Market Newsdesk

February 20, 2025 4:34 pm

Cool Company Ltd. Announces Fourth Quarter, Full Year 2024 Earnings Release Date

Cool Company Ltd. Announces Fourth Quarter, Full Year 2024 Earnings Release Date

LONDON–(BUSINESS WIRE)–Cool Company Ltd. (NYSE: CLCO / CLCO.OL, “CoolCo” or the “Company”) will host a Fourth Quarter and Full Year 2024 Earnings call and webcast presentation on Thursday, February 27, 2025, at 8:00 A.M. New York / 2:00 P.M. Oslo / 1:00 P.M. London. The presentation will be available to download from the Presentations and Webcasts subsection of the Investors section of the Company’s website at www.coolcoltd.com.

We recommend that participants join the conference call via the listen-only live webcast link provided. Sell-side analysts interested in raising a question during the Q&A session that will immediately follow the presentation should access the event via the teleconference dial-in options listed below. We recommend connecting 10 minutes prior to the scheduled start time. Information on how to ask questions will be given at the beginning of the Q&A session. There will be a limit of two questions per participant.

a. Listen-only live webcast link

Go to the Investors – News – Presentations and Webcasts section at www.coolcoltd.com and click on the “Webcast” link.

b. Teleconference

Conference call participants who wish to raise a question during the Q&A session should join the teleconference by phone using one of the following options and conference ID 7960822:

North America	+1 (800) 715-9871
International	+1 (646) 307-1963

Please download the presentation material from www.coolcoltd.com (Investors – News – Presentations and Webcasts) to view it while listening to the conference.

If you are not able to listen at the time of the call, you can access a replay of the event audio on www.coolcoltd.com (Investors – News – Presentations and Webcasts) (on-demand link is available for one year).

This information is subject to the disclosure requirements pursuant to Regulation EU 596/2014 (MAR) article 19 number 3 and Section 5-12 the Norwegian Securities Trading Act.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250220303764/en/

For further information, please contact:

c/o Cool Company Ltd – +44 207 659 1111 / [email protected]

Richard Tyrrell – Chief Executive Officer

John Boots – Chief Financial Officer

KEYWORDS: Europe United States United Kingdom North America

INDUSTRY KEYWORDS: Professional Services Other Energy Maritime Oil/Gas Transport Energy Finance

MEDIA:

Logo

February 20, 2025 4:34 pm

World Kinect Corporation Reports Fourth Quarter and Full Year 2024 Results

World Kinect Corporation Reports Fourth Quarter and Full Year 2024 Results

MIAMI–(BUSINESS WIRE)–
World Kinect Corporation (NYSE: WKC) today reported financial results for the fourth quarter and full year 2024.

Fourth Quarter 2024 Highlights

Gross profit of $259 million
GAAP net loss of $102 million, or $1.77 per diluted share
Adjusted net income of $36 million, or $0.62 per diluted share
Generated $120 million of operating cash flow
Repurchased $43 million of common stock
Adjusted EBITDA of $95 million

Year-Over-Year Segment Profitability

Aviation – Gross profit of $120 million, a decrease of 8%, primarily driven by the sale of Avinode during the second quarter of 2024 and lower inventory-related profitability year-over-year, partially offset by growth in our commercial resale business as well as further growth in our business and general aviation activities.
Land – Gross profit of $104 million, an increase of 83%, driven primarily by a non-recurring item in the fourth quarter of 2023. Adjusted gross profit of $104 million, a decrease of 1%, driven by lower profit contribution from our sustainability-related offerings as well as unfavorable market conditions in Brazil, principally offset by improved performance in our core liquid fuel business in North America.
Marine – Gross profit of $34 million, a decrease of 22%, principally due to lower profit contribution from our resale businesses, driven primarily by reduced bunker fuel prices and market volatility year-over-year.

Fourth Quarter 2024 – Brazil Divestiture, Exit Activities and Impairments

We sold our Brazil subsidiaries during the quarter ended December 31, 2024. As a result, we recorded a one-time, non-cash pre-tax loss of approximately $111 million during the fourth quarter, which included the recognition of cumulative translation losses of $80 million, which had no impact to shareholder equity or cash flows.
Additionally, during the quarter ended December 31, 2024, we decided to take actions to exit certain operations within our North American land business. We recognized related pre-tax asset impairment and exit costs, including the write-off of certain accounts receivable, aggregating approximately $9 million during the fourth quarter.
We also recorded approximately $22 million of additional asset impairments which were primarily related to an equity-method investment in a non-core business activity during the fourth quarter.

Full Year 2024 Highlights

Gross profit of $1.03 billion
GAAP net income of $67 million, or $1.13 per diluted share
Adjusted net income of $130 million, or $2.18 per diluted share
Generated $260 million of operating cash flow
Free cash flow of $192 million
Returned $139 million to shareholders through share repurchases and dividends
Adjusted EBITDA of $361 million

Financial Summary

(Unaudited – in millions, except per share data)

	Three Months Ended December 31,								Year Ended December 31,
		2024			2023		Change			2024			2023		Change
Volume⁽¹⁾		4,472			4,533		(1	)%		17,703			18,006		(2	)%
Revenue	$	9,761		$	12,003		(19	)%	$	42,168		$	47,711		(12	)%
Gross profit	$	259		$	232		11	%	$	1,026		$	1,058		(3	)%
Adjusted gross profit	$	259		$	280		(8	)%	$	1,026		$	1,106		(7	)%
Operating expenses	$	229		$	248		(8	)%	$	816		$	860		(5	)%
Adjusted operating expenses	$	197		$	207		(5	)%	$	773		$	819		(6	)%
Income (loss) from operations	$	30		$	(15	)	295	%	$	211		$	198		6	%
Operating margin		12	%		(7	)%				21	%		19	%
Adjusted income from operations	$	61		$	74		(16	)%	$	253		$	288		(12	)%
Adjusted operating margin		24	%		26	%				25	%		26	%
Net income including noncontrolling interest	$	(101	)	$	(35	)	(191	)%	$	68		$	54		26	%
Adjusted EBITDA	$	95		$	100		(5	)%	$	361		$	386		(6	)%
Diluted earnings per common share	$	(1.77	)	$	(0.58	)	(206	)%	$	1.13		$	0.86		32	%
Adjusted diluted earnings per common share	$	0.62		$	0.54		15	%	$	2.18		$	1.95		12	%

⁽¹⁾	Includes gallons and gallon equivalents converted as described in the table below.

“At the start of 2024, we held our Investor Day where we outlined our story and medium-term strategic objectives, and throughout the year, we took deliberate actions to advance these goals,” said Michael J. Kasbar, Chairman and Chief Executive Officer.” As we begin 2025, we continue to execute on these strategies to deliver enhanced shareholder returns.”

“We generated $260 million of operating cash flow in 2024, returning $139 million to shareholders through dividends and share repurchases, reflecting a 47% year-over-year increase,” said Ira M. Birns, Executive Vice President and Chief Financial Officer. “We remain committed to our medium-term objectives, taking strategic actions to drive growth and increase profitability through improving operating efficiencies.”

Earnings Conference Call

An investor conference call will be held today, February 20, 2025, at 5:00 PM Eastern Time to discuss fourth quarter and full year results. Participants can access the live webcast by visiting our website at ir.worldkinect.com. An on-demand replay of the webcast will be available shortly after the call.

About World Kinect Corporation

Headquartered in Miami, Florida, World Kinect Corporation (NYSE: WKC) is a global energy management company offering fulfillment and related services to more than 150,000 customers across the aviation, marine, and land-based transportation sectors. The company also supplies natural gas and power in the United States and Europe along with a growing suite of other sustainability-related products and services.

For more information, visit world-kinect.com.

Definitions

“Net income” means net income (loss) attributable to World Kinect as presented in the Statements of Income and Comprehensive Income.
“Operating margin” means income from operations as a percentage of gross profit.

Non-GAAP Financial Measures

We believe that the non-GAAP financial measures, when considered in conjunction with our financial information prepared in accordance with GAAP, are useful to investors to further aid in evaluating our ongoing financial performance and to provide greater transparency as supplemental information to our GAAP results.

Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. In addition, our presentation of the non-GAAP financial measures may not be comparable to the presentation of such metrics by other companies.

Our non-GAAP financial measures exclude acquisition and divestiture related expenses, costs associated with restructuring activities (including all costs associated with exit activities), impairments, gains or losses on the extinguishment of debt, gains or losses on sale of businesses, integration costs associated with our acquisitions, and non-operating legal settlements, primarily because we do not believe they are reflective of our core operating results. We also exclude costs associated with a previously disclosed erroneous bid made in the Finnish power market (the “Finnish bid error”) that resulted in the extraordinary losses.

We use the following non-GAAP measures:

Adjusted net income attributable to World Kinect(“Adjusted net income”) is defined as net income excluding the impact of acquisition and divestiture related expenses, costs associated with restructuring activities (including all costs associated with exit activities), impairments, gains or losses on the extinguishment of debt, gains or losses on sale of businesses, integration costs, non-operating legal settlements, and costs associated with the Finnish bid error.
Adjusted diluted earnings per common share (“Adjusted EPS”) is computed by dividing adjusted net income by the sum of the weighted average number of shares of common stock outstanding for the period and the number of additional shares of common stock that would have been outstanding if our outstanding potentially dilutive securities had been issued. For the purpose of calculating Adjusted EPS, the weighted average number of shares of common stock outstanding is adjusted to include the convertible note hedges. Potentially dilutive securities include share-based compensation awards, such as non-vested restricted stock units, performance stock units where the performance requirements have been met, settled stock appreciation rights awards, and the convertible notes.
Adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) is defined as net income including noncontrolling interest and excluding the impact of interest, income taxes, and depreciation and amortization, in addition to acquisition and divestiture related expenses, costs associated with restructuring activities (including all costs associated with exit activities), impairments, gains or losses on sale of businesses, integration costs, non-operating legal settlements, and costs associated with the Finnish bid error.
Adjusted income from operations is defined as income from operations excluding the impact of acquisition and divestiture related expenses, costs associated with restructuring activities (including all costs associated with exit activities), impairments, integration costs, and costs associated with the Finnish bid error.
Adjusted income from operations as a percentage of adjusted gross profit (“Adjusted operating margin”) is computed by dividing Adjusted income from operations by Adjusted gross profit (as defined below).
Adjusted operating expenses is defined as operating expenses excluding the impact of acquisition and divestiture related expenses, costs associated with restructuring activities (including all costs associated with exit activities), impairments, integration costs, and costs associated with the Finnish bid error.
Consolidated and Land Adjusted gross profit is defined as gross profit excluding the impact of costs associated with the Finnish bid error.
Free cash flow is defined as operating cash flow minus total capital expenditures.

Investors are encouraged to review the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures in this press release and on our website.

Information Relating to Forward-Looking Statements

This release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may contain the words “believe,” “anticipate,” “expect,” “estimate,” “project,” “could,” “would,” “will,” “will be,” “will continue,” “plan,” or words or phrases of similar meaning. Specifically, this release includes forward-looking statements regarding improved operating efficiencies, performance of our core businesses, and the achievement of our financial goals. Our forward-looking statements are qualified in their entirety by cautionary statements and risk factor disclosures contained in our Securities and Exchange Commission (“SEC”) filings, including our most recent Annual Report on Form 10-K filed with the SEC. Our actual results may differ materially from the future results, performance or achievements expressed or implied by the forward-looking statements. Important factors that could cause actual results to differ materially from the results and events anticipated by such forward-looking statements include, but are not limited to: the imposition of tariffs in connection with the new U.S. presidential administration and retaliatory tariffs in response thereto, or renegotiation of existing trade agreements; customer and counterparty creditworthiness and our ability to collect accounts receivable and settle derivative contracts; changes in the market prices of energy or commodities or extremely high or low fuel prices that continue for an extended period of time; adverse conditions in the industries in which our customers operate; our inability to effectively mitigate certain financial risks and other risks associated with derivatives and our physical fuel products; our ability to achieve the expected level of benefit from our restructuring activities and cost reduction initiatives; relationships with our employees and potential labor disputes associated with employees covered by collective bargaining agreements; our failure to comply with restrictions and covenants governing our outstanding indebtedness; the impact of cyber and other information technology or security related incidents on us, our customers or other parties; changes in the political, economic or regulatory environment generally and in the markets in which we operate, including as a result of the current conflicts in Eastern Europe and the Middle East and the change in the U.S. presidential administration; greenhouse gas reduction programs and other environmental and climate change legislation adopted by governments around the world, including cap and trade regimes, carbon taxes, increased efficiency standards and mandates for renewable energy, each of which could increase our operating and compliance costs as well as adversely impact our sales of fuel products; changes in credit terms extended to us from our suppliers; non-performance of suppliers on their sale commitments and customers on their purchase commitments; non-performance of third-party service providers; our ability to effectively integrate and derive benefits from acquired businesses; our ability to meet financial forecasts associated with our operating plan; lower than expected cash flows and revenues, which could impair our ability to realize the value of recorded intangible assets and goodwill; the availability of cash and sufficient liquidity to fund our working capital and strategic investment needs; currency exchange fluctuations; inflationary pressures and their impact on our customers or the global economy, including sudden or significant increases in interest rates or a global recession; our ability to effectively leverage technology and operating systems and realize the anticipated benefits; failure to meet fuel and other product specifications agreed with our customers; environmental and other risks associated with the storage, transportation and delivery of petroleum products; reputational harm from adverse publicity arising out of spills, environmental contamination or public perception about the impacts on climate change by us or other companies in our industry; risks associated with operating in high-risk locations, including supply disruptions, border closures and other logistical difficulties that arise when working in these areas; uninsured or underinsured losses; seasonal variability that adversely affects our revenues and operating results, as well as the impact of natural disasters, such as earthquakes, hurricanes and wildfires; declines in the value and liquidity of cash equivalents and investments; our ability to retain and attract senior management and other key employees; changes in U.S. or foreign tax laws, interpretations of such laws, changes in the mix of taxable income among different tax jurisdictions, or adverse results of tax audits, assessments, or disputes; our failure to generate sufficient future taxable income in jurisdictions with material deferred tax assets and net operating loss carryforwards; changes in multilateral conventions, treaties, tariffs or other arrangements between or among sovereign nations; our ability to comply with U.S. and international laws and regulations, including those related to anti-corruption, economic sanction programs and environmental matters; the outcome of litigation, regulatory investigations and other legal matters, including the associated legal and other costs; and other risks described from time to time in our SEC filings. New risks emerge from time to time and it is not possible for management to predict all such risk factors or to assess the impact of such risks on our business. Accordingly, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, changes in expectations, future events, or otherwise, except as required by law.

— Some amounts in this press release may not add due to rounding. All percentages have been calculated using unrounded amounts —

WORLD KINECT CORPORATION CONSOLIDATED BALANCE SHEETS (Unaudited – In millions, except per share data)

	December 31, 2024			December 31, 2023
Assets:
Current assets:
Cash and cash equivalents	$	382.9		$	304.3
Accounts receivable, net of allowance for credit losses of $22.5 million and $18.3 million as of December 31, 2024 and 2023, respectively		2,432.6			2,735.5
Inventories		513.5			664.6
Prepaid expenses		71.4			77.6
Short-term derivative assets, net		176.5			275.4
Other current assets		382.2			446.4
Total current assets		3,959.2			4,503.8
Property and equipment, net		513.3			515.3
Goodwill		1,181.7			1,238.0
Identifiable intangible assets, net		261.2			299.7
Other non-current assets		816.4			818.6
Total assets	$	6,731.8		$	7,375.3
Liabilities:
Current liabilities:
Current maturities of long-term debt	$	84.0		$	78.8
Accounts payable		2,726.5			3,097.6
Short-term derivative liabilities, net		91.5			128.2
Accrued expenses and other current liabilities		535.8			745.0
Total current liabilities		3,437.8			4,049.7
Long-term debt		796.8			809.1
Other long-term liabilities		541.2			566.9
Total liabilities		4,775.8			5,425.7
Commitments and contingencies
Equity:
World Kinect shareholders’ equity:
Preferred stock, $1.00 par value; 0.1 shares authorized, none issued		—			—
Common stock, $0.01 par value; 100.0 shares authorized, 56.7 and 59.8 issued and outstanding as of December 31, 2024 and 2023, respectively		0.6			0.6
Capital in excess of par value		30.0			109.6
Retained earnings		2,009.2			1,981.6
Accumulated other comprehensive income (loss)		(91.0	)		(148.9	)
Total World Kinect shareholders’ equity		1,948.7			1,943.0
Noncontrolling interest		7.2			6.7
Total equity		1,955.9			1,949.6
Total liabilities and equity	$	6,731.8		$	7,375.3

WORLD KINECT CORPORATION CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (Unaudited – In millions, except per share data)

	For the Three Months Ended December 31,						For the Year Ended December 31,
		2024			2023			2024			2023
Revenue	$	9,760.5		$	12,002.9		$	42,168.0		$	47,710.6
Cost of revenue		9,501.6			11,770.6			41,141.6			46,652.4
Gross profit		258.9			232.4			1,026.4			1,058.2
Operating expenses:
Compensation and employee benefits		124.9			136.0			482.5			512.3
General and administrative		77.4			72.1			297.1			308.0
Asset impairments		25.3			32.4			29.0			32.8
Restructuring charges		1.4			7.2			7.1			7.2
Total operating expenses		229.0			247.7			815.7			860.2
Income (loss) from operations		29.9			(15.3	)		210.6			198.0
Non-operating income (expenses), net:
Interest expense and other financing costs, net		(21.8	)		(32.3	)		(102.2	)		(127.7	)
Other income (expense), net		(109.3	)		1.1			(12.9	)		(3.6	)
Total non-operating income (expense), net		(131.1	)		(31.3	)		(115.1	)		(131.3	)
Income (loss) before income taxes		(101.2	)		(46.6	)		95.5			66.7
Provision for income taxes		—			(11.8	)		27.6			13.0
Net income (loss) including noncontrolling interest		(101.2	)		(34.8	)		67.9			53.7
Net income (loss) attributable to noncontrolling interest		0.6			(0.1	)		0.5			0.8
Net income (loss) attributable to World Kinect	$	(101.8	)	$	(34.8	)	$	67.4		$	52.9
Basic earnings (loss) per common share	$	(1.77	)	$	(0.58	)	$	1.14		$	0.86
Basic weighted average common shares		57.5			60.1			59.0			61.4
Diluted earnings (loss) per common share	$	(1.77	)	$	(0.58	)	$	1.13		$	0.86
Diluted weighted average common shares		57.5			60.1			59.5			61.7
Comprehensive income:
Net income (loss) including noncontrolling interest	$	(101.2	)	$	(34.8	)	$	67.9		$	53.7
Other comprehensive income (loss):
Foreign currency translation adjustments		50.9			23.2			67.4			19.9
Cash flow hedges, net of income tax expense (benefit) of ($0.3) and ($0.4) for the three months ended December 31, 2024 and 2023, respectively, and net of income tax expense (benefit) of ($3.5) and ($2.7) for the twelve months ended December 31, 2024 and 2023, respectively		(0.8	)		(1.7	)		(9.6	)		(8.1	)
Total other comprehensive income (loss)		50.1			21.5			57.9			11.8
Comprehensive income (loss) including noncontrolling interest		(51.1	)		(13.3	)		125.8			65.5
Comprehensive income (loss) attributable to noncontrolling interest		0.6			(0.1	)		0.5			0.8
Comprehensive income (loss) attributable to World Kinect	$	(51.7	)	$	(13.2	)	$	125.3		$	64.7

WORLD KINECT CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited – In millions)

	For the Three Months Ended December 31,						For the Year Ended December 31,
		2024			2023			2024			2023
Cash flows from operating activities:
Net income (loss) including noncontrolling interest	$	(101.2	)	$	(34.8	)	$	67.9		$	53.7
Adjustments to reconcile net income including noncontrolling interest to net cash provided by operating activities:
Unrealized (gain) loss on derivatives		(7.1	)		(75.8	)		24.9			(267.5	)
(Gain) loss on sale of business		111.2			(1.6	)		15.2			(2.2	)
Depreciation and amortization		31.1			26.7			106.4			104.5
Noncash operating lease expense		11.7			8.2			36.0			34.7
Provision for credit losses		6.6			(0.5	)		12.0			4.7
Share-based payment award compensation costs		10.3			7.9			28.1			24.2
Deferred income tax expense (benefit)		2.7			(26.4	)		(15.3	)		(30.7	)
Unrealized foreign currency (gains) losses, net		11.2			(7.0	)		30.6			(16.5	)
Asset impairment charges		25.3			32.4			29.0			32.8
Other		(0.4	)		8.7			16.6			25.2
Changes in assets and liabilities, net of acquisitions and divestitures:
Accounts receivable, net		6.9			180.1			259.1			569.2
Inventories		89.9			58.7			133.0			186.8
Prepaid expenses		14.1			14.9			(2.3	)		6.7
Other current assets		17.5			7.8			20.7			(30.5	)
Cash collateral with counterparties		28.8			(19.9	)		105.4			168.9
Other non-current assets		(32.9	)		(14.3	)		(117.7	)		(88.0	)
Change in derivative assets and liabilities, net		2.4			1.5			(3.4	)		(4.7	)
Accounts payable		(2.3	)		(225.0	)		(355.9	)		(441.9	)
Accrued expenses and other current liabilities		(120.9	)		66.5			(164.1	)		(48.0	)
Other long-term liabilities		15.2			(3.7	)		33.7			(10.1	)
Net cash provided by (used in) operating activities		120.3			4.5			259.9			271.3
Cash flows from investing activities:
Acquisition of business, net of cash acquired		(40.0	)		(13.7	)		(40.0	)		(13.7	)
Proceeds from sale of business, net of divested cash		8.9			9.3			209.0			9.3
Capital expenditures		(17.8	)		(19.8	)		(68.2	)		(87.6	)
Other investing activities, net		14.6			0.4			(36.3	)		(9.1	)
Net cash provided by (used in) investing activities		(34.3	)		(23.7	)		64.5			(101.1	)
Cash flows from financing activities:
Borrowings of debt		1,097.0			1,870.5			3,844.0			5,921.8
Repayments of debt		(1,110.1	)		(1,861.8	)		(3,876.2	)		(6,224.4	)
Issuance of Convertible Notes		—			—			—			350.0
Dividends paid on common stock		(9.9	)		(8.4	)		(38.5	)		(34.0	)
Repurchases of common stock		(42.6	)		(10.1	)		(100.0	)		(60.1	)
Purchase of convertible note hedges		—			—			—			(70.5	)
Sale of warrants		—			—			—			40.0
Payments of deferred consideration for acquisitions		(0.5	)		—			(51.8	)		(62.9	)
Other financing activities, net		(1.9	)		(2.2	)		(8.0	)		(12.2	)
Net cash provided by (used in) financing activities		(68.0	)		(12.0	)		(230.6	)		(152.4	)
Effect of exchange rate changes on cash and cash equivalents		(8.8	)		(0.1	)		(15.2	)		(12.0	)
Net increase (decrease) in cash and cash equivalents		9.1			(31.3	)		78.7			5.9
Cash and cash equivalents, as of the beginning of the period		373.8			335.6			304.3			298.4
Cash and cash equivalents, as of the end of the period	$	382.9		$	304.3		$	382.9		$	304.3

WORLD KINECT CORPORATION BUSINESS SEGMENTS INFORMATION (Unaudited – In millions)

	For the Three Months Ended December 31,						For the Year Ended December 31,
Revenue:		2024			2023			2024			2023
Aviation segment	$	4,737.8		$	5,874.3		$	20,469.1		$	23,275.1
Land segment		2,951.1			3,672.8			12,811.7			15,189.9
Marine segment		2,071.7			2,455.8			8,887.2			9,245.6
Total revenue	$	9,760.5		$	12,002.9		$	42,168.0		$	47,710.6
Gross profit:
Aviation segment	$	120.3		$	131.4		$	485.5		$	485.8
Land segment		104.4			57.0			384.4			399.8
Marine segment		34.2			44.0			156.4			172.6
Total gross profit	$	258.9		$	232.4		$	1,026.4		$	1,058.2
Income (loss) from operations:
Aviation segment	$	59.7		$	58.1		$	240.4		$	208.8
Land segment		11.7			(42.5	)		41.1			40.1
Marine segment		12.7			19.3			64.8			82.3
Corporate overhead – unallocated		(54.3	)		(50.2	)		(135.7	)		(133.2	)
Total income (loss) from operations	$	29.9		$	(15.3	)	$	210.6		$	198.0

SALES VOLUME SUPPLEMENTAL INFORMATION (Unaudited – In millions)

	For the Three Months Ended December 31,		For the Year Ended December 31,
Volume (Gallons):	2024	2023	2024	2023
Aviation Segment.	1,847.8	1,784.0	7,250.5	7,328.0
Land Segment ⁽¹⁾	1,535.2	1,619.3	6,078.1	6,237.6
Marine Segment ⁽²⁾	1,089.5	1,129.7	4,374.1	4,440.8
Consolidated Total	4,472.4	4,533.0	17,702.6	18,006.4

(1)	Includes gallons and gallon equivalents of British Thermal Units (BTU) for our natural gas sales and Kilowatt Hours (kWh) for our power business.
(2)	Converted from metric tons to gallons at a rate of 264 gallons per metric ton. Marine segment metric tons were 4.1 and 4.3 for the three months ended December 31, 2024 and 2023, respectively; and 16.6 and 16.8 for the year ended December 31, 2024 and 2023, respectively.

WORLD KINECT CORPORATION RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (Unaudited – In millions, except per share data)

Reconciliation of GAAP to non-GAAP financial measures:	For the Three Months Ended December 31,												For the Year Ended December 31,
	2024						2023						2024				2023
	Net Income			Diluted Earnings per Share			Net Income			Diluted Earnings per Share			Net Income		Diluted Earnings per Share		Net Income			Diluted Earnings per Share
GAAP measure	$	(101.8	)	$	(1.77	)	$	(34.8	)	$	(0.58	)	$	67.4	$	1.13	$	52.9		$	0.86
Impact of adjustments to weighted average diluted shares outstanding⁽¹⁾		—			0.02			—			—			—		—		—			—
Acquisition and divestiture related expenses		0.4			0.01			0.4			0.01			0.4		0.01		1.0			0.02
(Gain) loss on sale of business		111.3			1.92			(1.6	)		(0.03	)		15.1		0.25		(2.2	)		(0.04	)
Asset impairments		25.3			0.44			32.4			0.54			29.0		0.49		32.8			0.53
Exit costs – provision for credit losses		4.4			0.08			—			—			4.4		0.07		—			—
Finnish bid error		0.1			—			48.8			0.81			1.3		0.02		48.8			0.79
Restructuring charges		1.4			0.02			7.2			0.12			7.1		0.12		7.2			0.12
Income tax impacts		(5.0	)		(0.09	)		(20.4	)		(0.34	)		4.9		0.08		(20.4	)		(0.33	)
Adjusted non-GAAP measure	$	36.0		$	0.62		$	32.2		$	0.54		$	129.7	$	2.18	$	120.0		$	1.95

(1)

For the three months ended December 31, 2024, Adjusted diluted earnings per share is calculated considering the impact of dilutive shares that were not considered for GAAP purposes as the quarter is in a net loss position, and considers the convertible note hedges as described under “Non-GAAP Financial Measures” above. GAAP weighted-average shares outstanding was 57.5 million, there were 0.7 million dilutive shares outstanding and the impact of the convertible note hedge was 0.2 million shares, resulting in a non-GAAP weighted average shares outstanding of 58.0 million. For the three months ended December 31, 2023, the dilutive shares outstanding that were excluded due to the GAAP net loss for the period did not impact the calculation of Adjusted EPS. There are no adjustments made to diluted weighted-average shares outstanding for any other period presented.

Reconciliation of GAAP to non-GAAP financial measures:	For the Three Months Ended December 31,						For the Year Ended December 31,
Reconciliation of GAAP to non-GAAP financial measures:		2024			2023			2024		2023
Net income (loss) including noncontrolling interest	$	(101.2	)	$	(34.8	)	$	67.9	$	53.7
Interest expense and other financing costs, net		21.8			32.3			102.2		127.7
Provision (benefit) for income taxes		—			(11.8	)		27.6		13.0
Depreciation and amortization		31.1			26.7			106.4		104.5
EBITDA		(48.3	)		12.4			304.0		298.9
Acquisition and divestiture related expenses		0.4			0.4			0.4		1.0
(Gain) loss on sale of business		111.3			(1.6	)		15.1		(2.2	)
Asset impairments		25.3			32.4			29.0		32.8
Exit costs – provision for credit losses		4.4			—			4.4		—
Finnish bid error		0.1			48.8			1.3		48.8
Restructuring charges		1.4			7.2			7.1		7.2
Adjusted EBITDA	$	94.5		$	99.8		$	361.5	$	386.4

Reconciliation of GAAP to non-GAAP financial measures:	For the Three Months Ended December 31,
	2024									2023
	Land⁽¹⁾		Consolidated							Land⁽¹⁾		Consolidated
	Gross Profit		Gross Profit		Operating Expenses			Operating Income		Gross Profit		Gross Profit		Operating Expenses			Operating Income
GAAP measure	$	104.4	$	258.9	$	229.0		$	29.9	$	57.0	$	232.4	$	247.7		$	(15.3	)
Acquisition and divestiture related expenses		—		—		(0.4	)		0.4		—		—		(0.4	)		0.4
Asset impairments		—		—		(25.3	)		25.3		—		—		(32.4	)		32.4
Exit costs – provision for credit losses		—		—		(4.4	)		4.4		—		—		—			—
Finnish bid error		—		—		(0.1	)		0.1		48.0		48.0		(0.8	)		48.8
Restructuring charges		—		—		(1.4	)		1.4		—		—		(7.2	)		7.2
Adjusted non-GAAP measure	$	104.4	$	258.9	$	197.4		$	61.5	$	105.0	$	280.4	$	206.8		$	73.6

Reconciliation of GAAP to non-GAAP financial measures:	For the Year Ended December 31,
	2024									2023
	Land⁽¹⁾		Consolidated							Land⁽¹⁾		Consolidated
	Gross Profit		Gross Profit		Operating Expenses			Operating Income		Gross Profit		Gross Profit		Operating Expenses			Operating Income
GAAP measure	$	384.4	$	1,026.4	$	815.7		$	210.6	$	399.8	$	1,058.2	$	860.2		$	198.0
Acquisition and divestiture related expenses		—		—		(0.4	)		0.4		—		—		(1.0	)		1.0
Asset impairments		—		—		(29.0	)		29.0		—		—		(32.8	)		32.8
Exit costs – provision for credit losses		—		—		(4.4	)		4.4		—		—		—			—
Finnish bid error		—		—		(1.3	)		1.3		48.0		48.0		(0.8	)		48.8
Restructuring charges		—		—		(7.1	)		7.1		—		—		(7.2	)		7.2
Adjusted non-GAAP measure	$	384.4	$	1,026.4	$	773.5		$	252.9	$	447.9	$	1,106.2	$	818.5		$	287.7

(1)	Land segment gross profit. There are no adjustments to gross profit made for the aviation or marine segments.

Reconciliation of GAAP to non-GAAP financial measure:	For the Three Months Ended December 31,						For the Year Ended December 31,
Reconciliation of GAAP to non-GAAP financial measure:		2024			2023			2024			2023
Net cash provided by (used in) operating activities	$	120.3		$	4.5		$	259.9		$	271.3
Capital expenditures		(17.8	)		(19.8	)		(68.2	)		(87.6	)
Free cash flow	$	102.4		$	(15.2	)	$	191.7		$	183.7

View source version on businesswire.com: https://www.businesswire.com/news/home/20250220322296/en/

Ira M. Birns, Executive Vice President & Chief Financial Officer

Braulio Medrano, Senior Director FP&A and Investor Relations

[email protected]

KEYWORDS: United States North America Florida

INDUSTRY KEYWORDS: Public Transport Trucking Rail Maritime Air Transport Utilities Oil/Gas Logistics/Supply Chain Management Alternative Energy Energy

MEDIA:

Logo

February 20, 2025 4:34 pm

Employers Holdings, Inc. Reports Fourth Quarter 2024 and Full-Year Financial Results; Declares Quarterly Cash Dividend of $0.30 per Share

Company to Host Conference Call on Friday, February 21, 2025, at 11:00 a.m. Eastern Standard Time

RENO, Nev., Feb. 20, 2025 (GLOBE NEWSWIRE) — Employers Holdings, Inc. (the “Company”) (NYSE:EIG), a holding company with subsidiaries that are specialty providers of workers’ compensation insurance and services focused on small and mid-sized businesses engaged in low-to-medium hazard industries, today reported financial results for its fourth quarter ended December 31, 2024.

Full-Year 2024
Financial Highlights

(All comparisons versus full-year 2023)

Net income of $118.6 million ($4.71 per diluted share), versus $118.1 million ($4.45 per diluted share);
Adjusted net income of $94.0 million ($3.73 per diluted share), versus $101.7 million ($3.83 per diluted share);
Net investment income of $107.0 million, versus $106.5 million;
Gross premiums written of $776.3 million, versus $767.7 million;
Net premiums earned of $749.5 million, versus $721.9 million;
Net favorable prior year loss reserve development of $18.4 million, versus $44.9 million;
GAAP combined ratio of 97.9% (98.6% excluding the LPT), versus 95.0% (96.0% excluding the LPT);
Returned $71.7 million to stockholders through a combination of share repurchases and regular quarterly dividends;
Record number of ending policies in-force of 130,767, versus 126,409; and
Adjusted Book value per share of $50.71, up 9.8% including dividends declared.

