UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________________ to ___________________ Commission File Number 0-16106 CLEARFIELD, INC. (Exact name of registrant as specified in its charter) Minnesota 41-1347235 (State ...

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements (unaudited)](index=4&type=section&id=Item%201.%20Financial%20Statements%20(unaudited)) The unaudited financial statements show a slight asset decrease, with six-month net income and operating cash flow significantly improving year-over-year [Consolidated Balance Sheets](index=4&type=section&id=Consolidated%20Balance%20Sheets) Total assets slightly decreased to **$3.78 billion**, while liabilities increased and partners' equity declined as of June 30, 2025 Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | **Total current assets** | $1,215,163 | $1,207,380 | $7,783 | | Property and equipment, net | $1,668,367 | $1,706,605 | ($38,238) | | **Total assets** | **$3,784,338** | **$3,788,198** | **($3,860)** | | **Total current liabilities** | $1,027,264 | $1,000,121 | $27,143 | | Senior notes | $1,270,916 | $1,186,723 | $84,193 | | **Total liabilities** | **$3,098,033** | **$3,071,585** | **$26,448** | | **Total partners' equity** | **$686,305** | **$716,613** | **($30,308)** | [Consolidated Statements of Operations](index=5&type=section&id=Consolidated%20Statements%20of%20Operations) Q2 2025 sales increased but net income decreased, while six-month sales and net income both improved year-over-year Consolidated Statements of Operations Summary (in thousands, except per unit data) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | Sales | $4,626,925 | $4,409,698 | $9,219,122 | $8,555,090 | | Gross Profit | $272,362 | $287,884 | $527,603 | $503,019 | | Operating Income | $60,066 | $83,869 | $115,953 | $109,705 | | Net Income | $25,210 | $46,149 | $43,894 | $40,547 | | Diluted EPS | $0.55 | $1.10 | $0.92 | $0.73 | [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow significantly improved to a provision of **$164.7 million**, while investing and financing activities shifted due to acquisitions and debt refinancing Six Months Ended June 30, Cash Flow Summary (in thousands) | Cash Flow Category | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $164,730 | ($158,356) | | Net cash used in investing activities | ($44,435) | ($232,174) | | Net cash (used in) provided by financing activities | ($112,406) | $385,002 | | **Increase (decrease) in cash and cash equivalents** | **$7,889** | **($5,528)** | [Notes to Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Detailed notes cover accounting policies, significant 2025 events including debt refinancing and credit agreement amendments, and segment performance - In June 2025, the Partnership issued **$450.0 million** of 7.125% senior notes due 2033, using proceeds to redeem 2027 notes and repay credit facility borrowings[20](index=20&type=chunk)[21](index=21&type=chunk) - The credit agreement was amended in March 2025, extending maturity to March 2028, increasing the working capital facility to **$1.0 billion**, and decreasing the revolving credit facility to **$500.0 million**[22](index=22&type=chunk)[47](index=47&type=chunk) - The Gasoline Distribution and Station Operations (GDSO) segment is the largest contributor to product margin, accounting for **68%** and **67%** of the consolidated total in Q2 and H1 2025, respectively[31](index=31&type=chunk) Cash Distributions Paid in 2025 (in thousands, except per unit data) | Payment Date | Security | Quarter Ended | Per Unit | Total Paid | | :--- | :--- | :--- | :--- | :--- | | 2/14/2025 | Common Units | 12/31/24 | $0.7400 | $29,483 | | 5/15/2025 | Common Units | 03/31/25 | $0.7450 | $29,815 | | 2/18/2025 | Series B Preferred | 11/15/24 - 2/14/25 | $0.59375 | $1,781 | | 5/15/2025 | Series B Preferred | 2/15/25 - 5/14/25 | $0.59375 | $1,781 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=55&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses increased sales driven by volume, a Q2 gross profit decline due to market conditions, and key financing activities impacting liquidity [Results of Operations](index=66&type=section&id=Results%20of%20Operations) Q2 sales increased but gross profit declined due to gasoline margins, while H1 sales and gross profit grew, with SG&A expenses rising Gross Profit by Period (in millions) | Period | Q2 2025 | Q2 2024 | Change | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Gross Profit | $272.4 | $287.9 | -5% | $527.6 | $503.0 | +5% | - Wholesale segment product margin decreased by **16%** in Q2 2025 for gasoline due to unfavorable market conditions, but increased by **53%** for distillates due to more favorable conditions[227](index=227&type=chunk)[230](index=230&type=chunk) - GDSO segment gasoline distribution product margin decreased **6%** in Q2 2025, primarily due to lower sales volume and a reduced site count year-over-year[232](index=232&type=chunk) - SG&A expenses increased by **$2.4 million (3%)** in Q2 2025, driven by wages, benefits, and professional fees, partially offset by lower expenses related to the Revere Terminal sale[239](index=239&type=chunk) [Liquidity and Capital Resources](index=60&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity is supported by operations and credit facilities, with working capital decreasing and significant debt refinancing activities undertaken - Working capital decreased by **$19.3 million** from year-end 2024 to **$187.9 million** at June 30, 2025, mainly due to a **$98.5 million** decrease in inventories and an **$80.4 million** increase in accounts payable[251](index=251&type=chunk) 2025 Capital Expenditure Outlook | Category | Expected 2025 Capex | | :--- | :--- | | Maintenance | $60.0 million - $70.0 million | | Expansion (ex-acquisitions) | $65.0 million - $75.0 million | - On June 23, 2025, the Partnership issued **$450.0 million** of 7.125% senior notes due 2033 and used the proceeds to redeem **$360.3 million** of its 2027 notes, resulting in a **$2.8 million** loss on early extinguishment of debt[286](index=286&type=chunk)[287](index=287&type=chunk)[288](index=288&type=chunk) - As of June 30, 2025, the Partnership had **$1.13 billion** in remaining availability under its credit facilities, subject to borrowing base limitations[280](index=280&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=64&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The Partnership faces interest rate risk from variable debt and commodity price risk managed by derivatives, with a 10% price change impacting derivatives by **$45.0 million** - The company is exposed to interest rate risk on its **$286.7 million** of variable rate debt, where a **1%** increase in interest rates would raise annual interest expense by about **$2.9 million**[302](index=302&type=chunk) Commodity Derivative Sensitivity Analysis (in thousands) | Derivative Type | Fair Value at June 30, 2025 | Effect of 10% Price Increase | Effect of 10% Price Decrease | | :--- | :--- | :--- | :--- | | Exchange traded | ($28,648) | ($26,324) | $26,324 | | Forward contracts | $4,251 | ($18,698) | $18,698 | | **Total** | **($24,397)** | **($45,022)** | **$45,022** | [Item 4. Controls and Procedures](index=66&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of June 30, 2025, with no material changes to internal controls - The Principal Executive Officer and Principal Financial Officer concluded that the company's disclosure controls and procedures were effective as of June 30, 2025[312](index=312&type=chunk) - No material changes to the internal control over financial reporting occurred during the quarter ended June 30, 2025[313](index=313&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=67&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in routine legal proceedings not expected to have a material adverse impact on its financial condition - The company does not believe it is a party to any litigation that will have a material adverse impact on its financial condition or results of operations, with details provided in Note 15[151](index=151&type=chunk)[316](index=316&type=chunk) [Item 1A. Risk Factors](index=67&type=section&id=Item%201A.%20Risk%20Factors) No material changes occurred to the risk factors previously disclosed in the Annual Report on Form 10-K for the year ended December 31, 2024 - The report refers to the risk factors discussed in the Annual Report on Form 10-K for the year ended December 31, 2024, for a detailed discussion of potential risks[317](index=317&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=67&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased **58,367** common units during Q2 2025 under its LTIP, with over **1 million** units remaining authorized for repurchase Common Unit Repurchases (Q2 2025) | Period | Units Purchased | Average Price Paid ($) | | :--- | :--- | :--- | | April 2025 | — | — | | May 2025 | 33,367 | — | | June 2025 | 25,000 | $53.21 | - The repurchase program is for meeting obligations under the LTIP and employment agreements, with **1,001,654** units remaining authorized for repurchase as of August 7, 2025[318](index=318&type=chunk) [Item 5. Other Information](index=67&type=section&id=Item%205.%20Other%20Information) The COO adopted a Rule 10b5-1 trading plan on March 25, 2025, for the sale of up to **44,994** common units - Mark A. Romaine, the company's COO, adopted a Rule 10b5-1 trading plan on March 25, 2025, for the sale of up to **44,994** common units[320](index=320&type=chunk) [Item 6. Exhibits](index=67&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including officer certifications and XBRL data files - Lists various filed exhibits, including certifications under Rule 13a-14(a)/15d-14(a) and Section 1350, as well as Inline XBRL documents[321](index=321&type=chunk)[323](index=323&type=chunk)

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements (Unaudited)](index=5&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) This section presents Eagle Bancorp Montana, Inc.'s unaudited condensed consolidated financial statements and detailed notes [Condensed Consolidated Statements of Financial Condition](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Financial%20Condition%20as%20of%20June%2030,%202025%20and%20December%2031,%202024) Condensed Consolidated Statements of Financial Condition (Dollars in Thousands) | Metric | June 30, 2025 | December 31, 2024 | Change ($) | Change (%) | | :-------------------------------- | :------------ | :---------------- | :--------- | :--------- | | Total assets | $2,137,633 | $2,103,090 | $34,543 | 1.6% | | Loans receivable, net | $1,551,932 | $1,503,796 | $48,136 | 3.2% | | Securities available-for-sale | $285,023 | $292,590 | $(7,567) | -2.6% | | Total liabilities | $1,956,995 | $1,928,325 | $28,670 | 1.5% | | Total deposits | $1,737,925 | $1,681,228 | $56,697 | 3.4% | | FHLB advances and other borrowings | $119,407 | $140,930 | $(21,523) | -15.3% | | Total shareholders' equity | $180,638 | $174,765 | $5,873 | 3.4% | [Condensed Consolidated Statements of Income](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income%20for%20the%20three%20and%20six%20months%20ended%20June%2030,%202025%20and%202024) Condensed Consolidated Statements of Income (Dollars in Thousands, Except Per Share Data) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------------------------- | :------------------------------- | :--------- | :--------- | | Net Interest Income | $18,145 | $15,632 | $2,513 | 16.1% | | Provision for credit losses | $1,038 | $412 | $626 | 151.9% | | Noninterest income | $4,807 | $4,269 | $538 | 12.6% | | Noninterest expense | $17,926 | $17,307 | $619 | 3.6% | | Net Income | $3,237 | $1,738 | $1,499 | 86.2% | | Basic Earnings Per Common Share | $0.42 | $0.22 | $0.20 | 90.9% | | Diluted Earnings Per Common Share | $0.41 | $0.22 | $0.19 | 86.4% | | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------------------------- | :------------------------------- | :--------- | :--------- | | Net