Financial Data and Key Metrics Changes - For Q4 2024, the company reported revenue of $437.8 million, net income of $11.9 million, and diluted EPS of $0.16, which included new business startup costs [6][16] - Cash flow from operations was reported at $36.2 million, with actual cash flow from operations excluding payroll accrual changes at $27 million [16][17] - The company expects 2025 cash flow from operations excluding payroll accrual changes to be in the range of $45 million to $60 million [12][13] Business Line Data and Key Metrics Changes - Housekeeping and laundry revenue was $192.7 million with a margin of 10.2%, while dining and nutrition revenue was $245.1 million with a margin of 4.7% [14] - Cost of services was reported at $379.2 million, or 86.6%, which includes new business startup costs [14][15] - SG&A was reported at $44.8 million, or 10.1%, after adjusting for deferred compensation [15] Market Data and Key Metrics Changes - The industry is experiencing a steady increase in workforce availability, with over 100,000 jobs added since the beginning of 2023 [7] - Occupancy rates have risen to 80%, aligning with pre-pandemic levels, and there has been a stable reimbursement environment with a 4.2% increase in Medicare rates for fiscal year 2025 [8] Company Strategy and Development Direction - The company’s top three strategic priorities for 2025 include driving organic growth, managing costs, and optimizing cash flow [10][11] - The company aims for mid-single digit revenue growth in 2025, with a Q1 revenue estimate of $440 million to $450 million [10][14] - The company plans to focus on internal investments, high-quality inorganic growth opportunities, and opportunistic share repurchases [20][22][23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to manage costs within targeted ranges and highlighted the importance of operational execution [33] - The sentiment regarding the new administration remains positive, with expectations of collaborative changes in reimbursement and regulatory frameworks [9][64] - The company anticipates that demand for services will increase due to demographic trends, particularly as baby boomers age [7][8] Other Important Information - The company ended 2024 with cash and marketable securities of $135.8 million and an undrawn $500 million credit facility [19] - The company has repurchased $16 million of its common stock since February 2023, with over 6 million shares remaining under the repurchase authorization [23] Q&A Session Summary Question: Comments on strong cash flows and Eagle's performance - Management acknowledged the strong cash flows and excitement around the performance [26][27] Question: Expectations for startup costs and cost of sales target - Management indicated that startup costs will vary based on the timing of new business additions and expressed confidence in managing costs within the targeted range [30][33] Question: Cash flow performance and bridging to 2025 guidance - Management noted that higher than expected new business adds impacted cash flow, but they expect stronger cash flow in the second half of 2025 [39][40] Question: Credit quality and collection trends - Management reported positive trends in credit quality and a decrease in Days Sales Outstanding (DSO) [54][56] Question: Impact of federal bureaucracy on customer payments - Management stated there were no immediate impacts on payment timeliness and expressed optimism about future collaborative changes [61][64] Question: Revenue movement from Q4 to Q1 and new business contributions - Management clarified that new business added in Q4 would carry over into Q1, with no significant seasonal patterns affecting new business wins [70][75] Question: Expectations around labor and food inflation - Management is monitoring inflation trends and noted that wage growth has stabilized, allowing for the passing of inflation costs through contracts [79][84] Question: Growth contributions from different segments - Management indicated that the primary growth driver for 2025 will be in the healthcare segment, with opportunities in environmental services and education [90][92]

