☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended July 31, 2025 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q 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 No. 000-22754 Urban Outfitters, Inc. (Exact Name of Registrant as Specified in Its Charter) Pennsylvania 23-2003332 (State or Other Jurisdiction of Incor ...

[Executive Summary & Key Highlights](index=1&type=section&id=Executive%20Summary%20%26%20Key%20Highlights) [Fiscal Year 2025 Performance Overview](index=1&type=section&id=Fiscal%20Year%202025%20Performance%20Overview) Matrix Service Company reported its Q4 and full-year fiscal 2025 results, highlighting a 14% year-over-year revenue growth in Q4 and improved fixed cost absorption, alongside a total backlog of $1.4 billion Q4 and Full-Year Fiscal 2025 Key Financials | Metric | Q4 FY2025 | Q4 FY2024 | FY2025 | FY2024 | | :-------------------------- | :-------- | :-------- | :------- | :------- | | Revenue | $216.4M | $189.5M | $769.3M | $728.2M | | Net loss per share | $(0.40) | $(0.16) | $(1.06) | $(0.91) | | Adjusted net loss per share | $(0.28) | $(0.14) | $(0.93) | $(1.06) | | Adjusted EBITDA | $(4.8)M | $0.2M | $(12.9)M | $(10.5)M | | Cash flow from operations | $40.7M | N/A | $117.5M | N/A | | Project awards | $186.3M | N/A | $726.0M | N/A | | Book-to-bill ratio | 0.9x | N/A | 0.9x | N/A | | Total backlog (as of June 30, 2025) | N/A | N/A | N/A | $1.4B | | Liquidity (as of June 30, 2025) | N/A | N/A | N/A | $284.5M | | Outstanding debt | N/A | N/A | N/A | $0 | [Fiscal Year 2026 Revenue Guidance](index=1&type=section&id=Fiscal%20Year%202026%20Revenue%20Guidance) Matrix Service Company issued revenue guidance for fiscal year 2026, projecting significant year-over-year growth Fiscal Year 2026 Revenue Guidance | Metric | Guidance Range | | :----- | :------------- | | Revenue | $875 - $925 million | | Implied Growth (midpoint) | 17% YoY | [Management Commentary & Strategic Outlook](index=1&type=section&id=Management%20Commentary%20%26%20Strategic%20Outlook) Management highlighted continued momentum in Q4 FY2025, driven by large projects and strong demand in Utility and Power Infrastructure. Despite macroeconomic uncertainties, the company secured multiple project awards and is focused on sustained profitable growth through organizational realignment, streamlined business, and disciplined capital allocation - Q4 momentum from large projects drove **14% YoY revenue growth** and improved fixed cost absorption[3](index=3&type=chunk) - Project awards grew **6% YoY**, primarily from the Utility and Power Infrastructure segment[3](index=3&type=chunk) - Net income in Q4 was negatively impacted by **$14.9 million** due to labor cost overruns, a contract dispute reserve, an unfavorable court decision, and restructuring costs[5](index=5&type=chunk) - FY2026 is expected to be a year of sustained growth and earnings improvement, with revenue growth of approximately **17%** at the midpoint of guidance, supported by robust backlog (85% of midpoint)[6](index=6&type=chunk) - Strategic focus on building a strong foundation for sustained profitable growth in specialty E&C markets, including organizational flattening, streamlining, and prioritizing high-growth market opportunities[7](index=7&type=chunk) [Fourth Quarter Fiscal 2025 Financial Review](index=3&type=section&id=Fourth%20Quarter%20Fiscal%202025%20Financial%20Review) [Consolidated Financial Summary](index=3&type=section&id=Consolidated%20Financial%20Summary) The company's Q4 FY2025 saw revenue growth driven by Storage and Terminal Solutions and Utility and Power Infrastructure, but gross margin declined due to project-specific issues and a legacy project adjustment. Net loss widened, and Adjusted EBITDA turned negative, significantly impacted by discrete items [Revenue and Gross Margin](index=3&type=section&id=Revenue%20and%20Gross%20Margin) Q4 FY2025 revenue increased by 14% YoY to $216.4 million, primarily from Storage and Terminal Solutions and Utility and Power Infrastructure. However, gross margin decreased to 3.8% from 6.6% YoY, impacted by lower labor productivity on a crude terminal project and a $6.4 million adjustment for a legacy project in arbitration Q4 FY2025 Revenue and Gross Margin | Metric | Q4 FY2025 | Q4 FY2024 | Change (YoY) | | :---------------- | :-------- | :-------- | :----------- | | Revenue | $216.4M | $189.5M | +14% | | Gross Margin | $8.1M (3.8%) | $12.4M (6.6%) | -2.8 percentage points | - Revenue increase attributed to higher volumes in Storage and Terminal Solutions and Utility and Power Infrastructure, partially offset by Process and Industrial Facilities[8](index=8&type=chunk) - Revenue negatively impacted by **$6.4 million (3.0%)** due to lowered recovery expectations on a legacy project[8](index=8&type=chunk) - Gross margin negatively impacted by a **$6.4 million** adjustment for a legacy project and lower labor productivity on a crude terminal project[9](index=9&type=chunk) [Operating Expenses](index=3&type=section&id=Operating%20Expenses) SG&A expenses remained relatively stable in Q4 FY2025, with an increase in cash-settled stock compensation offset by lower overhead. Restructuring costs of $3.4 million were incurred as part of ongoing business streamlining efforts Q4 FY2025 Operating Expenses | Metric | Q4 FY2025 | Q4 FY2024 | | :-------------------- | :-------- | :-------- | | SG&A expenses | $17.6M | $17.3M | | Restructuring expenses | $3.4M | N/A | - Cash-settled stock compensation increased by **$1.7 million** due to stock price increase[10](index=10&type=chunk) [Net Loss and Adjusted EBITDA](index=3&type=section&id=Net%20Loss%20and%20Adjusted%20EBITDA) The company reported a wider net loss and negative Adjusted EBITDA in Q4 FY2025 compared to the prior year, with discrete items significantly impacting both metrics Q4 FY2025 Net Loss and Adjusted EBITDA | Metric | Q4 FY2025 | Q4 FY2024 | | :-------------------------- | :-------- | :-------- | | Net Loss | $(11.3)M | $(4.4)M | | Net Loss per share | $(0.40) | $(0.16) | | Adjusted Net Loss | $(7.8)M | $(3.9)M | | Adjusted Net Loss per share | $(0.28) | $(0.14) | | Adjusted EBITDA | $(4.8)M | $0.2M | - Discrete items negatively impacted net income by **$14.9 million** and Adjusted EBITDA by **$11.5 million**[11](index=11&type=chunk) [Segment Performance](index=3&type=section&id=Segment%20Performance) Segment performance in Q4 FY2025 showed mixed results: Storage and Terminal Solutions saw strong revenue growth but negative gross margin due to project issues; Utility and Power Infrastructure achieved revenue growth and improved gross margin; Process and Industrial Facilities experienced revenue and gross margin declines due to project completions and mix of work [Storage and Terminal Solutions](index=3&type=section&id=Storage%20and%20Terminal%20Solutions) This segment's revenue increased significantly by 37% in Q4 FY2025, driven by specialty vessel and LNG storage projects. However, gross margin turned negative due to lower labor productivity on a crude terminal project and a $6.4 million reduction from a legacy project in arbitration Q4 FY2025 Storage and Terminal Solutions Performance | Metric | Q4 FY2025 | Q4 FY2024 | Change (YoY) | | :---------------- | :-------- | :-------- | :----------- | | Revenue | $96.1M | $70.0M | +37% | | Gross Margin | (1.1)% | 3.1% | -4.2 percentage points | - Revenue increase due to increased volume of work for specialty vessel and LNG storage projects[12](index=12&type=chunk) - Gross margin impacted by **$3.8 million** reduction from lower labor productivity on a crude terminal project and **$6.4 million** decrease from a legacy project[13](index=13&type=chunk) [Utility and Power Infrastructure](index=4&type=section&id=Utility%20and%20Power%20Infrastructure) The Utility and Power Infrastructure segment reported a 12% revenue increase in Q4 FY2025, benefiting from natural gas peak shaving projects. Gross margin significantly improved to 9.1% due to strong project execution and better overhead absorption, despite a charge from an unfavorable court decision Q4 FY2025 Utility and Power Infrastructure Performance | Metric | Q4 FY2025 | Q4 FY2024 | Change (YoY) | | :---------------- | :-------- | :-------- | :----------- | | Revenue | $73.0M | $65.3M | +12% | | Gross Margin | 9.1% | 4.2% | +4.9 percentage points | - Revenue increase from higher volume of work associated with natural gas peak shaving projects[14](index=14&type=chunk) - Gross margin improvement due to strong project execution and improved construction overhead cost absorption[14](index=14&type=chunk) - Gross margin impacted by a **$1.3 million** charge related to an unfavorable court decision[14](index=14&type=chunk) [Process and Industrial Facilities](index=4&type=section&id=Process%20and%20Industrial%20Facilities) This segment experienced a revenue decrease in Q4 FY2025, primarily due to the completion of a large renewable diesel project and lower volumes for thermal vacuum chambers. Gross margin also declined significantly due to changes in work mix Q4 FY2025 Process and Industrial Facilities Performance | Metric | Q4 FY2025 | Q4 FY2024 | Change (YoY) | | :---------------- | :-------- | :-------- | :----------- | | Revenue | $47.3M | $54.2M | -12.7% | | Gross Margin | 5.9% | 15.4% | -9.5 percentage points | - Revenue decrease due to completion of a large renewable diesel project and lower thermal vacuum chamber volumes, partially offset by refinery work[15](index=15&type=chunk) - Gross margin decrease attributed to mix of work[15](index=15&type=chunk) [Backlog and Project Awards](index=4&type=section&id=Backlog%20and%20Project%20Awards) As of June 30, 2025, the company's total backlog stood at $1.4 billion. Q4 FY2025 project awards totaled $186.3 million, resulting in a book-to-bill ratio of 0.9x for both the quarter and the trailing twelve months, with the Utility and Power Infrastructure segment showing strong award activity Backlog and Project Awards (as of June 30, 2025) | Metric | Value | | :-------------------------- | :---------- | | Total backlog | $1.4 billion | | Q4 FY2025 Project awards | $186.3 million | | Q4 FY2025 Book-to-bill ratio | 0.9x | | Trailing twelve-month book-to-bill ratio | 0.9x | | Utility and Power Infrastructure Q4 book-to-bill ratio | 1.7x | Awards, Book-to-Bill, and Backlog by Segment (Q4 and FY2025) | Segment | Q4 FY2025 Awards | Q4 FY2025 Book-to-Bill | FY2025 Awards | FY2025 Book-to-Bill | Backlog as of June 30, 2025 | | :------------------------------ | :----------------- | :--------------------- | :---------------- | :-------------------- | :-------------------------- | | Storage and Terminal Solutions | $18,415 | 0.2x | $337,731 | 0.9x | $770,095 | | Utility and Power Infrastructure | $121,885 | 1.7x | $215,378 | 0.9x | $346,384 | | Process and Industrial Facilities | $46,020 | 1.0x | $172,918 | 1.1x | $265,629 | | **Total** | **$186,320** | **0.9x** | **$726,027** | **0.9x** | **$1,382,108** | [Financial Position and Liquidity](index=4&type=section&id=Financial%20Position%20and%20Liquidity) Matrix Service Company generated $40.7 million in net cash from operating activities in Q4 FY2025. The company's liquidity improved to $284.5 million as of June 30, 2025, comprising unrestricted cash and credit facility availability, with no outstanding debt Financial Position Highlights (as of June 30, 2025) | Metric | Value | | :------------------------------------ | :---------- | | Net cash provided by operating activities (Q4 FY2025) | $40.7 million | | Total liquidity | $284.5 million | | Unrestricted cash and cash equivalents | $224.6 million | | Borrowing availability under credit facility | $59.8 million | | Outstanding debt | $0 | [Fiscal Year 2026 Financial Outlook](index=4&type=section&id=Fiscal%20Year%202026%20Financial%20Outlook) [Revenue Guidance](index=4&type=section&id=Revenue%20Guidance) Matrix Service Company provided its revenue guidance for fiscal year 2026, projecting revenue between $875 million and $925 million, representing a 14% to 20% increase from fiscal year 2025. This guidance is subject to various market and policy factors Fiscal Year 2026 Revenue Guidance | Metric | FY2025 Actual | FY2026 Guidance | % Increase | | :----- | :------------ | :-------------- | :--------- | | Revenue | $769.3 million | $875 - $925 million | 14% - 20% | - Guidance reflects current expectations and beliefs, subject to factors like project award timing, market fundamentals, client decision-making, and federal trade/environmental policy uncertainty[19](index=19&type=chunk) [Corporate Information](index=6&type=section&id=Corporate%20Information) [Conference Call Details](index=6&type=section&id=Conference%20Call%20Details) Matrix Service Company will host a conference call on September 10, 2025, to discuss earnings, with live audio-visual webcast and dial-in options available for investors, and a replay accessible afterward - Conference call date: Wednesday, September 10, 2025, at **10:30 a.m. (Eastern) / 9:30 a.m. (Central)**[21](index=21&type=chunk) - Webcast link: https://edge.media-server.com/mmc/p/kpvqqb4d and Company's website[22](index=22&type=chunk) - Dial-in registration: https://register-conf.media-server.com/register/BI698998b7627243029abf6987cd1d9aa8. Replay available on Investor Relations page[23](index=23&type=chunk)[24](index=24&type=chunk) [About Matrix Service Company](index=6&type=section&id=About%20Matrix%20Service%20Company) Matrix Service Company is a leading specialty engineering and construction firm providing infrastructure solutions to energy and industrial markets, known for safety, quality, and integrity. Headquartered in