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PROG Holdings Exceeds First Quarter 2023 Expectations, Raises Full-Year Earnings Outlook

• Consolidated revenues of $655.1 million, earnings before taxes of $67.6 million;
• Adjusted EBITDA of $89.7 million, increase of 38.9% year-over-year
• Diluted EPS of $1.00; Non-GAAP Diluted EPS of $1.11, up 94.7% year-over-year
• Progressive Leasing write-offs of 6.0%, down from 7.3% in Q1 2022
• E-commerce increased 100bps to 16.9% of Progressive Leasing GMV

SALT LAKE CITY–(BUSINESS WIRE)–
PROG Holdings, Inc. (NYSE:PRG), the fintech holding company for Progressive Leasing, Vive Financial, and Four Technologies, today announced financial results for the first quarter ended March 31, 2023.

“We’re pleased with our strong start to the year, with first quarter results exceeding expectations due to a favorable shift in our lease dispositions and the decisive actions we have taken to strengthen our portfolio and reduce our operating expenses,” said PROG Holdings President and CEO Steve Michaels. “The strength of our first quarter earnings combined with the current stability of our lease portfolio gives us the confidence to increase our earnings outlook for the year despite continued soft consumer demand in our key categories. We have been successful in our efforts to protect our margins and position our company for long-term success regardless of macroeconomic conditions and expect to continue to do so during this uncertain environment. Our financial strength, highlighted by strong margins and cash flow, continues to enable us to selectively invest in key initiatives to support our longer-term growth plans at a time when growth is challenged,” concluded Michaels.

Consolidated revenues for the first quarter of 2023 were $655.1 million, a decrease of 7.8% from the same period in 2022 due to tightened lease decisioning in mid-2022, decreased customer demand for leasable goods, and a year-over-year decline in the number of customers exercising early lease buyouts. This decline in revenues was partially offset by year-over-year improvements in customer payment behavior during the first quarter of 2023.

The Company reported consolidated net earnings for the first quarter of 2023 of $48.0 million, compared with $27.1 million in the prior year period. Adjusted EBITDA for the quarter increased 38.9% to $89.7 million, or 13.7% of revenues, compared with $64.6 million, or 9.1% of revenues for the same period in 2022. The year-over-year growth in Adjusted EBITDA was driven primarily by historically low 90 day buyout activity for the period, improved customer payment behavior resulting from prior lease decisioning tightening, benefit from previous cost-cutting measures, and continued portfolio management.

Diluted earnings per share for the first quarter of 2023 were $1.00 compared with $0.49 in the year ago period. On a non-GAAP basis, diluted earnings per share were $1.11 in the first quarter of 2023, compared with $0.57 for the same quarter in 2022. Our weighted average shares outstanding assuming dilution in the first quarter was 13.6% lower than the same quarter in 2022.

Progressive Leasing Results

Progressive Leasing’s first quarter GMV decreased 17.0% to $418.7 million compared with the same period in 2022, primarily due to the Company’s current decisioning posture on lease approvals and weaker traffic patterns for its retail partners. E-commerce GMV within the segment decreased 11.7% year-over-year; however, the rate of decline in e-commerce was less than in-store, and the channel increased 100 basis points to 16.9% of the segment’s total GMV in the first quarter of 2023. The provision for lease merchandise write-offs declined to 6.0% of lease revenues in the first quarter of 2023, driven by continued portfolio management and strong customer payment behavior. The Company continued to see improved delinquency trends within the quarter as a result of the steps taken to tighten decisioning in 2022.

Liquidity and Capital Allocation

PROG Holdings ended the first quarter of 2023 with cash of $249.8 million and gross debt of $600 million. The Company repurchased $36.5 million of its stock in the quarter at an average price of $25 per share and has $300.8 million remaining under its previously announced $1 billion share repurchase program.

2023 Outlook

The Company is revising upwards its full year earnings outlook, lowering modestly our revenue expectations, and providing a Q2 2023 outlook for revenues, net earnings, adjusted EBITDA, GAAP diluted EPS, and non-GAAP diluted EPS. The strength of our Q1 earnings combined with the anticipation that gross margins will be a larger tailwind than originally expected are the primary factors informing the increase in our annual earnings outlook. This outlook assumes a difficult operating environment with continued soft demand for consumer durable goods, no material changes in the Company’s decisioning posture or portfolio performance, and no impact from additional share repurchases.

		Revised Outlook								Previous Outlook
(In thousands, except per share amounts)		Low				High				Low				High
PROG Holdings – Total Revenues		$	2,300,000			$	2,375,000			$	2,340,000			$	2,440,000
PROG Holdings – Net Earnings			99,500				112,500				82,500				103,500
PROG Holdings – Adjusted EBITDA			235,000				255,000				215,000				245,000
PROG Holdings – Diluted EPS			2.09				2.37				1.69				2.12
PROG Holdings – Diluted Non-GAAP EPS			2.50				2.77				2.11				2.54
Progressive Leasing – Total Revenues			2,235,000				2,305,000				2,275,000				2,370,000
Progressive Leasing – Earnings Before Taxes			123,000				131,000				147,000				167,000
Progressive Leasing – Adjusted EBITDA			248,000				261,000				228,000				251,000
Vive – Total Revenues			65,000				70,000				65,000				70,000
Vive – Earnings Before Taxes			2,500				4,500				2,500				4,500
Vive – Adjusted EBITDA			5,000				8,000				5,000				8,000
Other – Loss Before Taxes			(26,000	)			(23,000	)			(26,000	)			(23,000	)
Other – Adjusted EBITDA			(18,000	)			(14,000	)			(18,000	)			(14,000	)

		Three Months Ended June 30, 2023 Outlook
(In thousands, except per share amounts)		Low				High
PROG Holdings – Total Revenues		$	565,000			$	585,000
PROG Holdings – Net Earnings			24,000				28,000
PROG Holdings – Adjusted EBITDA			60,000				65,000
PROG Holdings – Diluted EPS			0.51				0.59
PROG Holdings – Diluted Non-GAAP EPS			0.62				0.70

Conference Call and Webcast

The Company has scheduled a live webcast and conference call for Wednesday, April 26th, 2023, at 8:30 A.M. ET to discuss its financial results for the first quarter of 2023. To access the live webcast, visit the Events and Presentations page of the Company’s Investor Relations website, https://investor.progholdings.com/.

About PROG Holdings, Inc.

PROG Holdings, Inc. (NYSE:PRG) is a fintech holding company headquartered in Salt Lake City, UT, that provides transparent and competitive payment options to consumers. The Company owns Progressive Leasing, a leading provider of e-commerce, app-based, and in-store point-of-sale lease-to-own solutions, Vive Financial, an omnichannel provider of second-look revolving credit products, and Four Technologies, a provider of Buy Now, Pay Later payment options through its platform, Four. More information on PROG Holdings’ companies can be found at https://www.progholdings.com.

