Category: Politics

  • MIL-OSI USA: Statement from Governor Josh Stein on Proposed Cuts to SNAP

    Source: US State of North Carolina

    Headline: Statement from Governor Josh Stein on Proposed Cuts to SNAP

    Statement from Governor Josh Stein on Proposed Cuts to SNAP
    lsaito

    Raleigh, NC

    Today Governor Josh Stein released the following statement on proposed federal cuts to the Supplemental Nutrition Assistance Program (SNAP): 

    “SNAP helps 1.4 million North Carolinians put food on the table. Congress’s proposed cuts are unprecedented and would make North Carolina pay up to $700 million to continue current benefits, all so that the wealthiest Americans can receive even bigger tax cuts. If Congress goes forward with these plans, our state will be forced into perilous budget decisions – should North Carolinians lose access to food, or should we get rid of other essential services? I urge our members of Congress to reject this budget proposal so that North Carolina families don’t go hungry.” 

    Currently, the federal government covers 100% of food benefits for SNAP participants. Now, Congress has proposed shifting food benefit costs to states for the first time in the program’s history. North Carolina footing $700 million in SNAP benefits for the first time would be the equivalent of 8,900 K-12 public school teacher positions.

    Four in five families participating in SNAP in NC have either a child, a senior, or an adult with a disability in the household. Each dollar in support for paying for groceries through SNAP frees up household resources for other essential needs like rent, utilities, or child care.

    SNAP contributes nearly $2.8 billion to North Carolina’s economy, and has a multiplier effect, with every $1 invested in SNAP benefits generating between $1.50 and $1.80 for local economies. SNAP cuts would mean people have less to spend at NC’s more than 9,200 SNAP retailers, which would hurt farmers, the larger food distribution pipeline, and local economies overall, especially in rural areas and small towns.    

    SNAP is playing a vital role in supporting western North Carolinians impacted by Hurricane Helene. The 25 western NC counties most impacted by Helene still have higher enrollment in SNAP in April 2025 than they did in September 2024 before the storm hit. Notably, immediately after the storm, SNAP received169,000 applications – the highest number of applications since Hurricane Florence in 2018.

    Last week, Governor Stein sent a letter to Congress laying out the implications for North Carolina if SNAP cuts move forward. Click here to read his letter. 

    Click here to learn more about the impact of proposed SNAP cuts on North Carolina.

    Click here to view county enrollment data for the SNAP program. 

    May 15, 2025

    MIL OSI USA News

  • MIL-OSI USA: Rep. Bera Leads Bipartisan, Bicameral Legislation to Establish Permanent U.S. Ambassador-at-Large for Arctic Affairs

    Source: United States House of Representatives – Representative Ami Bera (D-CA)

    U.S. Representative Ami Bera, M.D. (D-CA-06), a senior member of the House Foreign Affairs Committee, introduced bipartisan legislation to establish a permanent Ambassador-at-Large for Arctic Affairs within the U.S. Department of State. 

    Following its initial creation by the State Department in 2022, this bill would formally codify the position of U.S. Ambassador-at-Large for Arctic Affairs to ensure the role becomes a permanent fixture of U.S. foreign policy and Arctic engagement.

    Representatives Rick Larsen (D-WA-02) and Mark Amodei (R-NV-02) joined Bera in introducing the bill in the House. Companion legislation has been introduced in the Senate by Senator Lisa Murkowski (R-AK).

    “The Arctic is a critical region for U.S. national security, economic development and environmental preservation,” said Representative Bera. “From increased ship traffic to growing competition with Russia and China, the United States must ensure we have a strong, unified presence in the Arctic. This legislation will help us do just that by formally establishing a senior diplomat position charged with leading and coordinating America’s Arctic strategy.”

    Reporting directly to the Secretary of State, the Ambassador-at-Large would coordinate efforts across federal agencies and international partners to advance U.S. security and scientific interests, strengthen Arctic cooperation, promote sustainable development, protect the environment and empower Indigenous Arctic communities.

    “As a member of the House Foreign Affairs Committee, I’ve seen firsthand how Arctic issues—from melting ice caps to rising geopolitical tensions—impact both U.S. national security and global stability,” Bera added. “This Ambassador will ensure the United States leads with our values, partners with our allies and protects one of the most strategically significant regions of the world.”

    “Establishing a permanent ambassador-level position is an important step to coordinate U.S. interests in the Arctic,” said Rep. Larsen. “The position also demonstrates Congress’ bipartisan commitment to international cooperation with regional partners on Arctic policy.”

    “A strong U.S. presence in the Arctic is essential to securing our geopolitical interests and countering adversarial influence,” said Rep. Mark Amodei. “As the region presents growing strategic opportunities in security, science, and development, U.S. representation ensures we remain a leading voice in shaping its future and advancing shared values with our allies.”

    You can read the full legislation here.

    MIL OSI USA News

  • MIL-OSI USA: Casten, FSC Ranking Member Waters, and 39 Democratic Members Call out Top U.S. Financial Institutions for Abandoning Commitment to Address Growing Climate Crisis

    Source: United States House of Representatives – Representative Sean Casten (IL-06)

    May 15, 2025

    WASHINGTON, D.C. – Today, Congressman Sean Casten (D-IL), Congresswoman Maxine Waters (D-CA), the top Democrat on the House Financial Services Committee, and 39 other Members sent a letter to the Chief Executive Officers of leading U.S. financial institutions, including Morgan Stanley, JPMorgan Chase, Citigroup, Bank of America, Wells Fargo, Goldman Sachs, Northern Trust, BlackRock, Franklin Templeton Investments, State Street Global Advisors, PIMCO, and Invesco. The letter follows recent decisions by U.S. financial institutions and investment companies to abandon their previous commitments to combat climate change amidst growing political pressure from the Trump Administration and Congressional Republicans.

    In the letter, the lawmakers criticize the companies for withdrawing from several global coalitions of leading companies committed to combating climate change, particularly in light of our nation’s worsening climate crisis. In fact, 2024 was the hottest year on record, with natural disasters increasing in frequency and severity, causing billions in damages. The letter also highlights the past findings of key financial regulators that have repeatedly flagged climate risk as a rising threat to the economy and U.S. financial stability. For example, the Financial Stability Oversight Council identified climate risk in its 2022, 2023, and 2024 reports, urging financial institutions to manage their exposure to climate-related risks. Similarly, in 2023, the Federal Reserve, Federal Deposit Insurance Corporation and Office of the Comptroller of the Currency reaffirmed that climate change poses a significant risk to the stability of financial institutions and the broader economy. 

    “We write to express disappointment over your company’s decision to backtrack on its climate goals in response to political pressure and the influence of fossil fuel special interests. Your organization recently withdrew from a coalition of leading global companies committed to taking significant actions to address the serious financial threats posed by climate change. Ignoring climate change’s destabilizing effects on the economy is not an option,” wrote the lawmakers. “…It bears repeating that climate risk is financial risk, a fact acknowledged by investors, asset managers, businesses, and regulators, including many of your organizations.”

    The lawmakers also underscore the negative consequences of turning a blind eye to their climate commitments which will exacerbate financial risks and as a result, directly affect how investors allocate their funds. 

    “Financial institutions contribute to the emissions of nearly every business sector, making your organization a crucial player in limiting the average global temperature rise and seizing the economic opportunities presented by the transition to a low-carbon economy. Moreover, as top financiers of fossil fuels, a failure to address financed emissions could expose banks to long-term climate impacts, including the risk of stranded assets,” added the lawmakers.

    In closing, the lawmakers emphasize the importance of climate coalitions and commitments, and request the CEOs provide detailed answers by May 29, 2025 to a series of questions, including explanations for their reversal on climate commitments, what they are currently doing to achieve previously stated net-zero carbon emissions goals, and the nature of their correspondence with the Trump Administration.

    See the letter HERE.

    Full list of signers: Representatives: Maxine Waters (D-CA), Sean Casten (D-IL), Yassamin Ansari (D-AZ), Joyce Beatty (D-OH), Donald Beyer (D-VA), Suzanne Bonamici (D-OR), Julia Brownley (D-CA), Kathy Castor (D-FL), Emanuel Cleaver (D-MO), Dwight Evans (D-PA), Cleo Fields (D-LA), Valerie Foushee (D-NC), Jesús García (D-IL), Sylvia Garcia (D-TX), Al Green (D-TX), Jared Huffman (D-CA), Pramila Jayapal (D-WA), Henry Johnson (D-GA), Ro Khanna (D-CA), Summer Lee (D-PA), Ted Lieu (D-CA), Zoe Lofgren (D-CA), Stephen Lynch (D-MA), Seth Magaziner (D-RI), Doris Matsui (D-CA), James McGovern (D-MA), Gwen Moore (D-WI), Jerrold Nadler (D-NY), Eleanor Norton (D-DC), Alexandria Ocasio-Cortez (D-NY), Ilhan Omar (D-MN), Ayanna Pressley (D-MA), Delia Ramirez (D-IL), Janice Schakowsky (D-IL), Rashida Tlaib (D-MI), Jill Tokuda (D-HI), Paul Tonko (D-NY), Juan Vargas (D-CA), Nydia Velázquez (D-NY), Bonnie Watson Coleman (D-NJ), Nikema Williams (D-GA).

    ###

    MIL OSI USA News

  • MIL-OSI USA: King: “Siloing Innovation” Harms American Security, Entrepreneurialism

    US Senate News:

    Source: United States Senator for Maine Angus King
    WASHINGTON, D.C. — U.S. Senator Angus King (I-ME), in a hearing of the Senate Armed Services Committee (SASC), spoke with Dr. William Greenwalt, the former Deputy Under Secretary of Defense for Industrial Policy, on the wide-ranging benefits of the United States’ collaboration with allies to bolster American defense modernization. During the exchange, Senator King noted that by retreating from our European, Japanese and Australian allies, we are “squandering that asset and siloing innovation.” Dr. Greenwalt agreed with Senator King, saying that cooperation with our allies is critical to the future of innovation and shared national security.
    “Dr. Greenwalt, I was struck by what you said in your opening statement. One of our asymmetric or I think our principal asymmetric advantage in terms of national security is our allies, and yet we put them through this long, arduous process. And there should be, I think you suggested a, I don’t know whether you call it an exemption or a bobtail process or something, so that we’re not, so that we can have greater cooperation with our allies. Is that? Is that a fair interpretation of what you said,” questioned Senator King.
    “Yes, I won’t even call it an easy pass lane,” said Dr. Greenwalt.
    “Well, I think that’s and the other piece of this, and as I travel and meet with security people in other countries, we’re missing an innovation multiplier by not working with our allies. Countries like Japan and Australia, Europe, Germany, UK, all have brilliant scientists who are working on a lot of innovative areas. And instead of having innovation be siloed by country, it’s always occurred to me that it would be much more, as I say, a multiplier, if we could work more closely and have better cooperation with the countries that are aligned with us? Is that a fair observation,” asked Senator King.
    “I think that’s a fair observation. We’re a country of 340 million, our allies together, the EU, NATO, Japan, Korea, kick us up over to over a trillion. We were close to the Chinese population,” responded Dr. Greenwalt.
    “And we’re squandering that asset by siloing innovation,” replied Senator King.
    “The number of scientists, engineers working together would be critical in the future, and unfortunately, right now, we’re all stove pipe working on these things separately,” said Dr. Greenwalt.
    “Well, I do want to, I have a visual aid in terms of the process. I’m not going to burden the committee, Mr. Chairman, by submitting it for the record, but this is the foreign military sales manual, 642 pages. I mean this to me this summarizes, in many ways, the problem of the of the process itself, which has impeded our ability to work with, again, with our allies,” finished Senator King.
    A member of the Senate Armed Services Committee (SASC) and the Senate Select Committee on Intelligence (SSCI), Senator King is recognized as an authoritative voice on national security and foreign policy issues who has also been named a “fiscal hero” by government watchdogs for responsible spending. Last year, Senator King urged the DoD to take advantage of private sector technologies or risk losing access to innovative defense technologies. In previous SASC hearings, he has encouraged the DoD to adopt smart spending practices when it comes to developing defense technologies, and has emphasized that “new technologies win wars.”

    MIL OSI USA News

  • MIL-OSI USA: Cassidy, Marshall Introduce Bill to Support Families of Victims Killed by Illegal Immigrants

    US Senate News:

    Source: United States Senator for Louisiana Bill Cassidy
    WASHINGTON – U.S. Senators Bill Cassidy, M.D. (R-LA) and Roger Marshall (R-KS) introduced the Justice for Angel Families Act to allow federal funds to cover medical expenses, lost wages, and funeral costs for families whose loved one has been killed by an illegal immigrant. The bill would also codify the Victims of Immigration Crime Engagement (VOICE) Office at the U.S. Department of Homeland Security (DHS), originally established by President Trump in 2017 and reopened last month by the Trump Administration after the Biden Administration shuttered it. The VOICE Office provides critical services like grief counseling and case follow-ups for victims’ families. This bill would ensure the VOICE Office can never be shut down again.
    “Angel families deserve the same compensation as do angel victims. Perpetrators of crime should compensate the Angel family since the Angel victim can no longer be compensated,”said Dr. Cassidy.
    “President Trump is righting the catastrophic wrongs of the Biden-Harris Administration by restoring law and order, securing our borders, and putting an end to the lawlessness that plagued our nation for too long,”said Senator Marshall. “But for countless Angel Families, the damage is permanent – their loved ones were taken from them because of disastrous open-border policies. I urge my colleagues to join Congressman Nehls and me in delivering justice and ensuring these families receive the resources and support they deserve by passing the Justice for Angel Families Act.”
    The legislation is co-sponsored by U.S. Senators Ted Budd (R-NC) and Kevin Cramer (R-ND).
    “Under the Biden administration’s watch our country faced record levels of illegal immigration that resulted in innocent American lives lost,”said Senator Budd. “Our nation’s Angel Families have faced unimaginable tragedies because of Joe Biden’s senseless open-border policies. Now, we must stand with them – giving them the support and justice they deserve.”
    “Families of victims murdered by illegal immigrants are forced to face unimaginable grief,”said Senator Cramer. “This bicameral bill supports Angel Families by ensuring they have the help and resources they need.”
    U.S. Representative Troy Nehls (R-TX-22) introduced a companion version of this bill in the U.S. House of Representatives.
    “President Trump and his administration are restoring law and order and standing up for American citizens,” said Representative Nehls. “Millions of illegal aliens flooded our country during the Biden Administration, and many of them took the lives of Americans, such as Jocelyn Nungaray, Laken Riley, and Rachel Morin. By codifying the VOICE Office, which was reopened last month by Secretary Noem, no future president can close the office again, ensuring that families that fall victim to illegal alien crimes are supported, not left behind.”
    The legislation is also supported by Advocates for Victims of Illegal Alien Crime, NumbersUSA, and National Immigration Center for Enforcement (NICE).
    “As a nation, we spend hundreds of billions of dollars supporting illegal aliens who have no right to be in our country. Yet the victims of crimes committed by illegal aliens are left to fend for themselves at the worst times in their lives,”said Don Rosenberg, President and Treasurer of Advocates for Victims of Illegal Alien Crime. “Financial compensation will never replace the loss of a loved one, but the “Justice for Angel Families Act” will at least reduce the financial burden faced by those families who have been betrayed by the failure of some in our government to uphold the rule of law.”
    “It’s a shame that our past open border policies have made it necessary and needed to pass legislation to aid Angel families who suffered loss at the hands of illegal immigrants,”said Michael Hough, Director of Federal Government Relations at NumbersUSA. “This legislation will rightfully help those families who have lost their loved ones.”
    “To support angel families – American citizens permanently separated from loved ones due to illegal alien crime – President Trump relaunched the Victims of Immigrant Crime Engagement (VOICE) office,”said RJ Hauman, President of the National Immigration Center for Enforcement (NICE). “Now fully operational again, VOICE is assisting thousands of angel families, connecting them to vital services like grief counseling, tracking their cases, and ensuring criminal aliens responsible for their suffering are arrested, detained, and removed. This stands in stark contrast to the previous administration, which dismantled VOICE, opened our borders, and neglected angel families while policies led to more tragic losses. With Republicans now leading Congress, angel families are no longer ignored. Congressman Nehls and Senator Marshall are championing the Justice for Angel Families Act, reaffirming that their highest duty is to American citizens. This bill honors angel families, ensures their loved ones’ deaths were not in vain, and strengthens our nation’s safety and security. NICE urges everyone to support the Justice for Angel Families Act and calls on Congress to pass it after ICE receives critical resources via reconciliation.”

    MIL OSI USA News

  • MIL-OSI USA: Hickenlooper, Colleagues Call on Trump Admin to Reverse Illegal Firings of Consumer Product Safety Commissioners

    US Senate News:

    Source: United States Senator John Hickenlooper – Colorado
    The administration fired three of the five commissioners who help protect consumers from harmful products
    WASHINGTON – U.S. Senator John Hickenlooper, along with four of his Senate colleagues, called on the Trump administration to reverse the illegal firings of Consumer Product Safety Commission (CPSC) officials who help protect Americans from potentially harmful products.
    “This move compromises the ability of the federal government to apply data-driven product safety rules to protect Americans nationwide, away from political influence,” wrote the senators. “We urge you to immediately reverse this order and allow the three Democratic CPSC Commissioners to continue their work to protect consumers, especially children and families, from hazardous products.”
    Congress created the CPSC to help regulate the manufacture and sale of products, ranging from children’s toys to fireworks, to protect the public from dangerous products that could lead to injury or death. Last year, the CPSC helped recall 153 million consumer products to protect kids and families from defective and harmful products.
    On May 8th, the Trump administration announced its intention to fire the CPSC’s three Democratic Commissioners, Commissioner Hoehn-Saric, Commissioner Trumka, and Commissioner Boyle, without cause. The commission is made up of five commissioners appointed by the President and confirmed by the Senate.
    Hickenlooper currently serves the Ranking Member of the Senate Commerce Committee’s Subcommittee on Consumer Protection, Product Safety and Data Security.
    Full text of the letter is available HERE and below.
    Dear President Trump:
    We write to express serious concern regarding your intention to fire the three Democratic Commissioners from the Consumer Product Safety Commission (CPSC). This move compromises the ability of the federal government to apply data-driven product safety rules to protect Americans nationwide, away from political influence. We urge you to immediately reverse this order and allow the three Democratic CPSC Commissioners to continue their work to protect consumers, especially children and families, from hazardous products.
    Congress established the CPSC in the Consumer Product Safety Act as an independent regulatory commission composed of five bipartisan Commissioners, appointed by the President and confirmed by the Senate. Since 1972, the CPSC has regulated the manufacture and sale of products ranging from children’s toys to fireworks, working to protect the public from unreasonable risks of injury or death. In fiscal year 2024 alone, the CPSC negotiated and implemented the recall of 153 million consumer product units and conducted more than 4,100 in-depth investigations to remove defective and potentially harmful products from shelves. For over 50 years, the CPSC’s bipartisan commissioners have carried out this critical work to ensure that Americans can feel confident about the safety and reliability of the products they use every day.
    As at other independent agencies, CPSC Commissioners are appointed by the President and confirmed by the Senate to staggered, seven-year terms. The Consumer Product Safety Act establishes that the President may remove Commissioners only “for neglect of duty or malfeasance in office but for no other cause.” Further, the Act is explicit about the legal requirement for bipartisanship on the CPSC, mandating that “not more than three of the Commissioners shall be affiliated with the same political party.” These provisions exist to limit the Commissioners’ exposure to political influence, allowing them to focus entirely on their job of protecting American consumers.
    Despite these clear, congressionally-mandated protections, late on Thursday May 8, you announced your intention to fire the CPSC’s three Democratic Commissioners, Commissioner Hoehn-Saric, Commissioner Trumka, and Commissioner Boyle, without cause. This action degrades the ability of CPSC to establish robust product safety protections and casts doubt on its capacity to pursue recalls and investigations without being influenced by the politics of the day.
    More than ninety years ago, the Supreme Court ruled that Congress has the authority to create bipartisan, multi-member commissions to serve the public without undue political influence. More recently, in 2020, the Court refused to rule that the President has the power to remove members of bipartisan commissions at-will. As you know, the President can lawfully exercise influence over the Commission by nominating new members and appointing the Chair. This illegal order to terminate three CPSC Commissioners without cause stands in opposition to clear legislative guidelines and nearly a century of Supreme Court precedent. It must be reversed.
    Commissioners Hoehn-Saric, Trumka, and Boyle must be allowed to continue their work at the CPSC and carry out its vital mission to protect American consumers.

    MIL OSI USA News

  • MIL-OSI: Eric Branderiz Joins Symbotic’s Board of Directors

    Source: GlobeNewswire (MIL-OSI)

    WILMINGTON, Mass., May 15, 2025 (GLOBE NEWSWIRE) — Symbotic Inc. (Nasdaq: SYM), a leader in A.I.-enabled robotics technology for the supply chain, today announced the election of Eric Branderiz to its Board of Directors, effective May 14, 2025.

    Mr. Branderiz joins Symbotic’s Board following a nearly 30-year career in public and private company finance and accounting, including in high-growth environments in industrial technology. Most recently, he served as Executive Vice President and Chief Financial Officer at Enphase Energy. Prior to Enphase Energy, Mr. Branderiz was Vice President, Corporate Controller and Chief Accounting Officer at Tesla. He has held senior finance and accounting roles at SunPower Corporation, Knowledge Universe Corporation, Spansion and Advanced Micro Devices, after beginning his career at Ernst & Young.

    “On behalf of the Board, I am thrilled to welcome Eric to Symbotic,” said Rick Cohen, Chairman and CEO of Symbotic. “Eric brings deep financial expertise and a track record of success, guiding companies through critical stages of growth and playing a pivotal role in helping newly public organizations to achieve significantly greater scale. I look forward to working with him as we continue bringing our cutting-edge robotics and A.I.-powered automation technology to diverse customers and settings globally.”

    “I’m honored to join Symbotic’s Board at such an exciting point in the company’s trajectory,” said Mr. Branderiz. “Symbotic is a leader in its field with one-of-a-kind automation technology, and I look forward to leveraging my experience at growth-oriented technology companies to support Symbotic’s continued innovation and its rapid momentum.”

    Mr. Branderiz currently serves on the Board of Directors of Cognizant Technology Solutions Corporation and Fortive Corporation. He is a Certified Public Accountant in California, and received his bachelor’s degree in Business Commerce with an emphasis on Accounting from The University of Alberta.

    About Symbotic

    Symbotic is an automation technology leader reimagining the supply chain with its end-to-end, A.I.-powered robotic and software platform. Symbotic reinvents the warehouse as a strategic asset for the world’s largest retail, wholesale, and food & beverage companies. Applying next-generation technology, high-density storage and machine learning to solve today’s complex distribution challenges, Symbotic enables companies to move goods with unmatched speed, agility, accuracy and efficiency. As the backbone of commerce, Symbotic transforms the flow of goods and the economics of the supply chain for its customers. For more information, visit www.symbotic.com.

    Media Contact
    mediainquiry@symbotic.com

    Investor Contact
    Charlie Anderson
    Vice President, Investor Relations & Corporate Development
    ir@symbotic.com

    The MIL Network

  • MIL-OSI: Intermap Announces First Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    Company reports first quarter 2025 revenue growth of 153% with 28% pro-forma adjusted EBITDA margin

    Confirms projected 2025 revenue of $30–35 million and 28% EBITDA margin

    Conference call today at 5:00 pm ET to discuss results

    DENVER, May 15, 2025 (GLOBE NEWSWIRE) — Intermap Technologies (TSX: IMP; OTCQB: ITMSF) (“Intermap” or the “Company”), a global leader in 3D geospatial services and intelligence solutions, today announced first quarter 2025 results and affirmed 2025 guidance.

    For the first quarter ending March 31, 2025

    • Total revenue of $4.3 million, compared with $1.7 million in the first quarter of 2024
    • Acquisition Services revenue of $2.4 million versus $478 thousand in the year-ago quarter
    • Value-added Data revenue of $514 thousand versus $266 thousand in the year-ago quarter
    • Software and Solutions revenue of $1.3 million, compared with $942 thousand in the first quarter of 2024
    • 28% pro-forma adjusted EBITDA margin versus 25% in the first quarter of 2024
      • Intermap invested to support permitting and pursuit costs on behalf of its partners for follow-on awards
    • Pro-forma net income of $833 thousand, compared with a net loss of $839 thousand in the first quarter of 2024
    • Total assets of $19.2 million versus $11.9 million on December 31, 2024
    • Cash, unbilled and A/R totaled $13.9 million versus $6.5 million on December 31, 2024

    “We’re seeing strong momentum across our government and commercial segments,” said Patrick A. Blott, Intermap Chairman and CEO. “With multiyear partnerships, federal contracts and a strengthened balance sheet, we’re benefiting from growing customer confidence and positioning the Company for recurring revenue with long-term growth. We are pleased to affirm our 2025 guidance.”

    Q1 Government Milestones
    In the government sector, Intermap’s team, led by CACI, was selected as a vendor for the National Geospatial-Intelligence Agency’s $200 million Luno B IDIQ contract. When combined with the previously announced Luno A award, the addressable opportunity totals $500 million. The first task orders have begun to be issued and Intermap is well positioned with superior proprietary source data and analytics located over difficult areas of the world inaccessible by optical satellites. This positions Intermap to compete for federal work over the next five years and expand its role in delivering advanced geospatial intelligence to support national security.

    Intermap continued to execute Phase 1 of Indonesia’s national mapping initiative, delivering high-resolution 3D elevation and feature data exceeding specifications in a shorter timeframe than planned. The Company is pursuing follow-on awards under Phase 2 of the $653 million World Bank–funded ILASP project, which supports land administration and spatial planning. With the Indonesian government prioritizing large-scale base maps for national development, Intermap’s Phase 1 performance positions it strongly for continued participation. The Company’s advanced technology and proven execution align with the project’s goals, including expansion into Java, Kalimantan and other key regions.

    As part of the Indonesian mapping program during the quarter, Intermap incurred charges for permitting, currency adjustment and working capital investment to support large government milestone payments, which were subsequently collected in April 2025, after the quarter end. In addition, Intermap incurred pursuit costs related to upcoming contracts. When the partner-related charges and pursuit costs are added back, pro-forma Adjusted EBITDA and earnings for the first quarter were $1.2 million and $833 thousand, respectively. To further mitigate exchange risks, Intermap entered into foreign currency hedging and arrangements with its local prime partner to pay IDR subcontractors. Going forward, currency risk and hedging costs are mitigated by World Bank funding, which will be denominated and fixed in U.S. dollars.

    During the quarter, Intermap was down-selected after a competitive process for a new U.S. Defense Advanced Research Project (DARPA) program to support priority DARPA investments targeted to leverage Intermap’s unique commercial capabilities, commercialization expertise, proprietary internal research and development and growth capital support. This program extends Intermap’s own upgrade efforts and capital with sponsored access to additional government-funded, cutting-edge applied geospatial technologies, advanced research and development, next-generation geospatial products and emerging dual-use companies on contract with DARPA. The Company is currently working with multiple customers using Intermap data and technology for real-time terrain matching to power long-range autonomous systems. More information about this important award will follow as contracting is finalized.

    Q1 Commercial Achievements
    Intermap began 2025 with strong performance in its insurance business, securing over $1.1 million in new and renewed contracts. It signed two major multiyear partnerships with a leading European bank-insurance group and PREMIUM Insurance. Both adopted Intermap’s Aquarius RMA platform, reinforcing the Company’s position as a key provider of AI-driven geospatial solutions for multi-peril and flood risk assessment.

    During the first quarter, the Company significantly expanded its partnership with a major global space infrastructure operator, which has increased its investment in the Company’s high-precision 3D elevation data with Intermap’s NEXTMap® solution. This expansion supports the operator’s use of the data for radio frequency interference modeling and optimizing site selection across diverse geographies. In 2024, the operator acquired 10 times as many projects as the previous year, driving a 6.4x increase in revenue. Early 2025 projects are nearly three times larger than the average size in 2024, with points of presence growing rapidly, reflecting the growing scale of the initiative. This rapid expansion demonstrates the operator’s growing reliance on Intermap’s best-in-class data.

    The Company also renewed its subscription partnership with a leading provider of GPS-enabled golf technology. Now entering its fourth year, the collaboration utilizes Intermap’s high-resolution 3D elevation data to map more than 40,000 golf courses globally, delivering immersive, real-time virtual experiences for golfers. This data powers advanced features such as swing metrics, ball flight analytics and detailed course visualizations—accessible from homes, backyards and practice ranges. Driven by strong user growth, the partnership is expanding to include a new generation of golf products built on Intermap’s proprietary terrain models, where Intermap is compensated alongside the customer for growing user data consumption. With 78% of core golfers using at least one golf app, Intermap’s data remains a key enabler of the evolving digital golf experience.

    Q1 Financing
    To fund growth, Intermap raised C$12 million in February. The capital strengthens the Company’s ability to execute on its expanding pipeline and scale delivery of high-value contracts.

    Outlook
    Intermap confirms projected 2025 revenue of $30–35 million and 28% EBITDA margin.

    Intermap does not provide quarterly guidance. The Company has tremendous installed capacity, providing a competitive advantage for speed of execution. Intermap’s customers are large global institutions and governments with long procurement and decision-making cycles. Intermap has the proven ability and track record to increase operational efficiency and tempo once under contract to meet aggressive timelines consistent with customer requirements.

    Intermap will continue building recurring revenue by enabling customers to consume the world’s most precise GEOINT terrain data products at global scale, as-a-service, provisioned within seconds, consuming only the points they need, when and where they need them. While penetrating deeper into its targeted markets, Intermap is also enabling new users and new use-cases, and its financial results highlight the persistent recurring revenue and high growth embedded in this attractive business model.

    Quarterly Filing
    The Company’s consolidated financial statements for the quarter ended March 31, 2025, along with management’s discussion and analysis for the corresponding period and related management certifications for the first quarter financial results, will be filed on SEDAR+ at www.sedarplus.ca and on the SEC’s EDGAR website at SEC.gov on May 15, 2025.

    Adjusted EBITDA is a non-GAAP measure. The term earnings before interest, taxes, depreciation and amortization (EBITDA) consists of net loss and excludes interest (financing costs), taxes, and depreciation. Adjusted EBITDA also excludes share-based compensation, fair value adjustments and foreign currency translation. See “Reconciliation of Non-GAAP Measures” in Company’s Management’s Discussion and Analysis filed on SEDAR+ at www.sedarplus.ca and on the SEC’s EDGAR website at SEC.gov.

    Conference Call Details
    Intermap’s CEO Patrick A. Blott and CFO Jennifer Bakken will host a live webinar today, at 5:00 pm ET to review the results, provide Company updates and answer investor questions following the presentation.

    Intermap invites shareholders, analysts, investors, media representatives and other stakeholders to attend the earnings webinar to discuss the first quarter of 2025 results.

    DATE Thursday, May 15, 2025
    TIME 5:00 pm ET
    WEBCAST Register

    Learn more about Intermap here.

    Intermap Reader Advisory 
    Certain information provided in this news release, including reference to revenue growth, EBITDA margin, future contracting, constitutes forward-looking statements. The words “anticipate”, “expect”, “project”, “estimate”, “forecast”, “will be”, “will consider”, “intends” and similar expressions are intended to identify such forward-looking statements. Although Intermap believes that these statements are based on information and assumptions which are current, reasonable and complete, these statements are necessarily subject to a variety of known and unknown risks and uncertainties. Intermap’s forward-looking statements are subject to risks and uncertainties pertaining to, among other things, cash available to fund operations, availability of capital, revenue fluctuations, nature of government contracts, economic conditions, loss of key customers, retention and availability of executive talent, competing technologies, common share price volatility, loss of proprietary information, software functionality, internet and system infrastructure functionality, information technology security, breakdown of strategic alliances, and international and political considerations, as well as those risks and uncertainties discussed Intermap’s Annual Information Form and other securities filings. While the Company makes these forward-looking statements in good faith, should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary significantly from those expected. Accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that the Company will derive therefrom. All subsequent forward-looking statements, whether written or oral, attributable to Intermap or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. The forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the forward-looking statements made herein, whether as a result of new information, future events or otherwise, except as may be required by applicable securities law.

    About Intermap Technologies 

    Founded in 1997 and headquartered in Denver, Colorado, Intermap (TSX: IMP; OTCQB: ITMSF) is a global leader in geospatial intelligence solutions, focusing on the creation and analysis of 3D terrain data to produce high-resolution thematic models. Through scientific analysis of geospatial information and patented sensors and processing technology, the Company provisions diverse, complementary, multi-source datasets to enable customers to seamlessly integrate geospatial intelligence into their workflows. Intermap’s 3D elevation data and software analytic capabilities enable global geospatial analysis through artificial intelligence and machine learning, providing customers with critical information to understand their terrain environment. By leveraging its proprietary archive of the world’s largest collection of multi-sensor global elevation data, the Company’s collection and processing capabilities provide multi-source 3D datasets and analytics at mission speed, enabling governments and companies to build and integrate geospatial foundation data with actionable insights. Applications for Intermap’s products and solutions include defense, aviation and UAV flight planning, flood and wildfire insurance, disaster mitigation, base mapping, environmental and renewable energy planning, telecommunications, engineering, critical infrastructure monitoring, hydrology, land management, oil and gas and transportation. 

    For more information, please visit www.intermap.com or contact:
    Jennifer Bakken
    Executive Vice President and CFO
    CFO@intermap.com
    +1 (303) 708-0955

    Sean Peasgood
    Investor Relations
    Sean@SophicCapital.com
    +1 (647) 260-9266

    The MIL Network

  • MIL-OSI: CORRECTING AND REPLACING – Katapult Delivers 15.4% Gross Originations and 10.6% Revenue Growth in the First Quarter, Above Outlook

    Source: GlobeNewswire (MIL-OSI)

    Expects Growth to Accelerate In Second Quarter
    Reiterates 2025 Guidance

    PLANO, Texas, May 15, 2025 (GLOBE NEWSWIRE) — In the press release issued by Katapult Holdings, Inc. on May 15, 2025, in the gross originations by quarter table, Q4 in FY 2024 should be $75.2 million instead of $64.2 million.

    The updated release reads:

    Katapult Holdings, Inc. (“Katapult” or the “Company”) (NASDAQ: KPLT), an e-commerce-focused financial technology company, today reported its financial results for the first quarter ended March 31, 2025.

    “2025 is off to a strong start and we are well positioned to achieve our full year targets,” said Orlando Zayas, CEO of Katapult. “We achieved double-digit gross originations and revenue growth, driven by increasing engagement with the Katapult app marketplace, including 57% growth in KPay originations. Our marketplace is thriving – from application growth to repeat purchase rates, to high Net Promoter scores and beyond, we believe we have all the hallmarks of a healthy ecosystem and we intend to lean into opportunities to accelerate our growth. We are excited about the future and as we continue to execute on our consumer and merchant initiatives, we feel confident that we can create value for all of our stakeholders.”

