Financial Performance - Net sales for the fiscal second quarter were $384 million, a decrease of 7% year-over-year, with organic net sales also down 7%[4] - The gross profit margin was 19.4%, reflecting a 330-basis point decrease from the prior year period[4] - The net loss for the quarter was $116 million, compared to a net loss of $104 million in the prior year, including pre-tax non-cash impairment charges of $132 million[4] - Adjusted EBITDA was $24 million, down from $38 million in the prior year period, representing a decrease of 37%[4] - The company reported a net loss of $116.0 million in Q2 2026, compared to a net loss of $104.0 million in Q2 2025, reflecting an increase in losses of 10.1%[31] - Adjusted EBITDA for Q2 2026 was not explicitly stated but is calculated as net loss before various adjustments, indicating ongoing financial challenges[31] - The company reported a GAAP operating loss of $98,822 thousand in Q2 FY26, compared to a loss of $91,899 thousand in Q2 FY25[42] - The company reported a GAAP net loss of $116,006 in Q2 FY26, compared to a net loss of $103,975 in Q2 FY25, reflecting a year-over-year increase of 10.4%[45] - Adjusted net loss for Q2 FY26 was $(2,735), a significant decline from an adjusted net income of $7,506 in Q2 FY25, indicating a shift in financial performance[45] Sales Performance - North America segment organic net sales decreased by 10% year-over-year, primarily driven by declines in snacks and baby formula[8] - International segment organic net sales decreased by 3% year-over-year, showing sequential improvement from a 4% decrease in the previous quarter[11] - Organic net sales for Q2 2026 were $384.1 million, a decrease of 6.6% compared to $411.5 million in Q2 2025[31] - Q2 FY26 consolidated net sales decreased by 6.7% to $384,120 thousand compared to Q2 FY25, which was $411,485 thousand[37] - North America net sales in Q2 FY26 were $197,821 thousand, down 13.7% from $229,289 thousand in Q2 FY25[37] - The company experienced a net sales decline of 12.7% in North America for the year-to-date period compared to the previous year[47] - The impact of divestitures and discontinued brands accounted for a reduction of $22,932 in net sales for Q2 FY25, highlighting the effect of strategic business decisions[47] - The company reported a negative impact of $13.484 million from divestitures and exited product categories on net sales in Q2 FY26[49] - The impact of foreign currency exchange on net sales was $9.036 million in Q2 FY26[49] Cash Flow and Debt - Net cash provided by operating activities was $37 million, an increase from $31 million in the prior year period[12] - Free cash flow for the quarter was $30 million, compared to $25 million in the prior year[12] - Total debt remained stable at $705 million, with net debt decreasing to $637 million from $650 million at the beginning of the fiscal year[12] - Free cash flow for Q2 2026 was $36.97 million, an increase from $30.91 million in Q2 2025, showing improved cash generation from operations[35] - Net debt as of December 31, 2025, was $636.686 million, a decrease from $650.466 million as of June 30, 2025[55] Impairment and Goodwill - Goodwill impairment for Q2 2026 was $119.9 million, significantly higher than $91.3 million in Q2 2025, impacting overall financial performance[31] - The company incurred goodwill impairment charges of $119.908 million in Q2 FY26[51] Strategic Initiatives - The company is advancing its turnaround strategy, including the divestiture of its North American snack business to improve financial flexibility and margins[2] - The company continues to focus on organic net sales growth, excluding the impact of acquisitions and divestitures, to provide clearer insights into operational performance[29] - The company is focusing on productivity and transformation costs, which amounted to $5,234 thousand in Q2 FY26[42]

Financial Performance - Net revenues increased by 7% year-over-year to $13.39 million, up from $12.52 million[6] - Gross profit rose to $11.66 million, maintaining a stable gross profit margin of approximately 87%[6] - Net income before discontinued operations was $1.46 million, compared to a net loss of $(21.18) million in the prior year, marking the second consecutive quarter of profitability[6] - Adjusted EBITDA increased to $6.55 million from $4.26 million in the same period last year[6] - Total net revenues for the nine months ended December 31, 2025, were $37,236,005, a slight increase from $36,786,879 in the same period of 2024, representing a growth of approximately 1.2%[26] - Gross profit for the nine months ended December 31, 2025, was $32,439,767, compared to $31,901,007 for the same period in 2024, indicating an increase of about 1.7%[26] - Net income attributable to common stockholders for the nine months ended December 31, 2025, was $1,464,625, compared to a loss of $55,656,281 in the same period of 2024[26] - Basic income per share of common stock for the nine months ended December 31, 2025, was $0.01, compared to a loss of $0.34 in the same period of 2024[26] - The company reported a gross