Interest Income | $35,047 | $30,846 | $4,201 | 13.6% | | Provision for credit losses | $1,080 | $277 | $803 | 289.9% | | Noninterest income | $8,823 | $8,221 | $602 | 7.3% | | Noninterest expense | $34,932 | $34,340 | $592 | 1.7% | | Net Income | $6,476 | $3,636 | $2,840 | 78.1% | | Basic Earnings Per Common Share | $0.83 | $0.46 | $0.37 | 80.4% | | Diluted Earnings Per Common Share | $0.83 | $0.46 | $0.37 | 80.4% | [Condensed Consolidated Statements of Comprehensive Income](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income%20for%20the%20three%20and%20six%20ended%20June%2030,%202025%20and%202024) Condensed Consolidated Statements of Comprehensive Income (Dollars in Thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------------------------- | :------------------------------- | :--------- | :--------- | | Net Income | $3,237 | $1,738 | $1,499 | 86.2% | | Other comprehensive income (loss) before tax | $1,475 | $524 | $951 | 181.5% | | Comprehensive Income | $4,324 | $2,124 | $2,200 | 103.6% | | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------------------------- | :------------------------------- | :--------- | :--------- | | Net Income | $6,476 | $3,636 | $2,840 | 78.1% | | Other comprehensive income (loss) before tax | $3,115 | $(1,265) | $4,380 | -346.2% | | Comprehensive Income | $8,764 | $2,704 | $6,060 | 224.1% | [Condensed Consolidated Statements of Changes in Shareholders' Equity](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Shareholders'%20Equity%20for%20the%20three%20and%20six%20months%20ended%20June%2030,%202025%20and%202024) - Total shareholders' equity increased to **$180.64 million** at June 30, 2025, from **$174.77 million** at January 1, 2025, driven by net income of **$6.48 million** and other comprehensive income of **$2.29 million**, partially offset by dividends paid of **$2.27 million** and treasury stock purchases of **$1.16 million**[28](index=28&type=chunk)[29](index=29&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=12&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows%20for%20the%20six%20months%20ended%20June%2030,%202025%20and%202024) Condensed Consolidated Statements of Cash Flows (Dollars in Thousands) | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------------------------- | :------------------------------- | :--------- | :--------- | | Net cash provided by operating activities | $3,631 | $10,386 | $(6,755) | -65.0% | | Net cash used in investing activities | $(40,003) | $(31,908) | $(8,095) | 25.4% | | Net cash provided by financing activities | $31,741 | $20,739 | $11,002 | 53.1% | | Net decrease in cash and cash equivalents | $(4,631) | $(783) | $(3,848) | 491.4% | | Cash and cash equivalents, end of period | $26,928 | $23,762 | $3,166 | 13.3% | [Notes to Condensed Consolidated Financial Statements](index=14&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements%20(Unaudited)) [NOTE 1. Organization and Summary of Significant Accounting Policies](index=14&type=section&id=NOTE%201.%20Organization%20and%20Summary%20of%20Significant%20Accounting%20Policies) Eagle Bancorp Montana, Inc. and its subsidiaries operate as a community bank, focusing on deposits, loans, and securities, with ongoing evaluation of new tax legislation and accounting standards - Eagle Bancorp Montana, Inc. is a Delaware corporation and parent company of Opportunity Bank of Montana, operating **30 full-service branches** across Montana, focusing on deposits and investments in loans and securities[36](index=36&type=chunk)[41](index=41&type=chunk)[42](index=42&type=chunk) - The Company's consolidated financial statements include Eagle, Opportunity Bank of Montana, Opportunity Housing Fund, LLC (OHF), Eagle Bancorp Statutory Trust I, and Opportunity Financial Services, Inc. (OFS), with OHF investing in LIHTC projects and OFS facilitating deferred payment contracts[39](index=39&type=chunk)[40](index=40&type=chunk)[45](index=45&type=chunk) - Management concluded goodwill was not impaired after quantitative tests as of August 31, 2024, and October 31, 2024, with the Company operating as a single community banking segment[50](index=50&type=chunk)[51](index=51&type=chunk) - The "One Big Beautiful Bill Act," signed July 4, 2025, permanently extended key business tax breaks, with the Company evaluating its impact on income tax expense[48](index=48&type=chunk) - The Company adopted ASU No. 2023-07 (Segment Reporting) and ASU No. 2023-09 (Income Tax Disclosures) without significant impact, and is evaluating ASU No. 2024-03/2025-01 (Expense Disaggregation Disclosures) for future effectiveness[54](index=54&type=chunk)[55](index=55&type=chunk)[57](index=57&type=chunk) [NOTE 2. Investment Securities](index=18&type=section&id=NOTE%202.%20Investment%20Securities) The company's available-for-sale securities decreased due to maturities and payments, with unrealized losses attributed to interest rate changes Securities Available-for-Sale (Dollars in Thousands) | Metric | June 30, 2025 | December 31, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------ | :---------------- | :--------- | :--------- | | Total amortized cost | $309,257 | $319,939 | $(10,682) | -3.3% | | Total gross unrealized losses | $(24,536) | $(27,550) | $3,014 | -10.9% | | Total fair value | $285,023 | $292,590 | $(7,567) | -2.6% | - The decrease in securities available-for-sale was primarily due to maturities, principal payments, and call activity, partially offset by security purchases and an increase in fair value[126](index=126&type=chunk) - As of June 30, 2025, **269 securities** had unrealized loss positions totaling **$24.54 million**, which management attributed to interest rate and market spread changes, not credit losses, with no intent to sell prior to maturity, thus no ACL was recorded[63](index=63&type=chunk) [NOTE 3. Loans Receivable](index=20&type=section&id=NOTE%203.%20Loans%20Receivable) Loans receivable increased, driven by commercial and commercial real estate loans, while nonperforming assets also rose Loans Receivable (Dollars in Thousands) | Loan Category | June 30, 2025 | December 31, 2024 | Change ($) | Change (%) | | :-------------------------------- | :------------ | :---------------- | :--------- | :--------- | | Residential 1-4 family | $194,289 | $199,422 | $(5,133) | -2.6% | | Commercial real estate | $938,451 | $916,783 | $21,668 | 2.4% | | Home equity | $102,778 | $97,543 | $5,235 | 5.4% | | Consumer | $26,658 | $28,513 | $(1,855) | -6.5% | | Commercial | $307,486 | $278,385 | $29,101 | 10.5% | | Total loans | $1,569,662 | $1,520,646 | $49,016 | 3.2% | | Allowance for credit losses | $(17,730) | $(16,850) | $(880) | 5.2% | | Total loans, net | $1,551,932 | $1,503,796 | $48,136 | 3.2% | Allowance for Credit Losses (ACL) Activity (Dollars in Thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------------------------- | :------------------------------- | :--------- | :--------- | | Beginning balance | $16,720 | $16,410 | $310 | 1.9% | | Charge-offs | $(51) | $(12) | $(39) | 325.0% | | Recoveries | $3 | $10 | $(7) | -70.0% | | Provision | $1,058 | $422 | $636 | 150.7% | | Ending balance | $17,730 | $16,830 | $900 | 5.4% | | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------------------------- | :------------------------------- | :--------- | :--------- | | Beginning balance | $16,850 | $16,440 | $410 | 2.5% | | Charge-offs | $(57) | $(13) | $(44) | 338.5% | | Recoveries | $7 | $76 | $(69) | -90.8% | | Provision | $930 | $327 | $603 | 184.4% | | Ending balance | $17,730 | $16,830 | $900 | 5.4% | Nonperforming Assets (Dollars in Thousands) | Metric | June 30, 2025 | December 31, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------ | :---------------- | :--------- | :--------- | | Total nonperforming loans | $5,083 | $3,850 | $1,233 | 32.0% | | Real estate owned and other repossessed property, net | $86 | $45 | $41 | 91.1% | | Total nonperforming assets | $5,169 | $3,895 | $1,274 | 32.7% | | Total nonperforming loans to total loans | 0.32% | 0.25% | 0.07% | 28.0% | | Total nonperforming assets to total assets | 0.24% | 0.19% | 0.05% | 26.3% | - The Company modified loans totaling **$959 thousand** for the three months and **$1.47 million** for the six months ended June 30, 2025, for borrowers experiencing financial difficulty, primarily through term extensions and payment deferrals[81](index=81&type=chunk) [NOTE 4. Mortgage Servicing Rights](index=30&type=section&id=NOTE%204.%20Mortgage%20Servicing%20Rights) Mortgage servicing rights and related fees saw slight decreases, with key valuation assumptions noted Mortgage Servicing Rights (Dollars in Thousands) | Metric | June 30, 2025 | December 31, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------ | :---------------- | :--------- | :--------- | | Unpaid principal balances serviced for others | $1,986,957 | $2,016,242 | $(29,285) | -1.5% | | Mortgage servicing rights, net | $15,120 | $15,376 | $(256) | -1.7% | | Fair value of mortgage servicing rights | $20,318 | $20,370 | $(52) | -0.3% | | Mortgage loan servicing fees (3 months) | $1,255 | $1,275 | $(20) | -1.6% | | Mortgage loan servicing fees (6 months) | $2,511 | $2,579 | $(68) | -2.6% | - Key valuation assumptions for mortgage servicing rights at June 30, 2025, included a discount rate of **12%** and a weighted average prepayment speed of **116%**[86](index=86&type=chunk) [NOTE 5. Deposits](index=30&type=section&id=NOTE%205.%20Deposits) Total deposits increased, primarily driven by a significant rise in money market deposits Deposit Accounts (Dollars in Thousands) | Deposit Category | June 30, 2025 | December 31, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------ | :---------------- | :--------- | :--------- | | Noninterest checking | $417,324 | $419,211 | $(1,887) | -0.5% | | Interest-bearing checking | $205,021 | $221,476 | $(16,455) | -7.4% | | Savings | $205,596 | $210,572 | $(4,976) | -2.4% | | Money market | $450,685 | $367,094 | $83,591 | 22.8% | | Time certificates of deposit | $459,299 | $462,875 | $(3,576) | -0.8% | | Total deposits | $1,737,925 | $1,681,228 | $56,697 | 3.4% | - Money market deposits significantly increased by **$83.59 million**, driving overall deposit growth, with uninsured deposits estimated at **$329.0 million** or **19% of total deposits** at June 30, 2025[135](index=135&type=chunk)[136](index=136&type=chunk) [NOTE 6. Other Long-Term Debt](index=32&type=section&id=NOTE%206.%20Other%20Long-Term%20Debt) The company's long-term debt remained stable, with details on subordinated debentures and their interest rate transitions Other Long-Term Debt (Dollars in Thousands) | Debt Type | June 30, 2025 (Principal Amount) | December 31, 2024 (Principal Amount) | Change ($) | Change (%) | | :----------------------------------- | :------------------------------- | :------------------------------- | :--------- | :--------- | | Subordinated debentures fixed at 5.50% to floating, due 2030 | $15,000 | $15,000 | $0 | 0.0% | | Subordinated debentures fixed at 3.50% to floating, due 2032 | $40,000 | $40,000 | $0 | 0.0% | | Subordinated debentures variable at 3-Month SOFR plus 1.68%, due 2035 | $5,155 | $5,155 | $0 | 0.0% | | Total other long-term debt (net) | $59,224 | $59,149 | $75 | 0.1% | - The subordinated debentures due 2030 transitioned from a fixed rate of **5.50%** to a floating rate (3-month SOFR plus 509.0 basis points) on July 1, 2025, with the floating rate at **9.39%** as of that date[89](index=89&type=chunk) - Debentures due 2032 will transition to a floating rate (3-month SOFR plus 218.0 basis points) on February 1, 2027[90](index=90&type=chunk) - Debentures due 2035 converted to 3-month CME Term SOFR plus **1.68%** during Q1 2024, with a rate of **5.97%** as of June 30, 2025[91](index=91&type=chunk) [NOTE 7. Accumulated Other Comprehensive Income (Loss)](index=33&type=section&id=NOTE%207.