Tulsa, Oklahoma, it operates globally and reports financial results across three key segments: Utility and Power Infrastructure, Process and Industrial Facilities, and Storage and Terminal Solutions - Leading specialty engineering and construction company providing infrastructure solutions to energy and industrial markets[25](index=25&type=chunk) - Headquartered in Tulsa, Oklahoma, with offices in the US, Canada, Australia, and South Korea[26](index=26&type=chunk) - Operates in three key segments: Utility and Power Infrastructure, Process and Industrial Facilities, and Storage and Terminal Solutions[26](index=26&type=chunk) [Forward-Looking Statements](index=6&type=section&id=Forward-Looking%20Statements) The release contains forward-looking statements subject to risks and uncertainties that may cause actual results to differ materially from current expectations. The company undertakes no obligation to update this information, except as required by law - Statements are made in reliance upon safe harbor provisions of the Private Securities Litigation Reform Act of 1995[27](index=27&type=chunk) - Future events involve risks and uncertainties that may cause actual results to differ materially[27](index=27&type=chunk) - Company undertakes no obligation to update information, except as required by law[27](index=27&type=chunk) [Investor Relations Contact](index=6&type=section&id=Investor%20Relations%20Contact) Contact information for investor relations is provided for inquiries - Contact: Kellie Smythe, Senior Director, Investor Relations, Marketing, Communications & Sustainability[28](index=28&type=chunk)[29](index=29&type=chunk) - Email: ksmythe@matrixservicecompany.com[29](index=29&type=chunk) [Consolidated Financial Statements](index=8&type=section&id=Consolidated%20Financial%20Statements) [Consolidated Statements of Income](index=8&type=section&id=Consolidated%20Statements%20of%20Income) This section presents the consolidated statements of income for the three months and fiscal years ended June 30, 2025, and 2024, detailing revenue, cost of revenue, gross profit, operating expenses, and net loss Consolidated Statements of Income (In thousands, except per share data) | Metric | Q4 FY2025 | Q4 FY2024 | FY2025 | FY2024 | | :----------------------------------- | :-------- | :-------- | :------- | :------- | | Revenue | $216,377 | $189,499 | $769,286 | $728,213 | | Cost of revenue | $208,255 | $177,052 | $729,609 | $687,740 | | Gross profit | $8,122 | $12,447 | $39,677 | $40,473 | | Selling, general and administrative expenses | $17,581 | $17,293 | $71,173 | $70,085 | | Restructuring costs | $3,448 | $501 | $3,572 | $501 | | Operating loss | $(12,907) | $(5,347) | $(35,068) | $(30,113) | | Net loss | $(11,272) | $(4,377) | $(29,462) | $(24,976) | | Basic loss per common share | $(0.40) | $(0.16) | $(1.06) | $(0.91) | | Diluted loss per common share | $(0.40) | $(0.16) | $(1.06) | $(0.91) | [Consolidated Balance Sheets](index=9&type=section&id=Consolidated%20Balance%20Sheets) This section provides the consolidated balance sheets as of June 30, 2025, and 2024, detailing assets, liabilities, and stockholders' equity Consolidated Balance Sheets (In thousands) | Metric | June 30, 2025 | June 30, 2024 | | :-------------------------------------------------- | :-------------- | :-------------- | | **Assets:** | | | | Cash and cash equivalents | $224,641 | $115,615 | | Accounts receivable, net of allowance for credit losses | $154,994 | $138,987 | | Costs and estimated earnings in excess of billings on uncompleted contracts | $29,764 | $33,893 | | Inventories | $5,917 | $8,839 | | Income taxes receivable | $110 | $180 | | Prepaid expenses and other current assets | $4,347 | $4,077 | | Total current assets | $419,773 | $301,591 | | Restricted cash | $25,000 | $25,000 | | Property, plant and equipment, net | $42,097 | $43,498 | | Operating lease right-of-use assets | $17,827 | $19,150 | | Goodwill | $29,047 | $29,023 | | Other intangible assets, net of accumulated amortization | $555 | $1,651 | | Other assets, non-current | $65,957 | $31,438 | | **Total assets** | **$600,256** | **$451,351** | | **Liabilities and stockholders' equity:** | | | | Accounts payable | $80,453 | $65,629 | | Billings on uncompleted contracts in excess of costs and estimated earnings | $323,593 | $171,308 | | Accrued wages and benefits | $18,961 | $15,878 | | Accrued insurance | $5,310 | $4,605 | | Operating lease liabilities (current) | $4,441 | $3,739 | | Other accrued expenses | $3,617 | $3,956 | | Total current liabilities | $436,375 | $265,115 | | Deferred income taxes | $25 | $25 | | Operating lease liabilities (non-current) | $16,986 | $19,156 | | Other liabilities, non-current | $4,154 | $2,873 | | **Total liabilities** | **$457,540** | **$287,169** | | Total stockholders' equity | $142,716 | $164,182 | | **Total liabilities and stockholders' equity** | **$600,256** | **$451,351** | [Condensed Consolidated Statements of Cash Flows](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This section presents the condensed consolidated statements of cash flows for the three months and fiscal years ended June 30, 2025, and 2024, outlining cash flows from operating, investing, and financing activities Condensed Consolidated Statements of Cash Flows (In thousands) | Metric | Q4 FY2025 | Q4 FY2024 | FY2025 | FY2024 | | :------------------------------------------ | :-------- | :-------- | :------- | :------- | | Net cash provided by operating activities | $40,708 | $47,004 | $117,471 | $72,571 | | Net cash used by investing activities | $(2,257) | $(791) | $(7,445) | $(945) | | Net cash provided (used) by financing activities | $46 | $(48) | $(1,040) | $(10,372) | | Net increase in cash and cash equivalents | $39,100 | $45,957 | $109,026 | $60,803 | | Cash, cash equivalents and restricted cash, end of period | $249,641 | $140,615 | $249,641 | $140,615 | [Supplemental Financial Data](index=12&type=section&id=Supplemental%20Financial%20Data) [Segment Results of Operations (Detailed)](index=12&type=section&id=Segment%20Results%20of%20Operations%20%28Detailed%29) This section provides a detailed breakdown of revenue, cost of revenue, gross profit/loss, SG&A, restructuring costs, and operating income/loss for each of the three operating segments (Storage and Terminal Solutions, Utility and Power Infrastructure, Process and Industrial Facilities) and Corporate for both the three months and fiscal years ended June 30, 2025, and 2024 Segment Results of Operations (Three Months Ended June 30, 2025, In thousands) | Segment | Total Revenue | Gross Profit (Loss) | Operating Income (Loss) | | :------------------------------ | :------------ | :------------------ | :---------------------- | | Storage and Terminal Solutions | $96,091 | $(1,045) | $(7,426) | | Utility and Power Infrastructure | $73,027 | $6,662 | $3,778 | | Process and Industrial Facilities | $47,259 | $2,784 | $(62) | | Corporate | $— | $(279) | $(9,197) | | **Total** | **$216,377** | **$8,122** | **$(12,907)** | Segment Results of Operations (Fiscal Year Ended June 30, 2025, In thousands) | Segment | Total Revenue | Gross Profit (Loss) | Operating Income (Loss) | | :------------------------------ | :------------ | :------------------ | :---------------------- | | Storage and Terminal Solutions | $365,891 | $14,655 | $(9,206) | | Utility and Power Infrastructure | $248,691 | $16,915 | $3,834 | | Process and Industrial Facilities | $154,704 | $8,910 | $479 | | Corporate | $— | $(803) | $(30,175) | | **Total** | **$769,286** | **$39,677** | **$(35,068)** | [Backlog Changes (Detailed)](index=13&type=section&id=Backlog%20Changes%20%28Detailed%29) This section defines backlog and provides detailed tables summarizing changes in backlog by segment for the three months and fiscal year ended June 30, 2025, including project awards and revenue recognized - Backlog is defined as the total dollar amount of revenue expected from awarded work (signed contract, limited notice to proceed, or other firm assurance)[41](index=41&type=chunk) Backlog Changes (Three Months Ended June 30, 2025, In thousands) | Segment | Backlog as of March 31, 2025 | Project Awards | Revenue Recognized | Backlog as of June 30, 2025 | Book-to-Bill Ratio | | :------------------------------ | :--------------------------- | :------------- | :----------------- | :-------------------------- | :----------------- | | Storage and Terminal Solutions | $847,771 | $18,415 | $(96,091) | $770,095 | 0.2x | | Utility and Power Infrastructure | $297,526 | $121,885 | $(73,027) | $346,384 | 1.7x | | Process and Industrial Facilities | $266,868 | $46,020 | $(47,259) | $265,629 | 1.0x | | **Total** | **$1,412,165** | **$186,320** | **$(216,377)** | **$1,382,108** | **0.9x** | Backlog Changes (Fiscal Year Ended June 30, 2025, In thousands) | Segment | Backlog as of June 30, 2024 | Project Awards | Other Adjustment | Revenue Recognized | Backlog as of June 30, 2025 | Book-to-Bill Ratio | | :------------------------------ | :-------------------------- | :------------- | :--------------- | :----------------- | :-------------------------- | :----------------- | | Storage and Terminal Solutions | $798,255 | $337,731 | $— | $(365,891) | $770,095 | 0.9x | | Utility and Power Infrastructure | $379,697 | $215,378 | $— | $(248,691) | $346,384 | 0.9x | | Process and Industrial Facilities | $251,521 | $172,918 | $(4,106) | $(154,704) | $265,629 | 1.1x | | **Total** | **$1,429,473** | **$726,027** | **$(4,106)** | **$(769,286)** | **$1,382,108** | **0.9x** | - Backlog was reduced by **$4.1 million** due to the closure of a customer's facility in the Process and Industrial Facilities segment[43](index=43&type=chunk)[44](index=44&type=chunk) [Non-GAAP Financial Measures](index=14&type=section&id=Non-GAAP%20Financial%20Measures) This section defines and reconciles non-GAAP financial measures, Adjusted Net Loss and Adjusted EBITDA, to their most directly comparable GAAP measures. It also outlines the limitations of these non-GAAP metrics [Adjusted Net Loss Reconciliation](index=14&type=section&id=Adjusted%20Net%20Loss%20Reconciliation) Adjusted Net Loss is presented as Net loss before gain on sale of assets and the tax impact of these adjustments, aiming to better depict core operating results. The reconciliation shows the adjustments made for restructuring costs and gain on sale of assets - Adjusted Net Loss is defined as Net loss before gain on sale of assets and the tax impact of these adjustments, used to better depict core operating results[46](index=46&type=chunk) Reconciliation of Net Loss to Adjusted Net Loss (In thousands, except per share data) | Metric | Q4 FY2025 | Q4 FY2024 | FY2025 | FY2024 | | :---------------------------------- | :-------- | :-------- | :------- | :------- | | Net loss, as reported | $(11,272) | $(4,377) | $(29,462) | $(24,976) | | Restructuring costs | $3,448 | $501 | $3,572 | $501 | | Gain on sale of assets | $— | $— | $— | $(4,542) | | Tax impact of adjustments and other net tax items | $— | $— | $— | $— | | **Adjusted net loss** | **$(7,824)** | **$(3,876)** | **$(25,890)** | **$(29,017)** | | Loss per fully diluted share, as reported | $(0.40) | $(0.16) | $(1.06) | $(0.91) | | **Adjusted loss per fully diluted share** | **$(0.28)** | **$(0.14)** | **$(0.93)** | **$(1.06)** | - Limitations include the exclusion of gain on sale of assets (material cash inflow) and restructuring costs (material, often cash expenses)[50](index=50&type=chunk) [Adjusted EBITDA Reconciliation](index=15&type=section&id=Adjusted%20EBITDA%20Reconciliation) Adjusted EBITDA is defined as net loss before gain on sale of assets, stock-based compensation, interest expense, interest income, income taxes, and depreciation and amortization. It is used by the financial community to measure performance and evaluate market value, with a detailed reconciliation provided - Adjusted EBITDA is defined as net loss before gain on sale of assets, stock-based compensation, interest expense, interest income, income taxes, and depreciation and amortization[51](index=51&type=chunk) Reconciliation of Net Loss to Adjusted EBITDA (In thousands) | Metric | Q4 FY2025 | Q4 FY2024 | FY2025 | FY2024 | | :-------------------------------------------------- | :-------- | :-------- | :------- | :------- | | Net loss | $(11,272) | $(4,377) | $(29,462) | $(24,976) | | Interest expense | $150 | $343 | $518 | $1,130 | | Interest income | $(1,984) | $(862) | $(6,652) | $(1,339) | | Provision (benefit) for federal, state and foreign income taxes | $448 | $(40) | $464 | $(36) | | Depreciation and amortization | $2,474 | $2,686 | $10,012 | $11,023 | | Gain on sale of assets | $— | $— | $— | $(4,542) | | Restructuring costs | $3,217 | $501 | $3,341 | $501 | | Stock-based compensation | $2,150 | $1,980 | $8,904 | $7,745 | | **Adjusted EBITDA** | **$(4,817)** | **$231** | **$(12,875)** | **$(10,494)** | - Limitations include the exclusion of interest expense, interest income, income taxes, depreciation/amortization, gain on asset sales, restructuring costs, and equity-settled stock-based compensation[52](index=52&type=chunk)

EDITORIAL CONTACT: Exhibit 99.1 PRESS RELEASE INVESTOR CONTACT: Tushar Jain Synopsys, Inc. 650-584-4289 Synopsys-ir@synopsys.com • Quarterly revenue of $1.740 billion, up 14% year-over-year (YoY) • Quarterly GAAP earnings per diluted share of $1.50; non-GAAP earnings per diluted share of $3.39 • Results reflect the closing of Ansys acquisition on July 17, 2025 • Expecting full-year 2025 revenue between $7.03 and $7.06 billion dollars as Synopsys transformation continues "In Q3, strength in Design Automation ...