profit margin of approximately 86.9% for the nine months ended December 31, 2025, compared to 86.5% for the same period in 2024[26] Operating Expenses and Cash Flow - Operating expenses decreased by $21.76 million year-over-year, reflecting cost discipline and resolved legal disputes[6] - Operating expenses for the nine months ended December 31, 2025, totaled $35,777,635, a decrease from $64,672,926 in the same period of 2024, indicating a reduction of about 44.7%[26] - Generated over $4 million in cash from operations during the quarter, ending with $69.9 million in cash and cash equivalents[9] - Cash and cash equivalents increased significantly to $69,857,730 as of December 31, 2025, from $30,227,796 as of March 31, 2025, marking an increase of approximately 131.3%[24] Growth and Strategic Initiatives - The company is focused on sustainable growth through operational efficiency and digital innovation, with key priorities including increasing GMV and enhancing seller offerings[10] - Total gross merchandise value (GMV) increased by 6.4% to $215.8 million, with firearm sales up by 8% despite a 4% decline in adjusted NICS checks[7] - Continued enhancements to GunBroker.com included improved seller tools and user experience features[6][8] - The relocation of headquarters from Arizona to Georgia is part of ongoing corporate restructuring and operational streamlining initiatives[6] Balance Sheet and Assets - Total current assets increased to $82,518,544 as of December 31, 2025, from $72,148,138 as of March 31, 2025, reflecting a growth of approximately 14.5%[24] - Total liabilities decreased to $34,385,362 as of December 31, 2025, down from $75,303,066 as of March 31, 2025, a reduction of about 54.4%[24] - Total shareholders' equity increased to $237,267,909 as of December 31, 2025, from $222,026,563 as of March 31, 2025, representing a growth of approximately 6.8%[24]

Financial Performance - Net revenues increased by 7% year-over-year to $13.39 million, up from $12.52 million[6] - Gross profit rose to $11.66 million, maintaining a gross profit margin of approximately 87%[6] - Net income before discontinued operations was $1.46 million, compared to a net loss of $(21.18) million in the prior year, marking the second consecutive quarter of profitability[6] - Adjusted EBITDA increased to $6.55 million from $4.26 million in the same period last year[6] - Total net revenues for the nine months ended December 31, 2025, were $37,236,005, a slight increase from $36,786,879 in the same period of 2024, representing a growth of approximately 1.2%[26] - Gross profit for the nine months ended December 31, 2025, was $32,439,767, compared to $31,901,007 for the same period in 2024, indicating an increase of about 1.7%[26] - Net income attributable to common stockholders for the nine months ended December 31, 2025, was $1,464,625, compared to a loss of $55,656,281 in the same period of 2024[26] - Basic income per share of common stock for the nine months ended December 31, 2025, was $0.01, compared to a loss of $0.34 in the same period of 2024[26] - The company reported a gross profit margin of approximately 86.9% for the nine months ended December 31, 2025, compared to 86.5% for the same period in 2024[26] Operating Expenses and Cash Flow - Operating expenses decreased by $21.76 million year-over-year, reflecting cost discipline and resolved legal disputes[6] - Operating expenses for the nine months ended December 31, 2025, totaled $35,777,635, a decrease from $64,672,926 in the same period of 2024, indicating a reduction of about 44.8%[26] - Generated over $4 million in cash from operations during the quarter, ending with $69.9 million in cash and cash equivalents[9] - Cash and cash equivalents increased significantly to $69,857,730 as of December 31, 2025, from $30,227,796 as of March 31, 2025, marking an increase of approximately 131.3%[24] Growth and Market Performance - Total gross merchandise value (GMV) increased by 6.4% to $215.8 million, with firearm sales up by 8% despite a 4% decline in adjusted NICS checks[7] - The company is focused on sustainable growth through operational efficiency and digital innovation, with key priorities including increasing GMV and enhancing seller offerings[10] Corporate Restructuring - The relocation of headquarters from Arizona to Georgia is part of ongoing corporate restructuring and operational streamlining initiatives[6] - Total current assets increased to $82,518,544 as of December 31, 2025, from $72,148,138 as of March 31, 2025, reflecting a growth of approximately 14.5%[24] - Total liabilities decreased to $34,385,362 as of December 31, 2025, down from $75,303,066 as of March 31, 2025, a reduction of about 54.4%[24] - Total shareholders' equity increased to $237,267,909 as of December 31, 2025, from $222,026,563 as of March 31, 2025, representing a growth of approximately 6.8%[24] Product and Service Enhancements - Continued enhancements to GunBroker.com included improved seller tools and user experience features[6][8]

