Business Operations - Petco operates approximately 1,400 pet care centers in the U.S. and Puerto Rico, and around 150 centers in Mexico, with a focus on an integrated omnichannel experience[30]. - As of January 31, 2026, Petco had approximately 300 full-service veterinary hospitals and 1,600 Vetco clinics, integrating veterinary care into its pet care centers[32]. - The company has approximately 680 active merchandise vendors, with the top 10 vendors accounting for about 40% of annual sales[51]. - Petco's distribution network includes seven primary and two regional distribution centers, enhancing its logistics capabilities with ship-from-store and same-day delivery options[49]. - The company faces challenges in recruiting and retaining skilled veterinarians, which could disrupt its veterinary services business[79]. - Increased competition from online retailers and other pet care providers has pressured the company to reduce prices and introduce new offerings, potentially affecting profitability[75]. - The company has experienced a decline in sales of discretionary items due to persistent inflation, impacting overall profitability[66]. - The company seeks growth through acquisitions and strategic investments, which carry risks related to integration and management[97][98]. - The company’s growth rate is heavily dependent on the availability of adequate capital to fund expansion strategies, including veterinary services and digital capabilities[85]. Financial Performance - Fiscal 2025 saw improved financial performance with strong year-over-year growth in net income and Adjusted EBITDA, alongside significant operating income and free cash flow generation[39]. - In fiscal 2025, Petco's owned product assortment significantly contributed to enterprise sales, enhancing customer loyalty and repeat purchasing[31]. - The company has a substantial indebtedness of $1,500.0 million from a secured term loan facility maturing on March 4, 2028, and an asset-based revolving credit facility of up to $581.0 million[170]. - As of February 2, 2026, the company issued $600.0 million in aggregate principal amount of 8.250% Senior Secured Notes due February 1, 2031, with $900.0 million of principal remaining on the Amended First Lien Term Loan[171]. - The company recorded a pre-tax goodwill impairment charge of $1,222.5 million for the thirteen-week period ended October 28, 2023, due to indicators of impairment from declines in share price and macroeconomic conditions[216]. - The company must repay or refinance borrowings under the ABL Revolving Credit Facility prior to the maturity of the First Lien Term Loan and Senior Secured Notes[186]. - The company requires a significant amount of cash to service its indebtedness, which is subject to various uncontrollable factors[179]. - There is no assurance that the company will generate sufficient cash flows from operations or that future borrowings will be available to meet its liquidity needs[180]. Marketing and Customer Engagement - Petco's marketing strategy in fiscal 2025 focused on efficiency and return on investments, enhancing its in-house retail media network and optimizing marketing spend[40]. - In fiscal 2026, Petco plans to further integrate data between its services and stores to improve customer recommendations and marketing effectiveness[41]. - The company has broadened its product assortment to include more national brand products in response to shifting consumer demand, which may impact profitability if higher-margin products are not sold[67]. - The company must adapt to changing consumer preferences and expectations regarding purchasing methods, including the demand for quick and convenient delivery options[82]. Social Responsibility and Community Engagement - Petco Love has invested over $430 million in various animal welfare initiatives since its founding in 1999, helping more than 7 million pets find new families[61]. - Petco Love Lost, launched in April 2021, has reunited over 200,000 pets with their families through a national lost and found pet database[62]. - More than 4 million free pet vaccines have been distributed through Petco Love's Vaccinated and Loved initiative, aimed at under-resourced communities[63]. Risks and Challenges - The company faces risks related to the loss of key personnel, which could disrupt business operations and affect results[87][88]. - Significant reliance on a limited number of vendors for pet food and supplies poses risks to business continuity and financial performance[89][90]. - Health epidemics and pandemics could materially affect demand for products and disrupt operations[94]. - Disruptions in the supply chain or distribution centers could harm sales and profitability due to increased costs or delivery delays[95][96]. - Cybersecurity incidents could lead to material liabilities and adversely impact business operations and reputation[101][102]. - The company faces risks related to international operations, including trade policy changes and tariffs, which could increase costs and disrupt supply chains[110]. - Labor shortages and increased wage competition could adversely affect operations and customer service quality[120]. - Compliance with data security standards is critical, as failure could lead to litigation and operational disruptions[104]. Regulatory and Compliance Issues - The company is subject to long-term lease obligations, which could pose financial risks if pet care centers need to close[118]. - The company is subject to various state and federal regulations regarding the dispensing of prescription pet medications, which could lead to sanctions or fines if not complied with[165]. - Compliance with extensive governmental regulations may incur significant costs and liabilities, impacting financial results and operational efficiency[132]. - The evolving landscape of privacy laws, including the California Consumer Privacy Act (CCPA) and California Privacy Rights Act (CPRA), imposes additional compliance costs and risks of litigation[150]. - The company faces potential liabilities from unauthorized text messages and telephone calls under the Telephone Consumer Protection Act, which could lead to significant financial repercussions[152]. Cybersecurity and Data Management - Effective cybersecurity risk management is recognized as critical for the safety and security of customer and enterprise data, with a comprehensive multi-layered cybersecurity risk assessment program in place[217]. - The company engages in frequent monitoring of its systems for cybersecurity risks, with a response plan based on established guidelines for incident handling[218]. - The audit committee has formal oversight responsibility for cybersecurity and reviews policies related to risk assessment and management[229]. - Cybersecurity risks such as phishing, ransomware, and unauthorized access attempts have not materially affected the Company’s operations or financial condition to date[227]. Operational Flexibility and Debt Management - The company’s debt agreements impose restrictive covenants that limit operational flexibility and could adversely affect its long-term interests[173]. - The amount of borrowings permitted under the ABL Revolving Credit Facility may fluctuate significantly, potentially affecting liquidity and financial position[184]. - The company's variable rate indebtedness exposes it to interest rate risk, which has already increased debt service obligations[185].

