Financial Performance - Mechanics Bancorp reported a net income of $124.3 million, or $0.54 per diluted share, for Q4 2025, compared to $55.2 million, or $0.25 per diluted share, in Q3 2025[1]. - Net interest income for Q4 2025 was $181.5 million, an increase of $35.8 million from Q3 2025, driven by the merger with HomeStreet Bank[9]. - Noninterest income for Q4 2025 decreased to $78.5 million from $109.8 million in Q3 2025, primarily due to a lower bargain purchase gain[13]. - Net income for the quarter was $124,302 thousand, compared to $55,161 thousand in the previous quarter, representing an increase of 125.5%[44]. - Basic earnings per share for Class A common stock increased to $0.54 from $0.25, a growth of 116%[44]. - Return on average equity increased significantly to 17.66% for the quarter ended December 31, 2025, up from 8.61% in the previous quarter, indicating strong profitability growth[47]. - Net interest income for the year ended December 31, 2025, was $585,718, compared to $519,169 for 2024, reflecting a 12.8% increase[51]. - Return on average equity for 2025 was 17.66%, significantly higher than 8.95% in 2024[54]. Assets and Liabilities - Total assets were $22.4 billion at December 31, 2025, down from $22.7 billion at September 30, 2025, and up from $16.5 billion at December 31, 2024[4]. - Total assets decreased to $22.35 billion at December 31, 2025, from $22.71 billion at September 30, 2025[19]. - Total liabilities decreased to $19,489,100 thousand from $19,934,686 thousand, a decline of 2.2% quarter-over-quarter[42]. - Total deposits decreased by $427.8 million to $19.02 billion at December 31, 2025, primarily due to maturities of certificates of deposits[22]. - Total deposits decreased to $19,024,997 thousand from $19,452,819 thousand, a decline of 2.2% quarter-over-quarter[42]. Loans and Credit Losses - The total loans amounted to $14.2 billion at December 31, 2025, with a loans-to-deposits ratio of 75%[4]. - The provision for credit losses in Q4 2025 was a reversal of $23.5 million, compared to a provision of $47.0 million in Q3 2025[11]. - The allowance for credit losses on loans was $153.3 million, representing 1.08% of total loans held for investment at December 31, 2025[28]. - The provision for credit losses was a reversal of $22.16 million for the quarter ended December 31, 2025, compared to a provision of $46.06 million for the previous quarter[30]. - Net charge-offs for the quarter were $17.05 million, compared to $12.80 million in the previous quarter[30]. Equity and Capital Ratios - Total shareholders' equity increased by $88.2 million to $2.86 billion at December 31, 2025, driven by net income for the quarter[25]. - Mechanics Bancorp's CET1 capital ratio was reported at 14.07% as of December 31, 2025[4]. - The Tier 1 leverage ratio was 8.65% at December 31, 2025, down from 10.34% at September 30, 2025[26]. - Common equity ratio improved to 12.81% in Q4 2025 from 14.58% in Q2 2025, indicating a stronger capital position[54]. Operational Efficiency - Noninterest expense decreased by $33.8 million in Q4 2025 compared to Q3 2025, largely due to reduced acquisition and integration costs[15]. - The efficiency ratio improved to 49.8% for the quarter ended December 31, 2025, compared to 63.9% in the previous quarter, reflecting enhanced operational efficiency[47]. - Total noninterest expense decreased to $129,510 thousand from $163,329 thousand, a reduction of 20.7%[44]. Other Key Metrics - The effective tax rate for Q4 2025 was 19.3%, compared to (22.3)% in Q3 2025, influenced by the bargain purchase gain from the merger[17]. - The net interest margin improved to 3.47% for the quarter ended December 31, 2025, compared to 3.36% in the previous quarter, indicating better interest income generation[49]. - The book value per common share increased to $12.93 at December 31, 2025, compared to $12.54 at September 30, 2025[25]. - The company operates 166 branches across California, Oregon, Washington, and Hawaii[34]. - The company will host a conference call on January 30, 2026, to discuss its fourth quarter 2025 financial results[32]. - The company emphasizes the potential risks and uncertainties that could affect its financial results, including economic conditions and regulatory changes[39].

