Huya Inc. HUYA Inc. Reports Second Quarter 2025 Unaudited Financial Results GUANGZHOU, China, Aug. 12, 2025 /PRNewswire/ -- HUYA Inc. ("Huya" or the "Company") (NYSE: HUYA), a leading game-related entertainment and services provider, today announced its unaudited financial results for the second quarter ended June 30, 2025. Second Quarter 2025 Highlights Mr. Junhong Huang, Acting Co-Chief Executive Officer and Senior Vice President of Huya, commented, "As we mark the two-year anniversary of Huya's strategic ...

Exhibit 99.1 Mereo BioPharma Reports Second Quarter 2025 Financial Results and Provides Corporate Highlights Data from Phase 3 Orbit and Cosmic studies of setrusumab in osteogenesis imperfecta expected around year-end 2025 Cash of $56.1 million as of June 30, 2025, expected to support operations into 2027 London, August 12, 2025 – Mereo BioPharma Group plc (NASDAQ: MREO) ("Mereo" or the "Company"), a clinical-stage biopharmaceutical company focused on rare diseases, today announced its financial results for ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION 001-40111 (Commission File Number) 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): August 12, 2025 ___________________________________ Sable Offshore Corp. (Exact name of registrant as specified in its charter) ___________________________________ Delaware (State or other jurisdiction of inc ...

[Item 2.02 Results of Operations and Financial Condition](index=3&type=section&id=Item%202.02%20Results%20of%20Operations%20and%20Financial%20Condition) Sable Offshore Corp. announced financial results for the period ended June 30, 2025, via a press release, with the information furnished but not filed under the Exchange Act - The company announced its financial results for the period ending June 30, 2025, via a press release issued on August 12, 2025[3](index=3&type=chunk) - The information in the press release (Exhibit 99.1) is not deemed "filed" for purposes of Section 18 of the Exchange Act and is not incorporated by reference into other SEC filings[4](index=4&type=chunk) [Item 9.01 Financial Statements and Exhibits](index=3&type=section&id=Item%209.01%20Financial%20Statements%20and%20Exhibits) This section details the exhibits accompanying the Form 8-K filing, primarily the press release with financial results | Exhibit No. | Description | | :--- | :--- | | 99.1 | Press Release of Sable Offshore Corp., dated August 12, 2025, announcing results for the period ended June 30, 2025 | | 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |

Exhibit 99.1 Tencent Music Entertainment Group Announces Second Quarter 2025 Unaudited Financial Results SHENZHEN, China, August 12, 2025 /PRNewswire/ -- Tencent Music Entertainment Group ("TME," or the "Company") (NYSE: TME and HKEX: 1698), the leading online music and audio entertainment platform in China, today announced its unaudited financial results for the second quarter ended June 30, 2025. TME's enhanced brand and platform value, together with tailored approaches to support artists home and abroad, ...

Financial & Operational Highlights [Second Quarter 2025 Financial Performance](index=1&type=section&id=Second%20Quarter%202025%20Financial%20Performance) MediaCo's Q2 2025 financial performance showed significant year-over-year improvement, with net revenue increasing **19%** to **$31.2 million**, net loss reduced by **82%** to **$(8.8) million**, and Adjusted EBITDA turning positive at **$1.8 million** Q2 2025 Financial Summary (in thousands) | Metric | Q2 2025 | Q2 2024 | Change (%) | | :--- | :--- | :--- | :--- | | **Net Revenues** | $31,245 | $26,202 | 19% | | **Net Loss** | $(8,800) | $(48,307) | 82% (Improvement) | | **Adjusted EBITDA** | $1,791 | $(5,222) | 134% (Improvement) | | **Net Loss Margin** | (28)% | (184)% | - | | **Adjusted EBITDA Margin** | 6% | (20)% | - | [First Half 2025 Financial Performance](index=1&type=section&id=First%20Half%202025%20Financial%20Performance) MediaCo's first half 2025 financial performance saw net revenue surge **80%** to **$59.3 million**, net loss improve **67%** to **$(17.4) million**, and Adjusted EBITDA turn positive at **$2.9 million**, largely due to the Estrella Acquisition H1 2025 Financial Summary (in thousands) | Metric | H1 2025 | H1 2024 | Change (%) | | :--- | :--- | :--- | :--- | | **Net Revenues** | $59,275 | $32,908 | 80% | | **Net Loss** | $(17,406) | $(51,984) | 67% (Improvement) | | **Adjusted EBITDA** | $2,918 | $(4,499) | 165% (Improvement) | | **Net Loss Margin** | (29)% | (158)% | - | | **Adjusted EBITDA Margin** | 5% | (14)% | - | - The **80%** year-to-date revenue growth was primarily driven by new Audio and Video segment assets from the April 2024 Estrella Acquisition[4](index=4&type=chunk) - The improvement in Net Loss was mainly due to higher revenue and lower corporate costs related to the Estrella Acquisition, partially offset by increased operating, depreciation, and amortization expenses from the same acquisition[4](index=4&type=chunk) [Management Commentary](index=2&type=section&id=Management%20Commentary) Management highlighted a **19%** Q2 revenue increase and a **345%** surge in first-half digital revenue, now **33.0%** of total ad income, attributing strong results to growth in radio/TV advertising, digital performance, and Estrella Media integration - CEO Albert Rodriguez emphasized the **19%** YoY revenue increase and a **345%** surge in first-half digital revenue, which now accounts for **33.0%** of total ad income[8](index=8&type=chunk) - CFO Debra DeFelice noted that growth was driven by increases in radio and TV advertising, record digital performance, and disciplined expense management[9](index=9&type=chunk) - The successful integration of