    Operating Progress: Recent Highlights

    • Increased activity within the Katapult app marketplace
      • ~59% of first quarter gross originations started in the Katapult app marketplace, making it the single largest customer referral source. Total app originations grew 42% year-over-year.
      • Applications grew ~59% year-over-year in the first quarter
      • Customer satisfaction remained high and Katapult had a Net Promoter Score of 66 as of March 31, 2025
      • 57.4% of gross originations for the first quarter of 2025 came from repeat customers1
    • Grew consumer engagement by adding app functionality and features and executing targeted marketing campaigns
      • KPay conversion rate increased during the first quarter leading to unique customer count growth of more than 65% year-over-year
      • KPay gross originations grew approximately 57% year-over-year in the first quarter; 35% of total gross originations were transacted using KPay
      • Launched Ashley and Bed Bath & Beyond in the Katapult app marketplace, bringing the total number of merchants in our KPay ecosystem to 35
    • Made strong progress against merchant engagement initiatives
      • Direct and waterfall gross originations, which represented 65% of total first quarter originations, grew approximately 40%, excluding the home furnishings and mattress category
      • Continued to expand our waterfall partnerships by kicking off a new partnership with Finti, a modern waterfall financing platform that connects consumers with a curated network of lenders and financing providers
      • Together with several merchant-partners, we launched targeted co-branded, co-promoted marketing campaigns that delivered year-over-year gross originations growth ranging from 7% to more than 75% depending on the campaign

    First Quarter 2025 Financial Highlights

    (All comparisons are year-over-year unless stated otherwise.)

    • Gross originations were $64.2 million, an increase of 15.4%. Excluding the home furnishings and mattress category, gross originations grew 51% year-over-year.
    • Total revenue was $71.9 million, an increase of 10.6%
    • Total operating expenses in the first quarter increased 17.3%. Our fixed cash operating expenses2, which exclude litigation settlement and other non-cash and variable expenses, increased approximately 10.8%.
    • Net loss was $5.7 million for the first quarter of 2025 compared with net loss of $0.6 million reported for the first quarter of 2024. The higher net loss was mainly due to higher cost of sales and higher operating expenses.
    • Adjusted net loss2 was $3.4 million for the first quarter of 2025 compared to adjusted net income of $1.0 million reported for the first quarter of 2024
    • Adjusted EBITDA2 was $2.2 million for the first quarter of 2025 compared to Adjusted EBITDA2 of $5.6 million in the first quarter of 2024. The year-over-year performance was impacted by higher cost of sales related to rapid, faster-than-expected gross originations growth during the first quarter of 2025 and the end of the fourth quarter of 2024.
    • Katapult ended the quarter with total cash and cash equivalents of $14.3 million, which includes $8.3 million of restricted cash. The Company ended the quarter with $77.8 million of outstanding debt on its credit facility.
    • Write-offs as a percentage of revenue were 9.0% in the first quarter of 2025 and are within the Company’s 8% to 10% long-term target range. This compares with 8.4% in the first quarter of 2024.

    [1] Repeat customer rate is defined as the percentage of in-quarter originations from existing customers.
    [2] Please refer to the “Reconciliation of Non-GAAP Measure and Certain Other Data” section and the GAAP to non-GAAP reconciliation tables below for more information.

    Second Quarter and Full Year 2025 Business Outlook

    The Company is continuing to navigate a challenging macro environment particularly within the home furnishings category. Given the current breadth of our merchant selection as well as our plans to introduce new merchants to the Katapult App Marketplace during 2025, our strategic marketing and our strong consumer offering, we believe we are well positioned to deliver continued growth in 2025. We continue to believe that we have a large addressable market of underserved, non-prime consumers, and it’s important to note that lease-to-own solutions have historically benefited when prime credit options become less available.

    Given our quarter-to-date progress, Katapult expects the following results for the second quarter of 2025:

    • 25% to 30% year-over-year increase in gross originations
    • 17% to 20% year-over-year increase in revenue
    • Approximately breakeven Adjusted EBITDA

    Based on the macroeconomic assumptions above and the operating plan in place for the full year 2025, Katapult is reiterating its expectations for full year 2025:

    • We expect gross originations to grow at least 20%

    This outlook does not include any material impact from prime creditors tightening or loosening above us and assumes that there are no significant changes to the macro environment.

    Both our second quarter and full year outlooks assume that the gross originations for the home furnishings and mattress category do not improve materially from our 2024 performance.

    • We also expect to maintain strong credit quality in our portfolio. This will be driven by ongoing enhancements to our risk modeling, onboarding high quality new merchants through integrations, and repeat customers engaging with Katapult Pay
    • Revenue growth is expected to be at least 20%
    • Finally, with the continued execution of our disciplined expense management strategy combined with our growing top-line, we expect to deliver at least $10 million in positive Adjusted EBITDA

    “The first quarter came in stronger than our outlook, and we are continuing to successfully grow our top-line without meaningfully increasing our expense base,” said Nancy Walsh, CFO of Katapult. “The second quarter is off to a great start and we believe we can continue to scale our business by offering a transparent and fair LTO product to consumers and a growth engine to our partners. Our team’s hard work and agile execution is fueling our growth and we are looking forward to a great 2025.”

    Conference Call and Webcast

    The Company will host a conference call and webcast at 8:00 AM ET on Thursday, May 15, 2025, to discuss the Company’s financial results. Related presentation materials will be available before the call on the Company’s Investor Relations page at https://ir.katapultholdings.com. The conference call will be broadcast live in listen-only mode and an archive of the webcast will be available for one year.

    About Katapult

    Katapult is a technology driven lease-to-own platform that integrates with omnichannel retailers and e-commerce platforms to power the purchasing of everyday durable goods for underserved U.S. non-prime consumers. Through our point-of-sale (POS) integrations and innovative mobile app featuring Katapult Pay(R), consumers who may be unable to access traditional financing can shop a growing network of merchant partners. Our process is simple, fast, and transparent. We believe that seeing the good in people is good for business, humanizing the way underserved consumers get the things they need with payment solutions based on fairness and dignity.

    Contact

    Jennifer Kull
    VP of Investor Relations
    ir@katapult.com

    Forward-Looking Statements

    Certain statements included in this Press Release and on our quarterly earnings call that are not historical facts are forward-looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. In some cases, forward-looking statements may be identified by words such as “anticipate,” “assume,” “believe,” “continue,” “could,” “design,” “estimate,” “expect,” “intend,” “may,” “plan,” “potentially,” “predict,” “should,” “will,” “would,” or the negative of these terms or other similar expressions. These forward-looking statements include, but are not limited to: in this Press Release and on our associated earnings call, statements regarding our second quarter of 2025 and full year 2025 business outlook and underlying expectations and assumptions and statements regarding our ability to obtain a comprehensive maturity extension amendment to our credit facility. These statements are based on various assumptions, whether or not identified in this Press Release, and on the current expectations of our management and are not predictions of actual performance.

    These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond our control. These forward-looking statements are subject to a number of risks and uncertainties, including, among others, our ability to refinance our indebtedness and continue as a going concern, the execution of our business strategy and expanding information and technology capabilities; our market opportunity and our ability to acquire new customers and retain existing customers; adoption and success of our mobile application featuring Katapult Pay; the timing and impact of our growth initiatives on our future financial performance; anticipated occurrence and timing of prime lending tightening and impact on our results of operations; general economic conditions in the markets where we operate, the cyclical nature of customer spending, and seasonal sales and spending patterns of customers; risks relating to factors affecting consumer spending that are not under our control, including, among others, levels of employment, disposable consumer income, inflation, prevailing interest rates, consumer debt and availability of credit, consumer confidence in future economic conditions, political conditions, and consumer perceptions of personal well-being and security and willingness and ability of customers to pay for the goods they lease through us when due; risks relating to uncertainty of our estimates of market opportunity and forecasts of market growth; risks related to the concentration of a significant portion of our transaction volume with a single merchant partner, or type of merchant or industry; the effects of competition on our future business; meet future liquidity requirements and complying with restrictive covenants related to our long-term indebtedness; the impact of unstable market and economic conditions such as rising inflation and interest rates; reliability of our platform and effectiveness of our risk model; data security breaches or other information technology incidents or disruptions, including cyber-attacks, and the protection of confidential, proprietary, personal and other information, including personal data of customers; ability to attract and retain employees, executive officers or directors; effectively respond to general economic and business conditions; obtain additional capital, including equity or debt financing and servicing our indebtedness; enhance future operating and financial results; anticipate rapid technological changes, including generative artificial intelligence and other new technologies; comply with laws and regulations applicable to our business, including laws and regulations related to rental purchase transactions; stay abreast of modified or new laws and regulations applying to our business, including with respect to rental purchase transactions and privacy regulations; maintain and grow relationships with merchants and partners; respond to uncertainties associated with product and service developments and market acceptance; the impacts of new U.S. federal income tax laws; material weaknesses in our internal control over financial reporting which, if not identified and remediated, could affect the reliability of our financial statements; successfully defend litigation; litigation, regulatory matters, complaints, adverse publicity and/or misconduct by employees, vendors and/or service providers; and other events or factors, including those resulting from civil unrest, war, foreign invasions (including the conflict involving Russia and Ukraine and the Israel-Hamas conflict), terrorism, public health crises and pandemics (such as COVID-19), trade wars, or responses to such events; our ability to meet the minimum requirements for continued listing on the Nasdaq Global Market; and those factors discussed in greater detail in the section entitled “Risk Factors” in our periodic reports filed with the Securities and Exchange Commission (“SEC”), including the Annual Report on Form 10-K for the year ended December 31, 2024 that we filed with the SEC.

    If any of these risks materialize or our assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that we do not presently know or that we currently believe are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. Undue reliance should not be placed on the forward-looking statements in this Press Release or on our quarterly earnings call. All forward-looking statements contained herein or expressed on our quarterly earnings call are based on information available to us as of the date hereof, and we do not assume any obligation to update these statements as a result of new information or future events, except as required by law. If we do update one or more forward-looking statements, no inference should be made that we will make additional updates with respect to those or other forward-looking statements.

    Key Performance Metrics

    Katapult regularly reviews several metrics, including the following key metrics, to evaluate its business, measure its performance, identify trends affecting our business, formulate financial projections and make strategic decisions, which may also be useful to an investor: gross originations, total revenue, gross profit, adjusted gross profit and adjusted EBITDA.

    Gross originations are defined as the retail price of the merchandise associated with lease-purchase agreements entered into during the period through the Katapult platform. Gross originations do not represent revenue earned. However, we believe this is a useful operating metric for both Katapult’s management and investors to use in assessing the volume of transactions that take place on Katapult’s platform.

    Total revenue represents the summation of rental revenue and other revenue. Katapult measures this metric to assess the total view of pay through performance of its customers. Management believes looking at these components is useful to an investor as it helps to understand the total payment performance of customers.

    Gross profit represents total revenue less cost of revenue, and is a measure presented in accordance with generally accepted accounting principles in the United States (“GAAP”). See the “Non-GAAP Financial Measures” section below for a description and presentation of adjusted gross profit and adjusted EBITDA, which are non-GAAP measures utilized by management.

    Non-GAAP Financial Measures

    To supplement the financial measures presented in this press release and related conference call or webcast in accordance with GAAP, the Company also presents the following non-GAAP and other measures of financial performance: adjusted gross profit, adjusted EBITDA, adjusted net income/(loss) and fixed cash operating expenses. The Company believes that for management and investors to more effectively compare core performance from period to period, the non-GAAP measures should exclude items that are not indicative of our results from ongoing business operations.The Company urges investors to consider non-GAAP measures only in conjunction with its GAAP financials and to review the reconciliation of the Company’s non-GAAP financial measures to its comparable GAAP financial measures, which are included in this press release.

    Adjusted gross profit represents gross profit less variable operating expenses, which are servicing costs, and underwriting fees. Management believes that adjusted gross profit provides a meaningful understanding of one aspect of its performance specifically attributable to total revenue and the variable costs associated with total revenue.

    Adjusted EBITDA is a non-GAAP measure that is defined as net loss before interest expense and other fees, interest income, change in fair value of warrants and loss on issuance of shares, provision for income taxes, depreciation and amortization on property and equipment and capitalized software, provision of impairment of leased assets, loss on partial extinguishment of debt, stock-based compensation expense, litigation settlement and other related expenses, and debt refinancing costs.

    Adjusted net income (loss) is a non-GAAP measure that is defined as net loss before change in fair value of warrants and loss on issuance of shares, stock-based compensation expense and litigation settlement and other related expenses and debt refinancing costs.

    Fixed cash operating expenses is a non-GAAP measure that is defined as operating expenses less depreciation and amortization on property and equipment and capitalized software, stock-based compensation expense, litigation settlement and other related expenses, debt refinancing costs, and variable lease costs such as servicing costs and underwriting fees. Management believes that fixed cash operating expenses provides a meaningful understanding of non-variable ongoing expenses.

    Adjusted gross profit, adjusted EBITDA and adjusted net loss are useful to an investor in evaluating the Company’s performance because these measures:

    • Are widely used to measure a company’s operating performance;
    • Are financial measurements that are used by rating agencies, lenders and other parties to evaluate the Company’s credit worthiness; and
    • Are used by the Company’s management for various purposes, including as measures of performance and as a basis for strategic planning and forecasting.

    Management believes that the use of non-GAAP financial measures, as a supplement to GAAP measures, is useful to investors in that they eliminate items that are not part of our core operations, highly variable or do not require a cash outlay, such as stock-based compensation expense. Management uses these non-GAAP financial measures when evaluating operating performance and for internal planning and forecasting purposes. Management believes that these non-GAAP financial measures help indicate underlying trends in the business, are important in comparing current results with prior period results and are useful to investors and financial analysts in assessing operating performance. However, these non-GAAP measures exclude items that are significant in understanding and assessing Katapult’s financial results. Therefore, these measures should not be considered in isolation or as alternatives to revenue, net loss, gross profit, cash flows from operations or other measures of profitability, liquidity or performance under GAAP. You should be aware that Katapult’s presentation of these measures may not be comparable to similarly titled measures used by other companies.

     
    KATAPULT HOLDINGS, INC. AND SUBSIDIARIES
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
    (amounts in thousands, except per share data)
      Three Months Ended March 31,
        2025       2024  
           
    Revenue      
    Rental revenue $ 71,078     $ 64,142  
    Other revenue   868       919  
    Total revenue   71,946       65,061  
    Cost of revenue   57,597       48,573  
    Gross profit   14,349       16,488  
    Operating expenses   14,885       12,688  
    Income (loss) from operations   (536 )     3,800  
    Interest expense and other fees   (5,144 )     (4,527 )
    Interest income   57       324  
    Change in fair value of warrant liability   (36 )     (162 )
    Loss before income taxes   (5,659 )     (565 )
    Provision for income taxes   (29 )     (5 )
    Net loss $ (5,688 )   $ (570 )
           
    Weighted average common shares outstanding – basic and diluted   4,618       4,242  
           
    Net loss per common share – basic and diluted $ (1.23 )   $ (0.13 )
     
    KATAPULT HOLDINGS, INC. AND SUBSIDIARIES
    CONDENSED CONSOLIDATED BALANCE SHEETS
    (dollars in thousands, except per share data)
      March 31,   December 31,
        2025       2024  
      (unaudited)    
    ASSETS      
    Current assets:      
    Cash and cash equivalents $ 5,965     $ 3,465  
    Restricted cash   8,346       13,087  
    Property held for lease, net of accumulated depreciation and impairment   66,913       67,085  
    Prepaid expenses and other current assets   4,445       6,731  
    Total current assets   85,669       90,368  
    Property and equipment, net   244       253  
    Capitalized software and intangible assets, net   2,155       2,076  
    Right-of-use assets, non-current   376       383  
    Security deposits   91       91  
    Total assets $ 88,535     $ 93,171  
    LIABILITIES AND STOCKHOLDERS’ DEFICIT      
    Current liabilities:      
    Accounts payable $ 3,040     $ 1,491  
    Accrued liabilities   18,945       17,372  
    Accrued litigation settlement   2,199       2,199  
    Unearned revenue   5,711       4,823  
    Revolving line of credit, net   77,663       82,582  
    Term loan, net, current   31,490       30,047  
    Lease liabilities   129       179  
    Total current liabilities   139,177       138,693  
    Lease liabilities, non-current   431       444  
    Other liabilities   614       828  
    Total liabilities   140,222       139,965  
    STOCKHOLDERS’ DEFICIT      
    Common stock, $.0001 par value– 250,000,000 shares authorized; 4,483,544 and 4,446,540 shares issued and outstanding at March 31, 2025 and December 31, 2024, respectively          
    Additional paid-in capital   102,452       101,657  
    Accumulated deficit   (154,139 )     (148,451 )
    Total stockholders’ deficit   (51,687 )     (46,794 )
    Total liabilities and stockholders’ deficit $ 88,535     $ 93,171  
     
    KATAPULT HOLDINGS, INC. AND SUBSIDIARIES
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
    (dollars in thousands)
      Three Months Ended March 31,
        2025       2024  
    Cash flows from operating activities:      
    Net loss $ (5,688 )   $ (570 )
    Adjustments to reconcile net loss to net cash provided by operating activities:      
    Depreciation and amortization   39,392       34,026  
    Depreciation for early lease purchase options (buyouts)   9,664       7,613  
    Depreciation for impaired leases   6,632       5,636  
    Change in fair value of warrants and other non-cash items   36       162  
    Stock-based compensation   1,066       1,391  
    Amortization of debt discount   963       669  
    Amortization of debt issuance costs, net   88       66  
    Accrued PIK interest expense   480       347  
    Amortization of right-of-use assets   76       76  
    Changes in operating assets and liabilities:      
    Property held for lease   (55,185 )     (45,249 )
    Prepaid expenses and other current assets   2,217       1,029  
    Accounts payable   1,549       754  
    Accrued liabilities   1,573       (4,123 )
    Accrued litigation   (250 )      
    Lease liabilities   (63 )     (55 )
    Unearned revenues   888       208  
    Net cash provided by operating activities   3,438       1,980  
    Cash flows from investing activities:      
    Purchases of property and equipment   (24 )      
    Additions to capitalized software   (377 )     (126 )
    Net cash used in investing activities   (401 )     (126 )
    Cash flows from financing activities:      
    Proceeds from revolving line of credit   5,128       10,058  
    Principal repayments on revolving line of credit   (10,135 )     (2,840 )
    Repurchases of restricted stock   (271 )     (312 )
    Net cash (used in) provided by financing activities   (5,278 )     6,906  
    Net (decrease) increase in cash, cash equivalents and restricted cash   (2,241 )     8,760  
    Cash and cash equivalents and restricted cash at beginning of period   16,552       28,811  
    Cash and cash equivalents and restricted cash at end of period $ 14,311     $ 37,571  
    Supplemental disclosure of cash flow information:      
    Cash paid for interest $ 3,661     $ 3,382  
    Cash paid for income taxes $     $ 112  
    Cash paid for operating leases $ 111     $ 82  
     
    KATAPULT HOLDINGS, INC.
    RECONCILIATION OF NON-GAAP MEASURES AND CERTAIN OTHER DATA (UNAUDITED)
    (amounts in thousands)
      Three Months Ended March 31,
        2025       2024  
           
    Net loss $ (5,688 )   $ (570 )
    Add back:      
    Interest expense and other fees   5,144       4,527  
    Interest income   (57 )     (324 )
    Change in fair value of warrants   36       162  
    Provision for income taxes   29       5  
    Depreciation and amortization on property and equipment and capitalized software   330       266  
    Provision for impairment of leased assets   150       173  
    Stock-based compensation expense   1,066       1,391  
    Litigation settlement and other related expenses   259     $  
    Debt refinancing costs $ 971        
    Adjusted EBITDA $ 2,240     $ 5,630  
     
      Three Months Ended March 31,
        2025       2024  
           
    Net loss $ (5,688 )   $ (570 )
    Add back:      
    Change in fair value of warrants   36       162  
    Stock-based compensation expense   1,066       1,391  
    Litigation settlement and other related expenses   259        
    Debt refinancing costs   971        
    Adjusted net income (loss) $ (3,356 )   $ 983  
     
      Three Months Ended March 31,
        2025       2024  
           
    Operating expenses $ 14,885     $ 12,688  
    Less:      
    Depreciation and amortization on property and equipment and capitalized software   330       266  
    Stock-based compensation expense   1,066       1,391  
    Servicing costs   1,085       1,132  
    Underwriting fees   772       509  
    Litigation settlement and other related expenses   259        
    Debt refinancing costs   971     $  
    Fixed cash operating expenses $ 10,402     $ 9,390  
    (in thousands) Three Months Ended March 31,  
        2025       2024  
             
    Total revenue $ 71,946     $ 65,061  
    Cost of revenue   57,597       48,573  
    Gross profit   14,349       16,488  
    Less:        
    Servicing costs   1,085       1,132  
    Underwriting fees   772       509  
    Adjusted gross profit $ 12,492     $ 14,847  
     
    CERTAIN KEY PERFORMANCE METRICS
     
    (in thousands) Three Months Ended March 31,  
        2025       2024  
    Total revenue $ 71,946     $ 65,061  
     
    KATAPULT HOLDINGS, INC.
    GROSS ORIGINATIONS BY QUARTER
        Gross Originations by Quarter
    ($ millions)   Q1   Q2   Q3   Q4
    FY 2025   $ 64.2     $     $     $  
    FY 2024   $ 55.6     $ 55.3     $ 51.2     $ 75.2  
    FY 2023   $ 54.7     $ 54.7     $ 49.6     $ 67.5  
    FY 2022   $ 46.7     $ 46.4     $ 44.1     $ 59.8  
    FY 2021   $ 63.8     $ 64.4     $ 61.0     $ 58.9  

    The MIL Network

  • MIL-OSI: Applied Materials Announces Second Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    • Revenue $7.10 billion, up 7 percent year over year
    • GAAP gross margin 49.1 percent and non-GAAP gross margin 49.2 percent
    • GAAP operating margin 30.5 percent and non-GAAP operating margin 30.7 percent
    • Record GAAP EPS $2.63 and record non-GAAP EPS $2.39, up 28 percent and 14 percent year over year, respectively
    • Generated $1.57 billion in cash from operations and distributed $2.00 billion to shareholders including $1.67 billion in share repurchases and $325 million in dividends

    SANTA CLARA, Calif., May 15, 2025 (GLOBE NEWSWIRE) — Applied Materials, Inc. (NASDAQ: AMAT) today reported results for its second quarter ended Apr. 27, 2025.

    “Applied Materials’ broad capabilities and connected product portfolio are driving strong results in 2025 amidst a highly dynamic macro environment,” said Gary Dickerson, President and CEO. “High-performance, energy-efficient AI computing remains the dominant driver of semiconductor innovation, and Applied is working closely with our customers and partners to accelerate the industry’s roadmap. We are very well positioned at major technology inflections in fast-growing areas of the market, which supports our multi-year growth trajectory.”

    “We delivered strong performance in our second fiscal quarter with seven percent year-over-year revenue growth, record earnings per share and shareholder distributions of nearly $2 billion,” said Brice Hill, Senior Vice President and CFO. “Despite the dynamic economic and trade environment, we have not seen significant changes to customer demand and are well-equipped to navigate evolving conditions with our robust global supply chain and diversified manufacturing footprint.”

    Results Summary

      Q2 FY2025   Q2 FY2024   Change
      (In millions, except per share amounts and percentages)
    Net revenue $ 7,100     $ 6,646     7%
    Gross margin   49.1 %     47.4 %   1.7 points
    Operating margin   30.5 %     28.8 %   1.7 points
    Net income $ 2,137     $ 1,722     24%
    Diluted earnings per share $ 2.63     $ 2.06     28%
    Non-GAAP Results          
    Non-GAAP gross margin   49.2 %     47.5 %   1.7 points
    Non-GAAP operating margin   30.7 %     29.0 %   1.7 points
    Non-GAAP net income $ 1,940     $ 1,744     11%
    Non-GAAP diluted EPS $ 2.39     $ 2.09     14%
    Non-GAAP free cash flow $ 1,061     $ 1,135     (7)%
                       

    A reconciliation of the GAAP and non-GAAP results is provided in the financial tables included in this release. See also “Use of Non-GAAP Financial Measures” section.

    Business Outlook

    Applied’s total net revenue, non-GAAP gross margin and non-GAAP diluted EPS for the third quarter of fiscal 2025 are expected to be approximately as follows:

             
      Q3 FY2025
    (In millions, except percentage and per share amounts)  
    Total net revenue $ 7,200   +/-   $ 500  
    Non-GAAP gross margin   48.3 %      
    Non-GAAP diluted EPS $ 2.35   +/-   $ 0.20  
                     

    This outlook for non-GAAP diluted EPS excludes known charges related to completed acquisitions of $0.01 per share, and includes a net income tax benefit related to intra-entity intangible asset transfers of $0.04 per share, but does not reflect any items that are unknown at this time, such as any additional charges related to acquisitions or other non-operational or unusual items, as well as other tax-related items, which we are not able to predict without unreasonable efforts due to their inherent uncertainty.

    Second Quarter Reportable Segment Information

    Semiconductor Systems Q2 FY2025   Q2 FY2024
    (in millions, except percentages)  
    Net revenue $ 5,255     $ 4,901  
    Foundry, logic and other   65 %     65 %
    DRAM   27 %     32 %
    Flash memory   8 %     3 %
    Operating income $ 1,900     $ 1,701  
    Operating margin   36.2 %     34.7 %
    Non-GAAP Results    
    Non-GAAP operating income $ 1,911     $ 1,711  
    Non-GAAP operating margin   36.4 %     34.9 %
    Applied Global Services Q2 FY2025   Q2 FY2024
    (in millions, except percentages)  
    Net revenue $ 1,566     $ 1,530  
    Operating income $ 446     $ 436  
    Operating margin   28.5 %     28.5 %
    Non-GAAP Results    
    Non-GAAP operating income $ 446     $ 436  
    Non-GAAP operating margin   28.5 %     28.5 %
    Display Q2 FY2025   Q2 FY2024
    (in millions, except percentages)  
    Net revenue $ 259     $ 179  
    Operating income $ 68     $ 5  
    Operating margin   26.3 %     2.8 %
    Non-GAAP Results    
    Non-GAAP operating income $ 68     $ 5  
    Non-GAAP operating margin   26.3 %     2.8 %
    Corporate and Other Q2 FY2025   Q2 FY2024
    (in millions)  
    Unallocated net revenue $ 20     $ 36  
    Unallocated cost of products sold and expenses   (265 )     (266 )
    Total $ (245 )   $ (230 )
                   

    Use of Non-GAAP Financial Measures

    Applied provides investors with certain non-GAAP financial measures, which are adjusted for the impact of certain costs, expenses, gains and losses, including certain items related to mergers and acquisitions; restructuring and severance charges and any associated adjustments; impairments of assets; gain or loss, dividends and impairments on strategic investments; certain income tax items and other discrete adjustments. On a non-GAAP basis, the tax effect related to share-based compensation is recognized ratably over the fiscal year. Reconciliations of these non-GAAP measures to the most directly comparable financial measures calculated and presented in accordance with GAAP are provided in the financial tables included in this release.

    Management uses these non-GAAP financial measures to evaluate the company’s operating and financial performance and for planning purposes, and as performance measures in its executive compensation program. Applied believes these measures enhance an overall understanding of its performance and investors’ ability to review the company’s business from the same perspective as the company’s management, and facilitate comparisons of this period’s results with prior periods on a consistent basis by excluding items that management does not believe are indicative of Applied’s ongoing operating performance. There are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with generally accepted accounting principles, may be different from non-GAAP financial measures used by other companies, and may exclude certain items that may have a material impact upon our reported financial results. The presentation of this additional information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP.

    Webcast Information

    Applied Materials will discuss these results during an earnings call that begins at 1:30 p.m. Pacific Time today. A live webcast and related slide presentation will be available at https://ir.appliedmaterials.com . A replay will be available on the website beginning at 5:00 p.m. Pacific Time today.

    Forward-Looking Statements
    This press release contains forward-looking statements, including those regarding anticipated growth and trends in our businesses and markets, industry outlooks and demand drivers, technology transitions, our business and financial performance and market share positions, our capital allocation and cash deployment strategies, our investment and growth strategies, our development of new products and technologies, our business outlook for the third quarter of fiscal 2025 and beyond, and other statements that are not historical facts. These statements and their underlying assumptions are subject to risks and uncertainties and are not guarantees of future performance. Factors that could cause actual results to differ materially from those expressed or implied by such statements include, without limitation: the level of demand for our products; global economic, political and industry conditions, including changes in interest rates and prices for goods and services; the implementation of additional export regulations and license requirements and their interpretation, and their impact on our ability to export products and provide services to customers and on our results of operations; global trade issues and changes in trade and export license policies and our ability to obtain licenses or authorizations on a timely basis, if at all; imposition of new or increases in tariffs and any retaliatory measures, including their impact on demand for our products and services; our ability to effectively mitigate the impact of tariffs; the effects of geopolitical turmoil or conflicts; demand for semiconductor chips and electronic devices; customers’ technology and capacity requirements; the introduction of new and innovative technologies, and the timing of technology transitions; our ability to develop, deliver and support new products and technologies; our ability to meet customer demand, and our suppliers’ ability to meet our demand requirements; the concentrated nature of our customer base; our ability to expand our current markets, increase market share and develop new markets; market acceptance of existing and newly developed products; our ability to obtain and protect intellectual property rights in key technologies; cybersecurity incidents affecting our information systems or information contained in them, or affecting our operations, suppliers, customers or vendors; our ability to achieve the objectives of operational and strategic initiatives, align our resources and cost structure with business conditions, and attract, motivate and retain key employees; the effects of regional or global health epidemics; acquisitions, investments and divestitures; changes in income tax laws; the variability of operating expenses and results among products and segments, and our ability to accurately forecast future results, market conditions, customer requirements and business needs; our ability to ensure compliance with applicable law, rules and regulations and other risks and uncertainties described in our SEC filings, including our recent Forms 10-Q and 8-K. All forward-looking statements are based on management’s current estimates, projections and assumptions, and we assume no obligation to update them.

    About Applied Materials

    Applied Materials, Inc. (Nasdaq: AMAT) is the leader in materials engineering solutions used to produce virtually every new chip and advanced display in the world. Our expertise in modifying materials at atomic levels and on an industrial scale enables customers to transform possibilities into reality. At Applied Materials, our innovations make possible a better future. Learn more at www.appliedmaterials.com.

    Investor Relations Contact:
    Liz Morali (408) 986-7977
    liz_morali@amat.com

    Media Contact:
    Ricky Gradwohl (408) 235-4676
    ricky_gradwohl@amat.com

     
    APPLIED MATERIALS, INC.
    UNAUDITED CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
           
      Three Months Ended   Six Months Ended
    (In millions, except per share amounts) April 27,
    2025
      April 28,
    2024
      April 27,
    2025
      April 28,
    2024
    Net revenue $ 7,100     $ 6,646     $ 14,266     $ 13,353  
    Cost of products sold   3,615       3,493       7,285       6,996  
    Gross profit   3,485       3,153       6,981       6,357  
    Operating expenses:              
    Research, development and engineering   893       785       1,752       1,539  
    Marketing and selling   216       209       422       416  
    General and administrative   207       247       463       523  
    Total operating expenses   1,316       1,241       2,637       2,478  
    Income from operations   2,169       1,912       4,344       3,879  
    Interest expense   68       59       132       118  
    Interest and other income (expense), net   221       141       229       536  
    Income before income taxes   2,322       1,994       4,441       4,297  
    Provision for income taxes   185       272       1,119       556  
    Net income $ 2,137     $ 1,722     $ 3,322     $ 3,741  
    Earnings per share:              
    Basic $ 2.64     $ 2.08     $ 4.10     $ 4.50  
    Diluted $ 2.63     $ 2.06     $ 4.08     $ 4.47  
    Weighted average number of shares:              
    Basic   809       830       811       831  
    Diluted   812       836       815       837  
                                   
     
    APPLIED MATERIALS, INC.
    UNAUDITED CONSOLIDATED CONDENSED BALANCE SHEETS
           
    (In millions) April 27,
    2025
      October 27,
    2024
    ASSETS      
    Current assets:      
    Cash and cash equivalents $ 6,169     $ 8,022  
    Short-term investments   578       1,449  
    Accounts receivable, net   6,187       5,234  
    Inventories   5,656       5,421  
    Other current assets   1,118       1,094  
    Total current assets   19,708       21,220  
    Long-term investments   3,638       2,787  
    Property, plant and equipment, net   3,832       3,339  
    Goodwill   3,748       3,732  
    Purchased technology and other intangible assets, net   249       249  
    Deferred income taxes and other assets   2,457       3,082  
    Total assets $ 33,632     $ 34,409  
    LIABILITIES AND STOCKHOLDERS’ EQUITY      
    Current liabilities:      
    Short-term debt $ 799     $ 799  
    Accounts payable and accrued expenses   4,706       4,820  
    Contract liabilities   2,491       2,849  
    Total current liabilities   7,996       8,468  
    Long-term debt   5,462       5,460  
    Income taxes payable   321       670  
    Other liabilities   892       810  
    Total liabilities   14,671       15,408  
    Total stockholders’ equity   18,961       19,001  
    Total liabilities and stockholders’ equity $ 33,632     $ 34,409  
                   
     
    APPLIED MATERIALS, INC.
    UNAUDITED CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
           
      Three Months Ended   Six Months Ended
    (In millions) April 27,
    2025
      April 28,
    2024
    April 27,
    2025
      April 28,
    2024
    Cash flows from operating activities:              
    Net income $ 2,137     $ 1,722     $ 3,322     $ 3,741  
    Adjustments required to reconcile net income to cash provided by operating activities:              
    Depreciation and amortization   103       96       208       187  
    Share-based compensation   159       134       354       304  
    Deferred income taxes   4       (134 )     672       (206 )
    Other   (109 )     (12 )     (14 )     (247 )
    Net change in operating assets and liabilities   (723 )     (414 )     (2,046 )     (62 )
    Cash provided by operating activities   1,571       1,392       2,496       3,717  
    Cash flows from investing activities:              
    Capital expenditures   (510 )     (257 )     (891 )     (486 )
    Cash paid for acquisitions, net of cash acquired   (1 )           (29 )      
    Proceeds from asset sale   33             33        
    Proceeds from sales and maturities of investments   1,921       582       3,144       1,113  
    Purchases of investments   (1,222 )     (474 )     (2,933 )     (1,223 )
    Cash provided by (used in) investing activities   221       (149 )     (676 )     (596 )
    Cash flows from financing activities:              
    Proceeds from issuance of commercial paper   100       100       300       200  
    Repayments of commercial paper   (100 )     (100 )     (300 )     (200 )
    Proceeds from common stock issuances   129       119       129       119  
    Common stock repurchases   (1,670 )     (820 )     (2,988 )     (1,520 )
    Tax withholding payments for vested equity awards   (35 )     (41 )     (177 )     (233 )
    Payments of dividends to stockholders   (325 )     (266 )     (651 )     (532 )
    Payments of debt issuance costs   (2 )           (2 )      
    Repayments of principal on finance leases         (14 )           (13 )
    Cash used in financing activities   (1,903 )     (1,022 )     (3,689 )     (2,179 )
    Increase (decrease) in cash, cash equivalents and restricted cash equivalents   (111 )     221       (1,869 )     942  
    Cash, cash equivalents and restricted cash equivalents—beginning of period   6,355       6,954       8,113       6,233  
    Cash, cash equivalents and restricted cash equivalents — end of period $ 6,244     $ 7,175     $ 6,244     $ 7,175  
                   
    Reconciliation of cash, cash equivalents, and restricted cash equivalents              
    Cash and cash equivalents $ 6,169     $ 7,085     $ 6,169     $ 7,085  
    Restricted cash equivalents included in deferred income taxes and other assets   75       90       75       90  
    Total cash, cash equivalents, and restricted cash equivalents $ 6,244     $ 7,175     $ 6,244     $ 7,175  
                   
    Supplemental cash flow information:              
    Cash payments for income taxes $ 763     $ 467     $ 833     $ 606  
    Cash refunds from income taxes $ 5     $ 3     $ 75     $ 5  
    Cash payments for interest $ 68     $ 68     $ 120     $ 102  
                                   

    Additional Information

      Q2 FY2025   Q2 FY2024
    Net Revenue by Geography (In millions)  
    United States $ 808     $ 853  
    % of Total   11 %     13 %
    Europe $ 252     $ 289  
    % of Total   4 %     4 %
    Japan $ 572     $ 453  
    % of Total   8 %     7 %
    Korea $ 1,562     $ 988  
    % of Total   22 %     15 %
    Taiwan $ 1,997     $ 1,019  
    % of Total   28 %     15 %
    Southeast Asia $ 135     $ 213  
    % of Total   2 %     3 %
    China $ 1,774     $ 2,831  
    % of Total   25 %     43 %
           
    Employees(In thousands)      
    Regular Full Time   36.0       34.8  
                   
     
    APPLIED MATERIALS, INC.
    UNAUDITED RECONCILIATION OF GAAP TO NON-GAAP RESULTS
           
      Three Months Ended   Six Months Ended
    (In millions, except percentages) April 27,
    2025
      April 28,
    2024
      April 27,
    2025
      April 28,
    2024
    Non-GAAP Gross Profit              
    GAAP reported gross profit $ 3,485     $ 3,153     $ 6,981     $ 6,357  
    Certain items associated with acquisitions1   6       7       13       14  
    Non-GAAP gross profit $ 3,491     $ 3,160     $ 6,994     $ 6,371  
    Non-GAAP gross margin   49.2 %     47.5 %     49.0 %     47.7 %
    Non-GAAP Operating Income              
    GAAP reported operating income $ 2,169     $ 1,912     $ 4,344     $ 3,879  
    Certain items associated with acquisitions1   11       10       23       21  
    Acquisition integration and deal costs         5       3       8  
    Non-GAAP operating income $ 2,180     $ 1,927     $ 4,370     $ 3,908  
    Non-GAAP operating margin   30.7 %     29.0 %     30.6 %     29.3 %
    Non-GAAP Net Income              
    GAAP reported net income $ 2,137     $ 1,722     $ 3,322     $ 3,741  
    Certain items associated with acquisitions1   11       10       23       21  
    Acquisition integration and deal costs         5       3       8  
    Realized loss (gain), dividends and impairments on strategic investments, net   (18 )     (3 )     (27 )     (4 )
    Unrealized loss (gain) on strategic investments, net   (80 )     (20 )     26       (300 )
    Foreign exchange loss (gain) related to purchase of strategic investment   23             23        
    Loss (gain) on asset sale   (44 )           (44 )      
    Income tax effect of share-based compensation2   4       11       (6 )     (15 )
    Income tax effects related to intra-entity intangible asset transfers3   32       18       706       40  
    Resolution of prior years’ income tax filings and other tax items   (124 )           (140 )     33  
    Income tax effect of non-GAAP adjustments4   (1 )     1             2  
    Non-GAAP net income $ 1,940     $ 1,744     $ 3,886     $ 3,526  
    1   These items are incremental charges attributable to completed acquisitions, consisting of amortization of purchased intangible assets.
         