Fourth Quarter
2024
Financial Highlights

(All comparisons versus fourth quarter 2023)

Net income of $28.3 million ($1.14 per diluted share), versus $45.6 million ($1.77 per diluted share);
Adjusted net income of $28.7 million ($1.15 per diluted share), versus $36.1 million ($1.40 per diluted share);
Net investment income of $26.7 million, versus $26.2 million;
Gross premiums written of $176.3 million, versus $178.2 million;
Net premiums earned of $190.2 million, versus $187.5 million;
Net favorable prior year loss reserve development of $9.1 million, versus $24.9 million;
GAAP combined ratio of 95.5% (including and excluding the LPT), versus 88.1% (88.8% excluding the LPT); and
Returned $17.5 million to stockholders through a combination of share repurchases and a regular quarterly dividend.

CEO Commentary

Chief Executive Officer Katherine Antonello commented: “We are pleased with our fourth quarter and full-year 2024 results. In fact, we closed the year with the highest levels of written and earned premium, ending in-force premium and policies and net investment income in the Company’s history.

We achieved solid growth in new and renewal premium in 2024, but that growth was offset by lower final audit premiums and endorsements. Our investment performance contributed nicely to our overall results and financial strength. In addition to the record level of net investment income we generated, we also recognized $24.1 million of after-tax unrealized gains from our common stocks and other investments.”

Ms. Antonello continued, “Our current accident year loss and LAE ratio on voluntary business was 64.0%, slightly above the loss and LAE ratio we maintained throughout 2023 and consistent with that of 2022. Our fourth quarter full reserve study led to the recognition of $8.6 million of net favorable prior year loss reserve development from our voluntary business. Those actions, coupled with our continual focus on our underwriting expenses, yielded an ex-LPT combined ratio of 95.5% for the fourth quarter, and 98.6% for the full year.

Our active capital management efforts throughout 2024, which consisted of $41.7 million of share repurchases and $30.0 million of regular quarterly dividends, contributed to year-over-year increases of 10.6% and 9.8% in our book value per share including the deferred gain and adjusted book value per share, respectively. Our focus on disciplined underwriting, prudent risk management, and strategic investments has positioned us strongly in the workers’ compensation insurance market, which is evidenced by the recent upgrade to our insurance companies’ AM Best Financial Strength Rating to “A” (Excellent).

Beyond our financial results, we continue to offer direct-to-consumer policies through the Cerity brand but, with the Cerity integration that was undertaken a year ago, we now do so without any meaningful fixed underwriting expenses. Further, our continued focus for 2025 will be on further appetite expansion, increased self-service options for policyholders, agents and injured workers and greater operational efficiencies.

Finally, we are saddened by the California wildfires and the impact on the Los Angeles area community and small businesses. Our thoughts are with all of those who have lost their homes, businesses, and livelihoods, and we are working with our partners to provide immediate and long-term assistance. As a monoline workers’ compensation insurance provider, these catastrophic events would not typically have a significant impact on our results, nor our long-term trends. We have analyzed the loss exposure and experience in the affected fire zones and have determined that approximately 1% of our in-force policies, representing less than 1% of our payroll exposure, are within the impacted areas and we are not currently experiencing any significant impacts from these devastating fires.”

Summary of Consolidated Fourth Quarter
2024
Results

(All comparisons versus fourth quarter 2023, unless otherwise noted)

Gross premiums written were $176.3 million, a decrease of 1%. The slight decrease was due to higher new and renewal business writings being offset by lower final audit premiums and endorsements. Net earned premiums were $190.2 million, an increase of 1%.

Losses and loss adjustment expenses were $113.2 million, an increase of 22%. The increase was due to higher earned premium, lower net favorable prior year loss reserve development and a slightly higher current accident year loss and loss adjustment expense provision. The Company recognized $9.1 million of favorable prior year loss reserve development versus $24.9 million. The Company’s loss and loss adjustment expense ratio was 59.5% for the quarter (including and excluding the LPT) versus 49.5% (50.2% excluding the LPT).

Total underwriting expenses (consisting of commissions, other underwriting and general and administrative expenses) were $68.6 million, a decrease of 5%. The decrease was primarily related to lower information technology expenses resulting from the Cerity integration plan that was executed in the fourth quarter of 2023, lower compensation-related expenses and a non-recurring commission adjustment, partially offset by higher bad debt expense. The Company’s total underwriting expense ratio was 36.0% versus 38.6%.

Within the 2024 periods presented herein, the Company refined its presentation of certain expenses associated with its involuntary premium. This revision, which was immaterial, had the effect of reducing both its fourth quarter and full year 2024 commission expense ratios by approximately 0.3 percentage points, and increasing its respective underwriting and general and administrative expense ratios by the same amount. This revision had no net effect on the Company’s total underwriting expenses or net income.

Net investment income was $26.7 million, an increase of 2%. The increase was due to higher investment yields, partially offset by lower invested balances of fixed maturity securities, short-term investments and cash and cash equivalents, as measured by amortized cost.

Net realized and unrealized gains (losses) on investments reflected on the income statement were $(0.4) million versus $12.1 million.

Interest and financing expenses were $0.1 million versus $0.6 million. The decrease resulted from the unwinding of our former Federal Home Loan Bank leveraged investment strategy in the fourth quarter of 2023.

Other expenses of $1.6 million recorded in the fourth quarter of 2023 consisted of a non-recurring charge in connection with previously capitalized cloud computing costs.

Federal and state income tax expense was $6.4 million (18.4% effective rate) versus $12.6 million (21.6% effective rate). The effective rates in each period reflect applicable income tax benefits and exclusions associated with tax-advantaged investment income, LPT adjustments, pre-privatization loss and loss adjustment expense reserve adjustments and deferred gain amortization.

The Company’s book value per share including the deferred gain of $47.35 increased by 10.6% during 2024 and its adjusted book value per share of $50.71 increased by 9.8% during 2024, each including dividends declared. These measures were favorably impacted by $24.1 million of net after tax unrealized gains arising from equity securities and other investments.

Share Repurchases and First Quarter 2025 Dividend Declaration

During the fourth quarter of 2024, the Company repurchased 193,857 shares of its common stock at an average price of $51.20 per share. During the period from January 1, 2025 through February 19, 2025, the Company repurchased a further 222,438 shares of its common stock at an average price of $49.38 per share. The Company currently has a remaining share repurchase authorization of $18.7 million.

On February 19, 2025, the Board of Directors declared a first quarter dividend of $0.30 per share. The dividend is payable on March 19, 2025 to stockholders of record as of March 5, 2025.

Earnings Conference Call and Webcast

The Company will host a conference call on Friday, February 21, 2025 at 11:00 a.m. Eastern Standard Time / 8:00 a.m. Pacific Standard Time.

To participate in the live conference call, you must first register here. Once registered you will receive dial-in numbers and a unique PIN number.

The webcast will be accessible on the Company’s website at www.employers.com through the “Investors” link.

Reconciliation of Non-GAAP Financial Measures to GAAP

Within this earnings release we present various financial measures, some of which are “non-GAAP financial measures” as defined in Regulation G pursuant to Section 401 of the Sarbanes – Oxley Act of 2002. A description of these non-GAAP financial measures, as well as a reconciliation of such non-GAAP measures to our most directly comparable GAAP financial measures is included in the attached Financial Supplement. Management believes that these non-GAAP measures are important to the Company’s investors, analysts and other interested parties who benefit from having an objective and consistent basis for comparison with other companies within our industry. Management further believes that these measures are more relevant than comparable GAAP measures in evaluating our financial performance.

The information in this press release should be read in conjunction with the Financial Supplement that is attached to this press release and available on our website.

Forward-Looking Statements

In this press release, the Company and its management discuss and make statements based on currently available information regarding their intentions, beliefs, current expectations, and projections of, among other things, the Company’s future performance, economic or market conditions, including current or future levels of inflation, changes in interest rates, labor market expectations, catastrophic events or geo-political conditions, legislative or regulatory actions or court decisions, business growth, retention rates, loss costs, claim trends and the impact of key business initiatives, future technologies and planned investments. Certain of these statements may constitute “forward-looking” statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and are often identified by words such as “may,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “target,” “project,” “intend,” “believe,” “estimate,” “predict,” “potential,” “pro forma,” “seek,” “likely,” or “continue,” or other comparable terminology and their negatives. The Company and its management caution investors that such forward-looking statements are not guarantees of future performance. Risks and uncertainties are inherent in the Company’s future performance. Factors that could cause the Company’s actual results to differ materially from those indicated by such forward-looking statements include, among other things, those discussed or identified from time to time in the Company’s public filings with the Securities and Exchange Commission (SEC), including the risks detailed in the Company’s Quarterly Reports on Form 10-Q and the Company’s Annual Reports on Form 10-K. Except as required by applicable securities laws, the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Filings with the SEC

The Company’s filings with the SEC and its quarterly investor presentations can be accessed through the “Investors” link on the Company’s website, www.employers.com. The Company’s filings with the SEC can also be accessed through the SEC’s EDGAR Database at www.sec.gov (EDGAR CIK No. 0001379041).

About Employers Holdings, Inc.

Employers Holdings, Inc. (NYSE: EIG), is a holding company with subsidiaries that are specialty providers of workers’ compensation insurance and services (collectively “EMPLOYERS®”) focused on small and mid-sized businesses engaged in low-to-medium hazard industries. EMPLOYERS leverages over a century of experience to deliver comprehensive coverage solutions that meet the unique needs of its customers. Drawing from its long history and extensive knowledge, EMPLOYERS empowers businesses by protecting their most valuable asset – their employees – through exceptional claims management, loss control, and risk management services, creating safer work environments.

EMPLOYERS is also proud to offer Cerity®, which is focused on providing digital-first, direct-to-consumer workers’ compensation insurance solutions with fast, and affordable coverage options through a user-friendly online platform.

EMPLOYERS operates throughout the United States, apart from four states that are served exclusively by their state funds. Insurance is offered through Employers Insurance Company of Nevada, Employers Compensation Insurance Company, Employers Preferred Insurance Company, Employers Assurance Company and Cerity Insurance Company, all rated A (Excellent) by AM Best. Not all companies do business in all jurisdictions. EIG Services, Inc., and Cerity Services, Inc., are subsidiaries of Employers Holdings, Inc. EMPLOYERS® is a registered trademark of EIG Services, Inc., and Cerity® is a registered trademark of Cerity Services, Inc. For more information, please visit www.employers.com and www.cerity.com.

Contact Information

Mike Paquette (775) 327-2562 or [email protected]

EMPLOYERS HOLDINGS, INC.

Table of Contents

Page

Consolidated Financial Highlights
Summary Consolidated Balance Sheets
Summary Consolidated Income Statements
Return on Equity
Combined Ratios
Roll-forward of Unpaid Losses and LAE
Consolidated Investment Portfolio
Book Value Per Share
Earnings Per Share
Non-GAAP Financial Measures

EMPLOYERS HOLDINGS, INC. Consolidated Financial Highlights (unaudited) $ in millions, except per share amounts

		Three Months Ended								Years Ended
		December 31,								December 31,
		2024			2023		% change			2024			2023		% change
*Selected financial highlights:*
Gross premiums written	$	176.3		$	178.2		(1	)%	$	776.3		$	767.7		1	%
Net premiums written		174.7			176.4		(1	)		769.5			760.6		1
Net premiums earned		190.2			187.5		1			749.5			721.9		4
Net investment income		26.7			26.2		2			107.0			106.5		—
Net income excluding LPT ⁽¹⁾		28.4			44.4		(36	)		113.0			110.9		2
Adjusted net income ⁽¹⁾		28.7			36.1		(20	)		94.0			101.7		(8	)
Net income before income taxes		34.7			58.2		(40	)		146.7			148.4		(1	)
Net income		28.3			45.6		(38	)		118.6			118.1		—
Comprehensive income (loss)		(8.9	)		116.2		(108	)		122.1			171.0		(29	)
Total assets										3,541.3			3,550.4		—
Stockholders’ equity										1,068.7			1,013.9		5
Stockholders’ equity including the Deferred Gain ⁽²⁾										1,162.7			1,113.1		4
Adjusted stockholders’ equity ⁽²⁾										1,245.2			1,199.1		4
Annualized adjusted return on stockholders’ equity ⁽³⁾		9.3	%		12.2	%	(24	)%		7.7	%		8.5	%	(9	)
*Amounts per share:*
Cash dividends declared per share	$	0.30		$	0.28		7	%	$	1.18		$	1.10		7	%
Earnings per diluted share ⁽⁴⁾		1.14			1.77		(36	)		4.71			4.45		6
Earnings per diluted share excluding LPT ⁽⁴⁾					1.72		(34	)		4.49			4.18		7
Adjusted earnings per diluted share⁽⁴⁾		1.14			1.40		(18	)		3.73			3.83		(3	)
Book value per share ⁽²⁾		1.15								43.52			39.96		9
Book value per share including the Deferred Gain ⁽²⁾										47.35			43.88		8
Adjusted book value per share ⁽²⁾										50.71			47.26		7
Combined ratio excluding LPT: ⁽⁵⁾
Loss and loss adjustment expense ratio:
Current year		64.2	%		63.5	%				64.1	%		63.4	%
Prior Year		(4.7	)		(13.3	)				(2.5	)		(6.2	)
Loss and loss adjustment expense ratio		59.5	%		50.2	%				61.6	%		57.2	%
Commission expense ratio		12.8			14.0					13.5			13.9
Underwriting and general and administrative expense ratio		23.2			24.6					23.5			24.9
Combined ratio excluding LPT		95.5	%		88.8	%				98.6	%		96.0	%

(1) See Page 5 for calculations and Page 12 for information regarding our use of Non-GAAP Financial Measures. (2) See Page 10 for calculations and Page 12 for information regarding our use of Non-GAAP Financial Measures. (3) See Page 6 for calculations and Page 12 for information regarding our use of Non-GAAP Financial Measures. (4) See Page 11 for calculations and Page 12 for information regarding our use of Non-GAAP Financial Measures. (5) See Page 7 for calculations and Page 12 for information regarding our use of Non-GAAP Financial Measures.

EMPLOYERS HOLDINGS, INC.
Summary Consolidated Balance Sheets (unaudited)
$ in millions, except per share amounts
	December 31, 2024				December 31, 2023
ASSETS
Available for sale:
Investments, cash and cash equivalents	$	2,532.4		$	2,504.7
Accrued investment income		15.7			16.3
Premiums receivable, net		361.3			359.4
Reinsurance recoverable, net of allowance, on paid and unpaid losses and LAE		417.8			433.8
Deferred policy acquisition costs		59.6			55.6
Deferred income taxes, net		38.3			43.4
Contingent commission receivable—LPT Agreement		—			14.2
Other assets		116.2			123.0
Total assets	$	3,541.3		$	3,550.4

LIABILITIES
Unpaid losses and LAE	$	1,808.2		$	1,884.5
Unearned premiums		402.2			379.7
Commissions and premium taxes payable		65.8			66.0
Deferred Gain		94.0			99.2
Other liabilities		102.4			107.1
Total liabilities	$	2,472.6		$	2,536.5

STOCKHOLDERS’ EQUITY
Common stock and additional paid-in capital	$	424.8		$	420.4
Retained earnings		1,472.9			1,384.3
Accumulated other comprehensive loss, net		(82.5	)		(86.0	)
Treasury stock, at cost		(746.5	)		(704.8	)
Total stockholders’ equity		1,068.7			1,013.9
Total liabilities and stockholders’ equity	$	3,541.3		$	3,550.4

Stockholders’ equity including the Deferred Gain ⁽¹⁾	$	1,162.7		$	1,113.1
Adjusted stockholders’ equity ⁽¹⁾		1,245.2			1,199.1
Book value per share ⁽¹⁾	$	43.52		$	39.96
Book value per share including the Deferred Gain ⁽¹⁾		47.35			43.88
Adjusted book value per share ⁽¹⁾		50.71			47.26

(1) See Page 10 for calculations and Page 12 for information regarding our use of Non-GAAP Financial Measures.

EMPLOYERS HOLDINGS, INC. Summary Consolidated Income Statements (unaudited) $ in millions

	Three Months Ended						Years Ended
	December 31,						December 31,
		2024			2023			2024			2023
Revenues:
Net premiums earned	$	190.2		$	187.5		$	749.5		$	721.9
Net investment income		26.7			26.2			107.0			106.5
Net realized and unrealized (losses) gains on investments ⁽¹⁾		(0.4	)		12.1			24.1			22.7
Other income (loss)		0.1			(0.1	)		0.1			(0.2	)
Total revenues		216.6			225.7			880.7			850.9
Expenses:
Losses and LAE incurred		113.2			92.9			456.2			405.7
Commission expense		24.4			26.3			101.2			100.0
Underwriting and general and administrative expenses		44.2			46.1			176.5			180.0
Interest and financing expenses		0.1			0.6			0.1			5.8
Other expenses		—			1.6			—			11.0
Total expenses		(181.9	)		(167.5	)		(734.0	)		(702.5	)
Net income before income taxes		34.7			58.2			146.7			148.4
Income tax expense		(6.4	)		(12.6	)		(28.1	)		(30.3	)
Net income		28.3			45.6			118.6			118.1
Unrealized AFS investment (losses) gains arising during the period, net of tax		(39.2	)		66.6			(3.5	)		46.6
Reclassification adjustment for realized AFS investment gains in net income, net of tax		2.0			4.0			7.0			6.3
Total Comprehensive income	$	(8.9	)	$	116.2		$	122.1		$	171.0
Net income	$	28.3		$	45.6		$	118.6		$	118.1
Amortization of the Deferred Gain – losses		(1.6	)		(1.5	)		(6.1	)		(6.3	)
Amortization of the Deferred Gain – contingent commission		—			(0.3	)		(0.8	)		(1.5	)
LPT reserve adjustment		1.7			0.9			1.7			0.9
LPT contingent commission adjustments		—			(0.3	)		(0.4	)		(0.3	)
Net income excluding LPT Agreement ⁽²⁾	$	28.4		$	44.4		$	113.0		$	110.9
Net realized and unrealized losses (gains) on investments		0.4			(12.1	)		(24.1	)		(22.7	)
Lease termination and asset impairment charges		—			1.6			—			11.0
Income tax (benefit) expense related to items excluded from Net income		(0.1	)		2.2			5.1			2.5
Adjusted net income ⁽²⁾	$	28.7		$	36.1		$	94.0		$	101.7

(1) Includes unrealized gains on equity securities and other invested assets of $2.4 million and $17.8 million for the three months ended December 31, 2024 and 2023, respectively, and $30.5 million and $36.2 million for the year ended December 31, 2024 and 2023, respectively (2) See Page 12 regarding our use of Non-GAAP Financial Measures.

EMPLOYERS HOLDINGS, INC. Return on Equity (unaudited) $ in millions

		Three Months Ended						Years Ended
		December 31,						December 31,
			2024			2023			2024			2023

Net income	A	$	28.3		$	45.6		$	118.6		$	118.1
Impact of the LPT Agreement			0.1			(1.2	)		(5.6	)		(7.2	)
Net realized and unrealized losses (gains) on investments			0.4			(12.1	)		(24.1	)		(22.7	)
Lease termination and asset impairment charges			—			1.6			—			11.0
Income tax (benefit) expense related to items excluded from Net income			(0.1	)		2.2			5.1			2.5
Adjusted net income ⁽¹⁾	B	$	28.7		$	36.1		$	94.0		$	101.7

Stockholders’ equity – end of period		$	1,068.7		$	1,013.9		$	1,068.7		$	1,013.9
Stockholders’ equity – beginning of period			1,093.4			919.0			1,013.9			944.2
Average stockholders’ equity	C	$	1,081.1		$	966.5		$	1,041.3		$	979.1

Stockholders’ equity – end of period		$	1,068.7		$	1,013.9		$	1,068.7		$	1,013.9
Deferred Gain – end of period			94.0			99.2			94.0			99.2
Accumulated other comprehensive loss, before taxes – end of period			104.5			108.9			104.5			108.9
Income tax related to accumulated other comprehensive loss – end of period			(22.0	)		(22.9	)		(22.0	)		(22.9	)
Adjusted stockholders’ equity – end of period			1,245.2			1,199.1			1,245.2			1,199.1
Adjusted stockholders’ equity – beginning of period			1,232.5			1,175.8			1,199.1			1,189.2
Average adjusted stockholders’ equity ⁽¹⁾	D	$	1,238.9		$	1,187.5		$	1,222.2		$	1,194.2

Return on stockholders’ equity	A / C		2.6	%		4.7	%		11.4	%		12.1	%
Annualized return on stockholders’ equity			10.5			18.9

Adjusted return on stockholders’ equity ⁽¹⁾	B / D		2.3			3.0			7.7			8.5
Annualized adjusted return on stockholders’ equity ⁽¹⁾			9.3			12.2

(1) See Page 12 for information regarding our use of Non-GAAP Financial Measures.

EMPLOYERS HOLDINGS, INC. Combined Ratios (unaudited) $ in millions, except per share amounts

		Three Months Ended						Years Ended
		December 31,						December 31,
			2024			2023			2024			2023
Net premiums earned	A	$	190.2		$	187.5		$	749.5		$	721.9
Losses and LAE incurred	B		113.2			92.9			456.2			405.7
Amortization of deferred reinsurance gain – losses			1.6			1.5			6.1			6.3
Amortization of deferred reinsurance gain – contingent commission			—			0.3			0.8			1.5
LPT reserve adjustment			(1.7	)		(0.9	)		(1.7	)		(0.9	)
LPT contingent commission adjustments			—			0.3			0.4			0.3
Losses and LAE excluding LPT ⁽¹⁾	C	$	113.1		$	94.1		$	461.8		$	412.9
Prior year loss reserve development			(9.1	)		(24.9	)		(18.4	)		(44.9	)
Losses and LAE excluding LPT – current accident year	D	$	122.2		$	119.0		$	480.2		$	457.8
Commission expense	E	$	24.4		$	26.3		$	101.2		$	100.0
Underwriting and general and administrative expense	F	$	44.2		$	46.1		$	176.5		$	180.0
GAAP combined ratio:
Loss and LAE ratio	B/A		59.5	%		49.5	%		60.9	%		56.2	%
Commission expense ratio	E/A		12.8			14.0			13.5			13.9
Underwriting and general and administrative expense ratio	F/A		23.2			24.6			23.5			24.9
GAAP combined ratio			95.5	%		88.1	%		97.9	%		95.0	%
Combined ratio excluding LPT: ⁽¹⁾
Loss and LAE ratio excluding LPT	C/A		59.5	%		50.2	%		61.6	%		57.2	%
Commission expense ratio	E/A		12.8			14.0			13.5			13.9
Underwriting and general and administrative expense ratio	F/A		23.2			24.6			23.5			24.9
Combined ratio excluding LPT			95.5	%		88.8	%		98.6	%		96.0	%
Combined ratio excluding LPT: current accident year: ⁽¹⁾
Loss and LAE ratio excluding LPT	D/A		64.2	%		63.5	%		64.1	%		63.4	%
Commission expense ratio	E/A		12.8			14.0			13.5			13.9
Underwriting and general and administrative expenses ratio	F/A		23.2			24.6			23.5			24.9
Combined ratio excluding LPT: current accident year			100.2	%		102.1	%		101.1	%		102.2	%

(1) See Page 12 for information regarding our use of Non-GAAP Financial Measures.

EMPLOYERS HOLDINGS, INC. Roll-forward of Unpaid Losses and LAE (unaudited) $ in millions

	Three Months Ended						Years Ended
	December 31,						December 31,
		2024			2023			2024			2023

Unpaid losses and LAE at beginning of period	$	1,836.5		$	1,913.4		$	1,884.5		$	1,960.7
Less reinsurance recoverable on unpaid losses and LAE		413.1			426.6			428.4			445.4
Net unpaid losses and LAE at beginning of period		1,423.4			1,486.8			1,456.1			1,515.3
Losses and LAE incurred:
Current year		122.2			119.1			480.2			457.8
Prior years – voluntary business		(8.6	)		(24.6	)		(17.9	)		(44.6		)
Prior years – involuntary business		(0.5	)		(0.3	)		(0.5	)		(0.3		)
Total losses incurred		113.1			94.2			461.8			412.9
Losses and LAE paid:
Current year		57.9			47.6			127.1			111.7
Prior years		82.8			77.3			395.0			360.4
Total paid losses		140.7			124.9			522.1			472.1
Net unpaid losses and LAE at end of period		1,395.8			1,456.1			1,395.8			1,456.1
Reinsurance recoverable, excluding CECL allowance, on unpaid losses and LAE		412.4			428.4			412.4			428.4
Unpaid losses and LAE at end of period	$	1,808.2		$	1,884.5		$	1,808.2		$		1,884.5

Total losses and LAE shown in the above table exclude amortization of the Deferred Gain, LPT Reserve Adjustments, and LPT Contingent Commission Adjustments, which totaled $(0.1) million and $1.2 million for the three months ended December 31, 2024 and 2023, respectively, and $5.6 million and $7.2 million for the year ended December 31, 2024 and 2023, respectively.

EMPLOYERS HOLDINGS, INC. Consolidated Investment Portfolio (unaudited) $ in millions

	December 31, 2024										December 31, 2023
Investment Positions:		Cost or Amortized Cost ⁽¹⁾		Net Unrealized Gain (Loss)			Fair Value	%				Fair Value	%
Fixed maturity securities	$	2,203.1	$	(104.6)		$	2,097.4	83	%		$	1,936.3	77	%
Equity securities		150.7		109.1			259.8	10				217.2	9
Other invested assets		90.9		15.7			106.6	4				91.5	4
Short-term investments		0.1		—			0.1	—				33.1	1
Cash and cash equivalents		68.3		—			68.3	3				226.4	9
Restricted cash and cash equivalents		0.2		—			0.2	—				0.2	—
Total investments and cash	$	2,513.3	$	20.2		$	2,532.4	100	%		$	2,504.7	100	%

Breakout of Fixed Maturity Securities:
U.S. Treasuries and Agencies	$	61.4	$	(2.1	)	$	59.3	3	%		$	60.5	3	%
States and Municipalities		163.0		(3.7	)		159.3	8				210.2	11
Corporate Securities		849.2		(46.0	)		803.0	38				895.8	46
Mortgage-Backed Securities		733.1		(47.9	)		684.9	33				426.0	22
Asset-Backed Securities		216.0		(2.0	)		214.0	10				128.0	7
Collateralized loan obligations		35.5		(0.2	)		35.3	2				91.5	5
Bank loans and other		144.9		(2.7	)		141.6	7				124.3	6
Total fixed maturity securities	$	2,203.1	$	(104.6	)	$	2,097.4	100	%		$	1,936.3	100	%
Weighted average ending book yield on fixed income securities, cash, and cash equivalents							4.5		%			4.3		%
Average credit quality (S&P)						A+				A
Duration							4.5					4.5

(1) Amortized cost excludes an allowance for current expected credit losses (CECL) of $1.1 million

EMPLOYERS HOLDINGS, INC. Book Value Per Share (unaudited) $ in millions, except per share amounts

			December 31, 2024			December 31, 2023
Numerators:
Stockholders’ equity	A	$	1,068.7		$	1,013.9
Deferred Gain			94.0			99.2
Stockholders’ equity including the Deferred Gain ⁽¹⁾	B		1,162.7			1,113.1
Accumulated other comprehensive loss, before taxes			104.5			108.9
Income taxes related to accumulated other comprehensive loss, before taxes			(22.0	)		(22.9	)
Adjusted stockholders’ equity ⁽¹⁾	C	$	1,245.2		$	1,199.1

Denominator (shares outstanding)	D		24,556,706			25,369,753

Book value per share ⁽¹⁾	A / D	$	43.52		$	39.96
Book value per share including the Deferred Gain ⁽¹⁾	B / D		47.35			43.88
Adjusted book value per share ⁽¹⁾	C / D		50.71			47.26

Cash dividends declared per share		$	1.18		$	1.10

YTD Change in: ⁽²⁾
Book value per share			11.9	%		18.1	%
Book value per share including the Deferred Gain			10.6			16.3
Adjusted book value per share			9.8			10.5

(1) See Page 12 for information regarding our use of Non-GAAP Financial Measures. (2) Reflects the change per share after taking into account dividends declared in the period.

EMPLOYERS HOLDINGS, INC. Earnings Per Share (unaudited) $ in millions, except per share amounts

		Three Months Ended						Years Ended
		December 31,						December 31,
			2024			2023			2024			2023
Numerators:
Net income	A	$	28.3		$	45.6		$	118.6		$	118.1
Impact of the LPT Agreement			0.1			(1.2	)		(5.6	)		(7.2	)
Net income excluding LPT ⁽¹⁾	B	$	28.4		$	44.4		$	113.0		$	110.9
Net realized and unrealized (gains) losses on investments			0.4			(12.1	)		(24.1	)		(22.7	)
Lease termination and asset impairment charges			—			1.6			—			11.0
Income tax (benefit) expense related to items excluded from Net income			(0.1	)		2.2			5.1			2.5
Adjusted net income ⁽¹⁾	C	$	28.7		$	36.1		$	94.0		$	101.7

Denominators:
Average common shares outstanding (basic)	D		24,725,425			25,645,821			25,050,605			26,368,801
Average common shares outstanding (diluted)	E		24,902,459			25,801,380			25,194,814			26,523,651

Earnings per share:
Basic	A / D	$	1.14		$	1.78		$	4.73		$	4.48
Diluted	A / E		1.14			1.77			4.71			4.45

Earnings per share excluding LPT: ⁽¹⁾
Basic	B / D		1.15			1.73			4.51			4.21
Diluted	B / E		1.14			1.72			4.49			4.18

Adjusted earnings per share: ⁽¹⁾
Basic	C / D	$	1.16		$	1.41		$	3.75		$	3.86
Diluted	C / E		1.15			1.40			3.73			3.83

(1) See Page 12 for information regarding our use of Non-GAAP Financial Measures.

Non-GAAP Financial Measures

Within this earnings release we present the following measures, each of which are “non-GAAP financial measures.” A reconciliation of these measures to the Company’s most directly comparable GAAP financial measures is included herein. Management believes that these non-GAAP measures are important to the Company’s investors, analysts and other interested parties who benefit from having an objective and consistent basis for comparison with other companies within our industry. Management further believes that these measures are more relevant than comparable GAAP measures in evaluating our financial performance.

The LPT Agreement
is a non-recurring transaction that no longer provides any ongoing cash benefits to the Company. Management believes that providing non-GAAP measures that exclude the effects of the LPT Agreement (amortization of deferred reinsurance gain, adjustments to LPT Agreement ceded reserves and adjustments to the contingent commission receivable) is useful in providing investors, analysts and other interested parties a meaningful understanding of the Company’s ongoing underwriting performance.

Deferred reinsurance gain (Deferred Gain)
reflects the unamortized gain from the LPT Agreement. This gain has been deferred and is being amortized using the recovery method, whereby the amortization is determined by the proportion of actual reinsurance recoveries to total estimated recoveries, except for the contingent profit commission, which was amortized through June 30, 2024, the date of its final determination. Amortization is reflected in losses and LAE incurred.

Adjusted net income

(see Page 5 for calculations) is net income excluding the effects of the LPT Agreement, and net realized and unrealized gains and losses on investments (net of tax), and any miscellaneous non-recurring transactions (net of tax). Management believes that providing this non-GAAP measures is helpful to investors, analysts and other interested parties in identifying trends in the Company’s operating performance because such items have limited significance to its ongoing operations or can be impacted by both discretionary and other economic factors and may not represent operating trends.

Stockholders’ equity including the Deferred Gain

(see Page 10 for calculations) is stockholders’ equity including the Deferred Gain. Management believes that providing this non-GAAP measure is useful in providing investors, analysts and other interested parties a meaningful measure of the Company’s total underwriting capital.

Adjusted stockholders’ equity

(see Page 10 for calculations) is stockholders’ equity including the Deferred Gain, less accumulated other comprehensive income (net of tax). Management believes that providing this non-GAAP measure is useful to investors, analysts and other interested parties since it serves as the denominator to the Company’s adjusted return on stockholders’ equity metric.

Return on stockholders’ equity and Adjusted return on stockholders’ equity

(see Page 6 for calculations)
. Management believes that these profitability measures are widely used by our investors, analysts and other interested parties.

Book value per share, Book value per share including the Deferred Gain, and Adjusted book value per share

(see Page 10 for calculations). Management believes that these valuation measures are widely used by our investors, analysts and other interested parties.

Net income excluding LPT

(see Page 5 for calculations). Management believes that these performance and underwriting measures are widely used by our investors, analysts and other interested parties.

February 20, 2025 4:34 pm

VICI Properties Inc. Announces Fourth Quarter and Full Year 2024 Results

VICI Properties Inc. Announces Fourth Quarter and Full Year 2024 Results

– Announced Over $1 Billion in Capital Commitments in 2024 and Deployed Capital Every Month –

– Announced Strategic Relationship with Cain International and Eldridge Industries –

– Establishes Guidance for Full Year 2025 –

NEW YORK–(BUSINESS WIRE)–
VICI Properties Inc. (NYSE: VICI) (“VICI Properties”, “VICI” or the “Company”), an experiential real estate investment trust, today reported results for the quarter and year ended December 31, 2024. All per share amounts included herein are on a per diluted share basis unless otherwise stated.

