Category: Politics

  • MIL-OSI: AMSC Reports Fourth Quarter and Fiscal Year 2024 Financial Results and Business Outlook

    Source: GlobeNewswire (MIL-OSI)

    Business Highlights:

     • Full year revenues increased 53% year over year to $222.8 million
     • Full year net income increased $17.1 million year over year to $6.0 million
     • Generated $6.3 million of operating cash flow in the fourth quarter, helping to further strengthen the balance sheet

    Company to host conference call tomorrow, May 22 at 10:00 am ET

    AYER, Mass., May 21, 2025 (GLOBE NEWSWIRE) — AMSC (Nasdaq: AMSC), a leading system provider of megawatt-scale power resiliency solutions that orchestrate the rhythm and harmony of power on the grid™ and that protect and expand the capability and resiliency of our Navy’s fleet, today reported financial results for its fourth quarter and fiscal year ended March 31, 2025 (“fiscal 2024”).

    Revenues for the fourth quarter of fiscal 2024 were $66.7 million compared with $42.0 million for the same period of fiscal 2023. The year-over-year increase was driven by organic growth in New Energy Power Systems revenues along with the contributions from the acquisition of NWL, Inc. 

    AMSC’s net income for the fourth quarter of fiscal 2024 was $1.2 million, or $0.03 per share, compared to net loss of $1.6 million, or $0.05 per share, for the same period of fiscal 2023. The Company’s non-GAAP net income for the fourth quarter of fiscal 2024 was $4.8 million, or $0.13 per share, compared with a non-GAAP net income of $1.9 million, or $0.06 per share, in the same period of fiscal 2023. Please refer to the financial table below for a reconciliation of GAAP to non-GAAP results.

    Revenues for fiscal 2024 were $222.8 million as compared to $145.6 million in fiscal 2023. The year-over-year increase was driven by higher D-VAR and NEPSI revenues than in the prior year period along with the contribution from the acquisition of NWL, Inc. 

    AMSC reported net income for fiscal 2024 of $6.0 million, or $0.16 per share, compared to a net loss of $11.1 million, or $0.37 per share in fiscal 2023. The Company’s non-GAAP net income for fiscal 2024 was $24.0 million, or $0.65 per share, compared with non-GAAP net income of $0.6 million, or $0.02 per share, for fiscal 2023. Please refer to the financial table below for a reconciliation of GAAP to non-GAAP results.

    Cash, cash equivalents and restricted cash on March 31, 2025 totaled $85.4 million.

    “AMSC reported its strongest quarterly and annual performance in years,” said Daniel P. McGahn, Chairman, President and CEO of AMSC. “Fiscal fourth quarter revenue grew sequentially to over $66 million, up nearly 60% year-over-year. Net income surpassed $1.2 million, making our third consecutive quarter of profitability, and seventh consecutive quarter of positive operating cash flow. We secured $75 million in new orders, bringing total year-end orders to a recent record of nearly $320 million. Our fiscal 2024 results reflect improved financial performance, a resilient and diversified order pipeline, and solid operational execution—positioning AMSC for long-term success. With expanding end markets, we’re focused on broadening our offerings, entering new sectors, and strengthening customer relationships. We enter fiscal 2025 with strong momentum and confidence in our ability to continue building a more resilient and profitable company.”

    Business Outlook

    For the first quarter ending June 30, 2025, AMSC expects that its revenues will be in the range of $64.0 million to $68.0 million. The Company’s net income for the first quarter of fiscal 2025 is expected to exceed $1.0 million, or $0.03 per share. The Company’s non-GAAP net income (as defined below) is expected to exceed $4.0 million, or $0.10 per share. 

    Conference Call Reminder
    In conjunction with this announcement, AMSC management will participate in a conference call with investors beginning at 10:00 a.m. Eastern Time on Thursday, May 22, 2025, to discuss the Company’s financial results and business outlook. Those who wish to listen to the live or archived conference call webcast should visit the “Investors” section of the Company’s website at https://ir.amsc.com. The live call can be accessed by dialing 1-844-481-2802 or 1-412-317-0675 and asking to join the AMSC call. A replay of the call may be accessed 2 hours following the call by dialing 1-877-344-7529 and using conference passcode 4917468.

    About AMSC (Nasdaq: AMSC)
    AMSC generates the ideas, technologies and solutions that meet the world’s demand for smarter, cleaner … better energy™. Through its Gridtec™ Solutions, AMSC provides the engineering planning services and advanced grid systems that optimize network reliability, efficiency and performance. Through its Marinetec™ Solutions, AMSC provides ship protection and is developing propulsion and power management solutions designed to help fleets increase system efficiencies, enhance power quality and boost operational safety. Through its Windtec™ Solutions, AMSC provides wind turbine electronic controls and systems, designs and engineering services that reduce the cost of wind energy. The Company’s solutions are enhancing the performance and reliability of power networks, increasing the operational safety of navy fleets, and powering gigawatts of renewable energy globally. Founded in 1987, AMSC is headquartered near Boston, Massachusetts with operations in Asia, Australia, Europe and North America. For more information, please visit www.amsc.com.

    AMSC, American Superconductor, D-VAR, D-VAR VVO, Gridtec, Marintec, Windtec, Neeltran, NEPSI, NWL, Smarter, Cleaner … Better Energy and Orchestrate the Rhythm and Harmony of Power on the Grid are trademarks or registered trademarks of American Superconductor Corporation. All other brand names, product names, trademarks or service marks belong to their respective holders.

    Forward-Looking Statements

    This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Any statements in this release regarding our goals and strategies; business diversification; order pipeline; long-term success, including through expanding end markets, broadening offerings, entering new sectors; strengthening customer relationships; strong momentum; building a more resilient and profitable company; our expected GAAP and non-GAAP financial results for the quarter ending June 30, 2025; and other statements containing the words “believes,” “anticipates,” “plans,” “expects,” “will” and similar expressions, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements represent management’s current expectations and are inherently uncertain. There are a number of important factors that could materially impact the value of our common stock or cause actual results to differ materially from those indicated by such forward-looking statements. These important factors include, but are not limited to: We have not been historically profitable, which may recur in the future. Our operating results may fluctuate significantly from quarter to quarter and may fall below expectations in any particular fiscal quarter; While we generated positive operating cash flow in fiscal 2024 and the prior year, we have a history of negative operating cash flows, and we may require additional financing in the future, which may not be available to us; Our technology and products could infringe intellectual property rights of others, which may require costly litigation and, if we are not successful, could cause us to pay substantial damages and disrupt our business; Changes in exchange rates could adversely affect our results of operations; If we fail to maintain proper and effective internal control over financial reporting, our ability to produce accurate and timely financial statements could be impaired and may lead investors and other users to lose confidence in our financial data; We may be required to issue performance bonds, which restricts our ability to access any cash used as collateral for the bonds; We may not realize all of the sales expected from our backlog of orders and contracts; If we fail to implement our business strategy successfully, our financial performance could be harmed; We rely upon third-party suppliers for the components and subassemblies of many of our Grid and Wind products, making us vulnerable to supply shortages and price fluctuations, which could harm our business; Our contracts with the U.S. government are subject to audit, modification or termination by the U.S. government and include certain other provisions in favor of the government. The continued funding of such contracts remains subject to annual congressional appropriation, which, if not approved, could reduce our revenue and lower or eliminate our profit; Changes in U.S. government defense spending could negatively impact our financial position, results of operations, liquidity and overall business; Our business and operations may be materially adversely impacted in the event of a failure or security breach of our or any critical third parties’ IT Systems or Confidential Information; Failure to comply with evolving data privacy and data protection laws and regulations or to otherwise protect personal data, may adversely impact our business and financial results; Our success is dependent upon attracting and retaining qualified personnel and our inability to do so could significantly damage our business and prospects; A significant portion of our Wind segment revenues are derived from a single customer. If this customer’s business is negatively affected, it could adversely impact our business; Our success in addressing the wind energy market is dependent on the manufacturers that license our designs; We may acquire additional complementary businesses or technologies, which may require us to incur substantial costs for which we may never realize the anticipated benefits; Many of our revenue opportunities are dependent upon subcontractors and other business collaborators; Problems with product quality or product performance may cause us to incur warranty expenses and may damage our market reputation and prevent us from achieving increased sales and market share; Many of our customers outside of the United States may be either directly or indirectly related to governmental entities, and we could be adversely affected by violations of the United States Foreign Corrupt Practices Act and similar worldwide anti-bribery laws outside the United States; We or third parties on whom we depend may be adversely affected by natural disasters, including events resulting from climate change, and our business continuity and disaster recovery plans may not adequately protect us or our value chain from such events; Pandemics, epidemics, or other public health crises may adversely impact our business, financial condition and results of operations; Adverse changes in domestic and global economic conditions could adversely affect our operating results; Our international operations are subject to risks that we do not face in the United States, which could have an adverse effect on our operating results; Our products face competition, which could limit our ability to acquire or retain customers; We have operations in, and depend on sales in, emerging markets, including India, and global conditions could negatively affect our operating results or limit our ability to expand our operations outside of these markets. Changes in India’s political, social, regulatory and economic environment may affect our financial performance; Industry consolidation could result in more powerful competitors and fewer customers; Our success could depend upon the commercial adoption of the REG system, which is currently limited, and a widespread commercial market for our REG products may not develop; Increasing focus and scrutiny on environmental sustainability and social initiatives could adversely impact our business and financial results; Growth of the wind energy market depends largely on the availability and size of government subsidies, economic incentives and legislative programs designed to support the growth of wind energy; Lower prices for other energy sources may reduce the demand for wind energy development, which could have a material adverse effect on our ability to grow our Wind business; We may be unable to adequately prevent disclosure of trade secrets and other proprietary information; Our patents may not provide meaningful or long-term protection for our technology, which could result in us losing some or all of our market position; Third parties have or may acquire patents that cover the materials, processes and technologies we use or may use in the future to manufacture our Amperium products, and our success depends on our ability to license such patents or other proprietary rights; Our common stock has experienced, and may continue to experience, market price and volume fluctuations, which may prevent our stockholders from selling our common stock at a profit and could lead to costly litigation against us that could divert our management’s attention; Unfavorable results of legal proceedings could have a material adverse effect on our business, operating results and financial condition;and the other important factors discussed under the caption “Risk Factors” in Part 1. Item 1A of our Form 10-K for the fiscal year ended March 31, 2025, and our other reports filed with the SEC. These important factors, among others, could cause actual results to differ materially from those indicated by forward-looking statements made herein and presented elsewhere by management from time to time. Any such forward-looking statements represent management’s estimates as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.

     
    UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
    (In thousands, except per share data)
      Three Months Ended     Twelve Months Ended  
      March 31,     March 31,  
      2025     2024     2025     2024  
    Revenues                              
    Grid $ 55,592     $ 34,211     $ 187,170     $ 122,065  
    Wind   11,063       7,817       35,648       23,574  
    Total revenues   66,655       42,028       222,818       145,639  
                                   
    Cost of revenues   48,964       31,598       160,964       110,356  
                                   
    Gross margin   17,691       10,430       61,854       35,283  
                                   
    Operating expenses:                              
    Research and development   3,493       2,298       11,425       7,991  
    Selling, general and administrative   12,101       7,953       43,091       31,600  
    Amortization of acquisition related intangibles   444       538       1,733       2,152  
    Change in fair value of contingent consideration         1,870       6,682       4,922  
    Restructuring                     (14 )
    Total operating expenses   16,038       12,659       62,931       46,651  
                                   
    Operating income (loss)   1,653       (2,229 )     (1,077 )     (11,368 )
                                   
    Interest income, net   807       784       3,708       1,302  
    Other expense, net   (49 )     (117 )     (265 )     (736 )
    Income (loss) before income tax (benefit) expense   2,411       (1,562 )     2,366       (10,802 )
                                   
    Income tax (benefit) expense   1,204       17       (3,667 )     309  
                                   
    Net income (loss) $ 1,207     $ (1,579 )   $ 6,033     $ (11,111 )
                                   
    Net income (loss) per common share                              
    Basic $ 0.03     $ (0.05 )   $ 0.16     $ (0.37 )
    Diluted $ 0.03     $ (0.05 )   $ 0.16     $ (0.37 )
                                   
    Weighted average number of common shares outstanding                              
    Basic   37,672       33,139       36,990       29,825  
    Diluted   38,516       33,139       37,718       29,825  
     
    CONSOLIDATED BALANCE SHEET
    (In thousands, except per share data)
      March 31,     March 31,  
      2025     2024  
    ASSETS              
    Current assets:              
    Cash and cash equivalents $ 79,494     $ 90,522  
    Accounts receivable, net   46,186       26,325  
    Inventory, net   71,169       41,857  
    Prepaid expenses and other current assets   8,055       7,295  
    Restricted cash   1,613       468  
    Total current assets   206,517       166,467  
                   
    Property, plant and equipment, net   38,572       10,861  
    Intangibles, net   5,916       6,369  
    Right-of-use assets   3,829       2,557  
    Goodwill   48,164       43,471  
    Restricted cash   4,274       1,290  
    Deferred tax assets   1,178       1,119  
    Equity-method Investments   1,113        
    Other assets   958       637  
    Total assets $ 310,521     $ 232,771  
                   
                   
    LIABILITIES AND STOCKHOLDERS’ EQUITY              
                   
    Current liabilities:              
    Accounts payable and accrued expenses $ 32,282     $ 24,235  
    Lease liability, current portion   685       716  
    Debt, current portion         25  
    Contingent consideration         3,100  
    Deferred revenue, current portion   66,797       50,732  
    Total current liabilities   99,764       78,808  
                   
    Deferred revenue, long term portion   9,336       7,097  
    Lease liability, long term portion   2,684       1,968  
    Deferred tax liabilities   1,595       300  
    Other liabilities   28       27  
    Total liabilities   113,407       88,200  
                   
    Stockholders’ equity:              
    Common stock, $0.01 par value, 75,000,000 shares authorized; 39,887,536 and 37,343,812 shares issued and 39,484,185 and 36,946,181 shares outstanding at March 31, 2025 and 2024, respectively   399       373  
    Additional paid-in capital   1,259,540       1,212,913  
    Treasury stock, at cost, 403,351 and 397,631 at March 31, 2025 and 2024, respectively   (3,765 )     (3,639 )
    Accumulated other comprehensive income   1,565       1,582  
    Accumulated deficit   (1,060,625 )     (1,066,658 )
    Total stockholders’ equity   197,114       144,571  
    Total liabilities and stockholders’ equity $ 310,521     $ 232,771  
     
    CONSOLIDATED STATEMENTS OF CASH FLOWS
    (In thousands)
      Year Ended March 31,  
      2025     2024  
    Cash flows from operating activities:              
    Net income (loss) $ 6,033     $ (11,111 )
    Adjustments to reconcile net income (loss) to net cash provided by operations:              
    Depreciation and amortization   5,560       4,494  
    Stock-based compensation expense   7,794       4,652  
    Provision for excess and obsolete inventory   1,532       1,970  
    Amortization of operating lease right-of-use assets   976       321  
    Deferred income taxes   (4,304 )     65  
    Earnings from equity method investments   132        
    Change in fair value of contingent consideration   6,682       4,922  
    Other non-cash items   (587 )     44  
    Unrealized foreign exchange gain on cash and cash equivalents   (41 )     (2 )
    Changes in operating asset and liability accounts:              
    Accounts receivable   (3,213 )     4,340  
    Inventory   (7,707 )     (6,841 )
    Prepaid expenses and other current assets   543       5,992  
    Operating leases   (1,563 )     (327 )
    Accounts payable and accrued expenses   3,209       (13,498 )
    Deferred revenue   13,239       7,117  
    Net cash provided by operating activities   28,285       2,138  
                   
    Cash flows from investing activities:              
    Purchases of property, plant and equipment   (2,415 )     (934 )
    Cash paid to settle NWL contingent consideration liability   (3,278 )      
    Cash paid for NWL Acquisition, net of cash acquired   (29,577 )      
    Change in other assets   64       (27 )
    Net cash used in investing activities   (35,206 )     (961 )
                   
    Cash flows from financing activities:              
    Repurchase of treasury stock   (126 )      
    Repayment of debt   (25 )     (65 )
    Cash paid related to registration of common stock shares   (148 )      
    Proceeds from public equity offering, net         65,227  
    Proceeds from exercise of employee stock options and ESPP   307       279  
    Net cash provided by financing activities   8       65,441  
                   
    Effect of exchange rate changes on cash, cash equivalents and restricted cash   14       (13 )
                   
    Net (decrease) increase in cash, cash equivalents and restricted cash   (6,899 )     66,605  
    Cash, cash equivalents and restricted cash at beginning of year   92,280       25,675  
    Cash, cash equivalents and restricted cash at end of year $ 85,381     $ 92,280  
     
    RECONCILIATION OF GAAP NET INCOME (LOSS) TO NON-GAAP NET INCOME
    (In thousands, except per share data)
      Three Months Ended March 31,     Year Ended March 31,  
      2025     2024     2025     2024  
    Net income (loss) $ 1,206     $ (1,579 )   $ 6,033     $ (11,111 )
    Stock-based compensation   2,855       1,044       7,794       4,652  
    Amortization of acquisition-related intangibles   706       538       2,433       2,158  
    Change in fair value of contingent consideration         1,870       6,682       4,922  
    Acquisition costs               1,095        
    Non-GAAP net income   4,767       1,873       24,037       621  
                                   
    Non-GAAP net income per share – basic $ 0.13     $ 0.06     $ 0.65     $ 0.02  
    Non-GAAP net income per share – diluted $ 0.12     $ 0.05     $ 0.64     $ 0.02  
    Weighted average shares outstanding – basic   37,672       33,139       36,990       29,825  
    Weighted average shares outstanding – diluted   38,516       34,447       37,718       30,909  
     
    Reconciliation of Forecast GAAP Net Income to Non-GAAP Net Income
    (In millions, except per share data)
      Three months ending  
      June 30, 2025  
    Net income $ 1.0  
    Stock-based compensation   2.6  
    Amortization of acquisition-related intangibles   0.4  
    Non-GAAP net income $ 4.0  
    Non-GAAP net income per share $ 0.10  
    Shares outstanding   38.7  
     

    Note: Non-GAAP net income (loss) is defined by the Company as net income (loss) before; stock-based compensation; amortization of acquisition-related intangibles; changes in fair value of contingent consideration; acquisition costs; other non-cash or unusual charges, and the tax effect of adjustments calculated at the relevant rate for our non-GAAP metric. The Company believes non-GAAP net income (loss) and non-GAAP net income (loss) per share assist management and investors in comparing the Company’s performance across reporting periods on a consistent basis by excluding these non-cash, non-recurring or other charges that it does not believe are indicative of its core operating performance. Actual GAAP and non-GAAP net income (loss) and net income (loss) per share for the fiscal quarter ending June 30, 2025, including the above adjustments, may differ materially from those forecasted in the table above, including as a result of changes in the fair value of contingent consideration.

    Generally, a non-GAAP financial measure is a numerical measure of a company’s performance, financial position or cash flow that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. The non-GAAP measures included in this release, however, should be considered in addition to, and not as a substitute for or superior to, operating income or other measures of financial performance prepared in accordance with GAAP. A reconciliation of GAAP to non-GAAP net income (loss) is set forth in the table above. Non-GAAP net income (loss) per share is defined as non-GAAP net income (loss) divided by shares outstanding.

    AMSC Contacts
    Investor Relations Contact:
    Carolyn Capaccio, CFA
    Phone: 212-838-3777
    amscIR@allianceadvisors.com

    AMSC Director, Communications:
    Nicol Golez
    978-399-8344
    Nicol.Golez@amsc.com

    Public Relations Contact:
    RooneyPartners
    Joe Luongo
    (914) 906-5903
    jluongo@rooneypartners.com

    The MIL Network

  • MIL-OSI United Nations: 21 May 2025 Note for Media Seventy-eighth World Health Assembly – Daily update: 21 May 2025

    Source: World Health Organisation

    A “health financing emergency” must drive country-led, data-driven solutions

    Ministers from multiple countries hit by the abrupt cuts in external funding for health agreed on the urgent need for country-owned and implemented strategies – and a laser-sharp focus on health data – at a ministerial dialogue co-hosted by WHO and the Susan Thompson Buffett Foundation at the Seventy-eighth World Health Assembly.

    Opening remarks by Professor Senait Fisseha, Vice President of Global Programs at the Susan Thompson Buffett Foundation, and Dr Tedros Adhanom Ghebreyesus, WHO Director-General, set the tone by noting that the crisis presents an opportunity for a turnaround in how health financing policies and health data systems are built and operated.

    Specifically, this is a time for countries to reduce their reliance on external health information systems and external financing; build out their domestic data infrastructure, from vital statistics to downstream impact and return-on-investment; and establish resilient systems designed to withstand shocks, so that access to essential services is protected.

    Professor Fisseha called on countries “to use this moment to rethink data and financing in a way that best meets your needs and the needs of your people […] For countries to truly lead and for funders and development partners to start to learn how to follow. Data and financing are a natural place to start because that is where ministers are telling us to start.”

    Dr Tedros said, “From expanding domestic financing to pioneering real-time data systems, many of you are advancing solutions that are scalable, sustainable and rooted in equity. Data and sustainable financing are not just technical matters. They are political choices. They shape who is reached, how quickly, and with what quality of care. And they determine whether we progress or fall behind.”

    Ministers from Barbados, Central African Republic, Egypt, Liberia, Malawi, Rwanda and Sierra Leone, and representatives from the African Union and the World Bank, among others, shared experiences and advice on concrete actions to strengthen data systems, health financing and planning – urging intensified collaboration in the future. They also spoke of the need to leverage the digital transformation and thereby increase transparency and accountability.

    Also discussed: strategies to improve domestic financing capacity while maximizing impact include: strengthening tax administration; exploring revenue sources such as taxes on such items as food, alcohol and tobacco; setting up population-wide mandatory health coverage schemes, coupled with subsidies for low-income households and vulnerable population groups; promoting strategic purchasing of health supplies; prioritizing health in public spending; and integrating externally-funded programmes into domestic financing systems and priorities. 

    Later this week the Assembly will take up the proposed WHA Health Financing Resolution. 

    Related links

    WHO Director-General’s opening remarks at the Strategic Roundtable: Data and Sustainable Financing: Twin Foundations to Accelerate UHC – 21 May 2025

    Report on the health conditions in the occupied Palestinian territory, including east Jerusalem, and in the occupied Syrian Golan

    On 21 May 2025, the Seventy-eighth World Health Assembly noted a report from the Director-General, outlining WHO’s humanitarian and emergency health response in the occupied Palestinian territory, including east Jerusalem, and in the occupied Syrian Golan, from January 2024 to February 2025.

    A report on the health conditions in the occupied Syrian Golan couldn’t be provided this year again due to the ongoing situation and the lack of disaggregated health data on the Syrian population. Member States were invited to provide guidance on how to support WHO and partners to restore essential health services across Syria and enable a WHO field-assessment mission to the occupied Syrian Golan.   

    Member States expressed grave concerns over the deterioration of the health system in Gaza, including forced displacement, overcrowding and deteriorating sanitation, and attacks on health, stressing the need for concerted action to address the dire health needs.

    A number of Member States presented draft decisions asking the Director-General to continue reporting on the health conditions in the occupied Palestinian territory, including east Jerusalem, and in the occupied Syrian Golan, and more specifically on food insecurity and malnutrition in the Gaza Strip, and to continue supporting the Palestinian and Syrian health systems. The decision was adopted.

    Related documents

    A78/16: Health conditions in the occupied Palestinian territory, including east Jerusalem, and in the occupied Syrian Golan

    A78/B/CONF./1: Health conditions in the occupied Palestinian territory, including east Jerusalem, and in the occupied Syrian Golan

    A78/B/CONF./1 Add.1: Financial and administrative implications for the Secretariat of decisions proposed for adoption by the Health Assembly

    MIL OSI United Nations News

  • MIL-OSI USA: Cotton Introduces Bill to Make Food Inspection Safe and More Efficient

    US Senate News:

    Source: United States Senator for Arkansas Tom Cotton

    FOR IMMEDIATE RELEASE
    Contact: Caroline Tabler or Patrick McCann (202) 224-2353
    May 21, 2025

    Cotton Introduces Bill to Make Food Inspection Safe and More Efficient

    Washington, D.C. — Senator Tom Cotton (R-Arkansas) today introduced the Study And Framework for Efficiency in Food Oversight and Organizational Design (SAFE FOOD) Act, legislation that would direct the Department of Agriculture to conduct a study on the consolidation of federal agencies that have a primary role in ensuring food safety into a single agency.

    “Current food safety oversight is spread across multiple federal, state, and local agencies which decreases efficacy, creates gaps, and slows response times to potential public health risks. My bill is a commonsense step to expanding government efficiency and enhancing public health protection by unifying our food safety agencies,” said Senator Cotton.

     Full text of the bill may be found here.

    The SAFE FOOD Act would:

    • Direct the USDA to conduct a study on the consolidation of federal food safety agencies into a single agency.
    • Restructure the federal food safety system to enhance public health protections through a more unified and efficient system.
    • Provide Congress necessary recommendations to improve American food safety.

    MIL OSI USA News

  • MIL-OSI USA: ICYMI: Mullin Tells Hannity: “Trump is putting a cast together that is going to Make America Great Again.”

    US Senate News:

    Source: United States Senator MarkWayne Mullin (R-Oklahoma)

    ICYMI: Mullin Tells Hannity: “Trump is putting a cast together that is going to Make America Great Again.”

    “The good thing is we got a leader in President Trump that has truly put a cabinet in place that not only can deliver what the American people want, they can also defend themselves along the way.”

    Washington, D.C. – On Tuesday, U.S. Senator Markwayne Mullin (R-OK) joined Fox News’s Sean Hannity on Hannity to discuss the Trump administration’s efforts to slash government waste, fraud, and abuse, and the recent liberal tirades against Secretary of State Marco Rubio, and Health and Human Services Secretary Robert F. Kennedy, in congressional hearings. Highlights below.

    Sen. Mullin’s full interview can be found here.

    On how department secretaries are cutting absurd amounts of government spending:

    “The State Department’s budget has doubled in the last four years. Literally, it was $41 billion it’s nearly $82 billion today. And is the country and the world safer because we invested in DEI [Diversity, Equity, and Inclusion]? Because $73 million through that budget went directly to DEI stuff. And so, if you’re going to really try to defend what you spent your money on, you can’t…

    “That’s why they were upset, because Marco Rubio and JFK [sic] are trying to truly cut spending, and that’s what—or RFK I’m sorry—they’re truly trying to cut spending, and they are going to do it. You just talk about HHS, where Bobby’s trying to actually cut spending too, their budget is $1.67 trillion. Now that is more than the sixth largest country in the world. That’s bigger than their entire budget $1.67 trillion and what have we got? An increase in the last four years by 38% and we are no closer to solving any chronic diseases than we were four years ago, and this is what they’re pushing back on.”

    On how Democrats are losing their minds at the idea of cutting waste, fraud, and abuse:

    “The Democrats are truly losing their ever-loving mind over it and saying that we’re making children sicker, and that we’re killing children around the world because we’re cutting DEI funding. It’s indefensible by the Democrats and I’m glad to see RFK and Marco go right back at them and put them in their place.”

    On the all-star team of cabinet officials President Trump has built:

    “The good thing is we got a leader in President Trump that has truly put a cabinet in place that not only can deliver what the American people want, they can also defend themselves along the way. And this is why President Trump said he’s putting a cast together that is going to Make America Great Again.”

    MIL OSI USA News

  • MIL-OSI USA: “We will never let that happen again” — Wyoming honors its veterans across the state 

    Source: US State of Wyoming

    Wyoming National Guard 

    By Joseph Coslett Jr. 

     CHEYENNE, Wyo. – On May 10, 2025, the State of Wyoming paid tribute to its Veterans in a series of ceremonies as part of the annual Veterans Welcome Home Day.  

    Gov. Mark Gordon, U.S. Senator John Barrasso and U.S. Representative Harriet Hageman joined leaders from the Wyoming Military Department and the Wyoming Veterans Commission, traveled across the state to thank those who served—especially Veterans from the Korean and Vietnam Wars who were never properly welcomed home. 

    The daylong journey began at sunrise in Cheyenne and included four official ceremonies in Afton, Riverton, Sheridan and concluded in Wheatland. At each stop, the Governor, First Lady Jennie Gordon, Maj. Gen. Greg Porter, Adjutant General of Wyoming, and other dignitaries met with Veterans and their families, delivering remarks and expressing gratitude for their service. 

    Speaking to a room filled with Veterans and their loved ones, Porter reflected on the significance of the moment by connecting it to the broader legacy of American service. He reminded attendees that just weeks earlier, on April 19, the nation had observed the 250th anniversary of the “shot heard ‘round the world” at Lexington and Concord—an event that began a long lineage of Americans willing to fight for freedom. 

    “Over that time, America’s done a pretty good job of bringing its [servicemembers] home—with two exceptions: the Korean War and the Vietnam War,” Porter said. “Our Vietnam Veterans faced a far different return. They probably wished for an apathetic return. They faced derision, sarcasm, and hate in some cases—certainly disrespect. The purpose of these Welcome Home ceremonies is to take a moment to pause and recommit that we will never let that happen again as a nation.” 

    Gordon echoed that message, “This day is about saying, ‘Thank you for your service—welcome home.’ That gratitude extends to the families, too. Our Veterans carry a legacy that began with citizens who marched barefoot through snow because they believed in what this country stood for. In the military, we never leave anyone behind. As a nation, we should never leave a Veteran behind.” 

    As part of the ceremony, the official proclamation was read declaring March 30, 2025, as Wyoming Veterans Welcome Home Day, recognizing the moment in history when U.S. troops completed their withdrawal from Vietnam in 1973. The proclamation recounts how many Veterans returned to a country divided by politics and conflict, and how they were met not with honor—but with silence, scorn or worse. 

    “Members of the United States armed forces who served bravely and faithfully for the United States were caught in the crossfire of public debate about the involvement of the United States in the Vietnam War, and many were met with such disrespect that military leaders recommended Soldiers not wear their military uniforms as they returned home.”

    The proclamation goes on to honor all Veterans, particularly those from the Korean and Vietnam Wars, and urges citizens to recognize their service “not just today but every day.” 

    After the speeches concluded, Governor Gordon took time to greet each Veteran in attendance, shaking hands and presenting a personalized challenge coin as a token of thanks.  

    Also present were Wyoming Veterans Commission Chairman Command Sgt. Maj. (Ret.) Ken Persson, Sr., and Director Col. (Ret.) Tim Sheppard, both of whom played key roles in organizing the day’s events and honoring those who once returned home without recognition. 

    As the day came to a close, the message that echoed from community to community was simple but profound: Wyoming remembers. Wyoming is grateful. And Wyoming will never forget. 

    For more information on Veterans Welcome Home Day or to learn about available resources for Veterans, contact the Wyoming Veterans Commission at (307) 777-8152. 

    MIL OSI USA News

  • MIL-OSI USA: Russian GRU Targeting Western Logistics Entities and Technology Companies

    News In Brief – Source: US Computer Emergency Readiness Team

    Executive Summary

    This joint cybersecurity advisory (CSA) highlights a Russian state-sponsored cyber campaign targeting Western logistics entities and technology companies. This includes those involved in the coordination, transport, and delivery of foreign assistance to Ukraine. Since 2022, Western logistics entities and IT companies have faced an elevated risk of targeting by the Russian General Staff Main Intelligence Directorate (GRU) 85th Main Special Service Center (85th GTsSS), military unit 26165—tracked in the cybersecurity community under several names (see “Cybersecurity Industry Tracking”). The actors’ cyber espionage-oriented campaign, targeting technology companies and logistics entities, uses a mix of previously disclosed tactics, techniques, and procedures (TTPs). The authoring agencies expect similar targeting and TTP use to continue.

    Executives and network defenders at logistics entities and technology companies should recognize the elevated threat of unit 26165 targeting, increase monitoring and threat hunting for known TTPs and indicators of compromise (IOCs), and posture network defenses with a presumption of targeting.

    This cyber espionage-oriented campaign targeting logistics entities and technology companies uses a mix of previously disclosed TTPs and is likely connected to these actors’ wide scale targeting of IP cameras in Ukraine and bordering NATO nations.