Financial Performance - Fourth quarter 2025 sales reached $932 million, a 7% increase from $873 million in Q4 2024[3] - Non-GAAP EPS for Q4 2025 grew 10% to $4.53, compared to $4.10 in Q4 2024[4] - Full-year 2025 sales totaled $3,165 million, reflecting a 7% increase from $2,958 million in 2024[10] - Recurring revenue increased 10% in Q4 2025, driven by strong demand in precision chemistries[9] - The pharmaceutical market saw an 8% sales increase in Q4 2025, while the industrial market also grew by 8%[8] - For the three months ended December 31, 2025, total net sales increased by 7% to $932,362 thousand compared to $872,714 thousand in the same period of 2024, with a constant currency growth rate of 6%[27] - For the twelve months ended December 31, 2025, total net sales reached $3,165,286 thousand, marking a 7% increase from $2,958,387 thousand in 2024, with a constant currency growth rate also at 7%[29] - Pharmaceutical market sales increased by 9% to $1,873,362 thousand, while the Industrial market grew by 6% to $961,154 thousand[29] - The total recurring revenue for the twelve months was $1,819,644 thousand, reflecting an 8% increase compared to the previous year[29] Future Projections - The company expects full-year 2026 organic constant currency revenue growth of 5.5% to 7.0%, translating to reported revenue of $3.355 billion to $3.405 billion[14] - Total company revenue for full-year 2026, including expected revenue synergies, is projected to be between $6.405 billion and $6.455 billion[15] - First quarter 2026 organic constant currency revenue growth is anticipated to be in the range of 7.0% to 9.0%[17] - The acquisition of BD Biosciences and Diagnostic Solutions is expected to contribute approximately $3.000 billion to reported revenue in 2026[14] - Non-GAAP EPS for full-year 2026 is projected to be between $14.30 and $14.50, representing year-over-year growth of approximately 8.9% to 10.4%[16] - Projected revenue for the twelve months ending December 31, 2026, is estimated to be between $6.405 billion and $6.455 billion, with organic reported revenue growth expected to be between 6.0% and 7.5%[41] - The company anticipates an impact of $3.0 billion from acquired business contributions to projected revenue for the twelve months ending December 31, 2026[41] - GAAP earnings per diluted share for the twelve months ending December 31, 2026, is projected to be between $6.63 and $6.83, while adjusted non-GAAP earnings per diluted share is expected to be between $14.30 and $14.50[41] Operational Highlights - Waters segment net sales rose by 8% to $823,937 thousand, while TA segment sales remained flat at $108,425 thousand[27] - Service revenue grew by 9% to $329,156 thousand, and Chemistry sales increased by 13% to $170,356 thousand, reflecting strong demand in these areas[27] - In terms of geography, Europe saw a significant increase of 13% in net sales, reaching $315,971 thousand, while Asia's sales grew by 4% to $283,967 thousand[27] - Asia's total net sales for the twelve months were $1,040,397 thousand, a 7% increase, with a constant currency growth rate of 13%[29] - The company emphasizes the importance of constant currency growth rates as a measure of underlying performance, excluding foreign currency impacts[27] - The overall performance indicates a solid growth trajectory across various segments and geographies, positioning the company favorably for future expansion[29] Financial Position - Total assets increased to $5,083,977 thousand as of December 31, 2025, up from $4,553,795 thousand in 2024[36] - Cash and cash equivalents rose to $587,831 thousand, compared to $325,355 thousand in the previous year[36] - Accounts receivable increased to $828,844 thousand, up from $733,365 thousand year-over-year[36] - Total liabilities decreased to $2,522,735 thousand from $2,725,288 thousand in 2024[36] - The company’s total stockholders' equity increased to $2,561,242 thousand as of December 31, 2025, compared to $1,828,507 thousand in 2024[36] Income and Cash Flow - The company reported a net income of $225,214 thousand for the three months ended December 31, 2025, with diluted earnings per share of $3.77[31] - Net income for the three months ended December 31, 2025, was $225.2 million, a decrease of 2.5% compared to $231.4 million for the same period in 2024[38] - Net cash provided by operating activities for the twelve months ended December 31, 2025, was $652.6 million, down 14.3% from $762.1 million in 2024[38] - Free Cash Flow - Adjusted Non-GAAP for the twelve months ended December 31, 2025, was $677.3 million, compared to $744.3 million in 2024, reflecting a decrease of 9%[38] - The company reported a net cash used in investing activities of $152.3 million for the twelve months ended December 31, 2025, compared to $144.0 million in 2024[38] - Stock-based compensation increased to $54.1 million for the twelve months ended December 31, 2025, from $44.7 million in 2024, representing a growth of 21.5%[38] - The company made business acquisitions totaling $35.1 million net of cash acquired during the twelve months ended December 31, 2025[38] - The effect of exchange rate changes on cash and cash equivalents resulted in an increase of $2.96 million for the three months ended December 31, 2025[38] Operating Income - For the three months ended December 31, 2025, GAAP operating income was $270,516 thousand, representing a 29.0% operating margin[31] - Adjusted non-GAAP operating income for the same period was $328,431 thousand, with a 35.2% operating margin[31] - The company incurred acquisition-related costs of $36,771 thousand, which accounted for 3.9% of total expenses in the three months ended December 31, 2025[31] - The adjusted non-GAAP net income for the twelve months ended December 31, 2025, was $929,890 thousand, with diluted earnings per share of $13.13[31]