Forward Looking Statements:

Statements in this news release regarding our business that are not historical facts are “forward-looking statements” that involve risks and uncertainties which could cause actual results to differ materially from those contained in the forward-looking statements. Such forward-looking statements generally can be identified by the use of forward-looking terminology, such as “continue”, “outlook”, “should”, and similar forward-looking terminology. These risks and uncertainties include factors such as (i) continued volatility and challenges in the macro environment and, in particular, the unfavorable effects on our business of the rapid increase in the rate of inflation currently being experienced in the economy, which has not been seen in more than forty years, significant increases in interest rates, and fears of a recession, and the impact of those headwinds on: (a) consumer confidence and customer demand for the merchandise that our POS partners sell; (b) our customers’ disposable income and their ability to make the lease and loan payments they owe the company; (c) the availability of consumer credit; (d) our labor costs; and (e) our overall financial performance and outlook; (ii) our businesses being subject to extensive laws and regulations, including laws and regulations unique to the industries in which our businesses operate, that may subject them to government investigations and significant monetary penalties and compliance-related burdens, as well as an increased focus by federal, state and local regulators on the industries within which our businesses operate, including with respect to consumer protection, customer privacy, third party and employee fraud and information security; (iii) deteriorating macroeconomic conditions resulting in the algorithms and other proprietary decisioning tools used in approving Progressive Leasing and Vive customers for leases and loans no longer being indicative of their ability to perform, which may limit the ability of those businesses to avoid lease and loan charge-offs or may result in their reserves being insufficient to cover actual losses; (iv) a large percentage of the company’s revenues being concentrated with several of Progressive Leasing’s key POS partners; (v) the risks that Progressive Leasing will be unable to attract new POS partners or retain and grow its business with its existing POS partners; (vi) Vive’s and Four’s business models differing significantly from Progressive Leasing’s, which creates specific and unique risks for the Vive and Four businesses, including Vive’s reliance on two bank partners to issue its credit products and Vive’s and Four’s exposure to the unique regulatory risks associated with the laws and regulations that apply to their businesses; (vii) the risks that interruptions, inventory shortages and other factors affecting the supply chains of our retail partners having a material and adverse effect on several aspects of our performance; (viii) the impact of the COVID-19 pandemic, including new variants, subvariants or additional waves of COVID-19 infections, on: (a) demand for the lease-to-own products offered by our Progressive Leasing segment, (b) Progressive Leasing’s point-of-sale or “POS” partners, and Vive’s and Four’s merchant partners, (c) Progressive Leasing’s, Vive’s and Four’s customers, including their ability and willingness to satisfy their obligations under their lease agreements and loan agreements, (d) Progressive Leasing’s POS partners being able to obtain the merchandise their customers need or desire, (e) our employees and labor needs, including our ability to adequately staff our operations, (f) our financial and operational performance, and (g) our liquidity; (ix) changes in the enforcement of existing laws and regulations and the adoption of new laws and regulations that may unfavorably impact our businesses; (x) the risk that our capital allocation strategy, including our current share repurchase program, will not be effective at enhancing shareholder value; (xi) our cost reduction initiatives may not be adequate or may have unintended consequences that could be disruptive to our businesses; (xii) the loss of the services of our key executives or our inability to attract and retain key talent, particularly with respect to our information technology function, may have a material adverse impact on our operations; (xiii) increased competition from traditional and virtual lease-to-own competitors and also from competitors of our Vive segment; (xiv) adverse consequences to Progressive Leasing, including additional monetary penalties and/or injunctive relief, if it fails to comply with the terms of its 2020 settlement with the FTC, as well as the possibility of other regulatory authorities and third parties bringing legal actions against Progressive Leasing based on the same allegations that led to the FTC settlement; (xv) our increased level of indebtedness; (xvi) our ability to protect confidential, proprietary, or sensitive information, including the personal and confidential information of our customers, which may be adversely affected by cyber-attacks, employee or other internal misconduct, computer viruses, electronic break-ins or “hacking”, or similar disruptions, any one of which could have a material adverse impact on our results of operations, financial condition, and prospects; and (xvii) the other risks and uncertainties discussed under “Risk Factors” in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022, filed with the SEC on February 22, 2023. Statements in this press release that are “forward-looking” include without limitation statements about: (i) the strength of our margins and our ability to protect them; (ii) our ability to invest in initiatives to support our longer-term growth, and the outcome of those growth initiatives; and (iii) our revised full year outlook and our second-quarter outlook. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Except as required by law, the Company undertakes no obligation to update these forward-looking statements to reflect subsequent events or circumstances after the date of this press release.

PROG Holdings, Inc.
Consolidated Statements of Earnings
(In thousands, except per share data)
		(Unaudited) Three Months Ended
		March 31,
		2023				2022
REVENUES:
Lease Revenues and Fees		$	637,082			$	692,914
Interest and Fees on Loans Receivable			18,058				17,550
			655,140				710,464
COSTS AND EXPENSES:
Depreciation of Lease Merchandise			435,439				497,011
Provision for Lease Merchandise Write-offs			38,364				50,330
Operating Expenses			105,259				113,658
			579,062				660,999
OPERATING PROFIT			76,078				49,465
Interest Expense, Net			(8,491	)			(9,629	)
EARNINGS BEFORE INCOME TAX EXPENSE			67,587				39,836
INCOME TAX EXPENSE			19,554				12,701
NET EARNINGS		$	48,033			$	27,135
EARNINGS PER SHARE
Basic		$	1.00			$	0.49
Assuming Dilution		$	1.00			$	0.49
WEIGHTED AVERAGE SHARES OUTSTANDING:
Basic			47,854				55,402
Assuming Dilution			48,139				55,706

PROG Holdings, Inc.
Consolidated Balance Sheets
(In thousands, except share data)
		(Unaudited)
		March 31, 2023				December 31, 2022
ASSETS:
Cash and Cash Equivalents		$	249,844			$	131,880
Accounts Receivable (net of allowances of $65,170 in 2023 and $69,264 in 2022)			55,819				64,521
Lease Merchandise (net of accumulated depreciation and allowances of $454,444 in 2023 and $467,355 in 2022)			571,668				648,043
Loans Receivable (net of allowances and unamortized fees of $50,149 in 2023 and $53,635 in 2022)			122,352				130,966
Property and Equipment, Net			23,253				23,852
Operating Lease Right-of-Use Assets			11,234				11,875
Goodwill			296,061				296,061
Other Intangibles, Net			108,688				114,411
Income Tax Receivable			14,054				18,864
Deferred Income Tax Assets			2,955				2,955
Prepaid Expenses and Other Assets			53,658				48,481
Total Assets		$	1,509,586			$	1,491,909
LIABILITIES & SHAREHOLDERS’ EQUITY:
Accounts Payable and Accrued Expenses		$	152,379			$	135,025
Deferred Income Tax Liabilities			126,901				137,261
Customer Deposits and Advance Payments			34,481				37,074
Operating Lease Liabilities			19,742				21,122
Debt			591,291				590,966
Total Liabilities			924,794				921,448
SHAREHOLDERS’ EQUITY:
Common Stock, Par Value $0.50 Per Share: Authorized: 225,000,000 Shares at March 31, 2023 and December 31, 2022; Shares Issued: 82,078,654 at March 31, 2023 and December 31, 2022			41,039				41,039
Additional Paid-in Capital			337,103				338,814
Retained Earnings			1,202,268				1,154,235
			1,580,410				1,534,088
Less: Treasury Shares at Cost
Common Stock: 35,336,539 Shares at March 31, 2023 and 34,044,102 at December 31, 2022			(995,618	)			(963,627	)
Total Shareholders’ Equity			584,792				570,461
Total Liabilities & Shareholders’ Equity		$	1,509,586			$	1,491,909

