Financial Performance - Kinetik reported net income of $15.5 million for Q3 2025 and $109.2 million for the first nine months of 2025[2]. - Adjusted EBITDA for Q3 2025 was $242.6 million, with a total of $735.6 million for the nine months ended September 30, 2025[2]. - Total operating revenues for Q3 2025 reached $463.97 million, a 17% increase from $396.36 million in Q3 2024[20]. - Product revenue for the nine months ended September 30, 2025, was $981.70 million, up 24.7% from $787.09 million in the same period of 2024[20]. - Operating income for Q3 2025 was $19.79 million, a decrease of 72.9% compared to $72.87 million in Q3 2024[20]. - Adjusted EBITDA for the nine months ended September 30, 2025, was $735.58 million, slightly up from $733.64 million in the same period of 2024[22]. - Distributable cash flow for Q3 2025 was $158.49 million, down 13.9% from $184.16 million in Q3 2024[22]. - Net income attributable to holders of Class A Common Stock for Q3 2025 was $5.27 million, a decline of 79.5% from $25.76 million in Q3 2024[20]. - The company reported a basic net income per share of $0.03 for Q3 2025, down from $0.35 in Q3 2024[20]. - The company reported an income before income taxes of $16,658 thousand for Q3 2025, a significant decrease from $91,914 thousand in Q3 2024, indicating a decline of approximately 82%[30][31]. Operational Highlights - The company processed natural gas volumes of 1.84 Bcf/d in Q3 2025, an 8% increase year-over-year[6]. - Kinetik achieved full commercial in-service at the Kings Landing Complex, adding over 200 Mmcf/d of gas processing capacity[9]. - Kinetik reached final investment decision on the acid gas injection project at Kings Landing, expected to be in service by year-end 2026[10]. - The Midstream Logistics segment generated Adjusted EBITDA of $151 million, a 13% decrease year-over-year[6]. - Segment Adjusted EBITDA for the Midstream Logistics segment was $151,358 thousand for Q3 2025, compared to $173,623 thousand for Q3 2024, indicating a decrease of about 13%[30][31]. - The total segment operating revenue for the nine months ended September 30, 2025, was $1,333,970 thousand, up from $1,325,621 thousand in the same period of 2024, reflecting a slight increase of approximately 0.6%[32]. Financial Guidance and Capital Expenditures - The company revised its 2025 Adjusted EBITDA guidance to a range of $965 million to $1.005 billion[4]. - Capital expenditures for 2025 are now guided to be between $485 million and $515 million[7]. - Kinetik repurchased $176 million of Class A common stock year to date, with $100 million repurchased in Q3 2025[6]. Debt and Expenses - Net debt as of September 30, 2025, was $4.15 billion, an increase from $3.94 billion as of September 30, 2024[25]. - Interest expense for the nine months ended September 30, 2025, totaled $173.95 million, compared to $167.55 million in the same period of 2024[22]. - Total operating costs and expenses for Q3 2025 were $444.18 million, a 37.3% increase from $323.49 million in Q3 2024[20]. - General and administrative expenses for Q3 2025 totaled $30,096 thousand, compared to $29,619 thousand in Q3 2024, showing a slight increase of about 1.6%[30][31]. - The total costs of sales (excluding depreciation and amortization) for Q3 2025 were $235,391 thousand, up from $144,586 thousand in Q3 2024, reflecting a significant increase of approximately 63%[30][31]. Equity and Investments - The company closed the sale of its 27.5% equity interest in EPIC Crude, generating over $500 million in net cash proceeds[6]. - The company recognized equity in earnings of unconsolidated affiliates amounting to $58,289 thousand for Q3 2025, compared to $53,244 thousand in Q3 2024, representing an increase of approximately 9%[30][31]. - The company reported a gain on the sale of equity method investment of $89,837,000 and equity income from unconsolidated affiliates of $169,668,000[33]. Definitions and Accounting Practices - Adjusted EBITDA is defined as net income adjusted for interest, taxes, depreciation, and other non-recurring charges, providing a basis for operational performance comparison[35]. - Free Cash Flow is defined as Distributable Cash Flow adjusted for various expenditures, which is a useful measure for comparing cash generation performance over periods[27]. - Net Debt at the balance sheet date is defined as total short-term and long-term debt less cash and cash equivalents, providing insight into the company's leverage position[28]. - Intersegment revenue was eliminated at consolidation, with the company accounting for intersegment sales at market prices[34].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ______________________________ FORM 10-Q ______________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period ended September 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 001-40798 ______________________________ DUTCH B ...