Fourth Quarter 2024 Financial and Operating Highlights

Total revenues increased 4.7% year-over-year to $976.1 million
Net income attributable to common stockholders decreased (17.8%) year-over-year to $614.6 million and, on a per share basis, decreased (19.2%) year-over-year to $0.58 due to the impact of the change in the CECL allowance for the quarter ended December 31, 2024
AFFO increased 5.4% year-over-year to $601.3 million and, on a per share basis, increased 3.6% year-over-year to $0.57
Issuer credit rating upgraded by Moody’s to ‘Baa3’ from ‘Ba1’, with a stable outlook
Developed a new partnership with Indigenous Gaming Partners (“IGP”), in connection with their acquisition of the operating assets of PURE Canadian Gaming (“PURE”) and the amendment of the existing master lease agreement for such assets
Issued $750.0 million aggregate principal amount of investment grade senior notes to refinance existing debt
Ended the year with $524.6 million in cash and cash equivalents and $376.3 million of estimated forward sale equity proceeds
Weighted average shares outstanding increased 1.7% year-over-year
Subsequent to quarter-end:
- Announced a new $2.5 billion multicurrency unsecured revolving credit facility replacing the prior unsecured revolving credit facility of the same size
- Announced the establishment of a strategic relationship with Cain International and Eldridge Industries with a $300.0 million investment into a mezzanine loan related to the development of One Beverly Hills

Full Year 2024 Financial and Operating Highlights

Total revenues increased 6.6% year-over-year to $3.8 billion
Net income attributable to common stockholders increased 6.6% year-over-year to $2.7 billion and, on a per share basis, increased 3.3% year-over-year to $2.56
AFFO increased 8.4% year-over-year to $2.4 billion and, on a per share basis, increased 5.1% year-over-year to $2.26
Announced approximately $1.1 billion in capital commitments at a weighted average initial yield of 8.1% in 2024 and deployed capital in every month
Increased annualized cash dividend by 4.2% in the third quarter, representing the Company’s seventh consecutive annual dividend increase since the Company’s IPO in 2018
Issued a total of $1.8 billion aggregate principal amount of investment grade senior notes to refinance existing debt
Raised total gross proceeds of $384.6 million in forward equity under the ATM program throughout the year

CEO Comments

Edward Pitoniak, Chief Executive Officer of VICI Properties, said, “In 2024, we announced our first large-scale Partner Property Growth Fund transaction with The Venetian Resort Las Vegas, in which we agreed to invest up to $700.0 million of capital in exchange for incremental rent added to our existing lease. We continued to expand and develop relationships providing us the opportunity to invest capital with exceptional operators, including the team at The Venetian, our new relationship with the Homefield team and our continued partnership with Great Wolf, all of which contributed to total 2024 capital commitments of $1.1 billion at a weighted average initial yield of 8.1%. We continued to be recognized for the quality of our balance sheet and received a credit rating upgrade from Moody’s to Baa3 in November 2024, enabling VICI to achieve investment grade credit ratings across all three rating agencies. Amidst a persistently volatile market backdrop in 2024, VICI remained patient, opportunistic and dedicated to rigorous quality and risk management. We believe this discipline, together with our deep relationships, will allow us to continue to deliver long-term, sustainable, high-quality growth to our shareholders.

We are also thrilled to announce that, subsequent to quarter-end, we invested $300.0 million into a mezzanine loan to support the development of One Beverly Hills, representing a very exciting new strategic relationship with project sponsors Cain International and Eldridge Industries. Not only is One Beverly Hills an opportunity to invest in place-based history and experiential luxury, but it also initiates our relationship with sponsors who are deeply integrated in the experiential sector.”

Fourth Quarter 2024 Financial Results

Total Revenues

Total revenues were $976.1 million for the quarter, an increase of 4.7% compared to $931.9 million for the quarter ended December 31, 2023. Total revenues for the quarter included $134.9 million of non-cash leasing and financing adjustments and $19.5 million of other income.

Net Income Attributable to Common Stockholders

Net income attributable to common stockholders was $614.6 million for the quarter, or $0.58 per share, compared to $747.8 million, or $0.72 per share, for the quarter ended December 31, 2023. The year-over-year decline in aggregate net income was primarily related, on an absolute basis, to the $157.7 million aggregate change in the CECL allowance from the quarter ended December 31, 2023 to the quarter ended December 31, 2024.

Funds from Operations (“FFO”)

FFO attributable to common stockholders was $614.6 million for the quarter, or $0.58 per share, compared to $747.8 million, or $0.72 per share, for the quarter ended December 31, 2023. The year-over-year decline in FFO attributable to common stockholders was primarily related, on an absolute basis, to the $157.7 million aggregate change in the CECL allowance from the quarter ended December 31, 2023 to the quarter ended December 31, 2024.

Adjusted Funds from Operations (“AFFO”)

AFFO attributable to common stockholders was $601.3 million for the quarter, an increase of 5.4% compared to $570.4 million for the quarter ended December 31, 2023. AFFO per share was $0.57 for the quarter compared to $0.55 per share for the quarter ended December 31, 2023.

Full Year 2024 Financial Results

Total Revenues

Total revenues were $3,849.2 million for the year, an increase of 6.6% compared to $3,612.0 million for the year ended December 31, 2023. Total revenues for the year included $537.7 million of non-cash leasing and financing adjustments and $77.4 million of other income.

Net Income Attributable to Common Stockholders

Net income attributable to common stockholders was $2,678.8 million for the year, or $2.56 per share, compared to $2,513.5 million, or $2.47 per share, for the year ended December 31, 2023.

Funds from Operations

FFO attributable to common stockholders was $2,678.8 million for the year, or $2.56 per share, compared to $2,515.0 million, or $2.48 per share, for the year ended December 31, 2023.

Adjusted Funds from Operations

AFFO attributable to common stockholders was $2,370.8 million for the year, an increase of 8.4% compared to $2,187.0 million for the year ended December 31, 2023. AFFO per share was $2.26 for the year, an increase of 5.1%, compared to $2.15 per share for the year ended December 31, 2023.

Fourth Quarter and Full Year 2024 Acquisitions and Portfolio Activity

Acquisitions and Investment Activity

In 2024, the Company announced approximately $1.1 billion in capital commitments at a weighted average initial yield of 8.1%. These investments include: (i) the up to $105.0 million construction loan to affiliates of Homefield Kansas City (“Homefield”), (ii) the up to $700.0 million commitment to The Venetian Resort Las Vegas (“The Venetian Resort”) through our Partner Property Growth Fund strategy, and (iii) the $250.0 million CMBS mezzanine loan financing to Great Wolf Resorts, Inc. (“Great Wolf”).

On January 23, 2024, the Company announced that it had entered into a construction loan agreement for up to $105.0 million in financing to Homefield to fund the development of a Margaritaville Resort in Kansas City, Kansas. Simultaneous with entering into the loan agreement, the Company entered into a call right agreement that provides the Company with a call option on (i) the Margaritaville Resort, (ii) the new Homefield youth sports training facility, (iii) the new Homefield baseball center, and (iv) the existing Homefield youth sports complex in Olathe, Kansas. The Company also received a right of first refusal to acquire the real estate of any future Homefield property, should Homefield elect to monetize such assets in a sale-leaseback transaction. If the call option is exercised, all of the properties, including the Margaritaville Resort, will be subject to a single long-term triple net master lease with the Company.

On May 1, 2024, the Company announced an agreement to provide up to $700.0 million of capital to The Venetian Resort for extensive reinvestment projects through its Partner Property Growth Fund strategy (the “Venetian Capital Investment”). The Venetian Capital Investment is comprised of $400.0 million that was drawn in 2024 and an incremental $300.0 million that The Venetian Resort will have the option, but not the obligation, to draw in whole or in part until November 1, 2026. The initial $400.0 million investment was funded in three quarterly draws based on a fixed funding schedule: $100.0 million in Q2 2024, $150.0 million in Q3 2024 and $150.0 million in Q4 2024. Annual rent under the existing Venetian Resort lease (the “Venetian Resort Lease”) increased commencing on the first day of the quarter immediately following each capital funding at a 7.25% yield (the “Incremental Venetian Rent”). The Incremental Venetian Rent will begin escalating annually at 2.0% on March 1, 2029 and, commencing on March 1, 2031, will begin escalating on the same terms as the rest of the rent payable under the Venetian Resort Lease with annual escalation equal to the greater of 2.0% or CPI, capped at 3.0%. The initial $400.0 million drawn in 2024 was funded with a combination of cash and proceeds from the partial settlement of the Company’s outstanding forward equity sale agreements.

On May 9, 2024, the Company announced that it had originated a $250.0 million mezzanine loan (the “Mezzanine Loan”) as part of a $1.55 billion financing that also includes a single borrower group CMBS securitization (the “Great Wolf Loan”) for Great Wolf through its VICI Experiential Credit Solutions strategy. The Mezzanine Loan has an annual fixed interest rate and an initial term of two years with three 12-month extension options, subject to the satisfaction of certain conditions. In connection with the Great Wolf Loan origination, Great Wolf repaid VICI’s $79.5 million mezzanine loan for Great Wolf Lodge Maryland. The remaining $170.5 million capital commitment was funded with cash.

Subsequent to quarter-end, on February 19, 2025, the Company announced the establishment of a strategic relationship with Cain International and Eldridge Industries, pursuant to a non-binding letter of intent, dedicated to investing in high-growth, experience-driven real estate. The letter of intent expresses the parties’ shared intention to work collaboratively to identify and pursue experiential investment opportunities that meet each party’s investment objectives. The collaboration launched with VICI’s $300.0 million investment into a mezzanine loan related to the development of One Beverly Hills, a landmark 17.5-acre luxury mixed-use development. The mezzanine loan has an initial maturity in March 2026 and has one 12-month extension option subject to certain conditions. VICI funded the investment with a combination of cash on hand and drawing down funds under its existing revolving credit facility.

Other Portfolio Activity

On December 10, 2024, the Company entered into an amendment and consented to the assignment of the master lease agreement with PURE to an affiliate of IGP, in connection with the IGP affiliate’s acquisition of the operating assets of PURE. In connection with entering into the amendment to the PURE master lease, the Company received a 5-year right of first offer (“ROFO”) on future sale-leaseback transactions. Any additional properties acquired pursuant to the ROFO will be added to the PURE master lease. The current annual base rent of C$22.3 million (US$15.5 million based on the CAD:USD exchange rate as of December 31, 2024) and other economic terms of the PURE master lease remained unchanged, including a base term of 25-years with four 5-year tenant renewal options, escalation of 1.25% per annum in lease year 3, with escalation equal to the greater of 1.5% and Canadian CPI (capped at 2.5%) starting in lease year 4, and a minimum capital expenditure requirement equal to 1.0% of annual net revenue. The PURE master lease, now in lease year 3 having escalated on February 1, 2025, encompasses the following assets in Alberta, Canada: PURE Casino Edmonton, PURE Casino Yellowhead, PURE Casino Calgary and PURE Casino Lethbridge.

Fourth Quarter 2024 and Full Year 2024 Capital Markets and Subsequent Activity

On March 18, 2024, VICI Properties L.P., a subsidiary of the Company (“VICI LP”), issued $1.05 billion of investment grade senior notes, comprised of (i) $550.0 million aggregate principal amount of 5.750% Senior Notes due 2034 and (ii) $500.0 million aggregate principal amount of 6.125% Senior Notes due 2054 (collectively, the “March 2024 Notes”). The weighted average interest rate for the March 2024 Notes is 5.929%, and the adjusted weighted average interest rate, after taking into account the impact of forward-starting interest rate swaps, is 5.897%. The Company used the net proceeds of this offering to redeem its outstanding (i) $1,024.2 million in aggregate principal amount of 5.625% Senior Notes due May 2024 and (ii) $25.8 million in aggregate principal amount of 5.625% Senior Notes due May 2024.

On December 19, 2024, VICI LP issued $750.0 million aggregate principal amount of 5.125% investment grade senior notes due 2031. The adjusted interest rate, after taking into account the impact of forward-starting interest rate swaps, is 4.969%. The Company used the proceeds of this offering to redeem its outstanding $750.0 million aggregate principal amount of 3.500% Senior Notes due February 2025.

During the year ended December 31, 2024, the Company settled a total of 13,194,379 shares under the outstanding ATM forward sale agreements (including those entered into in 2023) in exchange for approximately $379.4 million of aggregate net proceeds at an average forward share price of $28.75.

During the year ended December 31, 2024, the Company sold a total of 12,015,399 shares under its ATM program at a weighted average gross price per share of $32.01 for an aggregate value of $384.6 million, all of which were sold subject to forward sale agreements.

During the year ended December 31, 2024, the Company drew down £5.5 million (approximately US$6.9 million as of year-end exchange rates) under its prior revolving credit facility to provide incremental funding for the Cabot Highlands Loan. The Company also repaid C$27.0 million (approximately US$18.8 million as of year-end exchange rates) on its prior revolving credit facility.

Subsequent to quarter end, on February 3, 2025, the Company entered into a new $2.5 billion multicurrency unsecured revolving credit facility (the “Revolving Credit Facility”) replacing the prior unsecured revolving credit facility of the same size. The Revolving Credit Facility matures on February 3, 2029 and can be extended for two successive six-month terms or one twelve-month term. The Company has an option to increase the Revolving Credit Facility by up to $1.0 billion, to the extent that any one or more lenders (from the syndicate or otherwise) agree to provide such additional credit extensions.

The following table details the issuance of outstanding shares of common stock, including restricted common stock:

Common Stock Outstanding	2024	2023	2022
Beginning Balance January 1	1,042,702,763	963,096,563	628,942,092
Issuance of common stock upon physical settlement of forward sale agreements	13,194,739	79,065,750	119,000,000
Issuance of restricted and unrestricted common stock under the stock incentive program, net of forfeitures	469,183	540,450	601,939
Issuance of common stock in connection with the MGP Transactions	—	—	214,552,532
Ending Balance December 31	1,056,366,685	1,042,702,763	963,096,563

The following table reconciles the weighted-average shares of common stock outstanding used in the calculation of basic earnings per share to the weighted-average shares of common stock outstanding used in the calculation of diluted earnings per share:

	Year Ended December 31,
*(In thousands)*	2024	2023	2022
Determination of shares:
Weighted-average shares of common stock outstanding	1,046,740	1,014,513	877,508
Assumed conversion of restricted stock	482	784	955
Assumed settlement of forward sale agreements	453	480	1,213
Diluted weighted-average shares of common stock outstanding	1,047,675	1,015,777	879,676

Balance Sheet and Liquidity

As of December 31, 2024, the Company had approximately $17.1 billion in total debt and approximately $3.3 billion in liquidity, comprised of: (i) $524.6 million in cash and cash equivalents, (ii) $376.3 million in estimated proceeds available through the physical settlement of the 12,015,399 shares subject to the outstanding forward sale agreements and (iii) $2.4 billion of availability under the prior revolving credit facility.

The Company’s outstanding indebtedness (shown in USD) as of December 31, 2024 was as follows:

*($ in millions)*	December 31, 2024
Revolving Credit Facility⁽¹⁾
USD Borrowings	$	—
CAD Borrowings⁽²⁾		130.7
GBP Borrowings⁽²⁾		18.1
4.375% Notes Due 2025		500.0
4.625% Notes Due 2025		800.0
4.500% Notes Due 2026		500.0
4.250% Notes Due 2026		1,250.0
5.750% Notes Due 2027		750.0
3.750% Notes Due 2027		750.0
4.500% Notes Due 2028		350.0
4.750% Notes Due 2028		1,250.0
3.875% Notes Due 2029		750.0
4.625% Notes Due 2029		1,000.0
4.950% Notes Due 2030		1,000.0
4.125% Notes Due 2030		1,000.0
5.125% Notes Due 2031		750.0
5.125% Notes Due 2032		1,500.0
5.750% Notes Due 2034		550.0
5.625% Notes Due 2052		750.0
6.125% Notes Due 2054		500.0
Total Unsecured Debt Outstanding, Face Value	$	14,098.8
MGM Grand/Mandalay Bay CMBS Debt Due 2032	$	3,000.0
Total Debt Outstanding, Face Value	$	17,098.8
Cash & Cash Equivalents	$	524.6
Net Debt	$	16,574.2

(1) Refers to the Company’s prior revolving credit facility, which was terminated concurrently with entry into the Revolving Credit Facility subsequent to year end on February 3, 2025.

(2) Based on applicable exchange rates as of December 31, 2024.

Dividends

On December 5, 2024, the Company declared a regular quarterly cash dividend of $0.4325 per share, representing a 4.2% increase year-over-year. The Q4 2024 dividend was paid on January 9, 2025 to stockholders of record as of the close of business on December 17, 2024 and totaled in aggregate approximately $456.7 million.

2025 Guidance

The Company is providing preliminary AFFO guidance for the full year 2025. In determining AFFO, the Company adjusts for certain items that are otherwise included in determining net income attributable to common stockholders, the most comparable generally accepted accounting principles in the United States (“GAAP”) financial measure. In reliance on the exception provided by applicable rules, the Company does not provide guidance for GAAP net income, the most comparable GAAP financial measure, or a reconciliation of 2025 AFFO to GAAP net income because we are unable to predict with reasonable certainty the amount of the change in non-cash allowance for credit losses under ASU No. 2016-13 – Financial Instruments—Credit Losses (Topic 326) (“ASC 326”) for a future period. The non-cash change in allowance for credit losses under ASC 326 with respect to a future period is dependent upon future events that are entirely outside of the Company’s control and may not be reliably predicted, including its tenants’ respective financial performance, fluctuations in the trading price of their common stock, credit ratings and outlook (each to the extent applicable), as well as broader macroeconomic performance. Based on past results and, as disclosed in our historical financial results, the impact of these adjustments could be material, individually or in the aggregate, to the Company’s reported GAAP results. For more information, see “Non-GAAP Financial Measures.”

The Company estimates AFFO for the year ending December 31, 2025 will be between $2,455 million and $2,485 million, or between $2.32 and $2.35 per diluted share. Guidance does not include the impact on operating results from any pending or possible future acquisitions or dispositions, capital markets activity, or other non-recurring transactions.

The following is a summary of the Company’s full-year 2025 guidance:


*For the Year Ending December 31, 2025 ($ in millions):*	Low	High
Estimated Adjusted Funds From Operations (AFFO)	$2,455	$2,485
Estimated Adjusted Funds From Operations (AFFO) per diluted share	$2.32	$2.35
Estimated Weighted Average Share Count for the Year (in millions)	1,056.9	1,056.9

The above per share estimates reflect the dilutive effect of the pending 12,015,399 shares related to the outstanding forward sale agreements as calculated under the treasury stock method. VICI partnership units held by third parties are reflected as non-controlling interests and the income allocable to them is deducted from net income to arrive at net income attributable to common stockholders and AFFO; accordingly, guidance represents AFFO per share attributable to common stockholders based solely on outstanding shares of VICI common stock.

The estimates set forth above reflect management’s view of current and future market conditions, including assumptions with respect to the earnings impact of the events referenced in this release. The estimates set forth above may be subject to fluctuations as a result of several factors and there can be no assurance that the Company’s actual results will not differ materially from the estimates set forth above.

Supplemental Information

In addition to this release, the Company has furnished Supplemental Financial Information, which is available on the Company’s website in the “Investors” section, under the menu heading “Financials”. This additional information is being provided as a supplement to the information in this release and the Company’s other filings with the SEC. The Company has no obligation to update any of the information provided to conform to actual results or changes in the Company’s portfolio, capital structure or future expectations, except as may be required by applicable law.

Conference Call and Webcast

The Company will host a conference call and audio webcast on Friday, February 21, 2025 at 10:00 a.m. Eastern Time (ET). The conference call can be accessed by dialing +1 833-470-1428 (domestic) or +1 929-526-1599 (international) and entering the conference ID 752834. An audio replay of the conference call will be available from 1:00 p.m. ET on February 21, 2025 until midnight ET on February 28, 2025 and can be accessed by dialing +1 866-813-9403 (domestic) or +44 204-525-0658 (international) and entering the passcode 470373.

A live audio webcast of the conference call will be available in listen-only mode through the “Investors” section of the Company’s website, www.viciproperties.com, on February 21, 2025, beginning at 10:00 a.m. ET. A replay of the webcast will be available shortly after the call on the Company’s website and will continue for one year.

About VICI Properties

VICI Properties Inc. is an S&P 500® experiential real estate investment trust that owns one of the largest portfolios of market-leading gaming, hospitality, wellness, entertainment and leisure destinations, including Caesars Palace Las Vegas, MGM Grand and the Venetian Resort Las Vegas, three of the most iconic entertainment facilities on the Las Vegas Strip. VICI Properties owns 93 experiential assets across a geographically diverse portfolio consisting of 54 gaming properties and 39 other experiential properties across the United States and Canada. The portfolio is comprised of approximately 127 million square feet and features approximately 60,300 hotel rooms and over 500 restaurants, bars, nightclubs and sportsbooks. Its properties are occupied by industry-leading gaming, leisure and hospitality operators under long-term, triple-net lease agreements. VICI Properties has a growing array of real estate and financing partnerships with leading operators in other experiential sectors, including Cabot, Cain International, Canyon Ranch, Chelsea Piers, Great Wolf Resorts, Homefield, Kalahari Resorts and Lucky Strike Entertainment. VICI Properties also owns four championship golf courses and approximately 33 acres of undeveloped and underdeveloped land adjacent to the Las Vegas Strip. VICI Properties’ goal is to create the highest quality and most productive experiential real estate portfolio through a strategy of partnering with the highest quality experiential place makers and operators.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws. You can identify these statements by our use of the words “anticipates,” “assumes,” “believes,” “estimates,” “expects,” “guidance,” “intends,” “plans,” “projects,” and similar expressions that do not relate to historical matters. All statements other than statements of historical fact are forward-looking statements. You should exercise caution in interpreting and relying on forward-looking statements because they involve known and unknown risks, uncertainties, and other factors which are, in some cases, beyond the Company’s control and could materially affect actual results, performance, or achievements. Among those risks, uncertainties and other factors are: the impact of changes in general economic conditions and market developments, including inflation, interest rates, supply chain disruptions, consumer confidence levels, changes in consumer spending, unemployment levels and depressed real estate prices resulting from the severity and duration of any downturn in the U.S. or global economy; the impact of the changing interest rate environment on us, including our ability to successfully pursue investments in, and acquisitions of, additional properties and to obtain debt financing for such investments at attractive interest rates, or at all; risks associated with our transactions, including our ability or failure to realize the anticipated benefits thereof; our dependence on our tenants at our properties and their affiliates that serve as guarantors of the lease payments and the negative consequences any material adverse effect on their respective businesses could have on us; the possibility that any transactions may not be consummated on the terms or timeframes contemplated, or at all, including our ability to obtain the financing necessary to complete any acquisitions on the terms we expect in a timely manner, or at all, the ability of the parties to satisfy the conditions set forth in the definitive transaction documents, including the receipt of, or delays in obtaining, governmental and regulatory approvals and consents required to consummate such transactions, or other delays or impediments to completing the transactions; the anticipated benefits of certain arrangements with certain tenants in connection with our funding of “same store” capital improvements in exchange for increased rent pursuant to the terms of our agreements with such tenants, which we refer to as the Partner Property Growth Fund strategy; our decision and ability to exercise our purchase rights under our put-call agreements, call agreements, right of first refusal agreements and right of first offer agreements; our borrowers’ ability to repay their outstanding loan obligations to us; our dependence on the gaming industry; our ability to pursue our business and growth strategies may be limited by the requirement that we distribute 90% of our REIT taxable income in order to qualify for taxation as a REIT and that we distribute 100% of our REIT taxable income in order to avoid current entity-level U.S. federal income taxes; the impact of extensive regulation from gaming and other regulatory authorities; the ability of our tenants to obtain and maintain regulatory approvals in connection with the operation of our properties, or the imposition of conditions to such regulatory approvals; the possibility that our tenants may choose not to renew their respective lease agreements following the initial or subsequent terms of the leases; restrictions on our ability to sell our properties subject to the lease agreements; our tenants and any guarantors’ historical results may not be a reliable indicator of their future results; our substantial amount of indebtedness and ability to service, refinance (at attractive interest rates, or at all) and otherwise fulfill our obligations under such indebtedness; our historical financial information may not be reliable indicators of our future results of operations, financial condition and cash flows; the possibility that we identify significant environmental, tax, legal or other issues, including additional costs or liabilities, that materially and adversely impact the value of assets acquired or secured as collateral (or other benefits we expect to receive) in any of our completed transactions; the impact of changes to tax laws and regulations, including U.S. federal income tax laws or global tax laws; the impact of changes in governmental or regulatory actions or initiatives; the possibility of adverse tax consequences as a result of our completed transactions, including tax protection agreements to which we are a party; increased volatility in our stock price, including as a result of our pending or recently completed transactions; our inability to maintain our qualification for taxation as a REIT; the impact of climate change, natural disasters, war, political and public health conditions or uncertainty or civil unrest, violence or terrorist activities or threats on our properties or in areas where our properties are located, and changes in economic conditions or heightened travel security and health measures instituted in response to these events; the loss of the services of key personnel; the inability to attract, retain and motivate employees; the costs and liabilities associated with environmental compliance; failure to establish and maintain an effective system of integrated internal controls; the risks related to us or our tenants not having adequate insurance to cover potential losses; our reliance on distributions received from our subsidiaries, including VICI Properties OP LLC, to make distributions to our stockholders; the potential impact on the amount of our cash distributions if we were to sell any of our properties in the future; our ability to continue to make distributions to holders of our common stock or maintain anticipated levels of distributions over time; and competition for transaction opportunities, including from other REITs, investment companies, private equity firms and hedge funds, sovereign funds, lenders, gaming companies and other investors that may have greater resources and access to capital and a lower cost of capital or different investment parameters than us.

Although the Company believes that in making such forward-looking statements its expectations are based upon reasonable assumptions, such statements may be influenced by factors that could cause actual outcomes and results to be materially different from those projected. The Company cannot assure you that the assumptions upon which these statements are based will prove to have been correct. Additional important factors that may affect the Company’s business, results of operations and financial position are described from time to time in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, Quarterly Reports on Form 10-Q and the Company’s other filings with the Securities and Exchange Commission. The Company does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as may be required by applicable law.

Non-GAAP Financial Measures

This press release presents Funds From Operations (“FFO”), FFO per share, Adjusted Funds From Operations (“AFFO”), AFFO per share and Adjusted EBITDA, which are not required by, or presented in accordance with, generally accepted accounting principles in the United States (“GAAP”). These are non-GAAP financial measures and should not be construed as alternatives to net income or as an indicator of operating performance (as determined in accordance with GAAP). We believe FFO, FFO per share, AFFO, AFFO per share and Adjusted EBITDA provide a meaningful perspective of the underlying operating performance of our business.

FFO is a non-GAAP financial measure that is considered a supplemental measure for the real estate industry and a supplement to GAAP measures. Consistent with the definition used by The National Association of Real Estate Investment Trusts (Nareit), we define FFO as our net income (or loss) attributable to common stockholders (computed in accordance with GAAP) excluding (i) gains (or losses) from sales of certain real estate assets, (ii) depreciation and amortization related to real estate, (iii) gains and losses from change in control, (iv) impairment write-downs of certain real estate assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity and (v) our proportionate share of such adjustments from our investment in unconsolidated affiliate.

AFFO is a non-GAAP financial measure that we use as a supplemental operating measure to evaluate our performance. We calculate our AFFO by adding or subtracting from FFO non-cash leasing and financing adjustments, non-cash change in allowance for credit losses, non-cash stock-based compensation expense, transaction costs incurred in connection with the acquisition of real estate investments, amortization of debt issuance costs and original issue discount, other non-cash interest expense, non-real estate depreciation (which is comprised of the depreciation related to our golf course operations), capital expenditures (which are comprised of additions to property, plant and equipment related to our golf course operations), impairment charges related to non-depreciable real estate, gains on debt extinguishment and interest rate swap settlements, other gains, deferred income tax benefits and expenses, other non-recurring non-cash transactions, our proportionate share of non-cash adjustments from our investment in unconsolidated affiliate (including the amortization of any basis differences) with respect to certain of the foregoing and non-cash adjustments attributable to non-controlling interest with respect to certain of the foregoing.

We calculate our Adjusted EBITDA by adding or subtracting from AFFO contractual interest expense (including the impact of the forward-starting interest rate swaps and treasury locks) and interest income (collectively, interest expense, net), current income tax expense and our proportionate share of such adjustments from our investment in unconsolidated affiliate.

These non-GAAP financial measures: (i) do not represent cash flow from operations as defined by GAAP; (ii) should not be considered as an alternative to net income as a measure of operating performance or to cash flows from operating, investing and financing activities; and (iii) are not alternatives to cash flow as a measure of liquidity. In addition, these measures should not be viewed as measures of liquidity, nor do they measure our ability to fund all of our cash needs, including our ability to make cash distributions to our stockholders, to fund capital improvements, or to make interest payments on our indebtedness. Investors are also cautioned that FFO, FFO per share, AFFO, AFFO per share and Adjusted EBITDA, as presented, may not be comparable to similarly titled measures reported by other real estate companies, including REITs, due to the fact that not all real estate companies use the same definitions. Our presentation of these measures does not replace the presentation of our financial results in accordance with GAAP.

Reconciliations of net income to FFO, FFO per share, AFFO, AFFO per share and Adjusted EBITDA are included in this release.



VICI Properties Inc. Consolidated Balance Sheets (In thousands, except share and per share data)


	December 31, 2024		December 31, 2023
*Assets*
Real estate portfolio:
Investments in leases – sales-type, net	$	23,581,101	$	23,015,931
Investments in leases – financing receivables, net		18,430,320		18,211,102
Investments in loans and securities, net		1,651,533		1,144,177
Land		150,727		150,727
Cash and cash equivalents		524,615		522,574
Other assets		1,030,644		1,015,330
Total assets	$	45,368,940	$	44,059,841

*Liabilities*
Debt, net	$	16,732,889	$	16,724,125
Accrued expenses and deferred revenue		217,956		227,241
Dividends and distributions payable		461,954		437,599
Other liabilities		1,004,340		1,013,102
Total liabilities		18,417,139		18,402,067

*Stockholders’ equity*
Common stock		10,564		10,427
Preferred stock		—		—
Additional paid in capital		24,515,417		24,125,872
Accumulated other comprehensive income		144,574		153,870
Retained earnings		1,867,400		965,762
Total VICI stockholders’ equity		26,537,955		25,255,931
Non-controlling interests		413,846		401,843
Total stockholders’ equity		26,951,801		25,657,774
Total liabilities and stockholders’ equity	$	45,368,940	$	44,059,841

_______________________________________________________

Note: As of December 31, 2024 and December 31, 2023, our Investments in leases – sales-type, Investments in leases – financing receivables, Investments in loans and Other assets (sales-type sub-leases) are net of $802.7 million, $737.1 million, $25.0 million and $20.6 million, respectively, and $701.1 million, $703.6 million, $29.8 million, and $18.7 million, respectively, of Allowance for credit losses.



VICI Properties Inc. Consolidated Statement of Operations (In thousands, except share and per share data)


	Three Months Ended December 31,						Year Ended December 31,
		2024			2023			2024			2023
*Revenues*
Income from sales-type leases	$	524,691		$	506,217		$	2,068,443		$	1,980,178
Income from lease financing receivables, loans and securities		420,738			396,813			1,662,889			1,519,516
Other income		19,472			18,283			77,422			73,326
Golf revenues		11,151			10,552			40,451			38,968
Total revenues		976,052			931,865			3,849,205			3,611,988

*Operating expenses*
General and administrative		20,691			15,256			69,109			59,603
Depreciation		992			1,586			4,125			4,298
Other expenses		19,472			18,283			77,422			73,326
Golf expenses		6,747			8,215			26,895			27,089
Change in allowance for credit losses		94,428			(63,295	)		126,720			102,824
Transaction and acquisition expenses		2,839			4,632			4,567			8,017
Total operating expenses		145,169			(15,323	)		308,838			275,157

Income from unconsolidated affiliate		—			—			—			1,280
Interest expense		(208,121	)		(205,175	)		(826,097	)		(818,056	)
Interest income		4,079			7,776			16,095			23,970
Other (losses) gains		(189	)		161			581			4,456
Income before income taxes		626,652			749,950			2,730,946			2,548,481
(Provision for) benefit from income taxes		(2,447	)		9,771			(9,704	)		6,141
Net income	$	624,205		$	759,721		$	2,721,242		$	2,554,622
Less: Net income attributable to non-controlling interests		(9,611	)		(11,952	)		(42,432	)		(41,082	)
Net income attributable to common stockholders	$	614,594		$	747,769		$	2,678,810		$	2,513,540

*Net income per common share*
Basic	$	0.58		$	0.72		$	2.56		$	2.48
Diluted	$	0.58		$	0.72		$	2.56		$	2.47

*Weighted average number of common shares outstanding*
Basic		1,054,993,118			1,036,702,399			1,046,739,537			1,014,513,195
Diluted		1,055,807,977			1,037,834,052			1,047,675,111			1,015,776,697


VICI Properties Inc. Reconciliation of Net Income to FFO, FFO per Share, AFFO, AFFO per Share and Adjusted EBITDA (In thousands, except share and per share data)


	Three Months Ended December 31,						Year Ended December 31,
		2024			2023			2024			2023
Net income attributable to common stockholders	$	614,594		$	747,769		$	2,678,810		$	2,513,540
Real estate depreciation		—			—			—			—
Joint venture depreciation and non-controlling interest adjustments		—			—			—			1,426
FFO attributable to common stockholders		614,594			747,769			2,678,810			2,514,966
Non-cash leasing and financing adjustments		(134,869	)		(131,800	)		(537,708	)		(515,488	)
Non-cash change in allowance for credit losses		94,428			(63,295	)		126,720			102,824
Non-cash stock-based compensation		4,538			4,019			17,511			15,536
Transaction and acquisition expenses		2,839			4,632			4,567			8,017
Amortization of debt issuance costs and original issue discount		18,692			16,807			71,592			70,452
Other depreciation		864			1,299			3,428			3,741
Capital expenditures		(1,064	)		(1,080	)		(3,007	)		(2,842	)
Other losses (gains) ⁽¹⁾		189			(161	)		(581	)		(4,456	)
Deferred income tax provision (benefit)		1,206			(10,426	)		5,439			(10,426	)
Joint venture non-cash adjustments and non-controlling interest adjustments		(78	)		2,650			4,022			4,716
AFFO attributable to common stockholders		601,339			570,414			2,370,793			2,187,040
Interest expense, net		185,350			180,592			738,410			723,634
Current income tax expense		1,241			655			4,265			4,285
Joint venture adjustments and non-controlling interest adjustments		(2,131	)		(2,111	)		(8,551	)		(5,287	)
Adjusted EBITDA attributable to common stockholders	$	785,799		$	749,550		$	3,104,917		$	2,909,672

Net income per common share
Basic	$	0.58		$	0.72		$	2.56		$	2.48
Diluted	$	0.58		$	0.72		$	2.56		$	2.47
FFO per common share
Basic	$	0.58		$	0.72		$	2.56		$	2.48
Diluted	$	0.58		$	0.72		$	2.56		$	2.48
AFFO per common share
Basic	$	0.57		$	0.55		$	2.26		$	2.16
Diluted	$	0.57		$	0.55		$	2.26		$	2.15
Weighted average number of shares of common stock outstanding
Basic		1,054,993,118			1,036,702,399			1,046,739,537			1,014,513,195
Diluted		1,055,807,977			1,037,834,052			1,047,675,111			1,015,776,697

____________________

(1) Represents non-cash foreign currency remeasurement adjustments and gain on sale of land.