PROG Holdings, Inc.
Consolidated Statements of Cash Flows
(In thousands)
		(Unaudited) Three Months Ended March 31,
		2023				2022
OPERATING ACTIVITIES:
Net Earnings		$	48,033			$	27,135
Adjustments to Reconcile Net Earnings to Cash Provided by Operating Activities:
Depreciation of Lease Merchandise			435,439				497,011
Other Depreciation and Amortization			7,979				8,482
Provisions for Accounts Receivable and Loan Losses			78,665				96,230
Stock-Based Compensation			5,415				6,623
Deferred Income Taxes			(10,360	)			6,100
Non-Cash Lease Expense			(739	)			274
Other Changes, Net			(814	)			(1,709	)
Changes in Operating Assets and Liabilities, Net of Effects of Acquisitions:
Additions to Lease Merchandise			(399,289	)			(480,113	)
Book Value of Lease Merchandise Sold or Disposed			40,225				51,933
Accounts Receivable			(61,249	)			(94,743	)
Prepaid Expenses and Other Assets			(5,087	)			(9,395	)
Income Tax Receivable and Payable			26,295				841
Operating Lease Right-of-Use Assets and Liabilities			—				(556	)
Accounts Payable and Accrued Expenses			(4,501	)			(4,237	)
Customer Deposits and Advance Payments			(2,593	)			(5,577	)
Cash Provided by Operating Activities			157,419				98,299
INVESTING ACTIVITIES:
Investments in Loans Receivable			(43,045	)			(42,323	)
Proceeds from Loans Receivable			44,128				39,052
Outflows on Purchases of Property and Equipment			(1,678	)			(2,328	)
Proceeds from Property and Equipment			5				6
Proceeds from Acquisitions of Businesses			—				7
Cash Used in Investing Activities			(590	)			(5,586	)
FINANCING ACTIVITIES:
Acquisition of Treasury Stock			(36,472	)			(78,080	)
Tender Offer Shares Repurchased and Retired			—				199
Shares Withheld for Tax Payments			(2,393	)			(2,516	)
Debt Issuance Costs			—				1,535
Cash Used in Financing Activities			(38,865	)			(78,862	)
(Decrease) Increase in Cash and Cash Equivalents			117,964				13,851
Cash and Cash Equivalents at Beginning of Period			131,880				170,159
Cash and Cash Equivalents at End of Period		$	249,844			$	184,010
Net Cash Paid During the Period:
Interest Expense		$	268			$	185
Income Taxes		$	2,532			$	4,157

PROG Holdings, Inc.
Quarterly Revenues by Segment
(In thousands)
		(Unaudited)
		Three Months Ended
		March 31, 2023
		Progressive Leasing			Vive			Other			Consolidated Total
Lease Revenues and Fees		$	637,082		$	—		$	—		$	637,082
Interest and Fees on Loans Receivable			—			17,153			905			18,058
Total Revenues		$	637,082		$	17,153		$	905		$	655,140

		(Unaudited)
		Three Months Ended
		March 31, 2022
		Progressive Leasing			Vive			Other			Consolidated Total
Lease Revenues and Fees		$	692,914		$	—		$	—		$	692,914
Interest and Fees on Loans Receivable			—			17,116			434			17,550
Total Revenues		$	692,914		$	17,116		$	434		$	710,464

PROG Holdings, Inc.
Quarterly Revenues by Segment
(In thousands)
		(Unaudited)
		Three Months Ended March 31,
		2023			2022
Progressive Leasing		$	418,683		$	504,462
Vive			36,530			42,614
Other			13,607			7,086
Total		$	468,820		$	554,162

Use of Non-GAAP Financial Information:

Non-GAAP net earnings, non-GAAP diluted earnings per share, and adjusted EBITDA are supplemental measures of our performance that are not calculated in accordance with generally accepted accounting principles in the United States (“GAAP”). Non-GAAP net earnings and non-GAAP diluted earnings per share for the three months ended March 31, 2023, full year 2023 outlook and second quarter 2023 outlook exclude intangible amortization expense, restructuring expenses, regulatory insurance recoveries, and accrued interest on an uncertain tax position related to Progressive Leasing’s $175 million settlement with the FTC in 2020. Non-GAAP net earnings and non-GAAP diluted earnings per share for the three months ended March 31, 2022 exclude intangible amortization expense and accrued interest on an uncertain tax position related to Progressive Leasing’s $175 million settlement with the FTC in 2020. The amount for the after-tax non-GAAP adjustment, which is tax effected using our statutory tax rate, can be found in the reconciliation of net earnings and earnings per share assuming dilution to non-GAAP net earnings and earnings per share assuming dilution table in this press release.

The Adjusted EBITDA figures presented in this press release are calculated as the Company’s earnings before interest expense, net, depreciation on property and equipment, amortization of intangible assets and income taxes. Adjusted EBITDA for the three months ended March 31, 2023, full year 2023 outlook and second quarter 2023 outlook exclude stock-based compensation expense, restructuring expenses, and regulatory insurance recoveries. Adjusted EBITDA for the three months ended March 31, 2022 exclude stock-based compensation expense. The amounts for these pre-tax non-GAAP adjustments can be found in the three segment EBITDA tables in this press release.

Management believes that non-GAAP net earnings, non-GAAP diluted earnings per share, and adjusted EBITDA provide relevant and useful information, and are widely used by analysts, investors and competitors in our industry as well as by our management in assessing both consolidated and business unit performance.

Non-GAAP net earnings, non-GAAP diluted earnings, and adjusted EBITDA provide management and investors with an understanding of the results from the primary operations of our business by excluding the effects of certain items that generally arose from larger, one-time transactions that are not reflective of the ordinary earnings activity of our operations or transactions that have variability and volatility of the amount. We believe the exclusion of stock-based compensation expense provides for a better comparison of our operating results with our peer companies as the calculations of stock-based compensation vary from period to period and company to company due to different valuation methodologies, subjective assumptions and the variety of award types. This measure may be useful to an investor in evaluating the underlying operating performance of our business.

Adjusted EBITDA also provides management and investors with an understanding of one aspect of earnings before the impact of investing and financing charges and income taxes. These measures may be useful to an investor in evaluating our operating performance because the measures:

• Are widely used by investors to measure a company’s operating performance without regard to items excluded from the calculation of such measure, which can vary substantially from company to company depending upon accounting methods, book value of assets, capital structure and the method by which assets were acquired, among other factors.
• Are used by rating agencies, lenders and other parties to evaluate our creditworthiness.
• Are used by our management for various purposes, including as a measure of performance of our operating entities and as a basis for strategic planning and forecasting.

Non-GAAP financial measures, however, should not be used as a substitute for, or considered superior to, measures of financial performance prepared in accordance with GAAP, such as the Company’s GAAP basis net earnings and diluted earnings per share and the GAAP revenues and earnings before income taxes of the Company’s segments, which are also presented in the press release. Further, we caution investors that amounts presented in accordance with our definitions of non-GAAP net earnings, non-GAAP diluted earnings per share, and adjusted EBITDA may not be comparable to similar measures disclosed by other companies, because not all companies and analysts calculate these measures in the same manner.