Financial Performance - The company recorded a net loss of CAD 129,220 for the three months ended September 30, 2025, compared to a net income of CAD 10,252 for the same period in 2024[3]. - For the nine months ended September 30, 2025, the net loss was CAD 266,847, significantly higher than the loss of CAD 11,172 in the prior year[3]. - The company incurred total expenses of CAD 21,986 for the three months ended September 30, 2025, compared to CAD 18,712 in the same period of 2024, an increase of approximately 12.2%[3]. - Share-based payments for the three months ended September 30, 2025, were CAD 11,066, up from CAD 8,236 in the prior year, representing a rise of approximately 34.3%[3]. - The company reported a net loss of $266,847 thousand for the nine months ended September 30, 2025, with an additional other comprehensive loss of $39,633 thousand[10]. Assets and Liabilities - As of September 30, 2025, NexGen Energy Ltd. reported total assets of CAD 1,566,177, a decrease from CAD 1,657,243 as of December 31, 2024, representing a decline of approximately 5.5%[2]. - Current liabilities increased to CAD 637,861 from CAD 478,111, marking a rise of approximately 33.4%[2]. - Cash and cash equivalents at the end of the period were CAD 305,985, down from CAD 476,587 at the beginning of the period, indicating a decrease of approximately 36%[4]. - As of September 30, 2025, NexGen Energy Ltd. reported an accumulated deficit of $648,410 thousand and a working capital deficit of $319,990 thousand, including convertible debentures[10]. - The company had cash reserves of $305,985 thousand as of September 30, 2025, and completed an equity financing with gross proceeds of approximately $953 million subsequent to this date[10]. Exploration and Evaluation - Exploration and evaluation assets increased to CAD 731,611 from CAD 584,889, reflecting a growth of approximately 25.1%[2]. - Total deferred exploration and acquisition costs increased to $731,611 thousand as of September 30, 2025, up from $584,889 thousand at the end of 2024, reflecting an addition of $146,722 thousand during the period[22]. - NexGen Energy Ltd. is engaged in the exploration and development of uranium properties in Canada and does not have revenues, historically incurring recurring operating losses[10]. Share Capital and Financing - The balance of share capital increased from $1,009,130 thousand at December 31, 2023, to $1,405,968 thousand at December 31, 2024[5]. - The company issued 5,186,669 shares for stock options, resulting in proceeds of $23,586 thousand, and recorded share-based payments of $23,227 thousand[10]. - The company raised $134,948,000 from the issuance of 13,000,800 shares under its at-the-market equity program in 2024, with share issuance costs of $4,993,000[37]. - The company completed a non-brokered private placement of 2.5 million common shares at $2.50 per share for gross proceeds of $6,250 on February 28, 2025[47]. - On October 15, 2025, the Company closed an equity financing offering 33,112,583 common shares and 45,801,527 common shares at a price of $12.08 per share, resulting in gross proceeds of approximately $953 million[66]. Investments and Impairments - The investment in associate decreased to $158,131,000 as of September 30, 2025, down from $229,594,000 at December 31, 2024, primarily due to an impairment loss of $81,009,000[24]. - The company reported a fair value of $231,032,000 for the investment in associate as of September 30, 2025, based on the closing market price of IsoEnergy[24]. - IsoEnergy reported a net income of $3,506,000 for the nine months ended September 30, 2025, compared to a net loss of $42,135,000 for the year ended December 31, 2024[25]. Cash Flow and Financial Position - The company reported cash used in operating activities of CAD 10,437 for the three months ended September 30, 2025, compared to CAD 2,836 in the same period of 2024, indicating a significant increase in cash outflow[4]. - The company's cash position as of September 30, 2025 was $305,985, down from $476,587 as of December 31, 2024[55]. - The total current liabilities as of September 30, 2025 were $637,861, including convertible debentures[56]. - The company recognized a loss of $79,980 in the consolidated statement of net income (loss) for the nine months ended September 30, 2025, due to changes in the fair value of convertible debentures[51]. Risk Management - The company has a notional amount of approximately $82.5 million in a USD/CAD forward contract to hedge foreign currency risk associated with US dollar interest payments on convertible debentures[59]. - The Company is exposed to equity price risk, which may adversely impact earnings due to significant movements in share prices and the valuation of convertible debentures[62]. - The Company closely monitors commodity prices, particularly uranium, as future declines may affect the valuation of long-lived assets[63]. - The Company holds cash in bank accounts with variable interest rates, and fluctuations in market rates do not significantly impact the estimated fair value of cash balances as of September 30, 2025[64]. Shareholder Information - The weighted average common shares outstanding for the three months ended September 30, 2025, were 573,112,202, compared to 564,693,987 for the same period in 2024[3]. - Basic net earnings per share for the three months ended September 30, 2025, was calculated using a weighted average of 573,112,202 common shares, compared to 564,693,987 for the same period in 2024[65]. - The diluted weighted average number of common shares for the three months ended September 30, 2025, was 573,112,202, while for the nine months it was 571,247,290[65]. - As of September 30, 2025, the company had 47,041,793 outstanding share options with a weighted average exercise price of C$6.70[42]. - Share-based payments for options vested for the three months ended September 30, 2025 amounted to $14,309, an increase from $9,337 in the same period of 2024[42].

