Revenue Performance - Revenue for the quarter ended December 31, 2025, was RMB 284,843 million (US$ 40,732 million), an increase of 2% year-over-year; on a like-for-like basis, revenue would have grown by 9%[7] - Revenue for the quarter ended December 31, 2025, was RMB 284,843 million (US$ 40,732 million), a 2% increase year-over-year from RMB 280,154 million in the same quarter of 2024[28] - Alibaba China E-commerce Group revenue increased by 6% year-over-year to RMB 159,347 million (US$ 22,786 million) in the quarter ended December 31, 2025[28] - Quick commerce revenue surged by 56% year-over-year to RMB 20,842 million (US$ 2,980 million), driven by the rollout of "Taobao Instant Commerce"[33] - The Cloud Intelligence Group's revenue grew by 36% year-over-year to RMB 43,284 million (US$ 6,190 million), driven by public cloud revenue growth and increasing adoption of AI-related products[15] - The Cloud Intelligence Group achieved a revenue of RMB 116.51 billion for the nine months ended December 31, 2025, marking a 33% year-over-year increase[104] - The international commerce retail segment within the Alibaba International Digital Commerce Group saw a revenue increase of 10% year-over-year, reaching RMB 88.81 billion for the nine months ended December 31, 2025[104] - The "All others" segment reported a significant revenue decline of 26% year-over-year, totaling RMB 188.91 billion for the nine months ended December 31, 2025[104] Income and Earnings - Net income attributable to ordinary shareholders was RMB 16,322 million (US$ 2,334 million), a decrease of 67% compared to RMB 48,945 million in the same quarter of 2024[7] - Net income for the quarter ended December 31, 2025, was RMB 15,631 million (US$ 2,235 million), down from RMB 46,434 million in the same quarter of 2024[64] - Non-GAAP diluted earnings per ADS decreased by 67% year-over-year to RMB 7.09 (US$ 1.01), reflecting the impact of strategic investments in technology and user experiences[7] - Non-GAAP net income for the three months ended December 31, 2025, was RMB 16,710 million, significantly lower than RMB 51,066 million in the same period of 2024, a decrease of approximately 67%[98] - Diluted earnings per share for the three months ended December 31, 2025, was RMB 0.74, compared to RMB 2.55 in the same period of 2024, a decline of about 71%[100] - Non-GAAP diluted earnings per share for the three months ended December 31, 2025, was RMB 0.89, down from RMB 2.67 in the same period of 2024, a decrease of approximately 67%[100] Operational Performance - Income from operations decreased by 74% year-over-year to RMB 10,645 million (US$ 1,522 million), primarily due to a decrease in adjusted EBITA, which fell 57% to RMB 23,397 million (US$ 3,346 million)[7] - Adjusted EBITA for Alibaba China E-commerce Group decreased by 43% to RMB 34,613 million (US$ 4,949 million) due to investments in quick commerce and technology[35] - Adjusted EBITDA decreased 45% year-over-year to RMB 34,057 million (US$ 4,870 million) in the quarter ended December 31, 2025, compared to RMB 62,054 million in the same quarter of 2024[56] - Income from operations for the nine months ended December 31, 2025, decreased by 55% to RMB 50.99 billion[105] - The company reported a significant increase in losses for the "All others" segment, with adjusted EBITA declining by 140% year-over-year to RMB (14.58) billion for the nine months ended December 31, 2025[105] Cash Flow and Investments - Free cash flow decreased by 71% year-over-year to RMB 11,346 million (US$ 1,622 million), primarily due to investments in quick commerce[7] - Net cash used in investing activities was RMB 25,716 million (US$ 3,677 million), primarily reflecting capital expenditures of RMB 28,999 million (US$ 4,147 million)[72] - Free cash flow for the nine months ended December 31, 2025, was negative at RMB (29.31) billion, compared to RMB 70.13 billion in the same period of 2024[103] - Net cash used in investing activities for the nine months ended December 31, 2025, was RMB 77,040 million, compared to RMB 145,868 million in the same period of 2024, indicating a decrease of approximately 47%[96] Market Position and Strategy - Alibaba Cloud maintained a 43% market share in China's financial cloud market, leading the public cloud infrastructure market for financial services for six consecutive years[17] - The company undertook a strategic combination of Taobao and Tmall Group, Ele.me, and Fliggy to enhance user experience and streamline financial reporting[28] - The company aims to continue investing in new business initiatives and strategic acquisitions to enhance growth prospects[80] - The number of 88VIP members surpassed 59 million, reflecting a double-digit year-over-year increase, indicating strong retention efforts for high-value consumers[12] - The quick commerce business improved unit economics and increased average order value month-over-month, supported by logistics efficiency and customer retention strategies[9] Expenses and Liabilities - Total costs and expenses increased to RMB 275,659 million (US$ 39,419 million), with cost of revenue at RMB 169,534 million (US$ 24,243 million), representing 59.5% of revenue[44] - Sales and marketing expenses rose significantly to RMB 71,934 million (US$ 10,286 million), accounting for 25.3% of revenue, a 10.1% increase year-over-year[43] - General and administrative expenses decreased to RMB 8,355 million (US$ 1,195 million), or 2.9% of revenue, down from 3.9% in the same quarter of 2024[47] - Current liabilities as of December 31, 2025, were RMB 459,811 million (US$ 65,752 million), compared to RMB 435,346 million as of March 31, 2025[94] - Total liabilities as of March 31, 2025, were RMB 714,121 million, a decrease from RMB 772,371 million as of December 31, 2024, representing a reduction of approximately 7.5%[95] Employee and Asset Information - As of December 31, 2025, the total number of employees was 128,197, an increase from 126,661 as of September 30, 2025[74] - Total assets as of December 31, 2025, were RMB 1,878,299 million (US$ 268,593 million), an increase from RMB 1,804,227 million as of March 31, 2025[94] - Cash and cash equivalents, short-term investments, and other treasury investments totaled RMB 560,175 million (US$ 80,104 million) as of December 31, 2025, down from RMB 597,132 million as of March 31, 2025[70] - The company’s cash and cash equivalents as of December 31, 2025, were RMB 128,174 million (US$ 18,329 million), a decrease from RMB 145,487 million as of March 31, 2025[94] - Cash and cash equivalents at the end of the period on December 31, 2025, were RMB 170,519 million, down from RMB 205,966 million at the end of the previous period, a decrease of approximately 17%[96]

