Market Newsdesk

January 31, 2025 6:06 am

Aon Reports Fourth Quarter and Full Year 2024 Results

PR Newswire

DUBLIN
, Jan. 31, 2025 /PRNewswire/ — Aon plc (NYSE: AON) today reported results for the three and twelve months ended December 31, 2024.

	Fourth Quarter 2024			Full Year 2024
	2024	2023	Change	2024	2023	Change
Total revenue	$4,147	$3,375	23 %	$15,698	$13,376	17 %
Organic revenue growth (Non-GAAP)			6 %			6 %
Operating margin	26.3 %	23.1 %		24.4 %	28.3 %
Adjusted operating margin (Non-GAAP)	33.3 %	33.8 %		31.5 %	31.6 %
Diluted EPS	$3.28	$2.47	33 %	$12.49	$12.51	— %
Adjusted EPS (Non-GAAP)	$4.42	$3.89	14 %	$15.60	$14.14	10 %
Cash provided by operations	$1,200	$1,261	(5) %	$3,035	$3,435	(12) %
Free cash flow (Non-GAAP)	$1,145	$1,212	(6) %	$2,817	$3,183	(11) %

We closed the year with another strong quarter of performance and delivered an outstanding full year 2024, with 6% Organic revenue growth, strong margins, double-digit adjusted EPS growth and $2.8 billion of Free Cash Flow, with NFP performing inline or better than our business case
We are introducing 2025 guidance that positions Aon to continue its long-term track record of delivering mid-single-digit or greater Organic revenue growth, adjusted margin expansion, strong adjusted EPS growth and double-digit Free Cash Flow growth
Our 2025 Free Cash Flow generation is expected to enable us to execute our capital allocation model, including meeting our leverage objective in Q4’25, investing in organic growth and tuck-in M&A, and returning capital to shareholders, including $1 billion in share repurchases

“We ended 2024 with another quarter of strong performance and outstanding execution across all aspects of our strategy,” said Greg Case, CEO. “We generated 6% Organic revenue growth for the fourth quarter and full year, with mid-single digit growth or better across all our solution lines. This top-line strength and continued cost efforts drove strong margins, double-digit EPS growth, and $2.8 billion of free cash flow. As expected, executing our 3×3 Plan creates differentiation in how we serve our clients across Risk Capital and Human Capital, powered by Aon Business Services. As clients navigate increasingly complex market dynamics, demand for our solutions remains strong. We are well-positioned to build on our momentum in 2025 and drive long-term value creation for our colleagues, clients and shareholders.”

Net income attributable to Aon shareholders in the fourth quarter increased 44%, or $3.28 per share on a diluted basis, compared to $2.47 per share on a diluted basis, in the prior year period. Adjusted net income per share attributable to Aon shareholders increased 14% to $4.42 on a diluted basis for the quarter, including an unfavorable impact of $0.07 per share if prior year period results were translated at current period foreign exchange rates (“foreign currency translation”), compared to $3.89 in the prior year. Certain items that impacted fourth quarter results and comparisons with the prior year period are detailed in “Reconciliation of Non-GAAP Measures – Operating Income, Operating Margin, and Diluted Earnings Per Share” on page 11 of this press release.

FOURTH QUARTER 2024 FINANCIAL SUMMARY

Beginning in the fourth quarter, the Company realigned from a single reporting segment to two: Risk Capital and Human Capital. This segmentation will align with how the Company addresses client needs, accelerating its Aon United strategy and maximizing value for Aon and its shareholders. Risk Capital is comprised of Commercial Risk Solutions and Reinsurance Solutions, while Human Capital is comprised of Health Solutions and Wealth Solutions.

Total
revenue in the fourth quarter increased 23% to $4.1 billion compared to the prior year period reflecting acquired revenues from NFP and 6% Organic revenue growth, partially offset by a 1% unfavorable impact from foreign currency translation. Risk Capital revenue increased $299 million, or 13%, to $2.5 billion and Human Capital revenue increased $472 million, or 41% to $1.6 billion.

Total operating expenses in the fourth quarter increased 18% to $3.1 billion compared to the prior year period due primarily to the inclusion of NFP’s ongoing operating expenses, an increase in expense associated with 6% Organic revenue growth, an increase in intangible asset amortization associated with the acquisition of NFP and investments in long-term growth, partially offset by a non-recurring charge in connection with certain settlement expenses in the prior year period and $40 million of restructuring savings realized in the quarter. Risk Capital operating expenses increased $88 million, or 5%, to $1.8 billion and Human Capital operating expenses increased $376 million, or 49%, to $1.1 billion.

Foreign currency translation in the fourth quarter had a $14 million, or $0.06 per share, unfavorable impact on U.S. GAAP net income and a $14 million, or $0.07 per share, unfavorable impact on adjusted net income. If currency were to remain stable at today’s rates, the Company would expect an unfavorable impact of approximately $0.16 per share, or an approximately $48 million decrease in adjusted operating income, in the first quarter of 2025, and an unfavorable impact of approximately $0.32 per share, or an approximately $96 million decrease in adjusted operating income, for full year 2025.

Effective tax rate for the fourth quarter was 17.6%, compared to 16.7% in the prior year period, primarily driven by changes in the geographical distribution of income. After adjusting to exclude the applicable tax impact associated with certain non-GAAP adjustments, the adjusted effective tax rate for the fourth quarter of 2024 was 16.7% compared to 18.2% in the prior year period. The primary drivers of the change in the adjusted effective tax rate were the changes in the geographical distribution of income and a net favorable impact from discrete items.

Weighted average diluted shares outstanding increased to 218.3 million in the fourth quarter compared to 202.0 million in the prior year period due to the issuance of 19.0 million shares in the second quarter of 2024 to fund the NFP acquisition. The Company repurchased 0.6 million class A ordinary shares for approximately $200 million in the fourth quarter. As of December 31, 2024, the Company had approximately $2.3 billion of remaining authorization under its share repurchase program.

FULL YEAR 2024 CASH FLOW SUMMARY

The full year 2024 cash flow summary provided below includes supplemental information related to free cash flow, which is a non-GAAP measure that is described in detail in “Reconciliation of Non-GAAP Measures – Organic Revenue Growth and Free Cash Flow” on page 10 of this press release.

Cash flows provided by operations for 2024 decreased $400 million, or 12%, to $3.0 billion compared to the prior year period, primarily due to higher cash taxes, and payments related to restructuring, legal settlement expenses, transaction and integration costs, partially offset by strong adjusted operating income growth and working capital improvements.

Free cash flow, defined as cash flow from operations less capital expenditures, decreased 11%, to $2.8 billion in 2024 compared to the prior year, reflecting a decrease in cash flows from operations, partially offset by a $34 million decrease in capital expenditures as spend in the prior year was elevated.

FOURTH QUARTER 2024 REVENUE REVIEW

The fourth quarter revenue reviews provided below include supplemental information related to Organic revenue growth, which is a non-GAAP measure that is described in detail in “Reconciliation of Non-GAAP Measures – Organic Revenue Growth and Free Cash Flow” on page 10 of this press release.

	Three Months Ended December 31,
*(millions)*	2024	2023	% Change	Less: Currency Impact	Less: Fiduciary Investment Income	Less: Acquisitions, Divestitures & Other	Organic Revenue Growth
Risk Capital Revenue:
Commercial Risk Solutions	$ 2,186	$ 1,906	15 %	(1) %	— %	10 %	6 %
Reinsurance Solutions	351	332	6	—	—	—	6
Human Capital Revenue:
Health Solutions	1,070	763	40	(1)	—	36	5
Wealth Solutions	542	377	44	1	—	35	8
Eliminations	(2)	(3)	N/A	N/A	N/A	N/A	N/A
Total revenue	$ 4,147	$ 3,375	23 %	(1) %	— %	18 %	6 %

Total revenue increased $772 million, or 23%, to $4.1 billion, compared to the prior year period, reflecting acquired revenues from NFP and Organic revenue growth of 6%, driven by net new business and ongoing strong retention, partially offset by a 1% unfavorable impact from foreign currency translation. Risk Capital revenue increased $299 million, or 13%, to $2.5 billion and Human Capital revenue increased $472 million, or 41%, to $1.6 billion.

Risk Capital

Commercial Risk Solutions Organic revenue growth of 6% reflects mid-single-digit or greater increases across all major geographies driven by net new business and ongoing strong retention. Performance was highlighted by strength in North America core P&C, strong growth internationally and an increase in construction business. Results also reflect a double-digit increase in M&A services. Market impact was flat in the quarter.

Reinsurance Solutions Organic revenue growth of 6% reflects strong growth in the Strategy and Technology Group, as well as strength in treaty, driven by net new business and ongoing strong retention, partially offset by a modest unfavorable market impact. Results also reflect a double-digit increase in insurance-linked securities.

Human Capital

Health Solutions Organic revenue growth of 5% reflects strong growth globally in core health and benefits, driven by net new business and ongoing strong retention. The core performance was highlighted by double-digit growth internationally. Results also reflect strength in executive benefits and pharmacy benefits in NFP, partially offset by lower Talent revenue.

Wealth Solutions Organic revenue growth of 8% reflects strength in Retirement, driven by continued strong demand for advisory related to pension de-risking and the ongoing impact of regulatory changes. Strong growth in Investments was highlighted by double-digit revenue growth in NFP, driven by net asset inflows and market performance.

FOURTH QUARTER 2024 EXPENSE REVIEW

	Three Months Ended December 31,
*(millions)*	2024	2023	$ Change	% Change
Expenses
Compensation and benefits	$ 2,120	$ 1,671	$ 449	27 %
Information technology	142	131	11	8
Premises	84	77	7	9
Depreciation of fixed assets	47	48	(1)	(2)
Amortization and impairment of intangible assets	185	19	166	874
Other general expense	409	521	(112)	(21)
Accelerating Aon United Program expenses	69	129	(60)	(47)
Total operating expenses	$ 3,056	$ 2,596	$ 460	18 %

Compensation and benefits expense increased $449 million, or 27%, compared to the prior year period due primarily to the inclusion of ongoing operating expenses from NFP and expense associated with 6% organic revenue growth, partially offset by savings from Accelerating Aon United restructuring actions.

Information technology expense increased $11 million, or 8%, compared to the prior year period due primarily to the inclusion of ongoing operating expenses from NFP, partially offset by efficiencies from our Aon Business Services operating platform and savings from Accelerating Aon United restructuring actions.

Premises expense increased $7 million, or 9%, compared to the prior year period, due primarily to the inclusion of ongoing operating expenses from NFP, partially offset by savings from Accelerating Aon United restructuring actions.

Depreciation of fixed assets decreased $1 million, or 2%, compared to the prior year period.

Amortization and impairment of intangible assets increased $166 million, compared to the prior year period due primarily to an increase in intangible assets related to the NFP acquisition.

Other general expense decreased $112 million, or 21%, compared to the prior year period due primarily to a non-recurring charge in connection with certain settlement expenses in the prior year period, partially offset by the inclusion of ongoing operating expenses from NFP and transaction and integration costs.

Accelerating Aon United Restructuring Program expense decreased $60 million compared to the prior year period primarily due to lower costs related to workforce optimization.

FOURTH QUARTER 2024 INCOME SUMMARY

Certain noteworthy items impacted adjusted operating income and Adjusted operating margin in the fourth quarters of 2024 and 2023, which are also described in detail in “Reconciliation of Non-GAAP Measures – Operating Income, Operating Margin, and Diluted Earnings Per Share” on page 11 of this press release.

	Three Months Ended December 31,
*(millions)*	2024	2023	% Change
Revenue	$ 4,147	$ 3,375	23 %
Expenses	3,056	2,596	18 %
Operating income	$ 1,091	$ 779	40 %
Operating margin	26.3 %	23.1 %
Adjusted operating income	$ 1,380	$ 1,141	21 %
Adjusted operating margin	33.3 %	33.8 %

Operating income increased $312 million, or 40%, and operating margin increased 320 basis points to 26.3%, each compared to the prior year period. Adjusted operating income increased $239 million, or 21%, and Adjusted operating margin decreased 50 basis points to 33.3%, each compared to the prior year period. The increase in adjusted operating income reflects Organic revenue growth, the impact from NFP, and net restructuring savings, partially offset by increased expenses and investments in long-term growth.

Interest income decreased $8 million compared to the prior year period, primarily reflecting lower operating cash balances in countries with high interest rates. Interest expense increased $82 million compared to the prior year period, reflecting an increase in total debt, primarily to fund the purchase of NFP, and higher interest rates.

Other income and adjusted other income were $2 million compared to other expense and adjusted other expense of $58 million in the prior year period, primarily reflecting the favorable net impact of exchange rates on the remeasurement of assets and liabilities in non-functional currencies and our hedging program.

Net income attributable to Aon shareholders in the fourth quarter increased 44% to $716 million compared to $498 million, in the prior year period. Adjusted net income attributable to Aon shareholders in the fourth quarter increased 23% to $965 million compared to $785 million, in the prior year period.

2024 FULL YEAR SUMMARY

Total revenue in 2024 increased 17% to $15.7 billion compared to the prior year reflecting acquired revenues from NFP and 6% Organic revenue growth.

Net income attributable to Aon shareholders increased to $2.7 billion, or $12.49 per share on a diluted basis, compared to $2.6 billion, or $12.51 per share, in the prior year. Adjusted net income per share increased 10% to $15.60 on a diluted basis, including an unfavorable impact of $0.12 per share from foreign currency translation, compared to $14.14 in the prior year. Certain items that impacted full year results and comparisons against the prior year are detailed in “Reconciliation of Non-GAAP Measures – Operating Income and Diluted Earnings Per Share” on page 11 of this press release.

During 2024, the Company repurchased approximately 3.1 million class A ordinary shares for approximately $1.0 billion at an average price of $325.56 per share. As of December 31, 2024, the Company had approximately $2.3 billion of remaining authorization under its share repurchase program.

Conference Call, Presentation Slides and Webcast Details
The Company will host a conference call on Friday, January 31, 2025 at 7:30 a.m., central time. Interested parties can listen to the conference call via a live audio webcast and view the presentation slides at www.aon.com.

About Aon

Aon plc (NYSE:AON) exists to shape decisions for the better — to protect and enrich the lives of people around the world. Through actionable analytic insight, globally integrated Risk Capital and Human Capital expertise, and locally relevant solutions, our colleagues provide clients in over 120 countries with the clarity and confidence to make better risk and people decisions that protect and grow their businesses.

Follow Aon on LinkedIn, X, Facebook, and Instagram. Stay up-to-date by visiting the Aon Newsroom and sign up for News Alerts.

Safe Harbor Statement

This communication contains certain statements related to future results, or states Aon’s intentions, beliefs and expectations or predictions for the future, all of which are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from either historical or anticipated results depending on a variety of factors. These forward-looking statements include information about possible or assumed future results of Aon’s operations. All statements, other than statements of historical facts, that address activities, events or developments that Aon expects or anticipates may occur in the future, including such things as its outlook, market and industry conditions, including competitive and pricing trends, the development and performance of our services and products, our cost structure and the outcome of cost-saving or restructuring initiatives, including the impacts of the Accelerating Aon United Program, the integration of NFP, actual or anticipated legal settlement expenses, future capital expenditures, growth in commissions and fees, changes to the composition or level of its revenues, cash flow and liquidity, expected tax rates, expected foreign currency translation impacts, business strategies, competitive strengths, goals, the benefits of new initiatives, growth of its business and operations, plans, references to future successes, and expectations with respect to the benefits of the acquisition of NFP are forward-looking statements. Also, when Aon uses words such as “anticipate”, “believe”, “continue”, “could”, “estimate”, “expect”, “forecast”, “intend”, “looking forward”, “may”, “might”, “plan”, “potential”, “opportunity”, “commit”, “probably”, “project”, “positioned”, “should”, “will”, “would” or similar expressions, it is making forward-looking statements.

The following factors, among others, could cause actual results to differ from those set forth in or anticipated by the forward looking statements: changes in the competitive environment, due to macroeconomic conditions (including impacts from instability in the banking or commercial real estate sectors) or otherwise, or damage to Aon’s reputation; fluctuations in currency exchange, interest, or inflation rates that could impact our financial condition or results; changes in global equity and fixed income markets that could affect the return on invested assets; changes in the funded status of Aon’s various defined benefit pension plans and the impact of any increased pension funding resulting from those changes; the level of Aon’s debt and the terms thereof reducing Aon’s flexibility or increasing borrowing costs; rating agency actions that could limit Aon’s access to capital and our competitive position; volatility in Aon’s global tax rate due to being subject to a variety of different factors, including the adoption and implementation in the European Union, the United States, the United Kingdom, or other countries of the Organization for Economic Co-operation and Development tax proposals or other pending proposals in those and other countries, which could create volatility in that tax rate; changes in Aon’s accounting estimates or assumptions on Aon’s financial statements; limits on Aon’s subsidiaries’ ability to pay dividends or otherwise make payments to Aon; the impact of legal proceedings and other contingencies, including those arising from acquisition or disposition transactions, errors and omissions and other claims against Aon (including proceeding and contingencies relating to transactions for which capital was arranged by Vesttoo Ltd. or related to actions we may take in being responsible for making decisions on behalf of clients in our investment business or in other advisory services that we currently provide, or may provide in the future); the impact of, and potential challenges in complying with, laws and regulations in the jurisdictions in which Aon operates, particularly given the global nature of Aon’s operations and the possibility of differing or conflicting laws and regulations, or the application or interpretation thereof, across jurisdictions in which Aon does business; the impact of any regulatory investigations brought in Ireland, the U.K., the U.S. and other countries; failure to protect intellectual property rights or allegations that Aon infringes on the intellectual property rights of others; general economic and political conditions in different countries in which Aon does business around the world; the failure to retain, attract and develop experienced and qualified personnel; international risks associated with our global operations, including impacts from military conflicts or political instability, such as the ongoing Russian war in Ukraine and the conflicts in the Middle East; the effects of natural or human-caused disasters, including the effects of health pandemics and the impacts of climate related events; any system or network disruption or breach resulting in operational interruption or improper disclosure of confidential, personal, or proprietary data, and resulting liabilities or damage to our reputation; Aon’s ability to develop, implement, update and enhance new technology; the actions taken by third parties that perform aspects of Aon’s business operations and client services; Aon’s ability to continue, and the costs and risks associated with, growing, developing and integrating acquired business, and entering into new lines of business or products; Aon’s ability to secure regulatory approval and complete transactions, and the costs and risks associated with the failure to consummate proposed transactions; changes in commercial property and casualty markets, commercial premium rates or methods of compensation; Aon’s ability to develop and implement innovative growth strategies and initiatives intended to yield cost savings (including the Accelerating Aon United Program), and the ability to achieve such growth or cost savings; the effects of Irish law on Aon’s operating flexibility and the enforcement of judgments against Aon; adverse effects on the market price of Aon’s securities and/or operating results for any reason, including, without limitation, because of a failure to realize the expected benefits of the acquisition of NFP (including anticipated revenue and growth synergies) in the expected timeframe, or at all; significant integration costs or difficulties in connection with the acquisition of NFP or unknown or inestimable liabilities; and potential impact of the consummation of the acquisition of NFP on relationships, including with suppliers, customers, employees and regulators.

Any or all of Aon’s forward-looking statements may turn out to be inaccurate, and there are no guarantees about Aon’s performance. The factors identified above are not exhaustive. Aon and its subsidiaries operate in a dynamic business environment in which new risks may emerge frequently. Accordingly, you should not place undue reliance on forward-looking statements, which speak only as of the dates on which they are made. In addition, results for prior periods are not necessarily indicative of results that may be expected for any future period. Further information concerning Aon and its businesses, including factors that could materially affect Aon’s financial results, is contained in Aon’s filings with the SEC. See Aon’s Annual Report on Form 10-K for the year ended December 31, 2023 and the risk factors set forth under the headings “Risks Related to Aon and the NFP business after Completion of the Transaction” and “Risks Related to NFP’s Business” in Aon’s registration statement on Form S-4 filed on April 23, 2024 for a further discussion of these and other risks and uncertainties applicable to Aon and its businesses. These factors may be revised or supplemented in subsequent reports filed with the SEC. Aon is not under, and expressly disclaims, any obligation to update or alter any forward-looking statement that it may make from time to time, whether as a result of new information, future events or otherwise.

Explanation of Non-GAAP Measures

This communication includes supplemental information not calculated in accordance with generally accepted accounting principles in the United States (“U.S. GAAP”), including Organic revenue growth, free cash flow, free cash flow margin, adjusted operating income, adjusted operating margin, adjusted earnings per share, adjusted net income attributable to Aon shareholders, adjusted diluted net income per share, adjusted effective tax rate, adjusted other income (expense), and adjusted income before income taxes that exclude the effects of intangible asset amortization and impairment, Accelerating Aon United Program expenses, contingent consideration, NFP transaction and integration costs, certain pension settlements, capital expenditures, and certain other noteworthy items that affected results for the comparable periods. Organic revenue growth includes the impact of intercompany activity and excludes foreign exchange rate changes, acquisitions (provided that Organic revenue growth includes Organic growth of an acquired business as calculated assuming that the acquired business was part of the combined company for the same proportion of the relevant prior year period), divestitures (including held for sale disposal groups, if any), transfers between revenue lines, fiduciary investment income, and gains or losses on derivatives accounted for as hedges. Currency impact represents the effect on prior year period results if they were translated at current period foreign exchange rates. Reconciliations to the closest U.S. GAAP measure for each non-GAAP measure presented in this communication are provided in the attached appendices. Supplemental Organic revenue growth information and additional measures that exclude the effects of certain items noted above do not affect net income or any other U.S. GAAP reported amounts. Free cash flow is cash flows from operating activity less capital expenditures. The adjusted effective tax rate excludes the applicable tax impact associated with adjustments previously described, generally at the estimated annual effective tax rate or jurisdictional rate, where appropriate. Beginning in the third quarter of 2024, the adjusted effective tax rate also excludes interest accruals for income tax reserves related to the termination fee payment made in connection with the Company’s terminated proposed combination with Willis Towers Watson. Management believes that these measures are important to make meaningful period-to-period comparisons and that this supplemental information is helpful to investors. Management also uses these measures to assess operating performance and performance for compensation. Non-GAAP measures should be viewed in addition to, not in lieu of, Aon’s Condensed Consolidated Financial Statements. Industry peers provide similar supplemental information regarding their performance, although they may not make identical adjustments.

