    Subordinated notes:                                        
    Principal amount     50,000       50,000       50,000              
    Unamortized debt issuance costs     (373 )     (389 )     (439 )     (4 )     (15 )
    Total subordinated notes less unamortized debt issuance costs     49,627       49,611       49,561              
    Operating lease liability     8,138       5,149       5,979       58       36  
    Other liabilities     33,365       28,522       37,113       17       (10 )
    Total liabilities     2,878,810       2,767,238       2,657,351       4       8  
    COMMITMENTS AND CONTINGENCIES                                        
    STOCKHOLDERS’ EQUITY                                        
    Preferred stock, $.01 par value; 5,000,000 shares authorized; none issued or outstanding                              
    Common stock, $.01 par value; 45,000,000 shares authorized; 7,618,543 shares issued and outstanding at June 30, 2025, 7,742,907 at March 31, 2025, and 7,742,607 at June 30, 2024     76       77       77       (1 )     (1 )
    Additional paid-in capital     48,418       52,806       55,834       (8 )     (13 )
    Retained earnings     268,509       262,945       243,651       2       10  
    Accumulated other comprehensive loss, net of tax     (19,800 )     (16,988 )     (15,536 )     17       27  
    Total stockholders’ equity     297,203       298,840       284,026       (1 )     5  
    TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY   $ 3,176,013     $ 3,066,078     $ 2,941,377       4       8  
                                             
     
    FS BANCORP, INC. AND SUBSIDIARY
    CONSOLIDATED STATEMENTS OF INCOME
    (Dollars in thousands, except per share amounts) (Unaudited)
                       
        Three Months Ended     Linked     Prior Year  
        June 30,     March 31,     June 30,     Quarter     Quarter  
    INTEREST INCOME   2025     2025     2024     % Change     % Change  
    Loans receivable, including fees   $ 45,038     $ 43,303     $ 42,406       4       6  
    Interest and dividends on investment securities, cash and cash equivalents, and certificates of deposit at other financial institutions     3,665       3,485       3,534       5       4  
    Total interest and dividend income     48,703       46,788       45,940       4       6  
    INTEREST EXPENSE                                        
    Deposits     14,520       13,058       13,252       11       10  
    Borrowings     1,585       2,263       1,801       (30 )     (12 )
    Subordinated notes     486       485       486              
    Total interest expense     16,591       15,806       15,539       5       7  
    NET INTEREST INCOME     32,112       30,982       30,401       4       6  
    PROVISION FOR CREDIT LOSSES     2,021       1,592       1,077       27       88  
    NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES     30,091       29,390       29,324       2       3  
    NONINTEREST INCOME                                        
    Service charges and fee income     2,323       2,244       2,479       4       (6 )
    Gain on sale of loans     1,972       1,700       2,463       16       (20 )
    Gain on sale of investment securities, net                 151       NM       NM  
    Earnings on cash surrender value of BOLI     254       250       242       2       5  
    Other noninterest income     621       932       533       (33 )     17  
    Total noninterest income     5,170       5,126       5,868       1       (12 )
    NONINTEREST EXPENSE                                        
    Salaries and benefits     14,088       14,533       13,378       (3 )     5  
    Operations     3,824       3,445       3,519       11       9  
    Occupancy     1,780       1,717       1,669       4       7  
    Data processing     2,137       2,045       2,058       4       4  
    Loan costs     719       548       653       31       10  
    Professional and board fees     1,155       1,186       888       (3 )     30  
    FDIC insurance     554       538       450       3       23  
    Marketing and advertising     398       221       377       80       6  
    Amortization of core deposit intangible     809       831       919       (3 )     (12 )
    Impairment (recovery) of servicing rights     38       (9 )     (54 )     (522 )     (170 )
    Total noninterest expense     25,502       25,055       23,857       2       7  
    INCOME BEFORE PROVISION FOR INCOME TAXES     9,759       9,461       11,335       3       (14 )
    PROVISION FOR INCOME TAXES     2,031       1,440       2,376       41       (15 )
    NET INCOME   $ 7,728     $ 8,021     $ 8,959       (4 )     (14 )
    Basic earnings per share   $ 1.00     $ 1.02     $ 1.15       (2 )     (13 )
    Diluted earnings per share   $ 0.99     $ 1.01     $ 1.13       (2 )     (12 )
                                             
     
    FS BANCORP, INC. AND SUBSIDIARY
    CONSOLIDATED STATEMENTS OF INCOME
    (Dollars in thousands, except per share amounts) (Unaudited)
                 
        Six Months Ended     Year  
        June 30,     June 30,     Over Year  
    INTEREST INCOME   2025     2024     % Change  
    Loans receivable, including fees   $ 88,340     $ 83,403       6  
    Interest and dividends on investment securities, cash and cash equivalents, and certificates of deposit at other financial institutions     7,150       7,417       (4 )
    Total interest and dividend income     95,490       90,820       5  
    INTEREST EXPENSE                        
    Deposits     27,578       26,134       6  
    Borrowings     3,848       2,968       30  
    Subordinated note     971       971        
    Total interest expense     32,397       30,073       8  
    NET INTEREST INCOME     63,093       60,747       4  
    PROVISION FOR CREDIT LOSSES     3,613       2,476       46  
    NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES     59,480       58,271       2  
    NONINTEREST INCOME                        
    Service charges and fee income     4,567       5,031       (9 )
    Gain on sale of loans     3,672       4,301       (15 )
    Gain on sale of MSRs           8,215       NM  
    Loss on sale of investment securities, net           (7,847 )     NM  
    Earnings on cash surrender value of BOLI     505       482       5  
    Other noninterest income     1,552       797       95  
    Total noninterest income     10,296       10,979       (6 )
    NONINTEREST EXPENSE                        
    Salaries and benefits     28,621       26,935       6  
    Operations     7,269       6,527       11  
    Occupancy     3,496       3,374       4  
    Data processing     4,182       4,016       4  
    Loan costs     1,267       1,238       2  
    Professional and board fees     2,342       1,811       29  
    FDIC insurance     1,092       982       11  
    Marketing and advertising     619       604       2  
    Amortization of core deposit intangible     1,639       1,860       (12 )
    Impairment of servicing rights     29       39       (26 )
    Total noninterest expense     50,556       47,386       7  
    INCOME BEFORE PROVISION FOR INCOME TAXES     19,220       21,864       (12 )
    PROVISION FOR INCOME TAXES     3,471       4,508       (23 )
    NET INCOME   $ 15,749     $ 17,356       (9 )
    Basic earnings per share   $ 2.02     $ 2.23       (9 )
    Diluted earnings per share   $ 1.99     $ 2.20       (10 )
                             

    KEY FINANCIAL RATIOS AND DATA (Unaudited)

        At or For the Three Months Ended  
        June 30,     March 31,     June 30,  
    PERFORMANCE RATIOS:   2025     2025     2024  
    Return on assets (ratio of net income to average total assets)(1)     0.99 %     1.07 %     1.22 %
    Return on equity (ratio of net income to average total stockholders’ equity)(1)     10.29       10.80       12.72  
    Yield on average interest-earning assets(1)     6.52       6.53       6.48  
    Average total cost of funds(1)     2.39       2.38       2.38  
    Interest rate spread information – average during period     4.13       4.15       4.10  
    Net interest margin(1)     4.30       4.32       4.29  
    Operating expense to average total assets(1)     3.28       3.35       3.26  
    Average interest-earning assets to average interest-bearing liabilities(1)     140.98       142.94       143.64  
    Efficiency ratio(2)     68.40       69.39       65.78  
    Common equity ratio (ratio of stockholders’ equity to total assets)     9.36       9.75       9.66  
    Tangible common equity ratio(3)     8.91       9.26       9.07  
        For the Six Months Ended  
        June 30,     June 30,  
    PERFORMANCE RATIOS:   2025     2024  
    Return on assets (ratio of net income to average total assets)     1.03 %     1.18 %
    Return on equity (ratio of net income to average total stockholders’ equity)     10.55       12.51  
    Yield on average interest-earning assets     6.52       6.39  
    Average total cost of funds     2.38       2.30  
    Interest rate spread information – average during period     4.14       4.09  
    Net interest margin     4.31       4.27  
    Operating expense to average total assets     3.32       3.23  
    Average interest-earning assets to average interest-bearing liabilities     141.93       144.07  
    Efficiency ratio(2)     68.89       66.07  
        June 30,     March 31,     June 30,  
    ASSET QUALITY RATIOS AND DATA:   2025     2025     2024  
    Nonperforming assets to total assets at end of period(4)     0.60 %     0.47 %     0.39 %
    Nonperforming loans to total gross loans (excluding loans HFS)(5)     0.73       0.57       0.46  
    Allowance for credit losses – loans to nonperforming loans(5)     168.89       219.08       273.95  
    Allowance for credit losses – loans to total gross loans (excluding loans HFS)     1.23       1.25       1.26  
        At or For the Three Months Ended    
        June 30,       March 31,       June 30,    
    PER COMMON SHARE DATA:   2025       2025       2024    
    Basic earnings per share   $ 1.00       $ 1.02       $ 1.15    
    Diluted earnings per share   $ 0.99       $ 1.01       $ 1.13    
    Weighted average basic shares outstanding     7,580,576         7,695,320         7,688,246    
    Weighted average diluted shares outstanding     7,698,173         7,805,728         7,796,253    
    Common shares outstanding at end of period     7,515,480   (6)     7,639,844   (7)     7,644,463   (8)
    Book value per share using common shares outstanding   $ 39.55       $ 39.12       $ 37.15    
    Tangible book value per share using common shares outstanding(9)   $ 37.46       $ 36.96       $ 34.66    

    __________________________

    (1)   Annualized.
    (2)   Total noninterest expense as a percentage of net interest income and total noninterest income.
    (3)   Represents a non-GAAP financial measure.  For a reconciliation to the most comparable GAAP financial measure, see “Non-GAAP Financial Measures” below.
    (4)   Nonperforming assets consist of nonperforming loans (which include nonaccruing loans and accruing loans more than 90 days past due), foreclosed real estate and other repossessed assets.
    (5)   Nonperforming loans consist of nonaccruing loans and accruing loans 90 days or more past due.
    (6)   Common shares were calculated using shares outstanding of 7,618,543 at June 30, 2025, less 103,063 unvested restricted stock shares.
    (7)   Common shares were calculated using shares outstanding of 7,742,907 at March 31, 2025, less 103,063 unvested restricted stock shares.
    (8)   Common shares were calculated using shares outstanding of 7,742,607 at June 30, 2024, less 98,144 unvested restricted stock shares.
    (9)   Tangible book value per share using outstanding common shares excludes intangible assets. This ratio represents a non-GAAP financial measure. See “Non-GAAP Financial Measures” below.
         