Project Development - The Kabanga Nickel Project's Feasibility Study was released on July 18, 2025, focusing on a 3.40 million tonnes per annum mechanized underground mine and supporting infrastructure [1047]. - Lifezone secured a $60 million senior secured bridge loan facility to advance the Kabanga Nickel Project, with the first tranche of $20 million received on August 29, 2025 [1049]. - Lifezone is pursuing a diversified funding strategy for the Kabanga Nickel Project, including equity offerings and project-level debt, with ongoing discussions with strategic investors [1074]. - Lifezone acquired BHP's 17% equity interest in Kabanga Nickel Limited, increasing its ownership from 83% to 100% [1064]. - The Kabanga Nickel Project is currently classified as an exploration and evaluation asset, and Lifezone has not generated any revenues from its Metals Extraction and refining business [1093]. - Lifezone's exploration and evaluation assets include mining data acquired from the Kabanga Nickel Project, which is being assessed for impairment when indicators arise [1105][1111]. - Lifezone's management may consider reducing operating costs, pausing capital expenditures, or restructuring debt to maintain liquidity [1078]. - The company is exploring alternative funding solutions, including further equity offerings, to support its operations and project developments [1078]. - Lifezone's future viability is dependent on its ability to raise additional capital for corporate working capital, Kabanga Nickel Project developments, and potential new projects and acquisitions [1077]. - As of December 31, 2025, Lifezone's total exploration and evaluation assets reached $140.99 million, with additions of $23.41 million during the year [1229]. - The Kabanga Nickel Project in Tanzania is the sole focus for exploration and evaluation assets, with total costs as of January 1, 2024, at $69.81 million [1229]. - Lifezone capitalized $18.27 million in general and administrative expenses related to the Kabanga Nickel Project for the year ended December 31, 2025 [1234]. Financial Performance - Lifezone's net loss for the year ended December 31, 2025, was $14.11 million, a decrease from a loss of $47.14 million in 2024, with accumulated losses reaching $468.10 million [1070][1071]. - As of December 31, 2025, Lifezone had consolidated cash and cash equivalents of $20.14 million, down from $29.28 million in 2024 [1070]. - Total revenue for the year ended December 31, 2025, was $1,057,043, a significant increase from $140,522 in 2024 [1194]. - Interest income for 2025 was $536,157, down from $2,342,071 in 2024, primarily due to changes in investment strategies [1198]. - General and administrative expenses for 2025 totaled $19,121,095, a decrease from $39,082,152 in 2024, reflecting cost management efforts [1207]. - Loss before tax for 2025 was $14,370,330, an improvement from a loss of $46,596,207 in 2024 [1194]. - Interest expense for 2025 was $10,397,885, up from $6,434,657 in 2024, largely due to increased debenture interest [1199]. - The company recognized deferred tax income of $263,493 for the year ended December 31, 2025, compared to a deferred tax expense of $540,126 in 2024 [1240]. - Unrecognized deferred tax assets as of December 31, 2025, amounted to $98.96 million, primarily due to accumulated tax losses and capital expenses related to the Kabanga Nickel Project [1241]. Asset Management - Lifezone's financial statements are prepared on a going concern basis, despite substantial doubt about its ability to raise required financing in the future [1079]. - Lifezone's other intangible assets consist of computer software and patents, amortized over 3 years and 12 years respectively [1113]. - Lifezone's lease contracts have original terms of 3 to 5 years, with obligations secured by the lessor's title to the leased assets [1117]. - Lifezone recognizes right-of-use assets at the commencement date of the lease, measured at cost, less accumulated depreciation and impairment losses [1118]. - Lease liabilities are initially measured at the present value of future lease payments, discounted using the interest rate implicit in the lease or the incremental borrowing rate [1120]. - Inventories are stated at the lower of cost and net realizable value, with cost calculated on a weighted average basis [1123]. - Cash and cash equivalents include cash on hand and demand deposits, with no losses experienced on such amounts [1124]. - Share-based payments are accounted for under IFRS 2, with equity-settled payments measured at fair value at the grant date [1125][1126]. - Financial liabilities are recognized initially at fair value, including convertible debenture debt and trade payables [1147]. - Deferred transaction costs related to the senior secured bridge loan facility are amortized on a straight-line basis from the date of drawdowns [1153]. - Lifezone uses valuation techniques for fair value measurement, categorizing financial instruments within a fair value hierarchy [1157]. - Investments in joint ventures are carried at cost and adjusted for post-acquisition changes in share of profit and loss [1158]. - Deferred consideration from business combinations is initially measured at its fair value, classified as a financial liability [1161]. - The fair value of deferred consideration payable to BHP for the acquisition of its 17% interest in Kabanga Nickel Limited is determined using a present value technique, discounting expected future payments at a rate of 21.5% [1184]. - Lifezone capitalizes certain exploration and evaluation expenses, with no impairment indicators identified for its exploration and