%20Accumulated%20Other%20Comprehensive%20Income%20(Loss)) Accumulated other comprehensive loss improved due to other comprehensive income before reclassifications and income taxes Accumulated Other Comprehensive Income (Loss) (Dollars in Thousands) | Metric | June 30, 2025 | January 1, 2025 | Change ($) | Change (%) | | :----------------------------------- | :------------ | :-------------- | :--------- | :--------- | | Balance, Unrealized (Losses) Gains on Securities Available-for-Sale | $(17,858) | $(20,146) | $2,288 | -11.4% | - The accumulated other comprehensive loss improved by **$2.29 million** for the six months ended June 30, 2025, primarily due to other comprehensive income before reclassifications and income taxes of **$3.12 million**[94](index=94&type=chunk) [NOTE 8. Earnings Per Common Share](index=34&type=section&id=NOTE%208.%20Earnings%20Per%20Common%20Share) Basic and diluted earnings per common share significantly increased for both the three and six months ended June 30, 2025 Earnings Per Common Share | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------------------------- | :------------------------------- | :--------- | :--------- | | Basic Earnings Per Common Share | $0.42 | $0.22 | $0.20 | 90.9% | | Diluted Earnings Per Common Share | $0.41 | $0.22 | $0.19 | 86.4% | | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------------------------- | :------------------------------- | :--------- | :--------- | | Basic Earnings Per Common Share | $0.83 | $0.46 | $0.37 | 80.4% | | Diluted Earnings Per Common Share | $0.83 | $0.46 | $0.37 | 80.4% | [NOTE 9. Derivatives and Hedging Activities](index=34&type=section&id=NOTE%209.%20Derivatives%20and%20Hedging%20Activities) The company uses derivatives to hedge fair value changes in interest rate lock commitments and mortgage loans held-for-sale - The Company uses derivatives, including interest rate lock commitments and forward To-Be-Announced (TBA) mortgage-backed securities, to hedge the risk of changes in fair values of interest rate lock commitments and mortgage loans held-for-sale[96](index=96&type=chunk) Derivative Net Losses (Dollars in Thousands) | Period | Net Losses | | :------------------------------- | :--------- | | Three Months Ended June 30, 2025 | $(70) | | Three Months Ended June 30, 2024 | $(45) | | Six Months Ended June 30, 2025 | $(162) | | Six Months Ended June 30, 2024 | $(67) | [NOTE 10. Fair Value of Financial Instruments](index=34&type=section&id=NOTE%2010.%20Fair%20Value%20of%20Financial%20Instruments) Financial instruments are categorized into a three-level fair value hierarchy based on input observability - The Company categorizes financial assets and liabilities measured at fair value into a three-level hierarchy: Level 1 (unadjusted quoted prices in active markets), Level 2 (quoted prices for similar instruments or model-based valuations with observable inputs), and Level 3 (unobservable inputs requiring significant management judgment)[101](index=101&type=chunk)[102](index=102&type=chunk) - Available-for-sale securities are primarily valued using Level 1 and Level 2 inputs, while loans held-for-sale and forward TBA mortgage-backed securities use Level 2 inputs[103](index=103&type=chunk)[104](index=104&type=chunk) - Interest rate lock commitments, collateral-dependent loans, real estate owned, and mortgage servicing rights are valued using Level 3 inputs[105](index=105&type=chunk)[106](index=106&type=chunk)[107](index=107&type=chunk)[108](index=108&type=chunk) Financial Assets and Liabilities Measured at Fair Value (Dollars in Thousands) - June 30, 2025 | Instrument | Level 1 Inputs | Level 2 Inputs | Level 3 Inputs | Total Fair Value | | :----------------------------------- | :------------- | :------------- | :------------- | :--------------- | | Available-for-sale securities | $44,422 | $240,651 | $- | $285,073 | | Loans held-for-sale | $- | $13,651 | $- | $13,651 | | Interest rate lock commitments | $- | $- | $17 | $17 | | Forward TBA mortgage-backed securities | $- | $140 | $- | $140 | | Collateral-dependent loans individually evaluated, net of ACL | $- | $- | $43 | $43 | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=40&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's analysis of Eagle Bancorp Montana, Inc.'s financial performance and condition, covering key trends, liquidity, capital, and risk management [Introduction](index=40&type=section&id=Introduction) - Eagle Bancorp Montana, Inc. is a bank holding company headquartered in Helena, Montana, with its wholly-owned subsidiary, Opportunity Bank of Montana, focusing on consumer, commercial, and agricultural lending[118](index=118&type=chunk)[120](index=120&type=chunk) [Executive Summary](index=40&type=section&id=Executive%20Summary) - The Company's earnings are primarily driven by net interest income and noninterest income from service charges, fees, and mortgage loan service fees[120](index=120&type=chunk) - Management focuses on diversifying the loan portfolio to include more commercial and agricultural loans, aiming to mitigate market exposure, improve interest rate sensitivity, and increase fee income[121](index=121&type=chunk) - Key strategic goals include increasing net interest margin, growing other fee income, and controlling operating expenses, with efficient funding growth being a primary challenge amidst significant competition[122](index=122&type=chunk) - The Federal Open Market Committee maintained the federal funds target rate at **4.50%** during the six months ended June 30, 2025[123](index=123&type=chunk) [Financial Condition](index=41&type=section&id=Financial%20Condition) Key Financial Condition Metrics (Dollars in Thousands) | Metric | June 30, 2025 | December 31, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------ | :---------------- | :--------- | :--------- | | Total assets | $2,137,633 | $2,103,090 | $34,543 | 1.6% | | Loans receivable, net | $1,551,932 | $1,503,796 | $48,136 | 3.2% | | Securities available-for-sale | $285,023 | $292,590 | $(7,567) | -2.6% | | Total liabilities | $1,956,995 | $1,928,325 | $28,670 | 1.5% | | Total deposits | $1,737,925 | $1,681,228 | $56,697 | 3.4% | | Total borrowings | $178,631 | $200,079 | $(21,448) | -10.7% | | Total shareholders' equity | $180,638 | $174,765 | $5,873 | 3.4% | [Investment Activities](index=41&type=section&id=Investment%20Activities) - Securities available-for-sale decreased by **$7.57 million (2.6%)** to **$285.02 million** at June 30, 2025, primarily due to **$13.34 million** in maturities, principal payments, and call activity, partially offset by **$3.02 million** in security purchases and a **$3.12 million** increase in fair value[126](index=126&type=chunk) [Lending Activities](index=42&type=section&id=Lending%20Activities) - Loans receivable, net, increased by **$48.13 million (3.2%)** to **$1.55 billion** at June 30, 2025, driven by increases in total commercial loans (**$29.10 million**), commercial real estate loans (**$21.67 million**), and home equity loans (**$5.24 million**), partially offset by decreases in residential and consumer loans[128](index=128&type=chunk) - Total loan originations for the six months ended June 30, 2025, were **$280.72 million**, including **$121.76 million** in residential 1-4 family originations (with **$98.55 million** held-for-sale) and **$76.48 million** in commercial originations[129](index=129&type=chunk) Nonperforming Assets (Dollars in Thousands) | Metric | June 30, 2025 | December 31, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------ | :---------------- | :--------- | :--------- | | Total nonperforming loans | $5,083 | $3,850 | $1,233 | 32.0% | | Total nonperforming assets | $5,169 | $3,895 | $1,274 | 32.7% | | Nonperforming loans to total loans | 0.32% | 0.25% | 0.07% | 28.0% | | Nonperforming assets to total assets | 0.24% | 0.19% | 0.05% | 26.3% | - Commercial real estate loans constituted **43.0%** of the total loan portfolio at June 30, 2025, totaling **$675.29 million**, with limited exposure in the office space sector and strong asset quality (average loan-to-value ratio range of **32% to 48%**)[133](index=133&type=chunk)[134](index=134&type=chunk) [Deposits and Other Sources of Funds](index=46&type=section&id=Deposits%20and%20Other%20Sources%20of%20Funds) - Total deposits increased by **$56.70 million (3.4%)** to **$1.74 billion** at June 30, 2025, primarily driven by an **$83.59 million** increase in money market deposits, partially offset by decreases in interest-bearing checking, savings, and certificates of deposit[135](index=135&type=chunk) - Total borrowings decreased by **$21.45 million (10.7%)** to **$178.63 million** at June 30, 2025, mainly due to a reduction in FHLB advances and other borrowings[136](index=136&type=chunk) - Uninsured deposits were approximately **$329.0 million (19% of total deposits)** at June 30, 2025, with the Bank also utilizing **$1.43 million** in brokered certificates and **$5.53 million** in brokered money market deposits[136](index=136&type=chunk)[171](index=171&type=chunk) [Shareholders' Equity](index=46&type=section&id=Shareholders'%20Equity) - Total shareholders' equity increased by **$5.87 million (3.4%)** to **$180.64 million** at June 30, 2025, primarily due to net income of **$6.48 million** and a **$2.29 million** decrease in unrealized losses on available-for-sale securities, partially offset by **$2.27 million** in dividends paid and **$1.16 million** in treasury stock repurchases[137](index=137&type=chunk) [Analysis of Net Interest Income](index=47&type=section&id=Analysis%20of%20Net%20Interest%20Income) - Net interest income, the primary component of Eagle's operating income, is influenced by the interest rate spread (difference between asset yields and liability rates) and the relative amounts of interest-earning assets and interest-bearing liabilities[138](index=138&type=chunk) Net Interest Margin (NIM) | Period | NIM | | :------------------------------- | :---- | | Three Months Ended June 30, 2025 | 3.91% | | Three Months Ended June 30, 2024 | 3.41% | | Six Months Ended June 30, 2025 | 3.82% | | Six Months Ended June 30, 2024 | 3.37% | - The increase in NIM reflects higher yields on interest-earning assets and lower rates on interest-bearing liabilities[144](index=144&type=chunk) Change in Net Interest Income (Dollars in Thousands) | Period | Change Due to Volume | Change Due to Rate | Net Change | | :------------------------------- | :------------------- | :----------------- | :--------- | | Three Months Ended June 30, 2025 | $869 | $1,644 | $2,513 | | Six Months Ended June 30, 2025 | $1,118 | $3,083 | $4,201 | [Results of Operations](index=50&type=section&id=Results%20of%20Operations) [Three Months Ended June 30, 2025 vs 2024](index=50&type=section&id=Three%20Months%20Ended%20June%2030,%202025%20vs%202024) Key Financial Results (Dollars in Thousands, Except Per Share Data) | Metric | Q2 2025 | Q2 2024 | Change ($) | Change (%) | | :----------------------------------- | :------ | :------ | :--------- | :--------- | | Net Income | $3,237 | $1,738 | $1,499 | 86.2% | | Net Interest Income | $18,145 | $15,632 | $2,513 | 16.1% | | Interest and Dividend Income | $27,150 | $25,822 | $1,328 | 5.1% | | Interest Expense | $9,005 | $10,190 | $(1,185) | -11.6% | | Provision for Credit Losses | $1,038 | $412 | $626 | 151.9% | | Noninterest Income | $4,807 | $4,269 | $538 | 12.6% | | Noninterest Expense | $17,926 | $17,307 | $619 | 3.6% | | Basic EPS | $0.42 | $0.22 | $0.20 | 90.9% | | Diluted EPS | $0.41 | $0.22 | $0.19 | 86.4% | - The increase in net interest income was driven by a **5.1%** increase in interest and dividend income, primarily from a **27 basis point** increase in the average yield on loans and a **2.7%** increase in the average balance of loans, coupled with an **11.6%** decrease in interest expense due to lower FHLB advances and rates[149](index=149&type=chunk)[150](index=150&type=chunk)[151](index=151&type=chunk) - Noninterest income rose by **12.6%**, mainly due to a **$509 thousand** increase in mortgage banking, net, reflecting higher net gains on sale of mortgage loans and