Financial Performance - Innodata's Adjusted Gross Profit for Q3 2025 was $27.68 million, up from $22.89 million in Q3 2024, representing a 21.5% increase[144]. - The company's Adjusted Gross Margin remained stable at 44% for both Q3 2025 and Q3 2024, indicating consistent operational efficiency[144]. - For the nine months ended September 30, 2025, Adjusted Gross Profit reached $77.95 million, compared to $44.66 million for the same period in 2024, reflecting a 74.5% year-over-year growth[144]. - The revenue attributable to Innodata Inc. and its subsidiaries for Q3 2025 was $62.5 million, compared to $51.9 million in Q3 2024, marking a 20.5% increase[144]. - The company reported a Gross Profit of $25.50 million for Q3 2025, up from $21.33 million in Q3 2024, which is a 19.5% increase[144]. - Total revenues increased to $62.6 million for the three months ended September 30, 2025, up from $52.2 million in 2024, representing a growth of approximately 20%[150]. - Adjusted EBITDA for the consolidated entity was $16.2 million for Q3 2025, compared to $13.9 million in Q3 2024, reflecting a significant increase in operational performance[148]. - Net income decreased by $9.1 million to $8.3 million, attributed to higher income tax provision and increased operating costs[175]. - Total revenues increased by $68.0 million or approximately 61% to $179.3 million for the nine months ended September 30, 2025, compared to 2024[191]. - Net income increased by $4.9 million to $23.3 million for the nine months ended September 30, 2025, attributed to higher revenues in the DDS and Agility segments[214]. Revenue Segments - DDS segment revenues rose to $54.8 million in Q3 2025, compared to $44.7 million in Q3 2024, marking an increase of about 23% driven by higher volume from existing customers[151]. - Synodex segment revenues decreased to $1.7 million in Q3 2025 from $1.9 million in Q3 2024, a decline of 11% due to the termination of a contract with one customer[152]. - Agility segment revenues grew to $6.1 million in Q3 2025, up from $5.6 million in Q3 2024, reflecting a 9% increase attributed to higher subscription volumes[153]. - Revenues from the DDS segment rose by $66.4 million or approximately 74% to $156.2 million, primarily due to higher volume from existing customers[191]. - Revenues from the Agility segment increased by $1.7 million or approximately 11% to $17.4 million, driven by higher subscription volumes[194]. Operating Costs and Expenses - Direct operating costs increased to $37.0 million in Q3 2025 from $30.9 million in Q3 2024, an increase of 20% primarily due to higher headcount[156]. - Selling and administrative expenses increased by $3.8 million or 38% to $13.7 million, with expenses as a percentage of total revenues rising from 19% to 22%[167]. - Direct operating costs increased by $36.5 million or 51% to $107.5 million, with costs as a percentage of total revenues decreasing from 64% to 60%[197]. - Selling and administrative expenses rose by $15.6 million or 57% to $42.8 million for the nine months ended September 30, 2025, driven by higher payroll and related expenses[207]. Profitability Metrics - The DDS segment's adjusted EBITDA reached $15.2 million in Q3 2025, up from $12.1 million in Q3 2024, indicating strong segment performance[148]. - The Agility segment reported an adjusted EBITDA of $854,000 for Q3 2025, compared to $1.2 million in Q3 2024, showing a decrease in profitability[148]. - Gross profit for the three months ended September 30, 2025, was $25.5 million, up from $21.3 million in 2024, with a gross margin of 41% for both periods[162]. - Gross profit for the Synodex segment decreased by $0.4 million to $0.1 million, with a gross margin decline from 25% to 7% for the three months ended September 30, 2025, compared to 2024[164]. - Gross profit for the Agility segment remained stable at $3.2 million, but gross margin decreased from 58% to 53% due to higher direct operating costs[165]. Cash Flow and Liquidity - Cash and cash equivalents increased to $73.9 million as of September 30, 2025, from $46.9 million as of December 31, 2024[229]. - Working capital rose to approximately $75.3 million as of September 30, 2025, compared to $41.5 million as of December 31, 2024, due to increased collections from higher revenues[230]. - Net cash provided by operating activities increased to $33.9 million for the nine months ended September 30, 2025, up from $17.7 million in the prior-year period[234]. - Cash used in investing activities was $8.3 million for the nine months ended September 30, 2025, compared to $5.5 million in 2024, primarily for technology equipment purchases[237]. - Cash provided by financing activities was $1.1 million for the nine months ended September 30, 2025, primarily from stock option exercises[239]. - The company maintains a revolving line of credit facility to support its liquidity needs[232]. - The company believes existing cash and internally generated funds will satisfy financial needs for at least the next 12 months[231]. Future Outlook - The company anticipates continued demand for its services, supported by existing cash and cash equivalents for at least the next 12 months[135]. - Anticipated capital expenditures for the next 12 months are approximately $11.0 million, focusing on software development and technology upgrades[238]. - No material commitments for capital expenditures were reported as of September 30, 2025[231].