Financial Performance - Q4 network volume reached $2.7 billion, growing 3% year-over-year and 34% excluding SFR, surpassing the outlook of $2.65 - $2.9 billion[3] - Total revenue and other income for Q4 was $335 million, a 20% year-over-year increase, exceeding the forecast of $333 - $358 million[4] - Adjusted EBITDA for Q4 was $98 million, reflecting a 53% year-over-year growth and an adjusted EBITDA margin increase of over 6 points to 29%[6] - GAAP net income for Q4 was $34 million, representing a 10% margin and a significant increase of $272 million year-over-year, driven by fee revenue growth[7] - The company achieved a record full-year revenue of $1.3 billion, growing 26% year-over-year, with adjusted EBITDA for the year at $371 million, up 76%[15] - Full year 2025 revenue reached $1,301 million, up 26% year-over-year, with adjusted EBITDA of $371 million, reflecting a 76% increase compared to 2024[52] - Total revenue for Q4 2025 reached $334.8 million, a 19.8% increase from $279.4 million in Q4 2024[101] - Net income attributable to Pagaya Technologies Ltd. was $34.3 million in Q4 2025, compared to a net loss of $237.9 million in Q4 2024[101] - Operating income for the year ended December 31, 2025, was $263.8 million, significantly up from $66.8 million in 2024[101] - Non-GAAP adjusted net income for the year was $275.3 million, compared to $66.9 million in 2024, reflecting a substantial increase[102] Funding and Investments - The company issued $2.9 billion in ABS across 7 transactions in Q4, enhancing funding capacity and diversifying funding sources[9] - The company diversified its funding structure, with about two-thirds of personal loan business funded by ABS in 2025, compared to almost entirely in 2024[41] - The company announced a $350 million revolving Personal Loans ABS transaction, providing up to approximately $3 billion of funding capacity[79] - Discretionary investments in loans and securities totaled approximately $171 million during 2025, enhancing liquidity and interest income[81] - The company is leveraging its capital structure to make opportunistic investments, with one-third of Investments in Loans and Securities being discretionary[81] Operational Efficiency - Approximately half of Q4 originations came from outside decline monetization, indicating a successful conversion of a core Personal Loan partner into a multi-product relationship[13] - The onboarding pipeline is the most robust in the company's history, with three new partners launched and multiple additional partners expected to go live in the coming quarters[36] - The company signed several long-term agreements with leading partners to enhance application flow size and quality, which is expected to unlock accelerated growth[40] - The company experienced a significant reduction in general and administrative expenses, decreasing from $240.8 million in 2024 to $159.6 million in 2025[101] - Core operating expenses as a percentage of FRLPC improved to 36% in 2025 from 56% in 2024, demonstrating enhanced operational efficiency[109] Future Outlook - For 2026, the company anticipates more measured volume and revenue growth, prioritizing credit risk over market share gains[27] - The company expects 2026 revenue to be between $11.25 billion and $13.0 billion, supported by new products and partner growth[58] - For Q1 2026, the company expects Network Volume between $2.5 billion and $2.7 billion, and Total Revenue & Other Income between $315 million and $335 million[87] - The full-year 2026 outlook includes Total Revenue & Other Income projected between $1.4 billion and $1.575 billion, with GAAP Net Income expected between $100 million and $150 million[87] - The FRLPC margin is expected to be between 4.0% and 5.0% for the year, reflecting potential credit-related impairments[86] Credit Performance - Credit performance remains stable, with cumulative net losses for personal loans trending approximately 30% - 40% lower than peak levels in Q4 2021[70] Shareholder Returns - The company repurchased approximately $7 million of its 8.875% senior unsecured notes at a discount of approximately 12.5% to par[82] - The weighted average shares outstanding for basic shares increased to 81.9 million in 2025 from 74.3 million in 2024[102]

