Everest (EG) - 2025 Q2 - Quarterly Report

PART I. FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS This section presents the unaudited consolidated financial statements, including balance sheets, statements of operations, changes in shareholders' equity, and cash flows, along with detailed notes explaining accounting policies, investment composition, fair value measurements, loss reserves, segment performance, debt, and equity compensation Consolidated Balance Sheets Consolidated Balance Sheet Highlights | Metric | June 30, 2025 (unaudited) | December 31, 2024 | Change (%) | | :--------------------------------- | :------------------------ | :---------------- | :--------- | | Total Assets | $60,519 million | $56,341 million | 7.4% | | Total Liabilities | $45,500 million | $42,466 million | 7.1% | | Total Shareholders' Equity | $15,019 million | $13,875 million | 8.2% | | Reserve for losses and LAE | $32,476 million | $29,889 million | 8.7% | | Total investments and cash | $44,300 million | $41,531 million | 6.7% | Consolidated Statements of Operations and Comprehensive Income (Loss) Consolidated Statements of Operations (3 Months Ended June 30) | Metric | 2025 (unaudited) | 2024 (unaudited) | Change (%) | | :------------------------------ | :--------------- | :--------------- | :--------- | | Total Revenues | $4,491 million | $4,227 million | 6.2% | | Premiums Earned | $3,991 million | $3,693 million | 8.1% | | Net Investment Income | $532 million | $528 million | 0.8% | | Net Income (Loss) | $680 million | $724 million | (6.0)% | | Comprehensive Income (Loss) | $1,145 million | $688 million | 66.4% | | Basic EPS | $16.10 | $16.70 | (3.6)% | Consolidated Statements of Operations (6 Months Ended June 30) | Metric | 2025 (unaudited) | 2024 (unaudited) | Change (%) | | :------------------------------ | :--------------- | :--------------- | :--------- | | Total Revenues | $8,754 million | $8,360 million | 4.7% | | Premiums Earned | $7,843 million | $7,345 million | 6.8% | | Net Investment Income | $1,023 million | $985 million | 3.9% | | Net Income (Loss) | $890 million | $1,457 million | (38.9)% | | Comprehensive Income (Loss) | $1,707 million | $1,230 million | 38.8% | | Basic EPS | $20.93 | $33.57 | (37.7)% | Consolidated Statements of Changes in Shareholders' Equity Shareholders' Equity Changes (6 Months Ended June 30) | Metric | 2025 (unaudited) | 2024 (unaudited) | | :------------------------------ | :--------------- | :--------------- | | Total Shareholders' Equity | $15,019 million | $14,182 million | | Net Income (Loss) | $890 million | $1,457 million | | Dividends Declared | $(169) million | $(163) million | | Purchase of Treasury Shares | $(400) million | $(100) million | | Accumulated OCI (Loss) | $(321) million | $(1,160) million | - The increase in total shareholders' equity was primarily driven by net income and a significant increase in accumulated other comprehensive income (loss) due to unrealized appreciation of securities, partially offset by treasury share repurchases and dividends[12] Consolidated Statements of Cash Flows Consolidated Cash Flow Summary (6 Months Ended June 30) | Metric | 2025 (unaudited) | 2024 (unaudited) | Change ($) | | :------------------------------ | :--------------- | :--------------- | :--------- | | Net cash from Operating Activities | $2,007 million | $2,439 million | $(432) million | | Net cash from Investing Activities | $(1,014) million | $(2,016) million | $1,002 million | | Net cash from Financing Activities | $(608) million | $(305) million | $(303) million | | Net Increase in Cash | $352 million | $133 million | $219 million | | Cash, End of Period | $1,902 million | $1,570 million | $332 million | - Net cash provided by operating activities decreased, while net cash used in financing activities increased significantly due to higher treasury share purchases ($400 million in 2025 vs. $100 million in 2024)[14] Notes to Consolidated Interim Financial Statements - The notes provide detailed disclosures for the unaudited interim financial statements, covering accounting policies, investment composition, fair value measurements, loss reserves, segment reporting, debt facilities, and equity compensation[18] - No new material accounting standards were adopted in the current period, but future standards on income tax and income statement expense disclosures are being evaluated[21][23][24] 1. GENERAL - Everest Group, Ltd. (Group) provides reinsurance and insurance in the U.S., Bermuda, and international markets through its subsidiaries[17] 2. BASIS