    2   GAAP basis tax benefit related to share-based compensation is recognized ratably over the fiscal year on a non-GAAP basis.
         
    3   Amount for the six months ended April 27, 2025, included changes to income tax provision of $62 million from amortization of intangibles and a $644 million remeasurement of deferred tax assets resulting from new tax incentive agreements in Singapore in the first quarter of fiscal 2025.
         
    4   Adjustment to provision for income taxes related to non-GAAP adjustments reflected in income before income taxes.
         
     
    APPLIED MATERIALS, INC.
    UNAUDITED RECONCILIATION OF GAAP TO NON-GAAP RESULTS
           
      Three Months Ended   Six Months Ended
    (In millions, except per share amounts) April 27,
    2025
      April 28,
    2024
      April 27,
    2025
      April 28,
    2024
    Non-GAAP Earnings Per Diluted Share              
    GAAP reported earnings per diluted share $ 2.63     $ 2.06     $ 4.08     $ 4.47  
    Certain items associated with acquisitions   0.01       0.01       0.02       0.02  
    Acquisition integration and deal costs         0.01             0.01  
    Realized loss (gain), dividends and impairments on strategic investments, net   (0.02 )           (0.03 )      
    Unrealized loss (gain) on strategic investments, net   (0.10 )     (0.02 )     0.03       (0.36 )
    Foreign exchange loss (gain) related to purchase of strategic investment   0.03             0.03        
    Loss (gain) on asset sale   (0.05 )           (0.05 )      
    Income tax effect of share-based compensation         0.01       (0.01 )     (0.02 )
    Income tax effects related to intra-entity intangible asset transfers1   0.04       0.02       0.87       0.05  
    Resolution of prior years’ income tax filings and other tax items   (0.15 )           (0.17 )     0.04  
    Non-GAAP earnings per diluted share $ 2.39     $ 2.09     $ 4.77     $ 4.21  
    Weighted average number of diluted shares   812       836       815       837  
    1   Amount for the six months ended April 27, 2025, included changes to income tax provision of $0.08 per diluted share from amortization of intangibles and $0.79 per diluted share from a remeasurement of deferred tax assets resulting from new tax incentive agreements in Singapore in the first quarter of fiscal 2025.
         
     
    APPLIED MATERIALS, INC.
    UNAUDITED RECONCILIATION OF GAAP TO NON-GAAP RESULTS
           
      Three Months Ended   Six Months Ended
    (In millions, except percentages) April 27,
    2025
      April 28,
    2024
      April 27,
    2025
      April 28,
    2024
    Semiconductor Systems Non-GAAP Operating Income              
    GAAP reported operating income $ 1,900     $ 1,701     $ 3,886     $ 3,445  
    Certain items associated with acquisitions1   11       10       23       20  
    Non-GAAP operating income $ 1,911     $ 1,711     $ 3,909     $ 3,465  
    Non-GAAP operating margin   36.4 %     34.9 %     36.8 %     35.3 %
    Applied Global Services Non-GAAP Operating Income              
    GAAP reported operating income $ 446     $ 436     $ 893     $ 853  
    Non-GAAP operating income $ 446     $ 436     $ 893     $ 853  
    Non-GAAP operating margin   28.5 %     28.5 %     28.3 %     28.4 %
    Display Non-GAAP Operating Income              
    GAAP reported operating income $ 68     $ 5     $ 82     $ 30  
    Non-GAAP operating income $ 68     $ 5     $ 82     $ 30  
    Non-GAAP operating margin   26.3 %     2.8 %     18.6 %     7.1 %
      These items are incremental charges attributable to completed acquisitions, consisting of amortization of purchased intangible assets.
         

    Note: The reconciliation of GAAP and non-GAAP segment results above does not include certain revenues, costs of products sold and operating expenses that are reported within corporate and other and included in consolidated operating income.

     
    APPLIED MATERIALS, INC.
    UNAUDITED RECONCILIATION OF GAAP TO NON-GAAP EFFECTIVE INCOME TAX RATE
       
      Three Months Ended
    (In millions, except percentages) April 27, 2025
       
    GAAP provision for income taxes (a) $ 185  
    Income tax effect of share-based compensation   (4 )
    Income tax effects related to intra-entity intangible asset transfers   (32 )
    Resolutions of prior years’ income tax filings and other tax items   124  
    Income tax effect of non-GAAP adjustments   1  
    Non-GAAP provision for income taxes (b) $ 274  
       
    GAAP income before income taxes (c) $ 2,322  
    Certain items associated with acquisitions   11  
    Realized loss (gain), dividends and impairments on strategic investments, net   (18 )
    Unrealized loss (gain) on strategic investments, net   (80 )
    Foreign exchange loss (gain) related to purchase of strategic investment   23  
    Loss (gain) on asset sale   (44 )
    Non-GAAP income before income taxes (d) $ 2,214  
       
    GAAP effective income tax rate (a/c)   8.0 %
       
    Non-GAAP effective income tax rate (b/d)   12.4 %
           
     
    UNAUDITED RECONCILIATION OF NON-GAAP FREE CASH FLOW
           
      Three Months Ended   Six Months Ended
    (In millions) April 27,
    2025
      April 28,
    2024
      April 27,
    2025
      April 28,
    2024
    Cash provided by operating activities $ 1,571     $ 1,392     $ 2,496     $ 3,717  
    Capital expenditures   (510 )     (257 )     (891 )     (486 )
    Non-GAAP free cash flow $ 1,061     $ 1,135     $ 1,605     $ 3,231  
                                   

    The MIL Network

  • MIL-OSI: Fold Holdings Inc. (NASDAQ: FLD) Announces First Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    Revenue: $7.1 million, 44% YoY increase
    Bitcoin Treasury Holdings: 1,490 BTC, ~50% increase from Q4 2024
    Launched Bitcoin Gift Card with access to network of thousands of retailers
    New accounts up over 300% YoY and platform volumes up 67% YoY

    PHOENIX, May 15, 2025 (GLOBE NEWSWIRE) — Fold Holdings, Inc. (NASDAQ: FLD) (“Fold”), the first publicly traded bitcoin financial services company, today announced financial results for the first quarter ended March 31, 2025.

    Financial Highlights

    • Revenue: $7.1 million; 44% YoY increase
    • GAAP Net Loss: ($48.9) million
    • Adjusted EBITDA (Loss) (non-GAAP): ($4.2) million
    • GAAP Loss Per Share: ($1.92) per share
    • Adjusted EBITDA (Loss) Per Share (non-GAAP): ($0.17) per share
    • Bitcoin Treasury Holdings: 1,490 bitcoin; +$150 million value as of 5/13/2025

    Key Operating Metrics

    • Total Transaction Volume: +$250 million; 67% YoY increase
    • Total Active Accounts: +600,000, added +17,000 new accounts in the quarter
    • Total Verified Accounts: +76,000, added +5,000 new verified accounts in the quarter

    CEO Commentary

    “We are pleased to report a strong first quarter, with revenues for the period increasing by 44% versus a year ago, while core KPIs such as Active Accounts and Transaction Volumes were also up”, said Fold Chairman and CEO, Will Reeves. “From Fold’s public listing in February to our recent new product announcements, we have already made meaningful progress in 2025.”

    Mr. Reeves continued, “In particular, we made significant progress on new initiatives that we believe improve the growth prospects for Fold. First, in February, we announced the launch of the Fold Bitcoin Rewards Credit Card, which currently has a waitlist of 75,000 people. We are working towards launching the card later this year and believe it can be an important growth driver of Fold’s business. Second, we are prioritizing the expansion of our Custody and Trading business by adding enhanced functionality to the platform. Our initiatives include increasing access to the platform beyond Fold cardholders to all users, supporting larger bitcoin orders through acceptance of wire deposits, and expanding the geographic reach of Fold’s suite of services. We believe these developments will allow us to open our platform to a meaningfully larger market. Our most recent announcement, the Fold Bitcoin Gift Card, is designed to allow consumers to acquire bitcoin by purchasing the Fold Bitcoin Gift Card online and at participating retail locations throughout the United States. Americans spend billions of dollars annually on gift cards and we believe the Fold Bitcoin Gift Card will allow us to capitalize on this large and meaningful market.”

    Reeves concluded, “Finally, our bitcoin treasury holdings increased by 50% during the first quarter and currently stands at 1,490 bitcoin, which represents more than $150 million of value based on recent bitcoin prices. At Fold, we remain committed believers in Bitcoin and see it as central to everything we do. Building on our first quarter of 2025, we will continue to seek opportunities to add to our bitcoin holdings and believe in the long-term value proposition of a robust bitcoin treasury strategy.”

    Strategic & Business Updates:

    • Fold Credit Card (announced in February 2025)
      • Over 75,000 applicants on the waitlist
      • 215 million credit cards users in the US
      • Expected to launch later this year
    • Fold Bitcoin Gift Card (announced May 15, 2025)
      • Partnered with Totus for a target nationwide launch later this year
      • Rollout will be in phases with initial accessibility through Fold’s website
      • Full rollout expected to include deployment to thousands of online and physical locations throughout the US
    • Custody and Trading Expansion
      • Expanding accessibility to our bitcoin exchange platform to a larger user base
      • Expanding features and making the platform accessible in additional states
    • Bitcoin Treasury
      • Expanded our bitcoin investment treasury by approximately 50% in Q1 2025
      • Currently hold 1,490 Bitcoin with a value of over $150 million

    2025 Full Year Outlook:

    • Revenue: Prior guidance of $61.6 million in 2025 remains unchanged
    • Marketing Expenses: $3 million, an approximately 10x increase from 2024

    Earnings Call and Webcast Information:

    Fold Inc. will host a conference call at 5:00 p.m. Eastern Time today, which will include a brief discussion of results followed by a question and answer period. To participate in this event, please log on or dial in approximately 5 minutes before the beginning of the call.

    Date: May 15, 2025
    Time: 5:00 p.m. ET
    Participant Call Links:

    • Live Webcast: Link
    • Dial-in Registration Link: Link

    A replay of the call will be archived at https://investor.foldapp.com

    About Fold Inc.:

    Fold (NASDAQ: FLD) is the first publicly traded Bitcoin financial services company, making it easy for individuals and businesses to earn, save, and use Bitcoin. With 1,490 BTC in its treasury, Fold is at the forefront of integrating Bitcoin into everyday financial experiences. Through innovative products like the Fold App, Fold Card, Fold Credit Card, and Fold Bitcoin Gift Card, the company is building the bridge between traditional finance and the Bitcoin-powered future.

    Forward-Looking Statements:

    The information in this press release includes “forward-looking statements” within the meaning of the federal securities laws with respect to the anticipated benefits of the business combination. Forward-looking statements may be identified by the use of words such as “may,” “could,” “would,” “should,” “predict,” “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “expect,” “anticipate,” “believe,” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include the potential benefits of the new convertible note, Fold’s treasury strategy and the potential success of Fold’s market and growth strategies. These statements are based on assumptions and on the current expectations of Fold’s management and are not predictions of actual performance. Many actual events and circumstances are beyond the control of Fold. These forward-looking statements are subject to a number of risks and uncertainties, including: (i) changes in domestic and foreign business, market, financial, political and legal conditions; (ii) the failure to realize the anticipated benefits of the business combination; (iii) the effect of the consummation of the business combination on Fold’s business relationships, performance, and business generally; (iv) the ability to implement business plans and other expectations after the completion of the business combination, and identify and realize additional opportunities; (v) the risk of downturns, new entrants and a changing regulatory landscape in the highly competitive industry in which Fold operates; and (vi) those factors discussed in Fold’s filings with the Securities and Exchange Commission. If any of these risks materialize or Fold’s assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. While Fold may elect to update these forward-looking statements at some point in the future, each specifically disclaims any obligation to do so, except as required by law.

    Fold Holdings, Inc. Condensed Balance Sheets (Unaudited)
     
        March 31,     December 31,  
        2025     2024  
    Assets            
    Current assets            
    Cash and cash equivalents   $ 11,699,552     $ 18,330,359  
    Accounts receivable, net     942,888       451,455  
    Inventories     403,595       262,813  
    Digital assets – rewards treasury     7,365,544       8,569,651  
    Prepaid expenses and other current assets     4,003,918       687,100  
    Total current assets     24,415,497       28,301,378  
    Digital assets – investment treasury     122,957,753       93,568,700  
    Capitalized software development costs, net     1,175,215       1,000,065  
    Deferred transaction costs           2,784,893  
    Total assets   $ 148,548,465     $ 125,655,036  
                 
    Liabilities and stockholders’ equity (deficit)            
    Current liabilities            
    Accounts payable   $ 1,486,978     $ 1,113,552  
    Accrued expenses and other current liabilities     1,898,812       71,858  
    December 2024 convertible note, net           11,752,905  
    Customer rewards liability     7,365,544       8,569,651  
    Deferred revenue     358,716       387,776  
    Total current liabilities     11,110,050       21,895,742  
    Deferred revenue, long-term     470,176       487,690  
    December 2024 convertible note, net     12,278,826        
    March 2025 convertible note – related party     52,813,643        
    Simple Agreements for Future Equity (“SAFEs”)           171,080,533  
    Total liabilities     76,672,695       193,463,965  
    Commitments and contingencies (Note 13)            
    Stockholders’ equity (deficit)            
    Preferred stock, $0.0001 par value; 20,000,000 shares authorized, 0 shares issued and outstanding at March 31, 2025 and 10,204,880 shares issued and outstanding at December 31, 2024           1,020  
    Common stock, $0.0001 par value; 600,000,000 shares authorized, 46,888,876 shares issued and 46,250,665 shares outstanding at March 31, 2025 and 5,836,882 shares issued and outstanding at December 31, 2024     4,625       584  
    Additional paid-in-capital     222,098,867       33,537,989  
    Accumulated deficit     (150,227,722 )     (101,348,522 )
    Total stockholders’ equity (deficit)     71,875,770       (67,808,929 )
    Total liabilities and stockholders’ equity   $ 148,548,465     $ 125,655,036  
     
    Fold Holdings, Inc. Condensed Statements of Operations (Unaudited)
     
        Three Months Ended March 31,  
        2025     2024  
    Revenues, net   $ 7,087,837     $ 4,931,211  
                 
    Operating expenses            
    Banking and payment costs     6,758,924       4,626,748  
    Custody and trading costs     45,785       21,288  
    Compensation and benefits     6,457,940       757,365  
    Marketing expenses     399,798       42,467  
    Professional fees     1,788,505       36,668  
    Amortization expense     91,071       57,353  
    (Gain) loss on customer rewards liability     (1,100,857 )     3,423,045  
    Loss (gain) on digital assets – rewards treasury     1,010,586       (3,491,889 )
    Other selling, general and administrative expenses     1,136,455       312,894  
    Total operating expenses     16,588,207       5,785,939  
    Operating loss     (9,500,370 )     (854,728 )
                 
    Other income (expense)            
    Loss on digital assets – investment treasury     (15,617,152 )      
    Change in fair value of SAFEs     (6,503,113 )     (95,064 )
    Change in fair value of convertible note     (6,534,143 )      
    Convertible note issuance costs and fees     (9,569,109 )      
    Interest expense     (1,271,638 )      
    Other income     120,303       12,855  
    Other income (expense), net     (39,374,852 )     (82,209 )
                 
    Net loss before income taxes     (48,875,222 )     (936,937 )
    Income tax expense     3,978       8,109  
    Net loss   $ (48,879,200 )   $ (945,046 )
                 
    Net loss per share attributable to common stockholders:            
    Basic and diluted   $ (1.92 )   $ (0.16 )
    Weighted average common shares outstanding:            
    Basic and diluted     25,436,398       5,836,882  
     
    Fold Holdings, Inc. Condensed Statements of Cash Flows (Unaudited)
     
        Three Months Ended March 31,  
        2025     2024  
    Cash flows from operating activities            
    Net loss   $ (48,879,200 )   $ (945,046 )
    Adjustments to reconcile net loss to net cash used in operating activities:            
    Amortization expense     91,071       57,353  
    Loss (gain) on digital assets – rewards treasury     1,010,586       (3,491,889 )
    Loss on digital assets – investment treasury     15,617,152        
    (Gain) loss on customer rewards liability     (1,100,857 )     3,423,045  
    Change in fair value of convertible note     6,534,143        
    Convertible note issuance costs and fees     9,569,109        
    Amortization of debt discount     525,921        
    Change in fair value of SAFEs     6,503,113       95,064  
    Share-based compensation expense     5,170,275        
    Increase (decrease) in cash resulting from changes in:            
    Accounts receivable, net     (491,433 )     (38,400 )
    Inventories     (140,782 )     (11,860 )
    Prepaid expenses and other current assets     (962,423 )     9,756  
    Accounts payable     373,426       168,239  
    Accrued expenses and other current liabilities     660,721       10,908  
    Customer reward liability     611,552       487,032  
    Deferred revenue     (46,574 )     (118,433 )
    Net cash used in operating activities     (4,954,200 )     (354,231 )
                 
    Cash flows from investing activities            
    Purchases of digital assets     (1,562,973 )     (441,467 )
    Proceeds from sales of digital assets            
    Payments for capitalized software development costs     (266,221 )     (171,134 )
    Net cash used in investing activities     (1,829,194 )     (612,601 )
                 
    Cash flows from financing activities            
    Proceeds from recapitalization     804,600        
    Payments of deferred IPO costs     (652,013 )      
    Proceeds received from SAFE financings           500,000  
    Net cash provided by financing activities     152,587       500,000  
                 
    Net decrease in cash and cash equivalents     (6,630,807 )     (466,832 )
    Cash and cash equivalents, beginning of period     18,330,359       1,491,544  
    Cash and cash equivalents, end of period   $ 11,699,552     $ 1,024,712  
                 
    Non-cash investing and financing activities            
    Distributions of digital assets to fulfill customer reward redemptions     714,802       1,317,262  
    Distributions of digital assets to satisfy other current liabilities     1,012       8,940  
    Recapitalization     173,019,904        
    Proceeds from convertible debt received in digital assets – related party     43,965,525        
    Distributions of digital assets for prepaid interest – related party     2,313,975        
     

    Non-GAAP Financial Measures

    Adjusted EBITDA

    In addition to net loss and other results under GAAP, we utilize non-GAAP calculations of adjusted earnings before interest, taxes, depreciation, and amortization (“Adjusted EBITDA”) to monitor the financial health of our business. Adjusted EBITDA is defined as net loss, excluding (i) interest expense, (ii) provision for (benefit from) income taxes, (iii) depreciation and amortization, (iv) share-based compensation, (v) remeasurement gains and losses such as fair value remeasurements on our digital assets, convertible notes, and SAFE notes, and (vi) impairments, restructuring charges, and business acquisition- or disposition-related expenses that we believe are not indicative of our core operating results. This non-GAAP financial information is presented for supplemental informational purposes only, should not be considered in isolation or as a substitute for, or superior to, financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies.

    The above items are excluded from our Adjusted EBITDA measure because these items are non-cash in nature, or because the amount and timing of these items are unpredictable, are not driven by core results of operations, and/or render comparisons with prior periods and competitors less meaningful. We believe Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our results of core operations, as well as providing a useful measure for period-to-period comparisons of our business performance. Moreover, Adjusted EBITDA is a key measurement used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic planning and annual budgeting.

    The following table presents a reconciliation of Adjusted EBITDA to the most directly comparable GAAP measure, net loss:

        Three Months Ended March 31,  
        2025     2024  
    Net loss   $ (48,879,200 )   $ (945,046 )
    Add:            
    Interest expense     1,271,638        
    Income tax expense     3,978       8,109  
    Amortization expense     91,071       57,353  
    Share-based compensation expense     5,170,275        
    (Gain) loss on customer rewards liability     (1,100,857 )     3,423,045  
    Loss (gain) on digital assets – rewards treasury     1,010,586       (3,491,889 )
    Loss on digital assets – investment treasury     15,617,152        
    Change in fair value of SAFEs     6,503,113       95,064  
    Change in fair value of convertible note     6,534,143        
    Convertible note issuance costs and fees     9,569,109        
    Adjusted EBITDA (non-GAAP)   $ (4,208,992 )   $ (853,364 )
     
        Three Months Ended March 31,  
        2025     2024  
    Adjusted EBITDA (Loss)   $ (4,208,992 )   $ (853,364 )
    Weighted-average shares used to compute basic and diluted net loss per share     25,436,398       5,836,882  
                 
    Adjusted EBITDA (Loss) per share attributable to common stockholders:            
    Basic and diluted   $ (0.17 )   $ (0.15 )
     

    For investor and media inquiries, please contact:

    Investor Relations:
    Orange Group
    Samir Jain, CFA
    FoldIR@orangegroupadvisors.com

    Media:
    Elev8 New Media
    Jessica Starman, MBA
    Media@foldapp.com

    The MIL Network

  • MIL-OSI: Duos Technologies Group Reports First Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    JACKSONVILLE, Fla., May 15, 2025 (GLOBE NEWSWIRE) — Duos Technologies Group, Inc. (“Duos” or the “Company”) (Nasdaq: DUOT), a provider of machine vision and artificial intelligence that analyzes fast moving vehicles, reported financial results for the first quarter (“Q1 2025”) ended March 31, 2025.

            
    First Quarter 2025 and Recent Operational Highlights

    • Recorded over $4.8 million in Services and Consulting revenue including $3.9 million for services related to the Asset Management Agreement (“AMA”) with New APR Energy.
    • Significant improvement in Gross Margin compared to the same quarter one year ago and further improvements expected in Q2.
    • Showcased the first production standalone Edge Data Center with revenues starting April 1.
    • Placed orders for 4 additional data centers for a total of 10 units so far all of which have identified locations and expect to meet goal of 15 deployed units by year end.
    • Over 2.3 million comprehensive railcar scans performed in the first quarter across 13 portals, of which more than 379,000 were unique railcars. This metric encompasses all railcars scanned at locations across the U.S., Canada, and Mexico, representing approximately 24% of the total freight car population in North America.
    • As of the end of the first quarter, the Company had $17.8 million of revenue in backlog plus $7.0 – $8.0 million near-term awards and renewals to be recognized during the remainder of 2025.

    First Quarter 2025 Financial Results
    It should be noted that the following Financial Results represent the consolidation of the Company with its subsidiaries Duos Technologies, Duos Edge AI, Inc., and Duos Energy Corporation (“Duos Energy”).

    Total revenues for Q1 2025 increased 363% to $4.95 million compared to $1.07 million in the first quarter of 2024 (“Q1 2024”). Total revenue for Q1 2025 represents an aggregate of approximately $65,000 of technology systems revenue and approximately $4,890,000 in recurring services and consulting revenue. The significant revenue increase in the first quarter, compared to the same quarter last year, was primarily driven by Duos Energy beginning to execute against the Asset Management Agreement (“AMA”) with New APR that was signed on December 31, 2024. Under the AMA, Duos Energy oversees the deployment and operations of a fleet of mobile gas turbines and related balance-of-plant inventory, providing management, sales, and operational support services to New APR. The decrease in technology systems revenues was primarily attributed to delays outside of the Company’s control with deployment of our two high-speed Railcar Inspection Portals. Although these systems remain largely ready for deployment, customer delays at the deployment site continue to prevent the Company from entering the installation phase. In spite of the timing delays that continue to impact the quarterly results, management remains confident in the long-term potential of the RIP product.

    Cost of revenues for Q1 2025 increased 273% to $3.64 million compared to $0.98 million for Q1 2024. The significant increase in cost of revenues was primarily due to supporting the AMA with New APR, where Duos Energy oversees the deployment and operations of a fleet of mobile gas turbines and related balance-of-plant inventory, providing management, sales, and operational support services to New APR. An additional contributing factor to the increase in cost of revenues on services and consulting is $548,121 in amortization expense of the intangible asset related to a nonmonetary transaction, which was not present in the corresponding period of 2024. The cost of revenues on technology systems decreased compared to the equivalent period in 2024. This reduction is primarily driven by our ability in Q1 2025 to reallocate certain fixed operating and servicing costs for technology systems to support the AMA, an allocation we could not make in the comparative period because the agreement was not yet in effect. It also reflects the ramp-down of manufacturing ahead of field installation of our two high-speed Railcar Inspection Portals, which has been further delayed and further reduced cost of revenues while we await customer readiness for site deployment.

    Gross margin for Q1 2025 increased 1,288% to $1.31 million compared to $0.09 million for Q1 2024. Gross margin improved primarily due to Duos Energy beginning performance of the AMA with New APR. This includes $904,125 in revenue recognized during the three months ended March 31, 2025, related to the Company’s 5% non-voting equity interest in the ultimate parent of New APR, which carried no associated costs and therefore contributed at a 100% margin. These revenues and the associated margin contribution were not present in the prior year period.

    Operating expenses for Q1 2025 increased 9% to $3.10 million compared to $2.86 million for Q1 2024. The increase in expenses is largely attributed to non-cash stock-based compensation charged for restricted stock granted to the executive team on January 1, 2025, under new employment agreements with a three-year cliff vesting schedule. Sales and marketing costs declined as resources were allocated to costs of service and consulting revenues in support of the AMA with New APR. Conversely, research and development expenses rose 11%, reflecting new engineering hires dedicated to supporting the AMA. The Company continues to focus on stabilizing operating expenses while meeting the increased needs of our customers.

    Net operating loss for Q1 2025 totaled $1.79 million compared to net operating loss of $2.76 million for Q1 2024. The decrease in loss from operations was primarily the result of increased revenues during the quarter, driven by revenue generated by Duos Energy through the AMA with New APR.

    Net loss for Q1 2025 totaled $2.08 million compared to net loss of $2.75 million for Q1 2024. The 24% decrease in net loss was mostly attributed to the increase in revenues generated by Duos Energy through the AMA with New APR as described above.

    Cash and cash equivalents at March 31, 2025 totaled $3.80 million compared to $6.27 million at December 31, 2024. In addition, the Company had over $2.68 million in receivables and contract assets for a total of approximately $6.48 million in cash and expected short-term liquidity.

    Financial Outlook
    At the end of the first quarter, the Company’s contracts in backlog represented approximately $45.4 million in revenue, of which approximately $17.4 million is expected to be recognized in calendar 2025 not including an estimated $7.0 – $8.0 million in expected near-term awards and renewals. The remaining contract backlog consists of multi-year service and software agreements, along with project revenues extending beyond 2025, related to Duos, Duos Edge AI, and Duos Energy.

    Based on these committed contracts and near-term pending orders that are already performing or scheduled to be executed throughout the course of 2025, the Company is reiterating its previously stated revenue expectations for the fiscal year ending December 31, 2025. The Company expects total revenue for 2025 to range between $28 million and $30 million, representing an increase of 285% to 312% from 2024. Duos expects this improvement in operating results to be reflected over the course of the full year in 2025.

    Management Commentary
    “I am delighted with the progress we have made in the first quarter and am very impressed at the speed at which the Duos team has adapted to the new opportunities in the Data Center and Power business,” said Chuck Ferry, Duos CEO. “While our Q1 results were anticipated, my expectation is that we will deliver growth, particularly in the second half, as the results of all our initiatives become booked revenues as indicated by the increase in backlog.”

    Conference Call
    The Company’s management will host a conference call today, May 15, 2025, at 4:30 p.m. Eastern time (1:30 p.m. Pacific time) to discuss these results, followed by a question-and-answer period.

    Date: Thursday, May 15, 2025
    Time: 4:30 p.m. Eastern time (1:30 p.m. Pacific time)
    U.S. dial-in: 877-407-3088
    International dial-in: 201-389-0927
    Confirmation: 13753649

    Please call the conference telephone number 5-10 minutes prior to the start time of the conference call. An operator will register your name and organization.

    If you have any difficulty connecting with the conference call, please contact DUOT@duostech.com.

    The conference call will be broadcast live via telephone and available for online replay via the investor section of the Company’s website here.

    About Duos Technologies Group, Inc.
    Duos Technologies Group, Inc. (Nasdaq: DUOT), based in Jacksonville, Florida, through its wholly owned subsidiaries, Duos Technologies, Inc., Duos Edge AI, Inc., and Duos Energy Corporation, designs, develops, deploys and operates intelligent technology solutions for Machine Vision and Artificial Intelligence (“AI”) applications including real-time analysis of fast-moving vehicles, Edge Data Centers and power consulting. For more information, visit www.duostech.com , www.duosedge.ai and www.duosenergycorp.com.

    Forward- Looking Statements
    This news release includes forward-looking statements regarding the Company’s financial results and estimates and business prospects that involve substantial risks and uncertainties that could cause actual results to differ materially. Forward-looking statements relate to future events and typically address the Company’s expected future business and financial performance. The forward-looking statements in this news release relate to, among other things, information regarding anticipated timing for the installation, development and delivery dates of our systems; anticipated entry into additional contracts; anticipated effects of macro-economic factors (including effects relating to supply chain disruptions and inflation); timing with respect to revenue recognition; trends in the rate at which our costs increase relative to increases in our revenue; anticipated reductions in costs due to changes in the Company’s organizational structure; potential increases in revenue, including increases in recurring revenue; potential changes in gross margin (including the timing thereof); statements regarding our backlog and potential revenues deriving therefrom; and statements about future profitability and potential growth of the Company. Words such as “believe,” “expect,” “anticipate,” “should,” “plan,” “aim,” “will,” “may,” “should,” “could,” “intend,” “estimate,” “project,” “forecast,” “target,” “potential” and other words and terms of similar meaning, typically identify such forward-looking statements. Forward-looking statements involve risks and uncertainties and there are important factors that could cause actual results to differ materially from those expressed or implied by these forward-looking statements. These factors include, but are not limited to, the Company’s ability to generate sufficient cash to continue and expand operations, the competitive environment generally and in the Company’s specific market areas, changes in technology, the availability of and the terms of financing, changes in costs and availability of goods and services, economic conditions in general and in the Company’s specific market areas, changes in federal, state and/or local government laws and regulations potentially affecting the use of the Company’s technology, changes in operating strategy or development plans and the ability to attract and retain qualified personnel. The Company cautions that the foregoing list of risks, uncertainties and factors is not exclusive. Additional information concerning these and other risk factors is contained in the Company’s most recently filed Annual Reports on Form 10-K, subsequent Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K, and other filings filed by the Company with the U.S. Securities and Exchange Commission (the “SEC”), which are available at the SEC’s website, http://www.sec.gov. The Company believes its plans, intentions and expectations reflected in or suggested by these forward-looking statements are based on reasonable assumptions. No assurance, however, can be given that the Company will achieve or realize these plans, intentions or expectations. Indeed, it is likely that some of the Company’s assumptions may prove to be incorrect. The Company’s actual results and financial position may vary from those projected or implied in the forward-looking statements and the variances may be material. Each forward-looking statement speaks only as of the date of the particular statement. We do not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in our expectations or any change in events, conditions or circumstances on which any forward-looking statement is based, except as required by law. All subsequent written and oral forward-looking statements concerning the Company or other matters attributable to the Company or any person acting on its behalf are expressly qualified in their entirety by the cautionary statements above.