[Fiscal Year 2026 First Quarter Overview](index=1&type=section&id=Fiscal%20Year%202026%20First%20Quarter%20Overview) Oracle's Q1 FY26 results show strong Cloud revenue growth and a significant increase in Remaining Performance Obligations [Key Financial Highlights](index=1&type=section&id=1.1%20Key%20Financial%20Highlights) Oracle reported strong Q1 FY26 financial results, driven by significant Cloud revenue growth and increased Remaining Performance Obligations Key Financial Metrics | Metric | Q1 FY26 (USD) | YoY Change (USD) | YoY Change (Constant Currency) | | :-------------------------------- | :-------------- | :--------------- | :----------------------------- | | Total Remaining Performance Obligations | $455 billion | 359% | 359% | | Total Quarterly Revenues | $14.9 billion | 12% | 11% | | Cloud Revenues | $7.2 billion | 28% | 27% | | Software Revenues | $5.7 billion | (1%) | (2%) | | GAAP Operating Income | $4.3 billion | - | - | | Non-GAAP Operating Income | $6.2 billion | 9% | 7% | | GAAP Net Income | $2.9 billion | - | - | | Non-GAAP Net Income | $4.3 billion | 8% | 6% | | GAAP EPS | $1.01 | (2%) | (5%) | | Non-GAAP EPS | $1.47 | 6% | 4% | | Short-term Deferred Revenues | $12.1 billion | - | - | | LTM Operating Cash Flow | $21.5 billion | 13% | - | - Cloud Infrastructure (IaaS) Revenue grew **55% in USD** (**54% in constant currency**) to **$3.3 billion**[6](index=6&type=chunk) - Cloud Application (SaaS) Revenue grew **11% in USD** (**10% in constant currency**) to **$3.8 billion**[6](index=6&type=chunk) [Management Commentary and Strategic Outlook](index=1&type=section&id=1.2%20Management%20Commentary%20and%20Strategic%20Outlook) Management highlighted significant RPO growth driven by multi-billion dollar contracts, projected strong OCI expansion, and announced a new Oracle AI Database service - Oracle signed four multi-billion-dollar contracts in Q1, leading to a **359% increase in RPO** to **$455 billion**[5](index=5&type=chunk) - Oracle Cloud Infrastructure (OCI) revenue is projected to grow **77% to $18 billion** in FY26, and further to **$144 billion** over the subsequent four years[5](index=5&type=chunk) - MultiCloud database revenue from Amazon, Google, and Microsoft surged by **1,529% in Q1**, with plans to deliver 37 more datacenters to hyperscaler partners[5](index=5&type=chunk) - Oracle will introduce a new 'Oracle AI Database' Cloud Infrastructure service, enabling customers to use various Large Language Models directly on Oracle Database for data access and analysis[5](index=5&type=chunk) [Dividend Declaration](index=1&type=section&id=1.3%20Dividend%20Declaration) Oracle's board of directors declared a quarterly cash dividend of $0.50 per share of outstanding common stock - A quarterly cash dividend of **$0.50 per share** of common stock was declared, payable on October 23, 2025, to stockholders of record as of October 9, 2025[5](index=5&type=chunk) [Company Information and Disclosures](index=2&type=section&id=Company%20Information%20and%20Disclosures) This section provides an overview of Oracle's business, forward-looking statements, and available investor resources [About Oracle](index=2&type=section&id=2.1%20About%20Oracle) Oracle Corporation provides integrated suites of applications and secure, autonomous infrastructure within the Oracle Cloud, with trademarks including Oracle, Java, MySQL, and NetSuite - Oracle offers integrated application suites and secure, autonomous infrastructure in the Oracle Cloud[9](index=9&type=chunk) - Key trademarks include Oracle, Java, MySQL, and NetSuite, with NetSuite recognized as the first cloud company[9](index=9&type=chunk) [Safe Harbor Statement](index=2&type=section&id=2.2%20Safe%20Harbor%20Statement) The report contains forward-looking statements subject to material risks and uncertainties, including product development, cloud management, and cybersecurity concerns - Statements about future plans, expectations, and growth (e.g., RPO, OCI, MultiCloud revenue) are forward-looking and subject to risks[10](index=10&type=chunk) - Risks include developing new products, managing cloud/hardware offerings, securing datacenter capacity, coding errors, acquisitions, government contracts, economic conditions, IT failures, and cybersecurity breaches[10](index=10&type=chunk) [Additional Information and Resources](index=2&type=section&id=2.3%20Additional%20Information%20and%20Resources) Oracle provides various online resources for investors, customers, and analysts, including SEC filings, technical innovations, and analyst reports - A list of recent technical innovations and announcements is available at www.oracle.com/news/[11](index=11&type=chunk) - Industry analyst reports on Oracle's products and services can be found at www.oracle.com/corporate/analyst-reports/[11](index=11&type=chunk) - SEC filings are available online from the SEC or Oracle's Investor Relations website[10](index=10&type=chunk) [Condensed Consolidated Financial Statements (GAAP)](index=3&type=section&id=Condensed%20Consolidated%20Financial%20Statements%20(GAAP)) This section presents Oracle's GAAP financial statements, including statements of operations, balance sheets, and cash flows [Condensed Consolidated Statements of Operations](index=3&type=section&id=3.1%20Condensed%20Consolidated%20Statements%20of%20Operations) Oracle's Q1 FY26 GAAP operating income increased despite rising operating expenses, while net income remained flat and diluted EPS slightly decreased GAAP Statements of Operations (in millions USD) | Metric (in millions) | Q1 FY26 (2025) | Q1 FY25 (2024) | YoY Change (US $) | YoY Change (Constant Currency) | | :------------------- | :------------- | :------------- | :---------------- | :----------------------------- | | Total Revenues | $14,926 | $13,307 | 12% | 11% | | Cloud Revenues | $7,186 | $5,623 | 28% | 27% | | Software Revenues | $5,721 | $5,766 | (1%) | (2%) | | Total Operating Expenses | $10,649 | $9,316 | 14% | 14% | | Operating Income | $4,277 | $3,991 | 7% | 4% | | Net Income | $2,927 | $2,929 | 0% | (4%) | | Diluted EPS | $1.01 | $1.03 | (2%) | (5%) | - Cloud and software operating expenses increased by **39% to $3.607 billion**, while restructuring expenses surged by **448% to $402 million**[13](index=13&type=chunk) - Provision for income taxes increased by **108% to $500 million**, partly due to the 'One, Big, Beautiful Bill Act'[13](index=13&type=chunk) [Condensed Consolidated Balance Sheets](index=6&type=section&id=3.2%20Condensed%20Consolidated%20Balance%20Sheets) Oracle's total assets increased to **$180.4 billion** as of August 31, 2025, driven by property, plant and equipment, with a corresponding rise in total liabilities GAAP Balance Sheets (in millions USD) | Metric (in millions) | August 31, 2025 | May 31, 2025 | | :------------------- | :-------------- | :----------- | | Total Current Assets | $24,634 | $24,579 | | Property, plant and equipment, net | $53,194 | $43,522 | | Total Non-Current Assets | $155,815 | $143,782 | | TOTAL ASSETS | $180,449 | $168,361 | | Total Current Liabilities | $39,874 | $32,643 | | Total Non-Current Liabilities | $115,909 | $114,749 | | Stockholders' Equity | $24,666 | $20,969 | | TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $180,449 | $168,361 | - Property, plant and equipment, net, increased by **$9.672 billion** from May 31, 2025, to August 31, 2025[21](index=21&type=chunk) - Deferred revenues (current liability) increased by **$2.711 billion** to **$12.098 billion**[21](index=21&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=3.3%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Q1 FY26 saw increased net cash from operating activities, but a significant rise in capital expenditures led to a substantial increase in net cash used for investing activities GAAP Statements of Cash Flows (in millions USD) | Metric (in millions) | Q1 FY26 (2025) | Q1 FY25 (2024) | | :------------------- | :------------- | :------------- | | Net cash provided by operating activities | $8,140 | $7,427 | | Net cash used for investing activities | $(8,718) | $(2,765) | | Net cash provided by (used for) financing activities | $210 | $(4,585) | | Net (decrease) increase in cash and cash equivalents | $(341) | $162 | | Cash and cash equivalents at end of period | $10,445 | $10,616 | - Capital expenditures dramatically increased to **$8.502 billion** in Q1 FY26 from **$2.303 billion** in Q1 FY25[23](index=23&type=chunk) - Proceeds from issuances of common stock were **$1.170 billion** in Q1 FY26, compared to **$179 million** in Q1 FY25[23](index=23&type=chunk) [Non-GAAP Financial Measures and Reconciliations](index=4&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) This section details Oracle's non-GAAP financial measures, their reconciliation to GAAP, and the rationale for their use [Reconciliation of Selected GAAP Measures to Non-GAAP Measures](index=4&type=section&id=4.1%20Reconciliation%20of%20Selected%20GAAP%20Measures%20to%20Non-GAAP%20Measures) Oracle reconciles GAAP to non-GAAP measures by adjusting for items like stock-based compensation and restructuring, resulting in higher non-GAAP operating income and net income GAAP to Non-GAAP Reconciliation (in millions USD) | Metric (in millions) | GAAP Q1 FY26 | Non-GAAP Q1 FY26 | GAAP Q1 FY25 | Non-GAAP Q1 FY25 | Non-GAAP YoY Change (US $) | Non-GAAP YoY Change (Constant Currency) | | :------------------- | :----------- | :--------------- | :----------- | :--------------- | :------------------------- | :-------------------------------------- | | Total Revenues | $14,926 | $14,926 | $13,307 | $13,307 | 12% | 11% | | Total Operating Expenses | $10,649 | $8,690 | $9,316 | $7,599 | 14% | 14% |\ | Operating Income | $4,277 | $6,236 | $3,991 | $5,708 | 9% | 7% | | Operating Margin % | 29% | 42% | 30% | 43% | (111) bp. | (144) bp. | | Net Income | $2,927 | $4,283 | $2,929 | $3,964 | 8% | 6% | | Diluted EPS | $1.01 | $1.47 | $1.03 | $1.39 | 6% | 4% | - Key adjustments for non-GAAP calculations in Q1 FY26 included **$1.124 billion** for stock-based compensation, **$420 million** for amortization of intangible assets, **$13 million** for acquisition-related and other expenses, and **$402 million** for restructuring[15](index=15&type=chunk) - The effective non-GAAP tax rate for Q1 FY26 was **20.5%**, compared to the GAAP tax rate of **14.6%**[16](index=16&type=chunk) [Free Cash Flow - Trailing 4-Quarters](index=8&type=section&id=4.2%20Free%20Cash%20Flow%20-%20Trailing%204-Quarters) Trailing 4-quarter GAAP operating cash flow grew to **$21.534 billion**, but free cash flow turned negative due to a substantial increase in capital expenditures Trailing 4-Quarters Free Cash Flow (in millions USD) | Metric (in millions) | Q1 FY25 | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | | :------------------- | :------ | :------ | :------ | :------ | :------ | | GAAP Operating Cash Flow | $19,126 | $20,287 | $20,745 | $20,821 | $21,534 | | Capital Expenditures | $(7,855) | $(10,745) | $(14,933) | $(21,215) | $(27,414) | | Free Cash Flow | $11,271 | $9,542 | $5,812 | $(394) | $(5,880) | | Operating Cash Flow % Growth over prior year | 8% | 19% | 14% | 12% | 13% | | Free Cash Flow % Growth over prior year | 19% | (6%) | (53%) | (103%) | (152%) | - Free Cash Flow as a % of Net Income was **(47%)** in Q1 FY26, down from **103%** in Q1 FY25, reflecting increased capital investments[25](index=25&type=chunk) [Explanation of Non-GAAP Measures](index=11&type=section&id=4.3%20Explanation%20of%20Non-GAAP%20Measures) Oracle utilizes non-GAAP measures to present core business performance by excluding specific non-recurring or non-cash items, aiding internal evaluation and forecasting - Non-GAAP measures exclude stock-based compensation, amortization of intangible assets, acquisition-related and other expenses, restructuring expenses, and the tax impact of the 'One, Big, Beautiful Bill Act'[31](index=31&type=chunk)[32](index=32&type=chunk)[33](index=33&type=chunk)[34](index=34&type=chunk) - These adjustments are made to help understand past financial performance, future results, and to provide a framework for assessing underlying business performance[31](index=31&type=chunk) - The 'One, Big, Beautiful Bill