Financial Performance - Operating revenues for Q3 2025 were $1,833,747, an increase of 8.3% from $1,693,323 in Q3 2024[127] - Net income attributable to Wynn Resorts, Limited for Q3 2025 was $88,341, a significant increase of 375.6% compared to a loss of $32,053 in Q3 2024[127] - Macau Operations generated $1,000,985 in revenues for Q3 2025, up 14.8% from $871,747 in Q3 2024, driven by a $115,682 increase at Wynn Palace[130] - Casino revenues for Q3 2025 were $1,174,717, representing 64.1% of total operating revenues, compared to 60.2% in Q3 2024[131] - Non-casino revenues decreased by 2.3% to $659,030 in Q3 2025, with room revenues down 5.0%[131] - Total operating revenues for the nine months ended September 30, 2025, were $5,271.9 million, a decrease of $17.2 million or 0.3% compared to $5,289.2 million in 2024[149] - Casino revenues increased to $3,266.98 million for the nine months ended September 30, 2025, representing a 3.7% increase from $3,149.17 million in 2024[150] - Non-casino revenues decreased to $2,004.96 million for the nine months ended September 30, 2025, down 6.3% from $2,139.99 million in 2024[150] Revenue Breakdown - Wynn Palace total casino revenues increased by 29.8% to $542,439,000 compared to $418,043,000 in the prior year[133] - Wynn Macau total casino revenues rose by 6.0% to $314,489,000 from $296,781,000 year-over-year[133] - Las Vegas Operations total casino revenues grew by 11.3% to $161,576,000 compared to $145,186,000 in the previous year[134] - Total room revenues in Macau Operations decreased by 23.9% to $37,396,000, primarily due to lower ADR[135] - Wynn Palace casino revenues increased by 7.4% to $1,435.25 million for the nine months ended September 30, 2025, compared to $1,336.79 million in 2024[152] - Las Vegas Operations casino revenues rose by 14.9% to $471.07 million for the nine months ended September 30, 2025, from $410.02 million in 2024[153] Expenses and Income - Operating expenses decreased by 2.4% to $1,523,258,000, driven by a reduction in property charges and other expenses[137] - Casino expenses increased by $69.6 million at Wynn Palace, attributed to higher gaming tax expenses due to increased casino revenues[138] - Food and beverage expenses rose by $7.9 million at Wynn Palace, mainly due to increased covers[139] - Interest expense decreased by $10.3 million, reflecting a reduction in the weighted average debt balance to $11.09 billion[142] - Income tax expense increased to $61.1 million for the three months ended September 30, 2025, compared to $17.1 million for the same period in 2024, reflecting a higher valuation allowance on foreign tax credit carryforwards[146] - Net income attributable to noncontrolling interests was $40.1 million for the three months ended September 30, 2025, up from $26.6 million in 2024[147] Cash Flow and Investments - Cash flows from operating activities for the nine months ended September 30, 2025, were $874.6 million, down from $947.2 million in 2024[185] - Capital expenditures for the nine months ended September 30, 2025, totaled $489.2 million, compared to $292.7 million in 2024[185] - During the nine months ended September 30, 2025, the company invested $236.1 million in the joint venture constructing Wynn Al Marjan Island[189] - The company expects to make estimated project capital expenditures of between $200 million and $250 million during 2025 related to enhancements at Macau Operations[195] - The company repurchased shares of common stock for an aggregate cost of $379.7 million during the nine months ended September 30, 2025[191] Debt and Financing - The company entered into a $2.4 billion delayed draw secured term loan facility for the development of Wynn Al Marjan Island[215] - Approximately 82% of the company's long-term debt was based on fixed rates as of September 30, 2025[221] - An assumed 100 basis point change in variable rates would result in a $19.0 million change in annual interest expense[221] - The company has foreign currency swaps with an aggregate notional amount of $4.10 billion to manage exchange rate risk[223] - An assumed 1% change in the U.S. dollar/Hong Kong dollar exchange rate would result in a gain/loss of $3.4 million to income before income taxes[224] Future Outlook - Future growth strategies include potential market expansions and new product developments, although specific details were not disclosed in the current report[116] - The company expects table games win percentage in Macau's VIP operations to remain between 3.1% and 3.4%[124] - The estimated remaining equity required for the construction of Wynn Al Marjan Island is between $500 million and $575 million, expected to open in 2027[206] - The company expects to use cash for servicing the Retail Term Loan, funding working capital, and making capital contributions to Wynn Al Marjan Island[205]

Revenue and Profitability - Total revenue for the three months ended September 30, 2025, was $8.861 million, a 9.1% increase from $8.122 million in the same period of 2024[18]. - Product revenue for the nine months ended September 30, 2025, reached $16.649 million, up 18.4% from $14.053 million in the prior year[18]. - Gross profit for the three months ended September 30, 2025, was $5.600 million, compared to $4.847 million for the same period in 2024, reflecting a 15.5% increase[18]. - For the nine months ended September 30, 2025, total revenue reached $26.561 million, up 12.3% from $23.619 million in the prior year[74]. - Revenue from biologics and drug delivery services for the three months ended September 30, 2025, was $4.402 million, slightly down from $4.431 million in 2024[72]. - Neurosurgery navigation and therapy revenue for the three months ended September 30, 2025, increased to $3.422 million from $2.860 million in 2024, representing a 19.6% growth[72]. - Capital equipment and software revenue for the three months ended September 30, 2025, totaled $1.037 million, compared to $831,000 in the same period of 2024, marking a 25% increase[72]. - The company recognized approximately $1.2 million of revenue from contract liabilities during the nine months ended September 30, 2025[77]. Losses and Expenses - The net loss for the three months ended