Revenue Performance - Total revenue for the three months ended September 30, 2025, was $2.239 million, a decrease of 46% compared to $4.172 million for the same period in 2024[126]. - License and milestone revenue for the three months ended September 30, 2025, was $616,000, down 55% from $1.375 million in the prior year[126]. - Service revenue decreased by 52% to $1.188 million for the three months ended September 30, 2025, compared to $2.479 million in 2024[126]. - Royalty revenue increased by 14% to $361,000 for the three months ended September 30, 2025, compared to $318,000 in the same period of 2024[126]. - The company experienced a decline in milestone revenue of $1.0 million for the three months ended September 30, 2025, primarily due to timing issues with new license agreements[126][130]. Research and Development - Research and development expenses for the three months ended September 30, 2025, were $10.379 million, a decrease of 22% from $13.318 million in 2024[129][132]. - Research and development expenses declined by $7.96 million or 19%, from $41.8 million in 2024 to $33.8 million in 2025, primarily due to lower personnel and external expenses[134]. Operating Expenses - For the nine months ended September 30, 2025, total costs and operating expenses decreased to $63.5 million from $74.2 million in 2024, a reduction of $10.7 million or 14%[133]. - General and administrative expenses decreased by $1.0 million or 4%, mainly due to lower legal fees and share-based compensation[135]. Financial Position - As of September 30, 2025, the company had cash, cash equivalents, and short-term investments totaling $59.5 million, sufficient to support operations for at least the next 12 months[141]. - Cash used in operating activities was $30.8 million for the nine months ended September 30, 2025, compared to $35.8 million in 2024, a decrease of $5.0 million[147]. - Cash provided by financing activities increased significantly to $28.0 million in 2025, primarily from the issuance of common stock in the August 2025 PIPE[152]. - The company completed a private placement of 21,254,106 shares at $1.40 per share, raising approximately $30.0 million in gross proceeds[143]. Net Loss - The company reported a net loss of $50.6 million for the nine months ended September 30, 2025, compared to a net loss of $49.0 million in 2024, reflecting an increase in loss of $1.6 million or 3%[138]. Future Outlook - The company anticipates that long-term revenue growth will be driven by royalties, which are expected to provide larger and recurring payments compared to other revenue streams[119]. - The company anticipates future cash uses primarily for operations, working capital, and capital expenditures[145]. Partnerships and Products - As of September 30, 2025, the company had 104 active partners and 399 active programs utilizing the OmniAb technology platform, an increase from 91 partners and 363 programs as of December 31, 2024[114][121]. - The company reported a total of 32 approved products as of September 30, 2025, unchanged from December 31, 2024[121][124]. Tax Rate - The effective tax rate for the nine months ended September 30, 2025, was (2.2)%, compared to (12.9)% in 2024, influenced by valuation allowances and tax credits[138]. Royalty Agreements - The royalty term for agreements is generally the longer of 10 years from the first commercial sale or through the last expiration of related patents, which diversifies the royalty streams[118].

Market Opportunities - Generac has a home standby penetration opportunity of approximately 6.5% in the U.S. addressable market, indicating significant growth potential in the residential standby generator market [136]. - The demand for natural gas generators is increasing as they are viewed as a cleaner alternative to diesel, with a growing portion of the commercial and industrial market adopting this technology [138]. - The company anticipates that power quality issues and increased frequency of outages will drive demand for backup power solutions, particularly in the context of climate change and aging infrastructure [135]. - Generac's strategic plan, "Powering A Smarter World," aims to leverage key mega-trends such as rising electricity demand and the need for energy management solutions [132]. - The company expects significant growth in the solar, storage, and energy management markets due to rising power prices and the transition to renewable energy sources [137]. - Generac is positioned to benefit from the increasing power consumption of digital infrastructure, particularly in the telecommunications sector, where backup power is critical [139]. - The company is exploring new gaseous generator market opportunities, including microgrids and distributed energy resources, to enhance grid stability [138]. - Generac's advanced