improved gross margin levels (**3.81% vs 3.01%**)[153](index=153&type=chunk)[154](index=154&type=chunk) [Six Months Ended June 30, 2025 vs 2024](index=52&type=section&id=Six%20Months%20Ended%20June%2030,%202025%20vs%202024) Key Financial Results (Dollars in Thousands, Except Per Share Data) | Metric | YTD 2025 | YTD 2024 | Change ($) | Change (%) | | :----------------------------------- | :------- | :------- | :--------- | :--------- | | Net Income | $6,476 | $3,636 | $2,840 | 78.1% | | Net Interest Income | $35,047 | $30,846 | $4,201 | 13.6% | | Interest and Dividend Income | $53,219 | $50,764 | $2,455 | 4.8% | | Interest Expense | $18,172 | $19,918 | $(1,746) | -8.8% | | Provision for Credit Losses | $1,080 | $277 | $803 | 289.9% | | Noninterest Income | $8,823 | $8,221 | $602 | 7.3% | | Noninterest Expense | $34,932 | $34,340 | $592 | 1.7% | | Basic EPS | $0.83 | $0.46 | $0.37 | 80.4% | | Diluted EPS | $0.83 | $0.46 | $0.37 | 80.4% | - Net interest income increased by **13.6%**, driven by a **4.8%** rise in interest and dividend income (due to a **30 basis point** increase in average loan yield and **2.3%** growth in average loan balances) and an **8.8%** decrease in interest expense (from lower FHLB advances and rates)[158](index=158&type=chunk)[159](index=159&type=chunk)[160](index=160&type=chunk) - The provision for credit losses surged by **289.9%** to **$1.08 million**, primarily due to loan growth and an increased provision for unfunded commitments[161](index=161&type=chunk) - Noninterest income increased by **7.3%**, mainly from mortgage banking, net (**$457 thousand** increase) and appreciation in cash surrender value of life insurance (**$135 thousand** increase)[162](index=162&type=chunk)[163](index=163&type=chunk) - Noninterest expense increased by **1.7%** due to software subscriptions and occupancy/equipment costs, partially offset by lower data processing expenses[164](index=164&type=chunk) - The effective tax rate for the six months ended June 30, 2025, was **17.6%**, down from **18.3%** in the prior year, influenced by an increased proportion of tax-exempt income and tax credits from low-income housing tax credit projects[165](index=165&type=chunk) [Liquidity and Capital Resources](index=54&type=section&id=Liquidity%20and%20Capital%20Resources) [Liquidity](index=54&type=section&id=Liquidity) - The Bank maintains liquidity levels above internal policy minimums for 'basic surplus' and 'basic surplus with FHLB', with primary funding sources including deposits, loan repayments, investment maturities, and FHLB advances[167](index=167&type=chunk)[168](index=168&type=chunk) Available Borrowing Capacity (Dollars in Thousands) | Source | June 30, 2025 | December 31, 2024 | Change ($) | Change (%) | | :----------------------------------- | :------------ | :---------------- | :--------- | :--------- | | Federal Home Loan Bank advances | $338,172 | $276,664 | $61,508 | 22.2% | | Federal Reserve Bank discount window | $24,854 | $27,349 | $(2,495) | -9.1% | | Correspondent bank lines of credit | $100,000 | $100,000 | $0 | 0.0% | | Total available borrowing capacity | $463,026 | $404,013 | $59,013 | 14.6% | - Eagle's parent company liquidity is primarily derived from Bank dividends, access to capital markets, and a **$15 million** correspondent bank line of credit (with no outstanding balance)[172](index=172&type=chunk) [Capital Resources](index=56&type=section&id=Capital%20Resources) - The Bank is classified as 'well capitalized' under State of Montana and Federal Reserve Board rules, exceeding all applicable regulatory capital requirements as of June 30, 2025[175](index=175&type=chunk) Regulatory Capital Ratios (June 30, 2025) | Capital Ratio | Actual Ratio | Minimum Required for Capital Adequacy | Minimum To Be Well Capitalized | | :----------------------------------- | :----------- | :------------------------------------ | :----------------------------- | | Total risk-based capital to risk weighted assets | 13.51% | 10.50% | 10.00% | | Tier 1 capital to risk weighted assets | 12.41% | 8.50% | 8.00% | | Common equity Tier 1 capital to risk weighted assets | 12.41% | 7.00% | 6.50% | | Tier 1 capital to adjusted total average assets | 10.34% | 4.00% | 5.00% | - The Bank's interest rate sensitivity analysis indicates that a **200-basis point** rise in interest rates would increase the economic value of equity (EVE) by **1.2%**, while a **200-basis point** decrease would reduce EVE by **6.9%**, remaining within Board-established guidelines for interest rate risk sensitivity[174](index=174&type=chunk) [Impact of Inflation and Changing Prices](index=57&type=section&id=Impact%20of%20Inflation%20and%20Changing%20Prices) - The Company's financial performance is more significantly impacted by changes in interest rates than by general inflation levels, as interest rates do not necessarily move in tandem with the prices of goods and services[177](index=177&type=chunk) [Interest Rate Risk](index=57&type=section&id=Interest%20Rate%20Risk) - Interest rate risk, the potential for loss from adverse changes in interest rates, is a significant factor affecting the Company's net interest income, managed through the asset/liability committee under Board-approved policies to identify and manage the sensitivity of net interest income[178](index=178&type=chunk)[179](index=179&type=chunk)[180](index=180&type=chunk) Net Interest Income Sensitivity Analysis (June 30, 2025) | Changes in Market Interest Rates (Basis Points) | Year 1 Impact | Year 2 Impact | Policy Limits (Year 1) | Policy Limits (Year 2) | | :---------------------------------------------- | :------------ | :------------ | :--------------------- | :--------------------- | | +300 | -9.1% | 2.8% | -15.0% | -20.0% | | +200 | -6.0% | 3.8% | -15.0% | -15.0% | | +100 | -2.8% | 5.1% | -10.0% | -10.0% | | -100 | 1.8% | 4.8% | -10.0% | -10.0% | | -200 | 3.4% | 3.2% | -15.0% | -15.0% | | -300 | 5.9% | 2.2% | -15.0% | -20.0% | - The Bank's policy limits for interest rate risk stipulate that projected net interest income should not be reduced by more than **15.0%** in Year 1 and **20.0%** in Year 2 for an immediate +/- **300 basis point** change in interest rates[181](index=181&type=chunk) [Critical Accounting Policies and Estimates](index=57&type=section&id=Critical%20Accounting%20Policies%20and%20Estimates) - Critical accounting policies include those related to the allowance for credit losses and business combinations (goodwill), which involve significant judgment and complex estimates, discussed periodically with the Board of Directors' Audit Committee[183](index=183&type=chunk) - Goodwill is tested for impairment annually or more frequently if circumstances indicate, with quantitative impairment tests performed in Q3 and Q4 2024 concluding no impairment, though changing economic conditions could lead to future impairment[184](index=184&type=chunk)[185](index=185&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=59&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This item is omitted due to Eagle Bancorp Montana, Inc.'s status as a smaller reporting company - This item is omitted based on Eagle's status as a smaller reporting company[187](index=187&type=chunk) [Item 4. Controls and Procedures](index=59&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls were ineffective due to a material weakness in cash flow statement preparation, with remediation efforts ongoing - As of June 30, 2025, the Company's disclosure controls and procedures were not effective due to an ongoing material weakness in internal control over financial reporting[188](index=188&type=chunk) - The material weakness is related to the design of controls over the preparation of the statement of cash flows, specifically concerning the classification of borrowings as short-term or long-term for appropriate presentation within the financing section[189](index=189&type=chunk) - Management is implementing measures to remediate this material weakness by restructuring the design of control activities, but the remediation is still in process and will not be considered complete until controls operate effectively for a sufficient period[190](index=190&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=60&type=section&id=Item%201.%20Legal%20Proceedings) Neither Eagle Bancorp Montana, Inc. nor its subsidiary Bank is involved in any material legal proceedings outside the ordinary course of business - Neither the Company nor the Bank is involved in any pending legal proceeding other than non-material legal proceedings occurring in the ordinary course of business[193](index=193&type=chunk) [Item 1A. Risk Factors](index=60&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the Company's Annual Report on Form 10-K for the year ended December 31, 2024 - There have not been any material changes in the risk factors previously disclosed in Part 1, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2024[194](index=194&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=60&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The Board authorized a new share repurchase plan for up to 400,000 shares, effective May 1, 2025, following repurchases under the previous plan - On April 24, 2025, Eagle's Board of Directors authorized a new share repurchase plan for up to **400,000 shares** of common stock, effective May 1, 2025, and expiring May 1, 2026[195](index=195&type=chunk) Common Stock Repurchases (April 1, 2025 through June 30, 2025) | Period | Total Number of Shares Purchased | Average Price Paid Per Share | | :----------------------------------- | :------------------------------- | :--------------------------- | | April 1, 2025 through April 30, 2025 | 25,000 | $16.34 | | May 1, 2025 through May 31, 2025 | - | - | | June 1, 2025 through June 30, 2025 | - | - | | Total | 25,000 | $16.34 | - Under the 2024 Repurchase Plan, **25,000 shares** were purchased in Q4 2024 and **50,000 shares** in Q1 2025, totaling **75,000 shares** before the plan expired on May 1, 2025[196](index=196&type=chunk) [Item 3. Defaults Upon Senior Securities](index=60&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) This item is not applicable to the Company for the reporting period - Not applicable[198](index=198&type=chunk) [Item 4. Mine Safety Disclosures](index=60&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the Company for the reporting period - Not applicable[199](index=199&type=chunk) [Item 5. Other Information](index=60&type=section&id=Item%205.%20Other%20Information) During the three months ended June 30, 2025, no directors or officers adopted or terminated any Rule 10b5-1 or non-Rule 10b5-1 trading arrangements - During the three months ended June 30, 2025, none of the Company's directors or officers adopted or terminated a "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement"[200](index=200&type=chunk) [Item 6. Exhibits](index=62&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed as part of the Form 10-Q, including organizational documents, stock incentive plans, and certifications - Exhibits include the Amended and Restated Certificate of Incorporation, Bylaws, 2025 Stock Incentive Plan, certifications by the CEO and CFO (pursuant to Rule 13a-14(a) and 18 U.S.C. Section 1350), and Inline XBRL Instance Document and Taxonomy Extension documents[203](index=203&type=chunk) [Signatures](index=63&type=section&id=Signatures) The report is duly signed on behalf of Eagle Bancorp Montana, Inc. by Laura F. Clark, President/CEO, and Miranda J. Spaulding, SVP/CFO, on August 7, 2025 - The report was signed on August 7, 2025, by Laura F. Clark, President/CEO, and Miranda J. Spaulding, SVP/CFO, on behalf of Eagle Bancorp Montana, Inc[207](index=207&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED: JUNE 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO COMMISSION FILE NUMBER: 001-16109 (I.R.S. Employer Identification Number) 37027 (Zip Code) (615) 263-3000 (Registrant's telephone number, including area code) Securit ...