    The following authors and co-sealers are releasing this CSA:

    • United States National Security Agency (NSA)
    • United States Federal Bureau of Investigation (FBI)
    • United Kingdom National Cyber Security Centre (NCSC-UK)
    • Germany Federal Intelligence Service (BND) Bundesnachrichtendienst
    • Germany Federal Office for Information Security (BSI) Bundesamt für Sicherheit in der Informationstechnik
    • Germany Federal Office for the Protection of the Constitution (BfV) Bundesamt für Verfassungsschutz
    • Czech Republic Military Intelligence (VZ)  Vojenské zpravodajství
    • Czech Republic National Cyber and Information Security Agency (NÚKIB) Národní úřad pro kybernetickou a informační bezpečnost
    • Czech Republic Security Information Service (BIS) Bezpečnostní informační služba
    • Poland Internal Security Agency (ABW) Agencja Bezpieczeństwa Wewnętrznego
    • Poland Military Counterintelligence Service (SKW) Służba Kontrwywiadu Wojskowego
    • United States Cybersecurity and Infrastructure Security Agency (CISA)
    • United States Department of Defense Cyber Crime Center (DC3)
    • United States Cyber Command (USCYBERCOM)
    • Australian Signals Directorate’s Australian Cyber Security Centre (ASD’s ACSC)
    • Canadian Centre for Cyber Security (CCCS)
    • Danish Defence Intelligence Service (DDIS) Forsvarets Efterretningstjeneste
    • Estonian Foreign Intelligence Service (EFIS) Välisluureamet
    • Estonian National Cyber Security Centre (NCSC-EE) Küberturvalisuse keskus
    • French Cybersecurity Agency (ANSSI) Agence nationale de la sécurité des systèmes d’information
    • Netherlands Defence Intelligence and Security Service (MIVD) Militaire Inlichtingen- en Veiligheidsdienst
       

    Download the PDF version of this report:

    Russian GRU Targeting Western Logistics Entities and Technology Companies (PDF, 1,081KB)

    For a downloadable list of IOCs, visit:

    Introduction

    For over two years, the Russian GRU 85th GTsSS, military unit 26165—commonly known in the cybersecurity community as APT28, Fancy Bear, Forest Blizzard, BlueDelta, and a variety of other identifiers—has conducted this campaign using a mix of known tactics, techniques, and procedures (TTPs), including reconstituted password spraying capabilities, spearphishing, and modification of Microsoft Exchange mailbox permissions.
    In late February 2022, multiple Russian state-sponsored cyber actors increased the variety of cyber operations for purposes of espionage, destruction, and influence—with unit 26165 predominately involved in espionage. [1] As Russian military forces failed to meet their military objectives and Western countries provided aid to support Ukraine’s territorial defense, unit 26165 expanded its targeting of logistics entities and technology companies involved in the delivery of aid. These actors have also targeted Internet-connected cameras at Ukrainian border crossings to monitor and track aid shipments.
    Note: This advisory uses the MITRE ATT&CK® for Enterprise framework, version 17. See Appendix A: MITRE ATT&CK tactics and techniques for a table of the threat actors’ activity mapped to MITRE ATT&CK tactics and techniques. This advisory uses the MITRE D3FEND® framework, version 1.0.

    Description of Targets

    The GRU unit 26165 cyber campaign against Western logistics providers and technology companies has targeted dozens of entities, including government organizations and private/commercial entities across virtually all transportation modes: air, sea, and rail. These actors have targeted entities associated with the following verticals within NATO member states, Ukraine, and at international organizations: 

    •  Defense Industry
    • Transportation and Transportation Hubs (ports, airports, etc.)
    • Maritime
    • Air Traffic Management
    • IT Services

    In the course of the targeting lifecycle, unit 26165 actors identified and conducted follow-on targeting of additional entities in the transportation sector that had business ties to the primary target, exploiting trust relationships to attempt to gain additional access [T1199].

    The actors also conducted reconnaissance on at least one entity involved in the production of industrial control system (ICS) components for railway management, though a successful compromise was not confirmed [TA0043].

    The countries with targeted entities include the following, as illustrated in Figure 1:

    • Bulgaria
    • Czech Republic
    • France
    • Germany
    • Greece
    • Italy
    • Moldova
    • Netherlands
    • Poland
    • Romania
    • Slovakia
    • Ukraine
    • United States
       
    Figure 1: Countries with Targeted Entities

    Initial Access TTPs

    To gain initial access to targeted entities, unit 26165 actors used several techniques to gain initial access to targeted entities, including (but not limited to):

    The actors abused vulnerabilities associated with a range of brands and models of small office/home office (SOHO) devices to facilitate covert cyber operations, as well as proxy malicious activity via devices with geolocation in proximity to the target [T1665]. [2]

    Credential Guessing/Brute Force

    Unit 26165 actors’ credential guessing [T1110.001] operations in this campaign exhibit some similar characteristics to those disclosed in the previous CSA “Russian GRU Conducting Global Brute Force Campaign to Compromise Enterprise and Cloud Environments.” [3] Based on victim network investigations, the current iteration of this TTP employs a similar blend of anonymization infrastructure, including the use of Tor and commercial VPNs [T1090.003]. The actors frequently rotated the IP addresses used to further hamper detection. All observed connections were made via encrypted TLS [T1573]. 

    Spearphishing

    GRU unit 26165 actors’ spearphishing emails included links [T1566.002] leading to fake login pages impersonating a variety of government entities and Western cloud email providers’ webpages. These webpages were typically hosted on free third-party services or compromised SOHO devices and often used legitimate documents associated with thematically similar entities as lures. The subjects of spearphishing emails were diverse and ranged from professional topics to adult themes. Phishing emails were frequently sent via compromised accounts or free webmail accounts [T1586.002, T1586.003]. The emails were typically written in the target’s native language and sent to a single targeted recipient. 

    Some campaigns employed multi-stage redirectors [T1104] verifying IP-geolocation [T1627.001] and browser fingerprints [T1627] to protect credential harvesting infrastructure or provide multifactor authentication (MFA) [T1111] and CAPTCHA relaying capabilities [T1056]. Connecting endpoints failing the location checks were redirected to a benign URL [T1627], such as msn.com. Redirector services used include:

    • Webhook[.]site
    • FrgeIO
    • InfinityFree
    • Dynu
    • Mocky
    • Pipedream
    • Mockbin[.]org

    The actors also used spearphishing to deliver malware (including HEADLACE and MASEPIE) executables [T1204.002] delivered via third-party services and redirectors [T1566.002], scripts in a mix of languages [T1059] (including BAT [T1059.003] and VBScript [T1059.005]) and links to hosted shortcuts [T1204.001].

    CVE Usage

    Throughout this campaign, GRU unit 26165 weaponized an Outlook NTLM vulnerability (CVE-2023-23397) to collect NTLM hashes and credentials via specially crafted Outlook calendar appointment invitations [T1187]. [4],[5] These actors also used a series of Roundcube CVEs (CVE-2020-12641, CVE-2020-35730, and CVE-2021-44026) to execute arbitrary shell commands [T1059], gain access to victim email accounts, and retrieve sensitive data from email servers [T1114].

    Since at least fall 2023, the actors leveraged a WinRAR vulnerability (CVE-2023-38831) allowing for the execution of arbitrary code embedded in an archive as a means of initial access [T1659]. The actors sent emails with malicious attachments [T1566.001] or embedded hyperlinks [T1566.002] that downloaded a malicious archive prepared using this CVE. 

    Post-Compromise TTPs

    After an initial compromise using one of the above techniques, unit 26165 actors conducted contact information reconnaissance to identify additional targets in key positions [T1589.002]. The actors also conducted reconnaissance of the cybersecurity department [T1591], individuals responsible for coordinating transport [T1591.004], and other companies cooperating with the victim entity [T1591.002].

    The actors used native commands and open source tools, such as Impacket and PsExec, to move laterally within the environment [TA0008]. Multiple Impacket scripts were used as .exe files, in addition to the python versions, depending on the victim environment. The actors also moved laterally within the network using Remote Desktop Protocol (RDP) [T1021.001] to access additional hosts and attempt to dump Active Directory NTDS.dit domain databases [T1003.003] using native Active Directory Domain Services commands, such as in Figure 2: Example Active Directory Domain Services command:

    C:Windowssystem32ntdsutil.exe "activate instance ntds" ifm "create full C:temp[a-z]{3}" quit quit

    Figure 2: Example Active Directory Domain Services command

    Additionally, GRU unit 26165 actors used the tools Certipy and ADExplorer.exe to exfiltrate information from the Active Directory. The actors installed python [T1059.006] on infected machines to enable the execution of Certipy. Accessed files were archived in .zip files prior to exfiltration [T1560]. The actors attempted to exfiltrate archived data via a previously dropped OpenSSH binary [T1048].

    Incident response investigations revealed that the actors would take steps to locate and exfiltrate lists of Office 365 users and set up sustained email collection. The actors used manipulation of mailbox permissions [T1098.002] to establish sustained email collection at compromised logistics entities, as detailed in a Polish Cybercommand blog. [6]

    After initial authentication, unit 26165 actors would change accounts’ folder permissions and enroll compromised accounts in MFA mechanisms to increase the trust-level of compromised accounts and enable sustained access [T1556.006]. The actors leveraged python scripts to retrieve plaintext passwords via Group Policy Preferences [T1552.006] using Get-GPPPassword.py and a modified ldap-dump.py to enumerate the Windows environment [T1087.002] and conduct a brute force password spray [T1110.003] via Lightweight Directory Access Protocol (LDAP). The actors would additionally delete event logs through the wevtutil utility [T1070.001].

    After gaining initial access to the network, the actors pursued further access to accounts with access to sensitive information on shipments, such as train schedules and shipping manifests. These accounts contained information on aid shipments to Ukraine, including: 

    • sender,
    • recipient,
    • train/plane/ship numbers,
    • point of departure,
    • destination,
    • container registration numbers,
    • travel route, and
    • cargo contents. 

    In at least one instance, the actors attempted to use voice phishing [T1566.004] to gain access to privileged accounts by impersonating IT staff.

    Malware

    Unit 26165’s use of malware in this campaign ranged from gaining initial access to establishing persistence and exfiltrating data. In some cases, the attack chain resulted in multiple pieces of malware being deployed in succession. The actors used dynamic link library (DLL) search order hijacking [T1574.001] to facilitate malware execution. There were a number of known malware variants tied to this campaign against logistics sector victims, including:

    • HEADLACE [7]
    • MASEPIE [8]

    While other malware variants, such as OCEANMAP and STEELHOOK, [8] were not directly observed targeting logistics or IT entities, their deployment against victims in other sectors in Ukraine and other Western countries suggest that they could be deployed against logistics and IT entities should the need arise. 

    Persistence

    In addition to the abovementioned mailbox permissions abuse, unit 26165 actors also used scheduled tasks [T1053.005], run keys [T1547.001], and placed malicious shortcuts [T1547.009] in the startup folder to establish persistence. 

    Exfiltration

    GRU unit 26165 actors used a variety of methods for data exfiltration that varied based on the victim environment, including both malware and living off the land binaries. PowerShell commands [T1059.001] were often used to prepare data for exfiltration; for example, the actors prepared zip archives [T1560.001] for upload to their own infrastructure. 

    The actors also used server data exchange protocols and Application Programming Interfaces (APIs) such as Exchange Web Services (EWS) and Internet Message Access Protocol (IMAP) [T1114.002] to exfiltrate data from email servers. In multiple instances, the actors used periodic EWS queries [T1119] to collect new emails sent and received since the last data exfiltration [T1029]. The actors typically used infrastructure in close geographic proximity to the victim. Long gaps between exfiltration, the use of trusted and legitimate protocols, and the use of local infrastructure allowed for long-term collection of sensitive data to go undetected. 

    Connections to Targeting of IP Cameras

    In addition to targeting logistics entities, unit 26165 actors likely used access to private cameras at key locations, such as near border crossings, military installations, and rail stations, to track the movement of materials into Ukraine. The actors also used legitimate municipal services, such as traffic cams. 

    The actors targeted Real Time Streaming Protocol (RTSP) servers hosting IP cameras primarily located in Ukraine as early as March 2022 in a large-scale campaign, which included attempts to enumerate devices [T1592] and gain access to the cameras’ feeds [T1125]. Actor-controlled servers sent RTSP DESCRIBE requests destined for RTSP servers, primarily hosting IP cameras [T1090.002]. The DESCRIBE requests were crafted to obtain access to IP cameras located on logically distinct networks from that of the routers that received the request. The requests included Base64-encoded credentials for the RTSP server, which included publicly documented default credentials and likely generic attempts to brute force access to the devices [T1110]. An example of an RTSP request is shown in Figure 3.

    DESCRIBE rtsp://[IP ADDRESS] RTSP/1.0

    CSeq: 1

    Authorization: Basic

    User-Agent: WebClient

    Accept: application/sdp

    DESCRIBE rtsp://[IP ADDRESS] RTSP/1.0

    CSeq: 2

    Authorization: Digest username="admin", realm="[a-f0-9]{12}", algorithm="MD5", nonce="[a-f0-9]{32}", uri="", response="[a-f0-9]{32}"

    User-Agent: WebClient

    Accept: application/sdp

    Figure 3: Example RTSP request

    Successful RTSP 200 OK responses contained a snapshot of the IP camera’s image and IP camera metadata such as video codec, resolution, and other properties depending on the IP camera’s configuration. 

    From a sample available to the authoring agencies of over 10,000 cameras targeted via this effort, the geographic distribution of victims showed a strong focus on cameras in Ukraine and border countries, as shown in Table 1:

    Table 1: Geographic distribution of targeted IP cameras
    Country Percentage of Total Attempts
    Ukraine 81.0%
    Romania 9.9%
    Poland 4.0%
    Hungary 2.8%
    Slovakia 1.7%
    Others 0.6%

    Mitigation Actions

    General Security Mitigations

    Architecture and Configuration

    • Employ appropriate network segmentation [D3-NI] and restrictions to limit access and utilize additional attributes (such as device information, environment, and access path) when making access decisions [D3-AMED].
      • Consider Zero Trust principles when designing systems. Base product choices on how those products can solve specific risks identified as part of the end-to-end design. [9]
    • Ensure that host firewalls and network security appliances (e.g., firewalls) are configured to only allow legitimately needed data flows between devices and servers to prevent lateral movement [D3-ITF]. Alert on attempts to connect laterally between host devices or other unusual data flows.
    • Use automated tools to audit access logs for security concerns and identify anomalous access requests [D3-RAPA].
    • For organizations using on-premises authentication and email services, block and alert on NTLM/SMB requests to external infrastructure [D3-OTF].
    • Utilize endpoint, detection, and response (EDR) and other cybersecurity solutions on all systems, prioritizing high value systems with large amounts of sensitive data such as mail servers and domain controllers [D3-PM] first.
      • Perform threat and attack modeling to understand how sensitive systems may be compromised within an organization’s specific architecture and security controls. Use this to develop a monitoring strategy to detect compromise attempts and select appropriate products to enact this strategy.
    • Collect and monitor Windows logs for certain events, especially for events that indicate that a log was cleared unexpectedly [D3-SFA].
    • Enable optional security features in Windows to harden endpoints and mitigate initial access techniques [D3-AH]:
      • Enable attack surface reduction rules to prevent executable content from email [D3-ABPI].
      • Enable attack surface reduction rules to prevent execution of files from globally writeable directories, such as Downloads or %APPDATA% [D3-EAL].
      • Unless users are involved in the development of scripts, limit the local execution of scripts (such as batch scripts, VBScript, JScript/JavaScript, and PowerShell [10]) to known scripts [D3-EI], and audit execution attempts.
      • Disable Windows Host Scripting functionality and configure PowerShell to run in Constrained mode [D3-ACH].
    • Where feasible, implement allowlisting for applications and scripts to limit execution to only those needed for authorized activities, blocking all others by default [D3-EAL].
    • Consider using open source SIGMA rules as a baseline for detecting and alerting on suspicious file execution or command parameters [D3-PSA].
    • Use services that provide enhanced browsing services and safe link checking [D3-URA]. Significant reductions in successful spearphishing attempts were noted when email providers began offering link checking and automatic file detonation to block malicious content.
    • Where possible, block logins from public VPNs, including exit nodes in the same country as target systems, or, if they need to be allowed, alert on them for further investigation. Most organizations should not need to allow incoming traffic, especially logins to systems, from VPN services [D3-NAM].
    • Educate users to only use approved corporate systems for relevant government and military business and avoid the use of personal accounts on cloud email providers to conduct official business. Network administrators should also audit both email and web request logs to detect such activity.

    Many organizations may not need to allow outgoing traffic to hosting and API mocking services, which are frequently used by GRU unit 26165. Organizations should consider alerting on or blocking the following services, with exceptions allowlisted for legitimate activity [D3-DNSDL].

    • *.000[.]pe
    • *.1cooldns[.]com
    • *.42web[.]io
    • *.4cloud[.]click
    • *.accesscan[.]org
    • *.bumbleshrimp[.]com
    • *.camdvr[.]org
    • *.casacam[.]net
    • *.ddnsfree[.]com
    • *.ddnsgeek[.]com
    • *.ddnsguru[.]com
    • *.dynuddns[.]com
    • *.dynuddns[.]net
    • *.free[.]nf
    • *.freeddns[.]org
    • *.frge[.]io
    • *.glize[.]com
    • *.great-site[.]net
    • *.infinityfreeapp[.]com
    • *.kesug[.]com
    • *.loseyourip[.]com
    • *.lovestoblog[.]com
    • *.mockbin[.]io
    • *.mockbin[.]org
    • *.mocky[.]io
    • *.mybiolink[.]io
    • *.mysynology[.]net
    • *.mywire[.]org
    • *.ngrok[.]io
    • *.ooguy[.]com
    • *.pipedream[.]net
    • *.rf[.]gd
    • *.urlbae[.]com
    • *.webhook[.]site
    • *.webhookapp[.]com
    • *.webredirect[.]org
    • *.wuaze[.]com

    Heuristic detections for web requests to new subdomains, including of the above providers, may uncover malicious phishing activity [D3-DNRA]. Logging the requests for each sub-domain requested by users on a network, such as in DNS or firewall logs, may enable system administrators to identify new targeting and victims.

    Identity and Access Management

    Organizations should take measures to ensure strong access controls and mitigate against common credential theft techniques: 

    • Use MFA with strong factors, such as passkeys or PKI smartcards, and require regular re-authentication [D3-MFA]. [11], [12] Strong authentication factors are not guessable using dictionary techniques, so they resist brute force attempts.
    • Implement other mitigations for privileged accounts: including limiting the number of admin accounts, considering using hardware MFA tokens, and regularly reviewing all privileged user accounts [D3-JFAPA].
    • Separate privileged accounts by role and alert on misuse of privileged accounts [D3-UAP]. For example, email administrator accounts should be different from domain administrator accounts.
    • Reduce reliance on passwords; instead, consider using services like single sign-on [D3-TBA].
      • For organizations using on-premises authentication and email services, plan to disable NTLM entirely and migrate to more robust authentication processes such as PKI certificate authentication.
    • Do not store passwords in Group Policy Preferences (GPP). Remove all passwords previously included in GPP and change all passwords on the corresponding accounts [D3-CH]. [13]
    • Use account throttling or account lockout [D3-ANET]:
      • Throttling is preferred to lockout. Throttling progressively increases time delay between successive login attempts.
      • Account lockout can leave legitimate users unable to access their accounts and requires access to an account recovery process.
      • Account lockout can provide a malicious actor with an easy way to launch a Denial of Service (DoS).
      • If using lockout, then allowing 5 to 10 attempts before lockout is recommended.
    • Use a service to check for compromised passwords before using them [D3-SPP]. For example, “Have I Been Pwned” can be used to check whether a password has been previously compromised without disclosing the potential password.
    • Change all default credentials [D3-CRO] and disable protocols that use weak authentication (e.g., clear-text passwords or outdated and vulnerable authentication or encryption protocols) or do not support multi-factor authentication [D3-ACH] [D3-ET]. Always configure access controls carefully to ensure that only well-maintained and well-authenticated accounts have access. [13]

    IP Camera Mitigations

    The following mitigation techniques for IP cameras can be used to defend against this type of malicious activity:

    • Ensure IP cameras are currently supported. Replace devices that are out of support.
    • Apply security patches and firmware updates to all IP cameras [D3-SU].
    • Disable remote access to the IP camera, if unnecessary [D3-ITF].
    • Ensure cameras are protected by a security appliance, if possible, such as by using a firewall to prevent communication with the camera from IP addresses not on an allowlist [D3-NAM].
    • If remote access to IP camera feeds is required, ensure authentication is enabled [D3-AA] and use a VPN to connect remotely [D3-ET]. Use MFA for management accounts if supported [D3-MFA].
    • Disable Universal Plug and Play (UPnP), Peer-to-Peer (P2P), and Anonymous Visit features on IP cameras and routers [D3-NI].
    • Turn off other ports/services not in use (e.g., FTP, web interface, etc.) [D3-ACH].
    • If supported, enable authenticated RTSP access only [D3-AA].
    • Review all authentication activity for remote access to make sure it is valid and expected [D3-UBA]. Investigate any unexpected or unusual activity.
    • Audit IP camera user accounts to ensure they are an accurate reflection of your organization and that they are being used as expected [D3-UAP].
    • Configure, tune, and monitor logging—if available—on the IP camera.

    Indicators of Compromise (IOCs)

    Note: Specific IoCs may no longer be actor controlled, may themselves be compromised infrastructure or email accounts, or may be shared infrastructure such as public VPN or Tor exit nodes. Care should be taken when basing triaging logs or developing detection rules on these indicators. GRU unit 26165 almost certainly uses extensive further infrastructure and TTPs not specifically listed in this report.

    Utilities and scripts

    Legitimate utilities

    Unauthorized or unusual use of the following legitimate utilities can be an indication of a potential compromise:

    • ntdsutil – A legitimate Windows executable used by threat actors to export contents of Active Directory
    • wevtutil – A legitimate Windows executable used by threat actors to delete event logs
    • vssadmin – A legitimate Windows executable possibly used by threat actors to make a copy of the server’s C: drive
    • ADexplorer – A legitimate window executable to view, edit, and backup Active Directory Certificate Services
    • OpenSSH – The Windows version of a legitimate open source SSH client
    • schtasks – A legitimate Windows executable used to create persistence using scheduled tasks
    • whoami – A legitimate Windows executable used to retrieve the name of the current user
    • tasklist – A legitimate Windows executable used to retrieve the list of running processes
    • hostname – A legitimate Windows executable used to retrieve the device name
    • arp – A legitimate Windows executable used to retrieve the ARP table for mapping the network environment
    • systeminfo – A legitimate Windows executable used to retrieve a comprehensive summary of device and operating system information
    • net – A legitimate Windows executable used to retrieve detailed user information
    • wmic – A legitimate Windows executable used to interact with Windows Management Instrumentation (WMI), such as to retrieve letters assigned to logical partitions on storage drives
    • cacls – A legitimate Windows executable used to modify permissions on files
    • icacls – A legitimate Windows executable used to modify permissions to files and handle integrity levels and ownership
    • ssh – A legitimate Windows executable used to establish network shell connections
    • reg – A legitimate Windows executable used to add to or modify the system registry 

    Note: Additional heuristics are needed for effective hunting for these and other living off the land (LOTL) binaries to avoid being overwhelmed by false positives if these legitimate management tools are used regularly. See the joint guide, Identifying and Mitigating Living Off the Land Techniques, for guidance on developing a multifaceted cybersecurity strategy that enables behavior analytics, anomaly detection, and proactive hunting, which are part of a comprehensive approach to mitigating cyber threats that employ LOTL techniques.

    Malicious scripts

    • Certipy – An open source python tool for enumerating and abusing Active Directory Certificate Services
    • Get-GPPPassword.py – An open source python script for finding insecure passwords stored in Group Policy Preferences
    • ldap-dump.py – A script for enumerating user accounts and other information in Active Directory
    • Hikvision backdoor string: “YWRtaW46MTEK”

    Suspicious command lines

    While the following utilities are legitimate, and using them with the command lines shown may also be legitimate, these command lines are often used during malicious activities and could be an indication of a compromise:

    • edge.exe “-headless-new -disable-gpu”
    • ntdsutil.exe “activate instance ntds” ifm “create full C:temp[a-z]{3}” quit quit
    • ssh -Nf
    • schtasks /create /xml

    Outlook CVE Exploitation IOCs

    • md-shoeb@alfathdoor[.]com[.]sa
    • jayam@wizzsolutions[.]com
    • accounts@regencyservice[.]in
    • m.salim@tsc-me[.]com
    • vikram.anand@4ginfosource[.]com
    • mdelafuente@ukwwfze[.]com
    • sarah@cosmicgold469[.]co[.]za
    • franch1.lanka@bplanka[.]com
    • commerical@vanadrink[.]com
    • maint@goldenloaduae[.]com
    • karina@bhpcapital[.]com
    • tv@coastalareabank[.]com
    • ashoke.kumar@hbclife[.]in
    • 213[.]32[.]252[.]221
    • 124[.]168[.]91[.]178
    • 194[.]126[.]178[.]8
    • 159[.]196[.]128[.]120

    Commonly Used Webmail Providers

    • portugalmail[.]pt
    • mail-online[.]dk
    • email[.]cz
    • seznam[.]cz

    Malicious Archive Filenames Involving CVE-2023-38831

    • calc.war.zip
    • news_week_6.zip
    • Roadmap.zip
    • SEDE-PV-2023-10-09-1_EN.zip
    • war.zip
    • Zeyilname.zip

    Brute Forcing IP Addresses

    Disclaimer: These IP addresses date June 2024 through August 2024. The authoring agencies recommend organizations investigate or vet these IP addresses prior to taking action, such as blocking.

    June 2024 July 2024 August 2024
    192[.]162[.]174[.]94 207[.]244[.]71[.]84 31[.]135[.]199[.]145 79[.]184[.]25[.]198 91[.]149[.]253[.]204  
    103[.]97[.]203[.]29 162[.]210[.]194[.]2 31[.]42[.]4[.]138 79[.]185[.]5[.]142 91[.]149[.]254[.]75  
    209[.]14[.]71[.]127   46[.]112[.]70[.]252 83[.]10[.]46[.]174 91[.]149[.]255[.]122  
    109[.]95[.]151[.]207   46[.]248[.]185[.]236 83[.]168[.]66[.]145 91[.]149[.]255[.]19  
        64[.]176[.]67[.]117 83[.]168[.]78[.]27 91[.]149[.]255[.]195  
        64[.]176[.]69[.]196 83[.]168[.]78[.]31   91[.]221[.]88[.]76  
        64[.]176[.]70[.]18 83[.]168[.]78[.]55   93[.]105[.]185[.]139  
        64[.]176[.]70[.]238 83[.]23[.]130[.]49   95[.]215[.]76[.]209  
        64[.]176[.]71[.]201 83[.]29[.]138[.]115   138[.]199[.]59[.]43  
        70[.]34[.]242[.]220 89[.]64[.]70[.]69   147[.]135[.]209[.]245  
        70[.]34[.]243[.]226 90[.]156[.]4[.]204   178[.]235[.]191[.]182  
        70[.]34[.]244[.]100 91[.]149[.]202[.]215   178[.]37[.]97[.]243  
        70[.]34[.]245[.]215 91[.]149[.]203[.]73   185[.]234[.]235[.]69  
        70[.]34[.]252[.]168 91[.]149[.]219[.]158 192[.]162[.]174[.]67  
        70[.]34[.]252[.]186 91[.]149[.]219[.]23   194[.]187[.]180[.]20  
        70[.]34[.]252[.]222 91[.]149[.]223[.]130   212[.]127[.]78[.]170  
        70[.]34[.]253[.]13 91[.]149[.]253[.]118 213[.]134[.]184[.]167
        70[.]34[.]253[.]247   91[.]149[.]253[.]198    
        70[.]34[.]254[.]245 91[.]149[.]253[.]20    

    Detections

    Customized NTLM listener

    rule APT28_NTLM_LISTENER {

           meta:

                  description = "Detects NTLM listeners including APT28's custom one"

           strings:

                  $command_1 = "start-process powershell.exe -WindowStyle hidden"

                  $command_2 = "New-Object System.Net.HttpListener"

                  $command_3 = "Prefixes.Add('http://localhost:8080/')"

                  $command_4 = "-match 'Authorization'"

                  $command_5 = "GetValues('Authorization')"

                  $command_6 = "Request.RemoteEndPoint.Address.IPAddressToString"

                  $command_7 = "@(0x4e,0x54,0x4c,0x4d, 0x53,0x53,0x50,0x00,0x02,0x00,0x00,0x00,0x00,0x00,0x00,0x00,0x00,0x28,0x00,0x00,0x01,0x82,0x00,0x00,0x11,0x22,0x33,0x44,0x55,0x66,0x77,0x88,0x00,0x00,0x00,0x00,0x00,0x00,0x00,0x00)"

                  $command_8 = ".AllKeys"

                  

                  $variable_1 = "$NTLMAuthentication" nocase

                  $variable_2 = "$NTLMType2" nocase

                  $variable_3 = "$listener" nocase

                  $variable_4 = "$hostip" nocase

                  $variable_5 = "$request" nocase

                  $variable_6 = "$ntlmt2" nocase

                  $variable_7 = "$NTLMType2Response" nocase

                  $variable_8 = "$buffer" nocase

           condition:

                  5 of ($command_*) 

                  or

                  all of ($variable_*)

    }

    HEADLACE shortcut

    rule APT28_HEADLACE_SHORTCUT {

           meta:

                  description = "Detects the HEADLACE backdoor shortcut dropper. Rule is meant for threat hunting."

           strings:

                  $type = "[InternetShortcut]" ascii nocase

                  $url  = "file://"

                  $edge = "msedge.exe"

                  $icon = "IconFile"

           condition:

                  all of them

    }

    HEADLACE credential dialogbox phishing 

    rule APT28_HEADLACE_CREDENTIALDIALOG {

           meta:

                  description = "Detects scripts used by APT28 to lure user into entering credentials"

           strings:

                  $command_1 = "while($true)"

                  $command_2 = "Get-Credential $(whoami)"

                  $command_3 = "Add-Content"

                  $command_4 = ".UserName"

                  $command_5 = ".GetNetworkCredential().Password"

                  $command_6 = "GetNetworkCredential().Password.Length -ne 0"

           condition:

                  5 of them

    }

    HEADLACE core script

    rule APT28_HEADLACE_CORE {

           meta:

                  description = "Detects HEADLACE core batch scripts"

           strings:

                  $chcp = "chcp 65001" ascii

                  $headless = "start "" msedge --headless=new --disable-gpu" ascii

                  

                  $command_1 = "taskkill /im msedge.exe /f" ascii

                  $command_2 = "whoami>"%programdata%" ascii

                  $command_3 = "timeout" ascii

                  $command_4 = "copy "%programdata%" ascii

                  $non_generic_del_1 = "del /q /f "%programdata%" ascii

                  $non_generic_del_3 = "del /q /f "%userprofile%Downloads" ascii

     

                  $generic_del = "del /q /f" ascii

           condition:

                  (

                          $chcp 

                          and 

                          $headless

                  )

                  and

                  (

                          1 of ($non_generic_del_*)

                          or

                          ($generic_del)

                          or

                          3 of ($command_*)

                  )

    }

    MASEPIE

    rule APT28_MASEPIE {

           meta:

                  description = "Detects MASEPIE python script"

           strings:

                  $masepie_unique_1 = "os.popen('whoami').read()"

                  $masepie_unique_2 = "elif message == 'check'"

                  $masepie_unique_3 = "elif message == 'send_file':"

                  $masepie_unique_4 = "elif message == 'get_file'"

                  $masepie_unique_5 = "enc_mes('ok'"

                  $masepie_unique_6 = "Bad command!'.encode('ascii'"

                  $masepie_unique_7 = "{user}{SEPARATOR}{k}"

                  $masepie_unique_8 = "raise Exception("Reconnect"

           condition:

                  3 of ($masepie_unique_*)

    }

    STEELHOOK

    rule APT28_STEELHOOK {

           meta:

                  description = "Detects APT28's STEELHOOK powershell script"

           strings:

                  $s_1 = "$($env:LOCALAPPDATAGoogleChromeUser DataLocal State)"

                  $s_2 = "$($env:LOCALAPPDATAGoogleChromeUser DataDefaultLogin Data)"

                  $s_3 = "$($env:LOCALAPPDATAMicrosoftEdgeUser DataLocal State)"

                  $s_4 = "$($env:LOCALAPPDATAMicrosoftEdgeUser DataDefaultLogin Data)"

                  $s_5 = "os_crypt.encrypted_key"

                  $s_6 = "System.Security.Cryptography.DataProtectionScope"

                  $s_7 = "[system.security.cryptography.protectdata]::Unprotect"

                  $s_8 = "Invoke-RestMethod"

           condition:

                  all of them

    }

    PSEXEC

    rule GENERIC_PSEXEC {

           meta:

                  description = "Detects SysInternals PSEXEC executable"

           strings:

                  $sysinternals_1 = "SYSINTERNALS SOFTWARE LICENCE TERMS"

                  $sysinternals_2 = "/accepteula"

                  $sysinternals_3 = "SoftwareSysinternals"

                  $network_1 = "%sIPC$"

                  $network_2 = "%sADMIN$%s"

                  $network_3 = "DeviceLanmanRedirector%sipc$"

                  $psexec_1 = "PSEXESVC"

                  $psexec_2 = "PSEXEC-{}-"

                  $psexec_3 = "Copying %s to %s..."

