Financial Performance - Northrim BanCorp reported net income of $12.4 million, or $0.55 per diluted share, in Q4 2025, a decrease from $27.1 million, or $1.20 per diluted share, in Q3 2025[2]. - For the full year 2025, net income increased 75% to $64.6 million, or $2.87 per diluted share, compared to $37.0 million, or $1.66 per diluted share, in 2024[3]. - The net income for the Home Mortgage Lending segment in Q4 2025 was $213,000, a decrease from $1.86 million in Q3 2025 and $1.98 million in Q4 2024[41]. - The Specialty Finance segment reported a net income of $3.47 million in Q4 2025, up from $2.95 million in Q3 2025 and significantly higher than $135,000 in Q4 2024[47]. - Adjusted net income for the three months ended December 31, 2025, was $12,231 thousand, compared to $16,195 thousand for the previous quarter, a decrease of 24.3%[89]. Income and Revenue - Net interest income reached a record $35.4 million in Q4 2025, up from $30.8 million in Q4 2024, contributing to a 21% annual increase in net interest income[8]. - Other operating income was $16.3 million, accounting for 32% of total revenues in Q4 2025, down from 47% in Q3 2025[26]. - Total other operating income for the year was $77.2 million, significantly up from $42.0 million in the previous year[69]. - Year-to-date net interest income for 2025 was $135,609 thousand, an increase of 19.8% from $113,183 thousand in 2024[81]. Assets and Loans - Total portfolio loans were $2.30 billion at December 31, 2025, reflecting an 8% increase year-over-year and a 3% increase from the previous quarter[8]. - Northrim's total assets reached $3.29 billion at December 31, 2025, reflecting a 1% increase from the previous quarter and an 8% increase year-over-year[49]. - Average interest-earning assets were $2.99 billion in Q4 2025, up 3% from $2.91 billion in Q3 2025 and up 7% from $2.79 billion in Q4 2024[51]. - Total mortgage loans funded in Q4 2025 amounted to $231.2 million, slightly down from $234.0 million in Q3 2025, but significantly up from $185.9 million in Q4 2024[41]. - Portfolio loans increased to $2,295,499 as of December 31, 2025, compared to $2,218,970 as of September 30, 2025, and $2,129,263 as of December 31, 2024[71]. Deposits and Funding - Total deposits amounted to $2.81 billion at December 31, 2025, down 3% from the preceding quarter but up 5% from $2.68 billion a year ago[8]. - Demand deposits represented 26% of total deposits as of December 31, 2025, down from 30% as of September 30, 2025[72]. - Average interest-bearing deposits increased by 4% to $2.10 billion, with an average cost of 1.91% in Q4 2025[57]. - The cost of funds decreased to 1.46% for the quarter ended December 31, 2025, down from 1.59% in the same quarter of 2024, indicating improved funding efficiency[78]. Efficiency and Ratios - The efficiency ratio for Q4 2025 was 64.70%, compared to 45.51% in Q3 2025[7]. - The efficiency ratio improved to 58.45% for the year-to-date period ending December 31, 2025, compared to 67.60% in 2024, indicating enhanced operational efficiency[78]. - Return on average assets (ROAA) was 1.50% and return on average shareholders' equity (ROAE) was 15.16% for Q4 2025[8]. - The tangible common equity ratio improved to 8.51% as of December 31, 2025, up from 7.23% a year earlier, indicating enhanced capital efficiency[85]. Credit Quality - Provision for credit losses was $1.6 million in Q4 2025, compared to $1.7 million in Q3 2025 and $1.2 million in Q4 2024[24]. - Nonperforming loans remained at $11.3 million in Q4 2025, up from $7.5 million in Q4 2024[25]. - The allowance for credit losses for loans was 1.03% of portfolio loans as of December 31, 2025, consistent with 1.03% as of December 31, 2024[74]. - The percentage of nonperforming loans, net of government guarantees, to portfolio loans was 0.49% as of December 31, 2025, slightly down from 0.51% as of September 30, 2025[74]. Capital and Shareholder Equity - Shareholders' equity rose to $326.5 million, with a book value per share of $14.77, up from $315.7 million and $14.29 per share in the previous quarter[58]. - Common Equity Tier 1 Capital to Risk Adjusted Assets ratio improved to 10.31% as of December 31, 2025, compared to 9.36% a year earlier, indicating stronger capital adequacy[77]. - Total shareholders' equity increased to $326,544 thousand as of December 31, 2025, up from $267,116 thousand a year earlier, representing a growth of 22.2%[85].