VICI Properties Inc. Revenue Detail (In thousands)


	Three Months Ended December 31,						Year Ended December 31,
		2024			2023			2024			2023
Contractual income from sales-type leases
Caesars Regional Master Lease (excluding Harrah’s NOLA, AC, and Laughlin) & Joliet Lease	$	137,667		$	136,067		$	550,539		$	534,923
Caesars Las Vegas Master Lease		121,671			116,076			473,586			456,933
MGM Grand/Mandalay Bay Lease		79,018			77,468			315,038			302,326
The Venetian Resort Las Vegas Lease		70,838			64,375			270,281			256,250
PENN Greektown Lease		13,213			13,214			52,853			52,215
Hard Rock Cincinnati Lease		11,864			11,541			46,487			45,069
Century Master Lease (excluding Century Canadian Portfolio)		11,318			10,740			44,231			34,210
EBCI Southern Indiana Lease		8,496			8,370			33,650			33,152
PENN Margaritaville Lease		6,706			6,615			26,794			26,239
Income from sales-type leases non-cash adjustment⁽¹⁾		63,900			61,751			254,984			238,861
Income from sales-type leases		524,691			506,217			2,068,443			1,980,178

Contractual income from lease financing receivables
MGM Master Lease		189,873			186,150			754,528			744,733
Harrah’s NOLA, AC, and Laughlin		43,948			43,974			177,379			172,872
Hard Rock Mirage Lease		22,950			22,500			91,800			90,000
JACK Entertainment Master Lease		17,772			17,511			71,001			69,956
CNE Gold Strike Lease		10,404			10,000			41,877			35,000
Lucky Strike Master Lease		8,032			6,371			31,732			6,371
Foundation Master Lease		6,123			6,063			24,492			24,252
Chelsea Piers Lease		6,000			903			24,000			903
PURE Master Lease		3,935			3,996			16,063			15,909
Century Canadian Portfolio		3,091			3,176			12,626			4,063
Income from lease financing receivables non-cash adjustment⁽¹⁾		71,037			70,072			282,943			276,697
Income from lease financing receivables		383,165			370,716			1,528,441			1,440,756
Contractual interest income
Senior secured notes		2,407			2,399			9,616			7,246
Senior secured loans		13,183			7,607			41,503			28,002
Mezzanine loans & preferred equity		22,051			16,114			83,548			43,582
Income from loans non-cash adjustment⁽¹⁾		(68	)		(23	)		(219	)		(70	)
Income from loans and securities		37,573			26,097			134,448			78,760
Income from lease financing receivables and loans		420,738			396,813			1,662,889			1,519,516

Other income		19,472			18,283			77,422			73,326
Golf revenues		11,151			10,552			40,451			38,968
Total revenues	$	976,052		$	931,865		$	3,849,205		$	3,611,988

____________________

(1) Amounts represent non-cash adjustments to recognize revenue on an effective interest basis in accordance with GAAP.

Press Release Category: Financial Results

View source version on businesswire.com: https://www.businesswire.com/news/home/20250220756381/en/

Investor Contacts:

[email protected]

(646) 949-4631

David Kieske

EVP, Chief Financial Officer

[email protected]

Moira McCloskey

SVP, Capital Markets

[email protected]

LinkedIn:

www.linkedin.com/company/vici-properties-inc

KEYWORDS: United States North America New York

INDUSTRY KEYWORDS: Commercial Building & Real Estate Construction & Property REIT

MEDIA:

February 20, 2025 4:34 pm

Gaming and Leisure Properties, Inc. Reports Record Fourth Quarter Results, Establishes 2025 Guidance and Announces 2025 First Quarter Dividend of $0.76 Per Share

WYOMISSING, Pa., Feb. 20, 2025 (GLOBE NEWSWIRE) — Gaming and Leisure Properties, Inc. (NASDAQ: GLPI) (“GLPI” or the “Company”) today announced record results for the fourth quarter and year-ended December 31, 2024.

Financial Highlights

	Three Months Ended December 31,				Year Ended December 31,
(in millions, except per share data)		2024		2023		2024		2023
Total Revenue	$	389.6	$	369.0	$	1,531.5	$	1,440.4
Income From Operations	$	308.2	$	295.3	$	1,130.7	$	1,068.7
Net income	$	223.6	$	217.3	$	807.6	$	755.4
FFO ^{(1) (4)}	$	287.9	$	282.2	$	1,062.1	$	1,015.8
AFFO ^{(2) (4)}	$	269.7	$	256.6	$	1,060.9	$	1,006.8
Adjusted EBITDA ^{(3) (4)}	$	354.0	$	331.4	$	1,374.3	$	1,307.1
Net income, per diluted common share and OP units ⁽⁴⁾	$	0.79	$	0.78	$	2.87	$	2.77
FFO, per diluted common share and OP units ⁽⁴⁾	$	1.01	$	1.02	$	3.77	$	3.73
AFFO, per diluted common share and OP units ⁽⁴⁾	$	0.95	$	0.93	$	3.77	$	3.69

_____________________________
⁽¹⁾ Funds from operations (“FFO”) is net income, excluding (gains) or losses from dispositions of property and real estate depreciation as defined by NAREIT.

⁽²⁾ Adjusted Funds from Operations (“AFFO”) is FFO, excluding, as applicable to the particular period, stock based compensation expense; the amortization of debt issuance costs, bond premiums and original issuance discounts; other depreciation; amortization of land rights; accretion on investment in leases, financing receivables; non-cash adjustments to financing lease liabilities; capitalized interest; property transfer tax recoveries; straight-line rent and deferred rent adjustments; losses on debt extinguishment; and provision (benefit) for credit losses, net, reduced by capital maintenance expenditures.

⁽³⁾ Adjusted EBITDA is net income, excluding, as applicable to the particular period, interest, net; income tax expense; real estate depreciation; other depreciation; (gains) or losses from dispositions of property; stock based compensation expense; straight-line rent and deferred rent adjustments; amortization of land rights; accretion on investment in leases, financing receivables; non-cash adjustments to financing lease liabilities; property transfer tax recoveries; losses on debt extinguishment; and provision (benefit) for credit losses, net.

⁽⁴⁾ Metrics are presented assuming full conversion of limited partnership units to common shares and therefore before the income statement impact of non-controlling interests.

Peter Carlino, Chairman and Chief Executive Officer of GLPI, commented, “We generated record fourth quarter and full year 2024 results reflecting growth across all key financial metrics for both the quarter and full year periods. On an operating basis, fourth quarter total revenue rose 5.6% year over year to $389.6 million while AFFO grew 5.1% to $269.7 million. Our record fourth quarter and full year financial results reflect GLPI’s recent acquisitions and financing arrangements, contractual escalators and growing base of leading regional gaming operator tenants, which together are expected to drive further growth in 2025 and beyond.

“Importantly, notwithstanding the still difficult transaction and financing environment, in 2024 GLPI successfully partnered with both new and existing tenants for four sale-leaseback transactions, as well as several financing commitments. During the fourth quarter, GLPI completed the sale-leaseback transactions for Bally’s properties in Kansas City and Shreveport, which will be accretive to our 2025 financial results. This transaction was structured at an attractive cap rate, expands our partnership with Bally’s and grew our tenant portfolio which now includes 68 high-quality regional gaming assets.

“GLPI’s near- and long-term success and growth highlights our focus on maintaining balance sheet strength, our access to equity capital, our ability to manage leverage and a commitment to partnering with and supporting our tenants through innovative financing structures that benefit both parties. During the fourth quarter, the Company amended its credit agreement which increased the revolver capacity to $2.09 billion from $1.75 billion and extended its maturity to December 2028. Reflecting our disciplined operating strategy, a hallmark of the Company since our formation eleven years ago, and excluding the original transaction with PENN Entertainment, we have executed over $12 billion of gaming real estate related transactions, adding over $900 million of annual rent or financing revenue to our portfolio, at attractive and accretive average multiples. Notably, our work in 2024 also resulted a healthy pipeline of growth opportunities for 2025 and beyond based on our ability to serve as a growth financing source for current and potential new tenants.

“GLPI’s first-hand experience as an operator in the gaming industry combined with our ability to deliver innovative financing solutions to current and prospective tenants are significant differentiators that drive our access to and ability to complete transactions. Our 2024 portfolio additions and recently completed transactions combined with contractual rent escalators and a strong balance sheet, set the stage for continued financial growth in 2025. GLPI is well positioned to deliver long-term growth based on our gaming operator relationships, our rights and options to participate in select tenants’ future growth and expansion initiatives, an environment conducive to supporting a healthy pipeline of new agreements, and our ability to structure and fund innovative transactions at competitive rates. Our tenants’ strength, combined with our balance sheet and liquidity, position the Company to grow cash flows, raise dividends and build value for shareholders in 2025 and beyond.”

Recent Developments

On February 12, 2025, Boyd Gaming Corporation (NYSE: BYD) (“Boyd”) exercised its first 5-year renewal option on both the Boyd Master Lease and the Belterra Park Lease. As a result, both lease terms now expire on April 30, 2031.
On February 7, 2025, Bally’s Corporation (NYSE: BALY) (“Bally’s”) completed its merger transactions with Standard General L.P. and its affiliates, and pursuant to the terms of the merger agreement, The Queen Casino & Entertainment Inc (“Casino Queen”) is now a subsidiary of Bally’s.
On February 3, 2025, the Company agreed to fund, if requested by PENN at their sole discretion, on or before March 31, 2029, construction improvements for the benefit of Ameristar Casino Council Bluffs in an amount not to exceed the greater of (i) the hard costs associated with the project and (ii) $150.0 million. The financing is being offered at a 7.10% capitalization rate. PENN shall be entitled, in its sole discretion, to structure such financing as rent or as a 5 year term loan that is pre-payable at any time without penalty. GLPI will own the entire land-based development regardless of the financing option selected by PENN.
On December 16, 2024, the Company completed the purchase of the real property assets of both Bally’s Kansas City and Bally’s Shreveport for total consideration of $395 million. The two properties are in a new Bally’s Master Lease (the “Bally’s Master Lease II”) that is cross-defaulted with the existing Bally’s Master Lease with initial cash rent pursuant to the agreement for the two new properties of $32.2 million. On September 11, 2024, the Company completed the $250 million acquisition of the land on which Bally’s permanent Chicago Casino will be constructed. With the completion of the land purchase, the Company is entitled to receive annual rent of $20 million, representing an initial cash yield of 8.0%. On July 12, 2024, the Company entered into a binding term sheet with Bally’s which included the Company’s intention to acquire the real property assets of Bally’s Kansas City Casino and Bally’s Shreveport Casino & Hotel as well as the land under Bally’s planned permanent Chicago casino site, as well as the Company’s intention to fund the construction of up to $940 million of certain real property improvements of the Bally’s Chicago Casino Resort. In aggregate, the transactions represented a blended 8.3% initial cash yield on the approximately $1.585 billion of investments. Further, the Company secured adjustments to the purchase price and related cap rate related to the existing, previously announced, contingent purchase option for Bally’s Lincoln facility, as well as the addition of a right for GLPI to call the asset beginning in October 2026. The updated purchase price for Bally’s Lincoln is $735 million at an 8.0% cap rate.
On December 2, 2024, the Company entered into an amended credit agreement with its existing bank group to increase the revolver capacity to $2.09 billion from $1.75 billion and extend its maturity date to December 2028 from May 2026.
In September 2024, the Company entered into a $110 million delayed draw term loan facility with the Ione Band of Miwok Indians (“Ione”) (the “Ione Loan”) to provide the tribe funding for a new casino development near Sacramento, California. Ione has an option at the end of the Ione Loan term to satisfy the loan obligation by converting the outstanding principal into a long-term lease with an initial term of 25 years and a maximum term of 45 years. These agreements were entered into subsequent to receiving a declination letter from the National Indian Gaming Commission approving the transaction documents, including the long-term lease. As of December 31, 2024, $15.1 million was advanced and outstanding under the Ione Loan which has a five-year term and an interest rate of 11%.
In late August 2024, the Company’s development project in Rockford, Illinois was completed. As of December 31, 2024, the outstanding loan balance was $150 million which accrued interest at 10%. On January 1, 2025, the Company amended the terms of the loan to reduce the interest rate to 8% with a maturity date of June 30, 2026 subject to a six month extension (“Rockford Loan”).
The Company has entered into forward sale agreements to sell 8,170,387 shares for a net sales price of $409.3 million subject to certain contractual adjustments. No amounts have been or will be recorded on the Company’s balance sheet with respect to these forward sale agreements until settlement.
On August 6, 2024, the Company issued $1.2 billion in Senior Unsecured Notes (“Notes”). The Notes were issued in two tranches; the first was a 5.625%, $800 million note that will mature on September 15, 2034 and was priced at 99.094% of par value and the second was a 6.250%, $400 million note that will mature on September 15, 2054 and was priced at 99.183% of par value.
On June 3, 2024, the Company announced an agreement to fund and oversee a landside move and hotel renovation of the Belle of Baton Rouge (“The Belle”) in Baton Rouge, LA for Casino Queen. The Company has committed to provide up to approximately $111 million of funding for the project ($35.1 million of which has been funded as of December 31, 2024), which is expected to be completed by September 2025. The casino will continue to operate except while gaming equipment is being moved to the new facility. The Company will own the new facility and Casino Queen will pay an incremental rental yield of 9.0% on the development funding beginning a year from the initial disbursement of funds, which occurred on May 30, 2024.
On May 16, 2024, the Company acquired the real estate assets of the Silverado Franklin Hotel & Gaming Complex, the Deadwood Mountain Grand casino, and Baldini’s Casino, for $105.0 million. Simultaneous with the acquisition, GLPI and affiliates of Strategic Gaming Management, LLC (“Strategic”) entered into two cross-defaulted triple-net lease agreements, each for an initial 25-year term with two ten-year renewal periods. The Company also provided $5 million in capital improvement proceeds at the closing of the transactions for capital improvements for a total investment of $110 million. The initial aggregate annual cash rent for the new leases is $9.2 million, inclusive of capital improvement funding, and rent is subject to a fixed 2.0% annual escalation beginning in year three of the lease and a CPI based annual escalation beginning in year 11 of the lease, of the greater of 2.0% or CPI capped at 2.5%.
On February 6, 2024, the Company acquired the real estate assets of Tioga Downs Casino Resort (“Tioga Downs”) in Nichols, NY from American Racing & Entertainment, LLC (“American Racing”) for $175.0 million. Simultaneous with the acquisition, an affiliate of GLPI and American Racing entered into a triple-net lease agreement for an initial 30-year term. The initial rent is $14.5 million and is subject to annual fixed escalations of 1.75% beginning with the first anniversary which increases to 2% beginning in year fifteen of the lease through the remainder of the initial term.

Dividends

On February 13, 2025, the Company’s Board of Directors declared a first quarter dividend of $0.76 per share on the Company’s common stock that will be payable on March 28, 2025 to shareholders of record on March 14, 2025.

On November 25, 2024, the Company’s Board of Directors declared a fourth quarter dividend of $0.76 per share on the Company’s common stock. The dividend was paid on December 20, 2024 to shareholders of record on December 6, 2024.

2025 Guidance

Reflecting the current operating and competitive environment, the Company is providing AFFO guidance for the full year 2025 based on the following assumptions and other factors:

The guidance does not include the impact on operating results from any possible future acquisitions or dispositions, future capital markets activity, or other future non-recurring transactions other than anticipated fundings of approximately $400 million related to current development projects and our expectation of settling the forward sale agreements in June of 2025.
The guidance assumes there will be no material changes in applicable legislation, regulatory environment, world events, including weather, recent consumer trends, economic conditions, oil prices, competitive landscape or other circumstances beyond our control that may adversely affect the Company’s results of operations.

The Company estimates AFFO for the year ending December 31, 2025 will be between $1.105 billion and $1.121 billion, or between $3.83 and $3.88 per diluted share and OP units.

The Company does not provide a reconciliation for non-GAAP estimates on a forward-looking basis, including the information above, where it is unable to provide a meaningful or accurate calculation or estimation of reconciling items and the information is not available without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and/or amounts of various items that would impact net income, which is the most directly comparable forward-looking GAAP financial measure. This includes, for example, provision for credit losses, net, and other non-core items that have not yet occurred, are out of the Company’s control and/or cannot be reasonably predicted. For the same reasons, the Company is unable to address the probable significance of the unavailable information. In particular, the Company is unable to predict with reasonable certainty the amount of the change in the provision for credit losses, net, under ASU No. 2016-13 – Financial Instruments – Credit Losses (“ASC 326”) in future periods. The non-cash change in the provision for credit losses under ASC 326 with respect to future periods is dependent upon future events that are entirely outside of the Company’s control and may not be reliably predicted, including the performance and future outlook of our tenant’s operations for our leases that are accounted for as investment in leases, financing receivables, as well as broader macroeconomic factors and future predictions of such factors. As a result, forward-looking non-GAAP financial measures provided without the most directly comparable GAAP financial measures may vary materially from the corresponding GAAP financial measures.

Portfolio Update

GLPI’s primary business consists of acquiring, financing, and owning real estate property to be leased to gaming operators in triple-net lease arrangements. As of December 31, 2024, GLPI’s portfolio consisted of interests in 68 gaming and related facilities, including the real property associated with 34 gaming and related facilities operated by PENN, the real property associated with 6 gaming and related facilities operated by Caesars Entertainment, Inc. (NASDAQ: CZR) (“Caesars”), the real property associated with 4 gaming and related facilities operated by Boyd, the real property associated with 15 gaming and related facilities operated by Bally’s (including Casino Queen) and 1 facility under development for Bally’s in Chicago, Illinois, the real property associated with 3 gaming and related facilities operated by The Cordish Companies (“Cordish”), 1 gaming and related facility operated by American Racing, 3 gaming and related facilities operated by Strategic and 1 gaming facility managed by a subsidiary of Hard Rock International (“Hard Rock”). These facilities are geographically diversified across 20 states.

Conference Call Details

The Company will hold a conference call on February 21, 2025 at 11:00 a.m. (Eastern Time) to discuss its financial results, current business trends and market conditions.

To Participate in the Telephone Conference Call:
Dial in at least five minutes prior to start time.
Domestic: 1-877/407-0784
International: 1-201/689-8560

Conference Call Playback:
Domestic: 1-844/512-2921
International: 1-412/317-6671
Passcode: 13751193
The playback can be accessed through Friday, February 28, 2025.

Webcast

The conference call will be available in the Investor Relations section of the Company’s website at www.glpropinc.com. To listen to a live broadcast, go to the site at least 15 minutes prior to the scheduled start time in order to register, download and install any necessary software. A replay of the call will also be available for 90 days thereafter on the Company’s website.

GAMING AND LEISURE PROPERTIES, INC. AND SUBSIDIARIES Consolidated Statements of Operations (in thousands, except per share data) (unaudited)

	Three Months Ended December 31,						Year Ended December 31,
		2024			2023			2024			2023
Revenues
Rental income	$	333,979		$	327,948		$	1,330,620		$	1,286,358
Income from sales type lease		3,764			—			5,004			—
Income from investment in leases, financing receivables		47,648			40,059			185,430			152,990
Interest income from real estate loans		4,224			1,022			10,492			1,044
Total income from real estate		389,615			369,029			1,531,546			1,440,392

Operating expenses
Land rights and ground lease expense		12,228			11,804			47,674			48,116
General and administrative		14,362			13,761			59,571			56,450
Gains from dispositions of property		—			—			(3,790	)		(22	)
Property transfer tax recovery		—			—			—			(2,187	)
Depreciation		64,759			65,739			260,152			262,870
(Benefit) provision for credit losses, net		(9,940	)		(17,551	)		37,254			6,461
Total operating expenses		81,409			73,753			400,861			371,688
Income from operations		308,206			295,276			1,130,685			1,068,704

Other income (expenses)
Interest expense		(97,847	)		(82,869	)		(366,897	)		(323,388	)
Interest income		13,816			5,806			45,989			12,607
Losses on debt extinguishment		—			—			—			(556	)
Total other expenses		(84,031	)		(77,063	)		(320,908	)		(311,337	)

Income before income taxes		224,175			218,213			809,777			757,367
Income tax expense		565			957			2,129			1,997
Net income	$	223,610		$	217,256		$	807,648		$	755,370
Net income attributable to non-controlling interest in the Operating Partnership		(6,398	)		(5,964	)		(23,028	)		(21,087	)
Net income attributable to common shareholders	$	217,212		$	211,292		$	784,620		$	734,283

Earnings per common share:
Basic earnings attributable to common shareholders	$	0.79		$	0.79		$	2.87		$	2.78
Diluted earnings attributable to common shareholders	$	0.79		$	0.78		$	2.87		$	2.77

GAMING AND LEISURE PROPERTIES, INC. AND SUBSIDIARIES

Current Year Revenue Detail

(in thousands) (unaudited)

Three Months Ended December 31, 2024	Building base rent		Land base rent		Percentage rent and other rental revenue			Interest income on real estate loans		Total cash income		Straight- line rent and deferred rent adjustments ⁽¹⁾			Ground rent in revenue		Accretion on financing leases		Total income from real estate
Amended PENN Master Lease	$	53,798	$	10,759	$	6,548		$	—	$	71,105	$	4,951		$	601	$	—	$	76,657
PENN 2023 Master Lease		59,503		—		(128	)		—		59,375		5,033			—		—		64,408
Amended Pinnacle Master Lease		61,482		17,814		8,121			—		87,417		1,858			2,118		—		91,393
PENN Morgantown		—		785		—			—		785		—			—		—		785
Caesars Master Lease		16,302		5,933		—			—		22,235		1,916			330		—		24,481
Horseshoe St Louis Lease		5,991		—		—			—		5,991		324			—		—		6,315
Boyd Master Lease		20,470		2,946		3,047			—		26,463		574			432		—		27,469
Boyd Belterra Lease		723		473		500			—		1,696		152			—		—		1,848
Bally’s Master Lease		26,411		—		—			—		26,411		—			2,692		—		29,103
Bally’s Master Lease II		1,431		—		—			—		1,431		—			211		—		1,642
Maryland Live! Lease		19,079		—		—			—		19,079		—			2,158		3,546		24,783
Pennsylvania Live! Master Lease		12,719		—		—			—		12,719		—			308		2,267		15,294
Casino Queen Master Lease		7,941		—		—			—		7,941		32			—		—		7,973
Tropicana Las Vegas Lease		—		3,763		—			—		3,763		—			—		2		3,765
Rockford Lease		—		2,040		—			—		2,040		—			—		496		2,536
Rockford Loan		—		—		—			3,833		3,833		—			—		—		3,833
Tioga Downs Lease		3,631		—		—			—		3,631		—			1		602		4,234
Strategic Gaming Leases		2,299		—		—			—		2,299		—			106		300		2,705
Ione Loan		—		—		—			391		391		—			—		—		391
Bally’s Chicago Lease		—		5,000		—			—		5,000		(5,000	)		—		—		—
Total	$	291,780	$	49,513	$	18,088		$	4,224	$	363,605	$	9,840		$	8,957	$	7,213	$	389,615

⁽¹⁾ Includes $0.1 million of tenant improvement allowance amortization for the three months ended December 31, 2024

Year Ended December 31, 2024	Building base rent		Land base rent		Percentage rent and other rental revenue			Interest income on real estate loans		Total cash income		Straight- line rent and deferred rent adjustments ⁽²⁾			Ground rent in revenue		Accretion on financing leases		Total income from real estate
Amended PENN Master Lease	$	213,067	$	43,035	$	26,110		$	—	$	282,212	$	19,807		$	2,281	$	—	$	304,300
PENN 2023 Master Lease		236,242		—		(482	)		—		235,760		21,897			—		—		257,657
Amended Pinnacle Master Lease		244,322		71,256		31,209			—		346,787		7,432			8,281		—		362,500
PENN Morgantown		—		3,138		—			—		3,138		—			—		—		3,138
Caesars Master Lease		64,367		23,729		—			—		88,096		8,505			1,320		—		97,921
Horseshoe St Louis Lease		23,744		—		—			—		23,744		1,520			—		—		25,264
Boyd Master Lease		81,343		11,785		11,546			—		104,674		2,296			1,729		—		108,699
Boyd Belterra Lease		2,875		1,894		1,963			—		6,732		606			—		—		7,338
Bally’s Master Lease		104,768		—		—			—		104,768		—			10,690		—		115,458
Bally’s Master Lease II		1,431		—		—			—		1,431		—			211		—		1,642
Maryland Live! Lease		76,313		—		—			—		76,313		—			8,703		14,979		99,995
Pennsylvania Live! Master Lease		50,729		—		—			—		50,729		—			1,241		8,935		60,905
Casino Queen Master Lease		31,662		—		—			—		31,662		150			—		—		31,812
Tropicana Las Vegas Lease		—		12,188		—			—		12,188		—			—		2		12,190
Rockford Lease		—		8,053		—			—		8,053		—			—		2,014		10,067
Rockford Loan		—		—		—			10,055		10,055		—			—		—		10,055
Tioga Downs Lease		13,106		—		—			—		13,106		—			5		2,346		15,457
Strategic Gaming Leases		5,774		—		—			—		5,774		—			247		690		6,711
Ione Loan		—		—		—			437		437		—			—		—		437
Bally’s Chicago Lease		—		6,111		—			—		6,111		(6,111	)		—		—		—
Total	$	1,149,743	$	181,189	$	70,346		$	10,492	$	1,411,770	$	56,102		$	34,708	$	28,966	$	1,531,546

⁽²⁾ Includes $0.3 million of tenant improvement allowance amortization for the year ended December 31, 2024

Reconciliation of Net income (GAAP) to FFO, FFO to AFFO, and AFFO to Adjusted EBITDA Gaming and Leisure Properties, Inc. and Subsidiaries CONSOLIDATED (in thousands, except per share and share data) (unaudited)

	Three Months Ended December 31,						Year Ended December 31,
		2024			2023			2024			2023
Net income	$	223,610		$	217,256		$	807,648		$	755,370
Gains from dispositions of property, net of tax		—			—			(3,790	)		(22	)
Real estate depreciation		64,276			64,946			258,219			260,440
Funds from operations	$	287,886		$	282,202		$	1,062,077		$	1,015,788
Straight-line rent and deferred rent adjustments ⁽¹⁾		(9,840	)		(13,436	)		(56,102	)		(39,881	)
Other depreciation		483			793			1,933			2,430
Amortization of land rights		3,442			3,276			13,270			13,554
Amortization of debt issuance costs, bond premiums and original issuance discounts		3,057			2,545			11,229			9,857
Accretion on investment in leases, financing receivables		(7,213	)		(6,250	)		(28,966	)		(23,056	)
Non-cash adjustment to financing lease liabilities		115			122			473			469
Stock based compensation		5,252			4,914			24,262			22,873
Capitalized interest		(3,538	)		—			(4,395	)		—
Losses on debt extinguishment		—			—			—			556
Property transfer tax recovery		—			—			—			(2,187	)
(Benefit)/provision for credit losses, net		(9,940	)		(17,551	)		37,254			6,461
Capital maintenance expenditures ⁽²⁾		(35	)		(42	)		(134	)		(67	)
Adjusted funds from operations	$	269,669		$	256,573		$	1,060,901		$	1,006,797
Interest, net ⁽³⁾		83,248			76,383			317,945			308,090
Income tax expense		565			957			2,129			1,997
Capital maintenance expenditures ⁽²⁾		35			42			134			67
Amortization of debt issuance costs, bond premiums and original issuance discounts		(3,057	)		(2,545	)		(11,229	)		(9,857	)
Capitalized interest		3,538			—			4,395			—
Adjusted EBITDA	$	353,998		$	331,410		$	1,374,275		$	1,307,094

Net income, per diluted common shares and OP units	$	0.79		$	0.78		$	2.87		$	2.77
FFO, per diluted common share and OP units	$	1.01		$	1.02		$	3.77		$	3.73
AFFO, per diluted common share and OP units	$	0.95		$	0.93		$	3.77		$	3.69

Weighted average number of common shares and OP units outstanding
Diluted common shares		275,634,352			269,652,162			273,534,076			264,992,926
OP units		8,111,510			7,653,326			8,050,914			7,651,755
Diluted common shares and OP units		283,745,862			277,305,488			281,584,990			272,644,681

⁽¹⁾ The three months and year ended December 31, 2024 amounts include $0.1 million and $0.3 million of tenant improvement allowance amortization.

⁽²⁾Capital maintenance expenditures are expenditures to replace existing fixed assets with a useful life greater than one year that are obsolete, worn out or no longer cost effective to repair.

⁽³⁾Excludes a non-cash interest expense gross up related to certain ground leases.

Reconciliation of Cash Net Operating Income Gaming and Leisure Properties, Inc. and Subsidiaries CONSOLIDATED (in thousands, except per share and share data) (unaudited)

	Three Months Ended December 31, 2024			Year Ended December 31, 2024
Adjusted EBITDA	$	353,998		$	1,374,275
General and administrative expenses		14,362			59,571
Stock based compensation		(5,252	)		(24,262	)
Cash net operating income ⁽¹⁾		363,108			1,409,584

_____________________________
⁽¹⁾ Cash net operating income is cash rental income and interest on real estate loans less cash property level expenses.