PART I [Business](index=5&type=section&id=Item%201.%20Business) CACI provides specialized expertise and technology to U.S. government agencies, with 97% domestic revenue and growth from acquisitions - **CACI provides expertise and technology to national security customers in intelligence, defense, and federal civilian sectors**[22](index=22&type=chunk) Revenue by Operation Segment (FY2023-2025) | Segment | FY2025 Revenue % | FY2024 Revenue % | FY2023 Revenue % | | :--- | :--- | :--- | :--- | | Domestic Operations | 97.0% | 97.0% | 97.2% | | International Operations | 3.0% | 3.0% | 2.8% | - **Top ten contracts generated $4.0 billion, representing 46.4% of fiscal 2025 revenues**[39](index=39&type=chunk) - **CACI employed approximately 25,000 full and part-time employees as of June 30, 2025**[42](index=42&type=chunk) - **Seven acquisitions completed over the past three fiscal years expanded offerings and customer presence**[40](index=40&type=chunk)[50](index=50&type=chunk) [Risk Factors](index=8&type=section&id=Item%201A.%20Risk%20Factors) CACI faces material risks from heavy reliance on U.S. federal government contracts, competitive pressures, and debt management - **Federal government contracts accounted for 95.7% of fiscal 2025 revenue, with Department of Defense contracts comprising 75.4%**[59](index=59&type=chunk) - **Government contract procurement processes, including bid protests, pose risks of project delays and increased expenses**[60](index=60&type=chunk) - **Fixed-price contracts, representing 26.3% of FY2025 revenue, carry cost overrun and potential loss risks**[90](index=90&type=chunk) - **Goodwill from prior acquisitions totaled $5.0 billion as of June 30, 2025, subject to impairment risk**[96](index=96&type=chunk) - **Debt instruments, including the Credit Facility and Term Loan B, impose operating and financial restrictions, with non-compliance risking default**[97](index=97&type=chunk)[98](index=98&type=chunk) [Unresolved Staff Comments](index=16&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports no unresolved staff comments from the SEC - **None**[114](index=114&type=chunk) [Cybersecurity](index=16&type=section&id=Item%201C.%20Cybersecurity) CACI's cybersecurity program, managed by the CISO and overseen by the Audit and Risk Committee, aligns with NIST standards - **The cybersecurity program is managed by the CISO and integrated into the company's overall risk management framework**[116](index=116&type=chunk) - **The program aligns with NIST standards and complies with U.S. government cybersecurity regulations**[117](index=117&type=chunk) - **The Audit and Risk Committee of the Board of Directors oversees cybersecurity risks and incidents**[119](index=119&type=chunk) - **No cybersecurity threats have materially affected business operations or financial condition as of the report date**[120](index=120&type=chunk) [Properties](index=17&type=section&id=Item%202.%20Properties) CACI leases 3.7 million square feet across 136 U.S. locations and 0.1 million square feet internationally - **The company leases approximately 3.7 million square feet in 136 U.S. locations and 0.1 million square feet internationally**[121](index=121&type=chunk) [Legal Proceedings](index=17&type=section&id=Item%203.%20Legal%20Proceedings) CACI is appealing a **$42 million** jury award in the Al Shimari case, with the Abbass case stayed pending its outcome - **In the Al Shimari case, a jury awarded $3 million in compensatory and $11 million in punitive damages per plaintiff, with CACI appealing the decision**[136](index=136&type=chunk)[137](index=137&type=chunk) - **The Abbass v. CACI case, with similar allegations, is stayed pending the Al Shimari appeal outcome**[138](index=138&type=chunk)[139](index=139&type=chunk)[143](index=143&type=chunk) - **CACI is vigorously defending these legal proceedings, believing the lawsuits are without merit**[140](index=140&type=chunk) [Mine Safety Disclosures](index=20&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - **Not Applicable**[144](index=144&type=chunk) PART II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=21&type=section&id=Item%205.%20Market%20for%20the%20Registrant's%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) CACI common stock trades on NYSE, has never paid dividends, and repurchased **11,558 shares** in Q4 FY2025 - **The company retains earnings for business expansion and has never paid a cash dividend**[148](index=148&type=chunk) Share Repurchases (Quarter Ended June 30, 2025) | Period | Total Shares Purchased | Average Price Paid Per Share | Shares Remaining for Purchase | | :--- | :--- | :--- | :--- | | April 2025 | 11,558 | $394.95 | 494,741 | | May 2025 | — | — | 494,741 | | June 2025 | — | — | 494,741 | - **CACI's five-year cumulative total return was 119.8%, outperforming the Russell 1000 Index at 112.8%**[151](index=151&type=chunk) [Management's Discussion and Analysis of Financial Condition & Results of Operations](index=22&type=section&id=Item%207.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20%26%20Results%20of%20Operations) FY2025 revenue grew **12.6% to $8.63 billion**, with net income up **19.0%**, supported by strong backlog Fiscal 2025 vs. 2024 Results of Operations (in thousands) | Metric | FY 2025 | FY 2024 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Revenues | $8,627,824 | $7,659,832 | $967,992 | 12.6% | | Income from operations | $764,185 | $649,708 | $114,477 | 17.6% | | Net income | $499,830 | $419,924 | $79,906 | 19.0% | - **Revenue increase primarily driven by 7.2% organic growth from new contract awards and existing programs**[164](index=164&type=chunk) - **Effective income tax rate decreased from 22.9% to 17.4% in FY2025 due to a federal income tax audit resolution**[169](index=169&type=chunk) - **Total contract backlog was $31.4 billion as of June 30, 2025, with funded backlog at $4.2 billion**[170](index=170&type=chunk) Cash Flow Summary (in thousands) | Cash Flow Activity | FY 2025 | FY 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $547,009 | $497,331 | | Net cash used in investing activities | $(1,758,943) | $(151,952) | | Net cash provided by (used in) financing activities | $1,177,881 | $(326,895) | [Quantitative and Qualitative Disclosure About Market Risk](index=28&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosure%20About%20Market%20Risk) CACI manages market risk from variable-rate debt interest changes and foreign currency fluctuations - **Interest rate risk is managed through floating-to-fixed interest rate swap agreements totaling $1.0 billion notional amount**[199](index=199&type=chunk) - **A one percent interest rate fluctuation would change annual interest expense on variable-rate debt by approximately $15.7 million**[199](index=199&type=chunk) - **International operations, 3.0% of FY2025 revenues, expose the company to foreign currency risk, mitigated by local currency contracts**[200](index=200&type=chunk) [Financial Statements and Supplementary Data](index=28&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents CACI's audited consolidated financial statements for FY2025, including balance sheets and cash flow [Consolidated Balance Sheets](index=31&type=section&id=Consolidated%20Balance%20Sheets) Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Total current assets | $1,779,945 | $1,374,529 | | Goodwill | $5,021,805 | $4,154,844 | | Total assets | $8,647,598 | $6,796,101 | | **Liabilities & Equity** | | | | Total current liabilities | $1,208,106 | $1,078,260 | | Long-term debt, net | $2,849,190 | $1,481,387 | | Total liabilities | $4,753,653 | $3,277,894 | | Total shareholders' equity | $3,893,945 | $3,518,207 | [Consolidated Statements of Operations](index=32&type=section&id=Consolidated%20Statements%20of%20Operations) Consolidated Statement of Operations Highlights (in thousands, except per share data) | Metric | FY 2025 | FY 2024 | FY 2023 | | :--- | :--- | :--- | :--- | | Revenues | $8,627,824 | $7,659,832 | $6,702,546 | | Income from operations | $764,185 | $649,708 | $567,500 | | Net income | $499,830 | $419,924 | $384,735 | | Diluted earnings per share | $22.32 | $18.60 | $16.43 | [Consolidated Statements of Cash Flows](index=34&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Consolidated Statement of Cash Flows Highlights (in thousands) | Cash Flow Activity | FY 2025 | FY 2024 | FY 2023 | | :--- | :--- | :--- | :--- | | Net cash provided by operating activities | $547,009 | $497,331 | $388,056 | | Net cash used in investing activities | $(1,758,943) | $(151,952) | $(75,717) | | Net cash provided by (used in) financing activities | $1,177,881 | $(326,895) | $(316,108) | | Net change in cash and cash equivalents | $(27,780) | $18,185 | $972 | | Cash and cash equivalents, end of year | $106,181 | $133,961 | $115,776 | [Notes to the Consolidated Financial Statements](index=36&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) - **Note 4 - Acquisitions: CACI completed three acquisitions in FY2025, including Applied Insight for $314.2 million and Azure Summit Technology for $1.31 billion**[271](index=271&type=chunk)[272](index=272&type=chunk)[276](index=276&type=chunk) - **Note 5 - Revenues: Remaining performance obligations totaled $12.1 billion as of June 30, 2025, with 44% expected in 12 months**[286](index=286&type=chunk) - **Note 8 - Goodwill and Intangible Assets: Goodwill increased from $4.15 billion to $5.02 billion in FY2025, primarily due to acquisitions**[292](index=292&type=chunk)[293](index=293&type=chunk) - **Note 12 - Debt: Total long-term debt principal outstanding was $2.94 billion as of June 30, 2025, up from $1.55 billion**[302](index=302&type=chunk) - **Note 16 - Income Taxes: Effective tax rate for FY2025 was 17.4%, down from 22.9% in FY2024 due to a tax audit resolution**[335](index=335&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=58&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes or disagreements with its accountants on accounting or financial disclosure - **None**[353](index=353&type=chunk) [Controls and Procedures](index=59&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded disclosure controls and internal control over financial reporting were effective as of June 30, 2025 - **Management concluded disclosure controls and procedures were effective at a reasonable assurance level as of June 30, 2025**[356](index=356&type=chunk) - **Management concluded internal control over financial reporting was effective as of June 30, 2025, based on the COSO framework**[359](index=359&type=chunk) [Other Information](index=59&type=section&id=Item%209B.%20Other%20Information) No directors or officers adopted or terminated Rule 10b5-1 trading arrangements in Q4 FY2025 - **No directors or officers adopted or terminated Rule 10b5-1 trading arrangements during the quarter ended June 30, 2025**[361](index=361&type=chunk) [Disclosure Regarding Foreign Jurisdictions that Prevent Inspections](index=59&type=section&id=Item%209C.%20Disclosure%20Regarding%20Foreign%20Jurisdictions%20that%20Prevent%20Inspections) This item is not applicable to the company - **Not Applicable**[362](index=362&type=chunk) PART III [Directors, Executive Officers and Corporate Governance](index=60&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information on directors, executive officers, and corporate governance is incorporated from the 2025 Proxy Statement - **Required information is incorporated by reference from the 2025 Annual Meeting of Stockholders Proxy Statement**[365](index=365&type=chunk) - **The company adopted a code of ethics, "Standards of Ethics and Business Conduct," applicable to principal officers**[366](index=366&type=chunk) [Executive Compensation](index=60&type=section&id=Item%2011.