Credit Losses and Charge-offs - The allowance for credit losses at the end of 2025 was $8.353 million, a decrease of $186,000 or 2.2% from $8.539 million at the end of 2024[112]. - Total charge-offs for 2025 were $3.686 million, down from $4.726 million in 2024, reflecting a decrease of 22%[112]. - Net charge-offs decreased by $462,000 or 19.3% to $1.936 million for the year ended December 31, 2025, compared to $2.398 million for 2024[114]. - The allowance for credit losses to non-performing loans at the end of 2025 was 225.76%, up from 206.56% in 2024[112]. - The allowance for credit losses to total loans outstanding at the end of 2025 was 0.87%, slightly down from 0.88% in 2024[112]. - The net charge-offs to average loans outstanding during 2025 was 0.20%, compared to 0.24% in 2024[112]. - The total recoveries for 2025 were $1.750 million, compared to $2.328 million in 2024[112]. Investment Portfolio - The investment portfolio had a fair value of $162.2 million as of December 31, 2025, primarily consisting of U.S. Government securities and corporate bonds[117]. - The weighted average yield of investment securities at December 31, 2025, was calculated without tax equivalent adjustments, reflecting the income divided by amortized cost[124]. - The investment committee meets at least three times annually to review the portfolio's performance and quality, ensuring alignment with the investment policy[118]. Deposits and Liquidity - Total deposits as of December 31, 2025, amounted to $1.10 billion, with uninsured deposits estimated at $310.0 million[128]. - The average balance of non-interest-bearing demand accounts was $236.4 million, representing 22.16% of total deposits[131]. - The uninsured deposits coverage ratio was 236.4% as of December 31, 2025, indicating strong liquidity[132]. - The average rate paid on certificates of deposit was 3.89% in 2025, compared to 4.58% in 2024[131]. - The company plans to retain a significant portion of $335.8 million in certificates of deposit maturing in 2026[134]. Management and Employees - Rhinebeck Asset Management had approximately $243.0 million in assets under management and generated non-interest income of $1.5 million in 2025[136]. - The company recorded a total of 158 full-time employees and seven part-time employees as of December 31, 2025[144]. - The average tenure of employees is seven years and six months, with a workforce composition of approximately 57% female and 43% male[145]. - Rhinebeck Bank appointed Matthew J. Smith as CEO in October 2025, with over a decade of experience in financial services[146]. - Kevin Nihill became CFO in July 2024, previously serving as CFO of St. Mary's Bank since 2021[148]. Capital and Regulatory Compliance - As of December 31, 2025, Rhinebeck Bank exceeded all capital requirements, classified as "well capitalized" with a total risk-based capital ratio of 10% or greater[169][174]. - The bank is subject to comprehensive regulation by the NYSDFS and FDIC, requiring periodic examinations and reports on financial condition[152][161]. - Rhinebeck Bank must maintain a common equity Tier 1 capital ratio of at least 4.5%, Tier 1 capital of 6%, and total capital of 8% to meet regulatory standards[164]. - The bank's investment activities are limited to certain types of debt and equity securities, with a maximum permissible investment of 100% of Tier 1 capital[171]. - Regulatory relief legislation allows for a community bank leverage ratio of 9%, but management has opted not to utilize this option[166][168]. - The bank's regulatory framework includes strict guidelines for safety and soundness, addressing internal controls, credit underwriting, and asset quality[170]. - Any loans to executive officers or directors must be made on terms not more favorable than those offered to non-executive customers[160]. - The FDIC has the authority to take prompt corrective action if the bank does not meet minimum capital requirements, with various capital categories defined[173][175]. Deposit Insurance and Compliance - The Bank's deposit accounts are insured by the FDIC's DIF, generally up to a maximum of $250,000 per depositor per account ownership category[178]. - The