connectivity devices and software platforms are central to integrating its products into grid services programs, supporting the evolution of a decentralized energy grid [130]. Financial Performance - Net sales for the three months ended September 30, 2025, were $1,114.4 million, a decrease of 5.0% compared to $1,173.6 million in the prior year [154]. - Domestic segment total sales decreased approximately 8% to $938.1 million, primarily due to weaker home standby and portable generator sales amid a lower power outage environment [155]. - International segment total sales increased approximately 11% to $185.5 million, driven by strength in C&I product shipments to European markets and initial shipments of large-megawatt generators to data center customers [157]. - Gross profit margin decreased to 38.3% from 40.2% in the prior-year quarter, attributed to unfavorable sales mix, higher tariffs, and lower manufacturing absorption [158]. - Operating expenses increased by 6.7% to $323.8 million, with significant increases in general and administrative expenses by 21.4% [154]. - Income from operations for the three months ended September 30, 2025, was $103.1 million, a decline of 38.9% compared to $168.6 million in the prior year [154]. - Net income attributable to Generac Holdings Inc. was $66.2 million, down 41.8% from $113.7 million in the prior year [154]. - Adjusted EBITDA for the domestic segment was $446.5 million, or 17.1% of total sales, compared to $450.4 million, or 17.5% in the prior year, reflecting a decline driven by unfavorable sales mix [177]. - Adjusted EBITDA for the international segment increased to $83.9 million, or 14.8% of total sales, up from $73.4 million, or 13.6% in the prior year, driven by favorable price and cost impacts [178]. - Total net sales for the nine months ended September 30, 2025, were $3,117.6 million, an increase of 1.8% from $3,061.0 million in the prior year [168]. - Net income attributable to Generac Holdings Inc. for the nine months ended September 30, 2025, was $184.0 million, a decrease of 7.6% from $199.1 million in the prior year [176]. Tax and Legal Provisions - The effective income tax rate for the nine months ended September 30, 2025, was 18.3%, a decrease from 24.6% in the prior year, primarily due to discrete tax benefits [150]. - Provision for income taxes for the nine months ended September 30, 2025, was $41.4 million, with an effective tax rate of 18.3%, down from $65.1 million and 24.6% in the prior year [175]. - Provision for income taxes for the three months ended September 30, 2025, was $11,758 thousand, down from $33,453 thousand in the same period of 2024, indicating a decrease of 64.9% [209]. - The company incurred a provision for legal, regulatory, and other costs of $23,208 thousand for the three months ended September 30, 2025, compared to $2,382 thousand in the same period of 2024, reflecting a significant increase [221]. Cash Flow and Liquidity - Net cash provided by operating activities decreased by 38.1% to $248.7 million for the nine months ended September 30, 2025, compared to $401.8 million in the prior year [193]. - Net cash used in investing activities was $115.5 million for the nine months ended September 30, 2025, primarily for property and equipment purchases totaling $110.5 million [194]. - Net cash used in financing activities was $121.3 million for the nine months ended September 30, 2025, which included $147.9 million in share repurchases [196]. - Total liquidity as of September 30, 2025, was $1,209.3 million, consisting of $300 million in cash and cash equivalents and $909.3 million available under the New Revolving Facility [191]. - The company believes its cash flow from operations and available credit will provide sufficient capital for ongoing operations and potential expansions [192]. Debt and Share Repurchase - The company amended its Original Tranche A Term Loan Facility, reducing the interest rate to 5.78% and extending the maturity to July 1, 2030 [182]. - As of September 30, 2025, the company had $495 million outstanding under the Term Loan B Facility, $700 million under the New Tranche A Term Loan Facility, and $90 million on the New Revolving Facility, with $909.3 million of unused capacity [184]. - The interest rate for the Term Loan B Facility was 6.03% as of September 30, 2025, with a net secured leverage ratio of 1.35 to 1.00, well below the 3.75 to 1.00 threshold [185]. - The company repurchased 1,109,206 shares of common stock for $147.9 million during the nine months ended September 30, 2025, with $199.3 million remaining under the current stock repurchase authorization [186][187]. - Total dealer purchases financed accounted for approximately 13% of net sales for the nine months ended September 30, 2025, with outstanding dealer financing of $165.2 million [189].

