Financial Performance - Full-year diluted earnings per share (EPS) reached $10.20, an 8% increase year-over-year, with adjusted diluted EPS at $10.62[1] - Pre-tax earnings for the full year were $4.3 billion, with a pre-tax margin of 7.3%, and adjusted pre-tax earnings of $4.6 billion, with an adjusted pre-tax margin of 7.8%[11] - Net income for the year ended December 31, 2025, was $3,353 million, a 6.5% increase from $3,149 million in 2024[37] - Earnings per share (diluted) for Q4 2025 was $3.19, an 8.1% increase from $2.95 in Q4 2024[37] - Adjusted operating income for the year ended December 31, 2025, was $4,972 million, down 4.5% from $5,208 million in 2024[61] Revenue and Passenger Metrics - Q4 revenue was $15.4 billion, marking the highest quarterly revenue in United's history, with a 4.8% increase compared to Q4 2024[11] - United flew a record 181 million passengers in 2025, averaging over 496,000 passengers daily[2] - Passenger revenue for Q4 2025 was $13,926 million, a 4.9% increase from $13,275 million in Q4 2024[37] - Total operating revenue for the year ended December 31, 2025, reached $59,070 million, reflecting a 3.5% increase compared to $57,063 million in 2024[37] - Total passengers increased to 45,679 thousand in Q4 2025, up 3.0% from 44,344 thousand in Q4 2024[42] Operating Expenses and Costs - Operating expenses for Q4 2025 totaled $14,011 million, a 6.2% increase from $13,192 million in Q4 2024[37] - Salaries and related costs increased by 4.6% to $4,524 million in Q4 2025 compared to $4,325 million in Q4 2024[37] - Aircraft fuel costs rose by 9.2% to $2,923 million in Q4 2025 from $2,676 million in Q4 2024[37] - The average aircraft fuel price per gallon was $2.49 in Q4 2025, an increase of 3.6% from $2.40 in Q4 2024[55] Cash Flow and Capital Expenditures - United's operating cash flow for the year was $8.4 billion, with free cash flow of $2.7 billion, and similar free cash flow is expected in 2026[11] - Free cash flow for Q4 2025 was $(579) million, compared to $901 million in Q4 2024, reflecting a significant decline[58] - Adjusted capital expenditures for Q4 2025 were $1,916 million, a decrease of 19.5% from $2,384 million in Q4 2024[58] - The company had capital expenditures of $(5,874) million in 2025, compared to $(5,615) million in 2024, an increase of 4.6%[66] Debt and Assets - Adjusted total debt decreased to $32,094 million in 2025 from $34,866 million in 2024, a reduction of $2,772 million[59] - Total assets increased to $76,448 million as of December 31, 2025, compared to $74,083 million in 2024[63] - Cash and cash equivalents decreased to $5,942 million in 2025 from $8,769 million in 2024, a decline of $2,827 million[63] Special Charges and Gains - The company recorded a special charge of $561 million in 2025 related to labor contract ratification bonuses for employees[68] - The company reported net gains of $303 million on the sale of assets, primarily from aircraft sale-leaseback transactions[69] Tax and Interest - The effective tax rate for the year ended December 31, 2025, was 22.1%, down from 24.4% in 2024, due to a release of valuation allowance related to realized capital gains[71] - The company reported a decrease in interest expense by 12.1% to $324 million in Q4 2025 from $369 million in Q4 2024[37] Operational Efficiency - The airline achieved its lowest seat cancellation rate in history and had the lowest cancellation rate among large U.S. network carriers in 2025[10] - The government shutdown impacted pre-tax earnings by approximately $250 million in Q4 2025[11] - United plans to take delivery of over 100 narrowbody aircraft and approximately 20 Boeing 787 aircraft in 2026, the most widebody aircraft delivered in a year by any U.S. airline since 1988[6] Customer Satisfaction - United's Net Promoter Score (NPS) reached its highest-ever monthly score in November 2025, despite the government shutdown[4]

Financial Distribution Challenges - San Juan Basin Royalty Trust will not declare a monthly cash distribution for January 2026 due to excess production costs and continued low natural gas pricing[6] - The decision to withhold the distribution is attributed to financial challenges faced in prior periods[6] - The Trust's subject interests have been impacted by low natural gas prices, affecting overall profitability[6] - The announcement was made on January 20, 2026, highlighting ongoing financial difficulties[6] - The Trust's units of beneficial interest (Units) will not receive cash distributions this month[6] - The financial condition of the Trust remains under scrutiny due to fluctuating market conditions[6] - The Trust is actively monitoring production costs and market prices to assess future distribution capabilities[6] Management and Oversight - The Trust is managed by Argent Trust Company, which oversees its financial operations[10] - The report was signed by Nancy Willis, Director of Royalty Trust Services, on January 20, 2026[11] Additional Information - The press release detailing these developments is attached as Exhibit 99.1[8]