Group 1: Earnings Performance - Healthcare Services (HCSG) reported quarterly earnings of $0.16 per share, missing the Zacks Consensus Estimate of $0.20 per share, and down from $0.20 per share a year ago [1] - The earnings surprise for this quarter was -20%, while the previous quarter saw an earnings surprise of 18.75% with actual earnings of $0.19 per share against an expectation of $0.16 [2] - Over the last four quarters, the company has surpassed consensus EPS estimates three times [2] Group 2: Revenue Performance - The company posted revenues of $437.81 million for the quarter ended December 2024, exceeding the Zacks Consensus Estimate by 0.79%, compared to $423.84 million in the same quarter last year [3] - Healthcare Services has topped consensus revenue estimates two times over the last four quarters [3] Group 3: Stock Performance and Outlook - Shares of Healthcare Services have declined approximately 6.1% since the beginning of the year, contrasting with the S&P 500's gain of 3.2% [4] - The current consensus EPS estimate for the upcoming quarter is $0.20 on revenues of $435.9 million, and for the current fiscal year, it is $0.84 on revenues of $1.76 billion [8] - The Zacks Industry Rank indicates that the Business - Services sector is currently in the bottom 30% of over 250 Zacks industries, which may impact stock performance [9] Group 4: Estimate Revisions and Future Expectations - The estimate revisions trend for Healthcare Services is mixed, leading to a Zacks Rank 3 (Hold) for the stock, suggesting it is expected to perform in line with the market in the near future [7] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [6]

Revenue Performance - Q4 2024 revenue was reported at $437.8 million, an increase from $423.8 million in Q4 2023, representing a growth of 3.4% year-over-year[19]. - The company expects mid-single digit revenue growth in 2025, with Q1 revenue projected to be between $440.0 million and $450.0 million[6]. Net Income and Earnings Per Share - Net income for Q4 2024 was $11.9 million, with diluted EPS of $0.16, compared to $23.5 million and $0.32 in Q4 2023, indicating a decrease of 49.3% in net income[19]. - GAAP net income for Q4 2024 was $11,920,000, a decrease from $23,508,000 in Q4 2023[22]. - For the year ended December 31, 2024, GAAP net income was $39,471,000, an increase from $38,386,000 in 2023[22]. Cash Flow - Cash flow from operations for Q4 2024 was $36.2 million, while actual cash flow, excluding payroll accrual changes, was $27.0 million[6]. - GAAP cash flows provided by operations for Q4 2024 were $36,204,000, a decrease from $49,445,000 in Q4 2023[22]. - Adjusted cash flows provided by operations for Q4 2024 were $26,957,000, slightly down from $27,882,000 in Q4 2023[22]. Cost Management - The cost of services for Q4 2024 was reported at $379.2 million, representing 86.6% of revenue, with a goal to manage this cost in the 86% range for 2025[7]. - Selling, general and administrative expenses (SG&A) were reported at $44.8 million, or 10.1% of revenue, with a target to reduce this to between 8.5% and 9.5% in 2025[7]. Assets and Securities - As of the end of Q4 2024, the company had cash and marketable securities totaling $135.8 million and a $500.0 million credit facility[5]. - Total assets as of December 31, 2024, were $802.8 million, an increase from $790.7 million at the end of 2023[20]. Profitability and Strategic Goals - The company aims to enhance profitability and maximize cash flow through strategic execution and strong business fundamentals into 2025 and beyond[3]. - The company has repurchased over $5.0 million of its common stock in 2024, continuing a share repurchase program initiated in February 2023[6]. Depreciation and Amortization - Total depreciation and amortization for the year ended December 31, 2024, was $14,585,000, compared to $14,344,000 in 2023[22]. - The right-of-use asset depreciation for Q4 2024 was $2,000,000, compared to $1,800,000 in Q4 2023[22]. Adjusted EBITDA - Adjusted EBITDA for Q4 2024 was $20,177,000, compared to $38,752,000 in Q4 2023, representing a decline of 48.0%[22]. - Adjusted EBITDA as a percentage of revenue for Q4 2024 was 4.6%, down from 9.1% in Q4 2023[22]. Payroll Adjustments - The company reported a decrease in accrued payroll adjustments, reflecting changes of $(9,247,000) for Q4 2024 and $(21,563,000) for Q4 2023[22]. - The company anticipates continuing to retain 100% of the funds received from SERP participants, impacting future cash flows[22].