Revenue Growth - Revenue for the three months ended September 30, 2025, increased by $52 million, or 7.1%, compared to the same period in 2024, reaching $783 million[101] - Organic revenue growth was $46 million, or 6.3%, driven by the Industrial and Consumer segments in Certification Testing, Non-certification Testing, and Ongoing Certification Services[102] - Revenue for the nine months ended September 30, 2025, increased by $133 million, or 6.2%, compared to the same period in 2024, reaching $2,264 million[110] - Organic revenue growth for the nine months ended September 30, 2025, was $137 million, or 6.4%, driven by the Industrial and Consumer segments[111] - Revenue for the three months ended September 30, 2025, increased by $19 million, or 5.9%, compared to the same period in 2024, driven by Non-certification Testing and Other Services revenue growth[129] - For the nine months ended September 30, 2025, revenue increased by $55 million, or 5.9%, with organic revenue growth of $54 million, primarily from Non-certification Testing and Other Services[131] Segment Performance - The Industrial segment reported revenue of $343 million, an increase of $26 million, or 8.2%, while the Consumer segment reported $340 million, up $19 million, or 5.9%[102] - Segment operating income for the Industrial segment increased by $35 million, or 14.0%, for the nine months ended September 30, 2025, driven by organic revenue growth[125] - Certification Testing revenue in the Industrial segment grew by $32 million for the nine months ended September 30, 2025, reflecting strong demand in energy and automation[124] - Industrial segment operating income increased to $104 million for Q3 2025, up from $90 million in Q3 2024, with revenue rising to $343 million from $317 million[147] - Consumer segment operating income rose to $44 million in Q3 2025, compared to $37 million in Q3 2024, with revenue increasing to $340 million from $321 million[147] Expenses and Costs - Cost of revenue increased by $16 million, or 4.3%, to $389 million, with FX contributing an increase of $5 million due to the relative strength of the euro[104] - Selling, general and administrative expenses rose by $10 million, or 4.4%, totaling $238 million, primarily due to increased employee compensation and technology costs[105] - Cost of revenue increased by $58 million, or 5.3%, for the nine months ended September 30, 2025, primarily due to higher employee compensation and professional fees[113] - Selling, general and administrative expenses rose by $18 million, or 2.6%, for the nine months ended September 30, 2025, mainly due to increased employee compensation and technology costs[114] Income and Profitability - Operating income for the three months ended September 30, 2025, was $156 million, representing a margin of 19.9%, compared to $130 million and a margin of 17.8% in the prior year[101] - Net income increased to $106 million, or 13.5% of revenue, compared to $94 million, or 12.9% of revenue, in the same period last year[101] - Adjusted EBITDA for the three months ended September 30, 2025, was $217 million, compared to $183 million in 2024, reflecting an increase in the Adjusted EBITDA margin to 27.7% from 25.0%[142] - Adjusted Net Income for Q3 2025 was $119 million, compared to $104 million in Q3 2024, with an Adjusted Net Income margin of 15.2% versus 14.2%[150] - Adjusted EBITDA for the nine months ended September 30, 2025, was $575 million, up from $487 million in the same period of 2024, reflecting a margin increase to 34.4% from 31.2%[147] Cash Flow and Capital Management - Free Cash Flow for the nine months ended September 30, 2025, was $317 million, up from $215 million in 2024, indicating improved cash generation from core operations[142] - Net cash provided by operating activities increased to $456 million for the nine months ended September 30, 2025, up from $394 million in 2024[162] - Capital expenditures decreased to $139 million for the nine months ended September 30, 2025, down from $179 million in the same period of 2024[165] Debt and Financing - A new $1.0 billion senior unsecured five-year multi-currency revolving credit facility was established, with an initial borrowing of $291 million used to refinance existing debt[83] - The 2025 Credit Facility provides for a $1.0 billion senior unsecured five-year multi-currency revolving credit facility, with an accordion feature allowing for an increase of up to $500 million[168] - The Company borrowed $291 million under the 2025 Credit Facility on October 28, 2025, to refinance outstanding amounts under the previous credit facility[169] - The Company issued $300 million in aggregate principal amount of 6.500% senior notes due 2028 in October 2023[174] Dividends and Shareholder Returns - The regular quarterly dividend was increased to 13 cents per share starting in Q1 2025, up from 12.5 cents per share[176] - In the three months ended September 30, 2025, the Company paid dividends of $26 million, compared to $25 million in the