Investor Contact:		Media Contact:
Nicole Hendry		Will Dunn
+1 847-442-0622		Toll-free (U.S., Canada and Puerto Rico): +1-833-751- 8114
[email protected]		International: +1 312 381 3024
		[email protected]

*Aon plc* Consolidated Statements of Income (Unaudited)
	Three Months Ended December 31,			Twelve Months Ended December 31,
(millions, except per share data)	2024	2023	% Change	2024	2023	% Change
Revenue
Total revenue	$ 4,147	$ 3,375	23 %	$ 15,698	$ 13,376	17 %
Expenses
Compensation and benefits	2,120	1,671	27 %	8,283	6,902	20 %
Information technology	142	131	8 %	539	534	1 %
Premises	84	77	9 %	325	294	11 %
Depreciation of fixed assets	47	48	(2) %	183	167	10 %
Amortization and impairment of intangible assets	185	19	874 %	503	89	465 %
Other general expense	409	521	(21) %	1,641	1,470	12 %
Accelerating Aon United Program expenses	69	129	(47) %	389	135	188 %
Total operating expenses	3,056	2,596	18 %	11,863	9,591	24 %
Operating income	1,091	779	40 %	3,835	3,785	1 %
Interest income	4	12	(67) %	67	31	116 %
Interest expense	(206)	(124)	66 %	(788)	(484)	63 %
Other income (expense)	2	(58)	103 %	348	(163)	313 %
Income before income taxes	891	609	46 %	3,462	3,169	9 %
Income tax expense ⁽¹⁾	157	102	54 %	742	541	37 %
Net income	734	507	45 %	2,720	2,628	4 %
Less: Net income attributable to redeemable and nonredeemable noncontrolling interests	18	9	100 %	66	64	3 %
Net income attributable to Aon shareholders	$ 716	$ 498	44 %	$ 2,654	$ 2,564	4 %

Basic net income per share attributable to Aon shareholders	$ 3.31	$ 2.49	33 %	$ 12.55	$ 12.60	— %
Diluted net income per share attributable to Aon shareholders	$ 3.28	$ 2.47	33 %	$ 12.49	$ 12.51	— %
Weighted average ordinary shares outstanding – basic	216.6	200.3	8 %	211.4	203.5	4 %
Weighted average ordinary shares outstanding – diluted	218.3	202.0	8 %	212.5	205.0	4 %


(1)	The effective tax rate was 17.6% and 16.7% for the three months ended December 31, 2024 and 2023, respectively, and 21.4% and 17.1% for the twelve months ended December 31, 2024 and 2023, respectively.

*Aon plc* Segment Results (Unaudited)

	Three Months Ended December 31,
	Risk Capital		Human Capital		Corporate/Eliminations ⁽¹⁾		Total Consolidated
	2024	2023	2024	2023	2024	2023	2024	2023
Revenue
Total revenue	$ 2,537	$ 2,238	$ 1,612	$ 1,140	$ (2)	$ (3)	$ 4,147	$ 3,375
Expenses
Compensation and benefits	1,305	1,085	762	530	53	56	2,120	1,671
Information technology	93	94	47	37	2	—	142	131
Premises	54	54	30	23	—	—	84	77
Other expenses ⁽²⁾	322	453	309	182	79	82	710	717
Total operating expenses	1,774	1,686	1,148	772	134	138	3,056	2,596
Operating income	$ 763	$ 552	$ 464	$ 368	$ (136)	$ (141)	$ 1,091	$ 779
Operating margin	30.1 %	24.7 %	28.8 %	32.3 %			26.3 %	23.1 %

	Twelve Months Ended December 31,
	Risk Capital		Human Capital		Corporate/Eliminations ⁽¹⁾		Total Consolidated
	2024	2023	2024	2023	2024	2023	2024	2023
Revenue
Total revenue	$ 10,517	$ 9,524	$ 5,209	$ 3,864	$ (28)	$ (12)	$ 15,698	$ 13,376
Expenses
Compensation and benefits	5,417	4,800	2,739	2,003	127	99	8,283	6,902
Information technology	368	385	168	148	3	1	539	534
Premises	215	204	110	88	—	2	325	294
Other expenses ⁽²⁾	1,225	1,189	1,049	528	442	144	2,716	1,861
Total operating expenses	7,225	6,578	4,066	2,767	572	246	11,863	9,591
Operating income	$ 3,292	$ 2,946	$ 1,143	$ 1,097	$ (600)	$ (258)	$ 3,835	$ 3,785
Operating margin	31.3 %	30.9 %	21.9 %	28.4 %			24.4 %	28.3 %


(1)	Segment expenses exclude governance costs, post-retirement benefits, and other costs that are not directly attributable to a specific segment.
(2)	Includes expenses related to Depreciation of fixed assets, Amortization and impairment of intangible assets, Accelerating Aon United Program expenses, and Other general expenses.

*Aon plc* Reconciliation of Non-GAAP Measures – Organic Revenue Growth and Free Cash Flow (Unaudited) Organic Revenue Growth (Unaudited)
	Three Months Ended December 31,
*(millions)*	2024	2023	% Change	Less: Currency Impact⁽¹⁾	Less: Fiduciary Investment Income⁽²⁾	Less: Acquisitions, Divestitures & Other	Organic Revenue Growth⁽³⁾
Risk Capital Revenue:
Commercial Risk Solutions	$ 2,186	$ 1,906	15 %	(1) %	— %	10 %	6 %
Reinsurance Solutions	351	332	6	—	—	—	6
Human Capital Revenue:
Health Solutions	1,070	763	40	(1)	—	36	5
Wealth Solutions	542	377	44	1	—	35	8
Eliminations	(2)	(3)	N/A	N/A	N/A	N/A	N/A
Total revenue	$ 4,147	$ 3,375	23 %	(1) %	— %	18 %	6 %

	Twelve Months Ended December 31,
*(millions)*	2024	2023	% Change	Less: Currency Impact⁽¹⁾	Less: Fiduciary Investment Income⁽²⁾	Less: Acquisitions, Divestitures & Other	Organic Revenue Growth ⁽³⁾
Risk Capital Revenue:
Commercial Risk Solutions	$ 7,861	$ 7,043	12 %	— %	— %	7 %	5 %
Reinsurance Solutions	2,656	2,481	7	—	1	(1)	7
Human Capital Revenue:
Health Solutions	3,335	2,433	37	—	—	31	6
Wealth Solutions	1,874	1,431	31	1	—	23	7
Eliminations	(28)	(12)	N/A	N/A	N/A	N/A	N/A
Total revenue	$ 15,698	$ 13,376	17 %	— %	— %	11 %	6 %


(1)	Currency impact represents the effect on prior year period results if they were translated at current period foreign exchange rates.
(2)	Fiduciary investment income for the three months ended December 31, 2024 and 2023 was $76 million and $78 million, respectively. Fiduciary investment income for the twelve months ended December 31, 2024 and 2023 was $315 million and $274 million, respectively.
(3)	Organic revenue growth includes the impact of certain intercompany activity and excludes the impact of changes in foreign exchange rates, fiduciary investment income, acquisitions (provided that Organic revenue growth includes Organic growth of an acquired business as calculated assuming that the acquired business was part of the combined company for the same proportion of the relevant prior year period), divestitures (including held for sale disposal groups, if any), transfers between revenue lines, and gains or losses on derivatives accounted for as hedges.

Free Cash Flows (Unaudited)
	Twelve Months Ended December 31,
*(millions)*	2024	2023	% Change
Cash Provided by Operating Activities	$ 3,035	$ 3,435	(12) %
Capital Expenditures	(218)	(252)	(13) %
Free Cash Flows ⁽¹⁾	$ 2,817	$ 3,183	(11) %


(1)	Free cash flow is defined as cash flows from operations less capital expenditures. This non-GAAP measure does not imply or represent a precise calculation of residual cash flow available for discretionary expenditures.

*Aon plc* Reconciliation of Non-GAAP Measures – Operating Income, Operating Margin, and Diluted Earnings Per Share (Unaudited) ⁽¹⁾

	Three Months Ended December 31,
	Risk Capital		Human Capital		Corporate/Eliminations ⁽²⁾		Total Consolidated
*(millions, except percentages)*	2024	2023	2024	2023	2024	2023	2024	2023
Revenue	$ 2,537	$ 2,238	$ 1,612	$ 1,140	$ (2)	$ (3)	$ 4,147	$ 3,375

Operating income	$ 762	$ 552	$ 464	$ 368	$ (135)	$ (141)	$ 1,091	$ 779
Amortization and impairment of intangible assets	76	14	109	5	—	—	185	19
Change in the fair value of contingent consideration	—	—	(5)	—	—	—	(5)	—
Accelerating Aon United Program expenses ⁽³⁾	11	57	1	23	57	49	69	129
Legal settlements ⁽⁴⁾	—	197	—	—	—	—	—	197
Transaction and integration costs⁽⁵⁾	6	—	10	—	24	17	40	17
Adjusted operating income	$ 855	$ 820	$ 579	$ 396	$ (54)	$ (75)	$ 1,380	$ 1,141
Operating margin	30.0 %	24.7 %	28.8 %	32.3 %			26.3 %	23.1 %
Adjusted operating margin	33.7 %	36.6 %	35.9 %	34.7 %			33.3 %	33.8 %
Adjusted operating margin	33.7 %	36.6 %	35.9 %	34.8 %			33.3 %	33.8 %

	Twelve Months Ended December 31,
	Risk Capital		Human Capital		Corporate/Eliminations ⁽²⁾		Total Consolidated
*(millions, except percentages)*	2024	2023	2024	2023	2024	2023	2024	2023
Revenue	$ 10,517	$ 9,524	$ 5,209	$ 3,864	$ (28)	$ (12)	$ 15,698	$ 13,376

Operating income	$ 3,292	$ 2,946	$ 1,143	$ 1,097	$ (600)	$ (258)	$ 3,835	$ 3,785
Amortization and impairment of intangible assets	211	53	292	36	—	—	503	89
Change in the fair value of contingent consideration	6	—	21	—	—	—	27	—
Accelerating Aon United Program expenses ⁽³⁾	114	57	27	23	248	55	389	135
Legal settlements ⁽⁴⁾	—	197	—	—	—	—	—	197
Transaction and integration costs⁽⁵⁾	12	—	53	—	120	17	185	17
Adjusted operating income	$ 3,635	$ 3,253	$ 1,536	$ 1,156	$ (232)	$ (186)	$ 4,939	$ 4,223
Operating margin	31.3 %	30.9 %	21.9 %	28.4 %			24.4 %	28.3 %
Adjusted operating margin	34.6 %	34.2 %	29.5 %	29.9 %			31.5 %	31.6 %


(1)	Certain noteworthy items impacting operating income in 2024 and 2023 are described in this schedule. The items shown with the caption “adjusted” are non-GAAP measures.
(2)	Segment expenses exclude governance costs, post-retirement benefits, and other costs that are not directly attributable to a specific segment.
(3)	Total charges are expected to include technology-related costs to facilitate streamlining and simplifying operations, headcount reduction costs, and costs associated with asset impairments, including real estate consolidation costs.
(4)	In the fourth quarter of 2023, Aon recognized actual or anticipated legal settlement expenses in connection with transactions for which capital was arranged by a third party, Vesttoo Ltd., primarily in the form of letters of credit from third party banks that are alleged to have been fraudulent. Certain actual or anticipated legal settlement expenses totaling $197 million have been recognized in the fourth quarter of 2023 within the Risk Capital segment, where certain potentially meaningful amounts may be recoverable in future periods.
(5)	On April 25, 2024, the Company completed the acquisition of NFP. As part of the acquisition, Aon incurred $40 million and $191 million of transaction and integration costs during the three and twelve months ended December 31, 2024, respectively. Transaction costs include advisory, legal, accounting, regulatory, and other professional or consulting fees required to complete the acquisition. No transaction costs were recognized for the three months ended December 31, 2024. For the twelve months ended December 31, 2024, $90 million of transaction costs were recognized in Total operating expenses and $6 million were recognized in Other income (expense) related to the extinguishment of acquired NFP debt. The NFP Transaction also will result in certain non-recurring integration costs associated with colleague severance, retention bonus awards, termination of redundant third-party agreements, costs associated with legal entity rationalization, and professional or consulting fees related to alignment of management processes and controls, as well as costs associated with the assessment of NFP information technology environment and security protocols. Aon incurred $40 million and $95 million of integration costs in the three and twelve months ended December 31, 2024, respectively.

	Three Months Ended December 31,			Twelve Months Ended December 31,
*(millions, except percentages)*	2024	2023	% Change	2024	2023	% Change
Adjusted operating income	$ 1,380	$ 1,141	21 %	$ 4,939	$ 4,223	17 %
Interest income	4	12	(67) %	67	31	116 %
Interest expense	(206)	(124)	66 %	(788)	(484)	63 %
Other income (expense):
Adjusted other income (expense) – pensions⁽²⁾	(14)	(20)	(30) %	(49)	(71)	(31) %
Adjusted other income (expense) – other ^(3)(4)(5)	16	(38)	142 %	62	(65)	195 %
Adjusted other income (expense)	2	(58)	103 %	13	(136)	110 %
Adjusted income before income taxes	1,180	971	22 %	4,231	3,634	16 %
Adjusted income tax expense ⁽⁶⁾	197	177	11 %	849	671	27 %
Adjusted net income	983	794	24 %	3,382	2,963	14 %
Less: Net income attributable to redeemable and nonredeemable noncontrolling interests	18	9	100 %	66	64	3 %
Adjusted net income attributable to Aon shareholders	965	785	23 %	3,316	2,899	14 %
Adjusted diluted net income per share attributable to Aon shareholders	$ 4.42	$ 3.89	14 %	$ 15.60	$ 14.14	10 %
Weighted average ordinary shares outstanding – diluted	218.3	202.0	8 %	212.5	205.0	4 %
Effective tax rates ⁽⁶⁾
U.S. GAAP	17.6 %	16.7 %		21.4 %	17.1 %
Non-GAAP	16.7 %	18.2 %		20.1 %	18.5 %



(1)	Certain noteworthy items impacting operating income in 2024 and 2023 are described in this schedule. The items shown with the caption “adjusted” are non-GAAP measures.
(2)	To further its pension de-risking strategy, the Company settled certain pension obligations in the Netherlands through the purchase of annuities, where certain pension assets were liquidated to purchase the annuities. A non-cash settlement charge of $27 million was recognized in the second quarter of 2023, which is excluded from adjusted other income (expense).
(3)	In the second quarter of 2024, $84 million in gains were recognized related to deferred consideration from the affiliates of The Blackstone Group L.P. and the other designated purchasers related to a divestiture completed in a prior year period.
(4)	Adjusted other income (expense) excluded gains from dispositions of $257 million related to the sale of a business for the twelve months ended December 31, 2024.
(5)	Adjusted other income (expense) excluded $6 million of debt extinguishment charges related to the repayment of NFP debt, which is considered a transaction related cost incurred in the second quarter of 2024.
(6)	Adjusted items are generally taxed at the estimated annual effective tax rate, except for the applicable tax impact associated with certain pension and legal settlements, Accelerating Aon United Program expenses, deferred consideration from a prior year sale of business, certain gains from dispositions, certain transaction and integration costs related to the acquisition of NFP, and changes in the fair value of contingent consideration, which are adjusted at the related jurisdictional rate. The tax adjustment also excludes interest accruals for income tax reserves related to the termination fee payment made in connection with the Company’s terminated proposed combination with Willis Towers Watson.

*Aon plc* Consolidated Statements of Financial Position
	As of December 31,
	2024	2023
*(millions)*	(unaudited)
Assets
Current assets
Cash and cash equivalents	$ 1,085	$ 778
Short-term investments	219	369
Receivables, net	3,803	3,254
Fiduciary assets ⁽¹⁾	17,566	16,307
Other current assets	759	996
Total current assets	23,432	21,704
Goodwill	15,324	8,414
Intangible assets, net	6,618	234
Fixed assets, net	637	638
Operating lease right-of-use assets	711	650
Deferred tax assets	689	1,195
Prepaid pension	556	618
Other non-current assets	998	506
Total assets	$ 48,965	$ 33,959

Liabilities, redeemable noncontrolling interests, and equity (deficit)
Liabilities
Current liabilities
Accounts payable and accrued liabilities	$ 2,905	$ 2,262
Short-term debt and current portion of long-term debt	751	1,204
Fiduciary liabilities	17,566	16,307
Other current liabilities	1,773	1,878
Total current liabilities	22,995	21,651
Long-term debt	16,265	9,995
Non-current operating lease liabilities	685	641
Deferred tax liabilities	319	115
Pension, other postretirement, and postemployment liabilities	1,127	1,225
Other non-current liabilities	1,144	1,074
Total liabilities	42,535	34,701

Redeemable noncontrolling interests	125	—

Equity (deficit)
Ordinary shares – $0.01 nominal value Authorized: 500 shares (issued: 2024 – 216.0 ; 2023 – 198.6)	2	2
Additional paid-in capital	13,173	6,944
Accumulated deficit	(2,309)	(3,399)
Accumulated other comprehensive loss	(4,745)	(4,373)
Total Aon shareholders’ equity (deficit)	6,121	(826)
Nonredeemable noncontrolling interests	184	84
Total equity (deficit)	6,305	(742)
Total liabilities, redeemable noncontrolling interests and equity (deficit)	$ 48,965	$ 33,959

(1) Includes cash and short-term investments of $7.2 billion and $6.9 billion as of December 31, 2024 and 2023, respectively.

*Aon plc* Consolidated Statements of Cash Flows
	Year ended December 31,
	2024	2023
*(millions)*	(unaudited)
Cash flows from operating activities
Net income	$ 2,720	$ 2,628
Adjustments to reconcile net income to cash provided by operating activities:
Gain from sales of businesses	(337)	(4)
Depreciation of fixed assets	183	167
Amortization and impairment of intangible assets	503	89
Share-based compensation expense	474	438
Deferred income taxes	(311)	(373)
Other, net	(134)	28
Change in assets and liabilities:
Receivables, net	(312)	(188)
Accounts payable and accrued liabilities	393	13
Accelerating Aon United Program liabilities	17	99
Current income taxes	—	174
Pension, other postretirement and postemployment liabilities	(33)	8
Other assets and liabilities	(128)	356
Cash provided by operating activities	3,035	3,435
Cash flows from investing activities
Proceeds from investments	212	76
Purchases of investments	(172)	(67)
Net sales of short-term investments – non fiduciary	151	85
Acquisition of businesses, net of cash and funds held on behalf of clients	(3,506)	(35)
Sale of businesses, net of cash and funds held on behalf of clients	700	5
Capital expenditures	(218)	(252)
Cash used for investing activities	(2,833)	(188)
Cash flows from financing activities
Share repurchase	(1,000)	(2,700)
Proceeds from issuance of shares	79	72
Cash paid for employee taxes on withholding shares	(202)	(241)
Commercial paper issuances, net of repayments	(591)	(27)
Issuance of debt	7,926	744
Repayment of debt	(4,928)	(350)
Increase in fiduciary liabilities, net of fiduciary receivables	280	358
Cash dividends to shareholders	(562)	(489)
Redeemable and non-redeemable noncontrolling interests, and other financing activities	(206)	(232)
Cash provided by (used for) financing activities	796	(2,865)
Effect of exchange rates on cash and cash equivalents and funds held on behalf of clients	(387)	264
Net increase in cash and cash equivalents and funds held on behalf of clients	611	646
Cash, cash equivalents and funds held on behalf of clients at beginning of year	7,722	7,076
Cash, cash equivalents and funds held on behalf of clients at end of year	$ 8,333	$ 7,722
Reconciliation of cash and cash equivalents and funds held on behalf of clients:
Cash and cash equivalents	$ 1,085	$ 778
Cash and cash equivalents and funds held on behalf of clients classified as held for sale	1	43
Funds held on behalf of clients	7,247	6,901
Total cash and cash equivalents and funds held on behalf of clients	$ 8,333	$ 7,722

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SOURCE Aon plc

January 31, 2025 6:06 am

IDEAYA Biosciences Announces Inducement Grants under Nasdaq Listing Rule 5635(c)(4)

PR Newswire

SOUTH SAN FRANCISCO, Calif.
, Jan. 31, 2025 /PRNewswire/ — IDEAYA Biosciences, Inc. (NASDAQ: IDYA), a precision medicine oncology company committed to the discovery and development of targeted therapeutics, today announced that, on January 30, 2025, the Compensation Committee of IDEAYA’s Board of Directors granted non-qualified stock options to purchase an aggregate of 62,800 shares of the Company’s common stock to two newly hired employees. The stock options were granted under the IDEAYA Biosciences, Inc. 2023 Employment Inducement Incentive Award Plan (2023 Inducement Plan) as an inducement material to such individuals’ entering into employment with IDEAYA in accordance with Nasdaq Listing Rule 5635(c)(4).

The 2023 Inducement Plan is used exclusively for the grant of equity awards to individuals who were not previously employees of IDEAYA, or following a bona fide period of non-employment, as an inducement material to such individuals’ entering into employment with IDEAYA, pursuant to Nasdaq Listing Rule 5635(c)(4).