evaluation assets as of December 31, 2025 [1173]. - The liability related to warrants issued in connection with the 2025 Offering was valued at $9,910,000 using the Monte-Carlo model, and is remeasured at fair value through profit or loss [1179]. - A sensitivity analysis indicates that a 10% increase or decrease in share price volatility results in approximately a 10% increase or decrease in the value of the liability related to warrants [1180]. - Lifezone's assessment of earnouts classified as equity reflects the future financial performance of the company, impacting the classification of additional purchase consideration [1174]. - Significant judgment is required in estimating the timing of key project milestones, such as the FID and commercial production dates, which directly affect the fair value of deferred consideration [1185]. Tax and Legal Matters - KNCL has made a provision of $3.43 million (TZS 8.43 billion) for withholding tax following a court ruling confirming the tax assessment [1211]. - Lifezone believes it can negotiate a waiver for additional interest charges of $5.03 million (TZS 12.36 billion) related to the withholding tax assessment [1212]. - Lifezone continues to engage with the Government of Tanzania to amend the existing Framework Agreement, which may impact the withholding tax assessment [1213]. - VAT receivables in Tanzania have a total provision of $6.94 million as of December 31, 2025, compared to $6.37 million in 2024 [1220]. - Lifezone's total provision for VAT receivables in Tanzania includes a recorded provision of $574,270 for the year ended December 31, 2025 [1220]. Strategic Partnerships and Technology - Lifezone's Hydromet Technology aims to provide a cleaner recycling solution for PGMs, with over 20% of global PGM supply derived from secondary recycling [1050][1051]. - Lifezone and Glencore are evaluating the construction of a commercial-scale Hydromet PGM recycling facility in the U.S. [1052]. - Lifezone's intellectual property includes six patent families related to enhancements in the Hydromet Technology process for metal production [1228]. - The Metals Extraction segment includes Lifezone's interest in the Kabanga Nickel Project, while the IP segment comprises patents and strategic partnerships for resource development [1188]. - Management anticipates adopting new accounting standards effective from January 1, 2025, which may impact future disclosures and financial position [1166].

Financial Performance - Fourth quarter net revenue increased by 4.7% to $462.4 million compared to $441.7 million in the prior year[3] - U.S. Digital Segment net revenue rose by 5.3% to $402.3 million, driven by higher average unit retails[3] - Full year net revenue was $1.34 billion, a decrease of 2.0% from $1.36 billion in fiscal 2024[7] - Net revenue for the 13 weeks ended January 30, 2026, was $462,372,000, an increase of 4.0% compared to $441,663,000 for the same period in 2025[31] - Net income for the 13 weeks ended January 30, 2026, was $12,273,000, a decrease of 33.6% from $18,519,000 in the same period last year[31] - For the 52 weeks ended January 30, 2026, net income was $5,508,000, a decrease from $6,233,000 in the prior year[39] - Net income for the year ended 2025 was $5,508,000, a decrease of 11.6% from $6,233,000 in 2024[43] Profitability Metrics - Adjusted EBITDA for the fourth quarter was $47.4 million, up from $43.7 million in the prior year[6] - Adjusted net income for the fourth quarter increased to $23.6 million, or $0.76 per diluted share, compared to $17.7 million, or $0.57 per diluted share in the prior year[6] - Adjusted net income for the 13 weeks ended January 30, 2026, was $23,569,000, compared to $17,691,000 for the same period in 2025, an increase of 33.3%[38] - Adjusted diluted net earnings per share for the 13 weeks ended January 30, 2026, were $0.76, up from $0.57 in the prior year[38] - Adjusted EBITDA for the 52 weeks ended January 30, 2026, was $102,278,000, which is 7.7% of net sales, compared to $92,599,000 or 6.8% of net sales in the previous year[41] Operational Metrics - Gross Merchandise Value (GMV) increased mid-single digits in the fourth quarter compared to the same period last year[3] - Gross margin for the fourth quarter was 45.3%, a decrease of 30 basis points from 45.6% in the prior year[6] - Gross profit for the 13 weeks ended January 30, 2026, was $209,552,000, compared to $201,335,000 for the same period in 2025, reflecting a gross margin of 45.3%[31] - Operating income decreased to $25,885,000 for the 13 weeks ended January 30, 2026, down from $36,951,000 in the prior year, representing a decline of 30.0%[31] Balance Sheet Highlights - Total current assets decreased from $370,480,000 in January 31, 2025 to $361,005,000 in January 30, 2026, a decline of approximately 2.6%[29] - Cash and cash equivalents increased from $16,180,000 in January 31, 2025 to $17,694,000 in January 30, 2026, an increase of about 9.3%[29] - Total liabilities decreased from $526,259,000 in January 31, 2025 to $506,771,000 in January 30, 2026, a reduction of approximately 3.7%[29] - Stockholders' equity increased from $239,222,000 in January 31, 2025 to $244,295,000 in January 30, 2026, an increase of about 2.3%[29] - The company reported a current portion of long-term debt remaining stable at $13,000,000 for both periods[29] Strategic Initiatives - The company expects to fully repay its term loan debt of approximately $234 million following the joint venture with WHP Global[15] - The joint venture with WHP Global is expected to enhance brand licensing growth and expand strategic flexibility[2] - The company will not provide financial guidance until after the completion of the WHP Global transaction[19] - The company is focusing on sustainable, profitable, long-term growth and expects continued strength in solution-based products[23] - The school uniform business is building on its strong back-to-school season, indicating positive performance in that segment[23] - The company anticipates potential additional purchases under its share repurchase program, reflecting confidence in its financial position[23] - The company is facing macroeconomic pressures but