                  $psexec_4 = "gPSINFSVC"

           condition:

                  (

                          ( uint16( 0x0 ) ==0x5a4d )

                          and

                          ( uint16( uint32( 0x3c )) == 0x4550 )

                  )

                  and 

                          filesize < 1024KB

                  and

                  (

                          ( any of ($sysinternals_*) and any of ($psexec_*) )

                          or

                          ( 2 of ($network_*) and 2 of ($psexec_*))

                  )

    }

    The cybersecurity industry provides overlapping cyber threat intelligence, IOCs, and mitigation recommendations related to GRU unit 26165 cyber actors. While not all encompassing, the following are the most notable threat group names related under MITRE ATT&CK G0007 and commonly used within the cybersecurity community: 

    • APT28 [14]
    • Fancy Bear [14]
    • Forest Blizzard [14]
    • Blue Delta [15]

    Note: Cybersecurity companies have different methods of tracking and attributing cyber actors, and this may not be a 1:1 correlation to the U.S. government’s understanding for all activity related to these groupings.

    Further Reference

    To search for the presence of malicious email messages targeting CVE-2023-23397, network defenders may consider using the script published by Microsoft: https://aka.ms/CVE-2023-23397ScriptDoc. 

    For the Impacket TTP, network defenders may consider using the following publicly available Impacket YARA detection rule:
    https://github.com/Neo23x0/signature-base/blob/master/yara/gen_impacket_tools.yar

    Works Cited

    [1] Microsoft. Defending Ukraine: Early Lessons from the Cyber War. 2022. https://blogs.microsoft.com/on-the-issues/2022/06/22/defending-ukraine-early-lessons-from-the-cyber-war/  
    [2] FBI et al. Russian Cyber Actors Use Compromised Routers to Facilitate Cyber Operations. 2024. https://media.defense.gov/2024/Feb/27/2003400753/-1/-1/0/CSA-Russian-Actors-Use-Routers-Facilitate-Cyber_Operations.PDF   
    [3] NSA et al. Russian GRU Conducting Global Brute Force Campaign to Compromise Enterprise and Cloud Environments. 2021. https://media.defense.gov/2021/Jul/01/2002753896/-1/-1/0/CSA_GRU_GLOBAL_BRUTE_FORCE_CAMPAIGN_UOO158036-21.PDF 
    [4] ANSSI. Campagnes d'attaques du mode opératoire APT28 depuis 2021. 2023. https://cert.ssi.gouv.fr/cti/CERTFR-2023-CTI-009/  
    [5] ANSSI. Targeting and compromise of french entities using the APT28 intrusion set. 2025. https://cert.ssi.gouv.fr/cti/CERTFR-2025-CTI-007/   
    [6] Polish Cyber Command. Detecting Malicious Activity Against Microsoft Exchange Servers. 2023. https://www.wojsko-polskie.pl/woc/articles/aktualnosci-w/detecting-malicious-activity-against-microsoft-exchange-servers/ 
    [7] IBM. Israel-Hamas Conflict Lures to Deliver Headlace Malware. 2023. https://securityintelligence.com/x-force/itg05-ops-leverage-israel-hamas-conflict-lures-to-deliver-headlace-malware/ 
    [8] CERT-UA. APT28: From Initial Attack to Creating Domain Controller Threats in an Hour. 2023. https://cert.gov.ua/article/6276894 
    [9] NSA. Embracing a Zero Trust Security Model. 2021. https://media.defense.gov/2021/Feb/25/2002588479/-1/-1/0/CSI_EMBRACING_ZT_SECURITY_MODEL_UOO115131-21.PDF  
    [10] NSA et al. Keeping PowerShell: Security Measures to Use and Embrace. 2022. https://media.defense.gov/2022/Jun/22/2003021689/-1/-1/0/CSI_KEEPING_POWERSHELL_SECURITY_MEASURES_TO_USE_AND_EMBRACE_20220622.PDF 
    [11] National Institute of Standards and Technology (NIST). Special Publication 800-63B: Digital Identity Guidelines – Authentication and Lifecycle Management. 2020. https://pages.nist.gov/800-63-3/sp800-63b.html 
    [12] NSA. Selecting Secure Multi-factor Authentication Solutions. October 16, 2020. https://media.defense.gov/2024/Jul/31/2003515137/-1/-1/0/MULTIFACTOR_AUTHENTICATION_SOLUTIONS_UOO17091520.PDF  
    [13] NSA and CSA. NSA and CISA Red and Blue Teams Share Top Ten Cybersecurity Misconfigurations. 2023. https://media.defense.gov/2023/Oct/05/2003314578/-1/-1/0/JOINT_CSA_TOP_TEN_MISCONFIGURATIONS_TLP-CLEAR.PDF 

    [14] Department of Justice. Justice Department Conducts Court-Authorized Disruption of Botnet Controlled by the Russian Federation’s Main Intelligence Directorate of the General Staff (GRU). 2024. https://www.justice.gov/archives/opa/pr/justice-department-conducts-court-authorized-disruption-botnet-controlled-russian  
    [15] Recorded Future. GRU’s BlueDelta Targets Key Networks in Europe with Multi-Phase Espionage Campaigns. 2024. https://go.recordedfuture.com/hubfs/reports/CTA-RU-2024-0530.pdf  
     

    Disclaimer of endorsement

    The information and opinions contained in this document are provided "as is" and without any warranties or guarantees. Reference herein to any specific commercial products, process, or service by trade name, trademark, manufacturer, or otherwise, does not constitute or imply its endorsement, recommendation, or favoring by the United States Government, and this guidance shall not be used for advertising or product endorsement purposes.

    Purpose

    This document was developed in furtherance of the authoring agencies’ cybersecurity missions, including their responsibilities to identify and disseminate threats and to develop and issue cybersecurity specifications and mitigations. This information may be shared broadly to reach all appropriate stakeholders.

    Contact

    United States organizations

    • National Security Agency (NSA)
    • Cybersecurity and Infrastructure Security Agency (CISA) and Federal Bureau of Investigation (FBI)
      • U.S. organizations are encouraged to reporting suspicious or criminal activity related to information in this advisory to CISA via the agency’s Incident Reporting System, its 24/7 Operations Center (report@cisa.gov or 888-282-0870), or your local FBI field office. When available, please include the following information regarding the incident: date, time, and location of the incident; type of activity; number of people affected; type of equipment user for the activity; the name of the submitting company or organization; and a designated point of contact.
    • Department of Defense Cyber Crime Center (DC3)

    United Kingdom organizations

    Germany organizations

    Czech Republic organizations

    Poland organizations

    Australian organizations

    • Visit cyber.gov.au or call 1300 292 371 (1300 CYBER 1) to report cybersecurity incidents and access alerts and advisories.

    Canadian organizations

    Estonia organizations

    French organizations

    • French organizations are encouraged to report suspicious activity or incident related to information found in this advisory by contacting ANSSI/CERT-FR by email at cert-fr@ssi.gouv.fr or by phone at: 3218 or +33 9 70 83 32 18. 

    See Table 2 through Table 14 for all the threat actor tactics and techniques referenced in this advisory.

    Table 2: Reconnaissance
    Tactic/Technique Title ID Use
    Reconnaissance TA0043 Conducted reconnaissance on at least one entity involved in the production of ICS components for railway management.
    Gather Victim Identity Information: Email Addresses T1589.002 Conducted contact information reconnaissance to identify additional targets in key positions.
    Gather Victim Org Information T1591 Conducted reconnaissance of the cybersecurity department.
    Gather Victim Org Information: Identify Roles T1591.004 Conducted reconnaissance of individuals responsible for coordinating transport.
    Gather Victim Org Information: Business Relationships T1591.002 Conducted reconnaissance of other companies cooperating with the victim entity.
    Gather Victim Host Information T1592 Attempted to enumerate Real Time Streaming Protocol (RTSP) servers hosting IP cameras.
    Table 3: Resource development
    Tactic/Technique Title ID Use
    Compromise Accounts: Email Accounts T1586.002 Sent phishing emails using compromised accounts.
    Compromise Accounts: Cloud Accounts T1586.003 Sent phishing emails using compromised accounts.
    Table 4: Initial Access
    Tactic/Technique Title ID Use
    Trusted Relationship T1199 Conducted follow-on targeting of additional entities in the transportation sector that had business ties to the primary target, exploiting trust relationships to attempt to gain additional access.
    Phishing T1566 Used spearphishing for credentials and delivering malware to gain initial access to targeted entities.
    Phishing: Spearphishing Attachment T1566.001 Sent emails with malicious attachments.
    Phishing: Spearphishing Link T1566.002 Used spearphishing with included links to fake login pages. Sent emails with embedded hyperlinks that downloaded a malicious archive.
    Phishing: Spearphishing Voice T1566.004 Attempted to use voice phishing to gain access to privileged accounts by impersonating IT staff.
    External Remote Services T1133 Exploited Internet-facing infrastructure, including corporate VPNs, to gain initial access to targeted entities.
    Exploit Public-Facing Application T1190 Exploited public vulnerabilities and SQL injection to gain initial access to targeted entities.
    Content Injection T1659 Leveraged a WinRAR vulnerability allowing for the execution of arbitrary code embedded in an archive.
    Table 5: Execution
    Tactic/Technique Title ID Use
    User Execution: Malicious Link T1204.001 Used malicious links to hosted shortcuts in spearphishing.
    User Execution: Malicious File T1204.002 Delivered malware executables via spearphishing.
    Scheduled Task/Job: Scheduled Task T1053.005 Used scheduled tasks to establish persistence.
    Command and Scripting Interpreter T1059 Delivered scripts in spearphishing. Executed arbitrary shell commands.
    Command and Scripting Interpreter: PowerShell T1059.001 PowerShell commands were often used to prepare data for exfiltration.
    Command and Scripting Interpreter: Windows Command Shell T1059.003 Used BAT script in spearphishing.
    Command and Scripting Interpreter: Visual Basic T1059.005 Used VBScript in spearphishing.
    Command and Scripting Interpreter: Python T1059.006 Installed python on infected machines to enable the execution of Certipy.
    Table 6: Persistence
    Tactic/Technique Title ID Use
    Account Manipulation: 
    Additional Email Delegate 
    Permissions

    T1098.002 

    Used manipulation of mailbox permissions to establish sustained email collection. 
    Modify Authentication Process: 
    Multi-Factor Authentication

    T1556.006 

    Enrolled compromised accounts in MFA mechanisms to increase the trust-level of compromised accounts and enable sustained access. 
    Hijack Execution Flow: DLL 
    Search Order Hijacking 
    T1574.001  Used DLL search order hijacking to facilitate malware execution. 
    Boot or Logon Autostart 
    Execution: Registry Run Keys / 
    Startup Folder

    T1547.001 

    Used run keys to establish persistence. 
    Boot or Logon Autostart 
    Execution: Shortcut 
    Modification

    T1547.009 

    Placed malicious shortcuts in the startup folder to establish persistence. 
    Table 7: Defense Evasion
    Tactic/Technique Title ID Use
    Indicator Removal: Clear 
    Windows Event Logs
    T1070.001  Deleted event logs through the wevtutil utility.
    Table 8: Credential access 
    Tactic/Technique Title ID Use

    Brute Force 

    Sent requests with Base64-encoded credentials for the RTSP server, which included publicly documented default credentials, and likely were generic attempts to brute force access to the devices. 

    Brute Force: Password Guessing 

    T1110.001 

    Used credential guessing to gain initial access to targeted entities. 

    Brute Force: Password Spraying 

    T1110.003 

    Used brute force to gain initial access to targeted entities. Conducted a brute force password spray via LDAP. 

    Multi-Factor Authentication Interception 

    Used multi-stage redirectors to provide MFA relaying capabilities in some campaigns. 

    Input Capture 

    Used multi-stage redirectors to provide CAPTCHA relaying capabilities in some campaigns. 

    Forced Authentication 

    Used an Outlook NTLM vulnerability to collect NTLM hashes and credentials via specially crafted Outlook calendar appointment invitations. 

    OS Credential Dumping: NTDS 

    T1003.003 

    Attempted to dump Active Directory NTDS.dit domain databases. 

    Unsecured Credentials: Group Policy Preferences 

    T1552.006 

    Retrieved plaintext passwords via Group Policy Preferences using Get-GPPPassword.py. 

    Table 9: Discovery
    Tactic/Technique Title ID Use

    Account Discovery: Domain Account

    T1087.002

    Used a modified ldap-dump.py to enumerate the Windows environment.

    Table 10: Command and Control
    Tactic/Technique Title ID Use

    Hide Infrastructure 

    T1665 

    Abused SOHO devices to facilitate covert cyber operations, as well as proxy malicious activity, via devices with geolocation in proximity to the target. 

    Proxy: External Proxy 

    T1090.002 

    Actor-controlled servers sent RTSP DESCRIBE requests destined for RTSP servers. 

    Proxy: Multi-hop Proxy 

    T1090.003 

    Used Tor and commercial VPNs as part of their anonymization infrastructure 

    Encrypted Channel 

    T1573 

    Connected to victim infrastructure using encrypted TLS. 

    Multi-Stage Channels 

    T1104 

    Used multi-stage redirectors for campaigns. 

    Table 11: Defense evasion (mobile framework)
    Tactic/Technique Title ID Use

    Execution Guardrails 

    Used multi-stage redirectors to verify browser fingerprints in some campaigns. 

    Execution Guardrails: Geofencing 

    T1627.001 

    Used multi-stage redirectors to verify IP-geolocation in some campaigns. 

    Table 12: Lateral movement
    Tactic/Technique Title ID Use

    Lateral Movement 

    Used native commands and open source tools, such as Impacket and PsExec, to move laterally within the environment. 

    Remote Services: Remote Desktop Protocol 

    T1021.001 

    Moved laterally within the network using RDP. 

    Table 13: Collection
    Tactic/Technique Title ID Use

    Email Collection 

    Retrieved sensitive data from email servers. 

    Email Collection: Remote Email Collection 

    T1114.002 

    Used server data exchange protocols and APIs such as Exchange Web Services (EWS) and IMAP to exfiltrate data from email servers. 

    Automated Collection 

    Used periodic EWS queries to collect new emails. 

    Video Capture 

    Attempted to gain access to the cameras’ feeds. 

    Archive Collected Data 

    Accessed files were archived in .zip files prior to exfiltration. 

    Archive Collected Data: Archive via Utility 

    T1560.001 

    Prepared zip archives for upload to the actors’ infrastructure. 

    Table 14: Exfiltration
    Tactic/Technique Title ID Use

    Exfiltration Over Alternative Protocol 

    Attempted to exfiltrate archived data via a previously dropped OpenSSH binary. 

    Scheduled Transfer 

    Used periodic EWS queries to collect new emails sent and received since the last data exfiltration. 

    Appendix B: CVEs exploited

    Table 15: Exploited CVE information
    CVE  Vendor/Product  Details

    CVE-2023-38831 

    RARLAB WinRAR 

    Allows execution of arbitrary code when a user attempts to view a benign file within a ZIP archive. 

    CVE-2023-23397 

    Microsoft Outlook 

    External actors could send specially crafted emails that cause a connection from the victim to an untrusted location of the actor’s control, leaking the Net-NTLMv2 hash of the victim that the actor could then relay to another service to authenticate as the victim. 

    CVE-2021-44026 

    Roundcube Webmail 

    Roundcube before 1.3.17 and 1.4.x before 1.4.12 is prone to a potential SQL injection via search or search params. 

    CVE-2020-35730 

    Roundcube Webmail 

    An XSS issue was discovered in Roundcube Webmail before 1.2.13, 1.3.x before 1.3.16 and 1.4.x before 1.4.10, where a plaintext email message with JavaScript in a link reference element is mishandled by linkref_addindex in rcube_string_replacer.php. 

    CVE-2020-12641 

    Roundcube Webmail 

    Roundcube Webmail before 1.4.4 allows arbitrary code execution via shell metacharacters in a configuration setting for im_convert_path or im_identify_path in rcube_image.php. 

    Appendix C: MITRE D3FEND Countermeasures

    Table 16: MITRE D3FEND countermeasures
    Countermeasure Title  ID  Details 

    Network Isolation 

    Employ appropriate network segmentation. Disable Universal Plug and Play (UPnP), Peer-to-Peer (P2P), and Anonymous Visit features on IP cameras and routers. 

    Access Mediation 

    Limit access and utilize additional attributes (such as device information, environment, and access path) when making access decisions. Configure access controls carefully to ensure that only well-maintained and well-authenticated accounts have access. 

    Inbound Traffic Filtering 

    Implement host firewall rules to block connections from other devices on the network, other than from authorized management devices and servers, to prevent lateral movement. 

    Resource Access Pattern Analysis 

    Use automated tools to audit access logs for security concerns and identify anomalous access requests. 

    Outbound Traffic Filtering 

    Block NTLM/SMB requests to external infrastructure. 

    Platform Monitoring 

    Install EDR/logging/cybersecurity solutions onto high value systems with large amounts of sensitive data such as mail servers and domain controllers. 

    System File Analysis 

    Collect and monitor Windows logs for certain events, especially for events that indicate that a log was cleared unexpectedly. 

    Application Hardening 

    Enable optional security features in Windows to harden endpoints and mitigate initial access techniques. 

    Application-based Process Isolation 

    Enable attack surface reduction rules to prevent executable content from email. 

    Executable Allowlisting 

    Enable attack surface reduction rules to prevent execution of files from globally writeable directories, such as Downloads or %APPDATA%. 

    Execution Isolation 

    Unless users are involved in the development of scripts, limit the execution of scripts (such as batch, JavaScript, and PowerShell) to known scripts. 

    Application Configuration Hardening 

    Disable Windows Host Scripting functionality and configure PowerShell to run in Constrained mode. Disable protocols that use weak authentication (e.g., clear-text passwords, or outdated and vulnerable authentication or encryption protocols) or do not support multi-factor authentication. Turn off other ports/services not in use (e.g., FTP, web interface, etc.). 

    Process Spawn Analysis 

    Use open source SIGMA rules as a baseline for detecting and alerting on suspicious file execution or command parameters. 

    URL Reputation Analysis 

    Use services that provide enhanced browsing services and safe link checking. 

    Network Access Mediation 

    Do not allow incoming traffic, especially logins to systems, from public VPN services. Where possible, logins from public VPNs, including exit nodes in the same country as target systems, should be blocked or, if allowed, alerted on for further investigation. Ensure cameras and other Internet of Things devices are protected by a security appliance, if possible. 

    DNS Denylisting 

    D3-DNSDL 

    Do not allow outgoing traffic to hosting and API mocking services frequently used by malicious actors. 

    Domain Name Reputation Analysis 

    Heuristic detections for web requests to new subdomains may uncover malicious phishing activity. Logging the requests for each sub-domain requested by users on a network, such as in DNS or firewall logs, may enable system administrators to identify new targeting and victims. 

    Multi-factor Authentication 

    Use MFA with strong factors and require regular re-authentication, especially for management accounts. 

    Job Function Access Pattern Analysis 

    D3-JFAPA 

    Implement other mitigations for privileged accounts: including limiting the number of admin accounts, considering using hardware MFA tokens, and regularly reviewing all privileged user accounts. 

    User Account Permissions 

    Separate privileged accounts by role and alert on misuse of privileged accounts. Audit user accounts on all devices to ensure they are an accurate reflection of your organization and that they are being used as expected. 

    Token-based Authentication 

    Reduce reliance on passwords; instead, consider using services like single sign-on. 

    Credential Hardening 

    Do not store passwords in Group Policy Preferences (GPP). Remove all passwords previously included in GPP and change all passwords on the corresponding accounts. 

    Authentication Event Threshholding 

    Use account throttling or account lockout. Throttling progressively increases time delay between successive login attempts. If using account lockout, allow between 5 to 10 attempts before lockout. 

    Strong Password Policy 

    Use a service to check for compromised passwords before using them. 

    Credential Rotation 

    Change all default credentials. 

    Encrypted Tunnels 

    Disable protocols that use weak authentication (e.g., clear-text passwords, or outdated and vulnerable authentication or encryption protocols). Use a VPN for remote connections to devices. 

    Software Update 

    Apply security patches and firmware updates to all devices. Ensure devices are currently supported. Replace devices that are end-of-life. 

    Agent Authentication 

    Ensure authentication is enabled for remote access to devices. If supported on IP cameras, enable authenticated RTSP access only. 

    User Behavior Analysis 

    Review all authentication activity for remote access to make sure it is valid and expected. Investigate any unexpected or unusual activity. 

    MIL OSI USA News -

  • MIL-OSI USA: Action Taken on Legislation by Governor Phil Scott – May 21, 2025

    Source: US State of Vermont

    Montpelier, Vt. – Governor Phil Scott announced action on the following bills, passed by the General Assembly.

    On May 21, Governor Scott signed bills of the following titles:

    • H.398, An act relating to the Vermont Economic Development Authority
    • H.493, An act relating to making appropriations for the support of the government
    • S.44, An act relating to authorization to enter into certain immigration agreements
    • S.56, An act relating to creating an Office of New Americans

    When signing H.493, Governor Scott sent the following letter to the General Assembly:

    Dear Ms. Wrask:

    Today, I’m signing H.493, An act relating to making appropriations for the support of government.

    I appreciate that this budget makes important affordability investments – most notably the $77 million general fund transfer to the education fund to help stabilize property taxes this year, and $13.5 million in much needed, targeted tax relief for young families, lower income, working Vermonters and seniors on fixed incomes. 

    However, affordability must also be about getting state government and public education on a sustainable fiscal path; fixing systemic policy issues that make homebuilding, homeownership and rent far too expensive; and keeping and attracting the workers and employers we need for a strong economy. While I can support this budget, we have not yet done nearly enough to address these other areas. 

    Specifically, although this budget spends $30 million less in general fund base compared to the Senate version, it still spends $20 million more than my proposal. It also creates roughly 70 unique one-time appropriations. Neither would be sustainable under a more modest – and typical – revenue environment.

    Outside of the budget, we must complete the work to transform our education system, starting with H.454, An act relating to transforming Vermont’s education governance, quality and finance systems. I proposed the $77 million transfer in the budget as a bridge to a structurally transformed and fiscally efficient public education system in the near term.

    We need to follow through on reform.

    And I urge the Legislature to pass the housing legislation I proposed at the start of the session so the housing Vermonters so desperately need can be built. 

    While not perfect, H.493 makes critical investments in affordability, housing, education and public safety. But we must focus on the policy bills that fix what’s broken so the funding can have its intended impact.

    Sincerely,

    /s/

    Philip B. Scott

    Governor

    To view a complete list of action on bills passed during the 2025 legislative session, click here.

    ###

    MIL OSI USA News

  • MIL-OSI USA: Warner, Kaine & Bennet Secure DoD Fixes to Broken Military Moving System

    US Senate News:

    Source: United States Senator for Commonwealth of Virginia Mark R Warner
    WASHINGTON – U.S. Sens. Mark R. Warner (D-VA), Tim Kaine (D-VA), and Michael Bennet (D-CO) issued the statement below after the Department of Defense (DoD) announced immediate modifications to the military’s broken moving system, which handles servicemember relocations. These modifications follow close advocacy by the senators, who have pushed for months to address the delays, poor communication, and repeated issues under the Global Household Goods Contract.
    “Military members and their families sacrifice so much in service to our country, including every time they relocate and integrate into a new community. After pushing for months, we’re pleased to see the Department of Defense move to address ongoing challenges with the contract tasked with moving household goods for military members and families in the process of relocating.
    “As these policy changes are implemented, we will continue to work with the Department of Defense and TRANSCOM to ensure that servicemembers and military families who are already well into the relocation process are not left in the lurch. Additionally, as these shifts put more pressure on federal employees to adapt to this change, we will continue to push for adequate federal staffing levels and against Trump’s senseless hiring freeze, which continues to prevent critical positions from being filled across government.”
    In February, Sen. Warner requested a briefing from USTRANSCOM and sounded the alarm about missed household goods pickups, delivery issues, and communication difficulties with HomeSafe Alliance, the contractor responsible for the moves. Earlier this month, the lawmakers raised their concerns, reiterating the ongoing delays and confusion being faced by military families, and requesting additional information from TRANSCOM on its plan to address these issues.

    MIL OSI USA News

  • MIL-OSI Europe: Missions – AFET ad-hoc delegation to Uruguay and Argentina – 26-05-2025 – Committee on Foreign Affairs

    Source: European Parliament

    AFET ad-hoc delegation to Uruguay and Argentina © Image used under license from Adobe Stock

    A delegation of eight Members of the Committee on Foreign Affairs (AFET), led by Chair David McAllister, will travel to Uruguay and Argentina from 26 to 29 May. Members will engage in high-level discussions regarding the EU-Mercosur Partnership Agreement which was concluded last December in Montevideo, Uruguay. The findings from this visit will contribute to the preparatory work for the consent procedure on the political and cooperation aspects of the Agreement, for which AFET is responsible.

    More broadly, this mission will allow to exchange views on bilateral, regional and multilateral cooperation, as well as geopolitical issues such as Russia’s war of aggression against Ukraine, the situation in the Middle East, and China’s expanding influence in Latin America.

    MIL OSI Europe News

  • MIL-OSI: United Fire Group, Inc. reports on annual meeting of shareholders

    Source: GlobeNewswire (MIL-OSI)

    Director elections to the board of directors announced

    Director elections to the board of directors

    CEDAR RAPIDS, Iowa, May 21, 2025 (GLOBE NEWSWIRE) — United Fire Group, Inc. (UFG) (Nasdaq: UFCS) announced today that its shareholders elected three Class B directors to its 11-member board of directors at the 2025 annual meeting of shareholders held on May 21, 2025.

    The following individuals were each elected as Class B directors to serve three-year terms expiring in 2028:

    • John-Paul Besong, retired chief information officer executive.
    • Matthew R. Foran, co-founder and president of Stoic Lane, Inc.
    • James W. Noyce, retired insurance and financial services executive.

    In other official business, shareholders:

    • Ratified the appointment of Ernst & Young LLP as the company’s independent registered public accounting firm for 2025.
    • Approved, on an advisory basis, the compensation of the company’s named executive officers.

    About UFG

    Founded in 1946 as United Fire & Casualty Company, UFG, through its insurance company subsidiaries, is engaged in the business of writing property and casualty insurance. The company is licensed as a property and casualty insurer in 50 states and the District of Columbia, and is represented by approximately 1,000 independent agencies. AM Best assigns a rating of “A-” (Excellent) for members of the United Fire & Casualty Group. For more information about UFG, visit www.ufginsurance.com.

    Contact:

    Investor relations
    Email: ir@unitedfiregroup.com

    Media inquiries
    Email: news@unitedfiregroup.com

    The MIL Network

  • MIL-OSI: Strong First Quarter Supports TrustCo’s Declaration of Dividend; Continues Reliable Payout

    Source: GlobeNewswire (MIL-OSI)

    GLENVILLE, N.Y., May 21, 2025 (GLOBE NEWSWIRE) — The Board of Directors of TrustCo Bank Corp NY (TrustCo, Nasdaq: TRST) on May 20, 2025, declared a quarterly cash dividend of $0.36 per share, or $1.44 per share on an annualized basis. The dividend will be payable on July 1, 2025 to shareholders of record at the close of business on June 6, 2025.

    Chairman, President, and Chief Executive Officer Robert J. McCormick said: “We often hear that people use our dividend to pay college tuition, fund retirements, and for other significant life events. The dividend declared this quarter is another in an uninterrupted series ongoing since 1904. We are very pleased that the Company’s excellent first-quarter performance enables us to make this distribution to our owners.”  

    About TrustCo Bank Corp NY

    TrustCo Bank Corp NY is a $6.3 billion savings and loan holding company. Through its subsidiary, Trustco Bank, Trustco operates 136 offices in New York, New Jersey, Vermont, Massachusetts and Florida. Trustco has a more than 100-year tradition of providing high-quality services, including a wide variety of deposit and loan products. In addition, Trustco Bank’s Financial Services Department offers a full range of investment services, retirement planning and trust and estate administration services. Trustco Bank is rated as one of the best performing savings banks in the country. The common shares of TrustCo are traded on the NASDAQ Global Select Market under the symbol TRST. For more information, visit www.trustcobank.com.

    Forward-Looking Statements
    All statements in this news release that are not historical are forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “anticipate,” “intend,” “plan,” “goal,” “seek,” “believe,” “project,” “estimate,” “expect,” “strategy,” “future,” “likely,” “may,” “should,” “will” and similar references to future developments, results or periods. TrustCo wishes to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made, and such forward-looking statements are subject to factors and uncertainties that could cause actual results to differ materially for TrustCo from the views, beliefs and projections expressed in such statements. Examples of these include, but are not limited to: the effects of ongoing inflationary pressures and changes in monetary and fiscal policies and laws, including increases in the Federal funds target rate by, and interest rate policies of, the Federal Reserve Board; changes in and uncertainty related to benchmark interest rates used to price loans and deposits; instability in global economic conditions and geopolitical matters; U.S. government shutdowns, credit rating downgrades, or failure to increase the debt ceiling;; the risks and uncertainties under the heading “Risk Factors” in our most recent annual report on Form 10-K and, if any, in our subsequent quarterly reports on Form 10-Q or other securities filings, including our upcoming annual report on Form 10-K for fiscal 2024; the other financial, operational and legal risks and uncertainties detailed from time to time in TrustCo’s cautionary statements contained in its filings with the Securities and Exchange Commission; and the effect of all of such items on our operations, liquidity and capital position, and on the financial condition of our borrowers and other customers. The forward-looking statements contained in this news release represent TrustCo management’s judgment as of the date of this news release. TrustCo disclaims, however, any intent or obligation to update forward-looking statements, either as a result of future developments, new information or otherwise, except as may be required by law.

    Subsidiary: Trustco Bank

    Contact: Robert M. Leonard
      Executive Vice President
      (518) 381-3693
       

    The MIL Network

  • MIL-OSI: LiveRamp Announces Fourth Quarter and Fiscal Year 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    Q4 Revenue up 10% year-over-year

    FY25 Operating Cash Flow increases 46% year-over-year

    FY25 Share Repurchases totaled $101 million

    SAN FRANCISCO, May 21, 2025 (GLOBE NEWSWIRE) — LiveRamp® (NYSE: RAMP), a leading data collaboration platform, today announced its financial results for the quarter and fiscal year ended March 31, 2025.

    Q4 Financial Highlights1

    • Total revenue was $189 million, up 10%.
    • Subscription revenue was $145 million, up 9%.
    • Marketplace & Other revenue was $44 million, up 14%.
    • GAAP gross profit was $131 million, up 5%. GAAP gross margin of 69% compressed by 3 percentage points. Non-GAAP gross profit was $136 million, up 5%. Non-GAAP gross margin of 72% compressed by 3 percentage points.
    • GAAP operating loss was $12 million compared to $14 million. GAAP operating margin of negative 6% expanded by 2 percentage points. Non-GAAP operating income was $23 million compared to $16 million. Non-GAAP operating margin of 12% expanded by 3 percentage points.
    • GAAP diluted loss per share was $0.10 and non-GAAP diluted earnings per share was $0.30.
    • Net cash provided by operating activities was $63 million compared to $28 million.
    • Share repurchases in the fourth quarter totaled approximately 950 thousand shares for $25 million.