PROG Holdings, Inc.
Reconciliation of Net Earnings and Earnings Per Share Assuming Dilution to Non-GAAP Net Earnings and Earnings Per Share Assuming Dilution
(In thousands, except per share amounts)
		(Unaudited)
		Three Months Ended
		March 31,
		2023				2022
Net Earnings		$	48,033			$	27,135
Add: Intangible Amortization Expense			5,724				5,724
Add: Restructuring Expense			757				—
Less: Tax Impact of Adjustments(1)			(1,549	)			(1,488	)
Add: Accrued Interest on FTC Settlement Uncertain Tax Position			970				539
Less: Regulatory Insurance Recoveries			(525	)			—
Non-GAAP Net Earnings		$	53,410			$	31,910
Earnings Per Share Assuming Dilution		$	1.00			$	0.49
Add: Intangible Amortization Expense			0.12				0.10
Add: Restructuring Expense			0.02				—
Less: Tax Impact of Adjustments(1)			(0.03	)			(0.03	)
Add: Accrued Interest on FTC Settlement Uncertain Tax Position			0.02				0.01
Less: Regulatory Insurance Recoveries			(0.01	)			—
Non-GAAP Earnings Per Share Assuming Dilution(2)		$	1.11			$	0.57
Weighted Average Shares Outstanding Assuming Dilution			48,139				55,706

(1)		Adjustments are tax-effected using an assumed statutory tax rate of 26%.
(2)		In some cases, the sum of individual EPS amounts may not equal total non-GAAP EPS calculations due to rounding.

PROG Holdings, Inc.
Non-GAAP Financial Information
Quarterly Segment EBITDA
(In thousands)
		(Unaudited)
		Three Months Ended
		March 31, 2023
		Progressive Leasing				Vive				Other				Consolidated Total
Net Earnings														$	48,033
Income Tax Expense(1)															19,554
Earnings (Loss) Before Income Tax Expense		$	71,051			$	2,163			$	(5,627	)			67,587
Interest Expense			8,200				291				—				8,491
Depreciation			1,905				168				182				2,255
Amortization			5,421				—				303				5,724
EBITDA			86,577				2,622				(5,142	)			84,057
Stock-Based Compensation			3,553				288				1,574				5,415
Restructuring Expense			757				—				—				757
Regulatory Insurance Recoveries			(525	)			—				—				(525	)
Adjusted EBITDA		$	90,362			$	2,910			$	(3,568	)		$	89,704

(1)		Taxes are calculated on a consolidated basis and are not identifiable by Company Segment.

		(Unaudited)
		Three Months Ended
		March 31, 2022
		Progressive Leasing				Vive				Other				Consolidated Total
Net Earnings														$	27,135
Income Tax Expense(1)															12,701
Earnings (Loss) Before Income Tax Expense		$	42,081			$	4,423			$	(6,668	)			39,836
Interest Expense			9,523				106				—				9,629
Depreciation			2,529				197				32				2,758
Amortization			5,421				—				303				5,724
EBITDA			59,554				4,726				(6,333	)			57,947
Stock-Based Compensation			3,958				88				2,577				6,623
Adjusted EBITDA		$	63,512			$	4,814			$	(3,756	)		$	64,570

(1)		Taxes are calculated on a consolidated basis and are not identifiable by Company Segment.

PROG Holdings, Inc.
Non-GAAP Financial Information
Reconciliation of Revised Full Year 2023 Outlook for Adjusted EBITDA
(In thousands)
		Fiscal Year 2023 Ranges
		Progressive Leasing		Vive		Other		Consolidated Total
Estimated Net Earnings								$99,500 – $112,500
Income Tax Expense(1)								45,000 – 49,000
Projected Earnings Before Income Tax Expense		$123,000 – $131,000		$2,500 – $4,500		$(26,000) – $(23,000)		144,500 – 161,500
Interest Expense		32,000		1,000		—		33,000
Depreciation		9,000		1,000		1,500		11,500
Amortization		21,000		—		1,500		22,500
Projected EBITDA		230,000 – 242,000		4,500 – 6,500		(23,000) – (20,000)		211,500 – 228,500
Stock-Based Compensation		18,000 – 19,000		500 – 1,500		5,000 – 6,000		23,500 – 26,500
Projected Adjusted EBITDA		$248,000 – $261,000		$5,000 – $8,000		$(18,000) – $(14,000)		$235,000 – $255,000

(1)		Taxes are calculated on a consolidated basis and are not identifiable by Company Segment.

PROG Holdings, Inc.
Non-GAAP Financial Information
Reconciliation of Previous Full Year 2023 Outlook for Adjusted EBITDA
(In thousands)
		Fiscal Year 2023 Ranges
		Progressive Leasing		Vive		Other		Consolidated Total
Estimated Net Earnings								$82,500 – $103,500
Income Tax Expense(1)								41,000 – 45,000
Projected Earnings Before Income Tax Expense		$147,000 – $167,000		$2,500 – $4,500		$(26,000) – $(23,000)		123,500 – 148,500
Interest Expense		34,000		1,000		—		35,000
Depreciation		8,000		1,000		1,500		10,500
Amortization		22,000		—		1,500		23,500
Projected EBITDA		211,000 – 231,000		4,500 – 6,500		(23,000) – (20,000)		192,500 – 217,500
Stock-Based Compensation		17,000 – 20,000		500 – 1,500		5,000 – 6,000		22,500 – 27,500
Projected Adjusted EBITDA		$228,000 – $251,000		$5,000 – $8,000		$(18,000) – $(14,000)		$215,000 – $245,000

(1)		Taxes are calculated on a consolidated basis and are not identifiable by Company Segment.

PROG Holdings, Inc.
Non-GAAP Financial Information
Reconciliation of the Three Months Ended June 30, 2023 Outlook for Adjusted EBITDA
(In thousands)
		Three Months Ended June 30, 2023 Outlook
		Consolidated Total
Estimated Net Earnings		$24,000 – $28,000
Income Tax Expense(1)		11,000 – 12,000
Projected Earnings Before Income Tax Expense		35,000 – 40,000
Interest Expense		9,000
Depreciation		3,000
Amortization		6,000
Projected EBITDA		53,000 – 58,000
Stock-Based Compensation		7,000
Projected Adjusted EBITDA		$60,000 – $65,000

(1)		Taxes are calculated on a consolidated basis and are not identifiable by Company segments.

PROG Holdings, Inc.
Reconciliation of Revised Full Year 2023 Outlook for Earnings Per Share
Assuming Dilution to Non-GAAP Earnings Per Share Assuming Dilution
		Full Year 2023 Range
		Low				High
Projected Earnings Per Share Assuming Dilution		$	2.09			$	2.37
Add: Projected Intangible Amortization Expense			0.47				0.47
Add: Projected Interest on FTC Settlement Uncertain Tax Position			0.06				0.06
Subtract: Tax Effect on Non-GAAP Adjustments(1)			(0.12	)			(0.12	)
Projected Non-GAAP Earnings Per Share Assuming Dilution(2)		$	2.50			$	2.77

(1)		Adjustments are tax-effected using an assumed statutory tax rate of 26%.
(2)		In some cases, the sum of individual EPS amounts may not equal total non-GAAP EPS calculations due to rounding.

PROG Holdings, Inc.
Reconciliation of Previous Full Year 2023 Outlook for Earnings Per Share
Assuming Dilution to Non-GAAP Earnings Per Share Assuming Dilution
		Full Year 2023 Range
		Low				High
Projected Earnings Per Share Assuming Dilution		$	1.69			$	2.12
Add: Projected Intangible Amortization Expense			0.48				0.48
Add: Projected Interest on FTC Settlement Uncertain Tax Position			0.06				0.06
Subtract: Tax Effect on Non-GAAP Adjustments(1)			(0.13	)			(0.13	)
Projected Non-GAAP Earnings Per Share Assuming Dilution(2)		$	2.11			$	2.54

(1)		Adjustments are tax-effected using an assumed statutory tax rate of 26%.
(2)		In some cases, the sum of individual EPS amounts may not equal total non-GAAP EPS calculations due to rounding.