Act' (OBBBA), signed into law on July 4, 2025, resulted in a net tax expense of **$958 million** in Q1 FY26, which is excluded from non-GAAP income taxes and net income[34](index=34&type=chunk) [Supplemental Analysis of GAAP Revenues](index=9&type=section&id=Supplemental%20Analysis%20of%20GAAP%20Revenues) This section provides a detailed breakdown of Oracle's GAAP revenues by offerings and geographic regions [Revenues by Offerings](index=9&type=section&id=5.1%20Revenues%20by%20Offerings) Oracle's total revenues grew **12%** to **$14.926 billion** in Q1 FY26, primarily driven by strong Cloud revenue growth, despite a slight decline in software revenues Revenues by Offerings (in millions USD) | Revenue Category (in millions) | Q1 FY26 | Q1 FY25 | YoY Growth (US $) | YoY Growth (Constant Currency) | | :----------------------------- | :------ | :------ | :---------------- | :----------------------------- | | Cloud | $7,186 | $5,623 | 28% | 27% | | Software license | $766 | $870 | (12%) | (13%) | | Software support | $4,955 | $4,896 | 1% | (1%) | | Software (Total) | $5,721 | $5,766 | (1%) | (2%) | | Hardware | $670 | $655 | 2% | 1% | | Services | $1,349 | $1,263 | 7% | 5% | | Total revenues | $14,926 | $13,307 | 12% | 11% | [Cloud Revenues by Offerings](index=9&type=section&id=5.2%20Cloud%20Revenues%20by%20Offerings) Cloud revenues showed robust growth, with Cloud Infrastructure (IaaS) leading at **55%** to **$3.347 billion**, complemented by Cloud Applications (SaaS) growth Cloud Revenues by Offerings (in millions USD) | Cloud Revenue Category (in millions) | Q1 FY26 | Q1 FY25 | YoY Growth (US $) | YoY Growth (Constant Currency) | | :----------------------------------- | :------ | :------ | :---------------- | :----------------------------- | | Cloud applications | $3,839 | $3,469 | 11% | 10% | | Cloud infrastructure | $3,347 | $2,154 | 55% | 54% | | Total cloud revenues | $7,186 | $5,623 | 28% | 27% | [Geographic Revenues](index=9&type=section&id=5.3%20Geographic%20Revenues) The Americas remained Oracle's largest revenue contributor with **15%** growth, while Europe/Middle East/Africa and Asia Pacific also demonstrated positive revenue increases Geographic Revenues (in millions USD) | Geographic Region (in millions) | Q1 FY26 | Q1 FY25 | YoY Growth (US $) | | :------------------------------ | :------ | :------ | :---------------- | | Americas | $9,662 | $8,372 | 15% | | Europe/Middle East/Africa | $3,481 | $3,228 | 8% | | Asia Pacific | $1,783 | $1,707 | 4% | | Total revenues | $14,926 | $13,307 | 12% |

Exhibit 99.1 Lands' End Announces Second Quarter 2025 Results Increased gross margin approximately 90 basis points Reduced inventory for the ninth consecutive quarter DODGEVILLE, Wis., September 9, 2025 (GLOBE NEWSWIRE) – Lands' End, Inc. (NASDAQ: LE) today announced financial results for the second quarter ended August 1, 2025. Andrew McLean, Chief Executive Officer, stated: "As we reflect on the past several months – including the second and into the third quarter – we're seeing clear, encouraging momentu ...

[Special Note Regarding Forward-Looking Statements](index=4&type=section&id=SPECIAL%20NOTE%20REGARDING%20FORWARD-LOOKING%20STATEMENTS) [Forward-Looking Statements Overview](index=4&type=section&id=Forward-Looking%20Statements%20Overview) This section outlines forward-looking statement risks, emphasizing actual results may differ due to various factors, with no update commitment - Forward-looking statements are identified by terms like "anticipate," "believe," "expect," "will," and relate to future financial performance, product development, market competition, customer relationships, security, regulatory effects, macroeconomic events, strategic initiatives, and intellectual property[8](index=8&type=chunk)[10](index=10&type=chunk) - Investors should not rely on forward-looking statements as predictions of future events, as outcomes are subject to risks, uncertainties, and other factors detailed in the 'Risk Factors' section of this and previous filings[11](index=11&type=chunk) - The company operates in a competitive and rapidly changing environment, with new risks emerging, and does not commit to updating forward-looking statements beyond the initial filing date, except as legally required[11](index=11&type=chunk)[12](index=12&type=chunk) [PART I—FINANCIAL INFORMATION](index=6&type=section&id=PART%20I%E2%80%94FINANCIAL%20INFORMATION) [Item 1. Financial Statements (Unaudited)](index=6&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) Samsara's unaudited condensed consolidated financial statements, covering balance sheets, operations, equity, cash flows, and detailed accounting notes, are presented [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheets present the company's financial position as of August 2, 2025, showing growth in total assets and stockholders' equity | Metric | August 2, 2025 (in thousands) | February 1, 2025 (in thousands) | Change (in thousands) | % Change | | :-------------------------------- | :----------------------------- | :------------------------------ | :-------------------- | :------- | | Total assets | $2,207,099 | $2,024,302 | $182,797 | 9.03% | | Total liabilities | $992,326 | $955,106 | $37,220 | 3.90% | | Total stockholders' equity | $1,214,773 | $1,069,196 | $145,577 | 13.62% | | Cash and cash equivalents | $258,472 | $227,576 | $30,896 | 13.58% | | Short-term investments | $443,327 | $467,222 | $(23,895) | -5.11% | | Accounts receivable, net | $246,084 | $234,016 | $12,068 | 5.16% | | Deferred revenue, current | $611,314 | $563,254 | $48,060 | 8.53% | [Condensed Consolidated Statements of Operations and Comprehensive Loss](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Loss) Statements of operations show significant revenue growth and reduced net loss for the three and six months ended August 2, 2025, driven by improved gross profit | Metric | Three Months Ended August 2, 2025 (in thousands) | Three Months Ended August 3, 2024 (in thousands) | Change (in thousands) | % Change | | :----------------------------------- | :------------------------------------- | :------------------------------------- | :-------------------- | :------- | | Revenue | $391,480 | $300,202 | $91,278 | 30.40% | | Gross profit | $300,979 | $226,837 | $74,142 | 32.69% | | Loss from operations | $(26,619) | $(58,194) | $31,575 | -54.26% | | Net loss | $(16,800) | $(49,610) | $32,810 | -66.13% | | Net loss per share, basic and diluted | $(0.03) | $(0.09) | $0.06 | -66.67% | | Metric | Six Months Ended August 2, 2025 (in thousands) | Six Months Ended August 3, 2024 (in thousands) | Change (in thousands) | % Change | | :----------------------------------- | :------------------------------------- | :------------------------------------- | :-------------------- | :------- | | Revenue | $758,364 | $580,928 | $177,436 | 30.54% | | Gross profit | $584,694 | $438,938 | $145,756 | 33.21% | | Loss from operations | $(59,874) | $(124,191) | $64,317 | -51.79% | | Net loss | $(38,921) | $(105,899) | $66,978 | -63.25% | | Net loss per share, basic and diluted | $(0.07) | $(0.19) | $0.12 | -63.16% | [Condensed Consolidated Statements of Stockholders' Equity](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Stockholders'%20Equity) Statements of stockholders' equity detail changes in common stock, paid-in capital, and accumulated deficit, reflecting stock-based compensation and net loss | Metric | Three Months Ended August 2, 2025 (in thousands) | Three Months Ended August 3, 2024 (in thousands) | | :-------------------------------- | :------------------------------------- | :------------------------------------- | | Total Stockholders' Equity | $1,214,773 | $964,683 | | Additional Paid-In Capital | $2,861,440 | $2,524,042 | | Accumulated Deficit | $(1,648,926) | $(1,560,997) | | Stock-based compensation expense | $83,733 | $72,714 | | Net loss | $(16,800) | $(49,610) | | Metric | Six Months Ended August 2, 2025 (in thousands) | Six Months Ended August 3, 2024 (in thousands) | | :-------------------------------- | :------------------------------------- | :------------------------------------- | | Total Stockholders' Equity | $1,214,773 | $964,683 | | Additional Paid-In Capital | $2,861,440 | $2,524,042 | | Accumulated Deficit | $(1,648,926) | $(1,560,997) | | Stock-based compensation expense | $162,691 | $138,522 | | Net loss | $(38,921) | $(105,899) | [Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Statements of cash flows illustrate cash generation and usage across operating, investing, and financing activities, showing increased operating cash flow | Metric | Six Months Ended August 2, 2025 (in thousands) | Six Months Ended August 3, 2024 (in thousands) | Change (in thousands) | % Change | | :----------------------------------- | :------------------------------------- | :------------------------------------- | :-------------------- | :------- | | Net cash provided by operating activities | $102,773 | $41,787 | $60,986 | 145.95% | | Net cash used in investing activities | $(86,445) | $(33,238) | $(53,207) | 160.09% | | Net cash provided by financing activities | $18,043 | $15,979 | $2,064 | 12.92% | | Net increase in cash, cash equivalents, and restricted cash | $35,715 | $23,965 | $11,750 | 49.03% | | Cash, cash equivalents, and restricted cash, end of period | $281,509 | $178,703 | $102,806 | 57.53% | [Notes to Condensed Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) [1. Description of Business](index=11&type=section&id=1.%20Description%20of%20Business) Samsara Inc. operates a Connected Operations Platform to enhance efficiency, safety, and sustainability through actionable insights from integrated data - Samsara Inc. is the pioneer of the Connected Operations Platform, which integrates people, devices, and systems to provide actionable insights and improve operational efficiency, safety, and sustainability[33](index=33&type=chunk) [2. Summary of Significant Accounting Policies](index=11&type=section&id=2.%20Summary%20of%20Significant%20Accounting%20Policies) This note outlines the basis of presentation, GAAP adherence, fiscal year, consolidation principles, estimates, and recent accounting pronouncements - The financial statements are prepared in conformity with GAAP and SEC rules for interim reporting, and should be read with the annual 10-K filing[34](index=34&type=chunk) - The company's fiscal year ends on the Saturday closest to February 1, with fiscal years 2025 and 2026 consisting of 52 weeks[36](index=36&type=chunk) - The company adopted ASU No. 2023-09 (Income Taxes) on February 2, 2025, for annual income tax disclosures, and is evaluating ASU No. 2024-03 (Expense Disaggregation) and ASU No. 2025-05 (Credit Losses) for future adoption[40](index=40&type=chunk)[41](index=41&type=chunk)[42](index=42&type=chunk) [3. Cash, Cash Equivalents, Restricted Cash, and Investments](index=12&type=section&id=3.%20Cash,%20Cash%20Equivalents,%20Restricted%20Cash,%20and%20Investments) This note details the composition, fair values, and maturities of cash, cash equivalents, restricted cash, and marketable debt securities, including credit risk management | Metric | August 2, 2025 (in thousands) | February 1, 2025 (in thousands) | | :----------------------------------- | :----------------------------- | :------------------------------ | | Cash and cash equivalents | $258,472 | $227,576 | | Restricted cash | $23,037 | $18,218 | | Total cash, cash equivalents, and restricted cash | $281,509 | $245,794 | | Total investments (Estimated Fair Value) | $829,593 | $749,874 | - Restricted cash primarily consists of letters of credit secured as collateral for office space leases[45](index=45&type=chunk) - Investments in marketable debt securities are held with high-quality financial institutions with investment-grade ratings, and the company does not intend to sell securities with unrealized losses before recovery of cost basis[49](index=49&type=chunk)[51](index=51&type=chunk) [4. Fair Value Measurements](index=13&type=section&id=4.