same period of 2024[177] - The Company cannot assure the continuation of dividends in future periods, as it will assess based on its dividend policy[176] Tax and Regulatory Matters - The effective tax rate for the nine months ended September 30, 2025, was 24.9%, up from 19.5% in the same period in 2024, primarily due to the impact of new corporate tax rules[116] - The Company has assessed the impact of the One Big Beautiful Bill Act and determined no material impact on its consolidated financial statements[119] Market Risks - The Company is exposed to market risks related to interest rate fluctuations on its credit facilities, which carry variable interest rates[191] - The calculation of the consolidated net leverage ratio permits netting of up to $250 million of unrestricted cash from funded debt[172] - The Company is subject to foreign currency exchange rate risk associated with the translation of local currencies into U.S. dollars[196] - Foreign currency risk is associated with revenues and expenses denominated in currencies other than the U.S. dollar, primarily the euro, Chinese renminbi, and Japanese yen[194] - The increased interest payments on the Company's variable-rate debt are not material to the Company's overall liquidity position[192] - Fluctuations in interest rates have not had a material impact on the Company's financial condition[192]

Financial Performance - Reported net income of $64 million, adjusted net income of $123 million, and $338 million of adjusted EBITDAX for Q3 2025[5] - Total operating revenues for Q3 2025 were $855 million, a decrease of 37% compared to $1,353 million in Q3 2024[31] - Net income for Q3 2025 was $64 million, down from $345 million in Q3 2024, representing an 81% decline[31] - Adjusted net income for Q3 2025 was $123 million, compared to $137 million in Q3 2024, a decrease of 10%[31] - Operating income for Q3 2025 was $98 million, down from $518 million in Q3 2024, a decline of 81%[31] - Total operating expenses for Q3 2025 were $756 million, an increase from $835 million in Q3 2024[31] - The effective tax rate for Q3 2025 was 15%, compared to 29% in Q3 2024[31] - Adjusted EBITDAX for Q3 2025 was $338 million, compared to $324 million in Q2 2025 and $402 million in Q3 2024[48] Cash Flow and Liquidity - Generated $279 million in net cash provided by operating activities and $188 million in free cash flow[5] - Ended Q3 2025 with $180 million in available cash and cash equivalents, $974 million in available borrowing capacity, and total liquidity of $1,154 million[5] - Net cash provided by operating activities for Q3 2025 was $279 million, up from $165 million in Q2 2025 and $220 million in Q3 2024[32] - Liquidity as of September 30, 2025, was $1,154 million, down from $1,337 million as of December 31, 2024[36] Production and Capital Expenditures - Delivered 137 MBoe/d of total production, with 78% being oil, and total capital expenditures of $91 million[5] - Total gross production for Q3 2025 was 155 MBoe/d, a decrease from 165 MBoe/d in Q3 2024, but consistent with the production levels seen in Q2 2025[62] - The company drilled a total of 20 wells in Q3 2025, including 2 primary development wells and 12 steamflood wells, indicating ongoing investment in production capacity[66] - Total capital investment in Q3 2025 was $91 million, compared to $56 million in Q2 2025 and $79 million in Q3 2024[34] Shareholder Returns - Increased quarterly dividend by 5% to $0.405 per share, reinforcing commitment to shareholder returns[5] - Committed to returning $454 million to shareholders in the first nine months of 2025, including $352 million in share repurchases and $102 million in dividends[15] Mergers and Acquisitions - Announced a definitive agreement to merge with Berry Corporation in an all-stock transaction, with a 15% premium over Berry's closing price prior to the announcement[8] - Completed a private offering of $400 million in senior notes due 2034 to repay Berry's outstanding debt and cover transaction costs[9] Sustainability and Environmental Performance - Received "Grade A" certification for methane emissions performance, highlighting commitment to sustainability[18] Segment Performance - Segment profit for the Oil & Natural Gas segment in Q3 2025 was $182 million, down from $194 million in Q2 2025 and $298 million in Q3 2024[50] - Adjusted EBITDAX for the Oil & Natural Gas segment was $332 million in Q3 2025, compared to $346 million in Q2 2025 and $474 million in Q3 2024[50] - The Carbon Management segment reported a loss of $21 million in Q3 2025, compared to a loss of $20 million in Q2 2025 and $25 million in Q3 2024[50] Sales and Pricing - Oil, natural gas, and natural gas liquids sales in Q3 2025 were $715 million, a 18% decrease from $870 million in Q3 2024[31] - The realized price of oil with derivative settlements in Q3 2025 was $67.04 per Bbl, compared to $75.38 per Bbl in Q3 2024, showing a decrease of 11% year-over-year[63] - The realized price of natural gas with derivative settlements in Q3 2025 was $3.47 per Mcf, up from $2.68 per Mcf in Q3 2024, reflecting a 30% increase year-over-year[63] Operating Expenses - General and administrative expenses increased to $87 million in Q3 2025 from $106 million in Q3 2024[31] - Other operating expenses net of other revenue for Q3 2025 totaled $25 million, down from $60 million in Q2 2025 and $71 million in Q3 2024, reflecting a 65% decrease year-over-year[60] - The company reported a total electricity generation expense of $11 million in Q3 2025, compared to $5 million in Q2 2025 and $9 million in Q3 2024, indicating increased operational costs[58]