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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 September 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 ...

Revenue Performance - Total revenues for the nine months ended September 28, 2025, decreased by 3% to $2,006.6 million compared to $2,075.1 million for the same period in the prior year [110]. - Revenue from respiratory products accounted for 14% of total revenues for the nine months ended September 28, 2025, down from 17% in the prior year [110]. - Labs revenue increased by 5% for the nine months ended September 28, 2025, primarily due to growth in reagents, consumables, and services [125]. - Donor Screening revenue decreased by 57% for the nine months ended September 28, 2025, primarily due to the wind-down of the U.S. donor screening business [125]. - Point of Care revenue decreased by 23% for the nine months ended September 28, 2025, driven by a decline in sales of QuickVue and Sofia SARS Antigen assays [125]. - Total revenues for North America were $1,098.8 million for the nine months ended September 28, 2025, down 10% from $1,220.2 million for the same period in 2024 [148]. - Total revenues for EMEA increased by 9% to $91.8 million for the three months ended September 28, 2025, compared to $84.0 million for the same period in 2024 [151]. - Total revenues for the nine months ended September 28, 2025, were $268.0 million, a 7.4% increase from $249.9 million for the same period in 2024, driven by growth in Immunohematology and Point of Care revenues [152]. - In China, total revenues for the three months ended September 28, 2025, were $84.6 million, a 5.2% increase from $80.4 million in the same period of 2024, driven by a 7% increase in Labs revenues [154]. - Total revenues for the nine months ended September 28, 2025, in China were $243.0 million, a 2% increase from $238.1 million in 2024, supported by a 6% increase in Labs revenues [156]. - Total revenues for Other segments for the three months ended September 28, 2025, were $142.1 million, a 12.3% increase from $126.5 million in the same period of 2024 [157]. Cost and Expenses - Cost of sales, excluding amortization of intangible assets, decreased to $364.3 million, or 52.1% of total revenues, for the three months ended September 28, 2025 [126]. - Cost of sales decreased to $1,052.8 million, or 52.5% of total revenues, for the nine months ended September 28, 2025, down from $1,114.7 million, or 53.7% of total revenues, for the same period in 2024 [127]. - Selling, marketing, and administrative expenses for the nine months ended September 28, 2025, decreased by $27.4 million, or 4.7%, to $551.9 million from $579.3 million for the same period in 2024 [130]. - Research and development expenses for the nine months ended September 28, 2025, decreased by $31.0 million, or 18.1%, to $140.4 million from $171.4 million for the same period in 2024 [132]. Impairment and Charges - Goodwill impairment charge recognized was $700.7 million for the three months ended September 28, 2025, compared to $1.7 billion for the nine months ended September 29, 2024 [135]. - In Q3 2025, the company recorded a non-cash goodwill impairment charge of $614.8 million for the EMEA unit, $68.1 million for China, and $17.8 million for Latin America, representing a full impairment of goodwill allocated to these units [182]. - The quantitative goodwill impairment assessment utilized a discounted cash flow method and market approach, incorporating significant assumptions such as future revenue growth rates and EBITDA margins [183]. - The projected future revenue growth rates and EBITDA margins are based on historical experience and internal annual operating plans, extrapolated over the forecast period [183]. - Discount rates for the impairment assessment were determined using a weighted average cost of capital adjusted for specific risk factors related to the reporting units [183]. - Market multiples were derived from comparable publicly traded companies using the guideline public company method [183]. - The company believes the assumptions used in the goodwill impairment assessment are reasonable and consistent with those used by other market participants [184]. Financial Position and Outlook - The Optimization Plan is expected to incur approximately $100 million in pre-tax charges through 2027, aiming for net cost savings of about $50 million [112]. - The planned wind-down of the U.S. donor screening portfolio is expected to be substantially complete by the first half of 2026 [111]. - The company expects overall demand for non-respiratory and respiratory products to continue to fluctuate due to various market factors [118]. - The company plans to continue evaluating strategic opportunities to expand product lines and improve operational efficiencies [119]. - Interest expense, net was $126.6 million for the nine months ended September 28, 2025, compared to $122.9 million for the same period in 2024, reflecting a 3% increase [139]. - Income tax benefit for the three months ended September 28, 2025, was $23.9 million, with an effective tax rate of 3.2%, compared to an income tax benefit of $8.9 million and an effective tax rate of 30.9% for the same period in 2024 [142]. - Adjusted EBITDA for North America was $604.8 million for the nine months ended September 28, 2025, a decrease of 10% from $670.2 million for the same period in 2024 [150]. - Adjusted EBITDA for EMEA increased by 89% to $24.4 million for the three months ended September 28, 2025, compared to $12.9 million for the same period in 2024 [151]. - Adjusted EBITDA for the nine months ended September 28, 2025, was $59.2 million, up 61.5% from $36.6 million in the prior year, primarily due to increased revenues and lower operating expenses [153]. - Adjusted EBITDA for China remained stable at $36.8 million for the three months ended September 28, 2025, compared to the same period in 2024 [155]. - Adjusted EBITDA for Other segments for the nine months ended September 28, 2025, was $111.7 million, a 14% increase from $97.9 million in the prior year [159]. - As of September 28, 2025, the company had $98.1 million in cash and cash equivalents, a slight decrease from $98.3 million as of December 29, 2024 [160]. - The company entered into a Credit Agreement on August 21, 2025, securing a total of $3.45 billion in loans, including a $1.15 billion Term Loan A and a $1.45 billion Term Loan B [161]. - Capital expenditures for the nine months ended September 28, 2025, were $136.4 million, focused on expanding manufacturing capabilities [166]. - There has been no material change in the company's exposure to market risk as described in the Annual Report [185].