Sales Performance - Net sales increased by 21.7% in Q1 fiscal 2026, reaching $4.669 billion, driven by growth in Industrial Solutions (38.2%) and Transportation Solutions (10.0%) segments [82]. - Organic net sales growth was 15.0% in Q1 fiscal 2026 compared to the same period in fiscal 2025, with acquisitions contributing an additional 4.0% [82]. - The acquisition of Richards Manufacturing contributed $107 million to net sales in Q1 fiscal 2026 [82]. - Transportation Solutions segment net sales increased by $224 million, or 10.0%, in Q1 fiscal 2026 compared to Q1 fiscal 2025, driven by organic net sales growth of 7.0% and a positive impact from foreign currency translation of 3.0% [103]. - Industrial Solutions segment net sales increased by $609 million, or 38.2%, in Q1 fiscal 2026 compared to Q1 fiscal 2025, primarily due to organic net sales growth of 26.3% and a 9.5% contribution from acquisitions [107]. Financial Metrics - Gross margin increased by $379 million to $1.739 billion in Q1 fiscal 2026, with a gross margin percentage of 37.2% [89]. - Selling, general, and administrative expenses rose by $111 million to $538 million in Q1 fiscal 2026, representing 11.5% of net sales [92]. - Operating income for Q1 fiscal 2026 was $963 million, with an operating margin of 20.6% [96]. - Operating income for the Transportation Solutions segment rose by $55 million to $501 million in Q1 fiscal 2026, with an operating margin of 20.3% [104]. - Operating income for the Industrial Solutions segment increased by $218 million to $462 million in Q1 fiscal 2026, with an operating margin of 21.0% [108]. Cash Flow and Capital Expenditures - Cash provided by operating activities decreased by $13 million to $865 million in Q1 fiscal 2026 from $878 million in Q1 fiscal 2025, primarily due to changes in working capital levels [112]. - Capital expenditures were $258 million in Q1 fiscal 2026, with expectations for capital spending to be approximately 6% of net sales for the fiscal year [113]. Debt and Liabilities - Total debt as of December 26, 2025, was $5,708 million, showing a slight increase from $5,694 million as of September 26, 2025 [115]. - Total current liabilities increased to $1,369 million, up from $1,348 million [123]. - Total noncurrent liabilities increased to $11,262 million, compared to $10,033 million in the previous quarter [123]. Shareholder Returns - The company declared a quarterly cash dividend of $0.71 per ordinary share, payable on March 13, 2026 [119]. - The company repurchased ordinary shares valued at $406 million in Q1 fiscal 2026, maintaining $983 million of availability under the share repurchase authorization [120]. Assets - Total current assets increased to $1,283 million as of December 26, 2025, up from $1,236 million on September 26, 2025 [123]. - Total noncurrent assets rose to $3,223 million, compared to $2,465 million in the previous quarter [123]. Income and Recovery - Net income from continuing operations for the quarter ended December 26, 2025, was $13 million, a recovery from a loss of $197 million in the prior year [125]. Compliance and Legal Matters - The company has reserved an aggregate of $27 million related to potential unpaid duties, fees, and interest from a compliance investigation [131]. - The company does not expect legal proceedings to have a material adverse effect on its financial position or cash flows [130]. Market Outlook - Forward-looking statements indicate potential growth opportunities and risks related to market conditions and competition [140]. - The company reported organic net sales growth (decline) as a key performance measure, excluding impacts from foreign currency and acquisitions [136].

Financial Results Announcement - PodcastOne, Inc. announced preliminary financial results for the fiscal quarter and nine months ended December 31, 2025[5]. - The financial results are preliminary and subject to change, as the closing procedures for the fiscal quarter are not yet complete[6]. - The estimated preliminary unaudited financial information has not been audited or reviewed by the independent registered public accounting firm[7]. - The press release containing the financial results is dated January 23, 2026[10]. - The company has not provided specific numerical data or performance metrics in the available documents[5][6]. Company Classification and Compliance - The company is classified as an emerging growth company under the Securities Act[4]. - The financial results should not be viewed as a substitute for the company's full financial statements prepared in accordance with GAAP[6]. - The information included in the press release is not deemed "filed" under the Securities Exchange Act[8]. Management and Forward-Looking Statements - The management is responsible for the preparation of the preliminary financial information[7]. - The company has indicated that certain statements in the press release are forward-looking[6].