Financial Performance - Net income for Q1 fiscal 2026 decreased 7% to $15.4 million, or $0.30 per diluted share, compared to $16.5 million, or $0.32 per diluted share in Q1 fiscal 2025[3] - Revenues for Q1 fiscal 2026 increased 9% to $273.0 million from $250.4 million in the same quarter of fiscal 2025[3] - Return on equity was 9.8% for the trailing twelve months ended December 31, 2025[4] - Book value per share increased 10% to $35.10[7] Sales and Lots - Lots sold during Q1 fiscal 2026 decreased 17% to 1,944 lots compared to 2,333 lots in Q1 fiscal 2025[5] - The company expects to deliver between 14,000 and 15,000 lots in fiscal 2026, generating $1.6 billion to $1.7 billion of revenue[9] Assets and Liquidity - The company's lot position at December 31, 2025, was 101,000 lots, with 24,100 lots under contract to be sold, representing approximately $2.2 billion of future revenue[6] - The company ended the quarter with $211.7 million of unrestricted cash and $607.6 million of available borrowing capacity, totaling $819.3 million in liquidity[8] - The net debt to total capital ratio at the end of the quarter was 24.6%[8] - Real estate assets totaled $2.9 billion as of December 31, 2025[7]

Cash Distribution - The Registrant announced a monthly cash distribution to unitholders of record on January 30, 2026[5] - The news release regarding the cash distribution was issued on January 20, 2026[5] Company Information - The Registrant is listed on the New York Stock Exchange under the trading symbol CRT[3] - The Registrant is not classified as an emerging growth company[4] Financial Reporting - The financial statements and exhibits are being furnished under Item 2.02 of Form 8-K[6] - The report was signed by Nancy Willis, Director of Royalty Trust Services, on behalf of Argent Trust Company[10] - The report was also signed by Daniel Bates, Unconventional Finance General Manager of Exxon Mobil Corporation[10]

Financial Performance - Net income attributable to D.R. Horton decreased 30% to $594.8 million, with earnings per diluted share down 22% to $2.03[2] - Revenues for the three months ended December 31, 2025, were $6,886.9 million, a decrease of 9.5% compared to $7,613.0 million in the same period of 2024[27] - Net income attributable to D.R. Horton, Inc. for the three months ended December 31, 2025, was $594.8 million, down 29.5% from $844.9 million in 2024[27] - Basic net income per share for the three months ended December 31, 2025, was $2.03, a decrease of 22.8% compared to $2.63 in 2024[27] - Homebuilding pre-tax income decreased 30% to $708.1 million, with a pre-tax profit margin of 10.8%[9] - Income before income taxes for Q4 2025 was $798.1 million, down from $1,109.9 million in Q4 2024, representing a decrease of 28.0%[34] Revenue and Sales - Consolidated revenues for the first quarter were $6.9 billion, with home sales revenues of $6.5 billion from 17,818 homes closed[8] - Home sales revenue for Q4 2025 was $6,512.7 million, a decrease of 8.8% compared to $7,146.0 million in Q4 2024[34] - Total consolidated revenues for Q4 2025 reached $6,886.9 million, down from $7,613.0 million in Q4 2024, reflecting a decline of 9.6%[34] - Net sales orders increased 3% to 18,300 homes, with an order value of $6.7 billion[9] - Net sales orders for homes in Q4 2025 totaled 18,300 homes valued at $6,661.8 million, slightly up from 17,837 homes valued at $6,653.5 million in Q4 2024[39] - Homes closed in Q4 2025 were 17,818, with a total value of $6,512.7 million, compared to 19,059 homes valued at $7,146.0 million in Q4 2024, a decrease of 6.5% in volume[41] Cash Flow and Liquidity - Cash provided by operations totaled $854.0 million, and total liquidity at quarter end was $6.6 billion[3] - Net cash provided by operating activities increased to $854.0 million for the three months ended December 31, 2025, compared to $646.7 million in 2024, reflecting a 32.1% increase[29] - Cash provided by