%20Executive%20Compensation) Executive compensation information is incorporated by reference from the 2025 Proxy Statement - **Required information is incorporated by reference from the 2025 Annual Meeting of Shareholders Proxy Statement**[369](index=369&type=chunk) [Security Ownership of Certain Beneficial Owners and Management](index=60&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management) Security ownership information is incorporated by reference from the 2025 Proxy Statement - **Required information is incorporated by reference from the 2025 Annual Meeting of Shareholders Proxy Statement**[370](index=370&type=chunk) [Certain Relationships and Related Transactions](index=60&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions) Information on certain relationships and related transactions is incorporated from the 2025 Proxy Statement - **Required information is incorporated by reference from the 2025 Annual Meeting of Shareholders Proxy Statement**[371](index=371&type=chunk) [Principal Accountant Fees and Services](index=60&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Principal accountant fees and services information is incorporated from the 2025 Proxy Statement - **Required information is incorporated by reference from the 2025 Annual Meeting of Shareholders Proxy Statement**[372](index=372&type=chunk) PART IV [Exhibits and Financial Statement Schedules](index=61&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists financial statements, schedules, and exhibits filed with the Form 10-K - **This section lists all financial statements and exhibits filed with the Annual Report, with schedules omitted as not applicable**[376](index=376&type=chunk) [Form 10-K Summary](index=65&type=section&id=Item%2016.%20Form%2010-K%20Summary) The company has not provided a summary for its Form 10-K - **None**[379](index=379&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission File Number: 001-35159 THERMON GROUP HOLDINGS, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of ...

Form 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 58-1954497 (IRS Employer Identification Number) 8302 Dunwoody Place, Suite 250, Atlanta, GA Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________________to_________________ Commission File No. 001-11596 PERMA-FIX ...

[PART I - FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20-%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents Tennant Company's unaudited consolidated financial statements for Q2 2025, including Income, Comprehensive Income, Balance Sheets, Cash Flows, Equity, and detailed Notes [Consolidated Statements of Income](index=4&type=section&id=Consolidated%20Statements%20of%20Income) Q2 2025 net sales decreased to **$318.6 million**, with net income falling to **$20.2 million** and diluted EPS to **$1.08**, reflecting a similar trend for the six-month period Consolidated Statements of Income (Q2 & H1 2025 vs 2024) | (In millions, except per share data) | Three Months Ended June 30, | Six Months Ended June 30, | | :--- | :---: | :---: | | | **2025** | **2024** | **2025** | **2024** | | **Net sales** | $318.6 | $331.0 | $608.6 | $642.0 | | **Gross profit** | $134.1 | $142.7 | $254.1 | $280.2 | | **Operating income** | $30.6 | $38.6 | $50.2 | $76.1 | | **Net income** | $20.2 | $27.9 | $33.3 | $56.3 | | **Diluted EPS** | $1.08 | $1.45 | $1.77 | $2.94 | [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets increased to **$1,241.5 million**, with total liabilities at **$587.8 million** and total equity at **$653.7 million** Consolidated Balance Sheet Highlights | (In millions) | June 30, 2025 | December 31, 2024 | | :--- | :---: | :---: | | **Total current assets** | $574.6 | $576.6 | | **Total assets** | $1,241.5 | $1,190.1 | | **Total current liabilities** | $274.8 | $292.2 | | **Total liabilities** | $587.8 | $568.0 | | **Total equity** | $653.7 | $622.1 | [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) H1 2025 operating cash flow was **$22.1 million**, investing activities used **$10.6 million**, and financing activities used **$32.8 million**, resulting in a **$19.7 million** net cash decrease Cash Flow Summary (Six Months Ended June 30) | (In millions) | 2025 | 2024 | | :--- | :---: | :---: | | **Net cash provided by operating activities** | $22.1 | $21.5 | | **Net cash used in investing activities** | $(10.6) | $(64.9) | | **Net cash (used in) provided by financing activities** | $(32.8) | $12.4 | | **Net decrease in cash and cash equivalents** | $(19.7) | $(32.5) | | **Cash and cash equivalents at end of period** | $80.1 | $84.6 | [Notes to Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Detailed notes explain accounting policies, financial results, revenue disaggregation, debt, derivatives, and recent segment reporting changes and acquisitions - The company designs, manufactures, and markets cleaning solutions for various environments, reaching customers through direct sales and a distributor network[27](index=27&type=chunk)[28](index=28&type=chunk)[29](index=29&type=chunk) - Effective December 31, 2024, the company adopted ASU 2023-07, which enhances disclosures about reportable segments, although it had no impact on the consolidated financial statements themselves[33](index=33&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=30&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q2 2025 financial results, noting a **3.7%** net sales decrease to **$318.6 million** and a 100 bps gross margin contraction, while managing macroeconomic challenges and maintaining strong liquidity - The company is facing macroeconomic challenges including geopolitical tensions, elevated interest rates, and trade policy uncertainty, particularly U.S. tariffs which could increase input costs[100](index=100&type=chunk)[101](index=101&type=chunk) - Demand trends are mixed globally: China's recovery is slow, uncertainty in Mexico is delaying spending, and Europe faces heightened competition[102](index=102&type=chunk) - To manage challenges, the company is focusing on cost control, operational improvements, proactive pricing, and supply-chain initiatives to mitigate tariff impacts[103](index=103&type=chunk)[106](index=106&type=chunk) [Results of Operations](index=31&type=section&id=Results%20of%20Operations) Q2 2025 net sales declined **3.7%** to **$318.6 million** due to lower volumes, gross margin contracted by **100 bps**, and operating income dropped to **$30.6 million** Net Sales Change Components (2025 vs. 2024) | | Three Months Ended June 30, | Six Months Ended June 30, | | :--- | :---: | :---: | | **Price** | 1.8% | 0.9% | | **Volume** | (6.3)% | (5.6)% | | **Organic decline** | (4.5)% | (4.7)% | | **Acquisitions** | —% | 0.2% | | **Foreign currency** | 0.8% | (0.7)% | | **Total** | (3.7)% | (5.2)% | Net Sales by Geographic Area (Q2 2025 vs 2024) | (In millions) | Q2 2025 | Q2 2024 | % Change | | :--- | :---: | :---: | :---: | | **Americas** | $213.5 | $227.8 | (6.3)% | | **EMEA** | $84.7 | $81.5 | 3.9% | | **Asia Pacific** | $20.4 | $21.7 | (6.0)% | | **Total** | $318.6 | $331.0 | (3.7)% | - The gross profit margin decrease was primarily attributed to a shift in product/customer mix, inflation, and lower productivity, partially offset by price realization. Prior-year periods benefited from a significant reduction in backlog of higher-margin products[112](index=112&type=chunk) - S&A expense increased in Q2 2025 due to strategic investments (including ERP costs) and a bad debt charge, partly offset by lower variable compensation[113](index=113&type=chunk) [Liquidity and Capital Resources](index=34&type=section&id=Liquidity%20and%20Capital%20Resources) As of June 30, 2025, cash was **$80.1 million**, operating cash flow was **$22.1 million**, and financing activities used **$32.8 million**, with **$434.3 million** unused borrowing capacity - Cash and cash equivalents decreased to **$80.1 million** at June 30, 2025, from **$99.8 million** at December 31, 2024[123](index=123&type=chunk) - Net cash from operating activities for H1 2025 was **$22.1 million**, slightly up from **$21.5 million** in H1 2024, despite a **$28.4 million** spend on an ERP project[125](index=125&type=chunk) - Net cash used in financing activities was **$32.8 million** in H1 2025, a significant shift from **$12.4 million** provided in H1 2024, driven by increased common stock repurchases[127](index=127&type=chunk) - The company had approximately **$434.3 million** of unused borrowing capacity on its revolving facility as of June 30, 2025[124](index=124&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=36&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) No material changes in the company's market risk have occurred since December 31, 2024 - There have been no material changes in the company's market risk since December 31, 2024[136](index=136&type=chunk) [Item 4. Controls and Procedures](index=36&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of June 30, 2025, with no material changes to internal controls over financial reporting - Management concluded that as of June 30, 2025, the company's disclosure controls and procedures were effective[137](index=137&type=chunk) - There were no changes in internal controls over financial reporting during the quarter that have materially affected, or are reasonably likely to materially affect, these controls[138](index=138&type=chunk) [PART II - OTHER INFORMATION](index=37&type=section&id=PART%20II%20-%20OTHER%20INFORMATION) [Item 1. Legal Proceedings](index=37&type=section&id=Item%201.%20Legal%20Proceedings) No material developments in legal proceedings were reported during the quarter - There have been no material developments in any legal proceedings that require reporting in this Form 10-Q[139](index=139&type=chunk) [Item 1A. Risk Factors](index=37&type=section&id=Item%201A.%20Risk%20Factors) No material changes to the company's risk factors have occurred since the 2024 Form 10-K filing - No material changes to the company's risk factors have occurred since the filing of the 2024 Form 10-K[140](index=140&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=37&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased **183,749** shares at an average of **$73.85** per share in Q2 2025, with **2,207,371** shares remaining authorized for repurchase Share Repurchases for the Quarter Ended June 30, 2025 | Period | Total Shares Purchased | Average Price Paid Per Share | Shares Purchased as Part of Publicly Announced Programs | | :--- | :---: | :---: | :---: | | April 1-30, 2025 | 58,263 | $72.17 | 58,169 | | May 1-31, 2025 | 66,413 | $73.78 | 62,582 | | June 1-30, 2025 | 59,073 | $75.57 | 59,073 | | **Total** | **183,749** | **$73.85** | **179,824** | - On February 11, 2025, the Board of Directors authorized the repurchase of an additional **2,000,000** shares of common stock[141](index=141&type=chunk) [Item 5. Other Information](index=37&type=section&id=Item%205.%20Other%20Information) No director or officer adopted, modified, or terminated a Rule 10b5-1 trading arrangement during Q2 2025 - No director or officer adopted, modified, or terminated a Rule 10b5-1 trading arrangement during the three months ended June 30, 2025[143](index=143&type=chunk) [Item 6. Exhibits](index=38&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with Form 10-Q, including CEO/CFO certifications and iXBRL financial data - The report includes CEO and CFO certifications (Rule 13a-14(a)/15d-14(a) and Section 1350) and financial statements in iXBRL format as exhibits[144](index=144&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______ to ______ Commission File Number: 1-12672 AVALONBAY COMMUNITIES, INC. (Exact name of registrant as specified in its charter) Maryland 77-0404318 (State or other ju ...

