Market Newsdesk

March 19, 2025 6:53 am

Signet Jewelers Reports Fourth Quarter and Fiscal 2025 Results

Signet Jewelers Reports Fourth Quarter and Fiscal 2025 Results

Fourth Quarter Finished Ahead of Updated Expectations

January and FY26 To-Date Positive Same Store Sales¹ Trend

CEO Outlines New Strategy and Reorganization Plan

HAMILTON, Bermuda–(BUSINESS WIRE)–
Signet Jewelers Limited (“Signet” or the “Company”) (NYSE:SIG), the world’s largest retailer of diamond jewelry, today announced its results for the 13 weeks (“fourth quarter Fiscal 2025”) and 52 weeks (“Fiscal 2025”) ended February 1, 2025.

“I’d like to thank the team for their efforts in delivering a positive comp in January. This positive trend has continued into the first quarter to date with growth across all categories. Since holiday, we increased our depth of assortment at key price points while also benefiting from improved Bridal trends,” said J.K. Symancyk, Chief Executive Officer. “Our overall Q4 performance and lack of growth over the past several quarters informed our new strategy to grow our business. This transformative strategy is called ‘Grow Brand Love’ and builds on a strong foundation to create shareholder value. We will infuse more style and design-led product into our assortment to accelerate our growth in self-purchase and gifting while expanding our leadership position in Bridal. To activate our strategy, we are reorganizing our business to drive a Brand mind-set and centralizing core capabilities to improve speed, maximize benefits of scale, and deliver organic growth over time.”

“Signet delivered more than $400 million of free cash flow, our 5^th year in a row of strong cash conversion to adjusted operating income. This enabled a reduction in our diluted share count by nearly 20% in FY25 by returning approximately $1 billion to shareholders including the convertible preferred redemptions. Our capital allocation priorities are organic growth and return of excess cash to shareholders while maintaining a conservative balance sheet,” said Joan Hilson, Chief Operating and Financial Officer. “We are initiating FY26 guidance reflecting sales that assume a measured consumer environment. Our reorganization plan is expected to fund the reset of incentive compensation with further benefit expected beyond FY26. We are focused on real estate optimization and expect to transition over 10% of mall locations to off-mall and the eCommerce channel over the next three years, leveraging our average mall lease term of just over 2 years.”

Fourth Quarter Fiscal 2025 Highlights:

Sales of $2.4 billion, down $145.0 million or 5.8% (down 5.7% on a constant currency basis⁽²⁾) to Q4 of FY24, including cycling an additional week a year ago.
Same store sales (“SSS”)⁽¹⁾ down 1.1% to Q4 of FY24.
Merchandise Average Unit Retail (“AUR”)⁽³⁾ increased approximately 7%.
Operating income of $152.6 million, down from $416.3 million in Q4 of FY24. Operating income was impacted by non-cash impairment charges of $200.7 million substantially related to Digital brands.
Adjusted operating income⁽²⁾ of $355.5 million, down from $409.7 million in Q4 of FY24.
Diluted earnings per share (“EPS”) of $2.30, compared to $11.75 in Q4 of FY24. The current quarter includes $4.58 of asset impairment charges, and the prior year fourth quarter includes $4.94 related to the income tax benefit from the enactment of the Bermuda Corporate Income Tax Act of 2023 (“CITA2023”).
Adjusted diluted EPS⁽²⁾ of $6.62, compared to $6.73 in Q4 of FY24.

⁽¹⁾	Same store sales include physical stores and eCommerce sales. As described further below, fourth quarter Fiscal 2025 same store sales have been calculated by aligning the sales weeks of the current quarter to the equivalent sales weeks in the prior fiscal year period.
⁽²⁾	See the non-GAAP financial measures section below.
⁽³⁾	AUR reflects operational merchandise sales divided by units.

Fourth Quarter and Full Year Fiscal 2025 Results:

(in millions, except per share amounts)	Q4 Fiscal 2025			Q4 Fiscal 2024			Fiscal 2025			Fiscal 2024
Sales	$	2,352.6		$	2,497.6		$	6,703.8		$	7,171.1
SSS % change ^{(1) (2)}		(1.1	)%		(9.6	)%		(3.4	)%		(11.6	)%
GAAP
Operating income	$	152.6		$	416.3		$	110.7		$	621.5
Operating margin		6.5	%		16.7	%		1.7	%		8.7	%
Diluted EPS (loss per share)	$	2.30		$	11.75		$	(0.81	)	$	15.01
Adjusted ⁽³⁾
Adjusted operating income	$	355.5		$	409.7		$	498.1		$	642.8
Adjusted operating margin		15.1	%		16.4	%		7.4	%		9.0	%
Adjusted diluted EPS	$	6.62		$	6.73		$	8.94		$	10.37

⁽¹⁾	Same store sales include physical stores and eCommerce sales.
⁽²⁾	The 53rd week in Fiscal 2024 has resulted in a shift as the current fiscal year began a week later than the previous fiscal year. As such, same store sales for Fiscal 2025 have been calculated by aligning the sales weeks of the current quarter and year to date periods to the equivalent sales weeks in the prior fiscal year. Total reported sales continue to be calculated based on the reported fiscal periods.
⁽³⁾	See non-GAAP financial measures below.

Fourth Quarter Fiscal 2025 Results:

Gross margin was $1.0 billion, down approximately $80 million to Q4 of FY24, including more than $35 million from cycling the 53^rd week of FY24. Gross merchandise margin expanded 30 basis points, but was more than offset primarily by fixed cost deleverage.

SG&A was $639.2 million, or 27.2% of sales, down from $671.9 million, or 26.9% of sales, in Q4 of FY24. The change in SG&A as a percentage of sales was primarily driven by higher advertising expense on lower sales.

Operating income was $152.6 million, or 6.5% of sales, compared to $416.3 million, or 16.7% of sales, in Q4 of FY24. Operating income was impacted by non-cash impairment charges of $200.7 million substantially related to the Digital brands. While integration was complete, the impairment was substantially caused by the slower than anticipated recovery in the second half of Fiscal 2025.

Adjusted operating income was $355.5 million, or 15.1% of sales, compared to $409.7 million, or 16.4% of sales in Q4 of FY24.

The current quarter income tax expense was $53.5 million compared to income tax benefit of $199.2 million in Q4 of FY24. Adjusted income tax expense was $67.0 million compared to income tax expense of $62.8 million in the Q4 of FY24.

Diluted EPS was $2.30, down from $11.75 in Q4 of FY24. Diluted EPS in the current quarter includes $4.58 of asset impairment charges. Adjusted diluted EPS was $6.62, compared to $6.73 in Q4 of FY24, reflecting reduced diluted share count from the retirement of the preferred shares and common share repurchases.

Full Year Fiscal 2025 Results:

Sales of $6.7 billion, down $467.3 million or 6.5% to last year (down 6.6% on a constant currency basis⁽¹⁾). SSS declined 3.4% versus last year. Gross margin and adjusted gross margin were $2.6 billion, down from $2.8 billion in FY24. SG&A and adjusted SG&A were $2.1 billion, down from $2.2 billion in FY24.

Operating income was $110.7 million, or 1.7% of sales, compared to $621.5 million, or 8.7% of sales in FY24. Operating income was impacted by non-cash impairment charges of $369.2 million substantially related to Digital brands.

Adjusted operating income⁽¹⁾ was $498.1 million, or 7.4% of sales, compared to $642.8 million, or 9.0% of sales in FY24.

Diluted loss per share was $0.81, down from diluted EPS $15.01 last year. On an adjusted basis, diluted EPS⁽¹⁾ was $8.94, down from $10.37 last year, and reflects a reduced share count from the retirement of the preferred shares and common share repurchases. On a GAAP basis, the impact of the preferred shares was anti-dilutive.

⁽¹⁾	See the non-GAAP financial measures section below.

Balance Sheet and Statement of Cash Flows:

Cash flow from operating activities for Fiscal 2025 was $590.9 million, compared to $546.9 million in the prior year. Capital expenditures for Fiscal 2025 were $153.0 million. Cash and cash equivalents were $604.0 million as of February 1, 2025. Inventory ended the year at $1.94 billion, approximately flat to last year.

Capital Returns to Shareholders:

Signet’s Board of Directors has declared a quarterly cash dividend on common shares of $0.32 per share for the first quarter of Fiscal 2026, payable May 23, 2025, to shareholders of record on April 25, 2025, with an ex-dividend date of April 25, 2025. The $0.32 per share common dividend represents a 10% increase in the dividend.

For Fiscal 2025, Signet repurchased approximately 1.6 million shares for $138.0 million, including $24.2 million during the fourth quarter. The Company had approximately $723.0 million in share repurchase authorization remaining at the end of the fiscal year.

First Quarter and Full Year Fiscal 2026 Guidance:

	First Quarter
Total sales	$1.50 billion to $1.53 billion
Same store sales	Flat to +2.0%
Adjusted operating income ⁽¹⁾	$48 million to $60 million
Adjusted EBITDA ⁽¹⁾	$94 million to $106 million

⁽¹⁾	See description of non-GAAP financial measures below.

Forecasted adjusted operating income and adjusted EBITDA exclude potential non-recurring charges, such as restructuring and reorganizational charges, asset impairments, or integration-related costs. However, given the potential impact of non-recurring charges to the GAAP operating income, we cannot provide forecasted GAAP operating income or the probable significance of such items without unreasonable efforts. As such, we do not present a reconciliation of forecasted adjusted operating income or adjusted EBITDA to corresponding forecasted GAAP amounts.

	Fiscal 2026
Total sales	$6.53 billion to $6.80 billion
Same store sales	(2.5%) to +1.5%
Adjusted operating income ⁽¹⁾	$420 million to $510 million
Adjusted EBITDA ⁽¹⁾	$605 million to $695 million
Adjusted diluted EPS ⁽¹⁾	$7.31 to $9.10

⁽¹⁾	See description of non-GAAP financial measures below.

Forecasted adjusted operating income, adjusted EBITDA and adjusted diluted EPS provided above exclude potential non-recurring charges, such as restructuring and reorganizational charges, asset impairments, or integration-related costs. However, given the potential impact of non-recurring charges to the GAAP operating income and diluted EPS, we cannot provide forecasted GAAP operating income or diluted EPS or the probable significance of such items without unreasonable efforts. As such, we do not present a reconciliation of forecasted adjusted operating income, adjusted EBITDA and adjusted diluted EPS to corresponding forecasted GAAP amounts.

The Company’s Fiscal 2026 guidance is based on the following assumptions:

Total sales anticipates a measured consumer environment, providing for variability in consumer spending over the year.
Does not reflect any significant impact resulting from new tariffs and regulations. The Company has a team that actively manages tariffs and will work closely with vendors as needed.
Planned capital expenditures of approximately $145 million to $160 million.
Net square footage decline of 1% to flat for the year.
Annual tax rate of 23% to 25%, including the non-cash impact of approximately 4% for the CITA2023 Bermuda tax impact previously disclosed; excludes potential discrete items.
Diluted EPS for Fiscal 2026 excludes any potential further share repurchases subsequent to today.

Our Purpose and Sustainability:

Signet Jewelers Honored for Ethical Practices and Industry Leadership

On March 11, Ethisphere named Signet to its “World’s Most Ethical Companies” list for 2025. This recognition underscores Signet’s dedication to ethical business practices that positively impact employees, the communities in which we operate, and broader stakeholders.

As a leader in ethics, responsible sourcing and business integrity, Signet hosted an industry-wide leadership symposium focused on consumer education about natural diamonds. During the event, Signet announced its intention to collaborate with DeBeers and other industry leaders on marketing and educational initiatives throughout 2025.

Signet also previewed a new, fully traceable diamond collection from Jared that will launch this fall and features responsibly sourced diamonds from Botswana. This collection highlights a digital journey that personalizes each diamond’s story, while emphasizing traceability and responsible sourcing. Signet’s continuous efforts and collaborations in the industry are aimed at enhancing responsible sourcing and positively impacting society in communities we serve.

Conference Call:

A conference call is scheduled for March 19, 2025 at 8:30 a.m. ET and a simultaneous audio webcast is available at www.signetjewelers.com.

The call details are:

Toll Free – North America +1 800 549 8228

International All Other Locations: (Toll – Local – New York) – +1 646 564 2877

Conference ID 92183

Registration for the listen-only webcast is available at the following link:

https://events.q4inc.com/attendee/250901575

A replay and transcript of the call will be posted on Signet’s website as soon as they are available and will be accessible for one year.

About Signet and Safe Harbor Statement:

Signet Jewelers Limited is the world’s largest retailer of diamond jewelry. As a Purpose-driven and sustainability-focused company, Signet is a participant in the United Nations Global Compact and adheres to its principles-based approach to responsible business. Signet operates approximately 2,600 stores primarily under the name brands of Kay Jewelers, Zales, Jared, Banter by Piercing Pagoda, Diamonds Direct, Blue Nile, James Allen, Rocksbox, Peoples Jewellers, H. Samuel, and Ernest Jones. Further information on Signet is available at www.signetjewelers.com. See also www.kay.com, www.zales.com, www.jared.com, www.banter.com, www.diamondsdirect.com, www.bluenile.com, www.jamesallen.com, www.rocksbox.com, www.peoplesjewellers.com, www.hsamuel.co.uk, www.ernestjones.co.uk.

This release contains statements which are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based upon management’s beliefs and expectations as well as on assumptions made by and data currently available to management, appear in a number of places throughout this document and include statements regarding, among other things, results of operations, financial condition, liquidity, prospects, growth, strategies and the industry in which we operate. The use of the words “guidance,” “expects,” “continue,” “intends,” “anticipates,” “enhance,” “estimates,” “predicts,” “believes,” “should,” “potential,” “may,” “preliminary,” “forecast,” “objective,” “opportunity,” “plan,” “strategy,” or “target,” and other similar expressions are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to a number of risks and uncertainties which could cause the actual results to not be realized, including, but not limited to: executing or optimizing major business or strategic initiatives, such as expansion of the services business or realizing the benefits of our restructuring plans or transformation strategies, including those that the Company may develop in the future; difficulty or delay in executing or integrating an acquisition; the impact of the conflicts in the Middle East on the operations of our quality control and technology centers in Israel; the negative impacts that public health crisis, disease outbreak, epidemic or pandemic has had, and could have in the future, on our business, financial condition, profitability and cash flows; risks relating to shifts in consumer spending away from the jewelry category or away from the cultural customs of expressing commitments through engagements and weddings; trends toward more experiential purchases such as travel; general economic or market conditions, including impacts of inflation or other pricing environment factors on our commodity costs (including diamonds) or other operating costs; a prolonged slowdown in the growth of the jewelry market or a recession in the overall economy; financial market risks; a decline in consumer discretionary spending or deterioration in consumer financial position; disruptions in our supply chain; our ability to attract and retain labor; changes to regulations relating to customer credit; disruption in the availability of credit for customers and customer inability to meet credit payment obligations, which has occurred and may continue to deteriorate; our ability to achieve the benefits related to the outsourcing of the credit portfolio, including due to technology disruptions and/or disruptions arising from changes to or termination of the relevant outsourcing agreements, as well as a potential increase in credit costs due to the current interest rate environment; deterioration in the performance of individual businesses or of our market value relative to its book value, resulting in further impairments of long-lived assets or intangible assets or other adverse financial consequences; the volatility of our stock price; the impact of financial covenants, credit ratings or interest volatility on our ability to borrow; our ability to maintain adequate levels of liquidity for our cash needs, including debt obligations, payment of dividends, planned share repurchases (including execution of accelerated share repurchases and the payment of related excise taxes) and capital expenditures as well as the ability of our customers, suppliers and lenders to access sources of liquidity to provide for their own cash needs; potential regulatory changes; future legislative and regulatory requirements in the US and globally relating to climate change, including any new climate related disclosure or compliance requirements, such as those recently issued in the state of California; exchange rate fluctuations; the cost, availability of and demand for diamonds, gold and other precious metals, including any impact on the global market supply of diamonds due to the ongoing conflicts in the Middle East, the potential sale or divestiture of the De Beers Diamond Company and its diamond mining operations by parent company Anglo-American plc, and the ongoing Russia-Ukraine conflict or related sanctions; stakeholder reactions to disclosure regarding the source and use of certain minerals; scrutiny or detention of goods produced in certain territories resulting from trade restrictions; seasonality of our business; the merchandising, pricing and inventory policies followed by us and our ability to manage inventory levels; our relationships with suppliers including the ability to continue to utilize extended payment terms and the ability to obtain merchandise that customers wish to purchase; the failure to adequately address the impact of existing tariffs and/or the imposition of additional duties, tariffs, taxes and other charges or other barriers to trade or impacts from trade relations; the level of competition and promotional activity in the jewelry sector; our ability to optimize our multi-year strategy to gain market share, expand and improve existing services, innovate and achieve sustainable, long-term growth; the maintenance and continued innovation of our OmniChannel retailing and ability to increase digital sales, as well as management of digital marketing costs; failure to anticipate and keep pace with changing fashion trends; changes in the costs, retail prices, supply and consumer acceptance of, and demand for gem quality lab-grown diamonds and adequate identification of the use of substitute products in our jewelry; ability to execute successful marketing programs and manage social media; the ability to optimize our real estate footprint, including operating in attractive trade areas and accounting for changes in consumer traffic in mall locations; the performance of and ability to recruit, train, motivate and retain qualified team members – particularly store associates in regions experiencing low unemployment rates and key executive talent during periods of leadership transition, such as our recent appointment of a new Chief Executive Officer; management of social, ethical and environmental risks; ability to deliver on our corporate sustainability goals or our environmental, social and governance goals; the reputation of Signet and its brands; inadequacy in and disruptions to internal controls and systems, including related to the migration to new information technology systems which impact financial reporting; risks associated with the Company’s use of artificial intelligence; security breaches and other disruptions to our or our third-party providers’ information technology infrastructure and databases; an adverse development in legal or regulatory proceedings or tax matters, including any new claims or litigation brought by employees, suppliers, consumers or shareholders, regulatory initiatives or investigations, and ongoing compliance with regulations and any consent orders or other legal or regulatory decisions; failure to comply with labor regulations; collective bargaining activity; changes in corporate taxation rates, laws, rules or practices in the US and other jurisdictions in which our subsidiaries are incorporated, including developments related to the tax treatment of companies engaged in internet commerce or deductions associated with payments to foreign related parties that are subject to a low effective tax rate; risks related to international laws and Signet being a Bermuda corporation; risks relating to the outcome of pending litigation; our ability to protect our intellectual property or assets including cash which could be affected by failure of a financial institution or conditions affecting the banking system and financial markets as a whole; changes in assumptions used in making accounting estimates relating to items such as extended service plans or asset impairments; or the impact of weather-related incidents, natural disasters, organized crime or theft, increased security costs, strikes, protests, riots or terrorism, or acts of war (including the ongoing Russia-Ukraine and conflicts in the Middle East).