    (Dollars in thousands)   For the Three Months Ended June 30,     For the Six Months Ended June 30,     QTR Over QTR     YTD Over YTD  
    Average Balances   2025     2024     2025     2024     $ Change     $ Change  
    Assets                                                
    Loans receivable, net(1)   $ 2,612,959     $ 2,511,326     $ 2,586,598     $ 2,487,964     $ 101,633     $ 98,634  
    Securities available-for-sale, at amortized cost     332,705       283,422       321,622       307,417       49,283       14,205  
    Securities held-to-maturity     21,401       8,500       15,063       8,500       12,901       6,563  
    Interest-bearing deposits and certificates of deposit at other financial institutions     8,775       41,613       10,353       50,563       (32,838 )     (40,210 )
    FHLB stock, at cost     19,502       7,040       17,840       4,607       12,462       13,233  
    Total interest-earning assets     2,995,342       2,851,901       2,951,476       2,859,051       143,441       92,425  
    Noninterest-earning assets     121,018       95,930       123,191       94,138       25,088       29,053  
    Total assets   $ 3,116,360     $ 2,947,831     $ 3,074,667     $ 2,953,189     $ 168,529     $ 121,478  
    Liabilities                                                
    Interest-bearing deposit accounts   $ 1,924,586     $ 1,794,966     $ 1,845,534     $ 1,813,865     $ 129,620     $ 31,669  
    Borrowings     150,492       140,964       184,377       121,057       9,528       63,320  
    Subordinated notes     49,617       49,550       49,608       49,542       67       66  
    Total interest-bearing liabilities     2,124,695       1,985,480       2,079,519       1,984,464       139,215       95,055  
    Noninterest-bearing deposit accounts     657,820       637,345       660,805       647,214       20,475       13,591  
    Other noninterest-bearing liabilities     32,700       41,785       33,218       42,516       (9,085 )     (9,298 )
    Total liabilities   $ 2,815,215     $ 2,664,610     $ 2,773,542     $ 2,674,194     $ 150,605     $ 99,348  

    __________________________

    (1)   Includes loans HFS.
         

    Non-GAAP Financial Measures:

    In addition to financial results presented in accordance with generally accepted accounting principles utilized in the United States (“GAAP”), this earnings release presents non-GAAP financial measures that include tangible book value per share, and tangible common equity ratio. Management believes that providing the Company’s tangible book value per share and tangible common equity ratio is consistent with the capital treatment utilized by the investment community, which excludes intangible assets from the calculation of risk-based capital ratios and facilitates comparison of the quality and composition of the Company’s capital over time and to its competitors. Where applicable, the Company has also presented comparable GAAP information.

    These non-GAAP financial measures have inherent limitations, are not required to be uniformly applied, and are not audited. They should not be considered in isolation or as a substitute for total stockholders’ equity or operating results determined in accordance with GAAP. These non-GAAP measures may not be comparable to similarly titled measures reported by other companies.

    Reconciliation of the GAAP book value per share and common equity ratio and the non-GAAP tangible book value per share and tangible common equity ratio is presented below.

    (Dollars in thousands, except share and per share amounts)   June 30,   March 31,   June 30,  
    Tangible Book Value Per Share:   2025   2025   2024  
    Stockholders’ equity (GAAP)   $ 297,203     $ 298,840     $ 284,026    
    Less: goodwill and core deposit intangible, net     (15,663 )     (16,471 )     (19,075 )  
    Tangible common stockholders’ equity (non-GAAP)   $ 281,540     $ 282,369     $ 264,951    
                         
    Common shares outstanding at end of period     7,515,480   (1)   7,639,844   (2)   7,644,463   (3)
                         
    Book value per share (GAAP)   $ 39.55     $ 39.12     $ 37.15    
    Tangible book value per share (non-GAAP)   $ 37.46     $ 36.96     $ 34.66    
                         
    Tangible Common Equity Ratio:                    
    Total assets (GAAP)   $ 3,176,013     $ 3,066,078     $ 2,941,377    
    Less: goodwill and core deposit intangible assets     (15,663 )     (16,471 )     (19,075 )  
    Tangible assets (non-GAAP)   $ 3,160,350     $ 3,049,607     $ 2,922,302    
                         
    Common equity ratio (GAAP)     9.36   %   9.75   %   9.66   %
    Tangible common equity ratio (non-GAAP)     8.91       9.26       9.07    

    _________________________

    (1)   Common shares were calculated using shares outstanding of 7,618,543 at June 30, 2025, less 103,063 unvested restricted stock shares.
    (2)   Common shares were calculated using shares outstanding of 7,742,907 at March 31, 2025, less 103,063 unvested restricted stock shares.
    (3)   Common shares were calculated using shares outstanding of 7,742,607 at June 30, 2024, less 98,144 unvested restricted stock shares.
         

    Contacts:
    Joseph C. Adams,
    Chief Executive Officer
    Matthew D. Mullet,
    President
    Phillip D. Whittington,
    Chief Financial Officer

    (425) 771-5299
    www.FSBWA.com

    The MIL Network

  • MIL-OSI: First Bank Announces Second Quarter 2025 Net Income of $10.2 Million

    Source: GlobeNewswire (MIL-OSI)

    HAMILTON, N.J. , July 22, 2025 (GLOBE NEWSWIRE) — First Bank (Nasdaq Global Market: FRBA) (“the Bank”) today announced results for the second quarter of 2025. Net income for the second quarter of 2025 was $10.2 million, or $0.41 per diluted share, compared to $11.1 million, or $0.44 per diluted share, for the second quarter of 2024. Return on average assets, return on average equity and return on average tangible equityi for the second quarter of 2025 were 1.04%, 9.77% and 11.16%, respectively, compared to 1.23%, 11.52% and 13.40%, respectively, for the second quarter of 2024. 

    Second Quarter 2025 Performance Highlights:

    • Total loans of $3.33 billion at June 30, 2025 grew $91.2 million, or 11.3%, annualized, from the linked quarter ended March 31, 2025.
    • Total deposits were $3.17 billion at June 30, 2025, increasing $48.4 million, or 6.2% annualized, from the linked quarter ended March 31, 2025.
    • Net interest margin measured 3.65% for the second quarter of 2025, remaining stable compared to the first quarter of 2025.
    • Tangible book value per shareii grew to $14.87 at June 30, 2025, increasing 11.1%, annualized, from $14.47 at March 31, 2025.
    • Strong asset quality continued, with nonperforming assets decreasing to 0.40% of total assets at June 30, 2025, compared to 0.42% at March 31, 2025 and 0.56% at June 30, 2024. 

    “We are pleased to report growth in high-quality loans and deposits that continues to enhance our core earnings profile,” said Patrick L. Ryan, President and CEO of First Bank. “Our team’s robust performance in expanding commercial and industrial (“C&I”) loans and non-interest bearing deposits during the first half of 2025 demonstrates effective execution of our strategy to grow deep middle market commercial relationships. We have achieved substantial organic growth in our primary areas of focus while maintaining a stable net interest margin, solid asset quality, and an efficiency ratio that remained below 60% for the 24th consecutive quarter. These successes positioned First Bank to deliver an 11.1% annualized increase in tangible book value per share during the second quarter.”

    Mr. Ryan added, “We anticipate our pace of loan growth will likely moderate in the second half of 2025 as we continue to prioritize relationship-building and profitability over volume amid continued competition in the deposit market. With a focus on continuing to maximize our risk-adjusted returns on shareholders’ equity, we expect to realize additional benefits from the prudent management of our capital, such as the reduced debt costs afforded by our recent subordinated debt issuance, and by delivering enhanced returns to our shareholders through share buybacks. Furthermore, we remain committed to proactive investments designed to scale our business and achieve top quartile profitability relative to our peers.”

    Income Statement

    In the second quarter of 2025, the Bank’s net interest income increased to $34.0 million, growing $3.5 million, or 11.4%, compared to the same period in 2024. The increase was primarily driven by an increase of $3.6 million in interest income, reflecting higher average loan balances, which outpaced the $140,000 increase in interest expense. Net interest income increased $1.9 million, or 6.0%, over the linked quarter of 2025. This increase was primarily driven by a $3.4 million increase in interest income, primarily due to higher average loan balances and yields, partially offset by an increase of $1.5 million in interest expense, primarily resulting from higher average borrowings during the second quarter of 2025.

    The Bank’s tax equivalent net interest margin measured 3.65% for the second quarter of 2025, increasing by three basis points from 3.62% for the prior year quarter, and remaining stable as compared to the linked quarter ended March 31, 2025. The modest improvement from the prior year quarter was driven by an improved interest rate spread, reflecting declines in average rates on deposits and borrowings which outpaced the reduction in average rates on earning assets. The Bank’s net interest margin remained stable as compared to the linked quarter primarily due to a slight increase in average rates on loans and a slight decrease in average rate on deposits, offset by the increased cost on subordinated debt. The Bank’s tax equivalent net interest margin includes the impact of amortization and accretion of premiums and discounts from fair value measurements of assets acquired and liabilities assumed in acquisitions. The net impact of amortization of premiums and accretion of discounts from fair value measurements of assets acquired and liabilities assumed in acquisitions was a $2.7 million increase in net interest income during the second quarter of 2025, compared to $2.8 million for the quarter ended March 31, 2025.