remains optimistic about its position across key categories and enterprise accounts[23] Cash Flow and Investment Activities - Net cash provided by operating activities decreased to $49,618,000 from $53,143,000, reflecting a decline of 6.5%[43] - Cash used in investing activities was $29,168,000, down from $35,036,000, indicating a reduction of 16.7%[43] - Net cash used in financing activities decreased to $20,076,000 from $26,594,000, a decline of 24.5%[43] - Cash, cash equivalents, and restricted cash at the end of 2025 totaled $18,283,000, down from $18,812,000 in 2024[43] - Unpaid liability to acquire property and equipment increased to $2,838,000 from $1,722,000, a rise of 64.8%[43] - Interest paid decreased to $34,842,000 from $37,043,000, a reduction of 5.8%[43] - Depreciation and amortization expenses were $30,169,000, down from $33,772,000, a decrease of 10.3%[43] - Stock-based compensation increased to $5,477,000 from $4,873,000, an increase of 12.4%[43] - Change in accounts receivable improved to $7,452,000 from a negative $12,830,000, indicating a positive shift in cash flow management[43]

Financial Performance - Revenues for Q2 fiscal 2026 were $18.0 billion, an increase of 8% in U.S. dollars and 4% in local currency compared to Q2 fiscal 2025[74]. - New bookings for Q2 fiscal 2026 reached $22.1 billion, a 6% increase in U.S. dollars and 1% in local currency[76]. - Operating margin for Q2 fiscal 2026 was 13.8%, up from 13.5% in Q2 fiscal 2025[76]. - Diluted earnings per share for Q2 fiscal 2026 were $2.93, a 4% increase from $2.82 in Q2 fiscal 2025[76]. - Revenues for the three months ended February 28, 2026, increased to $18,044 million, an 8% increase from $16,659 million in the same period of 2025[89]. - Operating income for the second quarter of fiscal 2026 increased by $249 million, or 11%, reaching $2,494 million, with an operating margin of 13.8%[102]. - Operating income for the six months ended February 28, 2026, was $2,987 million, an increase of $369 million, or 14%, compared to $2,618 million for the same period in 2025[107]. - Diluted earnings per share for the six months ended February 28, 2026, were $6.47, compared to $6.42 for the same period in 2025, reflecting a $0.05 increase[114]. - Adjusted diluted earnings per share for the six months ended February 28, 2026, were $6.87, after excluding business optimization costs of $250 million[116]. Cash Flow and Shareholder Returns - Cash returned to shareholders in Q2 fiscal 2026 totaled $2.7 billion, including $1.0 billion in dividends and $1.7 billion in share repurchases[76]. - Net cash provided by operating activities for the six months ended February 28, 2026, was $5,482 million, an increase of $1,606 million compared to $3,876 million for the same period in 2025[119]. - Total share repurchases during the six months ended February 28, 2026, amounted to $4,008 million, including 16,316,536 shares repurchased[125]. - Cash and cash equivalents as of February 28, 2026, were $9.4 billion, down from $11.5 billion as of August 31, 2025[119]. Operational Metrics - Utilization rate for Q2 fiscal 2026 was 93%, compared to 91% in Q2 fiscal 2025[82]. - The workforce was approximately 786,000 as of February 28, 2026, an increase from 779,000 as of August 31, 2025[82]. - Annualized voluntary attrition for Q2 fiscal 2026 was 13%, consistent with Q2 fiscal 2025[83]. - Operating expenses for the second quarter of fiscal 2026 increased by $1,136 million, or 8%, totaling $15,551 million, while the percentage of revenues decreased to 86.2% from 86.5%[92]. - Cost of services for the second quarter of fiscal 2026 increased by $900 million, or 8%, totaling $12,585 million, with a gross margin of 30.3% compared to 29.9% in the prior year[95]. - Sales and marketing expenses for the second quarter of fiscal 2026 increased by $72 million, or 4%, totaling $1,749 million, while the percentage of revenues decreased to 9.7% from 10.1%[97]. - General and administrative costs for the second quarter of fiscal 2026 increased by $163 million, or 16%, totaling $1,217 million, with an increase in percentage of revenues to 6.7% from 6.3%[98]. Regional Performance - The Americas region generated revenues of $8,896 million for the three months ended February 28, 2026, a 4% increase from $8,553 million in the same period of 2025[89]. - EMEA revenues increased by 13% to $6,569 million for the three months ended February 28, 2026, compared to $5,804 million in the same period of 2025[89]. - Asia Pacific revenues increased by 12% to $2,578 million for the three months ended February 28, 2026, compared to $2,302 million in the same period of 2025[89]. - Managed services revenues increased by 10% in U.S. dollars and 5% in local currency compared to Q2 fiscal 2025[78]. - Revenue growth in local currency was very strong in Asia Pacific and modest in the Americas and EMEA[75]. Financial Ratios and Taxation - Adjusted operating margin for the six months ended February 28, 2026, was 15.4%, a decrease of 80 basis points due to business optimization costs[106]. - Interest income for the six months ended February 28, 2026, was $185 million, an increase of $33 million, or 21%, compared to $152 million for the same period in 2025[109]. - Interest expense for the six months ended February 28, 2026, was $129 million, an increase of $34 million, or 36%, compared to $95 million for the same period in 2025[110]. - The effective tax rate for the six months ended February 28, 2026, was 24.4%, up from 21.1% for the same period in 2025, primarily due to reduced tax benefits[112]. Risk and Control - No significant payments have been required under the described arrangements to date[129]. - There were no material changes to market risk exposure during the six months ended February 28, 2026, compared to the previous annual report[130]. - The principal executive officer and principal financial officer concluded that disclosure controls and procedures were effective at the reasonable assurance level as of the end of the reporting period[130]. - There has been no change in internal control over financial reporting that materially affected the company during the second quarter of fiscal 2026[131].

