Market Overview - US stock market showed slight fluctuations ahead of the global central bank meeting, with the S&P 500 index down 0.01%, Dow Jones down 0.08%, and Nasdaq up 0.03% [1] - The Nasdaq Golden Dragon China Index rose by 0.12%, with notable gains in Chinese concept stocks such as Xunlei up over 37%, Burning Stone Medical up about 36%, and Huami Technology up over 28% [3] Company Performance - Meta Platforms saw a decline of over 2%, while Tesla rebounded by over 1% and Intel dropped nearly 3.7% [2] - Novo Nordisk's stock increased by nearly 7%, and its partner GoodRx surged by 37% following the announcement of a cash payment discount for its weight loss drug [2][7] - China Shipbuilding reported zero objection shares, leading to stock resumption [22] Economic Indicators - US Treasury yields have risen for three consecutive days, with the ten-year yield reaching a two-week high [4] - The dollar index rebounded, moving away from a two-week low [4] Industry Developments - India and Vietnam have imposed anti-dumping duties on Chinese PVC and steel products, respectively [6] - The low-altitude economy is gaining traction, with the first low-altitude route connecting Kunshan and Shanghai officially launched, reducing travel time to 20 minutes [15] - Beijing is advancing hydrogen energy infrastructure and applications, with plans for a comprehensive network in the Beijing-Tianjin-Hebei region [16] Financial Results - Shan Jin International reported a net profit of 1.596 billion yuan for the first half of the year, a year-on-year increase of 48.43% [24] - Cambridge Technology's net profit for the first half of the year was 121 million yuan, up 51.12% year-on-year, driven by strong performance in high-speed optical modules and telecom broadband access [24] - Fei Rongda's net profit surged by 118.54% to 166 million yuan, attributed to increased market share and demand recovery in consumer electronics [24] New Initiatives - Guangdong has released guidelines for financial support for AI and robotics projects, with individual projects eligible for up to 50 million yuan in subsidies [11] - Chongqing is seeking public opinion on its hydrogen station industry development plan for 2025-2035, aiming for systematic infrastructure development [11][16]

Group 1 - GoodRx Holdings, Inc. (NASDAQ: GDRX) operates as a key component of the U.S. pharmacy system, focusing on providing infrastructure rather than developing new drugs [1] - The company is not involved in the biotech sector, as it does not engage in drug invention or FDA approval processes [1] Group 2 - The company emphasizes its role in enhancing the efficiency of the pharmacy system, which is critical for consumers seeking affordable medication [1]

Market Overview - Investor risk sentiment paused as markets awaited details from President Trump's meeting with Ukrainian President Zelenskyy and European leaders [1] - Major U.S. indices, including the S&P 500, Nasdaq 100, and Dow Jones, remained little changed, holding near record highs [2] Performance of Major Indices - Russell 2000 increased by 0.4% to 2,295.13 - Dow Jones remained unchanged at 44,967.07 - S&P 500 held steady at 6,450.31 - Nasdaq 100 also unchanged at 23,709.13 [4] Sector and Stock Movements - Vanguard S&P 500 ETF (VOO) flattened at $591.03 - SPDR Dow Jones Industrial Average (DIA) held steady at $449.33 - Invesco QQQ Trust Series (QQQ) eased 0.1% to $576.08 - iShares Russell 2000 ETF (IWM) edged up 0.3% to $227.78 [7] Notable Stock Performances - First Solar Inc. (FSLR) rose 10.15%, Sunrun Inc. (RUN) advanced 10.63%, and Enphase Energy Inc. (ENPH) added 5.24% following new guidance on clean energy tax credits [7] - UnitedHealth Group Inc. (UNH) increased by 3.15% after Berkshire Hathaway disclosed a $1.6 billion stake [7] - Duolingo Inc. (DUOL) gained 11% after an upgrade to Overweight by KeyBanc and a Buy rating from Citi Research [7] - Novo Nordisk A/S (NVO) rose 5.03% after FDA approval of its weight-loss drug Wegovy for liver disease [7] - GoodRx Holdings Inc. (GDRX) jumped 40% on news of a partnership with Novo Nordisk to sell Wegovy and Ozempic for $499 a month [7] Commodity and Cryptocurrency Movements - Gold slipped 0.1% to $3,333 per ounce - Oil prices fell 0.8% to $62 a barrel - Bitcoin (BTC/USD) dropped 1.2% to $116,000, with Ethereum (ETH/USD) down 3.3% to $4,327 and Solana (SOL/USD) off 4.3% [3]