    The Bank recorded a credit loss expense totaling $2.6 million during the second quarter of 2025, compared to credit loss expense totaling $1.5 million for the first quarter of 2025 and $63,000 for the second quarter of 2024. The increased credit loss expense for the second quarter of 2025 is primarily due to the Bank’s loan growth during the quarter, and to a lesser extent, slight increases in net charge-offs and specific reserves. The Bank’s credit loss expense for the second quarter of 2024 reflected the Bank’s strong and stable asset quality and modest loan growth during the quarter.

    In the second quarter of 2025, the Bank recorded non-interest income totaling $2.7 million, compared to $689,000 during the same period in 2024 and $2.0 million during the first quarter of 2025. Non-interest income increased from both periods primarily due to higher loan fee income and a $397,000 gain on the sale of a corporate facility acquired through Malvern acquisition. Additionally, during the second quarter of 2024, the Bank recorded approximately $900,000 in net realized losses on the sale of certain loans as part of its balance sheet repositioning initiatives taken following its acquisition of Malvern Bank in 2023.

    Non-interest expense for the second quarter of 2025 was $20.9 million, an increase of $2.9 million, or 16.2%, compared to $18.0 million for the prior year quarter. Higher non-interest expense was largely due to an increase of $1.1 million in salaries and employee benefits related to a larger employee base and $863,000 in one-time executive severance payments, a $429,000 increase in other expense primarily due to a settlement loss of $220,000 relating to a letter of credit commitment acquired through the Malvern Bank acquisition and other miscellaneous increases related to the Bank’s significant growth over the last twelve months, and $268,000 in higher occupancy and equipment costs due to ongoing branch network optimization initiatives and new branch locations added over the past year.

    On a linked quarter basis, non-interest expense increased $483,000 from $20.4 million for the first quarter of 2025. The linked quarter growth primarily reflects increases of $841,000 in salaries and employee benefits costs primarily related to the aforementioned executive severance payments and settlement loss during the second quarter. This was partially offset by a decrease in other real estate owned (“OREO”) expense due to an $815,000 impairment of an OREO asset recorded during the linked quarter and the subsequent $34,000 gain on the sale of that property during second quarter 2025.

    Income tax expense for the three months ended June 30, 2025 was $3.0 million with an effective tax rate of 22.9%, compared to $2.1 million with an effective tax rate of 16.2% for the second quarter of 2024. The effective tax rate for the second quarter of 2024 was lower due to the recognition of a $1.1 million tax benefit associated with the enactment of the New Jersey Corporate Transit Fee during that period and the related revaluation of the Bank’s deferred tax assets. Income tax expense for the six months ended June 30, 2025 was $5.8 million with an effective tax rate of 22.8%. We anticipate our future effective tax rate will be relatively stable and should not be significantly impacted by any recent legislative tax changes.

    On July 4, 2025, subsequent to the end of the Company’s second fiscal quarter, the one big beautiful bill (“OBBB”) was enacted into law. The legislation includes a number of significant tax-related provisions, including changes affecting corporate tax incentives, international tax provisions, and various business credits and deductions. Pursuant to ASC 740, Income Taxes, the Company will recognize the effects of the OBBB in the third fiscal quarter of 2025, the period in which the legislation was enacted. The Company is currently evaluating the potential impact of the OBBB on its financial statements and, based on its preliminary assessment, does not expect the legislation to have a material impact.

    Balance Sheet

    The Bank reported total assets of $4.02 billion as of June 30, 2025, an increase of $403.6 million, or 11.2%, from $3.62 billion at June 30, 2024. Total loans increased $329.3 million, or 11.0%, to $3.33 billion at June 30, 2025 compared to $3.00 billion at June 30, 2024. The increase reflects strong organic loan growth, particularly in the C&I and owner-occupied commercial real estate portfolios. 

    Total assets increased $239.0 million, or 6.3%, from December 31, 2024 to June 30, 2025. Total loans as of June 30, 2025 increased $183.0 million, or 5.8%, from $3.14 billion at December 31, 2024, reflecting strong organic loan growth, particularly in the C&I and owner-occupied commercial real estate portfolios. The Bank’s cash and cash equivalents increased by $73.0 million, or 26.8%, compared to December 31, 2024, as management continued to maintain adequate on-balance sheet liquidity. 

    The Bank reported total deposits of $3.17 billion as of June 30, 2025, an increase of $200.6 million, or 6.8%, from $2.97 billion at June 30, 2024. Deposit growth was primarily due to our team’s success in attracting new deposit relationships while also maintaining existing balances amid heightened industry-wide pricing competition. Total deposits as of June 30, 2025 increased by $112.3 million, or 3.7%, from $3.06 billion at December 31, 2024, due to a combination of in-market commercial and consumer balances, offset somewhat by a decline in government related deposit balances. Compared to December 31, 2024, non-interest bearing demand deposits increased by $70.9 million to comprise 18.6% of total deposits, up from 17.0%. Over the same period, interest-bearing demand deposits decreased by $75.2 million to comprise 17.5% of total deposits at June 30, 2025, down from 20.6% at December 31, 2024. Time deposits expanded by $73.4 million, or 10.3%, during the first half of 2025.

    During the six months ended June 30, 2025, stockholders’ equity increased by $13.2 million, or 3.2%, primarily due to net income, partially offset by dividends and share repurchases.

    As of June 30, 2025, the Bank continued to exceed all regulatory capital requirements to be considered well-capitalized. The tangible stockholders’ equity to tangible assets ratioiii measured 9.34% as of June 30, 2025 compared to 9.56% at December 31, 2024. The decline from December 31, 2024, was primarily due to the asset growth during the period.

    Asset Quality

    First Bank’s asset quality metrics remained favorable during the second quarter of 2025. Total nonperforming assets declined from $17.3 million at December 31, 2024 to $16.0 million at June 30, 2025, primarily due to the sale of the Bank’s OREO asset during the second quarter of 2025, partially offset by the addition of nonperforming loans. Total nonperforming loans increased from $11.7 million at December 31, 2024 to $16.0 million at June 30, 2025.

    The Bank recorded net charge-offs of $796,000 during the second quarter of 2025, compared to net recoveries of $15,000 in the first quarter of 2025 and net charge-offs of $175,000 in the second quarter of 2024. The allowance for credit losses on loans as a percentage of total loans measured 1.23% at June 30, 2025, compared to 1.21% at both March 31, 2025 and June 30, 2024.

    Liquidity and Borrowings

    Management believes the Bank’s current liquidity position, coupled with our various contingent funding sources, provides the Bank with a strong liquidity base and a diverse source of funding options. The Bank’s cash and cash equivalents increased by $56.8 million, or 19.7%, compared to March 31, 2025, ensuring adequate on-balance sheet liquidity. Borrowings increased by $44.9 million compared to March 31, 2025, as the Bank utilized Federal Home Loan Bank (“FHLB”) advances to support loan growth, while continuing to maintain adequate available borrowing capacity at the FHLB.

    Subordinated Debt Issuance

    On June 18, 2025, the Bank announced the closing of a $35.0 million private placement of fixed-to-floating rate subordinated notes with a maturity date of June 30, 2035 and a fixed rate of interest of 7.125% per annum for the first five years. Thereafter, the notes will pay interest at a floating rate, reset quarterly, equal to the then current three-month Secured Overnight Financing Rate (“SOFR”) plus 343 basis points. The notes may be redeemed at the option of the Bank, without penalty, on or after June 30, 2030. The Bank intends to use the proceeds of this issuance to redeem the Bank’s $30.0 million fixed-to-floating rate subordinated notes due June 1, 2030 (the “2020 notes”) on September 1, 2025, as well as for general corporate purposes. Previously, the 2020 notes carried a fixed rate of 5.50% per annum. On June 1, 2025, the 2020 notes began repricing quarterly at a rate equal to the current three-month term SOFR rate plus 538 basis points. The 2020 notes repriced to a rate of 9.704% per annum on June 1, 2025. The notes have been structured to qualify as Tier 2 capital for regulatory purposes.

    Cash Dividend Declared

    On July 15, 2025, the Bank’s Board of Directors declared a quarterly cash dividend of $0.06 per share to common stockholders of record at the close of business on August 8, 2025, payable on August 22, 2025.

    Share Repurchase Program

    During the second quarter of 2025 the Bank repurchased 193,185 shares of common stock at an average price of $14.71 per share, under the share repurchase program authorized in October 2024. Through June 30, 2025, 543,185 shares have been repurchased from the current share repurchase plan with a total cost of $8.0 million or $14.81 per share on average. The share repurchase program provides for the repurchase of up to 1.0 million shares of First Bank common stock with an aggregate repurchase amount of up to $16.0 million. The share repurchase program will expire on September 30, 2025.

    Conference Call and Earnings Release Supplement

    Additional details on the quarterly results and the Bank are included in the attached earnings release supplement. http://ml.globenewswire.com/Resource/Download/5917a538-bdcd-4a25-b364-99fd7d36addb

    First Bank will host its earnings call on Wednesday, July 23, 2025 at 9:00 AM Eastern Time. The direct dial toll free number for the live call is 1-800-715-9871 and the access code is 3909613. For those unable to participate in the call, a replay will be available by dialing 1-800-770-2030 (access code 3909613) from one hour after the end of the conference call until October 21, 2025. Replay information will also be available on First Bank’s website at www.firstbanknj.com under the “About Us” tab. Click on “Investor Relations” to access the replay of the conference call.