FDIC's risk-based assessment system for deposit insurance currently ranges from 2.5 to 32 basis points of each institution's total assets less tangible capital[180]. - The Bank's latest FDIC CRA rating was "Satisfactory," indicating compliance with community credit needs[189]. - Rhinebeck Bank complied with all applicable Part 363 requirements in 2024 and 2025, with new thresholds for independent audits increasing from $1 billion to $5 billion effective January 1, 2026[186]. - The Federal Reserve Board requires bank holding companies to maintain minimum consolidated capital requirements, which are not applicable to those with less than $3.0 billion in consolidated assets[193]. - The Federal Reserve Board may disapprove any purchase or redemption of equity securities if it constitutes an unsafe practice or violates regulations, particularly if it exceeds 10% of the holding company's consolidated net worth[194]. - The Bank must implement a compliance program to detect and prevent money laundering and terrorist financing as mandated by the BSA and USA PATRIOT Act[182]. - The final rule on brokered deposits took effect on April 1, 2021, with full compliance required by January 1, 2022, potentially impacting the Bank's deposit premiums and capital management[185]. - The Bank is required to disclose its privacy policy to customers and provide an opt-out option for sharing non-public personal information[187]. - The Bank's cybersecurity program must ensure the confidentiality, integrity, and availability of information systems, with heightened governance requirements established in November 2023[188]. Corporate Governance and Structure - Rhinebeck Bancorp, MHC is unlikely to waive dividends from Rhinebeck Bancorp, Inc. due to Federal Reserve Board restrictions, which may not be in the best financial interests of public stockholders[197]. - Rhinebeck Bancorp, MHC adopted a Plan of Conversion on February 10, 2026, proposing to convert to a fully public stock holding company, pending approvals from NYSDFS and the Federal Reserve Board[198]. - Any acquisition of control over Rhinebeck Bancorp, Inc. requires prior approval from the Federal Reserve Board, with control defined as owning 25% or more of voting securities[199]. - Rhinebeck Bancorp, MHC and Rhinebeck Bancorp, Inc. must obtain NYSDFS approval before acquiring 10% or more of another banking institution's voting stock[200]. - Rhinebeck Bancorp, Inc.'s common stock is registered with the SEC and is subject to various regulations under the Securities Exchange Act of 1934[201]. - The Sarbanes-Oxley Act of 2002 mandates corporate responsibility and compliance measures for Rhinebeck Bancorp, Inc. to ensure accurate corporate disclosures[202]. - As of December 31, 2025, Rhinebeck Bank had no capital loss carryovers, and no dividends had been paid by Rhinebeck Bank[207]. - New York State imposes a statutory tax rate of 6.5% for general business taxpayers, increasing to 7.25% for those with business income over $5 million[208]. - Rhinebeck Bancorp is required to file annual reports and pay franchise taxes to the State of Maryland as a Maryland business corporation[209]. - The financial statements for Rhinebeck Bancorp are included in the annual report on Form 10-K, starting on page F-1[210].

Company Overview - Ocean Power Technologies, Inc. announced preliminary results for the quarter ended January 31, 2026[4]. - The company is listed on NYSE American under the trading symbol OPTT[2]. - Philipp Stratmann serves as the President and Chief Executive Officer of the company[8]. Financial Reporting - The earnings flash was issued on March 11, 2026, detailing the company's operational performance[4]. - The press release is attached as Exhibit 99.1, providing further financial details[4]. - The report indicates compliance with the Securities Exchange Act of 1934[4]. - The financial results are considered "furnished" and not "filed" under the Act[4]. - The report was signed on March 13, 2026, by the CEO[8]. - The company has not indicated whether it is an emerging growth company[3]. - No specific financial metrics or performance percentages were disclosed in the provided content[4].