Market Overview - The Middle East & Africa Pharmaceuticals Market was valued at USD 30.07 billion in 2024 and is projected to reach USD 42.42 billion by 2030, with a compound annual growth rate (CAGR) of 6.10% [2][11]. Key Market Drivers - The market growth is driven by the region's growing population, increasing prevalence of chronic diseases, and rising healthcare expenditure [2][3]. - The demand for pharmaceutical products is increasing due to the higher incidence of chronic diseases such as diabetes, cardiovascular disorders, and cancer [3]. - Government initiatives aimed at improving healthcare infrastructure and access further support market expansion [3]. Key Market Trends - Technological advancements and a shift towards personalized medicine are contributing to the market's growth, providing opportunities for pharmaceutical companies to innovate [3]. - Saudi Arabia emerged as the dominant country in the Middle East & Africa Pharmaceuticals market in 2024, driven by its strong economy and significant healthcare expenditure [4]. - The Vision 2030 initiative in Saudi Arabia emphasizes enhancing the healthcare sector through reforms and investments in healthcare infrastructure and digital health technologies [5]. Key Players - Notable companies in the Middle East & Africa Pharmaceuticals Market include Julphar, Bayer Middle East FZE, Niner Pharmaceuticals LLC, Pfizer Gulf FZ-LLC, Novo Nordisk Pharma Gulf FZ LLC, Roche Pharmaceutical Middle East FZCO, AstraZeneca FZ LLC, Hikma UAE, Merck Serono Middle East Fz-Ltd., and Abbott Laboratories SA [8][12]. Market Segmentation - The report segments the market by drug type, product type, application, distribution channel, and country [9][10].

Revenue Performance - Consolidated revenues increased by 4.1% to $428.1 million for the three months ended September 30, 2024, compared to $411.4 million for the same period in 2023[144]. - Consolidated revenues increased to $1,277.9 million for the nine months ended September 30, 2024, compared to $1,247.5 million for the same period in 2023, representing a 2.4% increase[162]. - Housekeeping revenues increased by 0.1% to $191.1 million, while Dietary revenues increased by 7.5% to $237.0 million for the three months ended September 30, 2024[140][145]. - Dietary revenues increased by 4.9% to $705.2 million, while Housekeeping revenues decreased by 0.5% to $572.7 million during the nine months ended September 30, 2024[159][163]. Cost Management - Consolidated costs of services provided decreased by 3.2% to $364.7 million for the three months ended September 30, 2024, compared to $376.9 million for the same period in 2023[146]. - Consolidated costs of services provided increased by 0.1% to $1,108.4 million for the nine months ended September 30, 2024, compared to $1,107.5 million for the same period in 2023[164]. - Costs of services provided for Housekeeping decreased to 93.6% of Housekeeping revenues, while Dietary costs decreased to 94.7% of Dietary revenues for the three months ended September 30, 2024[148]. - Housekeeping costs as a percentage of Housekeeping revenues were 91.7% for the nine months ended September 30, 2024, compared to 91.8% for the same period in 2023[167]. - Dietary costs as a percentage of Dietary revenues decreased to 93.6% for the nine months ended September 30, 2024, from 95.7% in the corresponding period in 2023[167]. Expenses - Selling, general and administrative expenses increased by 20.1% to $46.9 million for the three months ended September 30, 2024, compared to $39.0 million for the same period in 2023[150][152]. - Selling, general and administrative expenses increased by 14.7% to $138.2 million for the nine months ended September 30, 2024, compared to $120.5 million for the same period in 2023[169]. Income and Taxation - Investment and other income, net was a gain of $3.8 million for the three months ended September 30, 2024, compared to a gain of $0.4 million in the corresponding 2023 period[153]. - Investment and other income, net was a gain of $12.1 million for the nine months ended September 30, 2024, compared to a gain of $7.0 million for the same period in 2023, reflecting a 72.3% increase[172]. - The effective tax rate for the three months ended September 30, 2024, was 25.4%, compared to a benefit of 20.3% for the same period in 2023[156]. - For the nine months ended September 30, 2024, the company recognized a provision for income taxes of $10.6 million, with a 27.8% effective tax rate, compared to $5.9 million and a 28.3% effective tax rate for the same period in 2023[174]. Financial Position - As of September 30, 2024, the company had cash, cash equivalents, and marketable securities totaling $103.8 million, down from $147.5 million at December 31, 2023, while working capital increased to $380.9 million from $354.8 million[175]. - The company reported net cash used in operating activities of $(5,402) thousand for the nine months ended September 30, 2024, compared to $(5,947) thousand for the same period in 2023[176]. - The company had a $300 million bank line of credit, with $25 million drawn as of September 30, 2024, and maintained a funded debt to EBITDA ratio of 0.63, well below the 3.50 covenant requirement[181]. - The company expects to remain in compliance with its financial covenants and believes existing liquidity will be adequate for future operational needs[182]. Operational Insights - The company provided services to approximately 2,600 facilities throughout the continental United States as of September 30, 2024[134]. - The bad debt provision as a percentage of consolidated revenues was 0.0% for the three months ended September 30, 2024, compared to 3.4% in the same period in 2023[147]. - Bad debt provision increased to 2.9% of consolidated revenues for the nine months ended September 30, 2024, compared to 2.6% for the same period in 2023, due to the Chapter 11 bankruptcy of LaVie[165]. Capital Expenditures and Share Repurchase - Capital expenditures for 2024 are estimated to be between $5.0 million and $7.0 million, with $4.9 million spent through September 30, 2024[183]. - The company repurchased 0.4 million shares of common stock for $4.0 million during the nine months ended September 30, 2024, compared to 0.5 million shares for $6.2 million in the same period of 2023[180]. Internal Controls and Legal Proceedings - The company identified a material weakness in internal controls related to accrued payroll liabilities, which has since been remediated[192]. - The company is involved in various legal proceedings but does not anticipate any material adverse effects on its consolidated financial condition or liquidity[197].