Gaming and Leisure Properties, Inc. and Subsidiaries Consolidated Balance Sheets (in thousands, except share and per share data)

	December 31, 2024			December 31, 2023

Assets
Real estate investments, net	$	8,148,719		$	8,168,792
Investment in leases, financing receivables, net		2,333,114			2,023,606
Investment in leases, sales-type, net		254,821			—
Real estate loans, net		160,590			39,036
Right-of-use assets and land rights, net		1,091,783			835,524
Cash and cash equivalents		462,632			683,983
Held to maturity investment securities		560,832			—
Other assets		63,458			55,717
Total assets	$	13,075,949		$	11,806,658

Liabilities
Accounts payable and accrued expenses	$	5,802		$	7,011
Accrued interest		105,752			83,112
Accrued salaries and wages		7,154			7,452
Operating lease liabilities		244,973			196,853
Financing lease liabilities		60,788			54,261
Long-term debt, net of unamortized debt issuance costs, bond premiums and original issuance discounts		7,735,877			6,627,550
Deferred rental revenue		228,508			284,893
Other liabilities		41,571			36,572
Total liabilities		8,430,425			7,297,704

Equity
		00
Preferred stock ($.01 par value, 50,000,000 shares authorized, no shares issued or outstanding at December 31, 2024 and December 31, 2023)		—			—
Common stock ($.01 par value, 500,000,000 shares authorized, 274,422,549 shares and 270,922,719 shares issued and outstanding at December 31, 2024 and December 31, 2023, respectively)		2,744			2,709
Additional paid-in capital		6,209,827			6,052,109
Retained deficit		(1,944,009	)		(1,897,913	)
Total equity attributable to Gaming and Leisure Properties		4,268,562			4,156,905
Noncontrolling interests in GLPI’s Operating Partnership (8,224,939 units and 7,653,326 units outstanding at December 31, 2024 and December 31, 2023, respectively)		376,962			352,049
Total equity		4,645,524			4,508,954
Total liabilities and equity	$	13,075,949		$	11,806,658

Debt Capitalization

The Company’s debt structure as of December 31, 2024 was as follows:


	Years to Maturity	Interest Rate	Balance
			(in thousands)
Unsecured $2,090 Million Revolver Due December 2028	3.9	5.666%		332,455
Term Loan Credit Facility Due September 2027	2.7	5.675%		600,000
Senior Unsecured Notes Due June 2025	0.4	5.250%		850,000
Senior Unsecured Notes Due April 2026	1.3	5.375%		975,000
Senior Unsecured Notes Due June 2028	3.4	5.750%		500,000
Senior Unsecured Notes Due January 2029	4.0	5.300%		750,000
Senior Unsecured Notes Due January 2030	5.0	4.000%		700,000
Senior Unsecured Notes Due January 2031	6.0	4.000%		700,000
Senior Unsecured Notes Due January 2032	7.0	3.250%		800,000
Senior Unsecured Notes Due December 2033	8.9	6.750%		400,000
Senior Unsecured Notes Due September 2034	9.7	5.625%		800,000
Senior Unsecured Notes Due September 2054	29.7	6.250%		400,000
Other	1.7	4.780%		277
Total long-term debt				7,807,732
Less: unamortized debt issuance costs, bond premiums and original issuance discounts				(71,855	)
Total long-term debt, net of unamortized debt issuance costs, bond premiums and original issuance discounts			$	7,735,877
Weighted average	5.9	5.090%

_____________________________

Rating Agency – Issue Rating

	Rating Agency		Rating
	Standard & Poor’s		BBB-
	Fitch		BBB-
	Moody’s		Ba1

Properties

Description	Location	Date Acquired	Tenant/Operator
Amended PENN Master Lease (14 Properties)
Hollywood Casino Lawrenceburg	Lawrenceburg, IN	11/1/2013	PENN
Argosy Casino Alton	Alton, IL	11/1/2013	PENN
Hollywood Casino at Charles Town Races	Charles Town, WV	11/1/2013	PENN
Hollywood Casino at Penn National Race Course	Grantville, PA	11/1/2013	PENN
Hollywood Casino Bangor	Bangor, ME	11/1/2013	PENN
Zia Park Casino	Hobbs, NM	11/1/2013	PENN
Hollywood Casino Gulf Coast	Bay St. Louis, MS	11/1/2013	PENN
Argosy Casino Riverside	Riverside, MO	11/1/2013	PENN
Hollywood Casino Tunica	Tunica, MS	11/1/2013	PENN
Boomtown Biloxi	Biloxi, MS	11/1/2013	PENN
Hollywood Casino St. Louis	Maryland Heights, MO	11/1/2013	PENN
Hollywood Gaming Casino at Dayton Raceway	Dayton, OH	11/1/2013	PENN
Hollywood Gaming Casino at Mahoning Valley Race Track	Youngstown, OH	11/1/2013	PENN
1st Jackpot Casino	Tunica, MS	5/1/2017	PENN
PENN 2023 Master Lease (7 Properties)
Hollywood Casino Aurora	Aurora, IL	11/1/2013	PENN
Hollywood Casino Joliet	Joliet, IL	11/1/2013	PENN
Hollywood Casino Toledo	Toledo, OH	11/1/2013	PENN
Hollywood Casino Columbus	Columbus, OH	11/1/2013	PENN
M Resort	Henderson, NV	11/1/2013	PENN
Hollywood Casino at the Meadows	Washington, PA	9/9/2016	PENN
Hollywood Casino Perryville	Perryville, MD	7/1/2021	PENN
Amended Pinnacle Master Lease (12 Properties)
Ameristar Black Hawk	Black Hawk, CO	4/28/2016	PENN
Ameristar East Chicago	East Chicago, IN	4/28/2016	PENN
Ameristar Council Bluffs	Council Bluffs, IA	4/28/2016	PENN
L’Auberge Baton Rouge	Baton Rouge, LA	4/28/2016	PENN
Boomtown Bossier City	Bossier City, LA	4/28/2016	PENN
L’Auberge Lake Charles	Lake Charles, LA	4/28/2016	PENN
Boomtown New Orleans	New Orleans, LA	4/28/2016	PENN
Ameristar Vicksburg	Vicksburg, MS	4/28/2016	PENN
River City Casino & Hotel	St. Louis, MO	4/28/2016	PENN
Jackpot Properties (Cactus Petes and Horseshu)	Jackpot, NV	4/28/2016	PENN
Plainridge Park Casino	Plainridge, MA	10/15/2018	PENN
Caesars Master Lease (5 Properties)
Tropicana Atlantic City	Atlantic City, NJ	10/1/2018	CZR
Tropicana Laughlin	Laughlin, NV	10/1/2018	CZR
Trop Casino Greenville	Greenville, MS	10/1/2018	CZR
Isle Casino Hotel Bettendorf	Bettendorf, IA	12/18/2020	CZR
Isle Casino Hotel Waterloo	Waterloo, IA	12/18/2020	CZR
Boyd Master Lease (3 Properties)
Belterra Casino Resort	Florence, IN	4/28/2016	BYD
Ameristar Kansas City	Kansas City, MO	4/28/2016	BYD
Ameristar St. Charles	St. Charles, MO	4/28/2016	BYD
Bally’s Master Lease (8 Properties)
Bally’s Evansville	Evansville, IN	6/3/2021	BALY
Bally’s Dover Casino Resort	Dover, DE	6/3/2021	BALY
Black Hawk (Black Hawk North, West and East casinos)	Black Hawk, CO	4/1/2022	BALY
Quad Cities Casino & Hotel	Rock Island, IL	4/1/2022	BALY
Bally’s Tiverton Hotel & Casino	Tiverton, RI	1/3/2023	BALY
Hard Rock Casino and Hotel Biloxi	Biloxi, MS	1/3/2023	BALY
Bally’s Master Lease II (2 Properties)
Bally’s Kansas City	Kansas City, MO	12/16/2024	BALY
Bally’s Shreveport	Shreveport, LA	12/16/2024	BALY
Casino Queen Master Lease (4 Properties)
DraftKings at Casino Queen	East St. Louis, IL	1/23/2014	BALY
The Queen Baton Rouge	Baton Rouge, LA	12/17/2021	BALY
Casino Queen Marquette	Marquette, IA	9/6/2023	BALY
Belle of Baton Rouge	Baton Rouge, LA	10/1/2018	BALY
Pennsylvania Live! Master Lease (2 Properties)
Live! Casino & Hotel Philadelphia	Philadelphia, PA	3/1/2022	Cordish
Live! Casino Pittsburgh	Greensburg, PA	3/1/2022	Cordish
Strategic Gaming Leases (3 Properties) ⁽¹⁾
Silverado Franklin Hotel & Gaming Complex	Deadwood, SD	5/16/2024	Strategic
Deadwood Mountain Grand Casino	Deadwood, SD	5/16/2024	Strategic
Baldini’s Casino	Sparks, NV	5/16/2024	Strategic
Single Asset Leases
Belterra Park Gaming & Entertainment Center	Cincinnati, OH	10/15/2018	BYD
Horseshoe St. Louis	St. Louis, MO	10/1/2018	CZR
Hollywood Casino Morgantown	Morgantown, PA	10/1/2020	PENN
Live! Casino & Hotel Maryland	Hanover, MD	12/29/2021	Cordish
Tropicana Las Vegas	Las Vegas, NV	4/16/2020	BALY
Tioga Downs	Nicholas, NY	2/6.2024	American Racing
Hard Rock Casino Rockford	Rockford, IL	8/29/2023	815 ENT Lease ⁽²⁾
Bally’s Chicago Development	Chicago, IL	9/11/2024	BALY

⁽¹⁾ Represents two cross-defaulted, co-terminus leases
⁽²⁾ Managed by a subsidiary of Hard Rock

Lease Information

		Master Leases
	PENN 2023 Master Lease	Amended PENN Master Lease	PENN Amended Pinnacle Master Lease	Caesars Amended and Restated Master Lease	Boyd Master Lease
Property Count	7	14	12	5	3
Number of States Represented	5	9	8	4	2
Commencement Date	1/1/2023	11/1/2013	4/28/2016	10/1/2018	10/15/2018
Lease Expiration Date	10/31/2033	10/31/2033	4/30/2031	9/30/2038	04/30/2031
Remaining Renewal Terms	15 (3×5 years)	15 (3×5 years)	20 (4×5 years)	20 (4×5 years)	20 (4×5 years)
Corporate Guarantee	Yes	Yes	Yes	Yes	No
Master Lease with Cross Collateralization	Yes	Yes	Yes	Yes	Yes
Technical Default Landlord Protection	Yes	Yes	Yes	Yes	Yes
Default Adjusted Revenue to Rent Coverage	1.1	1.1	1.2	1.2	1.4
Competitive Radius Landlord Protection	Yes	Yes	Yes	Yes	Yes
Escalator Details
Yearly Base Rent Escalator Maximum	1.5% (1)	2%	2%	1.75 % (2)	2%
Coverage ratio at September 30, 2024 ⁽³⁾	1.91	2.16	1.79 ⁽⁴⁾	1.88	2.55
Minimum Escalator Coverage Governor	N/A	1.8	1.8	N/A	1.8
Yearly Anniversary for Realization	November	November	May	October	May
Percentage Rent Reset Details
Reset Frequency	N/A	5 years	2 years	N/A	2 years
Next Reset	N/A	November 2028	May 2026	N/A	May 2026

⁽¹⁾ In addition to the annual escalation, a one-time annualized increase of $1.4 million occurs on November 1, 2027.

⁽²⁾ Building base rent will be increased by 1.75% in the 7th and 8th lease year and 2% in the 9th lease year and each year thereafter.

⁽³⁾ Information with respect to our tenants’ rent coverage over the trailing twelve months was provided by our tenants as of September 30, 2024. GLPI has not independently verified the accuracy of the tenants’ information and therefore makes no representation as to its accuracy.

⁽⁴⁾ Coverage ratio for escalation purposes excludes adjusted revenue and rent attributable to the Plainridge Park facility as well as certain other fixed rent amounts.

Lease Information

	Master Leases
	Bally’s Master Lease	Bally’s Master Lease II	Casino Queen Master Lease	Pennsylvania Live! Master Lease operated by Cordish	Strategic Gaming Lease (1)
Property Count	8	2	4	2	3
Number of States Represented	6	2	3	1	2
Commencement Date	6/3/2021	12/16/2024	12/17/2021	3/1/2022	5/16/2024
Lease Expiration Date	06/02/2036	12/15/2039	12/31/2036	2/28/2061	5/31/2049
Remaining Renewal Terms	20 (4×5 years)	20 (4×5 years)	20 (4×5 years)	21 (1×11 years, 1×10 years)	20 (2×10 years)
Corporate Guarantee	Yes	Yes	Yes	No	Yes
Master Lease with Cross Collateralization	Yes	Yes	Yes	Yes	Yes
Technical Default Landlord Protection	Yes	Yes	Yes	Yes	Yes
Default Adjusted Revenue to Rent Coverage	1.2	1.35 (4)	1.4	1.4	1.4 (5)
Competitive Radius Landlord Protection	Yes	Yes	Yes	Yes	Yes
Escalator Details
Yearly Base Rent Escalator Maximum	(2)	(2)	(3)	1.75%	2% (5)
Coverage ratio at September 30, 2024 ⁽⁶⁾	2.02	N/A	2.32	2.39	N/A
Minimum Escalator Coverage Governor	N/A	N/A	N/A	N/A	N/A
Yearly Anniversary for Realization	June	December	December	March	June 2026
Percentage Rent Reset Details
Reset Frequency	N/A	N/A	N/A	N/A	N/A
Next Reset	N/A	N/A	N/A	N/A	N/A

⁽¹⁾ Consists of two leases that are cross collateralized and co-terminus with each other.

⁽²⁾ If the CPI increase is at least 0.5% for any lease year, then the rent shall increase by the greater of 1% of the rent as of the immediately preceding lease year and the CPI increase capped at 2%. If the CPI is less than 0.5% for such lease year, then the rent shall not increase for such lease year.

⁽³⁾ Rent increases by 0.5% for the first six years. Beginning in the seventh lease year through the remainder of the lease term, if the CPI increases by at least 0.25% for any lease year then annual rent shall be increased by 1.25%, and if the CPI is less than 0.25% then rent will remain unchanged for such lease year.

⁽⁴⁾ The default adjusted revenue to rent coverage declines to 1.2 if the annual rent equals or exceeds $60 million on an annual basis.

⁽⁵⁾ The default adjusted revenue to rent coverage declines to 1.25 if the tenant’s adjusted revenues total $75 million or more. Annual rent escalates at 2% beginning in year three of the lease and in year 11 escalates based on the greater of 2% or CPI, capped at 2.5%.

⁽⁶⁾ Information with respect to our tenants’ rent coverage over the trailing twelve months was provided by our tenants as of September 30, 2024. GLPI has not independently verified the accuracy of the tenants’ information and therefore makes no representation as to its accuracy.

Lease Information

		Single Property Leases
	Belterra Park Lease operated by BYD	Horseshoe St. Louis Lease operated by CZR	Morgantown Ground Lease operated by PENN	Live! Casino & Hotel Maryland operated by Cordish
Commencement Date	10/15/2018	9/29/2020	10/1/2020	12/29/2021
Lease Expiration Date	04/30/2031	10/31/2033	10/31/2040	12/31/2060
Remaining Renewal Terms	20 (4×5 years)	20 (4×5 years)	30 (6×5 years)	21 (1×11 years, 1×10 years)
Corporate Guarantee	No	Yes	Yes	No
Technical Default Landlord Protection	Yes	Yes	Yes	Yes
Default Adjusted Revenue to Rent Coverage	1.4	1.2	N/A	1.4
Competitive Radius Landlord Protection	Yes	Yes	N/A	Yes
Escalator Details
Yearly Base Rent Escalator Maximum	2%	1.25% ⁽¹⁾	1.50% ⁽²⁾	1.75%
Coverage ratio at September 30, 2024 ⁽³⁾	3.35	2.05	N/A	3.57
Minimum Escalator Coverage Governor	1.8	N/A	N/A	N/A
Yearly Anniversary for Realization	May	October	December	January
Percentage Rent Reset Details
Reset Frequency	2 years	N/A	N/A	N/A
Next Reset	May 2026	N/A	N/A	N/A

⁽¹⁾ For the second through fifth lease years, after which time the annual escalation becomes 1.75% for the 6th and 7th lease years and then 2% for the remaining term of the lease.

⁽²⁾ Increases by 1.5% on the opening date (which occurred on December 22, 2021) and for the first three lease years. Commencing on the fourth anniversary of the opening date and for each anniversary thereafter, if the CPI increase is at least 0.5% for any lease year, the rent for such lease year shall increase by 1.25% of rent as of the immediately preceding lease year, and if the CPI increase is less than 0.5% for such lease year, then the rent shall not increase for such lease year.

Lease Information


	Tropicana Las Vegas Ground Lease operated by BALY	Tioga Downs Lease operated by American Racing	Hard Rock Rockford Ground Lease managed by Hard Rock	Chicago Ground Lease with BALY
Commencement Date	9/26/2022	2/6/2024	8/29/2023	9/11/2024
Lease Expiration Date	9/25/2072	2/28/2054	8/31/2122	11/30/2121 ⁽⁴⁾
Remaining Renewal Terms	49 (1 x 24 years, 1 x 25 years)	32 years and 10 months (2×10 years, 1×12 years and 10 months)	None	(4)
Corporate Guarantee	Yes	Yes	No	(4)
Technical Default Landlord Protection	Yes	Yes	Yes	(4)
Default Adjusted Revenue to Rent Coverage	1.4	1.4	1.4	(4)
Competitive Radius Landlord Protection	Yes	Yes	Yes	(4)
Escalator Details
Yearly Base Rent Escalator Maximum	(1)	1.75% ⁽²⁾	2%	(4)
Coverage ratio at September 30, 2024 ⁽³⁾	N/A	N/A	N/A	N/A
Minimum Escalator Coverage Governor	N/A	N/A	N/A	N/A
Yearly Anniversary for Realization	October	March	September	(4)
Percentage Rent Reset Details
Reset Frequency	N/A	N/A	N/A	N/A
Next Reset	N/A	N/A	N/A	N/A

⁽¹⁾ If the CPI increase is at least 0.5% for any lease year, then the rent shall increase by the greater of 1% of the rent as of the immediately preceding lease year and the CPI increase capped at 2%. If the CPI is less than 0.5% for such lease year, then the rent shall not increase for such lease year.

⁽²⁾ Increases by 1.75% beginning with the first anniversary and increases to 2% beginning in year fifteen of the lease through the remainder of the initial lease term.

⁽⁴⁾ The Company is currently in the process of amending and restating the lease to have an initial lease term of 15 years followed by multiple renewal extensions to be agreed upon between Bally’s and the Company. The lease is also anticipated to have lease terms generally consistent with the terms of the Bally’s Master Lease except as modified by the binding term sheet.

Disclosure Regarding Non-GAAP Financial Measures

FFO, FFO per diluted common share and OP units, AFFO, AFFO per diluted common share and OP units, Adjusted EBITDA and Cash Net Operating Income (“Cash NOI”), which are detailed in the reconciliation tables that accompany this release, are used by the Company as performance measures for benchmarking against the Company’s peers and as internal measures of business operating performance, which is used for a bonus metric. These metrics are presented assuming full conversion of limited partnership units to common shares and therefore before the income statement impact of non-controlling interests. The Company believes FFO, FFO per diluted common share and OP units, AFFO, AFFO per diluted common share and OP units, Adjusted EBITDA and Cash NOI provide a meaningful perspective of the underlying operating performance of the Company’s current business. This is especially true since these measures exclude real estate depreciation and we believe that real estate values fluctuate based on market conditions rather than depreciating in value ratably on a straight-line basis over time. Cash NOI is rental and other property income, less cash property level expenses. Cash NOI excludes depreciation, the amortization of land rights, real estate general and administrative expenses, other non-routine costs and the impact of certain generally accepted accounting principles (“GAAP”) adjustments to rental revenue, such as straight-line rent and deferred rent adjustments and non-cash ground lease income and expense. It is management’s view that Cash NOI is a performance measure used to evaluate the operating performance of the Company’s real estate operations and provides investors relevant and useful information because it reflects only income and operating expense items that are incurred at the property level and presents them on an unleveraged basis.

FFO, FFO per diluted common share and OP units, AFFO, AFFO per diluted common share and OP units, Adjusted EBITDA and Cash NOI are non-GAAP financial measures that are considered supplemental measures for the real estate industry and a supplement to GAAP measures. NAREIT defines FFO as net income (computed in accordance with GAAP), excluding (gains) or losses from dispositions of property and real estate depreciation. We have defined AFFO as FFO excluding, as applicable to the particular period, stock based compensation expense, the amortization of debt issuance costs, bond premiums and original issuance discounts, other depreciation, the amortization of land rights, accretion on investment in leases, financing receivables, non-cash adjustments to financing lease liabilities, property transfer tax recoveries, straight-line rent and deferred rent adjustments, losses on debt extinguishment, capitalized interest, and provision (benefit) for credit losses, net, reduced by capital maintenance expenditures. We have defined Adjusted EBITDA as net income excluding, as applicable to the particular period, interest, net, income tax expense, real estate depreciation, other depreciation, (gains) or losses from dispositions of property, stock based compensation expense, straight-line rent and deferred rent adjustments, the amortization of land rights, accretion on investment in leases, financing receivables, non-cash adjustments to financing lease liabilities, property transfer tax recoveries, losses on debt extinguishment, and provision (benefit) for credit losses, net. Finally, we have defined Cash NOI as Adjusted EBITDA excluding general and administrative expenses and including stock based compensation expense.

FFO, FFO per diluted common share and OP units, AFFO, AFFO per diluted common share and OP units, Adjusted EBITDA and Cash NOI are not recognized terms under GAAP. These non-GAAP financial measures: (i) do not represent cash flow from operations as defined by GAAP; (ii) should not be considered as an alternative to net income as a measure of operating performance or to cash flows from operating, investing and financing activities; and (iii) are not alternatives to cash flow as a measure of liquidity. In addition, these measures should not be viewed as an indication of our ability to fund all of our cash needs, including to make cash distributions to our shareholders, to fund capital improvements, or to make interest payments on our indebtedness. Investors are also cautioned that FFO, FFO per diluted common share and OP units, AFFO, AFFO per diluted common share and OP units, Adjusted EBITDA and Cash NOI, as presented, may not be comparable to similarly titled measures reported by other real estate companies, including REITs, due to the fact that not all real estate companies use the same definitions. Our presentation of these measures does not replace the presentation of our financial results in accordance with GAAP.

About Gaming and Leisure Properties

GLPI is engaged in the business of acquiring, financing, and owning real estate property to be leased to gaming operators in triple-net lease arrangements, pursuant to which the tenant is responsible for all facility maintenance, insurance required in connection with the leased properties and the business conducted on the leased properties, taxes levied on or with respect to the leased properties and all utilities and other services necessary or appropriate for the leased properties and the business conducted on the leased properties.

Forward-Looking Statements

This press release includes “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, including our expectations regarding our future growth and cash flows in 2025 and beyond, 2025 AFFO guidance and the Company benefiting from 2024 portfolio additions and recently completed transactions. Forward-looking statements can be identified by the use of forward-looking terminology such as “expects,” “believes,” “estimates,” “intends,” “may,” “will,” “should” or “anticipates” or the negative or other variation of these or similar words, or by discussions of future events, strategies or risks and uncertainties. Such forward looking statements are inherently subject to risks, uncertainties and assumptions about GLPI and its subsidiaries, including risks related to the following: the ability of GLPI or its partners to successfully complete construction of various casino projects currently under development for which GLPI has agreed to provide construction development funding, including Bally’s Chicago, and the ability and willingness of GLPI’s partners to meet and/or perform their respective obligations under the applicable construction financing and/or development documents; the impact that higher inflation and interest rates and uncertainty with respect to the future state of the economy could have on discretionary consumer spending, including the casino operations of our tenants; unforeseen consequences related to U.S. government monetary policies and stimulus packages on inflation rates and economic growth; the ability of GLPI’s tenants to maintain the financial strength and liquidity necessary to satisfy their respective obligations and liabilities to third parties, including, without limitation, to satisfy obligations under their existing credit facilities and other indebtedness; the availability of and the ability to identify suitable and attractive acquisition and development opportunities and the ability to acquire and lease the respective properties on favorable terms; the degree and nature of GLPI’s competition; the ability to receive, or delays in obtaining, the regulatory approvals required to own and/or operate its properties, or other delays or impediments to completing GLPI’s planned acquisitions or projects; the potential of a new pandemic, including its effect on the ability or desire of people to gather in large groups (including in casinos), which could impact GLPI’s financial results, operations, outlooks, plans, goals, growth, cash flows, liquidity, and stock price; GLPI’s ability to maintain its status as a REIT, given the highly technical and complex Internal Revenue Code provisions for which only limited judicial and administrative authorities exist, where even a technical or inadvertent violation could jeopardize REIT qualification and where requirements may depend in part on the actions of third parties over which GLPI has no control or only limited influence; the satisfaction of certain asset, income, organizational, distribution, shareholder ownership and other requirements on a continuing basis in order for GLPI to maintain its REIT status; the ability and willingness of GLPI’s tenants and other third parties to meet and/or perform their obligations under their respective contractual arrangements with GLPI, including lease and note requirements and in some cases, their obligations to indemnify, defend and hold GLPI harmless from and against various claims, litigation and liabilities; the ability of GLPI’s tenants to comply with laws, rules and regulations in the operation of GLPI’s properties, to deliver high quality services, to attract and retain qualified personnel and to attract customers; the ability to generate sufficient cash flows to service and comply with financial covenants under GLPI’s outstanding indebtedness; GLPI’s ability to access capital through debt and equity markets in amounts and at rates and costs acceptable to GLPI, including for acquisitions or refinancings due to maturities; adverse changes in GLPI’s credit rating; the availability of qualified personnel and GLPI’s ability to retain its key management personnel; changes in the U.S. tax law and other state, federal or local laws, whether or not specific to real estate, REITs or to the gaming, lodging or hospitality industries; changes in accounting standards; the impact of weather or climate events or conditions, natural disasters, acts of terrorism and other international hostilities, war (including the current conflict between Russia and Ukraine and conflicts in the Middle East) or political instability; the risk that the historical financial statements included herein do not reflect what the business, financial position or results of operations of GLPI may be in the future; other risks inherent in the real estate business, including potential liability relating to environmental matters and illiquidity of real estate investments; GLPI’s ability to attract, motivate and retain key personnel; and other factors described in GLPI’s Annual Report on Form 10-K for the year ended December 31, 2024, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, each as filed with the Securities and Exchange Commission. All subsequent written and oral forward-looking statements attributable to GLPI or persons acting on GLPI’s behalf are expressly qualified in their entirety by the cautionary statements included in this press release. GLPI undertakes no obligation to publicly update or revise any forward-looking statements contained or incorporated by reference herein, whether as a result of new information, future events or otherwise, except as required by law. In light of these risks, uncertainties and assumptions, the forward-looking events discussed in this press release may not occur as presented or at all.

Contact
Gaming and Leisure Properties, Inc. Matthew Demchyk, Chief Investment Officer 610/401-2900 [email protected]	Investor Relations Joseph Jaffoni, Richard Land, James Leahy at JCIR 212/835-8500 [email protected]

February 20, 2025 4:34 pm

Barings BDC, Inc. Reports Fourth Quarter and Full Year 2024 Results, Announces Quarterly Cash Dividend of $0.26 Per Share and Declares Special Dividends Totaling $0.15 Per Share

Barings BDC, Inc. Reports Fourth Quarter and Full Year 2024 Results, Announces Quarterly Cash Dividend of $0.26 Per Share and Declares Special Dividends Totaling $0.15 Per Share

CHARLOTTE, N.C.–(BUSINESS WIRE)–
Barings BDC, Inc. (NYSE: BBDC) (“Barings BDC” or the “Company”) today reported its financial and operating results for the fourth quarter and full year of 2024 and announced that the Company’s Board of Directors (the “Board”) declared a quarterly cash dividend of $0.26 per share and special dividends totaling $0.15 per share, which special dividends will be paid in three equal quarterly installments of $0.05 per share in each of the first three quarters of 2025.

Highlights

Income Statement	Three Months Ended December 31, 2024		Three Months Ended September 30, 2024		Full Year Ended December 31, 2024
(dollars in millions, except per share data)	Total Amount	Per Share⁽¹⁾	Total Amount	Per Share⁽²⁾	Total Amount	Per Share⁽³⁾
Net investment income	$29.5	$0.28	$30.2	$0.29	$131.2	$1.24
Net realized gains (losses)	$(13.8)	$(0.13)	$(10.9)	$(0.10)	$(38.1)	$(0.36)
Net unrealized appreciation (depreciation)	$9.2	$0.08	$2.7	$0.02	$17.2	$0.16
Net increase in net assets resulting from operations	$24.8	$0.24	$22.0	$0.21	$110.3	$1.04
Dividends paid		$0.26		$0.26		$1.04

(1) Based on weighted average shares outstanding during the period of 105,523,884.

(2) Based on weighted average shares outstanding during the period of 105,715,277.

(3) Based on weighted average shares outstanding during the period of 105,793,123.

Investment Portfolio and Balance Sheet
(dollars in millions, except per share data)	As of December 31, 2024	As of September 30, 2024	As of December 31, 2023
Investment portfolio at fair value	$2,449.3	$2,416.7	$2,488.7
Weighted average yield on performing debt investments (at principal amount)	10.2 %	10.6 %	10.5 %

Total assets	$2,695.7	$2,605.1	$2,677.5
Debt outstanding (principal)	$1,463.6	$1,372.8	$1,444.9
Total net assets (equity)	$1,190.4	$1,194.4	$1,196.6
Net asset value per share	$11.29	$11.32	$11.28
Debt-to-equity ratio	1.23x	1.15x	1.21x
Net debt-to-equity ratio (adjusted for unrestricted cash and net unsettled transactions)	1.16x	1.09x	1.15x

Fourth Quarter 2024 Results

Commenting on the quarter, Eric Lloyd, Chief Executive Officer of Barings BDC, stated, “We are pleased to have a strong end to 2024, which saw us deliver record full year net investment income, with a final quarter of robust results. Specifically, in the fourth quarter we out-earned the dividend on a pre-tax basis by more than 15%, further reduced our non-accrual rate to 0.3% of fair value, which further strengthens our position among industry leaders, and deployed $297.9 million towards attractive investments across a range of industries. We believe this consistently positive performance through the year demonstrates the merits of our focused, rigorous and disciplined approach to investing primarily in directly originated, senior-secured loans to middle-market borrowers. Based on these strong results, our confidence in our portfolio, and the momentum we have seen so far in 2025, we are announcing a first quarter dividend of $0.26 per share, and a special dividend totaling $0.15 per share which will be paid in three equal quarterly installments starting in March.”

During the three months ended December 31, 2024, the Company reported total investment income of $70.6 million, net investment income of $29.5 million, or $0.28 per share, and a net increase in net assets resulting from operations of $24.8 million, or $0.24 per share.

Net asset value (“NAV”) per share as of December 31, 2024 was $11.29, as compared to $11.32 as of September 30, 2024. The decrease in NAV per share from September 30, 2024 to December 31, 2024 was primarily attributed to a net realized loss on investments, foreign currency transactions and forward currency contracts of $0.13 per share, partially offset by net unrealized appreciation on the Company’s investment portfolio, credit support agreements, foreign currency transactions and forward currency contracts of approximately $0.08 per share and net investment income exceeding the Company’s fourth quarter dividend by $0.02 per share.

Recent Portfolio Activity

During the three months ended December 31, 2024, the Company made 15 new investments totaling $137.9 million, made investments in existing portfolio companies totaling $156.5 million and made a $3.5 million equity co-investment alongside certain affiliates in a portfolio company that specializes in providing financing to plaintiff law firms engaged in mass tort and other civil litigation. The Company had 12 loans repaid totaling $78.1 million and recognized a net realized loss on these transactions of $0.8 million. The Company received $110.4 million of portfolio company principal payments and sales proceeds and recognized a net realized loss of $0.5 million. The Company received $6.1 million of return of capital from its joint ventures, equity, and royalty rights investments. In addition, the Company sold $27.2 million of middle-market portfolio debt investments to its joint ventures, recognizing a net realized loss on these transactions of $0.4 million. In addition, investments in two portfolio companies were restructured, which resulted in a net realized loss of $4.7 million. Lastly, the Company received proceeds related to the sale of equity investments totaling $0.6 million and recognized a net realized gain on such sales totaling $0.3 million.

During the three months ended December 31, 2024, the Company recorded net unrealized appreciation totaling $9.2 million, consisting of net unrealized appreciation related to forward currency contracts of $27.9 million, net unrealized appreciation related to foreign currency transactions of $14.5 million, unrealized appreciation of $12.0 million on the Sierra credit support agreement with Barings, unrealized appreciation reclassification adjustments of $2.8 million related to the net realized losses on the sales / exits and restructuring of certain investments and unrealized appreciation of $0.3 million on the MVC credit support agreement with Barings, partially offset by net unrealized depreciation on the Company’s current portfolio of $46.0 million and deferred taxes of $2.3 million. The net unrealized depreciation on the Company’s current portfolio of $46.0 million was driven primarily by the impact of foreign currency exchange rates on investments of $37.4 million and the credit or fundamental performance of investments of $10.3 million, partially offset by broad market moves for investments of $1.7 million.

Liquidity and Capitalization

As of December 31, 2024, the Company had cash and foreign currencies of $91.3 million (including restricted cash of $13.5 million), $438.6 million of borrowings outstanding under its $825.0 million senior secured credit agreement, $1,025.0 million aggregate principal amount of unsecured notes outstanding and a net receivable from unsettled transactions of $9.0 million.

Share Repurchase Program

On February 22, 2024, the Board authorized a 12-month share repurchase program (the “Prior Share Repurchase Program”). Under the Prior Share Repurchase Program, the Company may repurchase, during the 12-month period that commenced on March 1, 2024, up to $30.0 million in the aggregate of its outstanding common stock in the open market at prices below the then-current NAV per share. The timing, manner, price and amount of any share repurchases will be determined by the Company, in its discretion, based upon the evaluation of economic and market conditions, the Company’s stock price, applicable legal, contractual and regulatory requirements and other factors. The Prior Share Repurchase Program is expected to be in effect until March 1, 2025, unless extended or until the aggregate repurchase amount that has been approved by the Board has been expended. The Prior Share Repurchase Program does not require the Company to repurchase any specific number of shares, and the Company cannot assure stockholders that any shares will be repurchased under the Prior Share Repurchase Program. The Prior Share Repurchase Program may be suspended, extended, modified or discontinued at any time. As of February 20, 2025, the Company had repurchased a total of 658,132 shares of its common stock in the open market under the Prior Share Repurchase Program at an average price of $9.79 per share, including brokerage commissions.

On February 20, 2025, the Board authorized a new 12-month share repurchase program (the “Share Repurchase Program”). Under the Share Repurchase Program, the Company may repurchase, during the 12-month period commencing on March 1, 2025, up to $30.0 million in the aggregate of its outstanding common stock in the open market at prices below the then-current NAV per share. The timing, manner, price and amount of any share repurchases will be determined by the Company, in its discretion, based upon the evaluation of economic and market conditions, the Company’s stock price, applicable legal, contractual and regulatory requirements and other factors. The Share Repurchase Program is expected to be in effect until March 1, 2026, unless extended or until the aggregate repurchase amount that has been approved by the Board has been expended. The Share Repurchase Program does not require the Company to repurchase any specific number of shares, and the Company cannot assure stockholders that any shares will be repurchased under the program. The program may be suspended, extended, modified or discontinued at any time.

Dividend Information

The Board declared a quarterly cash dividend of $0.26 per share, which is payable as follows:

First Quarter 2025 Dividend:
Amount per share:			$0.26
Record date:			March 5, 2025
Payment date:			March 12, 2025

The Board also declared three special dividends totaling $0.15 per share to be paid in three equal installments during the first three quarters of 2025. The first $0.05 per share special dividend will be paid on March 12, 2025, to stockholders of record as of the close of business on March 5, 2025. The second $0.05 per share special dividend will be paid on June 11, 2025, to stockholders of record as of the close of business on June 4, 2025. The third $0.05 per share special dividend will be paid on September 10, 2025, to stockholders of record as of the close of business on September 3, 2025.

Dividend Reinvestment Plan

Barings BDC has adopted a dividend reinvestment plan (“DRIP”) that provides for reinvestment of dividends and distributions on behalf of its stockholders, unless a stockholder elects to receive cash. As a result, when the Company declares a cash dividend or distribution, stockholders who have not opted out of the DRIP will have their cash dividends or distributions automatically reinvested in additional shares of the Company’s common stock, rather than receiving cash.

When the Company declares and pays dividends and distributions, it determines the allocation of the distribution between current income, accumulated income, capital gains and return of capital on the basis of accounting principles generally accepted in the United States (“GAAP”). At each year end, the Company is required for tax purposes to determine the allocation based on tax accounting principles. Due to differences between GAAP and tax accounting principles, the portion of each dividend distribution that is ordinary income, capital gain or return of capital may differ for GAAP and tax purposes. The tax status of the Company’s distributions can be found on the Investor Relations page of its website.