     
    DUOS TECHNOLOGIES GROUP, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (Unaudited)
                     
                For the Three Months Ended
                March 31,
                  2025       2024  
                     
    REVENUES:              
      Technology systems         $ 64,684     $ 269,855  
      Services and consulting           972,751       800,825  
      Services and consulting – related parties           3,914,750        
                     
      Total Revenues           4,952,185       1,070,680  
                     
    COST OF REVENUES:              
      Technology systems           232,264       583,437  
      Services and consulting           748,194       392,611  
      Services and consulting – related parties           2,658,068        
                     
      Total Cost of Revenues           3,638,526       976,048  
                     
    GROSS MARGIN           1,313,659       94,632  
                     
    OPERATING EXPENSES:              
      Sales and marketing           294,975       553,486  
      Research and development           424,431       382,142  
      General and administration           2,383,881       1,920,050  
                     
      Total Operating Expenses           3,103,287       2,855,678  
                     
    LOSS FROM OPERATIONS           (1,789,628 )     (2,761,046 )
                     
    OTHER INCOME (EXPENSES):              
    Interest expense           (322,577 )     (445 )
    Other income, net           32,542       9,182  
                     
      Total Other Income (Expenses), net           (290,035 )     8,737  
                     
    NET LOSS         $ (2,079,663 )   $ (2,752,309 )
                     
                     
    Basic and Diluted Net Loss Per Share         $ (0.18 )   $ (0.38 )
                     
                     
    Weighted Average Shares-Basic and Diluted           11,390,016       7,306,949  
                     
    DUOS TECHNOLOGIES GROUP, INC. AND SUBSIDIARIES
    CONSOLIDATED BALANCE SHEETS
         
                March 31,   December 31,
                  2025       2024  
                (Unaudited)    
    ASSETS        
    CURRENT ASSETS:          
      Cash       $ 3,799,281     $ 6,266,296  
      Accounts receivable, net     215,060       109,007  
      Accounts receivable, net – related parties     1,760,625       294,434  
      Contract assets       700,458       635,774  
      Inventory       520,122       605,356  
      Prepaid expenses and other current assets     468,252       176,338  
      Note receivable, net            
                     
      Total Current Assets     7,463,798       8,087,205  
                     
      Inventory – non current     196,315       196,315  
      Property and equipment, net     3,300,754       2,771,779  
      Operating lease right of use asset – Office Lease     3,937,256       4,028,397  
      Financing lease right of use asset – Edge Data Centers     1,943,547       2,019,180  
      Security deposit       500,000       500,000  
                     
    OTHER ASSETS:          
      Equity Method Investment – Sawgrass APR Holdings LLC     7,233,000       7,233,000  
      Intangible Asset, net       9,043,996       9,592,118  
      Patents and trademarks, net     133,714       127,300  
      Software development costs, net     334,960       403,383  
      Total Other Assets       16,745,670       17,355,801  
                     
    TOTAL ASSETS     $ 34,087,340     $ 34,958,677  
                     
    LIABILITIES AND STOCKHOLDERS’ EQUITY        
                     
    CURRENT LIABILITIES:          
      Accounts payable     $ 698,518     $ 969,822  
      Notes payable – financing agreements     129,914       17,072  
      Accrued expenses       451,130       373,251  
      Operating lease obligation – Office Lease -current portion     803,536       798,556  
      Financing lease obligations – Edge Data Centers – current portion     487,695       367,451  
      Notes payable, net of discount – related parties     1,027,707       1,758,396  
      Contract liabilities, current     3,001,352       3,188,518  
      Contract liabilities, current – related parties     7,366,500       8,616,500  
                     
      Total Current Liabilities     13,966,352       16,089,566  
                     
      Contract liabilities, less current portion     6,851,513       7,399,634  
      Contract liabilities, less current portion – related parties     2,712,375       3,616,500  
      Operating lease obligation – Office Lease, less current portion     3,767,106       3,867,042  
      Financing lease obligations – Edge Data Centers, less current portion     1,638,040       1,724,604  
                     
      Total Liabilities       28,935,386       32,697,346  
                     
    Commitments and Contingencies (Note 8)        
                     
    STOCKHOLDERS’ EQUITY:        
      Preferred stock: $0.001 par value, 10,000,000 authorized, 9,441,000 shares available to be designated    
      Series A redeemable convertible preferred stock, $10 stated value per share,          
      500,000 shares designated; 0 and 0 issued and outstanding at March 31, 2025 and December 31, 2024, respectively,
      convertible into common stock at $6.30 per share        
      Series B convertible preferred stock, $1,000 stated value per share,            
      15,000 shares designated; 0 and 0 issued and outstanding at March 31, 2025      
      and December 31, 2024, respectively, convertible into common stock at $7 per share    
      Series C convertible preferred stock, $1,000 stated value per share,            
      5,000 shares designated; 0 and 0 issued        
      and outstanding at March 31, 2025 and December 31, 2024, respectively,        
      convertible into common stock at $5.50 per share        
      Series D convertible preferred stock, $1,000 stated value per share,     1       1  
      4,000 shares designated; 999 and 1,299 issued        
      and outstanding at March 31, 2025 and December 31, 2024, respectively,        
      convertible into common stock at $3.00 per share        
      Series E convertible preferred stock, $1,000 stated value per share,        
      30,000 shares designated; 13,500 and 13,500 issued        
      and outstanding at March 31, 2025 and December 31, 2024, respectively,     14       14  
      convertible into common stock at $2.61 per share        
      Series F convertible preferred stock, $1,000 stated value per share,        
      5,000 shares designated; 0 and 0 issued        
      and outstanding at March 31, 2025 and December 31, 2024, respectively,            
      convertible into common stock at $6.20 per share        
                     
      Common stock: $0.001 par value; 500,000,000 shares authorized,        
      11,655,229 and 8,922,576 shares issued, 11,653,905 and 8,921,252       11,654       8,921  
      shares outstanding at March 31, 2025 and December 31, 2024, respectively        
      Additional paid-in-capital     81,745,409       76,777,856  
      Accumulated deficit     (76,447,672 )     (74,368,009 )
      Sub-total       5,309,406       2,418,783  
      Less: Treasury stock (1,324 shares of common stock        
      at March 31, 2025 and December 31, 2024)       (157,452 )     (157,452 )
    Total Stockholders’ Equity     5,151,954       2,261,331  
                     
    Total Liabilities and Stockholders’ Equity   $ 34,087,340     $ 34,958,677  
                     
    DUOS TECHNOLOGIES GROUP, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF CASH FLOWS
     (Unaudited)
     
      For the Three Months Ended
      March 31,
        2025       2024  
           
    Cash from operating activities:      
    Net loss $ (2,079,663 )   $ (2,752,309 )
    Adjustments to reconcile net loss to net cash used in operating activities:      
    Depreciation and amortization   712,388       158,208  
    Inventory write-off   25,000        
    Stock based compensation   995,647       159,320  
    Stock issued for services   50,000       37,500  
    Amortization of debt discount related to warrant liabilities   269,311        
    Amortization of operating lease right of use asset – Office Lease   91,142       83,348  
    Amortization of lease right of use asset – Edge Data Centers   75,633        
    Changes in assets and liabilities:      
    Accounts receivable   (106,053 )     866,373  
    Accounts receivable-related parties   (1,466,191 )      
    Note receivable         (1,875 )
    Contract assets   (64,684 )     (270,099 )
    Inventory   10,624       23,828  
    Prepaid expenses and other current assets   (42,467 )     57,944  
    Accounts payable   (271,304 )     (415,718 )
    Accrued expenses   77,879       76,370  
    Operating lease obligation – Office Lease   (94,956 )     (82,306 )
    Lease obligations – Edge Data Centers   33,680        
    Contract liabilities   (2,889,411 )     26,697  
           
    Net cash used in operating activities   (4,673,425 )     (2,032,719 )
           
    Cash flows from investing activities:      
    Purchase of patents/trademarks   (9,264 )     (980 )
    Purchase of fixed assets   (572,359 )     (8,830 )
           
    Net cash used in investing activities   (581,623 )     (9,810 )
           
    Cash flows from financing activities:      
    Repayments on financing agreements   (136,606 )     (130,535 )
    Repayments of notes payable, related parties   (1,000,000 )      
    Proceeds from common stock issued   3,954,940        
    Proceeds from excercise of stock options   107,925        
    Stock issuance cost   (138,226 )     (36,188 )
    Proceeds from preferred stock issued         2,745,002  
           
    Net cash provided by financing activities   2,788,033       2,578,279  
           
    Net increase (decrease) in cash   (2,467,015 )     535,750  
    Cash, beginning of period   6,266,296       2,441,842  
    Cash, end of period $ 3,799,281     $ 2,977,592  
           
    Supplemental Disclosure of Cash Flow Information:      
    Interest paid $ 3,865     $  
    Taxes paid $ 15,945     $  
           
    Supplemental Non-Cash Investing and Financing Activities:      
    Notes issued for financing of insurance premiums $ 249,448     $ 272,322  
    Transfer of inventory to fixed assets $ 49,609     $  
           
     

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/9b5abe56-f21b-4ee5-9a09-7f9852d9bd2b

    This press release was published by a CLEAR® Verified individual.

    The MIL Network

  • MIL-OSI: Fluent Announces First Quarter 2025 Financial Results; Strategic Pivot Accelerates with Growth of Commerce Media Solutions

    Source: GlobeNewswire (MIL-OSI)

    • Revenue of $55.2 million for Q1 2025
    • Q1 2025 Commerce Media Solutions revenue grew 99% to $12.7 million representing 23% of consolidated revenue from $6.4 million or 10% of consolidated revenue in Q1 2024 with gross profit margin (exclusive of depreciation and amortization) of 22% in Q1 2025 compared to 21% for the consolidated business
    • Commerce Media Solutions annual revenue run rate now exceeds $65 million, reflecting an 8% quarter-over-quarter increase and strong momentum in executing the Company’s strategic pivot to this higher growth market
    • Subsequent to the first quarter, the Company announced a strategic partnership with Rebuy Engine to launch Rebuy Ads powered by Fluent, providing post-purchase advertising for Shopify merchants

    NEW YORK, May 15, 2025 (GLOBE NEWSWIRE) — Fluent, Inc. (NASDAQ: FLNT), a commerce media solutions provider, today reported unaudited financial results for the first quarter ended March 31, 2025.

    Don Patrick, Fluent’s Chief Executive Officer, commented, “Our first quarter results showed the fifth consecutive quarter of strong year-over-year growth in our Commerce Media Solutions business. As we continue to execute on our strategic pivot to focus on what we see as a core, long-term growth opportunity in the commerce media marketplace, this segment has been the foundational driver of our evolving model, achieving nearly triple-digit year-over-year growth since its launch in early 2023. Underscoring our growth are the impressive partnerships with top-tier media partners and advertisers across a diverse range of market verticals. After the close of the first quarter we announced a breakthrough partnership with Rebuy Engine, a leading ecommerce personalization platform for Shopify brands. With the combined expertise of both companies, Rebuy Ads powered by Fluent is set to redefine how Shopify merchants engage with performance-driven advertising.”

    Mr. Patrick continued, “While Commerce Media Solutions is performing exceptionally well, we experienced some additional attrition in our Owned and Operated business primarily due to a reduction in media supply, particularly from social media. This trend has continued into the second quarter. To address this, we’re actively expanding our supply channels to mitigate long-term impacts. Importantly, as we continue efforts to stabilize this cash-flow positive Owned and Operated business, it remains a productive driver of our Commerce Media Solutions growth strategy. With the growth of our Commerce Media Solutions business and shifting revenue mix, we anticipate consolidated second quarter revenue to remain in line with the first quarter of 2025.”

    “Overall, we’re encouraged by our progress in the quarter, and with our visibility today, we expect to continue driving meaningful growth in our Commerce Media Solutions business through 2025 as we build a more predictable and valuable business for our shareholders,” Mr. Patrick concluded.

    First Quarter Financial Highlights

    • Revenue of $55.2 million, a decrease of 16%, compared to $66.0 million in Q1 2024 
      • Owned and Operated revenue decreased 30% to $31.1 million compared to $44.7 million in Q1 2024 as the Company continued its shift in focus and revenue mix to higher margin Commerce Media Solutions 
      • Commerce Media Solutions revenue increased 99% to $12.7 million compared to $6.4 million in Q1 2024
    • Net loss of $8.3 million, or $0.39 per share, compared to a net loss of $6.3 million, or $0.45 per share, for Q1 2024.
    • Gross profit (exclusive of depreciation and amortization) of $11.4 million, a decrease of 39% over Q1 2024 and representing 21% of revenue. The Company’s growing Commerce Media Solutions business reported gross profit (exclusive of depreciation and amortization) of $2.8 million, an increase of 54% over Q1 2024 and representing 22% of revenue for Q1 2025.
    • Media margin of $13.7 million, a decrease of 38% over Q1 2024 and representing 24.9% of revenue. The Company’s growing Commerce Media Solutions business reported media margin of $3.1 million, an increase of 56% over Q1 2024 and representing 24.6% for if revenue for Q1 2025.
    • Adjusted EBITDA of negative $3.1 million, a decrease of $3.7 million compared to Q1 2024 and representing 5.6% of revenue
    • Adjusted net loss of $6.7 million, or $0.31 per share, compared to $4.2 million, or $0.30 per share, for Q1 2024

    Business Outlook & Goals

    • Further establish Fluent’s Commerce Media Solutions business as a leader in the performance marketing sector among both media partners and advertisers to capitalize on the growing demand for this advertising channel across numerous high-volume market verticals.
    • Drive revenue growth, improvement in net loss as compared to 2024, and positive adjusted EBITDA for full-year 2025 supported by the growth of Fluent’s Commerce Media Solutions. These improvements are expected to occur in the second half of 2025 as Commerce Media Solutions continues to scale as a percentage of consolidated revenue.
    • Leverage 14-year leadership position at the forefront of customer acquisition and robust database of first-party user data to differentiate Fluent from competitors in the commerce media space.

    Conference Call

    Fluent, Inc. will host a conference call on Thursday, May 15, 2025, at 4:30 PM ET to discuss its 2025 first quarter financial results. The conference call can be accessed by phone after registering online at https://register-conf.media-server.com/register/BI2c18ceec43da4e809374edc6b958fefe. The call will also be webcast simultaneously on the Fluent website at https://investors.fluentco.com/. Following the completion of the earnings call, a recorded replay of the webcast will be available for those unable to participate. To listen to the telephone replay, please connect via https://edge.media-server.com/mmc/p/qsf7a838. The replay will be available for one year, via the Fluent website https://investors.fluentco.com.

    About Fluent, Inc.

    Fluent, Inc. (NASDAQ: FLNT) is a commerce media solutions provider connecting top-tier brands with highly engaged consumers. Leveraging exclusive ad inventory, robust first-party data, and proprietary machine learning, Fluent unlocks additional revenue streams for partners and empowers advertisers to acquire their most valuable customers at scale. Founded in 2010, Fluent uses its deep expertise in performance marketing to drive monetization and increase engagement at key touchpoints across the customer journey. For more insights visit http://www.fluentco.com/.

    Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995

    The matters contained in this press release may be considered to be “forward-looking statements” within the meaning of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. Such statements include statements regarding the intent, belief or current expectations or anticipations of Fluent and members of our management team. Factors currently known to management that could cause actual results to differ materially from those in forward-looking statements include the following:

      Compliance with the covenants of our credit agreement in light of current business conditions, the current uncertainty of which raises substantial doubt about our ability to continue as a going concern;
      Ability to operate in a competitive, rapidly changing and highly regulated industry, which makes it difficult to evaluate our business and prospects
      Dependence on the gaming industry;
      Unfavorable publicity and negative public perception about the digital marketing industry or us;
      A sudden reduction in online marketing spend by our clients, a loss of clients or lower advertising yields; 
      Credit risk from certain clients
      Our relative inexperience in the post-transaction commerce media business, which is currently dominated by a major player; 
      Our need to continue investing in technology for our Commerce Media Solutions business;
      Our competitive disadvantage because we are more selective in our traffic sources;
      A decline in the supply of media available to us through third parties or an increase in the price of such media; 
      Ability to remain competitive with the shift to mobile applications and our use of CRM; 
      Our increasing reliance upon inbound calls, particularly in the health plan vertical, which we may be unable to obtain cost effectively obtain in the future;
      Difficulty managing any future growth or scaling our infrastructure and products quickly enough to meet the needs of our business while maintaining profitability; 
      Global economic or political instability, including the potential impact of tariffs on our business;
      Challenges managing the growth of our operations, including international expansion and the integration of acquired business units or personnel;
      Strategic alternatives that could complicate operations or divert management’s attention; 
      Dependence on our key personnel and ability to attract or retain employees;
      Dependence upon third-party service providers and potential liability related to their actions or platform malfunctions;
      Compliance with a significant number of governmental laws and regulations, including those regarding telemarketing, email marketing, text messaging, privacy, and data protection; 
      The outcome of litigation, inquiries, investigations, examinations, or other legal proceedings in which we are or may become involved, or in which our clients or competitors are involved;
      Potential sales and use taxes and other taxes on our business;
      Our actual or perceived failure to safeguard any personal information or user privacy; 
      Failure to adequately protect intellectual property rights or allegations of infringement of intellectual property rights;
      Potential liability or expenses for legal claims based on the nature and content of the materials we create or distribute, including those provided by third parties, as a creator and a distributor of digital media content;
      Our need to raise capital to fund our operations; 
      Our ability to maintain listing of our securities on The Nasdaq Capital Market;
      The volatility of our stock price and concentration of stock ownership;
      Potential dilutive effect of any future issuances of shares of our common stock;
      Lack of cash dividends for the foreseeable future;
      Status of a smaller reporting company and non-accelerated filer, which involves certain reduced governance and disclosure requirements; and
      Uncertainty in the acceptance by Shopify merchants of Rebuy Ads powered by Fluent. 
         

    These and additional factors to be considered are set forth under “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 and in our other filings with the Securities and Exchange Commission. Fluent undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results or expectations, except as required by law.

    FLUENT, INC.
    CONSOLIDATED BALANCE SHEETS
    (Amounts in thousands, except share and per share data)
    (unaudited)
                 
        March 31, 2025     December 31, 2024  
    ASSETS:                
    Cash and cash equivalents   $ 4,828     $ 9,439  
    Accounts receivable, net of allowance for credit losses of $483 and $487, respectively     37,019       46,532  
    Prepaid expenses and other current assets     8,126       8,729  
    Restricted cash     1,255       1,255  
    Total current assets     51,228       65,955  
    Property and equipment, net     233       304  
    Operating lease right-of-use assets     1,118       1,570  
    Intangible assets, net     20,986       21,797  
    Other non-current assets     3,929       3,991  
    Total assets   $ 77,494     $ 93,617  
    LIABILITIES AND SHAREHOLDERS’ EQUITY:                
    Accounts payable   $ 8,513     $ 8,776  
    Accrued expenses and other current liabilities     19,694       21,905  
    Deferred revenue     341       556  
    Current portion of long-term debt     21,801       31,609  
    Current portion of operating lease liability     1,310       1,836  
    Total current liabilities     51,659       64,682  
    Long-term debt, net           250  
    Convertible Notes, at fair value with related parties     3,800       3,720  
    Operating lease liability, net           9  
    Other non-current liabilities           1  
    Total liabilities     55,459       68,662  
    Contingencies                
    Shareholders’ equity:                
    Preferred stock — $0.0001 par value, 10,000,000 Shares authorized; Shares outstanding — 0 shares for both periods            
    Common stock — $0.0005 par value, 200,000,000 Shares authorized; Shares issued — 21,412,255 and 20,791,431, respectively; and Shares outstanding — 20,643,660 and 20,022,836, respectively     47       47  
    Treasury stock, at cost — 768,595 and 768,595 Shares, respectively     (11,407 )     (11,407 )
    Additional paid-in capital     452,459       447,110  
    Accumulated deficit     (419,064 )     (410,795 )
    Total shareholders’ equity     22,035       24,955  
    Total liabilities and shareholders’ equity   $ 77,494     $ 93,617  
                     
    FLUENT, INC.
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (Amounts in thousands, except share and per share data)
    (unaudited)
           
        Three Months Ended March 31,  
        2025     2024  
    Revenue   $ 55,210     $ 65,983  
    Costs and expenses:                
    Cost of revenue (exclusive of depreciation and amortization)     43,775       47,348  
    Sales and marketing     4,070       4,812  
    Product development     3,398       4,840  
    General and administrative     8,582       10,365  
    Depreciation and amortization     2,461       2,571  
    Total costs and expenses     62,286       69,936  
    Loss from operations     (7,076 )     (3,953 )
    Interest expense, net     (880 )     (1,415 )
    Fair value adjustment of Convertible Notes with related parties     (80 )      
    Loss before income taxes     (8,036 )     (5,368 )
    Income tax expense     (233 )     (908 )
    Net loss   $ (8,269 )   $ (6,276 )
                     
    Basic and diluted loss per share:                
    Basic   $ (0.39 )   $ (0.45 )
    Diluted   $ (0.39 )   $ (0.45 )
                     
    Weighted average number of shares outstanding:                
    Basic     21,211,439       13,902,165  
    Diluted     21,211,439       13,902,165  
                     
    FLUENT, INC.
    CONSOLIDATED STATEMENTS OF CASH FLOWS
    (Amounts in thousands)
    (unaudited)
           
        Three Months Ended March 31,  
        2025     2024  
    CASH FLOWS FROM OPERATING ACTIVITIES:                
    Net loss   $ (8,269 )   $ (6,276 )
    Adjustments to reconcile net loss to net cash provided by operating activities:                
    Depreciation and amortization     2,461       2,571  
    Non-cash loan amortization expense     176       711  
    Share-based compensation expense     335       600  
    Fair value adjustment of Convertible Notes with related parties     80        
    Allowance for credit losses     (4 )     82  
    Changes in assets and liabilities, net of business acquisitions:                
    Accounts receivable     9,517       3,028  
    Prepaid expenses and other current assets     603       (266 )
    Other non-current assets     106       100  
    Operating lease assets and liabilities, net     (83 )     (85 )
    Accounts payable     (263 )     (2,125 )
    Accrued expenses and other current liabilities     (2,331 )     2,344  
    Deferred revenue     (215 )     131  
    Other     (1 )     (947 )
    Net cash provided by (used in) operating activities     2,112       (132 )
    CASH FLOWS FROM INVESTING ACTIVITIES:                
    Capitalized costs included in intangible assets     (1,570 )     (1,796 )
    Net cash used in investing activities     (1,570 )     (1,796 )
    CASH FLOWS FROM FINANCING ACTIVITIES:                
    Proceeds from issuance of long-term debt, net of debt financing costs     21,841        
    Repayments of long-term debt     (31,869 )     (1,250 )
    Debt financing costs     (125 )     (968 )
    Proceeds from issuance of pre-funded warrants     5,000        
    Net cash used in financing activities     (5,153 )     (2,218 )
    Net decrease in cash, cash equivalents, and restricted cash     (4,611 )     (4,146 )
    Cash, cash equivalents, and restricted cash at beginning of period     10,694       15,804  
    Cash, cash equivalents, and restricted cash at end of period   $ 6,083     $ 11,658  
                     

    Definitions, Reconciliations and Uses of Non-GAAP Financial Measures

    The following non-GAAP measures are used in this release:

    Media margin is defined as that portion of gross profit (exclusive of depreciation and amortization) reflecting variable costs paid for media and related expenses and excluding non-media cost of revenue. Gross profit (exclusive of depreciation and amortization) represents revenue minus cost of revenue (exclusive of depreciation and amortization). Media margin is also presented as a percentage of revenue.

    Adjusted EBITDA is defined as net income (loss), excluding (1) income taxes, (2) interest expense, net, (3) depreciation and amortization, (4) share-based compensation expense, (5) loss on early extinguishment of debt, (6) accrued compensation expense for put/call consideration, (7) goodwill impairment, (8) impairment of intangible assets, (9) loss (gain) on disposal of property and equipment, (10) fair value adjustment of Convertible Notes with related parties, (11) acquisition-related costs, (12) restructuring and other severance costs, and (13) certain litigation and other related costs.

    Adjusted net income is defined as net income (loss) excluding (1) share-based compensation expense, (2) loss on early extinguishment of debt, (3) accrued compensation expense for put/call consideration, (4) goodwill impairment, (5) impairment of intangible assets, (6) loss (gain) on disposal of property and equipment, (7) fair value adjustment of Convertible Notes with related parties (8) acquisition-related costs, (9) restructuring and other severance costs, and (10) certain litigation and other related costs. Adjusted net income is also presented on a per share (basic and diluted) basis.

    Below is a reconciliation of media margin from gross profit (exclusive of depreciation and amortization), which we believe is the most directly comparable U.S. GAAP measure.

        Three Months Ended March 31,  
    (In thousands, except percentages)   2025     2024  
    Revenue   $ 55,210     $ 65,983  
    Less: Cost of revenue (exclusive of depreciation and amortization)     43,775       47,348  
    Gross profit (exclusive of depreciation and amortization)   $ 11,435     $ 18,635  
    Gross profit (exclusive of depreciation and amortization) % of revenue     21 %     28 %
    Non-media cost of revenue (1)     2,296       3,504  
    Media margin   $ 13,731     $ 22,139  
    Media margin % of revenue     24.9 %     33.6 %
                     

    (1) Represents the portion of cost of revenue (exclusive of depreciation and amortization) not attributable to variable costs paid for media and related expenses.

    Below is a reconciliation of media margin from gross profit (exclusive of depreciation and amortization), which we believe is the most directly comparable U.S. GAAP measure, for Commerce Media Solutions.

        Three Months Ended March 31,  
    (In thousands, except percentages)   2025     2024  
    Revenue   $ 12,660     $ 6,376  
    Less: Cost of revenue (exclusive of depreciation and amortization)     9,847       4,553  
    Gross profit (exclusive of depreciation and amortization)   $ 2,813     $ 1,823  
    Gross profit (exclusive of depreciation and amortization) % of revenue     22 %     29 %
    Non-media cost of revenue (1)     298       175  
    Media margin   $ 3,111     $ 1,998  
    Media margin % of revenue     24.6 %     31.3 %
                     

    (1) Represents the portion of cost of revenue (exclusive of depreciation and amortization) not attributable to variable costs paid for media and related expenses.

    Below is a reconciliation of adjusted EBITDA from net loss, which we believe is the most directly comparable U.S. GAAP measure.

        Three Months Ended March 31,  
    (In thousands)   2025     2024  
    Net loss   $ (8,269 )   $ (6,276 )
    Income tax expense     233       908  
    Interest expense, net     880       1,415  
    Depreciation and amortization     2,461       2,571  
    Share-based compensation expense     335       600  
    Fair value adjustment of Convertible Notes with related parties     80        
    Acquisition-related costs(1)     (119 )     782  
    Restructuring and other severance costs     1,315       665  
    Adjusted EBITDA   $ (3,084 )   $ 665  
    (1 ) Balance includes compensation expense related to non-compete agreements and earn-out expense incurred as a result of business combinations. The earn-out expense was ($119) and $151 for the three months ended March 31, 2025 and 2024, respectively.
         

    Below is a reconciliation of adjusted net income and the related measure of adjusted net income per share from net income (loss), which we believe is the most directly comparable U.S. GAAP measure.

        Three Months Ended March 31,  
    (In thousands, except share and per share data)   2025     2024  
    Net loss   $ (8,269 )   $ (6,276 )
    Share-based compensation expense     335       600  
    Fair value adjustment of Convertible Notes with related parties     80        
    Acquisition-related costs(1)     (119 )     782  
    Restructuring and other severance costs     1,315       665  
    Adjusted net loss   $ (6,658 )   $ (4,229 )
    Adjusted net loss per share:                
    Basic   $ (0.31 )   $ (0.30 )
    Diluted   $ (0.31 )   $ (0.30 )
    Weighted average number of shares outstanding:                
    Basic     21,211,439       13,902,165  
    Diluted     21,211,439       13,902,165  
    (1 ) Balance includes compensation expense related to non-compete agreements and earn-out expense incurred as a result of business combinations. The earn-out expense was ($119) and $151 for the three months ended March 31, 2025 and 2024, respectively.
         

    We present media margin, adjusted EBITDA, and adjusted net income as supplemental measures of our financial and operating performance because we believe they provide useful information to investors. More specifically:

    Media margin, as defined above, is a measure of the efficiency of the Company’s operating model. We use media margin and the related measure of media margin as a percentage of revenue as primary metrics to measure the financial return on our media and related costs, specifically to measure the degree by which the revenue generated from our digital marketing services exceeds the cost to attract the consumers to whom offers are made through our services. Media margin is used extensively by our management to manage our operating performance, including evaluating operational performance against budgeted media margin and understanding the efficiency of our media and related expenditures. We also use media margin for performance evaluations and compensation decisions regarding certain personnel.

    Adjusted EBITDA, as defined above, is another primary metric by which we evaluate the operating performance of our business, on which certain operating expenditures and internal budgets are based and by which, in addition to media margin and other factors, our senior management is compensated. The first three adjustments represent the conventional definition of EBITDA, and the remaining adjustments are items recognized and recorded under U.S. GAAP in particular periods but might be viewed as not necessarily coinciding with the underlying business operations for the periods in which they are so recognized and recorded. These adjustments include certain litigation and other related costs associated with legal matters outside the ordinary course of business. We consider items one-time in nature if they are non-recurring, infrequent or unusual and have not occurred in the past two years or are not expected to recur in the next two years, in accordance with SEC rules. There were no adjustments for one-time items in the periods presented.

    Adjusted net income, as defined above, excludes certain items that are recognized and recorded under U.S. GAAP in particular periods but might be viewed as not necessarily coinciding with the underlying business operations for the periods in which they are so recognized and recorded. We believe adjusted net income affords investors a different view of the overall financial performance of the Company than adjusted EBITDA and the U.S. GAAP measure of net (loss) income.

    Media margin, adjusted EBITDA, adjusted net income, and adjusted net income per share are non-GAAP financial measures with certain limitations regarding their usefulness. They do not reflect our financial results in accordance with U.S. GAAP, as they do not include the impact of certain expenses that are reflected in our condensed consolidated statements of operations. Accordingly, these metrics are not indicative of our overall results or indicators of past or future financial performance. Further, they are not financial measures of profitability and are neither intended to be used as a proxy for the profitability of our business nor to imply profitability. The way we measure media margin, adjusted EBITDA, and adjusted net income may not be comparable to similarly titled measures presented by other companies and may not be identical to corresponding measures used in our various agreements.

    Annual Revenue Run Rate

    Annual Revenue Run Rate is an operational metric that represents the annualized revenue of the Company’s media partnerships at current monetization levels, as of the end of the reporting period. The Company calculates Annual Revenue Run Rate as follows:

    • Media partners within Commerce Media Solutions with an active contract are assessed and assigned an annual media volume estimate based on the active term of the contract and the monetization rate at the end of the reporting period. The Company considers a media partner contract to be active when the contractual term commences (the “start date”) until its right to serve the partner’s commerce traffic ends. Even if the contract with the customer is executed before the start date, the contract will not count toward Annual Revenue Run Rate until the media partner’s right to receive the benefit of the services has commenced.
    • As Annual Revenue Run Rate includes only contracts that are active at the end of the reporting period, it does not reflect assumptions or estimates regarding new business. For contracts expiring within 12 months of the period-end calculation date, Annual Revenue Run Rate does reflect expectations of renewal.
    • The Company’s Commerce Media Solutions platform provides the technology to effectively monetize the partner’s media by placing relevant ads at a contracted moment of consumer engagement. Although from inception to date, improvements in the platform’s AI-powered technology have consistently driven increased rates of monetization, for the purpose of Annual Revenue Run Rate, the Company assumes a consistent monetization level to that as measured on each media partner at the end of the reporting period.

    The way the Company measures Annual Revenue Run Rate may not be comparable to similarly titled measures presented by other companies and should not be viewed as a projection of future revenue.

    Contact Information: 
    Investor Relations
    Fluent, Inc.
    InvestorRelations@fluentco.com  

    The MIL Network

  • MIL-OSI: BIO-key Reports Q1’25 Revenue of $1.6M and Improved Cash Position of $3.1M; Hosts Investor Call Tomorrow, Friday May 16th at 10am ET

    Source: GlobeNewswire (MIL-OSI)

    HOLMDEL, N.J., May 15, 2025 (GLOBE NEWSWIRE) — BIO-key® International, Inc. (Nasdaq: BKYI), an innovative provider of workforce and customer Identity and Access Management (IAM) solutions featuring passwordless, phoneless and tokenless Identity-Bound Biometric (IBB) authentication, announced results for its first quarter (Q1’25). BIO-key will host an investor call tomorrow, Friday, May 16th at 10:00am ET (details below).

    BIO-key CEO, Mike DePasquale commented, “Our revenue rose approximately 10% sequentially vs. Q4’24, as we continue our transition to selling high-margin BIO-key branded products in Europe, the Middle East and Africa (EMEA). Year-over-year revenue decreased 25% due to a $1.2M two-year contract with a long-term financial services customer we closed in Q1’24, as compared to $690k recorded in Q1’25 from the customer’s addition of incremental biometric capabilities. We expect revenue from this customer to increase significantly in the next two-year period commencing in 2026, due to their expanding deployment and the addition of our one-to-many fingerprint-only biometric ID system that requires no card or account number for client Identification.

    “Our gross margin remained healthy in Q1 at 83%, and we reduced our selling, general and administrative expense by 23% year-over-year. Our cash position increased substantially to $3.1M reflecting proceeds from warrant exercises early in Q1’25. Since December 31, we have also reduced the principal balance on our outstanding note payable. These balance sheet improvements provide solid footing for BIO-key as we pursue new growth opportunities.”

    Q1 Highlights

    Mr. DePasquale continued, “Moving forward, we are seeing growing traction for our identity bound biometric solutions in defense/security and financial services applications that require the highest levels of security. In these use cases, our customers are drawn to our unique ability to authenticate the individual seeking data or network access rather than alternate factors that are far more prone to being compromised. We now support secure biometric authentication for a number of national and international defense and police organizations and are working to leverage these powerful endorsements in our business development efforts.

    “We continue to build our base of government and government related customers who appreciate the flexibility, ease of use and ability to support multiple authentication factors that create a compelling return on investment profile. We see growing interest in our unique passwordless, phoneless and tokenless authentication solutions, which meet the most pressing security and usability challenges.

    “We have built a solid presence in state, local and educational (SLED) markets domestically, as we now serve over 100 institutions with over 4M end users. In Q1’25 the Wyoming Department of Education deployed PortalGuard IDaaS, adding up to 20,000 SaaS end users. Additionally, many existing higher ed customers are migrating from our on-premises solution to PortalGuard IDaaS, further expanding our base of recurring revenue.

    “Building on this, we executed a strategic partnership and Joint Purchase Agreement in Q1’25 with California’s Education Technology Joint Powers Authority (Ed Tech JPA), resulting in PortalGuard becoming an approved solution for the alliance’s 195 K-12 schools and districts, servicing over 2.6M students. Importantly, BIO-key solutions are uniquely positioned to comply with California’s Phone-Free Schools Act (AB-1326) policies limiting or prohibiting smartphone use in schools by July 2026. Most competing solutions rely on phone authenticators or hardware security keys, neither of which are practical solutions for schools.

    “From a strategic standpoint, we are excited about the revenue and margin potential in EMEA now that we have refocused our efforts on BIO-key solutions in those markets. Our transition away from Swivel Secure licensed solutions beginning in the second half of 2024 resulted in some challenging year-over-year revenue comparisons but we fully expect to return our EMEA performance to growth and enhanced margins over the remainder of 2025.

    “Based on the security, flexibility, ease of deployment and compelling ROI provided by our solutions, we feel well positioned to deliver improved top- and bottom-line results in 2025. However, given the timing of large customer orders or renewals, our financial performance is likely to fluctuate on a quarter-to-quarter basis. Given increasing interest in our biometric solutions, growing adoption of passwordless, phoneless and tokenless IAM solutions, our improved balance sheet, strong margin profile, and revenue traction in EMEA markets, we are very optimistic about our growth outlook. We also continue to seek opportunities to reduce costs and lower our breakeven level to support our path to positive cash flow and profitability.”

    Financial Results

    Total revenues decreased to $1,607,159 in Q1’25 from $2,181,203, mainly due to the impact of $1.2M in Q1’24 revenue from a 2-year renewal contract with a long-term financial services customer vs. $690k from this customer in Q1’25. License fee revenue decreased to $1,098,758 in Q1’25 from $1,950,434 a year ago, reflecting the variance in revenue from the long-term financial services customer, as well as the impact on revenue of transitioning from selling third-party Swivel Secure products and services to BIO-key products, in the EMEA region.

    Service revenues increased to $272,598 in Q1’25 from $213,122 in Q1’24, including approximately $265,000 and $193,000, respectively, of recurring maintenance and support revenue, and $8,000 and $20,000, respectively, of non-recurring custom services revenue. The recurring revenue increase of $72,000 or 37% was due to incremental support services for a large customer service agreement. Non-recurring custom services decreased due to the removal of a large Swivel Secure customer.

    Hardware sales increased to $235,803 in Q1’25 from $17,647 in Q1’24, due largely to increased purchases of fingerprint biometric scanners in support of certain customers’ expanded deployments in Q1’25.