For a discussion of these and other risks and uncertainties which could cause actual results to differ materially from those expressed in any forward-looking statement, see the “Risk Factors” and “Forward-Looking Statements” sections of Signet’s Fiscal 2024 Annual Report on Form 10-K filed with the SEC on March 21, 2024, and quarterly reports on Form 10-Q and the “Safe Harbor Statements” in current reports on Form 8-K filed with the SEC. Signet undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events or circumstances, except as required by law.

Condensed Consolidated Statements of Operations (Unaudited)

(in millions, except per share amounts)	13 weeks ended February 1, 2025			14 weeks ended February 3, 2024			Fiscal 2025			Fiscal 2024
Sales	$	2,352.6		$	2,497.6		$	6,703.8		$	7,171.1
Cost of sales		(1,351.0	)		(1,416.3	)		(4,078.2	)		(4,345.7	)
Gross margin		1,001.6			1,081.3			2,625.6			2,825.4
Selling, general and administrative expenses		(639.2	)		(671.9	)		(2,122.6	)		(2,197.7	)
Asset impairments, net		(202.7	)		(3.4	)		(372.0	)		(9.1	)
Other operating (expense) income, net		(7.1	)		10.3			(20.3	)		2.9
Operating income		152.6			416.3			110.7			621.5
Interest (expense) income, net		(0.2	)		8.7			9.8			18.7
Other non-operating income (expense), net		1.7			2.0			3.7			(0.4	)
Income before income taxes		154.1			427.0			124.2			639.8
Income taxes		(53.5	)		199.2			(63.0	)		170.6
Net income		100.6			626.2			61.2			810.4
Dividends on redeemable convertible preferred shares		—			(8.6	)		(96.8	)		(34.5	)
Net income (loss) attributable to common shareholders	$	100.6		$	617.6		$	(35.6	)	$	775.9

Earnings (loss) per common share:
Basic	$	2.32		$	13.94		$	(0.81	)	$	17.28
Diluted	$	2.30		$	11.75		$	(0.81	)	$	15.01
Weighted average common shares outstanding:
Basic		43.4			44.3			44.1			44.9
Diluted		43.8			53.3			44.1			54.0

Dividends declared per common share	$	0.29		$	0.23		$	1.16		$	0.92

Condensed Consolidated Balance Sheets (Unaudited)

(in millions)	February 1, 2025			February 3, 2024
Assets
Current assets:
Cash and cash equivalents	$	604.0		$	1,378.7
Inventories		1,937.3			1,936.6
Income taxes		14.3			9.4
Other current assets		156.6			211.9
Total current assets		2,712.2			3,536.6
Non-current assets:
Property, plant and equipment, net		506.5			497.7
Operating lease right-of-use assets		1,102.4			1,001.8
Goodwill		482.0			754.5
Intangible assets, net		307.2			402.8
Other assets		314.8			319.3
Deferred tax assets		301.5			300.5
Total assets	$	5,726.6		$	6,813.2
Liabilities, Redeemable convertible preferred shares, and Shareholders’ equity
Current liabilities:
Current portion of long-term debt	$	—		$	147.7
Accounts payable		767.0			735.1
Accrued expenses and other current liabilities		366.8			400.2
Deferred revenue		362.5			362.9
Operating lease liabilities		279.9			260.3
Income taxes		55.3			69.8
Total current liabilities		1,831.5			1,976.0
Non-current liabilities:
Operating lease liabilities		900.0			835.7
Other liabilities		85.1			96.0
Deferred revenue		885.1			881.8
Deferred tax liabilities		173.1			201.7
Total liabilities		3,874.8			3,991.2
Commitments and contingencies
Redeemable Series A Convertible Preference Shares		—			655.5
Shareholders’ equity:
Common shares		12.6			12.6
Additional paid-in capital		120.1			230.7
Other reserves		0.4			0.4
Treasury shares at cost		(1,749.3	)		(1,646.9	)
Retained earnings		3,745.5			3,835.0
Accumulated other comprehensive loss		(277.5	)		(265.3	)
Total shareholders’ equity		1,851.8			2,166.5
Total liabilities, redeemable convertible preferred shares and shareholders’ equity	$	5,726.6		$	6,813.2

Condensed Consolidated Statements of Cash Flows (Unaudited)

(in millions)	Fiscal 2025			Fiscal 2024
Operating activities
Net income	$	61.2		$	810.4
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		148.2			161.9
Amortization of unfavorable contracts		(1.8	)		(1.8	)
Share-based compensation		22.2			41.1
Deferred taxation		(30.7	)		(180.3	)
Asset impairments, net		372.0			9.1
Pension settlement loss		—			0.2
Loss (gain) on divestiture		2.6			(12.3	)
Other non-cash movements		2.1			9.6
Changes in operating assets and liabilities, net of acquisitions and divestitures:
Inventories		1.0			182.5
Other assets		49.6			(36.8	)
Accounts payable		28.7			(134.5	)
Accrued expenses and other liabilities		(31.2	)		(251.1	)
Change in operating lease assets and liabilities		(18.8	)		(39.7	)
Deferred revenue		5.1			(7.0	)
Income tax receivable and payable		(19.3	)		(3.0	)
Pension plan contributions		—			(1.4	)
Net cash provided by operating activities		590.9			546.9
Investing activities
Capital expenditures		(153.0	)		(125.5	)
Acquisitions, net of cash acquired		—			(6.0	)
Divestitures		—			53.8
Other investing activities, net		(6.1	)		1.9
Net cash used in investing activities		(159.1	)		(75.8	)
Financing activities
Dividends paid on common shares		(48.6	)		(39.9	)
Dividends paid on redeemable convertible preferred shares		(18.5	)		(32.9	)
Repurchase of common shares		(138.0	)		(139.3	)
Repurchase of redeemable convertible preferred shares		(813.8	)		—
Repayment of Senior Notes		(147.8	)		—
Proceeds from asset-based credit facility		253.0			—
Repayments of asset-based credit facility		(253.0	)		—
Payment of debt issuance costs		(4.3	)		—
Other financing activities, net		(28.5	)		(47.6	)
Net cash used in financing activities		(1,199.5	)		(259.7	)
Cash and cash equivalents at beginning of period		1,378.7			1,166.8
(Decrease) increase in cash and cash equivalents		(767.7	)		211.4
Effect of exchange rate changes on cash and cash equivalents		(7.0	)		0.5
Cash and cash equivalents at end of period	$	604.0		$	1,378.7

Reportable Segment Information

Sales:

	Change from previous year
Fourth Quarter of Fiscal 2025	Same store sales ⁽¹⁾		Non-same store sales, net		Impact of 14^th week on total sales		Total sales at constant exchange rate ⁽²⁾		Exchange translation impact		Total sales as reported		Total reported sales (in millions)
North America segment	(1.1	)%	(0.7	)%	(3.6	)%	(5.4	)%	(0.2	)%	(5.6	)%	$	2,219.5
International segment	(1.5	)%	(3.9	)%	(5.6	)%	(11.0	)%	0.1	%	(10.9	)%	$	126.2
Other segment ⁽³⁾	nm		nm		nm		nm		nm		nm		$	6.9
Signet	(1.1	)%	(0.9	)%	(3.7	)%	(5.7	)%	(0.1	)%	(5.8	)%	$	2,352.6

	Change from previous year
Year to date Fiscal 2025	Same store sales ⁽¹⁾		Non-same store sales, net		Impact of 53^rd week on total sales		Total sales at constant exchange rate ⁽²⁾		Exchange translation impact		Total sales as reported		Total reported sales (in millions)
North America segment	(3.6	)%	(0.9	)%	(1.5	)%	(6.0	)%	—	%	(6.0	)%	$	6,299.1
International segment	(0.5	)%	(12.9	)%	(1.6	)%	(15.0	)%	1.6	%	(13.4	)%	$	373.2
Other segment ⁽³⁾	nm		nm		nm		nm		nm		nm		$	31.5
Signet	(3.4	)%	(1.7	)%	(1.5	)%	(6.6	)%	0.1	%	(6.5	)%	$	6,703.8

⁽¹⁾	Fourth quarter and full year Fiscal 2025 same store sales have been calculated by aligning the sales weeks of the current quarter to the equivalent sales weeks in the prior fiscal year period.
⁽²⁾	See non-GAAP financial measures section below.
⁽³⁾	Includes sales from Signet’s diamond sourcing operation.
nm	Not meaningful.

Operating income and adjusted operating income:

	Fourth quarter Fiscal 2025					Fourth quarter Fiscal 2024
Operating income (loss) in millions	$			% of segment sales		$			% of segment sales
North America segment	$	143.6		6.5	%	$	396.0		16.8	%
International segment		21.9		17.4	%		36.0		25.4	%
Other segment		(3.5	)	nm			(3.4	)	nm
Corporate and unallocated expenses		(9.4	)	nm			(12.3	)	nm
Total operating income	$	152.6		6.5	%	$	416.3		16.7	%

	Fourth quarter Fiscal 2025					Fourth quarter Fiscal 2024
Adjusted operating income (loss) in millions ⁽¹⁾	$			% of segment sales		$			% of segment sales
North America segment	$	346.0		15.6	%	$	403.2		17.2	%
International segment		21.8		17.3	%		22.2		15.7	%
Other segment		(3.5	)	nm			(3.4	)	nm
Corporate and unallocated expenses		(8.8	)	nm			(12.3	)	nm
Total adjusted operating income	$	355.5		15.1	%	$	409.7		16.4	%

⁽¹⁾	See non-GAAP financial measures below.
nm	Not meaningful.

Real Estate Portfolio:

Signet has a diversified real estate portfolio. On February 1, 2025, Signet operated 2,642 stores totaling 4.1 million square feet of selling space. Compared to year-end Fiscal 2024, store count decreased by 56 and square feet of selling space decreased 1.0%.

Store count by segment	February 3, 2024	Openings	Closures		February 1, 2025
North America segment ⁽¹⁾	2,411	18	(50	)	2,379
International segment ⁽¹⁾	287	—	(24	)	263
Signet	2,698	18	(74	)	2,642

⁽¹⁾	The net change in selling square footage for Fiscal 2025 for the North America and International segments was (0.5)% and (7.0)%, respectively.

Non-GAAP Financial Measures

In addition to reporting the Company’s financial results in accordance with generally accepted accounting principles (“GAAP”), the Company reports certain financial measures on a non-GAAP basis. The Company believes that non-GAAP financial measures, when reviewed in conjunction with GAAP financial measures, can provide more information to assist investors in evaluating historical trends and current period performance and liquidity. For these reasons, internal management reporting also includes these non-GAAP measures. These non-GAAP financial measures should be considered in addition to, and not superior to or as a substitute for, the GAAP financial measures presented in this earnings release and the Company’s consolidated financial statements and other publicly filed reports. In addition, our non-GAAP financial measures may not be the same as or comparable to similar non-GAAP measures presented by other companies.

The Company previously referred to certain non-GAAP measures as non-GAAP operating income, non-GAAP operating margin and non-GAAP diluted EPS. Beginning in Fiscal 2025, these non-GAAP measures are now referred to as adjusted operating income, adjusted operating margin and adjusted diluted EPS, respectively. There have been no changes to how these non-GAAP measures are defined or reconciled to the most directly comparable GAAP measures.

The Company reports the following non-GAAP financial measures: sales changes on a constant currency basis, free cash flow, adjusted operating income, adjusted operating margin, adjusted diluted earnings per share (“EPS”) and adjusted earnings before interest, income taxes, depreciation and amortization (“adjusted EBITDA”).

The Company provides the year-over-year change in total sales excluding the impact of foreign currency fluctuations to provide transparency to performance and enhance investors’ understanding of underlying business trends. The effect from foreign currency, calculated on a constant currency basis, is determined by applying current year average exchange rates to prior year sales in local currency.

Free cash flow is a non-GAAP measure defined as the net cash provided by operating activities less capital expenditures. Management considers this metric to be helpful in understanding how the business is generating cash from its operating and investing activities that can be used to meet the financing needs of the business. Free cash flow is an indicator frequently used by management to evaluate its overall liquidity needs and determine appropriate capital allocation strategies. Free cash flow does not represent the residual cash flow available for discretionary purposes.

Adjusted operating income is a non-GAAP measure defined as operating income excluding the impact of certain items which management believes are not necessarily reflective of normal operational performance during a period. Management finds the information useful when analyzing operating results to appropriately evaluate the performance of the business without the impact of these certain items. Management believes the consideration of measures that exclude such items can assist in the comparison of operational performance in different periods which may or may not include such items. Management also utilizes adjusted operating margin, defined as adjusted operating income as a percentage of total sales, to further evaluate the effectiveness and efficiency of the Company’s flexible operating model.

Adjusted diluted EPS is a non-GAAP measure defined as diluted EPS excluding the impact of certain items which management believes are not necessarily reflective of normal operational performance during a period. Management finds the information useful when analyzing financial results in order to appropriately evaluate the performance of the business without the impact of these certain items. In particular, management believes the consideration of measures that exclude such items can assist in the comparison of performance in different periods which may or may not include such items. The Company estimates the tax effect of all non-GAAP adjustments by applying a statutory tax rate to each item. The income tax items are used to estimate adjusted income tax expense and represent the discrete amount that affected the diluted EPS during the period.

Adjusted EBITDA is a non-GAAP measure, defined as earnings before interest, income taxes, depreciation and amortization, share-based compensation expense, non-operating expense, net and certain non-GAAP accounting adjustments. Adjusted EBITDA is considered an important indicator of operating performance as it excludes the effects of financing and investing activities by eliminating the effects of interest, depreciation and amortization costs and certain accounting adjustments.

The following information provides reconciliations of the most comparable financial measures calculated and presented in accordance with GAAP to presented non-GAAP financial measures.