NEWS RELEASE TSX: LAC ● NYSE: LAC www.lithiumamericas.com Lithium Americas Reports Full Year 2025 Results (All amounts in US$ unless otherwise indicated) March 19, 2026 – Vancouver, Canada: Lithium Americas Corp. (TSX: LAC) (NYSE: LAC) ("Lithium Americas" or the "Company") announced that it has filed its Annual Report on Form 10-K, which includes the Company's audited consolidated financial statements for the year ended December 31, 2025, and provided an update on its Thacker Pass lithium project in Humbold ...

Revenue Growth - ZELSUVMI net product revenue grew 28% quarter over quarter to $9.1 million in Q4 2025, with total revenue for 2025 reaching $16.8 million[1][9] - Total revenue for Q4 2025 was $9,389 million, compared to $7,406 million in Q3 2025, marking a quarter-over-quarter increase of 26.8%[21] - Net product revenues for Q4 2025 reached $9,094 million, an increase from $7,112 million in Q3 2025, representing a growth of 27.9%[21] Prescription and Market Performance - A total of 8,948 ZELSUVMI units were prescribed by 2,712 unique prescribers in fiscal year 2025, with a 129% increase in units dispensed from Q3 to Q4 2025[2][4] - The company anticipates strong continued growth for ZELSUVMI in 2026, leveraging recent acquisitions and existing commercial relationships[6][14] Financial Position - Cash balance as of December 31, 2025, was $18.0 million, expected to support the current business plan[8] - Total liabilities as of December 31, 2025, were $91.5 million, with total stockholders' equity at $38.9 million[17] Operating Performance - Operating loss improved from approximately $15.4 million in Q3 2025 to approximately $12.0 million in Q4 2025, indicating progress towards positive cash flow[12] - Operating loss for Q4 2025 was $(12,003) million, an improvement from $(15,362) million in Q3 2025[21] Adjusted Financial Metrics - Adjusted EBITDA loss improved by approximately 22% quarter over quarter, from $11.5 million in Q3 2025 to approximately $9.0 million in Q4 2025[12] - Adjusted EBITDA for Q4 2025 was $(8,987) million, compared to $(1,374) million in Q4 2024, reflecting a deterioration in core operating performance[24] Expenses - SG&A expenses decreased by approximately 6% quarter over quarter to $18.5 million in Q4 2025[12] - Selling, general and administrative expenses for Q4 2025 were $18,469 million, slightly down from $19,628 million in Q3 2025[21] - Research and development expenses for Q4 2025 were $374 million, up from $145 million in Q3 2025, indicating increased investment in innovation[21] Tax Liabilities - The provision for income taxes for Q4 2025 was $(6,922) million, compared to $(465) million in Q3 2025, reflecting changes in tax liabilities[21] Debt and Financing - In January 2026, the company entered into a $50.0 million senior secured term loan facility, drawing $30.0 million to support commercialization efforts[8] Acquisition - The acquisition of XEPI® was completed in November 2025, adding a complementary dermatology product to the portfolio, addressing a critical need in antibiotic-resistant skin infections[4]

Product Portfolio - Pelthos Therapeutics Inc. has three FDA approved products in its portfolio, including ZELSUVMI, XEPI, and XEGLYZE, with ZELSUVMI launched in July 2025[37]. - XEPI, acquired in November 2025, addresses a critical unmet need in antibiotic-resistant skin infections, affecting approximately 3 million people annually in the U.S.[53]. - XEGLYZE, acquired in December 2025, is indicated for the treatment of head lice, with an estimated 6 to 12 million infestations occurring annually among children aged 3 to 11 in the U.S.[62]. - The company acquired two additional FDA approved products during the fourth quarter of 2025 to expand its commercial product portfolio[37]. - ZELSUVMI is the first FDA approved topical medication for molluscum contagiosum that can be safely applied by patients without in-office administration[45]. - ZELSUVMI was approved by the FDA in January 2024 and launched in the United States in July 2025, focusing on the treatment of molluscum contagiosum[180][192]. - The company expects to continue incurring significant expenses and operating losses until revenue from ZELSUVMI is sufficient to fund operations[184]. - The company is dependent on the commercial success of ZELSUVMI and may not achieve profitability within the expected timeframe[191]. Financial Overview - The PIPE Financing generated gross proceeds of approximately $50.1 million, consisting of $50.0 million in cash and $0.1 million from the conversion of a convertible note[66]. - The company reported a net loss of approximately $43.3 million for the year ended December 31, 2025, with total operating expenses of $49.2 million[181]. - The company generated net revenue of $16.2 million for the year ended December 31, 2025, representing approximately six months of commercial activity for its lead product, ZELSUVMI[181]. - The company has cash of approximately $18.0 million and working capital of $27.4 million as of December 31, 2025[181]. - The company entered into a Venture Loan and Security Agreement for up to $50.0 million to support the commercialization of ZELSUVMI and prepare for the launch of two recently acquired products[182]. Market and Commercialization Strategy - The company has signed its first commercial agreement with a major Pharmacy Benefit Manager (PBM) to expand patient access for ZELSUVMI, managing prescription drug benefits for over 20 million covered lives[93]. - ZELSUVMI is marketed primarily to pediatricians and dermatologists, with a focus on increasing awareness and adoption through direct sales efforts and targeted marketing initiatives[90][91]. - The commercial success of ZELSUVMI and other drug candidates depends on adequate coverage and reimbursement from governmental and private payors[151]. - The commercial success of ZELSUVMI will be affected by third-party payor coverage and reimbursement policies, which may impose downward pressure on pricing and utilization[214]. - The efficacy and safety of ZELSUVMI compared to alternative treatments will significantly influence its market acceptance and commercial success[200]. - Establishing effective sales, marketing, and distribution capabilities is essential for the commercialization of ZELSUVMI, and the current sales organization may need expansion to support expected revenue growth[198]. Regulatory and Compliance - All clinical trials must be conducted under GCPs, requiring informed consent from research subjects[122]. - The