Financial Performance - Net earnings attributable to common shareholders for Q4 2025 were $190.89 million, or $0.87 per diluted share, compared to $205.75 million, or $0.91 per diluted share in Q4 2024[2]. - Adjusted net earnings attributable to common shareholders for Q4 2025 were $213.46 million, or $0.96 per diluted share, reflecting a strong performance despite a $30 million markdown related to Point Bonita[4]. - Total net revenues for Q4 2025 were $2.07 billion, up 5.7% from $1.96 billion in Q4 2024, driven by a 20% increase in Investment Banking net revenues[2][4]. - Investment Banking net revenues reached $1.19 billion in Q4 2025, a 20% increase year-over-year, with strong performance in Advisory services[5][12]. - Capital Markets net revenues were $692 million, up 6% from the prior year quarter, with Equities net revenues growing 18%[6][12]. - Asset Management net revenues were $186.99 million, down from $314.75 million in Q4 2024, primarily due to a pre-tax loss of $30 million related to Point Bonita[7][12]. - Net earnings attributable to common shareholders for the three months ended November 30, 2025, were $190,890, compared to $205,746 in the prior year, a decrease of 7.2%[21]. - Adjusted net earnings attributable to common shareholders for the three months ended November 30, 2025, were $213,460, compared to $205,747 in 2024, an increase of 3.3%[24]. Shareholder Returns - The company declared a quarterly cash dividend of $0.40 per common share, payable on February 27, 2026[3]. - Preferred stock dividends for the year ended November 30, 2025, were $79.68 million, an increase from $74.11 million in 2024[25]. Tax and Expenses - The effective tax rate from continuing operations was 14.8%, significantly lower than 28.2% in the prior year quarter, primarily due to the resolution of certain tax matters[13]. - Compensation and benefits expense as a percentage of net revenues increased to 52.2%, compared to 50.2% for the prior year quarter[4]. - Non-compensation expenses as a percentage of net revenues rose to 35.5%, up from 34.2% in the prior year quarter, reflecting increased brokerage and clearing fees due to higher equities trading volumes[4]. Asset and Leverage Metrics - Total assets as of November 30, 2025, were $76,012,000, compared to $64,360,000 in the prior year, reflecting a growth of 18.1%[20]. - The leverage ratio increased to 7.1 from 6.3 in the prior year, indicating a higher level of debt relative to equity[20]. Market Strategy - Jefferies is focused on technology investments to enhance productivity and client solutions, aiming for long-term growth and market share gains[8]. Adjusted Metrics - The return on adjusted tangible shareholders' equity from continuing operations was 11.8%, with an adjusted return of 12.9% after excluding the impact of the Point Bonita markdown[4][13]. - Adjusted net earnings excluding Point Bonita loss for Q4 2025 were $249.09 million, up 7.1% from $232.44 million in Q4 2024[25]. - The adjusted return on adjusted tangible shareholders' equity from continuing operations for Q4 2025 was 12.9%, compared to 12.7% in Q4 2024[25]. - Adjusted tangible book value increased to $8.65 billion in Q4 2025, up 5.3% from $8.22 billion in Q4 2024[26]. Trading and Risk Metrics - The number of trading days for the three months ended November 30, 2025, was 63, consistent with the same period in 2024[20]. - The average Value at Risk (VaR) for the three months ended November 30, 2025, was $9.50 million, down from $10.45 million in the prior quarter[20].

