Market Newsdesk

April 22, 2025 4:24 pm

Western New England Bancorp, Inc. Reports Results for Three Months Ended March 31, 2025 and Declares Quarterly Cash Dividend

The Company Also Announces a New Share Repurchase Plan

WESTFIELD, Mass., April 22, 2025 (GLOBE NEWSWIRE) — Western New England Bancorp, Inc. (the “Company” or “WNEB”) (NasdaqGS: WNEB), the holding company for Westfield Bank (the “Bank”), announced today the unaudited results of operations for the three months ended March 31, 2025. The Company reported net income of $2.3 million, or $0.11 per diluted share, for the three months ended March 31, 2025, compared to net income of $3.0 million, or $0.14 per diluted share, for the three months ended March 31, 2024. On a linked quarter basis, net income was $2.3 million, or $0.11 per diluted share, compared to net income of $3.3 million, or $0.16 per diluted share, for the three months ended December 31, 2024.

The Company also announced that its Board of Directors declared a quarterly cash dividend of $0.07 per share on the Company’s common stock. The dividend will be payable on or about May 21, 2025 to shareholders of record on May 7, 2025.

In addition, the Company announced that its Board of Directors authorized a new stock repurchase plan (the “2025 Plan”), pursuant to which the Company may repurchase up to 1.0 million shares of the Company’s common stock, or approximately 4.8% of the Company’s outstanding common stock as of today. The 2025 Plan will commence upon the completion of the Company’s existing share repurchase plan (the “2024 Plan”). The 2024 Plan was approved by the Board of Directors on May 21, 2024, and as of March 31, 2025, there were 265,609 shares of common stock available for repurchase under the 2024 Plan.

James C. Hagan, President and Chief Executive Officer, commented, “I am pleased to report the results for the first quarter of 2025. Our strong, diversified core deposit base and our disciplined approach to managing our funding costs have resulted in an increase in net interest income for the third consecutive quarter. The net interest margin increased eight basis points to 2.49% compared to the preceding quarter. We will continue to proactively manage our funding costs and benefit from our liability sensitive balance sheet to support net interest margin growth. In the first quarter, core deposits increased $70.2 million, or 4.5%, and represented 70.0% of total deposits while the loan-to-deposit ratio decreased to 89.3%. During the same period, average funding costs decreased four basis points.

“We continue to focus on extending credit within our markets and servicing the needs of our existing customer base while ensuring new opportunities present the appropriate levels of risk and return. Consistent with our prudent credit culture, we continue to proactively identify and manage credit risk within the loan portfolio. Our asset quality remains strong, with nonaccrual loans at 0.29% of total loans as of March 31, 2025.

“The Company is considered to be well-capitalized, as defined by regulators and internal Company targets, and we remain disciplined in our capital management strategies. We continue to believe that buying back shares represents a valuable use of the Company’s capital. Today, we announced the 2025 Plan, which will commence upon the completion of the 2024 Plan. Our stock repurchase programs are an integral element of our capital management strategies. As such, we believe that repurchasing common stock enhances shareholder value. We are pleased to be able to continue to return value to shareholders through share repurchases.”

Hagan concluded, “Our commitment to strong capital and liquidity levels gives us a solid foundation to take advantage of opportunities in the markets we serve and to enhance shareholder value in the long term.”

Key Highlights:

Loans and Deposits

Total gross loans increased $9.3 million, or 0.4%, from $2.1 billion, or 77.9% of total assets, at December 31, 2024 to $2.1 billion, or 76.7% of total assets, at March 31, 2025. The increase in total gross loans was primarily driven by an increase in residential real estate loans, including home equity loans, of $8.1 million, or 1.0%, and an increase in commercial and industrial loans of $4.7 million, or 2.2%. These increases were partially offset by a decrease in commercial real estate loans of $3.0 million, or 0.3%, and a decrease in consumer loans of $526,000, or 12.0%.

At March 31, 2025, total deposits of $2.3 billion increased $66.0 million, or 2.9%, from December 31, 2024. Core deposits, which the Company defines as all deposits except time deposits, increased $70.2 million, or 4.5%, from $1.6 billion, or 68.9% of total deposits, at December 31, 2024, to $1.6 billion, or 70.0% of total deposits, at March 31, 2025. Time deposits decreased $4.3 million, or 0.6%, from $703.6 million at December 31, 2024 to $699.3 million at March 31, 2025. Brokered time deposits, which are included in time deposits, totaled $1.7 million at March 31, 2025 and at December 31, 2024. The loan-to-deposit ratio decreased from 91.5% at December 31, 2024 to 89.3% at March 31, 2025.

Liquidity

The Company’s liquidity position remains strong with solid core deposit relationships, cash, unencumbered securities, a diversified deposit base and access to diversified borrowing sources. At March 31, 2025, the Company had $1.1 billion in immediately available liquidity, compared to $665.6 million in uninsured deposits, or 28.6% of total deposits, representing a coverage ratio of 171.5%.

Uninsured deposits of the Bank’s customers are eligible for FDIC pass-through insurance if the customer opens an IntraFi Insured Cash Sweep account or a reciprocal time deposit through the Certificate of Deposit Account Registry System. IntraFi allows for up to $250.0 million per customer of pass-through FDIC insurance, which would more than cover each of the Bank’s deposit customers if such customer desired to have such pass-through insurance.

Allowance for Credit Losses and Credit Quality

At March 31, 2025, the allowance for credit losses was $19.7 million, or 0.95% of total loans, compared to $19.5 million, or 0.94% of total loans, at December 31, 2024. The allowance for loan losses, as a percentage of nonaccrual loans, was 327.1% and 362.9% at March 31, 2025 and December 31, 2024, respectively. At March 31, 2025, nonaccrual loans totaled $6.0 million, or 0.29% of total loans, compared to $5.4 million, or 0.26% of total loans, at December 31, 2024. Total delinquent loans decreased from $5.0 million, or 0.24% of total loans, at December 31, 2024 to $4.5 million, or 0.22% of total loans, at March 31, 2025. At March 31, 2025 and December 31, 2024, the Company did not have any other real estate owned.

Net Interest Margin

The net interest margin increased eight basis points from 2.41% for the three months ended December 31, 2024 to 2.49% for the three months ended March 31, 2025. The net interest margin, on a tax-equivalent basis, increased eight basis points from 2.43% for the three months ended December 31, 2024, compared to 2.51% for the three months ended March 31, 2025.

Stock Repurchase Program

On May 21, 2024, the Board of Directors authorized the 2024 Plan under which the Company may repurchase up to 1.0 million shares of its common stock, or approximately 4.6%, of the Company’s then-outstanding shares of common stock. During the three months ended March 31, 2025, the Company repurchased 206,709 shares of common stock under the 2024 Plan, with an average price per share of $9.12. As of March 31, 2025, there were 265,609 shares of common stock available for repurchase under the 2024 Plan.

On April 22, 2025, the Board of Directors authorized the 2025 Plan, pursuant to which the Company may repurchase up to 1.0 million shares of common stock, or approximately 4.8% of the Company’s outstanding shares as of the date the 2025 Plan was announced. Repurchases under the 2025 Plan will commence upon the completion of the 2024 Plan.

The repurchase of shares under the stock repurchase program is administered through an independent broker. The shares of common stock repurchased under both the 2024 Plan and the 2025 Plan have been and will continue to be, as applicable, purchased from time to time at prevailing market prices, through open market or privately negotiated transactions, or otherwise, depending upon market conditions. There is no guarantee as to the exact number, or value, of shares that will be repurchased by the Company, and the Company may discontinue repurchases at any time that the Company’s management (“Management”) determines additional repurchases are not warranted. The timing and amount of additional share repurchases under both the 2024 Plan and the 2025 Plan will depend on a number of factors, including the Company’s stock price performance, ongoing capital planning considerations, general market conditions, and applicable legal requirements.

Book Value and Tangible Book Value

At March 31, 2025, the Company’s book value per share was $11.44, compared to $11.30 at December 31, 2024, while tangible book value per share, a non-GAAP financial measure, increased $0.15, or 1.4%, from $10.63 at December 31, 2024 to $10.78 at March 31, 2025. See pages 16-17 for the related tangible book value calculation and a reconciliation of GAAP to non-GAAP financial measures.

Net Income for the Three Months Ended March 31, 2025 Compared to the Three Months Ended December 31, 2024.

For the three months ended March 31, 2025, the Company reported a decrease in net income of $985,000, or 30.0%, from $3.3 million, or $0.16 per diluted share, for the three months ended December 31, 2024, to $2.3 million, or $0.11 per diluted share. Net interest income increased $261,000, or 1.7%, the provision for credit losses increased $904,000, non-interest income decreased $495,000, or 15.2%, and non-interest expense increased $258,000, or 1.7%. Return on average assets and return on average equity were 0.35% and 3.94%, respectively, for the three months ended March 31, 2025, compared to 0.49% and 5.48%, respectively, for the three months ended December 31, 2024.

Net Interest Income and Net Interest Margin

On a sequential quarter basis, net interest income, our primary driver of revenues, increased $261,000, or 1.7%, to $15.5 million for the three months ended March 31, 2025, from $15.3 million for the three months ended December 31, 2024. The increase in net interest income was primarily due to a decrease in interest expense of $410,000, or 3.1%, partially offset by a decrease in interest income of $149,000, or 0.5%.

The average yield on interest-earning assets, without the impact of tax-equivalent adjustments, was 4.56% for the three months ended March 31, 2025, compared to 4.52% for the three months ended December 31, 2024. The average loan yield, without the impact of tax-equivalent adjustments, was 4.89% for the three months ended March 31, 2025, compared to 4.86% for the three months ended December 31, 2024. During the three months ended March 31, 2025, average interest-earning assets increased $12.7 million, or 0.5% to $2.5 billion, primarily due to an increase in average loans of $10.7 million, or 0.5%, and an increase in average securities of $3.9 million, or 1.1%.

The average cost of total funds, including non-interest bearing accounts and borrowings, decreased four basis points from 2.20% for the three months ended December 31, 2024 to 2.16% for the three months ended March 31, 2025. The average cost of core deposits, which the Company defines as all deposits except time deposits, increased 10 basis points to 1.08% for the three months ended March 31, 2025, from 0.98% for the three months ended December 31, 2024. The average cost of time deposits decreased 20 basis points from 4.31% for the three months ended December 31, 2024, to 4.11% for the three months ended March 31, 2025. The average cost of borrowings, including subordinated debt, was 5.04% for the three months ended December 31, 2024 and for the three months ended March 31, 2025. Average demand deposits, an interest-free source of funds, decreased $9.6 million, or 1.6%, from $579.2 million, or 25.6% of total average deposits, for the three months ended December 31, 2024, to $569.6 million, or 24.8% of total average deposits, for the three months ended March 31, 2025.

Provision for (Reversal of) Credit Losses

During the three months ended March 31, 2025, the Company recorded a provision for credit losses of $142,000, compared to a reversal of credit losses of $762,000 during the three months ended December 31, 2024. The increase was primarily due to changes in the most recent macroeconomic forecast. The provision for credit losses was also determined by a number of factors: the continued strong credit performance of the Company’s loan portfolio, changes in the loan portfolio mix and Management’s consideration of existing economic conditions. Management will continue to monitor macroeconomic variables related to the interest rate environment, changing tariff policies and concerns of an economic downturn. Management believes it is appropriately reserved for the current economic environment.

During the three months ended March 31, 2025, the Company recorded net charge-offs of $29,000, compared to net recoveries of $128,000 for the three months ended December 31, 2024.

Non-Interest Income

On a sequential quarter basis, non-interest income decreased $495,000, or 15.2%, to $2.8 million for the three months ended March 31, 2025, from $3.3 million for the three months ended December 31, 2024. During the three months ended March 31, 2025, service charges and fees on deposits decreased $17,000, or 0.7%, to $2.3 million from the three months ended December 31, 2024. Income from bank-owned life insurance (“BOLI”) decreased $13,000, or 2.7%, from the three months ended December 31, 2024 to $473,000 for the three months ended March 31, 2025. During the three months ended March 31, 2025, the Company reported a gain of $7,000 from mortgage banking activities, compared to a loss of $11,000 during the three months ended December 31, 2024. During the three months ended March 31, 2025, the Company reported unrealized losses on marketable equity securities of $5,000, compared to unrealized losses of $9,000, during the three months ended December 31, 2024. During the three months ended December 31, 2024, the Company reported gains on non-marketable equity investments of $300,000 and did not have comparable income during the three months ended March 31, 2025. During the three months ended December 31, 2024, the Company reported $187,000 in other income from loan-level swap fees on commercial loans and did not have comparable income during the three months ended March 31, 2025.

Non-Interest Expense

For the three months ended March 31, 2025, non-interest expense increased $258,000, or 1.7%, to $15.2 million from $14.9 million for the three months ended December 31, 2024. Occupancy expense increased $156,000, or 12.4%, primarily due to snow removal costs of $143,000. Advertising expense increased $119,000, or 38.4%, professional fees increased $75,000, or 15.9%, FDIC insurance expense increased $42,000, or 10.8%, and software related expenses increased $17,000, or 2.6%. These increases were partially offset by a decrease in furniture and equipment expense of $18,000, or 3.6%, a decrease in data processing expense of $18,000, or 2.0%, a decrease in debit card processing and ATM network costs of $16,000, or 2.7%, a decrease in salaries and related benefits of $16,000, or 0.2%, and a decrease in other non-interest expense of $83,000, or 5.8%.

For the three months ended March 31, 2025 and the three months ended December 31, 2024, the efficiency ratio was 83.0% and 80.6%, respectively. For the three months ended March 31, 2025, the adjusted efficiency ratio, a non-GAAP financial measure, was 83.0% compared to 81.9% for the three months ended December 31, 2024. The increases in the efficiency ratio and the adjusted efficiency ratio were driven by higher expenses and lower non-interest income during the three months ended March 31, 2025 compared to the three months ended December 31, 2024. The Company’s detailed reconciliation between the non-GAAP measure and the comparable GAAP amount are included at the end of this document. See pages 16-17 for the related adjusted efficiency ratio calculation and a reconciliation of GAAP to non-GAAP financial measures.

Income Tax Provision

Income tax expense for the three months ended March 31, 2025 was $664,000, with an effective tax rate of 22.4%, compared to $1.1 million, with an effective tax rate of 24.6%, for the three months ended December 31, 2024.

Net Income for the Three Months Ended March 31, 2025 Compared to the Three Months Ended March 31, 2024.

The Company reported net income of $2.3 million, or $0.11 per diluted share, for the three months ended March 31, 2025, compared to net income of $3.0 million, or $0.14 per diluted share, for the three months ended March 31, 2024. Net interest income increased $188,000, or 1.2%, provision for credit losses increased $692,000, non-interest income increased $85,000, or 3.2%, and non-interest expense increased $402,000, or 2.7%, during the same period. Return on average assets and return on average equity were 0.35% and 3.94%, respectively, for the three months ended March 31, 2025, compared to 0.47% and 5.04%, respectively, for the three months ended March 31, 2024.

Net Interest Income and Net Interest Margin

Net interest income increased $188,000, or 1.2%, to $15.5 million, for the three months ended March 31, 2025, from $15.3 million for the three months ended March 31, 2024. The increase in net interest income was due to an increase in interest and dividend income of $1.8 million, or 6.9%, partially offset by an increase in interest expense of $1.6 million, or 14.6%. The increase in interest expense was primarily due to an increase in average interest-bearing deposits of $156.1 million, or 9.9%, and an increase in the average cost of interest-bearing deposit accounts of 29 basis points from the three months ended March 31, 2024 to the three months ended March 31, 2025. As a result, the net interest margin decreased from 2.57% for the three months ended March 31, 2024, to 2.49% for the three months ended March 31, 2025. The net interest margin, on a tax-equivalent basis, was 2.51% for the three months ended March 31, 2025, compared to 2.59% for the three months ended March 31, 2024.

The average yield on interest-earning assets, without the impact of tax-equivalent adjustments, increased 11 basis points from 4.45% for the three months ended March 31, 2024 to 4.56% for the three months ended March 31, 2025. The average loan yield, without the impact of tax-equivalent adjustments, was 4.89% for the three months ended March 31, 2025, compared to 4.82% for the three months ended March 31, 2024. During the three months ended March 31, 2025, average interest-earning assets increased $126.6 million, or 5.3%, to $2.5 billion, primarily due to an increase in average loans of $51.8 million, or 2.6%, an increase in average short-term investments, consisting of cash and cash equivalents, of $66.7 million, an increase in average securities of $5.9 million, or 1.6%, and an increase in average other investments of $2.3 million, or 18.6%.

The average cost of total funds, including non-interest bearing accounts and borrowings, increased 19 basis points from 1.97% for the three months ended March 31, 2024, to 2.16% for the three months ended March 31, 2025. The average cost of core deposits, which the Company defines as all deposits except time deposits, increased 32 basis points from 0.76% for the three months ended March 31, 2024 to 1.08% for the three months ended March 31, 2025. The average cost of time deposits decreased one basis point from 4.12% for the three months ended March 31, 2024 to 4.11% for the three months ended March 31, 2025. The average cost of borrowings, including subordinated debt, increased 13 basis points from 4.91% for the three months ended March 31, 2024 to 5.04% for the three months ended March 31, 2025. Average demand deposits, an interest-free source of funds, increased $11.9 million, or 2.1%, from $557.7 million, or 26.1% of total average deposits, for the three months ended March 31, 2024, to $569.6 million, or 24.8% of total average deposits, for the three months ended March 31, 2025.

Provision for (Reversal of) Credit Losses

During the three months ended March 31, 2025, the Company recorded a provision for credit losses of $142,000, compared to a reversal of credit losses of $550,000 during the three months ended March 31, 2024. The increase was primarily due to changes in the most recent macroeconomic forecast. The provision for credit losses was also determined by a number of factors: the continued strong credit performance of the Company’s loan portfolio, changes in the loan portfolio mix and Management’s consideration of existing economic conditions. Management will continue to monitor macroeconomic variables related to the interest rate environment, the continued discussion on tariffs and the concerns of an economic downturn. Management believes it is appropriately reserved for the current economic environment.

During the three months ended March 31, 2025, the Company recorded net charge-offs of $29,000, compared to net recoveries of $67,000 for the three months ended March 31, 2024.

Non-Interest Income

Non-interest income increased $85,000, or 3.2%, from $2.7 million, for the three months ended March 31, 2024 to $2.8 million for the three months ended March 31, 2025, primarily due to a $65,000, or 2.9%, increase in service charges and fees and an increase in income from BOLI of $20,000, or 4.4%.

Non-Interest Expense

Non-interest expense increased $402,000, or 2.7%, from $14.8 million for the three months ended March 31, 2024 to $15.2 million for the three months ended March 31, 2025. Salaries and benefits increased $169,000, or 2.0%, advertising expense increased $80,000, or 22.9%, occupancy expense increased $49,000, or 3.6%, debit card processing and ATM network costs increased $25,000, or 4.5%, FDIC insurance expense increased $21,000, or 5.1%, data processing expense increased $20,000, or 2.3%, furniture and equipment expense increased $3,000, or 0.6%, and other non-interest expense increased $98,000, or 7.8%. These increases were partially offset by a decrease in software related expenses of $40,000, or 5.7%, and a decrease in professional fees of $23,000, or 4.0%.

For the three months ended March 31, 2025 and the three months ended March 31, 2024, the efficiency ratio was 83.0% and 82.0%, respectively. For the three months ended March 31, 2025, the adjusted efficiency ratio, a non-GAAP financial measure, was 83.0% compared to 82.0% for the three months ended March 31, 2024. The increases in the efficiency ratio and the adjusted efficiency ratio were driven by higher expenses during the three months ended March 31, 2025 compared to the three months ended March 31, 2024. See pages 16-17 for the efficiency ratio calculation and a reconciliation of GAAP to non-GAAP financial measures.

Income Tax Provision

For the three months ended March 31, 2025, income tax expense was $664,000, with an effective tax rate of 22.4%, compared to $827,000, with an effective tax rate of 21.8%, for the three months ended March 31, 2024.

Balance Sheet

At March 31, 2025, total assets were $2.7 billion, an increase of $56.2 million, or 2.1%, from December 31, 2024. The increase in total assets was primarily due to an increase in total gross loans of $9.3 million, or 0.4%, an increase in cash and cash equivalents of $44.1 million, or 66.4%, and an increase in investment securities of $3.6 million, or 1.0%.

Investments

At March 31, 2025, the investment securities portfolio totaled $369.8 million, or 13.6% of total assets, compared to $366.1 million, or 13.8% of total assets, at December 31, 2024. At March 31, 2025, the Company’s available-for-sale securities portfolio, recorded at fair market value, increased $7.1 million, or 4.4%, from $160.7 million at December 31, 2024 to $167.8 million. The held-to-maturity securities portfolio, recorded at amortized cost, decreased $3.4 million, or 1.7%, from $205.0 million at December 31, 2024 to $201.6 million at March 31, 2025.

At March 31, 2025, the Company reported unrealized losses on the available-for-sale securities portfolio of $27.8 million, or 14.2% of the amortized cost basis of the available-for-sale securities portfolio, compared to unrealized losses of $31.2 million, or 16.2% of the amortized cost basis of the available-for-sale securities at December 31, 2024. At March 31, 2025, the Company reported unrealized losses on the held-to-maturity securities portfolio of $35.8 million, or 17.8% of the amortized cost basis of the held-to-maturity securities portfolio, compared to $39.4 million, or 19.2% of the amortized cost basis of the held-to-maturity securities portfolio at December 31, 2024.