FDA has a goal of ten months to review and act on a standard NDA for a new molecular entity after filing[129]. - The FDA may issue a Complete Response Letter (CRL) if the NDA has deficiencies, requiring resubmission[132]. - Drug manufacturers must register their establishments with the FDA and are subject to periodic inspections for compliance[135]. - The FDA can withdraw approval if regulatory compliance is not maintained or if new safety issues arise post-marketing[136]. - The company is required to report payments and transfers of value to healthcare professionals under the Physician Payments Sunshine Act[147]. Risks and Challenges - The company faces increased scrutiny regarding pharmaceutical pricing practices, which could affect its pricing strategies and market access[157]. - Future healthcare reforms may impose new regulatory requirements and limit reimbursement for products, potentially affecting demand for ZELSUVMI[161]. - The company may face challenges related to reimbursement for ZELSUVMI, which could impact its commercialization efforts[192]. - The company faces substantial competition from major pharmaceutical companies and alternative treatments, which may limit the commercial opportunity for ZELSUVMI[204]. - The market for ZELSUVMI may not be as large as anticipated, as many individuals may decline treatment for molluscum contagiosum, relying on the body's immune system for resolution[217]. - The company faces risks related to supply chain disruptions that could adversely affect sales and marketing efforts, as well as development timelines[225]. - There is a risk of decreased demand for ZELSUVMI and potential product candidates due to negative media attention or product liability claims[226]. Research and Development - The Company is developing three NaV1.7 pain programs, including CT2000 for eye pain, which is expected to enter Phase 1a/2b studies in Q1 2026[82]. - The NITRICIL technology platform is expected to generate differentiated product candidates leveraging nitric oxide's anti-viral and anti-inflammatory properties[78]. - The Company anticipates that the NITRICIL platform has many potential product candidates that could be further developed, including treatments for acne and atopic dermatitis[79]. - The company has limited experience in producing commercial scale products utilizing NITRICIL technology, which could impact development timelines[229]. Manufacturing and Supply Chain - The Company has a manufacturing facility in Durham, North Carolina, with 19,265 square feet dedicated to cGMP manufacturing and related operations[76]. - The Company has manufactured over one metric ton of Active Pharmaceutical Ingredient (API) since its facility became operational, ensuring sufficient capacity to meet current sales forecasts for ZELSUVMI[101][102]. - The Company has a multi-year supply agreement with Orion Corporation for the commercial supply of ZELSUVMI, with production forecasts informed by expected sales[105]. - The company relies on third-party manufacturers for the final production of ZELSUVMI, which introduces risks related to quality control and timely delivery[231]. - Unexpected results in raw material analysis could lead to increased costs and delays in regulatory submissions or commercialization[234]. Employee Relations - As of December 31, 2025, the company had a total of 92 full-time employees, highlighting the importance of human capital in its operations[164]. - The company considers its relations with employees to be good, with no employees represented by labor unions[166].

Project Overview - The Company holds a 62% interest in the Thacker Pass lithium project, with General Motors owning the remaining 38% interest[16]. - Thacker Pass is expected to have a total planned production capacity of 160,000 tonnes per year (t/y) of battery-grade lithium carbonate across five phases[17]. - The Company achieved fully funded status for Phase 1 of Thacker Pass with contributions from the DOE Loan, GM, and a $250 million investment from Orion Resource Partners[30]. - The mechanical completion of Phase 1 is targeted for late 2027, with construction having commenced in February 2023[42]. - The Company announced an increased mineral resource estimate for Thacker Pass, confirming it as the largest lithium measured and indicated resource globally[28]. Financial Support and Funding - The Company secured a $2.26 billion loan from the U.S. Department of Energy, with $1.97 billion allocated for construction costs of Thacker Pass[24]. - A joint venture with GM involved a total commitment of $625 million, including $430 million in direct cash funding for Phase 1 construction[27]. - The Company sold 26.92 million common shares at an average price of $3.71 per share, raising $97.8 million through an equity program[31]. - An additional ATM equity program raised $246.4 million by selling 30.53 million common shares at an average price of $8.19 per share[33]. - The principal of the DOE Loan remains at $1.97 billion, with a maturity date of July 20, 2048, and principal and interest repayments commencing on January 20, 2029[73]. Construction and Workforce - Approximately 950 personnel were on site at Thacker Pass as of December 31, 2025, expected to increase to 1,800 at peak construction in 2026[44]. - The Company completed 1.69 million workhours at Thacker Pass in 2025 without serious injuries, achieving a total recordable incident frequency rate of 0.21[44]. - The Project Labor Agreement with NABTU is expected to create approximately 2,000 jobs, including 1,800 skilled labor contractors, with about 950 workers at Thacker Pass by December 31, 2025[107]. - The Company signed a New CBA in November 2025, providing a $5 million infrastructure development contribution and additional resources for training and workforce development[95]. - The Workforce Hub for construction craft professionals had over 500 residents by December 31, 2025, with occupancy expected to align with hiring[110]. Environmental and Regulatory Compliance - The Company is committed to environmental stewardship and has published its 2024 ESG-Safety Report on its website[92]. - Compliance with stringent environmental regulations is essential, as non-compliance could delay operations and increase costs[164]. - Changes in government laws and regulations, including those related to environmental compliance, may affect the development of Thacker Pass[139]. - Climate change may impact water availability for Thacker Pass operations, posing risks to the Company's