Financial Performance - Jet.AI reported a net income of $4.6 million for the full year 2025, a significant improvement from a net loss of $12.7 million in 2024[2] - Revenues for 2025 were $9.18 million, down from $14.02 million in 2024, while the cost of revenues decreased from $14.99 million to $9.48 million[12] - Operating expenses for 2025 were $9.77 million, down from $11.60 million in 2024, with general and administrative expenses decreasing significantly[12] - Jet.AI's basic net income per share for 2025 was $1.52, a notable recovery from a loss of $47.93 per share in 2024[12] Financial Position - The company had approximately $13.7 million in cash and no debt as of March 5, 2026, compared to $1.8 million at the end of 2025[2] - Jet.AI's total assets increased to $25.68 million in 2025 from $10.80 million in 2024, with stockholders' equity rising to $21.98 million[10] - The company has a $250 million shelf facility, providing strong access to capital for future projects[2] Strategic Initiatives - The company completed the second milestone of its Canadian hyperscale data center project and is progressing towards the third milestone, focusing on energy access and grid feasibility[5] - Jet.AI plans to close the flyExclusive transaction by April 30, 2026, which is expected to enhance its growth in the AI compute sector[6] - The company is focusing on expanding its AI data center portfolio and pursuing joint ventures to capitalize on growth opportunities in AI computing[4]

Financial Performance - Jet.AI reported a net income of $4.6 million for the full year 2025, a significant improvement from a net loss of $12.7 million in 2024[2] - Revenues for 2025 were $9.18 million, down from $14.02 million in 2024, while the cost of revenues decreased from $14.99 million to $9.48 million[12] - Operating expenses for 2025 totaled $9.77 million, down from $11.60 million in 2024, with general and administrative expenses decreasing significantly[12] - The company reported a basic net income per share of $1.52 for 2025, compared to a loss of $47.93 per share in 2024[12] Assets and Equity - Jet.AI's total assets increased to $25.68 million in 2025 from $10.80 million in 2024, with stockholders' equity rising to $21.98 million from $6.51 million[10] - The company had approximately $13.7 million in cash and no debt as of March 5, 2026, compared to $1.8 million at the end of 2025[2] Strategic Initiatives - The company completed the second milestone of its Canadian hyperscale data center project and is progressing towards the third milestone, focusing on energy access and grid feasibility[5] - Jet.AI plans to expand its AI data center portfolio and joint ventures, leveraging a $250 million shelf facility for capital deployment[4] - The company expects to close the flyExclusive transaction by April 30, 2026, which is anticipated to enhance its growth in the AI compute sector[6] Joint Ventures - Jet.AI's investment in joint ventures increased to $865,000 in 2025 from $100,000 in 2024, indicating a strategic focus on collaborative growth[10]

Revenue Performance - The Company achieved revenue of RMB5.1 million (US$0.7 million) in the first six months of 2025, representing a 7.8% increase from RMB4.7 million in the same period of the prior year[3]. Net Loss and Comprehensive Loss - Net loss for the first six months of 2025 was RMB4.9 million (US$0.7 million), a significant improvement compared to a net loss of RMB500.8 million in the same period of the prior year[10]. - The total comprehensive loss for the period was RMB6.4 million (US$884,000) in the first six months of 2025, compared to RMB451.5 million in the same period of the prior year[18]. Expenses - Selling expenses amounted to RMB210,000 (US$29,000) in the first half of 2025, with no selling expenses recorded in the same period of the prior year[5]. - General and administrative expenses decreased by RMB100,000 (US$13,000) or 1.7% from RMB5.7 million (US$0.8 million) in the same period of 2024 to RMB5.6 million (US$0.8 million) in 2025[6]. - Financial expenses increased to RMB1.0 million (US$0.2 million) in 2025 from RMB0.3 million (US$0.1 million) in the same period of 2024, primarily due to the new issuance of convertible notes[7]. Assets and Cash Position - As of June 30, 2025, the Company had cash and cash equivalents of RMB0.9 million (US$0.1 million), an increase from RMB79,000 (US$11,000) as of December 31, 2024[12]. - Total current assets increased to RMB41.7 million (US$5.8 million) as of June 30, 2025, compared to RMB24.6 million (US$3.4 million) as of December 31, 2024[19]. Share Information - The weighted average number of shares outstanding increased significantly from 11,645,333,510 in 2024 to 63,520,747,820 in 2025[18]. Property Acquisition - The Company entered into a property purchase agreement in January 2025 for a property valued at RMB8,532,700 (approximately US$1.17 million)[8].