%20Fair%20Value%20Measurements) This note describes the fair value hierarchy (Level 1, 2, 3) for financial assets and presents the fair value of cash equivalents and marketable debt securities - The fair value hierarchy prioritizes inputs: Level 1 (quoted prices in active markets), Level 2 (observable inputs other than quoted prices), and Level 3 (unobservable inputs)[52](index=52&type=chunk)[53](index=53&type=chunk) | Asset Category | August 2, 2025 (in thousands) | February 1, 2025 (in thousands) | | :----------------------------------- | :----------------------------- | :------------------------------ | | Total cash equivalents and restricted cash (Fair Value) | $196,070 | $190,344 | | Total marketable debt securities (Fair Value) | $829,593 | $749,874 | - Fair values are determined using pricing from service providers and market prices from independent data providers, primarily utilizing Level 1 and Level 2 inputs[55](index=55&type=chunk) [5. Costs to Obtain and Fulfill a Contract](index=14&type=section&id=5.%20Costs%20to%20Obtain%20and%20Fulfill%20a%20Contract) This note details capitalized and amortized costs for deferred commissions and connected devices, showing increases in both categories | Metric | Three Months Ended August 2, 2025 (in thousands) | Three Months Ended August 3, 2024 (in thousands) | | :-------------------------- | :------------------------------------- | :------------------------------------- | | Capitalized commission costs | $28,816 | $19,641 | | Amortization expense (commissions) | $18,387 | $13,876 | | Capitalized connected device costs | $40,482 | $33,655 | | Amortization expense (connected devices) | $34,141 | $28,827 | | Metric | Six Months Ended August 2, 2025 (in thousands) | Six Months Ended August 3, 2024 (in thousands) | | :-------------------------- | :------------------------------------- | :------------------------------------- | | Capitalized commission costs | $52,511 | $37,689 | | Amortization expense (commissions) | $35,637 | $26,807 | | Capitalized connected device costs | $79,055 | $67,369 | | Amortization expense (connected devices) | $66,723 | $56,482 | - Total deferred commissions increased from **$209.3 million** as of February 1, 2025, to **$226.2 million** as of August 2, 2025[57](index=57&type=chunk) - Total connected device costs (current and non-current) increased from **$362.3 million** as of February 1, 2025, to **$374.6 million** as of August 2, 2025[58](index=58&type=chunk) [6. Balance Sheet Components](index=15&type=section&id=6.%20Balance%20Sheet%20Components) This note breaks down inventories and property and equipment, net, highlighting changes in finished goods and capitalized internal-use software costs | Metric | August 2, 2025 (in thousands) | February 1, 2025 (in thousands) | | :-------------------------- | :----------------------------- | :------------------------------ | | Raw materials | $7,269 | $8,452 | | Finished goods | $40,307 | $30,459 | | Total inventories | $47,576 | $38,911 | | Property and equipment, net | $70,438 | $58,151 | | Internal-use software costs | $65,834 | $51,410 | - Capitalized internal-use software costs included **$4.1 million** of stock-based compensation expense for the six months ended August 2, 2025, up from **$2.3 million** in the prior year[60](index=60&type=chunk) | Metric | Six Months Ended August 2, 2025 (in thousands) | Six Months Ended August 3, 2024 (in thousands) | | :----------------------------------- | :------------------------------------- | :------------------------------------- | | Depreciation and amortization expense | $10,541 | $9,088 | | Amortization of capitalized internal-use software costs | $6,300 | $4,000 | [7. Revenue, Accounts Receivable, Deferred Revenue, and Remaining Performance Obligations](index=16&type=section&id=7.%20Revenue,%20Accounts%20Receivable,%20Deferred%20Revenue,%20and%20Remaining%20Performance%20Obligations) This note details revenue recognition policies, disaggregates revenue by type, and provides information on accounts receivable, deferred revenue, and RPO - Subscription revenue, derived from the Connected Operations Platform and IoT devices, constitutes approximately **98% of total revenue** and is recognized over the subscription period[63](index=63&type=chunk)[125](index=125&type=chunk) | Metric | Three Months Ended August 2, 2025 (in thousands) | Three Months Ended August 3, 2024 (in thousands) | | :------------------- | :------------------------------------- | :------------------------------------- | | Subscription revenue | $383,890 | $295,324 | | Other revenue | $7,590 | $4,878 | | Total revenue | $391,480 | $300,202 | | Metric | Six Months Ended August 2, 2025 (in thousands) | Six Months Ended August 3, 2024 (in thousands) | | :------------------- | :------------------------------------- | :------------------------------------- | | Subscription revenue | $743,494 | $571,518 | | Other revenue | $14,870 | $9,410 | | Total revenue | $758,364 | $580,928 | - Remaining Performance Obligations (RPO) totaled **$3,165.5 million** as of August 2, 2025, with approximately **$1,401.8 million** expected to be recognized over the next 12 months[67](index=67&type=chunk) [8. Leases](index=17&type=section&id=8.%20Leases) This note outlines operating lease agreements for office space, including costs, cash payments, and future minimum lease payments, with a March 2025 amendment | Metric | Six Months Ended August 2, 2025 (in thousands) | Six Months Ended August 3, 2024 (in thousands) | | :-------------------------- | :------------------------------------- | :------------------------------------- | | Total lease cost | $9,407 | $11,096 | | Cash paid for operating leases | $12,631 | $13,933 | | Operating lease ROU assets obtained | $6,768 | $0 | - As of August 2, 2025, the weighted-average remaining lease term for operating leases is **5.2 years**, with a weighted-average discount rate of **5.36%**[70](index=70&type=chunk) | Fiscal Year Ending | Amount (in thousands) | | :------------------- | :-------------------- | | Remainder of 2026 | $7,642 | | 2027 | $17,487 | | 2028 | $16,034 | | 2029 | $15,744 | | 2030 | $15,223 | | 2031 and thereafter | $17,222 | | Total future minimum lease payments | $89,352 | | Less: imputed interest | $(12,174) | | Total operating lease liabilities | $77,178 | [9. Commitments and Contingencies](index=18&type=section&id=9.%20Commitments%20and%20Contingencies) This note details commitments and contingencies, including leases, purchase commitments, letters of credit, and litigation, with no material loss exposure identified - Purchase commitments include contractual arrangements with SaaS providers and non-cancelable purchase orders for inventory[75](index=75&type=chunk) - Letters of credit outstanding totaled **$17.8 million** as of August 2, 2025, primarily for office space landlords[76](index=76&type=chunk) - The company is involved in various legal proceedings but has determined there is no material exposure to loss on an aggregate basis for matters with a reasonable possibility of loss, and amounts recorded for probable losses were not material[77](index=77&type=chunk)[78](index=78&type=chunk) [10. Equity](index=18&type=section&id=10.%20Equity) This note details common stock, equity incentive plans (2015, 2021, ESPP), and stock-based compensation expense, including options and RSUs activity | Common Stock Class | August 2, 2025 (Shares Outstanding) | February 1, 2025 (Shares Outstanding) | | :------------------- | :---------------------------------- | :------------------------------------ | | Class A | 348,744,278 | 295,839,286 | | Class B | 224,890,359 | 269,879,953 | | Class C | 0 | 0 | | Reserved Shares Category | August 2, 2025 | February 1, 2025 | | :----------------------------------- | :------------- | :--------------- | | 2015 Equity Incentive Plan (Options) | 5,599,181 | 5,632,520 | | 2015 Equity Incentive Plan (RSUs) | 76,229 | 790,123 | | 2021 Equity Incentive Plan (RSUs) | 20,965,069 | 21,520,741 | | 2021 Equity Incentive Plan (Available for future grants) | 112,775,180 | 90,518,967 | | 2021 Employee Stock Purchase Plan (Available for future issuance) | 26,358,940 | 21,284,493 | | Total shares reserved for future issuance | 165,774,599 | 139,746,844 | | Stock-Based Compensation Expense | Three Months Ended August 2, 2025 (in thousands) | Three Months Ended August 3, 2024 (in thousands) | | :--------------------------------- | :------------------------------------- | :------------------------------------- | | Stock options | $0 | $773 | | RSUs | $78,086 | $67,630 | | Employee stock purchase plan | $3,049 | $3,201 | | Total | $81,135 | $71,604 | | Stock-Based Compensation Expense | Six Months Ended August 2, 2025 (in thousands) | Six Months Ended August 3, 2024 (in thousands) | | :--------------------------------- | :------------------------------------- | :------------------------------------- | | Stock options | $0 | $1,557 | | RSUs | $152,148 | $128,498 | | Employee stock purchase plan | $6,066 | $6,205 | | Total | $158,214 | $136,260 | [11. Income Taxes](index=21&type=section&id=11.%20Income%20Taxes) This note details effective tax rates, income tax provision, and a full valuation allowance against U.S. deferred tax assets, also evaluating OBBBA impact | Metric | Three Months Ended August 2, 2025 | Three Months Ended August 3, 2024 | | :-------------------------- | :-------------------------------- | :-------------------------------- | | Effective tax rate | (10.6%) | (2.1%) | | Provision for income taxes | $1,607 (in thousands) | $1,042 (in thousands) | | Metric | Six Months Ended August 2, 2025 | Six Months Ended August 3, 2024 | | :-------------------------- | :-------------------------------- | :-------------------------------- | | Effective tax rate | (8.9%) | (1.4%) | | Provision for income taxes | $3,196 (in thousands) | $1,418 (in thousands) | - A full valuation allowance is maintained against U.S. federal and state deferred tax assets due to cumulative losses, indicating that realization is not more likely than not[98](index=98&type=chunk) - The company is evaluating the potential impact of the recently signed One Big Beautiful Bill Act (OBBBA) on its current fiscal year effective tax rate, which includes reinstating 100% tax bonus depreciation[101](index=101&type=chunk) [12. Net Loss Per Share, Basic and Diluted](index=22&type=section&id=12.%20Net%20Loss%20Per%20Share,%20Basic%20and%20Diluted) This note presents basic and diluted net loss per share calculations, which are identical, and lists potentially dilutive securities excluded due to antidilutive effect | Metric | Three Months Ended August 2, 2025 | Three Months Ended August 3, 2024 | | :----------------------------------- | :-------------------------------- | :-------------------------------- | | Net loss per share, basic and diluted | $(0.03) | $(0.09) | | Weighted-average shares | 571,738,084 | 553,917,926 | | Metric | Six Months Ended August 2, 2025 | Six Months Ended August 3, 2024 | | :----------------------------------- | :-------------------------------- | :-------------------------------- | | Net loss per share, basic and diluted | $(0.07) | $(0.19) | | Weighted-average shares | 569,739,406 | 551,285,115 | | Antidilutive Securities | August 2, 2025 | August 3, 2024 | | :-------------------------- | :------------- | :------------- | | Outstanding stock options | 5,599,181 | 5,854,565 | | RSUs | 21,041,298 | 31,327,886 | | Employee stock purchase rights | 660,406 | 712,979 | | Total antidilutive securities | 27,300,885 | 37,895,430 | [13. Segment Information](index=22&type=section&id=13.