The securities in which the Company may invest are limited by regulation. Federally chartered savings banks have authority to invest in various types of assets, including U.S. Treasury obligations, securities of various government-sponsored enterprises, mortgage-backed securities, certain certificates of deposit of insured financial institutions, repurchase agreements, overnight and short-term loans to other banks, corporate debt instruments and marketable equity securities. The securities, with the exception of $8.7 million in corporate bonds, are issued by the United States government or government-sponsored enterprises and are therefore either explicitly or implicitly guaranteed as to the timely payment of contractual principal and interest. These positions are deemed to have no credit impairment, therefore, the disclosed unrealized losses with the securities portfolio relate primarily to changes in prevailing interest rates. In all cases, price improvement in future periods will be realized as the issuances approach maturity.

Management regularly reviews the portfolio for securities in an unrealized loss position. At March 31, 2025 and December 31, 2024, the Company did not record any credit impairment charges on its securities portfolio and attributed the unrealized losses primarily due to fluctuations in general interest rates or changes in expected prepayments and not due to credit quality. The primary objective of the Company’s investment portfolio is to provide liquidity and to secure municipal deposit accounts while preserving the safety of principal. The available-for-sale and held-to-maturity portfolios are both eligible for pledging to the Federal Home Loan Bank (“FHLB”) as collateral for borrowings. The portfolios are comprised of high-credit quality investments and both portfolios generated cash flows monthly from interest, principal amortization and payoffs, which support’s the Bank’s objective to provide liquidity.

Total Loans

The following table presents a summary of the loan portfolio by the major classification of loans at the periods indicated:

	March 31, 2025		December 31, 2024
	(Dollars in thousands)

Commercial real estate loans:
Non-owner occupied	$	881,105	$	880,828
Owner-occupied		191,582		194,904
Total commercial real estate loans		1,072,687		1,075,732

Residential real estate loans:
Residential		659,984		653,802
Home equity		123,804		121,857
Total residential real estate loans		783,788		775,659

Commercial and industrial loans		216,368		211,656

Consumer loans		3,865		4,391
Total gross loans		2,076,708		2,067,438
Unamortized premiums and net deferred loans fees and costs		2,853		2,751
Total loans	$	2,079,561	$	2,070,189

Credit Quality

Management continues to closely monitor the loan portfolio for any signs of deterioration in borrowers’ financial condition and also in light of speculation that commercial real estate values may deteriorate as the market continues to adjust to higher vacancies and interest rates. We continue to proactively take steps to mitigate risk in our loan portfolio.

Total delinquency was $4.5 million, or 0.22% of total loans, at March 31, 2025, compared to $5.0 million, or 0.24% of total loans at December 31, 2024. At March 31, 2025, nonaccrual loans totaled $6.0 million, or 0.29% of total loans, compared to $5.4 million, or 0.26% of total loans, at December 31, 2024. At March 31, 2025 and December 31, 2024, there were no loans 90 or more days past due and still accruing interest. Total nonaccrual assets totaled $6.0 million, or 0.22% of total assets, at March 31, 2025, compared to $5.4 million, or 0.20% of total assets, at December 31, 2024. At March 31, 2025 and December 31, 2024, the Company did not have any other real estate owned.

At March 31, 2025, the allowance for credit losses was $19.7 million, or 0.95% of total loans and 327.1% of nonaccrual loans, compared to $19.5 million, or 0.94% of total loans and 362.9% of nonaccrual loans, at December 31, 2024. Total criticized loans, defined as special mention and substandard loans, decreased $2.1 million, or 5.5%, from $38.4 million, or 1.9% of total loans, at December 31, 2024 to $36.3 million, or 1.7% of total loans, at March 31, 2025.

Our commercial real estate portfolio is comprised of diversified property types and primarily within our geographic footprint. At March 31, 2025, the commercial real estate portfolio totaled $1.1 billion, and represented 51.7% of total loans. Of the $1.1 billion, $881.1 million, or 82.1%, was categorized as non-owner occupied commercial real estate and represented 325.8% of the Bank’s total risk-based capital. More details on the diversification of the loan portfolio are available in the supplementary earnings presentation.

Deposits

At March 31, 2025, total deposits were $2.3 billion and increased $66.0 million, or 2.9%, from December 31, 2024. Core deposits, which the Company defines as all deposits except time deposits, increased $70.2 million, or 4.5%, from $1.6 billion, or 68.9% of total deposits, at December 31, 2024, to $1.6 billion, or 70.0% of total deposits, at March 31, 2025. Non-interest-bearing deposits increased $24.4 million, or 4.3%, to $590.0 million, and represent 25.3% of total deposits, money market accounts increased $45.7 million, or 6.9%, to $707.2 million, savings accounts increased $9.8 million, or 5.4%, to $191.4 million and interest-bearing checking accounts decreased $9.6 million, or 6.4%, to $140.8 million.

Time deposits decreased $4.3 million, or 0.6%, from $703.6 million at December 31, 2024 to $699.3 million at March 31, 2025. Brokered time deposits, which are included in time deposits, totaled $1.7 million at March 31, 2025 and at December 31, 2024. The Company has experienced growth and movement in both money market accounts and non-interest-bearing deposits as a result of seasonal customer behaviors, relationship pricing, and the current interest rate environment, as opposed to time deposit specials or interest rate adjustments. We continue our disciplined and focused approach to core relationship management and customer outreach to meet funding requirements and liquidity needs, with an emphasis on retaining a long-term core customer relationship base by competing for and retaining deposits in our local market. At March 31, 2025, the Bank’s uninsured deposits totaled $665.6 million, or 28.6% of total deposits, compared to $643.6 million, or 28.4% of total deposits, at December 31, 2024.

The table below is a summary of our deposit balances for the periods noted:

	March 31, 2025		December 31, 2024		March 31, 2024
	(Dollars in thousands)
Core Deposits:
Demand accounts	$	589,996	$	565,620	$	559,928
Interest-bearing accounts		140,769		150,348		125,377
Savings accounts		191,398		181,618		190,732
Money market accounts		707,153		661,478		624,474
Total Core Deposits	$	1,629,316	$	1,559,064	$	1,500,511
Time Deposits:		699,277		703,583		643,236
Total Deposits:	$	2,328,593	$	2,262,647	$	2,143,747

FHLB and Subordinated Debt

At March 31, 2025, total borrowings decreased $860,000, or 0.7%, from $123.1 million at December 31, 2024 to $122.3 million. At March 31, 2025, short-term borrowings decreased $870,000, or 16.1%, to $4.5 million, compared to $5.4 million at December 31, 2024. Long-term borrowings were $98.0 million at March 31, 2025 and December 31, 2024. At March 31, 2025 and December 31, 2024, borrowings also consisted of $19.8 million in fixed-to-floating rate subordinated notes.

As of March 31, 2025, the Company had $447.5 million of additional borrowing capacity at the FHLB, $378.5 million of additional borrowing capacity under the Federal Reserve Bank Discount Window and $25.0 million of other unsecured lines of credit with correspondent banks.

Capital

At March 31, 2025, shareholders’ equity was $237.7 million, or 8.8% of total assets, compared to $235.9 million, or 8.9% of total assets, at December 31, 2024. The change was primarily attributable to a decrease in accumulated other comprehensive loss of $2.6 million, cash dividends paid of $1.4 million, repurchase of shares at a cost of $2.0 million, partially offset by net income of $2.3 million. At March 31, 2025, total shares outstanding were 20,774,319. The Company’s regulatory capital ratios continue to be strong and in excess of regulatory minimum requirements to be considered well-capitalized as defined by regulators and internal Company targets.

	March 31, 2025				December 31, 2024
	Company		Bank		Company		Bank
Total Capital (to Risk Weighted Assets)	14.28	%	13.56	%	14.38	%	13.65	%
Tier 1 Capital (to Risk Weighted Assets)	12.27	%	12.55	%	12.37	%	12.64	%
Common Equity Tier 1 Capital (to Risk Weighted Assets)	12.27	%	12.55	%	12.37	%	12.64	%
Tier 1 Leverage Ratio (to Adjusted Average Assets)	9.06	%	9.26	%	9.14	%	9.34	%

Dividends

Although the Company has historically paid quarterly dividends on its common stock and currently intends to continue to pay such dividends, the Company’s ability to pay such dividends depends on a number of factors, including restrictions under federal laws and regulations on the Company’s ability to pay dividends, and as a result, there can be no assurance that dividends will continue to be paid in the future.

About Western New England Bancorp, Inc.

Western New England Bancorp, Inc. is a Massachusetts-chartered stock holding company and the parent company of Westfield Bank, CSB Colts, Inc., Elm Street Securities Corporation, WFD Securities, Inc. and WB Real Estate Holdings, LLC. Western New England Bancorp, Inc. and its subsidiaries are headquartered in Westfield, Massachusetts and operate 25 banking offices throughout western Massachusetts and northern Connecticut. To learn more, visit our website at www.westfieldbank.com.

Forward-Looking Statements

This press 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, with respect to the Company’s financial condition, liquidity, results of operations, future performance, and business. Forward-looking statements may be identified by the use of such words as “believe,” “expect,” “anticipate,” “should,” “planned,” “estimated,” and “potential.” Examples of forward-looking statements include, but are not limited to, estimates with respect to our financial condition, results of operations and business that are subject to various factors which could cause actual results to differ materially from these estimates. These factors include, but are not limited to:

unpredictable changes in general economic or political conditions, financial markets, fiscal, monetary and regulatory policies, including actual or potential stress in the banking industry;
the duration and scope of potential pandemics, including the emergence of new variants and the response thereto;
unstable political and economic conditions, including changes in tariff policies, which could materially impact credit quality trends and the ability to generate loans and gather deposits;
inflation and governmental responses to inflation, including recent sustained increases and potential future increases in interest rates that reduce margins;
the effect on our operations of governmental legislation and regulation, including changes in accounting regulation or standards, the nature and timing of the adoption and effectiveness of new requirements under the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, Basel guidelines, capital requirements and other applicable laws and regulations;
significant changes in accounting, tax or regulatory practices or requirements;
new legal obligations or liabilities or unfavorable resolutions of litigation;
disruptive technologies in payment systems and other services traditionally provided by banks;
the highly competitive industry and market area in which we operate;
operational risks or risk management failures by us or critical third parties, including without limitation with respect to data processing, information systems, cybersecurity, technological changes, vendor issues, business interruption, and fraud risks;
failure or circumvention of our internal controls or procedures;
changes in the securities markets which affect investment management revenues;
increases in Federal Deposit Insurance Corporation deposit insurance premiums and assessments;
the soundness of other financial services institutions which may adversely affect our credit risk;
certain of our intangible assets may become impaired in the future;
new lines of business or new products and services, which may subject us to additional risks;
changes in key management personnel which may adversely impact our operations;
severe weather, natural disasters, acts of war or terrorism and other external events which could significantly impact our business; and
other risk factors detailed from time to time in our SEC filings.

Although we believe that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from the results discussed in these forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. We do not undertake any obligation to republish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except to the extent required by law.

WESTERN NEW ENGLAND BANCORP, INC. AND SUBSIDIARIES Consolidated Statements of Net Income and Other Data (Dollars in thousands, except per share data) (Unaudited)

	Three Months Ended
	March 31,			December 31,				September 30,				June 30,				March 31,
		2025				2024				2024				2024				2024
INTEREST AND DIVIDEND INCOME:
Loans	$	24,984			$	25,183			$	25,134			$	24,340			$	24,241
Securities		2,422				2,273				2,121				2,141				2,114
Other investments		191				214				189				148				136
Short-term investments		840				916				396				173				113
Total interest and dividend income		28,437				28,586				27,840				26,802				26,604

INTEREST EXPENSE:
Deposits		11,376				11,443				11,165				10,335				9,293
Short-term borrowings		54				60				71				186				283
Long-term debt		1,219				1,557				1,622				1,557				1,428
Subordinated debt		254				253				254				254				254
Total interest expense		12,903				13,313				13,112				12,332				11,258

Net interest and dividend income		15,534				15,273				14,728				14,470				15,346

PROVISION FOR (REVERSAL OF) CREDIT LOSSES		142				(762	)			941				(294	)			(550	)

Net interest and dividend income after provision for (reversal of) credit losses		15,392				16,035				13,787				14,764				15,896

NON-INTEREST INCOME:
Service charges and fees on deposits		2,284				2,301				2,341				2,341				2,219
Income from bank-owned life insurance		473				486				470				502				453
Unrealized (loss) gain on marketable equity securities		(5	)			(9	)			10				4				8
Gain (loss) on sale of mortgages		7				(11	)			246				–				–
Gain on non-marketable equity investments		–				300				–				987				–
Loss on disposal of premises and equipment		–				–				–				–				(6	)
Other income		–				187				74				–				–
Total non-interest income		2,759				3,254				3,141				3,834				2,674

NON-INTEREST EXPENSE:
Salaries and employees’ benefits		8,413				8,429				8,112				7,901				8,244
Occupancy		1,412				1,256				1,217				1,218				1,363
Furniture and equipment		487				505				483				483				484
Data processing		882				900				869				846				862
Software		659				642				612				566				699
Debit/ATM card processing expense		577				593				649				643				552
Professional fees		546				471				540				581				569
FDIC insurance		431				389				338				323				410
Advertising		429				310				271				339				349
Other		1,348				1,431				1,315				1,414				1,250
Total non-interest expense		15,184				14,926				14,406				14,314				14,782

INCOME BEFORE INCOME TAXES		2,967				4,363				2,522				4,284				3,788

INCOME TAX PROVISION		664				1,075				618				771				827
NET INCOME	$	2,303			$	3,288			$	1,904			$	3,513			$	2,961

Basic earnings per share	$	0.11			$	0.16			$	0.09			$	0.17			$	0.14
Weighted average shares outstanding		20,385,481				20,561,749				20,804,162				21,056,173				21,180,968
Diluted earnings per share	$	0.11			$	0.16			$	0.09			$	0.17			$	0.14
Weighted average diluted shares outstanding		20,514,098				20,701,276				20,933,833				21,163,762				21,271,323

Other Data:
Return on average assets (1)		0.35	%			0.49	%			0.29	%			0.55	%			0.47	%
Return on average equity (1)		3.94	%			5.48	%			3.19	%			6.03	%			5.04	%
Efficiency ratio		83.00	%			80.56	%			80.62	%			78.20	%			82.03	%
Adjusted efficiency ratio (2)		82.98	%			81.85	%			80.67	%			82.68	%			82.04	%
Net interest margin		2.49	%			2.41	%			2.40	%			2.42	%			2.57	%
Net interest margin, on a fully tax-equivalent basis		2.51	%			2.43	%			2.42	%			2.44	%			2.59	%
(1) Annualized.
(2) The adjusted efficiency ratio (non-GAAP) represents the ratio of operating expenses divided by the sum of net interest and dividend income and non-interest income, excluding realized and unrealized gains and losses on securities, gain on non-marketable equity investments, and loss on disposal of premises and equipment.

WESTERN NEW ENGLAND BANCORP, INC. AND SUBSIDIARIES Consolidated Balance Sheets (Dollars in thousands) (Unaudited)

	March 31,			December 31,			September 30,			June 30,			March 31,
		2025			2024			2024			2024			2024
Cash and cash equivalents	$	110,579		$	66,450		$	72,802		$	53,458		$	22,613
Securities available-for-sale, at fair value		167,800			160,704			155,889			135,089			138,362
Securities held to maturity, at amortized cost		201,557			205,036			213,266			217,632			221,242
Marketable equity securities, at fair value		414			397			252			233			222
Federal Home Loan Bank of Boston and other restricted stock – at cost		5,818			5,818			7,143			7,143			3,105

Loans		2,079,561			2,070,189			2,049,002			2,026,226			2,025,566
Allowance for credit losses		(19,669	)		(19,529	)		(19,955	)		(19,444	)		(19,884	)
Net loans		2,059,892			2,050,660			2,029,047			2,006,782			2,005,682

Bank-owned life insurance		77,529			77,056			76,570			76,100			75,598
Goodwill		12,487			12,487			12,487			12,487			12,487
Core deposit intangible		1,344			1,438			1,531			1,625			1,719
Other assets		71,864			73,044			71,492			75,521			76,206
TOTAL ASSETS	$	2,709,284		$	2,653,090		$	2,640,479		$	2,586,070		$	2,557,236

Total deposits	$	2,328,593		$	2,262,647		$	2,224,206		$	2,171,809		$	2,143,747
Short-term borrowings		4,520			5,390			4,390			6,570			11,470
Long-term debt		98,000			98,000			128,277			128,277			120,646
Subordinated debt		19,761			19,751			19,741			19,731			19,722
Securities pending settlement		2,093			8,622			2,513			102			–
Other liabilities		18,641			22,770			20,697			23,104			25,855
TOTAL LIABILITIES		2,471,608			2,417,180			2,399,824			2,349,593			2,321,440

TOTAL SHAREHOLDERS’ EQUITY		237,676			235,910			240,655			236,477			235,796
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	2,709,284		$	2,653,090		$	2,640,479		$	2,586,070		$	2,557,236

WESTERN NEW ENGLAND BANCORP, INC. AND SUBSIDIARIES Other Data (Dollars in thousands, except per share data) (Unaudited)

	Three Months Ended
	March 31,			December 31,			September 30,			June 30,			March 31,
		2025			2024			2024			2024			2024
Shares outstanding at end of period		20,774,319			20,875,713			21,113,408			21,357,849			21,627,690

Operating results:
Net interest income	$	15,534		$	15,273		$	14,728		$	14,470		$	15,346
Provision for (reversal of) credit losses		142			(762	)		941			(294	)		(550	)
Non-interest income		2,759			3,254			3,141			3,834			2,674
Non-interest expense		15,184			14,926			14,406			14,314			14,782
Income before income provision for income taxes		2,967			4,363			2,522			4,284			3,788
Income tax provision		664			1,075			618			771			827
Net income		2,303			3,288			1,904			3,513			2,961

Performance Ratios:
Net interest margin		2.49	%		2.41	%		2.40	%		2.42	%		2.57	%
Net interest margin, on a fully tax-equivalent basis		2.51	%		2.43	%		2.42	%		2.44	%		2.59	%
Interest rate spread		1.74	%		1.63	%		1.60	%		1.66	%		1.85	%
Interest rate spread, on a fully tax-equivalent basis		1.76	%		1.65	%		1.62	%		1.67	%		1.86	%
Return on average assets		0.35	%		0.49	%		0.29	%		0.55	%		0.47	%
Return on average equity		3.94	%		5.48	%		3.19	%		6.03	%		5.04	%
Efficiency ratio (GAAP)		83.00	%		80.56	%		80.62	%		78.20	%		82.03	%
Adjusted efficiency ratio (non-GAAP)⁽¹⁾		82.98	%		81.85	%		80.67	%		82.68	%		82.04	%

Per Common Share Data:
Basic earnings per share	$	0.11		$	0.16		$	0.09		$	0.17		$	0.14
Earnings per diluted share		0.11			0.16			0.09			0.17			0.14
Cash dividend declared		0.07			0.07			0.07			0.07			0.07
Book value per share		11.44			11.30			11.40			11.07			10.90
Tangible book value per share (non-GAAP)⁽²⁾		10.78			10.63			10.73			10.41			10.25

Asset Quality:
30-89 day delinquent loans	$	2,459		$	3,694		$	3,059		$	3,270		$	3,000
90 days or more delinquent loans		2,027			1,301			1,253			2,280			1,716
Total delinquent loans		4,486			4,995			4,312			5,550			4,716
Total delinquent loans as a percentage of total loans		0.22	%		0.24	%		0.21	%		0.27	%		0.23	%
Nonaccrual loans	$	6,014		$	5,381		$	4,873		$	5,845		$	5,837
Nonaccrual loans as a percentage of total loans		0.29	%		0.26	%		0.24	%		0.29	%		0.29	%
Nonaccrual assets as a percentage of total assets		0.22	%		0.20	%		0.18	%		0.23	%		0.23	%
Allowance for credit losses as a percentage of nonaccrual loans		327.05	%		362.93	%		409.50	%		332.66	%		340.65	%
Allowance for credit losses as a percentage of total loans		0.95	%		0.94	%		0.97	%		0.96	%		0.98	%
Net loan charge-offs (recoveries)	$	29		$	(128	)	$	98		$	10		$	(67	)
Net loan charge-offs (recoveries) as a percentage of average loans		0.00	%		(0.01	)%		0.00	%		0.00	%		0.00	%
(1) The adjusted efficiency ratio (non-GAAP) represents the ratio of operating expenses divided by the sum of net interest and dividend income and non-interest income, excluding realized and unrealized gains and losses on securities, gains on non-marketable equity investments, and loss on disposal of premises and equipment.
(2) Tangible book value per share (non-GAAP) represents the value of the Company’s tangible assets divided by its current outstanding shares.

The following table sets forth the information relating to our average balances and net interest income for the three months ended March 31, 2025, December 31, 2024 and March 31, 2024 and reflects the average yield on interest-earning assets and average cost of interest-bearing liabilities for the periods indicated.