    Gross profit decreased to $1,327,661 in Q1’25 from $1,881,560 in Q1’24, reflecting gross margins of 82.6% and 86.3%, respectively. The gross profit decline is due primarily to lower revenue in Q1’25 as well as the impact of higher levels of lower margin hardware revenue.

    BIO-key reduced its Q1’25 operating expenses by $422,195 to $1,968,299 from $2,390,494 in Q1’24, due to reductions of $410,449 in SG&A and $11,746 in research, development and engineering. Q1’25 SG&A expenses decreased 23% to $1,372,524 from $1,782,973 in Q1’24, reflecting reductions in administration, sales personnel costs, and professional service fees. The RD&E decrease was due primarily to lower rent costs.

    Reflecting lower revenues which was partially offset by lower operating costs, BIO-key’s Q1’25 net loss increased to $736,545, or ($0.16) per share, as compared to $510,285, or ($0.32) per share, in Q1’24.

    Balance Sheet

    As of March 31, 2025, BIO-key’s total current assets improved to $4.6M, including $3.1M of cash and cash equivalents, $0.8M of net accounts receivable and due from factor, and approximately $358,000 of inventory. This compares to total current assets of $1.9M at December 31, 2024, including approximately $438,000 of cash and cash equivalents, $0.8M of net accounts receivable and due from factor, and $378,000 of inventory.

    Conference Call Details

    Date / Time: Friday, May 16th at 10 a.m. ET
    Call Dial In #: 1-877-418-5460 U.S. or 1-412-717-9594 Int’l
    Live Webcast / Replay: Webcast & Replay Link – Available for 3 months.
    Audio Replay: 1-877-344-7529 U.S. or 1-412-317-0088 Int’l; code 6501265
       


    About BIO-key International, Inc.
    (www.BIO-key.com)

    BIO-key is revolutionizing authentication and cybersecurity with biometric-centric, multi-factor identity and access management (IAM) software securing access for over forty million users. BIO-key allows customers to choose the right authentication factors for diverse use cases, including phoneless, tokenless, and passwordless biometric options. Its hosted or on-premise PortalGuard IAM solution provides cost-effective, easy-to-deploy, convenient, and secure access to computers, information, applications, and high-value transactions.

    BIO-key Safe Harbor Statement

    All statements contained in this press release other than statements of historical facts are “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 (the “Act”). The words “estimate,” “project,” “intends,” “expects,” “anticipates,” “believes” and similar expressions are intended to identify forward-looking statements. Such forward-looking statements are made based on management’s beliefs, as well as assumptions made by, and information currently available to, management pursuant to the “safe-harbor” provisions of the Act. These statements are not guarantees of future performance or events and are subject to risks and uncertainties that may cause actual results to differ materially from those included within or implied by such forward-looking statements. These risks and uncertainties include, without limitation, our history of losses and limited revenue; our ability to raise additional capital to satisfy working capital needs; our ability to continue as a going concern; our ability to protect our intellectual property; changes in business conditions; changes in our sales strategy and product development plans; changes in the marketplace; continued services of our executive management team; security breaches; competition in the biometric technology and identity access management industries; market acceptance of biometric products generally and our products under development; our ability to convert sales opportunities to customer contracts; our ability to expand into Asia, Africa and other foreign markets; our ability to migrate Swivel Secure customers to BIO-key and Portal Guard offerings; our ability to execute definitive agreements with Fiber Food Systems and/or its customers to utilize our access management solutions; our ability to integrate our solutions into any of Fiber Food System’s offerings; fluctuations in foreign currency exchange rates; the duration and extent of continued hostilities in Ukraine and its impact on our European customers; the impact of tariffs and other trade barriers which may make it more costly for us to import inventory from China and Hong Kong and certain product components from South Korea; delays in the development of products, the commercial, reputational and regulatory risks to our business that may arise as a consequence of the restatement of our financial statements, including any consequences of non-compliance with Securities and Exchange Commission and Nasdaq periodic reporting requirements; our temporary loss of the use of a Registration Statement on Form S-3 to register securities in the future; any disruption to our business that may occur on a longer-term basis should we be unable to continue to maintain effective internal controls over financial reporting, and statements of assumption underlying any of the foregoing as well as other factors set forth under the caption “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2024 and other filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. Except as required by law, we undertake no obligation to disclose any revision to these forward-looking statements whether as a result of new information, future events, or otherwise.

    Engage with BIO-key


    Investor Contacts

    William Jones, David Collins
    Catalyst IR
    BKYI@catalyst-ir.com or 212-924-9800

    BIO-KEY INTERNATIONAL, INC. AND SUBSIDIARIES
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
    (Unaudited)
     
        Three Months Ended  
        March 31,  
        2025     2024  
    Revenues                
    Services   $ 272,598     $ 213,122  
    License fees     1,098,758       1,950,434  
    Hardware     235,803       17,647  
    Total revenues     1,607,159       2,181,203  
    Costs and other expenses                
    Cost of services     98,144       138,849  
    Cost of license fees     72,885       148,221  
    Cost of hardware     108,469       12,573  
    Total costs and other expenses     279,498       299,643  
    Gross profit     1,327,661       1,881,560  
                     
    Operating Expenses                
    Selling, general and administrative     1,372,524       1,782,973  
    Research, development and engineering     595,775       607,521  
    Total Operating Expenses     1,968,299       2,390,494  
    Operating loss     (640,638 )     (508,934 )
    Other income (expense)                
    Interest income     3       5  
    Loan fee amortization     (60,000 )      
    Interest expense     (35,910 )     (1,356 )
    Total other income (expense), net     (95,907 )     (1,351 )
                     
    Loss before provision for income tax     (736,545 )     (510,285 )
                     
    Provision for (income tax) tax benefit            
                     
    Net loss   $ (736,545 )   $ (510,285 )
                     
    Comprehensive loss:                
    Net loss   $ (736,545 )   $ (510,285 )
    Other comprehensive income (loss) – Foreign currency translation adjustment     6,803       (62,275 )
    Comprehensive loss   $ (729,742 )   $ (572,560 )
                     
    Basic and Diluted Loss per Common Share   $ (0.16 )   $ (0.32 )
                     
    Weighted Average Common Shares Outstanding:                
    Basic and diluted     4,702,421       1,615,323  
     
    BIO-KEY INTERNATIONAL, INC. AND SUBSIDIARIES
    CONDENSED CONSOLIDATED BALANCE SHEETS
     
        March 31,     December 31,  
        2025     2024  
        (Unaudited)          
    ASSETS                
    Cash and cash equivalents   $ 3,133,752     $ 437,604  
    Accounts receivable, net     803,277       718,229  
    Due from factor     40,450       74,170  
    Inventory     357,842       378,307  
    Prepaid expenses and other     254,285       278,648  
    Total current assets     4,589,606       1,886,958  
    Equipment and leasehold improvements, net     122,986       140,198  
    Capitalized contract costs, net     375,705       409,426  
    Deposits and other assets     7,976       7,976  
    Operating lease right-of-use assets     67,142       73,372  
    Investments     5,000,000       5,000,000  
    Intangible assets, net     1,020,261       1,097,630  
    Total non-current assets     6,594,070       6,728,602  
    TOTAL ASSETS   $ 11,183,676     $ 8,615,560  
                     
    LIABILITIES                
    Accounts payable   $ 568,836     $ 818,187  
    Accrued liabilities     1,042,411       1,278,732  
    Note payable     762,151       1,525,977  
    Government loan – BBVA Bank, current portion     138,667       132,731  
    Deferred revenue, current     928,291       773,267  
    Operating lease liabilities, current portion     25,260       24,642  
    Total current liabilities     3,465,616       4,553,536  
    Deferred revenue, long term     136,931       196,237  
    Government loan – BBVA Bank – net of current portion     11,666       44,762  
    Operating lease liabilities, net of current portion     42,410       48,994  
    Total non-current liabilities     191,007       289,993  
    TOTAL LIABILITIES     3,656,623       4,843,529  
                     
    Commitments and Contingencies                
                     
    STOCKHOLDERS’ EQUITY                
                     
    Common stock — authorized, 170,000,000 shares; issued and outstanding; 5,814,041 and 3,715,483 of $.0001 par value at March 31, 2025 and December 31, 2024, respectively     582       372  
    Additional paid-in capital     137,514,825       133,030,271  
    Accumulated other comprehensive loss     56,093       49,290  
    Accumulated deficit     (130,044,447 )     (129,307,902 )
    TOTAL STOCKHOLDERS’ EQUITY     7,527,053       3,772,031  
    TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY   $ 11,183,676     $ 8,615,560  
     
    BIO-KEY INTERNATIONAL, INC. AND SUBSIDIARIES
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    (Unaudited)
     
        Three Months Ended March 31,  
        2025     2024  
                     
    CASH FLOW FROM OPERATING ACTIVITIES:                
    Net loss   $ (736,545 )   $ (510,285 )
    Adjustments to reconcile net loss to net cash used for operating activities:                
    Depreciation     21,782       23,808  
    Amortization of intangible assets     76,245       78,005  
    Amortization of capitalized contract costs     46,545       38,665  
    Amortization of Note Payable     60,000        
    Interest payable on Note     35,173        
    Operating leases right-of-use assets     6,230       13,686  
    Share and warrant-based compensation for employees and consultants     52,488       47,790  
    Stock based directors’ fees     9,002       9,003  
    Bad debts     15,000       100,000  
    Change in assets and liabilities:                
    Accounts receivable     (85,048 )     399,749  
    Due from factor     33,720       91,070  
    Capitalized contract costs     (12,824 )     (158,005 )
    Inventory     20,465       5,545  
    Prepaid expenses and other     24,363       (63,513 )
    Accounts payable     (259,571 )     (116,012 )
    Accrued liabilities     (236,321 )     (104,257 )
    Deferred revenue     95,718       455,868  
    Operating lease liabilities     (1,734 )     (14,033 )
    Net cash used in operating activities     (835,312 )     297,084  
    CASH FLOWS FROM INVESTING ACTIVITIES:                
    Capital expenditures     (4,570 )     (1,869 )
    Net cash used in investing activities     (4,570 )     (1,869 )
    CASH FLOW FROM FINANCING ACTIVITIES:                
    Offering costs     (248,783 )     (13,470 )
    Proceeds for exercise of warrants     3,813,057       1,400  
    Receipt of cash from Employee stock purchase plan            
    Repayment of government loan     (35,047 )     (41,821 )
    Net cash used in financing activities     3,529,227       (53,891 )
                     
    Effect of exchange rate changes     6,803       (62,275 )
                     
    NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS     2,696,148       179,049  
    CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD     437,604       511,400  
    CASH AND CASH EQUIVALENTS, END OF PERIOD   $ 3,133,752     $ 690,449  

    The MIL Network

  • MIL-OSI: Innventure Reports First Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    Accelsius continues to build momentum within the large and growing liquid cooling market

    Innventure reiterates confidence in achieving revenue growth inflection during the second half of 2025

    ORLANDO, Fla., May 15, 2025 (GLOBE NEWSWIRE) — Innventure, Inc. (NASDAQ: INV) (“Innventure”), a technology commercialization platform, today announced financial results for the quarter ended March 31, 2025.

    “Innventure’s operating companies continued their momentum to start 2025, with both Accelsius and AeroFlexx further positioning themselves for revenue growth inflection in the second half of this year.” said Bill Haskell, Innventure’s Chief Executive Officer. “We founded Innventure to bring disruptive technologies to market by building companies we believe represent at least $1 billion enterprise value opportunities. Our companies are led by incredibly talented operators who are armed with differentiated technologies designed to meet significant unmet market needs. When it comes to high-growth ventures, timing the inflection point is inherently challenging, but from where we sit today, the confidence we have in our current family of companies has never been higher. ”

    Mr. Haskell continued, “We are most excited about Accelsius’s position in the two-phase, direct-to-chip liquid cooling market. Accelsius has a market leading technology and is engaged in deep discussions with many of the major players including hyperscalers, OEMs, colocation operators and AI-as-a-Service operators. Josh and his team are at the forefront of a seismic liquid cooling adoption cycle that we and data center operators across the ecosystem believe will occur in the near future. Once this shift takes hold, Accelsius is well equipped to catch the wave and drive significant value for our shareholders.”

    Conference Call and Webcast

    A conference call to discuss these results has been scheduled for 5:00 p.m. ET on May 15, 2025. The event will be webcasted live via Innventure’s investor relations website https://ir.innventure.com/ or via this link.

    Parties interested in joining via teleconference can register using this link.

    After registering, you will be provided dial in details and a unique dial-in PIN. Registration is open through the live call, but to ensure you are connected for the full call, we suggest registering in advance.

    Innventure will also post a slide presentation to accompany the prepared remarks to its investor relations website https://ir.innventure.com/ shortly before the of the start of the event.

    About Innventure

    Innventure founds, funds, and operates companies with a focus on transformative, sustainable technology solutions acquired or licensed from multinational corporations. As owner-operators, Innventure takes what it believes to be breakthrough technologies from early evaluation to scaled commercialization utilizing an approach designed to help mitigate risk as it builds disruptive companies it believes have the potential to achieve a target enterprise value of at least $1 billion. Innventure defines ‘‘disruptive’’ as innovations that have the ability to significantly change the way businesses, industries, markets and/or consumers operate.

    Non-GAAP Financial Measures

    We use certain financial measures that are not calculated in accordance with generally accepted accounting principles in the U.S. (GAAP) to supplement our consolidated financial statements. These non-GAAP financial measures provide additional information to investors to facilitate comparisons of past and present operating results, identify trends in our underlying operating performance, and offer greater transparency on how we evaluate our business activities. These measures are integral to our processes for budgeting, managing operations, making strategic decisions, and evaluating our performance.

    Our primary non-GAAP financial measures are EBITDA and Adjusted EBITDA. We define EBITDA as net income before interest, income taxes, and depreciation and amortization. Adjusted EBITDA is defined as EBITDA further adjusted to exclude certain non-cash items, non-recurring expenses, and other items that are not indicative of our core operating activities. These may include stock-based compensation, acquisition costs, and other financial items. We believe Adjusted EBITDA is valuable for investors and analysts as it provides additional insight into our operational performance, excluding the impacts of certain financing, investing, and other non-operational activities. This measure helps in comparing our current operating results with prior periods and with those of other companies in our industry. It is also used internally for allocating resources efficiently, assessing the economic outcomes of acquisitions and strategic decisions, and evaluating the performance of our management team.

    There are limitations to Adjusted EBITDA, including its exclusion of cash expenditures, future requirements for capital expenditures and contractual commitments, and changes in or cash requirements for working capital needs. Adjusted EBITDA also omits significant interest expenses and related cash requirements for interest and payments. While depreciation and amortization are non-cash charges, the associated assets will often need to be replaced in the future, and Adjusted EBITDA does not reflect the cash required for such replacements. Additionally, Adjusted EBITDA does not account for income or other taxes or necessary cash tax payments.

    Investors should use caution when comparing our non-GAAP measure to similar metrics used by other companies, as definitions can vary. Adjusted EBITDA should not be considered in isolation or as a substitute for GAAP financial measures.

    In presenting Adjusted EBITDA, we aim to provide investors with an additional tool for assessing the operational performance of our business. It serves as a useful complement to our GAAP results, offering a more comprehensive understanding of our financial health and operational efficiencies.

    Cautionary Statement Regarding Forward-Looking Statements

    Certain statements in this press release are “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements generally relate to future events or Innventure’s (the “Company’s”) future financial or operating performance, expectations regarding new contractual arrangements, anticipated product line expansions and product testing and market acceptance, and these statements may refer to projections and forecasts. Forward-looking statements are often identified by future or conditional words such as “plan,” “believe,” “expect,” “anticipate,” “intend,” “outlook,” “estimate,” “forecast,” “project,” “continue,” “could,” “may,” “might,” “possible,” “will,” “potential,” “predict,” “should,” “would” and other similar words and expressions (or the negative versions of such words or expressions), but the absence of these words does not mean that a statement is not forward-looking.

    The forward-looking statements are based on the current assumptions and expectations of future events that are inherently subject to uncertainties and changes in circumstances and their potential effects and speak only as of the date of this press release. There can be no assurance that future developments will be those that have been anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond the control of the parties) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, those factors described in the Company’s public filings made with the Securities and Exchange Commission and the following: (a) the Company’s and its subsidiaries’ ability to execute on strategies and achieve future financial performance, including their respective future business plans, expansion and acquisition plans or objectives, prospective performance and opportunities and competitors, revenues, products and services, pricing, operating expenses, market trends, liquidity, cash flows and uses of cash, capital expenditures, and the Company’s and its subsidiaries’ ability to invest in growth initiatives; (b) the implementation, market acceptance and success of the Company’s and its subsidiaries’ business models and growth strategies; (c) the Company’s and its subsidiaries’ future capital requirements and sources and uses of cash; (d) the Company’s access to funds under the Standby Equity Purchase Agreement with YA II PN, Ltd. (“YA”) or the Securities Purchase Agreement and related convertible debentures with YA due to certain conditions, restrictions and limitations set forth therein; (e) certain restrictions and limitations set forth in the Company’s debt instruments, which may impair the Company’s financial and operating flexibility; (f) the Company and its subsidiaries ability to generate liquidity and maintain sufficient capital to operate as anticipated; (g) the Company’s and its subsidiaries’ ability to obtain funding for their operations and future growth and to continue as going concerns; (h) the risk that the technology solutions that the Company and its subsidiaries license or acquire from third parties or develop internally may not function as anticipated or provide the benefits anticipated; (i) developments and projections relating to the Company’s and its subsidiaries’ competitors and industry; (j) the ability of the Company and its subsidiaries to scale the operations of their businesses; (k) the ability of the Company and its subsidiaries to establish substantial commercial sales of their products; (l) the ability of the Company and its subsidiaries to compete against companies with greater capital and other resources or superior technology or products; (m) the Company and its subsidiaries’ ability to meet, and to continue to meet, applicable regulatory requirements for the use of their respective products and the numerous regulatory requirements generally applicable to their businesses; (m) the outcome of any legal proceedings against the Company or its subsidiaries; (o) the Company’s ability to find future opportunities to license or acquire breakthrough technology solutions from multinational corporations or other third parties (“Technology Solutions Provider”) and to satisfy the requirements imposed by or to avoid disagreements with its current and future Technology Solutions Providers; (p) the risk that the launch of new companies distracts the Company’s management from its other subsidiaries and their operations; (q) the risk that the Company may be deemed an investment company under the Investment Company Act, which would impose burdensome compliance requirements and restrictions on its activities; (r) the ability of the Company and its subsidiaries to sufficiently protect their intellectual property rights and to avoid or resolve in a timely and cost-effective manner any disputes that may arise relating to its use of the intellectual property of third parties; (s) the risk of a cyber-attack or a failure of the Company’s or its subsidiaries’ information technology and data security infrastructure; (t) geopolitical risk and changes in applicable laws or regulations; (u) potential adverse effects of other economic, business, and/or competitive factors; (v) operational risks related to the Company and its subsidiaries that have limited or no operating history; and (w) limited liquidity and trading of the Company’s securities.

    Except to the extent required by applicable law or regulation, the Company undertakes no obligation to update statements to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.

    Media Contact: Laurie Steinberg, Solebury Strategic Communications
    press@innventure.com

    Investor Relations Contact: Sloan Bohlen, Solebury Strategic Communications
    investorrelations@innventure.com

    Innventure, Inc. and Subsidiaries
    Condensed Consolidated Balance Sheets

    (in thousands, except share and per share amounts)

     
      March 31, 2025
    (Unaudited)
      December 31, 2024
    Assets      
    Cash, cash equivalents and restricted cash $ 1,375     $ 11,119  
    Accounts receivable   237       283  
    Due from related parties   124       4,536  
    Inventories   5,220       5,178  
    Prepaid expenses and other current assets   3,329       3,170  
    Total Current Assets   10,285       24,286  
    Investments   33,684       28,734  
    Property, plant and equipment, net   2,186       1,414  
    Intangible assets, net   176,750       182,153  
    Goodwill   436,807       667,936  
    Other assets   707       766  
    Total Assets $ 660,419     $ 905,289  
    Liabilities and Stockholders’ Deficit      
    Accounts payable $ 5,061     $ 3,248  
    Accrued employee benefits   11,216       9,273  
    Accrued expenses   3,102       2,478  
    Related party notes payable – current         14,000  
    Notes payable – current   2,141       625  
    Patent installment payable – current   700       1,225  
    Obligation to issue equity   261       4,158  
    Warrant liability   24,003       34,023  
    Income taxes payable   500        
    Other current liabilities   340       317  
    Total Current Liabilities   47,324       69,347  
    Notes payable, net of current portion   12,346       13,654  
    Earnout liability   7,470       14,752  
    Stock-based compensation liability   718       1,160  
    Patent installment payable, net of current   12,375       12,375  
    Deferred income taxes   25,454       27,353  
    Other liabilities   260       355  
    Total Liabilities   105,947       138,996  
    Commitments and Contingencies (Note 16)      
    Mezzanine Equity      
    Preferred Stock, $0.0001 par value, 25,000,000 shares authorized, 2,885,848 and — shares issued and outstanding as of March 31, 2025 and December 31, 2024, respectively   28,727        
    Stockholders’ Equity      
    Preferred Stock, $0.0001 par value, 25,000,000 shares authorized, 1,118,808 and 1,102,000 shares issued and outstanding as of March 31, 2025 and December 31, 2024, respectively          
    Common Stock, $0.0001 par value, 250,000,000 shares authorized, 47,103,800 and 44,597,154 shares issued and outstanding as of March 31, 2025 and December 31, 2024, respectively   5       4  
    Additional paid-in capital   484,256       502,865  
    Accumulated other comprehensive (loss) gain   (1,478 )     909  
    Accumulated deficit   (221,285 )     (78,262 )
    Total Innventure, Inc., Stockholders’ Equity   261,498       425,516  
    Non-controlling interest   264,247       340,777  
    Total Stockholders’ Equity   525,745       766,293  
    Total Liabilities, Mezzanine and Stockholders’ Equity $ 660,419     $ 905,289  

    See accompanying notes to condensed consolidated financial statements.

    Innventure, Inc. and Subsidiaries

    Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)

    (Unaudited) (in thousands, except share and per share amounts)

     
      Successor     Predecessor
      Three months
    ended March 31,
    2025
        Three months
    ended March 31,
    2024
    Revenue $ 224       $ 224  
             
    Operating Expenses        
    Cost of sales   184          
    General and administrative   19,676         7,904  
    Sales and marketing   2,096         1,183  
    Research and development   6,253         1,669  
    Goodwill impairment   233,213          
    Total Operating Expenses   261,422         10,756  
             
    Loss from Operations   (261,198 )       (10,532 )
             
    Non-operating (Expense) and Income        
    Interest expense, net   (1,538 )       (405 )
    Net gain on investments           5,189  
    Net loss on investments – due to related parties           (186 )
    Change in fair value of financial liabilities   16,429         (478 )
    Equity method investment (loss) gain   (6,756 )       5  
    Realized gain on conversion of available for sale investment   1,507          
    Loss on extinguishment of related party debt   (3,538 )        
    Loss on conversion of promissory notes           (1,119 )
    Miscellaneous other income   21          
    Total Non-operating Income   6,125         3,006  
             
    Loss before income taxes   (255,073 )       (7,526 )
             
    Income tax benefit   (1,399 )        
    Net Loss   (253,674 )       (7,526 )
    Less: net loss attributable to        
    Non-redeemable non-controlling interest   (110,677 )       (2,307 )
    Net Loss Attributable to Innventure, Inc. Stockholders / Innventure LLC Unitholders   (142,997 )       (5,219 )
             
    Basic and diluted loss per share $ (3.10 )      
    Basic and diluted weighted average common shares   46,252,922        
             
    Other comprehensive loss, net of taxes:        
    Unrealized loss on available for sale debt securities – related party   (880 )        
    Reclassification of realized gain on conversion of available for sale investments   (1,507 )        
    Total other comprehensive loss, net of taxes   (2,387 )        
             
    Total comprehensive loss, net of taxes   (256,061 )       (7,526 )
    Less: comprehensive loss attributable to        
    Non-redeemable non-controlling interest   (110,677 )       (2,307 )
    Net Comprehensive Loss Attributable to Innventure, Inc. Stockholders / Innventure LLC Unitholders $ (145,384 )     $ (5,219 )

            See accompanying notes to condensed consolidated financial statements.

    Innventure, Inc. and Subsidiaries

    Condensed Consolidated Statements of Changes in Unitholders’ Deficit (Predecessor)

    (Unaudited) (in thousands, except share and per share amounts)

     
      Class B
    Preferred
      Class B-1
    Preferred
      Class A   Class C   Accumulated
    Deficit
      Accumulated
    OCI
      Non-
    Controlling
    Interest
      Total
    (Deficit)
    Equity
    December 31, 2023   38,122     3,323     1,950     844     (64,284 )         1,559       (18,486 )
    Net loss                   (5,219 )         (2,307 )     (7,526 )
    Units issued to non-controlling interest                             3,503       3,503  
    Issuance of preferred units, net of issuance costs   7,566                                 7,566  
    Unit-based compensation               51               345       396  
    Issuance of units to non-controlling interest in exchange of convertible promissory notes                             8,443       8,443  
    Accretion of redeemable units to redemption value                   (4,415 )               (4,415 )
    March 31, 2024 $ 45,688   $ 3,323   $ 1,950   $ 895   $ (73,918 )   $   $ 11,543     $ (10,519 )
                                   

    See accompanying notes to condensed consolidated financial statements.

    Innventure, Inc. and Subsidiaries

    Condensed Consolidated Statements of Changes in Mezzanine and Stockholders’ Equity (Deficit) (Successor)

    (Unaudited) (in thousands, except share and per share amounts)

     
      Stockholders’ Equity     Mezzanine
    Equity
      Preferred
    Stock
      Common
    Stock
                            Preferred
    Stock
      Shares   Amount   Shares   Amount   Additional
    Paid-In
    Capital
      Accumulated
    Deficit
      Accumulated
    OCI
      Non-
    Controlling
    Interest
      Total
    Stockholders’
    Equity
        Shares   Amount
    December 31, 2024 1,102,000     $   44,597,154   $ 4   $ 502,865     $ (78,262 )   $ 909     $ 340,777     $ 766,293         $  
    Net loss                       (142,997 )           (110,677 )     (253,674 )          
    Series B Preferred Stock buyback (5,000 )               (50 )                       (50 )          
    Series B Preferred Stock issued for paid-in-kind dividends 21,808                 218                         218            
    Issuance of common shares, net of issuance costs         161,964         1,927                         1,927            
    Vesting of earnout shares         2,344,682     1     873                         874            
    Other comprehensive gain, net of taxes                             (2,387 )           (2,387 )          
    Conversion of related party notes                                               2,310,848     23,108  
    Issuance of Series C Preferred Stock, net                                               575,000     5,663  
    Non-controlling interest issued and related transfers                 (26,303 )                 33,249       6,946            
    Distributions to Stockholders                       (26 )                 (26 )          
    Stock-based compensation                 4,943                   898       5,841            
    Accrued preferred dividends                 (217 )                       (217 )         (44 )
    March 31, 2025 1,118,808     $   47,103,800   $ 5   $ 484,256     $ (221,285 )   $ (1,478 )   $ 264,247     $ 525,745       2,885,848   $ 28,727  

    See accompanying notes to condensed consolidated financial statements.

    Innventure, Inc. and Subsidiaries

    Condensed Consolidated Statements of Cash Flows

    (Unaudited) (in thousands, except share and per share amounts)

     
      Successor     Predecessor
      Three months ended
    March 31, 2025
        Three months ended
    March 31, 2024
    Cash Flows Used in Operating Activities        
    Net loss $ (253,674 )     $ (7,526 )
    Adjustments to reconcile net loss to net cash and cash equivalents used in operating activities:        
    Stock-based compensation   5,841         396  
    Interest income on debt securities – related party   (91 )        
    Change in fair value of financial liabilities   (16,429 )       478  
    Change in fair value of payables due to related parties           186  
    Non-cash interest expense on notes payable   510         230  
    Net (gain) loss on investments           (5,189 )
    Equity method investment gain (loss)   6,756         (5 )
    Realized gain on conversion of available for sale investments   (1,507 )        
    Loss on extinguishment of related party debt   3,538          
    Loss on conversion of promissory notes           1,119  
    Deferred income taxes   (1,899 )        
    Depreciation and amortization   5,548          
    Goodwill impairment   233,213          
    Payment of patent installment   (525 )        
    Non-cash rent costs   61          
    Other, net           67  
    Changes in operating assets and liabilities:        
    Accounts receivable   46          
    Prepaid expenses and other current assets   (122 )       (136 )
    Inventory   (42 )        
    Accounts payable   1,587         1,234  
    Accrued employee benefits   1,943         1,329  
    Accrued expenses   565         488  
    Stock-based compensation liability   (442 )        
    Income taxes payable   500          
    Other current liabilities   (73 )       (68 )
    Net Cash Used in Operating Activities   (14,696 )       (7,397 )
             
    Cash Flows Used in Investing Activities        
    Investment in available-for-sale debt securities – equity method investee   (2,337 )        
    Advances to equity method investee           (2,540 )
    Acquisition of property, plant and equipment   (917 )       (640 )
    Net Cash Used in Investing Activities   (3,254 )       (3,180 )
             
    Cash Flows Provided by Financing Activities        
    Proceeds from issuance of equity, net of issuance costs   3,675         7,116  
    Proceeds from the issuance of equity to non-controlling interest, net of issuance costs   4,907         3,503  
    Payment of debts   (300 )       (460 )
    Distributions to Stockholders   (26 )        
    Payment of promissory notes to related parties            
    Repurchase of Preferred Stock   (50 )        
    Cash Flows Provided by Financing Activities   8,206         10,159  
             
    Net Decrease in Cash, Cash Equivalents and Restricted Cash   (9,744 )       (418 )
    Cash, Cash Equivalents and Restricted Cash Beginning of period   11,119         2,575  
    Cash, Cash Equivalents and Restricted Cash End of period $ 1,375       $ 2,157  

    See accompanying notes to condensed consolidated financial statements.

    Innventure, Inc. and Subsidiaries

    Condensed Consolidated Statements of Cash Flows

    (Unaudited) (in thousands, except share and per share amounts)

     
      Successor     Predecessor
      Three months ended
    March 31, 2025
        Three months ended
    March 31, 2024
    Supplemental Cash Flow Information        
    Cash paid for interest $ 1,127     $ 55
    Supplemental Disclosure of Noncash Financing Information        
    Accretion of redeemable units to redemption value         4,415
    Issuance of units to non-controlling interest in exchange of convertible promissory notes         7,324
    Conversion of working capital loans to equity method investee into investments in debt securities – related party   4,375      
    Extinguishment of debt with Series C Preferred Stock   14,000      
    Contribution of Series C Preferred Stock to equity method investee   5,783      
    Conversion of AFX available-for-sale term loan into equity method investments   8,757      
    Issuance of stock in exchange for services   4,002      
    Equity reallocation between non-controlling interest and additional paid-in capital   26,304      

    See accompanying notes to condensed consolidated financial statements.

    Innventure, Inc. and Subsidiaries

    Non-GAAP Financial Measures

    (in thousands, except share and per share amounts)

     
      Successor     Predecessor
      Three months ended
    March 31, 2025
        Three months ended
    March 31, 2024
    Net loss (253,674 )     (7,526 )
    Interest expense, net(1) 1,538       405  
    Depreciation and amortization expense 5,548        
    Income tax benefit (1,399 )      
    EBITDA (247,987 )     (7,121 )
    Transaction and other related costs(2)       3,272  
    Change in fair value of financial liabilities(3) (16,429 )     478  
    Stock-based compensation(4) 5,841       396  
    Goodwill impairment(5) 233,213        
    Loss on extinguishment of related party debt(6) 3,538        
    Loss on conversion of promissory notes       1,119  
    Adjusted EBITDA (21,824 )     (1,856 )

    (1) Interest Expense, net, includes interest incurred on our various borrowing facilities and the amortization of debt issuance costs.
    (2) Transaction and other related costs – For the three months ended March 31, 2025 (Successor) and three months ended March 31, 2024 (Predecessor), this is comprised of consulting, legal, and other professional fees related to the Business Combination.
    (3) Change in fair value of financial liabilities – For the three months ended March 31, 2025 (Successor), the change in fair value of financial liabilities primarily consists of the change in fair value of the warrant liability and the earnout liability. For the three months ended March 31, 2024 (Predecessor), this is comprised entirely of the change in fair value of the embedded derivative associated with the convertible notes.
    (4) Stock based compensation – For the three months ended March 31, 2025 (Successor), stock based compensation primarily consisted of awards in the 2024 Equity and Incentive Plan entered into on October 2, 2024 subsequent to the Business Combination. These awards consisted of Stock Options, Restricted Stock Units, and Stock Appreciation Rights. Further, a portion of this expense was related to share based payment employee incentive plans in existence at Innventure LLC and other subsidiaries. For the three months ended March 31, 2024 (Predecessor), stock based compensation was comprised wholly of share based payment employee incentive plans in existence at Innventure LLC and other subsidiaries.
    (5) Goodwill impairment – For the three months ended March 31, 2025 (Successor), the Company recognized a goodwill impairment charge due to sustained decreases in the Company’s publicly quoted share price and market capitalization, which were, at least in part, sensitive to the general downward volatility experienced in the stock market during late February and March. There was no similar goodwill impairment charge for the three months ended March 31, 2024 (Predecessor).
    (6) Loss on extinguishment of related party debt – For the three months ended March 31, 2025 (Successor), the Company extinguished certain related party debts by issuing Series C Preferred Stock. There was no loss on extinguishment of related party debt for the three months ended March 31, 2024 (Predecessor).

    The MIL Network

  • MIL-OSI: Airship AI Reports First Quarter 2025 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    First Quarter 2025 Net Revenues of $5.5 Million, Gross Profit of $2.2 Million and Gross Margin of 40%

    Increased Investments In Our People And Digital Transformation Will Enable Us To Stay Resilient and Ready In A Rapidly Changing Marketplace

    New Pro-U.S. Border Security Administration Provides Additional Macro Tailwinds for 2025 & Beyond

    REDMOND, Wash., May 15, 2025 (GLOBE NEWSWIRE) — Airship AI Holdings, Inc. (NASDAQ: AISP) (“Airship AI” or the “Company”), a leader in AI-driven video, sensor, and data management surveillance solutions, today reported its financial and operational results for the first quarter ended March 31, 2025.

    Q1 2025 Financial Highlights

    • Net revenues for the quarter ended March 31, 2025 were $5.5 million.
    • Gross profits for the quarter ended March 31, 2025 were $2.2 million.
    • Gross margin percentage was 40% for the quarter ended March 31, 2025. The margins reflected increased solution sales with more third-party hardware than Airship AI software.
    • Operating loss was $1.7 million for the quarter ended March 31, 2025 reflected in increased stock based compensation and increased investments in sales and marketing related expenditures which should increase future sales.
    • Other income for the quarter ended March 31, 2025 was $25.4 million, primarily due to a gain from a change in the fair value of earnout liability of $9.8 million, and a change in fair value of warrant liability of $15.5 million.
    • Net income for the quarter ended March 31, 2025 was $23.7 million, or $0.75 per basic share, primarily related to noncash income of $25.4 million.
    • Net cash used in operating activities was $2.1 million in the quarter ended March 31, 2025.
    • Cash and cash equivalents were $8.8 million as of March 31, 2025.