%20Segment%20Information) This note confirms the company operates as a single segment, with the CEO reviewing consolidated financials, and provides revenue and long-lived assets by geographic area - Samsara operates as a single operating and reportable segment, with the Chief Executive Officer (CODM) making decisions based on consolidated financial performance[104](index=104&type=chunk)[105](index=105&type=chunk) | Revenue by Geographic Area | Three Months Ended August 2, 2025 (in thousands) | Three Months Ended August 3, 2024 (in thousands) | | :------------------------- | :------------------------------------- | :------------------------------------- | | United States | $334,958 | $260,430 | | Other | $56,522 | $39,772 | | Total revenue | $391,480 | $300,202 | | Revenue by Geographic Area | Six Months Ended August 2, 2025 (in thousands) | Six Months Ended August 3, 2024 (in thousands) | | :------------------------- | :------------------------------------- | :------------------------------------- | | United States | $651,950 | $503,450 | | Other | $106,414 | $77,478 | | Total revenue | $758,364 | $580,928 | | Long-Lived Assets, Net, by Geographic Area | August 2, 2025 (in thousands) | February 1, 2025 (in thousands) | | :----------------------------------------- | :----------------------------- | :------------------------------ | | United States | $124,068 | $118,808 | | Other | $10,340 | $4,207 | | Total long-lived assets, net | $134,408 | $123,015 | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=25&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Samsara's financial condition and results, covering key metrics, performance factors, operational components, cash flows, and liquidity | Metric | Three Months Ended August 2, 2025 (in thousands) | Three Months Ended August 3, 2024 (in thousands) | | :------------------- | :------------------------------------ | :------------------------------------ | | Revenue | $391,500 | $300,200 | | Net loss | $(16,800) | $(49,600) | | Metric | Six Months Ended August 2, 2025 (in thousands) | Six Months Ended August 3, 2024 (in thousands) | | :------- | :------------------------------------ | :------------------------------------ | | Revenue | $758,400 | $580,900 | | Net loss | $(38,900) | $(105,900) | | Key Business Metric | August 2, 2025 (in thousands) | August 3, 2024 (in thousands) | | :-------------------------- | :----------------------------- | :------------------------------ | | Annual Recurring Revenue (ARR) | $1,640,113 | $1,263,950 | | Customers > $100,000 ARR | 2,771 | 2,120 | - The company's business model focuses on maximizing the lifetime value of customer relationships, with significant investments in expanding the use of its Connected Operations Platform[114](index=114&type=chunk) [Overview](index=25&type=section&id=Overview) Samsara's mission is to enhance operational safety, efficiency, and sustainability via its Connected Operations Platform, achieving significant growth and reduced net losses - Samsara's Connected Operations Platform integrates IoT devices, connected assets, and third-party systems to provide data insights for safer, more efficient, and sustainable operations[112](index=112&type=chunk)[113](index=113&type=chunk) [Key Business Metrics](index=25&type=section&id=Key%20Business%20Metrics) This section defines and presents key business metrics, including Annual Recurring Revenue (ARR) and customers with over $100,000 ARR, crucial for performance and growth - ARR is defined as the annualized value of subscription contracts that have commenced revenue recognition, serving as a key indicator of business trajectory and future growth[116](index=116&type=chunk) - The definition of a customer was adjusted in the fiscal quarter ended May 3, 2025, to reflect an entity or group of affiliated entities with ARR greater than $1,000, better aligning with the company's go-to-market strategy for large enterprise customers[118](index=118&type=chunk) [Factors Affecting Our Performance](index=26&type=section&id=Factors%20Affecting%20Our%20Performance) Samsara's performance is influenced by customer acquisition, expansion, innovation investment, and macroeconomic trends - Key performance drivers include acquiring new customers through sales and marketing, expanding existing customer relationships by selling more applications and extending geographic reach, and continuous investment in platform innovation and headcount[119](index=119&type=chunk)[120](index=120&type=chunk)[121](index=121&type=chunk) - Macroeconomic trends such as inflation, foreign currency fluctuations, interest rate changes, supply chain disruptions, labor shortages, and geopolitical conflicts can negatively affect business growth and results of operations[122](index=122&type=chunk) [Components of Results of Operations](index=27&type=section&id=Components%20of%20Results%20of%20Operations) This section details Samsara's financial results components, including revenue, cost of revenue, operating expenses, interest income, and income taxes - Revenue is primarily generated from subscriptions to the Connected Operations Platform, which includes cloud-based applications, IoT devices, and support services, typically with initial terms of three to five years[124](index=124&type=chunk) - Cost of revenue includes amortization of connected device costs, third-party cloud and cellular costs, employee-related costs for customer support, and amortization of internal-use software[126](index=126&type=chunk) - Operating expenses are

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 August 2, 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 001-32545 DESIGNER BRANDS INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended July 31, 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: 001-38960 Skillsoft Corp. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporatio ...

[Executive Summary & Company Overview](index=1&type=section&id=Executive%20Summary%20%26%20Company%20Overview) [Company Introduction](index=1&type=section&id=Company%20Introduction) InnovAge Holding Corp provides comprehensive healthcare for frail seniors through the PACE program and announced its fiscal 2025 results - InnovAge (Nasdaq: INNV) is an industry leader in providing comprehensive healthcare programs to frail, predominantly dual-eligible seniors through the Program of All-inclusive Care for the Elderly (PACE)[2](index=2&type=chunk) - The company announced financial results for its fiscal fourth quarter and full year ended June 30, 2025[2](index=2&type=chunk) [CEO Statement](index=1&type=section&id=CEO%20Statement) The CEO highlighted fiscal 2025's success and expressed confidence for continued momentum into fiscal 2026 - Patrick Blair, CEO, stated that 'Fiscal 2025 was a strong year The combination of **responsible growth, financial discipline, clinical performance, and compliance execution** is what gives us confidence in the durability of our progress'[3](index=3&type=chunk) - The company expects Fiscal 2026 to continue that momentum[3](index=3&type=chunk) [Fiscal Year 2025 Financial Performance Highlights](index=1&type=section&id=Fiscal%20Year%202025%20Financial%20Performance%20Highlights) [GAAP Financial Performance](index=1&type=section&id=GAAP%20Financial%20Performance) The company reported an 11.8% revenue increase to $853.7 million but saw its net loss widen by 52% to $35.3 million | Metric | FY2025 (in millions) | FY2024 (in millions) | YoY Change (%) | | :-------------------------- | :------------------- | :------------------- | :------------- | | Total revenues | $853.7 | $763.9 | 11.8% | | Loss Before Income Taxes | $(34.0) | $(21.8) | 56.0% | | Net Loss | $(35.3) | $(23.2) | 52.0% | | Net Loss margin | (4.1)% | (3.0)% | 1.1 pp | | Net Loss per share | $(0.22) | $(0.16) | - | | Net Loss Attributable to InnovAge Holding Corp. | $(30.3) | $(21.3) | - | [Non-GAAP Financial Performance](index=2&type=section&id=Non-GAAP%20Financial%20Performance) Non-GAAP metrics showed strong growth, with Adjusted EBITDA more than doubling and participant census increasing | Metric | FY2025 (in millions) | FY2024 (in millions) | YoY Change (%) | | :-------------------------------- | :------------------- | :------------------- | :------------- | | Center-level Contribution Margin | $153.6 | $132.1 | 16.3% | | Center-level Contribution Margin as % of revenue | 18.0% | 17.3% | 0.7 pp | | Adjusted EBITDA | $34.5 | $16.5 | 109.1% | | Adjusted EBITDA margin | 4.0% | 2.2% | 1.8 pp | - Census increased to approximately **7,740 participants** in FY2025 compared to 7,020 participants in FY2024[8](index=8&type=chunk) [Fiscal Year 2026 Financial Guidance](index=2&type=section&id=Fiscal%20Year%202026%20Financial%20Guidance) The company projects FY2026 revenues of $900-$950 million and Adjusted EBITDA of $56-$65 million | Metric | Low (in millions) | High (in millions) | | :------------------ | :---------------- | :---------------- | | Census | 7,900 | 8,100 | | Total Member Months | 91,600 | 94,400 | | Total revenues | $900 | $950 | | Adjusted EBITDA | $56 | $65 | - Total Member Months are defined as the total number of participants multiplied by the number of months within a year in which each participant was enrolled in the program, serving as a precise metric for participant tracking[7](index=7&type=chunk) - The company is unable to provide guidance for net loss or a reconciliation of Adjusted EBITDA guidance due to the inherent difficulty in forecasting and quantifying certain reconciling items without unreasonable effort[7](index=7&type=chunk) [About InnovAge](index=3&type=section&id=About%20InnovAge) InnovAge is a market leader in PACE programs, serving approximately 7,740 participants across 20 centers in six states - InnovAge is a market leader in managing the care of high-cost, frail, and predominantly dual-eligible seniors through the Program of All-inclusive Care for the Elderly (PACE)[11](index=11&type=chunk) - The company's mission is to enable older adults to age independently in their own homes for as long as safely possible[11](index=11&type=chunk) - As of June 30, 2025, InnovAge served approximately **7,740 participants across 20 centers in six states**[11](index=11&type=chunk) [Forward-Looking Statements - Safe Harbor](index=3&type=section&id=Forward-Looking%20Statements%20-%20Safe%20Harbor) This section details risks and uncertainties associated with forward-looking statements and directs readers to SEC filings - Forward-looking statements are identified by specific terminology (e.g, 'anticipate,' 'expect,' 'project') and relate to future operating or financial performance, not strictly historical facts[12](index=12&type=chunk) - These statements are based on current information, beliefs, expectations, and assumptions, but are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict and outside of the company's control[13](index=13&type=chunk) - Important factors that could cause actual results to differ materially include the viability of growth strategy, ability to integrate acquisitions, macroeconomic challenges, government inspections, legal proceedings, dependence on government payors, and regulatory developments[13](index=13&type=chunk) [Note Regarding Use of Non-GAAP Financial Measures](index=4&type=section&id=Note%20Regarding%20Use%20of%20Non-GAAP%20Financial%20Measures) [Definition of Center-level Contribution Margin](index=4&type=section&id=Definition%20of%20Center-level%20Contribution%20Margin) This non-GAAP measure assesses segment performance by subtracting direct care costs from revenues - Center-level Contribution Margin is a non-GAAP measure used by management for assessing operating segment performance and allocating resources, particularly in budgeting and forecasting[16](index=16&type=chunk) - It is defined as total revenues less external provider costs and cost of care, excluding depreciation and amortization, encompassing all medical and pharmacy costs[17](index=17&type=chunk) - Sales and marketing expense or corporate, general and administrative expenses are not allocated across centers for the purpose of evaluating Center-level Contribution Margin[16](index=16&type=chunk) [Definition of Adjusted EBITDA](index=5&type=section&id=Definition%20of%20Adjusted%20EBITDA) Adjusted EBITDA is a non-GAAP measure calculated by adjusting net loss for specific non-cash and non-recurring items - Adjusted EBITDA is defined as net loss adjusted for interest expense, net, other investment income, depreciation and amortization, and provision (benefit) for income tax[18](index=18&type=chunk) - It includes addbacks for non-recurring or exceptional items such as management equity compensation, litigation costs and settlement, M&A diligence, transaction and integration, business optimization, EMR implementation, gain (loss) on cost and equity method investments, asset impairments, and loss on sale of assets[18](index=18&type=chunk) - Adjusted EBITDA margin is Adjusted EBITDA expressed as a percentage of total