Core Viewpoint - Healthcare Services (HCSG) reported quarterly earnings of $0.19 per share, exceeding the Zacks Consensus Estimate of $0.16 per share, and showing an increase from $0.17 per share a year ago, indicating a positive earnings surprise of 18.75% [1] Group 1: Earnings Performance - The company has surpassed consensus EPS estimates in all four of the last quarters [1] - The revenue for the quarter ended September 2024 was $428.15 million, slightly missing the Zacks Consensus Estimate by 0.20%, but up from $411.39 million year-over-year [1] - Over the last four quarters, the company has topped consensus revenue estimates two times [1] Group 2: Stock Performance and Outlook - Healthcare Services shares have declined approximately 0.8% since the beginning of the year, contrasting with the S&P 500's gain of 22.7% [2] - The future stock price movement will largely depend on management's commentary during the earnings call and the company's earnings outlook [2][3] Group 3: Estimate Revisions and Industry Context - The current consensus EPS estimate for the upcoming quarter is $0.20 on revenues of $436.2 million, and for the current fiscal year, it is $0.56 on revenues of $1.71 billion [4] - The Zacks Industry Rank places the Business - Services sector in the bottom 35% of over 250 Zacks industries, indicating potential challenges for stock performance [5] - Another company in the same industry, SPS Commerce, is expected to report earnings of $0.83 per share, reflecting a year-over-year increase of 10.7% [5]

Exhibit 99.1 HCSG Reports Q3 2024 Results Delivers QoQ and YoY Growth In Revenue, Earnings and Cash Flow • Revenue of $428.1 million, in line with expectations. • Net income and diluted EPS of $14.0 million and $0.19. • Reported and adjusted cash flow from operations of $4.3 million and $19.0 million. • Reaffirms Q4 revenue estimate of $430.0 to $440.0 million and FY 2024 cash flow forecast of $40.0 to $55.0 million. BENSALEM, PA--(BUSINESS WIRE)-- Healthcare Services Group, Inc. (NASDAQ:HCSG) today reporte ...

| --- | --- | --- | --- | --- | --- | |-----------------------------------------------------------------------------------------------------------|----------------------------|-----------------------------------------------------------|------------------------------------|----------------------|------------| | The following table summarizes information about the SERP during the \n1 SERP expense | six months ended \n$ | June 30, 2024 \nSix Months \n2024 \n(in \n355 | and \n Ended \nthousands) \n $ | 2023: \n ...

HCSG Reports Q2 2024 Results Raises Second Half 2024 Revenue Estimates, Reaffirms Full-Year 2024 Cash Flow Forecast Exhibit 99.1 Ted Wahl, Chief Executive Officer, stated, "Our field-based team delivered strong service execution leading to another successful quarter of managing cost of services, excluding CECL, within our targeted range. Additionally, we achieved over 96% cash collections during the quarter, which, while short of our target, showed improvement compared to last quarter and the same period la ...