Free cash flow

(in millions)	Fiscal 2025			Fiscal 2024
Net cash provided by operating activities	$	590.9		$	546.9
Capital expenditures		(153.0	)		(125.5	)
Free cash flow	$	437.9		$	421.4

Adjusted operating income

(in millions)	13 weeks ended February 1, 2025		14 weeks ended February 3, 2024			Fiscal 2025		Fiscal 2024
Total operating income	$	152.6	$	416.3		$	110.7	$	621.5
Asset impairments⁽¹⁾		200.7		3.4			369.2		7.1
Restructuring and related charges⁽²⁾		0.5		1.7			12.1		7.5
Loss (gain) on divestitures, net⁽³⁾		0.1		(13.6	)		2.6		(12.3	)
Integration-related expenses⁽⁴⁾		—		1.9			1.1		22.0
Leadership transition costs ⁽⁵⁾		1.6		—			2.4		—
Litigation charges ⁽⁶⁾		—		—			—		(3.0	)
Total adjusted operating income	$	355.5	$	409.7		$	498.1	$	642.8

North America segment adjusted operating income

(in millions)	13 weeks ended February 1, 2025		14 weeks ended February 3, 2024		Fiscal 2025		Fiscal 2024
North America segment operating income	$	143.6	$	396.0	$	173.7	$	677.0
Asset impairments⁽¹⁾		200.7		3.4		368.5		7.1
Restructuring and related charges⁽²⁾		0.7		1.9		6.9		6.3
Integration-related expenses⁽⁴⁾		—		1.9		1.1		22.0
Leadership transition costs ⁽⁵⁾		1.0		—		1.0		—
Litigation charges ⁽⁶⁾		—		—		—		(3.0	)
North America segment adjusted operating income	$	346.0	$	403.2	$	551.2	$	709.4

International segment adjusted operating income

(in millions)	13 weeks ended February 1, 2025			14 weeks ended February 3, 2024			Fiscal 2025		Fiscal 2024
International segment operating income	$	21.9		$	36.0		$	1.0	$	13.1
Asset impairments ⁽¹⁾		—			—			0.7		—
Restructuring and related charges⁽²⁾		(0.2	)		(0.2	)		5.2		1.2
Loss (gain) on divestitures, net ⁽³⁾		0.1			(13.6	)		2.6		(12.3	)
International segment adjusted operating income	$	21.8		$	22.2		$	9.5	$	2.0

Corporate and unallocated expenses adjusted operating loss

(in millions)	13 weeks ended February 1, 2025			14 weeks ended February 3, 2024			Fiscal 2025			Fiscal 2024
Corporate and unallocated expenses operating loss	$	(9.4	)	$	(12.3	)	$	(53.2	)	$	(60.4	)
Leadership transition costs ⁽⁵⁾		0.6			—			1.4			—
Corporate and unallocated expenses adjusted operating loss	$	(8.8	)	$	(12.3	)	$	(51.8	)	$	(60.4	)

Adjusted income tax provision

(in millions)	13 weeks ended February 1, 2025		14 weeks ended February 3, 2024			Fiscal 2025		Fiscal 2024
Income tax expense (benefit)	$	53.5	$	(199.2	)	$	63.0	$	(170.6	)
Asset impairments ⁽¹⁾		12.9		0.9			24.3		1.8
Restructuring and related charges ⁽²⁾		0.2		0.4			3.2		2.0
(Gain) loss on divestitures, net ⁽³⁾		—		(3.4	)		0.6		(3.1	)
Integration-related expenses ⁽⁴⁾		—		0.5			0.2		5.5
Leadership transition costs ⁽⁵⁾		0.4		—			0.6		—
Litigation charges ⁽⁶⁾		—		—			—		(0.8	)
Pension settlement loss		—		0.3			—		4.4
Bermuda economic transition adjustment ⁽⁷⁾		—		263.3			—		263.3
Adjusted income tax expense	$	67.0	$	62.8		$	91.9	$	102.5

Adjusted effective tax rate

	13 weeks ended February 1, 2025		14 weeks ended February 3, 2024		Fiscal 2025		Fiscal 2024
Effective tax rate	34.7	%	(46.7	)%	50.7	%	(26.7	)%
Asset impairments ⁽¹⁾	(15.2	)%	0.2	%	(27.5	)%	0.3	%
Restructuring and related charges ⁽²⁾	(0.2	)%	0.1	%	(3.6	)%	0.3	%
Gain/Loss on divestitures, net ⁽³⁾	—	%	(0.8	)%	(0.7	)%	(0.5	)%
Integration-related expenses ⁽⁴⁾	—	%	0.1	%	(0.2	)%	0.8	%
Leadership transition costs ⁽⁵⁾	(0.5	)%	—	%	(0.7	)%	—	%
Litigation charges ⁽⁶⁾	—	%	—	%	—	%	(0.1	)%
Pension settlement loss	—	%	0.1	%	—	%	0.7	%
Bermuda economic transition adjustment ⁽⁷⁾	—	%	61.9	%	—	%	40.7	%
Adjusted effective tax rate	18.8	%	14.9	%	18.0	%	15.5	%

Adjusted diluted EPS

	13 weeks ended February 1, 2025			14 weeks ended February 3, 2024			Fiscal 2025			Fiscal 2024
Diluted EPS (loss per share)	$	2.30		$	11.75		$	(0.81	)	$	15.01
Asset impairments ⁽¹⁾		4.58			0.06			8.39			0.13
Restructuring and related charges ⁽²⁾		0.01			0.03			0.27			0.14
(Gain) loss on divestitures, net ⁽³⁾		—			(0.25	)		0.06			(0.22	)
Integration-related expenses ⁽⁴⁾		—			0.04			0.02			0.41
Leadership transition costs ⁽⁵⁾		0.04			—			0.05			—
Litigation charges ⁽⁶⁾		—			—			—			(0.06	)
Pension settlement loss		—			0.02			—			0.02
Tax impact of above items⁽⁸⁾		(0.31	)		0.02			(0.66	)		(0.18	)
Deemed dividend on redemption of Preferred Shares ⁽⁹⁾		—			—			1.93			—
Dilution effect ⁽¹⁰⁾		—			—			(0.31	)		—
Bermuda economic transition adjustment ⁽⁷⁾		—			(4.94	)		—			(4.88	)
Adjusted diluted EPS	$	6.62		$	6.73		$	8.94		$	10.37

Adjusted EBITDA

(in millions)	13 weeks ended February 1, 2025			14 weeks ended February 3, 2024			Fiscal 2025			Fiscal 2024
Net income	$	100.6		$	626.2		$	61.2		$	810.4
Income taxes		53.5			(199.2	)		63.0			(170.6	)
Interest expense (income), net		0.2			(8.7	)		(9.8	)		(18.7	)
Depreciation and amortization		37.6			32.5			148.2			161.9
Amortization of unfavorable contracts		(0.4	)		(0.4	)		(1.8	)		(1.8	)
Other non-operating (income) expense, net		(1.7	)		(2.0	)		(3.7	)		0.4
Share-based compensation		1.8			4.7			22.2			41.1
Other accounting adjustments ⁽¹¹⁾		202.3			(6.6	)		386.8			21.3
Adjusted EBITDA	$	393.9		$	446.5		$	666.1		$	844.0

Footnotes to Non-GAAP Reconciliation Tables

⁽¹⁾	Fiscal 2025 primarily includes asset impairment charges related to goodwill and indefinite-lived intangible assets. Fiscal 2024 charges were primarily the result of the Company’s rationalization of its store footprint.
⁽²⁾	Restructuring and related charges were incurred primarily as a result of the Company’s rationalization of its store footprint and reorganization of certain centralized functions. The 13 and 52 weeks ended February 1, 2025 includes $0.6 million recorded to cost of sales.
⁽³⁾	Fiscal 2025 includes charges associated with the previously announced divestiture of the UK prestige watch business. Fiscal 2024 includes gain on sale of the UK prestige watch business, net of transaction costs.
⁽⁴⁾	Fiscal 2025 includes severance and retention expenses related to the integration of Blue Nile which were recorded to SG&A. Fiscal 2024 includes primarily severance and retention, exit and disposal costs, and system decommissioning costs incurred for the integration of Blue Nile. The 14 and 53 weeks ended February 3, 2024 includes $0.0 million and $1.4 million, respectively, recorded to cost of sales, and $1.9 million and $20.6 million, respectively, recorded to SG&A.
⁽⁵⁾	Primarily includes professional fees incurred for the search for the Company’s recently appointed CEO as well as severance and related costs incurred as part of other leadership transitions, which were recorded to SG&A.
⁽⁶⁾	Fiscal 2024 includes a credit to income related to the adjustment of a prior litigation accrual recognized in Fiscal 2023.
⁽⁷⁾	Relates to the impact of the deferred income tax benefit from the Bermuda economic transition adjustment.
⁽⁸⁾	The Fiscal 2024 tax effect includes a $0.07 impact of the other comprehensive income recognized in earnings from the release of the remaining tax benefit associated with the wind-up and settlement of the UK pension completed in the first quarter of Fiscal 2024.
⁽⁹⁾	The Company recorded a deemed dividend to net (loss) income attributable to common shareholders of $85.2 million in Fiscal 2025, which represents the excess of the conversion value of the Preferred Shares over their carrying value upon redemption and includes $1.6 million of related expenses.
⁽¹⁰⁾	Adjusted diluted EPS for Fiscal 2025 was calculated using 46.2 million diluted weighted average common shares outstanding. The additional dilutive shares were excluded from the calculation of GAAP diluted EPS as their effect was antidilutive.
⁽¹¹⁾	Other accounting adjustments are inclusive of those items described within footnotes 1 through 6 above.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250319542686/en/

Investors:

Rob Ballew

Senior Vice President, Investor Relations

[email protected]

or

[email protected]

Media:

Colleen Rooney

Chief Communications & ESG Officer

+1-330-668-5932

[email protected]

KEYWORDS: Caribbean United States Bermuda North America Ohio

INDUSTRY KEYWORDS: Men Online Retail Luxury Sustainability Jewelry Specialty Consumer Bridal Environment Fashion Retail Women

MEDIA:

March 19, 2025 6:53 am

Wallbox Achieves CTEP Certification for its Supernova DC Fast Charger, Marking Major Milestone in North American Expansion

Wallbox Achieves CTEP Certification for its Supernova DC Fast Charger, Marking Major Milestone in North American Expansion

Leading EV charging solutions provider demonstrates commitment to accuracy and reliability in largest US electric vehicle market

BARCELONA, Spain–(BUSINESS WIRE)–Wallbox (NYSE: WBX), a global leader in electric vehicle (EV) charging and energy management solutions, today announced that its Supernova DC fast charger has successfully obtained the California Type Evaluation Program (CTEP) certification. This milestone ensures Wallbox’s fast-charging technology meets California’s rigorous standards for measurement accuracy and billing transparency, positioning the company for accelerated growth in North America’s largest EV market.

CTEP certification is a key requirement for EV chargers involved in the sale of electricity, ensuring they display essential transaction details, including the amount of electricity dispensed, the unit price, and the total cost.

“Obtaining CTEP certification for Supernova underscores our dedication to technical excellence and consumer trust and represents a crucial milestone in our North American expansion strategy,” said Douglas Alfaro, Chief Fast Charging Officer for Wallbox. “California leads the nation in EV adoption, and this certification demonstrates our commitment to providing consumers with reliable, accurate and transparent charging solutions that meet the highest regulatory standards.”

Key Certification Highlights:

Wallbox charging equipment meets CTEP’s stringent accuracy standards, ensuring precise power measurement in every charging session
Certification enables immediate deployment of Wallbox chargers across California’s commercial charging network
Certified products include point-of-sale pricing displays and digital receipts, providing complete transparency to consumers
Strengthens Wallbox’s position in the rapidly growing North American EV charging market

The CTEP certification allows Wallbox to expand its fast-charging EV solutions throughout California, complementing its existing residential charging solutions. This achievement enables the company to participate in major infrastructure projects and improve the country’s EV charging infrastructure.

About Wallbox

Wallbox is a global technology company, dedicated to changing the way the world uses energy. Wallbox creates advanced electric vehicle charging and energy management systems that redefine the relationship between users and the network. Wallbox goes beyond charging electric vehicles to give users the power to control their consumption, save money and live more sustainably. Wallbox offers a complete portfolio of charging and energy management solutions for residential, semi-public, and public use in more than 115 countries around the world. Founded in 2015 in Barcelona, where the company’s headquarters are located, Wallbox currently has offices across Europe, Asia, and America. For more information, visit www.wallbox.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). All statements contained in this press release other than statements of historical fact should be considered forward-looking statements, including, without limitation, statements regarding the private placement. The words “anticipate,” “believe,” “can,” “continue,” “could,” “estimate,” “expect,” “forecast,” “intend,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “”target,” will,” “would” and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to: Wallbox’s history of operating losses as an early stage company; the adoption and demand for electric vehicles including the success of alternative fuels, changes to rebates, tax credits and the impact of government incentives; Wallbox’s ability to successfully manage its growth; the accuracy of Wallbox’s forecasts and projections including those regarding its market opportunity; competition; losses or disruptions in Wallbox’s supply or manufacturing partners; impacts resulting from the conflict between Russia and Ukraine; impacts resulting from geopolitical conflicts, risks related to macro-economic conditions and inflation; executive orders and regulatory changes under the U.S. political administration and uncertainty therefrom; Wallbox’s reliance on the third-parties outside of its control; risks related to Wallbox’s technology, intellectual property and infrastructure; as well as the other important factors discussed and incorporated by reference under the heading “Risk Factors” in Wallbox’s Annual Report on Form 20-F for the fiscal year ended December 31, 2023, and as such factors may be updated from time to time in its other filings with the Securities and Exchange Commission (the “SEC”), accessible on the SEC’s website at www.sec.gov and the Investors Relations section of Wallbox’s website at investors.wallbox.com. Any such forward-looking statements represent management’s estimates as of the date of this press release. Any forward-looking statement that Wallbox makes in this press release speaks only as of the date of such statement. Except as required by law, Wallbox disclaims any obligation to update or revise, or to publicly announce any update or revision to, any of the forward-looking statements, whether as a result of new information, future events or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250319831527/en/

Wallbox PR Contact:

Albert Cabanes

[email protected]

KEYWORDS: Spain Europe

INDUSTRY KEYWORDS: Alternative Vehicles/Fuels Technology EV/Electric Vehicles Semiconductor Automotive Other Technology Automotive Manufacturing Alternative Energy Manufacturing Energy

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March 19, 2025 6:48 am

Nabors Announces Retirement of CFO William Restrepo

PR Newswire

HAMILTON, Bermuda
, March 19, 2025 /PRNewswire/ — Nabors Industries Ltd. (“Nabors” or the “Company”) (NYSE: NBR) today announced executive leadership changes as part of its succession planning process. William Restrepo, Nabors CFO, informed the Company of his intention to retire from his current position effective September 30, 2025. On that date, Mr. Restrepo will remain available as a Strategic Advisor to Anthony G. Petrello, Nabors Chairman, CEO and President.

Mr. Petrello, commented, “As Nabors CFO for the past 11 years, William has been instrumental in the Company’s success in refocusing in the drilling space, expanding our strength internationally and supporting Nabors’ technology leadership. He also contributed to the growth of Nabors Drilling Solutions. William was a key player in the divestiture of our Completions & Workover business, as well as the acquisitions of Tesco and Parker Wellbore. At the same time, he led our efforts to cut our debt in half, while navigating the pronounced industry cyclicality during his tenure. The company’s ability to withstand the severe industry downturns in 2015 and again in 2020 are a testament to his outstanding financial leadership.

“William’s accomplishments help position the Company for even more success in the future. I thank him for his contributions, and will continue to use his counsel as we transform Nabors over this exciting period.”

Nabors Senior Vice President – Operations Finance, Miguel Rodriguez, will progressively transition into the role of CFO over the next several months. Mr. Rodriguez joined Nabors in 2019, after spending more than 25 years in finance roles at SLB. These included several international postings with increasing responsibility, before leading the financial function for SLB’s Drilling Group. In his role at Nabors, Mr. Rodriguez revamped and streamlined the Operations Finance function, before adding the Company’s Treasury and Tax functions to his area of responsibility.

Mr. Petrello added, “I am excited for Miguel to take on the additional challenges of his new role. He has worked closely with William in preparing for this new position. Miguel has been a key member of our leadership team and has helped us align our cost and support structure during Nabors’ transformation and the recent industry cycles. Over the last few years, he has become increasingly involved in our capital markets transactions, our banking relationships and our global tax organization. I am confident he’s ready to take on his new responsibilities. I look forward to benefitting from his contributions and leadership.”

About Nabors Industries

Nabors Industries (NYSE: NBR) is a leading provider of advanced technology for the energy industry. With presence in more than 20 countries, Nabors has established a global network of people, technology and equipment to deploy solutions that deliver safe, efficient and responsible energy production. By leveraging its core competencies, particularly in drilling, engineering, automation, data science and manufacturing, Nabors aims to innovate the future of energy and enable the transition to a lower-carbon world. Learn more about Nabors and its energy technology leadership: www.nabors.com.

Forward-looking Statements

The information included in this press release includes forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. Such forward-looking statements are subject to a number of risks and uncertainties, as disclosed by Nabors from time to time in its filings with the Securities and Exchange Commission. As a result of these factors, Nabors’ actual results may differ materially from those indicated or implied by such forward-looking statements. The forward-looking statements contained in this press release reflect management’s estimates and beliefs as of the date of this press release. Nabors does not undertake to update these forward-looking statements.

Investor Contacts: William C. Conroy, CFA, Vice President of Corporate Development & Investor Relations, +1 281-775-2423 or via e-mail [email protected], or Kara K. Peak, Director of Corporate Development & Investor Relations, +1 281-775-4954 or via email [email protected]. To request investor materials, contact Nabors’ corporate headquarters in Hamilton, Bermuda at +441-292-1510 or via e-mail [email protected].

View original content:https://www.prnewswire.com/news-releases/nabors-announces-retirement-of-cfo-william-restrepo-302405223.html

SOURCE Nabors Industries Ltd.