Financial Performance - Software revenue for Q2 2025 was $5,244,000, a 4.4% increase from $5,022,000 in Q2 2024[145] - Total revenue for Q2 2025 reached $19,055,000, representing a 47.3% increase from $12,938,000 in Q2 2024[145] - Net loss for Q2 2025 improved to $(7,849,000), a 53.7% reduction from $(16,937,000) in Q2 2024[145] - Adjusted EBITDA for Q2 2025 was $(5,689,000), a 24.3% improvement from $(7,519,000) in Q2 2024[145] - Total revenue for the first half of 2025 was $34,829,000, a 39.5% increase from $24,973,000 in the same period of 2024[146] - Net loss for the first half of 2025 was $(19,099,000), a 37.5% improvement from $(30,574,000) in the first half of 2024[146] - Total revenue increased by $6.1 million (47.3%) for the three months ended June 30, 2025, compared to the same period in 2024, primarily driven by a $5.6 million increase in professional services revenue[173] - Net loss for the three months ended June 30, 2025, was $7.8 million, a 53.7% improvement from a net loss of $16.9 million in 2024[171] - Total revenue for the six months ended June 30, 2025, was $34.8 million, a 39.5% increase from $25.0 million in 2024[180] Professional Services - Professional services revenue is generated through project-based hardware installation, technology services, and property management services[155] - Professional services revenue for the three months ended June 30, 2025, was $7.9 million, a 238.4% increase from $2.3 million in 2024[171] - Professional services revenue for the six months ended June 30, 2025, increased by $9.8 million (208.7%) compared to the same period in 2024[182] Operating Expenses - Total operating expenses decreased by $7.9 million (33.5%) for the three months ended June 30, 2025, compared to the same period in 2024[171] - Research and development expenses increased by $1.5 million (51.5%) for the three months ended June 30, 2025, compared to the same period in 2024[175] - Sales and marketing expenses increased by $1.9 million (84.3%) for the three months ended June 30, 2025, compared to the same period in 2024[176] - General and administrative expenses decreased by $10.9 million (65.0%) for the three months ended June 30, 2025, compared to the same period in 2024[177] - Research and development expenses increased by $2.9 million for the six months ended June 30, 2025, primarily due to a $1.6 million increase in third-party expenses and a $1.0 million increase in compensation expenses[184] - Sales and marketing expenses rose by $3.0 million for the six months ended June 30, 2025, mainly driven by a $2.1 million increase in compensation expenses and a $0.5 million increase in digital marketing expenses[185] - General and administrative expenses decreased by $14.9 million for the six months ended June 30, 2025, due to reductions in legal fees, RSU expenses, and consulting fees[186] Cash Flow and Financing - As of June 30, 2025, the company's unrestricted cash and cash equivalents were approximately $50.4 million, with an additional $31.8 million in net inventory[190][191] - Net cash used in operating activities decreased by $21.2 million for the six months ended June 30, 2025, compared to the same period in 2024[203] - Net cash provided by investing activities decreased by $58.8 million for the six months ended June 30, 2025, primarily due to the use of investment proceeds to fund operating losses[206] - Net cash used in financing activities decreased by $21.4 million for the six months ended June 30, 2025, reflecting a significant reduction in repayments compared to the previous year[207] - The company entered into a loan agreement for a principal amount of $6.0 million, with interest payable at a rate equal to the greater of the prime rate or 6.0%[198] - The company expects to use its current cash and cash equivalents to fund operational cash requirements for at least 12 months from the date of the report[196] Product and Service Expansion - The company is expanding its DOOR Platform to include broader smart home solutions, integrating devices such as sensors, thermostats, and lighting[139] - The company operates a nationwide network of technicians through HelloTech, providing on-demand technical services and home services[142]

Transaction Details - The Company plans to issue and sell an aggregate of 2,100,841 shares of its common stock at a par value of $0.001 per share [4]. - The Closing Date for the transaction is set for January 26, 2026, contingent upon the satisfaction of all conditions [8]. - Each Purchaser is required to deliver the Subscription Amount in cash, which will be specified on the signature page of the Agreement [25]. - The Company will reimburse legal expenses incurred by White & Case LLP, up to $50,000, at the Closing [24]. - The Securities are being registered under an effective registration statement on Form S-3 filed with the SEC [4]. - Lock-Up Agreements will be executed by the Company's directors and executive officers as part of the transaction [23]. - The Company is required to have a sufficient number of authorized shares of Common Stock reserved for issuance to fulfill its obligations under the Transaction Documents [23]. - The Company acknowledges that its obligation to issue the Shares is absolute and unconditional regardless of the dilutive effect on other stockholders [38]. - The Company has authorized capital stock of 100,000,000 shares of Common Stock, with 36,195,684 shares issued and outstanding [48]. - The Lock-Up Period for the undersigned is set to last 90 days following the final prospectus supplement related to the Registered Direct Offering [124]. - The Company will not assign the Agreement or any rights without prior written consent from Purchasers representing a majority of the Subscribed Securities [102]. - The