Revenue Performance - Consolidated revenue for Q1 FY2026 was $64.0 million, down from $69.1 million in Q1 FY2025, reflecting a decrease of approximately 4% year-over-year[5] - Enterprise Division revenue totaled $47.5 million, a decline from $51.6 million in the prior year, impacted by a $3.9 million decrease in North America segment revenue[5] - Consolidated revenue for the quarter ended November 30, 2025, was $64,045 million, a decrease of 7.4% from $69,086 million in the same quarter of 2024[23] Profitability - The company reported a net loss of $3.3 million, or $(0.27) per share, compared to a net income of $1.2 million, or $0.09 per diluted share, in Q1 FY2025[5] - Adjusted EBITDA for Q1 FY2026 was $3.7 million, down from $7.7 million in the prior year, reflecting a margin of 5.7% compared to 11.1%[5][21] - Adjusted EBITDA for the consolidated segment was $3,682 million, a significant decline of 52.0% compared to $7,674 million in the prior year[23] - Net income for the quarter was a loss of $3,289 million, compared to a profit of $1,181 million in the same quarter of 2024[27] Cash and Liquidity - Cash and cash equivalents totaled $17.5 million, a decrease from $53.3 million as of November 30, 2024[10] - Free cash flow for the quarter was negative at $(3,652) million, compared to positive $11,391 million in the same quarter of 2024[27] - Cash and cash equivalents decreased to $17,525 million from $31,698 million, a decline of 44.5%[25] Deferred Revenue and Customer Deposits - Deferred subscription revenue rose to $100.2 million, up 5% year-over-year[5] - Deferred revenue decreased to $96,010 million from $106,534 million, a decrease of 9.9%[25] - The company reported a significant increase in customer deposits, rising to $24,971 million from $16,327 million, an increase of 53.5%[25] Guidance and Future Outlook - Fiscal 2026 guidance includes total revenue expected in the range of $265 million to $275 million and Adjusted EBITDA in the range of $28 million to $33 million[11] - The company anticipates a return to growth in both revenue and Adjusted EBITDA in FY2026, driven by its go-to-market transformation and cost reduction actions[7] Assets and Liabilities - Total current assets decreased to $109,024 million from $129,477 million, reflecting a decline of 15.9%[25] - Total liabilities decreased to $167,251 million from $176,001 million, a reduction of 5.0%[25]

Financial Performance - Total sales reached $425.7 million, an increase of 5.5% compared to the prior year[4] - Adjusted EBITDA was $91.2 million, representing 21.4% of sales, compared to 22.5% in the prior year[6] - Adjusted diluted EPS increased to $1.52, up 9.4% year-over-year[6] - Net income rose to $41.1 million, a 22.2% increase from the previous year[6] - Net cash provided by operating activities for the nine months ended November 30, 2025, was $452.9 million, significantly higher than $185.6 million in 2024[27] - Adjusted net income for the nine months ended November 30, 2025, was $301.3 million, compared to $108.6 million in 2024[34] - Net income for the three months ended November 30, 2024, was $33,603, compared to a net loss of $57,105 in the previous period[37] - For the nine months ended November 30, 2025, net income reached $301,329, a substantial increase from a net loss of $196,213 in the prior year[38] Sales and Revenue - Metal Coatings sales grew by 15.7% to $195.0 million, driven by infrastructure-related project spending[7] - Precoat Metals sales decreased by 1.8% to $230.7 million due to weaker demand in certain end markets[8] - Total sales for the three months ended November 30, 2025, reached $425.7 million, a 5.4% increase from $403.7 million in the same period of 2024[23] Cash Flow and Assets - Cash provided by operating activities was $79.7 million, up 20% from last year[6] - Current assets increased to $400.8 million as of November 30, 2025, compared to $375.4 million as of February 28, 2025[25] - Cash and cash equivalents at the end of the period were $623,000, down from $1.5 million at the beginning of the period[27] Debt and Leverage - The company reduced debt by $35 million, achieving a net leverage ratio of 1.6x[5] - Long-term debt decreased to $534.7 million as of November 30, 2025, from $852.4 million as of February 28, 2025[25] - The company reported a gross debt of $574,875 as of November 30, 2025, with a net leverage ratio of 1.6x, indicating improved financial stability[40] Guidance and Future Plans - Fiscal Year 2026 guidance for sales is narrowed to a range of $1.625 - $1.7 billion[12] - Capital expenditures for