Subsequent Events

Subsequent to December 31, 2024, the Company made approximately $81.3 million of new commitments, of which $49.9 million closed and funded. The $49.9 million of investments consist of $49.8 million of first lien senior secured debt investments, $0.1 million of second lien senior secured debt investments and $18.3 thousand of equity investments. The weighted average yield of the debt investments was 9.5%. In addition, the Company funded $9.9 million of previously committed revolvers and delayed draw term loans.

Conference Call to Discuss Fourth Quarter and Full Year 2024 Results

Barings BDC has scheduled a conference call to discuss fourth quarter and full year 2024 financial and operating results for Friday, February 21, 2025, at 9:00 a.m. ET.

To listen to the call, please dial 877-407-8831 or 201-493-6736 approximately 10 minutes prior to the start of the call. A taped replay will be made available approximately two hours after the conclusion of the call and will remain available until February 28, 2025. To access the replay, please dial 877-660-6853 or 201-612-7415 and enter conference ID 13750208.

This conference call will also be available via a live webcast on the investor relations section of Barings BDC’s website at https://ir.barings.com/ir-calendar. Access the website 15 minutes prior to the start of the call to download and install any necessary audio software. An archived webcast replay will be available on the Company’s website until February 28, 2025.

Forward-Looking Statements

Statements included herein or on the webcast/conference call may constitute “forward-looking statements,” which relate to future events or Barings BDC’s future performance or financial condition. Investors are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they are made, which reflect management’s current estimates, projections, expectations or beliefs, and which are subject to risks and uncertainties that may cause actual results to differ materially. Forward-looking statements include, but are not limited to, the Company’s projected net investment income and earnings, the Company’s distribution levels and frequency of distributions, the Company’s share repurchase activity and investment activity, and the ability of Barings LLC to manage Barings BDC and identify investment opportunities, all of which are subject to change at any time based upon economic, market or other conditions, and may not be relied upon as investment advice or an indication of Barings BDC’s trading intent. More information on the risks and other potential factors that could affect Barings BDC’s financial results and future events, including important factors that could cause actual results or events to differ materially from plans, estimates or expectations included herein or discussed on the webcast/conference call, is included in Barings BDC’s filings with the Securities and Exchange Commission, including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of Barings BDC’s annual report on Form 10-K and quarterly reports on Form 10-Q. In addition, there is no assurance that Barings BDC or any of its affiliates will purchase additional shares of Barings BDC at any specific discount levels or in any specific amounts. There is no assurance that the market price of Barings BDC’s shares, either absolutely or relative to NAV, will increase as a result of any share repurchases, or that any repurchase plan will enhance stockholder value over the long term.

Non-GAAP Financial Measures

To provide additional information about the Company’s results, the Company’s management has discussed in this press release the Company’s net debt (calculated as (i) total debt less (ii) unrestricted cash and foreign currencies (excluding restricted cash) net of net payables/receivables from unsettled transactions) and its net debt-to-equity ratio (calculated as net debt divided by total net assets), which are not prepared in accordance with GAAP. These non-GAAP measures are included to supplement the Company’s financial information presented in accordance with GAAP and because the Company uses such measures to monitor and evaluate its leverage and financial condition and believes the presentation of these measures enhances investors’ ability to analyze trends in the Company’s business and to evaluate the Company’s leverage and ability to take on additional debt. However, these non-GAAP measures have limitations and should not be considered in isolation or as a substitute for analysis of the Company’s financial results as reported under GAAP.

These non-GAAP measures are not in accordance with, or an alternative to, measures prepared in accordance with GAAP and may be different from non-GAAP measures used by other companies. In addition, these non-GAAP measures are not based on any comprehensive set of accounting rules or principles. These measures should only be used to evaluate the Company’s results of operations in conjunction with their corresponding GAAP measures. Pursuant to the requirements of Item 10(e) of Regulation S-K, as promulgated under the Securities Exchange Act of 1934, as amended, the Company has provided a reconciliation of these non-GAAP measures in the last table included in this press release.

About Barings BDC

Barings BDC, Inc. (NYSE: BBDC) is a publicly traded, externally managed investment company that has elected to be treated as a business development company under the Investment Company Act of 1940. Barings BDC seeks to invest primarily in senior secured loans in middle-market companies that operate across a wide range of industries. Barings BDC’s investment activities are managed by its investment adviser, Barings LLC, a leading global asset manager based in Charlotte, NC with $421+ billion* of AUM firm-wide. For more information, visit www.baringsbdc.com.

About Barings LLC

Barings is a $421+ billion* global investment manager sourcing differentiated opportunities and building long-term portfolios across public and private fixed income, real estate, and specialist equity markets. With investment professionals based in North America, Europe and Asia Pacific, the firm, a subsidiary of MassMutual, aims to serve its clients, communities and employees, and is committed to sustainable practices and responsible investment. Learn more at www.barings.com.

*Assets under management as of December 31, 2024

Barings BDC, Inc.
Consolidated Balance Sheets
(in thousands, except share and per share data)

	December 31,
		2024			2023
Assets:
Investments at fair value:
Non-Control / Non-Affiliate investments (cost of $2,033,716 and $2,053,548 as of December 31, 2024 and 2023, respectively)	$	1,972,373		$	1,995,372
Affiliate investments (cost of $382,848 and $378,865 as of December 31, 2024 and 2023, respectively)		397,236			402,423
Control investments (cost of $106,132 and $103,163 as of December 31, 2024 and 2023, respectively)		79,663			90,920
Total investments at fair value		2,449,272			2,488,715
Cash (restricted cash of $13,493,000 and $0 as of December 31, 2024 and 2023, respectively)		74,381			57,187
Foreign currencies (cost of $17,343 and $13,023 as of December 31, 2024 and 2023, respectively)		16,958			13,341
Interest and fees receivable		39,914			51,598
Prepaid expenses and other assets		1,745			3,564
Credit support agreements (cost of $58,000 as of both December 31, 2024 and 2023)		63,450			57,800
Derivative assets		24,816			1
Deferred financing fees		8,697			3,948
Receivable from unsettled transactions		16,427			1,299
Total assets	$	2,695,660		$	2,677,453
Liabilities:
Accounts payable and accrued liabilities	$	5,567		$	2,950
Interest payable		16,245			8,450
Administrative fees payable		540			536
Base management fees payable		7,888			8,347
Incentive management fees payable		7,871			7,737
Derivative liabilities		9,394			11,265
Payable from unsettled transactions		7,380			1,112
Borrowings under credit facilities		438,590			719,914
Notes payable (net of deferred financing fees)		1,011,831			720,583
Total liabilities		1,505,306			1,480,894
Commitments and contingencies
Net Assets:
Common stock, $0.001 par value per share (150,000,000 shares authorized, 105,408,938 and 106,067,070 shares issued and outstanding as of December 31, 2024 and 2023, respectively)		105			106
Additional paid-in capital		1,846,977			1,854,457
Total distributable earnings (loss)		(656,728	)		(658,004	)
Total net assets		1,190,354			1,196,559
Total liabilities and net assets	$	2,695,660		$	2,677,453
Net asset value per share	$	11.29		$	11.28

Barings BDC, Inc.
Consolidated Statements of Operations
(in thousands, except share and per share data)

	Three Months Ended (Unaudited)					Full Year Ended
	December 31, 2024			September 30, 2024		December 31, 2024
Investment income:
Interest income:
Non-Control / Non-Affiliate investments	$	49,228		$	50,787	$	207,288
Affiliate investments		977			854		3,579
Control investments		(65	)		22		395
Total interest income		50,140			51,663		211,262
Dividend income:
Non-Control / Non-Affiliate investments		2,339			1,190		6,174
Affiliate investments		8,745			8,651		34,961
Total dividend income		11,084			9,841		41,135
Fee and other income:
Non-Control / Non-Affiliate investments		5,323			4,221		16,484
Affiliate investments		31			52		352
Control investments		6			16		56
Total fee and other income		5,360			4,289		16,892
Payment-in-kind interest income:
Non-Control / Non-Affiliate investments		3,147			3,987		12,861
Affiliate investments		1			193		713
Control investments		464			622		2,162
Total payment-in-kind interest income		3,612			4,802		15,736
Interest income from cash		429			256		1,144
Total investment income		70,625			70,851		286,169
Operating expenses:
Interest and other financing fees		21,097			22,563		85,516
Base management fee		7,889			8,046		32,404
Incentive management fees		7,871			6,597		23,757
General and administrative expenses		2,386			2,427		9,832
Total operating expenses		39,243			39,633		151,509
Net investment income before taxes		31,382			31,218		134,660
Income taxes, including excise tax expense		1,867			1,033		3,466
Net investment income after taxes	$	29,515		$	30,185	$	131,194

Barings BDC, Inc.
Consolidated Statements of Operations – (Continued)
(in thousands, except share and per share data)


	Three Months Ended (Unaudited)						Full Year Ended
	December 31, 2024			September 30, 2024			December 3, 2024
Realized gains (losses) and unrealized appreciation (depreciation) on investments, credit support agreements, foreign currency transactions and forward currency contracts:
Net realized gains (losses):
Non-Control / Non-Affiliate investments	$	(5,284	)	$	(8,543	)	$	(18,749	)
Affiliate investments		—			—			(4,179	)
Control investments		(845	)		—			(845	)
Net realized gains (losses) on investments		(6,129	)		(8,543	)		(23,773	)
Foreign currency transactions		(1,437	)		508			(535	)
Forward currency contracts		(6,273	)		(2,859	)		(13,804	)
Net realized gains (losses)		(13,839	)		(10,894	)		(38,112	)
Net unrealized appreciation (depreciation):
Non-Control / Non-Affiliate investments		(31,065	)		24,957			(5,436	)
Affiliate investments		(3,478	)		(3,452	)		(9,169	)
Control investments		(10,964	)		(1,496	)		(14,226	)
Net unrealized appreciation (depreciation) on investments		(45,507	)		20,009			(28,831	)
Credit support agreements		12,250			654			5,650
Foreign currency transactions		14,540			(9,775	)		9,306
Forward currency contracts		27,869			(8,159	)		31,082
Net unrealized appreciation (depreciation)		9,152			2,729			17,207
Net realized gains (losses) and unrealized appreciation (depreciation) on investments, credit support agreements, foreign currency transactions and forward currency contracts		(4,687	)		(8,165	)		(20,905	)
Net increase (decrease) in net assets resulting from operations	$	24,828		$	22,020		$	110,289
Net investment income per share — basic and diluted	$	0.28		$	0.29		$	1.24
Net increase (decrease) in net assets resulting from operations per share — basic and diluted	$	0.24		$	0.21		$	1.04
Dividends / distributions per share:
Total dividends / distributions per share	$	0.26		$	0.26		$	1.04
Weighted average number of shares outstanding — basic and diluted		105,523,884			105,715,277			105,793,123

Barings BDC, Inc.
Consolidated Statements of Cash Flows
(in thousands)
	Year Ended December 31,
		2024			2023			2022
Cash flows from operating activities:
Net increase (decrease) in net assets resulting from operations	$	110,289		$	127,999		$	4,681
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:
Purchases of portfolio investments		(637,440	)		(614,648	)		(1,162,247	)
Net cash acquired from Sierra merger (cash consideration paid)		—			—			101,896
Transaction costs from Sierra merger		—			—			(8,127	)
Repayments received / sales of portfolio investments		641,752			593,505			1,041,370
Loan origination and other fees received		8,694			8,286			20,120
Net realized (gain) loss on investments		23,773			59,533			11,020
Net realized (gain) loss on foreign currency transactions		535			(4,160	)		1,259
Net realized (gain) loss on forward currency contracts		13,804			7,377			(25,140	)
Net unrealized (appreciation) depreciation on investments		28,831			(67,394	)		124,189
Net unrealized (appreciation) depreciation of CSAs		(5,650	)		(4,714	)		6,714
Net unrealized (appreciation) depreciation on foreign currency transactions		(9,306	)		13,389			(22,812	)
Net unrealized (appreciation) depreciation on forward currency contracts		(31,082	)		(3,905	)		14,950
Payment-in-kind interest / dividends		(18,245	)		(26,540	)		(12,307	)
Amortization of deferred financing fees		4,684			3,285			3,053
Accretion of loan origination and other fees		(11,651	)		(8,425	)		(11,538	)
Amortization / accretion of purchased loan premium / discount		(1,092	)		(1,895	)		(2,322	)
Payments for derivative contracts		(24,075	)		(21,742	)		(5,628	)
Proceeds from derivative contracts		10,271			14,365			30,768
Changes in operating assets and liabilities:
Interest and fees receivable		8,417			(6,431	)		(14,597	)
Prepaid expenses and other assets		(203	)		(462	)		(3,214	)
Accounts payable and accrued liabilities		2,048			8,710			(7,756	)
Interest payable		7,807			811			1,935
Net cash provided by (used in) operating activities		122,161			76,944			86,267
Cash flows from financing activities:
Borrowings under credit facilities		206,500			93,447			244,657
Repayments of credit facilities		(477,568	)		(113,105	)		(148,061	)
Proceeds from notes		300,000			—			—
Financing fees paid		(13,788	)		(2,404	)		(1,870	)
Purchases of shares in repurchase plan		(6,442	)		(14,772	)		(32,105	)
Cash dividends / distributions paid		(110,052	)		(108,997	)		(93,726	)
Net cash provided by (used in) financing activities		(101,350	)		(145,831	)		(31,105	)
Net increase (decrease) in cash and foreign currencies		20,811			(68,887	)		55,162
Cash and foreign currencies, beginning of period		70,528			139,415			84,253
Cash and foreign currencies, end of period	$	91,339		$	70,528		$	139,415

Barings BDC, Inc.
Consolidated Statements of Cash Flows – (Continued)
(in thousands)
	Year Ended December 31,
		2024		2023		2022
Supplemental Information:
Cash paid for interest	$	68,189	$	79,409	$	50,641
Excise taxes paid during the period		1,936		1,012		—
Supplemental non-cash information
Acquisitions:
Fair value of net assets acquired, net of cash		—		—		(435,812	)
Transaction costs		—		—		2,433
Common stock issued in acquisition of net assets		—		—		499,418
Credit support agreement		—		—		(44,400	)
Deemed contribution – from Adviser		—		—		27,730
Deemed contributions – CSA		—		—		44,400

Barings BDC, Inc.
Unaudited Reconciliation of Debt to Net Debt and Calculation of Net Debt-to-Equity Ratio
(in thousands, except ratios)
	As of December 31, 2024			As of September 30, 2024			As of December 31, 2023
Total debt (principal)	$	1,463,590		$	1,372,811		$	1,444,914
minus: Cash and foreign currencies (excluding restricted cash)		(77,846	)		(62,781	)		(70,528	)
plus: Payable from unsettled transactions		7,380			988			1,112
minus: Receivable from unsettled transactions		(16,427	)		(12,821	)		(1,299	)
Total net debt⁽¹⁾	$	1,376,697		$	1,298,197		$	1,374,199

Total net assets	$	1,190,354		$	1,194,441		$	1,196,559

Total net debt-to-equity ratio⁽¹⁾	1.16 x			1.09 x			1.15 x
(1) See the “Non-GAAP Financial Measures” section of this press release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250220210504/en/

Media Contact:

[email protected]

Investor Relations:

[email protected], 888-401-1088

KEYWORDS: United States North America North Carolina

INDUSTRY KEYWORDS: Professional Services Finance

MEDIA:

Logo

February 20, 2025 4:33 pm

eXp World Holdings Reports Q4 and Full-Year 2024 Results

BELLINGHAM, Wash., Feb. 20, 2025 (GLOBE NEWSWIRE) — eXp World Holdings, Inc. (Nasdaq: EXPI), or the “Company”, the holding company for eXp Realty^®, FrameVR.io and SUCCESS^® Enterprises, today announced financial results for the fourth quarter and fiscal year ended Dec. 31, 2024.

“At eXp, we redefine what’s possible in real estate, with our agent-centric platform offering unlimited growth opportunities for agents,” said Glenn Sanford, eXp World Holdings Founder, Chairman and CEO. “I’m especially proud that we issued 1.8 million shares to agents, at an estimated value of $22 million in 2024. We ended the year with strong momentum, with our top 10 U.S. agents closing over $100 million of transaction volume in December alone. We are the platform where the pros go to grow, and we look forward to more exciting announcements in the weeks and months ahead.”

“We built the largest independent brokerage on the planet thanks to our innovative, efficient operating model, which allowed us to maximize our investments in what matters most to eXp agents,” said Leo Pareja, CEO of eXp Realty. “We are relentlessly driving further innovations in our platform as we expand the unparalleled suite of technology tools and learning opportunities to enable agent success. 2025 is the year that we make bold moves across the company. Last month we were thrilled to welcome several notable high-profile agents including Spring Bengtzen, leader of the Utah Life Real Estate Group, a team of over 80 top-producing agents who closed $316 million of annual sales last year at Real brokerage, to the eXp platform. The results speak for themselves – Glassdoor recognized eXp as a top 10 place to work in 2024 for the 8th consecutive year, an honor that reflects the passion and dedication of our entire eXp community. In a year of bold moves at eXp, we look forward to partnering with both new and experienced agents to turbocharge their success.”

Fourth Quarter and Full-Year 2024 Consolidated Financial Highlights as Compared to the Same Year-Ago Period:

Full-year revenue increased 7% to $4.6 billion in 2024 with revenue of $1.1 billion in the fourth quarter of 2024.
Full-year net loss of $(21.3) million in 2024 with net loss of $(9.5) million in the fourth quarter of 2024. Fourth quarter net loss included a $4.9 million (net of tax loss of $3.7 million) impairment charge for goodwill and intangible assets of SUCCESS Enterprises. Full-year loss per diluted share of $(0.14) in 2024 with a loss per diluted share of $(0.06) in the fourth quarter of 2024. Full-year loss includes $34.0 million (net of tax loss of $25.4 million) related to litigation contingency accrual.
Full-year adjusted net income (a non-GAAP financial measure) excluding antitrust litigation contingency provision, impairment expense and discontinued operations of $12.2 million in 2024 with adjusted net loss¹ of $(4.6) million in the fourth quarter of 2024. Full-year adjusted net income¹ per diluted share of $0.08 in 2024 with adjusted net loss¹ per diluted share of $(0.03) in the fourth quarter of 2024.
Full-year adjusted EBITDA (a non-GAAP financial measure) of $75.5 million in 2024. Adjusted EBITDA was $7.7 million in the fourth quarter of 2024.
As of Dec. 31, 2024, cash and cash equivalents totaled $113.6 million, compared to $125.9 million as of Dec. 31, 2023.
Full-year adjusted operating cash flow³(a non-GAAP financial measure) of $180.4 million in 2024. Adjusted cash operating flow was $25.1 million in the fourth quarter of 2024.
Distributed $171.2 million to shareholders in fiscal 2024, including approximately $141.1 million of common stock repurchases and $30.1 million of cash dividends.
The Company paid a cash dividend for the fourth quarter of 2024 of $0.05 per share of common stock on Dec. 2, 2024. On Feb. 14, 2025, the Company’s Board of Directors declared a cash dividend of $0.05 per share of common stock for the first quarter of 2025, expected to be paid on March 19, 2025 to stockholders of record on March 4, 2025.

Fourth Quarter and Full-Year 2024 Operational Highlights as Compared to the Same Year-Ago Period:

eXp ended the fourth quarter of 2024 with a global agent Net Promoter Score of 77, consistent with the fourth quarter of 2023. aNPS is a measure of agent satisfaction and an important key performance indicator (KPI) given the Company’s intense focus on improving the agent experience.
Agents and brokers on the eXp Realty platform decreased 5% year-over-year to 82,980 as of Dec. 31, 2024.
Real estate sales transactions increased 3% to 434,165 in 2024 and increased 6% year-over-year to 103,942 in the fourth quarter of 2024.
Transaction volume increased 9% to $185.2 billion in 2024 and increased 17% year-over-year to $45.3 billion in the fourth quarter of 2024.

Fourth Quarter and Full-Year 2024 Results – Virtual Fireside Chat

The Company will hold a virtual fireside chat and investor Q&A with eXp World Holdings Founder and Chief Executive Officer Glenn Sanford; eXp Realty Chief Executive Officer Leo Pareja; eXp Realty Chief Marketing Officer Wendy Forsythe; and, eXp World Holdings Principal Financial Officer and Chief Accounting Officer Kent Cheng on Thursday, Feb. 20, 2025 at 2 p.m. PT / 5 p.m. ET.

The investor Q&A is open to investors, current shareholders and anyone interested in learning more about eXp World Holdings and its companies. Submit questions in advance for inclusion to [email protected].

Date: Thursday, Feb. 20, 2025

Time: 2 p.m. PT / 5 p.m. ET

Location: exp.world. Join at https://exp.world/earnings

Livestream:
expworldholdings.com/events

About eXp World Holdings, Inc.

eXp World Holdings, Inc. (Nasdaq: EXPI) is the holding company for eXp Realty®, FrameVR.io and SUCCESS® Enterprises.

eXp Realty is the largest independent real estate company in the world with more than 82,000 agents in the United States, Canada, the United Kingdom, Australia, France, India, Mexico, Portugal, South Africa, Puerto Rico, Brazil, Italy, Hong Kong, Colombia, Spain, Israel, Panama, Germany, the Dominican Republic, Greece, New Zealand, Chile, Poland and Dubai and continues to scale internationally. As a publicly traded company, eXp World Holdings provides real estate professionals the unique opportunity to earn equity awards for production goals and contributions to overall company growth. eXp World Holdings and its businesses offer a full suite of brokerage and real estate tech solutions, including an innovative residential and commercial brokerage model, professional services, collaborative tools and personal development. The cloud-based brokerage is powered by FrameVR.io technology, offering immersive 3D platforms that are deeply social and collaborative, enabling agents to be more connected and productive. SUCCESS® Enterprises, anchored by SUCCESS® magazine and its related media properties, was established in 1897 and is a leading personal and professional development brand and publication.

For more information, visit https://expworldholdings.com.

eXp World Holdings, Inc. intends to use its:

eXp investors website (www.expworldholdings.com/investors/);
eXp Realty LinkedIn page (https://www.linkedin.com/company/exp-realty/);
eXp Realty Facebook Page (https://www.facebook.com/eXpRealty);
eXp Realty Instagram Page (https://www.instagram.com/eXpRealty);
eXp International LinkedIn Page (https://www.linkedin.com/company/exp-realty-international/);
eXp International Facebook Page (https://www.facebook.com/expintl/);
eXp International Instagram Page (https://www.instagram.com/exp.intl/);
eXp World Holdings LinkedIn page (https://www.linkedin.com/company/expworldholdings/);
eXp World Holdings Facebook Page (https://www.facebook.com/eXpWorldHoldings); and
eXp World Holdings Instagram Page (https://www.instagram.com/eXpWorldHoldings)

as a means of disclosing material non-public information and to comply with its disclosure obligations under Regulation FD.

Use of Non-GAAP Financial Measures

To provide investors with additional information regarding our financial results, this press release includes references to adjusted EBITDA, adjusted net income, and adjusted operating cash flows which are non-U.S. GAAP financial measures that may be different from similarly titled measures used by other companies. These measures are presented to enhance investors’ overall understanding of the Company’s financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. GAAP.
The Company’s non-GAAP financial measures provide useful information about financial performance, enhance the overall understanding of past performance and future prospects, and allow for greater transparency with respect to key metrics used by management for financial and operational decision-making. These measures may also provide additional tools for investors to use in comparing core financial performance over multiple periods with other companies in the industry.

Adjusted EBITDA helps identify underlying trends in the business that could otherwise be masked by the effect of the expenses excluded in adjusted EBITDA. In particular, the Company believes the exclusion of stock and stock option expenses provides a useful supplemental measure in evaluating the performance of operations and provides better transparency into results of operations. The Company defines adjusted EBITDA to mean net income (loss) from continuing operations, excluding other income (expense), income tax benefit (expense), depreciation, amortization, impairment charges, litigation contingency expenses, stock-based compensation expense, and stock option expense.
Adjusted net income helps identify underlying trends in the business that could otherwise be masked by the effect of significant non-operating related expenses that management does not consider ongoing. The Company defines adjusted net (loss) income to mean net (loss) income adjusted for net loss from discontinued operations and the after tax impact of the litigation contingency accrual and the impairment expense.
Adjusted operating cash flow helps the reader understand the Company’s cash flow. The Company defines the adjusted operating cash flow to mean net cash provided by operating activities, excluding the change in customer deposits.

Adjusted EBITDA, adjusted net income, and adjusted operating cash flow, should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with U.S. GAAP.

Safe Harbor Statement

The statements contained herein may include statements of future expectations and other forward-looking statements that are based on management’s current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. These statements include, but are not limited to, statements about improvements in technology and operational processes; revenue growth; dividends; additions of teams and agents in the future; and financial performance. Such forward-looking statements speak only as of the date hereof, and the Company undertakes no obligation to revise or update them. Such statements are not guarantees of future performance. Important factors that may cause actual results to differ materially and adversely from those expressed in forward-looking statements include changes in business or other market conditions; outcomes of ongoing litigation; the difficulty of keeping expense growth at modest levels while increasing revenues; and other risks detailed from time to time in the Company’s Securities and Exchange Commission filings, including but not limited to the most recently filed Quarterly Report on Form 10-Q and Annual Report on Form 10-K.

Media Relations Contact:

eXp World Holdings, Inc.
[email protected]

Investor Relations Contact:

Denise Garcia
[email protected]


EXP WORLD HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except share amounts and per share data)

	Three Months Ended December 31,						Year Ended December 31,
		2024			2023			2024			2023
Revenues	$	1,098,187		$	981,459		$	4,567,672		$	4,273,821

Commissions and other agent-related costs		1,019,328			911,374			4,225,277			3,953,897
General and administrative expenses		67,237			67,894			252,369			247,799
Technology and development expenses		14,769			15,119			58,182			59,547
Sales and marketing expenses		2,946			3,094			11,908			12,056
Impairment expense		4,930			–			4,930			–
Litigation contingency		–			–			34,000			–
Total operating expenses		1,109,210			997,481			4,586,666			4,273,299
Operating (loss) income		(11,023	)		(16,022	)		(18,994	)		522
Other (income) expense
Other (income) expense, net		(707	)		(1,512	)		(4,445	)		(4,383	)
Equity in losses of unconsolidated affiliates		364			549			1,168			1,388
Total other (income) expense, net		(343	)		(963	)		(3,277	)		(2,995	)
(Loss) income before income tax expense		(10,680	)		(15,059	)		(15,717	)		3,517
Income tax (benefit) expense		(2,437	)		(2,978	)		1,071			(16	)
Net (loss) income from continuing operations		(8,243	)		(12,081	)		(16,788	)		3,533
Net (loss) income from discontinued operations		(1,262	)		(9,116	)		(4,479	)		(12,506	)
Net (loss) income attributable to eXp World Holdings, Inc.	$	(9,505	)	$	(21,197	)	$	(21,267	)	$	(8,973	)
Earnings (loss) per share
Basic, net (loss) income from continuing operations	$	(0.04	)	$	(0.08	)	$	(0.11	)	$	0.02
Basic, net (loss) income from discontinued operations		(0.01	)		(0.06	)		(0.03	)		(0.08	)
Basic, net (loss) income	$	(0.06	)	$	(0.14	)	$	(0.14	)	$	(0.06	)
Diluted, net (loss) income from continuing operations	$	(0.04	)	$	(0.08	)	$	(0.11	)	$	0.02
Diluted, net (loss) income from discontinued operations		(0.01	)		(0.06	)		(0.03	)		(0.08	)
Diluted, net (loss) income	$	(0.06	)	$	(0.14	)	$	(0.14	)	$	(0.06	)
Weighted average shares outstanding
Basic		153,259,842			153,725,911			153,684,907			153,232,129
Diluted		153,259,842			153,725,911			153,684,907			156,773,528


CONSOLIDATED US-GAAP NET INCOME TO ADJUSTED NET INCOME RECONCILIATION (In thousands)

	Three Months Ended December 31,						Year Ended December 31,
	2024			2023			2024			2023
Net (loss) income attributable to eXp World Holdings, Inc.	$	(9,505	)	$	(21,197	)	$	(21,267	)	$	(8,973	)
Add back:
Net loss from discontinued operations	1,262			9,116			4,479			12,506
Impairment expense	4,930			—			4,930			—
Litigation contingency	—			—			34,000			—
Tax benefit on litigation contingency and impairment expense	(1,254		)	—			(9,899		)	—
Adjusted net income	$	(4,567	)	$	(12,081	)	$	12,243		$	3,533

Earnings per share:
Adjusted diluted, net income	$	(0.03	)	$	(0.08	)	$	0.08		$	0.02

Weighted average shares outstanding
Basic	153,259,842			153,725,911			153,684,907			153,232,129
Diluted	153,259,842			156,845,400			157,226,306			156,773,528


CONSOLIDATED US-GAAP NET INCOME TO ADJUSTED EBITDA RECONCILIATION (In thousands)

	Three Months Ended December 31,						Year Ended December 31,
	2024			2023			2024			2023
Net (loss) income from continuing operations	$	(8,243	)	$	(12,081	)	$	(16,788	)	$	3,533
Total other (income) expense, net	(343		)	(963		)	(3,277		)	(2,995		)
Income tax (benefit) expense	(2,437		)	(2,978		)	1,071			(16		)
Depreciation and amortization	2,547			2,744			10,289			10,892
Impairment expense	4,930			—			4,930			—
Litigation contingency	—			—			34,000			—
Stock compensation expense (1)	9,218			13,266			37,285			43,178
Stock option expense	2,014			3,077			7,973			10,736
Adjusted EBITDA	$	7,686		$	3,065		$	75,483		$	65,328

⁽¹⁾This includes agent growth incentive stock compensation expense and stock compensation expense related to business acquisitions.


ADJUSTED OPERATING CASH FLOW *(In thousands)*

	Three Months Ended December 31,						Year Ended December 31,
	2024			2023			2024		2023
Net Cash Provided by Operating Activities	$	13,714		$	32,615		$	191,514	$	209,131
Less: Customer Deposits	(11,400		)	(9,660		)	11,110		6,761
Adjusted Operating Cash Flow	$	25,114		$	42,275		$	180,404	$	202,370


EXP WORLD HOLDINGS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
*(In thousands, except share amounts)*
	Year Ended December 31,
	2024			2023

ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	113,607		$	125,873
Restricted cash	54,981			44,020
Accounts receivable, net of allowance for credit losses of $1,589 and $2,204, respectively	87,692			85,343
Prepaids and other assets	11,692			9,275
Current assets of discontinued operations	–			1,964
TOTAL CURRENT ASSETS	267,972			266,475
Property, plant, and equipment, net	11,615			12,967
Other noncurrent assets	11,679			7,410
Intangible assets, net	6,456			7,012
Deferred tax assets	75,774			69,253
Goodwill	17,226			16,982
Noncurrent assets of discontinued operations	–			5,569
TOTAL ASSETS	$	390,722		$	385,668

LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payable	$	10,478		$	8,788
Customer deposits	55,660			44,550
Accrued expenses	85,661			86,483
Litigation contingency	34,000			–
Accrued expenses and other liabilities	54			30
Current liabilities of discontinued operations	–			1,809
TOTAL CURRENT LIABILITIES	185,853			141,660
TOTAL LIABILITIES	$	185,853		$	141,660
EQUITY
Common Stock, $0.00001 par value 900,000,000 shares authorized; 195,028,207 issued and 154,133,385 outstanding at December 31, 2024; 183,606,708 issued and 154,669,037 outstanding at December 31, 2023	2			2
Additional paid-in capital	962,758			804,833
Treasury stock, at cost: 40,894,822 and 28,937,671 shares held, respectively	(686,680		)	(545,559		)
Accumulated deficit	(68,135		)	(16,769		)
Accumulated other comprehensive (loss) income	(3,076		)	332
Total eXp World Holdings, Inc. stockholders’ equity	204,869			242,839
Equity attributable to noncontrolling interest	–			1,169
TOTAL EQUITY	204,869			244,008
TOTAL LIABILITIES AND EQUITY	$	390,722		$	385,668

	–


EXP WORLD HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
*(In thousands)*

	Year Ended December 31,
	2024			2023
OPERATING ACTIVITIES
Net income (loss)	$	(21,267	)	$	(8,973	)
Reconciliation of net income (loss) to net cash provided by operating activities:
Depreciation expense	7,835			8,352
Amortization expense – intangible assets	2,454			2,540
Impairment expense	4,930			9,203
Loss on disposition of business	266			472
Allowance for credit losses on receivables/bad debt on receivables	(615		)	(1,711		)
Equity in loss of unconsolidated affiliates	1,168			1,388
Agent growth incentive stock compensation expense	37,265			43,178
Stock option compensation	7,975			10,736
Agent equity stock compensation expense	111,278			135,226
Deferred income taxes, net	(6,521		)	(2,666		)
Changes in operating assets and liabilities:	–			–
Accounts receivable	(1,704		)	3,474
Prepaids and other assets	3,041			(1,263		)
Customer deposits	11,110			6,761
Accounts payable	1,690			(1,491		)
Accrued expenses	(1,445		)	8,424
Long term payable	–			(4,677		)
Litigation contingency	34,000			–
Other operating activities	54			158
NET CASH PROVIDED BY OPERATING ACTIVITIES	191,514			209,131
INVESTING ACTIVITIES
Purchases of property, plant, and equipment	(6,483		)	(5,363		)
Acquisition of business, net of cash acquired	(6,150		)	–
Proceeds from sale of business	–			330
Investments in unconsolidated affiliates	(5,447		)	(5,876		)
Capitalized software development costs in intangible assets	(1,390		)	(2,594		)
NET CASH USED IN INVESTING ACTIVITIES	(19,470		)	(13,503		)
FINANCING ACTIVITIES
Repurchase of common stock	(141,121		)	(160,550		)
Proceeds from exercise of options	2,012			4,980
Transactions with noncontrolling interests	(1,169		)	–
Dividends declared and paid	(30,099		)	(28,519		)
NET CASH USED IN FINANCING ACTIVITIES	(170,377		)	(184,089		)
Effect of changes in exchange rates on cash, cash equivalents and restricted cash	(2,972		)	(38		)
Net change in cash, cash equivalents and restricted cash	(1,305		)	11,501
Cash, cash equivalents and restricted cash, beginning balance	169,893			159,383
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, ENDING BALANCE	$	168,588		$	170,884
SUPPLEMENTAL DISCLOSURE OF CASH FLOWS INFORMATION:
Cash paid for income taxes	2,694			2,731
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Termination of lease obligation – operating lease	–			859
Contingent consideration for disposition of business	–			1,209
Property, plant and equipment increase due to transfer of right-of-use lease asset	–			1,100
Property, plant and equipment purchases in accounts payable	–			63

February 20, 2025 4:33 pm

Essex Announces Its 31st Consecutive Annual Dividend Increase

Essex Announces Its 31^st Consecutive Annual Dividend Increase

Establishes Record Date for the Annual Shareholders’ Meeting

SAN MATEO, Calif.–(BUSINESS WIRE)–
Essex Property Trust, Inc. (NYSE:ESS) announced today that its Board of Directors has approved a 4.9% increase to its annual cash dividend. This represents the Company’s 31^st consecutive annual dividend increase. The Board of Directors has declared a first quarter dividend of $2.57 per share, payable on April 15, 2025 to shareholders of record as of March 31, 2025. On an annualized basis, the dividend represents a distribution of $10.28 per common share.