    Fiscal Year Financial Highlights1

    • Total revenue was $746 million, up 13%.
    • Subscription revenue was $569 million, up 11%, and represented 76% of total revenue.
    • Marketplace & Other revenue was $177 million, up 21%.
    • GAAP gross profit was $530 million, up 10%, and GAAP gross margin of 71% compressed by 2 percentage points. Non-GAAP gross profit was $550 million, up 12%, and non-GAAP gross margin of 74% compressed by 1 percentage point.
    • GAAP operating income was $5 million compared to $11 million. GAAP operating margin of 1% compressed by 1 percentage point. Non-GAAP operating income was $136 million compared to $105 million. Non-GAAP operating margin of 18% expanded by 2 percentage points.
    • GAAP diluted loss per share was $0.01, and non-GAAP diluted EPS was $1.70.
    • Net cash provided by operating activities was $154 million compared to $106 million.
    • Share repurchases in fiscal 2025 totaled approximately 3.8 million shares for $101 million. As of March 31, 2025, there was $256 million in remaining capacity under the share repurchase authorization that expires on December 31, 2026.

    A reconciliation between GAAP and non-GAAP results is provided in the schedules to this press release.

    Commenting on the results, CEO Scott Howe said: “We had a strong finish to fiscal 2025, with fourth quarter revenue and operating income exceeding our expectations, revenue growing at a double-digit rate and operating cash flow reaching a record high. As we enter fiscal 2026, more so than ever, we are focused on controlling what we can control: Making our platform faster and easier to use; rolling out new functionality, such as our new Cross Media Intelligence measurement solution; helping customers optimize ad spend by harnessing the power of our Data Collaboration Network; and, finally, prudently managing our own costs and growth investments. The near-term macro environment may be uncertain, but we remain confident that in the long-run we can drive sustained growth and shareholder value creation.”

    GAAP and Non-GAAP Results
    The following table summarizes the Company’s financial results for the fiscal 2025 fourth quarter and full year ended March 31, 2025 ($ in millions, except per share amounts):

           
      GAAP   Non-GAAP
      Q4 FY25 FY25   Q4 FY25 FY25
    Subscription revenue $145 $569  
    YoY change 9% 11%  
    Marketplace & Other revenue $44 $177  
    YoY change 14% 21%  
    Total revenue $189 $746  
    YoY change 10% 13%  
               
    Gross profit $131 $530   $136 $550
    % Gross margin 69% 71%   72% 74%
    YoY change (3 pts) (2 pts)   (3 pts) (1 pt)
               
    Operating income (loss) ($12) $5   $23 $136
    % Operating margin (6%) 1%   12% 18%
    YoY change 2 pts (1 pt)   3 pts 2 pts
               
    Net earnings (loss) ($6) ($1)   $20 $115
    Diluted earnings (loss) per share ($0.10) ($0.01)   $0.30 $1.70
               
    Shares to calculate diluted EPS 66.0 66.1   67.5 67.5
    YoY change (1%) (3%)   (1%) (1%)
               
    Net operating cash flow $63 $154  
    Free cash flow   $62 $153
               
    Totals may not sum due to rounding.
     
     

    A detailed discussion of our non-GAAP financial measures and a reconciliation between GAAP and non-GAAP results is provided in the schedules attached to this press release.

    Additional Business Highlights & Metrics

    • On February 25 we hosted an investor day presentation in San Francisco. The video replay, slide presentation and transcript are available on our investor relations website. Additionally, please see our investor day recap that highlights 10 interesting slides from the presentation, available here.
    • On February 25-27 we hosted our annual customer and partner conference, RampUp, in San Francisco, bringing together more than 2,500 leaders at the intersection of marketing, technology and data science. The event featured product demonstrations and 40+ panels and presentations featuring 110 leaders from some of the largest brands in the world, including Disney, Home Depot, P&G and Uber – to name a few. Video replays of these sessions are available here and an event recap for investors is available here.
    • On February 25 we announced Cross-Media Intelligence, a new capability that enables marketers to better measure and optimize campaigns anywhere their customers are. LiveRamp’s Cross-Media Intelligence is a premier solution for next-generation cross-media measurement, unifying insights across partners and datasets, and delivering actionable, repeatable insights with unmatched speed and precision. With Cross-Media Intelligence, marketers for the first time can access unified, deduplicated reporting across screens and platforms (additional information).
    • On April 22 Google announced that it will no longer roll out a new standalone prompt for consumers to opt-in to third-party cookie tracking on Chrome. LiveRamp’s mission remains the same: Enable best-in-class addressable reach and connectivity across every consumer experience by continuing to develop the largest and most useful data collaboration network. We will use cookies to extend reach on Chrome, while continuing to invest and expand our authenticated ecosystem across cookieless browsers (Safari, Firefox, and Edge), direct publisher integrations, CTV, mobile/gaming, and new AI integrations. Please see our blog post for additional information.
    • On March 6 we announced a workforce restructuring involving approximately 5% of our full-time employees. The restructuring is part of a broader strategic reprioritization to build a stronger, more profitable company by tightening our focus and simplifying and driving efficiency into our business processes. In the fourth quarter we incurred $7.2 million of restructuring and related charges primarily related to employee severance and benefits.
    • LiveRamp ended the year with 128 customers whose annualized subscription revenue exceeds $1 million, compared to 115 in the prior year.
    • LiveRamp ended the year with 840 direct subscription customers, compared to 900 in the prior year.
    • Fourth quarter subscription net retention was 104% and platform net retention was 106%.
    • Fourth quarter annualized recurring revenue (ARR), which is the last month of the quarter fixed subscription revenue annualized, was $504 million, up 8% compared to the prior year period.
    • Current remaining performance obligations (CRPO), which is contracted and committed revenue expected to be recognized over the next 12 months, was $471 million, up 14% compared to the prior year period.

    Financial Outlook

    LiveRamp’s non-GAAP operating income guidance excludes the impact of non-cash stock compensation, purchased intangible asset amortization, and restructuring and related charges.

    For the first quarter of fiscal 2026, LiveRamp expects to report:

    • Revenue of $191 million, an increase of 9%
    • GAAP operating loss of $33 million
    • Non-GAAP operating income of $6 million

    For fiscal 2026, LiveRamp expects to report:

    • Revenue of between $787 million and $817 million, an increase of between 6% and 10%
    • GAAP operating loss of between $178 million and $182 million
    • Non-GAAP operating income of between $85 million and $89 million

    Conference Call

    LiveRamp will hold a conference call today at 1:30 p.m. PT (4:30 p.m. ET) to further discuss this information. Interested parties are invited to listen to a webcast of the conference, which can be accessed on LiveRamp’s investor site. A slide presentation will be referenced during the call and is available here.

    About LiveRamp

    LiveRamp is a leading data collaboration technology company, empowering marketers and media owners to deliver and measure marketing performance everywhere it matters. LiveRamp’s data collaboration network seamlessly unites data across advertisers, platforms, publishers, data providers, and commerce media networks—unlocking deep insights, delivering transformational consumer experiences, and driving measurable growth.

    Built on a foundation of strict neutrality, interoperability, and global scale, LiveRamp enables organizations to maximize the value of their data while accelerating innovation. Trusted by many of the world’s leading brands, retailers, financial services providers, and healthcare innovators, LiveRamp is helping shape the future of responsible data collaboration in an AI-driven, outcomes-focused world where advertisers reach intended audiences and consumers receive more relevant advertising messages.

    LiveRamp is headquartered in San Francisco, California, with offices worldwide. Learn more at LiveRamp.com.

    Forward-Looking Statements

    This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended (the “PSLRA”). Forward-looking statements are often identified by words or phrases such as “anticipate,” “estimate,” “plan,” “expect,” “believe,” “intend,” “foresee,” or the negative of these terms or other similar variations thereof, but the absence of these words does not mean that a statement is not forward-looking. These statements, which are not statements of historical fact, include, but are not limited to, the Company’s guidance regarding revenue, GAAP operating loss and Non-GAAP operating income for the first quarter and full year of fiscal 2026 and other similar estimates, assumptions, forecasts, projections and expectations regarding market position, product development, growth opportunities, economic conditions and other future events and trends.

    These forward-looking statements are not guarantees of future performance and are subject to a number of factors and uncertainties that could cause the Company’s actual results and experiences to differ materially from the anticipated results and expectations expressed in the forward-looking statements.

    Among the factors that may cause actual results and expectations to differ from anticipated results and expectations expressed in forward-looking statements are economic uncertainties that could impact us or our suppliers, customers and partners, including, geo-political circumstances, including risk related to tariffs and other trade restrictions, the possibility of a recession, general inflationary pressure and high interest rates; the ability and willingness of our customers to renew their agreements with us upon their expiration; our ability to add new customers and upsell within our subscription business; our reliance upon partners, including data suppliers, who may withdraw or withhold data from us; increased competition and rapidly changing technology that could impact our products and services; the risk that we fail to realize the potential benefits of or have difficulty integrating acquired businesses; and our inability to attract, motivate and retain talent. Additional risks include maintaining our culture and our ability to innovate and evolve while operating in a hybrid work environment, with some employees working remotely at least some of the time within a rapidly changing industry, while also avoiding disruption from reductions in our current workforce as well as disruptions resulting from acquisition, divestiture and other activities affecting our workforce. Our global workforce strategy could possibly encounter difficulty and not be as beneficial as planned. Our international operations are also subject to risks, including the performance of third parties as well as impacts from war and civil unrest, that may harm the Company’s business. The risk of a significant breach of the confidentiality of the information or the security of our or our customers’, suppliers’, or other partners’ data and/or computer systems, or the risk that our current insurance coverage may not be adequate for such a breach, that an insurer might deny coverage for a claim or that such insurance will continue to be available to us on commercially reasonable terms, or at all, could be detrimental to our business, reputation and results of operations. Other business risks include unfavorable publicity and negative public perception about our industry; interruptions or delays in service from data center or cloud hosting vendors we rely upon; and our dependence on the continued availability of third-party data hosting and transmission services. Our clients’ ability to use data on our platform could be restricted if the industry’s use of third-party cookies and tracking technology declines due to technology platform changes, regulation or increased user controls. Continued changes in the judicial, legislative, regulatory, accounting, cultural and consumer environments affecting our business, including but not limited to litigation, investigations, legislation, regulations and customs at the state, federal and international levels relating to information collection and use represents a risk, as well as changes in tax laws and regulations that are applied to our customers which could cause enterprise software budget tightening. In addition, third parties may claim that we are infringing their intellectual property or may infringe our intellectual property which could result in competitive injury and / or the incurrence of significant costs and draining of our resources.

    For a discussion of these and other risks and uncertainties that could affect LiveRamp’s business, reputation, results of operation, financial condition and stock price, please refer to LiveRamp’s filings with the U.S. Securities and Exchange Commission, including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of LiveRamp’s most recently filed Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and subsequent filings.

    The financial information set forth in this press release reflects estimates based on information available at this time.

    LiveRamp assumes no obligation and does not currently intend to update these forward-looking statements.

    To automatically receive LiveRamp financial news by email, please visit www.LiveRamp.com and subscribe to email alerts.

    For more information, contact:

    LiveRamp Investor Relations
    Investor.Relations@LiveRamp.com

    LiveRamp® and RampID™ and all other LiveRamp marks contained herein are trademarks or service marks of LiveRamp, Inc. All other marks are the property of their respective owners.

    ________________________
    1 Unless otherwise indicated, all comparisons are to the prior year period.

                 
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (Unaudited)
    (Dollars in thousands, except per share amounts)
                 
      For the three months ended March 31,
              $ %
      2025     2024     Variance Variance
                 
    Revenues 188,724     171,852     16,872   9.8 %
    Cost of revenue 57,929     47,722     10,207   21.4 %
    Gross profit 130,795     124,130     6,665   5.4 %
    % Gross margin 69.3 %   72.2 %      
                 
    Operating expenses            
    Research and development 45,926     45,161     765   1.7 %
    Sales and marketing 56,961     60,476     (3,515 ) (5.8 )%
    General and administrative 32,175     30,252     1,923   6.4 %
    Gains, losses and other items, net 7,241     2,516     4,725   187.8 %
    Total operating expenses 142,303     138,405     3,898   2.8 %
                 
    Loss from operations (11,508 )   (14,275 )   2,767   19.4 %
    % Margin (6.1 )%   (8.3 )%      
                 
    Total other income, net 4,762     5,070     (308 ) (6.1 )%
    Loss from continuing operations before income taxes (6,746 )   (9,205 )   2,459   26.7 %
    Income tax benefit (479 )   (3,027 )   2,548   84.2 %
    Net earnings from continuing operations (6,267 )   (6,178 )   (89 ) (1.4 )%
                 
    Earnings from discontinued operations, net of tax     805     (805 ) (100.0 )%
                 
    Net loss (6,267 )   (5,373 )   (894 ) (16.6 )%
                 
    Basic loss per share:            
    Continuing operations (0.10 )   (0.09 )   (0.00 ) (2.0 )%
    Discontinued operations 0.00     0.01     (0.01 ) (100.0 )%
    Basic loss per share (0.10 )   (0.08 )   (0.01 ) (17.3 )%
                 
    Diluted loss per share:            
    Continuing operations (0.10 )   (0.09 )   (0.00 ) (2.0 )%
    Discontinued operations 0.00     0.01     (0.01 ) (100.0 )%
    Diluted loss per share (0.10 )   (0.08 )   (0.01 ) (17.3 )%
                 
    Basic weighted average shares 65,957     66,323        
    Diluted weighted average shares 65,957     66,323        
                 
    Some totals may not sum due to rounding.            
                 
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (Unaudited)
    (Dollars in thousands, except per share amounts)
                 
      For the twelve months ended March 31,
              $ %
      2025     2024     Variance Variance
                 
    Revenues 745,580     659,661     85,919   13.0 %
    Cost of revenue 215,910     179,489     36,421   20.3 %
    Gross profit 529,670     480,172     49,498   10.3 %
    % Gross margin 71.0 %   72.8 %      
                 
    Operating expenses            
    Research and development 176,668     151,201     25,467   16.8 %
    Sales and marketing 213,106     195,693     17,413   8.9 %
    General and administrative 126,499     110,166     16,333   14.8 %
    Gains, losses and other items, net 7,993     11,708     (3,715 ) (31.7 )%
    Total operating expenses 524,266     468,768     55,498   11.8 %
                 
    Income from operations 5,404     11,404     (6,000 ) (52.6 )%
    % Margin 0.7 %   1.7 %      
                 
    Total other income, net 17,436     22,957     (5,521 ) (24.0 )%
    Income from continuing operations before income taxes 22,840     34,361     (11,521 ) (33.5 )%
    Income tax expense 25,342     24,270     1,072   4.4 %
    Net earnings (loss) from continuing operations (2,502 )   10,091     (12,593 ) (124.8 )%
                 
    Earnings from discontinued operations, net of tax 1,688     1,790     (102 ) (5.7 )%
                 
    Net earnings (loss) (814 )   11,881     (12,695 ) (106.9 )%
                 
    Basic earnings (loss) per share:            
    Continuing operations (0.04 )   0.15     (0.19 ) (124.8 )%
    Discontinued operations 0.03     0.03     (0.00 ) (5.5 )%
    Basic earnings (loss) per share (0.01 )   0.18     (0.19 ) (106.9 )%
                 
    Diluted earnings (loss) per share:            
    Continuing operations (0.04 )   0.15     (0.19 ) (125.5 )%
    Discontinued operations 0.03     0.03     (0.00 ) (3.1 )%
    Diluted earnings (loss) per share (0.01 )   0.17     (0.19 ) (107.0 )%
                 
    Basic weighted average shares 66,126     66,266        
    Diluted weighted average shares 66,126     67,918        
                 
    Some totals may not sum due to rounding.            
                 
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP EPS (1)
    (Unaudited)
    (Dollars in thousands, except per share amounts)
                   
      For the three months
    ended March 31,
      For the twelve months
    ended March 31,
      2025     2024     2025     2024
                   
    Income (loss) from continuing operations before income taxes (6,746 )   (9,205 )   22,840     34,361
    Income tax expense (benefit) (479 )   (3,027 )   25,342     24,270
    Net earnings from continuing operations (6,267 )   (6,178 )   (2,502 )   10,091
    Earnings from discontinued operations, net of tax     805     1,688     1,790
    Net earnings (loss) (6,267 )   (5,373 )   (814 )   11,881
                   
    Basic earnings (loss) per share (0.10 )   (0.08 )   (0.01 )   0.18
    Diluted earnings (loss) per share (0.10 )   (0.08 )   (0.01 )   0.17
                   
    Excluded items:              
    Purchased intangible asset amortization (cost of revenue) 3,135     3,097     14,415     8,785
    Non-cash stock compensation (cost of revenue and operating expenses) 24,166     24,780     107,979     71,304
    Restructuring and merger charges (gains, losses, and other) 7,241     2,516     7,993     11,708
    Transformation costs (general and administrative)             1,875
    Total excluded items from continuing operations 34,542     30,393     130,387     93,672
                   
    Income from continuing operations before income taxes and excluding items 27,796     21,188     153,227     128,033
    Income tax expense (2) 7,759     3,947     38,296     29,882
    Non-GAAP net earnings (loss) from continuing operations 20,037     17,241     114,931     98,151
                   
    Non-GAAP earnings per share from continuing operations              
    Basic 0.30     0.26     1.74     1.48
    Diluted 0.30     0.25     1.70     1.45
                   
    Basic weighted average shares 65,957     66,323     66,126     66,266
    Diluted weighted average shares 67,479     68,471     67,499     67,918
                   
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures and the material limitations on the usefulness of these measures, please see Appendix A.
                   
    (2) Non-GAAP income taxes were calculated by applying the estimated annual effective tax rate to year-to-date pretax income or loss and adjusting for discrete tax items in the period. The differences between our GAAP and non-GAAP effective tax rates were primarily due to the net tax effects of the excluded items, coupled with the valuation allowance and smaller pre-tax income for GAAP purposes.
                   
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP INCOME FROM OPERATIONS (1)
    (Unaudited)
    (Dollars in thousands)
                   
      For the three months
    ended March 31,
      For the twelve months
    ended March 31,
      2025     2024     2025     2024  
                   
    Income (loss) from operations (11,508 )   (14,275 )   5,404     11,404  
    Operating income (loss) margin (6.1 )%   (8.3 )%   0.7 %   1.7 %
                   
    Excluded items:              
    Purchased intangible asset amortization (cost of revenue) 3,135     3,097     14,415     8,785  
    Non-cash stock compensation (cost of revenue and operating expenses) 24,166     24,780     107,979     71,304  
    Restructuring and merger charges (gains, losses, and other) 7,241     2,516     7,993     11,708  
    Transformation costs (general and administrative)             1,875  
    Total excluded items 34,542     30,393     130,387     93,672  
                   
    Income from operations before excluded items 23,034     16,118     135,791     105,076  
    Non-GAAP operating income margin 12.2 %   9.4 %   18.2 %   15.9 %
                   
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures and the material limitations on the usefulness of these measures, please see Appendix A.
                   
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF ADJUSTED EBITDA (1)
    (Unaudited)
    (Dollars in thousands)
                   
      For the three months
    ended March 31,
      For the twelve months
    ended March 31,
      2024     2023     2024     2023  
                   
    Net earnings (loss) from continuing operations (6,267 )   (6,178 )   (2,502 )   10,091  
    Income tax expense (benefit) (479 )   (3,027 )   25,342     24,270  
    Total other expense, net (4,762 )   (5,070 )   (17,436 )   (22,957 )
                   
    Income (loss) from operations (11,508 )   (14,275 )   5,404     11,404  
    Depreciation and amortization 3,803     3,823     17,207     11,508  
                   
    EBITDA (7,705 )   (10,452 )   22,611     22,912  
                   
    Other adjustments:              
    Non-cash stock compensation (cost of revenue and operating expenses) 24,166     24,780     107,979     71,304  
    Restructuring and merger charges (gains, losses, and other) 7,241     2,516     7,993     11,708  
    Transformation costs (general and administrative)             1,875  
                   
    Other adjustments 31,407     27,296     115,972     84,887  
                   
    Adjusted EBITDA 23,702     16,844     138,583     107,799  
                   
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures and the material limitations on the usefulness of these measures, please see Appendix A.
                   
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED BALANCE SHEETS
    (Dollars in thousands)
                 
      March 31   March 31   $ %
      2025     2024     Variance Variance
    Assets            
    Current assets:            
    Cash and cash equivalents 413,331     336,867     76,464   22.7 %
    Restricted cash 595     2,604     (2,009 ) (77.2 )%
    Short-term investments 7,500     32,045     (24,545 ) (76.6 )%
    Trade accounts receivable, net 186,169     190,313     (4,144 ) (2.2 )%
    Refundable income taxes, net 9,708     8,521     1,187   13.9 %
    Other current assets 38,886     31,682     7,204   22.7 %
    Total current assets 656,189     602,032     54,157   9.0 %
                 
    Property and equipment 23,813     25,394     (1,581 ) (6.2 )%
    Less – accumulated depreciation and amortization 17,629     17,213     416   2.4 %
    Property and equipment, net 6,184     8,181     (1,997 ) (24.4 )%
                 
    Intangible assets, net 20,167     34,583     (14,416 ) (41.7 )%
    Goodwill 501,756     501,756       %
    Deferred commissions, net 44,452     48,143     (3,691 ) (7.7 )%
    Other assets, net 30,623     36,748     (6,125 ) (16.7 )%
      1,259,371     1,231,443     27,928   2.3 %
                 
    Liabilities and Stockholders’ Equity            
    Current liabilities:            
    Trade accounts payable 112,271     81,202     31,069   38.3 %
    Accrued payroll and related expenses 50,776     61,575     (10,799 ) (17.5 )%
    Other accrued expenses 38,586     42,857     (4,271 ) (10.0 )%
    Deferred revenue 45,885     30,942     14,943   48.3 %
    Total current liabilities 247,518     216,576     30,942   14.3 %
                 
    Other liabilities 62,994     65,732     (2,738 ) (4.2 )%
                 
    Stockholders’ equity:            
    Preferred stock           n/a
    Common stock 15,918     15,594     324   2.1 %
    Additional paid-in capital 2,045,316     1,933,776     111,540   5.8 %
    Retained earnings 1,313,358     1,314,172     (814 ) (0.1 )%
    Accumulated other comprehensive income 4,295     3,964     331   8.4 %
    Treasury stock, at cost (2,430,028 )   (2,318,371 )   (111,657 ) 4.8 %
    Total stockholders’ equity 948,859     949,135     (276 ) (0.0 )%
      1,259,371     1,231,443     27,928   2.3 %
                 
           
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF CASH FLOWS
    (Unaudited)
    (Dollars in thousands)
      For the three months
    ended March 31,
      2025     2024  
    Cash flows from operating activities:      
    Net loss (6,267 )   (5,373 )
    Earnings from discontinued operations, net of tax     (805 )
    Non-cash operating activities:      
    Depreciation and amortization 3,803     3,823  
    Loss on disposal or impairment of assets 44     6  
    Lease-related impairment and restructuring charges (28 )   (546 )
    Gain on sale of strategic investments (515 )    
    Loss on marketable equity securities 206      
    Provision for doubtful accounts (453 )   1,947  
    Deferred income taxes (496 )   (498 )
    Non-cash stock compensation expense 24,166     24,780  
    Changes in operating assets and liabilities:      
    Accounts receivable, net 25,187     8,700  
    Deferred commissions 46     (3,971 )
    Other assets 4,703     8,514  
    Accounts payable and other liabilities 11,738     (246 )
    Income taxes (523 )   (7,285 )
    Deferred revenue 969     (1,403 )
    Net cash provided by operating activities 62,580     27,643  
    Cash flows from investing activities:      
    Capital expenditures (293 )   (1,791 )
    Cash paid in acquisitions, net of cash received     (170,281 )
    Purchases of investments     (24,509 )
    Proceeds from sales of investments     25,000  
    Proceeds from sale of strategic investment 763      
    Net cash provided by (used in) investing activities 470     (171,581 )
    Cash flows from financing activities:      
    Proceeds related to the issuance of common stock under stock and employee benefit plans 202     1  
    Shares repurchased for tax withholdings upon vesting of stock-based awards (1,026 )   (719 )
    Acquisition of treasury stock (25,447 )   (15,177 )
    Net cash used in financing activities (26,271 )   (15,895 )
    Net cash provided by (used in) continuing operations 36,779     (159,833 )
    Cash flows from discontinued operations:      
    From operating activities (798 )   805  
    Net cash provided by (used in) discontinued operations (798 )   805  
    Net cash provided by (used in) continuing and discontinued operations 35,981     (159,028 )
    Effect of exchange rate changes on cash 580     (447 )
           
    Net change in cash, cash equivalents and restricted cash 36,561     (159,475 )
    Cash, cash equivalents and restricted cash at beginning of period 377,365     498,946  
    Cash, cash equivalents and restricted cash at end of period 413,926     339,471  
           
    Supplemental cash flow information:      
    Cash paid for income taxes, net from continuing operations 558     4,905  
    Cash received for income taxes, net from discontinued operations     (1,258 )
    Cash paid for operating lease liabilities 2,426     2,594  
           
           
    Operating lease assets obtained in exchange for operating lease liabilities     148  
    Operating lease assets, and related lease liabilities, relinquished in lease terminations (40 )    
    Purchases of property, plant and equipment remaining unpaid at period end 20     104  
    Marketable equity securities obtained in disposition of strategic investment 652      
    Excise tax payable on net stock repurchases 64      
           
           
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF CASH FLOWS
    (Unaudited)
    (Dollars in thousands)
      For the twelve months
    ended March 31,
      2025     2024  
    Cash flows from operating activities:      
    Net earnings (loss) (814 )   11,881  
    Earnings from discontinued operations, net of tax (1,688 )   (1,790 )
    Non-cash operating activities:      
    Depreciation and amortization 17,207     11,508  
    Loss on disposal or impairment of assets 85     1,219  
    Lease-related impairment and restructuring charges 14     1,769  
    Gain on sale of strategic investments (515 )    
    Loss on marketable equity securities 206      
    Provision for doubtful accounts 695     2,254  
    Impairment of goodwill     2,875  
    Deferred income taxes (447 )   (458 )
    Non-cash stock compensation expense 107,979     71,304  
    Changes in operating assets and liabilities:      
    Accounts receivable, net 3,547     (32,336 )
    Deferred commissions 3,691     (11,113 )
    Other assets 2,105     9,426  
    Accounts payable and other liabilities 3,573     8,508  
    Income taxes 3,430     22,275  
    Deferred revenue 14,897     8,334  
    Net cash provided by operating activities 153,965     105,656  
    Cash flows from investing activities:      
    Capital expenditures (1,042 )   (4,255 )
    Cash paid in acquisitions, net of cash received (1,951 )   (170,281 )
    Purchases of investments (1,967 )   (48,894 )
    Proceeds from sales of investments 26,989     50,750  
    Proceeds from sale of strategic investment 763      
    Purchases of strategic investments (1,400 )   (1,000 )
    Net cash provided by (used in) investing activities 21,392     (173,680 )
    Cash flows from financing activities:      
    Proceeds related to the issuance of common stock under stock and employee benefit plans 8,833     7,222  
    Shares repurchased for tax withholdings upon vesting of stock-based awards (10,331 )   (5,835 )
    Acquisition of treasury stock (101,198 )   (60,502 )
    Net cash used in financing activities (102,696 )   (59,115 )
    Net cash provided by (used in) continuing operations 72,661     (127,139 )
    Cash flows from discontinued operations:      
    From operating activities 1,688     1,790  
    Net cash provided by discontinued operations 1,688     1,790  
    Net cash provided by (used in) continuing and discontinued operations 74,349     (125,349 )
    Effect of exchange rate changes on cash 106     372  
           
    Net change in cash, cash equivalents and restricted cash 74,455     (124,977 )
    Cash, cash equivalents and restricted cash at beginning of period 339,471     464,448  
    Cash, cash equivalents and restricted cash at end of period 413,926     339,471  
           
    Supplemental cash flow information:      
    Cash paid for income taxes, net from continuing operations 22,548     2,465  
    Cash received for income taxes, net from discontinued operations (2,486 )   (2,765 )
    Cash received for tenant improvement allowances (2,628 )    
    Cash paid for operating lease liabilities 9,798     10,293  
           
           
    Operating lease assets obtained in exchange for operating lease liabilities 2,327     11,825  
    Operating lease assets, and related lease liabilities, relinquished in lease terminations (595 )   (4,486 )
    Purchases of property, plant and equipment remaining unpaid at period end 20     104  
    Marketable equity securities obtained in disposition of strategic investment 652      
    Excise tax payable on net stock repurchases 128      
           
    LIVERAMP HOLDINGS, INC AND SUBSIDIARIES
    CALCULATION OF FREE CASH FLOW (1)
    (Unaudited)
    (Dollars in thousands)
                           
      6/30/2023 9/30/2023 12/31/2023 3/31/2024 FY2024   6/30/2024 9/30/2024 12/31/2024 3/31/2025 FY2025
                           
    Net cash provided by (used in) operating activities $ 25,693   $ 35,764   $ 16,556   $ 27,643   $ 105,656     $ (9,328 ) $ 55,596   $ 45,117   $ 62,580   $ 153,965  
                           
    Less:                      
    Capital expenditures   (53 )   (200 )   (2,211 )   (1,791 )   (4,255 )     (226 )   (241 )   (282 )   (293 )   (1,042 )
                           
    Free Cash Flow $ 25,640   $ 35,564   $ 14,345   $ 25,852   $ 101,401     $ (9,554 ) $ 55,355   $ 44,835   $ 62,287   $ 152,923  
                           
                           
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures and the material limitations on the usefulness of these measures, please see Appendix A.
     