OF PRESENTATION - The unaudited consolidated financial statements include normal recurring accruals and are prepared in accordance with GAAP, with certain annual disclosures omitted for interim reporting[18] - The Company did not adopt any new accounting standards that had a material impact during the three and six months ended June 30, 2025[21] - Future accounting standards, such as 'Improvements to Income Tax Disclosures' (effective after Dec 15, 2024) and 'Disaggregation of Income Statement Expenses' (effective after Dec 15, 2026), are being evaluated for their potential impact on financial statement disclosures[23][24][26] 3. INVESTMENTS Fixed Maturity Securities - Available for Sale (June 30, 2025) | (Dollars in millions) | Amortized Cost | Allowance for Credit Losses | Unrealized Appreciation | Unrealized Depreciation | Fair Value | | :-------------------------------------------------- | :------------- | :-------------------------- | :---------------------- | :---------------------- | :--------- | | Total fixed maturity securities - available for sale | $33,791 | $(40) | $583 | $(870) | $33,464 | - The aggregate fair value and gross unrealized losses for available-for-sale fixed maturity securities in an unrealized loss position were $13.1 billion and $870 million, respectively, at June 30, 2025. These losses are primarily due to changes in interest rates and non-issuer-specific credit spreads, not credit-related[33][35] Net Investment Income Components (Six Months Ended June 30) | (Dollars in millions) | 2025 | 2024 | | :-------------------- | :--- | :--- | | Fixed maturities | $782 | $721 | | Limited partnerships | $113 | $148 | | Net investment income | $1,023 | $985 | - The Company has contractual commitments to invest up to an additional $3.0 billion in limited partnerships and private placement loan securities, with investment periods expiring through 2035[39] 4. FAIR VALUE - Fair value measurements are categorized into a three-level hierarchy based on input observability: Level 1 (quoted prices in active markets), Level 2 (observable inputs for similar assets/liabilities), and Level 3 (significant unobservable inputs)[51][60] - At June 30, 2025, $2.3 billion of fixed maturities were fair valued using unobservable (Level 3) inputs, primarily valued by investment managers' valuation committees and substantiated by independent third parties[55][61] Fair Value Measurement Levels (June 30, 2025) | (Dollars in millions) | Total Fair Value | Level 1 | Level 2 | Level 3 | | :------------------------------------ | :--------------- | :------ | :------ | :------ | | Fixed maturities - available for sale | $33,464 | $0 | $31,153 | $2,312 | | Equity securities, fair value | $177 | $83 | $90 | $5 | 5. RESERVE FOR LOSSES AND LAE Roll Forward of Reserve for Losses and LAE (Six Months Ended June 30) | (Dollars in millions) | 2025 | 2024 | | :---------------------------------- | :--- | :--- | | Gross reserves beginning of period | $29,889 | $24,604 | | Total incurred losses and LAE | $5,366 | $4,548 | | Total paid losses and LAE | $3,728 | $3,213 | | Gross reserves end of period | $32,476 | $25,853 | - Current year incurred losses were $5.3 billion in 2025, up from $4.5 billion in 2024, reflecting earned premium growth and an increase in current year catastrophe losses[69] - Net unfavorable development on prior year reserves of $59 million was primarily due to $98 million in aviation losses from the Russia/Ukraine war, partially offset by $39 million in favorable development from property lines[70][71] 6. SEGMENT REPORTING - The Company operates through two reportable segments: Reinsurance and Insurance. A new 'Other' segment was formed in Q4 2024 for run-off business, including sports and leisure, asbestos and environmental (A&E) exposures, and discontinued programs[72][74] - Segment performance is primarily evaluated based on underwriting results, measured by loss, commission and brokerage, and other underwriting expense ratios[75] Underwriting Gain (Loss) by Segment (Six Months Ended June 30, 2025) | (Dollars in millions) | Reinsurance | Insurance | Other | Total | | :-------------------- | :---------- | :-------- | :---- | :---- | | Underwriting gain (loss) | $340 | $(23) | $(36) | $281 | 7. CREDIT FACILITIES - As of June 30, 2025, the Company has multiple active committed letter of credit facilities totaling up to $1.6 billion, plus additional facilities in British Pound Sterling (£113 million) and Euros (€75 million)[79] - Everest Reinsurance Company (Everest Re) is a member of the FHLBNY, providing