business and financial condition[178]. Market and Economic Factors - Lithium prices declined in the first half of 2025 but showed a slight increase in sentiment towards the end of the year, driven by demand from battery energy storage systems (BESS) and electric vehicles (EV)[57]. - Global EV production increased to 20,657,000 units in 2025, representing a 20% year-on-year growth[58]. - The market price of lithium products, such as lithium carbonate and lithium hydroxide, fluctuates widely and is influenced by factors beyond the Company's control, affecting profitability[155]. - Global economic uncertainties, including inflation and geopolitical conflicts, may adversely affect the Company's business and financial position[175]. Risks and Challenges - The Company lacks a history of completing mining and chemical processing projects, increasing uncertainty regarding its future success[132]. - Establishing new mining and chemical processing operations involves inherent risks, including unexpected costs and delays, which could impact profitability at Thacker Pass[133]. - Substantial opposition to the mining project could lead to delays or prevent development, despite its commercial viability[150]. - The novel process for producing lithium carbonate from Thacker Pass has not been demonstrated at commercial scale, posing risks of inefficiencies and unforeseen costs[152]. - The Company faces significant uncertainty regarding the future relationship between the U.S. and other countries, which could impact trade policies and tariffs[138]. Corporate Governance and Shareholder Interests - GM holds approximately 4% of the outstanding Common Shares and owns a 38% asset-level interest in Thacker Pass, which may influence corporate actions and diverge from other shareholders' interests[183]. - The DOE holds a warrant to purchase up to 18,268,687 Common Shares (5% of the Company) and has certain rights that may affect corporate actions[184]. - The Company has significant capital requirements and may need to access capital markets for additional financing, which could dilute current shareholders' interests[193]. - Future equity issuances could result in substantial dilution, with the potential for the issuance of warrants to the DOE convertible into approximately 13% of the Company's issued and outstanding common shares[195]. Cybersecurity and Legal Risks - The Company's dependence on digital systems increases exposure to cybersecurity threats, which could disrupt operations and result in financial and reputational harm[210]. - Cybersecurity incidents could lead to unauthorized disclosure of sensitive data and operational disruptions, with potential legal liabilities and remediation costs[212]. - The Company implements a structured cybersecurity risk management program, including multi-factor authentication and centralized threat monitoring[213]. - Legal proceedings may divert management's attention and result in significant monetary damages if the Company is unsuccessful in defending claims[209].

Sustainability and Environmental Goals - Equinor aims to achieve net zero by 2050 and is committed to diversifying its energy mix [24] - The company emphasizes the importance of sustainability and aims to create long-term value for shareholders while addressing climate change challenges [24] - Equinor's operational performance is expected to include reductions in net carbon intensity and operated emissions, alongside increased CO2 storage capabilities [24] - The Norwegian Climate Act mandates a minimum 55% reduction in GHG emissions by 2030 compared to 1990 levels, influencing Equinor's operational strategies [90] - The Brazilian government aims to reduce greenhouse gas emissions by 37% by 2025 and 50% by 2030 compared to 2005 levels [107] - The "Fuels of the Future" Law in Brazil mandates gas field operators to acquire biomethane volumes and/or environmental certificates as part of decarbonization efforts [104] Financial Performance and Investments - The company plans to allocate significant investments towards renewables and low carbon solutions, with expectations for increased production capacity in these areas [24] - Equinor's return on average capital employed (ROACE) is targeted to remain competitive, with ambitions to keep unit production costs in the top quartile of its peer group [24] - Equinor's total capitalized cost related to oil and gas producing activities as of December 31, 2025, was USD 192,229 million, an increase from USD 176,561 million in 2024 [129] - Total revenues for 2025 reached USD 43,792 million, a slight decrease from USD 44,931 million in 2024 [135] - The net income for 2025 was USD 5,727 million, down from USD 7,680 million in 2024, indicating a decline in profitability [135] - Total revenues and other income for Equinor decreased by 31% in 2025, amounting to USD 5,102 million compared to USD 7,343 million in 2024 [162] - Net operating income fell by 83% to USD 470 million in 2025 from USD 2,746 million in 2024, impacted by lower production volumes and a decline in liquid commodity prices [163] Operational Performance and Production - The company is focused on maximizing value from its international oil and gas portfolio while developing its integrated power business [24] - Average production cost per barrel of oil equivalent (boe) in 2025 was USD 7, compared to USD 7 in 2024, showing stable production efficiency [137] - Average daily entitlement production for E&P Norway was 1,410 mboe/day in 2025, up 2% from 1,386 mboe/day in 2024 [154] - E&P Norway entitlement liquids production was 671 mboe/day in 2025, a 7% increase from 628 mboe/day in 2024 [154] - E&P USA entitlement liquid and gas production increased by 27% to 375 mboe/day in 2025, driven by higher output from Appalachia [169] Regulatory Compliance and Taxation - Equinor operates in over 20 countries and is committed to compliance with various global laws and regulations [37] - The company is subject to corporate income tax regimes and production sharing agreements (PSAs) for its petroleum activities worldwide [38] - The Norwegian petroleum income is taxable at a marginal tax rate of 78% after deducting a calculated 22% corporate tax [113] - In Brazil, Equinor's operations are subject to a combined corporate income tax and social contribution rate of 34% [117] - The UK introduced the Energy Profits Levy (EPL) at 25% in May 2022, increasing to 35% from January 2023, resulting in a combined tax rate of 75% for oil and gas companies [123] Strategic Initiatives and