September 30, 2025, was $5.891 million, compared to a net loss of $4.974 million in the same period of 2024, indicating a 18.4% increase in losses[18]. - For the nine months ended September 30, 2025, the company reported a net loss of $17.8 million, compared to a net loss of $13.5 million for the same period in 2024, representing a 31.5% increase in losses[27]. - Cash flows from operating activities resulted in a net cash outflow of $11.8 million for the nine months ended September 30, 2025, compared to a net cash outflow of $7.7 million for the same period in 2024, indicating a 53.2% increase in cash used[27]. - Share-based compensation expense for the three months ended September 30, 2025, was $2.022 million, compared to $1.904 million for the same period in 2024[108]. Assets and Liabilities - Total assets as of September 30, 2025, were $60.357 million, significantly higher than $39.189 million as of December 31, 2024[16]. - Total liabilities increased to $44.483 million as of September 30, 2025, compared to $13.800 million at the end of 2024[16]. - The total stockholders' equity decreased to $15.874 million as of September 30, 2025, down from $25.389 million at the end of 2024[16]. - The cumulative deficit at September 30, 2025, reached $209.1 million, highlighting ongoing financial challenges since inception[35]. Cash and Financing - Cash and cash equivalents increased to $38.221 million as of September 30, 2025, from $20.104 million at the end of 2024[16]. - The company had cash, cash equivalents, and restricted cash totaling $38.4 million at the end of the period, up from $21.6 million at the end of September 2024, reflecting a 78.1% increase[27]. - The company raised approximately $3.3 million from a stock purchase agreement in May 2025, selling 275,808 shares at $12.69 per share[38]. - The company also secured approximately $28.7 million from the issuance of notes payable under a note purchase agreement, with an initial sale of $30 million principal amount of notes[39]. - The Company entered into a 2025 NPA allowing for the sale of notes up to $105 million, with an initial sale of $30 million completed[84]. - The interest rate on the outstanding principal amount of the notes is a minimum of 8.25%, with a cap of 9.50%, and 50% of the interest due for the first six quarters will be paid-in-kind[87]. - The company expects to access an additional $20.0 million in funding to support integration activities and new growth initiatives following the merger[119]. Customer and Market Insights - The company has over 60 biologics and drug delivery customers currently evaluating or using its products and services, indicating a growing market opportunity[33]. - One pharmaceutical customer accounted for 8% of total sales for the three and nine months ended September 30, 2025[63]. Legal and Compliance - The Company settled a legal contingency in August 2025, with the settlement amount covered by insurance and not materially impacting financial statements[99]. Lease and Asset Management - A new lease for a building in San Diego, California, was recorded with a right-of-use asset and operating lease liability of $3.3 million[30]. - The Company has commitments for operating leases, with aggregate lease costs of $0.4 million for the three months ended September 30, 2025[98]. - The Company has a right-of-use asset and lease liability of $3.3 million related to a new lease agreement for office and R&D space in San Diego[97]. Stock and Equity - As of September 30, 2025, the outstanding stock options totaled 1,321,179 with a weighted average exercise price of $5.78 and an intrinsic value of $21,166,000[110]. - The restricted stock awards outstanding decreased to 16,341 with a weighted average fair value of $9.77 as of September 30, 2025[111]. - The restricted stock units outstanding were 1,654,007 with a weighted average fair value of $9.16 as of September 30, 2025, after granting 638,482 units at an average fair value of $13.33[112]. - In the first offering period of 2025, 30,610 shares were purchased under the Employee Stock Purchase Plan at an average offering price of $10.15[115]. Merger and Acquisition - On November 6, 2025, the company entered into a merger agreement with IRRAS Holdings, Inc., involving $5.0 million in cash and 1,325,000 shares of common stock[118]. - The merger agreement includes earnout consideration equal to 25% of net sales of certain IRRAS products above specified thresholds during three one-year periods[118].

Operating Expenses - Archer's operating expenses for Q3 2025 totaled $174.8 million, a 43.2% increase from $122.1 million in Q3 2024[204] - General and administrative expenses increased by $21.8 million, or 67.5%, in Q3 2025 compared to Q3 2024, reflecting higher personnel costs[204] - For the nine months ended September 30, 2025, total operating expenses were $494.9 million, up 28.4% from $385.5 million in the same period of 2024[204] - General and administrative expenses increased by $21.8 million, or 67.5%, for the three months ended September 30, 2025, primarily due to a $20.5 million increase in stock-based compensation[208] - The company expects to incur additional losses and higher operating expenses for the foreseeable future[212] Research and Development - Research and development expenses rose by $30.9 million, or 34.4%, in Q3 2025 compared to Q3 2024, driven by increased personnel and stock-based compensation[206] - Research and development expenses for the nine months ended September 30, 2025, increased by $83.7 million, or 31.8%, compared to the same period in 2024[207] Net Loss - The net loss for Q3 2025 was $129.9 million, compared to a net loss of $115.3 million in Q3 2024, representing a 12.7% increase in losses[204] - Net cash used in operating activities during the nine months ended September 30, 2025 was $303.6 million, resulting from a net loss of $429.3 million[225] Cash and Investments - As of September 30, 2025, the company had cash and cash equivalents of $595.5 million and short-term investments in marketable securities of $1,045.8 million[212] - Net cash used in investing activities during the nine months ended September 30, 2025 was $1,102.6 million, driven by