Financial Performance - As of December 31, 2025, HomeTrust Bancshares, Inc. had consolidated total assets of $4.5 billion, total deposits of $3.7 billion, and stockholders' equity of $600.7 million[23]. - Net interest income increased to $176,738 thousand for the year ended December 31, 2025, compared to $169,504 thousand in 2024, reflecting a growth of 1.46%[206]. - Net income rose to $64,364 thousand in 2025, up from $54,805 thousand in 2024, marking an increase of 17.66%[206]. - Return on assets improved to 1.46% in 2025, compared to 1.23% in 2024, indicating enhanced efficiency in asset utilization[207]. - Return on equity increased to 11.06% in 2025 from 10.37% in 2024, demonstrating stronger profitability relative to equity[207]. - Total noninterest income grew to $36,331 thousand in 2025, compared to $33,449 thousand in 2024, reflecting an increase of 8.45%[206]. - The efficiency ratio improved to 58.75% in 2025 from 61.84% in 2024, suggesting better cost management[207]. - Book value per share increased to $34.75 in 2025, up from $31.48 in 2024, indicating enhanced shareholder value[211]. - Tangible equity to tangible assets ratio improved to 12.49% in 2025, compared to 11.25% in 2024, reflecting a stronger capital position[211]. Market Expansion and Operations - The Bank has expanded into eight attractive growth markets since 2013 through acquisitions and new office openings, enhancing its product lines[25]. - HomeTrust Bank operates over 30 locations across five states, focusing on markets with growth rates above the national average[28]. - The Company employed 574 individuals as of December 31, 2025, with the majority located in North Carolina (374 employees)[34]. - The Company has 34 locations across five states as of December 31, 2025, with 8 leased facilities and an operations center in Asheville, North Carolina[194]. - The Company completed the sale of two branches in Knoxville, Tennessee, resulting in a pre-tax gain of $1.4 million and the sale of $34.3 million in deposits[218]. Community Engagement and Employee Experience - In 2025, HomeTrust was recognized as one of Bank Director's "Best U.S. Banks" and one of Forbes' "America's Best Banks," reflecting its commitment to employee experience and community service[43]. - The Bank has made significant investments in its culture model, introducing 33 culture fundamentals in 2022 to enhance employee engagement and satisfaction[42]. - The Company actively supports community initiatives, with employees volunteering thousands of hours annually and participating in various charitable activities[29]. Regulatory Compliance and Capital Management - The Bank's capital adequacy requirements include a CET1 capital ratio of 4.50%, a Tier 1 capital ratio of 6.00%, and a total capital ratio of 8.00%[71]. - As of December 31, 2025, the Bank's risk-based capital exceeded the required capital conservation buffer, which is greater than 2.50% of risk-weighted assets[73]. - The Bank is required to maintain a leverage ratio of at least 4.00%[71]. - The statutory lending limit for the Bank is generally equal to 15% of unimpaired capital and surplus, which was $90.3 million as of December 31, 2025[62]. - The Bank has not currently elected to adopt the CBLR framework but may consider it in the future[58]. - The Bank is subject to examination and regulation by the NCCOB and the Federal Reserve to ensure compliance with capital adequacy and safety standards[54]. - The Dodd-Frank Act and the Regulatory Relief Act impose various restrictions and regulatory oversight on financial entities, including the Bank[56][57]. - HomeTrust Bancshares, Inc. exceeded its minimum regulatory capital requirements under Federal Reserve regulations as of December 31, 2025[90]. - The Bank's capital ratios must exceed 7.00% for CET1, 8.50% for Tier 1, and 10.50% for total capital to avoid limitations on paying dividends and engaging in share repurchases[73]. - The Federal Reserve may object to proposed dividends based on safety and soundness concerns[86]. - The company is subject to regulatory restrictions on the ability of HomeTrust Bank to pay dividends, impacting its financial flexibility[200]. Credit Risk and Asset Quality - The allowance for credit losses (ACL) is subject to periodic reviews by bank regulatory agencies, which may require increases in provisions or charge-offs, potentially impacting net income and capital[133]. - Nonperforming assets amounted to $44.4 million, or 0.98% of total assets, as of December 31, 2025, an increase from $28.8 million or 0.63% of total assets at December 31, 2024[134]. - The company anticipates that a continued weak economic recovery could increase nonperforming assets and lower earnings[112]. - The bank's exposure to credit risk is heightened due to a significant portion of loans being secured by real estate, which is sensitive to economic conditions[111]. - The outstanding balance of payment deferrals related to Hurricane Helene declined from $136.0 million at December 31, 2024, to $318,000 at December 31, 2025[219]. - The provision for credit losses is established to account for expected credit losses (ECLs) inherent in the loan portfolio and off-balance sheet commitments[216]. - The ACL on loans held for investment reflects estimates of credit losses due to borrowers' inability to make required payments[216]. Interest Rate and Economic Environment - Fluctuating interest rates have significantly impacted net interest income, with the Federal Reserve increasing the targeted federal funds rate by 525 basis points from March 2022 to 2023[139]. - A sustained increase in market interest rates could negatively impact earnings, particularly as a significant portion of loans have fixed interest rates longer than the terms of deposits[143]. - The company’s net interest margin is influenced by the yield on assets and the cost of funding, which can fluctuate with changes in interest rates[142]. - The company’s net interest income may be adversely affected if the rates paid on deposits and borrowings increase more rapidly than the rates earned on loans and investments[145]. - 20.8% of the company's total loan portfolio, approximately $744.9 million, consists of adjustable-rate loans with interest rate floors, which could limit income growth in rising interest rate environments[146]. - Changes in interest rates can adversely affect the fair value of the company's interest-earning assets, particularly fixed-rate debt securities[147]. - The company may incur losses on its securities portfolio due to factors beyond its control, including changes in interest rates and market conditions[149]. - Inflationary pressures have risen sharply, impacting the financial condition and results of operations[113]. Technology and Cybersecurity Risks - Rapid technological changes in the financial services market require substantial investments in technology to remain competitive[178]. - The use of artificial intelligence introduces model risk and regulatory compliance challenges, necessitating robust governance and oversight[169]. - Cybersecurity risks are significant, with potential breaches leading to financial losses, reputational damage, and increased costs for the company and its clients[161]. - The company has a cybersecurity risk management program in place, including regular updates and training to mitigate potential threats[188]. - The company is exposed to risks from data breaches of third-party systems, which could compromise account information and lead to liability for fraudulent transactions[162]. - The prevalence of fraud and financial crimes is increasing, impacting the company's financial results and reputation[172]. Strategic Challenges and Competition - Competition in the financial services industry is intense, potentially reducing net interest income and impacting profitability[176]. - The company must attract and retain qualified personnel to maintain customer relationships and business success, facing challenges in a competitive labor market[177]. - The company faces scrutiny regarding its environmental, social, and governance (ESG) practices, which may impose additional costs and risks[184]. - Regulatory changes may impose significant limitations on the company's operations and could adversely affect its financial condition and results of operations[155]. - The company relies on external vendors for key components of its business infrastructure, exposing operations to risks if vendors fail to perform as per agreements[179]. - The company has established risk management processes to address liquidity, credit, market, interest rate, operational, legal, and reputational risks, but there is no assurance these will effectively mitigate all risks[160].