	Three Months Ended
	March 31, 2025									December 31, 2024								March 31, 2024
	Average						Average Yield/			Average					Average Yield/			Average					Average Yield/
	Balance		Interest				Cost ⁽⁸⁾			Balance		Interest			Cost ⁽⁸⁾			Balance		Interest			Cost ⁽⁸⁾
	(Dollars in thousands)
ASSETS:
Interest-earning assets
Loans(1)(2)	$	2,073,486		$	25,105			4.91	%	$	2,062,822	$	25,311			4.88	%	$	2,021,713	$	24,351			4.84	%
Securities(2)		365,371			2,422			2.69			361,476		2,273			2.50			359,493		2,114			2.37
Other investments		14,819			191			5.23			15,924		214			5.35			12,494		136			4.38
Short-term investments(3)		76,039			840			4.48			76,795		916			4.75			9,386		113			4.84
Total interest-earning assets		2,529,715			28,558			4.58			2,517,017		28,714			4.54			2,403,086		26,714			4.47
Total non-interest-earning assets		156,733									155,538								154,410
Total assets	$	2,686,448								$	2,672,555							$	2,557,496

LIABILITIES AND EQUITY:
Interest-bearing liabilities
Interest-bearing checking accounts	$	140,960			250			0.72		$	149,231		264			0.70		$	135,559		234			0.69
Savings accounts		183,869			40			0.09			179,122		38			0.08			186,125		39			0.08
Money market accounts		704,215			3,968			2.29			654,965		3,553			2.16			626,267		2,587			1.66
Time deposit accounts		702,748			7,118			4.11			700,324		7,588			4.31			627,699		6,433			4.12
Total interest-bearing deposits		1,731,792			11,376			2.66			1,683,642		11,443			2.70			1,575,650		9,293			2.37
Short-term borrowings and long-term debt		122,786			1,527			5.04			147,748		1,870			5.04			160,802		1,965			4.91
Interest-bearing liabilities		1,854,578			12,903			2.82			1,831,390		13,313			2.89			1,736,452		11,258			2.61
Non-interest-bearing deposits		569,638									579,168								557,711
Other non-interest-bearing liabilities		25,464									23,380								27,078
Total non-interest-bearing liabilities		595,102									602,548								584,789
Total liabilities		2,449,680									2,433,938								2,321,241
Total equity		236,768									238,617								236,255
Total liabilities and equity	$	2,686,448								$	2,672,555							$	2,557,496
Less: Tax-equivalent adjustment(2)					(121	)							(128	)							(110	)
Net interest and dividend income				$	15,534							$	15,273							$	15,346
Net interest rate spread(4)								1.74	%							1.63	%							1.85	%
Net interest rate spread, on a tax-equivalent basis(5)								1.76	%							1.65	%							1.86	%
Net interest margin(6)								2.49	%							2.41	%							2.57	%
Net interest margin, on a tax-equivalent basis(7)								2.51	%							2.43	%							2.59	%
Ratio of average interest-earning assets to average interest-bearing liabilities								136.40	%							137.44	%							138.39	%
(1) Loans, including nonaccrual loans, are net of deferred loan origination costs and unadvanced funds.
(2) Loan and securities income are presented on a tax-equivalent basis using a tax rate of 21%. The tax-equivalent adjustment is deducted from tax-equivalent net interest and dividend income to agree to the amount reported on the consolidated statements of net income.
(3) Short-term investments include federal funds sold.
(4) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities.
(5) Net interest rate spread, on a tax-equivalent basis, represents the difference between the tax-equivalent weighted average yield on interest-earning assets and the tax-equivalent weighted average cost of interest-bearing liabilities.
(6) Net interest margin represents net interest and dividend income as a percentage of average interest-earning assets.
(7) Net interest margin, on a tax-equivalent basis, represents tax-equivalent net interest and dividend income as a percentage of average interest-earning assets.
(8) Annualized.

Reconciliation of Non-GAAP to GAAP Financial Measures

The Company believes that certain non-GAAP financial measures provide information to investors that is useful in understanding its results of operations and financial condition. Because not all companies use the same calculation, this presentation may not be comparable to other similarly titled measures calculated by other companies. A reconciliation of these non-GAAP financial measures is provided below.

	For the quarter ended
	3/31/2025			12/31/2024			9/30/2024			6/30/2024			3/31/2024
	(Dollars in thousands)

Loan interest (no tax adjustment)	$	24,984		$	25,183		$	25,134		$	24,340		$	24,241
Tax-equivalent adjustment		121			128			119			114			110
Loan interest (tax-equivalent basis)	$	25,105		$	25,311		$	25,253		$	24,454		$	24,351

Net interest income (no tax adjustment)	$	15,534		$	15,273		$	14,728		$	14,470		$	15,346
Tax equivalent adjustment		121			128			119			114			110
Net interest income (tax-equivalent basis)	$	15,655		$	15,401		$	14,847		$	14,584		$	15,456

Average interest-earning assets	$	2,529,715		$	2,517,017		$	2,441,236		$	2,400,633		$	2,403,086
Net interest margin (no tax adjustment)		2.49	%		2.41	%		2.40	%		2.42	%		2.57	%
Net interest margin, tax-equivalent		2.51	%		2.43	%		2.42	%		2.44	%		2.59	%

Book Value per Share (GAAP)	$	11.44		$	11.30		$	11.40		$	11.07		$	10.90
Non-GAAP adjustments:
Goodwill		(0.60	)		(0.60	)		(0.59	)		(0.58	)		(0.58	)
Core deposit intangible		(0.06	)		(0.07	)		(0.08	)		(0.08	)		(0.07	)
Tangible Book Value per Share (non-GAAP)	$	10.78		$	10.63		$	10.73		$	10.41		$	10.25

	For the quarter ended
	3/31/2025			12/31/2024			9/30/2024			6/30/2024			3/31/2024
	(Dollars in thousands)

Efficiency Ratio:
Non-interest Expense (GAAP)	$	15,184		$	14,926		$	14,406		$	14,314		$	14,782

Net Interest Income (GAAP)	$	15,534		$	15,273		$	14,728		$	14,470		$	15,346

Non-interest Income (GAAP)	$	2,759		$	3,254		$	3,141		$	3,834		$	2,674
Non-GAAP adjustments:
Unrealized losses (gains) on marketable equity securities		5			9			(10	)		(4	)		(8	)
Gain on non-marketable equity investments		–			(300	)		–			(987	)		–
Loss on disposal of premises and equipment		–			–			–			–			6
Non-interest Income for Adjusted Efficiency Ratio (non-GAAP)	$	2,764		$	2,963		$	3,131		$	2,843		$	2,672
Total Revenue for Adjusted Efficiency Ratio (non-GAAP)	$	18,298		$	18,236		$	17,859		$	17,313		$	18,018

Efficiency Ratio (GAAP)		83.00	%		80.56	%		80.62	%		78.20	%		82.03	%

Adjusted Efficiency Ratio (Non-interest Expense (GAAP)/Total Revenue for Adjusted Efficiency Ratio (non-GAAP))		82.98	%		81.85	%		80.67	%		82.68	%		82.04	%

For further information contact:

James C. Hagan, President and CEO
Guida R. Sajdak, Executive Vice President and CFO
Meghan Hibner, First Vice President and Investor Relations Officer
413-568-1911

April 22, 2025 4:24 pm

Agree Realty Corporation Reports First Quarter 2025 Results

PR Newswire

Raises 2025 Investment Guidance to $1.3 Billion to $1.5 Billion

Increases 2025 AFFO Per Share Guidance to $4.27 to $4.30

ROYAL OAK, Mich.
, April 22, 2025 /PRNewswire/ — Agree Realty Corporation (NYSE: ADC) (the “Company”) today announced results for the quarter ended March 31, 2025. All per share amounts included herein are on a diluted per common share basis unless otherwise stated.

First Quarter 2025 Financial and Operating Highlights:

Invested approximately $377 million in 69 retail net lease properties
Commenced four development or Developer Funding Platform (“DFP”) projects for total committed capital of approximately $24 million
Net Income per share attributable to common stockholders decreased 2.0% to $0.42
Core Funds from Operations (“Core FFO”) per share increased 3.1% to $1.04
Adjusted Funds from Operations (“AFFO”) per share increased 3.0% to $1.06
Declared an increased monthly dividend of $0.256 per common share for April, a 2.4% year-over-year increase
Sold 2.4 million shares of common stock via the forward component of the Company’s at-the-market equity (“ATM”) program for anticipated net proceeds of approximately $181 million
Settled 2.7 million shares of outstanding forward equity for net proceeds of approximately $183 million
Established a $625 million unsecured commercial paper program
Balance sheet well positioned at 3.4 times proforma net debt to recurring EBITDA; 4.9 times excluding unsettled forward equity
Ended the quarter with approximately $1.9 billion of total liquidity including availability on the revolving credit facility, outstanding forward equity, and cash on hand

Financial Results

Net Income Attributable to Common Stockholders

Net Income for the three months ended March 31, 2025 increased 5.0% to $45.1 million, compared to $43.0 million for the comparable period in 2024. Net Income per share for the three months ended March 31^st decreased 2.0% to $0.42 compared to $0.43 for the comparable period in 2024.

Core FFO

Core FFO for the three months ended March 31, 2025 increased 10.5% to $112.7 million, compared to Core FFO of $102.0 million for the comparable period in 2024. Core FFO per share for the three months ended March 31^st increased 3.1% to $1.04, compared to Core FFO per share of $1.01 for the comparable period in 2024.

AFFO

AFFO for the three months ended March 31, 2025 increased 10.4% to $114.0 million, compared to AFFO of $103.3 million for the comparable period in 2024. AFFO per share for the three months ended March 31^st increased 3.0% to $1.06, compared to AFFO per share of $1.03 for the comparable period in 2024.

Dividend

In the first quarter, the Company declared monthly cash dividends of $0.253 per common share for each of January, February and March 2025. The monthly dividends declared during the first quarter reflect an annualized dividend amount of $3.036 per common share, representing a 2.4% increase over the annualized dividend amount of $2.964 per common share from the first quarter of 2024. The dividends represent payout ratios of approximately 73% of Core FFO per share and 72% of AFFO per share, respectively.

Subsequent to quarter end, the Company declared an increased monthly cash dividend of $0.256 per common share for April 2025. The April monthly dividend reflects an annualized dividend amount of $3.072 per common share, representing a 2.4% increase over the annualized dividend amount of $3.00 per common share from the second quarter of 2024. The April dividend is payable on May 14, 2025 to stockholders of record at the close of business on April 30, 2025.

Additionally, subsequent to quarter end, the Company declared a monthly cash dividend on its 4.25% Series A Cumulative Redeemable Preferred Stock of $0.08854 per depositary share, which is equivalent to $1.0625 per annum. The dividend is payable on May 1, 2025 to stockholders of record at the close of business on April 21, 2025.

Earnings Guidance

The table below provides estimates for significant components of our 2025 earnings guidance. In addition, the AFFO per share guidance range includes an estimate for the dilutive impact of the Company’s outstanding forward equity calculated in accordance with the treasury stock method.

	Prior 2025 Guidance⁽¹⁾		Revised 2025 Guidance

AFFO per share⁽²⁾		$4.26 to $4.30	$4.27 to $4.30
General and administrative expenses (% of adjusted revenue)⁽³⁾		5.6% to 5.9%	5.6% to 5.9%
Non-reimbursable real estate expenses (% of adjusted revenue)⁽³⁾		1.0% to 1.5%	1.0% to 1.5%
Income and other tax expense		$3 to $4 million	$3 to $4 million
Investment volume		$1.1 to $1.3 billion	$1.3 to $1.5 billion
Disposition volume		$10 to $50 million	$10 to $50 million

The Company’s 2025 guidance is subject to risks and uncertainties more fully described in this press release and in the Company’s filings with the Securities and Exchange Commission.

(1)
As issued on February 11, 2025.

(2)
The Company does not provide guidance with respect to the most directly comparable GAAP financial measure or provide reconciliations to GAAP from its forward-looking non-GAAP financial measure of AFFO per share guidance due to the inherent difficulty of forecasting the effect, timing and significance of certain amounts in the reconciliation that would be required by Item 10(e)(1)(i)(B) of Regulation S-K. Examples of these amounts include impairments of assets, gains and losses from sales of assets, and depreciation and amortization from new acquisitions or developments. In addition, certain non-recurring items may also significantly affect net income but are generally adjusted for in AFFO. Based on our historical experience, the dollar amounts of these items could be significant and could have a material impact on the Company’s GAAP results for the guidance period.

(3)
Adjusted revenue excludes the impact of the amortization of above and below market lease intangibles.

CEO Comments

“We are extremely pleased with our strong start to the year as we invested over $375 million of capital across our three external growth platforms, further strengthening our best-in-class portfolio,” said Joey Agree, President and Chief Executive Officer. “With total liquidity of approximately $1.9 billion and more than $1.2 billion of hedged capital, our balance sheet remains well positioned to execute on our growth strategy. Given the continued strong performance of our portfolio and robust opportunities across all three platforms, we are increasing full-year 2025 investment guidance to a range of $1.3 billion to $1.5 billion and raising our 2025 AFFO per share guidance to a range of $4.27 to $4.30. We will maintain our disciplined and thoughtful approach to asset underwriting and portfolio construction during this period of uncertainty.”

Portfolio Update

As of March 31, 2025, the Company’s portfolio consisted of 2,422 properties located in all 50 states and contained approximately 50.3 million square feet of gross leasable area. At quarter end, the portfolio was 99.2% leased, had a weighted-average remaining lease term of approximately 8.0 years, and generated 68.3% of annualized base rents from investment grade retail tenants.

Ground Lease Portfolio

During the first quarter, the Company acquired two ground leases for an aggregate purchase price of approximately $13.5 million, representing 3.6% of annualized base rents acquired.

As of March 31, 2025, the Company’s ground lease portfolio consisted of 231 leases located in 37 states and totaled approximately 6.4 million square feet of gross leasable area. Properties ground leased to tenants represented 10.6% of annualized base rents.

At quarter end, the ground lease portfolio was fully occupied, had a weighted-average remaining lease term of approximately 9.5 years, and generated 88.0% of annualized base rents from investment grade retail tenants.

Acquisitions

Total acquisition volume for the first quarter was approximately $358.9 million and included 46 select properties net leased to leading retailers operating in sectors including grocery, off-price, auto parts, convenience stores and tire and auto service. The properties are located in 23 states and leased to tenants operating in 19 sectors.

The properties were acquired at a weighted-average capitalization rate of 7.3% and had a weighted-average remaining lease term of approximately 13.4 years. Approximately 68.7% of annualized base rents acquired were generated from investment grade retail tenants.

Dispositions

During the first quarter, the Company sold one property for gross proceeds of approximately $2.5 million. The Company anticipates disposition volume for the full year 2025 to be between $10 million and $50 million.

Development and Developer Funding Platform

During the first quarter, the Company commenced four development or DFP projects, with total anticipated costs of approximately $23.9 million. Construction continued during the quarter on 14 projects with anticipated costs totaling approximately $79.9 million. The Company completed six projects during the quarter with total costs of approximately $27.2 million.

For the three months ended March 31, 2025, the Company had 24 development or DFP projects completed or under construction with anticipated total costs of approximately $131.0 million. The projects are leased to leading retailers including TJX Companies, Burlington, 7-Eleven, Boot Barn, Starbucks, Gerber Collision, and Sunbelt Rentals.

The following table presents estimated costs for the Company’s active or completed development and DFP projects for the quarter ended March 31, 2025:

Quarter of Delivery	Number of Projects	Costs Funded to Date	Remaining Funding Costs	Anticipated Total Project Costs
Q1 2025	6	$27,234	$0	$27,234
Q2 2025	5	12,155	6,222	18,377
Q3 2025	9	26,193	41,593	67,786
Q4 2025	1	1,432	6,587	8,019
Q2 2026	1	1,509	1,141	2,650
Q3 2026	2	4,739	2,236	6,975
Total	24	$73,262	$57,779	$131,041

Development and DFP project costs are in thousands.
Any differences are the result of rounding. Costs Funded to Date in Q1 2025 may include adjustments related to completed projects to arrive at the correct Anticipated Total Project Costs.

Leasing Activity and Expirations

During the first quarter, the Company executed new leases, extensions or options on approximately 584,000 square feet of gross leasable area throughout the existing portfolio. Notable new leases, extensions or options included a 123,000-square foot Walmart Supercenter in Rancho Cordova, California, a 120,000-square foot Home Depot in Farmington, New Mexico, and 16 geographically diverse AutoZone leases comprising over 100,000-square feet.

As of March 31, 2025, the Company’s 2025 lease maturities represented 0.9% of annualized base rents. The following table presents contractual lease expirations within the Company’s portfolio as of March 31, 2025, assuming no tenants exercise renewal options:

Year	Leases	Annualized Base Rent⁽¹⁾	Percent of Annualized Base Rent	Gross Leasable Area	Percent of Gross Leasable Area

2025	30	$5,820	0.9 %	626	1.3 %
2026	100	22,927	3.5 %	2,280	4.6 %
2027	167	38,142	5.9 %	3,544	7.1 %
2028	175	46,173	7.1 %	4,051	8.1 %
2029	209	66,283	10.2 %	6,293	12.6 %
2030	306	65,902	10.2 %	5,337	10.7 %
2031	195	46,840	7.2 %	3,530	7.1 %
2032	241	50,300	7.8 %	3,630	7.3 %
2033	217	49,623	7.6 %	3,903	7.8 %
2034	206	46,811	7.2 %	3,054	6.1 %
Thereafter	757	209,911	32.4 %	13,670	27.3 %
Total Portfolio	2,603	$648,732	100.0 %	49,918	100.0 %

The contractual lease expirations presented above exclude the effect of replacement tenant leases that had been executed as of March 31, 2025, but that had not yet commenced. Annualized Base Rent and gross leasable area (square feet) are in thousands; any differences are the result of rounding.

(1)
Annualized Base Rent represents the annualized amount of contractual minimum rent required by tenant lease agreements as of March 31, 2025, computed on a straight-line basis. Annualized Base Rent is not, and is not intended to be, a presentation in accordance with generally accepted accounting principles (“GAAP”). The Company believes annualized contractual minimum rent is useful to management, investors, and other interested parties in analyzing concentrations and leasing activity.

Top Tenants

The following table presents annualized base rents for all tenants that represent 1.5% or greater of the Company’s total annualized base rent as of March 31, 2025:

Tenant	Annualized Base Rent⁽¹⁾	Percent of Annualized Base Rent

Walmart	$38,490	5.9 %
Tractor Supply	31,839	4.9 %
Dollar General	28,417	4.4 %
Best Buy	21,682	3.3 %
Kroger	20,534	3.2 %
TJX Companies	19,971	3.1 %
CVS	19,936	3.1 %
Dollar Tree	18,338	2.8 %
O’Reilly Auto Parts	18,263	2.8 %
Hobby Lobby	18,198	2.8 %
Lowe’s	17,884	2.8 %
Gerber Collision	15,180	2.3 %
Sunbelt Rentals	14,964	2.3 %
7-Eleven	14,205	2.2 %
Burlington	14,019	2.2 %
Sherwin-Williams	12,439	1.9 %
Home Depot	11,387	1.8 %
Wawa	10,410	1.6 %
Other⁽²⁾	302,576	46.6 %
Total Portfolio	$648,732	100.0 %

Annualized Base Rent is in thousands; any differences are the result of rounding.

(1) Refer to footnote 1 on page 5 for the Company’s definition of Annualized Base Rent.
(2) Includes tenants generating less than 1.5% of Annualized Base Rent.

Retail Sectors

The following table presents annualized base rents for all the Company’s retail sectors as of March 31, 2025:

Sector	Annualized Base Rent⁽¹⁾	Percent of Annualized Base Rent

Grocery Stores	$65,660	10.1 %
Home Improvement	59,016	9.1 %
Convenience Stores	50,546	7.8 %
Tire and Auto Service	50,526	7.8 %
Dollar Stores	45,409	7.0 %
Auto Parts	40,567	6.2 %
Off-Price Retail	39,572	6.1 %
General Merchandise	33,934	5.2 %
Farm and Rural Supply	33,611	5.2 %
Consumer Electronics	25,162	3.9 %
Pharmacy	24,887	3.8 %
Crafts and Novelties	20,516	3.2 %
Warehouse Clubs	16,793	2.6 %
Health Services	16,091	2.5 %
Equipment Rental	16,020	2.5 %
Dealerships	15,078	2.3 %
Discount Stores	14,663	2.3 %
Restaurants – Quick Service	12,536	1.9 %
Health and Fitness	12,325	1.9 %
Specialty Retail	9,357	1.4 %
Sporting Goods	8,482	1.3 %
Financial Services	7,000	1.1 %
Restaurants – Casual Dining	5,704	0.9 %
Home Furnishings	3,969	0.6 %
Shoes	3,955	0.6 %
Theaters	3,854	0.6 %
Pet Supplies	3,782	0.6 %
Beauty and Cosmetics	3,493	0.5 %
Entertainment Retail	2,323	0.4 %
Apparel	2,016	0.3 %
Miscellaneous	1,261	0.2 %
Office Supplies	624	0.1 %
Total Portfolio	$648,732	100.0 %

Annualized Base Rent is in thousands; any differences are the result of rounding.

(1)
Refer to footnote 1 on page 5 for the Company’s definition of Annualized Base Rent.

Geographic Diversification

The following table presents annualized base rents for all states that represent 1.5% or greater of the Company’s total annualized base rent as of March 31, 2025:

State	Annualized Base Rent⁽¹⁾	Percent of Annualized Base Rent

Texas	$46,064	7.1 %
Michigan	35,691	5.5 %
Illinois	35,511	5.5 %
Ohio	33,241	5.1 %
Florida	33,181	5.1 %
North Carolina	32,419	5.0 %
New York	31,930	4.9 %
Pennsylvania	30,203	4.7 %
California	27,850	4.3 %
Georgia	25,594	3.9 %
New Jersey	24,069	3.7 %
Missouri	18,470	2.8 %
Louisiana	18,400	2.8 %
Wisconsin	18,135	2.8 %
Virginia	15,884	2.4 %
South Carolina	15,668	2.4 %
Kansas	15,553	2.4 %
Mississippi	15,502	2.4 %
Minnesota	13,575	2.1 %
Connecticut	13,211	2.0 %
Massachusetts	12,705	2.0 %
Tennessee	12,365	1.9 %
Indiana	12,239	1.9 %
Alabama	11,118	1.7 %
Maryland	9,737	1.5 %
Other⁽²⁾	90,417	14.1 %
Total Portfolio	$648,732	100.0 %

Annualized Base Rent is in thousands; any differences are the result of rounding.

(1) Refer to footnote 1 on page 5 for the Company’s definition of Annualized Base Rent.

(2) Includes states generating less than 1.5% of Annualized Base Rent.