Estrella Media assets and the realization of synergies are fueling strong, sustainable results[9](index=9&type=chunk) [Company and Business Highlights](index=2&type=section&id=Company%20and%20Business%20Highlights) MediaCo, a diverse-owned media company, achieved significant operational milestones across its segments, including new programming, sold-out events, and substantial growth in digital, radio, and TV viewership, reaching over **20 million** multicultural individuals monthly - MediaCo is a multi-platform media company serving multicultural audiences, reaching over **20 million** people monthly via television, radio, digital, and streaming platforms[10](index=10&type=chunk) [New Programming & Events](index=2&type=section&id=New%20Programming%20%26%20Events) The company enhanced content by securing multi-year Liga MX soccer rights and renewing shows, while successfully executing sold-out events like the **31st** annual Summer Jam and Cinco de Mayo music festivals, attracting over **40,000** attendees - EstrellaTV secured multi-year rights to all home games for Tigres, Tigres Femenil, Juarez, and Juarez Femenil Liga MX teams[11](index=11&type=chunk) - The **31st** annual Summer Jam sold out the Prudential Center, and Spanish-language radio stations hosted sold-out music festivals with over **40,000** in attendance for Cinco de Mayo[11](index=11&type=chunk) [Digital & Streaming](index=3&type=section&id=Digital%20%26%20Streaming) The digital and streaming segment achieved remarkable growth in Q2, with FAST monthly watch time exceeding **310 million** minutes and monetized premium CTV ad inventory surging **290%** year-over-year, alongside plans for a new Hot 97 TV FAST channel - In Q2, FAST monthly watch time exceeded **310 million** minutes, and monetized premium CTV ad inventory increased by **290%** YoY[13](index=13&type=chunk) - HOT 97's digital platforms saw record engagement around Summer Jam, with social reach up **1,000%** to **38 million** users[13](index=13&type=chunk) - A new FAST channel, Hot 97 TV, is set to launch in the summer to expand Afro-Urban content globally[13](index=13&type=chunk) [Radio](index=3&type=section&id=Radio) MediaCo's radio division outperformed the market in early 2025, growing its primetime A25-54 audience by **24%** compared to the market's **18%**, with significant gains in key markets like Los Angeles (**+56%**) and Riverside/San Bernardino (**+46%**) - The radio division's primetime A25-54 audience grew **24%** in early 2025, outpacing the market's **18%** growth[13](index=13&type=chunk) - Key market audience growth includes: KBUE/LA (**+56%**), KRQB/Riverside (**+46%**), Dallas stations (**+38%**), Houston (**+19%**), and New York (**+14%**)[13](index=13&type=chunk) [Broadcast & Local TV](index=3&type=section&id=Broadcast%20%26%20Local%20TV) EstrellaTV achieved year-over-year prime-time growth in Q2, with P18-49 viewership up **23%**, while local owned-and-operated stations saw substantial P18-49 audience growth, including KRCA/LA (**+96%**) and KZJL/Houston (**+143%**) - EstrellaTV's Q2 P18-49 Mon–Sun prime viewership averaged **15.3k** viewers, a **23%** increase YoY[13](index=13&type=chunk) - A Liga MX match on May 14 delivered the network's largest P18-49 audience ever, up **157%** versus the season average[13](index=13&type=chunk) - Local stations posted significant weekday prime P18-49 audience growth: KRCA/LA (**+96%**), QFAA/Dallas (**+49%**), and KZJL/Houston (**+143%**)[13](index=13&type=chunk) Financial Statements (Appendix) [Condensed Consolidated Statements of Operations](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) This section presents MediaCo's unaudited income statements for the three and six months ended June 30, 2025, detailing revenues, operating expenses, other income/expenses, and net loss compared to prior-year periods [Three Months Ended June 30, 2025](index=7&type=section&id=Three%20Months%20Ended%20June%2030%2C%202025) For Q2 2025, Net Revenues increased **19%** to **$31.2 million**, Operating Loss improved **49%** to **$(6.8) million**, and Net Loss significantly improved **82%** to **$(8.8) million**, primarily due to the non-recurrence of a **$31.0 million** warrant shares liability Q2 2025 Statement of Operations (in thousands) | Line Item | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **Net Revenues** | $31,245 | $26,202 | | Total operating expenses | $38,030 | $39,528 | | **Operating Loss** | $(6,785) | $(13,326) | | Total other expense | $(1,736) | $(34,799) | | **Net Loss** | $(8,800) | $(48,307) | [Six Months Ended June 30, 2025](index=8&type=section&id=Six%20Months%20Ended%20June%2030%2C%202025) For the first half of 2025, Net Revenues grew **80%** to **$59.3 million**, Operating Loss improved **32%** to **$(11.5) million**, and Net Loss improved **67%** to **$(17.4) million**, despite a **42%** increase in total operating expenses H1 2025 Statement of Operations (in thousands) | Line Item | H1 2025 | H1 2024 | | :--- | :--- | :--- | | **Net Revenues** | $59,275 | $32,908 | | Total operating expenses | $70,743 | $49,701 | | **Operating Loss** | $(11,468) | $(16,793) | | Total other expense | $(5,379) | $(34,925) | | **Net Loss** | $(17,406) | $(51,984) | [Non-GAAP Financial Measures Reconciliation](index=9&type=section&id=Non-GAAP%20Financial%20Measures%20Reconciliation) This section details the reconciliation from GAAP Net Loss to non-GAAP EBITDA and Adjusted EBITDA, showing Q2 2025 Adjusted EBITDA of **$1.8 million** from a **$(8.5) million** Net Loss, and H1 2025 Adjusted EBITDA of **$2.9 million** from a **$(17.4) million** Net Loss Reconciliation of Net Loss to Adjusted EBITDA (Q2 2025, in thousands) | Line Item | Amount | | :--- | :--- | | **Net