PROG Holdings, Inc.
Reconciliation of the Three Months Ended June 30, 2023 Outlook for Earnings Per Share
Assuming Dilution to Non-GAAP Earnings Per Share Assuming Dilution
		Three Months Ended June 30, 2023
		Low				High
Projected Earnings Per Share Assuming Dilution		$	0.51			$	0.59
Add: Projected Intangible Amortization Expense			0.13				0.13
Add: Projected Interest on FTC Settlement Uncertain Tax Position			0.02				0.02
Subtract: Tax Effect on Non-GAAP Adjustments(1)			(0.03	)			(0.03	)
Projected Non-GAAP Earnings Per Share Assuming Dilution(2)		$	0.62			$	0.70

(1)		Adjustments are tax-effected using an assumed statutory tax rate of 26%.
(2)		In some cases, the sum of individual EPS amounts may not equal total non-GAAP EPS calculations due to rounding.

 

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Investor Contact

John Baugh, CFA

Vice President, Investor Relations

[email protected]

Media Contact

Mark Delcorps

Director, Corporate Communications

[email protected]

KEYWORDS: Utah United States North America

INDUSTRY KEYWORDS: Banking Online Retail Technology Professional Services Payments Electronic Commerce Retail Software Internet Fintech Finance

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New Research from Tide and WWF Helps Unlock the Secrets to Sustainable Behavior Change

Using Washing Laundry on Cold as a Model, Tide and WWF Explore How to Advance Eco-Habits with Consumers

CINCINNATI–(BUSINESS WIRE)–
Tide and World Wildlife Fund (WWF) have joined forces to advance the science of eco-behavior change via a new research project – undertaken as part of an ongoing collaborative effort to make washing laundry in cold water the next broadly adopted eco-habit as an important step to reduce greenhouse gas emissions. Tide and WWF believe the insights gathered from their work together on laundry are applicable for all brands seeking to partner with consumers to create positive environmental impact. Their goal is to educate people and establish washing laundry in cold water as the accepted social norm.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20230426005305/en/

Tide and WWF engaged behavioral science consultancy, Behavioral Insights Team (BIT), to undertake a comprehensive review of existing published research and case studies on sustainable habits, including relevant consumer tests from P&G and best practices in climate change impact from WWF.

As brands and organizations increasingly seek to unlock habit change to enable widescale positive environmental benefits, the findings from the Tide and WWF project identified the importance of applying behavioral frameworks and systems thinking, such as:

– Enabling new consumer habits by creating the capability to act either physically or psychologically, the opportunity to act via cues or feelings of social acceptance, and the motivation to act through alignment with intrinsic values or delivery of extrinsic rewards; and

– Introducing interventions that are ideally a combination of easy (requires minimal effort), attractive (offers worthwhile incentives), social (makes one feel part of a group) and timely (uses relevant moments and offers a clear timeline for benefits).

“For brands like Tide and many others, consumer use often makes up a significant portion of a product’s carbon footprint,” said Marty Spitzer, senior director of climate and renewable energy, WWF. “We’ve seen how small actions can add up to big impact, especially when addressing the use phase. Sharing these research findings and related cold water case study, will provide useful insights and guidance for all brands and consumers taking on the behavior change journey.”

“When Tide set a goal for 3 out of 4 washes to be done on cold by 2030, we knew we’d need partners to help us drive the change,” said Todd Cline, Senior Director of Sustainability, North America Fabric Care, Procter & Gamble. “Within the first year of setting our cold water ambition we advanced a quarter of the way toward our goal – a promising signal that consumers were interested in making this shift. Now, we’ve used the proven frameworks that emerged from our work with WWF and BIT to inform all our #TurnToCold wash efforts across the business and to identify several key levers we’ll aim to pull at once to move consumers further into action.”

Through the program, Tide developed an “ecosystem” to advance the habit of washing laundry on cold. The map focuses on increasing enablers and reducing barriers, such as encouraging cold as the default setting on washing machines, introducing disruptions at the point of laundry and helping make cold water washing a social norm through continued brand marketing and communications campaigns.

Washing in cold saves up to 90% of the energy in every wash cycle¹ and can save Americans up to $150 a year². Tide estimates that a decade of Americans washing the majority (3 in 4) of their loads in cold would save enough electricity to power all of New York City and San Francisco for over a year³. That’s the equivalent of 27 million metric tons (MT) of GHG emissions⁴ or nearly ten times that of P&G’s global yearly operations.⁵

As one of America’s most trusted laundry detergents, Tide has helped lead the charge to switch to cold water washing for more than 20 years with breakthrough innovations like enzymes specifically optimized for performance in lower wash temperatures. Efforts to drive cold water adoption were advanced by the announcement of Tide’s 2030 Ambition, a set of broad-reaching sustainability commitments as part of Tide’s ongoing journey to decarbonize laundry, including a goal to cut GHG emissions by half in Tide’s manufacturing plants by 2030.

For more information on cold water washing and Tide’s collaborative journey to make cold wash the next broadly adopted eco-habit, please visit Tide.com.

For the full report, please see www.worldwildlife.org/publications/encouraging-us-households-to-wash-laundry-in-cold-water.

About Procter & Gamble

P&G serves consumers around the world with one of the strongest portfolios of trusted, quality, leadership brands, including Always®, Ambi Pur®, Ariel®, Bounty®, Charmin®, Crest®, Dawn®, Downy®, Fairy®, Febreze®, Gain®, Gillette®, Head & Shoulders®, Lenor®, Olay®, Oral-B®, Pampers®, Pantene®, SK-II®, Tide®, Vicks®, and Whisper®. The P&G community includes operations in approximately 70 countries worldwide. Please visit http://www.pg.com for the latest news and information about P&G and its brands. For other P&G news, visit us at www.pg.com/news.

¹ On average, when switching from hot to cold water

² In non-HE washer, 8 loads/wk from hot to cold, avg. electricity rate (13.3c/kWh)

³ According to reported city-wide annual electricity usage by New York Building Congress and the California Energy Commission

⁴ Over the decade, 2020-2030

⁵ As outlined in P&G’s Climate Action Transition Plan

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Chloe Kivestu

[email protected]

Bilgehan UyarErol

[email protected]

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Washing on cold saves up to 90% of energy in every wash cycle, making it an impactful eco-habit. (Photo: Business Wire)

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(Graphic: Business Wire)

Cyngn and Global Mining Vehicle OEM Continue to Make Progress in Ongoing AV Commercialization Project

MENLO PARK, Calif.–(BUSINESS WIRE)–
Cyngn, Inc. (the “Company” or “Cyngn”) (Nasdaq: CYN), a developer of AI-powered autonomous driving solutions for industrial applications, today announced that it has successfully completed Phase 2 of its multi-phase project with a global, large-cap company in the heavy machinery industry. The project focuses on implementing autonomous vehicle (AV) technology in the mining domain. Cyngn has achieved state-of-the-art results with elements of its AV technology that are not currently used by the mining industry but can introduce paradigm-shifting automation capabilities, primarily by increasing the uptime of automated mining vehicles. These novel results were achieved in the field, and the technology is expected to evolve into a commercial product after the project-based work is done.