purchases of short-term investments in marketable securities of $1,048.1 million[227] Financing Activities - Net cash provided by financing activities during the nine months ended September 30, 2025 was $1,167.7 million, driven by gross proceeds from the registered direct offering of $1,151.8 million[228] - The company entered into a credit agreement for a loan of up to $65.0 million for the construction and development of its manufacturing facility in Covington, Georgia[213] - The company had drawn down the full $65.0 million of the loan as of September 30, 2025[214] - The company sold 3,921,875 shares of Class A common stock under the 2024 ATM Program for net proceeds of $46.3 million during the three and nine months ended September 30, 2025[215] Business Development - Archer plans to commercialize its Midnight eVTOL aircraft, with initial deployment in Abu Dhabi, UAE, as part of its Launch Edition program[188] - The company has signed agreements to acquire control of Hawthorne Airport, which will serve as an operational hub for its air taxi network in Los Angeles[194] - Archer is collaborating with Anduril Industries to develop a dual-use, hybrid VTOL autonomous aircraft for defense applications[190] Interest Income - Interest income for Q3 2025 was $16.3 million, a significant increase of 196.4% from $5.5 million in Q3 2024[204] - Interest income, net increased by $10.8 million, or 196.4%, for the three months ended September 30, 2025, primarily due to increased cash and cash equivalents[211]

Financial Performance - Net sales for the three months ended September 30, 2025, decreased by $8.1 million, or 10.3%, compared to the same period in 2024, totaling $70.7 million[107]. - Net sales for the nine months ended September 30, 2025 decreased by $32.4 million, or 12.9%, compared to the same period in 2024, with Delivery Systems sales down by $35.2 million, or 35.7%[118]. - Consumables net sales increased by $2.8 million, or 1.9%, for the nine months ended September 30, 2025, primarily due to increased placements of Delivery Systems[119]. - The net loss for the nine months ended September 30, 2025, was $1.4 million, an improvement from a loss of $18.8 million in 2024[147]. Sales Breakdown - Delivery Systems net sales fell by $6.8 million, or 24.6%, to $20.8 million, while Consumables net sales decreased by $1.4 million, or 2.6%, to $49.8 million[107]. - The transition to a distributor partner in China impacted Consumables net sales, although excluding this effect, sales increased slightly[108]. Profitability - Gross profit increased by $5.0 million, or 12.3%, to $45.6 million, with a gross margin improvement to 64.6% from 51.6%[109]. - Gross profit for the nine months ended September 30, 2025 was $143.3 million, an increase of $13.4 million, or 10.3%, compared to $130.0 million in 2024, with gross margin improving to 65.6% from 51.8%[120]. Expenses - Selling and marketing expenses decreased by $6.7 million, or 24.2%, to $20.9 million, representing 29.6% of net sales[110]. - Total operating expenses decreased by $26.3 million, or 13.8%, to $164.3 million for the nine months ended September 30, 2025, driven by lower selling and marketing expenses[121]. - Selling and marketing expenses decreased by $21.7 million, or 23.7%, to $70.1 million, representing 32.1% of net sales compared to 36.6% in 2024[121]. - Research and development expenses rose by $0.6 million, or 53.2%, to $1.7 million, accounting for 2.4% of net sales[111]. - Research and development expenses decreased by $1.1 million, or 22.2%, to $3.9 million, representing 1.8% of net sales compared to 2.0% in 2024[122]. - General and administrative expenses decreased by $4.2 million, or 12.5%, to $29.3 million, making up 41.4% of net sales[112]. - General and administrative expenses decreased by $3.4 million, or 3.7%, to $90.3 million, representing 41.3% of net sales compared to 37.4% in 2024[123]. Interest and Debt - Interest expense increased by $3.8 million, or 155.7%, to $6.3 million, primarily due to debt issuance costs related to the 2028 Notes[115]. - Interest expense increased by $5.0 million, or 63.0%, to $13.0 million for the nine months ended September 30, 2025, primarily due to interest and amortization of debt issuance costs related to the 2028 Notes[126]. - The Company exchanged and repurchased $413.2 million of existing notes, resulting in a net gain of $16.6 million[139]. - The 2028 Notes were issued at a weighted-average price of 95%, totaling $250.0 million principal amount[140]. - The Company incurred $11.4 million in debt issuance costs related to the exchange and repurchase of its existing notes, amortized over the term of the 2028 Notes[139]. Cash Flow and Liquidity - As of September 30, 2025, the company had cash, cash equivalents, and restricted cash totaling $219.4 million[130]. - Net cash provided by operating activities for the nine months ended September 30, 2025, was $22.3 million, compared to a net cash used of $0.3 million in the same period of 2024[148]. - Net cash used for financing activities was $174.4 million for the nine months ended September 30, 2025, compared to $157.6 million in 2024[150]. - Cash, cash equivalents, and restricted cash at the end of the period were $219.4 million, down from $358.9 million in the previous year[147]. - Cash used for investing activities decreased to $3.8 million in 2025 from $5.9 million in 2024, attributed to lower capital expenditures[149]. Strategic Outlook - The company continues to explore strategies to mitigate cost pressures, including potential price increases and optimizing supplier contracts[101]. - The company remains attentive to macroeconomic conditions that may impact its business and is implementing risk mitigation strategies[102]. - The Company faced macroeconomic challenges, including potential recession and financial market instability, which could adversely impact revenues[144]. - The Company continues to monitor risks that may affect its business, including industry consolidations and economic conditions[145]. - The company plans to evaluate potential acquisitions and may use available cash for such transactions, which could require substantial capital resources[132].