The stock options have an exercise price of $23.88 per share, which is equal to the closing price of IDEAYA’s common stock on The Nasdaq Global Select Market on the date of grant. The stock options have a 10-year term and will vest over four years, with 25% of the options vesting on the first anniversary of the vesting commencement date and the remaining 75% of the options vesting in equal monthly installments over the three years thereafter. Vesting of the stock options is subject to such employee’s continued service to IDEAYA on each vesting date.

About IDEAYA Biosciences
IDEAYA is a precision medicine oncology company committed to the discovery and development of targeted therapeutics for patient populations selected using molecular diagnostics. IDEAYA’s approach integrates capabilities in identifying and validating translational biomarkers with drug discovery to select patient populations most likely to benefit from its targeted therapies. IDEAYA is applying its early research and drug discovery capabilities to synthetic lethality – which represents an emerging class of precision medicine targets.

Investor and Media Contact

IDEAYA Biosciences
Andres Ruiz Briseno
Senior Vice President, Head of Finance and Investor Relations
[email protected]

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SOURCE IDEAYA Biosciences, Inc.

January 31, 2025 6:05 am

CuriosityStream Announces Quarterly Dividend Increase

CuriosityStream Announces Quarterly Dividend Increase

Company Signals Revenue Growth from Content Licensing for AI Training

SILVER SPRING, Md.–(BUSINESS WIRE)–CuriosityStream Inc. (Nasdaq: CURI), a leading global factual entertainment company, today announced that on January 30^th, 2025, its Board of Directors increased the previously announced dividend to be paid on March 28, 2025, from $0.025 per share of issued and outstanding Common Stock to $0.03 per share. This reflects a 20% increase over the previous quarter’s dividend. The dividend is payable in cash on March 28, 2025, to shareholders of record as of the close of business on March 14, 2025.

“This dividend increase reflects the confidence we have in our team, our strategy, and our financial performance. In addition to continued growth in our direct subscription businesses, our future will be further powered by significant data licensing revenue for AI model training and tuning,” said Clint Stinchcomb, President and CEO of CuriosityStream. “We’re working with leading technology companies to deliver hundreds of thousands of hours of video and audio to meet the exceptional demand for premium assets required for training next-gen AI models.”

Cautionary Statements Regarding Forward-Looking Information

Certain statements in this press release may be considered “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 including, but not limited to, CuriosityStream’s expectations or predictions of future financial or business performance or conditions, plans to pay regular dividends, consumers’ valuation of factual content, and the Company’s continued success. Forward-looking statements are inherently subject to risks, uncertainties and assumptions. Generally, statements that are not historical facts, including statements concerning possible or assumed future actions, business strategies, events or results of operations, are forward-looking statements. These statements may be preceded by, followed by or include the words “believes,” “estimates,” “expects,” “projects,” “forecasts,” “may,” “will,” “should,” “seeks,” “plans,” “scheduled,” “anticipates,” “predicts” or “intends” or similar expressions. Such forward-looking statements involve risks and uncertainties that may cause actual events, results or performance to differ materially from those indicated by such statements. Certain of these risks are identified and discussed under “Risk Factors” in CuriosityStream’s Annual Report on Form 10-K for the year ended December 31, 2023, that the Company filed with the Securities and Exchange Commission (the “SEC”) on March 25, 2024, and in CuriosityStream’s other SEC filings. These risk factors are important to consider in determining future results and should be reviewed in their entirety. Forward-looking statements are based on the current belief of the management of CuriosityStream, based on currently available information, as to the outcome and timing of future events, and involve factors, risks, and uncertainties that may cause actual results in future periods to differ materially from such statements. However, there can be no assurance that the events, results or trends identified in these forward-looking statements will occur or be achieved. Forward-looking statements speak only as of the date they are made, and CuriosityStream is not under any obligation, and expressly disclaims any obligation to update, alter or otherwise revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law. Readers should carefully review the statements set forth in the reports that CuriosityStream has filed or will file from time to time with the SEC.

In addition to factors previously disclosed in CuriosityStream’s reports filed with the SEC and those identified elsewhere in this communication, the following factors, among others, could cause actual results to differ materially from forward-looking statements or historical performance: (i) risks related to CuriosityStream’s ability to maintain and develop new and existing revenue-generating relationships and partnerships or to significantly increase CuriosityStream’s subscriber base and retain customers; (ii) the effects of pending and future legislation; (iii) risks of the internet, online commerce and media industry; (iv) the highly competitive nature of the internet, online commerce and media industry and CuriosityStream’s ability to compete therein; (v) litigation, complaints, and/or adverse publicity; and (vi) privacy and data protection laws, privacy or data breaches, or the loss of data.

About CuriosityStream Inc.

CuriosityStream Inc. is the entertainment brand for people who want to know more. The global media company is home to award-winning original and curated factual films, shows, and series covering science, nature, history, technology, society, and lifestyle. With millions of subscribers worldwide and thousands of titles, the company operates the flagship Curiosity Stream SVOD service, available in more than 175 countries worldwide; Curiosity Channel, the linear television channel available via global distribution partners; Curiosity University, featuring talks from the best professors at the world’s most renowned universities as well as courses, short and long-form videos, and podcasts; Curiosity Now, Curiosity Explora, and other free, ad-supported channels; Curiosity Audio Network, with original content and podcasts; and Curiosity Studios, which oversees original programming. Curiosity Inc. is a wholly owned subsidiary of CuriosityStream Inc. (Nasdaq: CURI). For more information, visit CuriosityStream.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250131118888/en/

CuriosityStream Investor Relations

Vanessa Gillon

[email protected]

KEYWORDS: United States North America Maryland

INDUSTRY KEYWORDS: Entertainment Education Other Entertainment TV and Radio Film & Motion Pictures Other Education

MEDIA:

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January 31, 2025 6:05 am

Revvity Announces Financial Results for the Fourth Quarter and Full Year of 2024

Revvity Announces Financial Results for the Fourth Quarter and Full Year of 2024

Fourth quarter revenue of $729 million; 5% reported growth; 6% organic growth
Fourth quarter GAAP EPS of $0.78; Adjusted EPS from continuing operations of $1.42
Initiates full year 2025 guidance

WALTHAM, Mass.–(BUSINESS WIRE)–Revvity, Inc. (NYSE: RVTY) today reported financial results for the fourth quarter and full year ended December 29, 2024.

Fourth Quarter 2024

The Company reported GAAP earnings per share of $0.78, as compared to $0.64 in the same period a year ago. GAAP revenue for the quarter was $729 million, as compared to $696 million in the same period a year ago. GAAP operating income from continuing operations for the quarter was $119 million, as compared to $77 million for the same period a year ago. GAAP operating profit margin from continuing operations was 16.3% as a percentage of revenue, as compared to 11.1% in the same period a year ago.

Adjusted earnings per share from continuing operations for the quarter was $1.42, as compared to $1.25 in the same period a year ago. Adjusted revenue for the quarter was $730 million, as compared to $696 million in the same period a year ago. Adjusted operating income was $221 million, as compared to $192 million for the same period a year ago. Adjusted operating profit margin was 30.3% as a percentage of adjusted revenue, as compared to 27.5% in the same period a year ago.

Full Year 2024

The Company reported GAAP earnings per share of $2.20 in 2024, as compared to $5.55 in 2023. GAAP revenue for the year was $2,755 million, as compared to $2,751 million in 2023. GAAP operating income from continuing operations for the year was $347 million, as compared to $301 million for 2023. GAAP operating profit margin from continuing operations for the year was 12.6% as a percentage of revenue, as compared to 10.9% in 2023.

Adjusted earnings per share from continuing operations for the year was $4.90, as compared to $4.65 in 2023. Adjusted revenue for the year was $2,756 million, as compared to $2,751 million in 2023. Adjusted operating income for the year was $779 million, as compared to $770 million in 2023. Adjusted operating profit margin for the year was 28.3% as a percentage of adjusted revenue, as compared to 28.0% in 2023.

Adjustments for the Company’s non-GAAP financial measures have been noted in the attached reconciliations.

“We finished last year on a strong note positioning us well as we head into 2025,” said Prahlad Singh, president and chief executive officer of Revvity. “I am confident that the full potential of Revvity will be even more externally apparent as we move through this year following the significant transformation our business has undergone over the last several years.”

Financial Overview by Reporting Segment for the Fourth Quarter and Full Year 2024

Life Sciences

Fourth quarter 2024 revenue was $336 million, as compared to $320 million in the same period a year ago. Reported revenue increased 5% and organic revenue increased 5% as compared to the same period a year ago.

Full year 2024 revenue was $1,254 million, as compared to $1,292 million in 2023. Reported revenue decreased 3% and organic revenue decreased 3% as compared to the same period a year ago.

Fourth quarter 2024 adjusted operating income was $131 million, as compared to $118 million in the same period a year ago. Adjusted operating profit margin was 38.9% as a percentage of adjusted revenue, as compared to 36.9% in the same period a year ago.

Full year 2024 adjusted operating income was $448 million, as compared to $489 million in 2023. Adjusted operating profit margin was 35.7% as a percentage of adjusted revenue, as compared to 37.9% in 2023.

Diagnostics

Fourth quarter 2024 revenue was $393 million, as compared to $376 million in the same period a year ago. Reported revenue increased 4% and organic revenue increased 6% as compared to the same period a year ago.

Full year 2024 revenue was $1,502 million, as compared to $1,459 million in 2023. Reported revenue increased 3% and organic revenue increased 4% as compared to the same period a year ago.

Fourth quarter 2024 adjusted operating income was $98 million, as compared to $80 million in the same period a year ago. Adjusted operating profit margin was 25.0% as a percentage of adjusted revenue, as compared to 21.1% in the same period a year ago.

Full year 2024 adjusted operating income was $373 million, as compared to $321 million in 2023. Adjusted operating profit margin was 24.9% as a percentage of adjusted revenue, as compared to 22.0% in 2023.

Initiates Full Year 2025 Guidance

For the full year 2025, the Company forecasts total revenue of $2.80-$2.85 billion and adjusted earnings per share of $4.90-$5.00.

Guidance for the full year 2025 for adjusted EPS is provided on a non-GAAP basis and cannot be reconciled to the closest GAAP measure without unreasonable effort due to the unpredictability of the amounts and timing of events affecting the items the Company excludes from this non-GAAP measure. The timing and amounts of such events and items could be material to the Company’s results prepared in accordance with GAAP.

Webcast Information

The Company will discuss its fourth quarter and full year 2024 results and its outlook for business trends during a webcast on January 31, 2025, at 8:00 a.m. Eastern Time. A live audio webcast and presentation will be available on the Investors section of the Company’s website, ir.revvity.com.

Use of Non-GAAP Financial Measures

In addition to financial measures prepared in accordance with generally accepted accounting principles (GAAP), this earnings announcement also contains non-GAAP financial measures. The reasons that we use these measures, a reconciliation of these measures to the most directly comparable GAAP measures, and other information relating to these measures are included below following our GAAP financial statements.

Factors Affecting Future Performance

This press release contains “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements relating to estimates and projections of future earnings per share, cash flow and revenue growth and other financial results, developments relating to our customers and end-markets, and plans concerning business development opportunities, acquisitions and divestitures. Words such as “believes,” “intends,” “anticipates,” “plans,” “expects,” “estimates,” “projects,” “forecasts,” “will” and similar expressions, and references to guidance, are intended to identify forward-looking statements. Such statements are based on management’s current assumptions and expectations and no assurances can be given that our assumptions or expectations will prove to be correct. A number of important risk factors could cause actual results to differ materially from the results described, implied or projected in any forward-looking statements. These factors include, without limitation: (1) markets into which we sell our products declining or not growing as anticipated; (2) fluctuations in the global economic and political environments; (3) our failure to introduce new products in a timely manner; (4) our ability to execute acquisitions and divestitures, license technologies, or to successfully integrate acquired businesses or licensed technologies into our existing businesses or to make them profitable; (5) our ability to compete effectively; (6) fluctuation in our quarterly operating results and our ability to adjust our operations to address unexpected changes; (7) significant disruption in third-party package delivery and import/export services or significant increases in prices for those services; (8) disruptions in the supply of raw materials and supplies; (9) our ability to retain key personnel; (10) significant disruption in our information technology systems, or cybercrime; (11) our ability to realize the full value of our intangible assets; (12) our failure to adequately protect our intellectual property; (13) the loss of any of our licenses or licensed rights; (14) the manufacture and sale of products exposing us to product liability claims; (15) our failure to maintain compliance with applicable government regulations; (16) our failure to comply with data privacy and information security laws and regulations; (17) regulatory changes; (18) our failure to comply with healthcare industry regulations; (19) economic, political and other risks associated with foreign operations; (20) our ability to obtain future financing; (21) restrictions in our credit agreements; (22) significant fluctuations in our stock price; (23) reduction or elimination of dividends on our common stock; and (24) other factors which we describe under the caption “Risk Factors” in our most recent quarterly report on Form 10-Q and in our other filings with the Securities and Exchange Commission. We disclaim any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release.

About Revvity

At Revvity, “impossible” is inspiration, and “can’t be done” is a call to action. Revvity provides health science solutions, technologies, expertise and services that deliver complete workflows from discovery to development, and diagnosis to cure. Revvity is revolutionizing what’s possible in healthcare, with specialized focus areas in translational multi-omics technologies, biomarker identification, imaging, prediction, screening, detection and diagnosis, informatics and more.

With 2024 revenue of more than $2.7 billion and approximately 11,000 employees, Revvity serves customers across pharmaceutical and biotech, diagnostic labs, academia and governments. It is part of the S&P 500 index and has customers in more than 160 countries.

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Revvity, Inc. and Subsidiaries
CONDENSED CONSOLIDATED INCOME STATEMENTS

	Three Months Ended						Twelve Months Ended
(In thousands, except per share data)	December 29, 2024			December 31, 2023			December 29, 2024			December 31, 2023


Revenue	$	729,372		$	695,901		$	2,755,026		$	2,750,571

Cost of revenue		317,082			312,423			1,217,367			1,210,880
Selling, general and administrative expenses		244,332			256,723			994,074			1,022,551
Research and development expenses		49,208			49,596			196,844			216,578

Operating income from continuing operations		118,750			77,159			346,741			300,562

Interest income		(9,828	)		(18,363	)		(73,190	)		(72,131	)
Interest expense		22,781			24,582			96,278			98,813
Change in fair value of financial securities		6,017			21,079			(7,958	)		33,921
Other expense, net		5,222			18,482			15,485			56,983

Income from continuing operations, before income taxes		94,558			31,379			316,126			182,976

Provision for (benefit from) income taxes		6,175			(32,188	)		33,055			3,473

Income from continuing operations		88,383			63,567			283,071			179,503

Income (loss) from discontinued operations		6,262			14,996			(12,686	)		513,591

Net income	$	94,645		$	78,563		$	270,385		$	693,094


*Diluted earnings per share:*
Income from continuing operations	$	0.73		$	0.52		$	2.30		$	1.44

Income (loss) from discontinued operations		0.05			0.12			(0.10	)		4.11

Net income	$	0.78		$	0.64		$	2.20		$	5.55


Weighted average diluted shares of common stock outstanding		121,581			123,412			122,822			124,812


ABOVE PREPARED IN ACCORDANCE WITH GAAP



Additional supplemental information⁽¹⁾:
(per share, continuing operations)

GAAP EPS from continuing operations	$	0.73		$	0.52		$	2.30		$	1.44
Amortization of intangible assets		0.72			0.73			2.93			2.93
Debt extinguishment costs		–			(0.00	)		–			(0.03	)
Purchase accounting adjustments		(0.06	)		0.02			(0.00	)		0.05
Acquisition and divestiture-related costs		0.03			0.08			0.16			0.71
Change in fair value of financial securities		0.05			0.17			(0.06	)		0.27
Asset impairment		0.19			–			0.19			–
Significant litigation matters and settlements		0.01			0.00			0.06			0.00
Significant environmental matters		–			0.01			–			0.02
Mark to market on postretirement benefits		0.01			0.08			0.01			0.08
Restructuring and other, net		(0.04	)		0.09			0.14			0.21
Tax on above items		(0.21	)		(0.29	)		(0.83	)		(1.02	)
Significant tax items		–			(0.14	)		–			(0.01	)
Adjusted EPS from continuing operations	$	1.42		$	1.25		$	4.90		$	4.65

(1) amounts may not sum due to rounding

Revvity, Inc. and Subsidiaries
REVENUE AND OPERATING INCOME (LOSS)

	Three Months Ended						Twelve Months Ended
(In thousands, except percentages)	December 29, 2024			December 31, 2023			December 29, 2024			December 31, 2023

Adjusted revenue and operating income

Reported revenue	$	729,372		$	695,901		$	2,755,026		$	2,750,571
Revenue purchase accounting adjustments		208			209			829			827
Adjusted revenue	$	729,580		$	696,110		$	2,755,855		$	2,751,398

Reported operating income from continuing operations	$	118,750		$	77,159		$	346,741		$	300,562
OP%		16.3	%		11.1	%		12.6	%		10.9	%
Amortization of intangible assets		87,876			89,624			359,376			365,113
Purchase accounting adjustments		(7,427	)		2,899			(79	)		5,956
Acquisition and divestiture-related costs		3,264			10,079			25,379			69,159
Asset impairment		22,814			—			22,814			—
Significant litigation matters and settlements		689			12			7,775			12
Significant environmental matters		—			1,325			—			2,457
Restructuring and other, net		(4,665	)		10,665			17,454			26,601
Adjusted operating income	$	221,301		$	191,763		$	779,460		$	769,860
OP%		30.3	%		27.5	%		28.3	%		28.0	%

Segment revenue and segment operating income

Life Sciences	$	336,340		$	319,691		$	1,254,145		$	1,292,340
Diagnostics		393,240			376,419			1,501,710			1,459,058
Revenue purchase accounting adjustments		(208	)		(209	)		(829	)		(827	)
Reported revenue	$	729,372		$	695,901		$	2,755,026		$	2,750,571


Life Sciences	$	130,916		$	117,939		$	448,021		$	489,349
		38.9	%		36.9	%		35.7	%		37.9	%
Diagnostics		98,414			79,514			373,193			320,928
		25.0	%		21.1	%		24.9	%		22.0	%
Corporate		(8,029	)		(5,690	)		(41,754	)		(40,417	)
Subtotal reportable segments operating income		221,301			191,763			779,460			769,860

Amortization of intangible assets		(87,876	)		(89,624	)		(359,376	)		(365,113	)
Purchase accounting adjustments		7,427			(2,899	)		79			(5,956	)
Acquisition and divestiture-related costs		(3,264	)		(10,079	)		(25,379	)		(69,159	)
Asset impairment		(22,814	)		—			(22,814	)		—
Significant litigation matters and settlements		(689	)		(12	)		(7,775	)		(12	)
Significant environmental matters		—			(1,325	)		—			(2,457	)
Restructuring and other, net		4,665			(10,665	)		(17,454	)		(26,601	)
Reported operating income from continuing operations	$	118,750		$	77,159		$	346,741		$	300,562

REPORTED REVENUE AND REPORTED OPERATING INCOME (LOSS) PREPARED IN ACCORDANCE WITH GAAP


Revvity, Inc. and Subsidiaries
CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands)	December 29, 2024		December 31, 2023

Current assets:
Cash and cash equivalents	$	1,163,396	$	913,163
Marketable securities		—		689,916
Accounts receivable, net		632,400		632,811
Inventories, net		367,587		428,062
Other current assets		186,225		337,139
Total current assets		2,349,608		3,001,091

Property, plant and equipment, net		482,217		509,654
Operating lease right-of-use assets, net		167,716		155,083
Intangible assets, net		2,640,921		3,022,321
Goodwill		6,463,619		6,533,550
Other assets, net		288,397		342,966
Total assets	$	12,392,478	$	13,564,665

Current liabilities:
Current portion of long-term debt	$	242	$	721,872
Accounts payable		167,463		204,121
Accrued expenses and other current liabilities		485,395		524,470
Total current liabilities		653,100		1,450,463

Long-term debt		3,150,476		3,177,770
Long-term liabilities		770,523		930,946
Operating lease liabilities		151,505		132,747
Total liabilities		4,725,604		5,691,926

Total stockholders’ equity		7,666,874		7,872,739
Total liabilities and stockholders’ equity	$	12,392,478	$	13,564,665


PREPARED IN ACCORDANCE WITH GAAP


Revvity, Inc. and Subsidiaries
CONSOLIDATED STATEMENTS OF CASH FLOWS

	Three Months Ended						Twelve Months Ended
(In thousands)	December 29, 2024			December 31, 2023			December 29, 2024			December 31, 2023

Operating activities:
Net income	$	94,645		$	78,563		$	270,385		$	693,094
(Income) loss from discontinued operations, net of income taxes		(6,262	)		(14,996	)		12,686			(513,591	)
Income from continuing operations		88,383			63,567			283,071			179,503
Adjustments to reconcile income from continuing operations to net cash provided by continuing operations:
Stock-based compensation		5,053			7,181			37,809			41,410
Restructuring and other, net		(4,665	)		10,665			17,454			26,601
Depreciation and amortization		105,033			105,568			427,849			431,769
Pension and other postretirement expenses		9,381			23,089			9,381			23,089
Change in fair value of contingent consideration		(7,875	)		2,450			(1,869	)		4,168
Deferred taxes		(102,232	)		(123,664	)		(102,232	)		(123,664	)
Contingencies and non-cash tax matters		(8,073	)		26,183			(8,073	)		26,183
Amortization of deferred debt financing costs and
accretion of discounts		1,022			1,549			6,073			7,349
Change in fair value of financial securities		6,017			21,079			(7,958	)		33,921
Debt extinguishment gain		—			(263	)		—			(3,685	)
Unrealized foreign exchange loss (gain)		4			410			(1,059	)		24,089
Asset impairment		22,814			—			22,814			—
Changes in assets and liabilities which provided (used) cash, excluding effects from companies acquired:
Accounts receivable, net		(49,260	)		21,916			(15,969	)		(8,997	)
Inventories, net		18,269			20,725			45,086			(14,109	)
Accounts payable		(1,243	)		8,968			(26,025	)		(76,426	)
Accrued expenses and other		92,839			31,181			(21,397	)		(291,814	)
Net cash provided by operating activities of continuing operations		175,467			220,604			664,955			279,387
Net cash used in operating activities of discontinued operations		(1,237	)		(23,991	)		(36,656	)		(188,115	)
Net cash provided by operating activities		174,230			196,613			628,299			91,272