the fiscal year are expected to be approximately $60 - $80 million[9] - The company plans to continue focusing on restructuring efforts and operational efficiencies to enhance future performance[40] Operational Performance - The company recorded a total segment adjusted EBITDA of $323.6 million for the nine months ended November 30, 2025, compared to $317.4 million in 2024[23] - Adjusted EBITDA for the three months ended November 30, 2025, was $91.2 million, slightly up from $90.7 million in the prior year[35] - Adjusted EBITDA for the nine months ended November 30, 2025, was $286,304, reflecting strong operational performance despite restructuring charges[38] - Depreciation and amortization expenses for the nine months ended November 30, 2025, totaled $66,976, up from $61,383 in the previous year[38] - Interest expense for the nine months ended November 30, 2025, was $44,434, compared to $63,906 in the prior year, showing a reduction in financing costs[38] Adjustments and Other Expenses - The company recognized a significant adjustment of $(226,843) related to equity in earnings from the AVAIL joint venture, impacting overall profitability[38] - Legal settlements and accruals accounted for $3,483 in expenses during the three months ended November 30, 2024[37]

Financial Performance - Net merchandise sales increased by 10.6% to $1.35 billion in Q1 FY2026 compared to $1.22 billion in Q1 FY2025[3] - Total revenues for Q1 FY2026 rose by 9.9% to $1.38 billion from $1.26 billion in the same period last year[3] - Operating income for Q1 FY2026 was $62.9 million, up from $58.3 million in the prior-year period[6] - Net income increased by 7.3% to $40.2 million, or $1.29 per diluted share, compared to $37.4 million, or $1.21 per diluted share, in Q1 FY2025[6] - Adjusted EBITDA for Q1 FY2026 was $86.9 million, compared to $79.1 million in the same period last year[6] - Adjusted EBITDA for the three months ended November 30, 2025, was $86,904,000, compared to $79,117,000 for the same period in 2024, reflecting an increase of approximately 9.0%[17] Sales Growth - Comparable net merchandise sales for clubs open for more than 13.5 months increased by 8.0% for the 13-week period ended November 30, 2025[5] - Net merchandise sales for the three months ended November 30, 2025, reached $1,353,796,000, representing a growth rate of 10.6%[19] - Net merchandise sales on a constant-currency basis for the same period was $1,339,980,000, indicating a growth of 9.5%[19] - Comparable net merchandise sales growth rate for the three months ended November 30, 2025, was 8.0%[19] - Comparable net merchandise sales on a constant-currency basis grew by 6.9%[19] Foreign Currency Impact - Foreign currency exchange rate fluctuations positively impacted net merchandise sales by $13.8 million, or 1.1%[3] - The favorable impact of foreign currency exchange on net merchandise sales was $13,816,000, contributing 1.1% to the growth[19] Operational Expansion - The company plans to open its tenth warehouse club in Ciudad Quesada, Costa Rica, in fall 2026[7] - PriceSmart operates 56 warehouse clubs as of November 30, 2025, an increase from 54 clubs a year earlier[4] - The company anticipates operating 60 warehouse clubs once the new clubs in Costa Rica and the Dominican Republic are opened[10] Expenses - Interest expense increased to $4,420,000 in Q4 2025 from $2,695,000 in Q4 2024[17] - Provision for income taxes rose to $15,529,000 in Q4 2025, compared to $13,496,000 in Q4 2024[17] - Depreciation and amortization expenses increased to $23,977,000 in Q4 2025 from $20,862,000 in Q4 2024[17] - Other expenses, net, amounted to $5,761,000 for the three months ended November 30, 2025, down from $6,856,000 in the same period of 2024[17]

Financial Performance - For the nine months ended November 30, 2025, net income was $301.3 million, significantly impacted by equity in earnings from the AVAIL JV and increased demand in utilities, construction, and consumer industries [144]. - Consolidated sales for the quarter ended November 30, 2025, increased by $22.1 million, or 5.5%, compared to the prior year quarter, reaching a total of $425 million [151]. - Operating income for the current quarter was $69.5 million, an increase of $10.9 million, or 18.7%, compared to the prior year quarter [154]. - Consolidated operating income increased by $11.6 million, or 5.9%, to $207.5 million compared to the prior year [167]. - Adjusted net income for the three months ended November 30, 2025, was $41,075,000, representing an increase from $33,603,000 in the same period of 2024, with