March 19, 2025 6:48 am

Castellum Announces Closing of $4.5 Million Public Offering of Common Stock and Warrants

VIENNA, Va., March 19, 2025 (GLOBE NEWSWIRE) — Castellum, Inc. (the “Company” and “Castellum”) (NYSE-American: CTM), a cybersecurity, electronic warfare, and software services company focused on the federal government, today announced the closing of its previously announced public offering of 4,500,000 Units at a public offering price of $1.00 per Unit. Each unit consisted of one share of common stock and one warrant to purchase one share of common stock. The warrants are immediately exercisable at $1.08 per share and will expire 60 days from the date of issuance. The shares of common stock and warrants are immediately separable and were issued separately.

Gross proceeds from the offering were approximately $4.5 million before deducting placement agent fees and offering expenses. Castellum intends to use the net proceeds of the offering for working capital and general corporate purposes.

Maxim Group LLC acted as the sole placement agent, on a reasonable best-efforts basis for the offering.

A shelf registration statement on Form S-3 (File No. 333-284205) relating to the securities being offered was previously filed with the U.S. Securities and Exchange Commission (the “SEC”) and became effective on January 24, 2025. The shares of common stock and shares underlying the warrants were offered only by means of a prospectus. A preliminary prospectus supplement and the accompanying prospectus relating to and describing the terms of the public offering have been filed with the SEC. A final prospectus supplement and an accompanying prospectus relating to the offering has been filed with the SEC and is available on the SEC’s website at www.sec.gov. Copies of the final prospectus supplement and accompanying prospectus relating to the public offering may be obtained by contacting Maxim Group LLC, at 300 Park Avenue, 16th Floor, New York, NY 10022, Attention: Prospectus Department, or by telephone at (212) 895-3745 or by email at [email protected].

This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.

About Castellum, Inc.

Castellum, Inc. (NYSE-American: CTM) is a defense-oriented technology company that is executing strategic acquisitions in the cybersecurity, MBSE, and information warfare areas – http://castellumus.com/.

Forward-Looking Statements:

This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain, based on current expectations and assumptions concerning future events or future performance of the company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. Words such as “will,” “would,” “believe,” and “expects,” and similar language or phrasing are indicative of forward-looking statements. These forward-looking statements are subject to risks, uncertainties, and other factors, many of which are outside of the Company’s control, that could cause actual results to differ (sometimes materially) from the results expressed or implied in the forward-looking statements, including, among others: the Company’s ability to close the described equity financing; its ability to effectively integrate and grow its acquired companies; its ability to identify additional acquisition targets and close additional acquisitions; the impact on the Company’s revenue due to a delay in the U.S. Congress approving a federal budget; and the Company’s ability to maintain the listing of its common stock on the NYSE American LLC. In evaluating such statements, prospective investors should review carefully various risks and uncertainties identified in Item 1A. “Risk Factors” section of the Company’s recently filed Form 10-Q, Item 1A. “Risk Factors” in the Company’s most recent Form 10-K, and other filings with the Securities and Exchange Commission which can be viewed at www.sec.gov. These risks and uncertainties, or not closing the described potential equity financing in this press release, could cause the Company’s actual results to differ materially from those indicated in the forward-looking statements. Except to the extent required by law, we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, a change in events, conditions, circumstances or assumptions underlying such statements, or otherwise.

Contact:

Glen Ives

President and Chief Executive Officer

Phone: (703) 752-6157

[email protected]

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/a0792b57-251a-4b24-8adf-09fcf21736c1

March 19, 2025 6:48 am

Kenvue Ribbon-Cutting Marks Official Opening of New Global Headquarters in Summit, New Jersey

Kenvue Ribbon-Cutting Marks Official Opening of New Global Headquarters in Summit, New Jersey

Maker of iconic brands such as Neutrogena^®, Listerine^®, Aveeno^®, and Tylenol^® embarks on new era at global headquarters in 2025

SUMMIT, N.J.–(BUSINESS WIRE)–
Today, Kenvue Inc. (NYSE: KVUE) held a ribbon-cutting ceremony for its new 290,000 sq. ft. global headquarters in Summit, New Jersey. The Company – which marked the start of construction of its 100,000 sq. ft. state-of-the-art Science and Innovation Lab at a ceremony last year – has officially moved its headquarters from Skillman to Summit, New Jersey.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20250319001486/en/

Kenvue Global Headquarters, Summit, N.J.

Locating its LEED Gold certified global headquarters in Summit, New Jersey offers Kenvue the opportunity to foster a collaborative environment where teams previously spread across seven geographic locations across the U.S. can come together and take advantage of the new spaces designed to accelerate innovation, and enhance consumer experiences:

The Insights Lab, a high-tech, multi-room experience is designed to transform how Kenvue develops, tests, and showcases its products. The Virtual Experience Room immerses users in a 270-degree digital retail environment, allowing real-time feedback on in-store execution.
The Sensory Lab enables rapid prototyping and consumer testing, ensuring products meet evolving consumer needs.
The Design Lab brings human-centered design to life through advanced 3D and 2D modeling.
At the heart of the headquarters, The Company Store offers a best-in-class shopping experience, turning every Kenvuer into a brand ambassador.

The new headquarters also provides the Company with proximity to exceptional talent across major areas, such as life science, data, technology, and marketing, which is crucial for a people-first company like Kenvue. Joined by New Jersey Governor Phil Murphy, Summit Mayor Elizabeth Fagan, MD, and other state and local officials, Kenvue Chief Executive Officer, Thibaut Mongon, underscored the Company’s commitment to innovation in the State of New Jersey and delivering the future of consumer health. Kenvue also welcomed New Jersey-based charitable partners, including its newly announced local community partners, Bridges Outreach and GRACE.

“There is no better place to unlock the full potential of our iconic brands than in the state many of our brands have proudly called home for more than 135 years,” said Thibaut Mongon, Chief Executive Officer, Kenvue. “Our thoughtfully designed campus, brings together our iconic brands and our people under one roof, allowing us to innovate, drive growth and realize the extraordinary power of everyday care for more people in New Jersey and around the world.”

“I am thrilled to welcome Kenvue as they establish their home in Summit, cementing the company’s commitment to building the future of consumer health right here in the Garden State,” said New Jersey Governor Phil Murphy. “This new headquarters exemplifies my Administration’s commitment to making New Jersey a destination for world-class companies that are driving innovation.”

“Today marks a significant milestone for Summit as we celebrate the ribbon cutting of Kenvue global headquarters. Their commitment to innovation and excellence not only enriches our community but also positions Summit as a hub for cutting-edge advancements in consumer health,” stated Summit Mayor Elizabeth Fagan, MD. “We are excited to welcome Kenvue to our city and look forward to the positive impact they will have on our residents and beyond.”

For his part, U.S. Rep. Tom Kean touched on the importance of innovation, “Boosting innovation at home is incredibly important and New Jersey’s reputation as a leader in this space continues to grow by welcoming Kenvue’s global headquarters and research hub to Summit. The cutting-edge work done here will benefit families across our country and fuel the local economy here in Union County.”

By combining the power of science with meaningful human insights and a digital-first approach, Kenvue is poised to lead the charge in redefining consumer health for the future with science-driven innovations for iconic brands such as Neutrogena^®, Listerine^®, Tylenol^® and Aveeno^®amplified by cutting-edge technology, sustainable design and state-of-the-art amenities.

About Kenvue

Kenvue Inc. is the world’s largest pure-play consumer health company by revenue. Built on more than a century of heritage, our iconic brands, including Aveeno^®, BAND-AID^® Brand, Johnson’s^®, Listerine^®, Neutrogena^®, and Tylenol^®, are science-backed and recommended by healthcare professionals around the world. At Kenvue, we realize the extraordinary power of everyday care. Our teams work every day to put that power in consumers’ hands and earn a place in their hearts and homes. Learn more at www.kenvue.com.

Cautions Concerning Forward-Looking Statements

This press release contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 regarding the opening of Kenvue’s new global headquarters in Summit, New Jersey. Forward-looking statements may be identified by the use of words such as “plans,” “expects,” “will,” “anticipates,” “estimates” and other words of similar meaning. The reader is cautioned not to rely on these forward-looking statements. These statements are based on current expectations of future events. If underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from the expectations and projections of Kenvue and its affiliates.

A list and descriptions of risks, uncertainties and other factors can be found in Kenvue’s filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the fiscal year ended December 29, 2024 and subsequent Quarterly Reports on Form 10-Q and other filings, available at www.kenvue.com or on request from Kenvue. Kenvue and its affiliates undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or developments or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250319001486/en/

Melissa Witt

[email protected]

KEYWORDS: United States North America New Jersey

INDUSTRY KEYWORDS: Cosmetics Medical Supplies Retail Health Other Retail Other Health General Health

MEDIA:

Photo

Kenvue Global Headquarters, Summit, N.J.

Logo

Posted on March 19, 2025 6:48 am
J.Jill, Inc. Announces Fourth Quarter and Full Year 2024 Results; Increases Quarterly Dividend by 14.3%

J.Jill, Inc. Announces Fourth Quarter and Full Year 2024 Results; Increases Quarterly Dividend by 14.3%

Q4 FY24 Net Sales of $142.8 Million and FY24 Net Sales of $610.9 Million

Q4 FY24 Gross Margin of 66.3% and FY24 Gross Margin of 70.4%

Q4 FY24 Operating Income of $5.1 Million and FY24 Operating Income of $75.7 Million

QUINCY, Mass.–(BUSINESS WIRE)–
J.Jill, Inc. (NYSE:JILL) today announced financial results for the fourth quarter and fiscal year ended February 1, 2025 and that the Board declared a cash dividend of $0.08 per share payable on April 16, 2025 to stockholders of record of issued and outstanding shares of the Company’s common stock as of April 2, 2025. The quarterly dividend reflects a 14.3% increase over the previous dividend and equates to an annualized dividend rate of $0.32 per common share.

Claire Spofford, President and Chief Executive Officer of J.Jill, Inc. stated, “Fiscal 2024 performance is a testament to our disciplined operating model as we delivered on our objectives while strengthening our balance sheet, implementing robust total shareholder return strategies and investing in new store growth and systems. Although this year was not without challenges as we continued to navigate a dynamic macro environment, I am proud of all that the team has accomplished enabling us to continue to drive strong cash generation supporting the recent increase of the quarterly dividend and ongoing investment in growth strategies and capital priorities. As we enter fiscal 2025, despite the uncertain outlook near-term with the slow start to Q1 and continued price sensitivity from customers, I am confident in the team’s ability to continue to operate with discipline while positioning the brand for long-term success. With the implementation of the new Order Management System underway, a pipeline of new stores building and new leadership with Mary Ellen Coyne joining later this spring, there is much to look forward to as J.Jill enters its next chapter well positioned to lean into growth.”

For the fourth quarter ended February 1, 2025:

Net sales for the fourth quarter of fiscal 2024 decreased 4.9% to $142.8 million compared to $150.3 million for the fourth quarter of fiscal 2023. The decrease includes the loss of $7.9 million of net sales from the 53rd week of fiscal year 2023 and approximately $2.0 million related to the calendar shift associated with the 53^rd week in fiscal 2023.

Total company comparable sales, which includes comparable store and direct to consumer sales, increased by 1.9% for the fourth quarter of fiscal 2024 compared to the fourth quarter of fiscal 2023.

Direct to consumer net sales, which represented 50.5% of net sales, were down 6.8% compared to the fourth quarter of fiscal 2023.

Gross profit was $94.8 million compared to $101.4 million in the fourth quarter of fiscal 2023. Gross margin was 66.3% compared to 67.5% in the fourth quarter of fiscal 2023.

SG&A was $89.3 million compared to $90.8 million in the fourth quarter of fiscal 2023. SG&A as a percentage of total net sales was 62.5% compared to 60.4% for the fourth quarter of fiscal 2023.

Operating income was $5.1 million compared to $10.5 million in the fourth quarter of fiscal 2023. Operating income margin for the fourth quarter of fiscal 2024 was 3.6% compared to 7.0% in the fourth quarter of fiscal 2023. Adjusted Income from Operations* was $9.0 million compared to $11.5 million in the fourth quarter of fiscal 2023. Adjusted Income from Operations as a percentage of total net sales was 6.3% compared to 7.6% in the fourth quarter of fiscal 2023.

Interest expense was $2.7 million compared to $6.9 million in the fourth quarter of fiscal 2023. Interest income was $0.5 million in the fourth quarter of fiscal 2024 compared to $1.0 million in the fourth quarter of fiscal 2023.

During the fourth quarter of fiscal 2024, the Company recorded an income tax provision of $0.7 million compared to an income tax benefit of $0.2 million in the fourth quarter of fiscal 2023 and the effective tax rate was 23.0% compared to (4.0%) in the fourth quarter of fiscal 2023.

Net Income was $2.2 million compared to $4.8 million in the fourth quarter of fiscal 2023.

Net Income per Diluted Share was $0.14 for the fourth quarter of fiscal 2024 and compared to $0.33 in the fourth quarter of fiscal 2023. Adjusted Net Income per Diluted Share* in the fourth quarter of fiscal 2024 was $0.32 compared to $0.28 in the fourth quarter of fiscal 2023.

Adjusted EBITDA* for the fourth quarter of fiscal 2024 was $14.5 million compared to $17.8 million in the fourth quarter of fiscal 2023. Adjusted EBITDA margin* for the fourth quarter of fiscal 2024 was 10.2% compared to 11.8% in the fourth quarter of fiscal 2023. The decrease includes the loss of $2.2 million of Adjusted EBITDA from the 53rd week of fiscal year 2023.

The Company opened five new stores in the fourth quarter of fiscal 2024. The store count at the end of the fourth quarter is 252 stores.

For year ended February 1, 2025:

Net sales for year ended February 1, 2025 increased 0.5% to $610.9 million compared to $608.0 million for year ended February 3, 2024. The 53rd week in fiscal 2023 contributed $7.9 million of net sales compared to the 52 week fiscal 2024.

Total company comparable sales, which includes comparable store and direct to consumer sales, increased by 1.5% for year ended February 1, 2025 compared to the year ended February 3, 2024.

Direct to consumer net sales, which represented 47.5% of net sales, were up 1.9% compared to year ended February 3, 2024.

Gross profit was $429.9 million compared to $430.8 million for year ended February 3, 2024. Gross margin was 70.4% compared to 70.8% for year ended February 3, 2024.

SG&A was $353.4 million compared to $344.5 million for year ended February 3, 2024. SG&A as a percentage of total net sales was 57.9% compared to 56.7% for year ended February 3, 2024.

Operating income was $75.7 million compared to $86.1 million for year ended February 3, 2024. Operating income margin for year ended February 1, 2025 was 12.4% compared to 14.2% for year ended February 3, 2024. Adjusted Income from Operations* was $84.9 million compared to $89.3 million for year ended February 3, 2024. Adjusted Income from Operations as a percentage of total net sales was 13.9% compared to 14.7% for year ended February 3, 2024.

Interest expense was $15.7 million compared to $26.8 million for year ended February 3, 2024. Interest income was $2.6 million compared to $2.8 million for year ended February 3, 2024.

During year ended February 1, 2025, the Company recorded an income tax provision of $14.5 million compared to $13.2 million for year ended February 3, 2024 and the effective tax rate was 26.9% compared to 26.7% for year ended February 3, 2024.

Net Income was $39.5 million compared to $36.2 million for year ended February 3, 2024.

Net Income per Diluted Share was $2.61 compared to $2.51 for year ended February 3, 2024. Adjusted Net Income per Diluted Share* for year ended February 1, 2025 was $3.47 compared to $3.32 for year ended February 3, 2024.

Adjusted EBITDA* for year ended February 1, 2025 was $107.1 million compared to $112.9 million for year ended February 3, 2024. Adjusted EBITDA margin* for year ended February 1, 2025 was 17.5% compared to 18.6% for year ended February 3, 2024. The 53rd week in fiscal 2023 contributed $2.2 million of Adjusted EBITDA compared to the 52 week fiscal 2024.

The Company opened nine new stores for year ended February 1, 2025 and temporarily closed one store due to hurricane damage, which has an uncertain reopening date. The store count at the end of year ended February 1, 2025 is 252 stores.

Balance Sheet Highlights

Net Cash provided by Operating Activities for year ended February 1, 2025, was $65.0 million compared to $63.3 million for year ended February 3, 2024. Free cash flow* was $47.3 million compared to $46.4 million for year ended February 3, 2024. The Company ended the fourth quarter of fiscal 2024 with a cash balance of $35.8 million which includes $0.4 million in restricted cash for the year ended February 1, 2025.

Inventory at the end of the fourth quarter of fiscal 2024 was $61.3 million compared to $53.3 million at the end of the fourth quarter of fiscal 2023.

*Non-GAAP financial measures. Please see “Non-GAAP Financial Measures” and “Reconciliation of GAAP Net Income to Adjusted EBITDA,” “Reconciliation of GAAP Operating Income to Adjusted Income from Operations,” “Reconciliation of GAAP Net Income to Adjusted Net Income,” and “Reconciliation of GAAP Cash from Operations to Free Cash Flow” for more information.