operating activities in Q4 2025 was $854.0 million, compared to $646.7 million in Q4 2024, showing an increase of 32.0%[34] - Cash, cash equivalents, and restricted cash at the end of the period were $2,553.0 million, down from $3,069.0 million at the end of the same period in 2024[29] Debt and Capital Structure - The Company's debt to total capital ratio was 18.8%, with $600 million of homebuilding senior notes maturing in the next twelve months[3] - The company incurred interest expenses of $56.5 million for the three months ended December 31, 2025, compared to $46.7 million in 2024, representing a 21.0% increase[27] Shareholder Returns - The Company repurchased 4.4 million shares for $669.7 million and paid cash dividends of $131.5 million during the quarter[13] - D.R. Horton, Inc. repurchased common stock worth $649.2 million during the three months ended December 31, 2025, compared to $1,055.7 million in the same period of 2024[29] Inventory and Assets - Total assets as of December 31, 2025, were $34,639.6 million, compared to $35,471.2 million as of September 30, 2025, indicating a decrease of 2.3%[31] - The total lots controlled by the company as of December 31, 2025, was 590,500, a decrease from 591,900 lots as of September 30, 2025[45] - Homes in inventory as of December 31, 2025, totaled 30,400, an increase from 29,600 homes as of September 30, 2025[49] Order Backlog and Cancellations - The cancellation rate for sales orders was 18%, consistent with the prior year quarter[9] - As of December 31, 2025, the sales order backlog consisted of 11,376 homes valued at $4,313.5 million, compared to 11,003 homes valued at $4,299.0 million as of December 31, 2024, indicating a slight increase in value[43]

Financial Performance - Full Year 2025 net income from continuing operations increased by 191% to $20.0 million, with adjusted net income rising by 42% to $28.9 million[2][20] - Total net sales for Fiscal Year 2025 decreased to $648.4 million, down from $661.5 million, primarily due to a 4% decline in Fresh segment sales[8][17] - Adjusted EBITDA from continuing operations for Fiscal Year 2025 increased by 12% to $40.8 million, compared to $36.5 million in the prior year[8][20] - Gross profit for Fiscal Year 2025 was $63.7 million, representing 10% of net sales, compared to $67.8 million in the prior year[8][18] - Net sales for the three months ended October 31, 2025, were $124,681,000, a decrease of 26.6% compared to $169,959,000 for the same period in 2024[43] - Gross profit for the three months ended October 31, 2025, was $11,648,000, down 28.5% from $16,290,000 in the prior year[43] - Operating income for the twelve months ended October 31, 2025, increased to $19,611,000, compared to $16,723,000 in 2024, reflecting a 17.9% growth[43] - Net income attributable to Calavo Growers, Inc. for the three months ended October 31, 2025, was $3,817,000, compared to a loss of $139,000 in the same period last year[43] - Adjusted net income from continuing operations for the twelve months ended October 31, 2025, was $28,907,000, up from $20,360,000 in 2024, representing a 42.3% increase[47] - The net income attributable to Calavo Growers, Inc. for the twelve months ended October 31, 2025, was $19.796 million, a substantial increase from $6.796 million in 2024[49] Segment Performance - The Fresh segment experienced a 31% decrease in sales for Q4 2025, totaling $106.3 million, driven by a 19% decline in average price per carton[8][13] - The Prepared segment saw a 20% increase in sales for Q4 2025, reaching $18.4 million, attributed to an 11% increase in sales volume[8][13] Expenses and Costs - SG&A expenses for Fiscal Year 2025 decreased by 16% to $42.1 million, reflecting lower professional fees and reduced headcount-related costs[8][19] - The company incurred $1.105 million in professional fees related to Mexican tax matters for the three months ended October 31, 2025, compared to $0.233 million in 2024, reflecting a significant increase[50] - A charge of $1.801 million was recorded to resolve grower advance balances associated with a tomato program from previous fiscal years, which is not indicative of current operations[55] - Other costs outside the normal course of operations amounted to $1.008 million, primarily related to finance organization recruiting and legal settlement expenses[56] Cash Flow and Assets - Total current assets decreased to $149,426,000 as of October 31, 2025, from $158,579,000 in 2024, a decline of 5.8%[45] - Total