    About First Bank

    First Bank is a New Jersey state-chartered bank with 27 full-service branches in Cinnaminson, Delanco, Denville, Ewing, Fairfield, Flemington, Hamilton, Lawrence, Monroe, Morristown, Pennington, Randolph, Somerset, Summit, Trenton and Williamstown, New Jersey; Coventry, Devon, Doylestown, Lionville, Malvern, Media, Paoli, Trevose, Warminster and West Chester, Pennsylvania; and Palm Beach, Florida. With $4.02 billion in assets as of June 30, 2025, First Bank offers a full range of deposit and loan products to individuals and businesses throughout the New York City to Philadelphia corridor. First Bank’s common stock is listed on the Nasdaq Global Market under the symbol “FRBA.”

    Forward Looking Statements

    This press release contains certain forward-looking statements, either express or implied, within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include information regarding First Bank’s future financial performance, business and growth strategy, projected plans and objectives, and related transactions, integration of acquired businesses, ability to recognize anticipated operational efficiencies, and other projections based on macroeconomic and industry trends, which are inherently unreliable due to the multiple factors that impact economic trends, and any such variations may be material. Such forward-looking statements are based on various facts and derived utilizing important assumptions, current expectations, estimates and projections about First Bank, any of which may change over time and some of which may be beyond First Bank’s control. Statements preceded by, followed by or that otherwise include the words “believes,” “expects,” “anticipates,” “intends,” “projects,” “estimates,” “plans” and similar expressions or future or conditional verbs such as “will,” “should,” “would,” “may” and “could” are generally forward-looking in nature and not historical facts, although not all forward-looking statements include the foregoing. Further, certain factors that could affect our future results and cause actual results to differ materially from those expressed in the forward-looking statements include, but are not limited to: whether First Bank can: successfully implement its growth strategy, including identifying acquisition targets and consummating suitable acquisitions, integrate acquired entities and realize anticipated efficiencies, sustain its internal growth rate, and provide competitive products and services that appeal to its customers and target markets; difficult market conditions and unfavorable economic trends in the United States generally, and particularly in the market areas in which First Bank operates and in which its loans are concentrated, including the effects of declines in housing market values; the impact of public health emergencies, on First Bank, its operations and its customers and employees; an increase in unemployment levels and slowdowns in economic growth; First Bank’s level of nonperforming assets and the costs associated with resolving any problem loans including litigation and other costs; changes in market interest rates may increase funding costs and reduce earning asset yields thus reducing margin; the impact of changes in interest rates and the credit quality and strength of underlying collateral and the effect of such changes on the market value of First Bank’s investment securities portfolio; the extensive federal and state regulation, supervision and examination governing almost every aspect of First Bank’s operations, including changes in regulations affecting financial institutions and expenses associated with complying with such regulations; uncertainties in tax estimates and valuations, including due to changes in state and federal tax law; First Bank’s ability to comply with applicable capital and liquidity requirements, including First Bank’s ability to generate liquidity internally or raise capital on favorable terms, including continued access to the debt and equity capital markets; and possible changes in trade, monetary and fiscal policies, laws and regulations and other activities of governments, agencies, and similar organizations. For discussion of these and other risks that may cause actual results to differ from expectations, please refer to “Forward-Looking Statements” and “Risk Factors” in First Bank’s Annual Report on Form 10-K and any updates to those risk factors set forth in First Bank’s proxy statement, subsequent Quarterly Reports on Form 10-Q or Current Reports on Form 8-K. If one or more events related to these or other risks or uncertainties materialize, or if First Bank’s underlying assumptions prove to be incorrect, actual results may differ materially from what First Bank anticipates. Accordingly, you should not place undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and First Bank does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. All forward-looking statements expressed or implied, included in this communication are expressly qualified in their entirety by this cautionary statement. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that First Bank or persons acting on First Bank’s behalf may issue.                                                                                                                                                  


    This press release contains “non-GAAP” financial measures, which management uses in its analysis of First Bank’s performance. Management believes these non-GAAP financial measures allow for better comparability of period to period operating performance. Additionally, First Bank believes this information is utilized by regulators and market analysts to evaluate a company’s financial condition and therefore, such information is useful to investors. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. A reconciliation of the non-GAAP measures used in this presentation to the most directly comparable GAAP measures is provided in the accompanying financial tables.

    i Return on average tangible equity is a non-GAAP financial measure and is calculated by dividing net income by average tangible equity (average equity minus average goodwill and other intangible assets). For a reconciliation of this non-GAAP financial measure, along with the other non-GAAP financial measures in this press release, to their comparable GAAP measures, see the financial reconciliations at the end of this press release.

    ii Tangible book value per share is a non-GAAP financial measure and is calculated by dividing common shares outstanding by tangible equity (equity minus goodwill and other intangible assets).  For a reconciliation of this non-GAAP financial measure, along with the other non-GAAP financial measures in this press release, to their comparable GAAP measures, see the financial reconciliations at the end of this press release.

    iii Tangible stockholders’ equity to tangible assets ratio is a non-GAAP financial measure and is calculated by dividing tangible equity (equity minus goodwill and other intangible assets) by tangible assets (total assets minus goodwill and other intangible assets). For a reconciliation of this non-GAAP financial measure, along with the other non-GAAP financial measures in this press release, to their comparable GAAP measures, see the financial reconciliations at the end of this press release.

    FIRST BANK
    CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
    (in thousands, except for share data, unaudited)
     
        June 30, 2025   December 31, 2024
    Assets            
    Cash and due from banks   $ 35,860     $ 18,252  
    Restricted cash     9,900       14,270  
    Interest bearing deposits with banks     299,131       239,392  
    Cash and cash equivalents     344,891       271,914  
    Interest bearing time deposits with banks     747       743  
    Investment securities available for sale, at fair value (amortized cost of $86,666 and $84,083, respectively)     81,891       77,413  
    Equity securities, at fair value     1,904       1,870  
    Investment securities held to maturity, net of allowance for credit losses of $203 and $206, respectively (fair value of $41,941 and $42,770, respectively)     45,749       47,123  
    Restricted investment in bank stocks     18,009       14,333  
    Other investments     13,556       11,612  
    Loans held for sale     2,127        
    Loans, net of deferred fees and costs     3,327,288       3,144,266  
    Less: Allowance for credit losses     (40,877)       (37,773)  
    Net loans     3,286,411       3,106,493  
    Premises and equipment, net     17,987       21,351  
    Other real estate owned, net           5,637  
    Accrued interest receivable     14,505       14,267  
    Bank-owned life insurance     86,980       85,553  
    Goodwill     44,166       44,166  
    Other intangible assets, net     7,860       8,827  
    Deferred income taxes, net     25,032       25,528  
    Other assets     27,520       43,516  
    Total assets   $ 4,019,335     $ 3,780,346  
                 
    Liabilities and Stockholders’ Equity            
    Liabilities:            
    Non-interest bearing deposits   $ 590,209     $ 519,320  
    Interest bearing deposits     2,578,004       2,536,576  
    Total deposits     3,168,213       3,055,896  
    Borrowings     326,802       246,933  
    Subordinated debentures     64,343       29,954  
    Accrued interest payable     4,443       3,820  
    Other liabilities     33,155       34,587  
    Total liabilities     3,596,956       3,371,190  
    Stockholders’ Equity:            
    Preferred stock, par value $2 per share; 10,000,000 shares authorized; no shares issued and outstanding            
    Common stock, par value $5 per share; 40,000,000 shares authorized; 27,630,039 shares issued and 24,905,790 shares outstanding and 27,375,439 shares issued and 25,100,829 shares outstanding, respectively     136,640       135,495  
    Additional paid-in capital     125,290       124,524  
    Retained earnings     193,395       176,779  
    Accumulated other comprehensive loss     (3,525)       (4,925)  
    Treasury stock, 2,724,249 and 2,274,610 shares, respectively     (29,421)       (22,717)  
    Total stockholders’ equity     422,379       409,156  
    Total liabilities and stockholders’ equity   $ 4,019,335     $ 3,780,346  
                     
    FIRST BANK
    CONSOLIDATED STATEMENTS OF INCOME
    (in thousands, except for share data, unaudited)
     
        Three Months Ended June 30,   Six Months Ended June 30,
        2025     2024     2025     2024  
    Interest and Dividend Income                            
    Investment securities—taxable   $ 1,246     $ 1,278     $ 2,434     $ 2,460  
    Investment securities—tax-exempt     41       36       92       74  
    Interest bearing deposits with banks, Federal funds sold and other     3,487       3,482       6,484       6,507  
    Loans, including fees     54,394       50,763       105,946       100,082  
    Total interest and dividend income     59,168       55,559       114,956       109,123  
                                 
    Interest Expense                            
    Deposits     21,276       22,386       42,120       43,172  
    Borrowings     3,256       2,193       5,668       4,309  
    Subordinated debentures     627       440       1,067       784  
    Total interest expense     25,159       25,019       48,855       48,265  
    Net interest income     34,009       30,540       66,101       60,858  
    Credit loss expense (benefit)     2,558       63       4,102       (635)  
    Net interest income after credit loss expense (benefit)     31,451       30,477       61,999       61,493  
                                 
    Non-Interest Income                            
    Service fees on deposit accounts     382       350       738       694  
    Loan fees     568       117       894       219  
    Income from bank-owned life insurance     723       609       1,516       1,394  
    Gains on sale of loans, net     75       (900)       104       (671)  
    Gains on recovery of acquired loans     100       56       124       174  
    Gain on sale of other assets     397             397        
    Other non-interest income     457       457       900       843  
    Total non-interest income     2,702       689       4,673       2,653  
                                 