Financial Performance - Biote's revenue for the year ended December 31, 2025, was $192.2 million, showing a slight decrease from $197.2 million in 2024, with a net income of $31.6 million compared to $0.05 million in 2024[37]. - The four-year procedure revenue compound annual growth rate (CAGR) from 2019-2025 was 4.6%[37]. - Approximately 53% of the company's revenue for the year ended December 31, 2025, was generated from Texas, Oklahoma, New Mexico, Colorado, Arkansas, Louisiana, Mississippi, Alabama, Georgia, and Florida, indicating significant geographic concentration[191]. Market Opportunity - The U.S. market opportunity for hormone replacement therapy (HRT) products exceeds $7 billion and is expected to grow at a rate of 7% annually through 2026[25]. - By 2030, over 1.2 billion women globally will be in menopause or post-menopause, indicating a growing and underserved market for hormone optimization[26]. Practitioner Engagement - Biote has a retention rate of over 91% among its certified practitioners as of December 31, 2025, with over 9,200 practitioners utilizing the Biote Method[33]. - Biote-certified practitioners have performed approximately six million hormone optimization procedures, with around 400,000 active patients as of December 31, 2025[29]. - The Biote Method training program includes a two-day course and in-clinic training, with over 9,200 providers having completed the curriculum by December 31, 2025[55]. - The company targets approximately 78,000 practitioners in specialties most relevant to hormone optimization, focusing on OB/GYN, family practice, urology, and internal medicine[66]. Product Offerings - The Biote-branded dietary supplements represent approximately 22% of annual revenues, with an average supplement volume per practice of approximately $7,900 as of 2025[45]. - Biote-branded dietary supplement sales accounted for approximately 22% of total revenue in 2025, with 65% of Biote-partnered clinics offering these products[58]. - The Biote-branded dietary supplement business has grown at a 9.5% CAGR between 2019 and 2025[92]. Regulatory Environment - The company is subject to extensive federal and state regulations, which are complex and frequently changing, impacting its operations[120]. - The FDA regulates dietary supplements under the FDCA, ensuring compliance with identity, purity, quality, strength, and composition requirements[122]. - The company must ensure compliance with advertising regulations set by the FTC and FDA to avoid penalties for misleading promotional materials[155]. - The company is subject to HIPAA regulations, requiring strict safeguards for patient health information, with potential penalties for non-compliance[168][170]. Competitive Landscape - The company faces competition from various firms in the hormone optimization therapy space, including Evexias Health Solutions and SottoPelle[115]. - The dietary supplement industry is highly competitive, with numerous brands available, including over 20 brands for DIM supplements alone[116]. - The company faces significant competition in the hormone replacement therapy and dietary supplement markets, competing with over 30 brands, which could adversely affect market penetration and share[199]. Growth Strategies - Biote plans to expand its commercial sales team and add new geographies in 2026 to support the increased rate of new Biote-partnered clinics[82]. - The company is focused on long-term growth strategies, which may negatively impact short-term financial results due to significant expenditures on marketing and expansion efforts[197]. - The company aims to expand its sales force and develop innovative training and Biote-branded dietary supplements to address patient needs and enhance market presence[200]. Operational Challenges - The company relies on third-party manufacturers for dietary supplements, which poses risks such as inventory shortages and product recalls that could adversely affect operations[184]. - Inadequate inventory management could lead to manufacturing delays or increased costs, affecting the ability to meet demand from Biote-partnered clinics[203]. - The company relies on timely collection of receivables to maintain cash flow and working capital, with potential delays adversely affecting financial condition[205]. Compliance and Legal Risks - The company’s operations are subject to federal and state healthcare fraud and abuse laws, which could result in severe penalties, including treble damages and significant fines[220]. - Legal challenges related to healthcare laws could incur significant legal expenses and divert management's attention from business operations[221]. - Failure to comply with healthcare regulations could delay or prevent new training and products from being offered, adversely affecting business operations[222].