Loss** | $(8,521) | | Provision for income taxes | $279 | | Interest expense, net | $3,855 | | Depreciation and amortization | $1,697 | | **EBITDA** | **$(2,690)** | | Other adjustments | $4,481 | | **Adjusted EBITDA** | **$1,791** | Reconciliation of Net Loss to Adjusted EBITDA (H1 2025, in thousands) | Line Item | Amount | | :--- | :--- | | **Net Loss** | $(17,406) | | Provision for income taxes | $559 | | Interest expense, net | $7,609 | | Depreciation and amortization | $3,466 | | **EBITDA** | **$(5,772)** | | Other adjustments | $8,690 | | **Adjusted EBITDA** | **$2,918** | Other Information [Forward-Looking Statements](index=4&type=section&id=Forward-Looking%20Statements) This section cautions that the report contains forward-looking statements based on management's current estimates, emphasizing that actual results may differ materially due to various risks and uncertainties, and advises against undue reliance - The company states that forward-looking statements are based on management's current estimates and beliefs and are not guarantees of future performance[15](index=15&type=chunk) - Investors are cautioned that actual results could differ materially from expectations and are advised to consult MediaCo's SEC filings for more details on potential risks[16](index=16&type=chunk) [Definitions and Disclosures Regarding Non-GAAP Financial Information](index=4&type=section&id=Definitions%20and%20Disclosures%20Regarding%20Non-GAAP%20Financial%20Information) Adjusted EBITDA is defined as Net Loss adjusted for specific non-cash and non-recurring items, used by management for internal planning and performance evaluation, and considered a useful metric for investors to assess operational strength and peer comparability - Adjusted EBITDA is defined as Net Loss excluding items like income taxes, interest, D&A, loss on asset disposal, change in fair value of warrant shares liability, other income, and other specific adjustments[17](index=17&type=chunk) - Management uses Adjusted EBITDA as a primary measure for planning, forecasting, and evaluating operating performance, and believes it is a relevant metric for investors to compare results with other companies[17](index=17&type=chunk) [About MediaCo Holding Inc.](index=5&type=section&id=About%20MediaCo%20Holding%20Inc.) MediaCo Holding Inc. (Nasdaq: MDIA) is a diverse-owned, multi-platform media company serving multicultural audiences across the U.S. with iconic brands like Hot 97 and EstrellaTV, reaching over **20 million** people monthly via television, radio, digital, and streaming platforms - MediaCo is a diverse-owned media company with brands including Hot 97, WBLS, EstrellaTV, Estrella News, and Que Buena Los Angeles[20](index=20&type=chunk) - The company reaches over **20 million** people monthly across television, radio, digital, and streaming platforms[20](index=20&type=chunk)

[Executive Summary and Management Commentary](index=1&type=section&id=Executive%20Summary%20and%20Management%20Commentary) Q2 2025 Adjusted EBITDA of **$61.1 million** was below expectations, leading to a revised full-year outlook near the low end of guidance - Adjusted EBITDA performance was below expectations primarily due to the timing and performance of certain wells in the DJ and Arkoma Basins, as well as lower realized commodity prices in the DJ Basin[4](index=4&type=chunk) - The company now expects to be near the low end of its 2025 Adjusted EBITDA guidance range of **$245 million to $280 million**[4](index=4&type=chunk)[6](index=6&type=chunk) - Key commercial developments include a new 20-well program in the Arkoma Basin, a 10-year gathering agreement extension in the Williston Basin, and a new **100 MMcf/d** firm capacity agreement on the Double E Pipeline expected to be in-service in Q4 2026[5](index=5&type=chunk)[6](index=6&type=chunk) Q2 2025 Key Financial Metrics | Metric | Value (in millions) | | :--- | :--- | | Net Loss | $4.2 | | Adjusted EBITDA | $61.1 | | Distributable Cash Flow (DCF) | $32.4 | | Free Cash Flow (FCF) | $9.2 | [Detailed Operational and Segment Performance](index=1&type=section&id=Detailed%20Operational%20and%20Segment%20Performance) Q2 2025 saw increased natural gas throughput and liquids volumes, with natural gas-driven segments generating **$35.4 million** and oil-driven segments **$33.5 million** in Adjusted EBITDA [Overall Operational Throughput](index=1&type=section&id=Overall%20Operational%20Throughput) Q2 2025 average daily natural gas throughput increased **3.3%** to **912 MMcf/d**, and liquids volumes rose **5.4%** to **78 Mbbl/d** - Compared to Q1 2025, average daily natural gas throughput on wholly owned operated systems increased by **3.3%** to **912 MMcf/d**, and liquids volumes increased by **5.4%** to **78 Mbbl/d**[6](index=6&type=chunk) - The Double E pipeline transported an average of **682 MMcf/d** in Q2 2025, an increase from **549 MMcf/d** in Q2 2024[7](index=7&type=chunk)[11](index=11&type=chunk) Average Daily Throughput by Segment (MMcf/d) | Segment | Q2 2025 (MMcf/d) | Q2 2024 (MMcf/d) | | :--- | :--- | :--- | | Rockies | 147 | 130 | | Piceance | 263 | 289 | | Mid-Con | 502 | 202 | | **Aggregate** | **912** | **716** | [Segment Financial Performance](index=2&type=section&id=Segment%20Financial%20Performance) Total segment Adjusted EBITDA reached **$68.9 million** in Q2 2025, with natural gas-driven segments contributing **$35.4 million** and oil-driven segments **$33.5 million** - Natural gas price-driven segments (Mid-Con, Piceance) generated a combined **$35.4 million** in adjusted EBITDA, a **3.3%** increase from Q1 2025, driven by higher volumes and sales in the Mid-Con segment[10](index=10&type=chunk) - Oil price-driven segments (Rockies, Permian) generated **$33.5 million** in combined adjusted EBITDA, a **1.2%** increase from Q1 2025, despite an estimated **$2.0 million** negative impact from lower commodity prices in Rockies[10](index=10&type=chunk) Segment Adjusted EBITDA (in thousands) | Segment | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Rockies | $25,235 | $22,858 | | Permian | $8,300 | $7,697 | | Piceance | $10,474 | $12,848 | | Mid-Con | $24,900 | $5,420 | | **Total Segment Adj. EBITDA** | **$68,909** | **$50,436** | [Capital Management and Financial Position](index=5&type=section&id=Capital%20Management%20and%20Financial%20Position) SMC invested **$26.4 million** in Q2 2025 capital expenditures, maintaining **$20.9 million** cash and **$359 million** ABL Revolver availability, and remaining compliant with financial covenants [Capital Expenditures](index=5&type=section&id=Capital%20Expenditures) Q2 2025 total capital expenditures were **$26.4 million**, including **$5.5 million** for maintenance, with YTD segment capital expenditures at **$45.2 million** Q2 2025 Capital Expenditures | Category | Amount (in millions) | | :--- | :--- | | Total Capital Expenditures | $26.4 | | Maintenance Capital Expenditures | $5.5 | YTD 2025 Capital Expenditures by Segment (in thousands) | Segment | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | | Rockies | $22,321 | $20,468 | | Piceance | $1,200 | $873 | | Mid-Con | $21,726 | $525 | | **Total Segment Capex** | **$45,247** | **$24,683** | [Capital & Liquidity](index=5&type=section&id=Capital%20%26%20Liquidity) As of June 30, 2025, SMC had **$20.9 million** cash and **$359 million** ABL Revolver availability, remaining compliant with all financial covenants, including a total leverage ratio of approximately **4.1x** - As of June 30, 2025, SMC had **$20.9 million** in unrestricted cash and **$359 million** of borrowing availability under its **$500 million** ABL Revolver[18](index=18&type=chunk) - The company was in compliance with all financial covenants, with an interest coverage ratio of **2.7x** (vs. **2.0x** minimum) and a first lien leverage ratio of **0.5x** (vs. **2.5x** maximum)[18](index=18&type=chunk) - The total leverage ratio was approximately **4.1x** as of June 30, 2025[18](index=18&type=chunk) [Revenue and Corporate Updates](index=5&type=section&id=Revenue%20and%20Corporate%20Updates) SMC billed **$4.2 million** for MVC shortfalls in Q2 2025, contributing to revenue and Adjusted EBITDA, while common stock dividends remain suspended, but Series A Preferred stock dividends will be paid [MVC Shortfall Payments](index=5&type=section&id=MVC%20Shortfall%20Payments) SMC billed customers **$4.2 million** in Q2 2025 for MVC shortfalls, recognizing the full amount as gathering revenue and contributing to Adjusted EBITDA - SMC billed customers **$4.2 million** in Q2 2025 for MVC shortfalls, recognizing the full amount as gathering revenue[20](index=20&type=chunk) MVC Shortfall Payments Impact (Q2 2025, in thousands) | Basin | MVC Billings | Gathering Revenue | Net Impact to Adj. EBITDA | | :--- | :--- | :--- | :--- | | Rockies | $— | $— | $(9) | | Piceance | $4,219 | $4,219 | $4,219 | | **Total** | **$4,219** | **$4,219** | **$4,210** | [Quarterly Dividend](index=6&type=section&id=Quarterly%20Dividend) The board continued the suspension of common stock cash dividends for Q2 2025, but will pay the scheduled dividend on Series A Preferred stock, with prior unpaid preferred dividends accrued - The board of directors has continued the suspension of cash dividends on common stock for the period ended June 30, 2025[23](index=23&type=chunk) - The cash dividend for Series A Preferred stock for the period ending September 14, 2025, will be paid, and all unpaid preferred dividends from prior periods remain accrued[23](index=23&type=chunk) [Unaudited Financial Statements](index=10&type=section&id=Unaudited%20Financial%20Statements) Q2 2025 total revenues were **$140.2 million** with a net loss of **$4.2 million**, total assets **$2.42 billion**, liabilities **$1.33 billion**, and operating cash flow **$37.2 million** [Condensed Consolidated Balance Sheets](index=10&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets were **$2.42 billion**, total liabilities **$1.33 billion**, and total equity **$959.0 million** Balance Sheet Summary (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Current Assets | $116,071 | $118,271 | | **Total Assets** | **$2,423,043** | **$2,359,484** | | Total Current Liabilities | $157,386 | $174,801 | | Long-term debt, net | $1,058,663 | $976,995 | | **Total Liabilities** | **$1,327,057** | **$1,261,413** | | **Total Equity** | **$959,026** | **$965,125** | [Condensed Consolidated Statements of Operations](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q2 2025 total revenues were **$140.2 million**, with total costs and expenses at **$126.0 million**, leading to a net loss of **$4.2 million** Statement of Operations Summary (Q2, in thousands) | Account | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Total Revenues | $140,217 | $101,315 | | Total Costs and Expenses | $126,013 | $94,465 | | Interest Expense | $(23,864) | $(31,457) | | **Net Income (Loss)** | **$(4,228)** | **$(23,778)** | | **EPS - basic** | **$(0.66)** | **$(2.91)** | [Other Financial and Operating Data](index=12&type=section&id=Other%20Financial%20and%20Operating%20Data) Q2 2025 operating cash flow was **$37.2 million**, capital expenditures **$26.4 million**, Adjusted EBITDA **$61.1 million**, DCF **$32.4 million**, and FCF **$9.2 million** Key Financial Data Summary (Q2, in thousands) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $37,213 | $(12,643) | | Capital expenditures | $26,390 | $10,522 | | Adjusted