Lineage, Inc.(US:LINE)2025-08-06 11:10Financial Performance - Net revenues for the three months ended June 30, 2025, were $1,350 million, slightly up from $1,338 million in the same period of 2024, indicating a growth of 0.9%[18] - The company reported a net loss of $7 million for the three months ended June 30, 2025, compared to a net loss of $80 million in the same period of 2024, showing an improvement of 91.3%[18] - Comprehensive income attributable to Lineage, Inc. for the three months ended June 30, 2025, was $146 million, compared to a loss of $90 million in the same period of 2024[18] - The company reported a basic loss per share of $0.03 for the three months ended June 30, 2025, unchanged from the same period in 2024[18] - The company experienced a net loss attributable to common stockholders of $6 million for the three months ended June 30, 2025, compared to a net loss of $74 million for the same period in 2024[189] - The company reported a net loss before income taxes of $14 million for Q2 2025, an improvement from a net loss of $73 million in Q2 2024[195] Assets and Liabilities - Total assets increased to $19,444 million as of June 30, 2025, up from $18,661 million at December 31, 2024, representing a growth of 4.2%[16] - Total liabilities rose to $9,778 million as of June 30, 2025, compared to $8,967 million at December 31, 2024, marking an increase of 9.0%[16] - The company’s retained earnings showed a deficit of $2,103 million as of June 30, 2025, worsening from a deficit of $1,855 million at December 31, 2024[16] - The total stockholders' equity remained relatively stable at $8,637 million as of June 30, 2025, compared to $8,638 million at December 31, 2024[16] - As of June 30, 2025, total debt increased to $5,792 million from $4,976 million as of December 31, 2024, representing a 16.4% increase[109] Cash Flow and Investments - For the six months ended June 30, 2025, the net cash provided by operating activities was $397 million, compared to $260 million in the same period of 2024, representing a 52.7% increase[25] - The net cash used in investing activities increased to $718 million in 2025 from $398 million in 2024, reflecting a 80.4% increase[25] - The company acquired assets totaling $439 million during the six months ended June 30, 2025, compared to $73 million in 2024[25] - Cash paid for interest decreased to $153 million in 2025 from $319 million in 2024, indicating a 52% reduction[27] Stock-Based Compensation - Stock-based compensation increased to $6 million for the quarter ending June 30, 2024, up from $5 million in the previous quarter, representing a 20% increase[20] - The company reported stock-based compensation of $69 million for the six months ended June 30, 2025, compared to $11 million in 2024[25] - Stock-based compensation expense for the three months ended June 30, 2025, was $29 million, compared to $6 million in the same period in 2024[167] - The company granted 1,467,453 RSUs with an estimated expense of $81 million to be recognized over the vesting term during the three months ended June 30, 2025[155] Legal and Compliance - The Company believes it is in compliance with all OSHA regulations in all material respects, with no material unrecorded liabilities as of June 30, 2025[182] - The Company is subject to various legal claims, including a potential class action lawsuit related to the IPO, but believes the ultimate resolution will not have a material adverse effect on its financial statements[186] - The Company has not recorded any material liabilities arising from environmental matters as of June 30, 2025[180] Revenue Segments - Global Warehousing revenues for Q2 2025 were $970 million, slightly up from $966 million in Q2 2024, while total net revenues for the same period were $1,350 million compared to $1,338 million in Q2 2024, indicating a growth of 0.9%[195] - Global Integrated Solutions revenues reached $380 million in Q2 2025, up from $372 million in Q2 2024, contributing to a total of $728 million for the first half of 2025, compared to $731 million in the same period of 2024[195] Debt and Financing - The Company has an unsecured delayed-draw term loan facility with a borrowing capacity of up to $2,400 million, fully drawn on April 9, 2024[115] - The 5.25% Notes issued on June 17, 2025, amount to $500 million, with interest payable starting January 15, 2026[119] - Unsecured credit facilities increased from $2,772 million to $3,001 million from December 31, 2024, to June 30, 2025[109] - The total long-term debt, net, increased to $5,735 million as of June 30, 2025, from $4,906 million as of December 31, 2024[109] Other Financial Metrics - The company's effective tax rate for the three months ended June 30, 2025, was 50.0%, compared to (9.6%) for the same period in 2024[108] - The Company recorded a net gain of $13 million related to insurance reimbursement from the Kennewick warehouse fire, offsetting clean-up costs of $9 million for the three months ended June 30, 2025[183] - Foreign currency translation adjustments resulted in a gain of $184 million for the three months ended June 30, 2025, compared to a loss of $12 million for the same period in 2024[187]