Share Repurchase Authorization

On December 6, 2024, J.Jill’s Board of Directors authorized a share repurchase program for up to an aggregate amount of $25.0 million of the Company’s outstanding common stock over the next two years. The program is expected to be funded through the Company’s existing cash and future free cash flow. The timing of any repurchases and the number of shares repurchased are subject to the discretion of Board of Directors and may be affected by various factors, including general market and economic conditions, the market price of the Company’s common stock, the Company’s earnings, financial condition, capital requirements and levels of indebtedness, legal requirements, and other factors that management may deem relevant. The share repurchase program authorization does not obligate the Company to acquire any shares of its common stock and may be amended, suspended or discontinued at any time. Shares may be repurchased from time to time through open market transactions, block trades, or such other manner as the Company may determine, in accordance with applicable insider trading and other securities laws and regulations under the Securities Exchange Act of 1934 and share repurchase parameters determined by the Board.

In the fourth quarter of fiscal 2024, the Company purchased 19,831 shares of common stock and has $24.5 million of availability remaining under its stock repurchase authorization.

Quarterly Dividend Payment

On December 4, 2024, the Board declared a cash dividend of $0.07 per share, payable on January 9, 2025 to stockholders of record of issued and outstanding shares of the Company’s common stock as of December 26, 2024.

Outlook

For the first quarter of fiscal 2025, the Company expects:

Net sales to decline 1% to 4% compared to the first quarter of fiscal 2024

Comparable Sales to decline 2% to 5% compared to the first quarter of fiscal 2024

Adjusted EBITDA to be in the range of $25.0 million to $27.0 million

The above outlook reflects the most difficult quarterly comparison and contemplates the negative revenue impacts from adverse weather in February and approximately $1.5 million related to the initial phase of OMS implementation.

For the full year fiscal 2025, the Company expects:

Net Sales to be up 1% to 3% compared to fiscal 2024

Comparable Sales to be in the range of flat to up 2% compared to fiscal 2024

Adjusted EBITDA to be in the range of $101.0 million to $106.0 million

New Net Store Growth of 5 to 10 stores

Total Capital Expenditures of approximately $25.0 million

Free Cash Flow of about $40.0 million.

The above outlook contemplates factors described above in Q1 fiscal 2025 as well as the expected benefit from new store openings and new omni-channel capabilities from the OMS implementation in the second half of fiscal 2025.

Conference Call Information

A conference call to discuss fourth quarter 2024 results is scheduled for today, March 19, 2025, at 8:00 a.m. Eastern Time. Those interested in participating in the call are invited to dial (888) 596-4144 or (646) 968-2525 if calling internationally. Please dial in approximately 10 minutes prior to the start of the call and reference Conference ID 7311773 when prompted. A live audio webcast of the conference call will be available online at http://investors.jjill.com/Investors-Relations/News-Events/events.

A taped replay of the conference call will be available approximately two hours following the call and can be accessed both online and by dialing (800) 770-2030 or (609) 800-9909. The pin number to access the telephone replay is 7311773. The telephone replay will be available until March 26, 2025.

About J.Jill, Inc.

J.Jill is a national lifestyle brand that provides apparel, footwear and accessories designed to help its customers move through a full life with ease. The brand represents an easy, thoughtful and inspired style that celebrates the totality of all women and designs its products with its core brand ethos in mind: keep it simple and make it matter. J.Jill offers a high touch customer experience through over 250 stores nationwide and a robust ecommerce platform. J.Jill is headquartered outside Boston. For more information, please visit www.jjill.com or http://investors.jjill.com. The information included on our websites is not incorporated by reference herein.

Non-GAAP Financial Measures

To supplement our unaudited consolidated financial statements presented in accordance with generally accepted accounting principles (“GAAP”), we use the following non-GAAP measures of financial performance:

Adjusted EBITDA, which represents net income plus depreciation and amortization, income tax provision, interest expense, interest expense – related party, interest income, equity-based compensation expense, write-off of property and equipment, amortization of cloud-based software implementation costs, loss on extinguishment of debt, loss on debt refinancing, adjustment for exited retail stores, impairment of long-lived assets, gain/loss due to hurricane, and other non-recurring items, primarily consisting of non-ordinary course professional fees, non-employee share-based payments, and legal settlements and fees associated with certain non-recurring transactions and events. We present Adjusted EBITDA on a consolidated basis because management uses it as a supplemental measure in assessing our operating performance, and we believe that it is helpful to investors, securities analysts and other interested parties as a measure of our comparative operating performance from period to period. We also use Adjusted EBITDA as one of the primary methods for planning and forecasting overall expected performance of our business and for evaluating on a quarterly and annual basis actual results against such expectations. Further, we recognize Adjusted EBITDA as a commonly used measure in determining business value and as such, use it internally to report results. We also use Adjusted EBITDA margin which represents, for any period, Adjusted EBITDA as a percentage of net sales.

Adjusted Income from Operations, which represents operating income plus equity-based compensation expense, write-off of property and equipment, adjustment for exited retail stores, impairment of long-lived assets, gain/loss due to hurricane, and other non-recurring items. We present Adjusted Income from Operations because management uses it as a supplemental measure in assessing our operating performance, and we believe that it is helpful to investors, securities analysts, and other interested parties as a measure of our comparative operating performance from period to period.

Adjusted Net Income, which represents net income plus income tax provision, equity-based compensation expense, write-off of property and equipment, loss on extinguishment of debt, loss on debt refinancing, adjustment for exited retail stores, impairment of long-lived assets, gain/loss due to hurricane, and other non-recurring items. We present Adjusted Net Income because management uses it as a supplemental measure in assessing our operating performance, and we believe that it is helpful to investors, securities analysts and other interested parties as a measure of our comparative operating performance from period to period.

Adjusted Net Income per Diluted Share represents Adjusted Net Income divided by the number of fully diluted shares outstanding. Adjusted Net Income per Diluted Share is presented as a supplemental measure in assessing our operating performance, and we believe that it is helpful to investors, securities analysts and other interested parties as a measure of our comparative operating performance from period to period.

Free Cash Flow represents cash flow from operations less capital expenditures. Free Cash Flow is presented as a supplemental measure in assessing our liquidity, and we believe that it is helpful to investors, securities analysts and other interested parties as a measure of our comparative liquidity and operating performance from period to period.

While we believe that Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Income from Operations, Adjusted Net Income, Adjusted Diluted EPS and Free Cash Flow are useful in evaluating our business, they are non-GAAP financial measures that have limitations as analytical tools. These non-GAAP measures should not be considered alternatives to, or substitutes for, Net Income, Income from Operations, Net Income per Diluted Share or Cash from Operations, which are calculated in accordance with GAAP. In addition, other companies, including companies in our industry, may calculate these non-GAAP measures differently or not at all, which reduces the usefulness of such non-GAAP financial measures as tools for comparison. We recommend that you review the reconciliation and calculation of Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Income from Operations, Adjusted Net Income, Adjusted Diluted EPS and Free Cash Flow to Net Income, Income from Operations, Net Income per Diluted Share and Cash from Operations, respectively, the most directly comparable GAAP financial measures, under “Reconciliation of GAAP Net Income to Adjusted EBITDA”, “Reconciliation of GAAP Operating Income to Adjusted Income from Operations”, “Reconciliation of GAAP Net Income to Adjusted Net Income” and “Reconciliation of GAAP Cash from Operations to Free Cash Flows” and not rely solely on Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Income from Operations, Adjusted Net Income, Adjusted Net Income per Diluted Share, Free Cash Flow or any single financial measure to evaluate our business.

Forward-Looking Statements

This press release contains, and oral statements made from time to time by our representatives may contain, “forward-looking statements.” All statements other than statements of historical facts contained in this press release, including statements regarding our strategy, future operations, future financial position, future revenue, projected costs, prospects, plans, objectives of management, expected market growth and any activities, events or developments that we intend, expect or believe may occur in the future are forward-looking statements. Such statements are often identified by words such as “could,” “may,” “might,” “will,” “likely,” “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects,” “continues,” “projects,” “goal,” “target” (although not all forward-looking statements contain these identifying words) and similar references to future periods, or by the inclusion of forecasts or projections. Forward-looking statements are based on our current expectations and assumptions regarding capital market conditions, our business, the economy and other future conditions and are not guarantees of future performance. Because forward-looking statements relate to the future, by their nature, they are inherently subject to a number of risks, uncertainties, potentially inaccurate assumptions and changes in circumstances that are difficult to predict. As a result, our actual results may differ materially from those contemplated by the forward-looking statements. Important factors that could cause actual results to differ materially from those in any forward-looking statements include regional, national or global political, economic, business, competitive, market and regulatory conditions, including risks regarding: (1) our sensitivity to changes in economic conditions and discretionary consumer spending; (2) the material adverse impact of pandemics, other health crises or natural disasters on our operations, business and financial results; (3) our ability to anticipate and respond to changing customer preferences, shifts in fashion and industry trends in a timely manner; (4) our ability to maintain our brand image, engage new and existing customers and gain market share; (5) the impact of operating in a highly competitive industry with increased competition; (6) our ability to successfully optimize our omnichannel operations, including our ability to enhance our marketing efforts and successfully realize the benefits from our investments in new technology, for example our recently implemented point-of-sale system and the forthcoming upgrade to our order management system; (7) our ability to use effective marketing strategies and increase existing and new customer traffic; (8) any interruptions in our foreign sourcing operations and the relationships with our suppliers and agents; (9) any increases in the demand for, or the price of, raw materials used to manufacture our merchandise and other fluctuations in sourcing and distribution costs; (10) any material damage or interruptions to our information systems; (11) our ability to protect our trademarks and other intellectual property rights; (12) our indebtedness restricting our operational and financial flexibility; (13) our ability to manage our inventory levels, size assortments and merchandise mix; (14) the fact that we are no longer a controlled company; (15) the impact of any new or increased tariffs; (16) our management succession plan; and (17) other factors that may be described in our filings with the Securities and Exchange Commission (the “SEC”), including the factors set forth under “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended February 3, 2024 and our Quarterly Report on Form 10-Q for the quarter ended August 28, 2024. You are encouraged to read our filings with the SEC, available at www.sec.gov, for a discussion of these and other risks and uncertainties. We caution investors, potential investors and others not to place considerable reliance on the forward-looking statements in this press release and in the oral statements made by our representatives. Any such forward-looking statement speaks only as of the date on which it is made. J.Jill undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.

(Tables Follow)

J.Jill, Inc.

Consolidated Statements of Operations and Comprehensive Income

(Unaudited)

(Amounts in thousands, except share and per share data)

For the Thirteen Weeks Ended

For the Fourteen Weeks Ended

February 1, 2025

February 3, 2024

Net sales ^(a)

$

142,842

$

150,257

Costs of goods sold (exclusive of depreciation and amortization)

48,092

48,838

Gross profit

94,750

101,419

Selling, general and administrative expenses ^(a)

89,311

90,810

Impairment of long-lived assets

359

123

Operating income

5,080

10,486

Interest expense ^(b)

2,692

6,941

Interest income ^(b)

(530

)

(1,040

)

Income before provision for income taxes

2,918

4,585

Income tax provision

670

(182

)

Net income and total comprehensive income

$

2,248

$

4,767

Net income per common share:

Basic

$

0.15

$

0.34

Diluted

$

0.14

$

0.33

Weighted average common shares:

Basic

15,329,437

14,176,459

Diluted

15,563,041

14,475,445

Cash dividends declared per common share

$

0.07

—

(a)

For the fourth quarter of fiscal 2023, Net sales includes $0.8 million of processing fee income related to customer sales returns that was previously included in Selling, general and administrative expenses.

(b)

Beginning fiscal 2024, Interest income is presented separately from Interest expense. The prior period has been conformed with the current period presentation

J.Jill, Inc.

Consolidated Statements of Operations and Comprehensive Income

(Unaudited)

(Amounts in thousands, except share and per share data)

For the Fifty-Two Weeks Ended

For the Fifty-Three Weeks Ended

February 1, 2025

February 3, 2024

Net sales ^(a)

$

610,857

$

608,043

Costs of goods sold (exclusive of depreciation and amortization)

181,001

177,261

Gross profit

429,856

430,782

Selling, general and administrative expenses ^(a)

353,382

344,543

Impairment of long-lived assets

772

189

Operating income

75,702

86,050

Loss on extinguishment of debt

8,570

—

Loss on debt refinancing

—

12,702

Interest expense ^(b)

15,701

25,699

Interest expense – related party

—

1,074

Interest income ^(b)

(2,550

)

(2,790

)

Income before provision for income taxes

53,981

49,365

Income tax provision

14,498

13,164

Net income and total comprehensive income

$

39,483

$

36,201

Net income per common share:

Basic

$

2.64

$

2.56

Diluted

$

2.61

$

2.51

Weighted average common shares:

Basic

14,956,165

14,143,127

Diluted

15,136,833

14,404,470

Cash dividends declared per common share

$

0.21

—

(a)

For year ended February 3 2024, Net sales includes $3.4 million of processing fee income related to customer sales returns that was previously included in Selling, general and administrative expenses.

(b)

Beginning fiscal 2024, Interest income is presented separately from Interest expense. The prior period has been conformed with the current period presentation.

J.Jill, Inc.

Consolidated Balance Sheets

(Unaudited)

(Amounts in thousands, except common share data)

February 1, 2025

February 3, 2024

Assets

Current assets:

Cash and cash equivalents

$

35,427

$

62,172

Accounts receivable

5,017

5,042

Inventories, net

61,295

53,259

Prepaid expenses and other current assets

20,291

17,656

Total current assets

122,030

138,129

Property and equipment, net

55,325

54,118

Intangible assets, net

61,015

66,246

Goodwill

59,697

59,697

Operating lease assets, net

112,303

108,203

Other assets

7,329

1,787

Total assets

$

417,699

$

428,180

Liabilities and Shareholders’ Equity

Current liabilities:

Accounts payable

$

51,980

$

41,112

Accrued expenses and other current liabilities

40,479

42,283

Current portion of long-term debt

—

35,353

Current portion of operating lease liabilities

34,649

36,204

Total current liabilities

127,108

154,952

Long-term debt, net of discount and current portion

69,419

120,595

Deferred income taxes

9,389

10,967

Operating lease liabilities, net of current portion

104,751

103,070

Other liabilities

1,263

1,378

Total liabilities

311,930

390,962

Commitments and contingencies

Shareholders’ Equity

Common stock, par value $0.01 per share; 50,000,000 shares authorized; 15,344,053 issued and 15,324,222 outstanding at February 1, 2025 and 10,614,454 issued and outstanding at February 3, 2024

153

107

Additional paid-in capital

242,781

213,236

Treasury stock, at cost, 19,831 shares at February 1, 2025 and none at February 3, 2024

(523

)

—

Accumulated deficit

(136,642

)

(176,125

)

Total shareholders’ equity

105,769

37,218

Total liabilities and shareholders’ equity

$

417,699

$

428,180

J.Jill, Inc.

Reconciliation of GAAP Net Income to Adjusted EBITDA

(Unaudited)

(Amounts in thousands)

For the Thirteen Weeks Ended

For the Fourteen Weeks Ended

February 1, 2025

February 3, 2024

Net income

$

2,248

$

4,767

Add (Less):

Depreciation and amortization

5,245

6,077

Income tax provision

670

(182

)

Interest expense ^(a)

2,692

6,941

Interest income ^(a)

(530

)

(1,040

)

Adjustments:

Equity-based compensation expense ^(b)

1,836

1,005

Write-off of property and equipment ^(c)

31

5

Amortization of cloud-based software implementation costs ^(d)

237

221

Adjustment for exited retail stores ^(e)

(227

)

(135

)

Impairment of long-lived assets ^(f)

359

123

Gain due to hurricane ^(g)

(250

)

—

Other non-recurring items ^(h)

2,190

—

Adjusted EBITDA

$

14,501

$

17,782

Net sales ⁽ⁱ⁾

142,842

150,257

Adjusted EBITDA margin

10.2

%

11.8

%

(a)

Beginning fiscal 2024, Interest income is presented separately from Interest expense. The prior period has been conformed with the current period presentation.

(b)

Represents expenses associated with equity incentive instruments granted to our management and board of directors (the “Board”). Incentive instruments are accounted for as equity-classified awards with the related compensation expense recognized based on fair value at the date of the grant.

(c)

Represents net gain or loss on the disposal of fixed assets.

(d)

Represents amortization of capitalized implementation costs related to cloud-based software arrangements that are included within Selling, general and administrative expenses. Adjusted EBITDA for the fourth quarter fiscal year 2023 has been restated to include such adjustments to Net income.

(e)

Represents non-cash gains associated with exiting store leases earlier than anticipated.

(f)

Represents impairment of long-lived assets related to right of use assets and leasehold improvements.

(g)

Represents an insurance recovery related to a prior quarter loss on write-off of property and equipment and inventory at one store location due to hurricane damage.

(h)

Represents items management believes are not indicative of ongoing operating performance, including non-ordinary course professional fees, non-employee share-based payments, and legal settlements and fees.