borrowing capacity of up to approximately $3.2 billion, with $1.0 billion outstanding as of June 30, 2025[99] Bermuda Re Wells Fargo Bilateral LOC Facility (June 30, 2025) | Tranche | Commitment | In Use | | :-------------------- | :--------- | :----- | | Secured | $175 | $160 | | Unsecured | $175 | $171 | | Total | $350 | $332 | 8. SENIOR NOTES Outstanding Senior Notes (June 30, 2025) | Interest Rate | Principal Amounts | Consolidated Balance Sheet Amount | Fair Value | | :-------------- | :---------------- | :-------------------------------- | :--------- | | 4.868% | $400 | $398 | $355 | | 3.5% | $1,000 | $982 | $685 | | 3.125% | $1,000 | $971 | $622 | | Total | $2,400 | $2,351 | $1,662 | - Interest expense for Senior Notes was $43 million for the six months ended June 30, 2025, consistent with the prior year[103] 9. LONG-TERM SUBORDINATED NOTES Outstanding Long-Term Subordinated Notes (June 30, 2025) | Original Principal Amount | Consolidated Balance Sheet Amount | Fair Value | | :------------------------ | :-------------------------------- | :--------- | | $400 | $218 | $217 | - Interest on these notes is floating rate, based on 3-month CME Term SOFR plus a spread, with the rate for May 15, 2025 to August 15, 2025, at 6.97%[105] - Holdings may redeem these notes on or after May 15, 2017, subject to a replacement capital covenant benefiting Senior Note holders[106] 10. COLLATERALIZED REINSURANCE, TRUST AGREEMENTS AND OTHER RESTRICTED ASSETS Total Restricted Assets (June 30, 2025) | Category | Amount (Millions) | | :------------------------------------------ | :---------------- | | Collateral in trust for non-affiliated agreements | $3,548 | | Collateral for secured letter of credit facilities | $840 | | Collateral for FHLB borrowings | $1,321 | | Securities on deposit with government authorities | $1,450 | | Funds at Lloyd's | $300 | | Funds held by reinsureds | $1,291 | | Total restricted assets | $8,749 | - The Company reinsures catastrophe exposures with Mt. Logan Re, a collateralized insurer, and through various collateralized reinsurance agreements with Kilimanjaro Re Limited, which issues catastrophe bonds to external investors[109][112][114] 11. COMMITMENTS AND CONTINGENCIES - The Company is involved in lawsuits, arbitrations, and other dispute resolution procedures related to insurance and reinsurance agreements, which are considered when determining loss and LAE reserves[115] - No other material litigation or arbitration is currently pending[116] 12. OTHER COMPREHENSIVE INCOME (LOSS) Total Other Comprehensive Income (Loss) (Six Months Ended June 30) | (Dollars in millions) | 2025 | 2024 | | :------------------------------------------ | :--- | :--- | | URA(D) of securities | $585 | $(227) | | Foreign currency translation and other adjustments | $228 | $(38) | | Total other comprehensive income (loss) | $817 | $(227) | - The significant increase in total other comprehensive income (loss) for the six months ended June 30, 2025, was primarily driven by unrealized appreciation of securities and positive foreign currency translation adjustments[117] 13. SHARE-BASED COMPENSATION PLANS - For the six months ended June 30, 2025, a total of 245,272 restricted stock awards and 27,204 performance share unit awards were granted[120] - This compares to 218,959 restricted stock awards and 18,713 performance share unit awards granted in the same period of 2024[121] 14. EARNINGS PER COMMON SHARE Earnings Per Common Share (Six Months Ended June 30) | Metric | 2025 | 2024 | | :------------------------------------------ | :--- | :--- | | Net income (loss) | $890 | $1,457 | | Numerator for basic and diluted EPS | $880 | $1,440 | | Denominator for basic/diluted EPS (millions) | 42.0 | 42.9 | | Basic EPS | $20.93 | $33.57 | | Diluted EPS | $20.93 | $33.57 | - Basic and diluted EPS decreased significantly for the six months ended June 30, 2025, to $20.93 from $33.57 in 2024, primarily due to lower net income[124] 15. INCOME TAXES - Bermuda's Corporate Income Tax Act 2023 (effective Jan 1, 2025) applies a 15% corporate income tax, with an 'Economic Transition Adjustment' providing a deferred tax benefit[125] - Recent OECD guidance restricts the utilization of deferred tax assets from government tax benefits against Pillar Two Global Minimum Taxes, potentially reducing the Company's Deferred Tax Assets[125] - The 'One Big Beautiful Bill' was signed into law on July 4, 2025, and the Company is evaluating its effects[127] 16. SUBSEQUENT EVENTS - No material subsequent events or transactions requiring