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (Unaudited)
    (Dollars in thousands, except per share amounts)
                              Yr-to-Yr
      FY2024   FY2025   FY2025 to FY2024
      6/30/2023 9/30/2023 12/31/2023 3/31/2024 FY2024   6/30/2024 9/30/2024 12/31/2024 3/31/2025 FY2025   % $
                                 
    Revenues   154,069     159,871     173,869     171,852     659,661       175,961     185,483     195,412     188,724     745,580     13.0 % 85,919  
    Cost of revenue   45,621     41,212     44,934     47,722     179,489       51,749     51,234     54,998     57,929     215,910     20.3 % 36,421  
    Gross profit   108,448     118,659     128,935     124,130     480,172       124,212     134,249     140,414     130,795     529,670     10.3 % 49,498  
    % Gross margin   70.4 %   74.2 %   74.2 %   72.2 %   72.8 %     70.6 %   72.4 %   71.9 %   69.3 %   71.0 %      
                                 
    Operating expenses                            
    Research and development   34,519     33,733     37,788     45,161     151,201       44,118     43,889     42,735     45,926     176,668     16.8 % 25,467  
    Sales and marketing   44,879     44,135     46,203     60,476     195,693       54,175     51,107     50,863     56,961     213,106     8.9 % 17,413  
    General and administrative   26,664     26,009     27,241     30,252     110,166       30,961     31,369     31,994     32,175     126,499     14.8 % 16,333  
    Gains, losses and other items, net   116     6,574     2,502     2,516     11,708       206     397     149     7,241     7,993     (31.7 )% (3,715 )
    Total operating expenses   106,178     110,451     113,734     138,405     468,768       129,460     126,762     125,741     142,303     524,266     11.8 % 55,498  
                                 
    Income (loss) from operations   2,270     8,208     15,201     (14,275 )   11,404       (5,248 )   7,487     14,673     (11,508 )   5,404     (52.6 )% (6,000 )
    % Margin   5.0 %   24.3 %   40.2 %   (31.6 )%   1.7 %     (3.0 )%   4.0 %   7.5 %   (6.1 )%   0.7 %      
                                 
    Total other income, net   4,849     6,431     6,607     5,070     22,957       4,444     4,197     4,033     4,762     17,436     (24.0 )% (5,521 )
                                 
    Income (loss) from continuing operations before income taxes   7,119     14,639     21,808     (9,205 )   34,361       (804 )   11,684     18,706     (6,746 )   22,840     (33.5 )% (11,521 )
    Income tax expense (benefit)   8,705     10,163     8,429     (3,027 )   24,270       6,685     9,952     9,184     (479 )   25,342     4.4 % 1,072  
    Net earnings (loss) from continuing operations   (1,586 )   4,476     13,379     (6,178 )   10,091       (7,489 )   1,732     9,522     (6,267 )   (2,502 )   (124.8 )% (12,593 )
                                 
    Earnings from discontinued operations, net of tax       387     598     805     1,790               1,688         1,688     (5.7 )% (102 )
                                 
    Net earnings (loss) $ (1,586 ) $ 4,863   $ 13,977   $ (5,373 ) $ 11,881     $ (7,489 ) $ 1,732   $ 11,210   $ (6,267 ) $ (814 )   (106.9 )% (12,695 )
                                 
    Basic earnings (loss) per share:                            
    Continuing Operations   (0.02 )   0.07     0.20     (0.09 )   0.15       (0.11 )   0.03     0.15     (0.10 )   (0.04 )   (124.8 )% (0.19 )
    Discontinued Operations   0.00     0.01     0.01     0.01     0.03       0.00     0.00     0.03     0.00     0.03     (5.5 )% (0.00 )
    Basic earnings (loss) per share   (0.02 )   0.07     0.21     (0.08 )   0.18       (0.11 )   0.03     0.17     (0.10 )   (0.01 )   (106.9 )% (0.19 )
                                 
    Diluted earnings (loss) per share:                            
    Continuing Operations   (0.02 )   0.07     0.20     (0.09 )   0.15       (0.11 )   0.03     0.14     (0.10 )   (0.04 )   (125.5 )% (0.19 )
    Discontinued Operations   0.00     0.01     0.01     0.01     0.03       0.00     0.00     0.03     0.00     0.03     (3.1 )% (0.00 )
    Diluted earnings (loss) per share   (0.02 )   0.07     0.21     (0.08 )   0.17       (0.11 )   0.03     0.17     (0.10 )   (0.01 )   (107.0 )% (0.19 )
                                 
                                 
    Basic weighted average shares   66,497     66,284     65,961     66,323     66,266       66,621     66,294     65,631     65,957     66,126        
    Diluted weighted average shares   66,497     67,868     67,943     66,323     67,918       66,621     67,309     66,743     65,957     66,126        
                                 
    Some earnings (loss) per share amounts may not add due to rounding.         
                                 
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP EXPENSES (1)
    (Unaudited)
    (Dollars in thousands)
      FY2024   FY2025
      6/30/2023 9/30/2023 12/31/2023 3/31/2024 FY2024   6/30/2024 9/30/2024 12/31/2024 3/31/2025 FY2025
    Expenses:                      
    Cost of revenue 45,621   41,212   44,934   47,722   179,489     51,749   51,234   54,998   57,929   215,910  
    Research and development 34,519   33,733   37,788   45,161   151,201     44,118   43,889   42,735   45,926   176,668  
    Sales and marketing 44,879   44,135   46,203   60,476   195,693     54,175   51,107   50,863   56,961   213,106  
    General and administrative 26,664   26,009   27,241   30,252   110,166     30,961   31,369   31,994   32,175   126,499  
    Gains, losses and other items, net 116   6,574   2,502   2,516   11,708     206   397   149   7,241   7,993  
                           
    Gross profit, continuing operations: 108,448   118,659   128,935   124,130   480,172     124,212   134,249   140,414   130,795   529,670  
    % Gross margin 70.4 % 74.2 % 74.2 % 72.2 % 72.8 %   70.6 % 72.4 % 71.9 % 69.3 % 71.0 %
                           
    Excluded items:                      
    Purchased intangible asset amortization (cost of revenue) 3,290   1,217   1,181   3,097   8,785     3,846   3,748   3,686   3,135   14,415  
    Non-cash stock compensation (cost of revenue) 629   629   817   1,478   3,553     1,596   1,499   1,455   1,615   6,165  
    Non-cash stock compensation (research and development) 5,077   5,293   6,960   9,859   27,189     10,205   10,920   10,085   10,494   41,704  
    Non-cash stock compensation (sales and marketing) 3,736   4,786   4,089   6,337   18,948     7,093   7,383   7,278   5,716   27,470  
    Non-cash stock compensation (general and administrative) 3,850   5,027   5,631   7,106   21,614     9,091   9,266   7,942   6,341   32,640  
    Restructuring charges (gains, losses, and other) 116   6,574   2,502   2,516   11,708     206   397   149   7,241   7,993  
    Transformation costs (general and administrative) 1,875         1,875              
    Total excluded items 18,573   23,526   21,180   30,393   93,672     32,037   33,213   30,595   34,542   130,387  
                           
    Expenses, excluding items:                      
    Cost of revenue 41,702   39,366   42,936   43,147   167,151     46,307   45,987   49,857   53,179   195,330  
    Research and development 29,442   28,440   30,828   35,302   124,012     33,913   32,969   32,650   35,432   134,964  
    Sales and marketing 41,143   39,349   42,114   54,139   176,745     47,082   43,724   43,585   51,245   185,636  
    General and administrative 20,939   20,982   21,610   23,146   86,677     21,870   22,103   24,052   25,834   93,859  
                           
    Gross profit, excluding items: 112,367   120,505   130,933   128,705   492,510     129,654   139,496   145,555   135,545   550,250  
    % Gross margin 72.9 % 75.4 % 75.3 % 74.9 % 74.7 %   73.7 % 75.2 % 74.5 % 71.8 % 73.8 %
                           
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures and the material limitations on the usefulness of these measures, please see Appendix A.
     
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP EPS (1)
    (Unaudited)
    (Dollars in thousands, except per share amounts)
      FY2024   FY2025
      6/30/2023 9/30/2023 12/31/2023 3/31/2024 FY2024   6/30/2024 9/30/2024 12/31/2024 3/31/2025 FY2025
                           
    Income (loss) from continuing operations before income taxes 7,119   14,639 21,808 (9,205 ) 34,361   (804 ) 11,684 18,706 (6,746 ) 22,840  
    Income tax expense (benefit) 8,705   10,163 8,429 (3,027 ) 24,270   6,685   9,952 9,184 (479 ) 25,342  
    Net earnings (loss) from continuing operations (1,586 ) 4,476 13,379 (6,178 ) 10,091   (7,489 ) 1,732 9,522 (6,267 ) (2,502 )
                           
    Earnings from discontinued operations, net of tax   387 598 805   1,790     1,688   1,688  
                           
    Net earnings (loss) (1,586 ) 4,863 13,977 (5,373 ) 11,881   (7,489 ) 1,732 11,210 (6,267 ) (814 )
                           
    Earnings (loss) per share:                      
    Basic (0.02 ) 0.07 0.21 (0.08 ) 0.18   (0.11 ) 0.03 0.17 (0.10 ) (0.01 )
    Diluted (0.02 ) 0.07 0.21 (0.08 ) 0.17   (0.11 ) 0.03 0.17 (0.10 ) (0.01 )
                           
    Excluded items:                      
    Purchased intangible asset amortization (cost of revenue) 3,290   1,217 1,181 3,097   8,785   3,846   3,748 3,686 3,135   14,415  
    Non-cash stock compensation (cost of revenue and operating expenses) 13,292   15,735 17,497 24,780   71,304   27,985   29,068 26,760 24,166   107,979  
    Restructuring and merger charges (gains, losses, and other) 116   6,574 2,502 2,516   11,708   206   397 149 7,241   7,993  
    Transformation costs (general and administrative) 1,875     1,875        
    Total excluded items from continuing operations 18,573   23,526 21,180 30,393   93,672   32,037   33,213 30,595 34,542   130,387  
                           
    Income from continuing operations before income taxes and excluding items 25,692   38,165 42,988 21,188   128,033   31,233   44,897 49,301 27,796   153,227  
    Income tax expense (2) 6,167   9,036 10,732 3,947   29,882   7,371   10,745 12,421 7,759   38,296  
    Non-GAAP net earnings from continuing operations 19,525   29,129 32,256 17,241   98,151   23,862   34,152 36,880 20,037   114,931  
                           
    Non-GAAP earnings per share from continuing operations                      
    Basic 0.29   0.44 0.49 0.26   1.48   0.36   0.52 0.56 0.30   1.74  
    Diluted 0.29   0.43 0.47 0.25   1.45   0.35   0.51 0.55 0.30   1.70  
                           
    Basic weighted average shares 66,497   66,284 65,961 66,323   66,266   66,621   66,294 65,631 65,957   66,126  
    Diluted weighted average shares 67,388   67,868 67,943 68,471   67,918   68,463   67,309 66,743 67,479   67,499  
                           
    Some totals may not add due to rounding           
                           
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures and the material limitations on the usefulness of these measures, please see Appendix A.
     
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP OPERATING INCOME GUIDANCE (1)
    (Unaudited)
    (Dollars in thousands)
      For the   For the
      quarter ending   year ending
      June 30,
    2025
      March 31,
    2026
               
          Low   High
               
    GAAP income from operations $ 6,000   $ 85,000   $ 89,000
               
    Excluded items:          
    Purchased intangible asset amortization   3,000     11,000     11,000
    Non-cash stock compensation   24,000     82,000     82,000
    Total excluded items   27,000     93,000     93,000
               
    Non-GAAP income from operations $ 33,000   $ 178,000   $ 182,000
               
               
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures and the material limitations on the usefulness of these measures, please see Appendix A.
               
    APPENDIX A
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    Q4 FISCAL 2025 FINANCIAL RESULTS
    EXPLANATION OF NON-GAAP MEASURES AND OTHER KEY METRICS
     
    To supplement our financial results, we use non-GAAP measures which exclude certain acquisition related expenses, non-cash stock compensation and restructuring charges. We believe these measures are helpful in understanding our past performance and our future results. Our non-GAAP financial measures and schedules are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with our consolidated GAAP financial statements. Our management regularly uses these non-GAAP financial measures internally to understand, manage and evaluate our business and to make operating decisions. These measures are among the primary factors management uses in planning for and forecasting future periods. Compensation of our executives is also based in part on the performance of our business based on these non-GAAP measures.
     
    Our non-GAAP financial measures, including non-GAAP earnings (loss) per share, non-GAAP income (loss) from operations, non-GAAP operating income (loss) margin, non-GAAP expenses and adjusted EBITDA reflect adjustments based on the following items, as well as the related income tax effects when applicable:
     
    Purchased intangible asset amortization: We incur amortization of purchased intangibles in connection with our acquisitions. Purchased intangibles include (i) developed technology, (ii) customer and publisher relationships, and (iii) trade names. We expect to amortize for accounting purposes the fair value of the purchased intangibles based on the pattern in which the economic benefits of the intangible assets will be consumed as revenue is generated. Although the intangible assets generate revenue for us, we exclude this item because this expense is non-cash in nature and because we believe the non-GAAP financial measures excluding this item provide meaningful supplemental information regarding our operational performance.
     
    Non-cash stock compensation: Non-cash stock compensation consists of charges for employee restricted stock units, performance shares and stock options in accordance with current GAAP related to stock-based compensation including expense associated with stock-based compensation related to unvested options assumed in connection with our acquisitions. As we apply stock-based compensation standards, we believe that it is useful to investors to understand the impact of the application of these standards to our operational performance. Although stock-based compensation expense is calculated in accordance with current GAAP and constitutes an ongoing and recurring expense, such expense is excluded from non-GAAP results because it is not an expense that typically requires or will require cash settlement by us and because such expense is not used by us to assess the core profitability of our business operations.
     
    Restructuring charges: During the past several years, we have initiated certain restructuring activities in order to align our costs in connection with both our operating plans and our business strategies based on then-current economic conditions. As a result, we recognized costs related to termination benefits for employees whose positions were eliminated, lease and other contract termination charges, and asset impairments. These items, as well as third party expenses associated with business acquisitions in the prior years, reported as gains, losses, and other items, net, are excluded from non-GAAP results because such amounts are not used by us to assess the core profitability of our business operations.
     
    Transformation costs: In previous years, we incurred significant expenses to separate the financial statements of our operating segments, with particular focus on segment-level balance sheets, and to evaluate portfolio priorities. Our criteria for excluding transformation expenses from our non-GAAP measures is as follows: 1) projects are discrete in nature; 2) excluded expenses consist only of third-party consulting fees that we would not incur otherwise; and 3) we do not exclude employee related expenses or other costs associated with the ongoing operations of our business. We substantially completed those projects during the third quarter of fiscal year 2018. Beginning in the fourth quarter of fiscal 2018, and through most of fiscal 2019, we incurred transaction support expenses and system separation costs related to the Company’s announced evaluation of strategic options for its Marketing Solutions (AMS) business. In the first and second quarters of fiscal 2021 in response to the potential COVID-19 pandemic impact on our business and again during fiscal 2023 in response to macroeconomic conditions, we incurred significant costs associated with the assessment of strategic and operating plans, including our long-term location strategy, and assistance in implementing the restructuring activities as a result of this assessment.  Our criteria for excluding these costs are the same. We believe excluding these items from our non-GAAP financial measures is useful for investors and provides meaningful supplemental information.
     
    Our non-GAAP financial schedules are:
     
    Non-GAAP EPS, Non-GAAP Income from Operations, and Non-GAAP expenses: Our Non-GAAP earnings per share, Non-GAAP income from operations, Non-GAAP operating income margin, and Non-GAAP expenses reflect adjustments as described above, as well as the related tax effects where applicable.
     
    Adjusted EBITDA: Adjusted EBITDA is defined as net income from continuing operations before income taxes, other income and expenses, depreciation and amortization, and including adjustments as described above. We use Adjusted EBITDA to measure our performance from period to period both at the consolidated level as well as within our operating segments and to compare our results to those of our competitors. We believe that the inclusion of Adjusted EBITDA provides useful supplementary information to and facilitates analysis by investors in evaluating the Company’s performance and trends. The presentation of Adjusted EBITDA is not meant to be considered in isolation or as an alternative to net earnings as an indicator of our performance.
     
    Free Cash Flow: To supplement our statement of cash flows, we use a non-GAAP measure of cash flow to analyze cash flows generated from operations. Free cash flow is defined as operating cash flow less capital expenditures. Management believes that this measure of cash flow is meaningful since it represents the amount of money available from continuing operations for the Company’s discretionary spending. The presentation of non-GAAP free cash flow is not meant to be considered in isolation or as an alternative to cash flows from operating activities as a measure of liquidity.
     

    PDF available: http://ml.globenewswire.com/Resource/Download/f10eae40-8315-4829-8708-f54db5dee34b

    The MIL Network

  • MIL-OSI: NextNRG Reports Q1 2025 Revenues up 147% Year-over-Year

    Source: GlobeNewswire (MIL-OSI)

    Triple-Digit Growth Highlights Execution of Integrated Energy Infrastructure Strategy

    Q1 2025 Conference Call Scheduled for May 22, 2025 at 9:15 AM ET

    MIAMI, May 21, 2025 (GLOBE NEWSWIRE) — NextNRG, Inc. (Nasdaq: NXXT), a pioneer in AI-driven energy innovation—transforming how energy is produced, managed and delivered through its advanced Utility Operating System, smart microgrid technology, wireless EV charging and on-demand mobile fuel delivery solutions— today announced financial results for the first quarter ended March 31, 2025, and provided a strategic update on its technology roadmap and growth trajectory.

    The Company will host a conference call to discuss these results on May 22, 2025 at 9:15 AM ET. Dial-in details are as follows:

    Selected Financial & Operational Highlights

    Metric Q1 2025 (unaudited) Q1 2024 (unaudited)
    Revenue $16.3M $6.6M
    Gross Profit $518K $462K
         

    “We entered 2025 with tremendous momentum and a clear roadmap to scale, and Q1 results are a reflection of that execution,” said Michael D. Farkas, CEO of NextNRG. “With triple-digit revenue growth, record-setting fuel volumes, and expanding margins, our core operations continue to exceed expectations. At the same time, we are advancing the next phase of our integrated energy strategy, with smart microgrid deployments and wireless EV charging programs progressing toward commercial launch.

    We believe our hybrid platform—combining traditional fueling, electrification, and AI-driven grid intelligence—represents the future of distributed energy,” Farkas added. “As we continue executing on this vision, we are building an ecosystem capable of delivering reliable, intelligent, and sustainable infrastructure at national scale laying the foundation for enormous long-term SaaS-based recurring revenue streams.”

    Recent Accomplishments

    • Strong April Momentum Across Key Metrics: Preliminary April 2025 revenue reached $5.82 million, up 154% year-over-year. Volume increased 207%, underscoring sustained demand across multiple regions.
    • Commercial Enterprise Expansion: Extended key existing relationships into Texas using a dedicated fleet portal for operational oversight, increasing engagement from enterprise clients seeking scalable site-level energy solutions.
    • Oklahoma Market Entry: Expanded footprint into a seventh operational state under a long-term agreement with one of the country’s largest in-house fleet operators.
    • Network Reach Strengthened: Grew national deployment capacity to 144 active vehicles servicing major logistics corridors across metro regions including California, Michigan, Tennessee, and the Southeastern U.S.

    Q1 2025 Strategic and Operational Highlights

    • Corporate Rebrand and Capital Formation: Completed $15 million public offering and corporate rebrand to NextNRG.
    • Utility OS Rollout Underway: Initiated deployment of NextNRG’s AI-powered Utility Operating System to optimize microgrid efficiency, automate fleet energy delivery, and enable real-time energy management across new infrastructure projects.
    • Smart Microgrids: On track to begin utility-scale microgrid deployment in Northern Florida in Q2 2025.
    • EV Innovation: Planning launch of the largest bidirectional wireless EV charging pilot in Southern Florida later this year.
    • Infrastructure Expansion with Strategic Acquisitions: Completed the Shell Oil mobile fleet acquisition and integration of Yoshi Mobility assets, boosting logistics capacity and infrastructure access.
    • Geographic Growth in Four New Markets: Entered Phoenix, Austin, San Antonio, and Houston, furthering national service availability and support for new utility and municipal customers.
    • Commercial Channel Maturation: Executed logistics support agreements with major national brands, reinforcing recurring delivery demand and infrastructure reliability.
    • Fleet Partnerships: Initiated deliveries to the world’s largest e-commerce company under a multi-year agreement, significantly expanding the Company’s B2B revenue base.

    First Quarter 2025 Performance

    • Revenue reached $16.3 million, a 147% increase from $6.6 million in Q1 2024.
    • Gallons delivered totaled 4.7 million, up 183% from 1.7 million in the prior-year quarter.
    • Average fuel margin per gallon expanded to $0.71, compared to $0.65 in Q1 2024.
    • Gross profit rose to $518,000, a 12% increase from $462,000 in the same period last year.
    • Ended the quarter with $2.1 million in cash, a 31% year-over-year increase.

    Looking Ahead: Scaling the Energy Intelligence Grid

    NextNRG is focused on expanding its integrated platform across three infrastructure-aligned revenue streams:

    1. Utility Operating System and Smart Microgrids: Deploying AI-driven grid management software and battery/solar microgrid systems through SaaS and power purchase agreements.
    2. Wireless EV Charging: Advancing from R&D to commercial pilots with property owners, CPOs, and municipalities.
    3. Mobile Energy Logistics: Scaling across sectors with centralized scheduling and recurring site-level optimization.

    About NextNRG, Inc.
    NextNRG, Inc. (NextNRG) is Powering What’s Next by implementing artificial intelligence (AI) and machine learning (ML) into renewable energy, next-generation energy infrastructure, battery storage, wireless electric vehicle (EV) charging and on-demand mobile fuel delivery to create an integrated ecosystem.

    At the core of NextNRG’s strategy is its Utility Operating System, which leverages AI and ML to help make existing utilities’ energy management as efficient as possible, and the deployment of NextNRG smart microgrids, which utilize AI-driven energy management alongside solar power and battery storage to enhance energy efficiency, reduce costs and improve grid resiliency. These microgrids are designed to serve commercial properties, schools, hospitals, nursing homes, parking garages, rural and tribal lands, recreational facilities and government properties, expanding energy accessibility while supporting decarbonization initiatives.

    NextNRG continues to expand its growing fleet of fuel delivery trucks and national footprint, including the acquisition of Yoshi Mobility’s fuel division and Shell Oil’s trucks, further solidifying its position as a leader in the on-demand fueling industry. NextNRG is also integrating sustainable energy solutions into its mobile fueling operations. The company hopes to be an integral part of assisting its fleet customers in their transition to EV, supporting more efficient fuel delivery while advancing clean energy adoption. The transition process is expected to include the deployment of NextNRG’s innovative wireless EV charging solutions.

    To find out more visit: www.nextnrg.com

    Forward-Looking Statements
    This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statement describing NextNRG’s goals, expectations, financial or other projections, intentions, or beliefs is a forward-looking statement and should be considered an at-risk statement. Words such as “expect,” “intends,” “will,” and similar expressions are intended to identify forward-looking statements. Such statements are subject to certain risks and uncertainties, including, but not limited to, those related to NextNRG’s business and macroeconomic and geopolitical events. These and other risks are described in NextNRG’s filings with the Securities and Exchange Commission from time to time. NextNRG’s forward-looking statements involve assumptions that, if they never materialize or prove correct, could cause its results to differ materially from those expressed or implied by such forward-looking statements. Although NextNRG’s forward-looking statements reflect the good faith judgment of its management, these statements are based only on facts and factors currently known by NextNRG. Except as required by law, NextNRG undertakes no obligation to update any forward-looking statements for any reason. As a result, you are cautioned not to rely on these forward-looking statements.

    Investor Relations Contact
    NextNRG, Inc.
    Sharon Cohen
    SCohen@nextnrg.com

    The MIL Network

  • MIL-OSI: Zoom Communications Reports Financial Results for the First Quarter of Fiscal Year 2026

    Source: GlobeNewswire (MIL-OSI)

    • First quarter total revenue of $1,174.7 million, up 2.9% year over year as reported and 3.4% in constant currency
    • First quarter Enterprise revenue of $704.7 million, up 5.9% year over year
    • First quarter GAAP operating margin of 20.6% and non-GAAP operating margin of 39.8%
    • First quarter GAAP EPS of $0.81, up 18.7% year over year, and non-GAAP EPS of $1.43, up 6.0% year over year
    • Number of customers contributing more than $100,000 in trailing 12 months revenue up 8.0% year over year
    • Repurchased approximately 5.6 million shares of common stock in Q1, up from 4.3 million shares in Q4

    SAN JOSE, Calif., May 21, 2025 (GLOBE NEWSWIRE) — Zoom Communications, Inc. (NASDAQ: ZM), today announced financial results for the first fiscal quarter ended April 30, 2025.

    “We delivered another solid quarter, exceeding guidance in both revenue and profitability — a testament to the strength of our platform and AI-first innovation,” said Eric S. Yuan, Zoom’s founder and CEO. “In an uncertain macro-economic environment, customers are turning to Zoom to drive efficiency, improve customer and employee experiences, and future-proof their businesses. We saw continued momentum in Zoom Customer Experience, Zoom Revenue Accelerator, and Workvivo as customers look to elevate CX, reinvigorate sales, and strengthen culture. In Q1, we launched multiple new products, maintained strong operational discipline, and accelerated our share repurchase activity, reinforcing our commitment to shareholder value.”

    First Quarter Fiscal Year 2026 Financial Highlights:

    • Revenue: Total revenue for the first quarter was $1,174.7 million, up 2.9% year over year. Adjusting for foreign currency impact, revenue in constant currency was $1,179.5 million, up 3.4% year over year. Enterprise revenue was $704.7 million, up 5.9% year over year, and Online revenue was $470.0 million, down 1.2% year over year.
    • Income from Operations and Operating Margin: GAAP income from operations for the first quarter was $241.6 million, compared to GAAP income from operations of $203.0 million in the first quarter of fiscal year 2025. Non-GAAP income from operations, which adjusts for stock-based compensation expense and related payroll taxes, and acquisition-related expenses, was $467.3 million for the first quarter, compared to non-GAAP income from operations of $456.6 million in the first quarter of fiscal year 2025. For the first quarter, GAAP operating margin was 20.6% and non-GAAP operating margin was 39.8%.
    • Net Income and Diluted Net Income Per Share: GAAP net income for the first quarter was $254.6 million, or $0.81 per share, compared to GAAP net income of $216.3 million, or $0.69 per share, in the first quarter of fiscal year 2025. Non-GAAP net income for the first quarter, which adjusts for stock-based compensation expense and related payroll taxes, gains/losses on strategic investments, net, acquisition-related expenses, and the tax effects on non-GAAP adjustments, was $448.3 million, or $1.43 per share. In the first quarter of fiscal year 2025, non-GAAP net income was $426.3 million, or $1.35 per share.
    • Cash and Marketable Securities: Total cash, cash equivalents, and marketable securities, excluding restricted cash, as of April 30, 2025 was $7.8 billion.
    • Cash Flow: Net cash provided by operating activities was $489.3 million for the first quarter, compared to $588.2 million in the first quarter of fiscal year 2025. Free cash flow, which is net cash provided by operating activities less purchases of property and equipment, was $463.4 million, compared to $569.7 million in the first quarter of fiscal year 2025.

    Customer Metrics: Drivers of total revenue included acquiring new customers. At the end of the first quarter of fiscal year 2026, Zoom had:

    • 4,192 customers contributing more than $100,000 in trailing 12 months revenue, up 8.0% from the same quarter last fiscal year.
    • A trailing 12-month net dollar expansion rate for Enterprise customers of 98%.
    • Online average monthly churn of 2.8% for the first quarter, down 40 bps from the same quarter last fiscal year.
    • The percentage of total Online MRR from Online customers with a continual term of service of at least 16 months was 74.2%, up 40 bps year over year.

    Financial Outlook: Zoom is providing the following guidance for its second quarter of fiscal year 2026 and its full fiscal year 2026.

    • Second Quarter Fiscal Year 2026: Total revenue is expected to be between $1.195 billion and $1.200 billion and revenue in constant currency is expected to be between $1.196 billion and $1.201 billion. Non-GAAP income from operations is expected to be between $460.0 million and $465.0 million. Non-GAAP diluted EPS is expected to be between $1.36 and $1.37 with approximately 310 million weighted average shares outstanding.
    • Full Fiscal Year 2026: Total revenue is expected to be between $4.800 billion and $4.810 billion and revenue in constant currency is expected to be between $4.808 billion and $4.818 billion. Full fiscal year non-GAAP income from operations is expected to be between $1.865 billion and $1.875 billion. Full fiscal year non-GAAP diluted EPS is expected to be between $5.56 and $5.59 with approximately 312 million weighted average shares outstanding. Full fiscal year free cash flow is expected to be between $1.680 billion and $1.720 billion.

    The EPS and share count figures do not include any impact from $1.2 billion of authorized share repurchase remaining as of April 30, 2025.

    Additional information on Zoom’s reported results, including a reconciliation of the non-GAAP results to their most comparable GAAP measures, is included in the financial tables below. A reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty of expenses that may be incurred in the future, although it is important to note that these factors could be material to Zoom’s results computed in accordance with GAAP.

    A supplemental financial presentation and other information can be accessed through Zoom’s investor relations website at investors.zoom.us.

    Zoom Video Earnings Call

    Zoom will host a Zoom Video Webinar for investors on May 21, 2025 at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time to discuss the company’s financial results, business highlights and financial outlook. Investors are invited to join the Zoom Video Webinar by visiting: https://investors.zoom.com/

    About Zoom

    Zoom’s mission is to provide the AI-first work platform for human connection. Zoom Workplace — the company’s AI-powered, open collaboration platform built for modern work — will streamline communications, increase employee engagement, optimize in-person time, improve productivity, and offer customer choice with third-party apps and integrations. Zoom Workplace, powered by Zoom AI Companion, will include collaboration solutions like meetings, team chat, phone, scheduler, whiteboard, spaces, Workvivo, and more. Together with Zoom Workplace, Zoom’s Business Services for sales, marketing, and customer care teams, including Zoom Contact Center, strengthen customer relationships throughout the customer lifecycle. Founded in 2011, Zoom is publicly traded (NASDAQ:ZM) and headquartered in San Jose, California. Get more information at zoom.com

    Forward-Looking Statements

    This press release contains express and implied “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding Zoom’s financial outlook for the second quarter of fiscal year 2026 and full fiscal year 2026, Zoom’s market position, opportunities, and growth strategy, product initiatives, including future product and feature releases and the potential of agentic AI, and go-to-market motions and the expected benefits resulting from the same, market trends, and Zoom’s stock repurchase program. In some cases, you can identify forward-looking statements by terms such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “project,” “will,” “would,” “should,” “could,” “can,” “predict,” “potential,” “target,” “explore,” “continue,” or the negative of these terms, and similar expressions intended to identify forward-looking statements. By their nature, these statements are subject to numerous uncertainties and risks, including factors beyond our control, that could cause actual results, performance or achievement to differ materially and adversely from those anticipated or implied in the statements, including: declines in new customers, renewals or upgrades, or decline in demand for our platform, difficulties in evaluating our prospects and future results of operations given our limited operating history, competition from other providers of communications platforms, the effect of macroeconomic conditions on our business, including geopolitical tensions, tariffs and escalating trade tensions, interest rate fluctuations, inflationary pressures and market and foreign currency exchange rate volatility, lengthened sales cycles with large organizations, delays or outages in services from our co-located data centers, failures in internet infrastructure or interference with broadband access, compromised security measures, including ours and those of the third parties upon which we rely, and global security concerns and their potential impact on regional and global economies and supply chains. Additional risks and uncertainties that could cause actual outcomes and results to differ materially from those contemplated by the forward-looking statements are included under the caption “Risk Factors” and elsewhere in our most recent filings with the Securities and Exchange Commission (the “SEC”), including our annual report on Form 10-K for the fiscal year ended January 31, 2025. Forward-looking statements speak only as of the date the statements are made and are based on information available to Zoom at the time those statements are made and/or management’s good faith belief as of that time with respect to future events. Zoom assumes no obligation to update forward-looking statements to reflect events or circumstances after the date they were made, except as required by law.

    Non-GAAP Financial Measures

    Zoom has provided in this press release financial information that has not been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”). Zoom uses these non-GAAP financial measures internally in analyzing its financial results and believes that use of these non-GAAP financial measures is useful to investors as an additional tool to evaluate ongoing operating results and trends and in comparing Zoom’s financial results with other companies in its industry, many of which present similar non-GAAP financial measures.

    Non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP financial measures and should be read only in conjunction with Zoom’s condensed consolidated financial statements prepared in accordance with GAAP. A reconciliation of Zoom’s historical non-GAAP financial measures to the most directly comparable GAAP measures has been provided in the financial statement tables included in this press release, and investors are encouraged to review the reconciliation.

    Non-GAAP Income from Operations and Non-GAAP Operating Margin. Zoom defines non-GAAP income from operations as income from operations excluding stock-based compensation expense and related payroll taxes, and acquisition-related expenses. Zoom excludes stock-based compensation expense because it is non-cash in nature and excluding this expense provides meaningful supplemental information regarding Zoom’s operational performance and allows investors the ability to make more meaningful comparisons between Zoom’s operating results and those of other companies. Zoom excludes the amount of employer payroll taxes related to employee stock plans, which is a cash expense, in order for investors to see the full effect that excluding stock-based compensation expense had on Zoom’s operating results. In particular, this expense is dependent on the price of our common stock and other factors that are beyond our control and do not correlate to the operation of the business. Zoom views acquisition-related expenses when applicable, such as amortization of acquired intangible assets, transaction costs, and acquisition-related retention payments that are directly related to business combinations as events that are not necessarily reflective of operational performance during a period. In fact, Zoom believes the consideration of measures that exclude such expenses can assist in the comparison of operational performance in different periods that may or may not include such expenses and assist in the comparison with the results of other companies in the industry. Zoom defines non-GAAP operating margin as non-GAAP income from operations divided by GAAP revenue.

    Non-GAAP Net Income and Non-GAAP Net Income Per Share, Basic and Diluted. Zoom defines non-GAAP net income as GAAP net income adjusted to exclude stock-based compensation expense and related payroll taxes, acquisition-related expenses, gains/losses on strategic investments, net, and the tax effects of all non-GAAP adjustments. Zoom excludes these items because they are considered by management to be outside of Zoom’s core operating results. These adjustments are intended to provide investors and management with greater visibility to the underlying performance of Zoom’s business operations, facilitate comparison of its results with other periods, and may also facilitate comparison with the results of other companies in the industry. Zoom defines non-GAAP net income per share, basic and diluted, as non-GAAP net income divided by the number of shares outstanding, basic and diluted, calculated in accordance with GAAP.