Investing activities:
Capital expenditures		(24,454	)		(24,116	)		(86,648	)		(81,368	)
Purchases of investments and notes receivables		(2,250	)		(300	)		(6,587	)		(6,300	)
Proceeds from investments and notes receivables		—			—			2,500			—
Purchases of U.S. Treasury Securities		—			(390,390	)		—			(1,221,609	)
Proceeds from U.S. Treasury Securities		—			—			710,000			550,000
Proceeds from disposition of businesses and assets		—			—			—			153
Cash paid for acquisitions, net of cash acquired		—			—			—			(2,086	)
Net cash (used in) provided by investing activities of continuing operations		(26,704	)		(414,806	)		619,265			(761,210	)
Net cash provided by investing activities of discontinued operations		9,375			—			156,897			2,074,734
Net cash (used in) provided by investing activities		(17,329	)		(414,806	)		776,162			1,313,524

Financing Activities:
Payments of debt financing costs		—			—			—			(15	)
Payments of senior unsecured notes		—			(5,835	)		(711,479	)		(523,808	)
Net (payments) proceeds on other credit facilities		(822	)		(895	)		(11,593	)		6,323
Payments for acquisition-related contingent consideration		—			—			(8,832	)		(10,117	)
Proceeds from issuance of common stock under stock
plans		1,528			623			7,701			4,344
Purchases of common stock		(185,157	)		(4,868	)		(369,578	)		(388,882	)
Dividends paid		(8,539	)		(8,639	)		(34,454	)		(34,966	)
Net cash used in financing activities of continuing operations		(192,990	)		(19,614	)		(1,128,235	)		(947,121	)

Effect of exchange rate changes on cash, cash equivalents, and restricted cash		(30,267	)		14,222			(26,147	)		(14,048	)

Net (decrease) increase in cash, cash equivalents, and restricted cash		(66,356	)		(223,585	)		250,079			443,627
Cash, cash equivalents, and restricted cash at beginning of period		1,230,808			1,137,958			914,373			470,746
Cash, cash equivalents, and restricted cash at end of period	$	1,164,452		$	914,373		$	1,164,452		$	914,373


Supplemental disclosure of cash flow information:
Reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total shown in the consolidated statements of cash flows:
Cash and cash equivalents	$	1,163,396		$	913,163		$	1,163,396		$	913,163
Restricted cash included in other current assets		1,056			1,210			1,056			1,210
Total cash, cash equivalents and restricted cash	$	1,164,452		$	914,373		$	1,164,452		$	914,373

PREPARED IN ACCORDANCE WITH GAAP


Revvity, Inc. and Subsidiaries
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES ⁽¹⁾

			Continuing Operations
			Three Months Ended
			December 29, 2024
Organic revenue growth:
Reported revenue growth from continuing operations			5%
Less: effect of foreign exchange rates			-1%
Less: effect of acquisitions including purchase accounting adjustments and impact of divested businesses			0%
Organic revenue growth from continuing operations			6%


			Life Sciences
			Three Months Ended
			December 29, 2024
Organic revenue growth:
Reported revenue growth from continuing operations			5%
Less: effect of foreign exchange rates			0%
Less: effect of acquisitions including purchase accounting adjustments and impact of divested businesses			0%
Organic revenue growth from continuing operations			5%


			Diagnostics
			Three Months Ended
			December 29, 2024
Organic revenue growth:
Reported revenue growth from continuing operations			4%
Less: effect of foreign exchange rates			-1%
Less: effect of acquisitions including purchase accounting adjustments and impact of divested businesses			0%
Organic revenue growth from continuing operations			6%

*(1) amounts may not sum due to rounding*


Revvity, Inc. and Subsidiaries
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES ⁽¹⁾

			Continuing Operations
			Twelve Months Ended
			December 29, 2024
Organic revenue growth:
Reported revenue growth from continuing operations			0%
Less: effect of foreign exchange rates			0%
Less: effect of acquisitions including purchase accounting adjustments and impact of divested businesses			0%
Organic revenue growth from continuing operations			1%


			Life Sciences
			Twelve Months Ended
			December 29, 2024
Organic revenue growth:
Reported revenue growth from continuing operations			-3%
Less: effect of foreign exchange rates			0%
Less: effect of acquisitions including purchase accounting adjustments and impact of divested businesses			0%
Organic revenue growth from continuing operations			-3%


			Diagnostics
			Twelve Months Ended
			December 29, 2024
Organic revenue growth:
Reported revenue growth from continuing operations			3%
Less: effect of foreign exchange rates			-1%
Less: effect of acquisitions including purchase accounting adjustments and impact of divested businesses			0%
Organic revenue growth from continuing operations			4%

*(1) amounts may not sum due to rounding*

Explanation of Non-GAAP Financial Measures

We report our financial results in accordance with GAAP. However, management believes that, in order to more fully understand our short-term and long-term financial and operational trends, investors may wish to consider the impact of certain non-cash, non-recurring or other items, which result from facts and circumstances that vary in frequency and impact on continuing operations. Accordingly, we present non-GAAP financial measures as a supplement to the financial measures we present in accordance with GAAP. These non-GAAP financial measures provide management with additional means to understand and evaluate the operating results and trends in our ongoing business by adjusting for certain non-cash expenses and other items that management believes might otherwise make comparisons of our ongoing business with prior periods more difficult, obscure trends in ongoing operations, or reduce management’s ability to make useful forecasts. Management believes these non-GAAP financial measures provide additional means of evaluating period-over-period operating performance. In addition, management understands that some investors and financial analysts find this information helpful in analyzing our financial and operational performance and comparing this performance to our peers and competitors.

We use the term “adjusted revenue” to refer to GAAP revenue, including purchase accounting adjustments for revenue from contracts acquired in acquisitions that will not be fully recognized due to accounting rules. We use the related term “adjusted revenue growth” to refer to the measure of comparing current period adjusted revenue with the corresponding period of the prior year.

We use the term “organic revenue” to refer to GAAP revenue, excluding the effect of foreign currency changes and revenue from recent acquisitions and divestitures and including purchase accounting adjustments for revenue from contracts acquired in acquisitions that will not be fully recognized due to accounting rules. We use the related term “organic revenue growth” or “organic growth” to refer to the measure of comparing current period organic revenue with the corresponding period of the prior year.

We use the term “adjusted gross margin” to refer to GAAP gross margin, excluding amortization of intangible assets and inventory fair value adjustments related to business acquisitions, asset impairments, and including purchase accounting adjustments for revenue from contracts acquired in acquisitions that will not be fully recognized due to business combination accounting rules. We use the related term “adjusted gross margin percentage” to refer to adjusted gross margin as a percentage of adjusted revenue.

We use the term “adjusted SG&A expense” to refer to GAAP SG&A expense, excluding amortization of intangible assets, purchase accounting adjustments, acquisition and divestiture-related expenses, significant litigation matters and settlements, asset impairments, significant environmental charges, and restructuring and other charges. We use the related term “adjusted SG&A percentage” to refer to adjusted SG&A expense as a percentage of adjusted revenue.

We use the term “adjusted R&D expense” to refer to GAAP R&D expense, excluding amortization of intangible assets and purchase accounting adjustments. We use the related term “adjusted R&D percentage” to refer to adjusted R&D expense as a percentage of adjusted revenue.

We use the term “adjusted net interest and other expense” to refer to GAAP net interest and other expense, excluding adjustments for mark-to-market accounting on post-retirement benefits, changes in foreign exchange and interest associated with acquisitions and divestitures, changes in the value of financial securities and debt extinguishment costs.

We use the term “adjusted operating income” to refer to GAAP operating income, including revenue from contracts acquired in acquisitions that will not be fully recognized due to accounting rules, and excluding amortization of intangible assets, other purchase accounting adjustments, acquisition and divestiture-related expenses, significant litigation matters and settlements, significant environmental charges, asset impairments, and restructuring and other charges. We use the related terms “adjusted operating profit percentage,” “adjusted operating profit margin,” and “adjusted operating margin” to refer to adjusted operating income as a percentage of adjusted revenue.

We use the term “free cash flow” to refer net cash provided by (used in) operating activities of continuing operations, less payments for additions to property, plant and equipment from continuing operations (“capital expenditures”) plus the proceeds from sales of plant, property and equipment from continuing operations (“capital disposals”).

We use the term “adjusted net income,” to refer to GAAP income from continuing operations, including revenue from contracts acquired in acquisitions that will not be fully recognized due to accounting rules, and excluding amortization of intangible assets, debt extinguishment costs, other purchase accounting adjustments, acquisition and divestiture-related expenses, significant litigation matters and settlements, significant environmental charges, changes in the value of financial securities, disposition of businesses and assets, net, changes in foreign exchange and interest associated with acquisitions and divestitures, asset impairments and restructuring and other charges. We also exclude adjustments for mark-to-market accounting on post-retirement benefits, therefore only our projected costs have been used to calculate this non-GAAP measure. We also adjust for any tax impact related to the above items and exclude the impact of significant tax events.

We use the term “adjusted earnings per share from continuing operations”, “adjusted earnings per share,” “adjusted EPS,” or “adjusted EPS from continuing operations” to refer to GAAP earnings per share from continuing operations, including revenue from contracts acquired in acquisitions that will not be fully recognized due to accounting rules, and excluding amortization of intangible assets, debt extinguishment costs, other purchase accounting adjustments, acquisition and divestiture-related expenses, significant litigation matters and settlements, significant environmental charges, changes in the value of financial securities, disposition of businesses and assets, net, changes in foreign exchange and interest associated with acquisitions and divestitures, asset impairments and restructuring and other charges. We also exclude adjustments for mark-to-market accounting on post-retirement benefits, therefore only our projected costs have been used to calculate this non-GAAP measure. We also adjust for any tax impact related to the above items and exclude the impact of significant tax events.

Management includes or excludes the effect of each of the items identified below in the applicable non-GAAP financial measure referenced above for the reasons set forth below with respect to that item:

Amortization of intangible assets—purchased intangible assets are amortized over their estimated useful lives and generally cannot be changed or influenced by management after the acquisition. Accordingly, this item is not considered by management in making operating decisions. Management does not believe such charges accurately reflect the performance of our ongoing operations for the period in which such charges are incurred.

Debt extinguishment costs—we incur costs and income related to the extinguishment of debt; including make-whole payments to debt holders, accelerated amortization of debt fees and discounts, and expense or income from hedges to lock in make-whole payments. We exclude the impact of these items from our non-GAAP measures because we believe they do not reflect the performance of our ongoing operations.

Revenue from contracts acquired in acquisitions that will not be fully recognized due to accounting rules—accounting rules require us to account for the fair value of revenue from contracts assumed in connection with our acquisitions. As a result, our GAAP results reflect the fair value of those revenues, which is not the same as the revenue that otherwise would have been recorded by the acquired entity. We include such revenue in our non-GAAP measures because we believe the fair value of such revenue does not accurately reflect the performance of our ongoing operations for the period in which such revenue is recorded.

Other purchase accounting adjustments—accounting rules require us to adjust various balance sheet accounts, including inventory, fixed assets and deferred rent balances to fair value at the time of the acquisition. As a result, the expenses for these items in our GAAP results are not the same as what would have been recorded by the acquired entity. Accounting rules also require us to estimate the fair value of contingent consideration at the time of the acquisition, and any subsequent changes to the estimate or payment of the contingent consideration and purchase accounting adjustments are charged to expense or income. We exclude the impact of any changes to contingent consideration from our non-GAAP measures because we believe these expenses or benefits do not accurately reflect the performance of our ongoing operations for the period in which such expenses or benefits are recorded.

Acquisition and divestiture-related expenses—we incur legal, due diligence, stay bonuses, incentive awards, stock-based compensation, interest, foreign exchange gains and losses, integration expenses, rebranding expenses, and other costs related to acquisitions and divestitures. We exclude these expenses from our non-GAAP measures because we believe they do not reflect the performance of our ongoing operations.

Asset impairments—we incur expense related to asset impairments. Management does not believe such charges accurately reflect the performance of our ongoing operations for the periods in which such charges were incurred.

Restructuring and other charges—restructuring and other charges consist of employee severance, other exit costs as well as the cost of terminating certain lease agreements or contracts as well as costs associated with relocating facilities. Management does not believe such costs accurately reflect the performance of our ongoing operations for the period in which such costs are reported.

Adjustments for mark-to-market accounting on post-retirement benefits—we exclude adjustments for mark-to-market accounting on post-retirement benefits, and therefore only our projected costs are used to calculate our non-GAAP measures. We exclude these adjustments because they do not represent what we believe our investors consider to be costs of producing our products, investments in technology and production, and costs to support our internal operating structure.

Significant litigation matters and settlements—we incur expenses related to significant litigation matters, including the costs to settle or resolve various claims and legal proceedings. Management does not believe such charges accurately reflect the performance of our ongoing operations for the periods in which such charges were incurred.

Significant environmental charges—we incur expenses related to significant environmental charges. Management does not believe such charges accurately reflect the performance of our ongoing operations for the periods in which such charges were incurred.

Disposition of businesses and assets, net—we exclude the impact of gains or losses from the disposition of businesses and assets from our adjusted earnings per share. Management does not believe such gains or losses accurately reflect the performance of our ongoing operations for the period in which such gains or losses are reported.

Impact of foreign currency changes on the current period—we exclude the impact of foreign currency associated with acquisitions and divestitures from these measures by using the prior period’s foreign currency exchange rates for the current period because foreign currency exchange rates are subject to volatility and can obscure underlying trends.

Impact of significant tax events—we exclude the impact of significant tax events. Management does not believe the impact of significant tax events accurately reflects the performance of our ongoing operations for the periods in which the impact of such events was recorded.

Changes in value of financial securities—we exclude the impact of changes in the value of financial securities. Management does not believe such gains or losses accurately reflect the performance of our ongoing operations for the period in which such gains or losses are reported.

The tax effect for discontinued operations is calculated based on the authoritative guidance in the Financial Accounting Standards Board’s Accounting Standards Codification 740, Income Taxes. The tax effect for amortization of intangible assets, inventory fair value adjustments related to business acquisitions, changes to the fair values assigned to contingent consideration, debt extinguishment costs, other costs related to business acquisitions and divestitures, significant litigation matters and settlements, significant environmental charges, changes in the fair value of financial securities, adjustments for mark-to-market accounting on post-retirement benefits, disposition of businesses and assets, net, restructuring and other charges, and the revenue from contracts acquired with various acquisitions is calculated based on operational results and applicable jurisdictional law, which contemplates tax rates currently in effect to determine our tax provision. The tax effect for the impact from foreign currency exchange rates on the current period is calculated based on the average rate currently in effect to determine our tax provision.

The non-GAAP financial measures described above are not meant to be considered superior to, or a substitute for, our financial statements prepared in accordance with GAAP. There are material limitations associated with non-GAAP financial measures because they exclude charges that have an effect on our reported results and, therefore, should not be relied upon as the sole financial measures by which to evaluate our financial results. Management compensates and believes that investors should compensate for these limitations by viewing the non-GAAP financial measures in conjunction with the GAAP financial measures. In addition, the non-GAAP financial measures included in this earnings announcement may be different from, and therefore may not be comparable to, similar measures used by other companies.

Each of the non-GAAP financial measures listed above is also used by our management to evaluate our operating performance, communicate our financial results to our Board of Directors, benchmark our results against our historical performance and the performance of our peers, evaluate investment opportunities including acquisitions and discontinued operations, and determine the bonus payments for senior management and employees.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250131866226/en/

Investor Relations:

Steve Willoughby

[email protected]

Media Relations:

Chet Murray

(781) 462-5126

[email protected]

KEYWORDS: Massachusetts United States North America

INDUSTRY KEYWORDS: Biotechnology Pharmaceutical Health Medical Devices

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January 31, 2025 6:05 am

Dorian LPG Ltd. Announces Third Quarter Fiscal Year 2025 Financial Results

Dorian LPG Ltd. Announces Third Quarter Fiscal Year 2025 Financial Results

STAMFORD, Conn.–(BUSINESS WIRE)–
Dorian LPG Ltd. (NYSE: LPG) (the “Company,” “Dorian LPG,” “we,” “us,” and “our”), a leading owner and operator of modern very large gas carriers (“VLGCs”), today reported its financial results for the three months ended December 31, 2024.

Key Recent Development

Declared an irregular dividend totaling approximately $30.0 million, or $0.70 per share, to be paid on or about February 27, 2025 to shareholders of record as of February 5, 2025.

Highlights for the Third Quarter Fiscal Year 2025

Revenues of $80.7 million.

Time Charter Equivalent (“TCE”)⁽¹⁾ rate per available day for our fleet of $36,071.

Net income of $21.4 million, or $0.50 earnings per diluted share (“EPS”), and adjusted net income⁽¹⁾ of $18.5 million, or $0.43 adjusted earnings per diluted share (“adjusted EPS”).⁽¹⁾

Adjusted EBITDA⁽¹⁾ of $45.2 million.

Declared and paid an irregular cash dividend totaling $42.8 million in November 2024.

(1)

TCE, adjusted net income, adjusted EPS and adjusted EBITDA are non-U.S. GAAP measures. Refer to the reconciliation of revenues to TCE, net income to adjusted net income, EPS to adjusted EPS and net income to adjusted EBITDA included in this press release under the heading “Financial Information.”

John C. Hadjipateras, Chairman, President and Chief Executive Officer of the Company, commented, “The quarterly results reflected an improving market environment. With additional export capacity coming on line in the United States this year and a modest orderbook, we have a positive market outlook. Our dividend payout in excess of the quarter’s net income reflects our constructive view of the VLGC market over the coming months. As always, I acknowledge our dedicated seafarers and shoreside staff, whose hard work and dedication make our results possible.”

Third Quarter Fiscal Year 2025 Results Summary

Net income amounted to $21.4 million, or $0.50 per diluted share, for the three months ended December 31, 2024, compared to $100.0 million, or $2.47 per diluted share, for the three months ended December 31, 2023.

Adjusted net income amounted to $18.5 million, or $0.43 per diluted share, for the three months ended December 31, 2024, compared to adjusted net income of $106.0 million, or $2.62 per diluted share, for the three months ended December 31, 2023. Adjusted net income for the three months ended December 31, 2024 is calculated by adjusting net income for the same period to exclude an unrealized gain on derivative instruments of $2.9 million. Please refer to the reconciliation of net income to adjusted net income, which appears later in this press release.

The $87.5 million decrease in adjusted net income for the three months ended December 31, 2024, compared to the three months ended December 31, 2023, is primarily attributable to (i) a decrease of $82.4 million in revenues; (ii) increases of $2.2 million in charter hire expenses, $2.2 million in vessel operating expenses, $0.2 million in voyage expenses, and $0.1 million in depreciation and amortization expenses; and (iii) decreases of $1.1 million in realized gain on derivatives and $1.6 million in other gain/(loss), net, partially offset by (i) decreases of $1.2 million in interest and finance costs and $0.2 million in general and administrative expenses and (ii) an increase of $0.9 million in interest income.

The TCE rate per available day for our fleet was $36,071 for the three months ended December 31, 2024, a 49.9% decrease from $71,938 for the same period in the prior year. Please see footnote 7 to the table in “Financial Information” below for information related to how we calculate TCE.

Vessel operating expenses per vessel per calendar day increased to $11,097 for the three months ended December 31, 2024 compared to $9,936 in the same period in the prior year. Please see “Vessel Operating Expenses” below for more information.

Revenues

Revenues, which represent net pool revenues—related party, time charter revenues, and other revenues, net, were $80.7 million for the three months ended December 31, 2024, a decrease of $82.4 million, or 50.5%, from $163.1 million for the three months ended December 31, 2023 primarily due to reduced average TCE rates, which declined by $35,867 per available day from $71,938 for the three months ended December 31, 2023 to $36,071 for the three months ended December 31, 2024, primarily due to lower spot rates, partially offset by lower bunker prices. The Baltic Exchange Liquid Petroleum Gas Index, an index published daily by the Baltic Exchange for the spot market rate for the benchmark Ras Tanura-Chiba route (expressed as U.S. dollars per metric ton), averaged $55.717 during the three months ended December 31, 2024 compared to an average of $132.773 during the three months ended December 31, 2023. The average price of very low sulfur fuel oil (expressed as U.S. dollars per metric ton) from Singapore and Fujairah decreased from $653 during the three months ended December 31, 2023, to $570 during the three months ended December 31, 2024.

Vessel Operating Expenses

Vessel operating expenses were $21.4 million during the three months ended December 31, 2024, or $11,097 per vessel per calendar day, which is calculated by dividing vessel operating expenses by calendar days for the relevant time-period for the technically-managed vessels that were in our fleet and increased by $2.2 million, or 11.7% from $19.2 million for the three months ended December 31, 2023. The increase of $1,161 per vessel per calendar day, from $9,936 for the three months ended December 31, 2023 to $11,097 per vessel per calendar day for the three months ended December 31, 2024 was primarily the result of an increase per vessel per calendar day of non-capitalizable drydock-related operating expenses of $909. Excluding non-capitalizable drydock-related operating expenses, daily operating expenses increased by $252, or 2.5%, from $9,909 for the three months ended December 31, 2023 to $10,161 for the three months ended December 31, 2024 primarily due to a $181 per vessel per calendar day adjustment to an expense estimate in the prior period that did not recur and an $86 per vessel per calendar day increase in vessel communications.