(i)

For the fourth quarter of fiscal 2023, Net sales includes $0.8 million of processing fee income that was previously included in Selling, general and administrative expenses.

J.Jill, Inc.

Reconciliation of GAAP Net Income to Adjusted EBITDA

(Unaudited)

(Amounts in thousands)

For the Fifty-Two Weeks Ended

For the Fifty-Three Weeks Ended

February 1, 2025

February 3, 2024

Net income

$

39,483

$

36,201

Add (Less):

Depreciation and amortization

21,337

22,931

Income tax provision

14,498

13,164

Interest expense ^(a)

15,701

25,699

Interest expense – related party

—

1,074

Interest income ^(a)

(2,550

)

(2,790

)

Adjustments:

Equity-based compensation expense ^(b)

6,510

3,762

Write-off of property and equipment ^(c)

105

70

Amortization of cloud-based software implementation costs ^(d)

882

620

Loss on extinguishment of debt ^(e)

8,570

—

Loss on debt refinancing ^(f)

—

12,702

Adjustment for exited retail stores ^(g)

(843

)

(767

)

Impairment of long-lived assets ^(h)

772

189

Loss due to hurricane ⁽ⁱ⁾

2

—

Other non-recurring items ^(j)

2,673

2

Adjusted EBITDA

$

107,140

$

112,857

Net sales ^(k)

$

610,857

$

608,043

Adjusted EBITDA margin

17.5

%

18.6

%

(a)

Beginning fiscal 2024, Interest income is presented separately from Interest expense. The prior period has been conformed with the current period presentation.

(b)

Represents expenses associated with equity incentive instruments granted to our management and board of directors (the “Board”). Incentive instruments are accounted for as equity-classified awards with the related compensation expense recognized based on fair value at the date of the grant.

(c)

Represents the net gain or loss on the disposal of fixed assets.

(d)

Represents amortization of capitalized implementation costs related to cloud-based software arrangements that are included within Selling, general and administrative expenses. Adjusted EBITDA for fiscal year ended February 3, 2024 has been restated to include such adjustments to Net income.

(e)

Represents loss on the prepayment of a portion of the term loan (the “Term Loan Credit Agreement” and, such facility, the “Term Loan Facility”).

(f)

Represents loss on the repayment of Priming Term Loan Credit Agreement (the “Priming Credit Agreement”) and the Subordinated Term Loan Credit Agreement (the “Subordinated Credit Agreement”).

(g)

Represents non-cash gains associated with exiting store leases earlier than anticipated.

(h)

Represents impairment of long-lived assets related to right of use assets and leasehold improvements.

(i)

Represents loss on write-off of property and equipment and inventory at one store location due to hurricane and insurance recovery received to date.

(j)

Represents items management believes are not indicative of ongoing operating performance, including non-ordinary course professional fees, non-employee share-based payments, and legal settlements and fees.

(k)

For year ended February 3, 2024, Net sales includes $3.4 million of processing fee income that was previously included in Selling, general and administrative expenses.

J.Jill, Inc.

Reconciliation of GAAP Operating Income to Adjusted Income from Operations

(Unaudited)

(Amounts in thousands)

For the Thirteen Weeks Ended

For the Fourteen Weeks Ended

February 1, 2025

February 3, 2024

Operating income

$

5,080

$

10,486

Add (Less):

Equity-based compensation expense ^(a)

1,836

1,005

Write-off of property and equipment ^(b)

31

5

Adjustment for exited retail stores ^(c)

(227

)

(135

)

Impairment of long-lived assets ^(d)

359

123

Gain due to hurricane ^(e)

(250

)

—

Other non-recurring items ^(f)

2,190

—

Adjusted income from operations

$

9,019

$

11,484

For the Fifty-Two Weeks Ended

For the Fifty-Three Weeks Ended

February 1, 2025

February 3, 2024

Operating income

$

75,702

$

86,050

Add (Less):

Equity-based compensation expense ^(a)

6,510

3,762

Write-off of property and equipment ^(b)

105

70

Adjustment for exited retail stores ^(c)

(843

)

(767

)

Impairment of long-lived assets ^(d)

772

189

Loss due to hurricane ^(e)

2

—

Other non-recurring items ^(f)

2,673

2

Adjusted income from operations

$

84,921

$

89,306

(a)

Represents expenses associated with equity incentive instruments granted to our management and board of directors (the “Board”). Incentive instruments are accounted for as equity-classified awards with the related compensation expense recognized based on fair value at the date of the grant. Adjusted income from operations for the fourth quarter of fiscal 2023 and for year ended February 3, 2024 has been restated to include such adjustments to Operating income. Beginning fiscal 2024, equity-based compensation expense is included as an adjustment. The prior period has been conformed with the current period presentation.

(b)

Represents net gain or loss on the disposal of fixed assets. Adjusted income from operations for the fourth quarter of fiscal 2023 and for year ended February 3, 2024 has been restated to include such adjustments to Operating income. Beginning fiscal 2024, write-off of property and equipment is included as an adjustment. The prior period has been conformed with the current period presentation.

(c)

Represents non-cash gains associated with exiting store leases earlier than anticipated.

(d)

Represents impairment of long-lived assets related to right of use assets and leasehold improvements.

(e)

Represents loss on write-off of property and equipment and inventory at one store location due to hurricane and insurance recovery received to date.

(f)

Represents items management believes are not indicative of ongoing operating performance, including non-ordinary course legal settlements and fees, professional fees, and non-employee share-based payments.

J.Jill, Inc.

Reconciliation of GAAP Net Income to Adjusted Net Income

(Unaudited)

(Amounts in thousands, except share and per share data)

For the Thirteen Weeks Ended

For the Fourteen Weeks Ended

February 1, 2025

February 3, 2024

Net income

$

2,248

$

4,767

Add: Income tax provision

670

(182

)

Income before provision for income tax

2,918

4,585

Adjustments:

Equity-based compensation expense ^(a)

1,836

1,005

Write-off of property and equipment ^(b)

31

5

Adjustment for exited retail stores ^(c)

(227

)

(135

)

Impairment of long-lived assets ^(d)

359

123

Gain due to hurricane ^(e)

(250

)

—

Other non-recurring items ^(f)

2,190

—

Adjusted income before income tax provision

6,857

5,583

Less: Adjusted tax provision ^(g)

1,845

1,491

Adjusted net income

$

5,012

$

4,092

Adjusted net income per share:

Basic

$

0.33

$

0.29

Diluted

$

0.32

$

0.28

Weighted average number of common shares:

Basic

15,329,437

14,176,459

Diluted

15,563,041

14,475,445

(a)

Represents expenses associated with equity incentive instruments granted to our management and board of directors (the “Board”). Incentive instruments are accounted for as equity-classified awards with the related compensation expense recognized based on fair value at the date of the grant. Adjusted income from operations for the fourth quarter of fiscal 2023 and for year ended February 3, 2024 has been restated to include such adjustments to Operating income. Beginning fiscal 2024, equity-based compensation expense is included as an adjustment. The prior period has been conformed with the current period presentation.

(b)

Represents net gain or loss on the disposal of fixed assets. Adjusted net income for the fourth quarter of fiscal 2023 has been restated to include such adjustments to Net income. Beginning fiscal 2024, write-off of property and equipment is included as an adjustment. The prior period has been conformed with the current period presentation.

(c)

Represents non-cash gains associated with exiting store leases earlier than anticipated.

(d)

Represents impairment of long-lived assets related to right of use assets and leasehold improvements.

(e)

Represents loss on write-off of property and equipment and inventory at one store location due to insurance recovery received to date for hurricane damage.

(f)

Represents items management believes are not indicative of ongoing operating performance, including non-ordinary course legal settlements and fees, professional fees, and non-employee share-based payments.

(g)

The adjusted tax provision for adjusted net income is estimated by applying a rate of 26.9% for the fourth quarter of fiscal 2024 and 26.7% for the fourth quarter of fiscal 2023.

J.Jill, Inc.

Reconciliation of GAAP Net Income to Adjusted Net Income

(Unaudited)

(Amounts in thousands, except share and per share data)

For the Fifty-Two Weeks Ended

For the Fifty-Three Weeks Ended

February 1, 2025

February 3, 2024

Net income

$

39,483

$

36,201

Add: Income tax provision

14,498

13,164

Income before provision for income tax

53,981

49,365

Adjustments:

Equity-based compensation expense ^(a)

6,510

3,762

Write-off of property and equipment ^(b)

105

70

Loss on extinguishment of debt ^(c)

8,570

—

Loss on debt refinancing^(d)

—

12,702

Adjustment for exited retail stores ^(e)

(843

)

(767

)

Impairment of long-lived assets ^(f)

772

189

Loss due to hurricane ^(g)

2

—

Other non-recurring items ^(h)

2,673

2

Adjusted income before income tax provision

71,770

65,323

Less: Adjusted tax provision ⁽ⁱ⁾

19,306

17,441

Adjusted net income

$

52,464

$

47,882

Adjusted net income per share:

Basic

$

3.51

$

3.39

Diluted

$

3.47

$

3.32

Weighted average number of common shares:

Basic

14,956,165

14,143,127

Diluted

15,136,833

14,404,470

(a)

Represents expenses associated with equity incentive instruments granted to our management and board of directors (the “Board”). Incentive instruments are accounted for as equity-classified awards with the related compensation expense recognized based on fair value at the date of the grant. Adjusted income from operations for the fourth quarter of fiscal 2023 and for year ended February 3, 2024 has been restated to include such adjustments to Operating income. Beginning fiscal 2024, equity-based compensation expense is included as an adjustment. The prior period has been conformed with the current period presentation.

(b)

Represents net gain or loss on the disposal of fixed assets. Adjusted net income for year ended February 3, 2024 has been restated to include such adjustments to Net income. Beginning fiscal 2024, write-off of property and equipment is included as an adjustment. The prior period has been conformed with the current period presentation.

(c)

Represents loss on the prepayment of a portion of the term loan (the “Term Loan Credit Agreement” and, such facility, the “Term Loan Facility”).

(d)

Represents loss on the repayment of Priming Term Loan Credit Agreement (the “Priming Credit Agreement”) and the Subordinated Term Loan Credit Agreement (the “Subordinated Credit Agreement”).

(e)

Represents non-cash gains associated with exiting store leases earlier than anticipated.

(f)

Represents impairment of long-lived assets related to right of use assets and leasehold improvements.

(g)

Represents loss on write-off of property and equipment and inventory at one store location due to hurricane and insurance recovery received to date.

(h)

Represents items management believes are not indicative of ongoing operating performance, including non-ordinary course legal settlements and fees, professional fees, and non-employee share-based payments.

(i)

The adjusted tax provision for adjusted net income is estimated by applying a rate of 26.9% for year ended February 1, 2025 and 26.7% for year ended February 3, 2024.

J.Jill, Inc.

Selected Cash Flow Information

(Unaudited)

(Amounts in thousands)

Summary Data from the Statement of Cash Flows

For the Thirteen Weeks Ended

For the Fourteen Weeks Ended

February 1, 2025

February 3, 2024

Net cash provided by operating activities

$

8,089

$

6,631

Net cash used in investing activities

(7,708

)

(6,174

)

Net cash used in financing activities

(3,719

)

(2,400

)

Net change in cash and cash equivalents

(3,338

)

(1,943

)

Cash and cash equivalents and restricted cash:

Beginning of Period

39,133

64,483

Increase in restricted cash

(5

)

—

End of Period ^(a)

$

35,790

$

62,540

(a)

Includes $0.4 million of restricted cash for the thirteen weeks ended February 1, 2025 and the fourteen weeks ended February 3, 2024. The Company recorded restricted cash in Prepaid expenses and other current assets as presented in the consolidated balance sheets.

For the Fifty-Two Weeks Ended

For the Fifty-Three Weeks Ended

February 1, 2025

February 3, 2024

Net cash provided by operating activities

$

65,036

$

63,313

Net cash used in investing activities

(17,755

)

(16,934

)

Net cash used in financing activities

$

(74,026

)

(71,260

)

Net change in cash and cash equivalents

(26,745

)

(24,881

)

Cash and cash equivalents and restricted cash:

Beginning of Period

62,540

87,421

Decrease in restricted cash

(5

)

—

End of Period ^(a)

$

35,790

$

62,540

(a)

Includes $0.4 million of restricted cash for the fifty-two weeks ended February 1, 2025 and the fifty-three weeks ended February 3, 2024. The Company recorded restricted cash in Prepaid expenses and other current assets as presented in the consolidated balance sheets.

Summary Data from the Statement of Cash Flows

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the consolidated statement of cash flows:

For the Fiscal Year Ended

February 1, 2025

February 3, 2024

January 28, 2023

Cash and cash equivalents

$

35,427

$

62,172

$

87,053

Restricted cash reported in other current assets

363

368

368

Total cash, cash equivalents, and restricted cash shown in the consolidated statements of cash flows

$

35,790

$

62,540

$

87,421

Reconciliation of GAAP Cash from Operations to Free Cash Flow

For the Thirteen Weeks Ended

For the Fourteen Weeks Ended

February 1, 2025

February 3, 2024

Net cash provided by operating activities

$

8,089

$

6,631

Less: Capital expenditures ^(a)

(7,708

)

(6,174

)

Free cash flow

$

381

$

457

For the Fifty-Two Weeks Ended

For the Fifty-Three Weeks Ended

February 1, 2025

February 3, 2024

Net cash provided by operating activities

$

65,036

$

63,313

Less: Capital expenditures ^(a)

(17,755

)

(16,934

)

Free cash flow

$

47,281

$

46,379

(a)

Capital expenditures reflects net cash used in investing activities, which includes capitalized interest and excludes cash received from landlords for tenant allowances.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250319349649/en/

Investor Relations:

Caitlin Churchill

ICR, Inc.

[email protected]

203-682-8200

Business and Financial Media:

Ariel Kouvaras

Sloane & Company

[email protected]

973-897-6241

KEYWORDS: United States North America Massachusetts

INDUSTRY KEYWORDS: Retail Department Stores Fashion

MEDIA:

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Posted on March 19, 2025 6:48 am
Merck Data at ACC.25 Highlight Innovative Advancements and Commitment to Improving Outcomes for People Living with Cardiovascular Disease

Merck Data at ACC.25 Highlight Innovative Advancements and Commitment to Improving Outcomes for People Living with Cardiovascular Disease

Data from Phase 3 ZENITH trial evaluating WINREVAIR™ (sotatercept-csrk) when added to background therapy in adults with pulmonary arterial hypertension (PAH, Group 1 PH) WHO* functional class (FC) III or IV at high risk of mortality to be featured as a late-breaking presentation

New research highlights gaps and barriers for patients to achieve low-density lipoprotein cholesterol (LDL-C) goals and the impact on patient outcomes and healthcare utilization, underscoring the urgency to treat to LDL-C goals

RAHWAY, N.J.–(BUSINESS WIRE)–
Merck (NYSE: MRK), known as MSD outside of the United States and Canada, today announced that new clinical and outcomes research data will be presented at the American College of Cardiology’s Annual Scientific Session and Expo (ACC.25) in Chicago from March 29-31. Data being shared at the meeting highlights how Merck is advancing research focused on improving outcomes for even more patients living with cardiovascular disease, through the evaluation of approved treatments, as well as data supporting opportunities for improved disease management in a real-world setting.

Merck will present results from the Phase 3 ZENITH trial evaluating WINREVAIR™ (sotatercept-csrk) when added to background therapy in adults with pulmonary arterial hypertension (PAH, Group 1 PH) WHO* functional class (FC) III or IV at high risk of mortality. These results will be shared as an oral presentation in a late-breaking session on Monday, March 31 during the Clinical and Investigative Horizons I session from 10:00-11:00 a.m. ET/9:00-10:00 a.m. CT (LBA402-16).

“Merck has a long legacy of making an impact in cardiovascular disease, and since we introduced our first therapy more than 60 years ago, we have remained committed to advancing innovative research to better understand and help improve the lives of patients with cardiovascular disease,” said Dr. Eliav Barr, senior vice president, head of global clinical development and chief medical officer, Merck Research Laboratories. “We are particularly thrilled to share research from the Phase 3 ZENITH trial evaluating WINREVAIR in PAH as a late-breaking presentation. ZENITH is the first study in PAH in which the interim analysis led to an early conclusion due to overwhelming efficacy and adds to the growing body of data evaluating WINREVAIR in a broad spectrum of patients with PAH.”

Four outcomes research presentations focused on cholesterol management from Merck will also be shared during the meeting. These include two presentations evaluating real-world data: the first highlights healthcare utilization and costs among patients treated for dyslipidemia in a U.S. integrated delivery system and the second provides insights into low-density lipoprotein (LDL-C) measurement patterns. Two additional presentations include a model to estimate the impact of treatment patterns for adults on lipid lowering therapy (LLT), as well as a systematic literature review and meta-analysis of residual atherosclerotic cardiovascular disease (ASCVD) risk among those treated with statin therapy.