Core Insights - Novo Nordisk is offering its diabetes drug Ozempic for $499 per month to eligible cash-paying type 2 diabetes patients in the U.S. This follows a similar price cut for its weight-loss drug Wegovy, which is also priced at $499 [1][4] - Eli Lilly has announced plans to expand the supply and reduce costs of its weight-loss drug Zepbound, enhancing access for uninsured patients through its self-pay pharmacy [2][4] - Novo Nordisk's Ozempic will be available through its NovoCare pharmacy program and in partnership with telehealth service GoodRx, also at the price of $499 per month [6] Company Performance - Novo Nordisk's stock price increased by 4.60%, closing at $54.39 following the announcement of the price cut for Wegovy [4] - Eli Lilly's stock price rose by 2.68%, reaching $701.23, as it benefits from the increased demand for its weight-loss drugs [6] - GoodRx's stock price surged nearly 30% to $5.06 after the announcement of the partnership with Novo Nordisk [7] Market Context - The U.S. administration, under President Trump, is focused on lowering drug prices, with an executive order aimed at aligning U.S. drug prices with those in other countries [7][10] - A notable example highlighted by Trump involved a significant price discrepancy for the same drug purchased in New York and London, emphasizing the ongoing issue of high drug costs in the U.S. [10]

Group 1 - Proactive provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The news team covers medium and small-cap markets, as well as blue-chip companies, commodities, and broader investment stories [3] - Proactive's content includes insights across various sectors such as biotech, pharma, mining, natural resources, battery metals, oil and gas, crypto, and emerging technologies [3] Group 2 - Proactive is committed to adopting technology to enhance workflows and content production [4] - The company utilizes automation and software tools, including generative AI, while ensuring all content is edited and authored by humans [5]

Financial Data and Key Metrics Changes - Total revenue for the second quarter was $203.1 million, up 1% year over year, aligning with expectations when excluding the impact of Rite Aid [24] - Adjusted EBITDA for the quarter was $69.4 million, a 6% increase year over year, resulting in an adjusted EBITDA margin of 34.2%, an improvement of 160 basis points compared to the same period last year [26] - The company closed the quarter with $281.3 million in cash and repurchased approximately $46.4 million worth of shares at an average price of $4.53 per share [27] Business Line Data and Key Metrics Changes - Revenue from pharma manufacturer solutions was $35 million, up 32% year over year, indicating strong performance and a projected growth of 30% or higher for 2025 [25][20] - Prescription transaction revenue declined by 3% year over year, primarily due to the impact of Rite Aid and the erosion of the ISP program [24][28] Market Data and Key Metrics Changes - The company noted a decline in monthly active consumers, which is expected to continue in the short term due to the transition from traditional retail transactions to consumer direct price points [24][25] - The healthcare landscape is changing, with Congress passing a budget bill that cuts funding for Medicaid and individual exchange products, potentially leaving nearly 10 million people uninsured [13] Company Strategy and Development Direction - The company is focused on strengthening relationships with pharma manufacturers and expanding its share of wallet across market access, consumer marketing, and HCP budgets [6] - GoodRx is enhancing its integrated savings program to service brand medications in addition to generics, aiming to deepen engagement with consumers [8] - The launch of a condition subscription product for erectile dysfunction is part of the strategy to maximize returns on existing capabilities and deepen consumer engagement [19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to respond to changes in the healthcare landscape and emphasized the importance of GoodRx in providing access to affordable medications [10][15] - The company acknowledged short-term negative impacts from Rite Aid's bankruptcy and a decline in volume from one of its PBM partners but remains optimistic about long-term growth opportunities [11][28] Other Important Information - The company is actively advocating for policies that expand access to affordable medication and is engaged with government entities exploring models to reduce brand drug pricing directly to consumers [16][15] - The launch of GoodRx Community Link aims to support independent pharmacies by providing predictable pricing and favorable economics [18] Q&A Session Summary Question: Can you elaborate on the ISP and new partnerships? - Management acknowledged the importance of ISP and noted that while expectations should be tempered, they are adding new partners and expanding the program [34][36] Question: How do you view the growth of Manufacturer Solutions? - Management expressed confidence in achieving 30% revenue growth for Manufacturer Solutions, driven by strong ROI studies and engagement with pharma partners [44][48] Question: What is the impact