Management's Discussion and Analysis For the three and nine months ended September 30, 2025 (Expressed in United States Dollars, unless otherwise stated) Management's Discussion and Analysis For the three and nine months ended September 30, 2025 This Management's Discussion and Analysis ("MD&A") of the financial position and results of operations for Equinox Gold Corp. (the "Company" or "Equinox Gold") should be read in conjunction with the audited consolidated financial statements of the Company as at and ...

Membership Trends - Medicare Advantage approved members decreased by 29% to 28,645 in Q3 2025 from 40,141 in Q3 2024, with total Medicare approved members declining by 27% to 31,167[140]. - Total approved members fell by 21% to 46,270 in Q3 2025 compared to 58,266 in Q3 2024, driven by a 35% decline in individual and family plan approved members[141]. - Total estimated membership declined by 4% from 1,159,422 as of September 30, 2024, to 1,118,521 as of September 30, 2025[150]. - Medicare estimated membership decreased by 3% year-over-year, primarily due to a decline in approved applications for all Medicare products[153]. - Individual and family plan estimated membership saw a 17% decline year-over-year, attributed to decreased approved applications and unfavorable retention trends[153]. - The company experienced a 27% decrease in Medicare plan approved members during the three months ended September 30, 2025[166]. Financial Performance - Total revenue for the three months ended September 30, 2025, was $53,869,000, a decrease from $58,409,000 in the same period of 2024[161]. - Operating costs and expenses totaled $95,394,000 for the three months ended September 30, 2025, compared to $101,608,000 in the same period of 2024[161]. - Net loss for the three months ended September 30, 2025, was $31,691,000, a decrease from a net loss of $42,473,000 in the same period of 2024[161]. - Commission revenue for the three months ended September 30, 2025, decreased by $1.0 million, or 2%, compared to the same period in 2024, while total revenue decreased by $4.5 million, or 8%[164]. - Other revenue for the three months ended September 30, 2025, decreased by $3.5 million, or 35%, primarily due to a $2.7 million decrease in sponsorship and advertising revenue[164]. - For the nine months ended September 30, 2025, commission revenue increased by $14.9 million, or 8%, while total revenue increased by $10.5 million, or 5%[165]. - Total revenue for the three months ended September 30, 2025, was $53.9 million, a decrease of 8% compared to $58.4 million in 2024, while revenue for the nine months increased by 5% to $227.8 million from $217.2 million[202]. Cost and Expenses - Total acquisition cost per MA-equivalent approved member increased by 19% to $1,489 for the three months ended September 30, 2025, compared to $1,256 in the same period of 2024[156]. - CC&E cost per MA-equivalent approved member rose by 29% to $930, driven by a decline in the number of approved members due to regulatory changes[156]. - Variable marketing cost per IFP-equivalent approved member increased by 13% to $537, influenced by a decline in individual and family plan approved members[157]. - Marketing and advertising expenses accounted for 45% of total revenue for the three months ended September 30, 2025, down from 51% in the same period of 2024[161]. - Marketing and advertising expenses for the three months ended September 30, 2025, decreased by $5.3 million, or 18%, primarily due to a $5.8 million decrease in variable advertising costs[170]. - Customer care and enrollment expenses for the three months ended September 30, 2025, decreased by $2.5 million, or 6%, mainly due to a $3.3 million decrease in personnel and compensation costs[173]. - Technology and content expenses for the three months ended September 30, 2025, decreased by $0.5 million, or 4%, primarily driven by a $0.7 million decrease in amortization of internally developed software[176]. - General and administrative expenses for the three months ended September 30, 2025, increased by $1.6 million, or 8%, primarily due to a $1.9 million increase in personnel and compensation costs[180]. Revenue Segmentation - Medicare segment total revenue for Q3 2025 was $49.9 million, a 6% decrease from $53.2 million in Q3 2024[200]. - Employer and Individual segment total revenue for Q3 2025 was $3.9 million, a 24% decrease from $5.2 million in Q3 2024[200]. - Medicare segment gross profit for Q3 2025 was a loss of $1.2 million, an improvement of 