Levi & Korsinsky Investigates Whether Ralliant's $1.4 Billion Goodwill Write-Down Reflects Previously Undisclosed Asset Deterioration [Accessibility Statement] Skip Navigation(NYSE: RAL)NEW YORK, Feb. 25, 2026 /PRNewswire/ -- Levi & Korsinsky, LLP is investigating Ralliant Corp. (NYSE: RAL) on behalf of shareholders concerning the company's February 4, 2026 disclosure of a $1.4 billion goodwill impairment charge in connection with its fourth-quarter 2025 earnings release. The impairment represents approxima ...

Core Viewpoint - Pomerantz Law Firm is investigating claims on behalf of investors of Ralliant Corporation regarding potential securities fraud or unlawful business practices following a significant financial impairment announcement [1] Financial Results - On February 4, 2026, Ralliant reported a $1.4 billion non-cash goodwill impairment in its Test & Measurement segment, linked to its acquisition of EA Elektro-Automatik [1] - The impairment was attributed to revised long-term expectations for the EA business and a reduction in industry forecasts for future electric vehicle (EV) adoption [1] Stock Market Reaction - Following the announcement of the impairment, Ralliant's stock price dropped by $17.89 per share, representing a decline of 31.79%, closing at $38.39 per share on February 5, 2026 [1]

Core Insights - The company announced an Americas Restructuring Plan aimed at creating a more agile segment and facilitating future growth, resulting in charges of $28.7 million primarily for severance and post-employment benefits [1] Financial Performance - The reported net loss attributable to MCBC led to a diluted per share calculation using a share count of 199.1 million shares for the year ended December 31, 2025 [2] - A partial goodwill impairment loss of $3,645.7 million was recorded, with $77.5 million attributable to non-controlling interests (NCI) [2] - Intangible impairment losses of $273.9 million were recorded, with $18.9 million attributable to NCI, due to triggering events in the Americas and EMEA&APAC segments [2] Restructuring and Charges - The total restructuring charges for the Americas Restructuring Plan are expected to be approximately $35 million, at the low end of the previously communicated range of $35 million to $50 million, with remaining charges predominantly employee-related [2] - In the first quarter of 2025, the company incurred an incremental accelerated depreciation of $17.9 million due to the wind down or sale of certain U.S. craft businesses [2] Investments - The company made an investment in Fevertree Drinks plc, holding a minority interest, and recorded an unrealized gain of $31.7 million from the change in fair value of this investment during the year ended December 31, 2025 [2] Earnings Adjustments - Adjustments to arrive at underlying per diluted share and underlying income per diluted share for the year ended December 31, 2025, used a share count of 199.8 million shares, leading to discrepancies in earnings per share totals [2] - The company recorded $60.7 million of income attributable to NCI related to changes in the redemption value of certain redeemable NCI during the year ended 2025 [2]

Financial Data and Key Metrics Changes - Consolidated revenue for Q4 2025 was $95.8 million, up 17% year-over-year, with adjusted EBITDA of $40.6 million, up 16% year-over-year [6][11] - Net cash flow from operations was $42.6 million in Q4 2025, bringing the total for the full year to $136.8 million [7][16] - Profit excluding non-controlling interests decreased 31% to $24.7 million, with earnings per fully diluted common share of $9.72 compared to $14.40 in Q4 2024 [15] Business Line Data and Key Metrics Changes - Social casino revenue grew 9% year-over-year to $79.7 million, driven by the contribution from WHOW Games [7][11] - iGaming revenue from SuprNation was $16.1 million, up 78% year-over-year [9][11] - The payer conversion rate for social casino increased to 9.6% in Q4 2025 from 6.9% in Q4 2024, while average monthly revenue per payer decreased to $198 from $282 [8][13] Market Data and Key Metrics Changes - The overall social casino market faced growth challenges, but there is potential for growth outside the United States, particularly in Europe [8] - WHOW Games has a higher direct-to-consumer (DTC) revenue component due to its web-based history, contributing to the overall DTC revenue exceeding 30% of total social casino revenue in Q4 [9] Company Strategy and Development Direction - The company aims to innovate and enhance its social casino and iGaming businesses through product improvements and marketing strategies [17] - There is a focus on increasing DTC revenue as a percentage of overall social casino revenue in 2026 [9][33] - The company is evaluating potential acquisitions while maintaining a strong balance sheet and cash position [17] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges in the social casino sector but emphasized the importance of efficiency and innovation for profitability [24] - AI is being integrated into workflows to enhance content production, player experience, and marketing optimization [25][26] - The company is mindful of the disciplined approach to marketing spend and player acquisition, especially in light of changing gaming regulations [30][46] Other Important Information - Operating expenses increased to $65.9 million in Q4 2025, primarily due to impairment loss recognized for SuprNation's goodwill [14] - The goodwill write-down for SuprNation was approximately $8 million, reflecting third-party valuation assessments [51] Q&A Session Summary Question: Can you bifurcate DoubleDown Casino and WHOW revenue contribution and growth? - Management indicated that both entities performed well, with WHOW Games having a high DTC mix due to its web-based player engagement [19][20] Question: What is the company's approach to AI and automation? - Management highlighted that AI is being used to enhance content production, personalize player experiences, and optimize marketing efforts [25][26] Question: Is the moderation in customer acquisition spend for SuprNation temporary or a shift towards profitability? - Management confirmed that the moderation is a disciplined response to ROI measurements, with ongoing adjustments based on market conditions [30] Question: How does the company view the promotional landscape in light of recent legislative changes? - Management noted that while marketing costs have increased, the pressure from sweepstakes legislation has lessened somewhat [46] Question: What is the company's stance on capital allocation and potential buybacks? - Management emphasized that long-term shareholder value is a priority, with ongoing discussions about capital returns and M&A strategies [37][38]