Capital Markets, Liquidity and Balance Sheet

Capital Markets

In March 2025, the Company established its inaugural commercial paper program. The program allows the Company, through its subsidiary, Agree Limited Partnership, to issue up to $625 million of short-term, unsecured commercial paper notes. The notes are sold under customary terms in the United States commercial paper note market and rank pari passu with all the Issuer’s other senior unsecured indebtedness. The notes are fully and unconditionally guaranteed by the Company and certain of its subsidiaries.

During the first quarter, the Company entered into forward sale agreements in connection with its ATM program to sell an aggregate of 2.4 million shares of common stock for net proceeds of $181.4 million. Additionally, the Company settled 2.7 million shares under existing forward sale agreements for net proceeds of $183.3 million.

The following table presents the Company’s outstanding forward equity offerings as of March 31, 2025:

Forward Equity Offerings	Shares Sold	Shares Settled	Shares Remaining	Net Proceeds Received	Anticipated Net Proceeds Remaining

Q2 2024 ATM Forward Offerings	3,235,964	3,203,496	32,468	$192,818,310	$2,015,646
Q3 2024 ATM Forward Offerings	6,602,317	2,238,000	4,364,317	$157,481,346	$311,030,200
Q4 2024 ATM Forward Offerings	739,013	–	739,013	–	$55,156,654
October 2024 Forward Offering	5,060,000	–	5,060,000	–	$367,499,198
Q1 2025 ATM Forward Offerings	2,408,201	–	2,408,201	–	$181,412,163
Total Forward Equity Offerings	18,045,495	5,441,496	12,603,999	$350,299,656	$917,113,861

Liquidity

As of March 31, 2025, the Company had total liquidity of approximately $1.9 billion, which includes $928.0 million of availability under its revolving credit facility, $917.1 million of outstanding forward equity, and $11.2 million of cash on hand. The Company’s $1.25 billion revolving credit facility includes an accordion option that allows the Company to request additional lender commitments of up to a total of $2.0 billion.

Balance Sheet

As of March 31, 2025, the Company’s net debt to recurring EBITDA was 4.9 times. The Company’s proforma net debt to recurring EBITDA was 3.4 times when deducting the $917.1 million of anticipated net proceeds from the outstanding forward equity offerings from the Company’s net debt of approximately $3.0 billion as of March 31, 2025. The Company’s fixed charge coverage ratio was 4.3 times at quarter end.

The Company’s total debt to enterprise value was 25.5% as of March 31, 2025. Enterprise value is calculated as the sum of net debt, the liquidation value of the Company’s preferred stock, and the market value of the Company’s outstanding shares of common stock, assuming conversion of Agree Limited Partnership (the “Operating Partnership” or “OP”) common units into common stock of the Company.

For the three months ended March 31, 2025, the Company’s fully diluted weighted-average shares outstanding were 107.5 million. The basic weighted-average shares outstanding for the three months ended March 31, 2025 were 107.0 million.

For the three months ended March 31, 2025, the Company’s fully diluted weighted-average shares and units outstanding were 107.9 million. The basic weighted-average shares and units outstanding for the three months ended March 31, 2025 were 107.4 million.

The Company’s assets are held by, and its operations are conducted through, the Operating Partnership, of which the Company is the sole general partner. As of March 31, 2025, there were 347,619 Operating Partnership common units outstanding, and the Company held a 99.7% common interest in the Operating Partnership.

Conference Call/Webcast

The Company will host its quarterly analyst and investor conference call on Wednesday, April 23, 2025 at 9:00 AM ET. To participate in the conference call, please dial (800) 836-8184 approximately ten minutes before the call begins.

Additionally, a webcast of the conference call will be available via the Company’s website. To access the webcast, visit www.agreerealty.com ten minutes prior to the start time of the conference call and go to the Investors section of the website. A replay of the conference call webcast will be archived and available online through the Investors section of www.agreerealty.com.

About Agree Realty Corporation

Agree Realty Corporation is a publicly traded real estate investment trust that is RETHINKING RETAIL through the acquisition and development of properties net leased to industry-leading, omni-channel retail tenants. As of March 31, 2025, the Company owned and operated a portfolio of 2,422 properties, located in all 50 states and containing approximately 50.3 million square feet of gross leasable area. The Company’s common stock is listed on the New York Stock Exchange under the symbol “ADC”. For additional information on the Company and RETHINKING RETAIL, please visit www.agreerealty.com.

Forward-Looking Statements

This press release contains forward-looking statements
, including statements about projected financial and operating results,
within the meaning of
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”). The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and includes this statement for purposes of complying with these safe harbor provisions.
Forward-looking statements are generally identifiable by use of forward-looking terminology such as “may,”, “can”, “will,” “should,” “potential,” “intend,” “expect,” “seek,” “anticipate,” “estimate,” “approximately,” “believe,” “could,” “project,” “predict,” “forecast,” “continue,” “assume,” “plan,” “outlook” or other similar words or expressions. Forward-looking statements, including our updated 2025 guidance, are based on certain assumptions and can include future expectations, future plans and strategies, financial and operating projections or other forward-looking information. Although these forward-looking statements are based on good faith beliefs, reasonable assumptions and the Company’s best judgment reflecting current information, you should not rely on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond the Company’s control and which could materially affect the Company’s results of operations, financial condition, cash flows, performance or future achievements or events. Currently, some of the most significant factors, include the potential adverse effect of ongoing worldwide economic uncertainties and increased inflation and interest rates on the financial condition, results of operations, cash flows and performance of the Company and its tenants, the real estate market and the global economy and financial markets. The extent to which these conditions will impact the Company and its tenants will depend on future developments, which are highly uncertain and cannot be predicted with confidence. Moreover, investors are cautioned to interpret many of the risks identified in the risk factors discussed in the Company’s Annual Report on Form 10-K and subsequent quarterly reports filed with the Securities and Exchange Commission (the “SEC”), as well as the risks set forth below, as being heightened as a result of the ongoing and numerous adverse impacts of the macroeconomic environment. Additional important factors, among others, that may cause the Company’s actual results to vary include the general deterioration in national economic conditions, weakening of real estate markets, decreases in the availability of credit, increases in interest rates, adverse changes in the retail industry, the Company’s continuing ability to qualify as a REIT and other factors discussed in the Company’s reports filed with the SEC. The forward-looking statements included in this press release are made as of the date hereof. Unless legally required, the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events, changes in the Company’s expectations or assumptions or otherwise.

For further information about the Company’s business and financial results, please refer to the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” sections of the Company’s SEC filings, including, but not limited to, its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, copies of which may be obtained at the Investor Relations section of the Company’s website at www.agreerealty.com.

The Company defines the “weighted-average capitalization rate” for acquisitions and dispositions as the sum of contractual fixed annual rents computed on a straight-line basis over the primary lease terms and anticipated annual net tenant recoveries, divided by the purchase and sale prices for occupied properties.

The Company defines the “all-in rate” as the interest rate that reflects the straight-line amortization of the terminated swap agreements and original issuance discount, as applicable.

References to “Core FFO” and “AFFO” in this press release are representative of Core FFO attributable to OP common unitholders and AFFO attributable to OP common unitholders. Detailed calculations for these measures are shown in the Reconciliation of Net Income to FFO, Core FFO and Adjusted FFO table as “Core Funds From Operations – OP Common Unitholders” and “Adjusted Funds from Operations – OP Common Unitholders”.

Agree Realty Corporation
Consolidated Balance Sheet
($ in thousands, except share and per-share data)
(Unaudited)
	March 31, 2025	December 31, 2024
Assets:
Real Estate Investments:
Land	$ 2,599,164	$ 2,514,167
Buildings	5,648,162	5,412,564
Accumulated depreciation	(601,088)	(564,429)
Property under development	50,294	55,806
Net real estate investments	7,696,532	7,418,108
Real estate held for sale, net	1,278	–
Cash and cash equivalents	7,915	6,399
Cash held in escrows	3,254	–
Accounts receivable – tenants, net	105,485	106,416
Lease Intangibles, net of accumulated amortization of $487,849 and $461,419 at March 31, 2025 and December 31, 2024, respectively	897,380	864,937
Other assets, net	88,733	90,586
Total Assets	$ 8,800,577	$ 8,486,446

Liabilities:
Mortgage notes payable, net	42,050	42,210
Unsecured term loans, net	347,609	347,452
Senior unsecured notes, net	2,238,451	2,237,759
Unsecured revolving credit facility	322,000	158,000
Dividends and distributions payable	28,542	27,842
Accounts payable, accrued expenses, and other liabilities	129,652	116,273
Lease intangibles, net of accumulated amortization of $46,998 and $46,003 at March 31, 2025 and December 31, 2024, respectively	47,353	46,249
Total Liabilities	$ 3,155,657	$ 2,975,785

Equity:
Preferred Stock, $.0001 par value per share, 4,000,000 shares authorized, 7,000 shares Series A outstanding, at stated liquidation value of $25,000 per share, at March 31, 2025 and December 31, 2024	175,000	175,000
Common stock, $.0001 par value, 180,000,000 shares authorized, 110,018,590 and 107,248,705 shares issued and outstanding at March 31, 2025 and December 31, 2024, respectively	11	10
Additional paid-in-capital	5,948,156	5,765,582
Dividends in excess of net income	(508,059)	(470,622)
Accumulated other comprehensive income (loss)	29,344	40,076
Total Equity – Agree Realty Corporation	$ 5,644,452	$ 5,510,046
Non-controlling interest	468	615
Total Equity	$ 5,644,920	$ 5,510,661
Total Liabilities and Equity	$ 8,800,577	$ 8,486,446

Agree Realty Corporation
Consolidated Statements of Operations and Comprehensive Income
($ in thousands, except share and per share-data)
(Unaudited)
	Three months ended March 31,
	2025	2024
Revenues
Rental Income	$ 169,113	$ 149,422
Other	47	31
Total Revenues	$ 169,160	$ 149,453

Operating Expenses
Real estate taxes	$ 11,513	$ 10,701
Property operating expenses	8,381	7,373
Land lease expense	485	415
General and administrative	10,771	9,515
Depreciation and amortization	55,755	48,463
Provision for impairment	4,331	4,530
Total Operating Expenses	$ 91,236	$ 80,997

Gain (loss) on sale of assets, net	772	2,096
Gain (loss) on involuntary conversion, net	–	(55)

Income from Operations	$ 78,696	$ 70,497

Other (Expense) Income
Interest expense, net	$ (30,764)	$ (24,451)
Income and other tax (expense) benefit	(825)	(1,149)
Other (expense) income	41	117

Net Income	$ 47,148	$ 45,014

Less net income attributable to non-controlling interest	152	155

Net Income Attributable to Agree Realty Corporation	$ 46,996	$ 44,859

Less Series A Preferred Stock Dividends	1,859	1,859

Net Income Attributable to Common Stockholders	$ 45,137	$ 43,000

Net Income Per Share Attributable to Common Stockholders
Basic	$ 0.42	$ 0.43
Diluted	$ 0.42	$ 0.43


Other Comprehensive Income
Net Income	$ 47,148	$ 45,014
Amortization of interest rate swaps	(736)	(629)
Change in fair value and settlement of interest rate swaps	(10,031)	11,543
Total Comprehensive Income (Loss)	36,381	55,928
Less comprehensive income attributable to non-controlling interest	117	193
Comprehensive Income Attributable to Agree Realty Corporation	$ 36,264	$ 55,735

Weighted Average Number of Common Shares Outstanding – Basic	107,048,557	100,284,588
Weighted Average Number of Common Shares Outstanding – Diluted	107,547,193	100,336,600

Agree Realty Corporation
Reconciliation of Net Income to FFO, Core FFO and Adjusted FFO
($ in thousands, except share and per-share data)
(Unaudited)

	Three months ended March 31,
	2025	2024

Net Income	$ 47,148	$ 45,014
Less Series A Preferred Stock Dividends	1,859	1,859
Net Income attributable to OP Common Unitholders	$ 45,289	$ 43,155
Depreciation of rental real estate assets	37,164	31,966
Amortization of lease intangibles – in-place leases and leasing costs	18,064	15,996
Provision for impairment	4,331	4,530
(Gain) loss on sale or involuntary conversion of assets, net	(772)	(2,041)
Funds from Operations – OP Common Unitholders	$ 104,076	$ 93,606
Amortization of above (below) market lease intangibles, net and assumed mortgage debt discount, net	8,630	8,379
Core Funds from Operations – OP Common Unitholders	$ 112,706	$ 101,985
Straight-line accrued rent	(4,009)	(2,847)
Stock based compensation expense	3,129	2,425
Amortization of financing costs and original issue discounts	1,612	1,186
Non-real estate depreciation	527	501
Adjusted Funds from Operations – OP Common Unitholders	$ 113,965	$ 103,250

Funds from Operations Per Common Share and OP Unit – Basic	$ 0.97	$ 0.93
Funds from Operations Per Common Share and OP Unit – Diluted	$ 0.96	$ 0.93

Core Funds from Operations Per Common Share and OP Unit – Basic	$ 1.05	$ 1.01
Core Funds from Operations Per Common Share and OP Unit – Diluted	$ 1.04	$ 1.01

Adjusted Funds from Operations Per Common Share and OP Unit – Basic	$ 1.06	$ 1.03
Adjusted Funds from Operations Per Common Share and OP Unit – Diluted	$ 1.06	$ 1.03

Weighted Average Number of Common Shares and OP Units Outstanding – Basic	107,396,176	100,632,207
Weighted Average Number of Common Shares and OP Units Outstanding – Diluted	107,894,812	100,684,219


Additional supplemental disclosure
Scheduled principal repayments	$ 250	$ 235
Capitalized interest	442	304
Capitalized building improvements	600	493

Non-GAAP Financial Measures

Funds from Operations (“FFO” or “Nareit FFO”)

FFO is defined by the National Association of Real Estate Investment Trusts, Inc. (“Nareit”) to mean net income computed in accordance with GAAP, excluding gains (or losses) from sales of real estate assets and/or changes in control, plus real estate related depreciation and amortization and any impairment charges on depreciable real estate assets, and after adjustments for unconsolidated partnerships and joint ventures. Historical cost accounting for real estate assets in accordance with GAAP implicitly assumes that the value of real estate assets diminishes predictably over time. Since real estate values instead have historically risen or fallen with market conditions, most real estate industry investors consider FFO to be helpful in evaluating a real estate company’s operations. FFO should not be considered an alternative to net income as the primary indicator of the Company’s operating performance, or as an alternative to cash flow as a measure of liquidity. Further, while the Company adheres to the Nareit definition of FFO, its presentation of FFO is not necessarily comparable to similarly titled measures of other REITs due to the fact that all REITs may not use the same definition.

Core Funds from Operations (“Core FFO”)

The Company defines Core FFO as Nareit FFO with the addback of (i) noncash amortization of acquisition purchase price related to above- and below- market lease intangibles and discount on assumed debt and (ii) certain infrequently occurring items that reduce or increase net income in accordance with GAAP. Management believes that its measure of Core FFO facilitates useful comparison of performance to its peers who predominantly transact in sale-leaseback transactions and are thereby not required by GAAP to allocate purchase price to lease intangibles. Unlike many of its peers, the Company has acquired the substantial majority of its net-leased properties through acquisitions of properties from third parties or in connection with the acquisitions of ground leases from third parties. Core FFO should not be considered an alternative to net income as the primary indicator of the Company’s operating performance, or as an alternative to cash flow as a measure of liquidity. Further, the Company’s presentation of Core FFO is not necessarily comparable to similarly titled measures of other REITs due to the fact that all REITs may not use the same definition.

Adjusted Funds from Operations (“AFFO”)

AFFO is a non-GAAP financial measure of operating performance used by many companies in the REIT industry. AFFO further adjusts FFO and Core FFO for certain non-cash items that reduce or increase net income computed in accordance with GAAP. Management considers AFFO a useful supplemental measure of the Company’s performance, however, AFFO should not be considered an alternative to net income as an indication of its performance, or to cash flow as a measure of liquidity or ability to make distributions. The Company’s computation of AFFO may differ from the methodology for calculating AFFO used by other equity REITs, and therefore may not be comparable to such other REITs.

Agree Realty Corporation
Reconciliation of Non-GAAP Financial Measures
($ in thousands, except share and per-share data)
(Unaudited)

											Three months ended March 31,
											2025

Mortgage notes payable, net											$ 42,050
Unsecured term loans, net											347,609
Senior unsecured notes, net											2,238,451
Unsecured revolving credit facility											322,000
Total Debt per the Consolidated Balance Sheet											$ 2,950,110

Unamortized debt issuance costs and discounts, net											25,544
Total Debt											$ 2,975,654

Cash and cash equivalents											$ (7,915)
Cash held in escrows											(3,254)
Net Debt											$ 2,964,485

Anticipated Net Proceeds from Forward Equity Offerings											(917,114)
Proforma Net Debt											$ 2,047,371

Net Income											$ 47,148
Interest expense, net											30,764
Income and other tax expense											825
Depreciation of rental real estate assets											37,164
Amortization of lease intangibles – in-place leases and leasing costs											18,064
Non-real estate depreciation											527
Provision for impairment											4,331
(Gain) loss on sale or involuntary conversion of assets, net											(772)
EBITDAre											$ 138,051

Run-Rate Impact of Investment, Disposition and Leasing Activity											$ 4,421
Amortization of above (below) market lease intangibles, net											8,546
Recurring EBITDA											$ 151,018

Annualized Recurring EBITDA											$ 604,072

Total Debt per the Consolidated Balance Sheet to Annualized Net Income											15.8x

Net Debt to Recurring EBITDA											4.9x

Proforma Net Debt to Recurring EBITDA											3.4x

Non-GAAP Financial Measures

Total Debt and Net Debt
The Company defines Total Debt as debt per the consolidated balance sheet excluding unamortized debt issuance costs, original issue discounts and debt discounts. Net Debt is defined as Total Debt less cash, cash equivalents and cash held in escrows. The Company considers the non-GAAP measures of Total Debt and Net Debt to be key supplemental measures of the Company’s overall liquidity, capital structure and leverage because they provide industry analysts, lenders and investors useful information in understanding our financial condition. The Company’s calculation of Total Debt and Net Debt may not be comparable to Total Debt and Net Debt reported by other REITs that interpret the definitions differently than the Company. The Company presents Net Debt on both an actual and proforma basis, assuming the net proceeds of the Forward Equity Offerings (see below) are used to pay down debt. The Company believes the proforma measure may be useful to investors in understanding the potential effect of the Forward Offerings on the Company’s capital structure, its future borrowing capacity, and its ability to service its debt.

Forward Equity Offerings
The Company has 12,603,999 shares remaining to be settled under the Forward Equity Offerings. Upon settlement, the offerings are anticipated to raise net proceeds of approximately $917.1 million based on the applicable forward sale prices as of March 31, 2025. The applicable forward sale price varies depending on the offering. The Company is contractually obligated to settle the offerings by certain dates between July 2025 and October 2026.

EBITDAre
EBITDAre is defined by Nareit to mean net income computed in accordance with GAAP, plus interest expense, income tax expense, depreciation and amortization, any gains (or losses) from sales of real estate assets and/or changes in control, any impairment charges on depreciable real estate assets, and after adjustments for unconsolidated partnerships and joint ventures. The Company considers the non-GAAP measure of EBITDAre to be a key supplemental measure of the Company’s performance and should be considered along with, but not as an alternative to, net income or loss as a measure of the Company’s operating performance. The Company considers EBITDAre a key supplemental measure of the Company’s operating performance because it provides an additional supplemental measure of the Company’s performance and operating cash flow that is widely known by industry analysts, lenders and investors. The Company’s calculation of EBITDAre may not be comparable to EBITDAre reported by other REITs that interpret the Nareit definition differently than the Company.

Recurring EBITDA
The Company defines Recurring EBITDA as EBITDAre with the addback of noncash amortization of above- and below- market lease intangibles, and after adjustments for the run-rate impact of the Company’s investment and disposition activity for the period presented, as well as adjustments for non-recurring benefits or expenses. The Company considers the non-GAAP measure of Recurring EBITDA to be a key supplemental measure of the Company’s performance and should be considered along with, but not as an alternative to, net income or loss as a measure of the Company’s operating performance. The Company considers Recurring EBITDA a key supplemental measure of the Company’s operating performance because it represents the Company’s earnings run rate for the period presented and because it is widely followed by industry analysts, lenders and investors. Our Recurring EBITDA may not be comparable to Recurring EBITDA reported by other companies that have a different interpretation of the definition of Recurring EBITDA. Our ratio of net debt to Recurring EBITDA is used by management as a measure of leverage and may be useful to investors in understanding the Company’s ability to service its debt, as well as assess the borrowing capacity of the Company. Our ratio of net debt to Recurring EBITDA is calculated by taking annualized Recurring EBITDA and dividing it by our net debt per the consolidated balance sheet.

Annualized Net Income
Represents net income for the three months ended March 31, 2025, on an annualized basis.

Agree Realty Corporation
Rental Income
($ in thousands, except share and per share-data)
(Unaudited)
	Three months ended March 31,
	2025	2024
Rental Income Source⁽¹⁾
Minimum rents⁽²⁾	$ 154,006	$ 137,033
Percentage rents⁽²⁾	1,556	1,368
Operating cost reimbursement⁽²⁾	18,088	16,469
Straight-line rental adjustments⁽³⁾	4,009	2,847
Amortization of (above) below market lease intangibles⁽⁴⁾	(8,546)	(8,295)
Total Rental Income	$ 169,113	$ 149,422

(1) The Company adopted Financial Accounting Standards Board Accounting Standards Codification (“FASB ASC”) 842 “Leases” using the modified retrospective approach as of January 1, 2019. The Company adopted the practical expedient in FASB ASC 842 that alleviates the requirement to separately present lease and non-lease components of lease contracts. As a result, all income earned pursuant to tenant leases is reflected as one line, “Rental Income,” in the consolidated statement of operations. The purpose of this table is to provide additional supplementary detail of Rental Income.