Financial Performance - The Company generated $28.2 million in net income for 2025, a 36% increase from $20.8 million in 2024, with earnings per share rising to $4.89 from $3.63[120] - Net interest income adjusted to FTE for 2025 was $75.8 million, up from $64.9 million in 2024, reflecting a growth driven by interest income and loan portfolio increases[117] - The efficiency ratio (non-GAAP) improved to 60.30% in 2025 from 66.19% in 2024, reflecting better cost management relative to income[118] - The return on average assets (ROA) improved to 1.05% in 2025 from 0.83% in 2024, while return on average shareholders' equity (ROE) increased to 12.88% from 10.58%[221] - Non-interest income for 2025 totaled $20.6 million, an increase of $1.6 million or 8% from $19.0 million in 2024, driven by growth in wealth management and service charges[235] - The efficiency ratio improved as net interest income growth outpaced the increase in non-interest expenses, which rose by $3.3 million in 2025[220] Asset and Loan Growth - Total assets increased by $163.4 million, or 6%, to $2.7 billion as of December 31, 2025, primarily due to loan portfolio growth[127] - Gross loans and leases totaled $1.9 billion as of December 31, 2025, an increase of $111.9 million, or 6%, compared to $1.8 billion in 2024[156] - The commercial portfolio grew by $130.6 million, or 13%, to $1.2 billion as of December 31, 2025, driven by significant loan originations[163] - The Company originated $586.5 million in loans and lines of credit in 2025, an increase of $25.9 million, or 4%, compared to 2024[159] - Total loans and leases reached $1,866.6 million in 2025, up from $1,741.3 million in 2024, marking a growth of 7.2%[228] Asset Quality and Credit Losses - Non-performing assets decreased to 0.08% of total assets as of December 31, 2025, down from 0.30% at the prior year end, indicating improved asset quality[123] - The allowance for credit losses increased by $0.5 million, or 3%, to $20.2 million as of December 31, 2025, from $19.7 million at December 31, 2024[188] - The allowance for credit losses to total loans decreased to 1.06% as of December 31, 2025, compared to 1.09% at December 31, 2024[189] - Non-accrual loans decreased to $1.9 million as of December 31, 2025, from $7.3 million at December 31, 2024, representing a 72% decline[204] - Total non-performing assets decreased to $2.2 million as of December 31, 2025, from $7.8 million at December 31, 2024[203] Deposits and Funding - Total deposits increased by $126.5 million, or 5%, to $2.5 billion as of December 31, 2025, from $2.3 billion as of December 31, 2024[130] - Interest-bearing checking accounts represented 27.3% of total deposits as of December 31, 2025, compared to 28.7% in 2024[130] - Total uninsured deposits were estimated to be $954.0 million, or 39% of total deposits as of December 31, 2025[132] - The Company had the ability to borrow up to $812.7 million from the FHLB as of December 31, 2025[138] - The Company maintained $148.1 million in cash and cash equivalents and $297.2 million of investments AFS and loans HFS as of December 31, 2025[268] Economic Outlook and Interest Rate Management - The Company expects to operate in a moderately declining interest rate environment throughout 2026, with anticipated loan growth funded by deposit growth[125] - A 200 basis points increase in interest rates is projected to increase net interest income by 2.7% and net income by 5.6%, while a decrease of the same magnitude would decrease net interest income by 4.6% and net income by 10.1%[285] - The economic value of equity is expected to increase by 5.0% with a 200 basis points rate hike and decrease by 7.6% with a 200 basis points rate cut[285] - The company's interest rate risk management framework is designed to minimize the adverse impact of interest rate changes on net interest income[272] - The Asset/Liability Committee (ALCO) meets quarterly to monitor interest rate sensitivity and manage the relationship between interest-sensitive assets and liabilities[273] Regulatory Environment - The Dodd-Frank Act may increase the cost of doing business and affect competitive balance, with potential impacts on deposit funding costs and interchange fee assessments[309] - The final rules from Basel III require a minimum common tier 1 capital ratio of 4.5% and a total capital ratio of 8%[300] - The company is subject to increased regulatory scrutiny and requirements under the Sarbanes-Oxley Act, impacting corporate governance and financial reporting[291] - Various federal and state legislation may result in additional regulations and restrictions on the Company's business[311] - Management believes the effect of current legislative proposals on liquidity, capital resources, and results of operations will be minimal[311]