Financial Data and Key Metrics Changes - The company reported consolidated revenue of $95.8 million for Q4 2025, representing a 17% year-over-year increase, and adjusted EBITDA of $40.6 million, up 16% year-over-year [6][11] - Net cash flow from operations was $42.6 million in Q4 2025, contributing to a total of $136.8 million for the full year [7][16] - Profit excluding non-controlling interests decreased by 31% to $24.7 million, with earnings per fully diluted common share of $9.72 compared to $14.40 in Q4 2024 [15] Business Line Data and Key Metrics Changes - Social casino revenue grew 9% year-over-year to $79.7 million, driven by the contribution from WHOW Games [7][11] - iGaming revenue from SuprNation was $16.1 million, up 78% year-over-year, with a quarterly revenue run rate that has more than doubled since the acquisition [9][10] - The payer conversion rate for social casino increased to 9.6% in Q4 2025 from 6.9% in Q4 2024, while average monthly revenue per payer decreased to $198 from $282 [13][14] Market Data and Key Metrics Changes - The overall social casino market faced growth challenges, but the company sees potential for growth outside the United States, particularly in Europe [8][9] - The company noted that WHOW Games has a higher direct-to-consumer (DTC) revenue component due to its web-based history, contributing to the overall DTC revenue exceeding 30% of total social casino revenue in Q4 [8][9] Company Strategy and Development Direction - The company aims to innovate and enhance its social casino and iGaming businesses through product improvements and marketing strategies [17] - There is a focus on increasing DTC revenue as a percentage of overall social casino revenue, with plans to optimize the business further in 2026 [9][34] - The company is evaluating potential acquisitions while maintaining a strong balance sheet and cash position [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering strong profits and cash flow, emphasizing the importance of disciplined investment and operational efficiency [17][24] - The company is adapting to changes in the gaming tax landscape and is mindful of maintaining a disciplined approach to marketing spend [32][48] Other Important Information - The company recognized an impairment loss on SuprNation's goodwill, amounting to approximately $8 million, despite the business's growth [15][53] - The company has a net cash position of approximately $455 million as of December 31, 2025, or about $9.19 per ADS [16] Q&A Session Summary Question: Can you bifurcate DoubleDown Casino and WHOW revenue contribution and growth? - Management indicated that both segments performed well, with WHOW Games having a high DTC mix, but they will not specifically quantify the contributions going forward [19][20] Question: What is the company's approach to AI and automation? - Management highlighted that AI is being integrated into content production, live operations, and marketing optimization to enhance efficiency and decision-making [25][24] Question: Is the moderation of customer acquisition spend at SuprNation temporary or a shift towards profitability? - Management confirmed that the moderation is a disciplined response to ROI measurements, indicating a focus on profitability while still investing in growth [30][32] Question: What is the company's strategy regarding capital returns given its cash position? - Management stated that long-term shareholder value is a priority, and while discussions about capital returns are ongoing, the focus remains on growth through acquisitions [38][39] Question: What caused the impairment charge for SuprNation? - Management explained that the impairment charge was based on third-party valuations and is a standard practice at year-end [40][53]