EBITDA | $61,094 | $43,148 | | Distributable Cash Flow (DCF) | $32,356 | $11,697 | | Free Cash Flow (FCF) | $9,222 | $2,723 | [Non-GAAP Financial Measures and Reconciliations](index=8&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) The company uses non-GAAP measures like Adjusted EBITDA, DCF, and FCF; Q2 2025 net loss of **$4.2 million** reconciled to **$61.1 million** Adjusted EBITDA and **$32.4 million** DCF - The company uses non-GAAP measures including Adjusted EBITDA, Distributable Cash Flow (DCF), and Free Cash Flow (FCF) for financial, operating, and planning decisions[28](index=28&type=chunk)[33](index=33&type=chunk)[34](index=34&type=chunk) Reconciliation of Net Income to Adjusted EBITDA (Q2 2025, in thousands) | Line Item | Amount | | :--- | :--- | | **Net income (loss)** | **$(4,228)** | | Add: Interest expense | $23,864 | | Add: Depreciation and amortization | $30,289 | | Add: Proportional adjusted EBITDA for equity method investees | $7,444 | | Other adjustments (net) | $8,527 | | Less: Income from equity method investees | $4,802 | | **Adjusted EBITDA** | **$61,094** | Reconciliation of Adjusted EBITDA to DCF (Q2 2025, in thousands) | Line Item | Amount | | :--- | :--- | | **Adjusted EBITDA** | **$61,094** | | Less: Cash interest paid | $5,309 | | Less: Senior notes interest adjustment | $17,789 | | Less: Maintenance capital expenditures | $5,460 | | Less: Cash paid for taxes | $180 | | **Cash flow available for distributions (DCF)** | **$32,356** |

[PART I. FINANCIAL INFORMATION](index=5&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) Presents the company's financial performance and position, including statements and management's analysis [Financial Statements](index=5&type=section&id=Item%201.%20Financial%20Statements) Presents the unaudited condensed consolidated financial statements, detailing the company's financial position, operational results, and cash flows [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Details the company's assets, liabilities, and equity as of June 30, 2025, and March 31, 2025 Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | March 31, 2025 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $20,005 | $22,133 | | Total current assets | $20,525 | $22,712 | | Intangible assets | $41,128 | $41,128 | | Goodwill | $8,138 | $8,138 | | **Total assets** | **$69,805** | **$71,993** | | **Liabilities & Equity** | | | | Trade and other payables | $2,315 | $1,930 | | Derivative warrant liabilities | $1,628 | $1,141 | | Total liabilities | $6,255 | $5,383 | | Total stockholders' equity | $63,550 | $66,610 | | **Total liabilities and stockholders' equity** | **$69,805** | **$71,993** | [Condensed Consolidated Statements of Loss and Comprehensive Loss](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Loss%20and%20Comprehensive%20Loss) Presents the company's net loss and comprehensive loss for the three months ended June 30, 2025 and 2024 Condensed Consolidated Statement of Loss (in thousands, except per share data) | Account | Three months ended June 30, 2025 | Three months ended June 30, 2024 | | :--- | :--- | :--- | | Research and development expenses | $(955) | $(2,708) | | General and administrative expenses | $(2,135) | $(2,255) | | **Loss from operating activities** | **$(3,090)** | **$(4,963)** | | Change in fair value of derivative warrant liabilities | $(487) | $1,395 | | Interest and other income, net | $205 | $235 | | **Net loss and total comprehensive loss** | **$(3,362)** | **$(2,617)** | | Basic and diluted loss per share | $(0.21) | $(0.24) | [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Outlines the cash inflows and outflows from operating, investing, and financing activities for the quarter Condensed Consolidated Statement of Cash Flows (in thousands) | Account | Three months ended June 30, 2025 | Three months ended June 30, 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | $(1,801) | $(3,596) | | Net cash used in investing activities | $— | $(15) | | Net cash used in financing activities | $(327) | $— | | **Net decrease in cash and cash equivalents** | **$(2,128)** | **$(3,611)** | | Cash and cash equivalents, beginning of period | $22,133 | $23,005 | | **Cash and cash equivalents, end of period** | **$20,005** | **$19,394** | [Notes to the Unaudited Condensed Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20the%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) Provides additional details and explanations for the figures presented in the financial statements - The company changed its jurisdiction from British Columbia, Canada to Delaware, USA, and changed its name from Acasti Pharma Inc. to Grace Therapeutics, Inc. in October 2024[25](index=25&type=chunk)[26](index=26&type=chunk)[27](index=27&type=chunk) - Management believes existing cash and cash equivalents of **$20.0 million** are sufficient to sustain planned operations for at least 12 months from the issuance date of the financial statements, but additional capital will be required beyond that period[33](index=33&type=chunk)[34](index=34&type=chunk) - In February 2025, the company completed a private placement, raising net proceeds of **$13.7 million**[32](index=32&type=chunk)[56](index=56&type=chunk) - Derivative warrant liabilities, related to the 2023 Common Warrants, are measured at fair value on a recurring basis and increased from **$1.14 million** to **$1.63 million** during the quarter, resulting in a charge of **$487 thousand** to the statement of loss[60](index=60&type=chunk)[62](index=62&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=20&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Discusses the company's strategic focus on rare diseases, lead product