Exhibit 99.1 NECB Earnings Press Release for 12/31/2025: NORTHEAST COMMUNITY BANCORP, INC. REPORTS RESULTS FOR THE QUARTER AND YEAR ENDED DECEMBER 31, 2025 White Plains, New York, January 28, 2026 – NorthEast Community Bancorp, Inc. (Nasdaq: NECB) (the "Company"), the parent holding company of NorthEast Community Bank (the "Bank"), reported net income of $10.8 million, or $0.81 per basic share and $0.79 per diluted share, for the quarter ended December 31, 2025 compared to net income of $10.2 million, or $0 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION (Mark One) Washington, D.C. 20549 ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended January 2, 2026 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 number: 1-8703 Registrant's telephone number, including area code: (408) 717-6000 Securities registered pursuant to Section 12(b) of the A ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Exact Name of Registrant as Specified in its Charter) incorporation or organization) DELAWARE 39-1168275 (State or other jurisdiction of (I.R.S. Employer Identification No.) 4129 North Port Washington Avenue, Milwaukee, Wisconsin (Address of principal executive offices) (Zip Code) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 for the quarterly period ended December ...

Financial Performance - For the three months ended December 31, 2025, net revenue increased by 15% to $10,901 million compared to $9,510 million in the prior year[91]. - Net income for the same period was $5,853 million, reflecting a 14% increase from $5,119 million[91]. - Non-GAAP net income increased by 12% to $6,124 million compared to $5,463 million in the prior year[91]. - Non-GAAP diluted earnings per share increased by 15% to $3.17 from $2.75 in the prior year[91]. - Service revenue increased by 13% to $4,760 million in Q4 2025, driven by a 9% growth in nominal payments volume[3]. - Data processing revenue rose 17% to $5,544 million, supported by a 9% increase in processed transactions[3]. Operating Expenses - Operating expenses rose by 27% to $4,164 million, primarily due to higher litigation provisions[92]. - Total operating expenses for the three months ended December 31, 2025, were $4,164 million, a 27% increase from $3,276 million in 2024[5]. - The company recorded an additional accrual of $707 million related to interchange multidistrict litigation for the quarter[94]. Shareholder Actions - The company repurchased 11 million shares of class A common stock for $3.8 billion, with remaining authorized funds for repurchase at $21.1 billion[95]. - The company repurchased $3.8 billion of its class A common stock in the open market during the three months ended December 31, 2025[13]. - For the three months ended December 31, 2025, the company declared and paid $1.3 billion in dividends[15]. Cash Flow - Cash provided by operating activities increased to $6,780 million in Q4 2025, up from $5,396 million in 2024[10]. Market and Transaction Metrics - Payments volume, a key driver of service revenue, is calculated in U.S. dollars and excludes Europe co-badged volume[100]. - Processed transactions, which include payments and cash transactions, represent the total transactions processed on Visa's networks[100]. - Total nominal payments volume for the three months ended September 30, 2025, reached $3,732 billion, a 9% increase compared to $3,409 billion in 2024[1]. - Exchange rate movements contributed approximately one percentage point to net revenue growth for the quarter[91]. Tax and Regulatory Changes - The effective income tax rate decreased to 13% in Q4 2025 from 17% in 2024, primarily due to a $333 million deferred tax benefit[9]. - FASB issued ASU 2024-03 in November 2024, requiring additional disclosure on specific expense categories, effective for annual periods beginning October 1, 2027[119]. - FASB issued ASU 2025-06 in September 2025, modernizing accounting for internal-use software, effective for annual and interim periods beginning October 1, 2028[120]. - No significant changes to market risks since September 30, 2025[121]. Litigation and Escrow - The company deposited $500 million into a U.S. litigation escrow account for claims associated with interchange multidistrict litigation[17].

FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 27, 2025 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____ to _____ Commission File #1-4224 Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (Exact name of registrant as specified in its charter) (State or other jurisdiction (IRS Employer of incorporati ...

Financial Performance - For Q4 2025, Blue Ridge Bankshares reported net income of $4.2 million, or $0.04 per diluted common share, down from $5.6 million, or $0.06 per diluted common share in Q3 2025, and a net loss of $2.0 million in Q4 2024[4]. - For the full year 2025, net income was $10.7 million, or $0.11 per diluted common share, compared to a net loss of $15.4 million, or ($0.31) per diluted common share in 2024[5]. - Net income for the three months ended December 31, 2025, was $4,244 thousand, a decrease of 24.2% from $5,603 thousand in the previous quarter[45]. - Diluted earnings per share for the twelve months ended December 31, 2025, was $0.11, compared to a loss of $0.31 for the same period in 2024[46]. Asset and Loan Management - Total assets decreased to $2.43 billion at the end of Q4 2025, down from $2.50 billion in Q3 2025, driven by a $47.0 million decline in loans held for investment[21]. - Loans held for investment were $1.87 billion at December 31, 2025, down from $1.91 billion at September 30, 2025, and $2.11 billion at December 31, 2024, reflecting a decline of $246.1 million in 2025[31]. - The allowance for credit losses as a percentage of total loans held for investment was 1.04% at December 31, 2025, compared to 1.07% at the prior quarter end[15]. - The allowance for credit losses decreased from $23,023 thousand to $19,444 thousand, indicating improved credit quality[44]. Income and Expenses - The company reduced noninterest expenses by $3.1 million in Q4 2025, primarily due to lower salaries and employee benefits, resulting in improved earnings over the last two years[7]. - Noninterest income for Q4 2025 was $2.7 million, down from $3.8 million in Q3 2025 and $2.8 million in Q4 2024, with total noninterest income for the year at $12.8 million compared to $13.6 million in 2024[29]. - Noninterest expense decreased by $3.1 million from the prior quarter and $8.7 million from the year-ago period, totaling $81.9 million for 2025 compared to $113.8 million in 2024[30]. - Total noninterest expense for the twelve months ended December 31, 2025, was $81,922 thousand, a decrease of 28.1% compared to $113,841 thousand for the same period in 2024[46]. Dividends and Shareholder Returns - The company announced a special cash dividend of $0.25 per share, totaling approximately $29.1 million, paid on November 21, 2025[13]. - Cash dividends per common share were $0.25 in Q4 2025, compared to no dividends in Q3 2025[47]. Operational Efficiency - The efficiency ratio for Q4 2025 was 81.3%, an increase from 77.8% in Q3 2025, indicating a decline in operational efficiency[47]. - The return on average assets for Q4 2025 was 0.69%, down from 0.88% in Q3 2025[47]. Deposits and Funding - Total deposits were $1.91 billion at December 31, 2025, a decrease of $39.9 million from September 30, 2025, and $268.3 million from December 31, 2024[32]. - Noninterest-bearing deposits represented 20.9% of total deposits at December 31, 2025, compared to 21.1% at September 30, 2025, and 20.8% at December 31, 2024[34]. - Brokered deposits as a percentage of total deposits declined to 12.5% at December 31, 2025, from 18.5% at December 31, 2024[33]. - The total loan to deposit ratio was 98.4% in Q4 2025, slightly down from 98.7% in Q3 2025[47]. Employee and Business Model Changes - The company transitioned to a more traditional community banking model, resulting in a reduction of 140 employees, or over 30%, since year-end 2024[30]. Market and Economic Outlook - The company is projecting mid-single digit balance sheet growth and positive momentum as it starts the new year[8]. - The company cautions that forward-looking statements are subject to various risks and uncertainties that could materially affect actual results[39].