Financial Performance - Gross contract revenue for Q3 2025 was $126.0 million, a year-over-year increase of 10.6% from $113.9 million in Q3 2024[155]. - Net income for Q3 2025 was $6.6 million, compared to $0.8 million in Q3 2024, reflecting significant improvement in profitability[155]. - Adjusted EBITDA for Q3 2025 was $18.3 million, up from $17.0 million in Q3 2024, indicating strong operational performance[155]. - For the nine months ended September 30, 2025, gross contract revenue reached $361.1 million, representing a 15.3% increase from $313.3 million in the same period of 2024[156]. - Net income increased by $13.8 million to $10.9 million for the nine months ended September 30, 2025, compared to a net loss of $2.9 million for the same period in 2024[222]. Revenue Breakdown - Net service billing for Q3 2025 was $112.1 million, compared to $101.4 million in Q3 2024, demonstrating growth in service delivery[180]. - Revenue from transportation increased by $4.4 million or 20.2%, driven by new contract awards and acquired transportation backlog[183][184]. - Revenue from power and utilities increased by $3.9 million or 16.6%, primarily due to acquisitions and expansion of utility projects[185]. - Revenue from natural resources and imaging decreased by $0.5 million or 3.3%, with 48.9% of revenue derived from imaging and mapping activities[186]. - Revenue from the transportation sector increased by $14.5 million or 24.1% for the nine months ended September 30, 2025, attributed to new contract awards and acquired backlog[207]. - Revenue from power and utilities increased by $13.0 million or 19.6% for the nine months ended September 30, 2025, driven by acquisitions and expansion of utility projects[208]. - Revenue from natural resources and imaging markets increased by $10.0 million or 32.1% for the nine months ended September 30, 2025, primarily due to the acquisition of Surdex Corporation[210]. Cost and Expenses - Total contract costs increased by $4.8 million or 8.8% to $59.1 million, representing 46.9% of total contract revenue[188]. - Direct payroll costs increased by $3.5 million or 8.4% to $45.2 million, accounting for 76.5% of total contract costs[189]. - Selling, general and administrative expenses increased by $3.3 million or 6.4% to $55.2 million, driven by increased headcount and overhead costs[194]. - Total contract costs increased by $19.7 million or 13.1% to $170.5 million for the nine months ended September 30, 2025, representing 47.2% of total contract revenue[212]. - Direct payroll costs increased by $11.0 million or 9.3% to $129.5 million for the nine months ended September 30, 2025, accounting for 76.0% of total contract costs[213]. Profitability Metrics - Adjusted EBITDA margin for Q3 2025 was 16.3%, slightly down from 16.7% in Q3 2024, reflecting stable operational efficiency[180]. - The company’s net margin improved to 5.3% in Q3 2025, compared to 0.7% in Q3 2024, indicating better cost management[180]. - Adjusted EBITDA increased by $1.3 million or 7.8% to $18.3 million for the three months ended September 30, 2025, compared to $17.0 million for the same period in 2024[201]. - Adjusted EBITDA margin decreased slightly to 16.3% for the three months ended September 30, 2025, from 16.7% in the same period of 2024[202]. - Adjusted EBITDA rose by $10.5 million or 24.7% to $53.0 million for the nine months ended September 30, 2025, compared to $42.5 million for the same period in 2024[224]. Cash Flow and Financing - Cash and cash equivalents at the end of the period increased by $4.6 million to $16.2 million as of September 30, 2025, compared to $11.7 million at the end of 2024[231]. - Net cash provided by operating activities was $26.5 million for the nine months ended September 30, 2025, compared to $12.4 million for the same period in 2024[232]. - Net cash used in investing activities decreased by $22.2 million to $1.4 million for the nine months ended September 30, 2025, compared to $23.6 million for the same period in 2024[233]. - Net cash used in financing activities was $15.5 million for the nine months ended September 30, 2025, compared to $2.2 million provided by financing activities for the same period in 2024[234]. - The company maintained a $140.0 million Revolving Credit Facility as of September 30, 2025, with a balance of $57.0 million[235]. Strategic Initiatives - The company completed three acquisitions post-September 30, 2025, with total consideration of $7.4 million, enhancing its market position[157]. - The company is actively pursuing acquisitions as part of its strategic growth initiative, assessing multiple opportunities at various stages of due diligence[230]. - The backlog increased by $48.7 million or 12.2% to $447.7 million during the nine months ended September 30, 2025, compared to $399.0 million at December 31, 2024[226]. Market Risks and Challenges - The company faces market risks related to customer demand fluctuations and competitive pressures in the industry[246]. - The ability to retain key professionals and hire additional qualified personnel is critical for the company's growth strategy[246]. - The company is dependent on a limited number of customers, which poses a risk to revenue stability[246]. - The company must successfully execute its acquisitions strategy, including the integration of new acquisitions into operations[246]. - Changes in general economic conditions, such as inflation and interest rates, could materially impact the company's performance[246].