General and Administrative Expenses

General and administrative expenses were $7.5 million for the three months ended December 31, 2024, a decrease of $0.2 million, or 2.5%, from $7.7 million for the three months ended December 31, 2023 and was driven by a $0.2 million natural disaster relief donation in the prior period that did not recur in the current period along with decreases of $0.1 million in cash bonuses and $0.2 million in other general and administrative expenses, partially offset by an increase of $0.3 million in stock-based compensation.

Interest and Finance Costs

Interest and finance costs amounted to $8.9 million for the three months ended December 31, 2024, a decrease of $1.2 million, or 11.8%, from $10.1 million for the three months ended December 31, 2023. The decrease of $1.2 million during this period was mainly due to a decrease of $1.2 million in loan interest on our long-term debt, which was driven by a decrease in average indebtedness, excluding deferred financing fees, from $633.2 million for the three months ended December 31, 2023 to $579.9 million for the three months ended December 31, 2024.

Interest Income

Interest income amounted to $3.8 million for the three months ended December 31, 2024, compared to $2.9 million for the three months ended December 31, 2023. The increase of $0.9 million is mainly attributable to higher average cash balances for the three months ended December 31, 2024 when compared to the three months ended December 31, 2023.

Unrealized Gain/(Loss) on Derivatives

Unrealized gain on derivatives amounted to $2.9 million for the three months ended December 31, 2024, compared to a loss of $6.1 million for the three months ended December 31, 2023. The $9.0 million favorable change is primarily attributable to a favorable change in the fair value of our interest rate swaps caused by changes in forward SOFR yield curves and changes in notional amounts.

Realized Gain on Derivatives

Realized gain on derivatives amounted to $0.8 million for the three months ended December 31, 2024, compared to $1.9 million for the three months ended December 31, 2023. The $1.1 million reduction is primarily attributable to (1) a $0.6 million decrease in realized gains on our interest rate swaps and (2) a realized loss on our forward freight agreements totaling $0.5 million.

Fleet

The following table sets forth certain information regarding our fleet as of January 27, 2025.

Scrubber

Time

Capacity

ECO

Equipped

Charter-Out

(Cbm)

Shipyard

Year Built

Vessel⁽¹⁾

or Dual-Fuel

Employment

Expiration⁽²⁾

Dorian VLGCs

Captain John NP⁽³⁾

82,000

Hyundai

2007

—

Pool⁽⁵⁾

—

Comet

84,000

Hyundai

2014

Pool⁽⁵⁾

—

Corsair⁽⁴⁾

84,000

Hyundai

2014

Pool(5)

—

Corvette

84,000

Hyundai

2015

Pool⁽⁵⁾

—

Cougar⁽⁴⁾

84,000

Hyundai

2015

—

Pool-TCO⁽⁶⁾

Q2 2025

Concorde

84,000

Hyundai

2015

Pool(5)

—

Cobra

84,000

Hyundai

2015

—

Pool⁽⁵⁾

—

Continental

84,000

Hyundai

2015

Pool⁽⁵⁾

—

Constitution

84,000

Hyundai

2015

Pool⁽⁵⁾

—

Commodore

84,000

Hyundai

2015

—

Pool-TCO⁽⁶⁾

Q2 2027

Cresques⁽⁴⁾

84,000

Hanwha Ocean

2015

Pool-TCO⁽⁶⁾

Q2 2025

Constellation

84,000

Hyundai

2015

Pool⁽⁵⁾

—

Cheyenne

84,000

Hyundai

2015

Pool⁽⁵⁾

—

Clermont

84,000

Hyundai

2015

Pool⁽⁵⁾

—

Cratis⁽⁴⁾

84,000

Hanwha Ocean

2015

Pool⁽⁵⁾

—

Chaparral⁽⁴⁾

84,000

Hyundai

2015

—

Pool(5)

Q2 2025

Copernicus⁽⁴⁾

84,000

Hanwha Ocean

2015

Pool⁽⁵⁾

—

Commander

84,000

Hyundai

2015

Pool⁽⁵⁾

—

Challenger

84,000

Hyundai

2015

Pool-TCO⁽⁶⁾

Q3 2026

Caravelle⁽⁴⁾

84,000

Hyundai

2016

Pool⁽⁵⁾

—

Captain Markos⁽⁴⁾

84,000

Kawasaki

2023

Pool⁽⁵⁾

—

Total

1,762,000

Time chartered-in VLGCs

Future Diamond⁽⁷⁾

80,876

Hyundai

2020

Pool⁽⁵⁾

—

HLS Citrine⁽⁸⁾

86,090

Hyundai

2023

Pool⁽⁵⁾

—

HLS Diamond⁽⁹⁾

86,090

Hyundai

2023

Pool⁽⁵⁾

—

Cristobal⁽¹⁰⁾

86,980

Hyundai

2023

Pool⁽⁵⁾

—

_________________
(1)		Represents vessels with very low revolutions per minute, long-stroke, electronically controlled engines, larger propellers, advanced hull design, and low friction paint.

(2)		Represents calendar year quarters.

(3)		Vessel was reflagged from the Bahamas to Madeira on December 2, 2024 to comply with EU regulation.

(4)		Operated pursuant to a bareboat chartering agreement.

(5)		“Pool” indicates that the vessel operates in the Helios Pool on a voyage charter with a third party and we receive a portion of the pool profits calculated according to a formula based on the vessel’s pro rata performance in the pool.

(6)		“Pool-TCO” indicates that the vessel is operated in the Helios Pool on a time charter out to a third party and we receive a portion of the pool profits calculated according to a formula based on the vessel’s pro rata performance in the pool.

(7)		Vessel has a Panamax beam and is currently time chartered-in to our fleet with an expiration during the first calendar quarter of 2026.

(8)		Vessel has a Panamax beam and is currently time chartered-in to our fleet with an expiration during the first calendar quarter of 2030 and purchase options beginning in year seven.

(9)		Vessel has a Panamax beam and is currently time chartered-in to our fleet with an expiration during the first calendar quarter of 2030 and purchase options beginning in year seven.

(10)		Vessel has a Panamax beam and shaft generator and is currently time chartered-in to our fleet with an expiration during the third calendar quarter of 2030 and purchase options beginning in year seven.

Market Outlook & Update

Average petrochemical margins for steam cracking remained negative for naphtha during the fourth calendar quarter of 2024 (“Q4 2024”) for Far East ethylene producers. Meanwhile, propane margins had averaged positive figures for the majority of 2024 but deteriorated at the end of the third calendar quarter of 2024 (“Q3 2024”). Ethylene and propylene margins were at their lowest in October 2024 but improved for the remainder of Q4 2024 with softening feedstock prices. Imported propane prices increased from September to October 2024 to an average of 64% and 70% of Brent in NW Europe and the Far East respectively. Propane costs subsided after October in these two major importing regions as overall propane demand remained subdued with deteriorating steam cracking margins for ethylene for Q4 2024 compared to the previous quarter. By November, positive margins returned for both the production of ethylene via steam cracking and propylene via PDH. Another PDH plant began operating in China during the last quarter of 2024, bringing the total number of new facilities in 2024 to seven, maintaining a current overcapacity environment and keeping operating rates in low levels.

On exports, Saudi CP prices rose as a percentage of Brent from 59% in Q3 2024 to 67% in Q4 2024. Meanwhile the U.S. Gulf saw a similar increase in propane prices relative to crude oil in October 2024, with Mont Belvieu prices as a percentage of West Texas Intermediate (“WTI”) increasing to 45% from an average of 39% in September 2024. The upward pressure throughout the remainder of the quarter continued with the average propane price relative to WTI increasing to 48% in November 2024 before settling at 46% of WTI in December 2024.

Lower propane availability in NW Europe and the Far East during October, is partly explained by the continued impact of terminal capacity in the U.S. Gulf due to the announced force majeure at Nederland terminal declared at the end of Q3 2024. Overall U.S. exports fell to a level of 5.5 million metric tons (“MMT”) in October 2024, but quickly recovered back to 5.7 MMT in November.

Weaker import demand from China, driven in part by lower steam cracking demand, resulted in a decline in LPG imports from high levels of 3.5 MMT in July 2024 to 2.3 MMT in November 2024. Imports into China recovered in December to an estimated 2.8 MMT, though remained lower than the levels seen earlier in the year. Overall, total LPG imports into China in Q4 2024 totaled 8.2 MMT compared to a high of 10.1 MMT in the second calendar quarter of 2024 (“Q2 2024”), reflecting the impact of higher import prices seen in Q4 2024 compared to earlier in the year. It was also an unseasonably warm start to the winter in the Far East.

The OPEC+ group announced a continuation of the additional voluntary cuts announced in November 2023 for another quarter until the end of March 2025, lowering the production and potential export of LPG from the Middle East compared to earlier expectations, although total Middle East export volumes reached a new record high for 2024.

After falling in Q3 2024, freight rates remained relatively steady in Q4 2024 with the Baltic averaging around $56 per metric ton for the Ras Tanura-Chiba route, although the Houston-Chiba route posted higher with an average of about $108 per metric ton during Q4 2024, up from around $99 per metric ton during Q3 2024.

In Q4 2024, three new VLGCs were added to the market, representing a modest addition to the global fleet. An additional 107 VLGCs are expected to be added to the global fleet by calendar year 2027. The average age of the global fleet is now approximately 10.5 years old. Currently, the VLGC orderbook (including VLACs) stands at approximately 20% of the global fleet.

The above market outlook update is based on information, data and estimates derived from industry sources available as of the date of this release, and there can be no assurances that such trends will continue or that anticipated developments in freight rates, export volumes, the VLGC orderbook or other market indicators will materialize. This information, data and estimates involve a number of assumptions and limitations, are subject to risks and uncertainties, and are subject to change based on various factors. You are cautioned not to give undue weight to such information, data and estimates. We have not independently verified any third-party information, verified that more recent information is not available and undertake no obligation to update this information unless legally obligated.

Seasonality

Liquefied gases are primarily used for industrial and domestic heating, as chemical and refinery feedstock, as transportation fuel and in agriculture. The LPG shipping market historically has been stronger in the spring and summer months in anticipation of increased consumption of propane and butane for heating during the winter months. In addition, unpredictable weather patterns in these months tend to disrupt vessel scheduling and the supply of certain commodities. Demand for our vessels therefore may be stronger in our quarters ending June 30 and September 30 and relatively weaker during our quarters ending December 31 and March 31, although 12-month time charter rates tend to smooth out these short-term fluctuations and recent LPG shipping market activity has not yielded the typical seasonal results. The increase in petrochemical industry buying has contributed to less marked seasonality than in the past, but there can no guarantee that this trend will continue. To the extent any of our time charters expire during the typically weaker fiscal quarters ending December 31 and March 31, it may not be possible to re-charter our vessels at similar rates. As a result, we may have to accept lower rates or experience off-hire time for our vessels, which may adversely impact our business, financial condition and operating results.

Financial Information

The following table presents our selected financial data and other information for the periods presented:


	Three months ended						Nine months ended
(in U.S. dollars, except fleet data)	December 31, 2024			December 31, 2023			December 31, 2024			December 31, 2023
Statement of Operations Data
Revenues	$	80,666,779		$	163,064,503		$	277,453,301		$	419,325,872
Expenses
Voyage expenses		950,842			772,879			2,508,379			2,292,490
Charter hire expenses		10,586,115			8,359,808			31,082,323			30,975,037
Vessel operating expenses		21,439,514			19,196,097			61,459,709			60,015,602
Depreciation and amortization		17,497,383			17,380,846			52,039,031			51,082,082
General and administrative expenses		7,464,856			7,659,466			34,347,576			30,456,251
Total expenses		57,938,710			53,369,096			181,437,018			174,821,462
Other income—related parties		655,365			645,454			1,936,762			1,946,837
Operating income		23,383,434			110,340,861			97,953,045			246,451,247
Other income/(expenses)
Interest and finance costs		(8,884,499	)		(10,076,638	)		(27,841,202	)		(30,795,368	)
Interest income		3,797,264			2,903,622			11,986,945			6,624,594
Unrealized gain/(loss) on derivatives		2,865,617			(6,070,320	)		(3,139,248	)		(1,650,452	)
Realized gain on derivatives		838,906			1,916,347			4,210,274			5,692,328
Other gain/(loss), net		(638,894	)		959,041			(1,091,241	)		1,884,366
Total other income/(expenses), net		(2,021,606	)		(10,367,948	)		(15,874,472	)		(18,244,532	)
Net income	$	21,361,828		$	99,972,913		$	82,078,573		$	228,206,715
Earnings per common share—basic		0.50			2.48			1.95			5.68
Earnings per common share—diluted	$	0.50		$	2.47		$	1.95		$	5.65
Financial Data
Adjusted EBITDA⁽¹⁾	$	45,242,519		$	132,968,450		$	169,351,603		$	312,382,774
Fleet Data
Calendar days⁽²⁾		1,932			1,932			5,775			5,775
Time chartered-in days⁽³⁾		368			368			1,100			1,148
Available days⁽⁴⁾⁽⁵⁾		2,210			2,256			6,677			6,757
Average Daily Results
Time charter equivalent rate⁽⁵⁾⁽⁶⁾	$	36,071		$	71,938		$	41,178		$	61,719
Daily vessel operating expenses⁽⁷⁾	$	11,097		$	9,936		$	10,642		$	10,392

_________________
(1)		Adjusted EBITDA is an unaudited non-U.S. GAAP measure and represents net income/(loss) before interest and finance costs, unrealized (gain)/loss on derivatives, realized (gain)/loss on interest rate swaps, stock-based compensation expense, impairment, and depreciation and amortization and is used as a supplemental financial measure by management to assess our financial and operating performance. We believe that adjusted EBITDA assists our management and investors by increasing the comparability of our performance from period to period and management makes business and resource-allocation decisions based on such comparisons. This increased comparability is achieved by excluding the potentially disparate effects between periods of derivatives, interest and finance costs, stock-based compensation expense, impairment, and depreciation and amortization expense, which items are affected by various and possibly changing financing methods, capital structure and historical cost basis and which items may significantly affect net income/(loss) between periods. We believe that including adjusted EBITDA as a financial and operating measure benefits investors in selecting between investing in us and other investment alternatives.

		Adjusted EBITDA has certain limitations in use and should not be considered an alternative to net income/(loss), operating income, cash flow from operating activities or any other measure of financial performance presented in accordance with U.S. GAAP. Adjusted EBITDA excludes some, but not all, items that affect net income/(loss). Adjusted EBITDA as presented below may not be computed consistently with similarly titled measures of other companies and, therefore, might not be comparable with other companies.

		The following table sets forth a reconciliation of net income to Adjusted EBITDA (unaudited) for the periods presented:

	Three months ended						Nine months ended
(in U.S. dollars)	December 31, 2024			December 31, 2023			December 31, 2025			December 31, 2023
Net income	$	21,361,828		$	99,972,913		$	82,078,573		$	228,206,715
Interest and finance costs		8,884,499			10,076,638			27,841,202			30,795,368
Unrealized (gain)/loss on derivatives		(2,865,617	)		6,070,320			3,139,248			1,650,452
Realized gain on interest rate swaps		(1,337,298	)		(1,916,347	)		(4,722,356	)		(5,692,328	)
Stock-based compensation expense		1,701,724			1,384,080			8,975,905			6,340,485
Depreciation and amortization		17,497,383			17,380,846			52,039,031			51,082,082
Adjusted EBITDA	$	45,242,519		$	132,968,450		$	169,351,603		$	312,382,774

(2)		We define calendar days as the total number of days in a period during which each vessel in our fleet was owned or operated pursuant to a bareboat charter. Calendar days are an indicator of the size of the fleet over a period and affect both the amount of revenues and the amount of expenses that are recorded during that period.

(3)		We define time chartered-in days as the aggregate number of days in a period during which we time chartered-in vessels from third parties excluding off-hire days. Time chartered-in days are an indicator of the size of the fleet over a period and affect both the amount of revenues and the amount of charter hire expenses that are recorded during that period.

(4)		We define available days as the sum of calendar days and time chartered-in days (collectively representing our commercially-managed vessels) less aggregate off hire days associated with both unscheduled and scheduled maintenance, which include major repairs, drydockings, vessel upgrades or special or intermediate surveys. We use available days to measure the aggregate number of days in a period that our vessels should be capable of generating revenues.

		Note that we have updated our definition of available days to include unscheduled maintenance as we believe it is more reflective of industry practice and more consistent with the practice used in the Helios Pool, which now accounts for more than 95% of our revenue.

(5)		Prior period amounts have been updated to conform to current period presentation.

(6)		Time charter equivalent rate, or TCE rate, is a non-U.S. GAAP measure of the average daily revenue performance of a vessel. TCE rate is a shipping industry performance measure used primarily to compare period‑to‑period changes in a shipping company’s performance despite changes in the mix of charter types (such as time charters, voyage charters) under which the vessels may be employed between the periods and is a factor in management’s business decisions and is useful to investors in understanding our underlying performance and business trends. Our method of calculating TCE rate is to divide revenue net of voyage expenses by available days for the relevant time period, which may not be calculated the same by other companies. Note that we have updated the denominator of our calculation of TCE to be our updated definition of available days (see note 4 above) as we believe it is more reflective of industry practice and more consistent with the practice used in the Helios Pool, which now accounts for more than 95% of our revenue.

		The following table sets forth a reconciliation of revenues to TCE rate (unaudited) for the periods presented:

	Three months ended				Nine months ended
(in U.S. dollars, except available days)	December 31, 2024		December 31, 2023		December 31, 2024		December 31, 2023
Numerator:
Revenues	$	80,666,779	$	163,064,503	$	277,453,301	$	419,325,872
Voyage expenses		(950,842)		(772,879)		(2,508,379)		(2,292,490)
Time charter equivalent	$	79,715,937	$	162,291,624	$	274,944,922	$	417,033,382

Pool adjustment*		(1,316,039)		1,301,452		(2,050)		895,272
Time charter equivalent excluding pool adjustment*	$	78,399,898	$	163,593,076	$	274,942,872	$	417,928,654

Denominator:
Available days**		2,210		2,256		6,677		6,757
TCE rate:
Time charter equivalent rate**	$	36,071	$	71,938	$	41,178	$	61,719
TCE rate excluding pool adjustment*	$	35,475	$	72,515	$	41,178	$	61,851

		* Adjusted for the effects of reallocations of pool profits in accordance with the pool participation agreements primarily resulting from the actual speed and consumption performance of the vessels operating in the Helios Pool exceeding the originally estimated speed and consumption levels.

		** Prior period amounts have been updated to conform to current period presentation of available days (see footnotes to tables above).


(7)		Daily vessel operating expenses are calculated by dividing vessel operating expenses by calendar days for the relevant time period.

In addition to the results of operations presented in accordance with U.S. GAAP, we provide adjusted net income and adjusted EPS. We believe that adjusted net income and adjusted EPS are useful to investors in understanding our underlying performance and business trends. Adjusted net income and adjusted EPS are not a measurement of financial performance or liquidity under U.S. GAAP; therefore, these non-U.S. GAAP measures should not be considered as an alternative or substitute for U.S. GAAP. The following table reconciles net income and EPS to adjusted net income and adjusted EPS, respectively, for the periods presented:


	Three months ended					Nine months ended
(in U.S. dollars, except share data)	December 31, 2024			December 31, 2023		December 31, 2024		December 31, 2023
Net income	$	21,361,828		$	99,972,913	$	82,078,573	$	228,206,715
Unrealized (gain)/loss on derivatives		(2,865,617	)		6,070,320		3,139,248		1,650,452
Adjusted net income	$	18,496,211		$	106,043,233	$	85,217,821	$	229,857,167

Earnings per common share—diluted	$	0.50		$	2.47	$	1.95	$	5.65
Unrealized (gain)/loss on derivatives		(0.07	)		0.15		0.07		0.04
Adjusted earnings per common share—diluted	$	0.43		$	2.62	$	2.02	$	5.69

The following table presents our unaudited balance sheets as of the dates presented:


	As of			As of
	December 31, 2024			March 31, 2024
Assets
Current assets
Cash and cash equivalents	$	314,532,172		$	282,507,971
Trade receivables, net and accrued revenues		990,655			659,567
Due from related parties		73,615,519			52,352,942
Inventories		2,348,389			2,393,379
Available-for-sale debt securities		10,001,336			11,530,939
Derivative instruments		946,554			5,139,056
Prepaid expenses and other current assets		12,716,507			14,297,917
Total current assets		415,151,132			368,881,771
Fixed assets
Vessels, net		1,164,143,821			1,208,588,213
Vessel under construction		24,745,465			23,829,678
Total fixed assets		1,188,889,286			1,232,417,891
Other non-current assets
Deferred charges, net		13,967,496			12,544,098
Derivative instruments		5,198,407			4,145,153
Due from related parties—non-current		26,400,000			25,300,000
Restricted cash—non-current		73,466			75,798
Operating lease right-of-use assets		167,583,682			191,700,338
Other non-current assets		2,795,694			2,585,116
Total assets	$	1,820,059,163		$	1,837,650,165
Liabilities and shareholders’ equity
Current liabilities
Trade accounts payable	$	9,250,677		$	10,185,962
Accrued expenses		3,505,020			3,948,420
Due to related parties		2,291,072			7,283
Deferred income		695,512			486,868
Current portion of long-term operating lease liabilities		34,243,891			32,491,122
Current portion of long-term debt		53,880,102			53,543,315
Dividends payable		757,516			1,149,665
Total current liabilities		104,623,790			101,812,635
Long-term liabilities
Long-term debt—net of current portion and deferred financing fees		512,031,157			551,549,215
Long-term operating lease liabilities		133,356,317			159,226,326
Other long-term liabilities		1,539,051			1,528,906
Total long-term liabilities		646,926,525			712,304,447
Total liabilities		751,550,315			814,117,082
Commitments and contingencies		—			—
Shareholders’ equity
Preferred stock, $0.01 par value, 50,000,000 shares authorized, none issued nor outstanding		—			—
Common stock, $0.01 par value, 450,000,000 shares authorized, 54,294,696 and 51,995,027 shares issued, 42,804,479 and 40,619,448 shares outstanding (net of treasury stock), as of December 31, 2024 and March 31, 2024, respectively		542,947			519,950
Additional paid-in-capital		866,076,755			772,714,486
Treasury stock, at cost; 11,490,217 and 11,375,579 shares as of December 31, 2024 and March 31, 2024, respectively		(131,096,907	)		(126,837,239	)
Retained earnings		332,986,053			377,135,886
Total shareholders’ equity		1,068,508,848			1,023,533,083
Total liabilities and shareholders’ equity	$	1,820,059,163		$	1,837,650,165

Conference Call

A conference call to discuss the results will be held on Friday, January 31, 2025 at 10:00 a.m. ET. The conference call can be accessed live by dialing 1-800-225-9448, or for international callers, 1-203-518-9708, and requesting to be joined into the Dorian LPG call. A replay will be available at 1:00 p.m. ET the same day and can be accessed by dialing 1-844-512-2921, or for international callers, 1-412-317-6671. The passcode for the replay is 11158025. The replay will be available until February 7, 2025, at 11:59 p.m. ET.