of Rite Aid and ISP on guidance? - Management indicated that the revenue impact from Rite Aid and ISP is roughly half and half, with ongoing efforts to recapture consumers affected by Rite Aid's closures [72][74] Question: Are there shifts in consumer behavior affecting platform usage? - Management noted that rising consumer prices have pushed more transactions into funded benefits, impacting monthly active consumer counts, but they expect tailwinds to return in the future [96][97] Question: What proactive actions are being taken regarding ISP? - Management emphasized the importance of adding more commercial lives and expanding partnerships to grow the ISP program despite challenges with one particular partner [99][101]

Core Insights - GoodRx Holdings, Inc. (GDRX) reported revenue of $203.07 million for the quarter ended June 2025, reflecting a 1.2% increase year-over-year, while EPS was $0.09, up from $0.08 in the same quarter last year [1] - The reported revenue fell short of the Zacks Consensus Estimate of $205.18 million, resulting in a surprise of -1.03%, and the EPS also missed the consensus estimate of $0.10 by 10% [1] Financial Performance Metrics - Monthly Active Consumers stood at 6, matching the average estimate from three analysts [4] - Subscription plans totaled 668, slightly below the two-analyst average estimate of 677 [4] - Revenue from prescription transactions was $143.06 million, which was lower than the estimated $148.77 million, marking a -2.5% change year-over-year [4] - Revenue from other sources was $4.56 million, compared to the average estimate of $4.63 million, representing a -15.5% year-over-year change [4] - Revenue from pharma manufacturer solutions reached $34.98 million, exceeding the average estimate of $31.54 million, showing a +32% year-over-year increase [4] - Subscription revenue was reported at $20.46 million, below the estimated $20.93 million, reflecting a -7% change compared to the previous year [4] Stock Performance - GoodRx shares have declined by -9.3% over the past month, contrasting with a +0.5% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Company Performance - GoodRx Holdings, Inc. reported quarterly earnings of $0.09 per share, missing the Zacks Consensus Estimate of $0.10 per share, but showing an increase from $0.08 per share a year ago, resulting in an earnings surprise of -10.00% [1] - The company posted revenues of $203.07 million for the quarter ended June 2025, which was 1.03% below the Zacks Consensus Estimate and an increase from $200.61 million year-over-year [2] - Over the last four quarters, GoodRx has not surpassed consensus EPS estimates and has topped consensus revenue estimates only once [2] Stock Performance - GoodRx shares have declined approximately 5.6% since the beginning of the year, contrasting with the S&P 500's gain of 7.1% [3] - The current Zacks Rank for GoodRx is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.09 on revenues of $203.71 million, and for the current fiscal year, it is $0.38 on revenues of $819.58 million [7] - The trend of estimate revisions for GoodRx was mixed ahead of the earnings release, which could change following the recent report [6] Industry Context - The Medical Services industry, to which GoodRx belongs, is currently in the top 30% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8]

[FORWARD-LOOKING STATEMENTS](index=1&type=section&id=FORWARD-LOOKING%20STATEMENTS) [Forward-Looking Statements Overview](index=1&type=section&id=Forward-Looking%20Statements%20Overview) This section outlines forward-looking statements, their predictive nature, and risks that could cause actual results to differ - Forward-looking statements cover future results, financial position, industry trends, impact of retail pharmacy changes, macroeconomic environment, collaborations, and business strategy[7](index=7&type=chunk) - Key risks include limited operating history, sustainability of growth rates, ability to attract and retain consumers, reliance on prescription transactions, changes in medication pricing, dependence on industry participants (PBMs, pharmacies, pharma manufacturers), competitive nature of the industry, and regulatory risks[8](index=8&type=chunk) - The company does not plan to publicly update or revise any forward-looking statements unless required by applicable law[9](index=9&type=chunk) [PART I. FINANCIAL INFORMATION](index=4&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents unaudited condensed consolidated financial statements, providing a snapshot of financial health and performance [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The condensed consolidated balance sheets summarize assets, liabilities, and equity as of June 30, 2025, compared to December 31, 2024 Condensed Consolidated Balance Sheets (in