diluted earnings per share rising from $1.12 to $1.36 [208]. - The company reported a net income of $301,329,000 for the nine months ended November 30, 2025, significantly higher than $108,624,000 for the same period in 2024 [208]. Sales and Segment Performance - Sales for the AZZ Metal Coatings segment rose by $26.4 million, or 15.7%, driven by a higher volume of steel processed, despite a $5.7 million decrease in selling price due to product mix [152]. - For the nine months ended November 30, 2025, total sales reached $1.26 billion, with the AZZ Metal Coatings segment contributing $572.2 million and the AZZ Precoat Metals segment contributing $692.8 million [161]. - Sales for the AZZ Metal Coatings segment rose by $55.4 million, or 10.7%, driven by a higher volume of steel processed [165]. - Sales for the AZZ Precoat Metals segment decreased by $16.3 million, or 2.3%, primarily due to lower volume of coil coated [166]. - Operating income for the AZZ Metal Coatings segment increased by $12.5 million, or 8.8%, due to improved sales and lower selling, general and administrative expenses [168]. Expenses and Costs - Corporate selling, general and administrative expenses decreased by $6.4 million, or 25.8%, primarily due to reductions in salaries, employee benefits, and stock-based compensation [157]. - Interest expense decreased by $7.0 million to $12.2 million, attributed to a reduction in the weighted average debt outstanding and interest rates [158]. - Corporate selling, general and administrative expenses decreased by $7.0 million, or 10.7%, primarily due to lower compensation costs [170]. - The company incurred interest expenses of $12,206,000 for the three months ended November 30, 2025, down from $19,223,000 in the same period of 2024 [209]. Equity and Investments - Equity in earnings of unconsolidated subsidiaries decreased by $8.6 million to a loss of $1.4 million, following the sale of the Electrical Products Group business by AVAIL [159]. - Equity in earnings of unconsolidated subsidiaries increased by $219.0 million to $231.4 million, due to a gain from the sale of the Electrical Products Group [172]. - For the nine months ended November 30, 2025, the company recorded $231.4 million in equity in earnings, including a net gain of $274.5 million from the sale of the Electrical Products Group [198]. Cash Flow and Liquidity - Net cash provided by operating activities was $452.9 million, driven by net income of $301.3 million [177]. - As of November 30, 2025, total liquidity was $337.1 million, consisting of $336.4 million available on the Revolving Credit Facility and $0.6 million in cash [176]. - The company has a maximum senior secured Revolving Credit Facility of $400.0 million, due May 13, 2027, with a letter of credit sub-facility of up to $100.0 million [190]. - As of November 30, 2025, total outstanding letters of credit amounted to $13.7 million, primarily for customer retention and warranty purposes [191]. Capital Expenditures and Investments - A new aluminum coil coating facility in Washington, Missouri, became operational in Q1 fiscal 2026, with total capital expenditures expected to be approximately $121.8 million [194]. - The company received a cash distribution of $273.2 million from the AVAIL JV during Q1 fiscal 2026, resulting in a gain of $165.8 million after reducing the investment to zero [196]. - The company recorded an impairment charge of $45.9 million on its investment in the AVAIL JV during Q2 fiscal 2026 due to a decline in fair value [197]. Market Risks and Taxation - The company has exposure to commodity price increases, particularly in zinc and natural gas, and employs strategies to mitigate these risks [199]. - The effective tax rate for the current quarter was 26.1%, slightly down from 26.5% in the prior year quarter, influenced by higher tax deductions for stock compensation [160]. - The company’s income tax expense for the three months ended November 30, 2025, was $14,485,000, compared to $12,114,000 in the same period of 2024 [209]. - The company has not reported any material changes to its market risk disclosures during the three and nine months ended November 30, 2025 [216]. Shareholder Activities - During the nine months ended November 30, 2025, the company repurchased 201,416 shares for $20.0 million at an average price of $99.28, with $33.2 million remaining under the 2020 Share Authorization [199]. - The company reported a total of 30,198,000 diluted shares outstanding for the adjusted earnings per share calculation for the three months ended November 30, 2025 [208].