Financial Performance - Q1 consolidated net sales reached $943 million, an increase of 0.6% year-over-year[6] - Consolidated comparable sales were flat compared to the prior year[5] - Adjusted diluted EPS increased by 12% to $0.48, while GAAP diluted EPS decreased by 22% to $0.45[5][6] - Gross profit increased by 1.3% to $483,259 thousand, up from $476,840 thousand in the previous year[31] - Operating earnings decreased by 24.3% to $75,935 thousand, down from $100,320 thousand in 2024[31] - Net earnings fell by 25.3% to $45,557 thousand, compared to $61,013 thousand in the same period last year[31] - Basic earnings per share decreased by 21.7% to $0.47, down from $0.60 in 2024[31] Cash Flow and Debt Management - Cash flow from operations was $93 million, with free cash flow totaling $57 million[8][11] - The company repaid $20 million of term loan B debt and repurchased 1.4 million shares for $21 million during the quarter[8][11] Guidance and Projections - The company raised the low end of its fiscal 2026 EPS guidance to $2.02 to $2.10[5][10] - For Q2 FY26, consolidated net sales are projected to be between $895 million and $905 million, with adjusted diluted EPS guidance of $0.39 to $0.42[10] Inventory and Assets - Inventory as of December 31, 2025, was $979 million, down 2.7% from the previous year[7] - Total current assets decreased to $1,285,685 thousand from $1,301,453 thousand, a decline of 1.2%[33] Liabilities and Store Count - Total liabilities decreased to $2,027,213 thousand from $2,076,889 thousand, a reduction of 2.4%[33] - The number of consolidated stores decreased to 4,415 from 4,453, a decline of 38 stores[43] Sales Performance by Segment - Global e-commerce sales amounted to $111 million, representing 11.7% of total net sales[6] - Comparable sales growth for Sally was 0.1%, while BSG experienced a decline of 0.2%[44] - Adjusted EBITDA for the three months ended December 31, 2025, was $111,042 thousand, a slight increase of 0.8% from $110,167 thousand in 2024[41]

Revenue Performance - Annual recurring revenue (ARR) reached $1,972 million as of December 31, 2025, reflecting a 20% year-over-year growth[93] - Total revenue for the three months ended December 31, 2025, was $515 million, representing an 18% year-over-year increase[93] - Subscription revenue amounted to $493 million for the same period, also showing an 18% growth year-over-year[93] - Total revenue for the three months ended December 31, 2025, was $515.5 million, an increase of $79.3 million or 18% compared to $436.2 million in the same period of 2024[126] - Subscription revenue increased by $76.2 million, or 18%, driven by existing customers expanding their use of the Dynatrace platform and new customer adoption[128] - Service revenue rose by $3.1 million, or 17%, primarily due to increased customer demand for product enablement and adoption services[129] - Total revenue for the nine months ended December 31, 2025, was $1,486.7 million, a 19% increase from $1,253.5 million in the same period of 2024[146] - Subscription revenue for the nine months ended December 31, 2025, increased by $225.4 million, or 19%, compared to the same period in 2024, due to existing customers expanding their use of the platform[147] Profitability and Expenses - Non-GAAP income from operations was $153 million for the three months ended December 31, 2025, compared to $130 million for the same period in 2024[96] - Gross profit for the three months ended December 31, 2025, was $419.6 million, reflecting a $66.0 million or 19% increase from $353.6 million in 2024[134] - Operating expenses totaled $346.9 million for the three months ended December 31, 2025, compared to $306.1 million in 2024[125] - Net income for the three months ended December 31, 2025, was $40.1 million, a decrease from $361.8 million in the same period of 2024[126] - Gross profit for the nine months ended December 31, 2025, was $1,215.9 million, an increase of $197.4 million, or 19%, compared to $1,018.4 million in 2024[154] - Net income for the nine months ended December 31, 2025, was $145.3 million, a decrease from $444.4 million in the same period of 2024[145] Cash Flow and Financing - Free cash flow for the three months ended December 31, 2025, was $27 million, down from $38 million in the same period of 2024[96] - Net cash provided by operating activities increased to $335.5 million for the nine months ended December 31, 2025, compared to $296.6 million for the same period in 2024, reflecting a $38.9 million increase driven by higher collections from revenue growth[176] - Net cash used in financing activities increased to $249.4 million for the nine months ended December 31, 2025, compared to $112.0 million for the same period in 2024, driven by increased stock repurchases[178] - The company repurchased 5.4 million shares for $255.0 million during the nine months ended December 31, 2025, compared to 2.7 million shares for $130.1 million in the same period of 2024[172] - Net cash used in investing activities decreased to $23.4 million for the nine months ended December 31, 2025, from $51.5 million in the same period of 2024, due to increased proceeds from sales and maturities of investments[177] Research and Development - The company plans to invest in research