Financial Performance - Net income increased by $525 million from $824 million in 2024 to $1.3 billion in 2025, representing a 64% increase[92] - Operating revenues for the third quarter of 2025 were $1.817 billion, a 34% increase from $1.359 billion in the same quarter of 2024[125] - Operating revenues for the first nine months of 2025 reached $5,686 million, a 40% increase from $4,063 million in the same period of 2024[150] Production Metrics - Equivalent production increased by 25.9 MMBoe, from 184.9 MMBoe in 2024 to 210.8 MMBoe in 2025, a 14% increase[92] - Oil production increased by 12.8 MMBbl, from 29.4 MMBbl in 2024 to 42.2 MMBbl in 2025, a 43% increase[92] - Natural gas production increased by 44.0 Bcf, from 769.1 Bcf in 2024 to 813.1 Bcf in 2025, a 5.7% increase[92] Capital Expenditures - Total capital expenditures increased from $1.3 billion in 2024 to $1.8 billion in 2025, a 38% increase[92] - Capital expenditures for the nine months ended September 30, 2025, totaled $4.092 billion, with $2.473 billion allocated to proved oil and gas properties[116] Cash Flow - Net cash provided by operating activities rose by $882 million, from $2.2 billion in 2024 to $3.1 billion in 2025, a 41% increase[108] - Cash flows used in investing activities increased by $3.7 billion, from $1.3 billion in 2024 to $5.0 billion in 2025, a 279% increase[111] - Cash flows used in financing activities decreased by $767 million for the nine months ended September 30, 2025, compared to the same period in 2024, primarily due to $947 million higher proceeds from debt issuance and $350 million lower common stock repurchases[112] Debt and Equity - Total debt increased to $3.922 billion as of September 30, 2025, from $3.535 billion as of December 31, 2024, while stockholders' equity rose to $14.718 billion from $13.122 billion[113] - The company repurchased 2 million shares for $47 million during the nine months ended September 30, 2025, compared to 15 million shares for $404 million in the same period of 2024[114] - As of September 30, 2025, total debt stood at $3.9 billion, with $400 million outstanding under term loans and no balance under the revolving credit agreement[183] Dividends - The quarterly dividend was increased from $0.21 per share to $0.22 per share in February 2025[92] - The quarterly dividend was increased from $0.21 to $0.22 per share, resulting in total dividends of $510 million for the nine months ended September 30, 2025, compared to $474 million in 2024[115] Operating Expenses - Operating expenses increased by 30% to $1,347 million in Q3 2025 from $1,035 million in Q3 2024, with direct operations costs rising by 67% to $275 million[136] - Operating expenses totaled $3.81 billion, reflecting a $807 million (27%) increase compared to $3.00 billion in 2024[158] - Direct operations expenses rose by $246 million (51%) to $727 million, primarily due to higher production levels and costs in the Permian Basin[159] Acquisitions - The company closed two acquisitions in January 2025 for a total consideration of $3.3 billion in cash and 28,190,682 shares valued at $785 million[92] - The company completed the FME and Avant acquisitions in January 2025, expanding operations in the Permian Basin[134] Taxation - The effective income tax rate increased to 24.1% in Q3 2025 from 21.0% in Q3 2024, reflecting higher pre-tax income and adjustments[149] - Income tax expense increased by $176 million for the nine months ended September 30, 2025, primarily due to higher pre-tax income and an effective tax rate increase to 22.4% from 20.5%[169] Market Risks - The company is exposed to market risks associated with changes in commodity prices and interest rate movements on outstanding debt[173] - The company has entered into financial commodity derivatives to mitigate commodity price volatility, with significant portions of production currently unhedged[176]

EXHIBIT 99.1 SLR Investment Corp. Announces Quarter Ended September 30, 2025 Financial Results Net Investment Income of $0.40 Per Share; Stability in Both NAV and NII Per Share NEW YORK, Nov. 04, 2025 (GLOBE NEWSWIRE) -- SLR Investment Corp. (NASDAQ: SLRC) (the "Company", "SLRC", "we", "us", or "our") today reported net investment income ("NII") of $21.6 million, or $0.40 per share, for the third quarter of 2025. On November 4, 2025, the Company's board of directors (the "Board") declared a quarterly distri ...