Expansion and Operations - As of November 30, 2025, PriceSmart operates 56 warehouse clubs across Central America, the Caribbean, and Colombia, with plans to expand into Chile[166]. - In fiscal year 2026, PriceSmart plans to open new warehouse clubs in the Dominican Republic, Jamaica, and Costa Rica, increasing its total to 60 clubs[171][172][173][175]. - PriceSmart is actively pursuing expansion opportunities in Chile, with executory agreements for two potential sites for new warehouse clubs[176]. - The company is enhancing its distribution and logistics network with new distribution centers planned in Trinidad, Colombia, and the Dominican Republic during fiscal year 2026[194]. - The company operated 56 warehouse clubs as of November 30, 2025, compared to 54 clubs a year earlier[199]. Financial Performance - Total revenues increased by 9.9% compared to the prior year period[199]. - Net merchandise sales rose by 10.6% year-over-year, reaching $1,353.8 million[203]. - Membership income increased by 15.9% to $23.4 million compared to the prior year[199]. - Adjusted EBITDA for the first quarter of fiscal year 2026 was $86.9 million, up from $79.1 million in the same period last year[200]. - Operating income increased by 8.0% to $62.9 million compared to the first quarter of fiscal year 2025[199]. - Comparable net merchandise sales increased by 8.0% for the thirteen weeks ended November 30, 2025[212]. - Total revenues for the three months ended November 30, 2025, were $1.38 billion, reflecting a 9.9% increase from $1.26 billion in the prior year[230]. Membership and Customer Engagement - The company has over 2 million membership accounts and 4 million cardholders, indicating strong customer engagement in its markets[166]. - Platinum Membership accounts increased to 19.3% of the total membership base as of November 30, 2025, up from 14.0% as of November 30, 2024, contributing to revenue growth[195]. - The number of member accounts increased by 6.7% year-over-year, reaching a total of 2,039,558 accounts as of November 30, 2025[223]. - Membership accounts for the Central America segment increased by 7.1%, contributing $13.5 million to membership income[223]. - The Colombian segment's membership income surged by 32.4% to $3.94 million, driven by currency appreciation and increased accounts[223]. Currency and Taxation - Approximately 80.9% of net merchandise sales in the first quarter of fiscal year 2026 were in currencies other than the U.S. dollar, highlighting exposure to currency fluctuations[179]. - The company experienced a 15% devaluation of the Colombian currency during fiscal year 2023, impacting its gross margin percentage[180]. - The company continues to monitor the impact of recent U.S. tax legislation, the One Big Beautiful Bill Act, on its operations and effective tax rate[187][188]. - In fiscal year 2023, the company recorded a $7.2 million charge to settle a minimum tax payment dispute due to changes in tax laws in one of its operating countries[189]. - The effective tax rate increased to 27.9% from 26.5% in the prior year, mainly due to non-recurring items[199]. Community and Philanthropy - PriceSmart is committed to improving community welfare, providing school supplies to approximately 140,000 children through its philanthropic initiatives[168]. Digital and Sales Channels - Digital channel sales in the first quarter of fiscal year 2026 reached $89.8 million, representing a 29.4% year-over-year increase and accounting for 6.6% of total net merchandise sales[196]. - Private-label sales under the "Member's Selection" brand represented 27.0% of total net merchandise sales in the first quarter of fiscal year 2026, down from 27.7% in the same period of fiscal year 2025[195]. Expenses and Cash Flow - Selling, general and administrative expenses rose by 12.9%, primarily due to technology investments and CEO compensation[199]. - Selling, general, and administrative expenses increased by $20.7 million, accounting for 13.1% of total revenues, up from 12.8% in the prior year[235]. - Net cash provided by operating activities was $71,245 million, an increase of $32,715 million from $38,530 million in the same period last year[256]. - Net cash used in investing activities totaled $90,267 million, a significant increase of $60,961 million compared to $29,306 million in the prior year[257]. - Capital expenditures for the three months ended November 30, 2025, were $38.6 million, with $20.1 million allocated for growth expenditures[260]. Shareholder Returns - The company declared an annual cash dividend of $1.26 per share, with $0.63 paid on February 28, 2025, and another $0.63 paid on August 29, 2025[259]. - The company expects to continue repurchasing shares related to employee stock awards at the prior day's closing price[265]. Risk Factors - The company faces risks from political instability, as seen with recent protests in Panama and Guatemala affecting access to warehouse clubs[181]. - The company has entered into financing transactions to provide its Trinidad subsidiary with additional U.S. dollar liquidity to meet operational needs due to ongoing foreign exchange illiquidity[190]. - The company’s tax returns are subject to routine reviews by taxing authorities, which may challenge interpretations used to calculate tax liabilities[269].