liabilities decreased to $83,691,000 as of October 31, 2025, down from $99,343,000 in 2024, a reduction of 15.8%[45] - Cash and cash equivalents increased to $61,155,000 as of October 31, 2025, compared to $57,031,000 in 2024, an increase of 3.7%[45] Strategic Developments - The company announced a strategic combination with Mission Produce, Inc., where shareholders will receive $27.00 per share, consisting of $14.85 in cash and stock[7][9] - The merger is expected to create cost synergies of $25 million and provide shareholders with opportunities for value creation[9][10] - Calavo and Mission are seeking stockholder approvals for a proposed transaction, which may face risks including regulatory approvals and potential delays[27] - The integration of Calavo and Mission's businesses may incur higher costs and challenges than anticipated, affecting expected synergies[27] - Calavo and Mission plan to file a joint proxy statement with the SEC regarding the proposed transaction, urging investors to review the documents carefully[32] Market and Economic Conditions - The company anticipates softer first quarter results for 2026 due to continued strong avocado supply and pricing dynamics[12] - The companies are exposed to various risks such as economic conditions, client spending reductions, and changes in agricultural product prices[27] - The impact of macroeconomic trends, including increased interest rates, may affect borrowing costs and consumer behavior[29] - The companies are subject to enhanced regulatory scrutiny, which could lead to shipment delays and increased costs[29] - The companies are reliant on large customers and key personnel, which poses risks to their operational stability[28] Non-GAAP Measures - Non-GAAP measures such as adjusted EBITDA and adjusted net income are used to provide a clearer view of financial performance, excluding certain unusual items[37][38] - Adjusted EBITDA is calculated by excluding costs related to acquisitions, restructuring, and other one-time items, providing insight into ongoing operations[39] Foreign Currency Impact - The company reported a foreign currency gain of $4,291,000 for the three months ended October 31, 2025, compared to a loss of $3,041,000 in the same period last year[43] - Foreign currency remeasurement gains were $4.291 million for the three months ended October 31, 2025, compared to a loss of $3.041 million in the same period of 2024, indicating a positive shift in currency impact[52] Interest and Tariff Costs - Interest income rose to $(754) thousand for the three months ended October 31, 2025, from $(680) thousand in 2024, while interest expense decreased to $211 thousand from $274 thousand[49] - Costs related to tariffs for the three months ended October 31, 2025, were less than $0.1 million, primarily due to temporary tariffs on goods sourced from Mexico[53] - The company recorded $867 thousand in FDA regulatory hold-related charges for the three months ended October 31, 2025, reflecting unusual and non-recurring costs[54]

Financial Distribution - PermRock Royalty Trust announced a cash distribution of $235,849.49, equating to $0.019386 per Trust Unit, based on production during November 2025[6] - The cash distribution is payable on February 13, 2026, to record holders as of January 30, 2026[6] - The Trust's financial condition reflects its operational performance and cash distribution strategy[6] Compliance and Reporting - The report was filed in accordance with the Securities Exchange Act of 1934, ensuring compliance with regulatory requirements[7] - The Trust's operations are subject to the general instructions of Form 8-K, indicating a structured reporting process[7] - The Trust is not classified as an emerging growth company under the relevant securities regulations[5] Trust Structure - The Trust does not have directors or executive officers, with Argent Trust Company acting as the trustee[11] - The Trust is listed on the New York Stock Exchange under the symbol PRT[5] Transparency - The announcement was made via a press release dated January 20, 2026, highlighting the Trust's commitment to transparency[8] - The Trust's financial results are based on its operations and production metrics from the previous month, indicating ongoing revenue generation[6]