development, and analysis of financial performance and liquidity [Business Overview and Pipeline](index=20&type=section&id=Business%20Overview%20and%20Pipeline) Provides an overview of the company's therapeutic focus, drug delivery technologies, and clinical-stage pipeline candidates - The company focuses on developing and commercializing products for rare and orphan diseases using novel drug delivery technologies to improve existing pharmaceutical compounds[88](index=88&type=chunk) - The therapeutic pipeline consists of three clinical-stage drug candidates: GTx-104 (for aSAH), GTx-102 (for Ataxia-Telangiectasia), and GTx-101 (for Postherpetic Neuralgia)[89](index=89&type=chunk)[95](index=95&type=chunk) - The company utilizes the Section 505(b)(2) regulatory pathway, which may provide a shorter path to approval by leveraging existing data on approved compounds[90](index=90&type=chunk) - Following a strategic realignment in May 2023, the company is prioritizing the development of its lead product candidate, GTx-104, while development of GTx-102 and GTx-101 is contingent on additional funding or partnerships[96](index=96&type=chunk) [GTx-104 Program](index=21&type=section&id=GTx-104%20Program) Details the development status of GTx-104, including NDA submission, Phase 3 trial results, and market potential - On June 25, 2025, the company submitted a New Drug Application (NDA) to the FDA for GTx-104, a novel injectable formulation of nimodipine for patients with aneurysmal subarachnoid hemorrhage (aSAH)[94](index=94&type=chunk) - The pivotal Phase 3 STRIVE-ON trial met its primary endpoint, with patients receiving GTx-104 showing a **19% reduction** in clinically significant hypotension compared to oral nimodipine (28% vs. 35%)[108](index=108&type=chunk) - Additional positive outcomes for GTx-104 included a higher dose intensity (**54% vs. 8%** achieving ≥95% of prescribed dose), a **29% relative increase** in favorable outcomes on the modified Rankin scale, and fewer ICU days and readmissions[111](index=111&type=chunk) - The U.S. market for aSAH affects approximately **42,500 patients annually**, with potential for up to **70,000**, and market research indicates an **80% likelihood of adoption** for an IV nimodipine formulation like GTx-104 among key hospital decision-makers[104](index=104&type=chunk)[105](index=105&type=chunk) [GTx-102 and GTx-101 Programs](index=27&type=section&id=GTx-102%20and%20GTx-101%20Programs) Outlines the development status and future plans for GTx-102 and GTx-101, contingent on funding or partnerships - **GTx-102 (Ataxia Telangiectasia):** This is a novel oral-mucosal spray of betamethasone; the FDA has provided guidance on a single pivotal efficacy trial, with further development contingent on additional funding or a strategic partnership[119](index=119&type=chunk)[131](index=131&type=chunk) - **GTx-101 (Postherpetic Neuralgia):** This is a topical bio-adhesive film-forming bupivacaine spray; development has been deprioritized in favor of GTx-104, with future steps dependent on new funding or a partnership[132](index=132&type=chunk)[144](index=144&type=chunk) [Results of Operations](index=31&type=section&id=Results%20of%20Operations) Compares key financial results for the three months ended June 30, highlighting changes in expenses and net loss Comparison of Results for the Three Months Ended June 30 (in thousands) | Account | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Research and development expenses | $955 | $2,708 | $(1,753) | | General and administrative expenses | $2,135 | $2,255 | $(120) | | Change in fair value of derivative warrant liabilities | $(487) | $1,395 | $(1,882) | | Income tax benefit | $— | $724 | $(724) | | **Net loss** | **$(3,362)** | **$(2,617)** | **$745** | - The net loss increased by **$745 thousand** year-over-year, primarily due to a **$1.88 million** negative change in the fair value of derivative warrant liabilities and the absence of a **$724 thousand** income tax benefit recorded in the prior year[150](index=150&type=chunk) - Research and development expenses decreased by **$1.75 million**, mainly due to the completion of the GTx-104 pivotal Phase 3 STRIVE-ON clinical trial[153](index=153&type=chunk) - General and administrative expenses decreased by **$120 thousand**, primarily due to lower professional fees related to the company's Continuance and Domestication, partially offset by higher salaries and commercial assessment costs for GTx-104[158](index=158&type=chunk) [Liquidity and Capital Resources](index=33&type=section&id=Liquidity%20and%20Capital%20Resources) Assesses the company's cash position, cash flow activities, and future capital requirements - As of June 30, 2025, the company had cash and cash equivalents of **$20.0 million**, a decrease of **$2.1 million** during the quarter[23](index=23&type=chunk)[163](index=163&type=chunk) - Net cash used in operating activities was **$1.8 million** for the quarter, a decrease from **$3.6 million** in the prior-year quarter, primarily due to lower R&D spending after the completion of the GTx-104 trial[166](index=166&type=chunk) - The company raised net proceeds of **$13.7 million** from a private placement in February 2025[169](index=169&type=chunk) - Management believes existing cash is sufficient to sustain planned operations for at least the next 12 months, but additional capital will be required beyond that timeframe[164](index=164&type=chunk)[165](index=165&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=36&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is a smaller reporting company and is therefore not required to provide the information for this item - As a smaller reporting company, Grace Therapeutics is not required to provide quantitative and qualitative disclosures about market risk[178](index=178&type=chunk) [Controls and Procedures](index=36&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and Principal Financial Officer, evaluated the company's disclosure controls and procedures and concluded they were effective as of June 30, 2025 - Based on an evaluation as of June 30, 2025, management concluded that the company's disclosure controls and procedures were effective[179](index=179&type=chunk) - No changes were made to internal controls over financial reporting during the quarter that have materially affected, or are reasonably likely to materially affect, these controls[180](index=180&type=chunk) [PART II. OTHER INFORMATION](index=36&type=section&id=PART%20II.