(2) Represents contractual rentals and/or reimbursements as required by tenant lease agreements, recognized on an accrual basis of accounting. The Company believes that the presentation of contractual lease income is not, and is not intended to be, a presentation in accordance with GAAP. The Company believes this information is frequently used by management, investors, analysts and other interested parties to evaluate the Company’s performance.

(3) Represents adjustments to recognize minimum rents on a straight-line basis, consistent with the requirements of FASB ASC 842.

(4) In allocating the fair value of an acquired property, above- and below-market lease intangibles are recorded based on the present value of the difference between the contractual amounts to be paid pursuant to the leases at the time of acquisition and the Company’s estimate of current market lease rates for the property.

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SOURCE AGREE REALTY CORPORATION

April 22, 2025 4:23 pm

Heron Therapeutics to Report First Quarter 2025 Financial Results on Tuesday, May 6, 2025

PR Newswire

CARY, N.C.
, April 22, 2025 /PRNewswire/ — Heron Therapeutics, Inc. (Nasdaq: HRTX) (“Heron” or the “Company”), a commercial-stage biotechnology company, today announced that the Company will host a conference call and live webcast on Tuesday, May 6, 2025, at 8:00 a.m. ET to report first quarter 2025 financial results and discuss recent business highlights.

The conference call can be accessed by phone by utilizing the following registration link which will provide participants with dial-in details. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time. The conference call will also be available via webcast under the Investor Relations section of Heron’s website at www.herontx.com. An archive of the teleconference and webcast will also be made available on Heron’s website for 60 days following the call.

About Heron Therapeutics, Inc.

Heron Therapeutics, Inc. is a commercial-stage biotechnology company focused on improving the lives of patients by developing and commercializing therapeutic innovations that improve medical care. Our advanced science, patented technologies, and innovative approach to drug discovery and development have allowed us to create and commercialize a portfolio of products that aim to advance the standard-of-care for acute care and oncology patients. For more information, visit www.herontx.com.

Forward-looking Statements

This news release contains “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Heron cautions readers that forward-looking statements are based on management’s expectations and assumptions as of the date of this news release and are subject to certain risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include, but are not limited to, risks and uncertainties identified in the Company’s filings with the Securities and Exchange Commission. Forward-looking statements reflect our analysis only on their stated date, and Heron takes no obligation to update or revise these statements except as may be required by law.

Investor Relations and Media Contact:

Ira Duarte

Executive Vice President, Chief Financial Officer
Heron Therapeutics, Inc.
[email protected]
858-251-4400

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SOURCE Heron Therapeutics, Inc.

April 22, 2025 4:23 pm

MONDAY INVESTOR DEADLINE: Rocket Lab USA, Inc. Investors with Substantial Losses Have Opportunity to Lead Class Action Lawsuit – RKLB

PR Newswire

SAN DIEGO
, April 22, 2025 /PRNewswire/ — Robbins Geller Rudman & Dowd LLP announces that purchasers or acquirers of Rocket Lab USA, Inc. (NASDAQ: RKLB) securities between November 12, 2024 and February 25, 2025, all dates inclusive (the “Class Period”), have until Monday, April 28, 2025 to seek appointment as lead plaintiff of the Rocket Lab class action lawsuit. Captioned Bray v. Rocket Lab USA, Inc., No. 25-cv-01733 (C.D. Cal.), the Rocket Lab class action lawsuit charges Rocket Lab as well as certain of Rocket Lab’s top executives with violations of the Securities Exchange Act of 1934.

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

https://www.rgrdlaw.com/cases-rocket-lab-usa-inc-class-action-lawsuit-rklb.html

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

CASE ALLEGATIONS: Rocket Lab is a space company that provides launch services and space systems solutions for the space and defense industries.

The Rocket Lab class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) Rocket Lab’s plans for three barge landing tests were significantly delayed; (ii) a critical potable water problem was not scheduled to be fixed until January 2026, which delayed preparation of the launch pad; (iii) as a result of the foregoing, there was a substantial risk that Rocket Lab’s Neutron rocket would not launch in mid-2025; and (iv) Neutron’s only contract was made at a discount with an unreliable partner.

The Rocket Lab class action lawsuit further alleges that on February 25, 2025, Bleecker Street Research published a report titled “Rocket Lab (RKLB): We Think It’s Gonna Be a Long, Long Time,” that alleged, among other things, that Rocket Lab “has materially misled investors about the likelihood that its Neutron rocket will launch in mid-2025.” On this news, the price of Rocket Lab stock fell nearly 10%, according to the complaint.

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

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

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

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

Contact:

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

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SOURCE Robbins Geller Rudman & Dowd LLP

April 22, 2025 4:23 pm

Natera To Present Data from 8 Studies at 2025 AACR Annual Meeting

Natera To Present Data from 8 Studies at 2025 AACR Annual Meeting

Data spans immunotherapy (IO) response prediction and genomic landscaping in colorectal cancer (CRC), breast cancer, and gynecological cancers

AUSTIN, Texas–(BUSINESS WIRE)–Natera, Inc. (NASDAQ: NTRA), a global leader in cell-free DNA and genetic testing, today announced that data from 8 studies will be shared at the American Association of Cancer Research (AACR) Annual Meeting that will take place April 25 – 30, 2025 in Chicago, IL.

Highlights from AACR include:

An oral presentation titled “Large-scale Genomic Profiling of Colorectal Cancer” from an exploratory analysis examining the characteristics of the mutational landscape of CRC and patterns across clinical and molecular subgroups. The study was performed using Natera’s proprietary real-world database (RWD) that comprises de-identified clinical and genomic data from over 73,000 patients who underwent commercial Signatera™ testing.

Poster presentations exploring the genomic landscape in over 30,000 breast cancer patients and over 8,000 gynecologic cancer patients, revealing distinct genomic patterns, and underscoring the research value of Natera’s RWD.

Data that integrates Natera’s clinical and genomic information, demonstrating how its real-world evidence database can enhance immunotherapy response prediction by improving neoantigen identification.

Further datasets in esophageal cancer, sarcoma, and CRC, adding to the evidence base of Signatera’s clinical validity and utility.

“We are pleased to share such a broad set of data showcasing our breadth of capabilities in oncology,” said Alexey Aleshin, M.D., general manager of oncology and corporate chief medical officer. “In addition to presenting Signatera data in several types of cancer, we look forward to presentations that leverage the use of our multi-modal database of real-world evidence, which can provide valuable insights to strengthen drug discoveries and potentially accelerate therapeutic breakthroughs.”

About Signatera

Signatera is a personalized, tumor-informed, molecular residual disease test for patients previously diagnosed with cancer. Custom-built for each individual, Signatera uses circulating tumor DNA to detect and quantify cancer left in the body, identify recurrence earlier than standard of care tools, and help optimize treatment decisions. The test is available for clinical and research use and has coverage by Medicare across a broad range of indications. Signatera has been clinically validated across multiple cancer types and indications, with published evidence in more than 100 peer-reviewed papers.

About Natera

Natera™ is a global leader in cell-free DNA and genetic testing, dedicated to oncology, women’s health, and organ health. We aim to make personalized genetic testing and diagnostics part of the standard-of-care to protect health and inform earlier, more targeted interventions that help lead to longer, healthier lives. Natera’s tests are supported by more than 250 peer-reviewed publications that demonstrate excellent performance. Natera operates ISO 13485-certified and CAP-accredited laboratories certified under the Clinical Laboratory Improvement Amendments (CLIA) in Austin, Texas, and San Carlos, California. For more information, visit www.natera.com.

Forward-Looking Statements

All statements other than statements of historical facts contained in this press release are forward-looking statements and are not a representation that Natera’s plans, estimates, or expectations will be achieved. These forward-looking statements represent Natera’s expectations as of the date of this press release, and Natera disclaims any obligation to update the forward-looking statements. These forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially, including with respect to whether the results of clinical or other studies will support the use of our product offerings, the impact of results of such studies, our expectations of the reliability, accuracy and performance of our tests, or of the benefits of our tests and product offerings to patients, providers and payers. Additional risks and uncertainties are discussed in greater detail in “Risk Factors” in Natera’s recent filings on Forms 10-K and 10-Q and in other filings Natera makes with the SEC from time to time. These documents are available at www.natera.com/investors and www.sec.gov.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250422069632/en/

Investor Relations: Mike Brophy, CFO, Natera, Inc., [email protected]

Media: Lesley Bogdanow, VP of Corporate Communications, Natera, Inc., [email protected]

KEYWORDS: United States North America Illinois Texas

INDUSTRY KEYWORDS: Oncology Health Genetics Health Technology Clinical Trials Biotechnology

MEDIA:

Logo

April 22, 2025 4:22 pm

Abivax Announces Annual General Meeting Details as Company Advances Toward Key 2025 Value-Driving Milestones

Abivax Announces Annual General Meeting Details as Company Advances Toward Key 2025 Value-Driving Milestones

Annual General Meeting scheduled for Friday, June 6, 2025, in Paris, France
Phase 3 ABTECT induction trials remain on track: enrollment completion expected in Q2 2025, with top-line induction results expected in Q3 2025

PARIS, France – April 22, 2025 – 10:05 PM CEST – Abivax SA (Euronext Paris: FR0012333284 – ABVX / Nasdaq: ABVX) (“Abivax” or the “Company”), a clinical-stage biotechnology company focused on developing therapeutics that harness the body’s natural regulatory mechanisms to stabilize the immune response in patients with chronic inflammatory diseases, today announced that the upcoming Annual General Meeting will be held on June 6, 2025, in Paris, France.

Additional information and preparatory documents for this Annual General Meeting will be made available in the coming weeks in accordance with applicable legal and regulatory requirements.

This announcement comes as Abivax continues to execute against critical 2025 operational milestones, including the ongoing Phase 3 ABTECT clinical program. The Company confirmed that it remains on track to complete induction trials enrollment in the second quarter of 2025, with top-line induction data expected in the third quarter of 2025.

Marc de Garidel, Chief Executive Officer of Abivax, commented:
“With major clinical readouts approaching, we believe 2025 has the potential to be a transformative year for Abivax. To demonstrate our confidence in the Company’s long-term value creation, the executive leadership team, including myself, made the decision to invest in approximately 120,000 Abivax ordinary shares in Q1 2025. This reinforces our alignment with shareholders as we advance toward potential commercialization.”

About Abivax

Abivax is a clinical-stage biotechnology company focused on developing therapeutics that harness the body’s natural regulatory mechanisms to stabilize the immune response in patients with chronic inflammatory diseases. Based in France and the United States, Abivax’s lead drug candidate, obefazimod (ABX464), is in Phase 3 clinical trials for the treatment of moderately to severely active ulcerative colitis. More information on the Company is available at www.abivax.com. Follow Abivax on LinkedIn and on X, formerly Twitter, @Abivax.

Contact:

Patrick Malloy
SVP, Investor Relations
Abivax SA
+1 847 987 4878

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements, forecasts and estimates, including those relating to the Company’s business objectives. Words such as “anticipate,” “continue,” “expect,” “potential” and variations of such words and similar expressions are intended to identify forward-looking statements. These forward-looking statements include statements concerning or implying the therapeutic potential of Abivax’s drug candidates, Abivax’s expectations regarding the availability of data and timing of reporting results from its clinical trials, including its Phase 3 ABTECT-1 and ABTECT-2 induction trials and Phase 3 ABTECT maintenance trial, and other statements that are not historical fact. Although Abivax’s management believes that the expectations reflected in such forward-looking statements are reasonable, investors are cautioned that forward-looking information and statements are subject to various risks, contingencies and uncertainties, many of which are difficult to predict and generally beyond the control of Abivax, that could cause actual results and developments to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. A description of these risks, contingencies and uncertainties can be found in the documents filed by the Company with the French Autorité des Marchés Financiers pursuant to its legal obligations including its universal registration document (Document d’Enregistrement Universel) and in its Annual Report on Form 20-F filed with the U.S. Securities and Exchange Commission on March 24, 2025 under the caption “Risk Factors.” These risks, contingencies and uncertainties include, among other things, the uncertainties inherent in research and development, future clinical data and analysis, decisions by regulatory authorities, such as the FDA or the EMA, regarding whether and when to approve any drug candidate, as well as their decisions regarding labelling and other matters that could affect the availability or commercial potential of such product candidates, and the availability of funding sufficient for the Company’s foreseeable and unforeseeable operating expenses and capital expenditure requirements. Special consideration should be given to the potential hurdles of clinical and pharmaceutical development, including further assessment by the Company and regulatory agencies and IRBs/ethics committees following the assessment of preclinical, pharmacokinetic, carcinogenicity, toxicity, CMC and clinical data. Furthermore, these forward-looking statements, forecasts and estimates are made only as of the date of this press release. Readers are cautioned not to place undue reliance on these forward-looking statements. Abivax disclaims any obligation to update these forward-looking statements, forecasts or estimates to reflect any subsequent changes that the Company becomes aware of, except as required by law. Information about pharmaceutical products (including products currently in development) that is included in this press release is not intended to constitute an advertisement. This press release is for information purposes only, and the information contained herein does not constitute either an offer to sell or the solicitation of an offer to purchase or subscribe for, securities of the Company in any jurisdiction. Similarly, it does not give and should not be treated as giving investment advice. It has no connection with the investment objectives, financial situation or specific needs of any recipient. It should not be regarded by recipients as a substitute for exercise of their own judgment. All opinions expressed herein are subject to change without notice. The distribution of this document may be restricted by law in certain jurisdictions. Persons into whose possession this document comes are required to inform themselves about and to observe any such restrictions.

April 22, 2025 4:21 pm

Capital One Reports First Quarter 2025 Net Income of $1.4 Billion, or $3.45 Per Share

Capital One Reports First Quarter 2025 Net Income of $1.4 Billion, or $3.45 Per Share

Net of adjusting items, First Quarter 2025 Net Income of $4.06 per share⁽¹⁾

MCLEAN, Va.–(BUSINESS WIRE)–
Capital One Financial Corporation (NYSE: COF) today announced net income for the first quarter of 2025 of $1.4 billion, or $3.45 per diluted common share, compared with net income of $1.1 billion, or $2.67 per diluted common share in the fourth quarter of 2024, and with net income of $1.3 billion, or $3.13 per diluted common share in the first quarter of 2024. Adjusted net income⁽¹⁾ for the first quarter of 2025 was $4.06 per diluted common share.

“Last week, we received regulatory approval for our acquisition of Discover and we’re fully mobilized to complete the transaction on May 18th,” said Richard D. Fairbank, Founder, Chairman, and Chief Executive Officer. “The combination of Capital One and Discover will create a leading consumer banking and payments platform with unique capabilities, modern technology, and powerful brands. It leverages Capital One’s technology transformation and digital capabilities across a significantly larger customer franchise. And it offers the potential to enhance competition and create significant value for merchants and customers.”

The quarter included the following adjusting items:

(Dollars in millions, except per share data)	Pre-Tax		After-Tax Diluted EPS
	Impact		Impact
Legal reserve activities	$	198	$	0.39
Discover integration expenses	$	110	$	0.22

All comparisons below are for the first quarter of 2025 compared with the fourth quarter of 2024 unless otherwise noted.

First Quarter 2025 Income Statement Summary:

Total net revenue decreased 2 percent to $10.0 billion.
Total non-interest expense decreased 3 percent to $5.9 billion:
- 13 percent decrease in marketing.
- Less than 1 percent decrease in operating expenses.
Pre-provision earnings⁽²⁾ remained substantially flat at $4.1 billion.
Provision for credit losses decreased $273 million to $2.4 billion:
- Net charge-offs of $2.7 billion.
- $368 million loan reserve release.
Net interest margin of 6.93 percent, a decrease of 10 basis points.
Efficiency ratio of 59.02 percent.
- Adjusted efficiency ratio⁽¹⁾ of 55.94 percent.
Operating efficiency ratio of 47.00 percent.
- Adjusted operating efficiency ratio⁽¹⁾of 43.92 percent.

First Quarter 2025 Balance Sheet Summary:

Common equity Tier 1 capital ratio⁽³⁾ under Basel III Standardized Approach of 13.6 percent at March 31, 2025.
Period-end loans held for investment in the quarter decreased $4.2 billion, or 1 percent, to $323.6 billion.
- Credit Card period-end loans decreased $5.3 billion, or 3 percent, to $157.2 billion.
  - Domestic Card period-end loans decreased $5.3 billion, or 3 percent, to $150.3 billion.
- Consumer Banking period-end loans increased $804 million, or 1 percent, to $78.9 billion.
  - Auto period-end loans increased $827 million, or 1 percent, to $77.7 billion.
- Commercial Banking period-end loans increased $338 million, or less than 1 percent, to $87.5 billion.
Average loans held for investment in the quarter increased $514 million, or less than 1 percent, to $322.4 billion.
- Credit Card average loans decreased $919 million, or 1 percent, to $156.4 billion.
  - Domestic Card average loans decreased $651 million, or less than 1 percent, to $149.6 billion.
- Consumer Banking average loans increased $1.3 billion, or 2 percent, to $78.5 billion.
  - Auto average loans increased $1.3 billion, or 2 percent, to $77.2 billion.
- Commercial Banking average loans increased $174 million, or less than 1 percent, to $87.5 billion.
Period-end total deposits increased $4.8 billion, or 1 percent, to $367.5 billion, while average deposits increased $5.8 billion, or 2 percent, to $364.1 billion.
Interest-bearing deposits rate paid decreased 23 basis points to 3.22 percent.

Earnings Conference Call Webcast Information

The company will hold an earnings conference call on April 22, 2025 at 5:00 PM Eastern Time. The conference call will be accessible through live webcast. Interested investors and other individuals can access the webcast via the company’s home page (www.capitalone.com). Under “About,” choose “Investors” to access the Investor Center and view and/or download the earnings press release, the financial supplement, including a reconciliation of non-GAAP financial measures, and the earnings release presentation. The replay of the webcast will be archived on the company’s website through May 6, 2025 at 5:00 PM Eastern Time.

Forward-Looking Statements

Certain statements in this release may constitute forward-looking statements, which involve a number of risks and uncertainties. Forward-looking statements often use words such as “will,” “anticipate,” “target,” “expect,” “think,” “estimate,” “intend,” “plan,” “goal,” “believe,” “forecast,” “outlook” or other words of similar meaning. Any forward-looking statements made by Capital One or on its behalf speak only as of the date they are made or as of the date indicated, and Capital One does not undertake any obligation to update forward-looking statements as a result of new information, future events or otherwise. Capital One cautions readers that any forward-looking information is not a guarantee of future performance and that actual results could differ materially from those contained in the forward-looking information due to a number of factors. For additional information on factors that could materially influence forward-looking statements included in this earnings press release, see the risk factors set forth under “Part I—Item 1A. Risk Factors” in the Annual Report on Form 10-K for the year ended December 31, 2024 filed with the Securities and Exchange Commission (the “SEC”) and Quarterly Reports on Form 10-Q and Current Reports on Form 8-K filed with the SEC.

About Capital One

Capital One Financial Corporation (www.capitalone.com) is a financial holding company which, along with its subsidiaries, had $367.5 billion in deposits and $493.6 billion in total assets as of March 31, 2025. Headquartered in McLean, Virginia, Capital One offers a broad spectrum of financial products and services to consumers, small businesses and commercial clients through a variety of channels. Capital One, N.A. has branches and Cafés located primarily in New York, Louisiana, Texas, Maryland, Virginia and the District of Columbia. A Fortune 500 company, Capital One trades on the New York Stock Exchange under the symbol “COF” and is included in the S&P 100 index.

⁽¹⁾This is a non-GAAP measure. We believe non-GAAP measures help investors and users of our financial information understand the effect of adjusting items on our selected reported results and provide alternate measurements of our performance, both in the current period and across periods. See our Financial Supplement, filed as Exhibit 99.2 to our Current Report on Form 8-K on April 22, 2025 with the SEC, “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for a reconciliation and additional information on non-GAAP measures.

⁽²⁾ Pre-provision earnings is a non-GAAP metric calculated based on total net revenue less non-interest expense for the period. Management believes that this financial metric is useful in assessing the ability of a lending institution to generate income in excess of its provision for credit losses. See our Financial Supplement, filed as Exhibit 99.2 to our Current Report on Form 8-K on April 22, 2025 with the SEC, “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for a reconciliation and additional information on non-GAAP measures.

⁽³⁾Regulatory capital metrics as of March 31, 2025 are preliminary and therefore subject to change.


Capital One Financial Corporation
Financial Supplement⁽¹⁾⁽²⁾
First Quarter²⁰²⁵
Table of Contents

Capital One Financial Corporation Consolidated Results			Page
	Table 1:	Financial Summary—Consolidated	1
	Table 2:	Selected Metrics—Consolidated	3
	Table 3:	Consolidated Statements of Income	4
	Table 4:	Consolidated Balance Sheets	6
	Table 5:	Notes to Financial Summary, Selected Metrics and Consolidated Financial Statements (Tables 1—4)	8
	Table 6:	Average Balances, Net Interest Income and Net Interest Margin	9
	Table 7:	Loan Information and Performance Statistics	10
	Table 8:	Allowance for Credit Losses and Reserve for Unfunded Lending Commitments Activity	12
Business Segment Results
	Table 9:	Financial Summary—Business Segment Results	13
	Table 10:	Financial & Statistical Summary—Credit Card Business	14
	Table 11:	Financial & Statistical Summary—Consumer Banking Business	16
	Table 12:	Financial & Statistical Summary—Commercial Banking Business	17
	Table 13:	Financial & Statistical Summary—Other and Total	18
Other
	Table 14:	Notes to Net Interest Margin, Loan, Allowance and Business Segment Disclosures (Tables 6—13)	19
	Table 15:	Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures	20

__________
⁽¹⁾		The information contained in this Financial Supplement is preliminary and based on data available at the time of the earnings presentation. Investors should refer to our Quarterly Report on Form 10-Q for the period ended March 31, 2025 once it is filed with the Securities and Exchange Commission.
⁽²⁾		This Financial Supplement includes non-GAAP measures. We believe these non-GAAP measures are useful to investors and users of our financial information as they provide an alternate measurement of our performance and assist in assessing our capital adequacy and the level of return generated. These non-GAAP measures should not be viewed as a substitute for reported results determined in accordance with generally accepted accounting principles in the U.S. (“GAAP”), nor are they necessarily comparable to non-GAAP measures that may be presented by other companies. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for a reconciliation of any non-GAAP financial measures.