[Part I – Financial Information](index=4&type=section&id=Part%20I%20%E2%80%93%20Financial%20Information) [Financial Statements](index=4&type=section&id=ITEM%201.%20Financial%20Statements) This section presents AIG's unaudited Condensed Consolidated Financial Statements for Q2 2025, including balance sheets, income, comprehensive income, equity, and cash flow statements, with detailed notes on accounting policies and segment data Condensed Consolidated Balance Sheet Highlights (in millions) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Investments | $93,966 | $93,613 | | **Total Assets** | **$165,971** | **$161,322** | | Total Liabilities | $124,442 | $118,772 | | **Total AIG Shareholders' Equity** | **$41,501** | **$42,521** | | **Total Liabilities and Equity** | **$165,971** | **$161,322** | Condensed Consolidated Statements of Income Highlights (in millions, except per share data) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | Total Revenues | $7,091 | $6,560 | $13,874 | $13,323 | | Income from Continuing Operations | $1,144 | $475 | $1,842 | $1,272 | | Net Income (Loss) Attributable to AIG | $1,144 | $(3,977) | $1,842 | $(2,761) | | Diluted EPS from Continuing Operations | $1.98 | $0.71 | $3.13 | $1.85 | | Diluted Net EPS Attributable to AIG | $1.98 | $(5.96) | $3.13 | $(4.11) | Condensed Consolidated Statements of Cash Flows Highlights (in millions) | Cash Flow Activity | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net Cash Provided by Operating Activities | $1,335 | $1,449 | | Net Cash Provided by (Used in) Investing Activities | $3,315 | $(1,296) | | Net Cash Used in Financing Activities | $(4,212) | $(148) | | **Net Increase (Decrease) in Cash** | **$469** | **$(61)** | [Note 1. Basis of Presentation](index=12&type=section&id=Note%201.%20Basis%20of%20Presentation) The unaudited financial statements are prepared under U.S. GAAP, requiring significant judgment for estimates like loss reserves, reinsurance assets, and fair value measurements - Critical accounting estimates requiring significant judgment include loss reserves, reinsurance assets, allowance for credit losses on investments, fair value measurements, and income taxes[23](index=23&type=chunk)[25](index=25&type=chunk) - In May 2025, AIG issued **$1.25 billion** in notes and in June 2025, redeemed and repurchased **$693 million** of debt through cash tender offers[24](index=24&type=chunk) [Note 3. Segment Information](index=13&type=section&id=Note%203.%20Segment%20Information) AIG realigned its structure into North America Commercial, International Commercial, and Global Personal segments, with performance evaluated by underwriting income - AIG realigned its organizational structure in Q4 2024 into three new reportable segments: North America Commercial, International Commercial, and Global Personal. Prior year presentations have been recast to conform[28](index=28&type=chunk)[29](index=29&type=chunk) Underwriting Income by Segment (in millions) | Segment | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | North America Commercial | $301 | $191 | $430 | $427 | | International Commercial | $300 | $230 | $540 | $560 | | Global Personal | $25 | $9 | $(101) | $39 | | **Total General Insurance** | **$626** | **$430** | **$869** | **$1,026** | Net Premiums Written by Segment (in millions) | Segment | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | North America Commercial | $2,863 | $2,750 | $4,037 | $3,783 | | International Commercial | $2,325 | $2,284 | $4,352 | $4,223 | | Global Personal | $1,692 | $1,899 | $3,017 | $3,439 | | **Total General Insurance** | **$6,880** | **$6,933** | **$11,406** | **$11,445** | [Note 4. Discontinued Operations Presentation](index=17&type=section&id=Note%204.%20Discontinued%20Operations%20Presentation) AIG deconsolidated Corebridge on June 9, 2024, resulting in a **$4.8 billion** loss in Q2 2024, with its retained interest now an equity method investment - AIG deconsolidated Corebridge on June 9, 2024, resulting in a **$4.8 billion** loss in Q2 2024, primarily due to the recognition of a **$7.2 billion** accumulated comprehensive loss. The historical results of Corebridge are now presented as discontinued operations[47](index=47&type=chunk)[48](index=48&type=chunk) - Post-deconsolidation, AIG's ownership in Corebridge was **21.0%** as of June 30, 2025. AIG launched a secondary offering on August 6, 2025, to sell an additional **30 million** shares for approximately **$1.0 billion** in gross proceeds[50](index=50&type=chunk)[51](index=51&type=chunk) [Note 5. Fair Value Measurements](index=19&type=section&id=Note%205.%20Fair%20Value%20Measurements) This note details recurring fair value measurements of assets and liabilities, categorized by a three-level hierarchy, with **$80.2 billion** in total assets measured at fair value as of June 30, 2025 Assets Measured at Fair Value on a Recurring Basis (in millions) | Level | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Level 1 | $8,352 | $12,638 | | Level 2 | $68,725 | $63,919 | | Level 3 | $3,497 | $3,532 | | **Total (after netting)** | **$80,168** | **$79,515** | - The company holds investments in private equity and hedge funds measured at fair value using Net Asset Value (NAV), totaling **$3.5 billion** as of June 30, 2025, with unfunded commitments of **$1.1 billion**[59](index=59&type=chunk)[88](index=88&type=chunk) - AIG's retained investment in Corebridge is accounted for under the fair value option, with a value of **$4.0 billion** at June 30, 2025. Changes in its stock price are recognized in Net Investment Income[59](index=59&type=chunk)[91](index=91&type=chunk) [Note 6. Investments](index=31&type=section&id=Note%206.%20Investments) This note details AIG's investment portfolio, with **$68.9 billion** in available-for-sale bonds as of June 30, 2025, and discusses unrealized losses and net investment income Securities Available for Sale (Fair Value, in millions) | Security Type | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Corporate debt | $36,485 | $31,826 | | RMBS | $9,717 | $8,604 | | Non-U.S. governments | $6,913 | $8,107 | | CLO/ABS | $6,070 | $5,133 | | CMBS | $3,743 | $3,926 | | Other | $5,932 | $6,410 | | **Total** | **$68,860** | **$64,006** | Net Investment Income (in millions) | Period | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | **Total Net Investment Income** | **$1,466** | **$990** | **$2,571** | **$1,969** | - As of June 30, 2025, AIG held **8,797** individual fixed maturity securities in an unrealized loss position totaling **$2.3 billion**, for which no allowance for credit loss was recorded as the losses were deemed due to non-credit factors[95](index=95&type=chunk)[97](index=97&type=chunk) [Note 7. Lending Activities](index=37&type=section&id=Note%207.%20Lending%20Activities) This note details AIG's **$3.5 billion** net mortgage and other loan receivables as of June 30, 2025, primarily commercial mortgages, and provides credit quality indicators Mortgage and Other Loans Receivable, Net (in millions) | Loan Type | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Commercial mortgages | $3,029 | $3,305 | | Commercial loans, other loans | $592 | $721 | | Life insurance policy loans | $5 | $6 | | **Total Loans Receivable** | **$3,626** | **$4,032** | | Allowance for credit losses | $(106) | $(164) | | **Net Loans Receivable** | **$3,520** | **$3,868** | - As of June 30, 2025, commercial mortgage loans on nonaccrual status amounted to **$152 million**, a decrease from **$252 million** at year-end 2024[126](index=126&type=chunk) - The weighted average loan-to-value ratio for the commercial mortgage portfolio was **69%** at June 30, 2025, up from **65%** at December 31, 2024[132](index=132&type=chunk) [Note 8. Reinsurance](index=40&type=section&id=Note%208.%20Reinsurance) This note details AIG's reinsurance activities, including the Fortitude Re funds withheld arrangement, with **$3.3 billion** in ceded reserves and **83%** of **$41.9 billion** total recoverables rated investment grade - AIG's reinsurance transactions with Fortitude Re for run-off operations are structured as modified coinsurance and funds withheld arrangements. As of June 30, 2025, **$3.3 billion** of reserves were ceded to Fortitude Re[146](index=146&type=chunk)[147](index=147&type=chunk) Financial Impact of Fortitude Re Funds Withheld Arrangements (in millions) | Item | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | Net Investment Income | $39 | $33 | $79 | $72 | | Net Realized Gains (Losses) | $(66) | $7 | $(109) | $(21) | | **Pre-tax Income (Loss)** | **$(27)** | **$40** | **$(30)** | **$51** | - As of June 30, 2025, total reinsurance recoverables were **$41.9 billion**, of which approximately **83%** were from reinsurers rated as investment grade[156](index=156&type=chunk) [Note 12. Insurance Liabilities](index=46&type=section&id=Note%2012.%20Insurance%20Liabilities) This note details AIG's insurance liabilities, with **$69.8 billion** in gross loss reserves as of June 30, 2025, and discusses prior year development and the NICO reinsurance agreement Loss Reserves Rollforward Highlights (Net, in millions) | Item | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | Beginning Net Liability | $41,097 | $39,891 | $40,142 | $40,104 | | Total Losses Incurred | $3,493 | $3,467 | $7,287 | $6,906 | | Total Losses Paid | $(3,592) | $(3,452) | $(6,982) | $(6,595) | | **Ending Net Liability** | **$41,888** | **$39,934** | **$41,888** | **$39,934** | - For Q2 2025, AIG recognized **$25 million** of unfavorable prior year loss reserve development, primarily from adverse development in U.S. Excess Casualty, partially offset by favorable experience in U.S. Workers' Compensation and other lines[190](index=190&type=chunk) - The adverse development reinsurance agreement with NICO covers **80%** of reserve risk on U.S. commercial long-tail exposures for accident years 2015 and prior, above a **$25 billion** threshold[189](index=189&type=chunk) [Note 14. Equity](index=50&type=section&id=Note%2014.%20Equity) This note details changes in shareholders' equity, including a **$7.5 billion** share repurchase program, **$4.0 billion** in repurchases, and a **$0.45** per share quarterly dividend - Effective April 1, 2025, the Board authorized a **$7.5 billion** share repurchase program. During the first six months of 2025, AIG repurchased **50.4 million** shares for an aggregate price of approximately **$4.0 billion**[212](index=212&type=chunk)[215](index=215&type=chunk) - On August 6, 2025, the Board of Directors declared a quarterly cash dividend of **$0.45** per share, an increase from the prior quarter's **$0.40** per share[218](index=218&type=chunk)[405](index=405&type=chunk) Accumulated Other Comprehensive Income (Loss) Rollforward (in millions) | Period | Beginning Balance (net of tax) | Total Other Comprehensive Income (Loss) | Ending Balance (net of tax) | | :--- | :--- | :--- | :--- | | **Q2 2025** | $(6,464) | $916 | $(5,548) | | **YTD 2025** | $(7,099) | $1,552 | $(5,548) | [Note 15. Earnings Per Common Share (EPS)](index=54&type=section&id=Note%2015.