Agreement may be terminated if the Closing has not been consummated within 5 Trading Days following the date of the Agreement [94]. - NeoVolta, Inc. is entering into a Placement Agency Agreement with Needham & Company, LLC for a Registered Direct Offering of common stock [123]. Financial Compliance - The Company has timely filed all SEC Reports during the one year prior to the date hereof [40]. - The financial statements included in the SEC Reports comply in all material respects with applicable accounting requirements and fairly present the financial position of the Company [40]. - There has been no material adverse change in the business or financial condition of the Company since the date of the most recent audited financial statements [42]. - The Company is not currently contemplating amending or restating any of the financial statements included in the SEC Reports [40]. - The Company is in compliance with the Sarbanes-Oxley Act of 2002, as amended [46]. - The Company has timely filed all required tax returns and paid all material taxes due [58]. - The Company maintains internal controls over financial reporting designed to provide reasonable assurance regarding the reliability of financial reporting [59]. - The Company has not received any notice from independent accountants regarding potential material weaknesses in internal controls [59]. - The Company has no material disagreements with its accountants or lawyers that could affect its obligations [71]. Securities and Stock Management - The issuance of the Securities is duly authorized and will be validly issued, fully paid, and non-assessable [33]. - The Company is not in violation of the requirements of the Principal Market and has no knowledge of any facts that would reasonably lead to delisting or suspension of the Common Stock [35]. - The Company has not declared or paid any dividends since the date of the most recent audited financial statements [42]. - The Company and its Subsidiaries are not currently insolvent and will not be after the transactions contemplated by the Agreement [42]. - There are 3,848,150 shares reserved for issuance pursuant to Convertible Securities [48]. - The Company has no shares of Common Stock held in treasury [48]. - There are no outstanding options, warrants, or similar rights relating to the Company's capital stock [50]. - The Company has fully paid or provided for all stock transfer taxes related to the issuance and sale of its securities [65]. - The Company is not subject to the Bank Holding Company Act and does not control any significant voting securities of a bank [66]. - The Company is not classified as a U.S. real property holding corporation, maintaining compliance with Section 897 of the Code [64]. Legal and Regulatory Compliance - The Company must conduct its business in compliance with all applicable laws, with no violations expected to result in a Material Adverse Effect [85]. - The Company is in compliance with the USA Patriot Act and other anti-money laundering laws [67]. - The Company has not engaged in any actions to manipulate the price of its securities, ensuring compliance with regulations [63]. - No statute or regulation should prohibit the consummation of the transactions contemplated by the Transaction Documents [92]. - The Company must deliver an irrevocable Instruction Letter to the Transfer Agent accepted by the Transfer Agent [93]. - The Agreement is governed by the laws of the State of New York [132]. Purchaser Obligations and Rights - Each Purchaser must confirm that they are acquiring the Subscribed Securities for their own account and not for public sale or distribution [26]. - The Agreement constitutes a legal, valid, and binding obligation of each Purchaser, enforceable against them in accordance with its terms [30]. - The obligation of the Company to issue and sell the Subscribed Shares is subject to the satisfaction of specific conditions, including the delivery of the Subscription Amount in cash [87]. - Each Purchaser's obligation to purchase the Subscribed Shares is contingent upon the Company delivering all required documents and ensuring all representations and warranties are true and correct [88]. - The Common Stock must be designated for quotation or listed on the Principal Market and not suspended by the SEC or the Principal Market as of the Closing Date [91]. - The Company will indemnify Purchasers against any misrepresentation or breach of representation in the Transaction Documents [105]. - The representations and warranties made by the Company will survive the Closing of the Agreement [104]. - The Company acknowledges that no due diligence by Purchasers will affect their right to rely on the Company's representations and warranties [105]. - The Company must perform all obligations timely, or Purchasers may rescind or withdraw any relevant notice or demand [108]. Transfer of Securities - The agreement allows for transfers of securities under specific conditions, including exercises of stock options and transfers to immediate family members [125]. - Securities can be transferred as bona fide gifts or for estate planning purposes without involving a disposition for value [126]. - Transfers of securities are permitted to entities where the undersigned or their immediate family are the legal and beneficial owners of all outstanding equity securities [126]. - The undersigned may establish a 10b5-1 Plan for the transfer of securities, provided no transfers occur during the Lock-Up Period [128]. - Transfers pursuant to a bona fide third-party tender offer or similar transaction are allowed if approved by the Board of Directors [126]. - The undersigned agrees to be bound by the terms of the lock-up agreement for any transfers made under specified clauses [127].