Production and Guidance - Chord Energy reported Q3 2025 oil production of 155.7 MBopd, exceeding the guidance range of 153.5 – 157.5 MBopd[7] - The company raised its FY25 oil volume guidance to 153.3 MBopd, excluding the impact of the recent XTO acquisition, which is expected to contribute approximately 4.0 MBopd in Q4 2025[18] - The company plans to TIL 115 – 125 gross operated wells in FY25, with 23 – 33 gross operated TILs planned for Q4 2025[17] Financial Performance - Total revenues for Q3 2025 were $966.8 million, a decrease of 13.7% compared to $1,121.0 million in Q3 2024[22] - Adjusted EBITDA for Q3 2025 was $577.8 million, down from $674.5 million in Q3 2024, reflecting a decline of 14.3%[22] - Net cash provided by operating activities decreased to $559.0 million in Q3 2025 from $663.2 million in Q3 2024, a decline of 15.7%[22] - Operating income for Q3 2025 was $170,790,000, down from $272,893,000 in Q3 2024, reflecting a decline of 37.5%[39] - Net income for the three months ended September 30, 2025, was $130,111 thousand, compared to $225,316 thousand in 2024, indicating a decline[59] Cash Flow and Shareholder Returns - Chord returned 69% of adjusted free cash flow to shareholders through a base dividend of $1.30 per share and $83.0 million in share repurchases[6] - Adjusted free cash flow for Q3 2025 was $218.6 million, compared to $312.5 million in Q3 2024, reflecting a decline of 30%[22] - The company executed marketing agreements expected to deliver annualized free cash flow savings of $30 million to $50 million[11] Capital Expenditures and Debt - Chord's capital expenditures for FY25 are maintained at $1.35 billion, with an additional $15 million allocated to support XTO volumes in 2026[18] - Capital expenditures (CapEx) for Q3 2025 totaled $336.3 million, a decrease from $374.4 million in Q1 2025 and $365.0 million in Q2 2025[24] - As of September 30, 2025, total debt stood at $1,500.0 million, with cash and cash equivalents of $142.0 million, resulting in total liquidity of $2,109.9 million[26] - Long-term debt increased significantly to $1,478,827,000 as of September 30, 2025, from $842,600,000 at the end of 2024[39] Asset Performance and Expenses - Chord's lease operating expenses (LOE) for Q3 2025 were reported at $9.62 per Boe, towards the high end of guidance due to curtailment of Marcellus volumes[6] - The company reported a depreciation, depletion, and amortization expense of $1,101,725,000 for the nine months ended September 30, 2025, up from $757,036,000 in 2024[41] - General and administrative expenses for the three months ended September 30, 2025, were $21,861 thousand, compared to $52,115 thousand in 2024, reflecting a significant reduction[50] Earnings and Share Metrics - Basic earnings per share for Q3 2025 were $2.26, compared to a loss of $6.71 in Q2 2025 and $3.63 in Q3 2024[22] - Diluted earnings per share for Q3 2025 decreased to $2.28 from $3.60 in Q3 2024, representing a decline of 36.8%[67] - Adjusted diluted earnings per share for the nine months ended September 30, 2025, was $8.38, down from $12.93 in the same period of 2024, a decrease of 35.0%[67] Market and Impairment Charges - The company reported a non-cash goodwill impairment charge of $539.3 million for the nine months ended September 30, 2025, due to a decline in market capitalization[58] - The company incurred merger costs of $77 thousand for the three months ended September 30, 2025, compared to $17,503 thousand in 2024[65] Other Financial Metrics - Cash and cash equivalents increased to $629,208,000 as of September 30, 2025, from $36,950,000 at the end of 2024[39] - Total current assets rose to $2,064,152,000 as of September 30, 2025, compared to $1,579,118,000 at the end of 2024, marking an increase of 30.7%[39] - The total liabilities increased to $5,023,373,000 as of September 30, 2025, compared to $4,329,745,000 at the end of 2024[39]

Investment Activity - The company generated total investments of $345.684 million for the year ended December 31, 2024, with dispositions amounting to $245.576 million[34]. - For the nine months ended September 30, 2025, the company acquired investments totaling $148.775 million and disposed of $127.474 million[36]. - The ending investment portfolio at fair value as of September 30, 2025, was $325.106 million, compared to $324.262 million at the end of 2024[37]. - The company formed a joint venture, CLO Formation JV, LLC, to invest primarily in subordinated note securities in CLOs[15]. - The company’s investment activity is influenced by factors such as the availability of capital for middle-market companies and the general economic environment[19]. Revenue and Income - The company’s primary revenue source is interest from debt investments, with additional revenue from dividends and capital gains[21]. - Total investment income for the three months ended September 30, 2025, was $10,642,000, a decrease from $11,727,000 in the same period of 2024, reflecting a decline of 9.3%[39]. - Interest income for the three months ended September 30, 2025, was $7,583,000, down from $8,121,000 in 2024, primarily due to a lower average coupon rate of 10.8% on approximately $224.1 million of principal[40]. - Dividend income decreased to $2,060,000 for the three months ended September 30, 2025, compared to $3,586,000 in 2024, a decline of 42.5%[41]. - Other income increased for the three months ended September 30, 2025, primarily due to non-refundable carry fees and early repayment fees[42]. Expenses and Fees - Total expenses for the three months ended September 30, 2025, were $7,971,000, an increase from $7,580,000 