Financial Performance - For the nine months ended September 30, 2025, total revenue was $60.8 million, a decrease of 14.4% from $70.9 million in the same period of 2024[306]. - Livestreaming ecommerce accounted for 99.61% of total revenue, generating approximately $60.6 million for the nine months ended September 30, 2025, compared to $70.9 million in 2024[294][308]. - The net loss for the period from continuing operations was $11.2 million for the nine months ended September 30, 2025, compared to a loss of $8.8 million in 2024[306]. - Revenue from livestreaming e-commerce decreased to $60.6 million for the nine months ended September 30, 2025, down 14.5% from $70.9 million in 2024[317]. - Loss before taxation increased to $11.2 million for the nine months ended September 30, 2025, up 27.3% from a loss of $8.8 million in 2024[329]. - Net loss attributable to equity holders was $10.8 million for the nine months ended September 30, 2025, compared to $8.5 million in 2024[331]. Revenue Sources - The business management and consulting segment generated $0.2 million in revenue for the nine months ended September 30, 2025, a significant increase from $44,000 in the same period of 2024[309]. - Revenue from DOU+ was nil in 2025, compared to $25.3 million in 2024, due to regulatory changes affecting advertising expenses[318]. - Revenue from business management and consulting services increased to $0.2 million for the nine months ended September 30, 2025, from $44,000 in 2024, representing a 440.9% increase[319]. Cost Management - The cost of revenues decreased from $68.5 million to $60.7 million for the nine months ended September 30, 2025, reflecting a reduction in operational costs[304]. - Total operating costs and expenses for continuing operations were $9.3 million for the nine months ended September 30, 2025, down from $12.7 million in 2024[307]. - Selling and distribution expenses decreased by 67.1% to $1.1 million for the nine months ended September 30, 2025, from $3.4 million in 2024[326]. - Administrative expenses decreased by 14.5% to $7.2 million for the nine months ended September 30, 2025, compared to $8.4 million in 2024[327]. - Cost of revenues for livestreaming e-commerce was $60.7 million for the nine months ended September 30, 2025, down from $68.3 million in 2024[320]. Strategic Changes - The company ceased operations in the DOU+ sector entirely in 2025, resulting in a revenue drop from $25.3 million in 2024 to $0 in 2025 due to regulatory changes[295]. - The company completed the divestiture of its ceramic tile manufacturing business on April 28, 2023, marking a strategic shift towards high-growth technology areas[299]. - The company has expanded its livestreaming ecommerce reach to second and third tier cities in China, where conversion rates are reportedly high[292]. - The SaaS platform for livestreaming ecommerce is expected to provide value-added services, although its official launch is pending regulatory clarifications[293]. Cash Flow and Financing - Net cash used in operating activities was $15.5 million for the year ended December 31, 2024, an increase of $7.0 million from $8.5 million in 2023[373]. - Net cash generated from financing activities was $3.3 million for the nine months ended September 30, 2025, a decrease from $12.4 million for the same period in 2024, primarily due to a $5.5 million decrease in equity finance inflow[377]. - The Company entered into a securities purchase agreement to sell 1,727,941 Class A ordinary shares at a price of $1.36, generating gross proceeds of approximately $2.35 million for business expansion in the U.S.[356]. Assets and Liabilities - Cash and bank balances increased to $1.9 million as of September 30, 2025, compared to $1.0 million as of December 31, 2024[379]. - Total outstanding note payables amounted to $2.4 million as of September 30, 2025[380]. - The company's total contractual obligations as of September 30, 2025, were $3.83 million, with $2.89 million due within one year[386]. - The net carrying amount of inventories as of September 30, 2025, was $5,000, compared to $0 as of December 31, 2024[420]. Market and Economic Conditions - The general annual inflation rate in China was approximately 2.0% in 2025, which may impact the company's profitability[388]. - Nearly all monetary assets and liabilities were denominated in RMB as of September 30, 2025, with some bank balances and borrowings in US dollars, highlighting potential foreign currency risk as the company expands into overseas markets[563]. - The Renminbi's exchange rate is influenced by China's political and economic conditions, with the People's Bank of China intervening to maintain stability, which could lead to significant fluctuations in the future[564]. - Limited hedging transactions are available in China to mitigate exchange rate fluctuations, and the company currently has no intention to enter into currency hedging transactions[565].