    Q1 2025 & Subsequent Operational Highlights

    • Backlog as of March 31, 2025 was $2.0 million, representing firm fixed price contracts awarded in the fourth quarter of 2024 or first quarter of 2025 that will be shipped and invoiced through the remainder of calendar year 2025. Backlog is not indicative of future quarterly revenue as approximately 75% of quarterly revenue is transactional and recognized in the same quarter.
    • Our total validated pipeline at the end of the quarter was approximately $135 million, consisting of single and multi-year opportunities for AI-driven edge, video, and sensor and data management platform across all our customer verticals. Our pipeline includes opportunities at varying stages of progression with expected award timeframes throughout the next 18-24 months.
    • Due to the sensitive nature of many of our customers and deployment use cases, we are often restricted from publicly disclosing awards and or limited as to the specifics of the customer and use case. Consequently, most of our awards are executed on closed or restricted contract vehicles which further limits the sharing of information that might be otherwise available.
    • We grew our internal sales and sales engineering force, adding seasoned sales professionals with deep industry expertise, partner relationships, and customer knowledge that will allow us to ramp up quickly.
    • We participated in multiple customer facing tradeshows during the quarter including brand new industry wide and vertically focused shows where we had a significantly increased level of participation and or visibility as compared to historical participation.
    • As part of our transition to a partner driven sales model, we participated in several partner shows and events, including those sponsored by integrators and dealers, and those by manufacturers of hardware sensors and or solutions that we integrate with and manage for our customers.
    • We hosted our invite only government focused customer event outside Austin, TX, demonstrating and training on the latest in Airship AI developed and or supported solutions. This year’s focus was on solutions supporting challenges along the southern border and was well attended by agencies across the federal government.
    • On April 23, 2025, we entered into an At the Market Offering Agreement with Roth Capital Partners, LLC, as sales agent, pursuant to which we may, from time to time, offer and sell shares of our common stock up to a maximum of $25 million, which shares are registered on a registration statement that we filed with the U.S. Securities and Exchange Commission (the “SEC”), using a “shelf” registration process. Under this shelf registration process, we may offer to sell any of the securities, or any combination of the securities, described in this prospectus, in each case, in one or more offerings, up to $50 million.
    • On March 21, 2025, our shelf registration statement on Form S-3 for the sale of up to $50 million of our securities was declared effective by the SEC.

    2025 Outlook

    • 30% revenue growth and positive cash flow for calendar year 2025 supported by a strong and validated pipeline of ~$135 million, improving gross profit margins, and a strong recurring revenue model.
    • Make tactical and strategic investments across our sales and business development organizations through organic cash flow from business operations and the potential cash exercise of public warrants.
    • Release new Outpost AI product offerings as well as expand custom trained AI models supporting emerging edge analytic workflows.
    • Continue innovation across our core Acropolis software platform supporting new workflows for cloud-based deployments in highly secure operational environments.
    • Develop and execute expansionary opportunities in the commercial and retail markets, particularly around those companies involved in combating organized retail crime.
    • Improve sourcing, supply chain management and production-based process efficiencies to help drive continued margin expansion.
    • Focus on brand awareness and engagement in new verticals through targeted marketing outreach opportunities, social media platforms, Airship AI hosted technology events, and industry tradeshow events.

    Management Commentary

    “The first quarter of 2025 was largely overshadowed by the actions of the new administration as they worked to finalize the approval and release of budgets and special appropriations,” said Paul Allen, President of Airship AI. “In the face of these headwinds, our team was able to generate solid revenues for the quarter of $5.5 million at a gross margin percentage of 40%, while increasing our investments in our people and customers.

    “As we worked to successfully execute awarded contracts in our current backlog, we dedicated significant time and resources to advancing pipeline opportunities. These efforts are positioning us to move quickly once budgets are approved and released. Based on current forecasts, we anticipate meaningful activity beginning mid-second quarter, with continued growth expected through the end of Q2 and into Q3.

    “Simultaneously, many of our federal customers are projecting increased funding through supplemental appropriations. This has initiated a wave of market research discussions focused on potential solutions to address emerging mission needs. We anticipate that many of these conversations will evolve into tangible opportunities extending across the current and upcoming fiscal years.

    “In the commercial segment, our strategic push into new market verticals, driven by partnerships with integrators and business collaborators, has been met with strong interest. Several early wins confirm both the market’s appetite for differentiated solutions and the soundness of our strategic investment in people and partners. This validation further supports continued investment to build on our momentum and drive sustained growth.

    “These collected efforts have also affirmed that we are on the right track with our digital transformation strategy, focused squarely on how AI at the far and near edge can solve for our customers’ existing and emerging threats in the public safety and security space. Building on our existing investments in the AI Factory, we expect to launch several new products in 2025, including advanced computer vision analytics powered by machine learning and a Generative AI application that will transform how customers access and interact with their data.

    “Finally, amid broader macroeconomic conditions, we are closely monitoring tariff developments. As a U.S.-based software company, we do not expect these tariffs to significantly impact our core business. In areas where we provide hardware solutions, such as our Outpost AI edge appliance, we work proactively with global suppliers to maintain optimal inventory levels. This approach helps us manage costs effectively and ensure timely, competitively priced delivery of our products and services.

    “The combination of our strong existing pipeline focused on leveraging existing budgets, increased business development opportunities leveraging supplemental appropriations, and the investments in people and customers already made leaves us confident in our ability to execute against our stated objectives of 30% YoY revenue growth and achieving cash flow positive operations,” concluded Mr. Allen.

    About Airship AI Holdings, Inc.

    Founded in 2006, Airship AI (NASDAQ: AISP) is a U.S. owned and operated technology company headquartered in Redmond, Washington. Airship AI is an AI-driven video, sensor and data management surveillance platform that improves public safety and operational efficiency for public sector and commercial customers by providing predictive analysis of events before they occur and meaningful intelligence to decision makers. Airship AI’s product suite includes Outpost AI edge hardware and software offerings, Acropolis enterprise management software stack, and Command family of visualization tools.

    For more information, visit https://airship.ai.

    Forward-Looking Statements

    The disclosure herein includes certain statements that are not historical facts but are forward-looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by words such as “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “should,” “would,” “plan,” “project,” “forecast,” “predict,” “potential,” “seem,” “seek,” “future,” “outlook,” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters, but the absence of these words does not mean that a statement is not forward looking. These forward-looking statements include, but are not limited to, (1) statements regarding estimates and forecasts of financial, performance and operational metrics and projections of market opportunity; (2) changes in the market for Airship AI’s services and technology, expansion plans and opportunities; (3) the projected technological developments of Airship AI; and (4) current and future potential commercial and customer relationships. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of Airship AI’s management and are not predictions of actual performance. These forward-looking statements are also subject to a number of risks and uncertainties, as set forth in the section entitled “Risk Factors” in its Annual Report on Form 10-K for the year ended December 31, 2024, filed with the SEC on February 28, 2025, and the other documents that the Company has filed, or will file, with the SEC. If any of these risks materialize or our assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. In addition, forward looking statements reflect the Company’s expectations, plans or forecasts of future events and views as of the date of this press release. The Company anticipates that subsequent events and developments will cause its assessments to change. However, while it may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company’s assessments as of any date subsequent to the date of this press release. Accordingly, undue reliance should not be placed upon the forward-looking statements.

    Investor Contact:

    Chris Tyson/Larry Holub
    MZ North America
    949-491-8235
    AISP@mzgroup.us

     
    AIRSHIP AI HOLDINGS, INC.
    CONDENSED CONSOLIDATED BALANCE SHEETS
    As of March 31, 2025 and December 31, 2024
                 
        March 31,
    2025
        December 31,
    2024 (1)
     
    ASSETS   Unaudited        
                 
    CURRENT ASSETS:            
    Cash and cash equivalents   $ 8,812,178     $ 11,414,830  
    Accounts receivable, net of allowance for credit losses of $0     2,782,650       1,226,757  
    Prepaid expenses and other     67,311       17,883  
    Total current assets     11,662,139       12,659,470  
                     
    OTHER ASSETS                
    Other assets     165,960       165,960  
    Operating lease right of use asset     1,102,967       882,024  
                     
    TOTAL ASSETS   $ 12,931,066     $ 13,707,454  
                     
    LIABILITIES AND STOCKHOLDERS’ DEFICIT                
                     
    CURRENT LIABILITIES:                
    Accounts payable – trade   $ 2,179,847     $ 759,480  
    Advances from founders     700,000       1,300,000  
    Accrued expenses     60,551       51,649  
    Current portion of operating lease liability     405,916       305,178  
    Deferred revenue- current portion     2,948,695       3,238,483  
    Total current liabilities     6,295,009       5,654,790  
                     
    NON-CURRENT LIABILITIES:                
    Operating lease liability, net of current portion     758,376       638,525  
    Warrant liability     18,659,435       34,180,618  
    Earnout liability     8,199,079       23,304,808  
    Deferred revenue- non-current     2,528,716       2,951,850  
    Total liabilities     36,440,615       66,730,591  
                     
    COMMITMENTS AND CONTINGENCIES (Note 9)                
                     
    STOCKHOLDERS’ DEFICIT:                
    Preferred stock – no par value, 5,000,000 shares authorized, 0 shares issued and outstanding as of March 31, 2025 and December 31, 2024            
    Common stock – $0.0001 par value, 200,000,000 shares authorized, 31,844,471 and 30,588,413 shares issued and outstanding as of March 31, 2025 and December 31, 2024     3,182       3,056  
    Additional paid in capital     27,731,753       21,918,867  
    Accumulated deficit     (51,233,605 )     (74,941,590 )
    Accumulated other comprehensive loss     (10,879 )     (3,470 )
    Total stockholders’ deficit     (23,509,549 )     (53,023,137 )
                     
    TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT   $ 12,931,066     $ 13,707,454  
                     
     
    AIRSHIP AI HOLDINGS, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
    For the three months ended March 31, 2025 and 2024
    (Unaudited)
           
        Three Months Ended  
        March 31, 2025     March 31, 2024  
        Unaudited     Unaudited  
    NET REVENUES:            
    Product   $ 4,497,240     $ 9,398,776  
    Post contract support     998,051       1,176,239  
    Other services     7,737        
          5,503,028       10,575,015  
    COST OF NET REVENUES:                
    Cost of Sales     2,923,087       7,789,409  
    Post contract support     312,021       157,479  
    Other services     32,916        
          3,268,024       7,946,888  
    GROSS PROFIT     2,235,004       2,628,127  
    RESEARCH AND DEVELOPMENT EXPENSES     719,382       695,366  
    SELLING, GENERAL AND ADMINISTRATIVE EXPENSES     3,229,979       3,335,294  
    TOTAL OPERATING EXPENSES     3,949,361       4,030,660  
    OPERATING LOSS     (1,714,357 )     (1,402,533 )
    OTHER INCOME (EXPENSE) :                
    Gain (loss) from change in fair value of earnout liability     9,823,605       (21,484,850 )
    Gain (loss) from change in fair value of warrant liability     15,521,183       (6,847,091 )
    Loss from change in fair value of convertible debt           (2,039,377 )
    Loss on note conversion           (158,794 )
    Interest income (expense), net     77,554       (31,824 )
    Total other income (expense), net     25,422,342       (30,561,936 )
                     
    INCOME (LOSS) BEFORE PROVISION FOR INCOME TAXES     23,707,985       (31,964,469 )
                     
    Provision for income taxes            
                     
    NET INCOME (LOSS)     23,707,985       (31,964,469 )
                     
    OTHER COMPREHENSIVE (LOSS) INCOME                
    Foreign currency translation (loss) income, net     (7,409 )     3,239  
                     
    TOTAL COMPREHENSIVE INCOME (LOSS)   $ 23,700,576     $ (31,961,230 )
                     
    NET INCOME (LOSS) PER SHARE:                
    Basic   $ 0.75     $ (1.40 )
    Diluted   $ 0.61     $ (1.40 )
                     
    Weighted average shares of common stock outstanding                
    Basic     31,704,117       22,898,487  
    Diluted     38,820,839       22,898,487  
                     
     
    AIRSHIP AI HOLDINGS, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    For the three months ended March 31, 2025 and 2024
    (Unaudited)
           
        Three Months Ended  
        March 31, 2025     March 31, 2024  
        Unaudited     Unaudited  
    CASH FLOWS FROM OPERATING ACTIVITIES:            
    Net income (loss)   $ 23,707,985     $ (31,964,469 )
    Adjustments to reconcile net income (loss) to net cash used in operating activities                
    Depreciation and amortization           1,861  
    Stock-based compensation     428,286       268,989  
    Amortization of operating lease right of use asset     83,396       80,291  
    (Gain) loss from change in fair value of warrant liability     (15,521,183 )     6,847,091  
    (Gain) loss from change in fair value of earnout liability     (9,823,605 )     21,484,850  
    Loss from change in fair value of convertible note           2,039,377  
    Loss on note conversion           158,794  
    Changes in operating assets and liabilities:                
    Accounts receivable     (1,555,893 )     (55,525 )
    Prepaid expenses and other     (49,428 )     2,010  
    Other assets           1,901  
    Operating lease liability     (83,750 )     (67,211 )
    Payroll and income tax receivable           (2,410 )
    Accounts payable – trade and accrued expenses     1,429,270       433,415  
    Deferred revenue     (712,922 )     (924,048 )
    NET CASH USED IN OPERATING ACTIVITIES     (2,097,844 )     (1,695,084 )
                     
    CASH FLOWS FROM FINANCING ACTIVITIES:                
    Proceeds from warrant exercise, net     59,400       293,249  
    Repayment of advances from founders     (600,000 )      
    Proceeds from stock option exercises     43,201        
                     
    NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES     (497,399 )     293,249  
                     
    NET DECREASE IN CASH AND CASH EQUIVALENTS     (2,595,243 )     (1,401,835 )
                     
    Effect from exchange rate on cash     (7,409 )     3,239  
                     
    CASH AND CASH EQUIVALENTS, beginning of period     11,414,830       3,124,413  
                     
    CASH AND CASH EQUIVALENTS, end of period   $ 8,812,178     $ 1,725,817  
                     
    Supplemental disclosures of cash flow information:                
    Interest paid   $     $  
    Taxes paid   $     $ 2,410  
                     
    Noncash investing and financing                
    Issuance of common stock for debt conversion   $     $ 835,610  
    Issuance of common stock for earnout shares   $ 5,282,125     $  
    Recognition of operating right-of-use asset   $ 304,339     $  
    Recognition of operating lease liability   $ 304,339     $  
                     

    The MIL Network

  • MIL-OSI: Firsthand Technology Value Fund Announces First Quarter Financial Results, NAV of $0.12 Per Share

    Source: GlobeNewswire (MIL-OSI)

    SAN JOSE, Calif., May 15, 2025 (GLOBE NEWSWIRE) — Firsthand Technology Value Fund, Inc. (OTCQB: SVVC) (the “Fund”), a publicly traded venture capital fund that invests in technology and cleantech companies, announced today its financial results for the quarter ended March 31, 2025.

    As of March 31, 2025, the Fund’s net assets were approximately $0.8 million, or $0.12 per share, compared with net assets of approximately $1.1 million, or $0.15 per share as of December 31, 2024. As of March 31, 2025, the Fund’s portfolio included public and private securities valued at approximately $0.7 million, or $0.10 per share, which includes approximately $0.07 per share in cash and cash equivalents.

    Portfolio Summary (as of 3/31/25)

    Investment Fair Value1, Fair Value
    per Share1,2
    Equity/Debt Investments $0.24 million $0.04
    Cash/Cash Equivalents $0.45 million $0.07
    Other Assets $0.79 million $0.12
    Total Assets $1.49 million $0.22
    Total Liabilities $0.65 million $0.09
    Net Assets $0.84 million $0.12
    1 Numbers may not sum due to rounding.
    2 Total shares outstanding: 6,893,056.
     

    During the first quarter of 2025, the Valuation Committee, which was composed of two independent directors, adjusted the fair values of the private companies in our portfolio. In arriving at these determinations and consistent with the Fund’s valuation procedures, and ASC 820, the Valuation Committee took into account information from an independent valuation firm and considered many factors, including the performance of the portfolio companies, recent transactions in the companies’ securities, as well as the impact of changes in market multiples within certain sectors.

    For the quarter ended March 31, 2025, the Fund reported total investment income of approximately $6 thousand. After fees and expenses, the Fund reported a net investment loss of approximately $113 thousand. The Fund reported net realized and unrealized losses on investments of approximately $110 thousand for the quarter.

    Throughout the quarter, the Fund continued its efforts to manage its portfolio prudently, including working with its portfolio companies and their management teams to seek to enhance performance and uncover potential exit opportunities.

    About Firsthand Technology Value Fund
    Firsthand Technology Value Fund, Inc. is a publicly traded venture capital fund that invests in technology and cleantech companies. More information about the Fund and its holdings can be found online at www.firsthandtvf.com.

    The Fund is a non-diversified, closed-end investment company that elected to be treated as a business development company under the Investment Company Act of 1940. The Fund’s investment objective is to seek long-term growth of capital. Under normal circumstances, the Fund will invest at least 80% of its total assets for investment purposes in technology and cleantech companies. An investment in the Fund involves substantial risks, some of which are highlighted below. Please see the Fund’s public filings for more information about fees, expenses and risk. Past investment results do not provide any assurances about future results.

    CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: This press release contains “forward-looking statements” as defined under the U.S. federal securities laws. Generally, the words “believe,” “expect,” “intend,” “estimate,” “anticipate,” “project,” “will,” and similar expressions identify forward-looking statements, which generally are not historical in nature. Forward-looking statements are subject to certain risks and uncertainties that could cause actual results to materially differ from the Fund’s historical experience and its present expectations or projections indicated in any forward-looking statement. These risks include, but are not limited to, changes in economic and political conditions, regulatory and legal changes, technology and cleantech industry risk, valuation risk, non-diversification risk, interest rate risk, tax risk, and other risks discussed in the Fund’s filings with the SEC. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. The Fund undertakes no obligation to publicly update or revise any forward-looking statements made herein. There is no assurance that the Fund’s investment objectives will be attained. We acknowledge that, notwithstanding the foregoing, the safe harbor for forward-looking statements under the Private Securities Litigation Reform Act of 1995 does not apply to investment companies such as us.

    Contact:

    Phil Mosakowski
    Firsthand Capital Management, Inc.
    (408) 624-9526
    vc@firsthandtvf.com

    The MIL Network

  • MIL-OSI: AleAnna, Inc. Reports First Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    First Quarter 2025 and Recent Company Highlights:

    • AleAnna reported basic and diluted net loss per common share of ($0.05) for the quarter ended March 31, 2025, compared with ($3.41) for the same period in 2024.
    • AleAnna ended the quarter with cash and cash equivalents of approximately $27.8 million

    DALLAS, May 15, 2025 (GLOBE NEWSWIRE) — AleAnna, Inc. (“AleAnna” or “the Company”) (NASDAQ: ANNA) today announced financial results for the first quarter of 2025. While revenue from Longanesi field production was not recognized during the quarter, in May 2025 AleAnna achieved first sales and the Company expects to report revenue from the Longanesi field as a part of second quarter results.

    For the first quarter 2025, AleAnna reported net loss of $2.0 million. This amounts to a basic and diluted net loss per common share of ($0.05), compared with ($3.41) net loss per common share recorded by the Company in the first quarter 2024.

    As of March 31, 2025, AleAnna had cash and cash equivalents of $27.8 million, providing the necessary liquidity to support development activities and pursue strategic opportunities.
       
    Management Commentary

    Marco Brun, Chief Executive Officer, remarked on AleAnna’s recent accomplishments: “We continue to execute on our business strategy and are encouraged by the initial performance at the Longanesi field. Although first quarter results did not include revenue from Longanesi, with the onset of sales in early May 2025 we expect to report revenue in our second quarter results. With a healthy balance sheet and growing operational momentum, we’re focused on delivering long-term value to our shareholders.”

    About AleAnna

    AleAnna is a technology-driven energy company focused on bringing sustainability and new supplies of low-carbon natural gas and RNG to Italy, aligning traditional energy operations with renewable solutions, with developments like the Longanesi field leading the way in supporting a responsible energy transition. With three conventional gas discoveries in Italy already made and with a potential of up to fourteen new natural gas exploration projects that could be initiated this decade, our goal is to play a pivotal role in Italy’s energy transition. Italy’s extensive infrastructure, featuring 33,000 kilometers of gas pipelines, three major gas storage facilities, and a strong base of existing RNG facilities, aligns with AleAnna’s commitment to sustainability. AleAnna’s RNG projects’ portfolio includes three plants under development and almost 100 potential projects that would represent up to a €1.1 billion potential investment in the next few years. AleAnna operates regional headquarters in Dallas, Texas, and Rome, Italy.

    Forward-Looking Statements

    This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of present or historical fact included in this press release, regarding AleAnna’s expectations and future financial performance, the Company’s strategy, future operations, financial position, prospective plans, goals, and objectives are forward-looking statements. When used herein, including any statements made in connection herewith, the words “could,” “should,” “will,” “may,” “believe,” “anticipate,” “intend,” “plan,” “potential,” “goal,” “focus,” “estimate,” “expect,” “project,” the negative of such terms and other similar expressions are forward-looking statements. However, not all forward-looking statements contain such identifying words. Forward-looking statements are neither historical facts nor assurances or guarantees of future performance. Instead, they are based only on AleAnna’s current beliefs, expectations and assumptions regarding the future of its business, future plans and strategies, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of AleAnna’s control. As a result, these factors could cause AleAnna’s actual results and financial condition to differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements, which speak only as of the date made. Except as otherwise required by applicable law, the Company disclaims any duty to update any forward-looking statements, all of which are expressly qualified by the statements in this section, to reflect events or circumstances after the date hereof. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, but are not limited to, those under “Risk Factors” in AleAnna’s Form 10-K filed with the SEC on March 31, 2025, as well as general economic conditions; AleAnna’s need for additional capital and ability to obtain any required capital; political, general economic, financial and legal conditions; changes in domestic and foreign markets; risks associated with the implementation of AleAnna’s business strategy and the ability to execute on AleAnna’s business strategy; timing of any business milestones; and changes in the regulatory environment in which AleAnna operates. Additional information concerning these and other factors that may impact AleAnna’s expectations and projections can be found in filings it makes with the SEC, and other documents filed or to be filed with the SEC by AleAnna. SEC filings are available on the SEC’s website at www.sec.gov. Except as otherwise required by applicable law, AleAnna disclaims any duty to update any forward-looking statements, all expressly qualified by the statements in this section, to reflect events or circumstances after the date hereof.

    Investor Relations Contact
    Bill Dirks
    wkdirks@aleannagroup.com

    Website
    https://www.aleannainc.com/

    Source: AleAnna, Inc.

    ALEANNA, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (unaudited)
    FOR THE THREE MONTHS ENDED MARCH 31, 2025 AND MARCH 31, 2024

      For the Three Months Ended March 31,  
      2025     2024  
               
    Revenues $ 644,600     $  
               
    Operating expenses:          
    Cost of revenues $ 838,395     $  
    General and administrative   3,324,845       2,018,524  
    Depreciation   73,106        
    Accretion of asset retirement obligation   33,505       33,311  
    Total operating expenses   4,269,850       2,051,835  
               
    Operating loss   (3,625,250 )     (2,051,835 )
               
    Other income:          
    Interest and other income   237,605       289,337  
    Change in fair value of derivative liability         173,177  
    Total other income   237,605       462,514  
               
    Loss before income taxes   (3,387,646 )     (1,589,321 )
    Income tax benefit   48,276        
    Net loss   (3,339,370 )     (1,589,321 )
    Deemed dividend to Class 1 Preferred Units redemption value         (112,673,176 )
    Net loss attributable to noncontrolling interests   1,333,231        
    Net loss attributable to Class A Common stockholders or holders of Common Member Units $ (2,006,139 )   $ (114,262,497 )
               
    Other comprehensive loss          
    Currency translation adjustment   1,139,303       113,872  
    Comprehensive loss   (2,200,067 )     (1,475,449 )
    Comprehensive loss attributable to noncontrolling interests   1,333,231        
    Total comprehensive loss attributable to Class A Common stockholders or holders of Common Member Units $ (866,836 )   $ (1,475,449 )
               
    Weighted average shares of Class A Common Stock outstanding, basic and diluted   40,564,475       33,467,205  
    Net loss per share of Class A Common Stock, basic and diluted $ (0.05 )   $ (3.41 )

    ALEANNA, INC.
    CONDENSED CONSOLIDATED BALANCE SHEETS
    AS OF MARCH 31, 2025 (unaudited) AND DECMBER 31, 2024

      March 31, 2025     December 31, 2024  
    ASSETS          
    Current Assets:          
    Cash and cash equivalents $ 27,810,160     $ 28,330,159  
    Accounts receivable   402,874       1,225,297  
    Prepaid expenses and other assets   987,414       1,666,155  
    Total Current Assets   29,200,448       31,221,611  
               
    Non-current assets:          
    Natural gas and other properties, successful efforts method   34,794,734       33,979,014  
    Renewable natural gas properties, net of accumulated depreciation of $209,009 and $132,094, respectively   9,592,268       9,296,039  
    Value-added tax refund receivable   6,578,604       6,845,030  
    Operating lease right-of-use assets   1,777,356       1,744,897  
    Deferred tax assets   48,276        
    Total Non-current Assets   52,791,238       51,864,980  
    Total Assets $ 81,991,686     $ 83,086,591  
               
    LIABILITIES AND STOCKOLDERS’ EQUITY          
    Current Liabilities:          
    Accounts payable and accrued expenses $ 1,980,897     $ 2,204,208  
    Lease liability, short-term   174,127       163,865  
    Total Current Liabilities   2,155,024       2,368,073  
               
    Non-current Liabilities:          
    Asset retirement obligation   4,409,230       4,375,919  
    Lease liability, long-term   1,601,573       1,579,443  
    Contingent consideration liability, long-term   25,980,832       24,994,315  
    Total Non-current Liabilities   31,991,635       30,949,677  
    Total Liabilities   34,146,659       33,317,750  
               
    Commitments and Contingencies (Note 6)          
               
    Stockholders’ Equity:          
    Class A Common Stock, par value $0.0001 per share, 150,000,000 shares authorized, 40,584,455 and 40,560,433 shares issued and outstanding as of March 31, 2025 and December 31, 2024   4,058       4,056  
    Class C Common Stock, par value $0.0001 per share, 70,000,000 shares authorized, 25,994,400 shares issued and outstanding as of March 31, 2025 and December 31, 2024   2,599       2,599  
    Additional paid-in capital   226,998,675       226,722,424  
    Accumulated other comprehensive loss   (5,109,054 )     (5,803,378 )
    Accumulated deficit   (193,054,092 )     (191,047,953 )
    Noncontrolling interest   19,002,841       19,891,093  
    Total Stockholders’ Equity   47,845,027       49,768,841  
    Total Liabilities and Stockholders’ Equity $ 81,991,686     $ 83,086,591  
               

    The MIL Network

  • MIL-OSI USA: NASA Satellite Images Could Provide Early Volcano Warnings 

    Source: NASA

    Scientists know that changing tree leaves can indicate when a nearby volcano is becoming more active and might erupt. In a new collaboration between NASA and the Smithsonian Institution, scientists now believe they can detect these changes from space.
    As volcanic magma ascends through the Earth’s crust, it releases carbon dioxide and other gases which rise to the surface. Trees that take up the carbon dioxide become greener and more lush. These changes are visible in images from NASA satellites such as Landsat 8, along with airborne instruments flown as part of the Airborne Validation Unified Experiment: Land to Ocean (AVUELO).
    Ten percent of the world’s population lives in areas susceptible to volcanic hazards. People who live or work within a few miles of an eruption face dangers that include ejected rock, dust, and surges of hot, toxic gases. Further away, people and property are susceptible to mudslides, ashfalls, and tsunamis that can follow volcanic blasts. There’s no way to prevent volcanic eruptions, which makes the early signs of volcanic activity crucial for public safety. According to the U.S. Geological Survey, NASA’s Landsat mission partner, the United States is one of the world’s most volcanically active countries.

    When magma rises underground before an eruption, it releases gases, including carbon dioxide and sulfur dioxide. The sulfur compounds are readily detectable from orbit. But the volcanic carbon dioxide emissions that precede sulfur dioxide emissions – and provide one of the earliest indications that a volcano is no longer dormant – are difficult to distinguish from space. 
    The remote detection of carbon dioxide greening of vegetation potentially gives scientists another tool — along with seismic waves and changes in ground height—to get a clear idea of what’s going on underneath the volcano. “Volcano early warning systems exist,” said volcanologist Florian Schwandner, chief of the Earth Science Division at NASA’s Ames Research Center in California’s Silicon Valley, who had teamed up with Fisher and Bogue a decade ago. “The aim here is to make them better and make them earlier.”
    “Volcanoes emit a lot of carbon dioxide,” said volcanologist Robert Bogue of McGill University in Montreal, but there’s so much existing carbon dioxide in the atmosphere that it’s often hard to measure the volcanic carbon dioxide specifically. While major eruptions can expel enough carbon dioxide to be measurable from space with sensors like NASA’s Orbiting Carbon Observatory 2, detecting these much fainter advanced warning signals has remained elusive.  “A volcano emitting the modest amounts of carbon dioxide that might presage an eruption isn’t going to show up in satellite imagery,” he added.

    Because of this, scientists must trek to volcanoes to measure carbon dioxide directly. However, many of the roughly 1,350 potentially active volcanoes worldwide are in remote locations or challenging mountainous terrain. That makes monitoring carbon dioxide at these sites labor-intensive, expensive, and sometimes dangerous. 
    Volcanologists like Bogue have joined forces with botanists and climate scientists to look at trees to monitor volcanic activity. “The whole idea is to find something that we could measure instead of carbon dioxide directly,” Bogue said, “to give us a proxy to detect changes in volcano emissions.”
    “There are plenty of satellites we can use to do this kind of analysis,” said volcanologist Nicole Guinn of the University of Houston. She has compared images collected with Landsat 8, NASA’s Terra satellite, ESA’s (European Space Agency) Sentinel-2, and other Earth-observing satellites to monitor trees around the Mount Etna volcano on the coast of Sicily. Guinn’s study is the first to show a strong correlation between tree leaf color and magma-generated carbon dioxide.
    Confirming accuracy on the ground that validates the satellite imagery is a challenge that climate scientist Josh Fisher of Chapman University is tackling with surveys of trees around volcanoes. During the March 2025 Airborne Validation Unified Experiment: Land to Ocean mission with NASA and the Smithsonian Institution scientists deployed a spectrometer on a research plane to analyze the colors of plant life in Panama and Costa Rica.

    Fisher directed a group of investigators who collected leaf samples from trees near the active Rincon de la Vieja volcano in Costa Rica while also measuring carbon dioxide levels. “Our research is a two-way interdisciplinary intersection between ecology and volcanology,” Fisher said. “We’re interested not only in tree responses to volcanic carbon dioxide as an early warning of eruption, but also in how much the trees are able to take up, as a window into the future of the Earth when all of Earth’s trees are exposed to high levels of carbon dioxide.”
    Relying on trees as proxies for volcanic carbon dioxide has its limitations. Many volcanoes feature climates that don’t support enough trees for satellites to image. In some forested environments, trees that respond differently to changing carbon dioxide levels. And fires, changing weather conditions, and plant diseases can complicate the interpretation of satellite data on volcanic gases.

    Still, Schwandner has witnessed the potential benefits of volcanic carbon dioxide observations first-hand. He led a team that upgraded the monitoring network at Mayon volcano in the Philippines to include carbon dioxide and sulfur dioxide sensors. In December 2017, government researchers in the Philippines used this system to detect signs of an impending eruption and advocated for mass evacuations of the area around the volcano. Over 56,000 people were safely evacuated before a massive eruption began on January 23, 2018. As a result of the early warnings, there were no casualties.
    Using satellites to monitor trees around volcanoes would give scientists earlier insights into more volcanoes and offer earlier warnings of future eruptions. “There’s not one signal from volcanoes that’s a silver bullet,” Schwandner said. “And tracking the effects of volcanic carbon dioxide on trees will not be a silver bullet. But it will be something that could change the game.”
    By James RiordonNASA’s Earth Science News Team
    Media contact: Elizabeth VlockNASA Headquarters

    MIL OSI USA News

  • MIL-OSI NGOs: Cameroon: Deplorable life sentence handed to peace activist an “affront to justice”

    Source: Amnesty International –

    The life sentence handed down to Anglophone peace activist Abdu Karim Ali is an affront to justice, and he should be released immediately, Amnesty International said today, after obtaining the judgment convicting him.

    Abdu Karim Ali, who was charged with “hostility against the homeland” and “secession”, was sentenced by the military Court in Yaoundé on 16 April. He had been arrested without a warrant in Bamenda in August 2022 after he denounced torture committed and broadcast online by the leader of a pro-government militia in the south-west region of the country. He has been arbitrarily detained since then.

    The authorities tried Abdu Karim Ali in a military court, in violation of Cameroonian law and international human rights law and standards.

    Marceau Sivieude, Amnesty International’s Interim Regional Director for West and Central Africa

    “Abdu Karim Ali waited nearly three years before being tried by a military court and sentenced to an extreme punishment simply for exercising his right to freedom of expression. This shameful judgment breaches international human rights law and standards,” said Marceau Sivieude, Amnesty International’s Interim Regional Director for West and Central Africa.

    “The authorities unlawfully held Abdu Karim Ali in prolonged arbitrary detention, and tried him in a military court, in violation of Cameroonian law and international human rights law and standards. Amnesty International calls for his immediate and unconditional release.”

    In May 2024, Abdul Karim Ali challenged the jurisdiction of the military tribunal in a letter, refusing to recognize its authority. He was sentenced to life imprisonment in absentia, after he refused to appear in the military court.

    His lawyer told Amnesty International: “To think that he was prosecuted for his thoughts, national origins, associations and political opinion is the quintessential case of political persecution.” The lawyer also said that he has appealed the sentence.

    MIL OSI NGO

  • MIL-OSI USA: Disaster Response: Master and Apprentice

    Source: US State of Connecticut

    Two UConn Health emergency medicine physicians are back from a medical mission in central Myanmar, which was devastated by a magnitude 7.7 earthquake March 28.

    Drs. Rob Fuller and Caroline Lloyd are back at UConn Health after being part of the International Medical Corps response to an earthquake that devastated Myanmar March 2025. (Photo by Chris DeFrancesco)

    The earthquake and aftershocks are blamed for more than 3,700 dead and 5,000 injured, compounding the humanitarian crisis in a country already dealing with political unrest and an overwhelmed health care system.

    “Suffice it to say that the external reporting is a 10x underestimate of the actual impact and fatalities,” Dr. Rob Fuller reported from the capital, Nay Pyi Taw, more than 150 miles from the epicenter. “There is much political difficulty in entering and moving here.”

    Fuller, who is UConn Health’s chair of emergency medicine, and Dr. Caroline Lloyd, in her second year in UConn’s International Disaster Emergency Medicine Fellowship, were part of an International Medical Corps response team. The IMC’s response got off to a slow start, largely due to a reluctance by the Myanmar government to embrace assistance from foreign organizations.

    “There had been a smaller team from IMC trying for several weeks to open the door to allow us to come in and form those relationships, and assure the government we weren’t going to do anything they didn’t want us do to,” Lloyd says.

    Myanmar is located in Southeast Asia’s Indochinese Peninsula.

    “[IMC] flew into Bangkok right after the earthquake, and it took days to get permission to enter the country,” Fuller says. “Then after they got into the country, they tried to get the ear of the minister of health to say, ‘We’re an aid-providing organization and we’d like to collaborate with your responders,’ and it took a long time to get those OKs. And then the minister of security and the minister of foreign affairs had to approve. By the time all those barriers were out of the way, we were one of only two foreign non-government organizations allowed in to provide some health care.”