“Our commitment to improving the lives of patients includes driving analyses of observational data to provide valuable insights into the barriers to achieving LDL-C goals in order to manage atherosclerotic cardiovascular disease,” said Dr. Bjorn Oddens, senior vice president and head of value and implementation, Merck Research Laboratories. “Low-density lipoprotein cholesterol is an established and modifiable risk factor for the development of atherosclerotic cardiovascular disease, a disease which accounts for 85 percent of cardiovascular deaths, but nearly two-thirds of individuals do not reach their LDL-C goals. Research presented at ACC aims to provide the cardiovascular community with insights into existing gaps in management, the impact on patient outcomes and healthcare systems and opportunities for improvement, with the ultimate goal of helping more patients better manage their LDL-C.”

Key data from Merck to be presented at ACC.25:

First presentation of results from the Phase 3 ZENITH trial evaluating WINREVAIR when added to background therapy in patients with PAH FC III or IV at high risk of mortality (Abstract #LBA402-16; Clinical and Investigative Horizons I);

A systematic review and meta-analysis evaluating the residual ASCVD risk in statin users in the real-world setting (Abstract #1062-36; Cardiovascular Disease Prevention 03);

Real-world data evaluating the frequency of LDL-C measurement and its association with patient characteristics among adults prescribed LLT in the U.S. (Abstract #1062-19; Cardiovascular Disease Prevention 03);

Presentation of a model to estimate the benefits of non-statin LLT use in terms of clinical (LDL-C and ASCVD event reduction) and economic (cost reduction) impact on the U.S. health system (Abstract #977-03; Costs of Cardiovascular Preventive Care: Implications Across Stakeholders);

Poster presentation estimating the association between healthcare resource use and treatment patterns among adults on LLT across various levels of risk in a large U.S. health system (Abstract #977-15; Costs of Cardiovascular Preventive Care: Implications Across Stakeholders).

Details on key abstracts for Merck:

PAH

Efficacy and safety of sotatercept in high-risk patients with pulmonary arterial hypertension: results from ZENITH Phase 3 trial. M. Humbert.

Abstract #LBA402-16; Clinical and Investigative Horizons I on Monday, March 31, 10:00-11:00 a.m. ET/9:00-10:00 a.m. CT

Burden of pulmonary arterial hypertension (PAH) on women across regions: multinational patient qualitative study. I. Preston.

Abstract #66; Pulmonary Vascular Disease 07 on Sunday, March 30, 11:30 a.m.-12:30 p.m. ET/10:30-11:30 a.m. CT

Atherosclerotic Cardiovascular Disease

Clinical and economic burden of adding ezetimibe therapy in patients with atherosclerotic cardiovascular disease. T. Galvain.

Abstract #977-03; Costs of Cardiovascular Preventive Care: Implications Across Stakeholders on Sunday, March 30, 3:00-5:00 p.m. ET/2:00-4:00 p.m. CT

Healthcare resource use (HCRU) and costs among adults on lipid lowering therapy (LLT) with and at risk for atherosclerotic cardiovascular disease (ASCVD) events in a US integrated delivery system. A. Victores.

Abstract #977-15; Costs of Cardiovascular Preventive Care: Implications Across Stakeholders on Sunday, March 30, 3:00-5:00 p.m. ET/2:00-4:00 p.m. CT

Frequency of LDL-C measurement among patients prescribed lipid lowering therapy (LLT) in the US. A. Victores.

Abstract #1062-19; Cardiovascular Disease Prevention 03 on Saturday, March 29, 1:30-2:30 p.m. ET/12:30-1:30 p.m. CT

Residual atherosclerotic cardiovascular disease risk in statin users – a systematic review and meta-analysis. A.H. Watanabe.

Abstract #1062-36; Cardiovascular Disease Prevention 03 on Saturday, March 29, 1:30-2:30 p.m. ET/12:30-1:30 p.m. CT

Heart Failure

Exploring barriers to optimization of medical therapy and the role of checklist-based decision support in heart failure. B. Montelaro.

Abstract #1132-177; Heart Failure and Cardiomyopathies 06 on Sunday, March 30, 10:00-11:00 a.m. ET/9:00-10:00 a.m. CT

Worsening heart failure events are associated with new initiation of guideline directed medical therapy among patients with heart failure with reduced ejection fraction. A. Ambrosy.

Abstract #1215-146; Heart Failure and Cardiomyopathies 10 On Sunday, March 30, 4:00-5:00 p.m. ET/3:00-4:00 p.m. CT

*World Health Organization

About WINREVAIR^™ (sotatercept-csrk) for injection, for subcutaneous use, 45 mg, 60 mg

WINREVAIR is FDA-approved for the treatment of adults with pulmonary arterial hypertension (PAH, Group 1 PH) to increase exercise capacity, improve WHO functional class (FC) and reduce the risk of clinical worsening events. WINREVAIR is the first activin signaling inhibitor therapy approved to treat PAH. WINREVAIR improves the balance between pro-proliferative and anti-proliferative signaling to modulate vascular proliferation. In preclinical models, WINREVAIR induced cellular changes that were associated with thinner vessel walls, partial reversal of right ventricular remodeling, and improved hemodynamics.

WINREVAIR is the subject of a licensing agreement with Bristol Myers Squibb.

Selected Safety Information for WINREVAIR in the U.S.

WINREVAIR may increase hemoglobin (Hgb). Severe erythrocytosis may increase the risk of thromboembolic events or hyperviscosity syndrome. Monitor Hgb before each dose for the first 5 doses, or longer if values are unstable, and periodically thereafter, to determine if dose adjustments are required.

WINREVAIR may decrease platelet count. Severe thrombocytopenia may increase the risk of bleeding. Thrombocytopenia occurred more frequently in patients also receiving prostacyclin infusion. Do not initiate treatment if platelet count is <50,000/mm3. Monitor platelets before each dose for the first 5 doses, or longer if values are unstable, and periodically thereafter to determine whether dose adjustments are required.

In clinical studies, serious bleeding (e.g., gastrointestinal, intracranial hemorrhage) was reported in 4% of patients taking WINREVAIR and 1% of patients taking placebo. Patients with serious bleeding were more likely to be on prostacyclin background therapy and/or antithrombotic agents, or have low platelet counts. Advise patients about signs and symptoms of blood loss. Do not administer WINREVAIR if the patient is experiencing serious bleeding.

WINREVAIR may cause fetal harm when administered to a pregnant woman. Advise pregnant women of the potential risk to a fetus. Advise females of reproductive potential to use an effective method of contraception during treatment with WINREVAIR and for at least 4 months after the final dose. Pregnancy testing is recommended for females of reproductive potential before starting WINREVAIR treatment.

Based on findings in animals, WINREVAIR may impair female and male fertility. Advise patients on the potential effects on fertility.

The most common adverse reactions occurring in the phase 3 clinical trial (≥10% for WINREVAIR and at least 5% more than placebo) were headache (24.5% vs 17.5%), epistaxis (22.1% vs 1.9%), rash (20.2% vs 8.1%), telangiectasia (16.6% vs 4.4%), diarrhea (15.3% vs 10.0%), dizziness (14.7% vs 6.2%), and erythema (13.5% vs 3.1%).

Because of the potential for serious adverse reactions in the breastfed child, advise patients that breastfeeding is not recommended during treatment with WINREVAIR, and for 4 months after the final dose.

Merck’s focus on cardiovascular disease

Merck has a long history of making an impact in cardiovascular disease. More than 60 years ago, we introduced our first cardiovascular therapy – and our scientific efforts to understand cardiovascular-related disorders have continued. Cardiovascular disease continues to be one of the most serious health challenges of the 21st century. Approximately 19 million people across the globe die every year, and in the United States one person dies every 36 seconds from cardiovascular disease.

Advancements in the treatment of cardiovascular disease can make a critical difference for patients around the world. At Merck, we strive for scientific excellence and innovation in all stages of research, from discovery through approval and life cycle management. We work with experts throughout the cardiovascular and pulmonary community to advance research that can help improve the lives of patients globally.

About Merck

At Merck, known as MSD outside of the United States and Canada, we are unified around our purpose: We use the power of leading-edge science to save and improve lives around the world. For more than 130 years, we have brought hope to humanity through the development of important medicines and vaccines. We aspire to be the premier research-intensive biopharmaceutical company in the world – and today, we are at the forefront of research to deliver innovative health solutions that advance the prevention and treatment of diseases in people and animals. We foster a diverse and inclusive global workforce and operate responsibly every day to enable a safe, sustainable and healthy future for all people and communities. For more information, visit www.merck.com and connect with us on X (formerly Twitter), Facebook, Instagram, YouTube and LinkedIn.

Forward-Looking Statement of Merck & Co., Inc., Rahway, N.J., USA

This news release of Merck & Co., Inc., Rahway, N.J., USA (the “company”) includes “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements are based upon the current beliefs and expectations of the company’s management and are subject to significant risks and uncertainties. There can be no guarantees with respect to pipeline candidates that the candidates will receive the necessary regulatory approvals or that they will prove to be commercially successful. If underlying assumptions prove inaccurate or risks or uncertainties materialize, actual results may differ materially from those set forth in the forward-looking statements.

Risks and uncertainties include but are not limited to, general industry conditions and competition; general economic factors, including interest rate and currency exchange rate fluctuations; the impact of pharmaceutical industry regulation and health care legislation in the United States and internationally; global trends toward health care cost containment; technological advances, new products and patents attained by competitors; challenges inherent in new product development, including obtaining regulatory approval; the company’s ability to accurately predict future market conditions; manufacturing difficulties or delays; financial instability of international economies and sovereign risk; dependence on the effectiveness of the company’s patents and other protections for innovative products; and the exposure to litigation, including patent litigation, and/or regulatory actions.

The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise. Additional factors that could cause results to differ materially from those described in the forward-looking statements can be found in the company’s Annual Report on Form 10-K for the year ended December 31, 2024 and the company’s other filings with the Securities and Exchange Commission (SEC) available at the SEC’s Internet site (www.sec.gov).

Please see Prescribing Information for WINREVAIR (sotatercept-csrk) at http://www.merck.com/product/usa/pi_circulars/w/winrevair/winrevair_pi.pdf, Patient Information for WINREVAIR at http://www.merck.com/product/usa/pi_circulars/w/winrevair/winrevair_ppi.pdf, and Instructions for Use for WINREVAIR (1-vial kit, 2-vial kit) at https://www.merck.com/product/usa/pi_circulars/w/winrevair/winrevair_ifu_1-vial_2-vial_kits.pdf.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250319014096/en/

Media Contacts:

Julie Cunningham

(617) 519-6264

Nikki Lupinacci

(718) 644-0730

Investor Contacts:

Peter Dannenbaum

(732) 594-1579

Steven Graziano

(732) 594-1583

KEYWORDS: United States North America Illinois New Jersey

INDUSTRY KEYWORDS: Health Clinical Trials General Health Pharmaceutical Cardiology Biotechnology

MEDIA:

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Posted on March 19, 2025 6:33 am
Mega Matrix Inc. Announced Eight New English Short Dramas on FlexTV (March 10-14): Exploring Family, Workplace, and Life’s Many Facets

PR Newswire

SINGAPORE
, March 19, 2025 /PRNewswire/ — From March 10 to March 14, 2025, FlexTV, the global leader in short dramas under Mega Matrix Inc. (NYSE American: MPU), is launching eight English-language short dramas. Ranging from self-awakening and dark revenge to rekindled romance and workplace battles, these dramas offer audiences a diverse and immersive viewing experience.

On March 10, Divorce Me If You Dare premieres. After being cast out by her husband upon his return, Veronica finds a new lease on life through the achievements of her sons and the strength of her daughters-in-law. Centered on intergenerational female solidarity, the drama explores women’s self-worth within traditional family structures.

On March 11, Dead Set on Payback goes live, delving into the complexities of friendship, betrayal, and trust. Eva is betrayed and killed by her best friend Jane. Reborn, she is determined to exact revenge, making both Jane and her boyfriend Tom pay the price.

On March 12, The Matchmaker Wore Pigtails debuts, highlighting shifting family dynamics. After being thrown out by her daughter, Lucy finds a fresh start when little Sophie, an adorable matchmaker, brings her and Richard together. Beneath its lighthearted tone, the drama conveys a thoughtful message on family reinvention and acceptance.

March 13 sees the back-to-back release of four compelling dramas:

Lied My Way to the Top follows Jasmine’s transformation from a spoiled heiress into a formidable CEO as she and Ethan fight to protect their family business.

Baby Billionaire: The Secret Heir tells the touching story of Sophie and Luke, who reconnect due to an unexpected pregnancy and gradually rekindle their love.

Caught Between Beauties revolves around workplace intrigue and romance, as a stolen document leads to an intense love triangle.

My Boss, My Secret Heroine portrays Michael and Winnie’s reunion five years after their separation, where workplace collaboration helps them resolve past misunderstandings.

Each of these dramas explores themes of corporate battles, unexpected pregnancies, workplace romance, and second chances, reflecting the struggles and growth of modern urban life while portraying the challenges and opportunities in love, career, and family.

On March 14, Lessons in Love & Lip Gloss makes its debut, emphasizing personal growth and self-discovery. After a mistaken flash marriage to CEO Daniel, Lily proves her talent in the company. As she undergoes an unexpected transformation, she and Daniel finally overcome their misunderstandings.

FlexTV serves audiences in over 100 countries with multilingual content, including English, Japanese, and Korean, delivering high-quality productions and an exceptional viewing experience. FlexTV’s latest lineup of eight short dramas is driven by compelling storylines, high emotional resonance, and diverse perspectives, offering a deep exploration of modern society’s complexities in relationships, family, the workplace, and human nature, sparking reflection on real-life issues. Looking ahead, FlexTV remains committed to genre innovation and content excellence, promising audiences an even more diverse and high-quality viewing experience. For more captivating series, visit https://www.flextv.cc/.

About Mega Matrix Inc.: Mega Matrix Inc. (NYSE American: MPU) is a holding company and operates FlexTV, a short-video streaming platform and producer of short dramas, through its subsidiary, Yuder Pte, Ltd.. Mega Matrix Inc. is a Cayman Island corporation headquartered in Singapore. For more information, please contact [email protected] or visit: http://www.megamatrix.io.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. All statements in this press release other than statements that are purely historical are forward looking statements. When used in this press release, the words “estimates,” “projected,” “expects,” “anticipates,” “forecasts,” “plans,” “intends,” “believes,” “seeks,” “may,” “will,” “should,” “future,” “propose,” and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees for future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company’s control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are: the ability to manage growth; ability to identify and integrate future acquisitions; ability to grow and expand our FlexTV business; ability to execute the strategic cooperation with TopReels, ability to obtain additional financing in the future to fund capital expenditures; ability to establish the investment fund with 9 Yards Communications under the memorandum of understanding; fluctuations in general economic and business conditions; costs or other factors adversely affecting the Company’s profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic; the possibility that the Company may not succeed in developing its new lines of businesses due to, among other things, changes in the business environment, competition, changes in regulation, or other economic and policy factors; and the possibility that the Company’s new lines of business may be adversely affected by other economic, business, and/or competitive factors. The forward-looking statements in this press release and the Company’s future results of operations are subject to additional risks and uncertainties set forth under the “Risk Factors” in documents filed by the Company’s predecessor, Mega Matrix Corp., with the Securities and Exchange Commission, including the Company’s latest annual report on Form 10-K, as amended, and are based on information available to the Company on the date hereof. In addition, such risks and uncertainties include the Company’s inability to predict or control bankruptcy proceedings and the uncertainties surrounding the ability to generate cash proceeds through the sale or other monetization of the Company’s assets. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this press release.

Disclosure Channels

We announce material information about the Company and its services and for complying with our disclosure obligation under Regulation FD via the following social media channels:

(X/Twitter)

x.com/MegaMatrixMPU

Facebook:

facebook.com/megamatrixmpu

facebook.com/flextvus

LinkedIn:

linkedin.com/company/megamatrixmpu

TikTok:

tiktok.com/@flextv_english

YouTube:

youtube.com/@FlexTV_English

The Company will also use its landing page on its corporate website (www.megamatrix.io) to host social media disclosures and/or links to/from such disclosures. The information we post through these social media channels may be deemed material. Accordingly, investors should monitor these social media channels in addition to following our website, press releases, SEC filings and public conference calls and webcasts. The social media channels that we intend to use as a means of disclosing the information described above may be updated from time to time as listed on our website.

View original content to download multimedia:https://www.prnewswire.com/news-releases/mega-matrix-inc-announced-eight-new-english-short-dramas-on-flextv-march-1014-exploring-family-workplace-and-lifes-many-facets-302405320.html

SOURCE Mega Matrix Inc.

Posted on March 19, 2025 6:33 am
Taboola Announces Successful Completion of Debt Refinancing, Significantly Reducing Annual Interest Expenses

NEW YORK, March 19, 2025 (GLOBE NEWSWIRE) — Taboola (Nasdaq: TBLA), a global leader in delivering performance at scale for advertisers, today announced that it has entered into a new $270 million revolving credit facility. Concurrent with the closing, the Company used proceeds from the new facility to pay in full the $123.2 million of remaining outstanding principal and accrued interest under the prior term loan. Based on currently prevailing rates, the Company estimates the annual interest savings to be approximately $3 to $5 million.