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 1: Financial Summary—Consolidated
																2025 Q1
(Dollars in millions, except per share data and as noted)	2025			2024			2024			2024			2024			2024		2024
(Dollars in millions, except per share data and as noted)	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Income Statement
Net interest income	$	8,013		$	8,098		$	8,076		$	7,546		$	7,488		(1	)%	7	%
Non-interest income		1,987			2,092			1,938			1,960			1,914		(5	)	4
Total net revenue⁽¹⁾		10,000			10,190			10,014			9,506			9,402		(2	)	6
Provision for credit losses		2,369			2,642			2,482			3,909			2,683		(10	)	(12	)
Non-interest expense:
Marketing		1,202			1,375			1,113			1,064			1,010		(13	)	19
Operating expense		4,700			4,714			4,201			3,882			4,127		—		14
Total non-interest expense		5,902			6,089			5,314			4,946			5,137		(3	)	15
Income from continuing operations before income taxes		1,729			1,459			2,218			651			1,582		19		9
Income tax provision		325			366			441			54			302		(11	)	8
Income from continuing operations, net of tax		1,404			1,093			1,777			597			1,280		28		10
Income from discontinued operations, net of tax		—			3			—			—			—		**		—
Net income		1,404			1,096			1,777			597			1,280		28		10
Dividends and undistributed earnings allocated to participating securities⁽²⁾		(22	)		(17	)		(28	)		(9	)		(23	)	29		(4	)
Preferred stock dividends		(57	)		(57	)		(57	)		(57	)		(57	)	—		—
Net income available to common stockholders	$	1,325		$	1,022		$	1,692		$	531		$	1,200		30		10
Common Share Statistics
Basic earnings per common share:⁽²⁾
Net income from continuing operations	$	3.46		$	2.66		$	4.42		$	1.39		$	3.14		30	%	10	%
Income from discontinued operations		—			0.01			—			—			—		**		—
Net income per basic common share	$	3.46		$	2.67		$	4.42		$	1.39		$	3.14		30		10
Diluted earnings per common share:⁽²⁾
Net income from continuing operations	$	3.45		$	2.66		$	4.41		$	1.38		$	3.13		30	%	10	%
Income from discontinued operations		—			0.01			—			—			—		**		—
Net income per diluted common share	$	3.45		$	2.67		$	4.41		$	1.38		$	3.13		29		10
Weighted-average common shares outstanding (in millions):
Basic		383.1			382.4			383.0			383.1			382.2		—		—
Diluted		384.0			383.4			383.7			383.9			383.4		—		—
Common shares outstanding (period-end, in millions)		383.0			381.2			381.5			381.9			382.1		—		—
Dividends declared and paid per common share	$	0.60		$	0.60		$	0.60		$	0.60		$	0.60		—		—
Tangible book value per common share (period-end)⁽³⁾		113.74			106.97			112.36			99.28			98.67		6	%	15	%

											2025 Q1
(Dollars in millions)	2025		2024		2024		2024		2024		2024		2024
(Dollars in millions)	Q1		Q4		Q3		Q2		Q1		Q4		Q1
Balance Sheet (Period-End)
Loans held for investment	$	323,598	$	327,775	$	320,243	$	318,186	$	315,154	(1	)%	3	%
Interest-earning assets		463,414		463,058		458,189		452,547		453,557	—		2
Total assets		493,604		490,144		486,433		480,018		481,720	1		2
Interest-bearing deposits		340,964		336,585		327,253		324,437		323,352	1		5
Total deposits		367,464		362,707		353,631		351,442		350,969	1		5
Borrowings		41,773		45,551		49,336		47,956		50,361	(8	)	(17	)
Common equity		58,697		55,938		58,080		53,135		52,955	5		11
Total stockholders’ equity		63,542		60,784		62,925		57,981		57,801	5		10
Balance Sheet (Average Balances)
Loans held for investment	$	322,385	$	321,871	$	318,255	$	314,888	$	314,614	—		2	%
Interest-earning assets		462,771		460,640		454,484		450,908		447,803	—		3
Total assets		491,817		488,300		481,219		477,285		474,995	1	%	4
Interest-bearing deposits		337,840		331,564		324,509		322,581		318,450	2		6
Total deposits		364,078		358,323		351,125		349,488		345,657	2		5
Borrowings		44,448		46,293		48,274		48,842		50,474	(4	)	(12	)
Common equity		57,395		56,918		56,443		53,262		53,152	1		8
Total stockholders’ equity		62,240		61,764		61,289		58,107		57,998	1		7


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 2: Selected Metrics—Consolidated
																2025 Q1
(Dollars in millions, except as noted)	2025			2024			2024			2024			2024			2024		2024
(Dollars in millions, except as noted)	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Performance Metrics
Net interest income growth (period over period)		(1	)%		—			7	%		1	%		—		**		**
Non-interest income growth (period over period)		(5	)		8	%		(1	)		2			(4	)%	**		**
Total net revenue growth (period over period)		(2	)		2			5			1			(1	)	**		**
Total net revenue margin⁽⁴⁾		8.64			8.85			8.81			8.43			8.40		(21	) bps	24	bps
Net interest margin⁽⁵⁾		6.93			7.03			7.11			6.70			6.69		(10	)	24
Return on average assets		1.14			0.90			1.48			0.50			1.08		24		6
Return on average tangible assets⁽⁶⁾		1.18			0.92			1.53			0.52			1.11		26		7
Return on average common equity⁽⁷⁾		9.23			7.16			11.99			3.99			9.03		207		20
Return on average tangible common equity⁽⁸⁾		12.55			9.77			16.42			5.59			12.67		278		(12	)
Efficiency ratio⁽⁹⁾		59.02			59.75			53.07			52.03			54.64		(73	)	438
Operating efficiency ratio⁽¹⁰⁾		47.00			46.26			41.95			40.84			43.89		74		311
Effective income tax rate for continuing operations		18.8			25.1			19.9			8.3			19.1		(630	)	(30	)
Employees (period-end, in thousands)		53.9			52.6			52.5			52.1			51.3		2	%	5	%
Credit Quality Metrics
Allowance for credit losses	$	15,899		$	16,258		$	16,534		$	16,649		$	15,380		(2	)%	3	%
Allowance coverage ratio		4.91	%		4.96	%		5.16	%		5.23	%		4.88	%	(5	) bps	3	bps
Net charge-offs	$	2,736		$	2,884		$	2,604		$	2,644		$	2,616		(5	)%	5	%
Net charge-off rate⁽¹¹⁾		3.40	%		3.59	%		3.27	%		3.36	%		3.33	%	(19	) bps	7	bps
30+ day performing delinquency rate		3.29			3.69			3.58			3.36			3.40		(40	)	(11	)
30+ day delinquency rate		3.51			3.98			3.89			3.63			3.67		(47	)	(16	)
Capital Ratios⁽¹²⁾
Common equity Tier 1 capital		13.6	%		13.5	%		13.6	%		13.2	%		13.1	%	10	bps	50	bps
Tier 1 capital		14.9			14.8			14.9			14.5			14.4		10		50
Total capital		17.0			16.4			16.6			16.3			16.2		60		80
Tier 1 leverage		11.6			11.6			11.6			11.3			11.3		—		30
Tangible common equity (“TCE”)⁽¹³⁾		9.1			8.6			9.1			8.2			8.1		50		100


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 3: Consolidated Statements of Income
																2025 Q1
(Dollars in millions, except as noted)	2025			2024			2024			2024			2024			2024		2024
(Dollars in millions, except as noted)	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Interest income:
Loans, including loans held for sale	$	10,157		$	10,434		$	10,547		$	9,993		$	9,920		(3	)%	2	%
Investment securities		770			753			733			700			687		2		12
Other		491			530			580			587			570		(7	)	(14	)
Total interest income		11,418			11,717			11,860			11,280			11,177		(3	)	2
Interest expense:
Deposits		2,715			2,862			2,945			2,874			2,812		(5	)	(3	)
Securitized debt obligations		176			205			234			258			261		(14	)	(33	)
Senior and subordinated notes		505			540			596			591			606		(6	)	(17	)
Other borrowings		9			12			9			11			10		(25	)	(10	)
Total interest expense		3,405			3,619			3,784			3,734			3,689		(6	)	(8	)
Net interest income		8,013			8,098			8,076			7,546			7,488		(1	)	7
Provision for credit losses		2,369			2,642			2,482			3,909			2,683		(10	)	(12	)
Net interest income after provision for credit losses		5,644			5,456			5,594			3,637			4,805		3		17
Non-interest income:
Interchange fees, net		1,223			1,260			1,228			1,249			1,145		(3	)	7
Service charges and other customer-related fees		509			554			501			459			462		(8	)	10
Net securities gains (losses)		—			—			(35	)		—			—		—		—
Other		255			278			244			252			307		(8	)	(17	)
Total non-interest income		1,987			2,092			1,938			1,960			1,914		(5	)	4
Non-interest expense:
Salaries and associate benefits		2,546			2,329			2,391			2,200			2,478		9		3
Occupancy and equipment		615			674			587			551			554		(9	)	11
Marketing		1,202			1,375			1,113			1,064			1,010		(13	)	19
Professional services		437			630			402			316			262		(31	)	67
Communications and data processing		399			398			358			355			351		—		14
Amortization of intangibles		16			19			20			19			19		(16	)	(16	)
Other		687			664			443			441			463		3		48
Total non-interest expense		5,902			6,089			5,314			4,946			5,137		(3	)	15
Income from continuing operations before income taxes		1,729			1,459			2,218			651			1,582		19		9
Income tax provision		325			366			441			54			302		(11	)	8
Income from continuing operations, net of tax		1,404			1,093			1,777			597			1,280		28		10
Income from discontinued operations, net of tax		—			3			—			—			—		**		—
Net income		1,404			1,096			1,777			597			1,280		28		10
Dividends and undistributed earnings allocated to participating securities⁽²⁾		(22	)		(17	)		(28	)		(9	)		(23	)	29		(4	)
Preferred stock dividends		(57	)		(57	)		(57	)		(57	)		(57	)	—		—
Net income available to common stockholders	$	1,325		$	1,022		$	1,692		$	531		$	1,200		30		10

																2025 Q1
	2025			2024			2024			2024			2024			2024		2024
	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Basic earnings per common share:⁽²⁾
Net income from continuing operations	$	3.46		$	2.66		$	4.42		$	1.39		$	3.14		30	%	10	%
Income from discontinued operations		—			0.01			—			—			—		**		—
Net income per basic common share	$	3.46		$	2.67		$	4.42		$	1.39		$	3.14		30		10
Diluted earnings per common share:⁽²⁾
Net income from continuing operations	$	3.45		$	2.66		$	4.41		$	1.38		$	3.13		30	%	10	%
Income from discontinued operations		—			0.01			—			—			—		**		—
Net income per diluted common share	$	3.45		$	2.67		$	4.41		$	1.38		$	3.13		29		10
Weighted-average common shares outstanding (in millions):
Basic common shares		383.1			382.4			383.0			383.1			382.2		—		—
Diluted common shares		384.0			383.4			383.7			383.9			383.4		—		—


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 4: Consolidated Balance Sheets
																2025 Q1
(Dollars in millions)		2025			2024			2024			2024			2024		2024		2024
(Dollars in millions)	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Assets:
Cash and cash equivalents:
Cash and due from banks	$	4,108		$	3,028		$	3,976		$	5,298		$	4,671		36	%	(12	)%
Interest-bearing deposits and other short-term investments		44,465			40,202			45,322			40,116			46,357		11		(4	)
Total cash and cash equivalents		48,573			43,230			49,298			45,414			51,028		12		(5	)
Restricted cash for securitization investors		392			441			421			2,415			474		(11	)	(17	)
Securities available for sale		84,362			83,013			83,500			79,250			78,398		2		8
Loans held for investment:
Unsecuritized loans held for investment		295,939			298,241			292,061			289,124			285,577		(1	)	4
Loans held in consolidated trusts		27,659			29,534			28,182			29,062			29,577		(6	)	(6	)
Total loans held for investment		323,598			327,775			320,243			318,186			315,154		(1	)	3
Allowance for credit losses		(15,899	)		(16,258	)		(16,534	)		(16,649	)		(15,380	)	(2	)	3
Net loans held for investment		307,699			311,517			303,709			301,537			299,774		(1	)	3
Loans held for sale		686			202			96			808			1,631		**		(58	)
Premises and equipment, net		4,579			4,511			4,440			4,396			4,366		2		5
Interest receivable		2,599			2,532			2,577			2,494			2,514		3		3
Goodwill		15,070			15,059			15,083			15,062			15,062		—		—
Other assets		29,644			29,639			27,309			28,642			28,473		—		4
Total assets	$	493,604		$	490,144		$	486,433		$	480,018		$	481,720		1		2

																2025 Q1
(Dollars in millions)		2025			2024			2024			2024			2024		2024		2024
(Dollars in millions)	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Liabilities:
Interest payable	$	646		$	666		$	705		$	668		$	762		(3	)%	(15	)%
Deposits:
Non-interest-bearing deposits		26,500			26,122			26,378			27,005			27,617		1		(4	)
Interest-bearing deposits		340,964			336,585			327,253			324,437			323,352		1		5
Total deposits		367,464			362,707			353,631			351,442			350,969		1		5
Securitized debt obligations		11,716			14,264			15,881			17,291			17,661		(18	)	(34	)
Other debt:
Federal funds purchased and securities loaned or sold under agreements to repurchase		573			562			520			715			568		2		1
Senior and subordinated notes		29,459			30,696			32,911			29,925			32,108		(4	)	(8	)
Other borrowings		25			29			24			25			24		(14	)	4
Total other debt		30,057			31,287			33,455			30,665			32,700		(4	)	(8	)
Other liabilities		20,179			20,436			19,836			21,971			21,827		(1	)	(8	)
Total liabilities		430,062			429,360			423,508			422,037			423,919		—		1

Stockholders’ equity:
Preferred stock		0			0			0			0			0		—		—
Common stock		7			7			7			7			7		—		—
Additional paid-in capital, net		36,693			36,428			36,216			36,012			35,808		1		2
Retained earnings		65,616			64,505			63,698			62,211			61,905		2		6
Accumulated other comprehensive loss		(7,529	)		(9,286	)		(6,287	)		(9,701	)		(9,534	)	(19	)	(21	)
Treasury stock, at cost		(31,245	)		(30,870	)		(30,709	)		(30,548	)		(30,385	)	1		3
Total stockholders’ equity		63,542			60,784			62,925			57,981			57,801		5		10
Total liabilities and stockholders’ equity	$	493,604		$	490,144		$	486,433		$	480,018		$	481,720		1		2


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 5: Notes to Financial Summary, Selected Metrics and Consolidated Financial Statements (Tables 1—4)

⁽¹⁾		Total net revenue was reduced by $705 million in Q1 2025, $706 million in Q4 2024, $624 million in Q3 2024, $649 million in Q2 2024 and $630 million in Q1 2024 for credit card finance charges and fees charged-off as uncollectible.
⁽²⁾		Dividends and undistributed earnings allocated to participating securities and earnings per share are computed independently for each period. Accordingly, the sum of each quarterly amount may not agree to the year-to-date total. We also provide adjusted diluted earnings per share, which is a non-GAAP measure. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for additional information on our non-GAAP measures.
⁽³⁾		Tangible book value per common share is a non-GAAP measure calculated based on TCE divided by common shares outstanding. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for additional information on non-GAAP measures.
⁽⁴⁾		Total net revenue margin is calculated based on annualized total net revenue for the period divided by average interest-earning assets for the period.
⁽⁵⁾		Net interest margin is calculated based on annualized net interest income for the period divided by average interest-earning assets for the period.
⁽⁶⁾		Return on average tangible assets is a non-GAAP measure calculated based on annualized income (loss) from continuing operations, net of tax, for the period divided by average tangible assets for the period. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for additional information on non-GAAP measures.
⁽⁷⁾		Return on average common equity is calculated based on annualized net income (loss) available to common stockholders less annualized income (loss) from discontinued operations, net of tax, for the period, divided by average common equity. Our calculation of return on average common equity may not be comparable to similarly-titled measures reported by other companies.
⁽⁸⁾		Return on average tangible common equity is a non-GAAP measure calculated based on annualized net income (loss) available to common stockholders less annualized income (loss) from discontinued operations, net of tax, for the period, divided by average TCE. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for additional information on non-GAAP measures.
⁽⁹⁾		Efficiency ratio is calculated based on total non-interest expense for the period divided by total net revenue for the period. We also provide an adjusted efficiency ratio, which is a non-GAAP measure. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for additional information on our non-GAAP measures.
⁽¹⁰⁾		Operating efficiency ratio is calculated based on operating expense for the period divided by total net revenue for the period. We also provide an adjusted operating efficiency ratio, which is a non-GAAP measure. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for additional information on our non-GAAP measures.
⁽¹¹⁾		Net charge-off rate is calculated based on annualized net charge-offs for the period divided by average loans held for investment for the period.
⁽¹²⁾		Capital ratios as of the end of Q1 2025 are preliminary and therefore subject to change. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for information on the calculation of each of these ratios.
⁽¹³⁾		TCE ratio is a non-GAAP measure calculated based on TCE divided by tangible assets. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for additional information on non-GAAP measures.
**		Not meaningful.


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 6: Average Balances, Net Interest Income and Net Interest Margin

	2025 Q1						2024 Q4						2024 Q1
(Dollars in millions, except as noted)	Average Balance		Interest Income/ Expense		Yield/Rate ⁽¹⁾		Average Balance		Interest Income/ Expense		Yield/Rate ⁽¹⁾		Average Balance		Interest Income/ Expense		Yield/Rate ⁽¹⁾
Interest-earning assets:
Loans, including loans held for sale	$	322,772	$	10,157	12.59	%	$	322,231	$	10,434	12.95	%	$	315,563	$	9,920	12.57	%
Investment securities		92,659		770	3.32			92,248		753	3.26			88,581		687	3.10
Cash equivalents and other		47,340		491	4.14			46,161		530	4.59			43,659		570	5.21
Total interest-earning assets	$	462,771	$	11,418	9.87		$	460,640	$	11,717	10.17		$	447,803	$	11,177	9.98
Interest-bearing liabilities:
Interest-bearing deposits	$	337,840	$	2,715	3.22		$	331,564	$	2,862	3.45		$	318,450	$	2,812	3.53
Securitized debt obligations		13,731		176	5.11			14,931		205	5.47			17,836		261	5.85
Senior and subordinated notes		30,331		505	6.66			30,888		540	7.00			32,211		606	7.52
Other borrowings and liabilities⁽²⁾		2,312		9	1.57			2,434		12	1.85			2,373		10	1.78
Total interest-bearing liabilities	$	384,214	$	3,405	3.54		$	379,817	$	3,619	3.81		$	370,870	$	3,689	3.98
Net interest income/spread			$	8,013	6.32				$	8,098	6.36				$	7,488	6.00
Impact of non-interest-bearing funding					0.61						0.67						0.69
Net interest margin⁽³⁾					6.93	%					7.03	%					6.69	%


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 7: Loan Information and Performance Statistics
											2025 Q1
(Dollars in millions, except as noted)	2025		2024		2024		2024		2024		2024		2024
(Dollars in millions, except as noted)	Q1		Q4		Q3		Q2		Q1		Q4		Q1
Loans Held for Investment (Period-End)
Credit card:
Domestic credit card	$	150,309	$	155,618	$	149,400	$	147,065	$	143,861	(3	)%	4	%
International card businesses		6,880		6,890		7,251		6,830		6,733	—		2
Total credit card		157,189		162,508		156,651		153,895		150,594	(3	)	4
Consumer banking:
Auto		77,656		76,829		75,505		74,385		73,801	1		5
Retail banking		1,240		1,263		1,253		1,278		1,298	(2	)	(4	)
Total consumer banking		78,896		78,092		76,758		75,663		75,099	1		5
Commercial banking:
Commercial and multifamily real estate		31,971		31,903		32,199		32,832		34,272	—		(7	)
Commercial and industrial		55,542		55,272		54,635		55,796		55,189	—		1
Total commercial banking		87,513		87,175		86,834		88,628		89,461	—		(2	)
Total loans held for investment	$	323,598	$	327,775	$	320,243	$	318,186	$	315,154	(1	)	3
Loans Held for Investment (Average)
Credit card:
Domestic credit card	$	149,639	$	150,290	$	147,021	$	143,744	$	142,887	—		5	%
International card businesses		6,768		7,036		6,951		6,723		6,758	(4	)%	—
Total credit card		156,407		157,326		153,972		150,467		149,645	(1	)	5
Consumer banking:
Auto		77,228		75,968		74,920		74,098		73,768	2		5
Retail banking		1,252		1,253		1,262		1,288		1,324	—		(5	)
Total consumer banking		78,480		77,221		76,182		75,386		75,092	2		5
Commercial banking:
Commercial and multifamily real estate		31,733		32,058		32,416		33,801		34,310	(1	)	(8	)
Commercial and industrial		55,765		55,266		55,685		55,234		55,567	1		—
Total commercial banking		87,498		87,324		88,101		89,035		89,877	—		(3	)
Total average loans held for investment	$	322,385	$	321,871	$	318,255	$	314,888	$	314,614	—		2