Future Plans - The company anticipates organic capital expenditures for 2026 to support its growth strategy [24] - Equinor's strategic plans include potential acquisitions and partnerships to strengthen its market position and expand its capabilities [24] - The company is committed to enhancing its digitalization and technological innovation efforts, including the role of AI in its operations [24] Debt and Financial Obligations - The company reported total debt of USD 23,338 million as of 31 December 2025, with USD 21,782 million guaranteed by Equinor Energy AS [197] - Total contractual obligations were USD 54,527 million, with USD 34,450 million related to undiscounted non-current finance debt [198] - The net debt to capital employed ratio was reported at 22.7% for 2025, an increase from 17.3% in 2024 [208] Exploration and Development Activities - Exploration expenditures for 2025 were USD 1,126 million, up from USD 1,401 million in 2024, indicating a strategic increase in exploration activities [135] - Development costs for 2025 totaled USD 8,898 million, compared to USD 9,234 million in 2024, reflecting a focus on cost management [135] - The company acquired proved properties worth USD 611 million in 2025, a significant increase from USD 2,173 million in 2024 [135]

Business Model and Growth - DarioHealth has signed over 100 total contracts as of now, indicating rapid scaling of its B2B2C model[398]. - The company has acquired multiple subsidiaries, including Upright and Twill, to enhance its health management platform[398][401]. - DarioHealth's revenue is derived from both consumer and commercial segments, with services including digital therapeutics and clinical coaching[411][413]. - DarioHealth's AI tools leverage data from over 150,000 members to improve user engagement and health outcomes[398]. - The company aims to transform healthcare by providing a comprehensive health platform that integrates hardware, AI, and behavioral coaching[396]. - DarioHealth's solutions currently address diabetes, hypertension, pre-diabetes, musculoskeletal conditions, and behavioral health[398]. - The company emphasizes user engagement as a critical factor for achieving sustained behavior change and improved health outcomes[397]. Financial Performance - Revenues for the year ended December 31, 2025, amounted to $22,359, a decrease from $27,040 in 2024, primarily due to the non-renewal of a customer acquired through the Twill acquisition[424]. - Gross profit for the year ended December 31, 2025, was $12,665, representing 56.6% of revenues, compared to $13,267 or 49.1% of revenues in 2024[428]. - Research and development expenses decreased by $10,388 to $13,791 for the year ended December 31, 2025, compared to $24,179 in 2024, mainly due to efficiency and post-merger integration activities[429]. - Sales and marketing expenses decreased by $6,012 to $20,338 for the year ended December 31, 2025, compared to $26,350 in 2024, attributed to lower payroll-related expenses[433]. - General and administrative expenses decreased by $5,291 to $15,191 for the year ended December 31, 2025, compared to $20,482 in 2024, mainly due to lower stock-based compensation and reduced acquisition costs[435]. - Net loss for the year ended December 31, 2025, was $41,714, a slight improvement from a net loss of $42,747 in 2024, primarily due to decreased operating expenses[441]. - Non-GAAP adjusted loss for the year ended December 31, 2025, was $24,152, an improvement from $33,792 in 2024, indicating better operational performance[452]. Cash Flow and Financing - The company had cash and cash equivalents of approximately $26,017 as of December 31, 2025, down from $28,461 at the end of 2024[454]. - The company has financed operations through private placements and public offerings, receiving aggregate net proceeds totaling $307,133 and a credit facility of $25,795 as of December 31, 2025[456]. - A five-year senior secured credit facility of up to $50 million was established with OrbiMed, with $25 million available at closing and an additional $25 million subject to revenue requirements[457]. - A four-year secured credit facility of up to $40,000 was entered into with Avenue Lenders, with $30,000 made available at closing[458]. - The company received gross proceeds of approximately $22,422 from the Series C Offering, which included the sale of 17,307 shares of Series C Preferred Stock[467]. - The company received gross proceeds of approximately $18,805 from the offering of Series D Preferred Stock, which included 7,055 shares of newly designated Series D Preferred Stock[468]. - The company entered into a securities purchase agreement for 1,154,420 shares of common stock and pre-funded warrants, generating approximately $17,500 in gross proceeds[487]. Debt and Covenants - The company did not meet a financial covenant under the Callodine Credit Agreement, leading to an Event of Default, with interest accruing at a rate of 3% over the Contract Rate[484]. - The Callodine Credit Agreement was amended to reset financial covenants and waive testing for the second and third quarters of 2025, with a new minimum cash covenant of $10 million[485]. - The Avenue Loan Facility includes interest rates that can reach up to 12.50% and additional fees for non-compliance with milestones[460]. Operational Challenges - The company has experienced cumulative losses since inception and expects to continue generating losses for the foreseeable future[455]. - The company had a U.S. federal net operating loss carryforward of approximately $47,055 as of December 31, 2025, which can be utilized against future taxable income[442]. - As of December 31, 2025, the company incurred an accumulated deficit of $452,078 and negative cash flows from operations of approximately $25,941 for the year[453][455]. - Net cash used in operating activities decreased to $25,941, a reduction from $38,562 in 2024, primarily due to decreased operating expenses and improved working capital[490]. - Net cash used for investing activities was $4,342 in 2025, down from $8,934 in 2024, reflecting the absence of significant acquisitions compared to the previous year[491]. - Net cash provided by financing activities was $24,313 in 2025, compared to $38,531 in 2024, with approximately $24,128 raised through offerings and $185 from refinancing[492]. Inventory and Supply Chain - Total inventory write-downs for the year ended December 31, 2025, amounted to $320, reflecting the company's focus on inventory and supply chain management[421].