%20OTHER%20INFORMATION) Provides additional required disclosures not covered in the financial information section [Legal Proceedings](index=36&type=section&id=Item%201.%20Legal%20Proceedings) The company is not currently a party to any legal proceedings that management believes are likely to have a material adverse effect on its business - The company is not currently involved in any legal proceedings that are expected to have a material adverse effect on its business[182](index=182&type=chunk) [Risk Factors](index=37&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes from the risk factors previously disclosed in the company's Annual Report on Form 10-K - No material changes have occurred in the risk factors since the filing of the company's Annual Report[184](index=184&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=37&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities during the period - None[185](index=185&type=chunk) [Other Items (Defaults, Mine Safety, Other Information, Exhibits)](index=37&type=section&id=Other%20Items%20(3,%204,%205,%206)) The company reports no defaults upon senior securities, mine safety disclosures are not applicable, and no directors or officers adopted or terminated a Rule 10b5-1 trading arrangement during the quarter - The company reports no defaults upon senior securities[186](index=186&type=chunk) - Mine safety disclosures are not applicable to the company[187](index=187&type=chunk) - A list of exhibits filed with the report is provided, including certifications and XBRL data files[189](index=189&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-35776 Grace Therapeutics, Inc. (Exact name of registrant as specified in its charter) State of Delaware 98-1359336 (State or oth ...

PART I – FINANCIAL INFORMATION [Item 1. Condensed Consolidated Financial Statements (unaudited)](index=4&type=section&id=Item%201.%20Condensed%20Consolidated%20Financial%20Statements%20(unaudited)) This section presents unaudited financial statements, highlighting the lack of comparability between Predecessor and Successor periods [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets grew to $1.77 billion and total liabilities rose to $1.33 billion, with stockholders' equity increasing to $445.6 million Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **$1,772,038** | **$1,583,172** | | Cash and cash equivalents | $247,141 | $300,384 | | Total oil and gas properties - net | $1,427,039 | $1,194,447 | | **Total Liabilities** | **$1,326,411** | **$1,198,987** | | Senior Secured Term Loan (Current) | $875,561 | $— | | Senior Secured Term Loan (Non-current) | $— | $833,542 | | **Total Stockholders' Equity** | **$445,627** | **$384,185** | [Condensed Consolidated Statements of Operations](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The company reported zero revenue and a Q2 2025 net loss of $128.1 million, an improvement due to fair value changes in warrant liabilities Statement of Operations Summary (Successor, in thousands, except per share data) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | | :--- | :--- | :--- | :--- | | Total Revenue | $— | $— | $— | | Loss from operations | $(128,888) | $(62,235) | $(188,684) | | Net loss | $(128,066) | $(165,436) | $(237,610) | | Basic and diluted net loss per share | $(1.40) | $(2.75) | $(2.70) | [Condensed Consolidated Statements of Changes in Stockholders' Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Stockholders'%20Equity) Stockholders' equity increased to $445.6 million, driven by a $282.6 million stock issuance offset by a net loss of $237.6 million - The primary drivers for the change in stockholders' equity were a **$282.6 million capital raise** from a stock issuance, offset by a **net loss of $237.6 million**[16](index=16&type=chunk)[29](index=29&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Cash decreased by $53.0 million as cash used in operations and investing was partially offset by financing activities from a stock offering Cash Flow Summary (Successor, Six Months Ended June 30, 2025, in thousands) | Cash Flow Activity | Amount | | :--- | :--- | | Net cash used in operating activities | $(142,948) | | Net cash used in investing activities | $(192,982) | | Net cash provided by financing activities | $282,933 | | **Net change in cash** | **$(52,997)** | | Cash, cash equivalents and restricted cash, end of period | $282,775 | [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail accounting policies, debt, legal issues, and a substantial doubt about the company's ability to continue as a going concern - On May 15, 2025, the company **restarted production** at the Santa Ynez Unit (SYU) and began flowing oil to its onshore storage facility[28](index=28&type=chunk) - The company discloses that **substantial doubt exists about its ability to continue as a going concern** due to the need to refinance its Senior Secured Term Loan and obtain regulatory