A live webcast of the conference call will also be available under the investor relations section at www.dorianlpg.com. The information on our website does not form a part of and is not incorporated by reference into this release.

About Dorian LPG Ltd.

Dorian LPG is a leading owner and operator of modern VLGCs that transport liquefied petroleum gas globally. Our fleet currently consists of twenty-five modern VLGCs, including twenty ECO VLGCs and four dual-fuel ECO VLGCs. Dorian LPG has offices in Stamford, Connecticut, USA; Copenhagen, Denmark; and Athens, Greece.

Forward-Looking and Other Cautionary Statements

The cash dividends referenced in this release are irregular dividends. All declarations of dividends are subject to the determination and discretion of our Board of Directors based on its consideration of various factors, including the Company’s results of operations, financial condition, level of indebtedness, anticipated capital requirements, contractual restrictions, restrictions in its debt agreements, restrictions under applicable law, its business prospects and other factors that our Board of Directors may deem relevant. The Board of Directors, in its sole discretion, may increase, decrease or eliminate the dividend at any time.

This press release contains “forward-looking statements.” Statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “estimates,” “projects,” “forecasts,” “may,” “will,” “should” and similar expressions are forward-looking statements. These statements are not historical facts but instead represent only the Company’s current expectations and observations regarding future results, many of which, by their nature are inherently uncertain and outside of the Company’s control. Where the Company expresses an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, the Company’s forward-looking statements are subject to risks, uncertainties, and other factors, which could cause actual results to differ materially from future results expressed, projected, or implied by those forward-looking statements. The Company’s actual results may differ, possibly materially, from those anticipated in these forward-looking statements as a result of certain factors, including changes in the Company’s financial resources and operational capabilities and as a result of certain other factors listed from time to time in the Company’s filings with the U.S. Securities and Exchange Commission. For more information about risks and uncertainties associated with Dorian LPG’s business, please refer to the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” sections of Dorian LPG’s SEC filings, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q. The Company does not assume any obligation to update the information contained in this press release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250131478900/en/

Ted Young

Chief Financial Officer

+1 (203) 674-9900

[email protected]

KEYWORDS: United States North America Connecticut

INDUSTRY KEYWORDS: Oil/Gas Energy Maritime Logistics/Supply Chain Management Transport

MEDIA:

January 31, 2025 6:04 am

Ares Commercial Real Estate Corporation Announces Tax Reporting Information for Calendar Year 2024

Ares Commercial Real Estate Corporation Announces Tax Reporting Information for Calendar Year 2024

NEW YORK–(BUSINESS WIRE)–
Ares Commercial Real Estate Corporation (NYSE: ACRE) (the “Company”) today announced the 2024 tax treatment for the Company’s common stock distributions (CUSIP # 04013V-10-8).

Form 1099 Reference:

Box 1a

Box 1b

Box 2a

Box 3

Box 5

Record

Date

Payment

Date

Cash

Distribution

Per Share

Allocable

to 2024

Total

Ordinary

Dividends

Qualified

Dividends ⁽¹⁾

Total Capital

Gain

Distributions

Nondividend

Distributions

Section

199A

Dividends ⁽¹⁾

12/29/2023

1/17/2024

$0.3300⁽²⁾

$0.0000

3/28/2024

4/16/2024

$0.2500

$0.2242

$0.0000

$0.0258

$0.2242

6/28/2024

7/16/2024

$0.2500

$0.2242

$0.0000

$0.0258

$0.2242

9/30/2024

10/15/2024

$0.2500

$0.2242

$0.0000

$0.0258

$0.2242

12/31/2024

1/15/2025

$0.2500⁽³⁾

$0.0000

Totals

$0.7500

$0.6726

$0.0000

$0.0774

$0.6726

⁽¹⁾		Boxes 1b and 5 are subsets of, and included in, Box 1a.
⁽²⁾		The entire distribution of $0.3300 per share was treated as taxable in 2023 pursuant to Section 857(b)(9) of the Internal Revenue Code.
⁽³⁾		The entire distribution of $0.2500 per share is allocable to 2025.

The amounts indicated above are not classified as excess inclusion income. Stockholders are encouraged to consult with their own tax advisors as to their specific tax treatment of the Company’s distributions.

About Ares Commercial Real Estate Corporation

Ares Commercial Real Estate Corporation is a specialty finance company primarily engaged in originating and investing in commercial real estate loans and related investments. Through its national direct origination platform, the Company provides a broad offering of flexible and reliable financing solutions for commercial real estate owners and operators. The Company originates senior mortgage loans, as well as subordinate financings, mezzanine debt and preferred equity, with an emphasis on providing value added financing on a variety of properties located in liquid markets across the United States. Ares Commercial Real Estate Corporation elected and qualified to be taxed as a real estate investment trust and is externally managed by a subsidiary of Ares Management Corporation. For more information, please visit www.arescre.com. The contents of such website are not, and should not be deemed to be, incorporated by reference herein.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250131375411/en/

Investor Relations:

Ares Commercial Real Estate Corporation

Carl Drake or John Stilmar

888-818-5298

[email protected]

KEYWORDS: New York United States North America

INDUSTRY KEYWORDS: Finance Banking Professional Services Commercial Building & Real Estate Construction & Property

MEDIA:

Logo

January 31, 2025 6:03 am

Banco Santander-Chile Announces Fourth Quarter 2024 Earnings

SANTIAGO, Chile, Jan. 31, 2025 (GLOBE NEWSWIRE) — Banco Santander Chile (NYSE: BSAC; SSE: Bsantander) announced today its results¹ for the twelve-month period ended December 31, 2024, and fourth quarter 2024 (4Q24).

Strong Financial Performance with ROAE

²

of 26.0% in 4Q24

³

and 20.2% in 12M24

⁴

.

As of December 31, 2024, the Bank’s net income attributable to shareholders totaled $858 billion ($4.55 per share and US$1.83 per ADR), marking a 72.8% increase compared to the same period of the previous year and with an ROAE of 20.2%.

In 4Q24, net income attributable to shareholders of the Bank totaled $277 billion, increasing 13.7% in the quarter with a quarterly ROAE of 26.0%. This marks the third consecutive quarter with an ROAE above 20%.

The improvement in results is explained by an increase in the Bank’s main revenue lines. Operating income increased by 34.5% YoY, supported by a stronger interest margin and readjustments.

Robust NIM

⁵

recovery, reaching 3.6% in 2024 and 4.2% in 4Q24.

Net interest and readjustment income (NII) for the year ended December 31, 2024 increased by 62.1% compared to the same period in 2023. This growth was primarily due to higher net interest income, resulting from a lower monetary policy rate that reduced our funding costs from 6.8% to 4.7% in 12M24. This was partially offset by lower readjustment income due to a smaller variation in the UF compared to the previous year. Consequently, the NIM improved from 2.2% in 2023 to 3.6% in 2024, and further to 4.2% in 4Q24.

Continued Expansion of Customer Base with a 6.4% YoY Increase in Total Customers and a 5.9% YoY Increase in Digital Customers

Our strategy to enhance digital products has led to a continued growth in our customer base reaching approximately 4.3 million customers, with over 2.2 million digital customers (88% of our active customers).

The Bank’s market share in current accounts remains robust at 23.2% as of October 2024, driven by increased customer demand for US dollar current accounts which can be easily opened digitally by our customers. It also demonstrates the success of Getnet’s strategy in encouraging cross-selling of other products such as the Cuenta Pyme Life.

Customer funds increased 4.7% QoQ and 12.6% since December 2023.

Customer funds (demand deposits, time deposits and mutual funds) increased by 4.7% QoQ and 12.6% from December 2023, reflecting client growth and fund accumulation. The Bank’s total deposits increased by 5.7% from December 31, 2023, explained by the 5.3% increase in demand deposits and the 6.0% increase in time deposits. In the quarter, total deposits grew by 5.9%, with demand deposits up by 8.7% and time deposits by 3.7%. The strong growth in the quarter is explained by the seasonality of deposits at the end of the year, especially among corporate clients.

Our customer’s investments through mutual funds intermediated by the Bank also grew in the quarter, reaching an increase of 2.2% QoQ and 32.6% since December 31, 2023, given the clients’ preference for mutual funds in this scenario of falling rates.

Net fees and commissions increase 8.8% in 12M24, achieving a recurrence

⁶

level of 60.3%.

Net fees increased 8.8% in the twelve months ended December 31, 2024 compared to the same period in 2023 due to increased client numbers and higher product usage. As a result, the recurrence ratio (total net fees divided by structural support expenses) increased from 57.4% YTD as of December 2023 to 60.3% YTD as of December 2024, demonstrating that more than half of the Bank’s expenses are financed by fees generated by our clients.

Efficiency ratio of 36.5% in 4Q24 and 39.0% in 4Q24

The Bank’s efficiency ratio reached 39.0% as of December 31, 2024, compared to the 46.6% of the same period last year, with a quarterly efficiency ratio of 36.5%. On the other hand, the cost to assets ratio increased to 1.5% in 12M24 vs. 1.3% in the same period of the previous year.

Structural support expenses (salaries, administration and amortization) grew 3.5% in 12M24 compared to 12M23, below inflation, and in line with the guidance provided previously and a slight decrease of 1.8% compared to 3Q24 mainly due to lower salary expenses.

Total operating expenses (which includes other expenses) increased 12.4% in 12M24 compared to 12M23 driven by higher other operating expenses, related to a provision for the restructuring of our branch network and the transformation to Work/Café and also advances in digital banking.

Cost of credit of 1.29% in 12M24, and NPL coverage at 115.4%

During the Covid-19 pandemic, asset quality benefited from state aid and pension fund withdrawals, which led to a positive performance in assets during that period, before normalizing in line with the performance of the economy and the drainage of excess liquidity from households. Currently, our clients’ performance is reflecting the state of the economy and the labor market, where delinquency is higher than the levels we saw before the pandemic with the non-performing loans (NPL) ratio increasing to 3.2% and the impaired portfolio to 6.7% at December 2024. Overall the cost of credit remained stable at 1.29% in the quarter.

Solid capital levels with a BIS

⁷

ratio of 17.1% and a CET1

⁸

of 10.5%.

Our CET1 (Common Equity Tier 1) ratio remains at solid levels of 10.5% and the total Basel III ratio reaches 17.1% at the end of December 2024, which includes a provision of dividend payment of 70% of 2024 earnings.

We made significant progress in our Chile First strategy in 2024

Largest bank in terms of loans and deposits (16.9% market share according to latest information from the CMF).
More than US$ 450 million committed to invest in infrastructure and technology between 2023 and 2026.
A total of 99 Workcafés in Chile, serving our clients and the community in their different formats.
Recognized by Euromoney as the Best Bank in the Country in the SME and ESG Categories.
The only Chilean bank included in the DJSI emerging markets and within the top 3% of the most sustainable banks in the world.
Top Employer Certification January 2025 (seventh consecutive year).
Recognized as the Best Bank in Chile for SMEs by Global Finance.
ALAS20: First place in the category of leading company in sustainability.
Institutional Investor: “Most Honored Company.”

Banco Santander Chile is one of the companies with the highest risk ratings in Latin America, with an A2 rating from Moody’s, A- from Standard and Poor’s, A+ from Japan Credit Rating Agency, AA- from HR Ratings and A from KBRA. All our ratings as of the date of this report have a stable outlook.

As of December 31, 2024, the Bank has total assets of $68,458,933 million (US$68,865 million), total gross loans (including loans to banks) at amortized cost of $41,323,844 million (US$41,569 million), total deposits of $31,359,234 million (US$31,545 million) and shareholders’ equity of $4,292,440 million (US$4,318 million). The BIS capital ratio was 17.1%, with a core capital ratio of 10.5%. As of December 31, 2024, Santander Chile employs 8,757 people and has 236 branches throughout Chile.

CONTACT INFORMATION

Cristian Vicuña
Chief Strategy Officer and Head of Investor Relations
Banco Santander Chile
Bandera 140, Floor 20
Santiago, Chile
Email: [email protected] Website: www.santander.cl

1 The information contained in this report is presented in accordance with Chilean Bank GAAP as defined by the Financial Markets Commission (FMC).
2 Annualized net income attributable to shareholders of the Bank divided by the average equity attributable to equity holders
3 The fourth quarter of 2024
4 The twelve months accumulated as of December31, 2024
5 NIM: Net interest margin. Annualized net interest income and annualized readjustments divided by interest-earning assets
6Recurrence: Net commissions divided by structural operating expenses (excludes other operating expenses).
7 Regulatory capital divided by risk-weighted assets, according to CMF BIS III definitions
8 Core capital divided by risk-weighted assets, according to CMF BIS III definitions.

January 31, 2025 6:03 am

ArcBest Announces Fourth Quarter and Full Year 2024 Results

ArcBest Announces Fourth Quarter and Full Year 2024 Results

Productivity gains from technology, training, and network design
Continued focus on cost control initiatives to mitigate headwinds from challenging freight environment
Significant investments to enable growth, improve service, and increase efficiencies across the network while returning over $85 million to shareholders in 2024 through both share repurchases and dividends

FORT SMITH, Ark.–(BUSINESS WIRE)–
ArcBest^® (Nasdaq: ARCB), a leader in supply chain logistics, today reported fourth quarter 2024 revenue of $1.0 billion, compared to $1.1 billion in fourth quarter 2023. Net income was $29.0 million, or $1.24 per diluted share, compared to $48.8 million, or $2.01 per diluted share in the prior year. On a non-GAAP basis, fourth quarter 2024 net income was $31.2 million, or $1.33 per diluted share, compared to $60.0 million, or $2.47 per diluted share in the prior year.

ArcBest’s full year 2024 revenue totaled $4.2 billion compared to $4.4 billion in 2023. Net income from continuing operations was $173.4 million, or $7.28 per diluted share, including a $67.9 million after-tax benefit from the reduction in the fair value of contingent consideration related to a 2021 acquisition, compared to net income of $142.2 million, or $5.77 per diluted share in 2023. On a non-GAAP basis, full year 2024 net income was $149.7 million, or $6.28 per diluted share, compared to net income of $194.1 million, or $7.88 per diluted share, in 2023.

“Throughout 2024, we made significant progress on controlling costs, improving productivity, and enhancing our service quality,” said Judy R. McReynolds, ArcBest Chairman and CEO. “These achievements underscore our commitment to excellent execution and are yielding tangible results. I want to extend a heartfelt thank you to our dedicated employees, whose hard work and innovation have been pivotal in reaching these milestones. Together, we are well-positioned for continued growth and success.”

Results of Operations Comparisons

Asset-Based

Fourth Quarter 2024 Versus Fourth Quarter 2023

Revenue of $656.2 million compared to $710.0 million, a per-day decrease of 7.6 percent
Total tonnage per day decrease of 7.3 percent
Total shipments per day decrease of 1.1 percent
Total billed revenue per hundredweight increase of 0.6 percent
Operating income of $52.3 million and an operating ratio of 92.0 percent, compared to $87.5 million and an operating ratio of 87.7 percent

The Asset-Based segment generated $35.2 million less operating income than fourth quarter 2023. Fourth quarter tonnage declines were driven by a 6.3 percent decrease in weight per shipment and a 1.1 percent decrease in daily shipments. Prolonged manufacturing sector weakness continues to negatively impact weight per shipment metrics. Productivity improvements of 2.3 percent and other cost initiatives helped mitigate the impact of the soft market environment, higher insurance costs, and higher labor cost increases related to the annual union contract rate increase, which went into effect during the third quarter of 2024.

Contract renewals and deferred pricing agreements saw an average increase of 4.5% during the quarter. Price improvements were offset by declining fuel costs. Excluding fuel surcharges, revenue per hundredweight increased in the mid-single digits, year-over-year. Overall, LTL industry pricing remains rational.

Compared sequentially to the third quarter of 2024, fourth quarter 2024 revenue per day decreased 4.5 percent. Weight per shipment improved 0.6 percent and shipments per day declined by 2.6 percent, resulting in a 2.1 percent decrease in tonnage per day. Billed revenue per hundredweight was 2.9 percent lower, impacted by the increase in weight per shipment, reduced fuel prices, and the increase of project-related business. Lower tonnage, offset in part by cost savings, resulted in the operating ratio increase of 100 basis points sequentially, which was on the lower end of the historical seasonality range of a 100 to 200 basis point increase.

Asset-Light

Fourth Quarter 2024 Versus Fourth Quarter 2023

Revenue of $375.4 million compared to $413.4 million, a per-day decrease of 9.2 percent
Operating loss of $1.6 million, compared to operating loss of $7.7 million
On a non‑GAAP basis, operating loss of $5.9 million compared to operating loss of $1.3 million
Adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”), as defined in the attached non-GAAP reconciliation tables, of negative $4.2 million compared to $0.7 million

Compared to the fourth quarter of 2023, Asset-Light revenues were impacted by lower revenue per shipment associated with the soft rate environment and a higher mix of managed transportation business, which has smaller shipment sizes and lower revenue per shipment metrics. Shipments per day were lower by 2.1 percent. The segment continues to benefit from productivity initiatives, as shipments per employee per day improved 20.8 percent, on a year-over-year basis, but the soft freight environment and excess truckload capacity continue to impact results.

Compared sequentially to third quarter 2024, fourth quarter 2024 shipments per day were down 1.4 percent, yet daily revenue was up by 0.6 percent as revenue per shipment increased 2.0 percent. Shipments per employee per day, improved by 5.8 percent, but purchased transportation costs as a percentage of revenue, increased and compressed margins. The $2.0 million sequential increase in non-GAAP operating loss was due primarily to the current truckload brokerage pricing environment.

Full Year Results of Operations Comparisons

Asset-Based

Full Year 2024 Versus Full Year 2023

Revenue of $2.8 billion, compared to $2.9 billion, a per-day decrease of 4.6 percent
Tonnage per day decrease of 14.3 percent
Shipments per day decrease of 3.3 percent
Total billed revenue per hundredweight increase of 11.7 percent
Operating income of $242.6 million and an operating ratio of 91.2 percent, compared to $253.2 million and an operating ratio of 91.2 percent
On a non-GAAP basis, operating income of $242.6 million and an operating ratio of 91.2 percent, compared to $275.5 million and an operating ratio of 90.4 percent

Asset-Light

Full Year 2024 Versus Full Year 2023

Revenue of $1.6 billion compared to $1.7 billion, a per-day decrease of 8.0 percent
Operating income of $58.4 million, including the $90.3 million pre-tax change in the fair value of contingent earnout consideration related to an earnout, compared to operating loss of $12.3 million
On a non-GAAP basis, operating loss of $17.1 million compared to operating income of $5.3 million
Adjusted EBITDA of negative $9.8 million compared to $12.9 million

Capital Expenditures

In 2024, total net capital expenditures, including equipment financed, were $288 million. This included $160 million of revenue equipment and $85 million in real estate, the majority of which was for ArcBest’s Asset-Based operation. Depreciation and amortization costs on property, plant and equipment were $136 million in 2024.

Share Repurchase and Quarterly Dividend Programs

ArcBest returned over $85 million to shareholders in 2024 through both share repurchases and dividends, while making significant organic capital investments in the business. As of January 29, 2025, ArcBest had $48.7 million of repurchase authorization remaining under the current stock repurchase program. Management plans to continue acting opportunistically on repurchases based on share price, balanced against prioritizing organic capital investments while maintaining reasonable leverage levels.

Conference Call

ArcBest will host a conference call with company executives to discuss the quarterly results. The call will be today, Friday, January 31, 2025 at 9:30 a.m. EST (8:30 a.m. CST). Interested parties are invited to listen by calling (800) 715‑9871 or by joining the webcast which can be found on ArcBest’s website at arcb.com. Slides to accompany this call are included in Exhibit 99.3 of the Form 8-K filed on January 31, 2025, will be posted and available to download on the company’s website prior to the scheduled conference time, and will be included in the webcast. Following the call, a recorded playback will be available through the end of the day on February 14, 2025. To listen to the playback, dial (800) 770-2030. The conference call ID for the live conference call and the playback is 7688695. The conference call and playback can also be accessed through February 14, 2025 on ArcBest’s website at arcb.com.

About ArcBest

ArcBest^® (Nasdaq: ARCB) is a multibillion-dollar integrated logistics company that helps keep the global supply chain moving. Founded in 1923 and now with 14,000 employees across 250 campuses and service centers, the company is a logistics powerhouse, using its technology, expertise and scale to connect shippers with the solutions they need — from ground, air and ocean transportation to fully managed supply chains. ArcBest has a long history of innovation that is enriched by deep customer relationships. With a commitment to helping customers navigate supply chain challenges now and in the future, the company is developing ground-breaking technology like Vaux™, one of the TIME Best Inventions of 2023. For more information, visit arcb.com.