and development to enhance its AI-powered observability platform and expand its functionality[94] - Research and development expenses increased to $120.6 million, representing 23% of total operating expenses, up from $98.3 million in 2024[126] - Research and development expenses increased by $22.2 million, or 23%, for the three months ended December 31, 2025, primarily due to increased personnel costs and cloud-based hosting costs[138] Customer Strategy - Dynatrace aims to grow its customer base by focusing on the largest 15,000 global enterprise accounts, which typically have annual revenues exceeding $1 billion[94] - The company intends to strengthen relationships with existing customers by expanding the breadth of its platform capabilities[94] - Dynatrace is committed to leveraging its strategic partner ecosystem to enhance cloud-focused partnerships and participate in digital transformation projects[95] Tax and Other Financial Metrics - Income tax expense rose to $107.7 million for the nine months ended December 31, 2025, an increase of $384.3 million from a tax benefit of $276.7 million for the same period in 2024, largely due to a discrete tax benefit from an IP transfer[164] - Other income, net, was $7.3 million for the nine months ended December 31, 2025, compared to an expense of $6.1 million for the same period in 2024, primarily due to foreign currency gains and losses[163] - Total contractual commitments as of December 31, 2025, were $702.8 million, with $74.7 million due within the next 12 months[170] - The company had $399.0 million available under its Credit Facility as of December 31, 2025, with compliance to all applicable covenants[174] - The company expects future capital requirements to depend on growth rate, R&D spending, and market acceptance of products[171]

Financial Performance - For the year ended December 31, 2025, net income attributable to Curbline was $39.8 million, or $0.37 per diluted share, compared to $10.3 million, or $0.09 per diluted share, in the prior year[9]. - Fourth quarter net income attributable to Curbline was $9.5 million, or $0.09 per diluted share, down from $11.5 million, or $0.11 per diluted share, in the same period last year[13]. - The company estimates net income attributable to Curbline for 2026 to be between $0.32 and $0.40 per diluted share, with OFFO projected between $1.17 and $1.21[16]. - Earnings per share (EPS) for Q4 2025 was $0.09, down from $0.11 in Q4 2024[31]. - The company reported a net income attributable to Curbline of $9,541,000 for Q4 2025, down from $11,461,000 in Q4 2024[34]. Revenue and Income Growth - Total revenue for Q2 2025 reached $1.24 billion, representing a 4% increase year-over-year[1]. - Total revenue for Q2 2025 reached $774 million, representing a year-over-year increase of 33.6%[3]. - Total revenue for Q2 2025 reached $1.73 billion, representing a 40% increase year-over-year[1]. - Rental income for Q4 2025 increased to $53,975,000, up 55.8% from $34,642,000 in Q4 2024[31]. - Net operating income for Q4 2025 was $41,704,000, representing a 59.4% increase compared to $26,159,000 in Q4 2024[39]. Operational Metrics - Operating funds from operations (OFFO) for the fourth quarter was $30.4 million, or $0.29 per diluted share, compared to $23.8 million, or $0.23 per diluted share, in the prior year[13]. - Same-property net operating income (SPNOI) increased by 3.3% for the year ended December 31, 2025, compared to the previous year[19]. - Same-property net operating income (NOI) for Q4 2025 was $20,604,000, a slight increase of 1.5% from $20,305,000 in Q4 2024[39]. - The company achieved a Same Property NOI Operating Margin of 74.9%, slightly up from 74.5% year-over-year[51]. - The company reported a Total Equity Market Capitalization of $2,446,264,000, up from $2,439,122,000 in the previous year[45]. Property and Leasing Activity - Curbline acquired 81 convenience shopping centers for an aggregate price of $788.4 million during 2025[19]. - The company owns 176 properties with a total Gross Leasable Area (GLA) of 4,800,000 square feet, representing a 7.3% increase from the previous quarter[41]. - The leased rate was reported at 96.7% as of December 31, 2025, unchanged from September 30, 2025, and up from 95.5% a year earlier[19]. - The company has a total of 1,663 leases expiring, covering 4,496,000 square feet with a total ABR of $155,224,000, averaging $34.52 per square foot[59]. - The company reported a total Gross Leasable Area (GLA) of 2,000,000 square feet across various properties as of December 31, 2025[66]. Cash Flow and Debt - Cash and cash equivalents decreased to $289,553,000 in Q4 2025 from $626,409,000 in Q4 2024, a decline of 53.8%[36]. - The company’s total liabilities rose to $556,320,000 in Q4 2025, compared to $90,541,000 in Q4 2024, indicating a substantial increase[36]. - The company has a total debt of $428,000,000, with a net debt of $138,447,000 after accounting for cash[45]. - The company’s consolidated cash flow for the year was $124,779,000, compared to $105,197,000 in the previous year[45]. Market Expansion and