PART I - FINANCIAL INFORMATION [Financial Statements (Unaudited)](index=6&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) The unaudited consolidated financial statements as of March 31, 2024, detail the company's financial position and performance Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Total current assets** | $580,414 | $571,696 | | **Total assets** | $803,880 | $790,652 | | **Total current liabilities** | $209,375 | $216,928 | | **Total liabilities** | $329,299 | $334,036 | | **Total stockholders' equity** | $474,581 | $456,616 | Consolidated Income Statement Highlights (in thousands, except per share data) | Metric | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | **Revenues** | $423,433 | $417,230 | | **Income before income taxes** | $21,314 | $16,155 | | **Net income** | $15,309 | $11,671 | | **Diluted earnings per common share** | $0.21 | $0.16 | Consolidated Cash Flow Highlights (in thousands) | Cash Flow Activity | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | **Net cash used in operating activities** | $(26,033) | $(16,290) | | **Net cash from (used in) investing activities** | $11,716 | $(743) | | **Net cash from financing activities** | $13,970 | $6,907 | | **Net decrease in cash** | $(347) | $(10,126) | [Note 1: Business Description and Accounting Policies](index=10&type=section&id=Note%201%E2%80%94Description%20of%20Business%20and%20Significant%20Accounting%20Policies) The company provides housekeeping and dietary services to the healthcare industry through two reportable segments - The company is organized into two reportable segments: **Housekeeping** (housekeeping, laundry, linen) and **Dietary** (food purchasing, meal preparation, dietitian services)[24](index=24&type=chunk)[25](index=25&type=chunk)[26](index=26&type=chunk) - For Q1 2024, a single customer, Genesis Healthcare, Inc, accounted for **9.2% of consolidated revenues ($38.8 million)**, down from 11.5% ($48.1 million) in Q1 2023[48](index=48&type=chunk) - The company has filed for the Employee Retention Credit (ERC) but has **not recognized any related amounts** in its financial statements due to uncertainty of receipt[50](index=50&type=chunk) [Note 3: Revenue](index=16&type=section&id=Note%203%E2%80%94Revenue) Revenue is disaggregated by the Dietary (55.0%) and Housekeeping (45.0%) segments and recognized over time Revenue by Segment (in millions) | Segment | Q1 2024 Revenue | % of Total | Q1 2023 Revenue | % of Total | | :--- | :--- | :--- | :--- | :--- | | Housekeeping | $190.6 | 45.0% | $193.5 | 46.4% | | Dietary | $232.9 | 55.0% | $223.7 | 53.6% | - Revenue is recognized using the output method based on the delivery of goods and services, with contracts typically for a renewable one-year term[59](index=59&type=chunk) [Note 5: Allowance for Doubtful Accounts](index=18&type=section&id=Note%205%E2%80%94Allowance%20for%20Doubtful%20Accounts) The allowance for doubtful accounts increased to $95.6 million due to a bad debt expense of $4.9 million in Q1 2024 Changes in Allowance for Doubtful Accounts (in thousands) | Portfolio Segment | Dec 31, 2023 Balance | Bad Debt Expense Q1 2024 | Write-Offs Q1 2024 | March 31, 2024 Balance | | :--- | :--- | :--- | :--- | :--- | | Accounts receivable | $80,819 | $4,301 | $(1,033) | $84,087 | | Notes receivable | $10,880 | $620 | $0 | $11,500 | | **Total** | **$91,699** | **$4,921** | **$(1,033)** | **$95,587** | - The company evaluates receivables for expected credit losses quarterly using internally developed credit quality indicators[66](index=66&type=chunk) [Note 13: Segment Information](index=31&type=section&id=Note%2013%E2%80%94Segment%20Information) Dietary segment revenue and income grew in Q1 2024, while the Housekeeping segment experienced declines Segment Financial Performance (in thousands) | Metric | Segment | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | :--- | | **Revenues** | Housekeeping | $190,559 | $193,519 | | | Dietary | $232,874 | $223,711 | | **Income before income taxes** | Housekeeping | $18,442 | $20,053 | | | Dietary | $17,627 | $14,666 | [Note 15: Other Contingencies](index=32&type=section&id=Note%2015%E2%80%94Other%20Contingencies) The company maintains a $300.0 million line of credit, with $187.6 million available for borrowing as of March 31, 2024 - As of March 31, 2024, the company had a **$300.0 million line of credit** with **$40.0 million in borrowings**[126](index=126&type=chunk) - The amount available under the line of credit was reduced by **$72.4 million for outstanding letters of credit**, leaving $187.6 million available for