Revenue Projections - Net revenue for Q4 2025 is expected to be between $27.2 million and $27.7 million, representing a year-over-year increase of approximately 3% to 5% compared to $26.3 million in Q4 2024[4]. - Full year 2025 net revenue is projected to be in the range of $102.7 million to $103.2 million, reflecting a growth of approximately 19% compared to $86.7 million in 2024[4]. - Excluding BIASURGE sales from Q4 2024, net revenue for Q4 2025 is expected to increase approximately 11% to 13% year-over-year[4]. - Full year 2026 net revenue is expected to range from $116 million to $121 million, indicating growth of approximately 13% to 17% compared to the midpoint of the expected net revenue for 2025[5]. - The expected net revenue growth for 2026 is primarily driven by sales of soft tissue products[5]. Financial Position - The company had cash of approximately $16.6 million and long-term debt of $46.0 million as of December 31, 2025, compared to cash of $15.9 million and long-term debt of $30.7 million as of December 31, 2024[4]. Product Development and Market Strategy - The company plans to introduce the OsStic Synthetic Injectable Structural Bio-Adhesive to the U.S. market in Q1 2027, pending FDA clearance[4]. - BIASURGE received an Innovative Technology contract from Vizient, expanding access to the product at contracted pricing effective January 1, 2026[4]. - The company aims to enhance its sales and distribution network while expanding its product portfolio through initiatives with Biomimetic Innovations Ltd[5]. - The company is positioned as a pure play surgical business, targeting sustainable long-term growth in the multi-billion-dollar surgical solutions market[5].

Financial Performance - Net income applicable to common stockholders for Q4 2025 was $248.7 million, or $1.55 per diluted share, compared to $171.8 million, or $1.01 per diluted share in Q4 2024, representing a 44.8% increase in net income [2]. - Adjusted EPS for Q4 2025 was $1.59, up from $1.43 in Q4 2024, reflecting a 11.2% year-over-year growth [3]. - Net income for Q4 2025 was $255,820,000, a slight decrease from $261,217,000 in Q3 2025, but an increase from $177,766,000 in Q4 2024 [33]. - Earnings per diluted common share increased to $1.55 in Q4 2025, compared to $1.30 in Q4 2024 [33]. - Adjusted net income for Q4 2025 was $258,222 thousand, compared to $263,589 thousand in Q3 2025, reflecting a decrease of 2.6% [46]. - Adjusted return on average tangible common stockholders' equity for the three months ended December 31, 2025, is 17.50% [48]. Revenue and Income - Total revenue for Q4 2025 was $746.2 million, with a net interest income of $632.9 million, compared to $608.5 million in Q4 2024, indicating a 4.0% increase [4]. - Total non-interest income was $113.4 million, an increase of $60.9 million compared to $52.5 million in Q4 2024, driven by gains on debt redemption [7]. - Total interest income for Q4 2025 was $1,019,132, an increase from $995,087 in Q4 2024, representing a growth of 1.1% year-over-year [36]. - Non-interest income for Q4 2025 reached $113,350, significantly higher than $52,507 in Q4 2024, marking a 115% increase [37]. Assets and Liabilities - The company has over $84 billion in total consolidated assets [24]. - Total assets reached $84,073,663,000 as of December 31, 2025, up from $79,025,073,000 a year earlier [35]. - Total loans and leases increased to $56,597,110,000 in Q4 2025, compared to $52,505,168,000 in Q4 2024 [35]. - Total deposits increased to $68,759,813,000 as of December 31, 2025, compared to $68,175,644,000 in September 30, 2025 [47]. - The total liabilities for the three months ended December 31, 2025, were $73,887,951 thousand, with total stockholders' equity of $9,513,033 thousand [38]. Credit Quality - The provision for credit losses was $42.0 million, a decrease from $44.0 million in the prior quarter and $63.5 million a year ago [8]. - Non-performing assets decreased to $502,156,000 in Q4 2025 from $545,327,000 in Q3 2025 [33]. - The allowance for credit losses on loans and leases was $719,411,000, representing 1.27% of total loans and leases [33]. - Non-performing loans and leases totaled $500,684 thousand as of December 31, 2025, down from $543,928 thousand in the previous quarter, indicating a decline of 7.9% [45]. - Total past due loans and leases amounted to $66,486 thousand as of December 31, 2025, compared to $65,628 thousand in the previous quarter, representing an increase of 1.3% [45]. Expenses - Total non-interest expense was $383.2 million, up from $340.4 million in Q4 2024, primarily due to increased investments in human capital and technology [9]. - Non-interest expense increased by $9.6 million to $128.8 million, an 8.1% rise year-over-year, driven by technology investments and employee-related expenses [22]. - Total non-interest expense for the full year 2025 was $1,429,264, compared to $1,351,279 in 2024, indicating a rise of 5.8% [36]. Efficiency and Ratios - The common equity tier 1 ratio was 11.22%, down from 11.39% in the prior quarter and 11.54% a year ago [16]. - The efficiency ratio improved to 46.95% in Q4 2025 from 45.79% in Q3 2025, showing a slight increase in operational efficiency [46]. - The tangible book value per common share increased to $37.20, compared to $32.95 a year ago, reflecting a 12.0% increase [16]. - The tangible equity ratio for December 31, 2025, is 7.77%, slightly down from 7.86% in September 30, 2025 [47]. Future Outlook - Forward-looking statements indicate potential uncertainties and risks affecting future performance [27]. - The conference call for the fourth quarter 2025 earnings announcement is scheduled for January 23, 2026 [25].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): January 23, 2026 NextCure, Inc. (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of 001-38905 (Commission File Number) 47-5231247 (IRS Employer Identification No.) 9000 Virginia Manor Road, Suite 200 Beltsville, Maryland 20705 (Address of principal (Z ...

Financial Performance - Fourth-quarter revenue of $9.75 billion increased 9% sequentially and 5% year on year[2] - Fourth-quarter GAAP EPS of $0.55 increased 10% sequentially but decreased 29% year on year[2] - Fourth-quarter net income attributable to SLB of $824 million increased 12% sequentially but decreased 25% year on year[2] - Full-year revenue of $35.71 billion decreased 2% year on year[2] - Full-year net income attributable to SLB of $3.37 billion decreased 24% year on year[2] - Total revenue for SLB in 2025 was $35.7 billion, a decrease of 2% compared to $36.3 billion in 2024[10] - SLB reported Q4 2025 revenue of $9,745 million, a 5% increase from $9,284 million in Q4 2024[57] - Net income attributable to SLB for Q4 2025 was $824 million, down 25% from $1,095 million in Q4 2024[57] - SLB's total revenue for the twelve months ended December 31, 2025, was $35,708 million, a decrease of 1.6% compared to $36,289 million in 2024[57] - Net income for the twelve months ended December 31, 2025, was $4,291 million, a decrease from $5,672 million in the previous year, representing a decline of 24.4%[66] Cash Flow and Dividends - Full-year cash flow from operations was $6.49 billion and free cash flow was $4.11 billion[2] - SLB generated $6.5 billion in cash flow from operations and $4.1 billion in free cash flow in 2025, returning $4.0 billion to shareholders[16][22] - Free cash flow for the fourth quarter of 2025 was $2,289 million, compared to $3,005 million in the previous quarter, reflecting a decrease of 23.8%[62] - Cash flow from operations for the twelve months ended December 31, 2025, was $6,489 million, slightly down from $6,602 million in the previous year[62] - The board approved a 3.5% increase in quarterly cash dividend to $0.295 per share[2] - The company paid dividends totaling $426 million in the fourth quarter of 2025, compared to $1,602 million in the previous quarter[62] Revenue Segmentation - Digital segment revenue increased 25% sequentially and 13% year on year, reflecting strong growth[6] - Digital revenue increased by 9% year-on-year to $2.66 billion, with an adjusted EBITDA margin of 34.9%[10][20] - Production Systems revenue grew by 12% year-on-year to $13.33 billion, with a pretax segment operating income of $2.18 billion, reflecting a 15% increase[10] - North America revenue increased by 12% year-on-year to $7.52 billion, while international revenue decreased by 5% to $27.94 billion[12] - Digital revenue reached $825 million, increasing 25% sequentially and 17% year-over-year, driven by strong growth in Digital Exploration and Digital Operations[35] - Reservoir Performance revenue was $1.75 billion, a 4% sequential increase, but a 3% year-over-year decline primarily due to reduced activity in Saudi Arabia and Europe[39] - Well Construction revenue decreased 1% sequentially to $2.95 billion and declined 10% year-over-year, impacted by reduced drilling activity across multiple regions[42] - Production Systems revenue increased 17% sequentially to $4.08 billion and 30% year-over-year, significantly boosted by the acquisition of ChampionX, which contributed $874 million in revenue[44] - Digital Division revenue increased by 9% year-on-year to $2.660 billion in 2025, with pretax operating income rising 22% to $745 million[97] - Data Center Solutions revenue surged 121% year-on-year to $460 million in 2025, compared to $208 million in 2024[102] Acquisitions and Strategic Initiatives - SLB acquired ChampionX, contributing $879 million in revenue and $206 million in adjusted EBITDA in the fourth quarter[3] - The acquisition of ChampionX