    Non-Interest Expense                            
    Salaries and employee benefits     11,959       9,968       23,077       20,006  
    Occupancy and equipment     2,350       2,082       4,814       4,108  
    Legal fees     279       240       647       556  
    Other professional fees     924       929       1,650       1,685  
    Regulatory fees     684       640       1,368       1,242  
    Directors’ fees     260       270       542       512  
    Data processing     893       749       1,698       1,555  
    Marketing and advertising     503       377       902       673  
    Travel and entertainment     251       285       487       529  
    Insurance     233       251       447       495  
    Other real estate owned expense, net     69       129       989       217  
    Other expense     2,462       2,033       4,630       4,185  
    Total non-interest expense     20,867       17,953       41,251       35,763  
    Income Before Income Taxes     13,286       13,213       25,421       28,383  
    Income tax expense     3,047       2,140       5,801       4,798  
    Net Income   $ 10,239     $ 11,073     $ 19,620     $ 23,585  
                                 
    Basic earnings per common share   $ 0.41     $ 0.44     $ 0.78     $ 0.94  
    Diluted earnings per common share   $ 0.41     $ 0.44     $ 0.77     $ 0.93  
                                 
    Basic weighted average common shares outstanding     25,029,164       25,129,199       25,073,368       25,084,558  
    Diluted weighted average common shares outstanding     25,234,120       25,258,785       25,335,743       25,228,888  
    FIRST BANK
    AVERAGE BALANCE SHEETS WITH INTEREST AND AVERAGE RATES
    (dollars in thousands, unaudited)
     
        Three Months Ended June 30,
        2025     2024  
        Average         Average   Average         Average
        Balance   Interest   Rate (5)   Balance   Interest   Rate (5)
    Interest earning assets                                    
    Investment securities (1) (2)   $ 135,094     $ 1,295       3.84 %   $ 146,289     $ 1,321       3.63 %
    Loans (3)     3,296,031       54,394       6.62 %     2,997,892       50,763       6.81 %
    Interest bearing deposits with banks,                                    
    Federal funds sold and other     276,488       3,079       4.47 %     224,503       3,101       5.56 %
    Restricted investment in bank stocks     17,960       276       6.16 %     11,178       243       8.74 %
    Other investments     15,402       132       3.44 %     12,136       138       4.57 %
    Total interest earning assets (2)     3,740,975       59,176       6.34 %     3,391,998       55,566       6.59 %
    Allowance for credit losses     (39,507)                   (36,784)              
    Non-interest earning assets     251,475                   263,698              
    Total assets   $ 3,952,943                 $ 3,618,912              
                                         
    Interest bearing liabilities                                    
    Interest bearing demand deposits   $ 606,838     $ 3,701       2.45 %   $ 591,222     $ 3,813       2.59 %
    Money market deposits     1,064,363       8,917       3.36 %     1,061,593       10,559       4.00 %
    Savings deposits     140,301       694       1.98 %     158,158       619       1.57 %
    Time deposits     781,299       7,964       4.09 %     678,197       7,395       4.39 %
    Total interest bearing deposits     2,592,801       21,276       3.29 %     2,489,170       22,386       3.62 %
    Borrowings     319,494       3,256       4.09 %     171,533       2,193       5.14 %
    Subordinated debentures     34,966       627       7.17 %     29,880       440       5.89 %
    Total interest bearing liabilities     2,947,261       25,159       3.42 %     2,690,583       25,019       3.74 %
    Non-interest bearing deposits     548,279                   497,205              
    Other liabilities     36,960                   44,480              
    Stockholders’ equity     420,443                   386,644              
    Total liabilities and stockholders’ equity   $ 3,952,943                 $ 3,618,912              
    Net interest income/interest rate spread (2)           34,017       2.92 %           30,547       2.85 %
    Net interest margin (2) (4)                 3.65 %                 3.62 %
    Tax equivalent adjustment (2)           (8)                   (7)        
    Net interest income         $ 34,009                 $ 30,540        
    (1) Average balance of investment securities available for sale is based on amortized cost.
    (2) Interest and average rates are presented on a tax equivalent basis using a federal income tax rate of 21%.
    (3) Average balances of loans include loans on nonaccrual status.
    (4) Net interest income divided by average total interest earning assets.
    (5) Annualized.
    FIRST BANK
    AVERAGE BALANCE SHEETS WITH INTEREST AND AVERAGE RATES
    (dollars in thousands, unaudited)
     
        Six Months Ended June 30,
        2025     2024  
        Average         Average   Average         Average
        Balance   Interest   Rate (5)   Balance   Interest   Rate (5)
    Interest earning assets                                    
    Investment securities(1) (2)   $ 134,686     $ 2,545       3.81 %   $ 146,719     $ 2,549       3.49 %
    Loans(3)     3,233,747       105,946       6.61 %     2,988,707       100,082       6.73 %
    Interest bearing deposits with banks,                                    
    Federal funds sold and other     255,378       5,654       4.46 %     213,831       5,811       5.46 %
    Restricted investment in bank stocks     16,059       576       7.23 %     10,800       442       8.23 %
    Other investments     14,731       254       3.48 %     12,003       254       4.26 %
    Total interest earning assets(2)     3,654,601       114,975       6.34 %     3,372,060       109,138       6.51 %
    Allowance for credit losses     (38,847)                   (37,196)              
    Non-interest earning assets     256,261                   262,465              
    Total assets   $ 3,872,015                 $ 3,597,329              
                                     
    Interest bearing liabilities                                    
    Interest bearing demand deposits   $ 625,682     $ 7,728       2.49 %   $ 605,081     $ 7,479       2.49 %
    Money market deposits     1,054,742       17,548       3.36 %     1,038,250       20,348       3.94 %
    Savings deposits     141,395       1,344       1.92 %     160,135       1,193       1.50 %
    Time deposits     749,765       15,500       4.17 %     674,872       14,152       4.22 %
    Total interest bearing deposits     2,571,584       42,120       3.30 %     2,478,338       43,172       3.50 %
    Borrowings     277,245       5,668       4.12 %     169,337       4,309       5.12 %
    Subordinated debentures     32,478       1,067       6.57 %     36,175       784       4.33 %
    Total interest bearing liabilities     2,881,307       48,855       3.42 %     2,683,850       48,265       3.62 %
    Non-interest bearing deposits     534,877                   489,353              
    Other liabilities     38,755                   42,534              
    Stockholders’ equity     417,076                   381,592              
    Total liabilities and stockholders’ equity   $ 3,872,015                 $ 3,597,329              
    Net interest income/interest rate spread(2)           66,120       2.92 %           60,873       2.89 %
    Net interest margin(2) (4)                 3.65 %                 3.63 %
    Tax equivalent adjustment(2)           (19)                   (15)        
    Net interest income         $ 66,101                 $ 60,858        

    (1) Average balance of investment securities available for sale is based on amortized cost.
    (2) Interest and average rates are presented on a tax equivalent basis using a federal income tax rate of 21%.
    (3) Average balances of loans include loans on nonaccrual status.
    (4) Net interest income divided by average total interest earning assets.
    (5) Annualized.

    FIRST BANK
    QUARTERLY FINANCIAL HIGHLIGHTS
    (in thousands, except for share and employee data, unaudited)
     
        As of or For the Quarter Ended
        6/30/2025   3/31/2025   12/31/2024   9/30/2024   6/30/2024
    EARNINGS                              
    Net interest income   $ 34,009     $ 32,092     $ 31,594     $ 30,094     $ 30,540  
    Credit loss expense     2,558       1,544       234       1,579       63  
    Non-interest income     2,702       1,971       2,176       2,479       689  
    Non-interest expense     20,867       20,384       19,124       18,644       17,953  
    Income tax expense     3,047       2,754       3,915       4,188       2,140  
    Net income     10,239       9,381       10,497       8,162       11,073  
                                   
    PERFORMANCE RATIOS                              
    Return on average assets(1)     1.04%       1.00%       1.10%       0.88%       1.23%  
    Return on average equity(1)     9.77%       9.20%       10.27%       8.15%       11.52%  
    Return on average tangible equity(1) (2)     11.16%       10.54%       11.82%       9.42%       13.40%  
    Net interest margin(1) (3)     3.65%       3.65%       3.54%       3.48%       3.62%  
    Yield on loans(1)     6.62%       6.59%       6.62%       6.73%       6.81%  
    Total cost of deposits(1)     2.72%       2.75%       2.89%       3.06%       3.01%  
    Efficiency ratio(2)     56.24%       57.65%       56.98%       58.49%       55.88%  
                                   
    SHARE DATA                              
    Common shares outstanding     24,905,790       25,045,612       25,100,829       25,186,920       25,144,983  
    Basic earnings per share   $ 0.41     $ 0.37     $ 0.42     $ 0.32     $ 0.44  
    Diluted earnings per share     0.41       0.37       0.41       0.32       0.44  
    Book value per share     16.96       16.57       16.30       15.96       15.61  
    Tangible book value per share(2)     14.87       14.47       14.19       13.84       13.46  
                                   
    MARKET DATA                              
    Market value per share   $ 15.47     $ 14.81     $ 14.07     $ 15.20     $ 12.74  
    Market value / Tangible book value(2)     104.03%       102.35%       99.16%       109.83%       94.65%  
    Market capitalization   $ 385,293     $ 370,926     $ 353,169     $ 382,841     $ 320,347  
                                   
    CAPITAL & LIQUIDITY                              
    Stockholders’ equity / assets     10.51%       10.69%       10.82%       10.70%       10.86%  
    Tangible stockholders’ equity / tangible assets(2)     9.34%       9.47%       9.56%       9.41%       9.50%  
    Loans / deposits     105.02%       103.73%       102.89%       101.23%       101.02%  
                                   
    ASSET QUALITY                              
    Net charge-offs (recoveries)   $ 796     $ (15)     $ (155)     $ 386     $ 175  
    Nonperforming loans     15,978       11,584       11,677       12,014       14,227  
    Nonperforming assets     15,978       16,406       17,314       17,651       20,226  
    Net charge offs (recoveries)/ average loans(1)     0.10%       (0.00%)       (0.02%)       0.05%       0.02%  
    Nonperforming loans / total loans     0.48%       0.36%       0.37%       0.39%       0.47%  
    Nonperforming assets / total assets     0.40%       0.42%       0.46%       0.47%       0.56%  
    Allowance for credit losses on loans / total loans     1.23%       1.21%       1.20%       1.21%       1.21%  
    Allowance for credit losses on loans / nonperforming loans     255.83%       338.60%       323.48%       311.59%       254.81%  
                                   
    OTHER DATA                              
    Total assets   $ 4,019,335     $ 3,880,759     $ 3,780,346     $ 3,757,653     $ 3,615,731  
    Total loans     3,327,288       3,236,039       3,144,266       3,087,488       2,998,029  
    Total deposits     3,168,213       3,119,794       3,055,896       3,050,070       2,967,634  
    Total stockholders’ equity     422,379       414,915       409,156       402,070       392,489  
    Number of full-time equivalent employees     335       315       318       313       294  

    (1) Annualized.
    (2) Non-U.S. GAAP financial measure that we believe provides management and investors with information that is useful in understanding our financial performance and condition. See accompanying table, “Non-U.S. GAAP Financial Measures,” for calculation and reconciliation.
    (3) Tax equivalent using a federal income tax rate of 21%.