											2025 Q1
	2025		2024		2024		2024		2024		2024		2024
	Q1		Q4		Q3		Q2		Q1		Q4		Q1
Net Charge-Off (Recovery) Rates
Credit card:
Domestic credit card⁽⁴⁾	6.19	%	6.06	%	5.61	%	6.05	%	5.94	%	13	bps	25	bps
International card businesses	5.02		5.17		5.23		5.03		5.16		(15	)	(14	)
Total credit card	6.14		6.02		5.60		6.00		5.90		12		24
Consumer banking:
Auto	1.55		2.32		2.05		1.81		1.99		(77	)	(44	)
Retail banking	4.75		5.63		5.43		5.38		4.04		(88	)	71
Total consumer banking	1.60		2.38		2.11		1.87		2.03		(78	)	(43	)
Commercial banking:
Commercial and multifamily real estate	0.09		0.50		0.26		0.11		0.20		(41	)	(11	)
Commercial and industrial	0.12		0.13		0.20		0.17		0.08		(1	)	4
Total commercial banking	0.11		0.26		0.22		0.15		0.13		(15	)	(2	)
Total net charge-offs	3.40		3.59		3.27		3.36		3.33		(19	)	7
30+ Day Performing Delinquency Rates
Credit card:
Domestic credit card	4.25	%	4.53	%	4.53	%	4.14	%	4.48	%	(28	) bps	(23	) bps
International card businesses	4.56		4.52		4.53		4.63		4.83		4		(27	)
Total credit card	4.26		4.53		4.53		4.16		4.50		(27	)	(24	)
Consumer banking:
Auto	4.93		5.95		5.61		5.67		5.28		(102	)	(35	)
Retail banking	1.13		1.12		0.95		1.57		0.95		1		18
Total consumer banking	4.87		5.87		5.53		5.60		5.21		(100	)	(34	)
Nonperforming Loans and Nonperforming Assets Rates⁽⁵⁾⁽⁶⁾
Credit card:
International card businesses	0.13	%	0.15	%	0.15	%	0.15	%	0.13	%	(2	) bps	—
Total credit card	0.01		0.01		0.01		0.01		0.01		—		—
Consumer banking:
Auto	0.72		0.98		0.91		0.88		0.79		(26	)	(7	) bps
Retail banking	1.89		1.94		2.19		2.81		3.21		(5	)	(132	)
Total consumer banking	0.74		0.99		0.93		0.92		0.83		(25	)	(9	)
Commercial banking:
Commercial and multifamily real estate	1.23		1.60		1.96		1.28		1.58		(37	)	(35	)
Commercial and industrial	1.50		1.27		1.32		1.56		1.10		23		40
Total commercial banking	1.40		1.39		1.55		1.46		1.28		1		12
Total nonperforming loans	0.56		0.61		0.65		0.63		0.57		(5	)	(1	)
Total nonperforming assets	0.58		0.63		0.67		0.64		0.58		(5	)	—


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 8: Allowance for Credit Losses and Reserve for Unfunded Lending Commitments Activity

	Three Months Ended March 31, 2025
	Credit Card									Consumer Banking
(Dollars in millions)	Domestic Card			International Card Businesses			Total Credit Card			Auto			Retail Banking			Total Consumer Banking			Commercial Banking			Total
Allowance for credit losses:
Balance as of December 31, 2024	$	12,494		$	480		$	12,974		$	1,859		$	25		$	1,884		$	1,400		$	16,258
Charge-offs		(2,852	)		(126	)		(2,978	)		(656	)		(20	)		(676	)		(38	)		(3,692	)
Recoveries		538			41			579			357			6			363			14			956
Net charge-offs		(2,314	)		(85	)		(2,399	)		(299	)		(14	)		(313	)		(24	)		(2,736	)
Provision for credit losses		1,856			70			1,926			285			16			301			141			2,368
Allowance build (release) for credit losses		(458	)		(15	)		(473	)		(14	)		2			(12	)		117			(368	)
Other changes⁽⁷⁾		—			9			9			—			—			—			—			9
Balance as of March 31, 2025		12,036			474			12,510			1,845			27			1,872			1,517			15,899
Reserve for unfunded lending commitments:
Balance as of December 31, 2024		—			—			—			—			—			—			143			143
Provision for losses on unfunded lending commitments		—			—			—			—			—			—			1			1
Balance as of March 31, 2025		—			—			—			—			—			—			144			144
Combined allowance and reserve as of March 31, 2025	$	12,036		$	474		$	12,510		$	1,845		$	27		$	1,872		$	1,661		$	16,043


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 9: Financial Summary—Business Segment Results

	Three Months Ended March 31, 2025
(Dollars in millions)	Credit Card		Consumer Banking		Commercial Banking⁽⁸⁾			Other⁽⁸⁾			Total
Net interest income (loss)	$	5,654	$	1,943	$	572		$	(156	)	$	8,013
Non-interest income (loss)		1,511		183		312			(19	)		1,987
Total net revenue (loss)		7,165		2,126		884			(175	)		10,000
Provision (benefit) for credit losses		1,926		301		142			—			2,369
Non-interest expense		3,638		1,581		486			197			5,902
Income (loss) from continuing operations before income taxes		1,601		244		256			(372	)		1,729
Income tax provision (benefit)		382		58		61			(176	)		325
Income (loss) from continuing operations, net of tax	$	1,219	$	186	$	195		$	(196	)	$	1,404

	Three Months Ended December 31, 2024
(Dollars in millions)	Credit Card		Consumer Banking		Commercial Banking⁽⁸⁾			Other⁽⁸⁾			Total
Net interest income (loss)	$	5,779	$	1,959	$	587		$	(227	)	$	8,098
Non-interest income (loss)		1,585		182		366			(41	)		2,092
Total net revenue (loss)		7,364		2,141		953			(268	)		10,190
Provision (benefit) for credit losses		2,384		328		(72	)		2			2,642
Non-interest expense		3,846		1,545		518			180			6,089
Income (loss) from continuing operations before income taxes		1,134		268		507			(450	)		1,459
Income tax provision (benefit)		268		63		119			(84	)		366
Income (loss) from continuing operations, net of tax	$	866	$	205	$	388		$	(366	)	$	1,093

	Three Months Ended March 31, 2024
(Dollars in millions)	Credit Card		Consumer Banking		Commercial Banking⁽⁸⁾			Other⁽⁸⁾			Total
Net interest income (loss)	$	5,272	$	2,011	$	599		$	(394	)	$	7,488
Non-interest income (loss)		1,476		159		281			(2	)		1,914
Total net revenue (loss)		6,748		2,170		880			(396	)		9,402
Provision (benefit) for credit losses		2,259		426		(2	)		—			2,683
Non-interest expense		3,229		1,246		515			147			5,137
Income (loss) from continuing operations before income taxes		1,260		498		367			(543	)		1,582
Income tax provision (benefit)		299		117		87			(201	)		302
Income (loss) from continuing operations, net of tax	$	961	$	381	$	280		$	(342	)	$	1,280


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 10: Financial & Statistical Summary—Credit Card Business
																2025 Q1 vs.
(Dollars in millions, except as noted)		2025			2024			2024			2024			2024		2024		2024
(Dollars in millions, except as noted)	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Credit Card
Earnings:
Net interest income	$	5,654		$	5,779		$	5,743		$	5,294		$	5,272		(2	)%	7	%
Non-interest income		1,511			1,585			1,509			1,506			1,476		(5	)	2
Total net revenue		7,165			7,364			7,252			6,800			6,748		(3	)	6
Provision for credit losses		1,926			2,384			2,084			3,545			2,259		(19	)	(15	)
Non-interest expense		3,638			3,846			3,367			3,134			3,229		(5	)	13
Income from continuing operations before income taxes		1,601			1,134			1,801			121			1,260		41		27
Income tax provision		382			268			427			30			299		43		28
Income from continuing operations, net of tax	$	1,219		$	866		$	1,374		$	91		$	961		41		27
Selected performance metrics:
Period-end loans held for investment	$	157,189		$	162,508		$	156,651		$	153,895		$	150,594		(3	)	4
Average loans held for investment		156,407			157,326			153,972			150,467			149,645		(1	)	5
Average yield on loans outstanding⁽¹⁾		18.54	%		19.05	%		19.66	%		18.79	%		18.84	%	(51	) bps	(30	) bps
Total net revenue margin⁽⁹⁾		18.32			18.72			18.82			18.03			17.99		(40	)	33
Net charge-off rate		6.14			6.02			5.60			6.00			5.90		12		24
30+ day performing delinquency rate		4.26			4.53			4.53			4.16			4.50		(27	)	(24	)
30+ day delinquency rate		4.27			4.54			4.54			4.17			4.50		(27	)	(23	)
Nonperforming loan rate⁽⁵⁾		0.01			0.01			0.01			0.01			0.01		—		—
Purchase volume⁽¹⁰⁾	$	157,948		$	172,919		$	166,203		$	165,143		$	150,171		(9	)%	5	%
																2025 Q1 vs.
(Dollars in millions, except as noted)		2025			2024			2024			2024			2024		2024		2024
(Dollars in millions, except as noted)	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Domestic Card
Earnings:
Net interest income	$	5,343		$	5,474		$	5,434		$	5,001		$	4,972		(2	)%	7	%
Non-interest income		1,460			1,522			1,438			1,440			1,411		(4	)	3
Total net revenue		6,803			6,996			6,872			6,441			6,383		(3	)	7
Provision for credit losses		1,856			2,278			1,997			3,435			2,157		(19	)	(14	)
Non-interest expense		3,422			3,607			3,149			2,946			3,025		(5	)	13
Income from continuing operations before income taxes		1,525			1,111			1,726			60			1,201		37		27
Income tax provision		363			262			407			15			283		39		28
Income from continuing operations, net of tax	$	1,162		$	849		$	1,319		$	45		$	918		37		27
Selected performance metrics:
Period-end loans held for investment	$	150,309		$	155,618		$	149,400		$	147,065		$	143,861		(3	)	4
Average loans held for investment		149,639			150,290			147,021			143,744			142,887		—		5
Average yield on loans outstanding⁽¹⁾		18.42	%		19.00	%		19.62	%		18.73	%		18.76	%	(58	) bps	(34	) bps
Total net revenue margin^(9)(11)		18.19			18.62			18.67			17.87			17.82		(43	)	37
Net charge-off rate⁽⁴⁾		6.19			6.06			5.61			6.05			5.94		13		25
30+ day performing delinquency rate		4.25			4.53			4.53			4.14			4.48		(28	)	(23	)
Purchase volume⁽¹⁰⁾	$	154,391		$	168,994		$	162,281		$	161,370		$	146,696		(9	)%	5	%
Refreshed FICO scores:⁽¹²⁾
Greater than 660		69	%		69	%		69	%		69	%		68	%	—		1
660 or below		31			31			31			31			32		—		(1	)
Total		100	%		100	%		100	%		100	%		100	%


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 11: Financial & Statistical Summary—Consumer Banking Business
																2025 Q1 vs.
(Dollars in millions, except as noted)		2025			2024			2024			2024			2024		2024		2024
(Dollars in millions, except as noted)	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Consumer Banking
Earnings:
Net interest income	$	1,943		$	1,959		$	2,028		$	2,025		$	2,011		(1	)%	(3	)%
Non-interest income		183			182			182			172			159		1		15
Total net revenue		2,126			2,141			2,210			2,197			2,170		(1	)	(2	)
Provision for credit losses		301			328			351			330			426		(8	)	(29	)
Non-interest expense		1,581			1,545			1,331			1,250			1,246		2		27
Income from continuing operations before income taxes		244			268			528			617			498		(9	)	(51	)
Income tax provision		58			63			125			146			117		(8	)	(50	)
Income from continuing operations, net of tax	$	186		$	205		$	403		$	471		$	381		(9	)	(51	)
Selected performance metrics:
Period-end loans held for investment	$	78,896		$	78,092		$	76,758		$	75,663		$	75,099		1		5
Average loans held for investment		78,480			77,221			76,182			75,386			75,092		2		5
Average yield on loans held for investment⁽¹⁾		9.03	%		9.04	%		8.88	%		8.54	%		8.33	%	(1	) bps	70	bps
Auto loan originations	$	9,210		$	9,399		$	9,158		$	8,463		$	7,522		(2	)%	22	%
Period-end deposits		324,920			318,329			309,569			305,422			300,806		2		8
Average deposits		319,950			313,992			306,121			300,794			294,448		2		9
Average deposits interest rate		3.00	%		3.21	%		3.33	%		3.22	%		3.15	%	(21	) bps	(15	) bps
Net charge-off rate		1.60			2.38			2.11			1.87			2.03		(78	)	(43	)
30+ day performing delinquency rate		4.87			5.87			5.53			5.60			5.21		(100	)	(34	)
30+ day delinquency rate		5.47			6.73			6.31			6.35			5.86		(126	)	(39	)
Nonperforming loan rate⁽⁵⁾		0.74			0.99			0.93			0.92			0.83		(25	)	(9	)
Nonperforming asset rate⁽⁶⁾		0.82			1.08			1.01			0.99			0.91		(26	)	(9	)
Auto—At origination FICO scores:⁽¹³⁾
Greater than 660		53	%		54	%		53	%		53	%		53	%	(1	)%	—
621 – 660		19			19			20			20			20		—		(1	)%
620 or below		28			27			27			27			27		1		1
Total		100	%		100	%		100	%		100	%		100	%


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 12: Financial & Statistical Summary—Commercial Banking Business
																2025 Q1 vs.
(Dollars in millions, except as noted)		2025			2024			2024			2024			2024		2024		2024
(Dollars in millions, except as noted)	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Commercial Banking
Earnings:
Net interest income	$	572		$	587		$	596		$	609		$	599		(3	)%	(5	)%
Non-interest income		312			366			292			271			281		(15	)	11
Total net revenue⁽⁸⁾		884			953			888			880			880		(7	)	—
Provision (benefit) for credit losses		142			(72	)		48			34			(2	)	**		**
Non-interest expense		486			518			495			483			515		(6	)	(6	)
Income from continuing operations before income taxes		256			507			345			363			367		(50	)	(30	)
Income tax provision		61			119			82			85			87		(49	)	(30	)
Income from continuing operations, net of tax	$	195		$	388		$	263		$	278		$	280		(50	)	(30	)
Selected performance metrics:
Period-end loans held for investment	$	87,513		$	87,175		$	86,834		$	88,628		$	89,461		—		(2	)
Average loans held for investment		87,498			87,324			88,101			89,035			89,877		—		(3	)
Average yield on loans held for investment⁽¹⁾⁽⁸⁾		6.29	%		6.72	%		7.25	%		7.23	%		7.14	%	(43	) bps	(85	) bps
Period-end deposits	$	29,984		$	31,691		$	30,598		$	29,210		$	31,082		(5	)%	(4	)%
Average deposits		31,654			31,545			30,365			30,810			31,844		—		(1	)
Average deposits interest rate		2.13	%		2.28	%		2.55	%		2.55	%		2.65	%	(15	) bps	(52	) bps
Net charge-off rate		0.11			0.26			0.22			0.15			0.13		(15	)	(2	)
Nonperforming loan rate⁽⁵⁾		1.40			1.39			1.55			1.46			1.28		1		12
Nonperforming asset rate⁽⁶⁾		1.40			1.39			1.55			1.46			1.28		1		12
Risk category:⁽¹⁴⁾
Noncriticized	$	80,677		$	80,431		$	78,835		$	79,695		$	80,804		—		—
Criticized performing		5,612			5,534			6,651			7,639			7,509		1	%	(25	)%
Criticized nonperforming		1,224			1,210			1,348			1,294			1,148		1		7
Total commercial banking loans held for investment	$	87,513		$	87,175		$	86,834		$	88,628		$	89,461		—		(2	)
Risk category as a percentage of period-end loans held for investment:⁽¹⁴⁾
Noncriticized		92.19	%		92.26	%		90.79	%		89.92	%		90.33	%	(7	) bps	186	bps
Criticized performing		6.41			6.35			7.66			8.62			8.39		6		(198	)
Criticized nonperforming		1.40			1.39			1.55			1.46			1.28		1		12
Total commercial banking loans		100.00	%		100.00	%		100.00	%		100.00	%		100.00	%


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 13: Financial & Statistical Summary—Other and Total
																2025 Q1 vs.
(Dollars in millions)		2025			2024			2024			2024			2024		2024		2024
(Dollars in millions)	Q1			Q4			Q3			Q2			Q1			Q4		Q1
Other
Earnings:
Net interest loss	$	(156	)	$	(227	)	$	(291	)	$	(382	)	$	(394	)	(31	)%	(60	)%
Non-interest income (loss)		(19	)		(41	)		(45	)		11			(2	)	(54	)	**
Total net loss⁽⁸⁾		(175	)		(268	)		(336	)		(371	)		(396	)	(35	)	(56	)
Provision (benefit) for credit losses		—			2			(1	)		—			—		**		—
Non-interest expense^(15)(16)		197			180			121			79			147		9		34
Loss from continuing operations before income taxes		(372	)		(450	)		(456	)		(450	)		(543	)	(17	)	(31	)
Income tax benefit		(176	)		(84	)		(193	)		(207	)		(201	)	110		(12	)
Loss from continuing operations, net of tax	$	(196	)	$	(366	)	$	(263	)	$	(243	)	$	(342	)	(46	)	(43	)
Selected performance metrics:
Period-end deposits	$	12,560		$	12,687		$	13,464		$	16,810		$	19,081		(1	)	(34	)
Average deposits		12,474			12,786			14,639			17,884			19,365		(2	)	(36	)
Total
Earnings:
Net interest income	$	8,013		$	8,098		$	8,076		$	7,546		$	7,488		(1	)%	7	%
Non-interest income		1,987			2,092			1,938			1,960			1,914		(5	)	4
Total net revenue		10,000			10,190			10,014			9,506			9,402		(2	)	6
Provision for credit losses		2,369			2,642			2,482			3,909			2,683		(10	)	(12	)
Non-interest expense		5,902			6,089			5,314			4,946			5,137		(3	)	15
Income from continuing operations before income taxes		1,729			1,459			2,218			651			1,582		19		9
Income tax provision		325			366			441			54			302		(11	)	8
Income from continuing operations, net of tax	$	1,404		$	1,093		$	1,777		$	597		$	1,280		28		10
Selected performance metrics:
Period-end loans held for investment	$	323,598		$	327,775		$	320,243		$	318,186		$	315,154		(1	)	3
Average loans held for investment		322,385			321,871			318,255			314,888			314,614		—		2
Period-end deposits		367,464			362,707			353,631			351,442			350,969		1		5
Average deposits		364,078			358,323			351,125			349,488			345,657		2		5


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 14: Notes to Net Interest Margin, Loan, Allowance and Business Segment Disclosures (Tables 6—13)

⁽¹⁾		Average yield is calculated based on annualized interest income for the period divided by average loans during the period. Annualized interest income does not include any allocations, such as funds transfer pricing. Average yield is calculated using whole dollar values for average balances and interest income/expense. Accordingly, total interest earning assets less total interest bearing liabilities may not total net interest income/spread.
⁽²⁾		Includes amounts related to entities that provide capital to low-income and rural communities of $1.9 billion in Q1 2025, $2.0 billion in Q4 2024 and $1.9 billion in Q1 2024. Related interest expense was $7 million in Q1 2025, $8 million in Q4 2024 and $8 million in Q1 2024.
⁽³⁾		The termination of our Walmart program agreement, effective May 21, 2024, (“Walmart Program Termination”) increased net interest margin by 20 basis points and 21 basis points in the first quarter of 2025 and fourth quarter of 2024, respectively. Excluding this impact, the net interest margin would have been 6.73% and 6.82% in the first quarter of 2025 and fourth quarter of 2024, respectively.
⁽⁴⁾		The Walmart Program Termination increased the Domestic Card net charge-off rate by 42 basis points, 40 basis points, 38 basis points and 19 basis points for Q1 2025, Q4 2024, Q3 2024 and Q2 2024, respectively. Excluding this impact, the Domestic Card net charge-off rate would have been 5.77%, 5.66%, 5.23% and 5.86% for Q1 2025, Q4 2024, Q3 2024 and Q2 2024, respectively.
⁽⁵⁾		Nonperforming loan rates are calculated based on nonperforming loans for each category divided by period-end total loans held for investment for each respective category. For Commercial Banking, loans categorized as nonperforming are considered criticized nonperforming.
⁽⁶⁾		Nonperforming assets consist of nonperforming loans, repossessed assets and other foreclosed assets. The total nonperforming asset rate is calculated based on total nonperforming assets divided by the combined period-end total loans held for investment, repossessed assets and other foreclosed assets.
⁽⁷⁾		Primarily represents foreign currency translation adjustments.
⁽⁸⁾		Some of our commercial investments generate tax-exempt income, tax credits or other tax benefits. Accordingly, we present our Commercial Banking revenue and yields on a taxable-equivalent basis, calculated using the federal statutory tax rate of 21% and state taxes where applicable, with offsetting reductions to the Other category.
⁽⁹⁾		Total net revenue margin is calculated based on annualized total net revenue for the period divided by average interest-earning assets for the period.
⁽¹⁰⁾		Purchase volume consists of purchase transactions, net of returns, for the period, and excludes cash advance and balance transfer transactions.
⁽¹¹⁾		The Walmart Program Termination increased Domestic Card net revenue margin by 52 basis points in Q1 2025, 55 basis points in Q4 2024, 51 basis points in Q3 2024 and 10 basis points in Q2 2024, respectively. Excluding this impact, the Domestic Card net revenue margin would have been 17.67% in Q1 2025, 18.07% in Q4 2024, 18.16% in Q3 2024 and 17.77% in Q2 2024.
⁽¹²⁾		Percentages represent period-end loans held for investment in each credit score category. Domestic Card credit scores generally represent FICO scores. These scores are obtained from one of the major credit bureaus at origination and are refreshed monthly thereafter. We approximate non-FICO credit scores to comparable FICO scores for consistency purposes. Balances for which no credit score is available or the credit score is invalid are included in the 660 or below category.
⁽¹³⁾		Percentages represent period-end loans held for investment in each credit score category. Auto credit scores generally represent average FICO scores obtained from three credit bureaus at the time of application and are not refreshed thereafter. Balances for which no credit score is available or the credit score is invalid are included in the 620 or below category.
⁽¹⁴⁾		Criticized exposures correspond to the “Special Mention,” “Substandard” and “Doubtful” asset categories defined by bank regulatory authorities.
⁽¹⁵⁾		Includes the impact of ($9 million), $8 million and $42 million FDIC special assessment in Q3 2024, Q2 2024 and Q1 2024, respectively.
⁽¹⁶⁾		Includes the impact of $110 million, $140 million, $63 million and $31 million in Discover integration expenses in Q1 2025, Q4 2024, Q3 2024 and Q2 2024, respectively, as well as any charges incurred as a result of restructuring activities for the periods presented.
**		Not meaningful.