contributed $1.46 billion in revenue during 2025, with $879 million in the fourth quarter alone[10][19][25] - The company anticipates benefits from the ChampionX acquisition, focusing on successful integration and achieving anticipated synergies[107] - SLB's partnership with Shell aims to develop AI solutions to enhance upstream operations, focusing on performance and efficiency gains[55] Operational Highlights - The company secured a five-year contract with Aramco for stimulation services in Saudi Arabia, part of a multi-billion dollar contract[53] - SLB's new technology, the OnWave™ platform, was deployed in Italy, enhancing data acquisition and well control, significantly improving fracture characterization[54] - The Reda Agile™ pump system installed in Libya achieved an initial flow rate of approximately 2,000 barrels of fluid per day[54] - SLB's cumulative incremental oil recovery in Oman exceeded 580,000 barrels over 33 jobs within 7 years[54] - The company expanded its operations in Shreveport, Louisiana, nearly doubling its facility footprint to meet growing data center demand[56] Future Outlook and Strategic Goals - SLB expects to return over $4 billion to shareholders in 2026, with a 3.5% increase in quarterly dividends starting April 2026[23][24] - The company is committed to achieving net-zero carbon emissions goals and interim emissions reduction goals, although these are subject to various risks and uncertainties[108] - SLB's business strategies include digital initiatives and "fit for basin" approaches, aimed at improving operational efficiencies and adapting to market conditions[107] - The company acknowledges potential impacts from global economic and geopolitical conditions on energy supply and operational performance[107] - SLB is focused on enhancing its technology to meet new challenges in exploration and addressing competitiveness from alternative energy sources[108] - The company is monitoring changes in exploration and production spending by customers, which could affect its financial performance[108] - SLB's operational modifications and supply chain challenges may influence its ability to achieve intended benefits from business strategies[108] - The company disclaims any obligation to update forward-looking statements, emphasizing the evolving nature of its sustainability-related goals[108]

Financial Performance - Revenue for the three months ended December 31, 2025, was $2,620 million, a decrease of 10.2% compared to $2,917 million for the same period in 2024[12] - Operating income for the nine months ended December 31, 2025, was $770 million, down 29.7% from $1,095 million in 2024[12] - Net income for the three months ended December 31, 2025, was $200 million, an increase of 6.9% from $187 million in 2024[15] - Earnings per share (EPS) for the three months ended December 31, 2025, was $1.64, compared to $1.46 for the same period in 2024, reflecting a 12.3% increase[12] - Revenue decreased by 10% to $2,620 million for the three months ended December 31, 2025, and by 6% to $8,434 million for the nine months ended December 31, 2025, compared to the prior year period[81] - Operating income fell by 21% to $230 million for the three months ended December 31, 2025, and by 30% to $770 million for the nine months ended December 31, 2025, reflecting a decrease in operating margin from 10% to 9%[88] - Net income increased by 7% to $200 million for the three months ended December 31, 2025, but decreased by 13% to $646 million for the nine months ended December 31, 2025, compared to the prior year[91] Assets and Liabilities - Total assets as of December 31, 2025, were $7,051 million, a decrease from $7,312 million as of March 31, 2025[10] - Total liabilities as of December 31, 2025, were $6,026 million, down from $6,309 million as of March 31, 2025[10] - Total stockholders' equity as of December 31, 2025, was $1,025 million[18] - The company had total debt of $3,940 million as of December 31, 2025, with a long-term debt net of current portion amounting to $3,857 million[37] - Long-term debt, net of current portion, was $3,857 million as of December 31, 2025, slightly down from $3,915 million as of March 31, 2025[110] Cash Flow and Investments - Cash and cash equivalents at the end of the period were $882 million, slightly down from $885 million at the beginning of the period[17] - Net cash provided by operating activities for the nine months ended December 31, 2025, was $801 million, compared to $790 million in 2024, indicating a 1.4% increase[17] - Net cash provided by operations was $801 million for the nine months ended December 31, 2025, compared to $790 million in the prior year period, primarily driven by lower tax payments[101] - Net cash used in investing activities was $52 million for the nine months ended December 