approvals[36](index=36&type=chunk)[33](index=33&type=chunk) - The company is involved in **multiple legal and regulatory proceedings** with state and federal agencies that could impact its ability to operate[124](index=124&type=chunk)[129](index=129&type=chunk)[132](index=132&type=chunk) Senior Secured Term Loan Details | Metric | Value | | :--- | :--- | | Balance (June 30, 2025) | $875.9 million (incl. PIK interest) | | Interest Rate | 10.0% per annum | | Maturity Date | January 10, 2026 | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=34&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial results, production restart, liquidity challenges, and significant legal and regulatory hurdles [Overview and Recent Events](index=34&type=section&id=Overview%20and%20Recent%20Events) The company acquired SYU assets, restarted production, raised capital, and faces ongoing legal and regulatory challenges - On May 19, 2025, the company announced it had **restarted production at SYU** as of May 15, 2025, and completed its pipeline anomaly repair program[198](index=198&type=chunk) - In May 2025, the company closed an upsized public offering of 10 million shares, raising approximately **$282.6 million in net proceeds**[193](index=193&type=chunk) - The company is engaged in legal disputes with the California Coastal Commission, which has imposed an **$18.0 million administrative penalty** that the company is contesting[205](index=205&type=chunk) [Results of Operations](index=38&type=section&id=Results%20of%20Operations) Q2 2025 net loss decreased to $128.1 million due to warrant value changes, despite significant increases in operating and G&A expenses Comparison of Operating Results (Successor, Q2 2025 vs Q2 2024, in thousands) | Account | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Operations and maintenance expenses | $50,398 | $26,294 | 91.7% | | General and administrative expenses | $75,318 | $33,217 | 126.7% | | Loss from operations | $(128,888) | $(62,235) | 107.1% | | Change in fair value of warrant liabilities | $(27,146) | $81,178 | nm | | Net loss | $(128,066) | $(165,436) | (22.6)% | - The increase in Q2 2025 G&A expenses was primarily due to **$35.7 million in higher restart-related incentive compensation costs** and $7.8 million in higher legal costs[217](index=217&type=chunk) [Liquidity and Capital Resources](index=42&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity depends on equity offerings to cover expenses and refinance a term loan maturing in January 2026, raising going concern doubts - The restart of production triggered an **acceleration of the Senior Secured Term Loan's maturity date to January 10, 2026**, requiring it to be refinanced[227](index=227&type=chunk)[232](index=232&type=chunk) - Management estimates remaining start-up expenses of approximately **$66.6 million** are needed to commence sales of production, anticipated in Q3 2025[229](index=229&type=chunk) - For the six months ended June 30, 2025, net cash used in operating activities was **$142.9 million**, while net cash provided by financing activities was **$282.9 million**[234](index=234&type=chunk)[238](index=238&type=chunk) [Item 3. Quantitative and Qualitative Disclosures about Market Risk](index=48&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) As a smaller reporting company, this section is not required - As a smaller reporting company, Sable Offshore Corp. is **not required to provide** quantitative and qualitative disclosures about market risk[264](index=264&type=chunk) [Item 4. Controls and Procedures](index=48&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of June 30, 2025, with no material changes - The CEO and CFO concluded that as of June 30, 2025, the company's disclosure controls and procedures were **effective at the reasonable assurance level**[266](index=266&type=chunk) - **No changes in internal controls** over financial reporting occurred during the quarter that have materially affected, or are reasonably likely to materially affect, these controls[267](index=267&type=chunk) PART II – OTHER INFORMATION [Item 1. Legal Proceedings](index=49&type=section&id=Item%201.%20Legal%20Proceedings) This section refers to Note 8 of the financial statements for details on material legal proceedings - For a full description of material pending legal and regulatory matters, the report refers to **Part I, Item 1, Note 8 — Commitments and Contingencies**[268](index=268&type=chunk) [Item 1A. Risk Factors](index=49&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors disclosed in the 2024 Form 10-K have occurred - As of the date of this report, there have been **no material changes** to the risk factors disclosed in the company's 2024 Form 10-K[269](index=269&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=49&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities during the period - **None reported**[270](index=270&type=chunk) [Item 3. Defaults Upon Senior Securities](index=49&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) The company reported no defaults upon senior securities - **None reported**[271](index=271&type=chunk) [Item 4. Mine Safety Disclosures](index=49&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - **Not Applicable**[272](index=272&type=chunk) [Item 5. Other Information](index=49&type=section&id=Item%205.%20Other%20Information) No director or officer adopted or terminated a Rule 10b5-1 trading arrangement during the quarter - During the three months ended June 30, 2025, **no director or officer** of the Company adopted or terminated a Rule 10b5-1 trading arrangement[273](index=273&type=chunk) [Item 6. Exhibits](index=50&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed as part of the quarterly report