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures⁽¹⁾

	Basel III Standardized Approach
(Dollars in millions, except as noted)	March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024			March 31, 2024
Regulatory Capital Metrics
Common equity excluding AOCI	$	66,225		$	65,823		$	64,966		$	63,435		$	63,088
Adjustments:
AOCI, net of tax⁽²⁾		19			1			58			13			14
Goodwill, net of related deferred tax liabilities		(14,792	)		(14,786	)		(14,816	)		(14,800	)		(14,804	)
Other Intangible and deferred tax assets, net of deferred tax liabilities		(247	)		(231	)		(252	)		(271	)		(291	)
Common equity Tier 1 capital	$	51,205		$	50,807		$	49,956		$	48,377		$	48,007
Tier 1 capital	$	56,050		$	55,652		$	54,801		$	53,222		$	52,852
Total capital⁽³⁾		63,930			61,805			61,151			59,875			59,484
Risk-weighted assets		375,874			377,145			368,199			366,959			366,161
Adjusted average assets⁽⁴⁾		483,888			480,794			473,146			470,915			468,030
Capital Ratios
Common equity Tier 1 capital⁽⁵⁾		13.6	%		13.5	%		13.6	%		13.2	%		13.1	%
Tier 1 capital⁽⁶⁾		14.9			14.8			14.9			14.5			14.4
Total capital⁽⁷⁾		17.0			16.4			16.6			16.3			16.2
Tier 1 leverage⁽⁴⁾		11.6			11.6			11.6			11.3			11.3
TCE⁽⁸⁾		9.1			8.6			9.1			8.2			8.1

Reconciliation of Non-GAAP Measures

The following non-GAAP measures consist of our adjusted results that we believe help investors and users of our financial information understand the effect of adjusting items on our selected reported results, however, they may not be comparable to similarly-titled measures reported by other companies. These adjusted results provide alternate measurements of our operating performance, both for the current period and trends across multiple periods. The following tables present reconciliations of these non-GAAP measures to the applicable amounts measured in accordance with GAAP.

(Dollars in millions, except per share data and as noted)	2025			2024			2024			2024			2024
(Dollars in millions, except per share data and as noted)	Q1			Q4			Q3			Q2			Q1
Adjusted diluted earnings per share (“EPS”):
Net income available to common stockholders (GAAP)	$	1,325		$	1,022		$	1,692		$	531		$	1,200
Allowance build for Walmart program agreement loss sharing termination		—			—			—			826			—
Walmart program agreement termination contra revenue impact		—			—			—			27			—
Legal reserve activities		198			75			—			—			—
Discover integration expenses		110			140			63			31			—
FDIC special assessment		—			—			(9	)		8			42
Adjusted net income available to common stockholders before income tax impacts (non-GAAP)		1,633			1,237			1,746			1,423			1,242
Income tax impacts		(76	)		(52	)		(13	)		(218	)		(10	)
Adjusted net income available to common stockholders (non-GAAP)	$	1,557		$	1,185		$	1,733		$	1,205		$	1,232

Diluted weighted-average common shares outstanding (in millions) (GAAP)		384.0			383.4			383.7			383.9			383.4

Diluted EPS (GAAP)	$	3.45		$	2.67		$	4.41		$	1.38		$	3.13
Impact of adjustments noted above		0.61			0.42			0.10			1.76			0.08
Adjusted diluted EPS (non-GAAP)	$	4.06		$	3.09		$	4.51		$	3.14		$	3.21

Adjusted efficiency ratio:
Non-interest expense (GAAP)	$	5,902		$	6,089		$	5,314		$	4,946		$	5,137
Legal reserve activities		(198	)		(75	)		—			—			—
Discover integration expenses		(110	)		(140	)		(63	)		(31	)		—
FDIC special assessment		—			—			9			(8	)		(42	)
Adjusted non-interest expense (non-GAAP)	$	5,594		$	5,874		$	5,260		$	4,907		$	5,095

Total net revenue (GAAP)	$	10,000		$	10,190		$	10,014		$	9,506		$	9,402
Walmart program agreement termination contra revenue impact		—			—			—			27			—
Adjusted net revenue (non-GAAP)	$	10,000		$	10,190		$	10,014		$	9,533		$	9,402

Efficiency ratio (GAAP)		59.02	%		59.75	%		53.07	%		52.03	%		54.64	%
Impact of adjustments noted above	(308) bps			(211) bps			(54) bps			(56) bps			(45) bps
Adjusted efficiency ratio (non-GAAP)		55.94	%		57.64	%		52.53	%		51.47	%		54.19	%

Adjusted operating efficiency ratio:
Operating expense (GAAP)	$	4,700		$	4,714		$	4,201		$	3,882		$	4,127
Legal reserve activities		(198	)		(75	)		—			—			—
Discover integration expenses		(110	)		(140	)		(63	)		(31	)		—
FDIC special assessment		—			—			9			(8	)		(42	)
Adjusted operating expense (non-GAAP)	$	4,392		$	4,499		$	4,147		$	3,843		$	4,085

Total net revenue (GAAP)	$	10,000		$	10,190		$	10,014		$	9,506		$	9,402
Walmart program agreement termination contra revenue impact		—			—			—			27			—
Adjusted net revenue (non-GAAP)	$	10,000		$	10,190		$	10,014		$	9,533		$	9,402

Operating efficiency ratio (GAAP)		47.00	%		46.26	%		41.95	%		40.84	%		43.89	%
Impact of adjustments noted above	(308) bps			(211) bps			(54) bps			(53) bps			(44) bps
Adjusted operating efficiency ratio (non-GAAP)		43.92	%		44.15	%		41.41	%		40.31	%		43.45	%

Reconciliation of Non-GAAP Measures

The following summarizes our non-GAAP measures. While these non-GAAP measures are widely used by investors, analysts and bank regulatory agencies to assess the operating performance and capital position of financial services companies, they may not be comparable to similarly-titled measures reported by other companies. The following table presents reconciliations of these non-GAAP measures to the applicable amounts measured in accordance with GAAP.

(Dollars in millions)		2025			2024			2024			2024			2024
(Dollars in millions)	Q1			Q4			Q3			Q2			Q1
Pre- Provision Earnings
Total net revenue	$	10,000		$	10,190		$	10,014		$	9,506		$	9,402
Non-interest expense		(5,902	)		(6,089	)		(5,314	)		(4,946	)		(5,137	)
Pre-provision earnings⁽⁹⁾	$	4,098		$	4,101		$	4,700		$	4,560		$	4,265
Tangible Common Equity (Period-End)
Stockholders’ equity	$	63,542		$	60,784		$	62,925		$	57,981		$	57,801
Goodwill and other intangible assets⁽¹⁰⁾		(15,139	)		(15,157	)		(15,214	)		(15,226	)		(15,257	)
Noncumulative perpetual preferred stock		(4,845	)		(4,845	)		(4,845	)		(4,845	)		(4,845	)
Tangible common equity⁽¹¹⁾	$	43,558		$	40,782		$	42,866		$	37,910		$	37,699
Tangible Common Equity (Average)
Stockholders’ equity	$	62,240		$	61,764		$	61,289		$	58,107		$	57,998
Goodwill and other intangible assets⁽¹⁰⁾		(15,149	)		(15,195	)		(15,225	)		(15,249	)		(15,280	)
Noncumulative perpetual preferred stock		(4,845	)		(4,845	)		(4,845	)		(4,845	)		(4,845	)
Tangible common equity⁽¹¹⁾	$	42,246		$	41,724		$	41,219		$	38,013		$	37,873
Return on Tangible Common Equity (Average)
Net income available to common stockholders	$	1,325		$	1,022		$	1,692		$	531		$	1,200
Tangible common equity (Average)		42,246			41,724			41,219			38,013			37,873
Return on tangible common equity^(11)(12)		12.55	%		9.77	%		16.42	%		5.59	%		12.67	%
Tangible Assets (Period-End)
Total assets	$	493,604		$	490,144		$	486,433		$	480,018		$	481,720
Goodwill and other intangible assets⁽¹⁰⁾		(15,139	)		(15,157	)		(15,214	)		(15,226	)		(15,257	)
Tangible assets⁽¹¹⁾	$	478,465		$	474,987		$	471,219		$	464,792		$	466,463

(Dollars in millions)		2025			2024			2024			2024			2024
(Dollars in millions)	Q1			Q4			Q3			Q2			Q1
Tangible Assets (Average)
Total assets	$	491,817		$	488,300		$	481,219		$	477,285		$	474,995
Goodwill and other intangible assets⁽¹⁰⁾		(15,149	)		(15,195	)		(15,225	)		(15,249	)		(15,280	)
Tangible assets⁽¹¹⁾	$	476,668		$	473,105		$	465,994		$	462,036		$	459,715
Return on Tangible Assets (Average)
Net income	$	1,404		$	1,096		$	1,777		$	597		$	1,280
Tangible Assets (Average)		476,668			473,105			465,994			462,036			459,715
Return on tangible assets^(11)(13)		1.18	%		0.92	%		1.53	%		0.52	%		1.11	%
TCE Ratio
Tangible common equity (Period-end)	$	43,558		$	40,782		$	42,866		$	37,910		$	37,699
Tangible Assets (Period-end)		478,465			474,987			471,219			464,792			466,463
TCE Ratio⁽¹¹⁾		9.1	%		8.6	%		9.1	%		8.2	%		8.1	%
Tangible Book Value per Common Share
Tangible common equity (Period-end)	$	43,558		$	40,782		$	42,866		$	37,910		$	37,699
Outstanding Common Shares		383.0			381.2			381.5			381.9			382.1
Tangible book value per common share⁽¹¹⁾	$	113.74		$	106.97		$	112.36		$	99.28		$	98.67

__________
⁽¹⁾		Regulatory capital metrics and capital ratios as of March 31, 2025 are preliminary and therefore subject to change.
⁽²⁾		Excludes certain components of AOCI in accordance with rules applicable to Category III institutions.
⁽³⁾		Total capital equals the sum of Tier 1 capital and Tier 2 capital.
⁽⁴⁾		Adjusted average assets for the purpose of calculating our Tier 1 leverage ratio represents total average assets adjusted for amounts that are deducted from Tier 1 capital, predominately goodwill and intangible assets. Tier 1 leverage ratio is a regulatory capital measure calculated based on Tier 1 capital divided by adjusted average assets.
⁽⁵⁾		Common equity Tier 1 capital ratio is a regulatory capital measure calculated based on common equity Tier 1 capital divided by risk-weighted assets.
⁽⁶⁾		Tier 1 capital ratio is a regulatory capital measure calculated based on Tier 1 capital divided by risk-weighted assets.
⁽⁷⁾		Total capital ratio is a regulatory capital measure calculated based on total capital divided by risk-weighted assets.
⁽⁸⁾		TCE ratio is a Non-GAAP measure calculated based on TCE divided by tangible assets.
⁽⁹⁾		Management believes that this financial metric is useful in assessing the ability of a lending institution to generate income in excess of its provision for credit losses.
⁽¹⁰⁾		Includes impact of related deferred taxes.
⁽¹¹⁾		Management believes that this financial metric is useful in assessing capital adequacy and the level of returns generated.
⁽¹²⁾		Return on average tangible common equity is a non-GAAP measure calculated based on annualized net income (loss) available to common stockholders less annualized income (loss) from discontinued operations, net of tax, for the period, divided by average TCE.
⁽¹³⁾		Return on average tangible assets is a non-GAAP measure calculated based on annualized income (loss) from continuing operations, net of tax, for the period divided by average tangible assets for the period.

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Investor Relations

Jeff Norris

[email protected]

Danielle Dietz

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Media Relations

Sie Soheili

[email protected]

KEYWORDS: United States North America Virginia

INDUSTRY KEYWORDS: Banking Professional Services Finance

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April 22, 2025 4:20 pm

Lazard Global Total Return and Income Fund Declares Monthly Distribution and Issues Estimated Sources of the Distribution Announced in March

Lazard Global Total Return and Income Fund Declares Monthly Distribution and Issues Estimated Sources of the Distribution Announced in March

NEW YORK–(BUSINESS WIRE)–
Lazard Global Total Return and Income Fund, Inc. (the “Fund”) (NYSE:LGI) is confirming today, pursuant to its Managed Distribution Policy, as previously authorized by its Board of Directors, a monthly distribution of $0.14646 per share on the Fund’s outstanding common stock. The distribution is payable on May 22, 2025 to shareholders of record on May 12, 2025. The ex-dividend date is May 12, 2025.

The Fund will pay a previously declared distribution today, April 22, 2025. The following table sets forth the estimated amounts of the current distribution and the cumulative distributions paid, including today’s distribution, from the following sources: net investment income, net realized capital gains (short-term and long-term), and return of capital. All amounts are expressed per share of common stock and are based on accounting principles generally accepted in the US, which may differ from federal income tax regulations.

	Current Distribution	% of the Current Distribution	Total Cumulative Distributions for the Fiscal Year to Date	% of the Total Cumulative Distributions for the Fiscal Year to Date
Net Income	$0.00000	0%	$0.00000	0%
Net Realized Short-Term Capital Gains	$0.00000	0%	$0.00000	0%
Net Realized Long-Term Capital Gains	$0.05627	38%	$0.14634	25%
Return of Capital	$0.09019	62%	$0.43950	75%
Total	$0.14646	100%	$0.58584	100%

Average annual total return (in relation to NAV) from inception through March 31, 2025	7.16%
Average annual total return (in relation to NAV) for the 5-year period ending on March 31, 2025	12.63%
Annualized current distribution rate expressed as a percentage of NAV as of March 31, 2025	10.39%
Cumulative total return (in relation to NAV) for the fiscal year through March 31, 2025	– 1.37%
Cumulative fiscal year distributions as a percentage of NAV as of March 31, 2025	1.85%

You should not draw any conclusions about the Fund’s investment performance from the amount of this distribution or from the terms of the Fund’s Managed Distribution Policy.

The Fund estimates that it has distributed more than its net investment income and net realized capital gains; therefore, a portion of your distribution may be return of capital. A return of capital may occur, for example, when some or all of the money that you invested in the Fund is paid back to you. A return of capital distribution does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income”.

The amounts and sources of distributions reported above are only estimates and are not being provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes will depend upon the Fund’s investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The Fund provides financial intermediary firms the information necessary to produce the Form 1099-DIV, and then the relevant financial intermediary firm will send you a Form 1099-DIV for the calendar year that will tell you how to report these distributions for federal income tax purposes. If you have any questions, or need additional information, please call us at 1-800-823-6300.

Portfolio data as of March 31, 2025, including performance, asset allocation, top 10 holdings, sector weightings, regional exposure, and other Fund characteristics have been posted on Lazard Asset Management’s (“LAM”) website, www.LazardAssetManagement.com.

The Fund’s investment objective is total return, consisting of capital appreciation and current income. The Fund’s net assets are invested in a portfolio of approximately 60 to 80 US and non-US equity securities, including American Depository Receipts, generally of companies with market capitalizations greater than $2 billion, and may include investments in emerging markets. The Fund also invests in emerging market currencies (primarily by entry into forward currency contracts), or instruments whose value is derived from the performance of an underlying emerging market currency, and also may invest in debt obligations, including government, government agency and corporate obligations and structured notes denominated in emerging market currencies.

An indirect subsidiary of Lazard, Inc. (NYSE: LAZ), LAM, the Fund’s investment manager, offers a range of equity, fixed-income, and alternative investment products worldwide. As of March 31, 2025, LAM and affiliated asset management companies in the Lazard Group managed $227.4 billion worth of client assets. For more information about LAM, please go to www.LazardAssetManagement.com. Follow LAM at @LazardAsset.

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Media contact:

Aziz Nayani, +1 212 632 6042

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Investor contact:

Ben Wulfsohn, +1 800 823 6300

[email protected]

KEYWORDS: United States North America New York

INDUSTRY KEYWORDS: Asset Management Professional Services Finance

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April 22, 2025 4:19 pm

AlTi Global, Inc. to Announce First Quarter 2025 Financial Results

AlTi Global, Inc. to Announce First Quarter 2025 Financial Results

NEW YORK–(BUSINESS WIRE)–
AlTi Global, Inc. (NASDAQ: ALTI) (“AlTi”), a leading independent global wealth manager with over $76 billion in combined assets, today announced it will release its financial results for the first quarter 2025 after the market close on Monday, May 12, 2025. Management will host a conference call and webcast the same day at 5:00pm Eastern Time to provide a business update and discuss the financial results for the quarter.

Conference Call Information

Participants are invited to access the conference call by dialing one of the following numbers when prompted:

Domestic: (877) 704-4453
International: (201) 389-0920

Alternatively, participants can register for the call using the following link for instant telephone access to the conference call 15 minutes prior to the scheduled start time.

The conference call will be broadcast live on the Events & Presentations section of the AlTi investor relations website.

Replay Information

An archived replay will be available on the Investor Relations website, and through the dial-in numbers listed below:

Domestic: (844) 512-2921
International: (412) 317-6671

A replay of the webcast will be available on AlTi’s website for one year following the conference call.

About AlTi Global, Inc.

AlTi is a leading independent global wealth manager providing entrepreneurs, multi-generational families, institutions, and emerging next-generation leaders with fiduciary capabilities as well as alternative investment strategies and advisory services. AlTi’s comprehensive offering is underscored by a commitment to impact or values-aligned investing. The firm currently manages or advises on over $76 billion in combined assets and has an expansive network with approximately 430 professionals across three continents. For more information, please visit us at www.alti-global.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250422604478/en/

Lily Arteaga

Head of Investor Relations

AlTi Global, Inc.

[email protected]

KEYWORDS: United States North America New York

INDUSTRY KEYWORDS: Asset Management Professional Services Finance

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April 22, 2025 4:19 pm

Teradata Appoints Sumeet Arora as Chief Product Officer

AI executive to lead Teradata’s Product organization

SAN DIEGO–(BUSINESS WIRE)–
Teradata Corporation (NYSE: TDC) today announced that Sumeet Arora, former Chief Development Officer in charge of global engineering and product at data analytics company ThoughtSpot, will be joining Teradata as its Chief Product Officer on April 28, 2025. In this role, Arora will be responsible for defining and executing the strategy and roadmap for Teradata’s evolving product portfolio, while leading the product and engineering teams to ensure maximum innovation, performance, and efficiency. Arora will report to Steve McMillan, Teradata’s President and Chief Executive Officer.

Most recently Arora was at ThoughtSpot, an industry leading agentic analytics platform for enterprise data, where he served as Chief Development Officer. Arora led ThoughtSpot’s global engineering, product, and design teams in continuously improving and scaling the company’s AI-powered data analytics platform. Prior to joining ThoughtSpot, Sumeet served as SVP and GM of Service Provider Networking at Cisco. In this role, he led the Engineering & Product management team for the Service Provider routing portfolio and was responsible for driving profitable market share growth of this multi-billion-dollar business.

“We are thrilled to welcome Sumeet Arora as our new Chief Product Officer. Sumeet’s extensive experience in leading engineering and product management for AI-driven analytics, and his proven track record in managing complex product portfolios and building solutions that generate significant revenue, will be invaluable as he oversees our entire product lifecycle,” said Steve McMillan, President and Chief Executive Officer at Teradata. “I am confident that Sumeet’s strategic vision, growth mindset and collaborative leadership will help Teradata continue to foster a culture of innovation as we advance in delivering cutting-edge solutions and Trusted AI at scale to our customers.”

“As we enter the era of autonomous business processes powered by AI, it is evident that there is no trusted AI without trusted data. Many of the world’s top banks, airlines, healthcare providers, telecommunications companies, retailers, and more make data driven decisions using the power of the Teradata platform,” said Arora. “With its Trusted AI, analytics, and data capabilities that work across both on-prem and multi-cloud environments, Teradata is uniquely positioned to enable customers to get value from all of their data. I am excited to collaborate with the entire Teradata team to accelerate product innovation and be the best development partner for our customers as they leverage AI and data to deliver transformative business outcomes.”

About Teradata

At Teradata, we believe that people thrive when empowered with trusted information. We offer the most complete cloud analytics and data platform for AI. By delivering harmonized data and trusted AI, we enable more confident decision-making, unlock faster innovation, and drive the impactful business results organizations need most. See how at Teradata.com.

The Teradata logo is a trademark, and Teradata is a registered trademark of Teradata Corporation and/or its affiliates in the U.S. and worldwide.

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January Machold

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INDUSTRY KEYWORDS: Software Networks Data Analytics Internet Artificial Intelligence Data Management Professional Services Technology

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