Earnings Guidance - For Q4 2025, AbbVie expects GAAP and adjusted non-GAAP earnings to include a pre-tax expense of $1.3 billion related to acquired IPR&D and milestones, negatively impacting earnings per share by $0.71[5] - The full-year adjusted diluted earnings per share guidance for 2025 is projected to be between $9.90 and $9.94, including the impact of the fourth quarter expenses[6] - The fourth quarter adjusted diluted earnings per share guidance is estimated to be between $2.61 and $2.65, factoring in the acquired IPR&D and milestones expense[6] Risk Factors - AbbVie does not forecast future acquired IPR&D and milestones expenses due to the uncertainty of timing and occurrence of related transactions[6] - The report includes forward-looking statements that are subject to various risks and uncertainties, including competition and regulatory changes[9] - AbbVie has filed its 2024 Annual Report on Form 10-K, which outlines additional risk factors that may affect its operations[9]

Financial Performance - Reported net sales for Q3 FY2026 were $2,223 million, a decline of 10% year-over-year[1] - Comparable diluted EPS for Q3 FY2026 was $3.06, down 6% from the previous year[1] - Fiscal 2026 reported EPS outlook is updated to $9.72 - $10.02, with comparable EPS outlook affirmed at $11.30 - $11.60[6] - Consolidated net sales for the three months ended November 30, 2025, were $2,222.8 million, a decrease of 10% compared to $2,463.8 million for the same period in 2024[46] - Gross profit for the three months ended November 30, 2025, was $1,183.2 million, down 8% from $1,284.3 million in the prior year[46] - Operating income for the three months ended November 30, 2025, was $692.0 million, a 13% decline from $793.0 million in 2024, while operating margin decreased to 31.1% from 32.2%[46] - Net income attributable to CBI for the three months ended November 30, 2025, was $502.8 million, an 18% decrease from $615.9 million in 2024[48] - Comparable EPS for the three months ended November 30, 2025, was $3.06, a 6% decline from $3.25 in the same period last year[48] - The company reported a significant increase in operating income for the nine months ended November 30, 2025, reaching $2,279.8 million, compared to $505.2 million in 2024, marking a 351% increase[46] - The company experienced a 10% decrease in gross profit for the nine months ended November 30, 2025, totaling $3,759.8 million, down from $4,199.9 million in 2024[46] Shareholder Returns - The company returned nearly $1.4 billion to shareholders through share repurchases and maintained a ~30% dividend payout ratio[5] - The company declared cash dividends of $1.02 per common share for the three months ended November 30, 2025, slightly up from $1.01 in the same period of 2024[34] - Dividends paid during the nine months ended November 30, 2025, totaled $(538.8) million, slightly down from $(551.3) million in the previous year[38] Cash Flow and Liquidity - Year-to-date operating cash flow reached $2.1 billion, with free cash flow of $1.45 billion[6] - Cash and cash equivalents increased to $152.4 million as of November 30, 2025, compared to $68.1 million as of February 28, 2025, an increase of 123.4%[32] - The company reported a net cash provided by operating activities of $2,106.2 million for the nine months ended November 30, 2025, compared to $2,557.5 million for the same period in 2024, a decrease of 17.6%[36] - For the nine months ended November 30, 2025, net cash provided by operating activities was reported at $2.106 billion, down from $2.557 billion in the prior year[71] Business Segments Performance - The Beer Business gained dollar and volume share, outperforming the total beverage alcohol category by nearly 0.5 percentage points[6] - Wine and Spirits net sales declined 51%, driven by a 70.6% decrease in shipment volumes due to divestitures[15] - Beer net sales for the three months ended November 30, 2025, were $2,009.7 million, a decline of 1% from $2,032.4 million