79% from a loss of $5.6 million in Q3 2024[200]. - Employer and Individual segment gross profit for Q3 2025 was $0.97 million, a 47% decrease from $1.84 million in Q3 2024[200]. - Medicare segment revenue decreased by $3.3 million, or 6%, for the three months ended September 30, 2025, primarily due to a $3.4 million decline in other revenue, partially offset by a $0.1 million increase in commission revenue[203]. - Medicare segment gross profit improved by $4.5 million, or 79%, to a loss of $1.2 million for the three months ended September 30, 2025, while gross profit for the nine months increased by $22.1 million, or 70%, to $53.7 million[204]. - E&I segment revenue decreased by $1.3 million, or 24%, for the three months ended September 30, 2025, primarily due to a 35% decline in approved members[205]. - E&I segment gross profit was $1.0 million for the three months ended September 30, 2025, a decrease of $0.9 million compared to the same period in 2024[206]. Cash Flow and Financing - Cash, cash equivalents, and short-term marketable securities totaled $75.3 million as of September 30, 2025, down from $82.2 million at the end of 2024[210]. - The company generated operating cash flow of $10.6 million during the nine months ended September 30, 2025[209]. - For the nine months ended September 30, 2025, net cash provided by operating activities was $10.6 million, compared to $9.3 million for the same period in 2024[221][227]. - The company incurred interest expenses of $2.0 million and $6.1 million for the three and nine months ended September 30, 2025, respectively, down from $2.3 million and $6.9 million in the same periods of 2024[218]. - As of September 30, 2025, the carrying value of the loan under the Credit Agreement was $69.4 million, with an interest rate of 11.46%[218]. - Net cash provided by investing activities was $19.0 million for the nine months ended September 30, 2025, primarily from $106.0 million in proceeds from marketable securities[229]. - The company used $5.8 million in financing activities for the nine months ended September 30, 2025, mainly due to preferred stock dividend payments of $2.9 million[231]. - Changes in net operating assets and liabilities contributed $52.3 million to cash flow for the nine months ended September 30, 2025, driven by a decrease of $92.8 million in commissions receivable[226]. - The company expects its current cash and equivalents to be sufficient to fund operations for at least 12 months following the filing date of the Quarterly Report[219]. Strategic Initiatives - The company expects a dynamic Annual Enrollment Period (AEP) in 2025, focusing on strong consumer demand and retention efforts[135]. - The company has integrated artificial intelligence across its telephonic enrollment platform to enhance beneficiary assistance during the AEP[135]. - The company plans to diversify revenue streams by focusing on Individual Coverage Health Reimbursement Arrangement (ICHRA) opportunities[136]. - The transition of leadership to Derrick Duke as CEO is part of the company's long-term succession planning[137]. - The company has achieved its benefit advisor hiring and training goals, with a more tenured advisor mix compared to the previous year[135]. - The majority of commission revenue is recognized in the fourth quarter, driven by the Medicare Annual Enrollment Period (AEP) from October 15 to December 7[233]. - The company plans to maintain its internal telesales benefit advisors year-round and increase utilization outside of enrollment periods by expanding ancillary product offerings[236]. - Future capital requirements will depend on factors such as enrollment volume and retention rates, with potential needs for additional capital if available funds are insufficient[220]. Impairment and Charges - Impairment, restructuring, and other charges for Q3 2025 were $0.5 million, a 546% increase from $0.1 million in Q3 2024[182]. - For the nine months ended September 30, 2025, impairment, restructuring, and other charges totaled $2.0 million, a 79% decrease from $9.4 million in the same period of 2024[183]. Tax and Interest - Interest expense decreased by $0.5 million, or 17%, in Q3 2025 compared to Q3 2024, primarily due to lower interest rates[184]. - Other income, net, for Q3 2025 was $1.0 million, a 42% decrease from $1.7 million in Q3 2024, mainly due to a decline in interest income[187]. - The effective tax rate for Q3 2025 was 26.2%, significantly higher than 4.3% in Q3 2024, due to changes in tax calculation methods[190].