Cash Distribution - The cash distribution declared for January 2026 is $0.040056 per unit, payable on February 13, 2026, to unit holders of record on January 30, 2026[2]. - General and Administrative Expenses for the month were $172,927, leading to a total distribution of $1,866,989 to 46,608,796 units outstanding[9]. - After deducting taxes and expenses of $132,454, the net profit for December was $963,069, resulting in a net contribution of $914,915 to the distribution[6]. Production and Revenue - Production for Texas Royalty Properties was 17,309 barrels of oil and 8,378 Mcf of gas, with the Trust's allocated portion being 15,285 barrels of oil and 7,401 Mcf of gas[6]. - The average price for oil was $59.18 per bbl and for gas was $8.49 per Mcf, contributing to revenues of $1,095,523 for Texas Royalty Properties[6]. - The distribution increased from the previous month due to a second settlement payment from Blackbeard Operating LLC and higher oil volumes from Texas Royalty Properties, despite lower natural gas volumes and oil pricing[3]. Cost and Financial Position - The Trust is currently in an excess cost position for the Waddell Ranch properties, as production costs exceeded gross proceeds for December 2025[2]. - The Trustee will disclose production, pricing, and cost information from Blackbeard on a quarterly basis in future reports[5]. Market Conditions and Future Outlook - The Trust's future distributions may be affected by worldwide market conditions, making predictions challenging[9]. - A petition filed by SoftVest seeks to modify the Trust's Indenture, aiming to change the approval requirements for amendments[10].

Financial Performance - SunPower reported record Q4'25 revenue of $88.5 million, a 26.5% increase from $70.0 million in Q3'25, driven by acquisitions of Sunder and Ambia[5] - Gross profit for Q4'25 was $48.8 million, with a gross margin of 55%, up from 46% in Q3'25[5] - Non-GAAP operating income reached $3.5 million in Q4'25, compared to $2.0 million in Q3'25, representing 4.0% of revenue[9] - Full-year 2025 revenue totaled $308.8 million, with an operating income of $10.9 million[9] - Q1'26 revenue is projected to be $84 million, with an expected operating income of $2.0 million, reflecting a typical winter quarter slump[9] - SunPower Inc. reported a GAAP operating loss from continuing operations of $29,970 thousand in Q3 2024, improving to a loss of $1,115 thousand by Q4 2025[32] - Non-GAAP net income (loss) improved from a loss of $7,077 thousand in Q3 2024 to a profit of $3,545 thousand in Q4 2025[32] - Total non-GAAP adjustments peaked at $22,893 thousand in Q3 2024, with a subsequent decrease to $4,660 thousand by Q4 2025[32] - The company anticipates a return to profitability with a projected non-GAAP net income of $2,938 thousand in Q1 2025[32] Cash and Financing - The company ended Q4'25 with a cash balance of $9.3 million, an increase from $5.1 million in Q3'25, and secured a $55 million equity line of credit[7] Market Expansion and Product Development - SunPower's salesforce grew to 1,977 representatives by the end of Q4'25, enhancing market share potential for 2026[11] - The company announced a joint development agreement with REC to produce a new high-wattage bifacial solar panel named "Monolith," targeting over 500 watts output[23] - SunPower signed a Letter of Intent to acquire Cobalt Power Systems, aiming to enhance its market position and install the new Monolith panels[25] - SunPower Inc. has indicated a focus on market expansion and new product development as part of its strategic initiatives moving forward[33] Cost Management and Financial Strategy - The company aims to improve its price-to-sales (P/S) ratio from 0.55 to 1.75, which could significantly increase its share price[18] - SunPower Inc. is actively managing acquisition costs related to headcount reductions and professional services, which may impact future financial performance[33] - SunPower Inc. continues to emphasize the importance of non-GAAP financial measures to provide a clearer picture of operational performance[33] Expenses and Charges - Depreciation and amortization expenses related to capital expenditures were $1,745 thousand in Q4 2024, increasing to $1,942 thousand in Q4 2025[32] - Stock-based compensation, a non-cash expense, was recorded at $1,516 thousand in Q3 2024 and increased to $2,718 thousand in Q4 2025[32] - Restructuring charges reached $21,072 thousand in Q3 2024, with no further charges reported in subsequent quarters[32]