Strategy - The company plans to expand its market presence by opening 25 new locations in key metropolitan areas by the end of 2025[1]. - Market expansion efforts are focused on the Southeast region, targeting a 30% increase in market share by 2026[1]. - The company is exploring potential acquisitions to further enhance its product portfolio and market reach[1]. - Future outlook includes potential acquisitions in high-growth markets, particularly in Florida and Georgia, to leverage increasing consumer demand[69]. - The company is implementing cost optimization strategies to improve overall profitability margins[1]. User Engagement and Technology - User data indicates a 15% increase in customer engagement across digital platforms, contributing to overall revenue growth[1]. - New product launches are expected to drive an additional $100 million in revenue in the next fiscal year[1]. - The company has allocated $50 million for research and development of innovative technologies aimed at enhancing customer experience[1]. - The company reported a 25% increase in operational efficiency due to recent technological upgrades[1]. - The company is actively investing in research and development for new technologies, aiming to enhance product offerings and user experience[1]. Performance Metrics and Measures - The company emphasizes the use of Funds from Operations (FFO) and Operating FFO as key performance measures, excluding non-cash items and gains/losses from property dispositions[78]. - Net Operating Income (NOI) is utilized as a supplemental performance measure, reflecting property revenues less property-related expenses[86]. - Same-Property Net Operating Income (SPNOI) is calculated to provide insights into the operating performance of comparable assets, excluding non-cash and non-comparable items[87]. - SPNOI does not represent cash generated from operating activities according to GAAP and should not be considered an alternative to net income or cash flow[88].

Financial Performance - Net sales for Q1 2026 were $422.8 million, an increase of 1.9% compared to the prior year quarter[4] - Organic net sales decreased by 0.5%, with North America showing a growth of 0.7% while international markets declined by 1.6%[4] - GAAP diluted net loss per share was $(0.63), compared to $(0.21) in the prior year quarter[15] - Adjusted EBITDA from continuing operations was $25.0 million, down from $30.9 million in the prior year quarter[13] - The company reported a net loss of $65.7 million for the quarter, compared to a net loss of $2.1 million in the prior year, indicating a significant deterioration in financial performance[34] - Operating loss for the quarter was $18.9 million, a decline from an operating income of $9.3 million in the same quarter last year[34] - Basic loss per share for continuing operations was $0.63, compared to a loss of $0.21 in the previous year, indicating worsening earnings performance[34] - The company reported a net loss of $36.5 million from discontinued operations for Q1 2026, compared to a profit of $8.0 million in Q1 2025[48] - The company reported a net loss of $65.7 million for Q1 2026, with an EBITDA of $(37.3) million[57] Sales and Revenue - The company expects full-year net sales to increase by approximately 0.5% to 3.5%, with an estimated 150-basis point positive impact from foreign currency changes[19] - For the three months ended December 31, 2025, total net sales increased to $422.8 million, up 1.9% from $415.1 million in the same period of 2024[41] - Wet Shave segment sales decreased to $291.3 million, a decline of 1.1% from $294.5 million, while Sun and Skin Care segment sales increased by 9.0% to $131.5 million[44] - Net sales from discontinued operations for Q1 2026 were $64.0 million, reflecting a 1.1% increase from $63.3 million in Q1 2025[49] - The impact of currency fluctuations contributed $9.6 million to net sales in Q1 2026, accounting for a 2.1% increase[55] Costs and Expenses - The company incurred pre-tax restructuring charges of $24.4 million in Q1 2026, with total expected charges for the fiscal year now at approximately $65 million[8][21] - Interest expense associated with debt is expected to be approximately $70 million, as proceeds from the Feminine Care transaction will be used to pay down debt[25] - Research and development expenses increased slightly to $13.8 million from $13.4 million, reflecting ongoing investment in product innovation[34] - Restructuring and related charges amounted to $24.4 million, significantly higher than $4.1 million in the prior year[41] - Restructuring and related costs for Q1 2026 amounted to $22.7 million, significantly impacting the adjusted EBITDA[57] - The company expects to incur approximately $63 million in restructuring and related costs in fiscal 2026[60] Debt and Liabilities - The company ended the quarter with $223.3 million in cash and an adjusted net debt leverage ratio of 3.8x[14] - Long-term debt increased to $1,520.8 million from $1,383.3 million, highlighting a rise in leverage[36] - The company’s total liabilities reached $2,281.7 million, up