in the same period of 2024, representing a rise of 5.2%[44]. - Interest expense increased to $5,485,000 for the three months ended September 30, 2025, compared to $4,210,000 in 2024, reflecting a rise of 30.3% due to new note issuances[48]. - Management fees rose to $1,253,000 for the three months ended September 30, 2025, compared to $1,201,000 in 2024, an increase of 4.3% driven by portfolio growth[45]. - The company did not accrue any incentive fees for the three months ended September 30, 2025, due to decreased investment income and increased hurdles[46]. Gains and Losses - For the three months ended September 30, 2025, the net realized gain was $6.2 million, or $0.50 per share, compared to a net realized gain of $226,000, or $0.02 per share for the same period in 2024[49]. - The gross realized gain for the nine months ended September 30, 2025 was $7.4 million, or $0.62 per share, compared to $3.4 million, or $0.36 per share for the same period in 2024[49]. - The net change in unrealized depreciation for the three months ended September 30, 2025 was $(30.6) million, or $(2.48) per share, compared to $(821,000), or $(0.08) per share for the same period in 2024[52]. - Unrealized depreciation for the nine months ended September 30, 2025 was primarily driven by losses of approximately $17.0 million on investments in First Brands, Nice-Pak, and CLO JV[53]. Financial Position and Liquidity - As of September 30, 2025, the total fair value of the investment portfolio was $413,804,000, an increase from $332,710,000 as of December 31, 2024, representing a growth of 24.4%[38]. - The company believes it has sufficient liquidity to meet its short-term and long-term obligations for at least the next 12 months[61]. - Total contractual obligations as of September 30, 2025 amounted to $205.4 million, with $57.5 million due within one year[62]. - The company had approximately $46,000 in unfunded commitments to provide financing to certain portfolio companies as of September 30, 2025[58]. - The company’s revolving line of credit was increased to up to $50 million, with a potential increase to $90 million, and no borrowings were outstanding under the revolving line as of September 30, 2025[68][69]. Debt Instruments - As of September 30, 2025, the company had approximately $88.7 million in short-term investments and $220.7 million in debt instruments across 49 companies[57]. - The aggregate principal balance of the GECCO Notes outstanding was $57.5 million, with an interest rate of 5.875% due in 2026[71]. - The aggregate principal balance of the GECCI Notes outstanding as of September 30, 2025 was $56.5 million, with an interest rate of 8.50% due in 2029[73]. - The aggregate principal balance of the GECCH Notes outstanding as of September 30, 2025 was $41.4 million, with an interest rate of 8.125% due in 2029[74]. - The aggregate principal balance of the GECCG Notes outstanding as of September 30, 2025 was $50.0 million, with an interest rate of 7.75% due in 2030[75]. - The company redeemed all of the GECCM Notes on October 12, 2024, at 100% of the principal amount plus accrued interest[70]. Stock and Shareholder Actions - The last reported closing price for the company's common stock on October 30, 2025, was $7.64 per share[81]. - The company declared a distribution of $0.37 per share for the quarter ending December 31, 2025, payable in cash[84]. - The company authorized a new share repurchase program to repurchase up to $10 million of its outstanding common shares[86]. - Approximately $153.9 million in principal amount of the company's debt investments bore interest at variable rates as of September 30, 2025[87].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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: 001-38678 ________ ...

Financial Performance - Total revenues for Q3 2025 reached $365.4 million, a 7.5% increase from $338.9 million in Q3 2024[22]. - Commissions and fees contributed $362.3 million to total revenues in Q3 2025, up from $335.2 million in Q3 2024, reflecting an 8.1% growth[22]. - Operating income for Q3 2025 was $3.2 million, a significant decrease from $15.4 million in Q3 2024, indicating a decline of 79.1%[22]. - Net loss attributable to Baldwin for Q3 2025 was $18.7 million, compared to a loss of $8.4 million in Q3 2024, representing a 122.5% increase in losses[22]. - Basic and diluted loss per share for Q3 2025 was $0.27, compared to $0.13 in Q3 2024, reflecting a 107.7% increase in loss per share[22]. - Total operating expenses for Q3 2025 were $362.2 million, up from $323.5 million in Q3 2024, marking a 12% increase[22]. - The company reported a comprehensive loss of $29.2 million for Q3 2025, compared to a comprehensive loss of $14.5 million in Q3 2024[22]. - For the nine months ended September 30, 2025, total revenues were $1.16 billion, an increase of 9.3% from $1.06 billion in the same period of 2024[22]. - The company experienced a net loss of $10.5 million for the nine months ended September 30, 2025, compared to a loss of $6.2 million for the same period in 2024[22]. - The Baldwin Insurance Group reported a net loss of $10,480,000 for the nine months ended September 30, 2025, compared to a net loss of $6,242,000 for the same period in 2024, indicating a year-over-year increase in losses of approximately 68%[32]. Assets and Liabilities - Total assets increased to $3.794 billion as of September 30, 2025, up from $3.535 billion at December 31, 2024, representing a growth of approximately 7.3%[15]. - Current assets reached $1.106 billion, compared to $1.026 billion at the end of 2024, indicating an increase