Customer Base and Services - The company serves approximately 4.4 million residential and business customers across 21 states, with a total of 9.9 million passings as of September 30, 2025[142]. - For the nine months ended September 30, 2025, residential broadband, video, telephony, and mobile services accounted for approximately 41%, 31%, 3%, and 2% of consolidated revenue, respectively[144]. - The company derives 17% of its consolidated revenue from business services, including broadband, telephony, networking, video, and mobile services[146]. - Total customer relationships as of September 30, 2025, were 4,400.5 thousand, down from 4,462.2 thousand as of June 30, 2025[158]. - Total mobile lines as of September 30, 2025, increased to 584.4 thousand from 546.4 thousand as of June 30, 2025[158]. - Penetration of total passings for residential customers was 44.3% as of September 30, 2025, down from 45.1% as of June 30, 2025[158]. Financial Performance - Total revenue for the three months ended September 30, 2025, was $2,108.1 million, a decrease of 5.4% compared to $2,227.7 million in the same period of 2024[156]. - Net loss attributable to Altice USA, Inc. stockholders for the three months ended September 30, 2025, was $1,625.9 million, compared to a net loss of $42.97 million in the same period of 2024[156]. - Adjusted EBITDA for the three months ended September 30, 2025, was $830.7 million, a decrease of 3.6% from $862.0 million in the same period of 2024[157]. - Total revenue for the nine months ended September 30, 2025, was $6,407.6 million, a decrease of 4.6% from $6,719.4 million in the same period of 2024[156]. - Operating income for the three months ended September 30, 2025, was $(1,164.8) million, compared to an operating income of $444.6 million in the same period of 2024[156]. - Adjusted EBITDA decreased by $31,319 (4%) to $830,657 for Q3 2025, and by $142,225 (6%) to $2,433,483 for the nine months ended September 30, 2025, compared to the same periods in 2024[182]. Revenue Breakdown - Broadband revenue decreased by $39,968 (4%) to $873,449 for Q3 2025, and by $87,251 (3%) to $2,658,149 for the nine months ended September 30, 2025, compared to the same periods in 2024[159]. - Video revenue decreased by $69,910 (10%) to $645,207 for Q3 2025, and by $238,841 (11%) to $1,971,315 for the nine months ended September 30, 2025, compared to the same periods in 2024[160]. - Telephony revenue decreased by $8,086 (12%) to $61,791 for Q3 2025, and by $19,709 (9%) to $192,836 for the nine months ended September 30, 2025, compared to the same periods in 2024[161]. - Mobile service revenue increased by $11,714 (38%) to $42,277 for Q3 2025, and by $33,662 (41%) to $116,597 for the nine months ended September 30, 2025, compared to the same periods in 2024[162]. - Business services and wholesale revenue decreased by $4,469 (1%) to $361,886 for Q3 2025, and by $13,287 (1%) to $1,087,219 for the nine months ended September 30, 2025, compared to the same periods in 2024[165]. - News and advertising revenue decreased by $11,819 (10%) to $105,863 for Q3 2025, and remained relatively stable for the nine months ended September 30, 2025, at $327,044[167]. - Other revenue increased by $2,948 (20%) to $17,637 for Q3 2025, and by $15,274 (39%) to $54,435 for the nine months ended September 30, 2025, compared to the same periods in 2024[168]. Cash Flow and Capital Expenditures - Free Cash Flow (Deficit) for the three months ended September 30, 2025, was $(178.1) million, compared to a positive Free Cash Flow of $76.9 million in the same period of 2024[157]. - Free Cash Flow (Deficit) was $(178,072) and $(318,267) for the three and nine months ended September 30, 2025, respectively, a decrease of $254,937 and $417,771 compared to the same periods in 2024[186]. - Net cash flows from operating activities were $148,108 for the three months ended September 30, 2025, compared to $333,595 in the same period of 2024[196]. - Capital expenditures for the three months ended September 30, 2025, were $325,520, compared to $359,159 in the same period of 2024[196]. - Net cash provided by operating activities for CSC Holdings was $750,819 for the nine months ended September 30, 2025, down from $1,040,051 in the same period of 2024[238]. - Capital expenditures on a cash basis for the nine months ended September 30, 2025, totaled $1,065,163, compared to $1,042,975 in 2024[234]. Debt and Financial Obligations - Total debt outstanding as of September 30, 2025, was $26,237,618, which includes credit facility debt of $7,549,952 and senior guaranteed notes of $10,679,227[205]. - Interest expense for the nine months ended September 30, 2025, was $1,346,621, which includes $1,252,279 from credit facility debt and senior notes[205]. - The company expects to utilize Free Cash Flow and revolving credit facilities to manage debt obligations and capital expenditures in the upcoming year[201]. - Total amounts payable related to outstanding obligations, including interest, are projected to be $32,310,872, with significant payments due in 2026 and 2027[207]. - Future refinancing transactions will depend on market conditions, which may impact the company's ability to manage its debt obligations[201]. - The net leverage ratio for CSC Holdings is calculated as net debt to L2QA EBITDA, indicating a focus on managing leverage effectively[200]. Operational Challenges and Outlook - The company faces competition from various broadband and telephony providers, impacting customer demand and service selection[148]. - Future performance is influenced by economic conditions, competition, and the ability to manage operations effectively[143]. - The company emphasizes the importance of managing capital expenditures to avoid delays and disruptions in network and service development[150]. - The ongoing FTTH network build aims to deliver multi-gig broadband speeds to meet growing data needs, alongside investments in HFC network upgrades[150]. Miscellaneous - The company recorded a gain of $55,114 from the sale of certain tower assets for $59,908 in July 2025[231]. - Commitments and contingencies decreased to approximately $4,300,000 as of September 30, 2025, down from approximately $4,900,000 as of December 31, 2024[244]. - The company reported no changes in internal control over financial reporting that materially affected its financial reporting during the nine months ended September 30, 2025[247]. - The evaluation of disclosure controls and procedures concluded that they were effective as of September 30, 2025[246].