revenue[18](index=18&type=chunk) [Condensed Consolidated Financial Statements](index=6&type=section&id=Condensed%20Consolidated%20Financial%20Statements) [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet shows total assets of $526.9 million and total stockholders' equity of $237.9 million as of June 30, 2025 | Item | June 30, 2025 (in thousands) | June 30, 2024 (in thousands) | YoY Change (in thousands) | | :-------------------------------- | :--------------------------- | :--------------------------- | :------------------------ | | Total Assets | $526,851 | $547,661 | $(20,810) | | Total Liabilities | $263,943 | $247,853 | $16,090 | | Total Stockholders' Equity | $237,898 | $277,608 | $(39,710) | | Cash and cash equivalents | $64,129 | $56,946 | $7,183 | | Accounts receivable, net | $36,373 | $48,106 | $(11,733) | | Property and equipment, net | $168,044 | $193,022 | $(24,978) | | Goodwill | $142,046 | $139,949 | $2,097 | | Accounts payable and accrued expenses | $76,750 | $55,459 | $21,291 | | Long-term debt, net | $57,464 | $61,478 | $(4,014) | [Condensed Consolidated Statements of Operations](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The company's statement of operations reveals an increased net loss of $35.3 million on revenues of $853.7 million for FY2025 | Item | Year Ended June 30, 2025 (in thousands) | Year Ended June 30, 2024 (in thousands) | YoY Change (in thousands) | | :------------------------------------ | :-------------------------------------- | :-------------------------------------- | :------------------------ | | Total revenues | $853,699 | $763,855 | $89,844 | | Total expenses | $883,460 | $787,035 | $96,425 | | Operating Loss | $(29,761) | $(23,180) | $(6,581) | | Loss Before Income Taxes | $(34,027) | $(21,819) | $(12,208) | | Net Loss | $(35,343) | $(23,221) | $(12,122) | | Net Loss Attributable to InnovAge Holding Corp. | $(30,313) | $(21,338) | $(8,975) | | Net loss per share - basic and diluted | $(0.22) | $(0.16) | $(0.06) | [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operating activities improved significantly to $32.9 million, leading to a $7.2 million increase in total cash | Item | Year Ended June 30, 2025 (in thousands) | Year Ended June 30, 2024 (in thousands) | YoY Change (in thousands) | | :------------------------------------------ | :-------------------------------------- | :-------------------------------------- | :------------------------ | | Net cash provided by (used in) operating activities | $32,866 | $(36,898) | $69,764 | | Net cash used in investing activities | $(5,550) | $(26,373) | $20,823 | | Net cash used in financing activities | $(19,082) | $(7,034) | $(12,048) | | INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS & RESTRICTED CASH | $7,180 | $(70,305) | $77,485 | | CASH, CASH EQUIVALENTS & RESTRICTED CASH, END OF PERIOD | $64,140 | $56,960 | $7,180 | [Reconciliation of GAAP and Non-GAAP Measures](index=11&type=section&id=Reconciliation%20of%20GAAP%20and%20Non-GAAP%20Measures) [Adjusted EBITDA Reconciliation](index=11&type=section&id=Adjusted%20EBITDA%20Reconciliation) Net loss is reconciled to Adjusted EBITDA, which rose to $34.5 million in FY2025, driven by adjustments for litigation and impairments | Item | Year Ended June 30, 2025 (in thousands) | Year Ended June 30, 2024 (in thousands) | YoY Change (in thousands) | | :------------------------------------ | :-------------------------------------- | :-------------------------------------- | :------------------------ | | Net Loss | $(35,343) | $(23,221) | $(12,122) | | Interest expense, net | $4,612 | $4,023 | $589 | | Depreciation and amortization | $19,510 | $18,950 | $560 | | Provision for income tax | $1,316 | $1,402 | $(86) | | Stock-based compensation | $7,619 | $6,832 | $787 | | Litigation costs and settlement | $19,367 | $4,878 | $14,489 | | M&A diligence, transaction and integration | $1,360 | $778 | $582 | | Business optimization | $3,040 | $4,399 | $(1,359) | | EMR implementation | $0 | $3,660 | $(3,660) | | Loss (gain) on cost and equity method investments | $1,393 | $(2,842) | $4,235 | | Asset impairments and loss on assets held for sale | $13,615 | $0 | $13,615 | | Adjusted EBITDA | $34,462 | $16,474 | $17,988 | | Adjusted EBITDA margin | 4.0% | 2.2% | 1.8 pp | - Litigation costs for FY2025 include **$10.1 million accrued** in connection with the potential settlement of a previously disclosed stockholder class action[24](index=24&type=chunk) - Asset impairments for FY2025 include a **$2.6 million impairment loss** for the investment in DispatchHealth Holdings Inc and charges related to halting developments for a planned de novo center in Louisville, Kentucky[26](index=26&type=chunk)[32](index=32&type=chunk) [Center-Level Contribution Margin Reconciliation](index=13&type=section&id=Center-Level%20Contribution%20Margin%20Reconciliation) Total revenues are reconciled to Center-Level Contribution Margin, which grew to $153.6 million in FY2025 | Item | Year Ended June 30, 2025 (in thousands) | Year Ended June 30, 2024 (in thousands) | YoY Change (in thousands) | | :------------------------------------ | :-------------------------------------- | :-------------------------------------- | :------------------------ | | Total revenues | $853,699 | $763,855 | $89,844 | | External provider costs | $431,152 | $403,010 | $28,142 | | Cost of care, excluding depreciation and amortization | $268,908 | $228,781 | $40,127 | | Center-Level Contribution Margin | $153,639 | $132,064 | $21,575 | | Center-Level Contribution Margin as a % of revenue | 18.0% | 17.3% | 0.7 pp | - Capitation revenue, the primary component of total revenues, increased to **$852.35 million** in FY2025 from $762.57 million in FY2024[33](index=33&type=chunk) - The 'All other' segment, primarily Senior Housing, contributed **$0.99 million to total revenues** and **$0.42 million to Center-Level Contribution Margin** in FY2025[34](index=34&type=chunk)

[Second Quarter 2025 Results Overview](index=1&type=section&id=1.%20Second%20Quarter%202025%20Results%20Overview) [Key Financial Highlights](index=1&type=section&id=1.1.%20Key%20Financial%20Highlights) GameStop Corp reported Q2 fiscal 2025 results with significant improvements in net sales, operating income, and net income year-over-year, alongside a substantial increase in cash and digital asset holdings Key Financial Data for Q2 FY2025 | Metric | Q2 2025 (Millions $) | Q2 2024 (Millions $) | YoY Change | | :-------------------------------- | :------------------- | :------------------- | :--------- | | Net Sales | 972.2 | 798.3 | +21.8% | | SG&A Expenses | 218.8 | 270.8 | -19.2% | | Operating Income (Loss) | 66.4 | (22.0) | N/A (Turned to profit from loss) | | Adjusted Operating Income (Loss) | 64.7 | (31.6) | N/A (Turned to profit from loss) | | Net Income | 168.6 | 14.8 | +1039.2% | | Adjusted Net Income | 138.3 | 5.2 | +2560.0% | | Cash, Cash Equivalents & Marketable Securities | 8,700.0 | 4,200.0 | +107.1% | | Bitcoin Holdings | 528.6 | N/A | N/A | [Non-GAAP Measures and Other Metrics](index=1&type=section&id=2.%20Non-GAAP%20Measures%20and%20Other%20Metrics) [Definition and Purpose](index=1&type=section&id=2.1.%20Definition%20and%20Purpose) GameStop utilizes non-GAAP metrics to offer additional insight into core operating performance by excluding specific items like transformation costs and asset impairments - GameStop uses non-GAAP measures (Adjusted SG&A, Operating Income/Loss, Net Income/Loss, EPS, Adjusted EBITDA, Free Cash Flow) to supplement GAAP results, providing insight into core operating performance by excluding items like transformation costs, asset impairments, unrealized gains/losses on digital assets, and severance[5](index=5&type=chunk)[28](index=28&type=chunk)[37](index=37&type=chunk) - Free cash flow, defined as net cash flow from operating activities less capital expenditures, is considered a key financial indicator of the company's ability to generate additional cash from its business operations[5](index=5&type=chunk)[35](index=35&type=chunk) [Limitations of Non-GAAP Measures](index=13&type=section&id=2.2.%20Limitations%20of%20Non-GAAP%20Measures) Non-GAAP measures have limitations as they exclude key financial components and may not be comparable to other companies' metrics - Non-GAAP measures have limitations, including not reflecting the company's capital costs and tax structure, cash requirements for capital expenditures or contractual commitments, changes in or cash requirements for working capital needs, and cash requirements for replacing depreciated and amortized assets[37](index=37&type=chunk)[39](index=39&type=chunk) - The company acknowledges its non-GAAP definitions may not be comparable to those of other companies in the industry and emphasizes these measures should not be considered in isolation or as a substitute for GAAP-reported results[38](index=38&type=chunk) [Condensed Consolidated Financial Statements](index=3&type=section&id=3.%20Condensed%20Consolidated%20Financial%20Statements) [Condensed Statements of Operations](index=3&type=section&id=3.1.%20Condensed%20Statements%20of%20Operations) The statements detail revenue, costs, and profitability for the three and twenty-six-week periods, highlighting significant improvements in net sales and gross profit [Three Months Ended August 2, 2025 and August 3, 2024](index=3&type=section&id=3.1.1.%20Three%20Months%20Ended%20August%202%2C%202025%20and%20August%203%2C%202024) In Q2 2025, GameStop saw substantial net sales growth and a significant profitability turnaround, moving from an operating loss to positive operating income Condensed Statements of Operations (Three Months) | Metric | 13 Weeks Ended Aug 2, 2025 (Millions $) | 13 Weeks Ended Aug 3, 2024 (Millions $) | YoY Change | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :--------- | | Net Sales | 972.2 | 798.3 | +21.8% | | Cost of Sales | 689.1 | 549.5 | +25.4% | | Gross Profit | 283.1 | 248.8 | +13.8% | | SG&A Expenses | 218.8 | 270.8 | -19.2% | | Operating Income (Loss) | 66.4 | (22.0) | N/A (Turned to profit from loss) | | Net Income | 168.6 | 14.8 | +1039.2% | | Basic Income per Share | 0.38 | 0.04 | +850.0% | | Diluted Income per Share | 0.31 | 0.04 | +675.0% | [Twenty-Six Weeks Ended August 2, 2025 and August 3, 2024](index=4&type=section&id=3.1.2.%20Twenty-Six%20Weeks%20Ended%20August%202%2C%202025%20and%20August%203%2C%202024) For the first half of fiscal 2025, GameStop achieved modest net sales growth and a significant improvement in overall profitability, turning a net loss into net income Condensed Statements of Operations (Twenty-Six Weeks) | Metric | 26 Weeks Ended Aug 2, 2025 (Millions $) | 26 Weeks Ended Aug 3, 2024 (Millions $) | YoY Change | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :--------- | | Net Sales | 1,704.6 | 1,680.1 | +1.5% | | Cost of Sales | 1,168.7 | 1,186.8 | -1.5% | | Gross Profit | 535.9 | 493.3 | +8.6% | | SG&A Expenses | 446.9 | 565.9 | -21.0% | | Operating Income (Loss) | 55.6 | (72.6) | N/A (Turned to profit from loss) | | Net Income (Loss) | 213.4 | (17.5) | N/A (Turned to profit from loss) | | Basic Income (Loss) per Share | 0.48 | (0.05) | N/A (Turned to profit from loss) | | Diluted Income (Loss) per Share | 0.42 | (0.05) | N/A (Turned to profit from loss) | [Condensed Statements of Operations by Segment](index=5&type=section&id=3.2.%20Condensed%20Statements%20of%20Operations%20by%20Segment) This section details operating performance by geographic segment for the three and twenty-six-week periods, highlighting regional contributions to net sales and operating income [Three Months Ended August 2, 2025 and August 3, 2024](index=5&type=section&id=3.2.1.