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Cyngn’s collaboration with this global company, whose name is being withheld for competitive reasons, spearheads the introduction of leading-edge AV and artificial intelligence solutions into the client’s industrial vehicles, including the opportunity to address vehicles already in commercial use.

The mining industry is one of the most hazardous industries, with workers facing harsh, often remote work conditions with a higher risk of serious injury than workers in other industries. By leveraging the latest in autonomous industrial vehicle technology, mining companies can ensure the safety of their workers while increasing productivity and efficiency. With the successful completion of the previous two phases of this multi-phase project, Cyngn’s DriveMod technology has already proven its ability to address multiple vehicles and applications in the mining sector and demonstrated the effectiveness of the technology.

The continued development of Cyngn’s technology through this multi-phase project is expected to yield advancements to the fundamental capabilities of Cyngn’s Enterprise Autonomy Suite (EAS) that will benefit the Company’s already commercially available autonomous stockchasers, autonomous forklifts (in development, under a separate customer contract), and all future autonomous vehicles powered by DriveMod.

Cyngn expects to complete Phase 3 of the project by the end of summer 2023, and further announcements may be made at that time.

About Cyngn

Cyngn develops and deploys scalable, differentiated autonomous vehicle technology for industrial organizations. Cyngn’s self-driving solutions allow existing workforces to increase productivity and efficiency. The Company addresses significant challenges facing industrial organizations today, such as labor shortages, costly safety incidents, and increased consumer demand for eCommerce.

Cyngn’s DriveMod Kit can be installed on new industrial vehicles at end of line or via retrofit, empowering customers to seamlessly adopt self-driving technology into their operations without high upfront costs or the need to completely replace existing vehicle investments.

Cyngn’s flagship product, its Enterprise Autonomy Suite, includes DriveMod (autonomous vehicle system), Cyngn Insight (customer-facing suite of AV fleet management, teleoperation, and analytics tools), and Cyngn Evolve (internal toolkit that enables Cyngn to leverage data from the field for artificial intelligence, simulation, and modeling).

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statement that is not historical in nature is a forward-looking statement and may be identified by the use of words and phrases such as “expects,” “anticipates,” “believes,” “will,” “will likely result,” “will continue,” “plans to,” “potential,” “promising,” and similar expressions. This press release also includes forward-looking statements with respect to Cyngn’s expectations of the efficiency of its solutions, the challenges it believes its solutions can address and the cost effectiveness of its solutions. These statements are based on management’s current expectations and beliefs and are subject to a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those described in the forward-looking statements, including the risk factors described from time to time in the Company’s reports to the SEC. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. Cyngn undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Readers are cautioned that it is not possible to predict or identify all the risks, uncertainties and other factors that may affect future results.

Find Cyngn on:

Website: https://cyngn.com

Twitter: http://twitter.com/cyngn

LinkedIn: https://www.linkedin.com/company/cyngn

YouTube: https://www.youtube.com/@cyngnhq

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Media Contact: Bill Ong, [email protected]

Investor Contact: Ben Mimmack, [email protected]

KEYWORDS: California United States North America

INDUSTRY KEYWORDS: Natural Resources Autonomous Driving/Vehicles Automotive Artificial Intelligence Technology Automotive Manufacturing Mining/Minerals Manufacturing

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Cyngn Autonomous Industrial Vehicle Mining Application (Photo: Business Wire)

First Foundation Inc. Appoints Gabriel Vazquez to Board of Directors

Appointment further enhances Board independence and diversity

DALLAS–(BUSINESS WIRE)–
First Foundation Inc. (NASDAQ: FFWM) (“First Foundation” or the “Company”), a financial services company with two wholly-owned operating subsidiaries, First Foundation Advisors and First Foundation Bank, announced today that Gabriel (“Gabe”) Vazquez has been appointed an independent director to the Company’s Board of Directors (“Board”). Mr. Vazquez was concurrently appointed to the Board of Directors of First Foundation Bank.

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With the addition of Mr. Vazquez, the Board is now comprised of ten directors, seven of whom are independent with 30 percent identifying as diverse based on gender or ethnicity. Mr. Vazquez will stand for election at the Company’s 2023 Annual Meeting of Stockholders. The Board has a focus on continued refreshment that brings fresh perspective, diverse views, and experienced insight to benefit stockholders.

“I am pleased to welcome Gabe to the Board of First Foundation,” said Max Briggs, Lead Independent Director. “His background as a senior leader in a large, highly regulated and publicly-traded business makes him a strong addition to our Board. Together with Gabe, our Board has a compelling set of knowledge and experience relevant to the banking industry and our clients, which will allow the Board to support management in creating the right strategy for stockholder value creation.”

“Gabe brings exceptional legal, financial and operating acumen to the Board,” said Scott F. Kavanaugh, President and CEO. “His knowledge and executive experience will be instrumental as we scale our business, navigate risks and remain the regional bank of choice for our clients in today’s dynamic market.”

“I look forward to joining First Foundation’s Board and working closely with the Company’s management team and Board members to help drive the acceleration of critical business initiatives during an incredibly important time for the banking sector and the economy,” said Mr. Vazquez.

Mr. Vazquez, age 45, is the Vice President and Associate General Counsel for Operations for Vistra Corp. (“Vistra”) (NYSE: VST), a leading Fortune 500 integrated power company based in Irving, Texas, a position he has held since 2016. In addition to managing and supporting the legal operations of Vistra and its national retail energy businesses, Mr. Vazquez oversees the legal department’s operations (including fiscal reporting and department project planning), and also facilitates the execution of Vistra’s enterprise crisis management program. Prior to his current role, Mr. Vazquez served as general counsel for TXU Energy, a wholly-owned subsidiary of Vistra, from 2008 to 2016. He was previously a corporate attorney for Michaels Stores, Inc. and was in private practice with the law firm of Gardere Wynne, which has since merged with Foley & Lardner LLP.

A Dallas native, Mr. Vazquez received his undergraduate degree from Southern Methodist University and his law degree from Southern Methodist University’s Dedman School of Law, where he was a Sarah T. Hughes Fellow. He serves on the Board of Trustees and on the Executive Committee of the Dallas Bar Foundation and as an Executive Board Member at Southern Methodist University’s Dedman School of Law. Mr. Vazquez also serves on the non-profit board of the Jesuit College Preparatory School of Dallas Foundation Inc. as a trustee and as a member of the Development Committee, and he is president of the Alumni Board.

About First Foundation

First Foundation Inc. (NASDAQ: FFWM) and its subsidiaries offer personal banking, business banking, and private wealth management services, including investment, trust, insurance, and philanthropy services. This comprehensive platform of financial services is designed to help clients at any stage in their financial journey. The broad range of financial products and services offered by First Foundation are more consistent with those offered by larger financial institutions, while its high level of personalized service, accessibility, and responsiveness to clients is more aligned with community banks and boutique wealth management firms. This combination of an integrated platform of comprehensive financial products and personalized service differentiates First Foundation from many of its competitors and has contributed to the growth of its client base and business. Learn more at firstfoundationinc.com or connect with us on LinkedIn and Twitter.