Other benefits of the new revolving credit facility include:

Increasing financial flexibility that can allow the company to hold a lower average debt balance and thereby create additional annual interest savings

Extending the company’s debt maturities to 2030; and

Providing approximately $180 million in additional debt capacity for enhanced financial flexibility.

“We are pleased to announce this significant refinancing transaction, which reduces our cost of capital, strengthens our liquidity and extends our debt maturities to 2030,” said Steve Walker, CFO of Taboola. “This financing further strengthens Taboola’s balance sheet and provides us with enhanced financial flexibility, which supports our ability to continue to invest in accelerating profitable growth while maintaining our aggressive share buyback program.”

Bank of America, N.A. acted as Administrative Agent; Citibank, N.A., London Branch and Valley National Bank acted as Syndication Agents; and Bank of America, N.A., Citibank, N.A., London Branch and Valley National Bank acted as Joint Bookrunners and Joint Lead Arrangers.

About Taboola

Taboola empowers businesses to grow through performance advertising technology that goes beyond search and social and delivers measurable outcomes at scale.

Taboola works with thousands of businesses who advertise directly on Realize, Taboola’s powerful ad platform, reaching approximately 600M daily active users across some of the best publishers in the world. Publishers like NBC News, Yahoo, and OEMs such as Samsung, Xiaomi and others use Taboola’s technology to grow audience and revenue, enabling Realize to offer unique data, specialized algorithms, and unmatched scale.

Disclaimer – Forward-Looking Statements

Taboola (the “Company”) may, in this communication, make certain statements that are not historical facts and relate to analysis or other information which are based on forecasts or future or results. Examples of such forward-looking statements include, but are not limited to, statements regarding future prospects, product development and business strategies. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “continue,” and similar expressions are intended to identify such forward-looking statements but are not the exclusive means for identifying such statements. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and there are risks that the predictions, forecasts, projections and other forward-looking statements will not be achieved. You should understand that a number of factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements, including the risks set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 under Part 1, Item 1A “Risk Factors” and our subsequent filings with the Securities and Exchange Commission. The Company cautions readers not to place undue reliance upon any forward-looking statements, which speak only as of the date made. The Company does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions or circumstances on which any such statement is based.

Investor Contacts:

Jessica Kourakos
Aadam Anwar
[email protected]

Press Contact:

Dave Struzzi
[email protected]

Posted on March 19, 2025 6:33 am
Liquidia Corporation Reports Full Year 2024 Financial Results and Provides Corporate Update

Targeting final FDA approval of YUTREPIA™ after expiration of regulatory exclusivity on May 23, 2025

Advancing pipeline of inhaled treprostinil products in clinical studies

Strengthened financial position by up to $100 million via amendment to existing financing agreement with HealthCare Royalty Partners (HCRx)

Company to host webcast today at 8:30 a.m. ET

MORRISVILLE, N.C., March 19, 2025 (GLOBE NEWSWIRE) — Liquidia Corporation (NASDAQ: LQDA), a biopharmaceutical company developing innovative therapies for patients with rare cardiopulmonary disease, today reported financial results for the full year ended December 31, 2024. The company will also host a webcast at 8:30 a.m. ET on March 19, 2025 to discuss its financial results and provide a corporate update.

Dr. Roger Jeffs, Liquidia’s Chief Executive Officer, said: “Building on our progress this past year, Liquidia has strengthened its financial position, with up to an additional $100 million available pursuant to an amendment to its existing financing agreement with HCRx, while remaining poised for the potential approval and commercialization of YUTREPIA after the expiration on May 23, 2025 of the regulatory exclusivity that is currently preventing final approval. We continue to have our sights set on fulfilling our promise to provide physicians and patients with what we believe can be a much-needed therapeutic alternative, and potentially the prostacyclin of first choice, for patients with PAH and PH-ILD.”

Corporate Updates

Potential for final FDA approval of YUTREPIA (treprostinil) inhalation powder after expiration of regulatory exclusivity on May 23, 2025

On August 16, 2024, the United States Food and Drug Administration (FDA) granted tentative approval for YUTREPIA for the treatment of pulmonary arterial hypertension (PAH) and pulmonary hypertension associated with interstitial lung disease (PH-ILD) and simultaneously determined that Tyvaso DPI® qualifies for a three-year New Clinical Investigation (NCI) exclusivity for the chronic use of dry powder formulations of treprostinil for the approved indications. The NCI exclusivity will expire on May 23, 2025, after which the FDA may grant final approval of YUTREPIA.

Continuing to advance the pipeline of inhaled treprostinil in the clinic

The open-label ASCENT study evaluating the tolerability and titratability of YUTREPIA in patients with PH-ILD is nearing enrollment completion. Observations to date have demonstrated tolerability and titratability of YUTREPIA in PH-ILD patients that is consistent with observations from the prior INSPIRE study in PAH patients.

Liquidia continues to progress clinical studies of L606 (liposomal treprostinil) inhalation suspension, an investigational sustained-release formulation of treprostinil administered twice-daily with a next-generation nebulizer. The U.S. open-label safety study of 28 patients with PAH and PH-ILD remains ongoing. To date, participants have safely titrated to the study’s maximum dose twice daily, which is comparable to 26-28 breaths of Tyvaso® administered four times per day. The FDA has confirmed that a single, placebo-controlled, global pivotal study in PH-ILD patients would support seeking approval to treat both PAH and PH-ILD patients.

Strengthened financial position by amending HCRx agreement to incrementally add up to $100 million

In March 2025, Liquidia entered into an amendment to its agreement with HCRx (HCR Agreement) to provide for up to an additional $100 million of financing in three tranches. Under the terms of the agreement, Liquidia received $25.0 million at closing with the potential to receive two additional tranches of funding: $50.0 million upon the first commercial sale of YUTREPIA following receipt of final FDA approval for the treatment of PAH and PH-ILD, so long as no injunction has been issued prohibiting Liquidia from commercializing YUTREPIA for either or both of PAH and PH-ILD, and $25.0 million upon the mutual agreement of the parties after achieving aggregate net sales of YUTREPIA in excess of $100 million any time on or prior to June 30, 2026.

Full Year 2024 Financial Results

Cash and cash equivalents totaled $176.5 million as of December 31, 2024, compared to $83.7 million as of December 31, 2023.

Revenue was $14.0 million for the year ended December 31, 2024, compared to $17.5 million for the year ended December 31, 2023. Revenue related primarily to the promotion agreement with Sandoz, Inc. pursuant to which we share profits from the sale of Treprostinil Injection in the United States (Promotion Agreement). The decrease of $3.5 million was primarily due to lower sales quantities, driven by limitations on the availability of pumps used to administer Treprostinil Injection subcutaneously. Sales quantities will continue to be impacted until alternative pumps are available.

Cost of revenue was $5.9 million for the year ended December 31, 2024, compared to $2.9 million for the year ended December 31, 2023. Cost of revenue related to the Promotion Agreement as noted above. The increase from the prior year was primarily due to our sales force expansion during the fourth quarter of 2023.

Research and development expenses were $47.8 million for the year ended December 31, 2024, compared to $43.2 million for the year ended December 31, 2023. The increase of $4.6 million or 11% was primarily due to (i) a $6.1 million increase in expenses related to our L606 program, (ii) a $5.3 million increase in expenses related to YUTREPIA research and development activities, including the ASCENT trial, (iii) a $5.1 million increase in personnel expenses (including stock-based compensation) related to increased headcount, and (iv) a $3.5 million upfront license fee due to Pharmosa for the exclusive license in Europe to develop and commercialize L606 recorded during the year ended December 31, 2024, offset by (i) $5.1 million lower commercial manufacturing expenses reflecting the impact of expensing YUTREPIA inventory costs in the prior year and (ii) a $10.0 million upfront license fee due to Pharmosa for the exclusive license in North America to develop and commercialize L606 recorded during the year ended December 31, 2023.

General and administrative expenses were $81.6 million for the year ended December 31, 2024, compared to $44.7 million for the year ended December 31, 2023. The increase of $36.9 million or 82% was primarily due to (i) a $19.7 million increase in personnel expenses (including stock-based compensation) driven by higher headcount and expansion of our sales force in the fourth quarter of 2023, (ii) a $7.9 million increase in legal fees related to our ongoing YUTREPIA-related litigation, and (iii) a $6.8 million increase in commercial expenses in preparation for the potential commercialization of YUTREPIA.

Total other expense, net was $9.1 million for the year ended December 31, 2024, compared to $5.1 million for the year ended December 31, 2023. The increase of $4.0 million was primarily driven by a $2.0 million increase in the net loss on extinguishment of debt resulting from the Fourth and Fifth Amendments to the HCR Agreement, which were executed in January 2024 and September 2024, respectively. Additionally, there was a $6.2 million increase in interest expense attributable to the higher borrowings under the HCR Agreement compared to the prior year and a $4.2 million increase in interest income attributable to higher money market balances.

Net loss for the year ended December 31, 2024, was $130.4 million or $1.66 per basic and diluted share, compared to a net loss of $78.5 million, or $1.21 per basic and diluted share, for the year ended December 31, 2023.

About YUTREPIA™ (treprostinil) Inhalation Powder

YUTREPIA is an investigational, inhaled dry-powder formulation of treprostinil delivered through a convenient, low-effort, palm-sized device. In August 2024, the FDA issued tentative approval of YUTREPIA for the PAH and PH-ILD indications. YUTREPIA was designed using Liquidia’s PRINT® technology, which enables the development of drug particles that are precise and uniform in size, shape and composition, and that are engineered for enhanced deposition in the lung following oral inhalation. Liquidia has completed INSPIRE, or Investigation of the Safety and Pharmacology of Dry Powder Inhalation of Treprostinil, an open-label, multi-center phase 3 clinical study of YUTREPIA in patients diagnosed with PAH who are naïve to inhaled treprostinil or who are transitioning from Tyvaso® (nebulized treprostinil). YUTREPIA is currently being studied in the ASCENT trial, an Open-Label Prospective Multicenter Study to Evaluate Safety and Tolerability of Dry Powder Inhaled Treprostinil in Pulmonary Hypertension, to evaluate the safety and tolerability of YUTREPIA in PH-ILD patients. YUTREPIA was previously referred to as LIQ861 in investigational studies.

About L606 (liposomal treprostinil) Inhalation Suspension

L606 is an investigational, sustained-release formulation of treprostinil administered twice-daily with a next-generation nebulizer. The L606 suspension uses Pharmosa Biopharm’s proprietary liposomal formulation to encapsulate treprostinil which can be released slowly at a controlled rate into the lung, enhancing drug exposure over an extended period of time. L606 is currently being evaluated in an open-label study in the United States for treatment of pulmonary arterial hypertension (PAH) and pulmonary hypertension associated with interstitial lung disease (PH-ILD) with a planned global pivotal placebo-controlled efficacy study for the treatment of PH-ILD.

About Treprostinil Injection

Treprostinil Injection is the first-to-file, fully substitutable generic treprostinil for parenteral administration. Treprostinil Injection contains the same active ingredient, same strengths, same dosage form and same inactive ingredients as Remodulin^® (treprostinil) and is offered to patients and physicians with the same level of service and support, but at a lower price than the branded drug. Liquidia PAH promotes the appropriate use of Treprostinil Injection for the treatment of PAH in the United States in partnership with its commercial partner, Sandoz, who holds the Abbreviated New Drug Application (ANDA) with the FDA.

About Pulmonary Arterial Hypertension (PAH)

Pulmonary arterial hypertension (PAH) is a rare, chronic, progressive disease caused by hardening and narrowing of the pulmonary arteries that can lead to right heart failure and eventually death. Currently, an estimated 45,000 patients are diagnosed and treated in the United States. There is currently no cure for PAH, so the goals of existing treatments are to alleviate symptoms, maintain or improve functional class, delay disease progression and improve quality of life.

About Pulmonary Hypertension Associated with Interstitial Lung Disease (PH-ILD)

Pulmonary hypertension (PH) associated with interstitial lung disease (ILD) includes a diverse collection of up to 150 different pulmonary diseases, including interstitial pulmonary fibrosis, chronic hypersensitivity pneumonitis, connective tissue disease related ILD, and chronic pulmonary fibrosis with emphysema (CPFE) among others. Any level of PH in ILD patients is associated with poor 3-year survival. A current estimate of PH-ILD prevalence in the United States is greater than 60,000 patients, though actual prevalence in many of these underlying ILD diseases is not yet known due to factors including underdiagnosis and lack of approved treatments until March 2021 when inhaled treprostinil was first approved for this indication.

About Liquidia Corporation

Liquidia Corporation is a biopharmaceutical company developing innovative therapies for patients with rare cardiopulmonary disease. The company’s current focus spans the development and commercialization of products in pulmonary hypertension and other applications of its proprietary PRINT^® Technology. PRINT enabled the creation of Liquidia’s lead candidate, YUTREPIA™ (treprostinil) inhalation powder, an investigational drug for the treatment of pulmonary arterial hypertension (PAH) and pulmonary hypertension associated with interstitial lung disease (PH-ILD). The company is also developing L606, an investigational sustained-release formulation of treprostinil administered twice-daily with a next-generation nebulizer, and currently markets generic Treprostinil Injection for the treatment of PAH. To learn more about Liquidia, please visit www.liquidia.com.

Remodulin® and Tyvaso® are registered trademarks of United Therapeutics Corporation.

Cautionary Statements Regarding Forward-Looking Statements

This press release may include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical facts, including statements regarding our future results of operations and financial position, our strategic and financial initiatives, our business strategy and plans and our objectives for future operations, are forward-looking statements. Such forward-looking statements, including statements regarding clinical trials, clinical studies and other clinical work (including the funding therefor, anticipated patient enrollment, safety data, study data, trial outcomes, timing or associated costs), regulatory applications and related submission contents and timelines, including the potential for final FDA approval of the NDA for YUTREPIA, which may occur after the expiration of the exclusivity period of TYVASO DPI, if at all, the timelines or outcomes related to patent litigation with United Therapeutics in the U.S. District Court for the District of Delaware, litigation with United Therapeutics and FDA in the U.S. District Court for the District of Columbia or other litigation instituted by United Therapeutics or others, including rehearings or appeals of decisions in any such proceedings, the issuance of patents by the USPTO and our ability to execute on our strategic or financial initiatives, the potential for additional funding under the HCR Agreement, our anticipated use of net proceeds funded under the HCR Agreement, our estimates regarding future expenses, capital requirements and needs for additional financing, and potential revenue and profitability of YUTREPIA, if approved, involve significant risks and uncertainties and actual results could differ materially from those expressed or implied herein. The favorable decisions of courts or other tribunals are not determinative of the outcome of the appeals or rehearings of the decisions. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “would,” and similar expressions are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs. These forward-looking statements are subject to a number of risks discussed in our filings with the SEC, as well as a number of uncertainties and assumptions. Moreover, we operate in a very competitive and rapidly changing environment and our industry has inherent risks. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the future events discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. Nothing in this press release should be regarded as a representation by any person that these goals will be achieved, and we undertake no duty to update our goals or to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise.

Contact Information

Investors:

Jason Adair
Chief Business Officer
919.328.4350
[email protected]

Media:

Patrick Wallace
Director, Corporate Communications
919.328.4383
[email protected]

Liquidia Corporation
Select Condensed Consolidated Balance Sheet Data (unaudited)
(in thousands)

  
  
December 31,  
 
December
 
31,   

  
  
2024  
 
2023   

Cash and cash equivalents     $  176,479       $  83,679    

Total assets     $  230,313       $  118,332    

Total liabilities     $  153,038       $  71,039    

Accumulated deficit     $  (559,492 )      $  (429,098) 

Total stockholders’ equity     $  77,275       $  47,293    

Liquidia Corporation
Condensed Consolidated Statements of Operations and Comprehensive Loss (unaudited)
(in thousands, except share and per share amounts)

 
 
Full Year Ended

December 31,

 
 
2024  
 
2023  

Revenue   $ 13,996     $ 17,488  

Costs and expenses:                

Cost of revenue   $ 5,879     $  2,888  

Research and development   $ 47,842     $ 43,242  

General and administrative   $ 81,569     $  44,742  

Total costs and expenses   $ 135,290     $  90,872  

Loss from operations   $ (121,294 )   $  (73,384 )

Other income (expense):                

Interest income   $ 7,654     $  3,466  

Interest expense   $ (12,486 )   $  (6,273 )

Gain (loss) on extinguishment of debt $ (4,268 ) $ (2,311 )

Total other expense, net   $ (9,100 )   $ (5,118 )

Net loss and comprehensive loss   $ (130,394 )   $ (78,502 )

Net loss per common share, basic and diluted   $ (1.66 )   $ (1.21 )

Weighted average common shares outstanding, basic and diluted   $ 78,707,503     $ 64,993,476

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