thousands) | (in thousands) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $281,318 | $448,346 | | Accounts receivable, net | $189,027 | $145,934 | | Total current assets | $550,614 | $659,255 | | Total assets | $1,318,706 | $1,388,067 | | Total current liabilities | $130,909 | $123,903 | | Total liabilities | $675,675 | $663,409 | | Total stockholders' equity | $643,031 | $724,658 | - Cash and cash equivalents decreased by **$167.0 million** from December 31, 2024, to June 30, 2025[16](index=16&type=chunk) - Accounts receivable, net, increased by **$43.1 million**, indicating higher outstanding payments from customers[16](index=16&type=chunk) [Condensed Consolidated Statements of Operations](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) This statement details revenues, costs, expenses, and net income for the three and six months ended June 30, 2025 and 2024, highlighting profitability Condensed Consolidated Statements of Operations (in thousands, except for per share amounts) | (in thousands, except for per share amounts) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenue | $203,070 | $200,610 | $406,040 | $398,490 | | Total costs and operating expenses | $176,261 | $180,732 | $355,851 | $371,231 | | Operating income | $26,809 | $19,878 | $50,189 | $27,259 | | Net income | $12,843 | $6,694 | $23,895 | $5,685 | | Basic EPS | $0.04 | $0.02 | $0.06 | $0.01 | | Diluted EPS | $0.04 | $0.02 | $0.06 | $0.01 | - Net income for the three months ended June 30, 2025, increased by **91.8% to $12.8 million** from $6.7 million in the prior year[19](index=19&type=chunk) - Net income for the six months ended June 30, 2025, increased significantly to **$23.9 million** from $5.7 million in the prior year, a **320.4% increase**[19](index=19&type=chunk) [Condensed Consolidated Statements of Stockholders' Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Stockholders%27%20Equity) This statement details changes in stockholders' equity for the six months ended June 30, 2025 and 2024, reflecting repurchases, compensation, and net income Condensed Consolidated Statements of Stockholders' Equity (in thousands) | (in thousands) | Balance at Dec 31, 2024 | Stock-based compensation (Q1 2025) | Repurchases of Class A common stock (Q1 2025) | Net income (Q1 2025) | Balance at Mar 31, 2025 | Stock-based compensation (Q2 2025) | Repurchases of Class A common stock (Q2 2025) | Net income (Q2 2025) | Balance at Jun 30, 2025 | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Total Stockholders' Equity | $724,658 | $23,312 | $(100,920) | $11,052 | $654,347 | $25,880 | $(46,352) | $12,843 | $643,031 | - Total stockholders' equity decreased from **$724.7 million** at December 31, 2024, to **$643.0 million** at June 30, 2025, primarily due to significant stock repurchases[23](index=23&type=chunk) - The company repurchased **23.3 million shares** of Class A common stock for **$100.9 million** in Q1 2025 and **10.2 million shares** for **$46.4 million** in Q2 2025[23](index=23&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This statement summarizes cash flows from operating, investing, and financing activities for the six months ended June 30, 2025 and 2024 Condensed Consolidated Statements of Cash Flows (in thousands) | (in thousands) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $58,993 | $52,287 | | Net cash used in investing activities | $(70,191) | $(37,844) | | Net cash used in financing activities | $(155,830) | $(161,836) | | Net change in cash and cash equivalents | $(167,028) | $(147,393) | | Cash and cash equivalents, End of period | $281,318 | $524,903 | - Net cash provided by operating activities increased by **$6.7 million** year-over-year, driven by higher net income[30](index=30&type=chunk)[157](index=157&type=chunk) - Net cash used in investing activities increased by **$32.3 million**, primarily due to a **$30.0 million acquisition** in 2025[30](index=30&type=chunk)[158](index=158&type=chunk) - Net cash used in financing activities decreased by **$6.0 million**, mainly due to lower stock repurchases and debt payments, partially offset by decreased proceeds from stock option exercises[30](index=30&type=chunk)[159](index=159&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) These notes provide detailed explanations and disclosures supporting the condensed consolidated financial statements [1. Description of Business](index=10&type=section&id=1.%20Description%20of%20Business) GoodRx operates a price comparison platform for prescription drugs, offering negotiated prices and other healthcare products - GoodRx offers a price comparison platform for prescription drugs, providing curated, geographically relevant pricing and access to negotiated prices via **GoodRx codes**[34](index=34&type=chunk) - Additional offerings include subscription programs, pharmaceutical manufacturer solutions, and telehealth services[34](index=34&type=chunk) [2. Summary of Significant Accounting Policies](index=10&type=section&id=2.