from $2,203.2 million, reflecting increased financial obligations[36] - Net debt as of December 31, 2025, was $1,330.0 million, up from $1,187.1 million as of September 30, 2025[47] - The company’s gross debt increased to $1,553.3 million as of December 31, 2025, from $1,412.8 million in September 2025[47] Future Outlook - Adjusted EPS is projected to be in the range of $1.70 to $2.10, reflecting a $0.44 per share reduction due to the divestiture of the Feminine Care business[19] - Adjusted EBITDA for Q1 2026 is projected to be between $245 million and $265 million, reflecting a decrease from the previous outlook of $290 million to $310 million[60] - Fiscal 2026 adjusted EPS outlook is estimated to be between $1.70 and $2.10, down from the prior estimate of $2.15 to $2.55[59] - The fiscal 2026 GAAP EPS is projected to be approximately $0.55 to $0.95, indicating a cautious outlook[59] - The company is focusing on divesting its Feminine Care segment, which is expected to impact future financial results and operational strategy[30] Segment Performance - Total segment profit decreased to $38.6 million from $43.2 million, with Wet Shave segment profit at $42.2 million and Sun and Skin Care segment loss at $3.6 million[41] - Segment profit for Q1 2026 decreased to $38.6 million, a decline of 10.6% compared to Q1 2025[45] - The company is focusing on segment performance evaluation excluding unusual or non-recurring items, which may impact financial results disproportionately[40] - Organic sales growth for the Feminine Care segment was 1.1% in Q1 2026[49]

Financial Performance - Dynatrace reported a total ARR of $1,972 million, reflecting a year-over-year increase of 20%, or 16% on a constant currency basis[7] - Total revenue reached $515 million, marking an 18% increase, or 16% on a constant currency basis[7] - Subscription revenue was $493 million, also up 18%, or 16% on a constant currency basis[7] - Total revenue for the three months ended December 31, 2025, was $515,473,000, representing a 18.2% increase from $436,169,000 in the same period of 2024[35] - Subscription revenue reached $493,372,000 for the three months ended December 31, 2025, up 18.3% from $417,207,000 in the prior year[35] - Gross profit for the nine months ended December 31, 2025, was $1,215,862,000, compared to $1,018,420,000 for the same period in 2024, reflecting a 19.4% increase[35] - Operating income for the three months ended December 31, 2025, was $72,738,000, a 53.2% increase from $47,464,000 in the same quarter of 2024[35] - Net income for the three months ended December 31, 2025, was $40,055,000, a significant decrease from $361,752,000 in the same period of 2024 due to tax benefits in the prior year[35] - The company reported a basic net income per share of $0.13 for the three months ended December 31, 2025, down from $1.21 in the same quarter of 2024[35] - Non-GAAP net income for the three months ended December 31, 2025, was $134,666, up from $111,679 in 2024, indicating a year-over-year increase of 20.4%[45] - Non-GAAP gross profit for the nine months ended December 31, 2025, reached $1,251,049, compared to $1,059,999 in 2024, reflecting a growth of 18.1%[43] Operating Margins - GAAP operating margin improved to 14%, up from 11% in the previous year, while non-GAAP operating margin remained at 30%[11] - Non-GAAP operating margin remained stable at 30% for both the three months ended December 31, 2025, and 2024[43] Cash Flow and Liquidity - Cash and cash equivalents as of December 31, 2025, totaled $1,091,534,000, an increase from $1,017,039,000 as of March 31, 2025[39] - The company reported a net cash provided by operating activities of $33,780 for the three months ended December 31, 2025, down from $42,238 in 2024, a decrease of 20.3%[45] - Free cash flow for the three months ended December 31, 2025, was $27,234, down from $37,569 in 2024, showing a decline of 27.5%[45] - The company experienced a net cash used in financing activities of $150,365 for the three months ended December 31, 2025, compared to $27,465 in 2024, reflecting a significant increase in cash outflow[41] Shareholder Actions - Dynatrace announced a new $1 billion share repurchase program, following the completion of a $500 million buyback program[4] Guidance and Expectations - The company expects a foreign exchange tailwind of approximately $49 million on ARR and $37 million on revenue for fiscal 2026[13] - Guidance for fiscal 2026 ARR is updated to $2,053 - $2,061 million, reflecting an increase from prior guidance[15] Assets and Liabilities - Total assets as of December 31, 2025, were $4,100,660,000, slightly down from $4,139,678,000 as of March 31, 2025[39] - The company’s total liabilities decreased to $1,351,581,000 as of December 31, 2025, from $1,518,530,000 as of March 31, 2025[39] - Shareholders' equity increased to $2,749,079,000 as of December 31, 2025, compared to $2,621,148,000 as of March 31, 2025[39] New Initiatives - Dynatrace unveiled Dynatrace Intelligence, a new AI-powered operations system, and expanded cloud-native integrations across major platforms[7]