31, 2025, a decrease from $184 million in the prior year, mainly due to the previous year's acquisition of PGSC[102] - Net cash used in financing activities was $752 million for the nine months ended December 31, 2025, compared to $706 million in the prior year, attributed to an increase in share repurchases of $24 million and term loan payments of $22 million[103] Shareholder Actions - The company repurchased common stock worth $521 million during the nine months ended December 31, 2025[17] - The company repurchased 1.3 million shares of Class A Common Stock for $125 million during the three months ended December 31, 2025[18] - For the nine months ended December 31, 2025, the company repurchased 4.7 million shares for $486 million[18] - The company declared a quarterly cash dividend of $0.59 per share on January 23, 2026, payable on March 2, 2026, with total dividends of $67 million and $205 million for the three and nine months ended December 31, 2025, respectively[104] - The company repurchased 4.7 million shares for an aggregate of $486 million during the first nine months of fiscal 2026, with approximately $759 million remaining under the repurchase program[105] Operational Metrics - Revenue from cost-reimbursable contracts accounted for 58% of total revenue in Q3 2025, while time-and-materials and fixed-price contracts contributed 22% and 20%, respectively[29] - Defense customers generated $1,454 million in revenue, representing 55% of total revenue for the three months ended December 31, 2025, compared to 50% in the same period of 2024[29] - Total backlog as of December 31, 2025, was $38.456 billion, an increase of 2% from $37.879 billion as of December 31, 2024[76] - Funded backlog decreased from $4.658 billion in December 2024 to $4.206 billion in December 2025[76] - Unfunded backlog increased from $8.478 billion in December 2024 to $10.059 billion in December 2025[76] - Additions to funded backlog totaled $11.0 billion for the twelve months ended December 31, 2025, compared to $11.8 billion for the same period in 2024[77] Tax and Compliance - The effective income tax rates for the three months ended December 31, 2025, and 2024, were (7.0)% and 24.7%, respectively, with a tax benefit of $57 million recognized during the same period[41] - As of December 31, 2025, the company recorded $78 million in reserves for uncertain tax positions, primarily related to research and development tax credits, with a reduction of $86 million due to IRS examination adjustments[42] - The company recorded long-term income tax receivables of $176 million as of December 31, 2025, related to amended U.S. federal return refund claims[43] - The company is subject to various risks including changes in U.S. government spending and potential impacts from government shutdowns, which may affect future performance[113] Strategic Initiatives - The company is implementing actions to reduce costs by approximately $150 million annually due to a slowed procurement environment[66] - The company plans to relocate its headquarters to new office space in Reston, Virginia, with estimated total undiscounted base lease payments of $222 million[56] - The company plans to opportunistically access financing markets to secure additional debt capital resources for strategic acquisitions and investments[100] Reporting and Compliance - The company reported its quarterly financial results for the three and nine months ended December 31, 2025, with a focus on condensed consolidated balance sheets and statements of operations[101] - The financial statements include comprehensive income and cash flow statements for the same periods, highlighting key performance metrics[101] - The report is formatted in Inline XBRL, enhancing the accessibility and usability of the financial data for stakeholders[101] - Certifications from the Chief Executive Officer and Chief Financial Officer were filed, ensuring compliance with regulatory requirements[31.1][31.2][32.1][32.2] - The company is committed to transparency and accuracy in its financial reporting, as evidenced by the detailed disclosures in the quarterly report[101] - The report includes notes to the condensed consolidated financial statements, providing additional context and insights into the company's financial position[101] - The company continues to adhere to the Securities Exchange Act of 1934, maintaining its obligations as a registrant[130] - The financial results will inform future strategic decisions and operational adjustments as the company navigates market conditions[101] - The report emphasizes the importance of accurate financial reporting in supporting investor confidence and market stability[101] - The company is focused on leveraging its financial data to drive growth and enhance shareholder value moving forward[101]