of about 7.8%[15]. - Total liabilities rose to $2.666 billion, up from $2.526 billion, reflecting an increase of approximately 5.5%[15]. - The company reported a total stockholders' equity of $1.128 billion, an increase from $1.008 billion, marking a growth of around 11.9%[15]. - Cash and cash equivalents at the end of the period were $325,944,000, down from $344,716,000 at the end of the same period in 2024, representing a decrease of approximately 5.5%[32]. - The Baldwin Insurance Group's total stockholders' equity increased to $1,036,234,000 as of September 30, 2024, from $1,018,488,000 at the end of 2023, reflecting a growth of approximately 1.7%[29]. - Total accrued expenses and other current liabilities rose from $160,631,000 at December 31, 2024 to $221,665,000 at September 30, 2025, an increase of about 38.1%[95]. Cash Flow and Expenditures - Cash flows from operating activities resulted in a net cash used of $39,687,000 for the nine months ended September 30, 2025, contrasting with net cash provided of $53,754,000 in 2024[32]. - The company incurred capital expenditures of $29,174,000 during the nine months ended September 30, 2025, compared to $28,897,000 in the same period of 2024, reflecting a slight increase of 1%[32]. - The Company reported share-based compensation expense of $51,772,000 for the nine months ended September 30, 2025, compared to $46,764,000 in 2024, marking an increase of about 11%[32]. - The Company recorded share-based compensation expense of $22.0 million for the three months ended September 30, 2025, compared to $17.9 million for the same period in 2024, representing a 22.9% increase[115]. Business Combinations and Acquisitions - The Company completed two business combinations for an aggregate purchase price of $129.1 million during the nine months ended September 30, 2025[72]. - The Company acquired assets and equity interests of MultiStrat Group effective April 1, 2025, enhancing its capability to source alternative reinsurance capital[75]. - The Company acquired all outstanding equity interests of Hippo's Homebuilder Distribution Network effective July 1, 2025, improving its distribution capabilities for property and casualty insurance solutions[75]. - Total revenues from business combinations for the three months ended September 30, 2025, were $12.2 million, with net income of $2.7 million[77]. - The total consideration for Hippo's Homebuilder Distribution Network acquisition was $129.078 million, including cash consideration of $87.399 million[80]. - Recognized amounts of identifiable net assets acquired totaled $122.879 million, with goodwill recognized at $104.119 million[80]. Debt and Financing Activities - The 2025 Term Loan Facility has a principal amount of $1.006 billion, maturing on May 24, 2031[12]. - The revolving line of credit stands at $66 million, maturing on May 24, 2029[12]. - The company’s long-term debt as of December 31, 2024 was $1.44 billion, which included a term loan facility of $840 million and a revolving credit facility of $600 million[96]. - As of September 30, 2025, the outstanding borrowings under the 2025 Term Loans were $1.004 billion with an interest rate of 6.64%[101]. - The Company’s net cash provided by financing activities was $182,439,000 for the nine months ended September 30, 2025, compared to $38,390,000 in 2024, indicating a substantial increase in financing activities[32]. - The Company provided for $75.0 million of incremental term B loans as part of the amendments to the 2024 Credit Agreement[285]. - The aggregate principal amount of the 2025 Term Loans was increased to $1.006 billion following the amendments to the 2024 Credit Agreement[288]. Risk Management - The company emphasizes the importance of risk factors that could impact future performance, as outlined in their annual report[11]. - The company utilized derivative instruments to mitigate risks related to rising interest rates on cash flows, although not for trading or speculative purposes[283]. - A floating-to-fixed interest rate swap agreement was entered into with a notional amount of $500.0 million, converting variable rate cash flows into fixed rate payments at 3.244%[286]. - The interest rate swap aims to manage exposure to interest rate risk and provides predictability in interest expense[286]. - An increase of 100 basis points on the SOFR rate would have increased annual interest expense under the 2024 Credit Facility by $5.7 million[287]. Revenue Recognition - The Company recognizes revenue from commissions based on a percentage of premiums paid by clients, with allowances for estimated policy cancellations[57]. - The Company’s profit-sharing commissions are based on underwriting results and are subject to significant reversal due to loss performance uncertainty[61]. - The Company’s investment income primarily consists of interest earnings on cash invested in treasury money market funds[65]. - The Company recognized revenue of $38.1 million related to contract liabilities balance at December 31, 2024, during the nine months ended September 30, 2025[91]. Operating Groups - The Company generated commissions from insurance placement and profit-sharing income across its three operating groups[135]. - The Insurance Advisory Solutions operating group focuses on commercial risk management and employee benefits solutions[136]. - The Underwriting, Capacity & Technology Solutions group includes a proprietary, technology-enabled insurance product platform[136]. - The Mainstreet Insurance Solutions group offers personal and commercial insurance solutions through sheltered distribution channels[136].