    Lloyd and Fuller didn’t arrive until April 19, and by then the mission was to run a tent clinic in place of a key piece of health care infrastructure in Nay Pyi Taw that was lost to the quake.

    “We were working at the site of a destroyed 300-bed hospital,” Fuller says. “We were seeing about 100 patients per day. The patients were seeking care for acute and chronic conditions as well as injuries related to the earthquake.”

    Dr. Rob Fuller, UConn Health’s chair of emergency medicine, helps staff a tent clinic that replaced an earthquake-damaged hospital in Nay Pyi Taw, Myanmar. (International Medical Corps photo)

    “It was primarily handling outpatient care that they normally would have handled, with a smattering of patients sometimes popping in due to displacement or injuries that happened during the earthquake,” Lloyd says. “Every once in a while you’d get someone displaced by the additional conflict going on within the country, who had recently gotten out of that area and into this more-controlled governmental area. But overall, it was primarily outpatient. Lots of aches and pains.”

    Lloyd served as a medical lead, overseeing clinic design, patient flow, and quality of care. Fuller says she was looking inward, to manage the clinic, while his role, as medical coordinator, was outward-looking, toward the community and other responding agencies.

    “I didn’t have to do a lot of it, because there weren’t a lot of agencies to coordinate with, it was so controlled and closed,” Fuller says. “So I just did what Caroline told me, and saw patients under her guidance.”

    Lloyd was there for a week, Fuller for two. They say the temperature was mostly in the triple digits.

    Fuller was part of a team from UConn Health that responded to Ground Zero on Sept. 11, 2001. Since then, he has been part of IMC responses to disasters all over the world, including a tsunami in Indonesia, an earthquake in Haiti, a hurricane in St. Lucia and a typhoon in the Philippines.

    This was Lloyd’s first overseas disaster response.

    “I was in charge of staffing, the flow of how our tents worked, troubleshooting and changing things,” she says. “If we were in an enclosed area, we can’t have people who are coughing or have an infectious disease, how do we change our flow? They’re putting them in a different area, but then no one’s telling us that’s happening, so let’s have a discussion and fix that. Kind of the logistics of how it worked.”

    Dr. Caroline Lloyd (left) and Dr. Rob Fuller (center) from UConn Health are among the American physicians who were part of the International Medical Corps response to the Spring 2025 earthquake in Myanmar. (International Medical Corps photo)

    Lloyd says a physician who had done work with the IMC in Gaza told her this response was more complicated because of the controlling nature of Myanmar’s government.

    “It’s one of those experiences where, now that you’re kind of removed and you can look back on it, you’re like, ‘If this is how this worked in probably one of the most difficult situations I think you could imagine, man, what’s it going to be like to do it in an atmosphere where someone actually legitimately wants you there?’ IMC has pallets and pallets of things that they have ready to come in; we couldn’t get any of those,” Lloyd says. “The government just didn’t let them in.”

    The experience comes as Lloyd nears completion of her disaster emergency medicine fellowship and her Master of Public Health studies. But she won’t be gone from UConn Health for long; in August she’s returning as a faculty physician.

    “This was an opportunity for Caroline to be able to go into a disaster,” Fuller says. “Every disaster’s got its own problems and its own flavors. This is just one, but this very controlled political environment was probably the weirdest part about this one. We were controlled where we can go, and what we can do, and how we operate was very managed by the political entities that we were working with. But even so, we set up tents in what was a field, we used car-park areas with tarps around them to deliver care for a couple days.  Caroline was in charge of the campus, so she designed how the patients moved from place to place and how we cared for them and where things were. So it was a great experience for her.”

    MIL OSI USA News

  • MIL-OSI Security: India-based Amazon scam leads to almost a $1 million dollar loss for elderly victim in Missoula

    Source: Office of United States Attorneys

    MISSOULA – A man originally from India accused of stealing almost $1 million from the elderly appeared in federal court on charges on Wednesday, May 14, 2025, U.S. Attorney Kurt Alme said.

    Zabi Ullah Mohammed, 29, had an initial appearance on a complaint charging him with conspiracy to commit wire fraud, wire fraud, and impersonating a federal agent. If convicted, Mohammed faces a maximum of 20 years of imprisonment, a $250,000 fine, and at least 3 years of supervised release.

    U.S. Magistrate Judge Kathleen L. DeSoto presided. Mohammed was detained pending further proceedings.

    The government alleged in the criminal complaint that in April 2025 Mohammed and others called an elderly victim in Missoula, Montana, posing as an Amazon representative and inquiring whether the victim purchased computer equipment. When the victim said she did not purchase any equipment, the Amazon representative claimed the victim’s identity was stolen and transferred the victim to the “Social Security Department” and the “U.S. Marshal.” The “U.S. Marshal” said the money from the victim’s bank accounts needed to be “legalized,” and an agent showed up on multiple occasions to pick up cash and gold from the victim’s residence. Law enforcement caught Mohammed when he returned to the victim’s house a final time. After searching Mohammed’s vehicle, law enforcement found airline tickets, car rental documents, and a bag containing approximately $68,987 in cash.

    Assistant U.S. Attorney Ryan G. Weldon is prosecuting the case. The Federal Bureau of Investigation and Missoula County Sheriff’s Office conducted the investigation.

    A complaint is merely an accusation and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.

    PACER case reference. 25-40.

    The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl

    MIL Security OSI

  • MIL-OSI Security: Tennessee man sentenced to 5 years of probation for selling unapproved drugs

    Source: Office of United States Attorneys

    MISSOULA – A Greenville, Tennessee man who admitted selling unapproved drugs made from ingredients purchased from China was sentenced today to five years of probation, U.S. Attorney Kurt Alme said.

    Tyler Jordan Hall, 31, pleaded guilty in January 2025 to introduction of unapproved drugs in interstate commerce.

    U.S. District Judge Dana L. Christensen presided.

    “Tyler Hall manufactured unapproved drugs in an unregulated lab using ingredients he bought from China. And he sold those drugs to unwitting customers based on his false claims that the products were approved by the FDA. That behavior, which can result in serious health problems for users, will not be tolerated. I want to thank the FDA for investigating and Assistant U.S. Attorney Shannon Clarke for prosecuting the matter as we continue to strive to protect Montanans and other Americans from this kind of deceitful and dangerous conduct.” U.S. Attorney Kurt Alme said.

    “Illegally manufacturing and selling unapproved drugs outside the legitimate U.S. supply chain can present serious health risks to those who buy and use them,” said Robert Iwanicki, Special Agent in Charge, FDA Office of Criminal Investigations Los Angeles Field Office. “Furthermore, knowingly misleading customers and the FDA by making false claims about the nature and legitimacy of the products shows a reckless disregard for FDA regulations and for the lives and well-being of consumers. FDA will continue to pursue and bring to justice those who would disregard and jeopardize public health and safety by selling misbranded drugs.”

    The government alleged in court documents that from June 17, 2020, through March 2022, Tyler Hall operated a business known as Rat’s Army, LLC, which imported, created, bottled, and labeled drugs. Hall marketed the substances to individuals in the bodybuilding and fitness community to increase muscle mass, reduce body fat, and counter the unwanted side effects of other bodybuilding drugs. Many of the substances were not safe for human consumption except under the supervision of a practitioner licensed to administer prescription drugs. Some drugs were of similar composition to FDA-approved drugs that require special boxed warnings in their labeling emphasizing serious potential side effects, including pulmonary embolism.

    During the timeframe noted above, Hall obtained proceeds from Rat’s Army of approximately $3.8 million. The income was generated, at least in part, from the sale of unapproved drugs, including Raloxifene, Tamoxifen, and Pramipexole.

    Hall knowingly took steps to mislead and defraud United States regulatory agencies, including the FDA, about the true nature of the products he was selling on the Rat’s Army website. Specifically, he attempted to conceal the nature of his products by falsely portraying them as “research chemicals” and “not for human consumption,” despite knowing and intending that the products were for ingestion by humans to affect the structure and function of their bodies.

    Hall also took steps to mislead and defraud the consumers to whom he was offering the sale of these drugs by posting misleading Certificates of Analysis on the website to convince consumers Rat’s Army was manufacturing products which were legitimate and safe to consume.

    Assistant U.S. Attorney Shannon Clarke prosecuted the case. The investigation was conducted by the U.S. Food and Drug Administration Office of Criminal Investigation.

    MIL Security OSI

  • MIL-OSI Security: Anaconda man sentenced to 1.5 years in prison for illegally possessing firearm

    Source: Office of United States Attorneys

    MISSOULA – An Anaconda man who admitted to being a prohibited person in possession of a firearm was sentenced today to 18 months in prison to be followed by three years of supervised release, U.S. Attorney Kurt Alme said.

    Keegan Allan Strelnik, 42, pleaded guilty in January 2025 to prohibited person in possession of a firearm.

    U.S. District Judge Dana L. Christensen presided.

    The government alleged in court documents that on September 26, 2019, Strelnik was convicted of possession with intent to distribute methamphetamine in federal court in Montana. Strelnik was sentenced to 41 months of imprisonment and four years of supervised release. That federal drug conviction prohibited Strelnik from possessing firearms or ammunition.

    On November 24, 2023, Strelnik went hunting in Granite County, Montana. He was captured on a game camera in possession of a hunting rifle. Strelnik attempted to remove the camera’s memory card. A witness later submitted a written statement that during the hunting expedition, Strelnik possessed the rifle, including using the rifle to fire at an elk.

    Assistant U.S. Attorney Brian Lowney prosecuted the case. The investigation was conducted by the ATF, U.S. Probation Office, and Montana Fish, Wildlife and Parks.

    This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.

    MIL Security OSI

  • MIL-OSI United Nations: Experts of the Committee on the Rights of the Child Commend Indonesia on Child-Friendly Cities, Raise Questions on Mandatory Hijab Rules in Some Schools and the Prevalence of Female Genital Mutilation

    Source: United Nations – Geneva

    The Committee on the Rights of the Child today concluded its review of the combined fifth and sixth periodic reports of Indonesia, with Committee Experts commending the State on child-friendly cities, while raising questions on mandatory hijab rules in some schools and how the country was tackling the high levels of female genital mutilation. 

    Philip Jaffe, Committee Vice-Chair and Taskforce Member, said there had been many advancements in recent years to support children’s laws in Indonesia, including the national developmental planning, and the ambitious long-term “golden Indonesia” plan.  It was pleasing to see there were child-friendly cities included within this plan.  As of 2023, 459 out of 514 municipalities had conducted evaluations concerning child rights clusters which should be rejoiced. 

    Mr. Jaffe noted that the Committee was concerned about discrimination based on religion; could the State comment on situations of enforced mandatory hijab rules, even for non-Muslim girls, in some provinces? 

    Thuwayba Al Barwani, Committee Vice-Chair and Taskforce Member, said it was disturbing that 24 provinces had forced girls to wear the hijab and that those who did not were forced to leave school, and it was estimated that around 150,000 schools still enforced this rule.  Was this decision left to the provinces to apply? 

    Suzanne Aho, Committee Expert and Taskforce Member, said the Committee had received information that some women were carrying out female genital mutilation on infants of three or four months old.  Was there a body which had the authority to prevent this and to prosecute these midwives? It seemed not enough action was being taken to put an end to these abusive practices.  Another Expert asked if there had there been any court decisions prosecuting the practice of female genital mutilation?  A Committee Expert said there seemed to be little evidence that programmes for female genital mutilation were having an effect.  How did the Parliament ensure laws in this regard were implemented? 

    Concerning the hijab, the delegation said the incident which had occurred in a public school did not reflect national policy in any way, and the Government had acted swiftly in response.  Following the incident, three Ministries issued a joint ministerial decree which ensured that no student, teacher or school staff were forced to wear religious attire against their will.  The policy aimed to uphold national unity, religious tolerance and freedom belief. The Government had also consistently emphasised the importance of creating a safe and inclusive learning environment for all students. 

    The delegation said Indonesia recognised that female genital mutilation was a critical issue affecting the health and wellbeing of Indonesian women and girls, with a regulation specifically forbidding this practice.  An action plan from 2020 to 2030 facilitated cooperation between the Government, civil society and community leaders, and incorporated a robust monitoring framework to ensure effective and sustainable interventions. Since 2021, Indonesia had systematically collected data on female genital mutilation, and the latest survey indicated a decrease from around 50 per cent in 2021 to around 48 per cent. Nowadays, the coordination of efforts to prohibit female genital mutilation was becoming stronger, with many sectors supporting this cause.

    Introducing the report, Muhammad Ihsan, Assistant Deputy for Policy Formulation and Coordination for Child Protection, Ministry of Women Empowerment and Child Protection of Indonesia, said currently, Indonesia was implementing the national human rights action plan for 2021–2025, which identified children as one of the priority groups that required targeted protection and policy intervention.  The adoption of law no. 12 of 2022 on the crime of sexual violence represented a major step forward in strengthening legal protection for children from sexual violence by holding perpetrators accountable. Since the amendment of the marriage law in 2019, which raised the minimum legal age of marriage to 19 for both men and women, Indonesia had also taken concrete preventive measures, including the enforcement of the national strategy for the prevention of child marriage. 

    In closing remarks, Rinchen Chopel, Committee Expert and Taskforce Coordinator, congratulated the delegation of Indonesia for the productive dialogue.  The establishment of the Ministry of Human Rights would go a long way in reinforcing the current institutions in place and disseminating the Committee’s concluding observations. 

    In his closing remarks, Munafrizal Manan, Director-General for Human Rights Services and Compliance, Ministry of Human Rights of Indonesia, said the Ministry was a new entity in the current administration which aimed to ensure the protection, promotion and fulfilment of human rights.  Indonesia’s participation underscored the strong commitment of the Government to the protection of children’s rights in the country. 

    The delegation of Indonesia was comprised of representatives from the Ministry of Human Rights; the Ministry of Women Empowerment and Child Protection; the Ministry of Health; the Ministry of National Development Planning; the Ministry of Foreign Affairs; the Coordinating Ministry of Political and Security Affairs; the Coordinating Ministry for Law, Human Rights, Immigration and Correction; and the Permanent Mission of Indonesia 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. pm on Thursday, 15 May to begin its consideration of the combined fifth and sixth periodic report of Iraq (CRC/C/IRQ/5-6).

    Report

    The Committee has before it the combined fifth and sixth periodic reports of Indonesia (CRC/C/IDN/5-6).

    Presentation of Report

    ACHSANUL HABIB, Ambassador, Chargé d’affaires a.i., Permanent Mission of Indonesia to the United Nations Office at Geneva and head of the delegation, expressed appreciation to all members of the Committee for engaging with Indonesia in the constructive dialogue on the promotion and protection of the rights of children in the country.  Mr. Habib then introduced the delegation.  Indonesia’s participation in the dialogue reflected the State’s commitment to upholding its obligations under the Convention. 

    MUHAMMAD IHSAN, Assistant Deputy For Policy Formulation and Coordination for Child Protection, Ministry of Women Empowerment and Child Protection of Indonesia, said the fulfilment of the rights of the child continued to be a fundamental aspect of human capital development in Indonesia.  Indonesia’s national priorities related to the rights of the child encompassed strategies such as the improvement of the quality of education, health, and nutrition; the expansion of social protection and child welfare; and the promotion of inclusive development, especially in frontier and least developed regions.  These priorities were reflected in the 2025-2029 national medium-term development plan and the 2025-2045 long-term development plan.

    To achieve these priorities, Indonesia had implemented key policies and programmes, including the free nutritious meals programme which provided daily balanced meals to school-aged children to combat malnutrition and stunting.  Since its implementation in January 2025, the programme had reached 2.2 million school-aged children through 726 nutrition service units across 38 provinces, aimed at reaching 78.3 million school-aged children by the end of 2025.  Another policy, the “Ruang Bersama Indonesia” or Indonesia shared space initiative, aimed to serve as a collaborative community platform to strengthen participation, protection, and educational spaces for women and children at the village level. 

    Currently, Indonesia was implementing the national human rights action plan for 2021–2025, which identified children as one of the priority groups that required targeted protection and policy intervention.  The adoption of law no. 12 of 2022 on the crime of sexual violence represented a major step forward in strengthening legal protection for children from sexual violence by holding perpetrators accountable.  Since the amendment of the marriage law in 2019, which raised the minimum legal age of marriage to 19 for both men and women, Indonesia had also taken concrete preventive measures, including the enforcement of the national strategy for the prevention of child marriage.  This mechanism had proven effective with the decrease of the national child marriage rate from 10.35 per cent in 2020 to 6.92 per cent in 2023. 

    The Unit for the Crimes Related to Women and Children and Human Trafficking had been upgraded to a full-fledged Directorate under Indonesia’s National Police, further enhancing its capacity to investigate, respond, and prevent violence against children and women.  The Government had established the Subnational Technical Implementation Units for the Protection of Women and Children across 38 provinces and 514 municipalities.  The Units provided essential services, including temporary shelter, psychological counselling, health care, and legal support.  To address gaps in protection at the local level, the Government was taking steps to advocate for sufficient budget allocations for child protection and provide capacity building and technical guidance for child protection professionals.

    The Government was determined to strengthen online child protection at the national level and was adopting a comprehensive regulation that outlined medium-term measures to create a safer digital environment for children.  Measures to regulate and guide the responsibilities of electronic system operators in upholding child safety standards were also being implemented.  Efforts were also underway to enhance digital literacy among children and parents, equipping them with the knowledge needed to supervise and navigate online spaces safely.

    Mr. Ihsan hoped the dialogue would result in valuable recommendations for Indonesia’s future endeavours to advance the rights of the child in the country, while taking into consideration religious, social and culture values.

    Questions by Committee Experts

    RINCHEN CHOPEL, Committee Expert and Taskforce Coordinator, said Indonesia used to be the leading country for healthcare in Asia; he had visited Indonesia in his previous professional career and had emulated their healthcare programmes in his country of Bhutan.  The Committee was here as a partner to work towards creating a safer Indonesia for its children. 

    PHILIP JAFFE, Committee Vice-Chair and Taskforce Member, said there were 80 million children living in Indonesia.  There had been many advancements in recent years to support children’s laws, including the national developmental planning, and the ambitious long-term “golden Indonesia” plan.  It was pleasing to see there were child-friendly cities included within this plan.  As of 2023, 459 out of 514 municipalities had conducted evaluations concerning child rights clusters which should be rejoiced.  Was progress being made on the remaining 55 municipalities?  What was being done beyond the evaluation in terms of implementation?

    The Convention seemed to be the only human rights convention not ratified by law or enacted by parliament; what could be done about this?  Could it be expected that Indonesia’s reservations to the Convention would be dropped?  What efforts were being made to harmonise all legislation with the provisions of the Convention?  Could the Government create the momentum needed for this harmonisation?  Could more information be provided on the regulation regarding coordination on child protection? 

    What was the percentage of gross domestic product allocated to social protection?  Were budgetary allocations tied to Indonesian child profiling, elaborated by the Indonesia Statistics entity?  From reports, there was proportionately more budget being allocated to urban areas, between 15 to 20 per cent more; could this concern be addressed?  How was data collection shared among ministries and integrated into policy? Were there any programmes to support the dissemination of the Convention at a national level, including in schools? 

    Were there complaints mechanisms in place for children in alternative care, schools and detention facilities?  Where could children formulate complaints?  Were there civil society organizations which could assist children in this regard?  Were there any plans to ratify the Optional Protocol on the communications procedure? Had the Government been proactive in setting standards within the private sector in areas which affected children’s rights, including the agricultural sector and the tourism sector?

    The Committee acknowledged that steps had been taken to reduce discriminatory practices, but had also received some disturbing information.  How many dispensations were granted in the various provinces when it came to child marriage?  What programmes were undertaken to reduce discrimination against children with disabilities?  The Committee was concerned about discrimination based on religion; could the State comment on situations of enforced mandatory hijab rules, even for non-Muslim girls, in some provinces?  What was being done to provide guidance to relevant authorities on the best interests of the child? 

    What was being done to assist Indonesian children who may be in camps in Syria?  How many were left there?  How many had returned?  What was being done to integrate them?  What was being done to reduce disparities in mortality rates in different areas, particularly rural areas?  How much were children participating in the “golden Indonesia plan?”

    There had been some great strides in birth registration, but there were also difficulties in remote areas, and around 10 to 15 per cent of children did not have complete birth certificates.  How was this being addressed?  What programmes had been put in place to combat religious intolerance? 

    SUZANNE AHO, Committee Expert and Taskforce Member, said high levels of violence occurred against children in Indonesia via corporal punishment and torture. Regulations had been drawn up to deal with these issues, but were they actually implemented in practice?  Did the population know about them?  Were people responsible for violence against children punished by law?  Was there a law in Indonesia which prohibited corporal punishment against children? 

    Could dispensations be used to circumvent the law and enact a child marriage?  Why were so many dispensations given?  The Committee had received information that some women were carrying out female genital mutilation on infants of three or four months old.  Was there a body which had the authority to prevent this and to prosecute these midwives? It seemed not enough action was being taken to put an end to these abusive practices.  Was there a law or legal provision focused on preventing the sexual abuse of children by tourists who came to Indonesia from other countries?

    Was the helpline 129 accessible to children?  Who ran this number and coordinated the calls and action taken?  How were they trained?  What had been done in Indonesia to tackle online sexual exploitation? Were there rehabilitation programmes for children who had been the victims of sexual exploitation?  Were there specialised staff to help them? How many centres were available? How did children access these services? How were sexual predators punished? Were they deported from the country? 

    Was there a stipulated legal procedure for officially opening an orphanage?  Were there certain conditions which needed to be met before an orphanage could be opened?  Were orphanages subject to regular checks and supervision?  In certain cases, could children return to their families from the orphanages?  There were difficult situations for children living with disabilities who were sometimes subject to forced sterilisation. What was being done to protect those children? What support was given to the families of children living with disabilities? 

    Responses by the Delegation

    The delegation said 55 Indonesian municipalities did not fulfil the 24 indicators which determined child-friendly cities.  There was a team in place to assess this.  Indonesia had a national coordinator who dealt with the monitoring and implementation of the Convention.  Dispensations were typically given to children between the ages of 17 and 18 years old to allow them to be married.  The State did not envisage many dispensations provided to children younger than these ages.

    Indonesia’s commitment to advancing child health and wellbeing was reflected in its State budget. Substantial funding had been allocated to improving maternal health.  In 2023, 64 per cent of children were covered by some form of health insurance. The number of neonatal deaths in Indonesia had decreased over the past 30 years.  The three key causes of death were infection, respiratory and cardiovascular causes, and prematurity.  Programmes were in place to address these key areas.  All neonatal deaths in Indonesia were reviewed. 

    The Government was committed to ensuring that access to mechanisms for recovery was fulfilled for child trafficking victims.  The oversight mechanism assigned specific roles and responsibilities to various ministries and government institutions.  The arrest of child perpetrators by the police needed to be conducted in a humane manner, taking into account the child’s specific needs. Detention of children in the criminal juvenile justice system could only be carried out as a last resort. 

    The Indonesia Government recognised the suffering vulnerability of children associated with the foreign terrorist fighters, who were victims of circumstances beyond their control, often exposed to violence, exploitation and trauma.  The State aimed to uphold their rights and protection. Around 400 Indonesian children and women resided in two camps in Indonesia.  Repatriation was considered on a case-by-case basis based on security and the children’s needs.  A taskforce had been established to handle issues associated with the foreign terrorist fighters, including taking responsibility for citizens abroad associated with this group. 

    Since its ratification of the Convention, Indonesia had made a significant effort to incorporate it into its legal system, most notably through the 2023 law on child protection.  Indonesia’s National Police had established a Directorate for crimes against women, children and human trafficking.  The Child Protection Commission had been established in four provinces.

    The incident which had occurred in a public school did not reflect national policy in any way, and the Government had acted swiftly in response.  Following the incident, three Ministries issued a joint ministerial decree which ensured that no student, teacher or school staff were forced to wear religious attire against their will.  The policy aimed to uphold national unity, religious tolerance and freedom belief.  The Government had also consistently emphasised the importance of creating a safe and inclusive learning environment for all students. 

    Indonesia had made significant legal advancement in protecting children from sexual exploitation, both offline and online.  The child protection law expressly prohibited all forms of sexual exploitation against children and mandated that victims be provided with psychological and rehabilitation services.  The law also criminalised grooming and other kinds of exploitation conducted online. Several policies had been adopted aimed at creating a safe tourism environment for children, including guidelines for the prevention of the exploitation of children in tourism settings.

    Indonesia recognised that female genital mutilation was a critical issue affecting the health and wellbeing of Indonesian women and girls, with a regulation specifically forbidding this practice.  An action plan from 2020 to 2030 facilitated cooperation between the Government, civil society and community leaders, and incorporated a robust monitoring framework to ensure effective and sustainable interventions.  Since 2021, Indonesia had systematically collected data on female genital mutilation, and the latest survey indicated a decrease from around 50 per cent in 2021 to around 48 per cent.  

    A strategy emphasised the obligation of health workers, community leaders and families to protect women from the harmful practice, and a circular issued prohibited midwives from providing such services. 

    Indonesia’s regulatory framework prohibited corporal punishment against children, although there was no specific legal provision in this regard.  The Minister of Education had issued a comprehensive policy in 2023 aimed at preventing and responding to violence in education settings.  A taskforce had been established in 27 provinces with the aim of creating a safer educational environment.  A regulation was issued regarding birth certificates for children of unknown origins and unregistered marriages. 

    In March 2025, the President of Indonesia launched the Government regulation on the governance of electronic system implementation in child protection to protect children in the digital space.  The policy emphasised the presence of the State in creating a safe, child-friendly digital space. 

    Indonesia regularly held coordination meetings on the rights of the child, and reporting of the implementation of the Convention.  The Ministry of Law and Human Rights took part in training programmes for law enforcement personnel on human rights.  Out of the 382 courts in Indonesia, 377 courts provided child-friendly courtrooms.  There were 23 child-friendly religious courts.  Reporting of the implementation of the Convention was regularly provided to all stakeholders, at the national and provincial levels.  The Ministry of Human Rights regularly conducted dissemination activities relating to human rights, and involved a children’s forum where they could have their voices heard. 

    Ensuring equitable access to health care services in all regions remained a national priority.  Mobile health services and cluster island-based services, among others, were designed to overcome geographical barriers.  Through the special doctor deployment programme, more than 600 paediatricians had been placed in Government-owned hospitals in underdeveloped regions.  School operational assistance supported the funding of schools in the most remote regions, covering primary, secondary, speciality and vocational schools. 

    A process had been established for the reunification of children in alternative care.  The Government extended assistance, including financial aid, to the child and their family to ensure a successful reunification. 

    The Government had taken significant steps to uphold the reproductive rights of persons with disabilities, particularly focusing on preventing forced sterilisation practices. The enactment of the sexual violence crime law, which explicitly prohibited forced contraception and sterilisation, requiring consent of the individual, was a landmark achievement in this regard.  However, challenges remained, as reports indicated this practice was still found, particularly affecting women with psychosocial disabilities in care institutions. Efforts were being made to monitor and enforce compliance with the law, including through conducting monitoring of facilities and developing mechanisms to address violence. 

    Special protection was provided to children belonging to minority groups, enabling them to practice their own culture and religion and use their own language.  If children from these groups experienced trauma and violence, the State was obligated to provide social rehabilitation. 

    Questions by Committee Experts

    THUWAYBA AL BARWANI, Committee Vice-Chair and Taskforce Member, welcomed the enactment of the disability law in 2016.  However, there was concern that its implementation was not translated into the national agenda.  Were there any plans by the Government to rigorously implement and monitor regulations regarding the enactment of this law?  There were reports that three per cent of children in Indonesia lived with a disability; had recent data been collected on disability?  How was the Government planning to tackle the data issue for disability? 

    Reports indicated that at least 57,000 people in Indonesia had been shackled at least once in their lifetime.  Was this accurate?  Was the Government planning to fully ban this practice?  What was being done to educate the country on the negative impacts of shackling on all persons, including children?  What was the Government doing to improve the access of children with disabilities in the education system?  What nutritional programmes were in place to address the issues of stunting and wasting of children with disabilities?  What programmes were in place to support families with children with disabilities and encourage them not to send them to institutions but to keep them at home?

    The steps taken by Indonesia to improve education were appreciated, but there was still more work to be done.  What was being done to ensure that all children could complete their education?  How was the Government increasing school enrolment and preventing dropout?  Was there research which addressed the reasons that children and adolescents were out of school?  What were the main obstacles which prevented the Government implementing the policy of free primary education? 

    It was disturbing that 24 provinces had forced girls to wear the hijab and that those who did not were forced to leave school, and it was estimated that around 150,000 schools still enforced this rule.  Was this decision left to the provinces to apply?  Was the decree by the three Ministries binding to all schools?  What strategies were in place to ensure school retention and reintegration, particularly for victims of child marriages?  How was the Government strengthening the quality of education, including by reforming its school curriculum?  Was human rights education included in the mandatory school curriculum and in teacher training? 

    SUZANNE AHO, Committee Expert and Taskforce Member, said poverty in the country was a major concern.  Were there any measures envisaged to bring down the level of poverty?  How many years was the programme providing food supposed to run?

    RINCHEN CHOPEL, Committee Expert and Taskforce Coordinator, said there had been significant investment in Indonesia’s health sector since the 1990’s.  However, in recent times Indonesia had been consistently underinvesting in its health sector.  What was the ground reality like?  What was being done to address regional disparities, including by improving health infrastructure and increasing the number of qualified health professionals?  How were infant and young child feeding practices being promoted? 

    The high rate of early pregnancy was concerning, as was the criminalisation of abortion, except in cases of rape or danger to the mother.  What measures were being adopted to provide free contraception and decriminalise abortion?  Indonesia had capital punishment for trafficking of illegal drugs, but their use was on the rise by adolescents.  What was being done to address this issue?  HIV/AIDS represented a pressing issue in Indonesia; given Indonesia’s comprehensive approach to care, what was not working in this regard? 

    Indonesia was experiencing a high rate of suicide, but had limited access to services.  What steps were being taken to tackle this issue? What could be done to further protect lesbian, gay, bisexual, transgender and intersex children? Indonesia was one of the top 50 countries in the world where children were at risk of climate risk degradation, with 20 million exposed to coastal flooding and 15 million exposed to heatwaves. What was the current status of the national climate change policy and disaster contingency plans?  Were they informed by child rights impact assessments? 

    It was encouraging that the State party hosted a large number of refugees, particularly Rohingya women and children.  What was the mandate and capacity of the national taskforce on refugee response? What was the Government’s position on the 1951 United Nations Convention on the Status of Refugees and its 1967 Protocol?  What were the ground realities of children belonging to indigenous communities?

    The Committee was concerned about the significant numbers of children engaged in child labour. What measures were being taken to effectively implement the existing laws, including those which prohibited the economic exploitation of children, including by establishing labour inspectorates? The adoption of the Presidential Regulation in 2023 on the national action plan for human trafficking was welcomed. How was it ensured that noncustodial sentences were taken for children whenever possible? 

    PHILIP JAFFE, Committee Vice-Chair and Taskforce Member, asked why Indonesia did not make a pledge at the ministerial conference in Bogota?

    SUZANNE AHO, Committee Expert and Taskforce Member, asked if training was provided to police and security services on the use of violence?  Child marriages still seemed to be taking place on the island of Sumba; had the State been able to address the forced marriage situation there?  Was there a way to speed up the birth registration process?

    Responses by the Delegation

    The delegation said medical and social rehabilitation were vital for child victims of violence. The implementation of the reintegration of children who had experienced violence included several stages, including preparing children to return to their families and to interact within their social environment. 

    Indonesia had taken significant strides to integrate the rights of persons with disabilities into its national planning.  A dedicated programme for persons with disabilities outlined two key approaches on ensuring access to basic services and protection from violence, and ensuring an inclusive approach to development.  The fragmentation of data on disability was compounded by the lack of a standard definition of disability across sectors.  Indonesia’s unique geographical characteristics, particularly the remote areas, posed challenges for data collection and resulted in gaps in data coverage.  Capacity building activities were underway to equip staff with the necessary tools and skills to better gather and analyse disability data. 

    The health law prevented any forms of violence or shackling against persons with disabilities. Such acts should be punished in accordance with law.  In 2024, 1,794 cases of shackling had been reported with 23 of those being children. Awareness raising had become the main priority to combat shackling in Indonesia, as these practices were mainly conducted due to a lack of education and understanding of those with psychosocial disabilities. 

    Indonesia had introduced programmes to lower the prevalence of child wasting and stunting. As a result of these initiatives, stunting and wasting rates had fallen between the period of 2018 and 2023.  A programme was in place to provide daily nutritious meals to school-age children to combat child malnutrition which remained prevalent in several regions.  By 2029, the Government aimed to expand the programme to serve an estimated 83 million children daily, making it one of the most ambitious social schemes globally. 

    Since the rollout of the programme, student feedback had been an important element for the Government.  The initial phase had attracted criticism from youth regarding taste, portion and variety, and the Government recognised this was not a trivial concern.  Every meal served was carefully formulated by certified nutritionists and the Government was working to improve the points raised. 

    The sudden scale of the programme rollout had resulted in breaches in food safety protocols, including hygiene standards.  The Government responded swiftly by deploying health inspectors to conduct evaluations and temporarily halted meal distribution pending safety clearance. Medical care and financial compensation were provided to victims and their families.  Following this incident, standards had been introduced on food hygiene and the emergency protocol, a revised manual was issued for meal production, and a centralised digital platform was under development to support the programme and monitor incidents. 

    Indonesia was making strides in promoting breast feeding as a key strategy in reducing stunting and improving child nutrition.  There were more than 4,000 breast feeding trainers across 38 provinces, with plans to increase this number.  The draft ministerial regulation on exclusive breast feeding was currently being developed.  These efforts were part of Indonesia’s commitment to ensuring every child’s right to nutrition. 

    In 1999, the Government ratified International Labour Organization Convention 138 concerning the minimum age of employment; the Government had set the minimum age of employment to 15 years, with an exception for 13-year-olds who were undertaking light work.  Sanctions were in place for those who violated provisions for child labour, including prison for two years or heavy fines. 

    The 2025 to 2029 national development plan included a key indicator for preventing child labour, with the objective to reduce the child labour rate to 1.65 per cent by 2029. The Government was committed to protecting domestic workers, including through two laws enacted in 2017 and 2015 respectively, which prohibited the employment of domestic workers under the age of 18.  The bill on the protection of domestic workers was included in the national legislation as a priority. 

    The national action plan on gender and climate change encouraged children’s participation and education on climate change related matters.  The climate action campaign, which mobilised actions on air pollution and the water crisis, had engaged around 2,500 children.  The resilient education framework aimed to make schools safer and better prepared during natural disasters.  Guidelines had been published to ensure that children’s needs were prioritised in disaster preparedness efforts.  The Government had expanded access to programmes aimed at strengthening teachers’ skills, subject matter expertise, and cultural sensitivity. 

    Indonesia had undertaken several initiatives in the spirit of international solidarity and commitment, including the regulation adopted in 2016 concerning the handling of refugees abroad.  This regulation served as an operational guideline to ensure the protection and fulfilment of basic needs for refugees.  As of December 2024, there were more than 3,000 refugee and asylum-seeking children residing in Indonesia, with 186 of them registered as unaccompanied. The State was committed to ensuring that refugee children had access to school age education.  As of September 2023, 808 refugee children were registered in accredited public schools and more than 1,300 were involved in skilled training.  The State had consistently provided humanitarian assistance to refugees and would continue to do so, and regularly participated in regional dialogues on the issue of shared responsibility. 