    FIRST BANK
    QUARTERLY FINANCIAL HIGHLIGHTS
    (dollars in thousands, unaudited)
     
        As of the Quarter Ended
        6/30/2025   3/31/2025   12/31/2024   9/30/2024   6/30/2024
    LOAN COMPOSITION                              
    Commercial and industrial   $ 706,849     $ 651,690     $ 576,625     $ 546,541     $ 530,996  
    Commercial real estate:                              
    Owner-occupied     707,766       694,113       671,357       688,988       647,625  
    Investor     1,192,716       1,160,549       1,181,684       1,170,508       1,143,954  
    Construction and development     161,361       200,262       205,096       193,460       190,108  
    Multi-family     309,189       308,217       287,843       267,861       270,238  
    Total commercial real estate     2,371,032       2,363,141       2,345,980       2,320,817       2,251,925  
    Residential real estate:                              
    Residential mortgage and first lien home equity loans     160,935       142,298       142,769       144,081       144,978  
    Home equity–second lien loans and revolving lines of credit     62,738       52,438       51,020       49,763       46,882  
    Total residential real estate     223,673       194,736       193,789       193,844       191,860  
    Consumer and other     29,248       29,760       31,324       29,518       26,321  
    Total loans prior to deferred loan fees and costs     3,330,802       3,239,327       3,147,718       3,090,720       3,001,102  
    Net deferred loan fees and costs     (3,514)       (3,288)       (3,452)       (3,232)       (3,073)  
    Total loans   $ 3,327,288     $ 3,236,039     $ 3,144,266     $ 3,087,488     $ 2,998,029  
                                   
    LOAN MIX                              
    Commercial and industrial     21.2%       20.1%       18.3%       17.7%       17.7%  
    Commercial real estate:                              
    Owner-occupied     21.3%       21.5%       21.4%       22.3%       22.3%  
    Investor     35.8%       35.9%       37.6%       37.9%       37.9%  
    Construction and development     4.8%       6.2%       6.5%       6.3%       6.3%  
    Multi-family     9.3%       9.5%       9.1%       8.7%       8.7%  
    Total commercial real estate     71.3%       73.1%       74.6%       75.2%       75.2%  
    Residential real estate:                              
    Residential mortgage and first lien home equity loans     4.8%       4.4%       4.6%       4.7%       4.7%  
    Home equity–second lien loans and revolving lines of credit     1.9%       1.6%       1.6%       1.6%       1.6%  
    Total residential real estate     6.7%       6.0%       6.2%       6.3%       6.3%  
    Consumer and other     0.9%       0.9%       1.0%       0.9%       0.9%  
    Net deferred loan fees and costs     (0.1%)       (0.1%)       (0.1%)       (0.1%)       (0.1%)  
    Total loans     100.0%       100.0%       100.0%       100.0%       100.0%  
                                             
    FIRST BANK
    QUARTERLY FINANCIAL HIGHLIGHTS
    (dollars in thousands, unaudited)
     
        As of the Quarter Ended
        6/30/2025   3/31/2025   12/31/2024   9/30/2024   6/30/2024
    DEPOSIT COMPOSITION                              
    Non-interest bearing demand deposits   $ 590,209     $ 535,584     $ 519,320     $ 519,079     $ 499,765  
    Interest bearing demand deposits     553,909       629,974       629,099       597,802       574,515  
    Money market and savings deposits     1,241,277       1,197,517       1,198,039       1,235,637       1,199,382  
    Time deposits     782,818       756,719       709,438       697,552       693,972  
    Total Deposits   $ 3,168,213     $ 3,119,794     $ 3,055,896     $ 3,050,070     $ 2,967,634  
                                   
    DEPOSIT MIX                              
    Non-interest bearing demand deposits     18.6%       17.2%       17.0%       17.0%       16.8%  
    Interest bearing demand deposits     17.5%       20.2%       20.6%       19.6%       19.4%  
    Money market and savings deposits     39.2%       38.4%       39.2%       40.5%       40.4%  
    Time deposits     24.7%       24.2%       23.2%       22.9%       23.4%  
    Total Deposits     100.0%       100.0%       100.0%       100.0%       100.0%  
                                             
    FIRST BANK
    NON-GAAP FINANCIAL MEASURES
    (in thousands, except for share data, unaudited)
     
        As of or For the Quarter Ended
        6/30/2025   3/31/2025   12/31/2024   9/30/2024   6/30/2024
    Return on Average Tangible Equity                              
    Net income (numerator)   $ 10,239     $ 9,381     $ 10,497     $ 8,162     $ 11,073  
                                   
    Average stockholders’ equity   $ 420,443     $ 413,672     $ 406,579     $ 398,535     $ 386,644  
    Less: Average Goodwill and other intangible assets, net     52,301       52,805       53,278       53,823       54,347  
    Average Tangible stockholders’ equity (denominator)   $ 368,142     $ 360,867     $ 353,301     $ 344,712     $ 332,297  
                                   
    Return on average tangible equity(1)     11.16%       10.54%       11.82%       9.42%       13.40%  
                                   
    Tangible Book Value Per Share                              
    Stockholders’ equity   $ 422,379     $ 414,915     $ 409,156     $ 402,070     $ 392,489  
    Less: Goodwill and other intangible assets, net     52,026       52,507       52,993       53,484       54,026  
    Tangible stockholders’ equity (numerator)   $ 370,353     $ 362,408     $ 356,163     $ 348,586     $ 338,463  
                                   
    Common shares outstanding (denominator)     24,905,790       25,045,612       25,100,829       25,186,920       25,144,983  
                                   
    Tangible book value per share   $ 14.87     $ 14.47     $ 14.19     $ 13.84     $ 13.46  
                                   
    Tangible Equity / Tangible Assets                              
    Stockholders’ equity   $ 422,379     $ 414,915     $ 409,156     $ 402,070     $ 392,489  
    Less: Goodwill and other intangible assets, net     52,026       52,507       52,993       53,484       54,026  
    Tangible stockholders’ equity (numerator)   $ 370,353     $ 362,408     $ 356,163     $ 348,586     $ 338,463  
                                   
    Total assets   $ 4,019,335     $ 3,880,759     $ 3,780,346     $ 3,757,653     $ 3,615,731  
    Less: Goodwill and other intangible assets, net     52,026       52,507       52,993       53,484       54,026  
    Tangible total assets (denominator)   $ 3,967,309     $ 3,828,252     $ 3,727,353     $ 3,704,169     $ 3,561,705  
                                   
    Tangible stockholders’ equity / tangible assets     9.34%       9.47%       9.56%       9.41%       9.50%  
                                   
    Efficiency Ratio                              
    Non-interest expense   $ 20,867     $ 20,384     $ 19,124     $ 18,644     $ 17,953  
    Less: Other real estate owned write-down           815             362        
    Adjusted non-interest expense (numerator)   $ 20,867     $ 19,569     $ 19,124     $ 18,282     $ 17,953  
                                   
    Net interest income   $ 34,009     $ 32,092     $ 31,594     $ 30,094     $ 30,540  
    Non-interest income     2,702       1,971       2,176       2,479       689  
    Total revenue     36,711       34,063       33,770       32,573       31,229  
    Add: Losses on sale of investment securities, net                       555        
    (Subtract) Add: (Gains) losses on sale of loans, net     (75)       (29)       (38)       (135)       900  
    (Subtract): Gain on sale of other assets     (397)                          
    Less: Bank Owned Life Insurance Incentive           (88)       (168)       (1,116)        
    Add: Executive Officer Severance Benefits     863                          
    Adjusted total revenue (denominator)   $ 37,102     $ 33,946     $ 33,564     $ 31,877     $ 32,129  
                                   
    Efficiency ratio     56.24%       57.65%       56.98%       57.35%       55.88%  
                                   

    (1) Annualized.

    The MIL Network

  • MIL-OSI Security: Defense News in Brief: China, Russia, Terrorist Networks Destabilizing Africa

    Source: United States Department of Defense

    Air Force Lt. Gen. Dagvin R.M. Anderson and Navy Vice Adm. Frank M. Bradley spoke about great-power rivalry and terrorism in Africa and the importance of U.S. Special Operations Command during a nomination hearing before the Senate Committee on Armed Services in Washington.