borrowing[127](index=127&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=34&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Revenue increased 1.5% in Q1 2024, driven by Dietary segment growth, while operating cash flow was negative [Results of Operations](index=34&type=section&id=Results%20of%20Operations) Consolidated revenue grew 1.5% in Q1 2024, driven by a 4.1% increase in the Dietary segment Segment Revenue and Income Change (Q1 2024 vs Q1 2023) | Segment | Revenue % Change | Income Before Taxes % Change | | :--- | :--- | :--- | | Housekeeping | (1.5)% | (8.0)% | | Dietary | 4.1% | 20.2% | | **Consolidated** | **1.5%** | **31.9%** | - Costs of services provided as a percentage of revenue **decreased from 86.9% in Q1 2023 to 84.8% in Q1 2024**[148](index=148&type=chunk) - The decrease in the bad debt provision was impacted by a **non-recurring $4.7 million charge in Q1 2023**[152](index=152&type=chunk) [Liquidity and Capital Resources](index=38&type=section&id=Liquidity%20and%20Capital%20Resources) The company had $104.9 million in cash and marketable securities, with negative operating cash flow of $26.0 million - **Negative operating cash flow** in Q1 2024 was driven by an increase in accounts receivable, partly due to a cybersecurity incident at a third-party claims processor[164](index=164&type=chunk) - On February 14, 2023, the Board authorized a repurchase of up to 7.5 million shares; **no shares were repurchased in Q1 2024**[167](index=167&type=chunk) - The company was in **compliance with its two financial covenants** (Funded debt to EBITDA and EBITDA to Interest Expense) as of March 31, 2024[169](index=169&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=40&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risk exposure is interest rate risk on its $129.6 million in cash and investments - The company's primary market risk exposure is **interest rate risk** on its fixed-rate and floating-rate investments[178](index=178&type=chunk) - As of March 31, 2024, the company had **$129.6 million in cash, cash equivalents, and marketable securities** subject to this risk[177](index=177&type=chunk) [Controls and Procedures](index=40&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that internal control over financial reporting was not effective due to a material weakness - Management concluded that as of March 31, 2024, the company's internal control over financial reporting was **not effective**[180](index=180&type=chunk) - A **material weakness** was identified related to controls over accrued payroll liabilities for employee vested vacation[182](index=182&type=chunk) - A **remediation plan is underway**, which includes instituting enhanced controls and review processes related to the vacation accrual[184](index=184&type=chunk) PART II - OTHER INFORMATION [Legal Proceedings](index=42&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings for which potential losses cannot be reasonably estimated at this time - The company is subject to various claims and legal actions in the **ordinary course of business**[188](index=188&type=chunk) - For certain pending litigation, the company is **unable to reasonably estimate possible losses** or determine if an unfavorable outcome is probable[189](index=189&type=chunk) [Risk Factors](index=42&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the 2023 Annual Report on Form 10-K - **No material changes** have occurred in the risk factors from those set forth in the company's 2023 Form 10-K[191](index=191&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=42&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No shares were repurchased in Q1 2024 under the existing 7.5 million share repurchase authorization - The Board of Directors authorized the repurchase of up to **7.5 million shares** on February 14, 2023[192](index=192&type=chunk) - **No shares were repurchased** during the three months ended March 31, 2024, and 6.5 million shares remain authorized for purchase[192](index=192&type=chunk) [Defaults Upon Senior Securities](index=42&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) Not applicable [Mine Safety Disclosures](index=42&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) Not applicable [Other Information](index=42&type=section&id=Item%205.%20Other%20Information) No directors or officers adopted, terminated, or modified a Rule 10b5-1 trading arrangement in Q1 2024 - **No directors or officers modified trading arrangements** during the three months ended March 31, 2024[195](index=195&type=chunk) [Exhibits](index=43&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed as part of the Form 10-Q report, including officer certifications and iXBRL data