Financial Performance - Total net revenues for the six months ended December 31, 2025, increased to $848.68 million, up from $763.83 million in the same period of 2024, representing an increase of 11.1%[11] - Gross profit for the six months ended December 31, 2025, was $274.81 million, compared to $268.65 million for the same period in 2024, reflecting a growth of 2.4%[11] - Net income for the six months ended December 31, 2025, rose to $59.26 million, compared to $55.76 million in the prior year, marking an increase of 6.7%[11] - The company reported a diluted earnings per share of $3.39 for the six months ended December 31, 2025, up from $3.27 in the same period of 2024, an increase of 3.7%[11] - Basic earnings per share for the six months ended December 31, 2025, was $3.52, up from $3.33 in 2024, reflecting a growth of 5.7%[22] - The company reported a segment income from operations of $97,472 for the six months ended December 31, 2025[100] Cash and Liquidity - Cash and cash equivalents decreased to $106.41 million as of June 30, 2025, down from $336.72 million at December 31, 2024[10] - Net cash provided by operating activities for the six months ended December 31, 2025, was $79.337 million, significantly higher than $15.388 million in 2024[18] - Cash and cash equivalents at the end of the period totaled $336.722 million, with approximately 32% held by foreign subsidiaries[24] - Net cash provided by financing activities was $172.6 million for YTD Q2 fiscal 2026, compared to $89.2 million in the same prior-year period, driven by net proceeds of $562.9 million from the issuance of 2031 Notes[146] - Cash used in investing activities was $21.4 million for YTD Q2 fiscal 2026, a decrease from $97.6 million in the same prior-year period, mainly due to a prior-year business acquisition[145] Expenses and Liabilities - Total current liabilities increased to $696.94 million as of June 30, 2025, compared to $535.36 million at December 31, 2024, indicating a rise of 30.1%[10] - Operating expenses for the six months ended December 31, 2025, were $182.95 million, slightly up from $180.37 million in the same period of 2024, an increase of 1.4%[11] - Total interest and other expense for the six months ended December 31, 2025, was $(18,111) thousand, compared to $(15,978) thousand for the same period in 2024, reflecting a 7.1% increase[31] - The company recognized $5.6 million in impairment, restructuring, and other charges during the six months ended December 31, 2025, including $1.0 million for asset impairment and $1.1 million for employee terminations[55] Research and Development - Research and development expenses for the six months ended December 31, 2025, were $40.19 million, compared to $36.03 million in the same period of 2024, reflecting an increase of 11.9%[11] - Research and development expenses for the three months ended December 31, 2025, totaled $19,759, reflecting the company's commitment to innovation[97] - Research and development expenses rose by $1.5 million to $19.8 million in Q2 fiscal 2026, reflecting increased compensation costs for new product development initiatives[125] Acquisitions and Assets - The company acquired a provider of military and surveillance solutions for approximately $76 million, with total purchase consideration of $85.7 million allocated to assets acquired[38] - The acquisition date fair value of total assets acquired was $113.9 million, including $30.7 million in goodwill and $47.3 million in other intangible assets[38] - Goodwill as of December 31, 2025, was $385,747 thousand, down from $387,393 thousand as of June 30, 2025, reflecting a decrease of 0.4%[42] - Total intangible assets increased from $261,829 thousand as of June 30, 2025, to $268,083 thousand as of December 31, 2025[43] Shareholder Activities - The company repurchased 546,945 shares of common stock for a total price of $146.1 million, with 643,611 shares remaining available for repurchase under the authorized program[80] - Stock-based compensation expense for the six months ended December 31, 2025, was $13.250 million, down from $14.931 million in 2024[75] - As of December 31, 2025, total unrecognized compensation cost related to share-based compensation grants was estimated at $20.4 million[75] Taxation - The effective tax rates for the six months ended December 31, 2024 and 