    MIL Security OSI

  • MIL-OSI USA: Major Montana Wins Included in the FY26 Interior Appropriations Bill

    Source:

    Zinke’s requests for clean water infrastructure, ESA reform, and forest management pass full committee markup

    Washington, D.C. – Today, Western Montana Congressman and former Secretary of the Interior Ryan Zinke announced the inclusion of several key Montana priorities in the FY26 Interior, Environment, and Related Agencies Appropriations Bill. As a member of the subcommittee, Zinke has been fighting to ensure that Montanans’ voices are heard, and that critical funding and policies reflect the state’s unique needs. The FY26 Interior Appropriations Bill now heads to the House floor for a vote.

    “As a former Secretary of Interior, I’ve seen firsthand how mismanagement of our public lands from Washington can hurt our communities and how good policy can make a real difference on the ground,” said Zinke. “This bill gets us back to common sense management. It reverses years of top down bureaucratic regulation that choked our industries, hampered forest management and fire prevention, and shut off access to our lands. The infrastructure investments in this bill will go directly to our communities, funding clean water and allowing for growth. Montanans love our public lands and the outdoor experience; this bill supports multiple use and improves the quality of life for the people who live near and around those lands. It’s a science backed, community led piece of legislation, and I am proud to support it as it heads to the house floor.”

    The bill includes multiple Community Project Funding (CPF) requests from Congressman Zinke that will directly improve water infrastructure in rural communities. Community Project Funding is allocated from previously authorized grant accounts, allowing elected Members of Congress to direct grant funding would otherwise be decided by unelected officials in the federal government, without increasing spending. See all of Congressman Zinke’s FY26 CPF’s here.

    •  Granite County Clean Water Infrastructure Project – $1.75 million

    •  Alberton Clear Water Infrastructure Project – $1 million

    •  Lolo Water and Wastewater Treatment Plant Improvement Phase 1 – $1.75 million

    “I would like to thank Congressman Zinke and his team,” said Daniel Reddish, Mayor of Phillipsburg. “This reflects their total commitment to rural Montana. Promises made, promises kept! Bravo!”

    In addition to direct funding, Zinke successfully included several important policy provisions in the bill:

    •  Delisting 3 Grizzly Bear Populations – Requires the Department of the Interior to delist the recovered grizzly bear populations in the Greater Yellowstone, Northern Continental, and Bitterroot Ecosystems from the Endangered Species Act (ESA).

    •  The Cottonwood Fix – Reinstates a permanent fix to prevent litigious groups from abusing the ESA to delay or block forest management projects, a key victory for wildfire prevention and responsible land stewardship.

    •  Wolverine ESA Restriction – Prohibits funding to list the wolverine under the ESA, consistent with longstanding scientific and state management concerns.

    •  Canadian Lynx ESA Rolled Back – Blocks enforcement of ESA provisions for the Canadian lynx, allowing more flexibility in forest management and land use.

    •  Native American Ironworker Training Program – $5 million to reinstate the successful program under the Bureau of Indian Affairs (BIA), helping tribal members access skilled trades and employment opportunities.

    •  Forest Roads Access – Submits bill language to lift restrictions on construction and reconstruction of Forest Service roads to support timber harvest and firefighting operations.

    •  Good Neighbor Authority Expansion – Encourages the Forest Service to expand use of Good Neighbor Authority agreements with states and tribes to accelerate forest management and wildfire mitigation projects on federal lands.

    • Bison on Charles M. Russell (CMR) Refuge – Prohibits the introduction of bison on the CMR National Wildlife Refuge, protecting the land’s traditional multiple-use management and safeguarding ranching interests.

    “As someone who went through the Native American Ironworker Training Program , I’ve seen firsthand the impact it can have on individuals and on tribal communities,” said Tom Tanner, a graduate of the program with 32 years of experience in the ironworking trade. “This program is a smart investment in Americas future; backing the skilled workforce our country needs to rebuild roads, bridges, and energy infrastructure. It trains tribal members for careers that offer good pay, union benefits, and a path to long-term stability. This program’s inclusion in the Interior bill shows a real commitment to skilled trades and job creation and I appreciate Congressman Zinke’s work on this issue.”

    “As a retired wildlife biologist who lives within Montana’s wolverine biological range, I oppose any funding of efforts to list the wolverine under the Endangered Species Act and am glad this language is included in this year’s Interior Appropriations Bill,” said Montana State Representative Paul Fielder. “If the decision is based on wolverine biology alone, the wolverine should not qualify as either an Endangered or a Threatened species administered under the ESA.  Too often agencies use the ESA to try to carve out sub-sets of a plant or animal species home range into “distinct population segments”, “recovery zones” or some other sub-group.  The ESA refers to the Endangered Species Act, not the Endangered Distinct Population Segment Act and this language reflects that.”

    Read the full text of the bill HERE.

     

    ###

    MIL OSI USA News

  • MIL-OSI USA: U.S. House Passes Rep. Lauren Boebert’s Bipartisan Zip Code Bill

    Source: United States House of Representatives – Representative Lauren Boebert (Colorado, 3)

    WASHINGTON, D.C.— Congresswoman Lauren Boebert (CO-04) successfully passed her bipartisan Zip Code bill, H.R. 3095, through the U.S. House of Representatives on Monday evening. The final recorded vote total was 278-121, a significant bipartisan victory for the Congresswoman and the multiple towns and communities in the 4th District included in the legislation. 

    H.R. 3095 directs the United States Postal Service to create unique zip codes for more than 65 cities, towns, and communities across the country. The bill, which includes 15 communities in Colorado and 33 cosponsors, is a reintroduction of the Congresswoman’s similar effort in the 118th Congress which passed through the U.S. House in December 2024.

    Cities and towns like Castle Pines, Lone Tree, and Severance all have their sales tax revenue, insurance rates, mail delivery rates, and response times for first responders negatively impacted by the lack of a unique zip code for their community. This legislation will address these issues and directly improve the quality of life for Coloradans and Americans living in these communities.

    “This is a tremendous, hard-fought victory for the cities, towns, and communities in Colorado’s 4th District and across our country who have called a unique zip code to improve the quality of life for our constituents,” said Congresswoman Boebert. “Zip code reform is not a partisan issue; it’s a unifying, fundamental need for the municipalities that have been denied their own zip code and have dealt with public safety issues, mail delivery problems for seniors and veterans, business permitting challenges, and the loss of revenue that leads to cutting public services. I am proud to have worked with leaders from across the aisle and across the country to get H.R. 3095 through the House; it’s time for the Senators who represent the many communities in this bill to step up and deliver this bill to President Trump’s desk.”

    “The City of Castle Pines is grateful for Congresswoman Boebert’s tireless efforts to secure a unique zip code for Castle Pines and dozens of communities across the nation,”said Castle Pines Mayor Tracy Engerman.“The passage of this bill by the House is a significant step in ensuring that residents in our communities receive their fair share of collected tax revenue and timely responses from emergency services.  The Congresswoman’s ability to work across the aisle on this bipartisan effort has been critical in moving the bill to the Senate. On behalf of the National Zip Code Advocacy Coalition, I want to thank her for her support and work on this important issue.”

    “The successful passage of Rep. Boebert’s Zip Code Bill is crucial and is the key to the success of ‘Small Town America’ in the future,”said Severance Mayor Matt Fries. “Every town in American deserves a unique zip code, especially when sales tax collection is 100% zip code identified, emergency responses is dependent on a correct zip code, and accurate insurance rates for citizens and businesses are tied to zip codes. I can’t understand why any person or organization would disagree with what this bill accomplishes. Congresswoman Boebert has fought like hell for small town America to maintain its own identity.  I call on the Senate to stand with her to get this common-sense legislation across the finish line. The citizens of Severance, Colorado deserve their own, unique zip code.”

    “The Zip Code bill is the solution to an issue that’s impacted communities like Lone Tree for far too long,” said Lone Tree Mayor Marissa Harmon. “This federal legislation is a critical step toward addressing an issue that has created unnecessary challenges for cities like Lone Tree with community identity, emergency management, public safety, business attraction and retention, insurance coverage, and mail delivery. With the passage of this legislation, we can improve service delivery, eliminate confusion, and better reflect the identity of the cities. I urge the U.S. Senate to act swiftly and support Colorado communities in doing what’s best for the people we serve.”

    BACKGROUND:

    The full text of Congresswoman Boebert’s H.R. 3095 can be read HERE. A shortened clip of the Congresswoman’s remarks from the House debate can be viewed HERE.

    The following news stories are a mixture of recent news articles and coverage on Congresswoman Boebert’s previous effort on zip codes in the 118th Congress:

    Washington Examiner: These 76 cities could receive new Zip Codes

    Fox 31: Proposed bill could give these Colorado areas a new zip code

    CBS News Colorado: New zip codes could improve Colorado towns’ income, safety

    9News: Colorado communities could receive new Zip Codes

    The Orange County Register: Could North Tustin get its own zip code? Proposed congressional effort underway to do that

    The Zip Code system was instituted in America in the 1960s. The Postal Service utilizes the zip code system to deliver mail, but it is also heavily used and relied on by economic developers, insurers and emergency personnel. 

    Communities that do not have a unique Zip Code often experience associated problems that include the loss of economic development, loss of sales tax, unjustifiably high insurance rates, tax remittance and commercial licensing issues, diminished public safety and reduced emergency response times, identity issues, and efficiency issues.

    For example, first responders often go to the wrong streets and people needing help experience delays due to Zip Code issues that would be addressed by this legislation.

    Small towns and cities can petition the Postal Service for a new Zip Code but it is rarely approved and if it is denied they cannot appeal this decision for up to 10 years. Congress has intervened on these matters and last passed a law enacting four new Zip Codes through the Post Accountability and Enhancement Act of 2006. 