%20Earnings%20Per%20Common%20Share%20(EPS)) This note details the calculation of basic and diluted Earnings Per Common Share (EPS), with Q2 2025 diluted EPS from continuing operations at **$1.98** Diluted Earnings Per Share (EPS) Calculation | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | Income from Continuing Operations | $1.98 | $0.71 | $3.13 | $1.85 | | Loss from Discontinued Operations | $— | $(6.67) | $— | $(5.96) | | **Net Income (Loss) Attributable to AIG** | **$1.98** | **$(5.96)** | **$3.13** | **$(4.11)** | [Note 16. Income Taxes](index=55&type=section&id=Note%2016.%20Income%20Taxes) The effective tax rate on continuing operations was **25.9%** for Q2 2025, higher than the **21%** statutory rate due to foreign operations and non-deductible expenses - The effective tax rate on income from continuing operations was **25.9%** for Q2 2025 and **26.4%** for the six months ended June 30, 2025, differing from the **21%** statutory rate mainly due to foreign operations, state taxes, and non-deductible expenses[233](index=233&type=chunk)[234](index=234&type=chunk) - AIG is currently under IRS examination for tax years 2011 through 2019 and is in the IRS Appeals process for issues from 2007 through 2010[242](index=242&type=chunk) - As of June 30, 2025, AIG maintained a valuation allowance of **$300 million** on U.S. federal tax attribute carryforwards that are not more likely than not to be realized[239](index=239&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=57&type=section&id=ITEM%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's analysis of AIG's financial condition and results for Q2 and H1 2025, covering operating structure, economic factors, segment performance, investments, reserves, liquidity, and capital [Executive Summary](index=62&type=section&id=Executive%20Summary) This summary outlines AIG's new three-segment operating structure, highlights the Corebridge deconsolidation, and notes key economic factors influencing the business - AIG's operating structure now comprises three segments: North America Commercial, International Commercial, and Global Personal. The General Insurance business consists of these three segments plus related net investment income[269](index=269&type=chunk) - AIG deconsolidated Corebridge on June 9, 2024. Consequently, Corebridge's historical financial results are presented as discontinued operations in this report[270](index=270&type=chunk) [Consolidated Results of Operations](index=64&type=section&id=Consolidated%20Results%20of%20Operations) Q2 2025 net income attributable to AIG common shareholders was **$1.1 billion**, a significant improvement from Q2 2024, driven by the absence of Corebridge deconsolidation loss and improved underwriting - The **$5.1 billion** increase in Q2 2025 net income compared to Q2 2024 was primarily driven by a **$4.4 billion** swing in discontinued operations related to the Corebridge deconsolidation, a **$476 million** increase in Net Investment Income, and a **$348 million** decrease in General Operating Expenses[284](index=284&type=chunk)[286](index=286&type=chunk) Key Financial Metrics per Share | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Book value per share | $74.14 | $70.16 | | Adjusted book value per share | $76.62 | $73.79 | | Core operating book value per share | $63.71 | $61.75 | Return on Equity | Metric | Q2 2025 (Annualized) | Q2 2024 (Annualized) | | :--- | :--- | :--- | | Return on equity | 11.0% | NM | | Adjusted return on equity | 9.7% | 6.1% | | Core operating return on equity | 11.7% | 8.8% | [Business Segment Operations](index=69&type=section&id=Business%20Segment%20Operations) This section details AIG's business segment performance, with General Insurance Q2 2025 underwriting income at **$626 million** and a combined ratio of **89.3%**, reflecting improvements across commercial and personal lines General Insurance Underwriting Results (in millions) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | Net Premiums Written | $6,880 | $6,933 | $11,406 | $11,445 | | Underwriting Income | $626 | $430 | $869 | $1,026 | | Combined Ratio | 89.3% | 92.5% | 92.6% | 91.1% | | Accident Year Combined Ratio, ex-CAT | 88.4% | 87.6% | 88.2% | 87.9% | - North America Commercial net premiums written grew **4%** in Q2 2025, driven by new business and strong retention in Casualty[323](index=323&type=chunk) - International Commercial underwriting income increased by **$70 million** in Q2 2025, primarily due to lower catastrophe losses of **$108 million**[329](index=329&type=chunk) - Global Personal net premiums written decreased **11%** in Q2 2025, mainly due to the sale of the global individual personal travel insurance business in December 2024[332](index=332&type=chunk) [Investments](index=77&type=section&id=Investments) AIG's investment strategy focuses on income generation and capital preservation, with the majority of assets in fixed maturity securities, and new investment yields exceeding maturing asset rates in H1 2025 - The primary investment objectives are generating investment income, preserving capital, managing liquidity, and growing surplus. The majority of assets backing insurance liabilities consist of fixed maturity securities[340](index=340&type=chunk) - For the six months ended June 30, 2025, blended investment yields on new investments were higher than rates on investments that were sold, matured, or called[344](index=344&type=chunk) Fixed Maturity Securities by Composite AIG Credit Rating (Fair Value, in millions) | Rating | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | AAA/AA/A | $49,203 | $45,756 | | BBB | $14,644 | $13,542 | | **Total Investment Grade** | **$63,847** | **$59,298** | | Below Investment Grade | $5,657 | $5,393 | | Non-rated | $78 | $60 | | **Total** | **$69,582** | **$64,751** | [Insurance Reserves](index=86&type=section&id=Insurance%20Reserves) This section details AIG's insurance liabilities, with **$41.9 billion** in net loss reserves as of June 30, 2025, and discusses **$128 million** of net favorable prior year development in Q2 2025 Net Loss Reserves by Segment (in millions) | Segment | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | North America Commercial | $23,470 | $23,354 | | International Commercial | $13,018 | $11,265 | | Global Personal | $3,316 | $3,088 | | Other | $2,084 | $2,435 | | **Total General Insurance & Other** | **$41,888** | **$40,142** | - In Q2 2025, AIG recognized net favorable prior year development of **$128 million**, primarily from U.S. Workers' Compensation and U.S. Property and Special Risks, offset by adverse development in U.S. Excess Casualty[385](index=385&type=chunk)[386](index=386&type=chunk)[387](index=387&type=chunk) [Liquidity and Capital Resources](index=89&type=section&id=Liquidity%20and%20Capital%20Resources) AIG maintains strong liquidity and capital, with **$7.8 billion** in AIG Parent liquidity sources as of June 30, 2025, and recent credit rating upgrades - As of June 30, 2025, AIG Parent held approximately **$7.8 billion** in liquidity sources, including cash, short-term investments, and a **$3.0 billion** revolving credit facility[413](index=413&type=chunk) - During the first six months of 2025, AIG repurchased approximately **50 million** shares of common stock for **$4.0 billion** and paid **$488 million** in common stock dividends[405](index=405&type=chunk)[406](index=406&type=chunk) - In May 2025, S&P upgraded AIG Parent's senior debt rating to **A-** from **BBB+**. In June 2025, Moody's upgraded the senior debt rating to **Baa1** from **Baa2**[438](index=438&type=chunk)[439](index=439&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=98&type=section&id=ITEM%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section confirms no material changes in AIG's market risk exposures as of June 30, 2025, compared to the 2024 Annual Report disclosures - There have been no material changes in AIG's market risk exposures as of June 30, 2025, compared to the disclosures in the 2024 Annual Report[450](index=450&type=chunk) [Controls and Procedures](index=98&type=section&id=ITEM%204.%20Controls%20and%20Procedures) Management concluded AIG's disclosure controls and procedures were effective as of June 30, 2025, with no material changes to internal control over financial reporting during the quarter - AIG's CEO and CFO concluded that the company's disclosure controls and procedures were effective as of June 30, 2025[478](index=478&type=chunk) - No material changes to internal control over financial reporting occurred during the quarter ended June 30, 2025[479](index=479&type=chunk) [Part II – Other Information](index=99&type=section&id=Part%20II%20%E2%80%93%20Other%20Information) [Legal Proceedings](index=99&type=section&id=ITEM%201.%20Legal%20Proceedings) This section incorporates legal proceedings information by reference from Note 13 of the Condensed Consolidated Financial Statements - Information regarding legal proceedings is detailed in Note 13 of the financial statements[481](index=481&type=chunk) [Risk Factors](index=99&type=section&id=ITEM%201A.%20Risk%20Factors) This section directs readers to the comprehensive risk factors detailed in Part I, Item 1A of the company's 2024 Annual Report - Investors are advised to review the risk factors detailed in the 2024 Annual Report on Form 10-K[482](index=482&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=99&type=section&id=ITEM%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During Q2 2025, AIG repurchased **21.4 million** shares for **$1.8 billion**, with **$5.7 billion** remaining under the **$7.5 billion** repurchase program Share Repurchases for Q2 2025 | Period | Total Shares Repurchased | Average Price Paid per Share | | :--- | :--- | :--- | | April 2025 | 5,324,955 | $81.89 | | May 2025 | 6,573,007 | $83.04 | | June 2025 | 9,467,591 | $85.08 | | **Total Q2** | **21,365,553** | **$83.66** | - Effective April 1, 2025, the Board authorized a new **$7.5 billion** share repurchase plan. As of June 30, 2025, **$5.7 billion** remained available for future repurchases[483](index=483&type=chunk)[484](index=484&type=chunk)