Forward-Looking Statements

This press release includes forward-looking statements within the meaning of the “Safe-Harbor” provisions of the Private Securities Litigation Reform Act of 1995, including forward-looking statements regarding our expectations and beliefs about our future financial performance and financial condition, as well as trends in our business and markets. Forward-looking statements often include words such as “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate,” “project,” “outlook,” or words of similar meaning, or future or conditional verbs such as “will,” “would,” “should,” “could,” or “may.” The forward-looking statements in this press release are based on current information and on assumptions that we make about future events and circumstances that are subject to a number of risks and uncertainties that are often difficult to predict and beyond our control. As a result of those risks and uncertainties, our actual financial results in the future could differ, possibly materially, from those expressed in or implied by the forward-looking statements contained in this report and could cause us to make changes to our future plans. Those risks and uncertainties include, but are not limited to, the risk of incurring credit losses, which is an inherent risk of the banking business; the quality and quantity of our deposits; adverse developments in the financial services industry generally such as the recent bank failures and any related impact on depositor behavior or investor sentiment; risks related to the sufficiency of liquidity; the negative impacts and disruptions resulting from the COVID-19 pandemic on our colleagues, clients, the communities we serve and the domestic and global economy, which may have an adverse effect on our business, financial position and results of operations; the risk that we will not be able to continue our internal growth rate; the performance of loans currently on deferral following the expiration of the respective deferral periods; the risk that we will not be able to access the securitization market on favorable terms or at all; changes in general economic conditions, either nationally or locally in the areas in which we conduct or will conduct our business; risks associated with changes in interest rates, which could adversely affect our interest income and interest rate margins and, therefore, our future operating results; the risk that the performance of our investment management business or of the equity and bond markets could lead clients to move their funds from or close their investment accounts with us, which would reduce our assets under management and adversely affect our operating results; negative impacts of news or analyst reports about us or the financial services industry; risks associated with proxy contests and other actions of activist stockholders, which may cause us to incur significant expense, cause disruption to our business and impact our stock price; the risk that we may be unable or that our board of directors may determine that it is inadvisable to pay future dividends at historic levels or at all; risks associated with changes in income tax laws and regulations; and risks associated with seeking new client relationships and maintaining existing client relationships.

Additional information regarding these and other risks and uncertainties to which our business and future financial performance are subject is contained in our 2022 Annual Report on Form 10-K for the fiscal year ended December 31, 2022, that we filed with the SEC on February 28, 2023, and other documents we file with the SEC from time to time. We urge readers of this press release to review those reports and other documents we file with the SEC from time to time. Also, our actual financial results in the future may differ from those currently expected due to additional risks and uncertainties of which we are not currently aware or which we do not currently view as, but in the future may become, material to our business or operating results. Due to these and other possible uncertainties and risks, readers are cautioned not to place undue reliance on the forward-looking statements contained in this press release, which speak only as of today’s date, or to make predictions based solely on historical financial performance. We also disclaim any obligation to update forward-looking statements contained in this press release or in the above-referenced reports, whether as a result of new information, future events or otherwise, except as may be required by law or NASDAQ rules.

Important Additional Information

The Company, its directors and certain of its executive officers are participants in the solicitation of proxies from the Company’s stockholders in connection with its upcoming 2023 Annual Meeting. The Company intends to file a definitive proxy statement and a BLUE proxy card with the SEC in connection with any such solicitation of proxies from the Company’s stockholders. STOCKHOLDERS OF THE COMPANY ARE STRONGLY ENCOURAGED TO READ SUCH PROXY STATEMENT, ACCOMPANYING BLUE PROXY CARD AND ALL OTHER DOCUMENTS FILED WITH THE SEC CAREFULLY AND IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE AS THEY WILL CONTAIN IMPORTANT INFORMATION. The Company’s definitive proxy statement for the 2022 Annual Meeting of Stockholders contains information regarding the direct and indirect interests, by security holdings or otherwise, of the Company’s directors and executive officers in the Company’s securities. Information regarding subsequent changes to their holdings of the Company’s securities can be found in the SEC filings on Forms 3, 4 and 5, which are available on the Company’s website at www.ff-inc.com or through the SEC’s website at www.sec.gov. Information can also be found in the Company’s other SEC filings, including its Annual Report on Form 10-K for the year ended December 31, 2022. Updated information regarding the identity of potential participants and their direct or indirect interests, by security holdings or otherwise, will be set forth in the definitive proxy statement and other materials to be filed with the SEC in connection with the 2023 Annual Meeting. Stockholders will be able to obtain the definitive proxy statement, any amendments or supplements to the proxy statement and other documents filed by the Company with the SEC at no charge at the SEC’s website at www.sec.gov. Copies will also be available at no charge on the Company’s website at www.ff-inc.com.

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Investor and Media Contact:

Shannon Wherry

Director of Corporate Communications

[email protected]

(469) 638-9642

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Gabe Vazquez was named to the Board of Directors for First Foundation. (Photo: Business Wire)

Healthcare Services Group, Inc. Reports Q1 2023 Results

Continues Positive Business Momentum, Adjusted EBITDA up 18%

BENSALEM, Pa.–(BUSINESS WIRE)–
Healthcare Services Group, Inc. (NASDAQ:HCSG) (the “Company”) reported for the three months ended March 31, 2023 revenue of $417.2 million, GAAP net income of $12.7 million, or $0.17 per basic and diluted common share, and adjusted EBITDA of $27.5 million.

Q1 Results

• Revenue for the quarter was reported at $417.2 million, with housekeeping & laundry and dining & nutrition segment revenues of $193.5 million and $223.7 million, respectively.

• Housekeeping & laundry and dining & nutrition segment margins were 10.4% and 6.6%, respectively.

• Direct cost of services was reported at $361.0 million, or 86.5%. Direct cost included a $6.9 million increase in CECL AR reserves.

• Selling, general and administrative (“SG&A”) was reported at $40.0 million; after adjusting for the $1.5 million increase in deferred compensation, actual SG&A was $38.5 million, or 9.2%.

• The effective tax rate was 27.8%, which included discrete items specific to Q1. The Company expects a 2023 tax rate of 24% to 26%.

• Adjusted EBITDA was $27.5 million, an 18% increase over the prior year’s corresponding quarter.

• Cash flow used in operations for the quarter was $16.3 million and was impacted by a $21.2 million decrease in accrued payroll and a $20.6 million increase in accounts receivable related to the timing of cash collections. DSO for the quarter was 76 days.

Ted Wahl, Chief Executive Officer, stated, “We delivered strong operating results and service execution during the quarter, as our relentless focus on customer experience, systems adherence and regulatory compliance led to high quality and consistent outcomes for our client-partners. We successfully managed cost of services in line with our target of 86% and showed marked improvement in Q1 cash collections year over year in what has historically been our most challenging cash collections quarter. We also successfully exited the final tranche of facilities related to the 2022 contract modification initiative, providing a solid foundation for us to grow in the future.”

Mr. Wahl concluded, “Industry fundamentals continue to improve, and a stabilizing labor market and stronger reimbursement environment, especially at the state level, contributed to what has been a gradual occupancy recovery. Looking ahead, we are focused on executing on our strategic priorities to drive growth, and we remain confident in our ability to deliver long-term value to our shareholders.”