    Free Cash Flow and Free Cash Flow Margin. Zoom defines free cash flow as GAAP net cash provided by operating activities less purchases of property and equipment. Zoom considers free cash flow to be a liquidity measure that provides useful information to management and investors regarding net cash provided by operating activities and cash used for investments in property and equipment required to maintain and grow the business. Zoom defines free cash flow margin as free cash flow divided by GAAP revenue.

    Revenue in Constant Currency. Zoom defines revenue in constant currency as GAAP revenue adjusted for revenue reported in currencies other than United States dollars as if they were converted into United States dollars using the average exchange rates from the comparative period rather than the actual exchange rates in effect during the respective periods. Zoom provides revenue in constant currency information as a framework for assessing how Zoom’s underlying businesses performed period to period, excluding the effects of foreign currency fluctuations.

    Customer Metrics

    Zoom defines a customer as a separate and distinct buying entity, which can be a single paid user or an organization of any size (including a distinct unit of an organization) that has multiple users. Zoom defines Enterprise customers as distinct business units that have been engaged by either our direct sales team, resellers, or strategic partners. All other customers that subscribe to our services directly through our website are referred to as Online customers.

    Zoom calculates net dollar expansion rate as of a period end by starting with the annual recurring revenue (“ARR”) from Enterprise customers as of 12 months prior (“Prior Period ARR”). Zoom defines ARR as the annualized revenue run rate of subscription agreements from all customers at a point in time. Zoom calculates ARR by taking the monthly recurring revenue (“MRR”) and multiplying it by 12. MRR is defined as the recurring revenue run-rate of subscription agreements from all Enterprise customers for the last month of the period, including revenue from monthly subscribers who have not provided any indication that they intend to cancel their subscriptions. Zoom then calculates the ARR from these Enterprise customers as of the current period end (“Current Period ARR”), which includes any upsells, contraction, and attrition. Zoom divides the Current Period ARR by the Prior Period ARR to arrive at the net dollar expansion rate. For the trailing 12 months calculation, Zoom takes an average of the net dollar expansion rate over the trailing 12 months.

    Zoom calculates online average monthly churn by starting with the Online customer MRR as of the beginning of the applicable quarter (“Entry MRR”). Zoom defines Entry MRR as the recurring revenue run-rate of subscription agreements from all Online customers except for subscriptions that Zoom recorded as churn in a previous quarter based on the customers’ earlier indication to us of their intention to cancel that subscription. Zoom then determines the MRR related to customers who canceled or downgraded their subscription or notified us of that intention during the applicable quarter (“Applicable Quarter MRR Churn”) and divides the Applicable Quarter MRR Churn by the applicable quarter Entry MRR to arrive at the MRR churn rate for Online Customers for the applicable quarter. Zoom then divides that amount by three to calculate the online average monthly churn.

    Public Relations

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

    Investor Relations

    Charles Eveslage
    Head of Investor Relations
    investors@zoom.us

    Zoom Communications, Inc.
    Condensed Consolidated Balance Sheets
    (In thousands)
     
        As of
        April 30,
    2025
      January 31,
    2025
    Assets   (unaudited)    
    Current assets:        
    Cash and cash equivalents   $ 1,228,847   $ 1,349,380  
    Marketable securities     6,563,976     6,442,329  
    Accounts receivable, net     477,242     495,228  
    Deferred contract acquisition costs, current     175,900     188,358  
    Prepaid expenses and other current assets     220,812     200,679  
    Total current assets     8,666,777     8,675,974  
    Deferred contract acquisition costs, noncurrent     114,513     123,464  
    Property and equipment, net     312,211     330,475  
    Operating lease right-of-use assets     53,217     55,900  
    Strategic investments     576,139     591,481  
    Goodwill     307,295     307,295  
    Deferred tax assets     769,189     749,759  
    Other assets, noncurrent     152,555     154,073  
    Total assets   $ 10,951,896   $ 10,988,421  
    Liabilities and stockholders’ equity        
    Current liabilities:        
    Accounts payable   $ 14,205   $ 8,345  
    Accrued expenses and other current liabilities     473,951     558,562  
    Deferred revenue, current     1,409,217     1,336,387  
    Total current liabilities     1,897,373     1,903,294  
    Deferred revenue, noncurrent     16,185     17,274  
    Operating lease liabilities, noncurrent     35,894     37,406  
    Other liabilities, noncurrent     100,076     95,363  
    Total liabilities     2,049,528     2,053,337  
             
    Stockholders’ equity:        
    Common stock     302     305  
    Additional paid-in capital     4,832,800     5,130,271  
    Accumulated other comprehensive (loss) income     15,145     4,990  
    Retained earnings     4,054,121     3,799,518  
    Total stockholders’ equity     8,902,368     8,935,084  
    Total liabilities and stockholders’ equity   $ 10,951,896   $ 10,988,421  
     
    Note: The amount of unbilled accounts receivable included within accounts receivable, net on the condensed consolidated balance sheets was $108.1 million and $118.5 million as of April 30, 2025 and January 31, 2025, respectively.
     
    Zoom Communications, Inc.
    Condensed Consolidated Statements of Operations
    (Unaudited, in thousands, except share and per share amounts)
     
        Three Months Ended April 30,
          2025       2024  
    Revenue   $ 1,174,715     $ 1,141,234  
    Cost of revenue     278,402       273,302  
    Gross profit     896,313       867,932  
    Operating expenses:        
    Research and development     205,416       205,558  
    Sales and marketing     346,970       348,008  
    General and administrative     102,335       111,344  
    Total operating expenses     654,721       664,910  
    Income from operations     241,592       203,022  
    (Losses) gains on strategic investments, net     (13,619 )     17,354  
    Other income, net     87,792       71,588  
    Income before provision for income taxes     315,765       291,964  
    Provision for income taxes     61,162       75,656  
    Net income     254,603       216,308  
             
    Net income per share:        
    Basic   $ 0.84     $ 0.70  
    Diluted   $ 0.81     $ 0.69  
    Weighted-average shares used in computing net income per share:        
    Basic     304,908,652       308,700,582  
    Diluted     312,783,861       315,360,678  
     
    Zoom Communications, Inc.
    Condensed Consolidated Statements of Cash Flows
    (Unaudited, in thousands)
     
        Three Months Ended April 30,
          2025       2024  
    Cash flows from operating activities:        
    Net income   $ 254,603     $ 216,308  
    Adjustments to reconcile net income to net cash provided by operating activities:        
    Stock-based compensation expense     201,569       229,425  
    Amortization of deferred contract acquisition costs     69,557       68,125  
    Depreciation and amortization     35,316       26,667  
    Deferred income taxes     (24,690 )     (7,952 )
    Losses (gains) on strategic investments, net     13,619       (17,354 )
    Provision for accounts receivable allowances     5,855       6,782  
    Unrealized foreign exchange (gains) losses     (7,626 )     7,237  
    Non-cash operating lease cost     6,108       5,368  
    Amortization of discount/premium on marketable securities     (12,845 )     (17,668 )
    Other     4,142       98  
    Changes in operating assets and liabilities:        
    Accounts receivable     12,485       12,260  
    Prepaid expenses and other assets     (12,293 )     35,839  
    Deferred contract acquisition costs     (48,148 )     (40,128 )
    Accounts payable     7,252       7,276  
    Accrued expenses and other liabilities     (80,383 )     (14,942 )
    Deferred revenue     72,141       77,964  
    Operating lease liabilities, net     (7,401 )     (7,114 )
    Net cash provided by operating activities     489,261       588,191  
    Cash flows from investing activities:        
    Purchases of marketable securities     (1,135,024 )     (867,911 )
    Maturities of marketable securities     1,033,279       776,941  
    Sales of marketable securities     2,525        
    Purchases of property and equipment     (25,910 )     (18,508 )
    Purchases of strategic investments           (3,000 )
    Proceeds from strategic investments           4,654  
    Net cash used in investing activities     (125,130 )     (107,824 )
    Cash flows from financing activities:        
    Proceeds from exercise of stock options     954       1,016  
    Proceeds from employee equity transactions to be remitted to employees and tax authorities, net     8,690       6,581  
    Cash paid for repurchases of common stock     (418,021 )     (150,048 )
    Taxes paid related to net share settlement of equity awards     (82,153 )      
    Net cash used in financing activities     (490,530 )     (142,451 )
    Effect of exchange rate changes on cash, cash equivalents, and restricted cash     11,854       (6,852 )
    Net (decrease) increase in cash, cash equivalents, and restricted cash     (114,545 )     331,064  
    Cash, cash equivalents, and restricted cash – beginning of period     1,361,417       1,565,380  
    Cash, cash equivalents, and restricted cash – end of period   $ 1,246,872     $ 1,896,444  
     
    Zoom Communications, Inc.
    Reconciliation of GAAP to Non-GAAP Measures
    (Unaudited, in thousands, except share and per share amounts)
     
        Three Months Ended April 30,
          2025       2024  
    GAAP income from operations   $ 241,592     $ 203,022  
    Add:        
    Stock-based compensation expense and related payroll taxes     216,730       242,874  
    Acquisition-related expenses     9,004       10,701  
    Non-GAAP income from operations   $ 467,326     $ 456,597  
    GAAP operating margin     20.6 %     17.8 %
    Non-GAAP operating margin     39.8 %     40.0 %
             
    GAAP net income   $ 254,603     $ 216,308  
    Add:        
    Stock-based compensation expense and related payroll taxes     216,730       242,874  
    Losses (gains) on strategic investments, net     13,619       (17,354 )
    Acquisition-related expenses     9,004       10,701  
    Tax effects on non-GAAP adjustments     (45,663 )     (26,211 )
    Non-GAAP net income   $ 448,293     $ 426,318  
             
    Net income per share – basic and diluted:        
    GAAP net income per share – basic   $ 0.84     $ 0.70  
    Non-GAAP net income per share – basic   $ 1.47     $ 1.38  
    GAAP net income per share – diluted   $ 0.81     $ 0.69  
    Non-GAAP net income per share – diluted   $ 1.43     $ 1.35  
             
    GAAP and non-GAAP weighted-average shares used to compute net income per share – basic     304,908,652       308,700,582  
    GAAP and non-GAAP weighted-average shares used to compute net income per share – diluted     312,783,861       315,360,678  
             
    Net cash provided by operating activities   $ 489,261     $ 588,191  
    Less: Purchases of property and equipment     (25,910 )     (18,508 )
    Free cash flow (non-GAAP)   $ 463,351     $ 569,683  
    Net cash used in investing activities   $ (125,130 )   $ (107,824 )
    Net cash (used in) provided by financing activities   $ (490,530 )   $ (142,451 )
    Operating cash flow margin (GAAP)     41.6 %     51.5 %
    Free cash flow margin (non-GAAP)     39.4 %     49.9 %
             
        Three Months Ended April 30,
          2025  
        Revenue   YoY Revenue
    Growth (%)
    GAAP revenue   $ 1,174,715       2.9 %
    Add: Constant currency impact     4,762       0.5 %
    Revenue in constant currency (non-GAAP)     1,179,477       3.4 %
     

    The MIL Network

  • MIL-OSI Economics: DG Okonjo-Iweala: MC14 must deliver outcomes on WTO reform

    Source: World Trade Organization

    Reporting to the meeting in her capacity as Chair of the Trade Negotiations Committee (TNC), the Director-General said that in recent meetings she had with leaders and ministers in Japan and the Republic of Korea, the issue of WTO reform “was front and centre” of the discussions.

    “Prime Minister Ishiba (of Japan) and his ministers of trade, foreign affairs and finance, along with virtually every APEC minister that I met in Jeju, have bought into the idea that we must not waste a crisis, and that we need deep and thorough reform of the WTO if it is to remain relevant,” DG Okonjo-Iweala said.

    “For a successful MC14, we must act here in Geneva to deliver a package of reform proposals for ministers to consider and bless at MC14,” she added. “Nothing short of this can reposition this organization in the way and form needed.”

    The Director-General met with Prime Minister Ishiba and other senior Japanese government officials in Tokyo on 13 May and then attended a meeting of trade ministers from the Asia-Pacific Economic Cooperation (APEC) forum in Jeju, Republic of Korea, on 15-16 May.

    At their 12th Ministerial Conference in 2022, WTO members for the first time agreed to undertake a comprehensive review of the WTO’s functions in order to ensure the organization is capable of responding more effectively to both the challenges facing the multilateral trading system and the opportunities provided by contemporary developments in global trade.

    The Director-General said that while the ministers she met “made clear they value the system, they also admitted it cannot continue the way it is.”

    “Members keep sweeping things under the carpet and not solving problems,” she said. “I think what has brought us here is the inability to solve problems when they occur, and this has led to unilateral actions, instead of a cooperative approach to solve these problems.”

    “It has taken time for members to admit that things are not working as well as they should, and that they want solutions,” she continued.

    The Director-General said she was pleased work is continuing on possible deliverables for MC14, including further work on fisheries subsidies, agriculture, the Investment Facilitation for Development initiative, electronic commerce, and issues pertaining to least developed countries (LDCs).  Members will have a chance to assess progress on these issues at the next TNC meeting in July and decide later which packages are ready to take forward to MC14 for decision. 

    She welcomed the recent progress made on member acceptances of the Agreement on Fisheries Subsidies, noting that 99 members have now accepted the Agreement with only 12 more needed to bring it into force.

    Twenty-six delegations took the floor after the Director-General’s intervention, some of them speaking on behalf of groups of members.  Many members commented on a suggested road map for MC14 prepared by the WTO Secretariat and highlighted issues of interest, including WTO reform, new disciplines on fisheries subsidies, progress on agriculture, the e-commerce moratorium, and industrial policy, among others.

    General Council Chair to initiate MC14 consultations

    Under a separate agenda item, the General Council Chair, Ambassador Saqer Abdullah Almoqbel (Kingdom of Saudi Arabia), noted that discussions he had with delegations over the past weeks revealed various calls to proceed with work in three key areas, namely: WTO reform; dispute settlement reform; and the process towards preparing a possible MC14 outcome document.

    With MC14 taking place in 10 months, “time is not on our side,” he told members.  “Accordingly, immediately after this General Council meeting, I intend to consult interested delegations on how to take forward work in each of these areas.” 

    Investment facilitation for development

    On the Investment Facilitation for Development (IFD) initiative, members were once again unable to reach consensus on the request supported by 126 members to incorporate the IFD Agreement under Annex 4 of the Marrakesh Agreement establishing the WTO. This marked the eighth time the proposal has been submitted to members for adoption.

    Speaking on behalf of the 126 co-sponsors, the Republic of Korea underlined the urgent need for incorporating the Agreement into the WTO framework in order to help members attract investment, in particular developing and least developed country members. IFD Agreement participants are also actively engaging with non-participating members to build understanding and highlight the Agreement’s benefit, the Republic of Korea said.

    Three members reiterated their objections to incorporating the IFD Agreement into the WTO multilateral framework.

    Current trade tensions

    On behalf of 47 members, Singapore and Switzerland introduced a statement in support of the rules-based multilateral trading system. The statement cites the value and achievements of the WTO since it was established in 1995, underlining how the organization has contributed to the economic development of both developed and developing members by promoting trade liberalization and facilitating economic integration, fostering stability, predictability and consumers’ trust while preserving incentives for innovation. The WTO’s support for developing economies, including LDCs, has lifted millions out of poverty, the co-sponsors said.

    China introduced its communication regarding heightened trade turbulence and responses from the WTO.  Faced with the current situation of heightened trade turbulence, China said, members should safeguard the rules-based multilateral trading system with the WTO at its core. China proposed a “Stability, Development and Reform” (SDR) approach for the WTO and said it stands ready to work with all parties to safeguard the WTO rules system and inject more certainty and predictability into the global economy.

    The European Union introduced an item on fragmentation of global trade through tariffs and the global costs. The EU said the item was submitted in response to the economic and trade uncertainty created by recent tariff actions. The EU underlined its support for a rules-based multilateral trading system and highlighted the importance of ongoing dialogue on tariffs to assess impacts, monitor trade patterns, and consider systemic effects.

    WTO retreat on sustainable agriculture

    Brazil expressed its appreciation for the recent WTO retreat on sustainable agriculture and the broad engagement across regions and constituencies. It highlighted trends in agriculture production globally, including towards increased productivity and the search for greater resilience and sustainability.  Brazil said it saw value in further discussing this topic in a forward-looking manner as a conversational WTO exercise.

    Thirty-six delegations took the floor to comment.

    Electronic commerce

    Japan, on behalf of the co-sponsors of the Agreement on Electronic Commerce, informed members of the co-sponsors’ recent efforts to gather members’ support for incorporation of the Agreement into the WTO multilateral framework. Japan also reported that the co-sponsors are undertaking work to advance implementation of the Agreement, including a needs assessment survey to better understand priorities for implementation support.

    Several members reiterated their concerns about the Agreement and their objections to its incorporation into the WTO multilateral framework.

    Next meeting

    The next meeting of the General Council is tentatively scheduled for 22-23 July.

    Share

    MIL OSI Economics

  • MIL-OSI NGOs: Creative industry figures urge Starmer to act against Gaza genocide- ‘you know what is happening’

    Source: Amnesty International –

    116 leading UK and Irish creatives have urged Keir Starmer to act over Israel’s escalating atrocities in Gaza, criticising UK arms exports, settlement trade, and lack of ICC support – open letter 

    Riz Ahmed, Dame Harriet Walker, Maxine Peake, Nish Kumar, Paloma Faith and others condemn UK government inaction on Gaza 

    The Prime Minister must ‘stand up for justice and human rights’ and ‘words are no longer enough; we need to see action’ – Creatives 

    Artists gather outside Downing Street to hold placards urging the PM to act to stop the genocide and human rights abuses in Gaza 

    Over 100 leading voices from across the UK and Ireland’s film, television, and creative industries including Riz Ahmed, Dame Harriet Walker, Maxine Peake, Nish Kumar, Paloma Faith, Juliet Stevenson and many more have united to call on Prime Minister Keir Starmer to take urgent action in response to Israel’s escalating atrocities in Gaza and the wider Occupied Palestinian Territory (OPT).   

    In a public letter, the group condemn “all attacks on civilians” but emphasise that as well as Israel’s decades-long military occupation, expansion of illegal settlements, and system of apartheid, Israel is committing genocide against Palestinians in Gaza, as described by Amnesty International in its report “You feel Like You Are Subhuman”.  

    “We are deeply troubled by your lack of meaningful action to help deter Israel’s horrifying and calculated violations of Palestinian rights,” the letter states to the Prime Minister. 

    Since October 2023, more than 20,000 children have reportedly been killed in Gaza. The group point to the use of 2,000lb bombs dropped from F-35 fighter jets – supplied with UK-made components – as part of a devastating campaign that includes siege tactics blocking access to food, water, electricity, and medicine for over two million civilians. 

    “You know what is happening,” they write to the Prime Minister, and state “your Government is failing to fulfil its obligation to prevent the ongoing genocide in Gaza.” 

    The letter also highlights a stark double standard in UK policy: banning imports from Russian-occupied Crimea, while allowing trade with Israeli settlements in the illegally Occupied Palestinian Territory. The International Court of Justice has made clear that countries must not support illegal occupations – including through trade.

    In addition to arms and trade, the group call on the UK government to fully support the International Criminal Court’s investigation into alleged war crimes and crimes against humanity in the region. 

    Their demands include: 

    • An immediate suspension of all UK arms exports to Israel 
    • A ban on trade with illegal Israeli settlements in the Occupied Palestinian Territory 
    • Compliance with international legal rulings, including those of the ICJ and ICC 

    The group implores the Prime Minister “to stand up for justice and human rights” and that “words are no longer enough; we need to see action”. 

    Artists gather outside Downing Street to deliver the letter and hold placards urging the PM to act to stop Israel’s genocide and human rights abuses in Gaza. 

    The artists held placards bearing messages from residents of Gaza that capture the urgency and human toll of the crisis: 

    • “I don’t want my child to die hungry” – Gaza Resident, Occupied Gaza 
    • “You may send your child to bring water only for him to return in a body bag” – Gaza Resident, Occupied Gaza 

    These statements are a stark reminder of the daily reality for civilians under Israel’s illegal blockade.  

    About the Signatories 

    This statement by Amnesty International has been endorsed by a coalition of UK-based professionals across the creative industries – filmmakers, actors, writers, artists and cultural leaders – who believe in the power of art, law, and collective voice in the face of injustice. 

    Ahmed Masoud; Aisling Bea; Aiysha Hart; Alan Moore; Alexander McKinnon; Alexei Sayle; Alice Roberts; Alisdair Beckett; King Amrita Acharia; Andrea Arnold Anjli; Mohindra Anneika; Rose Annie Mac; Sir Anish Kapoor CBE; Anoushka Shankar; Dr Ariel Caine; Bernadette O’Brien; Bertie Carvel; President of the Bianca Jagger Human Rights Foundation; Brian Eno; Briony Hannah; Brona C Titley; Charlotte Church; Chipo Chung; David Morrissey; Deborah Frances-White; Declan McKenna; Denise Gough; Emma D’Arcy; Esther Freud; Esther Manito; Fionn O’Loinsigh; Francesca Martinez; Frankie Boyle; Frederico Gaggio; Grace Petrie; Dame Harriet Walter; Himesh Patel; Ian Rickson; Imran Yusuf; Indeyarna Donaldson-Holness; Inua Ellams MBE; Ivor Graeme; Jackie Clune; James Acaster; Jan Pearson; Janie Dee; Jason Fleming; Jay Griffiths; Jen Brister; Jessica Fostekew; Jim Loach; John Higgs; Josie Long; Jolyon Rubinstein; Juliet Stevenson CBE; Kathy Lette; Kerry Godliman; Khalid Abdalla; Ken Loach; Lise Meyer; Lolly Adefope; Louisa Young; Love Ssegga; Mae Martin; Mahtab Hussain; Manjinder Virk; Mariam Haque; Marnie Dickens; Max Porter; Maxine Peake; Dr Michael Hrebeniak; Misan Harriman; Mystery Jets; Nadia Sawalha; Nicola Thorp; Nikesh Patel; Nikesh Shukla; Nikita Gill; Nimmi Harasgama; Nish Kumar; Paapa Essiedu; Paloma Faith; Paul Laverty; Penny Woolcock; Peter Wyer; Rebecca O’Brien; Rida Hamidou; Riz Ahmed; Robin Ince; Robin Morrissey; Roger Hartley; Roisin O’Loughlin; Ruth Lass; Salena Godden; Sam Spruell; Sara Masry; Sarah Agha; Sasha Behar; Selma Dabbagh; Shazia Mirza; Simon Rix; Sonali Bhattacharyya; Stewart Lee; Steve Coogan; Susan Lynch; Suzi Ruffell; Thomas Browne; Thomas Combes; Thusitha Jayasundera; Tobias Menzies; Dame Tracey Emin; Tracey Seaward; Vijay Mistry; Vivian Munn; Young Fathers (all members); Zainab Hassan 

    MIL OSI NGO

  • MIL-OSI Russia: Armenian Prime Minister and Russian Foreign Minister Discuss Bilateral Relations

    Translation. Region: Russian Federal

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

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

    Yerevan, May 21 (Xinhua) — Armenian Prime Minister Nikol Pashinyan on Wednesday received a Russian delegation led by Russian Foreign Minister Sergey Lavrov, the press service of the head of the Armenian government reported.

    During the meeting, N. Pashinyan touched upon the current state of relations between Armenia and Russia. S. Lavrov, for his part, emphasized Russia’s readiness to develop relations with Armenia.

    The interlocutors discussed issues of the Armenian-Russian bilateral agenda, cooperation within the framework of the Eurasian Economic Union, regional and international security.

    Earlier that day, S. Lavrov met with Armenian Foreign Minister Ararat Mirzoyan, following which the parties signed a program of consultations between the Foreign Ministries of the two countries for 2025-2026.

    S. Lavrov was also received by the President of Armenia Vahagn Khachaturyan. –0–

    MIL OSI Russia News

  • MIL-OSI United Nations: Experts of the Committee on the Rights of the Child Commend Romania on Deinstitutionalisation Process, Raise Questions on Corporal Punishment and Segregation in Education

    Source: United Nations – Geneva

    The Committee on the Rights of the Child today concluded its review of the combined sixth and seventh periodic reports of Romania, with Committee Experts commending the State on the deinstitutionalisation process of alternative care centres, while raising questions on the prevalence of corporal punishment and measures taken to combat segregation in education. 

    A Committee Expert said she was happy to hear about the programme for the deinstitutionalisation of alternative care centres; this was something Romania should be proud of, as well as all the foster arrangements being made, especially for children with disabilities. 

    Juliana Scerri Ferrante, Committee Expert and Country Taskforce Member, said there seemed to be a lack of parental education programmes around corporal punishment. How could the views of the child be respected if violence was accepted as a disciplinary measure?  Could the Romanian Government take clear steps to train staff and promote child education?  Philip Jaffe, Committee Vice-Chair and Country Taskforce Member, also noted that corporal punishment appeared to remain quite widespread despite being banned in 2004.  What efforts were being made to lower the prevalence and change attitudes among parents and adults? 

    Mr. Jaffe asked what was being done to combat school segregation based on disability, special education needs, and family economic status?  What improvements were being made to increase the improvement of vocational training for older children who may be leaving the school system?  Were there any programmes which specifically targeted economically disadvantaged children?

    The delegation said Romanian legislation completely prohibited violence against children, regardless of the environment.  However, despite the legislation, which was fully aligned with United Nations Conventions, the State needed to fight against mentalities and traditions and to practically change the minds of parents and caregivers, who believed corporal punishment would discipline children better.  Awareness-raising campaigns were being conducted for parents, and mechanisms including hotlines had been developed to support children, including the helpline 119.  Authorities were obligated to launch investigations immediately concerning any allegations of violence against children. 

    The delegation said the Ministry of Education had taken steps to assist children with special educational needs, with the creation of frameworks offering them different kinds of support, based on the type of disability.  Adaptive measures had been taken for Roma children, including stimulating their participation in early education and in summer kindergartens, supporting education in their current language, and translating schoolbooks in their mother tongue, among others.  An increasing number of contracts between schools and the business sector had been recorded, including around 6,000 contracts in the school year 2023/2024. 

    Introducing the report, Helena Omna-Raicu, President of the National Authority for the Protection of Child Rights and Adoption of Romania and head of the delegation, said Romania’s path in recent years had been shaped by profound changes and emerging pressures, including the war in Ukraine and the arrival of thousands of children and families fleeing conflict.  As a neighbouring country, Romania had mobilised rapidly to provide emergency care, protection, psychosocial support, and schooling to children regardless of their nationality. 

    Ms. Omna-Raicu said Romania had made significant progress in certain areas, including in the deinstitutionalisation process.  Of the 167 residential placement centres operating in 2017, 149 had already been closed by the end of March 2025 and over 6,000 children were now benefiting from family-type alternative care.  The remaining 18 placement centres would be closed soon. 

    In closing remarks, Rinchen Chophel, Committee Expert and Country Taskforce Coordinator, reiterated the Committee’s appreciation for the Government of Romania’s support to Ukrainian refugees, particularly children.  Significant progress had been made from the last reporting period to the current one, with many looking forward beyond the dialogue. 

    In her closing remarks, Ms. Omna-Raicu, expressed deep gratitude for the dialogue.  The Committee’s concerns regarding urban disparities were noted.  Romania would treat the Committee’s recommendations as an opportunity for deeper transformation. 

     

    The delegation of Romania was comprised of representatives from the National Authority for the Protection of Child Rights and Adoption; the Ministry of Education and Research; the Ministry of Justice; the Ministry of Health; the Ministry of Labour, Family, Youth and Social Security; the Ministry of Foreign Affairs; the General Inspectorate of the Romanian Police; the General Inspectorate for Immigration; the National Administration of Penitentiaries; the Prosecutor’s Office; the National Health Insurance Authority; and the Permanent Mission of Romania to the United Nations Office at Geneva. 

    Summaries of the public meetings of the Committee can be found here, while webcasts of the public meetings can be found here. The programme of work of the Committee’s ninety-ninth session and other documents related to the session can be found here.

    The Committee will next meet in public at 3 p.m. on Wednesday, 21 May to begin its consideration of the combined fifth and sixth periodic reports of Qatar (CRC/C/QAT/5-6).

    Report

    The Committee has before it the combined sixth and seventh periodic reports of Romania (CRC/C/ROU/6-7).

    Presentation of Report

    HELENA OMNA-RAICU, President of the National Authority for the Protection of Child Rights and Adoption of Romania and head of the delegation, said Romania’s path in recent years had been shaped by profound changes and emerging pressures, including the war in Ukraine and the arrival of thousands of children and families fleeing conflict.  As a neighbouring country, Romania had mobilised rapidly to provide emergency care, protection, psychosocial support, and schooling to children regardless of their nationality.  The State was proud to have established the first Blue Dot in the region at the border crossing with Ukraine and launched the use of the Child Protection Information Management System Primero in only a couple of months after the onset of the refugee crisis, ensuring registration and case management for almost 40,000 refugee children.

    Several new national strategies had been developed for 2021-2027 which aimed to address child poverty and wellbeing, including the national strategy for the protection and promotion of children’s rights “protected children, safe Romania” 2023-2027, and the national strategy on social inclusion and poverty reduction 2022-2027, among others.   Romania had also adopted and begun the implementation of the child guarantee national action plan 2023-2030, which aimed to reduce the number of children at risk of poverty or social exclusion by at least 500,000 by 2030. Romania had seen a measurable decline in the proportion of children at risk of poverty and social exclusion from 41.5 per cent in 2022 to 33.8 per cent in 2024. 

    In April 2024, law 100/2024 was approved which included specific amendments to several laws relevant for social assistance.  The new emergency ordinance no. 96/2024, approved in June 2024 regarding the provision of humanitarian support and assistance by the Romanian State to foreign citizens or stateless persons in special situations coming from the area of the armed conflict in Ukraine, established the legal framework providing refugees with access to a wide range of key national statutory services. Another significant legislative change was enacted by amending law 272/2004 in December 2024, which now mandated the participation of children in public decision-making processes. 

    There had also been several significant programmes launched, including modernising the unique national number 119 for reporting cases of abuse, neglect, exploitation and any other form of violence against children; the development of community services for children and families to prevent separation and support the family reintegration of children from the special protection system; and the development of 200 integrated community centres and 150 daycare centres for children, among others.  Despite these advances, challenges remained, including disparities between rural and urban areas. 

    However, Romania had made significant progress in certain areas, including in the deinstitutionalisation process.  Of the 167 residential placement centres operating in 2017, 149 had already been closed by the end of March 2025 and over 6,000 children were now benefiting from family-type alternative care.  The remaining 18 placement centres would be closed soon.  The use of European Union structural funds had also supported the training of over 11,000 foster carers.  A new programme had also been introduced, aimed to scale-up integrated community-services in 2,000 marginalised rural communities, combining social assistance, health, education, and other types of social support.  Over 800 million euros of European Social Funds were planned for enhancing access to social services for the most vulnerable, including children and their families.

    The State had also expanded support for children at risk of early school leaving by using the early warning mechanism in education, of which around 50,000 participants from 6,950 institutions had completed the training programme.  Targeted policies had been developed that supported the reintegration of children who dropped out during the pandemic, and more resources were reaching schools in deprived communities.  In health, the role of community nurses and Roma health mediators had grown, and work continued to improve access to services for vulnerable groups. 

    Pilot projects on mental health for children had laid the groundwork for more systemic change, with mental health services for children and adolescents being expanded. However, challenges remained in ensuring equitable access to quality services in rural and marginalised areas, addressing shortages of specialised personnel, and improving early identification and intervention for children with developmental delays or disabilities.

    Romania was committed to reducing the number of children affected by poverty and social exclusion by at least 500,000.  The State would also pursue the complete closure of old-type residential centres, with every child in alternative care placed in family-based or community settings. Romania was committed to translating the pledges made during the first-ever global ministerial conference on ending violence against children held at the end of 2024 in Bogota, Columbia, into realities for children. 