    Contraceptive drugs and methods could only be delivered by health workers and other trained personnel.  The Government continued to strengthen the supply and distribution of contraception devices.  Infrastructure was being improved to provide unhindered access for those in remote areas. Pregnant students’ right to education was fulfilled through the provision of alternative education offerings. To address the reproductive health needs of women and girls, the Government had established a clear legal and regulatory framework allowing abortion under strict circumstances. Abortion was allowed up to 14 weeks in cases where the mother’s life was at risk or in cases of rape.

    Indonesia recognised that the early detection of HIV was critical in eliminating mother to child transmission.  HIV services were being integrated into the broader maternal and child health framework through enhancing the capacities of healthcare workers to conduct early screening of HIV during the pregnancy and ensuring appropriate treatment.  Between 2021 to 2024, the percentage of pregnant women tested for HIV rose from 51 per cent to 71 per cent.  The positive rate among those tested was 0.2 per cent.  The State ensured that all mothers living with HIV received the care they need to live healthy lives and raise healthy children. 

    The Government had initiated the funding of schools in remote areas.  From 2021 to 2025, the total number of students enrolled in educational institutions rose from 39.4 million to 52.5 million, reflecting an increase of around 33 per cent.  This significant growth reflected improved retention rates and a strong transition of children into a higher level of learning. 

    Questions by Committee Experts

    RINCHEN CHOPEL, Committee Expert and Taskforce Coordinator, asked if Indonesia had already increased the age of criminal responsibility to 14?  Regarding abortion, while rape and threat to the mother’s life was covered, the issues of incest and foetal impairment were not mentioned; could more information be provided?  Indonesia had the highest rate of early pregnancy in south-east Asia, which was concerning, possibly due to barriers to contraception for children. This issue needed to be addressed. Was Indonesia aware of the Committee on the Rights of the Child’s general comment 36 on children’s rights and the environment, with a special focus on climate change?  The Government was urged to study this general comment and roll it out. 

    THUWAYBA AL BARWANI, Committee Vice-Chair and Taskforce Member, said she had read a study which stated that poor families sent their children, especially girls, to Madrasas which taught only Islamic studies; what would be the fate and future of these girls?  This perpetuated the poverty cycle.

    SUZANNE AHO, Committee Expert and Taskforce Member, said there were children who had been detained with adults and became victims of violence in prison settings.  Would the State aim to tackle the issue of female genital mutilation head-on?  What was the State doing to combat child prostitution? 

    PHILIP JAFFE, Committee Vice-Chair and Taskforce Member, asked if the mandate of the Child Protection Commission only covered the promotion of children’s rights, or if children were able to make complaints?  What was the difference between the child protection index and the Indonesian child’s profile?  Were there efforts to make the helplines more accessible to children in remote areas? The National Commission on Violence against Women reported that 73 regulations of enforced hijab were still active in August 2023; what had happened since then? 

    A Committee Expert said Indonesia had a national action plan on human rights from 2021 to 2025; had there been any mid-term assessment or evaluation of this plan? Could the Convention and its protocols be invoked in national courts?  Had there been any court decisions prosecuting the practice of female genital mutilation? 

    Another Expert asked if juvenile courts existed in Indonesia?  What type of alternative care was offered to children who needed to be separated from their families?  How were children of incarcerated parents supported? 

    A Committee Expert said there seemed to be little evidence that programmes for female genital mutilation were having an effect.  How did the Parliament ensure that laws in this regard were implemented? Had there been programmes on positive masculinity in schools?  Was HIV/AIDS screening mandatory before marriage? 

    Another Expert asked from what age could exceptions be provided for child marriage?  How many girls had received these exceptions?  Did the girls have an opportunity to oppose the decision?  The children in the Syrian camps were suffering on a daily basis and needed to be repatriated urgently.  When would they be repatriated and what programmes would be put in place to reintegrate them? 

    A Committee Expert asked what plans and strategies the Government had implemented to ensure strict regulations, better teachers’ training, and robust reporting mechanisms to protect children from violence and abuse in education settings? 

    Another Committee Expert asked if different cases were handled by different judges depending on the age of the child? Were there alternative penalties other than incarceration provided? 

    An Expert asked if the Government policy on protecting victims of crime, particularly sexual exploitation, had improved?  Was there anything being done to specifically assist and rehabilitate victims of sexual violence? 

    Responses by the Delegation 

    The delegation said Indonesia already had an effective complaints mechanism regarding the Convention. Access to justice was enhanced by a complaints channel established through the dedicated human rights communications surface.  Since 2020, it had received around 2,800 submissions of complaints.  The National Commission for the Protection of Children had a system which allowed anyone to submit their complaints through WhatsApp. Indonesia had proactively contributed to the Bogota ministerial conference by providing feedback on the document and participating in the conference.  However, it was regretful that the document was not the result of a participatory project between all Member States of the United Nations, which was why Indonesia did not make a pledge during the conference. 

    There were 30 medical indications of abortion, and foetal impairment was one of the indications. Incest was included as an indication if it was determined that the girl had been unfit to provide consent, in which case it was considered as sexual violence.  Indonesia had heard that one of the big community organizations had announced providing circumcision for boys and girls at an event; in response the Government had pushed the organization to cancel circumcision for girls with support from many sectors.  Nowadays, the coordination of efforts to prohibit female genital mutilation was becoming stronger, with many sectors supporting this cause. 

    The national human rights action plan was one of the national policies of the Indonesian Government in realising the fulfilment, respect and enforcement of human rights. It was designed to respond to the society’s evolving human rights conditions.  The current plan had targets in four groups consisting of women, children, persons with disabilities, and indigenous groups, with measures outlined for each group to ensure equality was achieved. 

    There were challenges regarding the foreign terrorist fighters, as many identification documents had been burned.  At the Indonesian border, there was an evaluation of individuals and the security situaiton on the ground.  The Indonesian Government needed to ensure security for the children and those facilitating their repatriation.  All Ministries were involved in the reintegration, rehabilitation and de-radicalisation of returnees.  A programme was in place to help children recover from trauma, facilitate their reintegration in Indonesian society, and combat religious ideologies.  All repatriations needed to be carried out with the best interests of the child in mind, including keeping in mind if it was in their best interests to be separated from adults. 

    Indonesia did not tolerate underage marriage; while cultural traditions were respected, they needed to respect human rights principles.  Child marriage was prevalent in Sumba, and the Government was working intensively with the community and community leaders to tackle this issue, including by conducting awareness raising campaigns.

    The annual budget for legal aid had been elevated in 2025.  Madrassas were part of the religious-based schools and were equal to public schools.  Their curriculum followed the national system of education.  Two ministries, the Ministry of Education and the Ministry of Religious Affairs, were responsible for education, and directed the schools under their authorities to establish taskforces to deal with the issue of violence at school.   

    The child protection law affirmed the right of all children to be raised by their parents, with separation only enacted as a last resort.  The correctional nutrition house programme had been introduced to prevent stunting at an early life stage and empowered incarcerated women with knowledge in nutrition. 

    The National Narcotics Board had been conducting activities on drug usage, targeting students. The prevention programme for juveniles in youth correctional centres included anti-drug awareness, with at least one session per year conducted on a regular basis. 

    The Government had enacted the juvenile justice system law to ensure judicial processes were carried out in the best interests of the child.  To ensure protection, incarcerated children were placed in separate settings from adults.  Child cases were managed separately to avoid delays and children’s overexposure to court environments. 

    In 2015, eight Ministries signed a memorandum of understanding to create better synergy in accelerating the legislation for birth certificates, both for children in Indonesia and abroad.  A circular had been issued to all health facilities mandating medical workers to provide information on birth registration and certificates at the time of birth.  Outreach visits were conducted to the families of newborns to ensure their birth registration was processed.  These measures ensured every newborn automatically received a birth certificate and national identity card. 

    Closing Remarks

    RINCHEN CHOPEL, Committee Expert and Taskforce Coordinator, congratulated the delegation of Indonesia for the productive dialogue.  The establishment of the Ministry of Human Rights would go a long way in reinforcing the current institutions in place and disseminating the Committee’s concluding observations.  The Committee would continue to urge the Government to reconsider its decision not to ratify the Optional Protocol on individual communications. It was also concerning that Indonesia had not reported on the other two Optional Protocols since 2014; the Government was urged to do so urgently.  Mr. Chopel wished the delegation a safe journey home and relayed the Committee’s good wishes to the children of Indonesia.

    MUNAFRIZAL MANAN, Director-General for Human Rights Services and Compliance, Ministry of Human Rights of Indonesia, said the Ministry of Human Rights was a new entity in the current administration which aimed to ensure the protection, promotion and fulfilment of human rights.  Mr. Manan extended sincere gratitude to the Committee for the collaborative and open dialogue.  Indonesia’s participation underscored the strong commitment of the Government to the protection of children’s rights in the country.  The delegation had taken note of the Committee’s comments and advice and would ensure they were translated into concrete actions.  The State was committed to ensuring that children could enjoy their rights and reach their full potential. 

    ACHSANUL HABIB, Ambassador, Chargé d’affaires a.i., Permanent Mission of Indonesia to the United Nations Office at Geneva and head of the delegation, conveyed appreciation to the Committee for the instructive engagement.  The delegation would submit any extra responses within 48 hours, and looked forward to receiving balanced concluding observations and recommendations.  Mr. Habib thanked all those who had made the dialogue possible. 

    ___________

    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.

     

    CRC25.011E

    MIL OSI United Nations News

  • MIL-OSI Russia: Another Nanjing Massacre Survivor Dies in China, Leaving Only 26 Survivors of the Tragedy

    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

    NANJING, May 15 (Xinhua) — Nanjing Massacre survivor Xie Guiying, born in September 1924, passed away on Thursday at the age of 100, bringing the total number of registered survivors of the tragedy to 26, according to the Nanjing Massacre Memorial Museum in east China’s Jiangsu Province.

    The Nanjing Massacre occurred after the Japanese occupation forces captured the city of Nanjing, then the capital of China, on December 13, 1937. Over a period of six weeks, the invaders killed about 300,000 Chinese civilians and unarmed soldiers. The tragedy is considered one of the most barbaric episodes of World War II.

    In 1937, before Japanese troops entered Nanjing, where Xie Guiying’s family lived, her mother took her and her siblings and fled the city, leaving her father to guard their home. After Japanese troops entered Nanjing, they killed Xie Guiying’s father.

    After these events, the girl’s mother was left to take care of the children alone. Xie Guiying almost died three times. There is a clearly visible scar on her forehead from hitting her head on a rock, which appeared when Japanese soldiers dragged her along the ground.

    During her lifetime, Xie Guiying often attended events held at the Nanjing Massacre Memorial Museum, hoping that the public would always remember this historical disaster.

    “Our country is now becoming stronger and our life is better, and we owe this to the Chinese Communist Party,” she said.

    Six Nanjing Massacre survivors, including Xie Guiying, have died since the beginning of this year, and the number of people who can share personal memories of the Nanjing Massacre is dwindling.

    In 2014, the National People’s Congress of China declared December 13 as National Remembrance Day for the Victims of the Nanjing Massacre.

    The testimonies of Nanjing Massacre survivors, preserved by the Chinese government, are recorded in both written and video form. In 2015, these documents were added to the UNESCO Memory of the World Register. –0–

    MIL OSI Russia News

  • MIL-OSI Economics: Verizon’s Red Hot Deal Days are back with the season’s biggest sale: phones, watches, tablets and more, on us

    Source: Verizon

    Headline: Verizon’s Red Hot Deal Days are back with the season’s biggest sale: phones, watches, tablets and more, on us

    NEW YORK – Verizon just announced its hottest deals of the season with “Red Hot Deal Days,” from May 15 through May 28. As the first and only provider in the industry offering all new and existing myPlan and myHome customers a three-year price lock guarantee, Verizon is committed to providing its customers peace of mind and big savings.

    “We’re providing our best deals and value as a thank you for our customers,” said Sowmyanaran Sampath, Verizon Consumer CEO. “Price, value and savings are top of mind for people today – every dollar counts. That’s why we’re proud to offer these deals as an added benefit alongside our three year price lock. We’re not just meeting expectations; we’re setting a new standard for what customers should expect from their mobile and home internet provider.”

    This year for Red Hot Deal Days, new and existing mobile customers can score a smartphone, watch, and tablet with ANY myPlan, on us, plus Ray Ban Meta glasses with select Unlimited plans. So, whether you want the iPhone 16 Pro, the Samsung Galaxy S25+ or the Google Pixel 9 Pro – there’s a deal for you, ALL ON US!  AND new home internet customers can get a $400 credit on select Samsung home tech at Best Buy and more. This special event has something for everyone, featuring incredible deals on the latest tech accessories, from Father’s Day gifts to graduation gifts, to travel essentials for vacation and more. It’s the perfect lead-up to summer! 

    Savings on the hottest tech for Mobile and Home customers

    Verizon mobile customers who upgrade or add a line on ANY myPlan can enjoy one of three mobile bundles with select phone trade-in and service plan for watch and tablet, plus Ray-Ban Meta Glasses (Up to $299, for those who add a new line on Unlimited Plus or Unlimited Ultimate plans):

    • Apple: Get the iPhone 16 Pro, Watch Series 10 and iPad (A16), on us.
    • Google: Get the Pixel 9 Pro, Pixel Watch 3 and Tab S10 FE, on us.
    • Samsung: Get the Galaxy S25+, Galaxy Watch Ultra and Tab S10 FE, on us.

    New Verizon Home Internet customers who sign up for select plans can enjoy:

    • Price-lock guarantee for 3-5 years, depending on plan
    • $400 off select Samsung home tech at Best Buy
    • The YouTube Premium Perk for 6 months (then $10/mo after)
    • and Ray-Ban Meta Glasses (Up to $299), all on us.

    For families looking for wearable tech:

    • StreamTV Soundbar: Get the latest StreamTV Soundbar for only $149.99 (Save $250)
    • StreamTV: Get the Verizon StreamTV device for only $19.99 (Save $50)

    And for a limited time, save even more by getting 25% cash back as a statement credit when you use your Verizon Visa® Card on eligible electronic and accessory purchases at Verizon.

    Stay up to date and explore all the latest deals from Verizon by visiting your local Verizon retail store or verizon.com/deals/.


    Samsung Home Tech: Offer valid thru 5.28.25 for a $400 credit via promo code to be used toward the single item purchase of select Samsung home tech (eligible TVs, appliances, laptops, tablets, monitors, and speakers) with a minimum retail price of $800. Product selection may vary. Offer not valid on Samsung smartphones. For new home internet customers who install eligible Verizon Home Internet services and redeem w/in 30 days thereafter, or by no later than 7.27.25, whichever is first. Promo code must be redeemed online at bestbuy.com/verizonsamsungpromotion. Verizon reserves the right to charge back the value of the Samsung credit if eligible service is canceled w/in 180 days. One offer per eligible Verizon account, while supplies last. Samsung and related trademarks are owned by Samsung Electronics Co., Ltd. Verizon is not affiliated with Best Buy. Purchase, delivery, installation, and other charges are the subject to Best Buy’s terms & conditions.

    Ray-Ban Meta Glasses: Mobile: Offer valid through 5.28.25 for select Ray-Ban Meta glasses, with retail value up to $299, w/ purchase of eligible smartphone on device payment w/new smartphone line on postpaid Unlimited Plus or Unlimited Ultimate plan. Must maintain eligible services for 30 days and redeem offer w/in 60 days thereafter, or by no later than 09.25.25, whichever is first. Glasses redeemed on Meta.com. Verizon reserves the right to charge back the value of the Ray-Ban Meta promotional device(s) if eligible service is canceled w/in 180 days or eligibility req’s are no longer met. Limit 1 offer per Verizon account. While supplies last. Home: Offer valid through 5.28.25 for select Ray-Ban Meta glasses, with retail value up to $299. For new home internet customers who activate/install and maintain eligible 5G Home Plus, LTE Home Plus, Fios 2 Gig or Fios 1 Gig internet services in good standing for 65 days and redeem offer w/in 60 days thereafter, or by no later than 10.30.25, whichever is first. Glasses redeemed on Meta.com. Verizon reserves the right to charge back the value of the Ray-Ban Meta promotional device(s) if eligible service is canceled w/in 180 days. Limit 1 offer per Verizon account. While supplies last.

    (Apple) Phone: $999.99 (128 GB only) device payment purchase w/new or upgrade smartphone line on Unlimited Ultimate, postpaid Unlimited Plus or Unlimited Welcome plan (min. $65/mo w/Auto Pay (+taxes/fees) for 36 mos) req’d. Less $1,000 trade-in/promo credit applied over 36 mos.; 0% APR. For upgrades, trade-in phone must be active on account for 60 days prior to new device purchase. Trade-in must be from Apple, Google, Motorola or Samsung; trade-in terms apply. Apple Intelligence requires iOS 18.1 or later. Apple Watch/iPad: Up to $499.99 device payment purchase w/new line on eligible plan (min. $20/mo w/Auto Pay (+taxes/fees) for 36 mos) req’d per Apple Watch/iPad. Less up to $500 promo credit per device applied over 36 mos; 0% APR. All promo credits for iPhone/Apple Watch/iPad offers end if eligibility req’s per device are no longer met.

    (Google) Phone: $999.99 (128 GB only) device payment purchase w/new or upgrade smartphone line on Unlimited Ultimate, postpaid Unlimited Plus or Unlimited Welcome plan (min. $65/mo w/Auto Pay (+taxes/fees) for 36 mos) req’d. Less $1,000 trade-in/promo credit applied over 36 mos.; 0% APR. For upgrades, trade-in phone must be active on account for 60 days prior to new device purchase. Trade-in must be from Google, Apple, Motorola or Samsung; trade-in terms apply. Tablet/Watch: Up to $599.99 device payment purchase w/new line on eligible plan (min. $20/mo w/Auto Pay (+taxes/fees) for 36 mos) req’d per Tablet/Watch. Less up to $600 promo credit per device applied over 36 mos; 0% APR. All promo credits for Phone/Watch/Tablet offers end if eligibility req’s per device are no longer met.

    (Samsung) Phone: $999.99 (256 GB only) device payment purchase w/new or upgrade smartphone line on Unlimited Ultimate, postpaid Unlimited Plus or Unlimited Welcome plan (min. $65/mo w/Auto Pay (+taxes/fees) for 36 mos) req’d. Less $1,000 trade-in/promo credit applied over 36 mos.; 0% APR. For upgrades, trade-in phone must be active on account for 60 days prior to new device purchase. Trade-in must be from Samsung, Apple, Google or Motorola; trade-in terms apply. Tablet/Watch: Up to $649.99 device payment purchase w/new line on eligible plan (min. $20/mo w/Auto Pay (+taxes/fees) for 36 mos) req’d per Tablet/Watch. Less up to $650 promo credit per device applied over 36 mos; 0% APR. All promo credits for Phone/Watch/Tablet offers end if eligibility req’s per device are no longer met.

    Price Guarantee: myPlan: Applies to the then-current base monthly rate charged by Verizon for your talk, text, and data; excludes taxes, fees, surcharges, additional plan discounts or promotions, and third-party services. Price guarantee is void if any of the lines are canceled or moved to an ineligible plan. Plan perks, taxes, fees, and surcharges are subject to change.

    myHome: Price guarantee for 3-5 years, depending on internet plan, for new and existing myHome customers. Applies only to the then-current base monthly rate exclusive of any other setup and additional equipment charges, discounts or promotions, plan perk and any other third-party services.

    YouTube Premium: Offer valid thru 5.28.25. Requires an eligible Verizon Home Internet (“VHI”) plan. $10/mo perk credit ends after 6 mos or if perk is canceled or line is moved to an ineligible plan during the 6-mo promo period. After 6 mos, perk bills as $10/mo unless perk is canceled or unregistered. Must be 18 years of age or older to enroll. After enrolling in the YouTube Premium perk, you will need to complete account setup to use the service. Enrolling in the YouTube Premium perk may affect existing subscriptions to YouTube Premium. Managing subscriptions may be required to avoid multiple subscriptions and corresponding charges. One offer per eligible VHI account. Subject to YouTube Terms of Service & YouTube Premium and Music Premium Terms of Use.

    Gizmo Watch: $149.99 purchase on service plan req’d. Less $75 promo credit applied over 36 mos.; promo credit ends if eligibility req’s are no longer met; 0% APR.

    Verizon Visa Card: Purchases subject to credit approval. Offer available 5/15/25 at 3 AM ET – 5/29/25 at 3 AM ET.  Excludes phones, smartwatches, tablets, laptops and gift cards. Offer is based on purchase price, excluding taxes and shipping and other fees. Offer is not combinable with the Accessories Financing Offer. Maximum purchase total of $1,000 on eligible accessories & electronics purchases at Verizon. $250 maximum statement credit during offer period. Statement credit will be applied to your Verizon Visa Card account within 1-2 billing cycles from offer end date. Verizon Visa Card account needs to be in good standing at time statement credit is applied to qualify. Statement credit cannot be used to satisfy the required monthly payment on your credit card account and may not be redeemed for cash or cash equivalent. The Verizon Visa Signature® Card is issued by Synchrony Bank, pursuant to a license from VISA USA Inc.

    MIL OSI Economics

  • MIL-OSI Global: India and Pakistan have agreed a precarious peace – but will it last?

    Source: The Conversation – UK – By Alex Waterman, Lecturer in Peace Studies and International Development, University of Bradford

    India and Pakistan stepped back from the brink of catastrophe on May 10 after a US-brokered ceasefire brought rapidly escalating hostilities between the two countries to an end. But tensions are still running high.

    The Indian prime minister, Narendra Modi, said on May 12 that India has only “paused” its military action against Pakistan and would “retaliate on its own terms” to any attacks.

    The latest episode in the long-running conflict between these nuclear powers was triggered on April 22. Militants from a group known as the Resistance Front, which India says is a proxy for the Lashkar-e-Taiba terrorist group, killed 26 tourists in the picturesque resort town of Pahalgam in Indian-administered Kashmir. India alleges Pakistan’s involvement, which it denies.

    The fact that India and Pakistan were able to agree to a ceasefire as escalations spiralled is reason for optimism. It shows that internal calculations and international pressure can pull the two parties back from the brink. However, the ceasefire represents an incredibly precarious peace. Can it be sustained?


    Get your news from actual experts, straight to your inbox. Sign up to our daily newsletter to receive all The Conversation UK’s latest coverage of news and research, from politics and business to the arts and sciences.


    Recent experience shows that sustained ceasefires are possible between the two states. In February 2021, India and Pakistan’s militaries signed a ceasefire to end four months of cross-border skirmishes. The agreement was a reaffirmation of an original ceasefire understanding from 2003.

    Only two violations were recorded across the line of control separating Indian- and Pakistani-administered Kashmir for the rest of the year, dropping to one in 2022. This compared to 4,645 such incidents in 2020.

    The reduction led to optimism that armed rebellion in Kashmir, which both India and Pakistan claim in full, was in persistent decline. In March 2025, just one month before the deadly Pahalgam attack, security sources in India estimated that there were only 77 active militants operating on the Indian side of the border.

    The drop in violence was a result of combined international and domestic pressure on Pakistan. The Financial Action Task Force, an organisation that monitors countries’ efforts to tackle terrorist financing and recommends financial sanctions against non-compliant states, added Pakistan to its “grey list” in 2018.

    This listing forced Pakistan to introduce a string of policy measures to curb terrorism financing. Pakistan was removed from the list in 2022 due to significant improvements in its counter-terrorism framework.

    But, as the Kashmir conundrum is at the heart of Pakistani national identity, it has often been employed as a political strategy to shore up domestic support. And in recent years, as Pakistan’s powerful army has grappled with overlapping economic and political crises, this strategy has been rolled out again.

    The popularity of Pakistan’s army, for example, diminished significantly following the arrest of Pakistan’s leader, Imran Khan, in 2023. This has prompted army chief Asim Munir to use tensions with India to deflect attention.

    Munir has called Kashmir “our jugular vein”, and has promised not to “leave our Kashmiri brothers in their historical struggle”. These comments followed an increase in the number and frequency of insurgent attempts to cross the border into India after India’s May 2024 general elections were held peacefully in Kashmir, a rare occurrence since the separatist insurgency began in 1987.

    These cross-border operations are allegedly carried out by Pakistan’s so-called Border Action Teams, comprised of Pakistani special forces and militants from insurgent groups. Pakistan has never acknowledged the existence of such teams.

    By April 1, tit-for-tat firing across the line of control had also already surpassed the total number of incidents in 2023 and 2024 combined.

    Fragile peace

    The latest ceasefire was agreed in the context of hostilities escalating beyond previous levels. Military strikes were launched outside Kashmir itself at military bases deep in Pakistani territory and in north-western India.

    Certain actions by Islamabad were also widely interpreted as attempts to signal the country’s nuclear capabilities. These included the decision to convene the National Command Authority, the body responsible for control and use of Pakistan’s nuclear arsenal.

    The move may not have been a genuine alert. But the possible willingness to resort to nuclear threats is particularly concerning as, unlike India, Pakistan does not have a “no-first use” nuclear weapons policy.

    India, as an aspiring political and economic power, has clear interests in preserving the ceasefire. New Delhi wants to project itself as rational and responsible, worthy of a permanent seat on the UN Security Council.

    At the same time, some of the decisions taken by India after the Pahalgam attack may compel further support for the insurgency in Kashmir. This brings with it the risk of further escalation between India and Pakistan in the future.

    India has suspended the Indus Water Treaty, which governs the use of water from the Indus River. Pakistan lies downstream from India and is heavily dependent on the river for irrigation and public consumption.




    Read more:
    India-Pakistan conflict over water reflects a region increasingly vulnerable to climate change


    Intervention from global powers such as the US may again be able to prevent future hostility from spiralling out of control. However, substantive talks are unlikely.

    The US, which is in advanced negotiations with New Delhi over reducing tariffs on Indian imports, has offered to act as a mediator. This has been welcomed by Pakistan. But India maintains that, on the question of Kashmir, it would prefer bilateral talks rather than involving a third party.

    While the Trump administration initially signalled a hands-off approach to relations between India and Pakistan, deeming it “none of our business”, it is now clear how rapidly matters can escalate between them.

    The US and other interested parties like China will probably continue in their efforts to regulate and manage the conflict, openly or covertly, even if deeper resolution appears unlikely.

    The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.

    ref. India and Pakistan have agreed a precarious peace – but will it last? – https://theconversation.com/india-and-pakistan-have-agreed-a-precarious-peace-but-will-it-last-256618

    MIL OSI – Global Reports

  • MIL-OSI Global: Birthright citizenship case at Supreme Court reveals deeper questions about judicial authority to halt unlawful policies

    Source: The Conversation – USA – By Cassandra Burke Robertson, Professor of Law and Director of the Center for Professional Ethics, Case Western Reserve University

    The U.S. Supreme Court is considering whether a single federal judge should have the power to temporarily halt presidential policies across the entire country. Rudy Sulgan, The Image Bank/Getty Images

    When one judge blocks a president’s policies nationwide, alarm bells ring. Should a single judge wield this much power? Can they halt policies across the entire country after just a quick first look at whether they might be illegal? The Supreme Court now faces these critical questions.

    In a lively session on May 15, 2025, filled with justices’ questions that at times interrupted the attorneys appearing before them, the Supreme Court heard arguments in a case stemming from President Donald Trump’s executive order aimed at ending birthright citizenship, the provision in the Constitution’s 14th Amendment that says all children born in the United States are granted citizenship.

    While the underlying lawsuit involves birthright citizenship, the immediate question before the court was about a legal tool called a “nationwide preliminary injunction.” This allows a single federal judge to temporarily halt presidential policies across the entire country – even before fully considering whether those policies are constitutional.

    Three judges had stopped the president’s attempt to deny birthright citizenship to babies born to mothers who lack legal permanent residency in the United States. It was the Trump administration’s appeal of those injunctions that was argued before the justices on May 15, with the administration asserting that “universal injunctions compromise the Executive Branch’s ability to carry out its functions,” and that it’s unconstitutional for federal judges to issue them.

    The justices also grappled with a key question: How much should judges consider whether a policy is likely constitutional when deciding whether to issue these temporary blocks? The National Immigration Law Center, which supports the use of nationwide injunctions, wrote in its filing with the court that granting the administration’s request to bar such injunctions would “tie the hands of the judicial branch in the face of unlawful executive action.”

    What exactly are these injunctions, and why do they matter to everyday Americans?

    Immediate, irreparable harm

    When presidents try to make big changes through executive orders, they often hit a roadblock: A single federal judge, whether located in Seattle or Miami or anywhere in between, can stop these policies across the entire country.

    These court orders have increasingly become a political battleground, increasingly sought by both Republicans and Democrats to fight presidential policies they oppose.

    And while the Trump administration asked the Supreme Court to limit judges’ power to issue nationwide preliminary injunctions, Congress has also held hearings on curtailing judges’ ability to issue the injunctions.

    When the government creates a policy that might violate the Constitution or federal law, affected people can sue in federal court to stop it. While these lawsuits work their way through the courts – a process that often takes years – judges can issue what are called “preliminary injunctions” to temporarily pause the policy if they determine it might cause immediate, irreparable harm.

    A “nationwide” injunction – sometimes called a “universal” injunction – goes further by stopping the policy for everyone across the country, not just for the people who filed the lawsuit.

    Importantly, these injunctions are designed to be temporary. They merely preserve the status quo until courts can fully examine the case’s merits. But in practice, litigation proceeds so slowly that executive actions blocked by the courts often expire when successor administrations abandon the policies.

    Legislation introduced by GOP Sen. Chuck Grassley would ban judges from issuing most nationwide injunctions.
    Sen. Chuck Grassley office

    More executive orders, more injunctions

    Nationwide injunctions aren’t new, but several things have made them more contentious recently.

    First, since a closely divided and polarized Congress rarely passes major legislation anymore, presidents rely more on executive orders to get substantive things done. This creates more opportunities to challenge presidential actions in court.

    Second, lawyers who want to challenge these orders have gotten better at “judge shopping” – filing cases in districts where they’re likely to get judges who agree with their client’s views.

    Third, with growing political division, both parties aim to use these injunctions more aggressively whenever the other party controls the White House.

    Affecting real people

    These legal fights have tangible consequences for millions of Americans.

    Take DACA, the common name for the program formally called Deferred Action for Childhood Arrivals, which protects about 500,000 young immigrants from deportation. For more than 10 years, these young immigrants, known as “Dreamers,” have faced constant uncertainty.

    That’s because, when President Barack Obama created DACA in 2012 and sought to expand it via executive order in 2015, a Texas judge blocked the expansion with a nationwide injunction. When Trump tried to end DACA, judges in California, New York and Washington, D.C. blocked that move. The program, and the legal challenges to it, continued under President Joe Biden. Now, the second Trump administration faces continued legal challenges over the constitutionality of the DACA program.

    More recently, judges have used nationwide injunctions to block several Donald Trump policies.

    While much of the current debate focuses on presidential policies, nationwide injunctions have also blocked congressional legislation.

    The Corporate Transparency Act, passed in 2021 and originally scheduled to go into effect in 2024, combats financial crimes by requiring businesses to disclose their true owners to the government. A Texas judge blocked this law in 2024 after gun stores challenged it.

    In early 2025, the Supreme Court allowed the law to take effect, but the Trump administration announced it simply wouldn’t enforce it – showing how these legal battles can become political power struggles.

    A polarized Congress rarely passes major legislation anymore, so presidents – including Donald Trump – have relied on executive orders to get things done.
    Christopher Furlong/Getty Images

    Too much power or necessary protection?

    Some critics say nationwide injunctions give too much power to a single judge. If lawyers can pick which judges hear their cases, this raises serious questions about fairness.

    Supporters argue that these injunctions protect important rights. For example, without nationwide injunctions in the citizenship cases, babies born to mothers without legal permanent residency would be American citizens in some states but not others – an impossible situation.

    Congress is considering legislation to limit judges’ ability to grant nationwide injunctions.

    The Trump administration has also tried to make it expensive and difficult to challenge its policies in court. In March 2025, Trump ordered government lawyers to demand large cash deposits – called “security bonds” – from anyone seeking an injunction. Though these bonds are already part of existing court rules, judges usually set them at just a few hundred dollars or waive them entirely when people raise constitutional concerns.

    Under the new policy, critics worry that “plaintiffs who sue the government could be forced to put up enormous sums of money in order to proceed with their cases.”

    Another way to address the concerns about a single judge blocking government action would be to require a three-judge panel to hear cases involving nationwide injunctions, requiring at least two of them to agree. This is similar to how courts handled major civil rights cases in the 1950s and 1960s.

    My research on this topic suggests that three judges working together would be less likely to make partisan decisions, while still being able to protect constitutional rights when necessary. Today’s technology also makes it easier for judges in different locations to work together than it was decades ago.

    As the Supreme Court weighs in on this debate, the outcome will affect how presidents can implement policies and how much power individual judges have to stop them. Though it might seem like a technical legal issue, it will shape how government works for years to come – as well as the lives of those who live in the U.S.

    This is an updated version of a story originally published on April 3, 2025.

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

    ref. Birthright citizenship case at Supreme Court reveals deeper questions about judicial authority to halt unlawful policies – https://theconversation.com/birthright-citizenship-case-at-supreme-court-reveals-deeper-questions-about-judicial-authority-to-halt-unlawful-policies-256726

    MIL OSI – Global Reports

  • MIL-OSI Video: Peacekeeping: Can mean difference between life and death – UN Chief | United Nations

    Source: United Nations (Video News)

    “Blue helmets can mean the difference between life and death,” UN Secretary-General António Guterres urged renewed global commitment to peacekeeping during the opening of the UN Peacekeeping Ministerial in Berlin, warning that operations are facing unprecedented financial and political pressure.

    “My thanks to Germany for bringing us together at this consequential moment,” Guterres said. “This year marks the 80th anniversary of the United Nations organization was founded on the conviction that peace is possible if we work as one United’s human family. That is what our peace operations are about.”

    Highlighting the symbolic and operational importance of the United Nations peacekeeping forces, the Secretary-General stated, “The UN Blue Helmets are the most globally recognized symbol of the world’s ability to come together to help countries move from conflict to peace.”

    Guterres pointed to several countries that transitioned from war to stability with the help of UN missions. “There is a long list of countries that have achieved durable peace with the support of UN peacekeeping, including Cambodia, Cote d’Ivoire, El Salvador, Liberia, Namibia, Mozambique, Sierra Leone and Timor-Leste. Many of these countries now themselves contribute troops,” he said.

    However, he also emphasized the human cost of these missions. “Through the decades, 4400 peacekeepers have fallen in the line of duty. Their service and sacrifice will never be forgotten,” he said, inviting participants to join him in a moment of silence.

    As part of a broader reform process initiated by Member States, Guterres referenced the “Pact for the Future,” which calls for a comprehensive review of peace operations. “The review will examine how we can make peacekeeping operations more adaptable, flexible and resilient while recognizing the limitations in situations where there is little or no peace to keep,” he said.

    He acknowledged the difficulties of operating in increasingly polarized geopolitical contexts. “We see increasing differences of views around our peacekeeping operations work, and then what circumstances with what mandates they should be deploys. And for how long,” he noted.

    Guterres also addressed the challenge of shrinking financial resources. “Peace operations can only succeed when backed by robust mandates and clear, predictable and sustained contributions, both financial and logistical,” he stated. “It is crucial that we are able to use the increasingly limited resources we have and use them well.”

    Concluding his address, the Secretary-General called for continued Member State engagement. “Supported at every step by Member States, we look forward to your government’s support and ideas as we tackle these challenges together,” he said.

    https://www.youtube.com/watch?v=tknyfzgCtqg

    MIL OSI Video