Sales and Revenue - For the year ended December 31, 2025, approximately 9% of consolidated net sales were provided by cast products and approximately 9% by noncast/thermal appliances[12]. - In 2024, Amazon.com, Inc. accounted for 10% of the Company's consolidated net sales, and in 2023, it accounted for 11%[12]. - Consolidated sales increased by $115.3 million (30%) in 2025, while net earnings decreased by $8.4 million (20%) to $33.1 million[112]. - Net sales for 2025 reached $503,524, an increase of 29.6% from $388,228 in 2024[194]. - The Housewares/Small Appliance segment saw a sales decline of $7.2 million (7%) due to a decrease in units shipped, despite a 47% increase in pricing[113]. - The Defense segment's sales increased by $121.9 million (43%) to $405.9 million, driven by increased shipments from backlog[113]. Contracts and Backlog - The Defense segment was awarded a fourth five-year 40mm system contract valued at approximately $965 million for FY22 through FY25, with deliveries commencing in 2024 and scheduled to complete in 2030[27]. - The Army awarded AMTEC a five-year IDIQ contract for the production of the 40mm M918E2 TP-DNT cartridge, with a value of approximately $256 million and a maximum ceiling value of $818.9 million[28]. - The Defense segment's contract backlog was approximately $1,747.8 million as of December 31, 2025, compared to $1,085.6 million in 2024 and $564.0 million in 2023, indicating significant growth in backlog value[51]. - The Defense segment contract backlog was approximately $1,747,809,000 at December 31, 2025, up from $1,085,612,000 at December 31, 2024, indicating strong future revenue potential[143]. Financial Performance - Gross profit for the Housewares/Small Appliance segment decreased by $17.9 million, resulting in a gross margin drop from 25% to 8%[114]. - Defense segment gross profit increased by $19.5 million, with a gross margin of 19%[114]. - Operating profit decreased to $40,241 in 2025 from $45,213 in 2024, a decline of 11.5%[194]. - Net earnings for 2025 were $33,084, down 20.2% from $41,460 in 2024, resulting in earnings per share of $4.63[194]. - Total liabilities increased to $105,594 in 2025, up 23.1% from $85,770 in 2024[192]. - Total stockholders' equity rose to $395,135 in 2025, an increase of 7.5% from $367,627 in 2024[192]. Cash Flow and Investments - Cash used in operating activities decreased to $9.1 million in 2025 from $53.4 million in 2024[129]. - Net cash used in investing activities was $21.9 million in 2025, compared to $15.0 million provided in 2024[130]. - Cash and cash equivalents decreased by $69,994,000 to $17,663,000 in 2024, while working capital increased by $4,134,000 to $292,225,000[142]. - The company reported a net cash used in operating activities of $9,137 in 2025, compared to $53,426 in 2024[196]. - Dividends paid in 2025 amounted to $7,142, a decrease from $32,029 in 2024[197]. Research and Development - Research and development costs related to new product development were not a material element in the aggregate costs incurred by the Company for the years 2025, 2024, and 2023[14]. - Research and development costs for new product development were expensed in operations for the years 2025, 2024, and 2023, highlighting ongoing investment in innovation[36]. - The Company is focused on developing new products, which is critical for long-term success, but faces risks related to funding and market acceptance[84]. Operational Risks - The company is subject to various federal, state, and local laws affecting its business, which could lead to material costs or liabilities due to noncompliance[42]. - The company relies heavily on U.S. Government contracts, and any significant loss of contracts could adversely affect its results of operations[67]. - The company’s ability to meet U.S. Department of Defense demands necessitates carrying large inventories, particularly in the Defense segment[49]. - Compliance with extensive defense industry regulations increases operational costs and risks, potentially affecting profitability[74]. - The company relies on third-party subcontractors for key components, and failures in their performance could significantly impact contract obligations[73]. Employee and Corporate Governance - The company had 1,200 employees as of December 31, 2025, an increase from 1,126 employees at the end of December 2024, reflecting growth in human capital[45]. - The company has adopted a corporate code of conduct applicable to all employees, emphasizing its commitment to ethical governance[178]. Market and Supply Chain - The Housewares/Small Appliance segment operates in a highly competitive environment, with significant risks associated with new product introductions and seasonal sales fluctuations[13]. - Rising costs for raw materials, energy, and transportation could negatively impact operating results if not passed on to customers[78]. - The Company’s reliance on suppliers in Asia and Mexico makes it vulnerable to supply chain disruptions and foreign business risks[79]. Goodwill and Assets - The company has a goodwill value of $19,433 thousand, unchanged from 2024, indicating stability in this asset category[190]. - Total assets reached $500,729 thousand in 2025, compared to $453,397 thousand in 2024, marking an increase of about 10.4%[190]. - Total current assets increased to $403,063 thousand in 2025 from $366,661 thousand in 2024, representing a growth of approximately 9.5%[190].