    In education, the State aimed to increase the early childhood education enrolment rate by at least 22 per cent for children aged zero to three and at least 95 per cent for children aged four to six.  There would be a focus on improving mental health services for children and linking schools, families, and health providers more effectively, aiming to reduce preventable mortality by 20 per cent compared to 2021 levels for children of all ages.   Finally, Romania would ensure that children had a role in shaping systems through participatory budgeting, monitoring, and children and youth-led policy platforms. Romania remained committed to fully implementing the Convention and to contributing to the global effort to advance child rights everywhere.

    Questions by Committee Experts

    RINCHEN CHOPHEL, Committee Expert and Country Taskforce Coordinator, said Romania had achieved a lot since the last report, which the Committee was happy about. Romania’s assistance to the Ukrainian refugees and children should be noted.  There had been significant legislative achievements, particularly the amendments to law 272.  What measures were in place to ensure effective implementation of the law?  The national strategy on social inclusion and poverty reduction 2022-2027, and the child guarantee national action plan 2023-2030 were very welcome developments.  How had these impacted on measures to promote and protect children? Had an assessment been undertaken to evaluate the impact of the national strategy. 

    While welcoming increased allocations to certain sectors, the Coordinator asked what measures were in place to develop a child-friendly budgeting process?  What was the current status of the complaints mechanism in the country for reporting all forms of abuse and violence for children? What had been done to inform children of their right to file a complaint?  Had professionals working with children been trained on receiving complaints concerning children and the Convention? 

    The establishment of the child Ombudsman in 2018 was a crucial step in the right direction, and the Government should be congratulated for that.  What was the current status of the institution?  How did it connect with children?  The Committee noted the State party’s awareness raising activities on the Convention with appreciation, including the translation of the Committee’s general comments into Romanian.  How did these efforts extend to rural children? 

    JULIANA SCERRI FERRANTE, Committee Expert and Country Taskforce Member, asked if the national strategy for school de-segregation been adopted?  If not, then when would this occur?  What measures had been taken to address hate speech? Did the permanent committee set up in every education unit offer a complaints mechanism to children?  If not, how could children complain in schools? 

    What had been done to decrease discrimination against the Roma population?  What efforts had been made to promote the inclusion of Roma in mainstream schooling?  How was discrimination against children with disabilities tackled in education?  There was concern that Romanian law did not define valid reasons on which minor marriages could be authorised and this was left to the discretion of the authorities.  What training was provided to apply the best interests of the child? What approaches had been taken to reduce the preventable mortality of children under five years old?  What was the position of the Romanian Government on the proposed amendment to law 272 regarding lesbian, gay, bisexual, transgender and intersex children?

    There seemed to be a lack of parental education programmes around corporal punishment. How could the views of the child be respected if violence was accepted as a disciplinary measure?  Could the Romanian Government take clear steps to train staff and promote child education?  How were child labour laws enforced?  How would the Romanian Government establish a child participation mechanism?  Were refugee and asylum-seeking children involved in decisions which affected them? Were children provided information on their rights? 

    What measures were being taken to strengthen the capacity of the social welfare services? How were children with disabilities prioritised in reform measures?  What was being done to combat the illicit transfer of children abroad?  Had bilateral agreements been conducted in this regard?  Was the Romanian Government carrying out measures to understand the impact of prison on children?  How were they supported when their parents were incarcerated?  What support was available for young people leaving institutional care? 

    SOPHIE KILADZE, Committee Chair and Country Taskforce Member, said the adoption of law 105/22 providing for automatic birth registration should be considered as positive.  Could more information be provided about how the law worked in practice?  Were there any plans to introduce a statelessness determination procedure?  Was data on statelessness which concerned children disaggregated?  What measures were in place to protect children from excessive screen use?  How did Romania deal with artificial intelligence as a European Union member? Romania had one of the lowest levels of digital skills in the European Union; what measures were being undertaken to promote digital literacy among children, as well as parents? 

    PHILIP JAFFE, Committee Vice-Chair and Country Taskforce Member, said it was wonderful that strong pledges had been made at the global ministerial conference on ending violence against children in Bogota.  How was Romania implementing its mission as a pathfinding global alliance country?  It seemed Romanian children were in need of protection against high levels of physical and sexual violence.  One of the pledges made in Bogota was to conduct a prevalence study on sexual abuse; had the State moved forward with this study?  Were there dedicated teams drawing up the comprehensive framework and strategy which had been promised?  One pledge had been to enhance children’s participation regarding issues of violence.  What efforts had the Government made to ensure that there was a clear public understanding that all forms of violence against children needed to be reported? 

    Corporal punishment appeared to remain quite widespread despite being banned in 2004. What efforts were made to lower the prevalence and change attitudes among parents and adults?  It was encouraging that Romania had been one of 40 countries to recently join a statement of the Human Rights Council, expressing children’s right to protection from corporal punishment.  How was bullying and cyber bullying being addressed at all levels of legislative policy?  Could more information about the child helplines be provided? 

    Was it true that around seven to eight per cent of girls in Romania were married before the age of 18, with that percentage rising to around 20 per cent in the Roma community? What was being done in response to this? Was it true that charges had been dropped against a 17-year-old boy who entered into a non-formal marriage with an 11-year-old girl?  What policy was in practice in the health sector regarding surgical interventions and intersex children?  What were the guidelines to protect their bodily integrity until these children were capable of providing consent? 

    Responses by the Delegation

    The delegation said the law on child protection now included clear provisions which made it compulsory for public administrative bodies to involve children in consultations regarding issues which concerned them.  The national strategy on children’s rights was recently adopted and another national action plan was elaborated; these plans were complimentary. This was a comprehensive package which would help the Government to better implement all necessary measures. An assessment of the national strategy had been undertaken.  The State was now piloting a system which would indicate how to establish a model of financing where children would be considered as a different group that would benefit from a different budget. 

    The national programme for schooling in Romania ensured children received food support at schools to increase the enrolment rate and participation.  School supplies were also provided for all school grades. Two hundred euros were provided for the purchase of technology, and remedial lessons were provided to students coming from disadvantaged communities.  Recently, the scholarship system had been extended to encompass more disadvantaged groups. 

    Funds allocated to primary medical care had registered a continuous annual increase.  Just last year, the fund allocated to primary care increased by 24 per cent.  The national observatory was a big achievement for Romania and aimed to identify the children most at risk of being separated from their families, based on indicators.  Training was being conducted on the use of the observatory to ensure the data provided was reliable.   

    The hearing of minors in justice proceedings took place in special rooms, and a psychologist was always required to be present.  The new national strategy for the development of the judicial system provided for another 10 hearing rooms across the country.  There were specially designated prosecutors to handle cases involving minors.  The child Ombudsman was fully operational and cooperated with all institutions.  It had a functioning complaints mechanism.  If an incident was notified to the Ombudsman, an investigation started, which concluded with a set of recommendations sent to the institution responsible to correct the situation.  

    Civil society representatives were part of the consultative groups established at the national level.  A methodology had been issued and piloted regarding identifying and banning segregation within the educational sector.  The measures focused on ensuring an inclusive education.  Any kind of discrimination on criteria such as ethnicity, religion or sex was completely forbidden within the educational system.  Specific places in high schools were allocated for Roma students and students with disabilities.  To ensure access to high quality education, educational services had been developed starting from early education to prevent early dropout and absenteeism.     

    A set of programmes had been introduced, including a monthly allowance for children up to the age of 18, as well as parental leave.  There was also a minimum income support which supported families with children. Emergency ordinance no.96 was developed specifically for children from Ukraine and their families. 

    There was a dedicated intergovernmental group which addressed the subject of forced marriage, with the aim of drafting legislative projects in this regard.  Concerning infant mortality and the number of deaths under one year of age, a regionalised system of care had been introduced to ensure each neonate was born in a medical unit which could provide the services necessary for their care, thereby reducing infant mortality.  An important national programme was in place which contained around 15 interventions, established in partnership with the United Nations Children’s Fund.  Another programme provided 900 neonatal incubators around the country. 

    A significant number of services had been established to help families in vulnerable situations. A special programme was launched last year on the minimum inclusion income, which focused on how to assist parents within the labour market.  The State was aware of a lack of social assistance in rural areas, which was where the most vulnerable communities lived.  Interventions were directed, including food packages, and local administrative capacities would be developed. 

    A programme had been developed which aimed to establish hearing rooms for children in courts, and 29 hearing rooms were completed in April 2024.  The rooms were used by the Prosecutors and police officers when they had victims who were minors.  The rooms were child-friendly and specially designed with toys.  The child did not see the other people participating in the hearing.  A new strategy adopted in 2025 provided for the need for an additional 10 hearing rooms in the near future. 

    All social services were functioning based on a set of minimum quality standards, which were verified by the national agency for social inspection.   With the United Nations Children’s Fund, Romania was piloting a project which would identify and train foster families to care specifically for children with disabilities.  A child entering the special protection system was prioritised to be reintegrated in a family environment.  Adoption was considered the best solution in this regard, and this could only be decided by a court.  Priority was offered to domestic adoption, but international adoption could be considered after one year. 

    Amendments had been made to allow special spaces for visits in prison with children.  Such spaces were now available in all prison facilities within the Romanian penitentiary system.  There were cooperation protocols in place with the United Nations Children’s Fund and Save the Children which supported parents to develop their parental skills and improve their relationship with their children. The State was aware of the need to develop programmes which addressed the needs of children and adults and improved the relationship within the family.

    The Ministry of Education aimed to develop digital competencies among students and parents. During the pandemic, all students were provided with laptops and digital devices to keep up with the educational process.  In a new initiative launched in partnership with Microsoft, the Ministry of Education had announced the development of a project concerning artificial intelligence for increasing the school performance of students.  A project was also being implemented aimed at improving the digital skills of civil servants. 

    Romania had a dedicated national child help line.  It was toll-free and operational 24/7.  Those operating the calls were specialised counsellors who could refer the cases to the relevant authorities.  Another helpline just referred cases to social services.  The 119 helpline was a recent development, operational from any place in Romania and accessible to children and adults.  After the first year, it had been well received and was being regularly used to inform on any situation concerning a child. 

    Rape of a minor and sexual assault against a minor had been introduced as acts within the Criminal Code.  Rape committed by an adult against a minor under the age of 18 was punished by a prison sentence of between seven to 12 years.

    Questions by Committee Experts

    PHILIP JAFFE, Committee Vice-Chair and Country Taskforce Member, said one in 20 people in Romania held a disability certificate, with around 80,000 being children. What were the difficulties faced by certain groups of children to receive this certificate, including rural children?  Were there any awareness-raising campaigns for rural minorities and poor families regarding their entitlement to services?  Could more information be provided about Romania’s strategy for persons with disabilities?  How were the number and expertise of professionals being scaled up?  To what degree had the State embraced a human-rights approach to disability, as opposed to a medical model of disability?  How many children were still left in institutions? When would such institutions all be closed? 

    There were two recent laws on pre-university education and higher education; could more information be provided about the implementation of these laws?  What was the level of gross domestic product dedicated to education in Romania?  Was there a direct pipeline to hear about the concerns of children within the education system and were these concerns taken seriously?  What was being done to combat school segregation based on disability, special education needs, and family economic status?  Figures suggested that 40 per cent of children with disabilities had limited access to education.  What steps were being made to improve education for children under the age of three? What improvements were being made to increase the improvement of vocational training for older children who may be leaving the school system?  Were there any programmes which specifically targeted economically disadvantaged children?  What was the mission of the Ministry of Youth? 

    SOPHIE KILADZE, Committee Chair and Country Taskforce Member, asked if sufficient resources were dedicated to the capacity building of medical personnel? Did all children have access to health care, including health insurance?  How were vaccinations promoted in the country?  How was breast feeding promoted?  Child obesity was an issue of concern; how was this combatted? Was there a hot meals programme? 

    Mental health was a very important issue.  Was data on mental health being disaggregated, including on suicide?  Was there a comprehensive strategy and action plan regarding the issue of mental health?  Were quality mental health services available in rural and remote areas? According to alarming information, the country had the highest number of adolescent mothers across the European Union. What steps would the State undertake to prevent adolescent pregnancies and subsequent abortions?  Would Romania make reproductive education part of the curriculum? 

    What measures were in place to address drugs or substance abuse?  Were there treatments available for children?  Romania had made substantial efforts for Ukrainian children and other groups of refugees.  How would the State integrate these children long-term?  Were there delays in the enrolment of refugee children and their families into the social services system?  Would amendments be considered in the asylum law to end the detention of families at the legislative level?  Did unaccompanied migrant children have access to services, including psychosocial support and disability services?  Were there any barriers which could hinder access to education? 

    What measures were being undertaken to end child labour, including begging?  What was being done to assist children in street situations?  How were perpetrators investigated and brought to justice?  Were there quality services for child victims of trafficking in place? Was the system of child justice established across the country?  Were adequate financial resources allocated to it?  Was free legal aid available to children in conflict with the law?  Was the detention of children used only as a last resort?  If yes, did it comply with international standards? 

    RINCHEN CHOPHEL, Committee Expert and Country Taskforce Coordinator, said one in five children were affected by severe material and social deprivation, which was concerning.  What was the reality on the ground?  The minimum social assistance package had been introduced; could more information be provided on it?  Romania was increasingly vulnerable to droughts, heatwaves, floods and landslides, and it was also grappling with water pollution.  How had the national strategies pertaining to climate change helped to address the challenges of the environment and climate change in the country? What measures were being adopted to take into account children’s needs and views in the development of specific policies, including disaster-preparedness plans?  Were child rights impact assessments carried out when dealing with the business sector? 

    A Committee Expert asked what the national coverage of vaccinations was in the country?  Romania had an epidemic of measles; how did the population react to vaccinations?  How was confidence being built in vaccines?  Were people familiar with the law on rape?  What happened once the 30-day limit for registering births had elapsed? 

    Responses by the Delegation

    Romanian legislation completely prohibited violence against children, regardless of the environment.  However, despite the legislation, which was fully aligned with United Nations Conventions, the State needed to fight against mentalities and traditions and to practically change the minds of parents and caregivers, who believed corporal punishment would discipline children better.  Awareness-raising campaigns were being conducted for parents, and mechanisms including hotlines had been developed to support children, including the helpline 119. 

    Authorities were obligated to launch investigations immediately concerning any allegations of violence against children.  Romania was committed to continuing these efforts and to changing social norms and mentalities.  The numbers of cases of violence against children was increasing, which meant people were becoming more aware of the issue and reporting it. 

    Since 2016, the methodology applied in Romania clearly distinguished between the concept of disability and special education needs.  In Romania, the deinstitutionalisation process was one of the most important commitments of the Government, and the process was now concluding. Currently, out of the 167 residential centres operating in 2017, 149 had already been closed, and more than 6,000 children were benefiting from alternative care.  The legal framework stated that no placement centre could operate without the approved closure plan.  The deinstitutionalisation process also involved finding better alternative and family-based care for children.   Only 18 placement centres remained in the process of being closed, and by 2026 no such centre would be operating in Romania.  The State was still aiming to find family-style solutions for children with disabilities, and a project was being developed with the United Nations Children’s Fund to this end.

    If a birth was declared after the 30-day deadline but less than one year after the birth, the birth certificate could be issued based on approval from the mayor.  If the birth declaration was made more than one year after the birth, the certificate needed to be approved by the mayor and other administrative bodies. 

    More than 2.8 million students were enrolled in the 2023/2024 school year in Romania.  For high school, there had been a significant decrease in dropouts from 2.5 per cent in 2017 to 0.8 per cent in 2024. Around 4.5 per cent of the budget was allocated to education.  The Ministry of Education had taken steps to assist children with special educational needs, with the creation of frameworks offering them different kinds of support, based on the type of disability.  For students with temporary special needs, the law of education presented special measures, including the implementation of schooling hospitals, or schooling at home for those who were required to be in hospital or at home for medical reasons. 

    Adaptive measures had been taken for Roma children, including stimulating their participation in early education and in summer kindergartens, supporting education in their current language, and translating schoolbooks in their mother tongue, among others.  More than 66,000 teachers had been trained in digital and multimedia use.  An increasing number of contracts between schools and the business sector had been recorded, around 6,000 contracts in the school year 2023/2024.  Most teachers had been trained to create open educational resources.  Significant funds had been allocated to modernising rest room facilities in schools. 

    Any student could submit complaints of discrimination via an established framework.  Students benefitted from representation in the school system through several platforms.  The national strategy for sustainable development issued the methodology of the “green week programme”, which contributed to preschoolers and students’ competence in understanding basic concepts of climate change, to initiate individual and protective action to protect the environment.  Teachers were obliged to obtain 90 transferrable professional credits every five years, through attending courses offered by Romanian training houses.

    In recent years, infant mortality had remained relatively stable in Romania.  From 2023 to 2024, the number of doctors treating children increased by five per cent.  Regarding children’s access to medical services, all children were insured in Romania and benefitted from basic medical services across all sectors of health care.  The national health insurance fund also reimbursed certain services.  The Ministry of Health had launched a vaccination campaign in partnership with the Red Cross, to raise awareness of parents; this had been accompanied by a “catch-up” vaccination schedule, resulting in 1,500 children being vaccinated.  A protocol had been signed with the Orthodox Church to establish an active partnership to create a framework for anyone facing a possible cancer diagnosis, offering support.   

    World Breastfeeding Week was celebrated in August each year, as breastfeeding remained one of the most effective ways to provide children with the best start in life. Breast feeding recommendations had been developed with partners, including the World Health Organization, and were relayed to medical practitioners at the local level.  Around 200 integrated community centres would be restructured, elevated and equipped.  A television broadcast had been created to promote the importance of breastfeeding in the first six months of a child’s life.   

    Information and education campaigns had been carried out for children, parents and teachers about the benefits of a healthy diet and the consequences of unhealthy eating. Around 1,000 people had benefited from the campaign.  Substance abuse could be detected by family doctors and psychological services could be recommended.  The national health insurance house implemented the national mental health programme, providing treatment for persons with substance abuses, and ensuring specific treatment for patients with depressive disorders. 

    Questions by Committee Experts 

    RINCHEN CHOPHEL, Committee Expert and Country Taskforce Coordinator, said the Government had approved a social assistance programme in 2011 which targeted all communes, but was underfinanced; could more information be provided?  The Environment Week presented was an excellent initiative; how was it being utilised? 

    JULIANA SCERRI FERRANTE, Committee Expert and Country Taskforce Member, asked if there were any supervision orders, where children remained with their family but were supervised?  Were there age assessment procedures during the asylum procedure?  What rights did children applying for asylum have?  Could they appeal any decisions? 

    PHILIP JAFFE, Committee Vice-Chair and Country Taskforce Member, said according to research by the United Nations Children’s Fund, Romanian girls felt much lonelier than Romanian boys.  Was there a reason for this gap? 

    SOPHIE KILADZE, Committee Chair and Country Taskforce Member, asked for clarification on case management coordination? 

    A Committee Expert noted the prevalence of women among the large delegation and asked if women generally had an important and high-profile position in Romania, or if this only occurred when discussing children?  Had there been any programmes to prevent violence?  Had the concept of gender been fully institutionalised? Were teachers trained in detecting signs of violence?  What was the prevalence of child marriage in the country?  What about figures for marriages which were not officially recorded? Had there been any programmes to prevent the phenomenon or sanctions? 

    Was there any mapping of the at-risk populations in the country of female genital mutilation? Was female genital mutilation prohibited in law?  What was the most updated action on sexual exploitation?  Was there any cross-border cooperation between Romania and neighbouring countries?  Did Ukrainian children born in Romania have access to Romanian citizenship?  Did rape victims have access to emergency contraception?

    Another Expert asked about vaccinations from children aged zero to 12; was there distrust in the population when it came to vaccines?  It seemed that tuberculosis was a public health issue.  What was being done in the field of treatment? Were there children whose births had not been declared, particularly among refugees, Roma and migrants?

    A Committee Expert asked about the new concept introduced by the Parliament on parental alienation.  How had this concept been consulted on, particularly with children?  How would the best interests of the child be ensured? What specific measures were being taken to reduce school dropout and improve access to quality education for Roma children?  What mechanisms were in place to monitor and support Roma children who were at risk of dropping out? 

    Another Committee Expert said she was happy to hear about the programme for the deinstitutionalisation of alternative care centres; this was something Romania should be proud of, as well as all the foster arrangements being made, especially for children with disabilities.  What was the State doing to support the families of children with disabilities, particularly those with severe disabilities? 

    Responses by the Delegation 

    The delegation said emergency contraception was available to those who had experienced sexual assault and could be obtained without a prescription.  Adolescent pregnancies were a major concern for the Romanian public health system.  Contraceptives and medical devices were provided free of charge through family centres and through gynaecological departments, where abortions were performed upon request.  Romania was one of the first European countries to offer non-discriminatory HIV/AIDS treatment. 

    Refugees were granted a monthly allowance, one-month’s accommodation, and access to education for minors.  Legislation in the field of asylum provided for beneficiaries to apply for family reunification when family members were not in Romania.  Identity documents needed to be provided to prove family links. Family reunification of unaccompanied minors was carried out with the best interest of the child in mind. Minors from immigrant backgrounds benefitted from the same rights as minors who were Romanian citizens. Romanian language courses provided teaching support, textbooks and workbooks developed on linguistic levels according to the European Union framework.  Priority for asylum applications was given to unaccompanied minors. 

    Medical forensic expertise was used when an asylum applicant could not prove their age and there were serious doubts about their ethnicity.  The declared age of the asylum applicant was accepted if their refusal to undergo the medical expertise was based on compelling reasons.  The assessment was performed with full respect for the minor’s dignity and in as least invasive way as possible. 

    Investigations in child and human trafficking were undertaken by specialists with supervision from specialised prosecutors.  Through law 229/2024, the Romanian Parliament aimed to discourage sex tourism and the pimping of minors.  More than 1,200 criminal cases had been identified regarding child trafficking. The General Inspectorate of Romanian Police organised regular sessions for border police and 

    non-governmental organizations, with the purpose of identifying victims.  More than 125 trainings had been carried out to over 4,000 workers who may encounter trafficking victims through their work. The National Agency against Trafficking in Persons and the Directorate for Investigating Organised Crime had implemented a national action plan in the fight against human trafficking to improve the awareness of at-risk groups. 

    In 2024, prosecutors from the Directorate for Investigating Organised Crime took part in 35 seminars regarding identifying child victims, compensation for victims, international cooperation, and online sexual exploitation of children, among other topics.  A public awareness campaign had been launched relating to sexual acts between adults and minors.  The message stated that a sexual act committed against a minor of 16 years or under constituted rape, if the age gap was more than five years, and punishments applied. 

    According to Romanian legislation, minors benefited from free legal aid, whether they committed a crime, or if they were victims of a crime.  The Romanian penal system limited sanctions in regard to minors, and measures for deprivation of liberty were only given as a last resort and could only be ordered by a court. 

    The integrated social services project aimed to develop the academic knowledge of professionals working in the social assistance field, and to develop concrete measures for vulnerable groups of people. 

    During “green week”, schools organised activities around several topics relating to the environment.  These were uploaded on a specialised platform dedicated to education on climate change and varied from one educational cycle to another.  The Ministry of Education had developed a programme, the mechanism of early-living alert, which focused on early education for Roma children. 

    In Romania, social services were obligated to identify children in a risk situation.  Children could remain within families and be monitored by social services until the risks were removed.  The parental alienation provision was introduced in all cases relating to violence and neglect.  It was recommended that this provision be removed, as these measures should only be applied by the courts.  There were many trainings offered to judges on methods relating to children’s rights.  Social workers were also trained to provide necessary assistance to visiting parents. Social services could only assist; they could not intervene and solve disputes between parents. 

    Closing Remarks

    RINCHEN CHOPHEL, Committee Expert and Country Taskforce Coordinator, reiterated the Committee’s appreciation for the Government of Romania’s support to Ukrainian refugees, particularly children.  The State was encouraged to continue to undertake these activities which were important for solidarity for children.  Significant progress had been made from the last reporting period to the current one, with many looking forward beyond the dialogue.  This was an indication of the Government’s commitment towards children.  As the country moved forward, it was important to put emphasis on implementation and ensure vulnerable children did not miss out. 

    HELENA OMNA-RAICU, President of the National Authority for the Protection of Child Rights and Adoption of Romania and head of the delegation, expressed deep gratitude for the dialogue.  The delegation welcomed the Committee’s emphasis on equality, accountability and sustainability, and would underpin the next stage of the State’s deinstitutionalisation journey.  The Committee’s concerns regarding urban disparities were noted.  It was recognised that rights delayed were rights denied, and the State was committed to accelerating affirmative action. Romania would treat the Committee’s recommendations as an opportunity for deeper transformation. 

    SOPHIE KILADZE, Committee Chair, thanked the delegation for the fruitful dialogue and commended its members for their clear and comprehensive answers.  Ms. Kiladze extended her best regards to the children of Romania. 

    ___________

    Produced by the United Nations Information Service in Geneva for use of the media; 
    not an official record. English and French versions of our releases are different as they are the product of two separate coverage teams that work independently.

     

     

    CRC25.013E

    MIL OSI United Nations News

  • MIL-OSI Canada: New funding strengthens rural and Indigenous communities

    Source: Government of Canada regional news

    Local governments, First Nations and not-for-profit organizations throughout British Columbia are receiving funding to promote economic diversification, clean-economy opportunities and infrastructure development.

    “We’re partnering with rural community leaders to invest in the future of their local economies,” said Diana Gibson, Minister of Jobs, Economic Development and Innovation. “By helping fund impactful projects throughout the province, we’re supporting people and helping their communities to flourish.”

    The Government of B.C is investing as much as $43 million from the third intake of the Rural Economic Diversification and Infrastructure Program (REDIP) toward more than 130 projects that will strengthen local economies, create an estimated 2,200 jobs and make a positive impact for people and communities across rural areas of the province.

    One example is the Sea to Sky Outdoor Adventure Recreation Enterprise’s (SOARE) Basecamp Innovation Centre expansion project, which will further develop the outdoor recreation sector within the Sea-to-Sky region. Funding will support a facility upgrade, specialized manufacturing equipment and a repair hub, a six-month business accelerator program and high-impact events for industry networking and cross-sector collaboration. These expanded services will empower local businesses, support sustainable growth and establish the Sea-to-Sky region as a leader in outdoor recreation innovation and economic diversification. 

    “SOARE is incredibly grateful to have been a successful recipient of REDIP. This funding has been pivotal to our non-profit’s growth, to our physical innovation centre and the programming we are able to offer. SOARE is able to provide assistance to our outdoor business members, creating highly impactful workshops and keeping our physical space equipped with machinery and tools,” said Anirban (JoJo) Das, executive director of SOARE.

    In northern B.C., the Indigenous Economic Resilience in the Rural/Remote North project supports clean job growth, economic resilience and community wellness. This is through the continued development of an Indigenous-led, culturally safe skills-training and employment centre in northern B.C. This project will support vital employment and training infrastructure to boost jobs and circular economic growth that is much needed in rural, remote regions with high Indigenous populations.

    “The Indigenous Food Sovereignty Association (IFSA) is excited to receive this support from the REDIP program. It will build economic resilience, revitalize food systems, and support job skills development in rural, northern Indigenous communities,” said Jacob Beaton, executive director of the IFSA.

    Another project aims to increase understanding of rural, remote coastal and Indigenous community economies. The Communities Talking project will ensure communities are discussing economic solutions internally and with each other. The goal is to work with select communities to collect their unique economic information and weave Indigenous conversations with western data-collection approaches.

    “Successfully addressing the economic challenges of B.C.’s coastal rural, remote and Indigenous communities requires current, evidence-based data. Thanks to REDIP 2024-25 funding, we can integrate Indigenous relational approaches with western economic data to support co-ordinated local decision-making, job creation and investment attraction,” said Francine Carlin, chair of the Rural Islands Economic Partnership.

    In its first three years, REDIP will see as much as $142 million invested in more than 450 projects across B.C. that will create an estimated 7,000 jobs in rural areas. The ministry anticipates that additional funding opportunities for rural economic-development projects will be available this year.

    Quotes:

    Steve Morissette, parliamentary secretary for rural development –

    “Investing in local priorities is making communities stronger, more resilient and better prepared for the future. REDIP is ensuring people in every corner of the province have the tools needed for success.”

    Stephanie Higginson, MLA for Ladysmith-Oceanside –

    “Through REDIP, we’re empowering rural communities throughout B.C. to thrive and grow. Together, we’re building a sustainable future in every corner of our province.”

    Quick Facts:

    • The Rural Economic Diversification and Infrastructure Program completed three application intake periods from fiscal year 2022-23 to fiscal year 2024-25.
    • A total of approximately $142 million has been allocated to 453 projects in rural communities throughout the province.
    • The Forest Impact Transition stream has provided approximately $32.6 million in targeted funding to support economic recovery and diversification in affected forestry-dependent communities.
    • The next intake of REDIP is expected to open in July 2025.

    Learn More:

    To learn more about the Rural Economic Diversification and Infrastructure Program and see the lists of approved projects, visit: https://gov.bc.ca/redip

    MIL OSI Canada News

  • MIL-OSI Global: How outdoor sports can support youth as they navigate climate change

    Source: The Conversation – Canada – By Brett Tomlinson, Adjunct Professor, Faculty of Educaiton, Nipissing University

    As climate change continues to impact the way we interact with our planet, it’s critical to consider ways we can encourage youth to participate in climate action initiatives.

    Young people across Canada are feeling frightened about the future of the planet. A Canadian study published in 2023 surveyed 1,000 young participants on their feelings about climate change. Sixty-six per cent of respondents said they felt anxiousness or hopelessness about climate change, while 78 per cent said it impacts their overall mental health.

    There are a number of ways to approach this overwhelming emotion, considering it could result not only in poor quality of life for youth but also continued inaction for the planet.

    My research in outdoor physical education leads me to consider more positive behaviour for youth in association to climate change that could likely benefit youth and the planet. The challenge is finding opportunities to develop pro-environmental behaviours and environmental stewardship with Canadian youth.




    Read more:
    6 ways to build resilience and hope into young people’s learning about climate change


    It’s about more than time outdoors

    When looking to develop pro-environmental behaviours, one way could be to simply encourage more time outdoors. But research from Germany suggests that just interacting with nature is not enough; rather, young people need to find ways to engage with nature and use the natural landscape to develop an emotional connection with the environment.

    According to the German study, certain sports can lead to more environmentally sustainable attitudes and behaviours from participants. Some sports in particular — like cross-country skiing, mountain biking or triathlon — increase those positive behaviours more than others. This isn’t simply because participants are alone within a natural setting; it’s because the focus of the sport is on the natural landscape.

    To explain a bit further, soccer, for example, is typically played outside but often on a manicured, sometimes artificial, field that is in many ways devoid of any natural influence.

    Alternatively, mountain biking requires participants to ride on trails that take them directly through forested areas or spaces that are selected based on their unique natural landscape. As athletes participate in sports more frequently and spend more time within nature, they then develop a stronger emotional connection to the space they’re in. This leads to pro-environmental behaviours and attitudes, which can then generate environmental stewardship.




    Read more:
    Earth Day 2024: ‘Green muscle memory’ and climate education promote behaviour change


    Rock climbing

    Within rock climbing groups and organizations, there is evidence suggesting members frequently participate in beneficial environmental stewardship projects. Outdoor rock-climbing groups typically manage spaces — sometimes privately owned, but frequently under government jurisdiction in provincial or national parks — to ensure safe and responsible climbing practices. Climbers rely on ropes, equipment and bolts to ensure safety as they’re climbing.

    But another obvious factor is the rock face they climb. The connection to rock and the climbing routes over those rock faces help foster a sense of environmental stewardship within climbers. Similar to mountain biking, the process starts with an introduction to the sport, but slowly develops into more care and attention paid to the natural spaces where climbers practise their activity.

    One American study indicates that rock climbing organizations often find opportunities to clean up the areas where they climb, and also look to maintain the natural features of that space.

    The research finds that for climbers, the challenge is to maintain natural spaces and keep the rock as pristine as possible. This also extends to conservation efforts to ensure that space maintains its use for climbing as opposed to turning it into a more urban or commercialized area.

    The joy that participants received from the sport of climbing initiated this environmental stewardship and maintained progressive action in local environmental initiatives.

    Element of physical risk

    One thing to note is that climbing and mountain biking do involve an element of physical risk.