Financial Data and Key Metrics Changes - The company reported consolidated revenue of $95.8 million for Q4 2025, representing a 17% increase year-over-year from $82.0 million in Q4 2024 [5][11] - Adjusted EBITDA for Q4 2025 was $40.6 million, up 16% year-over-year, with an adjusted EBITDA margin of 42.3% compared to 42.8% in Q4 2024 [5][15] - Net cash flow from operations was $42.6 million in Q4 2025, bringing the total for the full year to $136.8 million [6][16] - Profit excluding non-controlling interests decreased by 31% to $24.7 million, with earnings per fully diluted common share of $9.72, down from $14.40 in Q4 2024 [14][15] Business Line Data and Key Metrics Changes - Social casino revenue grew 9% year-over-year to $79.7 million, driven by the first full quarter contribution from WHOW Games [6][11] - iGaming revenue from SuprNation was $16.1 million, up 78% year-over-year, although it remained flat compared to Q3 2025 [9][11] - The payer conversion rate for social casino increased to 9.6% in Q4 2025 from 6.9% in Q4 2024, while average monthly revenue per payer decreased to $198 from $282 [7][12] Market Data and Key Metrics Changes - The overall social casino market faced growth challenges, but the company sees potential for growth outside the United States, particularly in Europe [8] - The company noted that WHOW Games has a higher direct-to-consumer (DTC) revenue mix due to its web-based history, contributing to the overall DTC revenue exceeding 30% of total social casino revenue in Q4 [9][20] Company Strategy and Development Direction - The company aims to innovate and enhance its social casino and iGaming businesses through product improvements and marketing strategies [17] - The focus remains on increasing DTC revenue as a percentage of overall social casino revenue, with plans to optimize the business further in 2026 [9][34] - The company is evaluating potential acquisitions while maintaining a strong balance sheet and cash position [17][38] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the need for disciplined spending in player acquisition, particularly in the iGaming segment, while also addressing changes in gaming tax regulations in the UK [32] - The company is leveraging AI to enhance content production, live operations, and marketing optimization, aiming to improve decision quality and returns across the business [25][26] - Management emphasized the importance of maintaining profitability while pursuing growth opportunities in a mature market [23][39] Other Important Information - The company recognized an impairment loss of approximately $8 million related to SuprNation's goodwill, despite the business showing robust growth [15][52] - The company holds a net cash position of approximately $455 million as of December 31, 2025, equating to about $9.19 per ADS [16] Q&A Session Summary Question: Can you bifurcate DoubleDown Casino and WHOW revenue contribution and growth? - Management indicated that both segments performed well, with WHOW Games contributing significantly to DTC revenue, but they will not specifically quantify the revenue from each segment going forward [19][20] Question: What is the company's approach to AI and automation? - Management highlighted that AI is being integrated into content production, live operations, and marketing optimization to enhance efficiency and decision-making [24][25] Question: Is the moderation in customer acquisition spend for SuprNation temporary or a shift towards profitability? - Management confirmed that the moderation is a disciplined approach to measuring ROI on player acquisition, indicating a focus on profitability moving forward [29][30] Question: What is the long-term margin structure for SuprNation? - Management noted that they will continue to monitor and adjust marketing spend based on ROI, with a focus on maintaining profitability while exploring growth opportunities [30][32] Question: Why is there a delay in capital returns such as buybacks or dividends? - Management stated that the focus remains on long-term shareholder value through M&A strategies, with discussions ongoing about potential capital returns as the cash balance grows [38][39]

Core Viewpoint - Northfield Bancorp, Inc. reported a net loss of $27.4 million for Q4 2025, primarily due to a $41.0 million goodwill impairment charge, despite an increase in net interest income driven by lower funding costs and higher yields on loans and securities [2][6][12]. Financial Performance - For the year ended December 31, 2025, net income was $796,000, a significant decrease from $29.9 million in 2024, largely due to the goodwill impairment charge [4][12]. - Net interest income for 2025 increased by $22.9 million, or 20.0%, to $137.4 million, attributed to a decrease in interest expense and an increase in interest income [5][8]. - The net interest margin improved by 45 basis points to 2.55% for 2025, driven by higher yields on loans and mortgage-backed securities [8]. Operational Highlights - Non-interest income for 2025 increased marginally by $128,000 to $17.0 million, primarily due to higher income on bank-owned life insurance and service charges [10]. - Non-interest expense rose by $43.3 million, or 50.1%, to $129.9 million, mainly due to the goodwill impairment charge [11][12]. Asset Quality and Loan Portfolio - Non-performing loans to total loans stood at 0.42% as of December 31, 2025, indicating strong asset quality [6]. - Loans held for investment decreased by $165.5 million to $3.86 billion, with a notable decline in multifamily loans [28][29]. Deposit and Funding - Total deposits, excluding brokered deposits, increased by $100.2 million, or 2.6%, to $3.98 billion, driven by growth in transaction accounts [39]. - Borrowed funds increased to $961.9 million, reflecting a strategic shift away from brokered deposits [42]. Equity and Capital Management - Total stockholders' equity decreased by $14.6 million to $690.1 million, influenced by stock repurchases and dividend payments [44]. - The Company declared a cash dividend of $0.13 per share, payable on February 25, 2026 [3][6].