Regulatory Environment - The company is permitted to present only two years of audited financial statements and related Management's Discussion and Analysis in SEC filings[7]. - The company is exempt from filing quarterly reports on Form 10-Q and providing current reports on Form 8-K, which may limit transparency for investors[64]. - The company faces risks related to potential regulatory changes in China that could impact its ability to conduct business and accept foreign investments[78]. - The PRC government has indicated an intent to increase oversight over overseas offerings and foreign investments, which may significantly hinder the ability to offer Ordinary Shares and could lead to a decline in their value[80]. - The SEC's HFCAA requires that if an auditor is not inspected by the PCAOB for two consecutive years, trading of the issuer's securities may be prohibited on U.S. exchanges[88]. - The PCAOB has determined it is unable to inspect or investigate public accounting firms in Mainland China and Macau due to positions taken by PRC authorities[99]. - The CSRC and PCAOB signed a Statement of Protocol on August 26, 2022, allowing the PCAOB independent discretion for selecting audits for inspection[100]. - The company has not been informed of any requirement to file for a cybersecurity review, but uncertainties exist regarding the interpretation and enforcement of PRC cybersecurity laws[83]. - The company has received all requisite permissions from Macau authorities to operate its businesses, including business registration certificates[84]. - The company does not expect the Revised Review Measures to materially impact its business or operations[83]. - The potential for changes in PRC laws and regulations could rapidly affect the company's operations and ability to offer securities[86]. - The PCAOB has secured complete access to inspect registered public accounting firms in mainland China and Macau, but future access may be obstructed, potentially leading to delisting of the company's securities[101]. - The Accelerating Holding Foreign Companies Accountable Act mandates that if an issuer's auditor is not subject to PCAOB inspections for two consecutive years, its securities may be prohibited from trading on U.S. exchanges[102]. Financial Performance and Risks - The company does not intend to pay dividends in the near future, which may affect investor returns[75]. - The company may rely on dividends from subsidiaries to fund operations, and any limitations on these payments could adversely affect business[71]. - The company’s financial condition and results of operations could be adversely affected by fluctuations in exchange rates and economic volatility in Macau and China[69]. - Economic conditions in Macau and China are sensitive to global economic conditions, and a prolonged slowdown may negatively impact client confidence and business operations[109]. - The company is exposed to risks associated with customer concentration and dependence on related parties, which could impact revenue stability[69]. - Revenues from the top 5 customers accounted for 98.4% and 95.8% of total revenues for the financial years ended 2025 and 2024, respectively, indicating significant customer concentration risk[131]. - Two clients, Jiangxi Zongjia Haotian Technology Company Ltd. and Jiangxi Muhe Business Services Co., Ltd., accounted for 70.0% of revenues as of September 30, 2025, further highlighting dependence on a limited customer base[131]. - The company is subject to various Macau laws and regulations, including those related to data security and anti-monopoly, which may impact business operations[115][119]. - The company faces significant risks due to prolonged economic downturns, which could adversely affect its business and financial condition[158]. - The performance of the company's consultation services is highly unpredictable and dependent on market conditions and client demands[162]. - The financial condition of clients may deteriorate, leading to slow fee settlements and adversely affecting the company's cash flows[169]. - The company is subject to risks associated with pressure on service fees, which may decrease due to competition or reduced demand[172]. - Economic volatility and market uncertainty may impact demand for industrial properties, potentially affecting revenue streams and profitability[178]. - The company may face scrutiny and negative publicity similar to other U.S.