The Annual Meeting of Shareholders will be held virtually on Tuesday, May 13, 2025 at 10:00 a.m. Pacific Time or 1:00 p.m. Eastern. Shareholders of record as of February 28, 2025 will be entitled to vote at the meeting. Further information regarding how to access and vote at the virtual Annual Meeting will be contained in the proxy materials to be filed with the U.S. Securities and Exchange Commission.

About Essex Property Trust, Inc.

Essex Property Trust, Inc., an S&P 500 company, is a fully integrated real estate investment trust (“REIT”) that acquires, develops, redevelops, and manages multifamily residential properties in selected West Coast markets. Essex currently has ownership interests in 256 apartment communities comprising over 62,000 apartment homes with an additional property in active development. Additional information about the Company can be found on the Company’s website at www.essex.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250220004240/en/

Loren Rainey

Director, Investor Relations

(650) 655-7800

[email protected]

KEYWORDS: United States North America California

INDUSTRY KEYWORDS: REIT Finance Professional Services Residential Building & Real Estate Construction & Property

MEDIA:

Logo

February 20, 2025 4:33 pm

Rackspace Technology Reports Fourth Quarter and Full Year 2024 Results

Fourth Quarter Revenue of $686 million, down 5% Year-over-Year; 2024 Revenue of $2,737 million, down 7% Year-over-Year
Fourth Quarter Private Cloud Revenue of $269 million, down 6% Year-over-Year; 2024 Private Cloud Revenue of $1,055 million, down 13% Year-over-Year
Fourth Quarter Public Cloud Revenue of $417 million, down 4% Year-over-Year; 2024 Public Cloud Revenue of $1,683 million down 3% Year-over-Year
Fourth Quarter Cash Flow From Operating Activities of $54 million

SAN ANTONIO, Feb. 20, 2025 (GLOBE NEWSWIRE) — Rackspace Technology, Inc. (Nasdaq: RXT), a leading end-to-end, hybrid cloud and AI solutions company, today announced results for its fourth quarter and year ended December 31, 2024.

Amar Maletira, Chief Executive Officer, stated, “We closed the year on a high note, exceeding guidance for fourth-quarter revenue, operating profit, and EPS. Our company achieved record-breaking quarterly sales bookings—the highest since the inception of our two business units. Fiscal 2024 bookings grew 14% year-over-year, driven by strong sales execution across both units.”

Mr. Maletira added, “I am proud of our steady execution across our three strategic priorities: operational turnaround, innovation, and capital structure optimization. With a solid foundation in place, we are well-positioned to accelerate our progress in 2025.”

Fourth
Quarter
2024
Results

Revenue was $686 million in the fourth quarter of 2024, a decrease of 5% on a reported and constant currency ⁽¹⁾ basis as compared to revenue of $720 million in the fourth quarter of 2023.

Private Cloud revenue was $269 million in the fourth quarter of 2024, a decrease of 6% on a reported basis and 7% on a constant currency basis as compared to revenue of $286 million in the fourth quarter of 2023.

Public Cloud revenue was $417 million in the fourth quarter of 2024, a decrease of 4% on a reported and constant currency basis as compared to revenue of $434 million in the fourth quarter of 2023.

Loss from operations was $(29) million in the fourth quarter of 2024, compared to loss from operations of $(15) million in the fourth quarter of 2023.

Net loss was $(60) million in the fourth quarter of 2024, compared to net income of $28 million in the fourth quarter of 2023.

Net loss per diluted share was $(0.26) in the fourth quarter of 2024, compared to net income per diluted share of $0.13 in the fourth quarter of 2023.

Non-GAAP Operating Profit was $39 million in the fourth quarter of 2024, a decrease of 13% compared to $45 million in the fourth quarter of 2023.

Non-GAAP Loss Per Share was $(0.02) in the fourth quarter of 2024, an increase of 50% as compared to Non-GAAP Loss Per Share of $(0.04) in the fourth quarter of 2023.

Capital expenditures were $27 million in the fourth quarter of 2024, compared to $38 million in the fourth quarter of 2023.

Full Year
2024
Results

Revenue was $2,737 million in 2024, a decrease of 7% on a reported basis and 8% on a constancy currency basis as compared to revenue of $2,957 million in 2023.

Private Cloud revenue was $1,055 million in 2024, a decrease of 13% on a reported basis and 14% on a constant currency basis as compared to revenue of $1,214 million in 2023.

Public Cloud revenue was $1,683 million in 2024, a decrease of 3% on a reported basis and 4% on a constancy currency basis as compared to revenue of $1,743 million in 2023.

Loss from operations was $(909) million in 2024, compared to loss from operations of $(899) million in 2023.

Net loss was $(863) million in 2024, compared to net loss of $(838) million in 2023.

Net loss per diluted share was $(3.84) in 2024, compared to net loss per diluted share of $(3.89) in 2023.

Non-GAAP Operating Profit was $106 million in 2024, a decrease of 33% compared to $157 million in 2023.

Non-GAAP Loss Per Share was $(0.27) in 2024, a decrease of 13% as compared to Non-GAAP Loss Per Share of $(0.24) in 2023.

Capital expenditures were $136 million in 2024, compared to $181 million in 2023.

As of December 31, 2024, we had cash and cash equivalents of $144 million with no balance outstanding on our New Revolving Credit Facility ($375 million of undrawn commitments).

(1)	Constant currency revenue and certain other measures in this release are non-GAAP financial measures. See “Non-GAAP Financial Measures” and the tables that accompany this release for definitions and reconciliations of these non-GAAP measures to the most comparable GAAP measures.

Financial Outlook

Rackspace Technology is providing guidance as follows:

	Q1 2025 Guidance
Revenue	$653 – $665 million
Private Cloud Revenue	$247 – $253 million
Public Cloud Revenue	$406 – $412 million
Non-GAAP Operating Profit	$19 – $21 million
Non-GAAP Loss Per Share	($0.07) – ($0.09)
Non-GAAP Other Income (Expense)	($46) – ($50) million
Non-GAAP Tax Expense Rate	26%
Non-GAAP Weighted Average Shares	245 million

Information about Rackspace Technology’s use of non-GAAP financial measures is provided below under “Non-GAAP Financial Measures”.

Definitions of non-GAAP financial measures and the reconciliations to the most directly comparable measures in accordance with generally accepted accounting principles in the United States (“GAAP”) are provided in subsequent sections of this press release narrative and supplemental schedules. Rackspace Technology has not reconciled Non-GAAP Operating Profit, Non-GAAP Loss Per Share, Non-GAAP Other Income (Expense) or Non-GAAP Tax Expense Rate guidance to the most directly comparable GAAP measure because it does not provide guidance on GAAP net income (loss) or the reconciling items between these Non-GAAP measures and GAAP net income (loss) as a result of the uncertainty regarding, and the potential variability of, certain of these items, such as share-based compensation expense. Accordingly, a reconciliation of the non-GAAP financial measure guidance to the corresponding GAAP measure is not available without unreasonable effort. With respect to Non-GAAP Operating Profit, Non-GAAP Loss Per Share, Non-GAAP Other Income (Expense) and Non-GAAP Tax Expense Rate guidance, adjustments in future periods are generally expected to be similar to the kinds of charges and costs excluded from these Non-GAAP measures in prior periods, but the impact of such adjustments could be significant.

Conference Call and Webcast

Rackspace Technology will hold a conference call today, February 20, 2025, at 4:00pm CT / 5:00pm ET to discuss its fourth quarter and full year 2024 results. Interested parties may access the conference call as follows:

To listen to the live webcast or access the replay following the webcast, please visit our IR website at the following link: https://ir.rackspace.com/news-and-events/events-and-presentations.

To obtain a dial-in number, please pre-register at the following link:
https://register.vevent.com/register/BIad56d9097db646978aea4b4bd013e646

Registrants will receive dial-in information and a PIN allowing them to access the live call.

About Rackspace Technology

Rackspace Technology is a leading end-to-end, hybrid cloud and AI solutions company. We can design, build, and operate our customers’ cloud environments across all major technology platforms, irrespective of technology stack or deployment model. We partner with our customers at every stage of their cloud journey, enabling them to modernize applications, build new products, and adopt innovative technologies.

Forward-looking Statements

Rackspace Technology has made statements in this press release and other reports, filings, and other public written and verbal announcements that are forward-looking and therefore subject to risks and uncertainties. All statements, other than statements of historical fact, included in this press release are, or could be, “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and are made in reliance on the safe harbor protections provided thereunder. These forward-looking statements relate to anticipated financial performance, management’s plans and objectives for future operations, business prospects, outcome of regulatory proceedings, market conditions, and other matters. Any forward-looking statement made in this press release speaks only as of the date on which it is made. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise. Forward-looking statements can be identified by various words such as “expects,” “intends,” “will,” “anticipates,” “believes,” “confident,” “continue,” “propose,” “seeks,” “could,” “may,” “should,” “estimates,” “forecasts,” “might,” “goals,” “objectives,” “targets,” “planned,” “projects,” and similar expressions. These forward-looking statements are based on management’s current beliefs and assumptions and on information currently available to management. Rackspace Technology cautions that these statements are subject to risks and uncertainties, many of which are outside of our control, and could cause future events or results to be materially different from those stated or implied in this press release, including among others, risk factors that are described in Rackspace Technology, Inc.’s Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and other filings with the Securities and Exchange Commission, including the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” contained therein.

Non-GAAP Financial Measures

This press release includes several non-GAAP financial measures such as constant currency revenue, Non-GAAP Gross Profit, Non-GAAP Net Income (Loss), Non-GAAP Operating Profit, Adjusted EBITDA and Non-GAAP Earnings (Loss) Per Share. These non-GAAP financial measures exclude the impact of certain costs, losses and gains that are required to be included in our profit and loss measures under GAAP. Although we believe these measures are useful to investors and analysts for the same reasons they are useful to management, as described in the accompanying pages, these measures are not a substitute for, or superior to, GAAP financial measures or disclosures. Other companies may calculate similarly-titled non-GAAP measures differently, limiting their usefulness as comparative measures. We have reconciled each of these non-GAAP measures to the applicable most comparable GAAP measure in the accompanying pages.

Beginning in the fourth quarter of 2024, we have updated the presentation of our non-GAAP financial measures to no longer exclude certain cash compensation paid to employees who remain employed with Rackspace which were previously included in “special bonuses and other compensation expenses” and “restructuring and transformation expenses” line items of our reconciliations. Additionally, we have removed “special bonuses and other compensation expenses” line item and the remaining adjustments are now presented within “restructuring and transformation expenses” line item. All prior period Non-GAAP Gross Profit, Non-GAAP Net Income (Loss), Non-GAAP Operating Profit, Adjusted EBITDA and Non-GAAP Earnings (Loss) Per Share financial measures have been recasted to reflect current period presentation in the accompanying pages.

IR Contact

Sagar Hebbar
Rackspace Technology Investor Relations
[email protected]

PR Contact

Natalie Silva
Rackspace Technology Corporate Communications
[email protected]


RACKSPACE TECHNOLOGY, INC. CONSOLIDATED RESULTS OF OPERATIONS (Unaudited)

	Three Months Ended December 31,
	2023						2024						Year-Over-Year Comparison
(In millions, except % and per share data)	Amount			% Revenue			Amount			% Revenue			Amount			% Change
Revenue	$	719.7			100.0	%	$	685.6			100.0	%	$	(34.1	)		(4.7	)%
Cost of revenue	(565.6		)		(78.6	)%	(553.9		)		(80.8	)%	11.7				(2.1	)%
Gross profit	154.1				21.4	%	131.7				19.2	%	(22.4		)		(14.5	)%
Selling, general and administrative expenses	(165.5		)		(23.0	)%	(160.5		)		(23.4	)%	5.0				(3.0	)%
Impairment of assets, net	(3.8		)		(0.5	)%	—				—	%	3.8				(100.0	)%
Loss from operations	(15.2		)		(2.1	)%	(28.8		)		(4.2	)%	(13.6		)		89.5	%
Other income (expense):
Interest expense	(50.9		)		(7.1	)%	(17.9		)		(2.6	)%	33.0				(64.8	)%
Gain (loss) on investments, net	0.1				0.0	%	(0.1		)		(0.0	)%	(0.2		)		NM
Gain on debt extinguishment	108.2				15.0	%	—				—	%	(108.2		)		(100.0	)%
Other expense, net	(4.7		)		(0.7	)%	(9.9		)		(1.4	)%	(5.2		)		110.6	%
Total other income (expense)	52.7				7.3	%	(27.9		)		(4.1	)%	(80.6		)		NM
Income (loss) before income taxes	37.5				5.2	%	(56.7		)		(8.3	)%	(94.2		)		NM
Provision for income taxes	(9.5		)		(1.3	)%	(3.7		)		(0.6	)%	5.8				(61.1	)%
Net income (loss)	$	28.0			3.9	%	$	(60.4	)		(8.8	)%	$	(88.4	)		NM

Net earnings (loss) per share:
Basic	$	0.13					$	(0.26	)
Diluted	$	0.13					$	(0.26	)
Weighted average number of shares outstanding:
Basic	216.6						228.1
Diluted	219.6						228.1

NM = not meaningful.

RACKSPACE TECHNOLOGY, INC. CONSOLIDATED RESULTS OF OPERATIONS (Unaudited)

	Year Ended December 31,
	2023						2024						Year-Over-Year Comparison
(In millions, except % and per share data)	Amount			% Revenue			Amount			% Revenue			Amount			% Change
Revenue	$	2,957.1			100.0	%	$	2,737.1			100.0	%	$	(220.0	)		(7.4	)%
Cost of revenue	(2,328.3		)		(78.7	)%	(2,203.7		)		(80.5	)%	124.6				(5.4	)%
Gross profit	628.8				21.3	%	533.4				19.5	%	(95.4		)		(15.2	)%
Selling, general and administrative expenses	(767.2		)		(25.9	)%	(707.6		)		(25.9	)%	59.6				(7.8	)%
Impairment of goodwill	(708.8		)		(24.0	)%	(714.9		)		(26.1	)%	(6.1		)		0.9	%
Impairment of assets, net	(52.2		)		(1.8	)%	(20.0		)		(0.7	)%	32.2				(61.7	)%
Loss from operations	(899.4		)		(30.4	)%	(909.1		)		(33.2	)%	(9.7		)		1.1	%
Other income (expense):
Interest expense	(221.6		)		(7.5	)%	(98.0		)		(3.6	)%	123.6				(55.8	)%
Gain on investments, net	0.3				0.0	%	0.1				0.0	%	(0.2		)		(66.7	)%
Gain on debt extinguishment, net of debt modification costs	271.3				9.2	%	147.2				5.4	%	(124.1		)		(45.7	)%
Other expense, net	(5.0		)		(0.2	)%	(21.7		)		(0.8	)%	(16.7		)		NM
Total other income (expense)	45.0				1.5	%	27.6				1.0	%	(17.4		)		(38.7	)%
Loss before income taxes	(854.4		)		(28.9	)%	(881.5		)		(32.2	)%	(27.1		)		3.2	%
Benefit for income taxes	16.6				0.6	%	18.9				0.7	%	2.3				13.9	%
Net loss	$	(837.8	)		(28.3	)%	$	(862.6	)		(31.5	)%	$	(24.8	)		3.0	%

Net loss per share:
Basic and diluted	$	(3.89	)				$	(3.84	)
Weighted average number of shares outstanding:
Basic and diluted	215.3						224.8

NM = not meaningful.

RACKSPACE TECHNOLOGY, INC. CONSOLIDATED BALANCE SHEETS (Unaudited)

(In millions, except per share data)	December 31, 2023			December 31, 2024
ASSETS
Current assets:
Cash and cash equivalents	$	196.8		$	144.0
Accounts receivable, net allowance for credit losses and accrued customer credits of $20.1 and $27.0, respectively		339.7			298.8
Prepaid expenses		87.4			84.9
Other current assets		114.2			91.1
Total current assets		738.1			618.8

Property, equipment and software, net		608.8			601.0
Goodwill, net		1,452.4			735.7
Intangible assets, net		1,019.0			844.7
Operating right-of-use assets		126.3			134.6
Other non-current assets		151.6			116.2
Total assets	$	4,096.2		$	3,051.0

LIABILITIES AND STOCKHOLDERS’ DEFICIT
Current liabilities:
Accounts payable and accrued expenses	$	432.7		$	389.6
Accrued compensation and benefits		72.2			96.7
Deferred revenue		78.8			84.2
Debt		23.0			29.2
Accrued interest		20.5			7.4
Operating lease liabilities		66.0			55.9
Finance lease liabilities		55.8			53.1
Financing obligations		14.0			16.4
Other current liabilities		36.5			34.1
Total current liabilities		799.5			766.6

Non-current liabilities:
Debt		2,839.6			2,756.4
Operating lease liabilities		74.6			77.8
Finance lease liabilities		308.0			293.1
Financing obligations		52.4			39.2
Deferred income taxes		79.2			31.5
Other non-current liabilities		97.4			95.0
Total liabilities		4,250.7			4,059.6

Commitments and Contingencies

Stockholders’ deficit:
Preferred stock, $0.01 par value per share: 5.0 shares authorized; no shares issued or outstanding		—			—
Common stock, $0.01 par value per share: 1,495.0 shares authorized; 220.5 and 232.2 shares issued; 217.4 and 229.1 shares outstanding, respectively		2.2			2.3
Additional paid-in capital		2,638.2			2,682.8
Accumulated other comprehensive income		60.3			24.1
Accumulated deficit		(2,824.2	)		(3,686.8	)
Treasury stock, at cost; 3.1 shares held		(31.0	)		(31.0	)
Total stockholders’ deficit		(154.5	)		(1,008.6	)
Total liabilities and stockholders’ deficit	$	4,096.2		$	3,051.0

RACKSPACE TECHNOLOGY, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

		Year Ended December 31,
(In millions)		2023			2024
Cash Flows From Operating Activities
	Net loss	$	(837.8	)	$	(862.6	)
	Adjustments to reconcile net loss to net cash provided by operating activities:
	Depreciation and amortization		369.7			295.4
	Amortization of operating right-of-use assets		73.2			67.6
	Deferred income taxes		(41.9	)		(30.6	)
	Share-based compensation expense		65.4			63.4
	Impairment of goodwill		708.8			714.9
	Impairment of assets, net		52.2			20.0
	Gain on debt extinguishment, net of debt modification costs		(271.3	)		(147.2	)
	Unrealized loss on derivative contracts		15.5			—
	Gain on investments, net		(0.3	)		(0.1	)
	Provision for bad debts and accrued customer credits		9.0			19.5
	Amortization of debt issuance costs and debt discount and premium		7.9			2.2
	Third party fees paid in connection with the March 2024 Refinancing Transactions		—			(31.7	)
	Non-cash fair value adjustments		(1.0	)		(2.2	)
	Other operating activities		0.4			(6.5	)
	Changes in operating assets and liabilities:
	Accounts receivable		275.1			20.5
	Prepaid expenses and other current assets		24.6			10.5
	Accounts payable, accrued expenses, and other current liabilities		(44.2	)		(22.2	)
	Deferred revenue		(5.8	)		2.4
	Operating lease liabilities		(65.6	)		(82.8	)
	Other non-current assets and liabilities		41.0			9.4
	Net cash provided by operating activities		374.9			39.9
Cash Flows From Investing Activities
	Purchases of property, equipment and software		(96.9	)		(111.1	)
	Proceeds from sale of headquarters		—			16.9
	Other investing activities		0.9			7.6
	Net cash used in investing activities		(96.0	)		(86.6	)
Cash Flows From Financing Activities
	Proceeds from employee stock plans		1.3			0.9
	Shares of common stock withheld for employee taxes		(1.0	)		(4.3	)
	Proceeds from borrowings under long-term debt arrangements		50.0			275.0
	Payments on long-term debt		(241.9	)		(163.0	)
	Debt extinguishment costs		—			(22.1	)
	Payments on financing component of interest rate swap		(18.8	)		(17.3	)
	Principal payments of finance lease liabilities		(79.7	)		(56.9	)
	Principal payments of financing obligations		(22.7	)		(15.3	)
	Net cash used in financing activities		(312.8	)		(3.0	)
	Effect of exchange rate changes on cash, cash equivalents, and restricted cash		2.2			(3.0	)
	Decrease in cash, cash equivalents, and restricted cash		(31.7	)		(52.7	)
	Cash, cash equivalents, and restricted cash at beginning of period		231.4			199.7
	Cash, cash equivalents, and restricted cash at end of period	$	199.7		$	147.0

Supplemental Cash Flow Information
	Cash payments for interest, net of amount capitalized	$	213.9		$	103.6
	Cash payments for income taxes, net of refunds	$	11.9		$	10.8

Non-cash Investing and Financing Activities
	Acquisition of property, equipment and software by finance leases	$	67.7		$	40.8
	Acquisition of property, equipment and software by financing obligations		25.0			4.4
	Decrease in property, equipment and software accrued in liabilities		(13.6	)		(9.9	)
	Other non-cash activity		5.3			(10.0	)
	Non-cash purchases of property, equipment and software	$	84.4		$	25.3

SEGMENT DATA

(In millions, except %)	Three Months Ended December 31,				% Change
Revenue by segment:	2023		2024		Actual			Constant Currency ^(a)
Public Cloud	$	434.0	$	417.0		(3.9	)%		(4.0	)%
Private Cloud		285.7		268.6		(6.0	)%		(6.7	)%
Total consolidated revenue	$	719.7	$	685.6		(4.7	)%		(5.1	)%

(In millions, except %)	Year Ended December 31,				% Change
Revenue by segment:	2023		2024		Actual			Constant Currency ^(a)
Public Cloud	$	1,742.7	$	1,682.6		(3.4	)%		(3.5	)%
Private Cloud		1,214.4		1,054.5		(13.2	)%		(13.6	)%
Total consolidated revenue	$	2,957.1	$	2,737.1		(7.4	)%		(7.7	)%

(a) Refer to “Non-GAAP Financial Measures” in this section for further explanation and reconciliation.

	Three Months Ended December 31,
(In millions, except %)	2023						2024						Year-Over-Year Comparison
Segment operating profit ^(a):	Amount			% of Segment Revenue			Amount			% of Segment Revenue			Amount			% Change
Public Cloud	$	25.3			5.8	%	$	9.9			2.4	%	$	(15.4	)		(60.9	)%
Private Cloud	76.7				26.8	%	80.6				30.0	%	3.9				5.1	%
Corporate functions ^(b)	(57.1		)				(51.4		)				5.7				(10.0	)%
Non-GAAP Operating Profit ^(c)	$	44.9					$	39.1					$	(5.8	)		(12.9	)%

	Year Ended December 31,
(In millions, except %)	2023						2024						Year-Over-Year Comparison
Segment operating profit ^(a):	Amount			% of Segment Revenue			Amount			% of Segment Revenue			Amount			% Change
Public Cloud	$	81.8			4.7	%	$	44.2			2.6	%	$	(37.6	)		(46.0	)%
Private Cloud	343.0				28.2	%	294.4				27.9	%	(48.6		)		(14.2	)%
Corporate functions ^(b)	(267.6		)				(233.0		)				34.6				(12.9	)%
Non-GAAP Operating Profit ^(c)	$	157.2					$	105.6					$	(51.6	)		(32.8	)%

(a)	Segment revenue less expenses directly attributable to running the respective segments’ business. These expenses exclude centralized corporate function costs.
(b)	Costs that are not allocated to segments. These costs are related to centralized corporate functions that provide services to the segments in areas such as accounting, information technology, marketing, legal and human resources.
(c)	Refer to “Non-GAAP Financial Measures” in this section for further explanation and reconciliation.

NON-GAAP FINANCIAL MEASURES

Constant Currency Revenue

We use constant currency revenue as an additional metric for understanding and assessing our growth excluding the effect of foreign currency rate fluctuations on our international business operations. Constant currency information compares results between periods as if exchange rates had remained constant period over period and is calculated by translating the non-U.S. dollar income statement balances for the most current period to U.S. dollars using the average exchange rate from the comparative period rather than the actual exchange rates in effect during the respective period. We also believe this is an important metric to help investors evaluate our performance in comparison to prior periods.


	Three Months Ended December 31, 2023		Three Months Ended December 31, 2024							% Change
(In millions, except %)	Revenue		Revenue		Foreign Currency Translation ^(a)			Revenue in Constant Currency		Actual			Constant Currency
Public Cloud	$	434.0	$	417.0	$	(0.4	)	$	416.6		(3.9	)%		(4.0	)%
Private Cloud		285.7		268.6		(2.2	)		266.4		(6.0	)%		(6.7	)%
Total	$	719.7	$	685.6	$	(2.6	)	$	683.0		(4.7	)%		(5.1	)%

	Year Ended December 31, 2023		Year Ended December 31, 2024							% Change
(In millions, except %)	Revenue		Revenue		Foreign Currency Translation ^(a)			Revenue in Constant Currency		Actual			Constant Currency
Public Cloud	$	1,742.7	$	1,682.6	$	(1.4	)	$	1,681.2		(3.4	)%		(3.5	)%
Private Cloud		1,214.4		1,054.5		(5.6	)		1,048.9		(13.2	)%		(13.6	)%
Total	$	2,957.1	$	2,737.1	$	(7.0	)	$	2,730.1		(7.4	)%		(7.7	)%

(a)	The effect of foreign currency is calculated by translating current period results using the average exchange rate from the prior comparative period.

Non-GAAP Gross Profit

We present Non-GAAP Gross Profit because we believe the measure is useful in analyzing trends in our underlying, recurring gross margins. We define Non-GAAP Gross Profit as gross profit, adjusted to exclude the impact of share-based compensation expense, purchase accounting-related effects, certain business transformation-related costs, and costs related to the Hosted Exchange incident.

	Three Months Ended December 31,				Year Ended December 31,
(In millions)	2023		2024		2023		2024
Gross profit	$	154.1	$	131.7	$	628.8	$	533.4
Share-based compensation expense		1.7		1.7		9.1		7.6
Purchase accounting impact on expense ^(a)		0.7		0.3		2.6		1.8
Restructuring and transformation expenses ^(b)		1.0		7.5		17.9		19.8
Hosted Exchange incident expenses, net of proceeds received or expected to be received under our insurance coverage		—		—		0.3		—
Non-GAAP Gross Profit	$	157.5	$	141.2	$	658.7	$	562.6

(a)	Adjustment for the impact of purchase accounting from the November 2016 merger on expenses.
(b)	Adjustment for the impact of business transformation and optimization activities, as well as associated severance, certain facility closure costs and lease termination expenses. Also includes payroll taxes associated with the exercise of stock options and vesting of restricted stock.

Non-GAAP Net Income (Loss), Non-GAAP Operating Profit and Adjusted EBITDA

We present Non-GAAP Net Income (Loss), Non-GAAP Operating Profit and Adjusted EBITDA because they are a basis upon which management assesses our performance and we believe they are useful to evaluating our financial performance. We believe that excluding items from net income that may not be indicative of, or are unrelated to, our core operating results, and that may vary in frequency or magnitude, enhances the comparability of our results and provides a better baseline for analyzing trends in our business.

We define Non-GAAP Net Income (Loss) as net income (loss) adjusted to exclude the impact of non-cash charges for share-based compensation, transaction-related costs and adjustments, restructuring and transformation charges, costs related to the Hosted Exchange incident, the amortization of acquired intangible assets, goodwill and asset impairment charges, costs related to the closure of a UK office, the interest expense impact from the refinancing transactions announced in March 2024 (the “March 2024 Refinancing Transactions”), and certain other non-operating, non-recurring or non-core gains and losses, as well as the tax effects of these non-GAAP adjustments.

We define Non-GAAP Operating Profit as income (loss) from operations adjusted to exclude the impact of non-cash charges for share-based compensation, transaction-related costs and adjustments, restructuring and transformation charges, costs related to the Hosted Exchange incident, the amortization of acquired intangible assets, goodwill and asset impairment charges, costs related to the closure of a UK office, and certain other non-operating, non-recurring or non-core gains and losses.

We define Adjusted EBITDA as net income (loss) adjusted to exclude the impact of non-cash charges for share-based compensation, transaction-related costs and adjustments, restructuring and transformation charges, costs related to the Hosted Exchange incident, costs related to the closure of a UK office, certain other non-operating, non-recurring or non-core gains and losses, interest expense, expenses for our Receivables Purchase Facility, income taxes, depreciation and amortization, and goodwill and asset impairment charges.

Non-GAAP Operating Profit and Adjusted EBITDA are management’s principal metrics for measuring our underlying financial performance. Non-GAAP Operating Profit and Adjusted EBITDA, along with other quantitative and qualitative information, are also the principal financial measures used by management and our Board in determining performance-based compensation for our management and key employees.

These non-GAAP measures are not intended to imply that we would have generated higher income or avoided net losses if the November 2016 merger and the subsequent transactions and initiatives had not occurred. In the future we may incur expenses or charges such as those added back to calculate Non-GAAP Net Income (Loss), Non-GAAP Operating Profit or Adjusted EBITDA. Our presentation of Non-GAAP Net Income (Loss), Non-GAAP Operating Profit and Adjusted EBITDA should not be construed as an inference that our future results will be unaffected by these items. Other companies, including our peer companies, may calculate similarly-titled measures in a different manner from us, and therefore, our non-GAAP measures may not be comparable to similarly-tiled measures of other companies. Investors are cautioned against using these measures to the exclusion of our results in accordance with GAAP.