recognition or disclosure have occurred[128] ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS This section comprehensively analyzes Everest Group's financial performance and condition for the three and six months ended June 30, 2025, covering key financial metrics, revenue/expense drivers, investment results, segment performance, liquidity, capital resources, and market risk exposures Overview - Everest is a global underwriting leader in property, casualty, and specialty reinsurance and insurance, listed on the S&P 500 Index[130] - A new 'Other' segment was established in Q4 2024 for run-off business, including sports and leisure, and asbestos and environmental (A&E) exposures[132] Financial Summary Financial Summary (3 Months Ended June 30) | Metric | 2025 | 2024 | Change (%) | | :------------------------------ | :--- | :--- | :--------- | | Gross written premiums | $4,680 | $4,725 | (0.9)% | | Net written premiums | $4,119 | $4,084 | 0.8% | | Premiums earned | $3,991 | $3,693 | 8.1% | | Net income (loss) | $680 | $724 | (6.0)% | | Combined ratio | 90.4% | 90.3% | 0.1 pts | Financial Summary (6 Months Ended June 30) | Metric | 2025 | 2024 | Change (%) | | :------------------------------ | :--- | :--- | :--------- | | Gross written premiums | $9,071 | $9,136 | (0.7)% | | Net written premiums | $7,853 | $7,984 | (1.6)% | | Premiums earned | $7,843 | $7,345 | 6.8% | | Net income (loss) | $890 | $1,457 | (38.9)% | | Combined ratio | 96.4% | 89.6% | 6.8 pts | Revenues - Gross written premiums decreased by 0.9% for the three months and 0.7% for the six months ended June 30, 2025, primarily due to a decrease in insurance business (portfolio actions on specialty casualty) and the 'Other' segment (discontinued lines), partially offset by a 1.1% and 1.2% increase in reinsurance business, respectively[136][137][138] - Premiums earned increased by 8.1% to $4.0 billion for the three months and 6.8% to $7.8 billion for the six months ended June 30, 2025, mainly due to the earning of higher base premiums written in 2024[140] - Other income shifted to an expense of $27 million for the three months and $100 million for the six months ended June 30, 2025, primarily due to foreign currency exchange expense, partially offset by a $26.7 million pension plan settlement gain in Q2 2025[141] Claims and Expenses Claims and Expenses (3 Months Ended June 30) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :------------------------------ | :--- | :--- | :--------- | :--------- | | Incurred losses and LAE | $2,472 | $2,311 | $161 | 7.0% | | Commission, brokerage, taxes and fees | $880 | $790 | $90 | 11.5% | | Other underwriting expenses | $254 | $234 | $20 | 8.6% | | Corporate expenses | $31 | $22 | $9 | 40.8% | | Interest, fees and bond issue cost amortization expense | $38 | $37 | $1 | 1.2% | Claims and Expenses (6 Months Ended June 30) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :------------------------------ | :--- | :--- | :--------- | :--------- | | Incurred losses and LAE | $5,366 | $4,548 | $817 | 18.0% | | Commission, brokerage, taxes and fees | $1,704 | $1,571 | $133 | 8.4% | | Other underwriting expenses | $492 | $458 | $34 | 7.6% | | Corporate expenses | $52 | $44 | $8 | 18.7% | | Interest, fees and bond issue cost amortization expense | $76 | $75 | $1 | 1.2% | - Unfavorable prior year development of $59 million was primarily due to $98 million in aviation losses from the Russia/Ukraine war, partially offset by $39 million in favorable development from property lines[144][147] - Catastrophe losses contributed 0.5 percentage points to the combined ratio for Q2 2025 (down from 4.1 pts in Q2 2024) and 7.1 percentage points for H1 2025 (up from 3.2 pts in H1 2024), with significant H1 2025 losses from Southern California wildfires ($513 million)[146][147][148] Consolidated Investment Results Net Investment Income and Gains (3 Months Ended June 30) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :------------------------------ | :--- | :--- | :--------- | :--------- | | Net Investment Income | $532 | $528 | $4 | 0.8% | | Net Gains (Losses) on Investments | $(5) | $(17) | $12 | (68.6)% | Net Investment Income and Gains (6 Months Ended June 30) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :------------------------------ | :--- | :--- | :--------- | :--------- | | Net Investment Income | $1,023 | $985 | $38 | 3.9% | | Net Gains (Losses) on Investments | $(12) | $(24) | $12 | (48.0)% | - The increase in net investment income was primarily due to a $61 million increase from fixed maturity investments