Revenue Performance - For the three months ended September 30, 2025, total revenue was $8,497,000, a decrease of 9.7% from $9,416,000 for the same period in 2024[107]. - Total revenue for the three months ended September 30, 2025 was approximately $8.5 million, a decrease of approximately 9.8% from $9.4 million for the same period in 2024[113]. - Total revenue for the nine months ended September 30, 2025 was approximately $23.6 million, a decrease of approximately 11.0% from $26.5 million for the same period in 2024[132]. Franchise Royalties - Franchise royalties accounted for 95.4% of total revenue in Q3 2025, totaling $8,110,000, compared to 95.5% and $8,988,000 in Q3 2024[107]. - Franchise royalties for the three months ended September 30, 2025 were approximately $8.1 million, a decrease of approximately 9.8% from $9.0 million for the same period in 2024[114]. - Franchise royalties for the nine months ended September 30, 2025 were approximately $22.4 million, a decrease of approximately 10.7% from $25.0 million for the same period in 2024[133]. Net Income and EBITDA - Net income for the three months ended September 30, 2025, was $2,304,000, compared to a net loss of $2,207,000 in the same period of 2024[107]. - Adjusted EBITDA for Q3 2025 was $4,651,000, representing 54.7% of total revenue, compared to $4,926,000 or 52.3% in Q3 2024[107]. - Adjusted EBITDA for the three months ended September 30, 2025 was $4.7 million, compared to $4.9 million for the same period in 2024[111]. Operating Expenses - Selling, general, and administrative expenses for Q3 2025 were $5,070,000, representing 59.7% of total revenue, compared to 57.1% in Q3 2024[107]. - Total operating expenses for the three months ended September 30, 2025 were approximately $6.1 million, a significant decrease from $12.1 million for the same period in 2024[118]. - Total operating expenses for the nine months ended September 30, 2025 were approximately $18.6 million, a decrease of $5.8 million from $24.4 million in the same period of 2024[136]. Impairment Charges - The company reported a goodwill and intangible asset impairment charge of $230,000 for Q3 2025, significantly lower than $6,035,000 in Q3 2024[107]. - The company recorded a goodwill and intangible asset impairment charge of $330 thousand for the three months ended September 30, 2025, compared to $6.0 million for the same period in 2024[111]. Employment and Operations - The company employed approximately 65,000 temporary employees annually across various industries, including construction, healthcare, and logistics[103]. - The company operates 399 franchisee-owned offices and 1 company-owned office in 43 states and 13 countries as of September 30, 2025[103]. - The total number of offices decreased from 425 at the end of 2024 to 400 by September 30, 2025, reflecting a net closure of 25 offices[171]. Strategic Initiatives - Management is pursuing both organic growth and acquisition strategies, focusing on expanding existing client business and identifying strategic acquisitions[104]. - The company anticipates future growth opportunities through national and global account opportunities for franchisees and new franchise offerings[104]. Financial Metrics - Interest and other financing expense decreased from $268 thousand for the three months ended September 30, 2024 to $63 thousand for the same period in 2025[126]. - Cash provided by continuing operations was approximately $5.5 million for the nine months ended September 30, 2025, compared to $3.5 million in the same period of 2024[155]. - Income tax expense was approximately $362 thousand for the nine months ended September 30, 2025, with an effective tax rate of 6.9%[145]. Market Conditions - The ongoing geopolitical conflicts and economic sanctions have led to rising energy prices and inflationary pressures, potentially impacting demand for labor services[165]. - The company does not expect the recent changes in federal tax law to have a material impact on its financial position or results of operations[163]. - The company is currently evaluating the potential effects of U.S. government policy shifts on its operations and market conditions[164].

Business Model and Revenue Generation - Skillz's platform enables game developers to monetize their content through multi-player competition, allowing developers to earn revenue by hosting skill-based competitions where players pay entry fees, with Skillz taking a percentage of the pool[34] - Aarki, Skillz's AI advertising technology, manages millions of mobile ad requests per second from over 10 billion devices, driving revenue growth for mobile app developers[37] - In February 2025, Skillz launched the $75 million Skillz Developer Program to provide working capital and operational support to approximately 25 games over the next three years[58] - The company enables cash prizes in 45 states and the District of Columbia, excluding Arkansas, Connecticut, Delaware, Louisiana, and South Dakota[81] - Approximately 93% of Ticketz were issued from customer participation in paid tournaments for the year ending December 31, 2024, compared to 96% for the year ending December 31, 2023[70] - For the year ended December 31, 2024, the top games Solitaire Cube and 21 Blitz accounted for 59% of revenue, with Tether contributing 45% and Big Run 26%[108] Technology and Platform Development - Skillz's proprietary platform ensures fair player matching, which is critical for maintaining trust and engagement in skill-based gaming[26] - Skillz's technology capabilities include anti-cheat and anti-fraud systems, which are essential for fostering a healthy competitive ecosystem[54] - The introduction of standardized game development platforms has resulted in a flood of game content, making it challenging for developers to monetize effectively[56] - The company actively monitors player metrics such as daily active users, crash rates, app store ratings, and support ticket issues to ensure game quality[59] - The company relies on third-party developers for game updates, and any failure to provide timely updates could negatively impact financial results[106] Financial Performance and Challenges - The company has 91 patents granted and 86 patents pending worldwide as of December 31, 2024[79] - The company has experienced net losses in each period since inception, highlighting the risks associated with its growth strategy in a competitive industry[190] - The company expects operating margins to face downward pressure due to increased competition and rising user acquisition costs[191] - As of December 31, 2024, the company had an accumulated deficit of $1,021.3 million, indicating ongoing financial challenges since inception[190] - The company has experienced interruptions in service in the past, which could impact user engagement and retention[152] Regulatory and Compliance