    The current list of 33 cosponsors for H.R. 3095 includes Rep. Young Kim [CA-40], Rep. Brittany Pettersen [CO-07], Rep. Jason Crow [CO-06], Rep. Gabe Evans [CO-08], Rep. Joe Courtney [CT-02], Rep. Byron Donalds [FL-19], Rep. Mikie Sherrill [NJ-11], Rep. Nancy Mace [SC-01], Rep. Jared Moskowitz [FL-23], Rep. Keith Self [TX-03], Rep. Brandon Gill [TX-26], Rep. H. Morgan Griffith [VA-09], Rep. Bryan Steil [WI-01], Rep. Gwen Moore [WI-04], Rep. Scott Fitzgerald [WI-05], Rep. Harriet M. Hageman [WY-AL], Rep. Emilia Strong Sykes [OH-13], Rep. Andy Barr [KY-06], Rep. Nicholas A. Langworthy [NY-23], Rep. Nick LaLota [NY-01], Rep. Troy E. Nehls [TX-22], Rep. Mark Harris [NC-08], Rep. Pat Fallon [TX-04], Rep. Clay Higgins [LA-03], Rep. Mark E. Amodei [NV-02], Rep. Brad Finstad [MN-01], Rep. Sean Casten [IL-06], Rep. Gilbert Ray Cisneros [CA-31], Rep. Linda T. Sanchez [CA-38], Rep. Julia Letlow [LA-05], Rep. Brad Sherman [CA-32], Rep. William Timmons [SC-04], and Rep. Jeff Hurd [CO-03].

    The full list of communities included can be found below:

    (1) Canyon Lake, California.

    (2) Hidden Hills, California.

    (3) Industry, California.

    (4) North Tustin, California.

    (5) Tehachapi, California.

    (6) Castle Pines, Colorado.

    (7) Centennial, Colorado.

    (8) Cherry Hills Village, Colorado.

    (9) Greenwood Village, Colorado.

    (10) Highlands Ranch, Colorado.

    (11) Keystone, Colorado.

    (12) Lone Tree, Colorado.

    (13) Mountain Village, Colorado.

    (14) Mt. Crested Butte, Colorado.

    (15) Severance, Colorado.

    (16) Silver Cliff, Colorado.

    (17) Sterling Ranch, Colorado.

    (18) Superior, Colorado.

    (19) Telluride, Colorado.

    (20) Oakland Park, Florida.

    (21) Lighthouse Point, Florida.

    (22) Coconut Creek, Florida.

    (23) Parkland, Florida.

    (24) Deerfield Beach, Florida.

    (25) Wilton Manors, Florida.

    (26) Burr Ridge, Illinois.

    (27) Carmel, Indiana.

    (28) Noblesville, Indiana.

    (29) Westfield, Indiana.

    (30) Zionsville, Indiana.

    (31) Louisiana State University, Baton Rouge, Louisiana.

    (32) Montz, Louisiana.

    (33) Springwater Township, Minnesota.

    (34) Grass Valley, Nevada.

    (35) Swanzey, New Hampshire.

    (36) Kinnelon, New Jersey.

    (37) Flanders, New York.

    (38) Glendale, New York.

    (39) Riverside, New York.

    (40) Pendleton, New York.

    (41) Weddington, North Carolina.

    (42) Goose Creek, South Carolina.

    (43) Fairview, Texas.

    (44) Fate, Texas.

    (45) Heath, Texas.

    (46) Murphy, Texas.

    (47) Northlake, Texas.

    (48) Parker, Texas.

    (49) Sargent, Texas.

    (50) Fairlawn, Virginia.

    (51) Caledonia, Wisconsin.

    (52) Franklin, Wisconsin.

    (53) Glendale, Wisconsin.

    (54) Greenfield, Wisconsin.

    (55) Village of Mount Pleasant, Wisconsin.

    (56) Village of Somers, Wisconsin.

    (57) Village of Harrison, Wisconsin.

    (58) Hochatown, Oklahoma.

    (59) Green, Ohio.

    (60) Rochester, Wisconsin.

    (61) Quartzite Township, Minnesota.

    (62) Frederick, Colorado.

    (63) Camargo, Kentucky.

    (64) Wheatfield, New York.

    (65) Mauldin, South Carolina.

    (66) Josephine, Texas.

    MIL OSI USA News

  • MIL-OSI USA: Newhouse Votes for Responsible Land Management, Unleashing Natural Resources

    Source: United States House of Representatives – Congressman Dan Newhouse (4th District of Washington)

    Headline: Newhouse Votes for Responsible Land Management, Unleashing Natural Resources

    WASHINGTON, D.C. – Today, Rep. Dan Newhouse (WA-04) released the following statement upon committee passage of the Fiscal Year 2026 Interior, Environment, and Related Agencies Appropriations Act. 

    “In my four years as Chairman of the Congressional Western Caucus, I worked hard to counter the Biden administration’s top-down regulations that threatened our public lands and natural resources across the West. This legislation is a course correction from the previous administration to unleash the resources we have under our feet, protect public lands for all who enjoy their benefits, and prioritize conservation over preservation across the United States. I also secured critical funding for three water infrastructure projects in Othello, Winthrop, and Oroville to address the water supply and distribution challenges these communities face,” said Rep. Newhouse. 

    Newhouse added, “I thank Subcommittee Chairman Mike Simpson and Full Committee Chairman Tom Cole for their leadership and commitment to funding priorities that support our rural way of life.” 

    The Interior, Environment, and Related Agencies Appropriations Bill provides a total discretionary allocation of $37.971 billion, which is $2.54 billion (6%) below the Fiscal Year 2025 enacted level. 

    The bill fully funds the Payments in Lieu of Taxes (PILT) program, estimated at $550 million, and prioritizes funding for Tribes and Wildland Fire Management.  

    Champions American energy dominance and reduces regulatory burdens by: 

    • Providing the OMB requested increase of $13.6 million for offshore oil and gas development at the Bureau of Ocean Energy Management and the OMB requested increase of $15 million for onshore oil and gas development at the Bureau of Land Management.
    • Requiring the Secretary of the Interior to conduct onshore and offshore oil and gas lease sales.
    • Prohibiting the use of the social cost of carbon, which has stymied new development.
    • Prohibiting the EPA from imposing the methane fee on oil and gas producers created by the Democrats’ Inflation Reduction Act.
    • Prohibiting multiple U.S. Fish and Wildlife Service rulings used to weaponize the Endangered Species Act against land users and energy producers.

    Protects access to public lands by: 

    • Blocking restrictions on hunting, fishing, and recreational shooting on federal lands.
    • Preventing additional regulations on ammunition, ammunition components, or fishing tackle under the Toxic Substances Control Act or any other law.
    • Prohibiting restrictions on where standard lead ammunition and fishing tackle can be used on certain federal lands or waters unless conditions are met.
    • Stopping the Bureau of Land Management’s Conservation and Landscape Health rule to ensure continued access to public lands for grazing, recreation, and energy development.

    Bolsters U.S. national security and border protections by:  

    • Reducing our reliance on foreign countries for critical minerals by promoting access to resources here at home through blocking certain lease withdrawals in Minnesota and reinstating mineral leases in the Superior National Forest.
    • Promoting domestic mining by ensuring ancillary mining activities can be approved, which is a fix to the Rosemont decision that created additional red tape and regulatory uncertainty for mining operations.
    • Ensuring chemical and pesticide manufacturers are not overburdened with requirements that would drive businesses overseas and threaten American competitiveness.
    • Prohibiting funds for the National Park Service to provide housing to an alien without lawful status.
    • Providing $771.84 million for Tribal Public Safety and Justice programs, which is a 39% increase over the FY25 enacted level.

    Newhouse secured funding for the following projects in Washington’s Fourth District in this legislation:

    City of Othello 

    Amount Secured: $1,000,000  

    The City of Othello is 100 percent reliant on a rapidly depleting groundwater supply and after several years of data collection, study completions, and pilot test studies, the City of Othello has developed an Aquifer Storage and Recovery (ASR) strategy to mitigate declining water levels in the Wanapum Basalt aquifer. The ASR method has proven to be effective, and the City has progressed to the stage of predesign. The City is requesting funding assistance with the next phase of “design” to build a permanent solution that will result in a sustainable, reliable, environmentally responsible water supply plan for the Othello region.

    City of Winthrop 

    Amount Secured: $1,500,000 

    The proposed project will improve the reliability of the Town of Winthrop’s water source and distribution system. The town only has one functioning well (Well #1). If that well goes down, the town only has a day or two of water available in its three reservoirs. Well #2 has been approved as an emergency water source by Department of Health, but it needs to be rehabilitated to be in regular use. 

    Scope of work includes: 

    • Rehabilitation of Well #2, including new pump, motor, piping, electrical/controls, generator backup, and a new well house.
    • Repairs to the Town’s East Reservoir, including waterproofing, concrete repairs, and altitude valve replacement. 

    Community benefits include public health and safety, fire protection, and water conservation. Winthrop is ranked #6 on the Washington DNR’s burn probability list. Given the community’s vulnerability to wildfire, ensuring a resilient and redundant water supply system with reliable fire flow capacity is critical for public safety

    City of Oroville 

    Amount Secured: $1,400,000 

    The project will result in new, upgraded water pipes that ensure safe and reliable drinking water to Oroville’s north end area. The City of Oroville requests $1,750,000 for construction of the first phase of the project which consists of approximately 3,500 lineal feet of aging and undersized water transmission main piping serving the “North End” of the City’s water system. The existing water t-mains consist of 4-inch and 6-inch deteriorated PVC pipe, which cannot provide adequate fire flow or service pressure and are prone to leaking. The project will replace these existing, undersized transmission mains with 12-inch transmission mains along 20th from Main St to Juniper St, and along Juniper St and Main St from 20th St to 23rd St. The project will also replace existing, undersized water transmission mains with 8-inch transmission mains along Deerpath Dr from 21st St to 23rd St, and along 23rd St from Deerpath Dr to Westlake Ave. 

    Bill text before amendments can be found here. 

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    MIL OSI USA News