The following is a “safe harbor” statement under the Private Securities Litigation Reform Act of 1995: Certain statements and information in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including, among others, statements regarding (i) our expectations about our intrinsic value or our prospects for growth and value creation and (ii) our financial outlook, position, strategies, goals, and expectations. Terms such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “forecast,” “foresee,” “intend,” “may,” “plan,” “predict,” “project,” “scheduled,” “should,” “would,” and similar expressions and the negatives of such terms are intended to identify forward-looking statements. These statements are based on management’s beliefs, assumptions, and expectations based on currently available information, are not guarantees of future performance, and involve certain risks and uncertainties (some of which are beyond our control). Although we believe that the expectations reflected in these forward-looking statements are reasonable as and when made, we cannot provide assurance that our expectations will prove to be correct. Actual outcomes and results could materially differ from what is expressed, implied, or forecasted in these statements due to a number of factors, including, but not limited to: the effects of a widespread outbreak of an illness or disease or any other public health crisis, as well as regulatory measures implemented in response to such events; external events which may adversely affect us or the third parties who provide services for us, for which our business continuity plans may not adequately prepare us, including, but not limited to, acts of war or terrorism, or military conflicts; data privacy breaches, cybersecurity incidents, and/or failures of our information systems, including disruptions or failures of services essential to our operations or upon which our information technology platforms rely; interruption or failure of third-party software or information technology systems or licenses; untimely or ineffective development and implementation of, or failure to realize the potential benefits associated with, new or enhanced technology or processes, including our customer pilot offering of Vaux; the loss or reduction of business from large customers or an overall reduction in our customer base; the timing and performance of growth initiatives and the ability to manage our cost structure; the cost, integration, and performance of any recent or future acquisitions and the inability to realize the anticipated benefits of the acquisition within the expected time period or at all; unsolicited takeover proposals, proxy contests, and other proposals/actions by activist investors; maintaining our corporate reputation and intellectual property rights; nationwide or global disruption in the supply chain resulting in increased volatility in freight volumes; competitive initiatives and pricing pressures; increased prices for and decreased availability of equipment, including new revenue equipment, decreases in value of used revenue equipment, and higher costs of equipment-related operating expenses such as maintenance, fuel, and related taxes; availability of fuel, the effect of volatility in fuel prices and the associated changes in fuel surcharges on securing increases in base freight rates, and the inability to collect fuel surcharges; relationships with employees, including unions, and our ability to attract, retain, and upskill employees; unfavorable terms of, or the inability to reach agreement on, future collective bargaining agreements or a workforce stoppage by our employees covered under ABF Freight’s collective bargaining agreement; union employee wages and benefits, including changes in required contributions to multiemployer plans; availability and cost of reliable third-party services; our ability to secure independent owner-operators and/or operational or regulatory issues related to our use of their services; litigation or claims asserted against us; governmental regulations; environmental laws and regulations, including emissions-control regulations; default on covenants of financing arrangements and the availability and terms of future financing arrangements; our ability to generate sufficient cash from operations to support significant ongoing capital expenditure requirements and other business initiatives; self-insurance claims, insurance premium costs, and loss of our ability to self-insure; potential impairment of long-lived assets and goodwill and intangible assets; general economic conditions and related shifts in market demand that impact the performance and needs of industries we serve and/or limit our customers’ access to adequate financial resources; increasing costs due to inflation and higher interest rates; seasonal fluctuations, adverse weather conditions, natural disasters, and climate change; and other financial, operational, and legal risks and uncertainties detailed from time to time in ArcBest Corporation’s public filings with the Securities and Exchange Commission (“SEC”).

For additional information regarding known material factors that could cause our actual results to differ from those expressed in these forward-looking statements, please see our filings with the SEC, including our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8K.

Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statements after the date they are made, whether as a result of new information, future events, or otherwise.

Financial Data and Operating Statistics

The following tables show financial data and operating statistics on ArcBest^® and its reportable segments.

ARCBEST CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS
	Three Months Ended						Year Ended
	December 31						December 31
	2024			2023			2024			2023
	(Unaudited)
	($ thousands, except share and per share data)
REVENUES	$	1,001,645		$	1,089,535		$	4,179,019		$	4,427,443

OPERATING EXPENSES		963,484			1,025,282			3,934,585			4,254,824

OPERATING INCOME		38,161			64,253			244,434			172,619

OTHER INCOME (COSTS)
Interest and dividend income		1,932			4,124			11,618			14,728
Interest and other related financing costs		(2,393	)		(2,326	)		(8,980	)		(9,094	)
Other, net		(240	)		1,755			(28,358	)		8,662
		(701	)		3,553			(25,720	)		14,296

INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES		37,460			67,806			218,714			186,915

INCOME TAX PROVISION		8,425			19,016			45,353			44,751

NET INCOME FROM CONTINUING OPERATIONS		29,035			48,790			173,361			142,164

INCOME FROM DISCONTINUED OPERATIONS, net of tax⁽¹⁾		—			—			600			53,269

NET INCOME	$	29,035		$	48,790		$	173,961		$	195,433

BASIC EARNINGS PER COMMON SHARE⁽²⁾
Continuing operations	$	1.24		$	2.06		$	7.36		$	5.92
Discontinued operations⁽¹⁾		—			—			0.03			2.22
	$	1.24		$	2.06		$	7.39		$	8.14

DILUTED EARNINGS PER COMMON SHARE⁽²⁾
Continuing operations	$	1.24		$	2.01		$	7.28		$	5.77
Discontinued operations⁽¹⁾		—			—			0.03			2.16
	$	1.24		$	2.01		$	7.30		$	7.93

AVERAGE COMMON SHARES OUTSTANDING
Basic		23,410,038			23,713,434			23,553,410			24,018,801
Diluted		23,491,715			24,248,584			23,820,175			24,634,617

__________________________
¹⁾	Represents the discontinued operations of FleetNet America^® (“FleetNet”), which sold on February 28, 2023. The year ended December 31, 2024 represents adjustments related to the prior year gain on sale of FleetNet. The year ended December 31, 2023 includes the net gain on sale of FleetNet of $52.3 million after-tax, or $2.18 basic earnings per share and $2.12 diluted earnings per share.
²⁾	Earnings per common share is calculated in total and may not equal the sum of earnings per common share from continuing operations and discontinued operations due to rounding.

ARCBEST CORPORATION CONSOLIDATED BALANCE SHEETS
	December 31			December 31
	2024			2023
	(Unaudited)			Note
	($ thousands, except share data)
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	127,444		$	262,226
Short-term investments		29,759			67,842
Accounts receivable, less allowances (2024 – $8,257; 2023 – $10,346)		394,838			430,122
Other accounts receivable, less allowances (2024 – $648; 2023 – $731)		36,055			52,124
Prepaid expenses		47,860			37,034
Prepaid and refundable income taxes		28,641			24,319
Other		11,045			11,116
TOTAL CURRENT ASSETS		675,642			884,783

PROPERTY, PLANT AND EQUIPMENT
Land and structures		520,119			460,068
Revenue equipment		1,166,161			1,126,055
Service, office, and other equipment		351,907			319,466
Software		182,396			173,354
Leasehold improvements		32,263			24,429
		2,252,846			2,103,372
Less allowances for depreciation and amortization		1,186,800			1,188,548
PROPERTY, PLANT AND EQUIPMENT, net		1,066,046			914,824

GOODWILL		304,753			304,753
INTANGIBLE ASSETS, net		88,615			101,150
OPERATING RIGHT-OF-USE ASSETS		192,753			169,999
DEFERRED INCOME TAXES		9,536			8,140
OTHER LONG-TERM ASSETS		92,386			101,445
TOTAL ASSETS	$	2,429,731		$	2,485,094

LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable	$	172,763		$	214,004
Income taxes payable		—			10,410
Accrued expenses		394,880			378,029
Current portion of long-term debt		63,978			66,948
Current portion of operating lease liabilities		34,364			32,172
TOTAL CURRENT LIABILITIES		665,985			701,563

LONG-TERM DEBT, less current portion		125,156			161,990
OPERATING LEASE LIABILITIES, less current portion		189,978			176,621
POSTRETIREMENT LIABILITIES, less current portion		13,361			13,319
CONTINGENT CONSIDERATION		2,650			92,900
DEFERRED INCOME TAXES		78,649			55,785
OTHER LONG-TERM LIABILITIES		39,590			40,553

STOCKHOLDERS’ EQUITY
Common stock, $0.01 par value, authorized 70,000,000 shares; issued 2024: 30,401,768 shares; 2023: 30,024,125 shares		304			300
Additional paid-in capital		329,575			340,961
Retained earnings		1,435,250			1,272,584
Treasury stock, at cost, 2024: 7,114,844 shares; 2023: 6,460,137 shares		(451,039	)		(375,806	)
Accumulated other comprehensive income		272			4,324
TOTAL STOCKHOLDERS’ EQUITY		1,314,362			1,242,363
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	2,429,731		$	2,485,094

__________________________

Note: The balance sheet at December 31, 2023 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements.

ARCBEST CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS
	Year Ended
	December 31
	2024			2023
	(Unaudited)
	($ thousands)
OPERATING ACTIVITIES
Net income	$	173,961		$	195,433
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		136,265			132,900
Amortization of intangibles		12,822			12,829
Share-based compensation expense		11,355			11,438
Provision for losses on accounts receivable		4,834			3,630
Change in deferred income taxes		22,437			(5,566	)
(Gain) loss on sale of property and equipment		(2,176	)		4,797
Pre-tax gain on sale of discontinued operations		(806	)		(70,201	)
Asset impairment charges		1,700			30,162
Change in fair value of contingent consideration		(90,250	)		(19,100	)
Change in fair value of equity investment		28,739			(3,739	)
Changes in operating assets and liabilities:
Receivables		45,499			41,189
Prepaid expenses		(11,214	)		2,563
Other assets		(4,120	)		3,830
Income taxes		(14,956	)		(10,657	)
Operating right-of-use assets and lease liabilities, net		(7,205	)		2,920
Accounts payable, accrued expenses, and other liabilities		(21,039	)		(10,261	)
NET CASH PROVIDED BY OPERATING ACTIVITIES		285,846			322,167

INVESTING ACTIVITIES
Purchases of property, plant and equipment, net of financings		(223,103	)		(219,021	)
Proceeds from sale of property and equipment		15,373			7,763
Proceeds from sale of discontinued operations		—			100,949
Purchases of short-term investments		(29,236	)		(96,537	)
Proceeds from sale of short-term investments		66,584			198,120
Capitalization of internally developed software		(16,897	)		(12,977	)
NET CASH USED IN INVESTING ACTIVITIES		(187,279	)		(21,703	)

FINANCING ACTIVITIES
Payments on long-term debt		(120,518	)		(69,180	)
Net change in book overdrafts		(3,504	)		(14,101	)
Deferred financing costs		(62	)		55
Payment of common stock dividends		(11,295	)		(11,542	)
Purchases of treasury stock		(75,233	)		(91,531	)
Payments for tax withheld on share-based compensation		(22,737	)		(10,311	)
NET CASH USED IN FINANCING ACTIVITIES		(233,349	)		(196,610	)

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS		(134,782	)		103,854
Cash and cash equivalents of continuing operations at beginning of period		262,226			158,264
Cash and cash equivalents of discontinued operations at beginning of period		—			108
CASH AND CASH EQUIVALENTS AT END OF PERIOD	$	127,444		$	262,226

NONCASH INVESTING ACTIVITIES
Equipment financed	$	80,714		$	33,495
Accruals for equipment received	$	463		$	1,727
Lease liabilities arising from obtaining right-of-use assets	$	49,452		$	62,425

__________________________

Note: The statements of cash flows for the year ended December 31, 2024 and 2023 include cash flows from continuing operations and cash flows from discontinued operations of FleetNet, which sold on February 28, 2023.

ARCBEST CORPORATION FINANCIAL STATEMENT OPERATING SEGMENT DATA AND OPERATING RATIOS
	Three Months Ended												Year Ended
	December 31												December 31
	2024						2023						2024						2023
	(Unaudited)
	($ thousands, except percentages)
REVENUES FROM CONTINUING OPERATIONS
Asset-Based	$	656,220					$	709,986					$	2,750,134					$	2,871,004
Asset-Light		375,432						413,425						1,552,936						1,680,645
Other and eliminations		(30,007	)					(33,876	)					(124,051	)					(124,206	)
Total consolidated revenues from continuing operations	$	1,001,645					$	1,089,535					$	4,179,019					$	4,427,443

OPERATING EXPENSES FROM CONTINUING OPERATIONS
Asset-Based
Salaries, wages, and benefits	$	331,345		50.5		%	$	342,031		48.2		%	$	1,387,491		50.5		%	$	1,379,756		48.1		%
Fuel, supplies, and expenses		73,374		11.2				84,677		11.9				316,526		11.5				361,355		12.6
Operating taxes and licenses		13,432		2.0				13,980		2.0				54,056		2.0				55,918		1.9
Insurance		21,345		3.3				12,209		1.7				72,610		2.6				52,025		1.8
Communications and utilities		5,332		0.8				4,702		0.6				19,336		0.7				19,288		0.7
Depreciation and amortization		29,401		4.5				27,444		3.9				110,021		4.0				104,165		3.6
Rents and purchased transportation		64,726		9.8				66,676		9.4				274,312		10.0				338,575		11.8
Shared services		63,560		9.7				69,468		9.8				270,182		9.8				279,248		9.7
(Gain) loss on sale of property and equipment and asset impairment charges⁽¹⁾		827		0.1				77		—				(803	)	—				982		—
Innovative technology costs⁽²⁾		—		—				—		—				—		—				21,711		0.8
Other		543		0.1				1,189		0.2				3,800		0.1				4,829		0.2
Total Asset-Based		603,885		92.0		%		622,453		87.7		%		2,507,531		91.2		%		2,617,852		91.2		%

Asset-Light
Purchased transportation	$	325,307		86.6		%	$	357,122		86.4		%	$	1,339,783		86.3		%	$	1,435,604		85.4		%
Salaries, wages, and benefits⁽³⁾		27,493		7.3				30,395		7.4				118,983		7.7				129,083		7.7
Supplies and expenses		1,953		0.5				2,934		0.7				10,232		0.6				12,094		0.7
Depreciation and amortization⁽⁴⁾		4,908		1.3				5,120		1.2				20,062		1.3				20,370		1.2
Shared services⁽³⁾		17,228		4.6				16,076		3.9				68,346		4.4				65,308		3.9
Contingent consideration⁽⁵⁾		(9,510	)	(2.5	)			(6,300	)	(1.5	)			(90,250	)	(5.8	)			(19,100	)	(1.1	)
Asset impairment charges⁽⁶⁾		1,700		0.5				—		—				1,700		0.1				14,407		0.9
Legal settlement⁽⁷⁾		274		0.1				9,500		2.3				274		—				9,500		0.6
Other⁽³⁾		7,658		2.0				6,234		1.5				25,362		1.6				25,650		1.4
Total Asset-Light		377,011		100.4		%		421,081		101.9		%		1,494,492		96.2		%		1,692,916		100.7		%

Other and eliminations⁽⁸⁾		(17,412	)					(18,252	)					(67,438	)					(55,944	)
Total consolidated operating expenses from continuing operations	$	963,484		96.2		%	$	1,025,282		94.1		%	$	3,934,585		94.2		%	$	4,254,824		96.1		%

OPERATING INCOME (LOSS) FROM CONTINUING OPERATIONS
Asset-Based	$	52,335					$	87,533					$	242,603					$	253,152
Asset-Light		(1,579	)					(7,656	)					58,444						(12,271	)
Other and eliminations⁽⁸⁾		(12,595	)					(15,624	)					(56,613	)					(68,262	)
Total consolidated operating income from continuing operations	$	38,161					$	64,253					$	244,434					$	172,619

__________________________
¹⁾	The year ended December 31, 2023 include $0.7 million of noncash lease-related impairment charges for a service center.
²⁾	Represents costs associated with the freight handling pilot test program at ABF Freight, for which the decision was made to pause the pilot during third quarter 2023.
³⁾	For the 2023 periods, certain expenses have been reclassed to conform to the current year presentation, including amounts previously reported in “Shared services” that were reclassed to present “Salaries, wages, and benefits” expenses in a separate line item.
⁴⁾	Includes amortization of intangibles associated with acquired businesses.
⁵⁾	Represents the change in fair value of the contingent earnout consideration recorded for the MoLo acquisition. The liability for contingent consideration is remeasured at each quarterly reporting date, and any change in fair value as a result of the recurring assessments is recognized in operating income (loss). The contingent consideration for the MoLo acquisition will be paid based on achievement of certain targets of adjusted earnings before interest, taxes, depreciation, and amortization, as adjusted for certain items pursuant to the merger agreement, for years 2023 through 2025, including catch-up provisions.
⁶⁾	The 2024 periods represent noncash asset impairment charges for certain revenue equipment and software recognized during fourth quarter 2024 as part of a strategic decision to adjust capacity within Asset-Light’s operations. The 2023 period represents noncash lease-related impairment charges for certain office spaces that were made available for sublease.
⁷⁾	Represents settlement expenses related to the classification of certain Asset-Light employees under the Fair Labor Standards Act, which were paid during first quarter 2025.
⁸⁾	“Other and eliminations” includes corporate costs for certain unallocated shared service costs which are not attributable to any segment, additional investments to offer comprehensive transportation and logistics services across multiple operating segments, costs related to our customer pilot offering of Vaux, and other investments in ArcBest technology and innovations. The 2023 period also includes $15.1 million of noncash lease-related impairment charges for a freight handling pilot facility.

ARCBEST CORPORATION

RECONCILIATIONS OF GAAP TO NON-GAAP FINANCIAL MEASURES

Non-GAAP Financial Measures

We report our financial results in accordance with U.S. generally accepted accounting principles (“GAAP”). However, management believes that certain non-GAAP performance measures and ratios utilized for internal analysis provide analysts, investors, and others the same information that we use internally for purposes of assessing our core operating performance and provides meaningful comparisons between current and prior period results, as well as important information regarding performance trends. Accordingly, non-GAAP results are presented on a continuing operations basis, excluding the discontinued operations of FleetNet, which sold on February 28, 2023. The use of certain non-GAAP measures improves comparability in analyzing our performance because it removes the impact of items from operating results that, in management’s opinion, do not reflect our core operating performance. Other companies may calculate non-GAAP measures differently; therefore, our calculation may not be comparable to similarly titled measures of other companies. Certain information discussed in the scheduled conference call could be considered non-GAAP measures. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, our reported results. These financial measures should not be construed as better measurements than operating income, net income or earnings per share, as determined under GAAP.

	Three Months Ended						Year Ended
	December 31						December 31
	2024			2023			2024			2023
ArcBest Corporation – Consolidated	(Unaudited)
	($ thousands, except per share data)
Operating Income from Continuing Operations
Amounts on GAAP basis	$	38,161		$	64,253		$	244,434		$	172,619
Innovative technology costs, pre-tax⁽¹⁾		7,560			11,005			34,081			52,363
Purchase accounting amortization, pre-tax⁽²⁾		3,192			3,192			12,768			12,768
Change in fair value of contingent consideration, pre-tax⁽³⁾		(9,510	)		(6,300	)		(90,250	)		(19,100	)
Asset impairment charges, pre-tax⁽⁴⁾		1,700			—			1,700			30,162
Legal settlement, pre-tax⁽⁵⁾		274			9,500			274			9,500
Non-GAAP amounts	$	41,377		$	81,650		$	203,007		$	258,312

Net Income from Continuing Operations
Amounts on GAAP basis	$	29,035		$	48,790		$	173,361		$	142,164
Innovative technology costs, after-tax (includes related financing costs)⁽¹⁾		5,780			8,364			26,111			39,680
Purchase accounting amortization, after-tax⁽²⁾		2,401			2,399			9,603			9,593
Change in fair value of contingent consideration, after-tax⁽³⁾		(7,152	)		(4,733	)		(67,875	)		(14,350	)
Asset impairment charges, after-tax⁽⁴⁾		1,278			—			1,278			22,571
Legal settlement, after-tax⁽⁵⁾		206			7,137			206			7,137
Change in fair value of equity investment, after-tax⁽⁶⁾		—			—			21,603			(2,786	)
Life insurance proceeds and changes in cash surrender value		(311	)		(1,787	)		(3,317	)		(4,581	)
Tax benefit from vested RSUs⁽⁷⁾		(38	)		(187	)		(11,311	)		(5,290	)
Non-GAAP amounts	$	31,199		$	59,983		$	149,659		$	194,138

Diluted Earnings Per Share from Continuing Operations
Amounts on GAAP basis	$	1.24		$	2.01		$	7.28		$	5.77
Innovative technology costs, after-tax (includes related financing costs)⁽¹⁾		0.25			0.34			1.10			1.61
Purchase accounting amortization, after-tax⁽²⁾		0.10			0.10			0.40			0.39
Change in fair value of contingent consideration, after-tax⁽³⁾		(0.30	)		(0.20	)		(2.85	)		(0.58	)
Asset impairment charges, after-tax⁽⁴⁾		0.05			—			0.05			0.92
Legal settlement, after-tax⁽⁵⁾		0.01			0.29			0.01			0.29
Change in fair value of equity investment, after-tax⁽⁶⁾		—			—			0.91			(0.11	)
Life insurance proceeds and changes in cash surrender value		(0.01	)		(0.07	)		(0.14	)		(0.19	)
Tax benefit from vested RSUs⁽⁷⁾		—			(0.01	)		(0.47	)		(0.21	)
Non-GAAP amounts⁽⁸⁾	$	1.33		$	2.47		$	6.28		$	7.88

__________________________

See “Notes to Non-GAAP Financial Tables” for footnotes to this ArcBest Corporation – Consolidated non-GAAP table.