%20Summary%20of%20Significant%20Accounting%20Policies) This note outlines the basis of presentation for unaudited condensed consolidated financial statements, confirming adherence to GAAP and SEC rules - The financial statements are prepared in conformity with **GAAP** and **SEC rules** for interim financial information, with certain information condensed or omitted[35](index=35&type=chunk) - The company operates as **one operating segment**, with the CEO and President serving as the chief operating decision maker (CODM)[38](index=38&type=chunk)[39](index=39&type=chunk) - Recent ASUs include 2025-05 (Financial Instruments-Credit Losses), 2024-03 (Income Statement - Expense Disaggregation Disclosures), and 2023-09 (Income Taxes - Improvements to Income Tax Disclosures), with the company evaluating their impacts[48](index=48&type=chunk)[50](index=50&type=chunk)[51](index=51&type=chunk

[Financial & Operational Highlights](index=1&type=section&id=Financial%20%26%20Operational%20Highlights) GoodRx reported a 1% year-over-year revenue increase to $203.1 million for Q2 2025, driven by a 32% rise in Pharma Manufacturer Solutions revenue, offsetting declines in prescription transactions and subscriptions, with net income and Adjusted EBITDA showing improvement Q2 2025 Key Financial Metrics | Metric | Q2 2025 | Q2 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | $203.1M | $200.6M | +1% | | Net Income | $12.8M | $6.7M | +91% | | Adjusted Net Income | $33.9M | $32.4M | +5% | | Adjusted EBITDA | $69.4M | $65.4M | +6% | - Pharma Manufacturer Solutions revenue was a key growth driver, increasing **32%** year-over-year to **$35.0 million**, fueled by expanded market penetration and growth in consumer direct pricing programs[5](index=5&type=chunk) - Prescription transactions revenue decreased by **3%** to **$143.1 million**, primarily due to a **14%** decrease in Monthly Active Consumers and broader changes in the retail pharmacy landscape[4](index=4&type=chunk) - Subscription revenue declined **7%** to **$20.5 million**, driven by a decrease in the number of subscription plans[5](index=5&type=chunk) - The company announced the launch of a new condition-specific subscription product for erectile dysfunction and finalized new deals for pharmacy counter and e-commerce solutions[2](index=2&type=chunk) [Financial Performance Analysis](index=1&type=section&id=Financial%20Performance%20Analysis) The company's revenue grew slightly to $203.1 million, with strong performance in Pharma Manufacturer Solutions offsetting declines elsewhere, leading to improved profitability and a significant increase in operating cash flow to $49.6 million [Revenue Analysis](index=1&type=section&id=Revenue%20Analysis) Revenue by Segment (Q2 2025 vs. Q2 2024, in thousands) | Revenue Segment | Q2 2025 | Q2 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Prescription transactions | $143,064 | $146,748 | -3% | | Subscription | $20,463 | $21,953 | -7% | | Pharma manufacturer solutions | $34,981 | $26,504 | +32% | | Other | $4,562 | $5,405 | -16% | | **Total Revenue** | **$203,070** | **$200,610** | **+1%** | [Profitability Analysis](index=1&type=section&id=Profitability%20Analysis) Profitability Metrics (Q2 2025 vs. Q2 2024) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net Income | $12.8 million | $6.7 million | | Net Income Margin | 6.3% | 3.3% | | Adjusted EBITDA | $69.4 million | $65.4 million | | Adjusted EBITDA Margin | 34.2% | 32.6% | - Operating income for Q2 2025 was **$26.8 million**, a significant increase from **$19.9 million** in Q2 2024, driven by revenue growth and controlled operating expenses[30](index=30&type=chunk) [Cash Flow and Capital Allocation](index=1&type=section&id=Cash%20Flow%20and%20Capital%20Allocation) - Net cash provided by operating activities in Q2 2025 was **$49.6 million**, a substantial increase from **$9.7 million** in the same period last year[8](index=8&type=chunk) - As of June 30, 2025, the company held **$281.3 million** in cash and cash equivalents and had **$497.5 million** in total outstanding debt[8](index=8&type=chunk) - During Q2 2025, the company repurchased **10.2 million shares** of Class A common stock for an aggregate of **$46.4 million**, with **$143.0 million** remaining under the authorized repurchase program[11](index=11&type=chunk) - Capital allocation priorities include investing for profitable growth, paying down debt, buying back shares, and strategic M&A[9](index=9&type=chunk) [Key Operating Metrics](index=4&type=section&id=Key%20Operating%20Metrics) GoodRx experienced a decline in key user engagement metrics during