Financial Performance - Revenue for Q3 2025 was $332,645, a decrease of 5.8% compared to $353,319 in Q3 2024[14] - Gross profit for Q3 2025 was $92,257, down 6.5% from $98,567 in Q3 2024[14] - Net income for the nine months ended September 30, 2025, was $29,662, a decline of 24.7% from $39,353 in the same period of 2024[20] - Earnings per share (EPS) for Q3 2025 was $0.63, compared to $0.76 in Q3 2024, reflecting a decrease of 17.1%[14] - Revenue for the nine months ended September 30, 2025, decreased 6.1% to nearly $1.00 billion from $1.06 billion in the comparable period in 2024[55] - Flex revenue for the nine months ended September 30, 2025, decreased 6.0% to $0.98 billion from $1.04 billion in the comparable period in 2024[55] - Direct Hire revenue for the nine months ended September 30, 2025, decreased 11.0% to $19.7 million from $22.2 million in the comparable period in 2024[55] - Net income for the nine months ended September 30, 2025, decreased 24.6% to $29.7 million, or $1.66 diluted earnings per share, from $39.4 million, or $2.08 diluted earnings per share, for the nine months ended September 30, 2024[55] - Free Cash Flow for the nine months ended September 30, 2025, was $30.1 million, down from $56.6 million in 2024[79] - Adjusted EBITDA for the nine months ended September 30, 2025, was $56.0 million, compared to $69.1 million in 2024[81] Assets and Liabilities - Total assets increased to $374,152 as of September 30, 2025, up from $357,834 at the end of 2024[16] - Cash and cash equivalents rose to $1,252 as of September 30, 2025, compared to $349 at the end of 2024[16] - Long-term debt increased significantly to $65,000 from $32,700 at the end of 2024, indicating a rise in leverage[16] - The company had $65.0 million outstanding under the Amended and Restated Credit Facility as of September 30, 2025, up from $32.7 million at December 31, 2024[43] - As of September 30, 2025, the company had $65.0 million outstanding under its Amended and Restated Credit Facility, with $134.0 million available for borrowing[82] Cash Flow and Dividends - Cash provided by operating activities for the nine months ended September 30, 2025, was $41,937, down from $65,084 in 2024[20] - The company declared and paid quarterly dividends totaling $20.8 million for the nine months ended September 30, 2025, representing a 3% increase per share[87] - Dividends paid in Q3 2025 amounted to $20,778, slightly lower than $21,282 in Q3 2024[20] - The Firm returned $61.9 million of capital to shareholders in the form of open market repurchases totaling $41.1 million and quarterly dividends totaling $20.8 million during the nine months ended September 30, 2025[55] Stock Repurchase and Authorization - The company repurchased $41,450 worth of common stock during the nine months ended September 30, 2025[20] - The total authorization for the stock repurchase program was increased to $100.0 million in October 2025[32] - The company repurchased approximately 950 thousand shares of common stock at a total cost of approximately $41.1 million during the nine months ended September 30, 2025[32] - The company repurchased a total of 295,374 shares of common stock during the three months ended September 30, 2025, at an average price of $32.02 per share[105] - The total dollar value of shares that may yet be purchased under the repurchase plan is $22,347,693[105] Operational Performance - Selling, general and administrative expenses for the three months ended September 30, 2025, were $75.884 million, compared to $78.308 million for the same period in 2024[36] - The company reported income before income taxes of $14.244 million for the three months ended September 30, 2025, down from $18.287 million in the same period of 2024[36] - Total gross profit percentage decreased by 20 basis points for the three months and 40 basis points for the nine months ended September 30, 2025, compared to the same periods in 2024[67] - Technology Flex revenue decreased by 5.2% year-over-year for the nine months ended September 30, 2025[77] - FA Flex revenue saw a significant decline of 16.0% year-over-year for the nine months ended September 30, 2025[77] - Total Flex revenue experienced a year-over-year decrease of 6.0% for the nine months ended September 30, 2025[77] Credit Facilities and Financial Controls - The Firm entered into a senior secured credit facility with a maximum borrowing capacity of $200.0 million on November 5, 2025[50] - The company has a maximum borrowing capacity of $200 million under a new senior secured credit facility, with a maturity date of November 5, 2030[108] - The new credit facility includes a $10 million sublimit for standby and commercial letters and a $10 million sublimit for swingline loans[108] - The company maintains a fixed charge coverage ratio of not less than 1.25 to 1.00 and a total leverage ratio of no greater than 3.50 to 1.00 under the new credit facility[111] - The applicable margin for Term SOFR loans ranges from 1.250% to 1.625% based on the firm's total leverage ratio[110] Internal Controls and Risk Factors - As of September 30, 2025, the CEO and CFO concluded that the design and operation of the company's Disclosure Controls were effective[97] - No changes in internal control over financial reporting have materially affected the company's internal control during the last fiscal quarter[98] - The company has made accruals for certain legal proceedings, but does not expect these to have a material effect on its financial statements[102] - There have been no material changes in the risk factors previously disclosed in the 2024 Annual Report[103] Strategic Initiatives - The company continues to prioritize investments in strategic initiatives, including the implementation of Workday and leveraging AI capabilities[73]