for the six months, partially offset by a $35 million decline in limited partnership income[163] Segment Results - The Company operates through two reportable segments: Reinsurance and Insurance, with a new 'Other' segment for run-off business[168] - Segment performance is primarily evaluated based on underwriting results, including loss, commission and brokerage, and other underwriting expense ratios[169] Reinsurance Reinsurance Underwriting Results (6 Months Ended June 30) | Metric | 2025 | 2024 | Variance ($) | % Change | | :-------------------- | :--- | :--- | :----------- | :--------- | | Gross written premiums | $6,463 | $6,385 | $78 | 1.2% | | Premiums earned | $5,942 | $5,459 | $483 | 8.8% | | Underwriting gain (loss) | $340 | $650 | $(310) | (47.6)% | | Combined ratio | 94.3% | 88.1% | 6.2 pts | | - Gross written premiums increased due to property pro rata and property catastrophe excess of loss business, partially offset by a decrease in financial lines[171] - Incurred losses and LAE for the six months increased by 20.2% to $4.0 billion, driven by $305 million in current year attritional losses, $307 million in current year catastrophe losses (primarily Southern California wildfires), and $59 million in unfavorable prior year development (Russia/Ukraine war aviation losses)[176] Insurance Insurance Underwriting Results (6 Months Ended June 30) | Metric | 2025 | 2024 | Variance ($) | % Change | | :-------------------- | :--- | :--- | :----------- | :--------- | | Gross written premiums | $2,559 | $2,618 | $(60) | (2.3)% | | Premiums earned | $1,833 | $1,781 | $52 | 2.9% | | Underwriting gain (loss) | $(23) | $127 | $(151) | NM | | Combined ratio | 101.3% | 92.9% | 8.4 pts | | - Gross written premiums decreased primarily due to portfolio actions on specialty casualty lines, partially offset by growth in other specialty and property/short tail business[180] - Incurred losses and LAE for the six months increased by 12.7% to $1.3 billion, mainly due to a $144 million increase in current year attritional losses (strengthening of loss selections in casualty lines) and a $1 million increase in catastrophe losses[185] Other - The 'Other' segment, comprising run-off business like sports and leisure and A&E exposures, saw significant decreases in gross written premiums (60.5% for Q2, 62.4% for H1 2025) and premiums earned (33.2% for Q2, 35.2% for H1 2025)[189][190][192] - Incurred losses and LAE increased by 46.5% for the three months and 2.3% for the six months, driven by catastrophe losses and reserve strengthening on current accident year lines[193] Financial Condition - Total investments increased to $42.4 billion, driven by net purchases of fixed maturities, while reinsurance recoverables also rose[194][195][199] - Gross loss and LAE reserves reached $32.5 billion, with the majority allocated to the Reinsurance segment, and A&E exposures are separately monitored[200][201][205] Investments - Total investments increased by $2.4 billion to $42.4 billion at June 30, 2025, primarily due to a net purchase of $3.4 billion in fixed maturities - available for sale, partially offset by a $2.3 billion net sale of short-term investments[194][195] Investment Portfolio Characteristics | Metric | June 30, 2025 | December 31, 2024 | | :------------------------------ | :------------ | :---------------- | | Fixed income portfolio duration (years) | 3.4 | 3.1 | | Fixed income composite credit quality | AA- | AA | Reinsurance Recoverables - Reinsurance recoverables for paid and unpaid losses totaled $3.5 billion at June 30, 2025, up from $3.1 billion at December 31, 2024[199] - Key recoverables include $411 million from Mt. Logan Re, $341 million from Munich Reinsurance America, Inc., and $253 million from Endurance Assurance Corporation[199] Loss and LAE Reserves Gross Outstanding Loss and LAE Reserves by Segment (June 30, 2025) | Segment | Case Reserves | IBNR Reserves | Total Reserves | % of Total | | :-------- | :------------ | :------------ | :------------- | :--------- | | Reinsurance | $7,082 | $14,809 | $21,891 | 67.4% | | Insurance | $2,559 | $6,714 | $9,273 | 28.6% | | Other | $373 | $939 | $1,312 | 4.0% | | Total | $10,013 | $22,463 | $32,476 | 100.0% | - Gross loss and LAE reserves increased to $32.5 billion at June 30, 2025, from $29.9 billion at December 31, 2024[200] - Reserves are management's best estimate, continuously re-evaluated using actuarial science, business expertise, and management judgment[202][203] Asbestos and Environmental Exposures A&E Loss Reserves (June 30, 2025) | Metric | Amount (Millions) | | :------------- | :---------------- | | Gross reserves | $241 | | Ceded reserves | $(18) | | Net reserves | $223 | - Net asbestos loss reserves were $198 million (88.8% of total net A&E reserves) at June 30, 2025, all for assumed business[206] - The net three-year asbestos survival ratio was 6.7 years at June 30, 2025[208] Liquidity and Capital Resources - Shareholders' equity increased to $15.0 billion, exceeding regulatory and rating agency requirements, but the projected net economic loss from the largest 100-year event increased to 12.2% of shareholders' equity[162][209][213] - Liquidity is primarily met by positive operating cash flow ($2.0 billion for H1 2025) and a diversified investment portfolio, including $4.4 billion in cash and short-term investments[218][220] - The Company repurchased $400 million of common shares and paid $169 million in dividends during the first half of 2025[215][216] ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK This section refers to the detailed discussion on market risk instruments, including interest rate and foreign currency risk, provided in the 'Liquidity and Capital Resources - Market Sensitive Instruments' section of Item 2 - Quantitative and qualitative disclosures about market risk are detailed in the 'Liquidity and Capital Resources - Market Sensitive Instruments' section[234] ITEM 4. CONTROLS AND PROCEDURES Management, including the CEO and CFO, evaluated and concluded on the effectiveness of disclosure controls and procedures, with no material changes to internal control over financial reporting during the quarter - Disclosure controls and procedures were evaluated and deemed effective as of June 30, 2025[235] - No material changes to internal control over financial reporting occurred during the quarter[235] PART II. OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS The Company routinely handles legal disputes related to insurance and reinsurance agreements, factored into loss and LAE reserves, with no other material litigation currently pending - The Company is involved in routine lawsuits, arbitrations, and dispute resolution procedures related to insurance and reinsurance agreements, which are considered in loss and LAE reserves[237] - No other material litigation or arbitration is currently pending[238] ITEM 1A. RISK FACTORS 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 - No material changes to risk factors from the most recent Form 10-K filing[239] ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS During Q2 2025, the Company repurchased 582,029 shares, with 580,883 under publicly announced plans, following a November 2024 Board authorization for an additional 10 million shares, bringing the total authorized to 42 million shares, of which 32.5 million have been repurchased Issuer Purchases of Equity Securities (Q2 2025) | Period | Total Number of Shares Purchased | Average Price Paid per Share | Shares Purchased as Part of Publicly Announced Plans | Maximum Number of Shares that May Yet Be Purchased Under Programs | | :----------------- | :------------------------------- | :--------------------------- | :--------------------------------------------------- | :---------------------------------------------------------------- | | April 1 - 30, 2025 | 69 | $344.81 | — | 10,118,439 | | May 1 - 31, 2025 | 509,392 | $343.97 | 508,763 | 9,609,676 | | June 1 - 30, 2025 | 72,568 | $346.69 | 72,120 | 9,537,556 | | Total | 582,029 | — | 580,883 | 9,537,556 | - On November 7, 2024, the Board increased the share repurchase authorization by 10 million shares, bringing the total to 42 million shares, with 32.5 million repurchased as of June 30, 2025[240] ITEM 3. DEFAULTS UPON SENIOR SECURITIES There were no defaults upon senior securities during the reported period - No defaults upon senior securities occurred[242] ITEM 4. MINE SAFETY DISCLOSURES This item is not applicable to the Company - Mine safety disclosures are not applicable to the Company[243] ITEM 5. OTHER INFORMATION No directors or officers adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the fiscal quarter ended June 30, 2025 - No directors or officers adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the quarter[244] ITEM 6. EXHIBITS This section lists the exhibits filed with the Form 10-Q, including bye-laws, credit facility amendments, Section 302 and 906 certifications, and XBRL interactive data files - Exhibits include amended bye-laws, credit facility amendments, Section 302 and 906 certifications, and XBRL interactive data files[245]