Net income (loss) reconciliation to Non-GAAP Net Loss

	Three Months Ended December 31,						Year Ended December 31,
(In millions)	2023			2024			2023			2024
Net income (loss)	$	28.0		$	(60.4	)	$	(837.8	)	$	(862.6	)
Share-based compensation expense		13.5			15.6			65.4			63.4
Transaction-related adjustments, net ^(a)		1.1			0.8			5.2			5.2
Restructuring and transformation expenses ^(b)		6.7			13.7			56.7			58.5
Hosted Exchange incident expenses, net of proceeds received or expected to be received under our insurance coverage		(4.4	)		(0.3	)		(4.8	)		(1.4	)
Impairment of goodwill		—			—			708.8			714.9
UK office closure ^(c)		—			—			12.1			—
Impairment of assets, net		3.8			—			52.2			20.0
Net (gain) loss on divestiture and investments^(d)		(0.1	)		0.1			(0.3	)		(0.1	)
Gain on debt extinguishment, net of debt modification costs		(108.2	)		—			(271.3	)		(147.2	)
Interest expense impact from the March 2024 Refinancing Transactions ^(e)		—			(22.3	)		—			(72.9	)
Other adjustments ^(f)		(1.3	)		5.0			(1.0	)		1.2
Amortization of intangible assets ^(g)		39.4			38.1			161.0			154.1
Tax effect of non-GAAP adjustments ^(h)		12.6			5.3			1.7			3.4
Non-GAAP Net Loss	$	(8.9	)	$	(4.4	)	$	(52.1	)	$	(63.5	)

Loss from operations reconciliation to Non-GAAP Operating Profit

	Three Months Ended December 31,						Year Ended December 31,
(In millions)	2023			2024			2023			2024
Loss from operations	$	(15.2	)	$	(28.8	)	$	(899.4	)	$	(909.1	)
Share-based compensation expense		13.5			15.6			65.4			63.4
Transaction-related adjustments, net ^(a)		1.1			0.8			5.2			5.2
Restructuring and transformation expenses ^(b)		6.7			13.7			56.7			58.5
Hosted Exchange incident expenses, net of proceeds received or expected to be received under our insurance coverage		(4.4	)		(0.3	)		(4.8	)		(1.4	)
Impairment of goodwill		—			—			708.8			714.9
UK office closure ^(c)		—			—			12.1			—
Impairment of assets, net		3.8			—			52.2			20.0
Amortization of intangible assets ^(g)		39.4			38.1			161.0			154.1
Non-GAAP Operating Profit	$	44.9		$	39.1		$	157.2		$	105.6

Net income (loss) reconciliation to Adjusted EBITDA

	Three Months Ended December 31,						Year Ended December 31,
(In millions)	2023			2024			2023			2024
Net income (loss)	$	28.0		$	(60.4	)	$	(837.8	)	$	(862.6	)
Share-based compensation expense		13.5			15.6			65.4			63.4
Transaction-related adjustments, net ^(a)		1.1			0.8			5.2			5.2
Restructuring and transformation expenses ^(b)		6.7			13.7			56.7			58.5
Hosted Exchange incident expenses, net of proceeds received or expected to be received under our insurance coverage		(4.4	)		(0.3	)		(4.8	)		(1.4	)
Impairment of goodwill		—			—			708.8			714.9
UK office closure ^(c)		—			—			12.1			—
Impairment of assets, net		3.8			—			52.2			20.0
Net (gain) loss on divestiture and investments^(d)		(0.1	)		0.1			(0.3	)		(0.1	)
Gain on debt extinguishment, net of debt modification costs		(108.2	)		—			(271.3	)		(147.2	)
Other expense, net ⁽ⁱ⁾		4.7			9.9			5.0			21.7
Interest expense		50.9			17.9			221.6			98.0
Provision (benefit) for income taxes		9.5			3.7			(16.6	)		(18.9	)
Depreciation and amortization ^(j)		87.2			72.7			366.4			293.3
Adjusted EBITDA	$	92.7		$	73.7		$	362.6		$	244.8

(a)	Includes legal, professional, accounting and other advisory fees related to acquisitions, integration costs of acquired businesses, purchase accounting adjustments, and exploratory acquisition and divestiture costs and expenses related to financing activities.
(b)	Includes consulting and advisory fees related to business transformation and optimization activities, as well as associated severance, certain facility closure costs and lease termination expenses. Also includes payroll taxes associated with the exercise of stock options and vesting of restricted stock. The year ended December 31, 2024 also includes a $9.0 million Master Economic Incentives Agreement early termination fee associated with the sale of our corporate headquarters in March 2024.
(c)	Expense recognized related to the closure of a UK office that we exited in the second quarter of 2023 prior to the lease end date.
(d)	Includes gains and losses on investment and from dispositions.
(e)	Interest expense impact due to the accounting for contractual interest payments on debt instruments entered into as part of the March 2024 Refinancing Transactions, which reduced interest expense relative to contractual interest cost.
(f)	Primarily consists of foreign currency gains and losses.
(g)	All of our intangible assets are attributable to acquisitions, including the November 2016 merger.
(h)	We utilize an estimated structural long-term non-GAAP tax rate in order to provide consistency across reporting periods, removing the effect of non-recurring tax adjustments, which include but are not limited to tax rate changes, U.S. tax reform, share-based compensation, audit conclusions and changes to valuation allowances. We used a structural non-GAAP tax rate of 26% for all periods which reflects the removal of the tax effect of non-GAAP pre-tax adjustments and non-recurring tax adjustments on a year-over-year basis. The non-GAAP tax rate could be subject to change for a variety of reasons, including the rapidly evolving global tax environment, significant changes in our geographic earnings mix including due to acquisition activity, or other changes to our strategy or business operations. We will re-evaluate our long-term non-GAAP tax rate as appropriate. We believe that making these adjustments facilitates a better evaluation of our current operating performance and comparisons to prior periods.
(i)	Primarily consists of foreign currency gains and losses and expense related to our Receivables Purchase Facility.
(j)	Excludes accelerated depreciation expense related to facility closures.

Non-GAAP Earnings (Loss) Per Share

We define Non-GAAP Earnings (Loss) per Share as Non-GAAP Net Income (Loss) divided by our GAAP weighted average number of shares outstanding for the period on a diluted basis and further adjusted for the weighted average number of shares associated with securities which are anti-dilutive to GAAP loss per share but dilutive to Non-GAAP Earnings (Loss) per Share. Management uses Non-GAAP Earnings (Loss) per Share to evaluate the performance of our business on a comparable basis from period to period, including by adjusting for the impact of the issuance of shares that would be dilutive to Non-GAAP Earnings (Loss) per Share.

	Three Months Ended December 31,						Year Ended December 31,
(In millions, except per share amounts)	2023			2024			2023			2024
Net income (loss) attributable to common stockholders	$	28.0		$	(60.4	)	$	(837.8	)	$	(862.6	)
Non-GAAP Net Loss	$	(8.9	)	$	(4.4	)	$	(52.1	)	$	(63.5	)

Weighted average number of shares – Diluted		219.6			228.1			215.3			224.8
Effect of dilutive securities ^(a)		—			11.2			3.1			10.7
Non-GAAP weighted average number of shares – Diluted		219.6			239.3			218.4			235.5

Net earnings (loss) per share – Diluted	$	0.13		$	(0.26	)	$	(3.89	)	$	(3.84	)
Per share impacts of adjustments to net income (loss) ^(b)		(0.17	)		0.25			3.65			3.55
Per share impacts of shares dilutive after adjustments to net income (loss) ^(a)		0.00			(0.01	)		0.00			0.02
Non-GAAP Loss Per Share	$	(0.04	)	$	(0.02	)	$	(0.24	)	$	(0.27	)

(a)	Reflects impact of awards that would have been anti-dilutive to net loss per share, and therefore not included in the calculation, but would be dilutive to Non-GAAP Earnings (Loss) Per Share and are therefore included in the share count for purposes of this non-GAAP measure. Potential common share equivalents consist of shares issuable upon the exercise of stock options, vesting of restricted stock units (including performance-based restricted stock units) or purchases under the Employee Stock Purchase Plan, as well as contingent shares associated with our acquisition of Datapipe Parent, Inc. Certain of our potential common share equivalents are contingent on certain investment funds managed by affiliates of Apollo Global Management, Inc. achieving pre-established performance targets based on a multiple of their invested capital, which are included in the denominator for the entire period if such shares would be issuable as of the end of the reporting period assuming the end of the reporting period was the end of the contingency period.
(b)	Reflects the aggregate adjustments made to reconcile Non-GAAP Net Loss to our net income (loss), as noted in the above table, divided by the GAAP diluted number of shares outstanding for the relevant period.

February 20, 2025 4:33 pm

Boise Cascade Company Reports Fourth Quarter and Full Year 2024 Results

Boise Cascade Company Reports Fourth Quarter and Full Year 2024 Results

BOISE, Idaho–(BUSINESS WIRE)–
Boise Cascade Company (“Boise Cascade,” the “Company,” “we,” or “our”) (NYSE: BCC) today reported fourth quarter net income of $68.9 million, or $1.78 per share, on sales of $1.6 billion. For the full year 2024, Boise Cascade reported net income of $376.4 million, or $9.57 per share, on sales of $6.7 billion. For 2023 comparative results, see the table below.

“As we close out 2024, I first want to express my gratitude to our associates as they have shown commitment to our values and steadfast support for our customers, suppliers, and each other. We had many accomplishments during the year, which included both divisions delivering solid financial results, additional growth in our distribution business, capital investments in support of our EWP growth strategy, and meaningful capital returns to our shareholders,” stated Nate Jorgensen, CEO. “As we look forward to 2025, uncertainties surrounding the economy and residential construction activity will heavily influence the demand environment. However, our balance sheet remains strong, and we are well positioned to continue executing our reinvestment and growth strategies, while serving and supporting our customer and vendor partners.”

Fourth Quarter and Year End 2024 Highlights

	4Q 2024		4Q 2023		% change	2024		2023		% change
	(in thousands, except per-share data and percentages)
Consolidated Results
Sales	$	1,567,480	$	1,644,256	(5)%	$	6,724,294	$	6,838,245	(2)%
Net income		68,900		97,535	(29)%		376,354		483,656	(22)%
Net income per common share – diluted		1.78		2.44	(27)%		9.57		12.12	(21)%
Adjusted EBITDA ¹		128,655		160,582	(20)%		632,838		756,697	(16)%
Segment Results
Wood Products sales	$	419,670	$	449,676	(7)%	$	1,832,317	$	1,932,602	(5)%
Wood Products income		33,583		64,128	(48)%		231,454		337,132	(31)%
Wood Products EBITDA ¹		56,581		92,693	(39)%		324,657		435,842	(26)%
Building Materials Distribution sales		1,438,785		1,492,614	(4)%		6,166,493		6,178,690	— %
Building Materials Distribution income		70,701		70,497	— %		303,385		335,808	(10)%
Building Materials Distribution EBITDA ¹		84,459		80,613	5 %		352,919		368,161	(4)%
¹For reconciliations of non-GAAP measures, see summary notes at the end of this press release.

In fourth quarter 2024, total U.S. housing starts and single-family housing starts decreased 6% and 4%, respectively, compared to the same period in 2023. For the full year 2024, total housing starts decreased 4%, while single-family housing starts increased 7%, compared to 2023. Single-family housing starts are the key demand driver for our sales.

Wood Products

Wood Products’ sales, including sales to Building Materials Distribution (BMD), decreased $30.0 million, or 7%, to $419.7 million for the three months ended December 31, 2024, from $449.7 million for the three months ended December 31, 2023. The decrease in sales was driven by lower sales prices for LVL and I-joists (collectively referred to as EWP) and plywood, as well as lower I-joist sales volumes. These decreases were offset partially by higher LVL and plywood sales volumes. Wood Products’ segment income decreased $30.5 million to $33.6 million for the three months ended December 31, 2024, from $64.1 million for the three months ended December 31, 2023. The decrease in segment income was due primarily to lower EWP and plywood sales prices.

For the year ended December 31, 2024, sales, including sales to BMD, decreased $100.3 million, or 5%, to $1,832.3 million from $1,932.6 million in 2023. The decrease in sales was driven by lower sales prices for EWP, as well as lower plywood sales volumes and prices. Other sales related to lumber and residual byproducts also decreased. These decreases were offset partially by higher EWP sales volumes. Wood Products’ segment income decreased $105.7 million to $231.5 million for the year ended December 31, 2024, from $337.1 million for the year ended December 31, 2023. The decrease in segment income was due primarily to lower EWP and plywood sales prices, as well as higher wood fiber and conversion costs. These decreases in segment income were offset partially by higher EWP sales volumes.

Comparative average net selling prices and sales volume changes for EWP and plywood are as follows:

	4Q 2024 vs. 4Q 2023	2024 vs. 2023

Average Net Selling Prices
LVL	(10)%	(7)%
I-joists	(10)%	(7)%
Plywood	(7)%	(5)%
Sales Volumes
LVL	11%	11%
I-joists	(2)%	7%
Plywood	2%	(5)%

Building Materials Distribution

BMD’s sales decreased $53.8 million, or 4%, to $1,438.8 million for the three months ended December 31, 2024, from $1,492.6 million for the three months ended December 31, 2023. Compared with the same quarter in the prior year, the overall decrease in sales was driven by a 2% decrease in both sales price and volume. By product line, commodity sales decreased 4%, general line product sales increased 1%, and EWP sales (substantially all of which are sourced through our Wood Products segment) decreased 11%. BMD segment income increased $0.2 million to $70.7 million for the three months ended December 31, 2024, from $70.5 million for the three months ended December 31, 2023. General and administrative expenses decreased $3.6 million, offset by increased depreciation and amortization expense of $3.6 million. The decrease in general and administrative expenses was due primarily to acquisition-related expenses in the prior year quarter for the BROSCO acquisition. Gross margins were flat when compared to the same quarter in the prior year.

For the year ended December 31, 2024, sales decreased $12.2 million, or less than 1%, to $6,166.5 million from $6,178.7 million in 2023. The decrease in sales was driven by a sales price decrease of 3%, offset partially by a sales volume increase of 3%. Excluding the impact of the BROSCO acquisition on October 2, 2023, sales would have decreased by 2%. By product line, commodity sales decreased 5%, general line product sales increased 7%, and EWP sales decreased 4%. BMD segment income decreased $32.4 million to $303.4 million for the year ended December 31, 2024, from $335.8 million for the year ended December 31, 2023. The decline in segment income was driven by increased selling and distribution expenses and depreciation and amortization expense of $37.4 million and $17.2 million, respectively. These decreases in segment income were offset partially by a gross margin increase of $15.1 million, resulting primarily from improved gross margins on general line products, offset partially by lower gross margins on EWP and commodity products. In addition, general and administrative expenses decreased $6.7 million, due primarily to $5.1 million of acquisition-related expenses in the prior year for the BROSCO acquisition.

Balance Sheet and Liquidity

Boise Cascade ended fourth quarter 2024 with $713.3 million of cash and cash equivalents and $395.7 million of undrawn committed bank line availability, for total available liquidity of $1,109.0 million. The Company had $450.0 million of outstanding debt at December 31, 2024.

Capital Allocation

During the year ended December 31, 2024, the Company used a combined $239.8 million of cash for capital spending and acquisitions. We expect capital expenditures in 2025, excluding potential acquisition spending, to total approximately $220 million to $240 million. Our 2025 capital expenditures range includes additional spending on multi-year investments to add I-joist production capabilities at our Thorsby, Alabama EWP mill, as well as the continuation of significant modernization projects at our Oakdale, Louisiana veneer and plywood mill. Our 2025 capital expenditures range also includes continued spending on the previously announced greenfield distribution centers in Texas and South Carolina in our BMD segment. This level of capital expenditures could increase or decrease as a result of several factors, including acquisitions, efforts to further accelerate organic growth, exercise of lease purchase options, our financial results, future economic conditions, availability of engineering and construction resources, and timing and availability of equipment purchases.

For the year ended December 31, 2024, the Company paid common stock dividends of $228.8 million in regular and special dividends, which was comprised of $0.82 per share in regular dividends and a $5.00 per share special dividend. On February 7, 2025, our board of directors declared a quarterly dividend of $0.21 per share on our common stock, payable on March 19, 2025, to stockholders of record on February 24, 2025.

For the year ended December 31, 2024, the Company paid $194.9 million for the repurchase of approximately 1.5 million shares of our common stock. In January 2025, the Company repurchased an additional 250,000 shares of our common stock at a cost of approximately $30 million. Subsequent to these share repurchases, approximately 1.6 million shares were available for repurchase under our existing share repurchase program.

Outlook

Demand for the products we manufacture, as well as the products we purchase and distribute, is correlated with new residential construction, residential repair-and-remodeling activity, and light commercial construction. Residential construction, particularly new single-family construction, is the key demand driver for the products we manufacture and distribute. As reported by the U.S. Census Bureau, housing starts were 1.37 million in 2024. Current industry forecasts for U.S. housing starts are approximately 1.35 million in 2025. Single-family starts in 2024 outpaced 2023 levels by 7%, and are expected to remain at approximately 1.0 million, despite the affordability challenges consumers are facing in the current rate environment. Multi-family starts declined sharply in 2024 and are expected to continue to face headwinds in 2025 due to prohibitive capital costs for developers, combined with elevated levels of multi-family unit completions in 2023 and 2024. We expect 2025 to reflect modest growth in home improvement spending, as the age of U.S. housing stock, elevated levels of homeowner equity, and recent improvement in existing home sales will provide a favorable backdrop for repair-and-remodel spending. Ultimately, macroeconomic factors, the level and expectations for mortgage rates, home affordability, home equity levels, home size, levels of new and existing home inventory for sale, and other factors will influence the near-term demand environment for the products we manufacture and distribute.

As a manufacturer of certain commodity products, we have sales and profitability exposure to declines in commodity product prices and rising input costs. Our distribution business purchases and resells a broad mix of products with periods of increasing prices providing the opportunity for higher sales and increased margins, while declining price environments expose us to declines in sales and profitability. Future product pricing, particularly commodity products pricing and input costs, may be volatile in response to economic uncertainties, industry operating rates, supply-related disruptions, transportation constraints or disruptions, net import and export activity, inventory levels in various distribution channels, and seasonal demand patterns. In addition, changes in laws or government regulations, such as the imposition of tariffs, could impact our product pricing and input costs.

About Boise Cascade

Boise Cascade Company is one of the largest producers of engineered wood products and plywood in North America and a leading U.S. wholesale distributor of building products. For more information, please visit the Company’s website at www.bc.com.

Webcast and Conference Call

Boise Cascade will host a webcast and conference call to discuss fourth quarter and full year earnings on Friday, February 21, 2025, at 11 a.m. Eastern.

To join the webcast, go to the Investors section of our website at www.bc.com/investors and select the Event Calendar link. Analysts and investors who wish to ask questions during the Q&A session can register for the call here.

The archived webcast will be available in the Investors section of Boise Cascade’s website.

Use of Non-GAAP Financial Measures

We refer to the terms EBITDA, Adjusted EBITDA and Segment EBITDA in this earnings release and the accompanying Quarterly Statistical Information as supplemental measures of our performance and liquidity that are not required by or presented in accordance with generally accepted accounting principles in the United States (GAAP). We define EBITDA as income before interest (interest expense and interest income), income taxes, and depreciation and amortization. Additionally, we disclose Adjusted EBITDA, which further adjusts EBITDA to exclude the change in fair value of interest rate swaps. We also disclose Segment EBITDA, which is segment income before depreciation and amortization.

We believe EBITDA, Adjusted EBITDA and Segment EBITDA are meaningful measures because they present a transparent view of our recurring operating performance and allow management to readily view operating trends, perform analytical comparisons, and identify strategies to improve operating performance. We also believe EBITDA, Adjusted EBITDA and Segment EBITDA are useful to investors because they provide a means to evaluate the operating performance of our segments and our Company on an ongoing basis using criteria that are used by our management and because they are frequently used by investors and other interested parties when comparing companies in our industry that have different financing and capital structures and/or tax rates. EBITDA, Adjusted EBITDA and Segment EBITDA, however, are not measures of our liquidity or financial performance under GAAP and should not be considered as alternatives to net income, income from operations, or any other performance measure derived in accordance with GAAP or as alternatives to cash flow from operating activities as a measure of our liquidity. The use of EBITDA, Adjusted EBITDA and Segment EBITDA instead of net income or segment income have limitations as analytical tools, including: the inability to determine profitability; the exclusion of interest expense, interest income, and associated significant cash requirements; and the exclusion of depreciation and amortization, which represent unavoidable operating costs. Management compensates for these limitations by relying on our GAAP results. Our measures of EBITDA, Adjusted EBITDA and Segment EBITDA are not necessarily comparable to other similarly titled captions of other companies due to potential inconsistencies in the methods of calculation. For a reconciliation of net income to EBITDA and Adjusted EBITDA and segment income to Segment EBITDA, please see the section titled, “Summary Notes to Consolidated Financial Statements and Segment Information” below.

Forward-Looking Statements

This press release includes statements about our expectations of future operational and financial performance that are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including, but not limited to, statements regarding our outlook. Statements preceded or followed by, or that otherwise include, the words “believes,” “expects,” “anticipates,” “intends,” “project,” “estimates,” “plans,” “forecast,” “is likely to,” and similar expressions or future or conditional verbs such as “will,” “may,” “would,” “should,” and “could” are generally forward-looking in nature and not historical facts. Such statements are based upon the current beliefs and expectations of our management and are subject to significant risks and uncertainties. The accuracy of such statements is subject to a number of risks, uncertainties, and assumptions that could cause our actual results to differ materially from those projected, including, but not limited to, prices for building products, changes in the competitive position of our products, commodity input costs, the effect of general economic conditions, mortgage rates and availability, housing demand, housing vacancy rates, governmental regulations, unforeseen production disruptions, as well as natural disasters. These and other factors that could cause actual results to differ materially from such forward-looking statements are discussed in greater detail in our filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date of this press release. We undertake no obligation to revise them in light of new information. Finally, we undertake no obligation to review or confirm analyst expectations or estimates that might be derived from this release.


Boise Cascade Company
Consolidated Statements of Operations
(in thousands, except per-share data) (unaudited)

	Three Months Ended									Year Ended
	December 31						September 30, 2024			December 31
	2024			2023			September 30, 2024			2024			2023

Sales	$	1,567,480		$	1,644,256		$	1,713,724		$	6,724,294		$	6,838,245

Costs and expenses
Materials, labor, and other operating expenses (excluding depreciation)		1,269,769			1,310,062			1,375,719			5,393,607			5,409,311
Depreciation and amortization		37,035			39,085			36,861			144,113			132,467
Selling and distribution expenses		143,512			143,796			157,522			594,927			559,503
General and administrative expenses		25,085			30,241			26,172			102,317			114,434
Other (income) expense, net		(640	)		(104	)		94			(708	)		(1,856	)
		1,474,761			1,523,080			1,596,368			6,234,256			6,213,859

Income from operations		92,719			121,176			117,356			490,038			624,386

Foreign currency exchange gain (loss)		(1,061	)		362			300			(1,164	)		7
Pension expense (excluding service costs)		(38	)		(41	)		(37	)		(149	)		(163	)
Interest expense		(5,810	)		(6,445	)		(6,082	)		(24,067	)		(25,496	)
Interest income		7,831			13,142			10,168			39,139			48,106
Change in fair value of interest rate swaps		(465	)		(993	)		(866	)		(2,038	)		(1,791	)
		457			6,025			3,483			11,721			20,663

Income before income taxes		93,176			127,201			120,839			501,759			645,049
Income tax provision		(24,276	)		(29,666	)		(29,801	)		(125,405	)		(161,393	)
Net income	$	68,900		$	97,535		$	91,038		$	376,354		$	483,656

Weighted average common shares outstanding:
Basic		38,490			39,653			38,848			39,086			39,649
Diluted		38,735			40,020			39,063			39,318			39,901

Net income per common share:
Basic	$	1.79		$	2.46		$	2.34		$	9.63		$	12.20
Diluted	$	1.78		$	2.44		$	2.33		$	9.57		$	12.12

Dividends declared per common share	$	0.21		$	5.20		$	5.21		$	5.82		$	8.70

Wood Products Segment
Statements of Operations
(in thousands, except percentages) (unaudited)

	Three Months Ended									Year Ended
	December 31						September 30, 2024			December 31
	2024			2023			September 30, 2024			2024			2023

Segment sales	$	419,670		$	449,676		$	453,896		$	1,832,317		$	1,932,602

Costs and expenses
Materials, labor, and other operating expenses (excluding depreciation)		348,601			340,845			361,313			1,446,555			1,432,745
Depreciation and amortization		22,998			28,565			23,551			93,203			98,710
Selling and distribution expenses		11,016			11,215			10,587			43,268			45,116
General and administrative expenses		3,394			4,844			4,640			17,660			20,404
Other (income) expense, net		78			79			(48	)		177			(1,505	)
		386,087			385,548			400,043			1,600,863			1,595,470

Segment income	$	33,583		$	64,128		$	53,853		$	231,454		$	337,132

	(percentage of sales)

Segment sales		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%

Costs and expenses
Materials, labor, and other operating expenses (excluding depreciation)		83.1	%		75.8	%		79.6	%		78.9	%		74.1	%
Depreciation and amortization		5.5	%		6.4	%		5.2	%		5.1	%		5.1	%
Selling and distribution expenses		2.6	%		2.5	%		2.3	%		2.4	%		2.3	%
General and administrative expenses		0.8	%		1.1	%		1.0	%		1.0	%		1.1	%
Other (income) expense, net		—	%		—	%		—	%		—	%		(0.1	%)
		92.0	%		85.7	%		88.1	%		87.4	%		82.6	%

Segment income		8.0	%		14.3	%		11.9	%		12.6	%		17.4	%

Building Materials Distribution Segment
Statements of Operations
(in thousands, except percentages) (unaudited)
	Three Months Ended									Year Ended
	December 31						September 30, 2024			December 31
	2024			2023			September 30, 2024			2024			2023

Segment sales	$	1,438,785		$	1,492,614		$	1,567,466		$	6,166,493		$	6,178,690

Costs and expenses
Materials, labor, and other operating expenses (excluding depreciation)		1,212,013			1,265,493			1,322,001			5,221,945			5,249,211
Depreciation and amortization		13,758			10,116			12,928			49,534			32,353
Selling and distribution expenses		132,550			132,635			146,994			551,874			514,513
General and administrative expenses		10,482			14,100			10,580			40,666			47,414
Other (income) expense, net		(719	)		(227	)		142			(911	)		(609	)
		1,368,084			1,422,117			1,492,645			5,863,108			5,842,882

Segment income	$	70,701		$	70,497		$	74,821		$	303,385		$	335,808

	(percentage of sales)

Segment sales		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%

Costs and expenses
Materials, labor, and other operating expenses (excluding depreciation)		84.2	%		84.8	%		84.3	%		84.7	%		85.0	%
Depreciation and amortization		1.0	%		0.7	%		0.8	%		0.8	%		0.5	%
Selling and distribution expenses		9.2	%		8.9	%		9.4	%		8.9	%		8.3	%
General and administrative expenses		0.7	%		0.9	%		0.7	%		0.7	%		0.8	%
Other (income) expense, net		—	%		—	%		—	%		—	%		—	%
		95.1	%		95.3	%		95.2	%		95.1	%		94.6	%

Segment income		4.9	%		4.7	%		4.8	%		4.9	%		5.4	%

Segment Information
(in thousands) (unaudited)

	Three Months Ended									Year Ended
	December 31						September 30, 2024			December 31
	2024			2023			September 30, 2024			2024			2023
Segment sales
Wood Products	$	419,670		$	449,676		$	453,896		$	1,832,317		$	1,932,602
Building Materials Distribution		1,438,785			1,492,614			1,567,466			6,166,493			6,178,690
Intersegment eliminations		(290,975	)		(298,034	)		(307,638	)		(1,274,516	)		(1,273,047	)
Total net sales	$	1,567,480		$	1,644,256		$	1,713,724		$	6,724,294		$	6,838,245

Segment income
Wood Products	$	33,583		$	64,128		$	53,853		$	231,454		$	337,132
Building Materials Distribution		70,701			70,497			74,821			303,385			335,808
Total segment income		104,284			134,625			128,674			534,839			672,940
Unallocated corporate costs		(11,565	)		(13,449	)		(11,318	)		(44,801	)		(48,554	)
Income from operations	$	92,719		$	121,176		$	117,356		$	490,038		$	624,386

Segment EBITDA
Wood Products	$	56,581		$	92,693		$	77,404		$	324,657		$	435,842
Building Materials Distribution		84,459			80,613			87,749			352,919			368,161

See accompanying summary notes to consolidated financial statements and segment information.

Boise Cascade Company
Consolidated Balance Sheets
(in thousands) (unaudited)

	December 31, 2024		December 31, 2023

ASSETS

Current
Cash and cash equivalents	$	713,260	$	949,574
Receivables
Trade, less allowances of $5,506 and $3,278		321,820		352,780
Related parties		173		181
Other		22,772		20,740
Inventories		803,296		712,369
Prepaid expenses and other		24,747		21,170
Total current assets		1,886,068		2,056,814

Property and equipment, net		1,047,083		932,633
Operating lease right-of-use assets		49,673		62,868
Finance lease right-of-use assets		22,128		24,003
Timber deposits		6,916		7,208
Goodwill		171,945		170,254
Intangible assets, net		173,027		190,743
Deferred income taxes		3,705		4,854
Other assets		8,838		9,269
Total assets	$	3,369,383	$	3,458,646

Boise Cascade Company
Consolidated Balance Sheets (continued)
(in thousands, except per-share data) (unaudited)

	December 31, 2024			December 31, 2023

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current
Accounts payable
Trade	$	297,676		$	310,175
Related parties		1,315			1,501
Accrued liabilities
Compensation and benefits		127,415			149,561
Interest payable		9,957			9,958
Other		127,653			122,921
Total current liabilities		564,016			594,116

Debt
Long-term debt, net		446,167			445,280

Other
Compensation and benefits		42,006			40,189
Operating lease liabilities, net of current portion		43,174			56,425
Finance lease liabilities, net of current portion		26,883			28,084
Deferred income taxes		78,849			82,014
Other long-term liabilities		17,014			16,874
		207,926			223,586

Commitments and contingent liabilities

Stockholders’ equity
Preferred stock, $0.01 par value per share; 50,000 shares authorized, no shares issued and outstanding		—			—
Common stock, $0.01 par value per share; 300,000 shares authorized, 45,139 and 44,983 shares issued, respectively		451			450
Treasury stock, 6,956 and 5,443 shares at cost, respectively		(341,974	)		(145,335	)
Additional paid-in capital		565,041			560,697
Accumulated other comprehensive loss		(460	)		(517	)
Retained earnings		1,928,216			1,780,369
Total stockholders’ equity		2,151,274			2,195,664
Total liabilities and stockholders’ equity	$	3,369,383		$	3,458,646

Boise Cascade Company
Consolidated Statements of Cash Flows
(in thousands) (unaudited)

	Year Ended December 31
	2024			2023
Cash provided by (used for) operations
Net income	$	376,354		$	483,656
Items in net income not using (providing) cash
Depreciation and amortization, including deferred financing costs and other		147,402			135,414
Stock-based compensation		15,486			15,410
Pension expense		149			163
Deferred income taxes		(2,416	)		(180	)
Change in fair value of interest rate swaps		2,038			1,791
Other		(379	)		(1,898	)
Decrease (increase) in working capital, net of acquisitions
Receivables		31,068			(35,024	)
Inventories		(89,266	)		22,286
Prepaid expenses and other		(1,029	)		(824	)
Accounts payable and accrued liabilities		(35,595	)		37,146
Income taxes payable		(2,405	)		28,590
Other		(3,087	)		928
Net cash provided by operations		438,320			687,458

Cash provided by (used for) investment
Expenditures for property and equipment		(229,569	)		(215,438	)
Acquisitions of businesses and facilities, net of cash acquired		(10,221	)		(162,774	)
Proceeds from sales of assets and other		1,970			2,660
Net cash used for investment		(237,820	)		(375,552	)

Cash provided by (used for) financing
Treasury stock purchased		(194,904	)		(6,426	)
Dividends paid on common stock		(228,814	)		(346,493	)
Tax withholding payments on stock-based awards		(11,141	)		(5,926	)
Other		(1,955	)		(1,831	)
Net cash used for financing		(436,814	)		(360,676	)

Net decrease in cash and cash equivalents		(236,314	)		(48,770	)

Balance at beginning of the period		949,574			998,344

Balance at end of the period	$	713,260		$	949,574

Summary Notes to Consolidated Financial Statements and Segment Information

The Consolidated Statements of Operations, Segment Statements of Operations, Consolidated Balance Sheets, Consolidated Statements of Cash Flows, and Segment Information presented herein do not include the notes accompanying the Company’s Consolidated Financial Statements and should be read in conjunction with the Company’s 2024 Form 10-K and the Company’s other filings with the Securities and Exchange Commission. Net income for all periods presented involved estimates and accruals.

EBITDA represents income before interest (interest expense and interest income), income taxes, and depreciation and amortization. Additionally, we disclose Adjusted EBITDA, which further adjusts EBITDA to exclude the change in fair value of interest rate swaps. The following table reconciles net income to EBITDA and Adjusted EBITDA for the (i) three months ended December 31, 2024 and 2023, (ii) three months ended September 30, 2024, and (iii) year ended December 31, 2024 and 2023:

	Three Months Ended									Year Ended
	December 31						September 30, 2024			December 31
	2024			2023			September 30, 2024			2024			2023
	(in thousands)
Net income	$	68,900		$	97,535		$	91,038		$	376,354		$	483,656
Interest expense		5,810			6,445			6,082			24,067			25,496
Interest income		(7,831	)		(13,142	)		(10,168	)		(39,139	)		(48,106	)
Income tax provision		24,276			29,666			29,801			125,405			161,393
Depreciation and amortization		37,035			39,085			36,861			144,113			132,467
EBITDA		128,190			159,589			153,614			630,800			754,906
Change in fair value of interest rate swaps		465			993			866			2,038			1,791
Adjusted EBITDA	$	128,655		$	160,582		$	154,480		$	632,838		$	756,697

The following table reconciles segment income and unallocated corporate costs to Segment EBITDA, EBITDA and Adjusted EBITDA for the (i) three months ended December 31, 2024 and 2023, (ii) three months ended September 30, 2024, and (iii) year ended December 31, 2024 and 2023:

	Three Months Ended									Year Ended
	December 31						September 30, 2024			December 31
	2024			2023			September 30, 2024			2024			2023
	(in thousands)
Wood Products
Segment income	$	33,583		$	64,128		$	53,853		$	231,454		$	337,132
Depreciation and amortization		22,998			28,565			23,551			93,203			98,710
Segment EBITDA	$	56,581		$	92,693		$	77,404		$	324,657		$	435,842

Building Materials Distribution
Segment income	$	70,701		$	70,497		$	74,821		$	303,385		$	335,808
Depreciation and amortization		13,758			10,116			12,928			49,534			32,353
Segment EBITDA	$	84,459		$	80,613		$	87,749		$	352,919		$	368,161

Corporate
Unallocated corporate costs	$	(11,565	)	$	(13,449	)	$	(11,318	)	$	(44,801	)	$	(48,554	)
Foreign currency exchange gain (loss)		(1,061	)		362			300			(1,164	)		7
Pension expense (excluding service costs)		(38	)		(41	)		(37	)		(149	)		(163	)
Change in fair value of interest rate swaps		(465	)		(993	)		(866	)		(2,038	)		(1,791	)
Depreciation and amortization		279			404			382			1,376			1,404
EBITDA		(12,850	)		(13,717	)		(11,539	)		(46,776	)		(49,097	)
Change in fair value of interest rate swaps		465			993			866			2,038			1,791
Corporate Adjusted EBITDA	$	(12,385	)	$	(12,724	)	$	(10,673	)	$	(44,738	)	$	(47,306	)

Total Company Adjusted EBITDA	$	128,655		$	160,582		$	154,480		$	632,838		$	756,697

View source version on businesswire.com: https://www.businesswire.com/news/home/20250220787652/en/

Investor Relations Contact – Chris Forrey

[email protected]

Media Contact – Amy Evans

[email protected]

KEYWORDS: United States North America Idaho

INDUSTRY KEYWORDS: Natural Resources Residential Building & Real Estate Commercial Building & Real Estate Construction & Property Forest Products

MEDIA:

Logo