-listed China-based companies, which could harm business operations and reputation[111][112]. Corporate Governance and Structure - The company is classified as a foreign private issuer, allowing it to adopt certain home country governance practices that may provide less protection to shareholders[60]. - The concentration of ownership among directors, officers, and principal shareholders, holding 63.62% of shares, may not align with the interests of other shareholders[193]. - The company is classified as a foreign private issuer, which allows it to follow less detailed reporting requirements compared to U.S. domestic companies[219]. - If the company loses its foreign private issuer status, it would face significant additional legal, accounting, and compliance costs[223]. - The company qualifies as an emerging growth company, allowing it to take advantage of reduced reporting requirements, including exemptions from certain auditor attestation requirements[224]. - The company may not comply with new or revised financial accounting standards until a private company is required to do so, potentially affecting comparability with other public companies[225]. - The board of directors has complete discretion regarding dividend distribution, subject to Cayman Islands law[202]. - Shareholders have limited rights to inspect corporate records under Cayman Islands law, which may hinder their ability to gather necessary information[216]. - The company’s corporate governance practices may differ significantly from Nasdaq standards, potentially affording less protection to shareholders[221]. - There is uncertainty regarding the enforcement of U.S. court judgments in the Cayman Islands and Macau, which could complicate legal recourse for investors[204][205]. Business Strategy and Development - The company plans to develop proprietary fintech solutions and platforms, potentially integrated with AI, through its subsidiary LFT[134]. - By September 30, 2025, LFT had entered into business agreements with four clients to provide ongoing fintech services[151]. - The company has employed two additional technical staff since June 2024 to enhance its fintech development capabilities[151]. - The company is considering future acquisitions and joint ventures as part of its growth strategy, which may introduce new risks and liabilities[152]. - The company has not registered some of its proprietary technology as trademarks or patents, which may adversely affect its business if others claim similar rights[139]. - The company anticipates increased costs related to compliance with Sarbanes-Oxley and SEC regulations after becoming a public company[227]. Market Conditions and Economic Factors - The total investment in real estate development in mainland China was RMB 10,028 billion (US$1,383 billion) in 2024, a decrease of 10.6% compared to the previous year[159]. - Investment in residential housing in mainland China was RMB 7,604 billion (US$1,049 billion), down by 10.5% YoY[159]. - The average unit price per square meter of residential units in Macau decreased by 9% to MOP 84,838 (US$10,605) compared to 2023[159]. - The number of industrial park consultation projects completed by the company dropped to 1 for the year ended September 30, 2025, down from 8 projects in the previous year[164]. - The average prices per square meter for office spaces and industrial units in Macau decreased by 21.7% and 16.9% respectively in 2024[159]. - The company charges approximately one month's rent as a service fee for rental properties and around 2% of the property sales revenue for properties sold[178]. - Fluctuations in interest rates, inflation, or currency exchange rates may impact investment decisions, potentially reducing viable prospects for the company's services[178]. - The market price of the company's Ordinary Shares may be volatile and could decline regardless of operating performance[229]. Currency and Credit Risks - The company is exposed to currency risk due to fluctuations in exchange rates, particularly between MOP and CNY[690]. - The company has not used any instruments or derivatives to manage or hedge its currency risk exposure[692]. - A 1% appreciation of CNY against MOP would increase revenue by US$30,485, while a 1% depreciation would decrease revenue by the same amount[691]. - As of September 30, 2025, the company had receivables from major customers accounting for 96% of total revenue, with Customer A contributing 51%[697]. - The company has not experienced any losses in bank accounts and believes it is not exposed to significant credit risk on cash maintained with banks in Macau[694]. - The allowance for credit losses as of September 30, 2025, was US$7,059, down from US$21,449 in 2024[695].