Financial Performance - Revenues for the second quarter of fiscal year 2026 were $124.1 million, an increase of $41.7 million or 50.5% compared to $82.4 million in the same period last year[5][11] - Net income for the quarter was $55.4 million, or $1.30 per diluted share, compared to $9.4 million, or $0.22 per diluted share, for the same period in the prior year[6][11] - Adjusted net income was $55.8 million, or $1.31 per diluted share, up from $15.0 million, or $0.35 per diluted share, year-over-year[7][11] - Revenues for Q3 2025 reached $124.06 million, a 50.5% increase from $82.43 million in Q3 2024[34] - Net income for Q3 2025 was $55.38 million, compared to $9.43 million in Q3 2024, reflecting a significant increase of 486.5%[34] - Adjusted EBITDA for Q3 2025 was $85.72 million, up from $46.15 million in Q3 2024, representing an increase of 85.7%[34] - Net income for the three months ended September 30, 2025, was $55,382,036, compared to $9,428,605 for the same period in 2024, representing a significant increase[36] - Adjusted EBITDA for the six months ended September 30, 2025, was $124,296,808, slightly up from $124,109,084 for the same period in 2024[36] - Revenues for the three months ended September 30, 2025, reached $124,064,281, compared to $82,433,480 in the same period of 2024, indicating a year-over-year growth of approximately 50.5%[37] Expenses and Costs - Vessel operating expenses per vessel per calendar day rose to $10,705, an increase of 5.8% from $10,114 in the prior year[10][12] - General and administrative expenses decreased by 27.0% to $12.0 million from $16.5 million year-over-year[13] - Interest and finance costs decreased by 19.5% to $7.6 million from $9.4 million in the same quarter last year[14] - Average daily vessel operating expenses increased to $10,705 in Q3 2025 from $10,114 in Q3 2024, a rise of 5.8%[34] - Total expenses for Q3 2025 were $65.36 million, slightly higher than $63.97 million in Q3 2024, reflecting a 2.1% increase[34] Market and Operational Insights - Time Charter Equivalent (TCE) rate per available day increased by 45.2% to $53,725 from $37,010 in the same quarter last year[9][11] - VLGC freight rates averaged $81 per metric ton in Q3 2025, up from $63 per metric ton in Q2 2025, indicating a 28.6% increase[30] - Time charter equivalent rate increased to $53,725 in Q3 2025 from $37,010 in Q3 2024, a rise of 45.2%[34] - The global VLGC fleet expanded with the delivery of five new vessels, with an expected addition of 109 VLGCs/VLACs by 2029[31] - U.S. LPG exports in Q3 2025 reached over 17 million metric tons, approximately 1 million metric tons higher than in Q1 2025[26] - Chinese LPG imports totaled 9.9 million metric tons in Q3 2025, down from over 10 million metric tons in 2024[27] - Global seaborne LPG volumes reached a record high, supported by increased exports from the U.S. and the Middle East[4] Assets and Liabilities - Total assets as of September 30, 2025, were $1,780,158,775, slightly up from $1,778,660,280 as of March 31, 2025[40] - Current liabilities decreased to $114,999,014 as of September 30, 2025, from $107,884,142 as of March 31, 2025[40] - Cash and cash equivalents as of September 30, 2025, were $268,302,758, down from $316,877,584 as of March 31, 2025[40] Dividend and Forward-Looking Statements - Declared an irregular cash dividend of $0.65 per share, totaling approximately $27.8 million, payable on December 2, 2025[1][2] - The Board of Directors retains discretion over dividend declarations, which may be increased, decreased, or eliminated based on various factors[44] - The company emphasizes that its forward-looking statements are based on current expectations and observations regarding future results, which are inherently uncertain[45] - Actual results may differ materially from the company's projections due to various risks and uncertainties, including changes in financial resources and operational capabilities[45] - The company does not assume any obligation to update the information contained in the press release[45]