%20Three%20Months%20Ended%20August%202%2C%202025%20and%20August%203%2C%202024) In Q2 2025, the U.S. segment drove significant growth in net sales and operating income, while Australia also saw increases and Europe reported an operating loss Statements of Operations by Segment (Three Months) | Segment | Q2 2025 Net Sales (Millions $) | Q2 2024 Net Sales (Millions $) | YoY Change | Q2 2025 Operating Income (Loss) (Millions $) | Q2 2024 Operating Loss (Millions $) | | :-------- | :----------------------------- | :----------------------------- | :--------- | :------------------------------------------- | :---------------------------------- | | United States | 724.6 | 545.6 | +32.8% | 63.7 | (1.5) | | Canada | — | 37.7 | -100.0% | — | (4.2) | | Australia | 140.9 | 87.8 | +60.5% | 6.0 | (5.9) | | Europe | 106.7 | 127.2 | -16.2% | (3.3) | (10.4) | | Total | 972.2 | 798.3 | +21.8% | 66.4 | (22.0) | - The company divested its operations in Canada during the second quarter of fiscal 2025, resulting in no reported sales or operating income for the segment in Q2 2025[30](index=30&type=chunk)[32](index=32&type=chunk) [Twenty-Six Weeks Ended August 2, 2025 and August 3, 2024](index=6&type=section&id=3.2.2.%20Twenty-Six%20Weeks%20Ended%20August%202%2C%202025%20and%20August%203%2C%202024) In the first half of 2025, the U.S. segment showed strong net sales growth and a significant turnaround to operating income, while asset impairments were recorded for divestitures Statements of Operations by Segment (Twenty-Six Weeks) | Segment | YTD 2025 Net Sales (Millions $) | YTD 2024 Net Sales (Millions $) | YoY Change | YTD 2025 Operating Income (Loss) (Millions $) | YTD 2024 Operating Loss (Millions $) | | :-------- | :------------------------------ | :------------------------------ | :--------- | :-------------------------------------------- | :----------------------------------- | | United States | 1,262.1 | 1,162.9 | +8.5% | 97.3 | (26.9) | | Canada | 38.2 | 80.3 | -52.4% | (22.2) | (8.6) | | Australia | 222.8 | 167.4 | +33.1% | 0.6 | (14.0) | | Europe | 181.5 | 269.5 | -32.6% | (20.1) | (23.1) | | Total | 1,704.6 | 1,680.1 | +1.5% | 55.6 | (72.6) | - Asset impairments of **$33.4 million** were incurred due to plans to divest operations in Canada and France, with the Canadian divestiture completed in Q2 fiscal 2025[15](index=15&type=chunk)[30](index=30&type=chunk)[32](index=32&type=chunk) [Condensed Consolidated Balance Sheets](index=7&type=section&id=3.3.%20Condensed%20Consolidated%20Balance%20Sheets) As of August 2, 2025, the balance sheet shows a substantial increase in total assets, driven by growth in cash and the introduction of digital assets Condensed Consolidated Balance Sheets | Metric | August 2, 2025 (Millions $) | August 3, 2024 (Millions $) | YoY Change | | :-------------------------------- | :-------------------------- | :-------------------------- | :--------- | | Total Assets | 10,341.1 | 5,536.3 | +86.8% | | Cash and Cash Equivalents | 8,694.4 | 4,193.1 | +107.4% | | Merchandise Inventories, net | 484.9 | 560.0 | -13.4% | | Digital Assets | 528.6 | — | N/A | | Total Liabilities | 5,164.7 | 1,152.9 | +348.0% | | Long-term Debt, net | 4,160.9 | 12.4 | +33455.6% | | Total Stockholders' Equity | 5,176.4 | 4,383.4 | +18.1% | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=3.4.%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) The statements show cash flows from operating, investing, and financing activities, highlighting significant cash inflows from financing and a large increase in cash [Three Months Ended August 2, 2025 and August 3, 2024](index=8&type=section&id=3.4.1.%20Three%20Months%20Ended%20August%202%2C%202025%20and%20August%203%2C%202024) In Q2 2025, operating cash flow increased, while investing activities saw a net outflow due to digital asset purchases, and financing activities provided significant inflows Condensed Consolidated Statements of Cash Flows (Three Months) | Metric | 13 Weeks Ended Aug 2, 2025 (Millions $) | 13 Weeks Ended Aug 3, 2024 (Millions $) | YoY Change | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :--------- | | Net Cash Flows from Operating Activities | 117.4 | 68.6 | +71.1% | | Net Cash Flows (Used in) Provided by Investing Activities | (523.3) | 78.4 | N/A (Turned to outflow) | | Net Cash Flows Provided by Financing Activities | 2,675.3 | 3,052.9 | -12.4% | | Increase in Cash, Cash Equivalents, and Restricted Cash | 2,309.8 | 3,199.5 | -27.8% | | Cash, Cash Equivalents and Restricted Cash at End of Period | 8,733.9 | 4,217.0 | +107.1% | - Investing activities in Q2 2025 included **$500.0 million** in purchases of digital assets[20](index=20&type=chunk) - Financing activities in Q2 2025 included **$2,700.0 million** from the issuance of convertible debt, compared to $3,070.4 million from ATM offerings in Q2 2024[20](index=20&type=chunk) [Twenty-Six Weeks Ended August 2, 2025 and August 3, 2024](index=9&type=section&id=3.4.2.%20Twenty-Six%20Weeks%20Ended%20August%202%2C%202025%20and%20August%203%2C%202024) For the first half of 2025, operating cash flow improved significantly, turning from an outflow to an inflow, while financing activities provided substantial cash Condensed Consolidated Statements of Cash Flows (Twenty-Six Weeks) | Metric | 26 Weeks Ended Aug 2, 2025 (Millions $) | 26 Weeks Ended Aug 3, 2024 (Millions $) | YoY Change | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :--------- | | Net Cash Flows from Operating Activities | 309.9 | (41.2) | N/A (Turned to inflow) | | Net Cash Flows (Used in) Provided by Investing Activities | (516.0) | 268.2 | N/A (Turned to outflow) | | Net Cash Flows Provided by Financing Activities | 4,153.3 | 3,050.2 | +36.2% | | Increase in Cash, Cash Equivalents, and Restricted Cash | 3,944.1 | 3,278.1 | +20.3% | | Cash, Cash Equivalents and Restricted Cash at End of Period | 8,733.9 | 4,217.0 | +107.1% | - Year-to-date investing activities included **$500.0 million** in purchases of digital assets[22](index=22&type=chunk) - Year-to-date financing activities included **$4,200.0 million** from the issuance of convertible debt[22](index=22&type=chunk) [Sales Mix Analysis (Schedule I)](index=10&type=section&id=4.%20Sales%20Mix%20Analysis%20(Schedule%20I)) [Three Months Ended August 2, 2025 and August 3, 2024](index=10&type=section&id=4.1.%20Three%20Months%20Ended%20August%202%2C%202025%20and%20August%203%2C%202024) In Q2 2025, the share of net sales from hardware & accessories and collectibles increased significantly, while software's contribution declined Sales Mix (Three Months) | Product Category | Q2 2025 Net Sales (Millions $) | Q2 2025 % of Total | Q2 2024 Net Sales (Millions $) | Q2 2024 % of Total | YoY Sales Change | | :----------------------- | :----------------------------- | :----------------- | :----------------------------- | :----------------- | :--------------- | | Hardware and accessories | 592.1 | 60.9% | 451.2 | 56.5% | +31.2% | | Software | 152.5 | 15.7% | 207.7 | 26.0% | -26.6% | | Collectibles | 227.6 | 23.4% | 139.4 | 17.5% | +63.3% | | Total | 972.2 | 100.0% | 798.3 | 100.0% | +21.8% | [Twenty-Six Weeks Ended August 2, 2025 and August 3, 2024](index=10&type=section&id=4.2.%20Twenty-Six%20Weeks%20Ended%20August%202%2C%202025%20and%20August%203%2C%202024) For the first half of 2025, the share of collectibles in total net sales grew substantially, while software's contribution decreased Sales Mix (Twenty-Six Weeks) | Product Category | YTD 2025 Net Sales (Millions $) | YTD 2025 % of Total | YTD 2024 Net Sales (Millions $) | YTD 2024 % of Total | YoY Sales Change | | :----------------------- | :------------------------------ | :------------------ | :------------------------------ | :------------------ | :--------------- | | Hardware and accessories | 937.4 | 55.0% | 956.5 | 57.0% | -2.0% | | Software | 328.1 | 19.2% | 447.4 | 26.6% | -26.7% | | Collectibles | 439.1 | 25.8% | 276.2 | 16.4% | +59.0% | | Total | 1,704.6 | 100.0% | 1,680.1 | 100.0% | +1.5% | [Non-GAAP Reconciliations (Schedule II & III)](index=11&type=section&id=5.%20Non-GAAP%20Reconciliations%20(Schedule%20II%20%26%20III)) [Adjusted SG&A, Operating Income, Net Income, and EPS](index=11&type=section&id=5.1.%20Adjusted%20SG%26A%2C%20Operating%20Income%2C%20Net%20Income%2C%20and%20EPS) Reconciliations show adjusted SG&A, operating income, net income, and EPS were significantly higher than GAAP figures after adjustments for specific items Adjusted SG&A, Operating Income, Net Income, and EPS | Metric | 13 Weeks Ended Aug 2, 2025 (Millions $) | 13 Weeks Ended Aug 3, 2024 (Millions $) | YoY Change | 26 Weeks Ended Aug 2, 2025 (Millions $) | 26 Weeks Ended Aug 3, 2024 (Millions $) | YoY Change | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :--------- | :-------------------------------------- | :-------------------------------------- | :--------- | | SG&A expense (GAAP) | 218.8 | 270.8 | -19.2% | 446.9 | 565.9 | -21.0% | | Adjusted SG&A expense | 218.4 | 280.4 | -22.1% | 443.7 | 579.8 | -23.4% | | Operating income (loss) (GAAP) | 66.4 | (22.0) | N/A | 55.6 | (72.6) | N/A | | Adjusted operating income (loss) | 64.7 | (31.6) | N/A | 92.2 | (86.5) | N/A | | Net Income (loss) (GAAP) | 168.6 | 14.8 | +1039.2% | 213.4 | (17.5) | N/A | | Adjusted net income (loss) | 138.3 | 5.2 | +2560.0% | 219.2 | (31.4) | N/A | | Adjusted Basic EPS | 0.31 | 0.01 | +3000.0% | 0.49 | (0.09) | N/A | | Adjusted Diluted EPS | 0.25 | 0.01 | +2400.0% | 0.43 | (0.09) | N/A | - Adjustments primarily include transformation costs, asset impairments related to the Canada and France divestitures, and unrealized gains on digital assets[29](index=29&type=chunk)[30](index=30&type=chunk) [Adjusted EBITDA](index=12&type=section&id=5.2.%20Adjusted%20EBITDA) Adjusted EBITDA for the three and twenty-six-week periods showed a significant positive turnaround compared to the prior year after various adjustments Adjusted EBITDA | Metric | 13 Weeks Ended Aug 2, 2025 (Millions $) | 13 Weeks Ended Aug 3, 2024 (Millions $) | YoY Change | 26 Weeks Ended Aug 2, 2025 (Millions $) | 26 Weeks Ended Aug 3, 2024 (Millions $) | YoY Change | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :--------- | :-------------------------------------- | :-------------------------------------- | :--------- | | Net income (loss) (GAAP) | 168.6 | 14.8 | +1039.2% | 213.4 | (17.5) | N/A | | EBITDA | 99.7 | (14.4) | N/A | 96.7 | (48.2) | N/A | | Adjusted EBITDA | 75.7 | (18.0) | N/A | 114.3 | (49.2) | N/A | - Adjustments to EBITDA include interest income, depreciation and amortization, income tax expense, stock-based compensation, transformation costs, divestitures, asset impairments, and unrealized gains on digital assets[31](index=31&type=chunk) [Free Cash Flow](index=13&type=section&id=5.3.%20Free%20Cash%20Flow) GameStop generated positive free cash flow for both the three and twenty-six-week periods, a significant improvement from the negative cash flow in the prior year Free Cash Flow | Metric | 13 Weeks Ended Aug 2, 2025 (Millions $) | 13 Weeks Ended Aug 3, 2024 (Millions $) | YoY Change | 26 Weeks Ended Aug 2, 2025 (Millions $) | 26 Weeks Ended Aug 3, 2024 (Millions $) | YoY Change | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :--------- | :-------------------------------------- | :-------------------------------------- | :--------- | | Net cash flows provided by (used in) operating activities | 117.4 | 68.6 | +71.1% | 309.9 | (41.2) | N/A | | Capital expenditures | (4.1) | (3.1) | +32.3% | (7.0) | (8.0) | -12.5% | | Free cash flow | 113.3 | 65.5 | +73.0% | 302.9 | (49.2) | N/A | [Cautionary Statement Regarding Forward-Looking Statements](index=2&type=section&id=6.%20Cautionary%20Statement%20Regarding%20Forward-Looking%20Statements) [Cautionary Statement Regarding Forward-Looking Statements](index=2&type=section&id=6.1.%20Cautionary%20Statement%20Regarding%20Forward-Looking%20Statements) This section serves as a legal disclaimer, advising that forward-looking statements are subject to significant risks and uncertainties that could cause actual results to differ - This press release contains forward-looking statements, identifiable by words like "anticipates," "expects," or "will," which are subject to significant risks and uncertainties[7](index=7&type=chunk) - Actual developments, business decisions, results, and outcomes may differ materially due to factors such as economic conditions, industry competition, supply chain disruptions, technological advances, reliance on new products, and risks associated with investment holdings, including Bitcoin volatility[7](index=7&type=chunk) - The company undertakes no obligation to publicly update any forward-looking statements, except as may be required by applicable securities laws[7](index=7&type=chunk)