    Doing some research on these sports can help youth assess risks alongside what can be gained from participating. But it’s also important to acknowledge that encouraging young people to foster deeper connections to nature as opposed to having simple interactions with outdoor spaces doesn’t mean they have to cycle down a mountain or climb a massive rock wall.

    Risk cannot be completely eliminated from outdoor sports and recreation, but there can be great social and personal benefit from participating in these types of activities.

    Instead of a high-risk sport, educators and outdoor leaders can influence participants with simpler actions. I am aware of outings involving outdoor hikes, or taking time at night to gaze at the stars and listen to the sounds of nature, that have sparked in young people an interest in outdoor spaces — and caring for them.

    Such experiences can then lead young people to continue to explore outdoor adventure and sport, that can , significantly, foster an appreciation of natural settings through direct interaction as well as a positive sense of community. This can be a starting point to help alleviate feelings of hopelessness to climate change.




    Read more:
    Teachers need bolder action from our school boards to educate in and for a climate emergency


    Addressing potential harms, amplifying benefits

    Despite the benefits of participating in outdoor sports, there is a need to acknowledge that participation can have some negative impact on the environment.

    For example, interaction with nature through sport can impact natural habitats and has the potential to alter behavioural patterns of animals. Furthermore, there is a risk of erosion of natural spaces, as well as the slim potential for the movement of invasive species.

    This being said, it’s critical to consider what we can gain from supporting youth to participate in outdoor sport and education when such activities are planned with attentiveness and care.

    Brett Tomlinson does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    ref. How outdoor sports can support youth as they navigate climate change – https://theconversation.com/how-outdoor-sports-can-support-youth-as-they-navigate-climate-change-256643

    MIL OSI – Global Reports

  • MIL-OSI Global: Worker-led programs are tackling gender-based violence in supply chains, but they’re at risk

    Source: The Conversation – Canada – By Genevieve LeBaron, Distinguished SFU Professor of Global Supply Chain Governance, Simon Fraser University

    Gender-based violence and harassment is a widespread issue in supply chains. Women workers in garment manufacturing, food production and hospitality are routinely subjected to unwanted touching and sexual advances and inappropriate comments, while promotion and advancement are often conditional on sex. In the most severe cases, this abuse escalates to sexual assault and rape.

    Despite decades of awareness and an International Labour Organization convention passed in 2019 and ratified by 49 countries, research indicates little progress has been made.

    A 2024 report from Statistics Canada, for instance, has found that 47 per cent of women have experienced some form of harassment or sexual assault in the workplace.

    Rates of gender-based violence and harassment are thought to be even higher in some countries and industries. In Bangladesh, a 2018 study found at least 60 per cent of garment workers had experienced it in the previous year. Another found 85 per cent of garment workers in Indonesia were concerned about sexual harassment at work.

    In the face of such a persistent global issue, women working in garment supply chains have pioneered a highly effective solution for tackling gender-based violence and harassment.

    Worker-led binding agreements

    Supported by labour unions and organizations like the Asia Floor Wage Alliance, Worker Rights Consortium and Global Labor justice, women workers have led the development of legally binding agreements with brands and suppliers to eliminate gender-based violence and harassment.

    The latest of these is called the Central Java Agreement for Gender Justice. Signed in July 2024, it covers 6,250 workers producing clothing for brands like Nike and Fanatics, Inc. under licenses with universities affiliated with the Worker Rights Consortium.

    Worker Rights Consortium persuaded Fanatics, which is also licensed to produce apparel bearing the Nike logo, to enter into the agreement in response to complaints of gender-based violence and harassment at two garment factories in central Java, Indonesia, owned by the Korean-based firm Ontide.

    This agreement creates a union-led program to address the problem at two Indonesian factories; if factory management does not comply, it risks losing business with Nike and Fanatics.

    Building on success from India to Indonesia

    The 2024 Central Java Agreement builds on and incorporates key features of previous worker-led agreements to address the issue.

    In particular, it builds on the 2022 Dindigul Agreement to Eliminate Gender-Based Violence and Harassment in India and the 2019 Agreements to Eliminate Gender-Based Violence and Harassment in Lesotho.

    The Dindigul agreement was led by an independent, majority-Dalit trade union run by women. It established a set of legally binding agreements with major garment companies including H&M Group, Gap Inc., PVH and Eastman Exports Global Clothing Ltd.

    The Lesotho agreements involved brands such as Levi Strauss & Co., Nien Hsing Textile Co., unions, women’s rights advocates and labour organizations.

    While each agreement is unique, they all adhere to the principles of worker-driven social responsibility.

    Under this governance model, “worker organizations and unions, suppliers, and brand companies enter into enforceable and legally binding agreements” and “transnational corporations use their leverage and supply chain relationships to effect change amongst supplier worksites.”

    A new model of accountability

    These agreements include worker-led detection and remediation systems to address gender-based violence and harassment. For example, under the Lesotho agreement, workers can access a 24-hour hotline operated by a local women’s organization to lodge complaints or bring them directly to the unions involved in the agreement.

    The Dindigul agreement also provides multiple channels for workers to raise complaints of gender-based violence and harassment, including shop floor monitors selected by the local union (one for every 25 workers). It also offers multiple avenues for raising complaints, including to the union or to sexual harassment committees required under Indian law.

    Under the Central Java Agreement, workers can bring complaints to committees aimed at eliminating the problem, to shop floor monitors or their unions. Not only do each of the agreements permit workers to request independent investigations, they all provide a wide array of remedies in the case of any incidents and violations of freedom of association.

    What sets these agreements apart from most other initiatives to combat gender-based violence and harassment in supply chains is that they actually work. One study of the two-year impact of the Dindigul Agreement by Cornell University’s Global Labor Institute found that 76 per cent of grievances were resolved in two weeks.

    The report said the program “constituted a powerful monitoring mechanism, ensuring effective remediation and deterring violations” of both gender-based violence and harassment and freedom of association — briefly put, the right to voluntarily join or leave groups (like unions), and for those groups to pursue collective action.

    Now, a key question is whether and to what extent these successful programs will continue to thrive and grow under the current “America First” agenda of the U.S. government.

    Progress under threat

    Despite their success, these worker-led initiatives face mounting challenges.

    Labour organizations that support these agreements are under strain, with some potentially at high risk of collapsing. The U.S. Bureau of International Labor Affairs is cutting US$500 million in funding that supports labour enforcement efforts across 40 countries.

    At the same time, company rollbacks of diversity, equity and inclusion programs are constraining, if not eliminating, the political space in which labour groups negotiate such agreements.

    Tariffs and upheaval in global trade — especially efforts to redraw supply chains to evade costly tariffs — gives brands cover to withdraw commitments to worker-led initiatives and change sourcing patterns to circumvent them.

    Within the United States, cuts and funding freezes — including to sexual assault prevention groups — are a worrying sign that support for preventing gender-based violence and harassment and helping its survivors are being undercut and failing.

    If labour stakeholders lose the resources to support such initiatives, the impacts on women and workplaces within supply chains across the world will be devastating. These programs show that when workers lead, real change is possible, but they need continued investment and political support to survive.

    Genevieve LeBaron receives funding from the Social Sciences and Humanities Research Council of Canada, Humanity United Foundation, and Ford Foundation.

    Judy Fudge does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    ref. Worker-led programs are tackling gender-based violence in supply chains, but they’re at risk – https://theconversation.com/worker-led-programs-are-tackling-gender-based-violence-in-supply-chains-but-theyre-at-risk-255756

    MIL OSI – Global Reports

  • MIL-OSI Global: The distant dream of owning a home: Canada sees growing inequality in home ownership

    Source: The Conversation – Canada – By Yushu Zhu, Assistant Professor, Urban Studies and Public Policy, Simon Fraser University

    Home ownership is often seen as a symbol of success and is linked to various life opportunities, like starting a family or growing your wealth. It’s also often seen as the ultimate housing goal, while renting is seen as transitional. Eventually, everyone is expected to climb up the housing ladder from renting to owning.

    Promoting home ownership is therefore at the centre of housing policy in many countries, including Canada. As of 2021, 67 per cent of Canadian households owned their home.

    However, deteriorating affordability in recent years has placed home ownership out of reach for many and called into question the ideal of home ownership.

    In a recent study, colleagues and I examined access to home ownership for different groups using census data from 1986 to 2021 in five metropolitan areas: Montréal, Toronto, Calgary, Edmonton and Vancouver.

    Our findings suggest that, for many, owning a home has become a distant dream.

    Stagnant homeownership growth

    Based on statistical models that accounted for individual and household characteristics, we found that the probability of an average Canadian household owning a home (with or without a mortgage) improved steadily from 1991 to 2011, then dropped in 2016 and 2021, while the likelihood of owning with a mortgage substantially increased. This means growth in home ownership was primarily driven by mortgage debt.

    This trend was happening at the same time as a shift started in the 1990s towards financialization that treated housing more as an investment than a social good.




    Read more:
    Financial firms are driving up rent in Toronto — and targeting the most vulnerable tenants


    The federal government stopped funding social housing programs, commercialized the Canada Mortgage and Housing Corporation (CMHC) and expanded its mortgage securitization programs.

    In other words, mortgage liberation successfully promoted home ownership for some time until 2011.

    All five metropolitan areas saw a decline in the number of renter households until 2011 (2016 for Montréal), when the number began increasing. In addition, outright ownership has become less prevalent over time.

    These findings defy the expected sustained growth of home ownership that commodification and financialization were supposed to bring.

    The percentage of homes owned outright, with a mortgage or being rented in different Canadian cities.
    (Author provided)

    Filtering mechanism and access to credit

    Another tenet of the home ownership narrative is that a free market provides equal opportunities for owning a home through two processes: the filtering process and mortgage liberalization.

    The filtering model suggests that homes built for higher-income families slowly deteriorate and depreciate, and can become affordable for lower-income people. This process, coupled with the increased access to mortgages, is expected to eventually grant home ownership opportunities to all.

    However, this mechanism is less likely to work for home ownership than for rentals. Owner-occupied homes often take a long time, sometimes decades, to depreciate. By the time they become available and affordable, the unit may require major and costly renovations.

    In practice, many owner-occupied units often “filter up” rather than downward, through gentrification or acquisition by financial investors.

    The increased access to mortgages does not benefit everyone either. Many low-income people or those without stable jobs do not qualify for mortgages, and racialized people are more likely to be denied access to credit due to discrimination.

    Growing inequalities

    Substantiating these counter-arguments are growing inter-generational and income inequalities in home ownership. All age cohorts saw improved access to home ownership up until 2021. However, the three age groups under 45 — 15-24, 25-34 and 35-44 — saw steady declines in home ownership rates.

    These were mostly millennials and Gen Zers who face disproportionate affordability pressure compared to older generations.

    Homeowners over 55 are also reckoning with affordability. We found the share of older homeowners holding a mortgage rose between 1986 and 2021 from 24 to 40 per cent for those 55 to 64, and from 10 to 26 per cent for the 65-74 age group.

    In other words, more people are having to rely on larger loans and longer amortization periods to buy and maintain their homes, making it harder to pay back their mortgage before retirement.

    The disparities in home ownership opportunities among different incomes have also increased. While the top 20th percentile income group witnessed increased probability of owning a home between 2011 and 2016, other income groups experienced stagnant or decreased chances.

    Among owner households, Canadians across all incomes saw increased mortgaged ownership from 1996 to 2016. The lowest income group saw the fastest growth in mortgaged home ownership but were still the least likely to own with a mortgage due to low income or discrimination. Rising house prices coupled with loosening mortgage lending regulations may have pushed them into mortgaged ownership.

    Higher social status?

    A final compelling narrative is that home ownership affords better well-being and financial security due to higher perceived social status and a stronger sense of autonomy and stability.

    The financial security associated with home ownership is supported by the idea of “housing asset-based welfare.” This model conceptualizes home ownership as a means for young people to build assets for financial security in times of need and old age.

    However, this approach encourages early-life debt, and may only work if mortgage loans remain affordable until they are paid off. Paradoxically, this asset-building mindset drives speculative investment and house prices, making outright home ownership more difficult and mortgaged ownership less affordable.

    The well-being associated with home ownership is debatable as well. My colleagues and I have shown elsewhere that perceived benefits to a person’s well-being are not intrinsic to home ownership. Rather, they are created and normalized by a system that makes home ownership more secure and appealing than alternatives like renting.

    In reality, the financial security associated with home ownership has been undermined by rising housing costs, especially for low- and moderate-income homeowners with mortgages.

    Mortgaged homeowners with below-median incomes have seen their housing costs increase 25 per cent faster than their income over the study period, compared to five per cent for higher income families at the top 60th percentile.

    Broken promises

    Manual Aalbers, a human geography professor at Belgium’s University of Leuven, has argued that home ownership today has slowly changed “from a policy goal into pure rhetoric … a means to an end. Mortgaged home ownership increasingly is there to keep mortgage and financial markets going.”

    To say the least, the broken promises of home ownership point to the failures of our current housing system that creates a hierarchy of tenures and two tiers of social class — homeowners and renters.

    Policies aimed at creating a fairer housing market are essential. These include improving home ownership affordability by providing more diverse types of housing for ownership and discouraging speculative investment.

    Such policies should also include enhancing housing security and asset-building opportunities for renters, and supporting the role of non-profits and social enterprises in meeting the needs of a broad range of income groups.

    This research project was funded by the Social Sciences and Humanities Council of Canada (SSHRC) through its Insight Development Grant and Partnership Grant. The project was part of the Community Housing Canada project, co-funded by Canada Mortgage and Housing Corporation (CMHC) and SSHRC.

    ref. The distant dream of owning a home: Canada sees growing inequality in home ownership – https://theconversation.com/the-distant-dream-of-owning-a-home-canada-sees-growing-inequality-in-home-ownership-254873

    MIL OSI – Global Reports

  • MIL-OSI Europe: Answer to a written question – Persecution of the opposition by Xiomara Castro’s communist government in Honduras – E-001287/2025(ASW)

    Source: European Parliament

    The EU has supported the justice sector, transparency mechanisms, the fight against corruption, electoral reforms, strengthening the national human rights protection system (e.g. ProDerechos[1]) and deployed consecutive election observation missions (EOMs). EU humanitarian assistance, focusing on people displaced, disaster preparedness and food insecurity, is channelled through international non-governmental organisations and United Nations agencies implementing projects.

    The EU remains ready to support a positive national reform agenda prioritising inclusive and sustainable development. Strengthening governance, rule of law, fighting corruption and protecting human rights are paramount.

    The Multi-annual Indicative Programme 2021-2027[2] (EUR 163 million) focuses on three priorities (sustainable management of natural resources and climate change; employment, decent work and sustainable growth; rule of law, democratic governance) and allows to maintain applicable oversight mechanisms to ensure funds are directed towards above-mentioned objectives.

    Following the primary elections in March 2025, the EU clearly expressed support for the National Electoral Council, a key institution for the organisation of the general elections on 30 November 2025, and called on all state institutions to support its work as stipulated by the Honduran Constitution[3].

    In response to the invitation by Honduras to observe the upcoming elections, the EU will deploy an election exploratory mission six to four months before the elections. This mission will evaluate whether deployment of an EU EOM is advisable, useful and feasible. On that basis, the High Representative/Vice-President will decide on the deployment of an EOM.

    • [1] Programme ProDerechos Honduras, https://www.proderechos.hn/.
    • [2] Multi-annual Indiciative Programme Programme for Honduras 2021-2027, https://international-partnerships.ec.europa.eu/countries/honduras_en.
    • [3] Declaración Local de la Unión Europea en Honduras, 24 March 2025, https://x.com/EUambHN/status/1904281667289641435/photo/1.

    MIL OSI Europe News

  • MIL-OSI Europe: Answer to a written question – Repatriation of Syrians – E-000218/2025(ASW)

    Source: European Parliament

    The Commission does not keep such registries.

    As of 6 March 2025, the United Nations High Commissioner for Refugees (UNHCR) estimates that over 300 000 Syrians have returned to Syria via neighbouring countries since early December 2024, and that almost 890 000 internally displaced persons have returned to their home region since November 2024.

    While remaining cautious due to the volatile situation in Syria, and in line with the European Council conclusions of 19 December 2024[1], the EU is committed to help creating the conditions for safe, voluntary and dignified return of refugees, as defined by the UNHCR, in particular by supporting Syrians who decide to go home and by stepping up its non-humanitarian early recovery support in sectors crucial for sustainable returns.

    Under the EU asylum rules, the Syrian nationals who benefit from international protection in a Member State have the right to reside in the Member State that granted them protection. EU law outlines the circumstances in which an individual protection status can be withdrawn and a number of related safeguards.

    The Return Directive[2] sets out common standards and procedures to be applied by the competent authorities of the Member States for returning illegally staying third-country nationals, in compliance with fundamental rights as well as international law, including refugee protection and human rights obligations. Non-governmental organisations do not have a formal role in the carrying out those procedures.

    • [1] European Council (EUCO) 50/24: https://www.consilium.europa.eu/media/jhlenhaj/euco-conclusions-19122024-en.pdf.
    • [2] Directive 2008/115/EC of the European Parliament and of the Council of 16 December 2008 on common standards and procedures in Member States for returning illegally staying third-country nationals.
    Last updated: 21 May 2025

    MIL OSI Europe News

  • MIL-OSI Europe: Press release – Opening: 21-22 May 2025 plenary session

    Source: European Parliament

    MEPs added a debate on “the Hungarian government’s drift towards Russia-style repression” to today’s agenda.

    Changes to the agenda

    Wednesday

    Council and Commission statements on the Hungarian government’s drift towards Russia-style repression and legislative threats to freedom of expression and democratic participation are added to the agenda later on Wednesday, following the debate on the EU’s response to the Israeli government’s plan to seize the Gaza Strip. As a result of this addition, the sitting is extended to 23:00.

    Thursday

    The President announced a request from the Committee on Agriculture and Rural Development to fast-track a file under Rule 170(6) of the EP’s Rules of Procedure for the Commission proposal on additional assistance and further flexibility to outermost regions affected by severe natural disasters and in the context of cyclone Chido devastating Mayotte.

    The vote on this request will take place on Thursday. If approved, the file will be added to the June plenary agenda.

    Interinstitutional negotiations

    The Committee on Economic and Monetary Affairs has decided to enter into interinstitutional negotiations, in accordance with Rule 72(1) of Parliament’s Rules of Procedure, on the basis of the report available on the plenary website.

    MIL OSI Europe News

  • MIL-OSI Europe: Answer to a written question – Announcement of a ‘round table’ on the elections in Poland organised by the Commission – E-001044/2025(ASW)

    Source: European Parliament

    The conduct and the organisation of elections are the competence and responsibility of the Member States, in accordance with their national constitutional and legislative rules, while respecting their international obligations and EU law.

    The Digital Services Act (DSA[1]) requires providers of very large online platforms (VLOPs) and very large online search engines (VLOSEs) to assess and mitigate systemic risks linked to electoral processes and civic discourse while protecting fundamental rights, including the freedom of expression[2]. The Commission issued guidelines for VLOPs and VLOSEs on the mitigation of systemic risks for electoral processes, which recommend different options for mitigation measures[3].

    The Digital Services Coordinators (DSCs) coordinate work at national level with the aim of ensuring compliance with the DSA, including during electoral periods. The European Board for Digital Services, composed of the DSCs, compiled a DSA Elections Toolkit[4] aiming to support DSCs in this task. DSCs can namely organise election roundtables to facilitate information sharing between relevant stakeholders such as online platforms and civil society organisations. If requested by the DSCs, the Commission may provide support in this exercise, as it did ahead a number of recent national elections. These roundtables are not public and it is for the DSCs to decide and communicate on what was discussed or who participated.

    The Commission has so far not received any request from the Polish DSC and is therefore currently not involved in a potential roundtable in Poland.

    • [1] Regulation (EU) 2022/2065 of the European Parliament and of the Council of 19 October 2022 on a Single Market For Digital Services and amending Directive 2000/31/EC (Digital Services Act),  OJ L 277, 27.10.2022, p. 1-102 https://eur-lex.europa.eu/eli/reg/2022/2065/oj/eng.
    • [2] Articles 34 and 35 of Regulation (EU) 2022/2065.
    • [3] https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A52024XC03014&qid=1714466886277.
    • [4] https://digital-strategy.ec.europa.eu/en/library/dsa-elections-toolkit-digital-services-coordinators.
    Last updated: 21 May 2025

    MIL OSI Europe News

  • MIL-OSI Europe: Answer to a written question – Public attack on the Ombudsman by the Greek government – E-000530/2025(ASW)

    Source: European Parliament

    National human rights institutions, ombudspersons, equality bodies and other independent authorities have an important role in national checks and balances. The Commission monitors developments related to the functioning and independence of these authorities in the context of its Annual Rule of Law Cycle[1]. As regards Greece, the 2024 Rule of Law Report[2] took note of investigations by the ombudsperson into alleged misconduct involving law enforcement officers. As further noted in the report, the Commission considers that effective and timely investigations of such incidents are an important demonstration of the ability of competent authorities to deliver an adequate response. The Commission will continue to monitor developments in this area and will provide an up-to-date assessment in its 2025 Rule of Law Report.

    • [1] https://commission.europa.eu/strategy-and-policy/policies/justice-and-fundamental-rights/upholding-rule-law/rule-law/annual-rule-law-cycle_en.
    • [2] 2024 Rule of Law Report, country chapter on the rule of law situation in Greece. Available at: https://commission.europa.eu/document/download/6741f4b2-6a10-44ba-b40c-97a5a38e6827_en?filename=21_1_58062_coun_chap_greece_en.pdf.
    Last updated: 21 May 2025

    MIL OSI Europe News

  • MIL-OSI Video: Ahead of the Threat Podcast: Episode 10 – Hugh Thompson

    Source: Federal Bureau of Investigation (FBI) (video statements)

    The show is on the road! Filming on location at the annual RSAC Conference in San Francisco, hosts Bryan Vorndran and Jamil Farshchi welcome Dr. Hugh Thompson, the executive chairman of RSAC and the program coordinator of the RSAC Conference. The annual conference gathers thousands of cybersecurity officials from the private and public sector to discuss ways to thwart attacks and institute best practices. In this episode, Dr. Thompson highlights the importance of government participation, how to keep the relationships and knowledge-sharing going throughout the year, and the importance of being community-oriented to ensure effective cybersecurity postures against criminal adversaries.

    More at: https://www.fbi.gov/video-repository/e10a_video.mp4/view
    —————————————————
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    Spotify: https://open.spotify.com/show/4H2d3cg…
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    https://www.youtube.com/watch?v=vMNIHF4A-sk

    MIL OSI Video

  • MIL-OSI USA: Rep. Sara Jacobs Grills Secretary Marco Rubio on President Trump’s Conflicts of Interest in UAE while Ignoring UAE’s Funding of Genocide in Sudan

    Source: United States House of Representatives – Congresswoman Sara Jacobs (D-CA-53)

    May 21, 2025

    Rep. Sara Jacobs (CA-51) grilled Secretary Marco Rubio on President Trump’s conflicts of interest in the United Arab Emirates (UAE). In recent weeks, the Trump Organization has announced plans to build an 80-story Trump Tower in Dubai, and President Trump’s crypto company, World Liberty Financial, has secured a $2 billion deal with an Emirati company with deep ties to the government. Then the Trump Administration blew through a congressional hold on over $1.5 billion in arms sales to the UAE, which continues to arm and fund the Rapid Support Forces’ genocide in Sudan.

    Watch Rep. Sara Jacobs Here

    Rep. Sara Jacobs said: “Mr. Secretary, I want to turn to the war in Sudan. This is, as you know, the world’s largest displacement and humanitarian crisis, half a million people are facing famine. I saw firsthand the suffering when I visited Sudanese refugees in Chad.

    “Earlier this year and again yesterday, you reiterated that the Rapid Support Forces, a militia, is committing genocide in Sudan. Is that correct?” 

    Secretary Marco Rubio said: “We’re very concerned about what both sides are doing frankly, but the RSF in particular.” 

    Rep. Sara Jacobs said: “Correct, I agree with that. You also said that, as part of that, all of our engagement with the UAE, we need to ‘raise the fact that they’re openly supporting an entity that is carrying out a genocide.’ And yet, President Trump continues to arm the UAE. In fact, he just blew through Ranking Member Meeks’ congressional hold on over $1 billion in arms sales, ignoring this Committee’s longstanding role as an independent check on major arms sales. Now, we can have a policy debate on the merits of whether to arm the UAE or not, despite this genocide. I had that conversation with Secretary Blinken. But actually, I want to talk about the events that led up to that decision. 

    “So on April 30th, the Trump Organization, which Donald Trump still owns, unveiled plans to build an 80-story Trump Tower in Dubai. 

    “On May 1, Trump’s crypto company, World Liberty Financial, secured a $2 billion deal with an Emirati company with deep ties to the government.

    “And only 11 days later, on May 12, your Department notified our committee that it would ignore Ranking Member Meeks’ holds on UAE arms sales.

    “Secretary Rubio, we have a President who is personally profiting from a deal with a foreign government-backed company at the same time he is selling lethal weapons to that same government. Isn’t that a clear conflict of interest?”

    Secretary Marco Rubio said: “I think no matter who is president, they would have to deal with the UAE. We have to. They’re a member of…

    Rep. Sara Jacobs said: “That’s not my question. We can have a policy debate about how we should engage with the UAE. I was just there a few weeks ago.

    Secretary Marco Rubio said: “You’re making claims about corruption. I’m trying to answer them. Any President in the United States – I don’t care who it is – has to deal with the UAE. They’re a member of the Abraham Accords, number one. They’ve been incredibly cooperative on a bunch of other issues. We don’t agree with them 100%. We have some concerns about some of the things they do. But this is called the balancing of our foreign policy. It is in our national interest to have a good relationship with the UAE. And sometimes they do things we don’t like.

    Rep. Sara Jacobs said: “Secretary Rubio, I don’t disagree with you. I just visited the UAE a couple weeks ago and had these very same conversations there and I don’t think this is a complicated question. President Trump is personally profiting from a deal with a foreign government and selling weapons to that same government who is enabling a genocide. Policy aside, are you really saying you don’t think this is a conflict of interest?

    Secretary Marco Rubio said: “No, you’re making claims. The president’s family owns a business and they can conduct business anywhere in the world they want. The president has never once raised business deals in the UAE when talking about…Any President would have to have a relationship with the UAE.

    Rep. Sara Jacobs said: “Secretary Rubio, that’s just silly. President Trump has retained his ownership of these companies and I have an image right here from World Liberty Financial’s website, so the idea that President Trump is not the face of the brand of this company on top of benefiting from them. And it literally says on the website that Mr. Trump and his family members own a 60% stake in this company. That’s silly. We can talk about the policy merits – that’s not what I’m asking you. I’m asking you a very simple question: do you believe that it’s a conflict of interest to have a president personally profiting from a deal with a foreign government while selling weapons to that same government who is enabling a genocide?

    Secretary Marco Rubio said: “I don’t…I don’t accept the premise of your question. I think this has nothing to do with personally benefiting from anything. This has to do with the fact that in order to conduct foreign policy in the Middle East, you’re going to have to deal with the UAE. You have to have deals in place with the UAE.

    Rep. Sara Jacobs said: “Mr. Secretary, this is a clear conflict of interest. Anyone with any common sense can see that. The President is personally benefiting from billions of dollars in deals, and he doesn’t care at all about the people of Sudan who are experiencing famine and genocide.

    “It’s shocking to me that you can’t admit that. It’s clear to me that you seem more concerned about staying in Trump’s good graces than sticking up for human rights and American values that you once were a champion for. With that, I’m going to yield the rest of my time to Representative Olszewski.”

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    MIL OSI USA News

  • MIL-OSI USA: Congresswoman Torres Proposes Key Amendments to Republican Budget Reconciliation to Protect Working Families and Strengthen Public Services

    Source: United States House of Representatives – Congresswoman Norma Torres (35th District of California)

    May 21, 2025

    Amendments Address Critical Issues facing Californians, including higher taxes, Cuts to Healthcare and food assistance, and dangerous Trump Administration changes to Air Safety Systems

    WASHINGTON, D.C. — Congresswoman Norma Torres introduced targeted amendments to the Republican Budget Reconciliation aimed at protecting working families’ access to healthcare, food assistance, fairness in tax policy, and protecting essential public services. These amendments address critical areas, including healthcare, SNAP, transportation, and infrastructure, ensuring that policies serve the best interests of American workers and communities.

    “Republican budget proposals threaten essential programs that millions of Americans depend on,” said Congresswoman Torres. “These amendments are a necessary step to ensure that our tax policies, public services, and infrastructure investments are fair and effective in supporting the American people.”

    The proposed amendments aim to address the issues in the Republican Budget Reconciliation bill, which includes cutting healthcare coverage for nearly 14 million people, reducing SNAP benefits by $300 billion, and leaving 42 million Americans facing cuts to their benefits:

    • Protect Healthcare and Prevent Medicaid Cuts: Torres is pushing to strike provisions to cut hundreds of billions of dollars from Medi-Cal, California’s Medicaid. This amendment would protect the healthcare of millions of Americans who rely on Medicaid for essential health services, including the nearly 340,000 adults and children in the Inland Empire who rely on Medi-Cal (California’s Medicaid program). Cuts to Medicaid disproportionately harm children, seniors, and people with disabilities. A cut to Medicaid is also a cut to Medicare, as 30% of Medicaid dollars support Medicare enrollees. 

    • Prevent Harmful SNAP Cuts: Torres is proposing an amendment to prevent $300 billion in cuts to the Supplemental Nutrition Assistance Program (SNAP), which would endanger the food security of millions of American families, including 112,000 Americans in the Inland Empire. By striking these harmful provisions, nearly 90% of households that participate in SNAP have either a child, a senior, or an individual with disability. Rep. Torres seeks to protect vulnerable working families from losing access to the resources they need to stay healthy and nourished.

    • Lift the SALT Deduction Cap: Torres is advocating for the removal of the $10,000 cap on State and Local Tax (SALT) deductions that Trump signed into law in 2017. By limiting the SALT deduction to $10,000, the Trump 2017 Tax bill effectively raised taxes on Californians by eliminating their ability to deduct their state and local tax payments (including state income taxes and local property taxes) from their income for federal taxes. As residents of a state with a high cost of living and high housing costs, hardworking Californians are hit particularly hard by Trump’s cap on the SALT deduction. Californians pay more than their fair share of taxes, contributing $83 billion more in federal taxes than they received in return. Lifting the cap is about fairness and provides Californians with deserved tax relief in Trump’s high-priced economy.

    • Protect Aviation Safety and Ensure Fair FAA Staffing Practices: Torres introduced an amendment to keep the flying public safe, protecting Federal Aviation Administration (FAA) employees from unlawful firings. The FAA has fired at least 400 individuals responsible for maintaining air traffic control systems. This amendment will ensure that no funds made available by this Act may be used to terminate a probationary or non-probationary employee unless an individual performance assessment is conducted. This amendment aims to prevent unlawful terminations, ensuring that FAA staff are treated fairly and that safety standards are upheld for the traveling public. This amendment protects local jobs while maintaining air travel safety standards at Ontario International and regional airports.

    • Support California’s Critical Infrastructure Needs: Torres is fighting back against the indefensible corruption of this Administration, specifically the newly released U.S. Army Corps of Engineers plan to help only Republican leaning states, not all Americans equally. Torres is advocating for the U.S. Army Corps of Engineers (USACE) to allocate resources for California’s water infrastructure, environmental restoration, and flood management projects. Given California’s challenges with drought, wildfires, and floods, this amendment is designed to strengthen the state’s infrastructure and ensure communities are better protected from environmental and flood-related disasters.

    • Remove harmful tax on remittances: Torres is fighting back against this bill’s unjust 5% federal tax on remittance transfers that targets immigrant communities. With Americans sending over $93 billion in 2023 to help families abroad with basic necessities, this tax would devastate economies in countries like Honduras, Haiti, and El Salvador, where remittances comprise up to 30% of GDP. This amendment would prevent harmful policies that destabilize regional allies, contradict migration management efforts, and punish those playing by the rules—ensuring our policies support rather than harm immigrant communities and diplomatic partnerships.

    “These amendments are designed to protect the well-being of American families, ensure the long-term viability of essential public programs, and support fair policies that address the unique needs of communities across the country,” Congresswoman Torres added. “We cannot afford to let partisan politics undermine the services and resources that our citizens rely on every day.”

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    MIL OSI USA News