Issues - The company has developed internal compliance programs to adhere to legal and regulatory requirements for skill-based gaming and data privacy[84] - The company is subject to indirect taxation and reporting in approximately 218 domestic and international jurisdictions[147] - Changes in tax laws or tax rulings could materially affect the company's effective tax rates and financial position[147] - Compliance with evolving privacy laws such as GDPR and CCPA has required significant operational resources and expenses[177] - The company is subject to potential fines of up to 4% of global annual revenue or €20 million for violations of GDPR[175] Market and Competitive Landscape - The global video game market size was estimated at $221.2 billion in 2024, with a projected compound annual growth rate (CAGR) of 6.5% from 2025 to 2033[55] - Competition in the entertainment industry is intense, with the company facing challenges from established and emerging competitors, which could affect user retention and market share[99] - The company faces increasing challenges and costs in acquiring players due to the competitive nature of the mobile gaming industry[117] - The company relies on the continued growth of the mobile gaming market for future success, and any decline in mobile device popularity could harm revenue[129] Risks and Legal Matters - The company is involved in ongoing litigation regarding bot misuse, which could result in reputational harm and additional legal costs[101] - Material weaknesses in internal control over financial reporting were identified as of December 31, 2023, and December 31, 2024, potentially impacting timely and accurate financial reporting[95] - The company faces potential litigation risks related to the use of third-party open source software, which could disrupt its business operations[157] - The company may incur significant costs or downtime if agreements with third-party service providers are terminated[155] Strategic Initiatives and Future Outlook - The company plans to pursue acquisitions and strategic investments, but miscalculations in value or integration challenges could materially harm its business[170] - The company’s growth strategy includes developing localized offerings for international markets, which requires significant resources and management attention[167] - The company has significant opportunities to extend marketing channels to offline media and engage in brand marketing[69] - The company expects a positive return on investment from user acquisition spending, but incorrect assumptions about user spending behavior could negatively impact operating results[119] Corporate Governance and Shareholder Matters - The Company authorized a share repurchase program with an aggregate purchase price not to exceed $65.0 million, effective for one year from August 18, 2023[210] - The average closing price of the Company's stock must remain above $1.00 over a 30-day period to comply with NYSE listing standards, or it risks delisting[211] - As of December 31, 2024, Mr. Paradise controlled 84% of the voting power of the Company's outstanding capital stock, classifying it as a "controlled company" under NYSE rules[216] - The dual class structure of the Company's common stock concentrates significant voting power with the CEO, limiting other stockholders' influence on corporate decisions[218]

Production and Revenue - Total MBoe production for Q3 2025 was 1,745 MBoe, a 11.6% increase from 1,563 MBoe in Q3 2024[84] - Oil production for Q3 2025 was 344 MBbls, up 49% from 231 MBbls in Q3 2024[89] - Average daily total volumes increased to 19.0 MBoe/d in Q3 2025, compared to 17.0 MBoe/d in Q3 2024[89] - Oil revenues increased by $5.54 million to $22.42 million for the three months ended September 30, 2025, compared to $16.87 million in 2024[88] - Natural gas revenues rose by $4.17 million to $8.52 million for the three months ended September 30, 2025, compared to $4.35 million in 2024[88] - Total revenues for the three months ended September 30, 2025, were $39.82 million, an increase of 32.4% compared to $30.06 million in the same period of 2024[88] - Oil revenues for Q3 2025 were $39,822,000, up from $30,057,000 in Q3 2024, reflecting a 32.5% increase[91] Expenses and Financial Performance - Total operating expenses for Q3 2025 were $24,104,000, an increase of 15.5% from $20,867,000 in Q3 2024[92] - Lease operating expenses for Q3 2025 were $10.91 million, an increase from $9.10 million in Q3 2024[92] - General and administrative expenses increased by $0.43 million to $2.74 million for the three months ended September 30, 2025, compared to $2.30 million in 2024[99] - Lease operating expenses per Boe increased to $6.25 in Q3 2025 from $5.82 in Q3 2024[92] - General and administrative expenses rose to $2,737,000 in Q3 2025, up from $2,304,000 in Q3 2024, a 18.8% increase[99] Cash Flow and Capital Expenditures - Cash flows from operating activities increased to $68.45 million for the nine months ended September 30, 2025, up from $47.94 million in 2024[107] - Capital expenditures for the nine months ended September 30, 2025, totaled $50.64 million, significantly higher than $13.46 million in 2024[109] - Total capital expenditures, including acquisitions, amounted to $58.43 million for the nine months ended September 30, 2025, down from $139.41 million in 2024[109] - Cash flows used in investing activities decreased significantly to $(46.13) million for the nine months ended September 30, 2025, compared to $(138.66) million in 2024[107] - The company reported a net increase in cash and cash equivalents of $3.08 million for the nine months ended September 30, 2025, contrasting with a net decrease of $(159.86) million in 2024[107] Debt and Working Capital - The company had no outstanding term or revolving debt obligations as of September 30, 2025[103] - Working capital increased to $73.8 million at September 30, 2025, compared to $67.1 million at December 31, 2024[105] - Cash and cash equivalents as of September 30, 2025, totaled $102.6 million, with no outstanding debt obligations[103] Strategic Focus and Future Outlook - The company is focused on one-rig development in the Cherokee Shale Play and evaluating merger and acquisition opportunities[85] - Total leasehold position is approximately 95% held by production, supporting future development[85] - The company plans to adjust capital activity based on commodity prices and project results to optimize returns[85] - The estimated SEC prices for the fourth quarter of 2025 are projected to be $65.45 per barrel of oil and $3.33 per MMBtu of natural gas[97] Shareholder Returns - The company paid total cash dividends of $165.9 million since 2023, equating to $4.48 per share in total dividends, which includes $3.50 per share in special dividends and $0.98 per share in quarterly dividends[110]