2025 were 22.9% and 19.7%, respectively, with net discrete tax benefits recognized of $1.7 million in 2025[92] - The effective tax rate decreased from 23.3% in Q2 fiscal 2025 to 19.5% in Q2 fiscal 2026, with a provision for income taxes of $9.4 million[128] Market and Economic Factors - The company faces uncertainties related to global economic factors, including inflation, interest rates, and geopolitical tensions, which may impact future performance[113] - The company is evaluating the financial impact of the One Big Beautiful Bill Act, which may affect its effective tax rate and deferred tax balances in future periods[93] Segment Performance - Security division revenues rose by 15.4% year-over-year to $334.7 million, with product revenues increasing by approximately $17.7 million and service revenues by $27.0 million[120] - Security division revenues for the six months ended December 31, 2025, increased by 14.5% to $589.0 million, driven by growth in both product and service revenues[130] - The company reported total revenues of $419.82 million for the three months ended December 31, 2024, with external customer revenue from the Security division at $289.99 million[95]

Revenue Growth - Revenue increased by 11% to $1,042.2 million for the three months ended December 31, 2025, driven by external revenue growth across all reportable segments [136]. - Organic constant-currency revenue growth was 4% for the same period, excluding the impact of acquisitions and divestitures [136]. - Total revenue for the six months ended December 31, 2025, was $1,905.5 million, an increase of 9% compared to the prior year [136]. - For the three and six months ended December 31, 2025, reported revenue growth was $103.0 million and $161.4 million, primarily driven by the Vista and PrintBrothers segments [149]. - Vista revenue increased by $21.2 million and $41.0 million for the three and six months ended December 31, 2025, with significant growth in the PPAG and packaging and labels categories [149]. - PrintBrothers achieved a reported revenue growth of 26% for the three months and 21% for the six months ended December 31, 2025, with organic constant-currency revenue growth of 6% and 7%, respectively [175][176]. - The Print Group's revenue growth was 16% for both the three and six months ended December 31, 2025, positively impacted by currency fluctuations of 9% and 8%, resulting in constant-currency revenue growth of 7% and 8% [178][180]. - National Pen's revenue growth was 15% for the three months and 13% for the six months ended December 31, 2025, with constant-currency revenue growth of 10% and 9%, respectively [182][183]. - All Other Businesses reported an 11% revenue growth for the three months and 10% for the six months ended December 31, 2025, with a positive impact from currency fluctuations of 1% in both periods [186][187]. Income and Expenses - Operating income increased by $7.1 million to $88.1 million for the three months ended December 31, 2025 [135]. - Net income decreased by $12.1 million to $49.5 million for the three months ended December 31, 2025, partly impacted by lower unrealized hedging gains [138]. - Adjusted EBITDA increased by $6.6 million to $138.8 million for the three months ended December 31, 2025, benefiting from revenue growth and currency effects [139]. - Adjusted free cash flow decreased by $1.3 million to $106.6 million due to increased capital expenditures and software development costs [141]. - Year-over-year cost of revenue increased by $65.2 million and $103.0 million, driven by higher internal manufacturing costs and shipping costs [152]. - Technology and development expenses rose by 7% and 6% year-over-year for the three and six months ended December 31, 2025, totaling $89.1 million and $174.0 million, respectively [155]. - Marketing and selling expenses increased by 10% and 7% year-over-year for the three and six months ended December 31, 2025, totaling $246.2 million and $456.6 million, respectively [155]. - General and administrative expenses increased by 6% and 5% year-over-year for the three and six months ended December 31, 2025, totaling $60.2 million and $114.2 million, respectively [155]. - Interest expense, net decreased by $2.2 million and $5.5 million year-over-year for the three and six months ended December 31, 2025, due to a lower weighted