in 2024[41] - Wine and Spirits net sales for the three months ended November 30, 2025, were $213.1 million, a significant drop of 51% compared to $431.4 million in 2024[41] - Wine net sales dropped 53% to $174.5 million for the three months ended November 30, 2025, compared to $374.6 million in 2024[46] - Spirits net sales decreased by 32% to $38.6 million for the three months ended November 30, 2025, down from $56.8 million in the previous year[46] Strategic Initiatives - The company anticipates potential impacts from its acquisition and divestiture strategies, including the 2025 Wine Divestitures, which may affect future performance[30] - The company completed the sale of the SVEDKA brand on January 6, 2025, and the 2025 Wine Divestitures on June 2, 2025, impacting net sales[40] - The company recognized costs related to the 2025 Restructuring Initiative aimed at optimizing business performance, with an estimated cost of $73 million for the year ending February 28, 2026[54][66] - The company incurred strategic business reconfiguration costs of $6 million as part of its efforts to streamline operations[66] Asset and Liability Management - Total current assets decreased to $2,909.1 million as of November 30, 2025, from $3,716.4 million as of February 28, 2025, a decline of 21.7%[32] - Total liabilities decreased to $13,683.1 million as of November 30, 2025, from $14,517.5 million as of February 28, 2025, a reduction of 5.8%[32] - Cash and cash equivalents at the end of the period were $152.4 million, an increase from $73.7 million at the end of the previous year[38] Impairments and Losses - The company experienced a goodwill impairment of $2,250.0 million in the nine months ended November 30, 2024, which significantly impacted net income for that period[34] - The company reported a goodwill impairment related to negative trends in the Wine and Spirits business, impacting financial results significantly[58] - A net loss of $1.1 million was recorded from the sale of assets for the three months ended November 30, 2025, while a net gain of $3.0 million was reported for the nine months ended November 30, 2024[59] - The company recognized a loss of $20.7 million related to foreign currency as a result of tax examinations and assessments[59] Future Guidance - Free cash flow guidance for the year ending February 28, 2026, is projected to be between $1.3 billion and $1.4 billion, with net cash provided by operating activities estimated at $2.5 billion to $2.6 billion[71] - Operating income (GAAP) guidance for the year ending February 28, 2026, is set between $2.685 billion and $2.756 billion, reflecting a significant increase from the previous year[66]

Financial Performance - Net sales for the 12 weeks ended November 29, 2025, were $19,123.7 million, an increase of 1.9% compared to $18,774.5 million for the same period in 2024[9] - Operating income for the 12 weeks ended November 29, 2025, was $489.7 million, a decrease of 5.5% from $518.5 million in the same period of 2024[9] - Net income for the 40 weeks ended November 29, 2025, was $698.2 million, down 11.2% from $786.8 million in 2024[11] - Retail segment sales for the 12 weeks ended November 29, 2025, were $18,926.9 million, an increase from $18,595.0 million for the same period in 2024, representing a growth of 1.8%[84] - Net income for the quarter ending September 7, 2024, was reported at $400.6 million, reflecting a strong performance[15] - The company reported a net income of $293.3 million for the 12 weeks ended November 29, 2025, compared to $400.6 million for the same period in 2024, a decline of 26.7%[88] Assets and Liabilities - Total current assets increased to $7,096.8 million as of November 29, 2025, compared to $6,559.0 million as of February 22, 2025, reflecting a growth of 8.2%[8] - Total liabilities rose to $24,591.5 million as of November 29, 2025, up from $23,369.5 million as of February 22, 2025, representing an increase of 5.2%[8] - Long-term debt and