Financial Performance - Total consolidated revenue increased by $6.9 million, or 6%, from $111.2 million in Q3 2024 to $118.1 million in Q3 2025[239]. - Gross profit increased by $25.2 million, or 41%, from $61.7 million in Q3 2024 to $86.9 million in Q3 2025[239]. - Operating income improved by $18.8 million, from a loss of $2.5 million in Q3 2024 to a profit of $16.3 million in Q3 2025[239]. - Adjusted EBITDA increased by $3.7 million, or 22%, from $16.9 million in Q3 2024 to $20.6 million in Q3 2025[246]. - Net income attributable to Porch decreased by $25.2 million, from $14.4 million in Q3 2024 to a loss of $10.9 million in Q3 2025[239]. - Porch's total revenue for the three months ended September 30, 2025, was $115.074 million, an increase of $37.382 million compared to $77.692 million in the prior year period[257]. - Gross profit for Porch increased to $94.242 million in Q3 2025, up by $54.127 million from $40.115 million in Q3 2024[257]. - Adjusted EBITDA for Porch improved significantly to $20.626 million in Q3 2025, a positive change of $26.155 million from a loss of $5.529 million in the same quarter last year[257]. - The company reported a significant loss of $15.4 million in net income, compared to a profit of $14.4 million in the same quarter last year[239]. - The company reported a net loss of $64.7 million for the nine months ended September 30, 2025, compared to a loss of $63.3 million in the previous year[306]. Revenue Segments - Insurance Services segment revenue increased by 99% to $73.8 million for the three months ended September 30, 2025, driven by increased ceding from the Reciprocal Segment[264]. - Software & Data segment revenue increased by 7% to $24.6 million for the three months ended September 30, 2025[270]. - Consumer Services segment revenue grew by $1.6 million to $19.4 million for the three months ended September 30, 2025, primarily due to higher fees for third-party services[274]. - Total revenue for the nine months ended September 30, 2025, was $342.122 million, with a breakdown of $191.041 million from Insurance Services, $70.647 million from Software & Data, and $51.738 million from Consumer Services[295]. - Insurance Services segment revenue increased by 61% to $191.0 million for the nine months ended September 30, 2025, up from $118.6 million in the previous year, driven by increased ceding from the Reciprocal Segment[310]. Expenses and Costs - Cost of revenue decreased by $18.3 million, or 37%, from $49.5 million in Q3 2024 to $31.1 million in Q3 2025, representing 26% of revenue compared to 44% in the prior year[240]. - Selling and marketing expenses rose by $2.9 million, or 11%, from $27.2 million in Q3 2024 to $30.2 million in Q3 2025[241]. - General and administrative expenses increased by $2.8 million, or 11%, from $24.3 million in Q3 2024 to $27.1 million in Q3 2025[242]. - Interest expense increased by $3.3 million, or 31%, from $10.6 million in Q3 2024 to $14.0 million in Q3 2025, primarily due to the exchange of notes[243]. - Selling and marketing expenses totaled $54.906 million, representing a significant investment in growth initiatives[1]. - General and administrative expenses increased by $9.0 million, or 12%, to $81.9 million, primarily due to a one-time agency partnership payment[285]. Adjusted EBITDA and Margins - Adjusted EBITDA improved by $87.7 million to $53.1 million in 2025, compared to a loss of $34.6 million in 2024, attributed to a shift in business model[292]. - Adjusted EBITDA (Loss) for the Insurance Services segment improved by $26.2 million to $25.3 million for the three months ended September 30, 2025[260]. - Adjusted EBITDA for the Software & Data segment rose to $15.2 million in 2025, compared to $11.6 million in 2024, driven by strong cost control measures[318]. - Adjusted EBITDA (Loss) for Porch Shareholder Interest improved by $65.6 million, resulting in a loss of $12.4 million for the nine months ended September 30, 2025, compared to a loss of $78 million in the prior year[306]. Surplus and Debt Management - The Reciprocal segment has a surplus of $412.0 million as of September 30, 2025, an increase of $254.0 million from December 31, 2024[236]. - Porch holds $106 million of surplus notes due from the Reciprocal, which pay interest of 9.75% plus SOFR[236]. - The company had $412.0 million in total statutory surplus as of September 30, 2025, which is crucial for meeting regulatory capital requirements[359]. - As of September 30, 2025, the company had $475.1 million in aggregate principal amount outstanding in convertible notes[339]. - The company exchanged $96.8 million of 2026 Notes for $83.0 million of newly issued 2030 Convertible Senior Unsecured Notes, and issued an additional $51.0 million of 2030 Notes for cash[349]. Cash Flow and Investments - Net cash provided by operating activities for the nine months ended September 30, 2025, was $65.2 million, a significant increase from a net cash used of $5.1 million in the same period of 2024[360][361]. - Net cash used in investing activities was $49.4 million for the nine months ended September 30, 2025, primarily due to $104.0 million in investment purchases[363]. - Net cash used in financing activities was $19.8 million for the nine months ended September 30, 2025, mainly related to $68.2 million in repurchases of 2026 Notes[366]. Strategic Initiatives - The company is focusing on market expansion and new product development as part of its strategic initiatives moving forward[296]. - New services, including online packing services for movers, were launched in the Consumer Services segment[236]. - Rynoh implemented a 20% price increase in the first quarter for the Software and Data segment, aligning with strategic pricing goals[236].