average interest rate [166]. - Income tax expense for the three months ended December 31, 2025, was $13.3 million, with an effective tax rate of 21.2%, down from 25.6% in the prior year [167]. - Total other income, net for the three months ended December 31, 2025, was $1.7 million, significantly lower than $31.7 million in the prior year, primarily due to currency exchange rate volatility [163]. Segment Performance - The largest contributor to organic constant-currency revenue growth came from the Vista business, driven by growth across all major markets [134]. - Vista reported a revenue growth of 7% for both the three and six months ended December 31, 2025, with a constant-currency revenue growth of 5% after accounting for a 2% positive impact from currency fluctuations [172]. - Vista's segment EBITDA increased by $9.8 million and $18.6 million for the three and six months ended December 31, 2025, primarily due to gross profit growth of $19.3 million and $34.7 million, respectively [174]. - PrintBrothers' segment EBITDA increased by $4.9 million and $10.5 million for the three and six months ended December 31, 2025, benefiting from currency fluctuations of $2.3 million and $3.9 million, respectively [177]. - The Print Group's segment EBITDA increased by $4.2 million and $4.8 million for the three and six months ended December 31, 2025, with positive impacts from currency fluctuations of $1.8 million and $2.9 million [181]. - National Pen's segment EBITDA increased by $2.2 million and $4.4 million for the three and six months ended December 31, 2025, supported by positive currency fluctuations of $2.2 million [184]. Financial Obligations and Debt - As of December 31, 2025, total contractual obligations amount to $2,585.4 million, with $249.6 million due within one year and $1,400.7 million due within 1-3 years [198]. - The company has unrecorded purchase commitments of $368.7 million, including $227.1 million for third-party cloud services and $78.8 million for third-party fulfillment and digital services [201]. - The company has $1,067.4 million in variable-rate debt, with a potential $7.7 million increase in interest expense over the next 12 months if rates rise by 100 basis points [217]. - The company completed a private placement of $525.0 million in senior unsecured notes due 2032, bearing interest at 7.375% per annum [203]. - The company has $15.5 million in other debt obligations due on various dates through September 2037 [205]. - As of December 31, 2025, the company has $42.9 million in present value of lease installments not yet due under finance leases [206]. - The company has a senior secured revolving credit facility of $250.0 million, with $232.4 million unused as of December 31, 2025 [202]. - The company is in compliance with all covenants under its Restated Credit Agreement and the indenture governing its 2032 Notes as of December 31, 2025 [204]. Currency and Hedging - The U.S. tariff environment remains fluid, impacting pricing strategies and supply chain optimization efforts [130]. - The company aims to reduce the impact of adverse currency exchange rate movements through the use of derivatives, although this does not entirely eliminate the risk [219]. - Non-U.S. dollar revenues and expenses may lead to significant impacts on net income and non-GAAP financial metrics, such as adjusted EBITDA, when translated to U.S. dollars [219]. - The company's currency hedging objectives focus on reducing volatility in forecasted U.S. dollar-equivalent adjusted EBITDA to maintain stability on incurrence-based debt covenants [219]. - Adjusted EBITDA excludes non-cash items like depreciation and amortization, which may lead to increased volatility in GAAP results due to the hedging approach [219]. - The most significant net currency exposures by volume are in the Euro and GBP [219]. - The company executes currency derivatives contracts that do not qualify for hedge accounting, leading to potential volatility in consolidated statements of operations [220]. - Unrealized gains and losses from outstanding contracts may impact other income, net, affecting the company's financial statements [220]. - Realized gains and losses are recognized in other income, net, while the offsetting economic gains and losses are reported in the underlying activity line item, such as revenue [220].