finance lease obligations increased to $8,417.0 million as of November 29, 2025, from $7,762.5 million as of February 22, 2025, an increase of 8.4%[8] - As of November 29, 2025, total stockholders' equity is $2,501.8 million, with a net income of $293.3 million for the period[13] Cash Flow and Investments - The company reported a net cash provided by operating activities of $1,649.6 million for the 40 weeks ended November 29, 2025, compared to $1,922.1 million in 2024, a decrease of 14.1%[11] - Cash and cash equivalents decreased to $195.1 million as of November 29, 2025, from $293.6 million as of February 22, 2025, a decline of 33.6%[8] - The company issued long-term debt amounting to $2,585.0 million during the 40 weeks ended November 29, 2025, compared to $50.0 million in the previous year, indicating a significant increase in financing activities[11] Shareholder Activities - The company declared cash dividends of $0.15 per common share, totaling $77.1 million in the latest quarter[13] - The Company repurchased a total of 64.1 million shares of common stock for $1,211.6 million during the 40 weeks ended November 29, 2025, including $600.0 million under an accelerated share repurchase agreement[23] - The total number of Class A Common Stock shares increased to 600,523,680, up from 594,445,268 shares as of February 24, 2024[15] Tax and Expenses - The effective tax rate for the 12 weeks ended November 29, 2025, was 22.3%, up from 3.5% for the same period in 2024, primarily due to state income taxes and the absence of discrete state income tax benefits recognized in the prior year[24] - Employee costs for the 40 weeks ended November 29, 2025, totaled $9,166.4 million, an increase from $8,956.2 million in the prior year, reflecting a rise of 2.3%[84] - Merchandise costs, including advertising, distribution, and freight, for the 40 weeks ended November 29, 2025, were $44,500.9 million, compared to $43,379.7 million in 2024, an increase of 2.6%[84] Legal and Regulatory Issues - The Company is facing allegations of overcharging federal government healthcare programs, with claims exceeding $100 million before trebling and excluding penalties[63] - The U.S. Supreme Court issued an opinion adverse to the Company on June 1, 2023, reversing lower court rulings in the Proctor and Schutte cases[60] - The District Court set a pretrial conference for the Schutte case on March 4, 2024, with a trial date of April 29, 2024[61] - The Company recorded a liability of $21.5 million for settlements related to opioid litigation in New Mexico and Nevada, which was paid by insurers in Q4 of fiscal 2022[68] - The Company is vigorously defending claims in approximately 81 lawsuits related to the opioid epidemic, with ongoing discovery in some cases[67] Inventory and Cost Management - The Company recorded a LIFO expense of $13.2 million for the 12 weeks ended November 29, 2025, compared to $3.5 million for the same period in 2024, indicating a significant increase in inventory costs[20] - The Company’s inventories consist primarily of finished goods, with LIFO inventory costs based on management's estimates of expected year-end inventory levels and inflation rates[20] Comprehensive Income - Total comprehensive income for the 40 weeks ended November 29, 2025, was impacted by a current-period other comprehensive loss of $15.8 million, compared to a gain of $2.9 million in the prior year[79] - The ending accumulated other comprehensive income (AOCI) balance as of November 29, 2025, was $78.9 million, down from $90.9 million at the end of the same period in 2024[79]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of report (Date of earliest event reported): January 7, 2026 CLEARSIGN TECHNOLOGIES CORPORATION (Exact name of registrant as specified in charter) (State or other jurisdiction of incorporation) Delaware 001-35521 26-2056298 (Commission File Number) (IRS Employer Identification No.) 8023 E. 63rd Place, Suite 101 Tulsa, Oklahoma 74133 (Addr ...