ARCBEST CORPORATION RECONCILIATIONS OF GAAP TO NON-GAAP FINANCIAL MEASURES – Continued

	Three Months Ended												Year Ended
	December 31												December 31
	2024						2023						2024						2023
Segment Operating Income (Loss) Reconciliations	(Unaudited)
	($ thousands, except percentages)
Asset-Based Segment
Operating Income ($) and Operating Ratio (% of revenues)
Amounts on GAAP basis	$	52,335		92.0		%	$	87,533		87.7		%	$	242,603		91.2		%	$	253,152		91.2		%
Innovative technology costs, pre-tax⁽⁹⁾		—		—				—		—				—		—				21,711		(0.8	)
Asset impairment charges, pre-tax⁽⁴⁾		—		—				—		—				—		—				684		—
Non-GAAP amounts⁽⁸⁾	$	52,335		92.0		%	$	87,533		87.7		%	$	242,603		91.2		%	$	275,547		90.4		%

Asset-Light Segment
Operating Income (Loss) ($) and Operating Ratio (% of revenues)
Amounts on GAAP basis	$	(1,579	)	100.4		%	$	(7,656	)	101.9		%	$	58,444		96.2		%	$	(12,271	)	100.7		%
Purchase accounting amortization, pre-tax⁽²⁾		3,192		(0.9	)			3,192		(0.8	)			12,768		(0.8	)			12,768		(0.8	)
Change in fair value of contingent consideration, pre-tax⁽³⁾		(9,510	)	2.5				(6,300	)	1.5				(90,250	)	5.8				(19,100	)	1.1
Asset impairment charges, pre-tax⁽⁴⁾		1,700		(0.5	)			—		—				1,700		(0.1	)			14,407		(0.9	)
Legal settlement, pre-tax⁽⁵⁾		274		(0.1	)			9,500		(2.3	)			274		—				9,500		(0.6	)
Non-GAAP amounts⁽⁸⁾	$	(5,923	)	101.6		%	$	(1,264	)	100.3		%	$	(17,064	)	101.1		%	$	5,304		99.7		%

Other and Eliminations
Operating Income (Loss) ($)
Amounts on GAAP basis	$	(12,595	)				$	(15,624	)				$	(56,613	)				$	(68,262	)
Innovative technology costs, pre-tax⁽¹⁾		7,560						11,005						34,081						30,652
Asset impairment charges, pre-tax⁽⁴⁾		—						—						—						15,071
Non-GAAP amounts	$	(5,035	)				$	(4,619	)				$	(22,532	)				$	(22,539	)

__________________________

Note: See “Notes to Non-GAAP Financial Tables” for footnotes to this Segment Operating Income (Loss) Reconciliations non-GAAP table.

ARCBEST CORPORATION RECONCILIATIONS OF GAAP TO NON-GAAP FINANCIAL MEASURES – Continued

Effective Tax Rate Reconciliation
ArcBest Corporation – Consolidated

(Unaudited)
($ thousands, except percentages)	Three Months Ended December 31, 2024
				Other			Income			Income
CONTINUING OPERATIONS	Operating			Income			Before Income			Tax			Net
	Income			(Costs)			Taxes			Provision			Income			Tax Rate⁽¹⁰⁾
Amounts on GAAP basis	$	38,161		$	(701	)	$	37,460		$	8,425		$	29,035		22.5		%
Innovative technology costs⁽¹⁾		7,560			126			7,686			1,906			5,780		24.8
Purchase accounting amortization⁽²⁾		3,192			—			3,192			791			2,401		24.8
Change in fair value of contingent consideration⁽³⁾		(9,510	)		—			(9,510	)		(2,358	)		(7,152	)	(24.8	)
Asset impairment charges⁽⁴⁾		1,700			—			1,700			422			1,278		24.8
Legal settlement⁽⁵⁾		274			—			274			68			206		24.8
Life insurance proceeds and changes in cash surrender value		—			(311	)		(311	)		—			(311	)	—
Tax benefit from vested RSUs⁽⁷⁾		—			—			—			38			(38	)	—
Non-GAAP amounts	$	41,377		$	(886	)	$	40,491		$	9,292		$	31,199		22.9		%

	Year Ended December 31, 2024
				Other			Income			Income
	Operating			Income			Before Income			Tax			Net
	Income			(Costs)			Taxes			Provision			Income			Tax Rate⁽¹⁰⁾
Amounts on GAAP basis	$	244,434		$	(25,720	)	$	218,714		$	45,353		$	173,361		20.7		%
Innovative technology costs⁽¹⁾		34,081			637			34,718			8,607			26,111		24.8
Purchase accounting amortization⁽²⁾		12,768			—			12,768			3,165			9,603		24.8
Change in fair value of contingent consideration⁽³⁾		(90,250	)		—			(90,250	)		(22,375	)		(67,875	)	(24.8	)
Asset impairment charges⁽⁴⁾		1,700			—			1,700			422			1,278		24.8
Legal settlement⁽⁵⁾		274			—			274			68			206		24.8
Change in fair value of equity investment⁽⁶⁾		—			28,739			28,739			7,136			21,603		24.8
Life insurance proceeds and changes in cash surrender value		—			(3,317	)		(3,317	)		—			(3,317	)	—
Tax benefit from vested RSUs⁽⁷⁾		—			—			—			11,311			(11,311	)	—
Non-GAAP amounts	$	203,007		$	339		$	203,346		$	53,687		$	149,659		26.4		%

	Three Months Ended December 31, 2023
				Other			Income			Income
CONTINUING OPERATIONS	Operating			Income			Before Income			Tax			Net
	Income			(Costs)			Taxes			Provision			Income			Tax Rate⁽¹⁰⁾
Amounts on GAAP basis	$	64,253		$	3,553		$	67,806		$	19,016		$	48,790		28.0		%
Innovative technology costs⁽¹⁾		11,005			211			11,216			2,852			8,364		25.4
Purchase accounting amortization⁽²⁾		3,192			—			3,192			793			2,399		24.9
Change in fair value of contingent consideration⁽³⁾		(6,300	)		—			(6,300	)		(1,567	)		(4,733	)	(24.9	)
Legal settlement⁽⁵⁾		9,500			—			9,500			2,363			7,137		24.9
Life insurance proceeds and changes in cash surrender value		—			(1,787	)		(1,787	)		—			(1,787	)	—
Tax benefit from vested RSUs⁽⁷⁾		—			—			—			187			(187	)	—
Non-GAAP amounts	$	81,650		$	1,977		$	83,627		$	23,644		$	59,983		28.3		%

	Year Ended December 31, 2023
				Other			Income			Income
	Operating			Income			Before Income			Tax			Net
	Income			(Costs)			Taxes			Provision			Income			Tax Rate⁽¹⁰⁾
Amounts on GAAP basis	$	172,619		$	14,296		$	186,915		$	44,751		$	142,164		23.9		%
Innovative technology costs⁽¹⁾		52,363			937			53,300			13,620			39,680		25.6
Purchase accounting amortization⁽²⁾		12,768			—			12,768			3,175			9,593		24.9
Change in fair value of contingent consideration⁽³⁾		(19,100	)		—			(19,100	)		(4,750	)		(14,350	)	(24.9	)
Asset impairment charges⁽⁴⁾		30,162			—			30,162			7,591			22,571		25.2
Legal settlement⁽⁵⁾		9,500			—			9,500			2,363			7,137		24.9
Change in fair value of equity investment⁽⁶⁾		—			(3,739	)		(3,739	)		(953	)		(2,786	)	(25.5	)
Life insurance proceeds and changes in cash surrender value		—			(4,581	)		(4,581	)		—			(4,581	)	—
Tax benefit from vested RSUs⁽⁷⁾		—			—			—			5,290			(5,290	)	—
Non-GAAP amounts	$	258,312		$	6,913		$	265,225		$	71,087		$	194,138		26.8		%

__________________________

Note: See “Notes to Non-GAAP Financial Tables” for footnotes to this Effective Tax Rate Reconciliation non-GAAP table.

ARCBEST CORPORATION

RECONCILIATIONS OF GAAP TO NON-GAAP FINANCIAL MEASURES – Continued

Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (Adjusted EBITDA)

Management uses Adjusted EBITDA as a key measure of performance and for business planning. The measure is particularly meaningful for analysis of operating performance because it excludes amortization of acquired intangibles and software of the Asset-Light segment, changes in the fair values of contingent consideration and equity investment, and asset impairment charges, which are significant expenses or gains resulting from strategic decisions or other factors rather than core daily operations. Additionally, Adjusted EBITDA is a primary component of the financial covenants contained in our credit agreement. The calculation of Consolidated Adjusted EBITDA as presented below begins with net income from continuing operations, which is the most directly comparable GAAP measure. The calculation of Asset-Light Adjusted EBITDA as presented below begins with operating income (loss), as other income (costs), income taxes, and net income from continuing operations are reported at the consolidated level and not included in the operating segment financial information evaluated by management to make operating decisions.

	Three Months Ended						Year Ended
	December 31							December 31
	2024			2023			2024			2023
	(Unaudited)
	($ thousands)
ArcBest Corporation – Consolidated Adjusted EBITDA from Continuing Operations
Net Income from Continuing Operations	$	29,035		$	48,790		$	173,361		$	142,164
Interest and other related financing costs		2,393			2,326			8,980			9,094
Income tax provision		8,425			19,016			45,353			44,751
Depreciation and amortization⁽¹¹⁾		39,367			37,387			149,087			145,349
Amortization of share-based compensation		2,315			2,848			11,355			11,385
Change in fair value of contingent consideration⁽³⁾		(9,510	)		(6,300	)		(90,250	)		(19,100	)
Asset impairment charges⁽⁴⁾		1,700			—			1,700			30,162
Legal settlement⁽⁵⁾		274			9,500			274			9,500
Change in fair value of equity investment⁽⁶⁾		—			—			28,739			(3,739	)
Consolidated Adjusted EBITDA from Continuing Operations	$	73,999		$	113,567		$	328,599		$	369,566

__________________________

Note: See “Notes to Non-GAAP Financial Tables” for footnotes to this ArcBest Corporation – Consolidated Adjusted EBITDA from Continuing Operations non-GAAP table.


	Three Months Ended						Year Ended
	December 31						December 31
	2024			2023			2024			2023
	(Unaudited)
	($ thousands)
Asset-Light Adjusted EBITDA
Operating Income (Loss)	$	(1,579	)	$	(7,656	)	$	58,444		$	(12,271	)
Depreciation and amortization⁽¹¹⁾		4,908			5,120			20,062			20,370
Change in fair value of contingent consideration⁽³⁾		(9,510	)		(6,300	)		(90,250	)		(19,100	)
Asset impairment charges⁽⁴⁾		1,700			—			1,700			14,407
Legal settlement⁽⁵⁾		274			9,500			274			9,500
Asset-Light Adjusted EBITDA	$	(4,207	)	$	664		$	(9,770	)	$	12,906

__________________________

Note: See “Notes to Non-GAAP Financial Tables” for footnotes to this Asset-Light Adjusted EBITDA non-GAAP table.

ARCBEST CORPORATION RECONCILIATIONS OF GAAP TO NON-GAAP FINANCIAL MEASURES – Continued

Notes to Non-GAAP Financial Tables

The following footnotes apply to the non-GAAP financial tables presented in this press release.

¹⁾	Represents costs related to our customer pilot offering of Vaux and initiatives to optimize our performance through technological innovation. The 2023 period also includes costs associated with the freight handling pilot test program at ABF Freight, for which the decision was made to pause the pilot during third quarter 2023.
²⁾	Represents the amortization of acquired intangible assets in the Asset-Light segment.
³⁾	Represents change in fair value of the contingent earnout consideration recorded for the MoLo acquisition, as previously described in the footnotes to the Financial Statement Operating Segment Data and Operating Ratios table. As of December 31, 2024, the decrease in fair value reflects the reduction in payout assumptions projected for the earnout in 2025, due to the continued soft truckload environment and the latest industry expectations for a truckload market recovery being pushed further into 2025 than previously estimated.
⁴⁾	The 2024 periods represent noncash asset impairment charges for certain revenue equipment and software recognized during fourth quarter 2024 as part of a strategic decision to adjust capacity within Asset-Light’s operations. The 2023 period represents noncash lease-related impairment charges for a freight handling pilot facility reported in “Other”, an Asset‑Based service center, and Asset-Light office spaces that were made available for sublease.
⁵⁾	Represents settlement expenses related to the classification of certain Asset-Light employees under the FairLabor Standards Act, which were paid during first quarter 2025.
⁶⁾	For the year ended December 31, 2024, represents a noncash impairment charge to write off an equity investment in Phantom Auto, a provider of human-centered remote operation software, which ceased operations during first quarter 2024. For the year ended December 31, 2023, represents the increase in fair value of an investment in Phantom Auto based on observable price changes during second quarter 2023.
⁷⁾	Represents recognition of the tax impact for the vesting of share-based compensation.
⁸⁾	Non-GAAP amounts are calculated in total and may not equal the sum of GAAP amounts and non-GAAP adjustments due to rounding.
⁹⁾	Represents costs associated with the freight handling pilot test program at ABF Freight, for which the decision was made to pause the pilot during third quarter 2023.
¹⁰⁾	Tax rate for total “Amounts on GAAP basis” represents the effective tax rate. The tax effects of non-GAAP adjustments are calculated based on the statutory rate applicable to each item based on tax jurisdiction unless the nature of the item requires the tax effect to be estimated by applying a specific tax treatment.
¹¹⁾	Includes amortization of intangibles associated with acquired businesses.

ARCBEST CORPORATION
OPERATING STATISTICS
	Three Months Ended						Year Ended
	December 31						December 31
	2024		2023		% Change		2024		2023		% Change
	(Unaudited)
Asset-Based

Workdays		61.5		61.5				252.5		251.5

Billed Revenue⁽¹⁾ / CWT	$	49.27	$	48.98	0.6	%	$	49.68	$	44.46	11.7	%

Billed Revenue⁽¹⁾ / Shipment	$	538.20	$	570.64	(5.7	%)	$	548.81	$	554.53	(1.0	%)

Tonnage / Day		10,758		11,602	(7.3	%)		10,968		12,803	(14.3	%)

Shipments / Day		19,698		19,915	(1.1	%)		19,856		20,529	(3.3	%)

Shipments / DSY hour		0.441		0.431	2.3	%		0.444		0.425	4.5	%

Weight / Shipment		1,092		1,165	(6.3	%)		1,105		1,247	(11.4	%)

Average Length of Haul (Miles)		1,116		1,078	3.5	%		1,126		1,092	3.1	%

__________________________
¹⁾	Revenue for undelivered freight is deferred for financial statement purposes in accordance with the Asset-Based segment revenue recognition policy. Billed revenue used for calculating revenue per hundredweight measurements has not been adjusted for the portion of revenue deferred for financial statement purposes.

	Year Over Year % Change
	Three Months Ended		Year Ended
	December 31, 2024		December 31, 2024
	(Unaudited)
Asset-Light

Revenue / Shipment		(7.2%)		(12.8%)

Shipments / Day		(2.1%)		5.5%

Shipments / Employee / Day		20.8%		24.2%

View source version on businesswire.com: https://www.businesswire.com/news/home/20250131765970/en/

Investor Relations Contact: Amy Mendenhall

Phone: 479-785-6200

Email: [email protected]

Media Contact: Autumnn Mahar

Phone: 479-494-8221

Email: [email protected]

KEYWORDS: Arkansas United States North America

INDUSTRY KEYWORDS: Technology Delivery Services Other Transport Rail IOT (Internet of Things) Carriers and Services Transport Other Technology Telecommunications Logistics/Supply Chain Management Software Retail Networks Internet Mobile/Wireless Data Management Supply Chain Management

MEDIA:

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January 31, 2025 6:02 am

GROCERY OUTLET INVESTOR ALERT: Grocery Outlet Holding Corp. Investors with Substantial Losses Have Opportunity to Lead Class Action Lawsuit – GO

PR Newswire

SAN DIEGO
, Jan. 31, 2025 /PRNewswire/ — The law firm ofRobbins Geller Rudman & Dowd LLP announces that the Grocery Outlet class action lawsuit – captioned Liberato v. Grocery Outlet Holding Corp., No. 25-cv-00957 (N.D. Cal.) – seeks to represent purchasers or acquirers of Grocery Outlet Holding Corp. (NASDAQ: GO) securities and charges Grocery Outlet and certain of Grocery Outlet’s former top executives with violations of the Securities Exchange Act of 1934.

If you suffered substantial losses and wish to serve as lead plaintiff of the Grocery Outlet class action lawsuit, please provide your information here:

https://www.rgrdlaw.com/cases-grocery-outlet-holding-corp-class-action-lawsuit-go.html

You can also contact attorneys J.C. Sanchez or Jennifer N. Caringal of Robbins Geller by calling 800/449-4900 or via e-mail at [email protected].

CASE ALLEGATIONS: Grocery Outlet operates as a retailer of consumables and fresh products sold through independently operated stores in the United States. According to the complaint, on November 7, 2023, Grocery Outlet CEO, defendant Robert Joseph Sheedy, disclosed an ongoing systems transition that began in August and would be completed by years’ end.

The Grocery Outlet class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) defendants created the false impression that they possessed reliable information pertaining to the completion of Grocery Outlet’s system transition and any potential impact resulting therefrom, while also minimizing the risks associated with potential and perceived setbacks to Grocery Outlet’s finances as a result of implementation errors and other issues surrounding the systems transition; (ii) in truth, defendants’ repeated indications as to both when the systems transition would be completed and how significantly it would impact Grocery Outlet’s sales and margins fell short of reality as defendants relied far too heavily on their ability to implement these new or otherwise upgraded systems without significant setbacks to Grocery Outlet’s finances; and (iii) Grocery Outlet was simply not equipped to properly execute on the transition as planned and communicated to investors, despite repeated assurances that the issues would be resolved and the transition completed with each coming quarter.

The Grocery Outlet class action lawsuit further alleges that on May 7, 2024, defendants released their first quarter of fiscal year 2024 results, which announced both a significantly larger-than-expected impact from systems transition issues and significantly below-market guidance for the second quarter. On this news, the price of Grocery Outlet stock fell more than 19%, according to the complaint.

THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired Grocery Outlet securities during the Class Period to seek appointment as lead plaintiff in the Grocery Outlet class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the Grocery Outlet class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the Grocery Outlet class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the Grocery Outlet class action lawsuit.

ABOUT ROBBINS GELLER: Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities fraud cases. Our Firm has been #1 in the ISS Securities Class Action Services rankings for six out of the last ten years for securing the most monetary relief for investors. We recovered $6.6 billion for investors in securities-related class action cases – over $2.2 billion more than any other law firm in the last four years. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig. Please visit the following page for more information:

https://www.rgrdlaw.com/services-litigation-securities-fraud.html

Past results do not guarantee future outcomes.
Services may be performed by attorneys in any of our offices.

Contact:

Robbins Geller Rudman & Dowd LLP
J.C. Sanchez, Jennifer N. Caringal
655 W. Broadway, Suite 1900, San Diego, CA 92101
800-449-4900
[email protected]

View original content to download multimedia:https://www.prnewswire.com/news-releases/grocery-outlet-investor-alert-grocery-outlet-holding-corp-investors-with-substantial-losses-have-opportunity-to-lead-class-action-lawsuit–go-302364975.html

SOURCE Robbins Geller Rudman & Dowd LLP

January 31, 2025 5:56 am

CROX LAWSUIT ALERT: Levi & Korsinsky Notifies Crocs, Inc. Investors of a Class Action Lawsuit and Upcoming Deadline

PR Newswire

NEW YORK
, Jan. 31, 2025 /PRNewswire/ — Levi & Korsinsky, LLP notifies investors in Crocs, Inc. (“Crocs” or the “Company”) (NASDAQ: CROX) of a class action securities lawsuit.

CLASS DEFINITION: The lawsuit seeks to recover losses on behalf of Crocs investors who were adversely affected by alleged securities fraud between November 3, 2022 and October 28, 2024. Follow the link below to get more information and be contacted by a member of our team:

https://zlk.com/pslra-1/crocs-inc-lawsuit-submission-form?prid=126035&wire=4

CROX investors may also contact Joseph E. Levi, Esq. via email at [email protected] or by telephone at (212) 363-7500.

CASE DETAILS: The filed complaint alleges that defendants made false statements and/or concealed that: (1) the nature and sustainability of footwear brand, HEYDUDE’s revenue growth by concealing that 2022 revenue growth was driven, in large part, by the Company’s efforts to stock third-party wholesalers and retailers following the February 2022 acquisition of HEYDUDE; (2) as the Company’s retail partners began to destock this excess inventory, waning product demand further negatively impacted the Company’s financial results; and (3) as a result, defendants’ representations about the Company’s business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis.

WHAT’S NEXT? If you suffered a loss in Crocs during the relevant time frame, you have until March 24, 2025 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.

NO COST TO YOU: If you are a class member, you may be entitled to compensation without payment of any out-of-pocket costs or fees. There is no cost or obligation to participate.

WHY LEVI & KORSINSKY: Over the past 20 years, the team at Levi & Korsinsky has secured hundreds of millions of dollars for aggrieved shareholders and built a track record of winning high-stakes cases. Our firm has extensive expertise representing investors in complex securities litigation and a team of over 70 employees to serve our clients. For seven years in a row, Levi & Korsinsky has ranked in ISS Securities Class Action Services’ Top 50 Report as one of the top securities litigation firms in the United States.

CONTACT:

Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 17th Floor
New York, NY 10004
[email protected]
Tel: (212) 363-7500
Fax: (212) 363-7171
www.zlk.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/crox-lawsuit-alert-levi–korsinsky-notifies-crocs-inc-investors-of-a-class-action-lawsuit-and-upcoming-deadline-302364970.html

SOURCE Levi & Korsinsky, LLP