Core Insights - CVS Health reported a significant third-quarter loss of $4 billion, primarily due to the reduced value of its Oak Street Health primary care facilities [2][3] - Despite the loss, CVS raised its adjusted earnings per share guidance to a range of $6.55 to $6.65, up from $6.30 to $6.40, attributed to improved performance in its Aetna health insurance business [4] Financial Performance - The company experienced a net loss of $3.98 billion, or $3.13 per share, due to a $5.7 billion goodwill impairment charge related to the Health Care Delivery reporting unit, which includes Oak Street [6] - CVS's medical benefit ratio improved to 92.8% in the third quarter from 95.2% in the same period last year, indicating better management of health costs [5] - Revenues rose nearly 8% to a record $102.9 billion, driven by growth across all operating segments, with adjusted operating income increasing over 35% to $3.45 billion [10] Strategic Changes - CVS announced plans to close 16 Oak Street Health Centers, representing 7% of its senior-focused primary care locations, following challenges in the business's growth [7][8] - The company is reducing the number of new primary care clinics it will open in 2026 and beyond, reflecting updated financial projections and strategic changes in its health care delivery management team [9]

Core Insights - Centene's results exceeded Wall Street expectations, indicating a "fairly positive" performance despite a mixed quarter overall [3] - The company reported a net loss of $6.6 billion in the third quarter, primarily due to a non-cash goodwill impairment charge of $6.7 billion [8] - Operationally, Centene is making progress on its turnaround, with a medical loss ratio of 92.7% in Q3, which is an increase from 89.2% year-over-year but lower than analysts' expectations [6] Financial Performance - Centene's earnings improved on an adjusted basis compared to the second quarter, although they were down year-over-year [3] - The company's stock hit a decade low in July following disappointing second quarter results, resulting in significant value loss [4] - The full-year earnings outlook was increased by executives following the quarterly results, indicating confidence in future performance [8] Market Context - The GOP's "One Big Beautiful Bill," which includes cuts to Medicaid and changes to the ACA, has negatively impacted Centene's goodwill and contributed to the impairment charge [5] - Medicaid remains a crucial segment for Centene, accounting for 45% of its nearly 28 million medical members and 52% of its $44.9 billion in premium and service revenue [7] - Elevated utilization in Medicaid continues to be a challenge for the company, but executives expressed satisfaction with managing medical costs [8]

Core Viewpoint - Kentucky First Federal Bancorp reported a significant turnaround in net income for the quarter and year ended June 30, 2025, achieving net income of $176,000 for the quarter and $181,000 for the year, compared to net losses in the previous year [1][14]. Financial Performance - The net income for the quarter increased by $1.3 million from a net loss of $1.1 million in the same quarter of 2024, while the annual net income improved by $1.9 million from a net loss of $1.7 million [1][14]. - The increase in net earnings for the quarter was primarily due to the absence of a goodwill impairment charge of $947,000 recorded in the previous year [2]. - Net interest income rose by $401,000 or 21.1% to $2.3 million, driven by a $545,000 or 12.3% increase in interest income, which outpaced a $144,000 or 5.7% rise in interest expense [3][4]. - Non-interest income surged by $59,000 or 113.5% to $111,000, largely due to increased net gains on sales of loans, reflecting a growing demand for fixed-rate secondary market loans [5]. Balance Sheet Highlights - As of June 30, 2025, total assets decreased by $3.8 million or 1.0% to $371.2 million, primarily due to a $5.8 million or 1.7% decrease in loans [8][13]. - Total liabilities decreased by $4.1 million or 1.3% to $322.8 million, with a notable reduction in FHLB advances by $26.2 million or 38.0% [8][13]. - Shareholders' equity increased by $372,000 or 0.8% to $48.4 million, attributed to a decrease in accumulated other comprehensive loss and net earnings for the period [9][13]. Earnings Metrics - The book value per share was reported at $5.98, reflecting a slight increase from $5.94 in the previous year [9][13]. - The average rate earned on interest-earning assets increased by 63 basis points to 5.25%, contributing to the rise in interest income [4].