the second quarter, with Monthly Active Consumers falling to 5.7 million and subscription plans decreasing to 668,000 year-over-year Key Operating Metrics Trend | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Monthly Active Consumers (millions) | 5.7 | 6.4 | 6.6 | | Subscription plans (thousands) | 668 | 680 | 696 | - The company defines Monthly Active Consumers (MACs) as unique consumers who have used a GoodRx code to purchase a prescription in a given month and saved money[21](index=21&type=chunk) - Subscription plans represent the ending balance across GoodRx Gold, the sunset Kroger Savings Club, and newly launched condition-specific subscriptions[22](index=22&type=chunk) [Business Outlook & Guidance](index=2&type=section&id=Business%20Outlook%20%26%20Guidance) For the full year 2025, GoodRx expects total revenue to increase compared to 2024, despite an estimated revenue loss of $35 to $40 million from the Rite Aid bankruptcy, projecting full-year Adjusted EBITDA between $265 million and $275 million Full Year 2025 Guidance | Metric | FY 2025 Guidance | FY 2024 Actual | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | Increase from 2024 | $792.3M | - | | Adjusted EBITDA | $265M - $275M | $260.2M | +2% to +6% | - Guidance includes an estimated revenue loss of **$35 to $40 million** in 2025 due to the Rite Aid bankruptcy and volume reduction in an integrated savings program[12](index=12&type=chunk) - Management expects Q3 revenue to be lower than Q4 revenue for 2025[12](index=12&type=chunk) [Consolidated Financial Statements](index=5&type=section&id=Consolidated%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements as of June 30, 2025, including Balance Sheets showing total assets of $1.32 billion, Statements of Operations detailing $406.0 million in revenue, and Statements of Cash Flows highlighting $59.0 million in operating cash for the first six months [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Key Balance Sheet Items (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $281,318 | $448,346 | | Total assets | $1,318,706 | $1,388,067 | | Total liabilities | $675,675 | $663,409 | | Total stockholders' equity | $643,031 | $724,658 | [Condensed Consolidated Statements of Operations](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Key Income Statement Items (Three Months Ended June 30, in thousands) | Account | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | $203,070 | $200,610 | | Total costs and operating expenses | $176,261 | $180,732 | | Operating income | $26,809 | $19,878 | | Net income | $12,843 | $6,694 | | Diluted Earnings Per Share | $0.04 | $0.02 | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Key Cash Flow Items (Six Months Ended June 30, in thousands) | Activity | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $58,993 | $52,287 | | Net cash used in investing activities | ($70,191) | ($37,844) | | Net cash used in financing activities | ($155,830) | ($161,836) | | Net change in cash and cash equivalents | ($167,028) | ($147,393) | [Non-GAAP Financial Measures & Reconciliations](index=9&type=section&id=Non-GAAP%20Financial%20Measures%20%26%20Reconciliations) This section defines and reconciles non-GAAP financial measures, including Adjusted EBITDA of $69.4 million and Adjusted Net Income of $33.9 million for Q2 2025, by excluding items like stock-based compensation and amortization to present underlying operational performance [Reconciliation of Net Income to Adjusted EBITDA](index=10&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Adjusted%20EBITDA) Net Income to Adjusted EBITDA Reconciliation (Q2 2025, in thousands) | Line Item | Amount | | :--- | :--- | | Net income | $12,843 | | Interest, Taxes, D&A | $34,389 | | Stock-based compensation | $21,415 | | Other adjustments | $855 | | **Adjusted EBITDA** | **$69,403** | [Reconciliation of Net Income to Adjusted Net Income](index=10&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Adjusted%20Net%20Income) Net Income to Adjusted Net Income Reconciliation (Q2 2025, in thousands) | Line Item | Amount | | :--- | :--- | | Net income | $12,843 | | Amortization of intangibles | $2,793 | | Stock-based compensation expense | $21,415 | | Other adjustments | $1,751 | | Income tax effects of adjustments | ($3,904) | | **Adjusted Net Income** | **$33,903** | Adjusted Earnings Per Share (Q2 2025) | Metric | Value | | :--- | :--- | | Adjusted EPS - Basic | $0.10 | | Adjusted EPS - Diluted | $0.09 | [Reconciliation of GAAP to Non-GAAP Operating Expenses](index=11&type=section&id=Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Operating%20Expenses) GAAP vs. Adjusted Operating Income (Q2 2025, in thousands) | Metric | GAAP | Adjusted | | :--- | :--- | :--- | | Operating income | $26,809 | $52,467 | | % of Revenue | 13% | 26% |