Conference Call and Upcoming Events

The Company will host a conference call on Wednesday, April 26, 2023, at 8:30 a.m. Eastern Time to discuss its results for the three months ended March 31, 2023. The call may be accessed via phone at 1 (888) 330-3451, Conference ID: 4431380. The call will be simultaneously webcast under the “Events & Presentations” section of the Investor Relations page on the Company’s website, www.hcsg.com. A replay of the webcast will also be available on the website for one year following the date of the earnings call.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This release and any schedules incorporated by reference into it may contain forward-looking statements within the meaning of federal securities laws, which are not historical facts but rather are based on current expectations, estimates and projections about our business and industry, and our beliefs and assumptions. Words such as “believes,” “anticipates,” “plans,” “expects,” “estimates,” “will,” “goal,” and similar expressions are intended to identify forward-looking statements. The inclusion of forward-looking statements should not be regarded as a representation by us that any of our plans will be achieved. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Such forward-looking information is also subject to various risks and uncertainties. Such risks and uncertainties include, but are not limited to, risks arising from our providing services to the healthcare industry and primarily providers of long-term care; the impact of and future effects of the COVID-19 pandemic or other potential pandemics; having a significant portion of our consolidated revenues contributed by one customer during the three months ended March 31, 2023; credit and collection risks associated with the healthcare industry; the impact of bank failures; our claims experience related to workers’ compensation and general liability insurance (including any litigation claims, enforcement actions, regulatory actions and investigations arising from personal injury and loss of life related to COVID-19); the effects of changes in, or interpretations of laws and regulations governing the healthcare industry, our workforce and services provided, including state and local regulations pertaining to the taxability of our services and other labor-related matters such as minimum wage increases; the Company’s expectations with respect to selling, general, and administrative expense; and the risk factors described in Part I of our Form 10-K for the fiscal year ended December 31, 2022 under “Government Regulation of Customers,” “Service Agreements and Collections,” and “Competition” and under Item 1A. “Risk Factors” in such Form 10-K.

These factors, in addition to delays in payments from customers and/or customers in bankruptcy, have resulted in, and could continue to result in, significant additional bad debts in the near future. Additionally, our operating results would be adversely affected by continued inflation particularly if increases in the costs of labor and labor-related costs, materials, supplies and equipment used in performing services (including the impact of potential tariffs and COVID-19) cannot be passed on to our customers.

In addition, we believe that to improve our financial performance we must continue to obtain service agreements with new customers, retain and provide new services to existing customers, achieve modest price increases on current service agreements with existing customers and/or maintain internal cost reduction strategies at our various operational levels. Furthermore, we believe that our ability to sustain the internal development of managerial personnel is an important factor impacting future operating results and the successful execution of our projected growth strategies. There can be no assurance that we will be successful in that regard.

USE OF NON-GAAP FINANCIAL INFORMATION

To supplement HCSG’s consolidated financial information, which are prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”), the Company believes that certain non-GAAP financial measures are useful in evaluating operating performance and comparing such performance to other companies.

The Company is presenting earnings before interest, taxes, depreciation and amortization (“EBITDA”), and excluding items impacting comparability (“Adjusted EBITDA”). We cannot provide a reconciliation of forward-looking EBITDA and Adjusted EBITDA margin measures to GAAP due to the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliation. The presentation of non-GAAP financial measures is not meant to be considered in isolation or as a substitute for financial statements prepared in accordance with GAAP.

HEALTHCARE SERVICES GROUP, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(in thousands, except per share data)
		For the Three Months Ended
		March 31,
		2023			2022
Revenues		$	417,230		$	426,811
Operating costs and expenses:
Costs of services provided			360,978			373,262
Selling, general and administrative			40,047			35,736
Income from operations			16,205			17,813
Other income (expense), net			1,351			(2,032	)
Income before income taxes			17,556			15,781
Income tax provision			4,872			4,452
Net income		$	12,684		$	11,329
Basic earnings per common share		$	0.17		$	0.15
Diluted earnings per common share		$	0.17		$	0.15
Basic weighted average number of common shares outstanding			74,497			74,326
Diluted weighted average number of common shares outstanding			74,518			74,333

HEALTHCARE SERVICES GROUP, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(in thousands)
	March 31, 2023			December 31, 2022
Cash and cash equivalents	$	16,153		$	26,279
Marketable securities, at fair value		95,985			95,200
Accounts and notes receivable, net		350,784			336,777
Other current assets		47,165			50,376
Total current assets		510,087			508,632
Property and equipment, net		23,400			22,975
Notes receivable — long-term		32,327			32,609
Goodwill		75,529			75,529
Other intangible assets, net		14,743			15,946
Deferred compensation funding		34,312			33,493
Other assets		28,735			29,150
Total assets	$	719,133		$	718,334
Accrued insurance claims — current	$	23,974		$	23,166
Other current liabilities		138,190			155,453
Total current liabilities		162,164			178,619
Accrued insurance claims — long-term		67,100			65,541
Deferred compensation liability — long-term		34,263			33,764
Lease liability — long-term		8,586			8,097
Other long term liabilities		6,448			6,141
Stockholders’ equity		440,572			426,172
Total liabilities and stockholders’ equity	$	719,133		$	718,334

HEALTHCARE SERVICES GROUP, INC.
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
(Unaudited)
(in thousands)
		For the three months ended March 31,
		2023			2022
Reconciliation of Net Income to EBITDA and Adjusted EBITDA
Net income		$	12,684		$	11,329
Income tax provision			4,872			4,452
Interest, net			102			(417	)
Depreciation & amortization			3,720			4,147
EBITDA		$	21,378		$	19,511
Share-based compensation			2,058			2,396
Gain/loss on deferred compensation, net			44			289
Bad debt expense adjustments(1)			4,035			1,108
Adjusted EBITDA		$	27,515		$	23,304
(1) The bad debt expense adjustment reflects the difference between GAAP bad debt expense (CECL) and historical write-offs as a percentage of revenues, both of which are based on the same seven year look-back period.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20230426005308/en/

Theodore Wahl

President and Chief Executive Officer

Matthew J. McKee

Chief Communications Officer

215-639-4274

[email protected]

KEYWORDS: Pennsylvania United States North America

INDUSTRY KEYWORDS: General Health Other Health Health Nursing Managed Care

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Performance Food Group Company to Host Webcast of Third-Quarter Fiscal 2023 Results

RICHMOND, Va.–(BUSINESS WIRE)–Performance Food Group Company (PFG) (NYSE:PFGC) will host a live audio webcast at 9 a.m. ET Wednesday, May 10, to discuss third-quarter fiscal 2023 financial results. PFG will issue a news release with those results at approximately 7 a.m. ET that same day.

George Holm, PFG Chairman & Chief Executive Officer, and Patrick Hatcher, Executive Vice President & Chief Financial Officer, will discuss the company’s third-quarter fiscal 2023 results and answer questions from the investment community and news media.

The webcast will be available in listen-only mode at investors.pfgc.com. Pre-event registration is necessary. An archived copy of the webcast will be available later that same day.

About Performance Food Group Company

Performance Food Group is an industry leader and one of the largest food and foodservice distribution companies in North America with more than 150 locations. Founded and headquartered in Richmond, Virginia, PFG and our family of companies market and deliver quality food and related products to over 300,000 locations including independent and chain restaurants; businesses, schools and healthcare facilities; vending and office coffee service distributors; and big box retailers, theaters and convenience stores. PFG’s success as a Fortune 200 company is achieved through our more than 35,000 dedicated associates committed to building strong relationships with the valued customers, suppliers and communities we serve. To learn more about PFG, including how you can join our team, visit pfgc.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230426005378/en/

Investors:

Bill Marshall

Vice President, Investor Relations

(804) 287-8108

[email protected]

Media:

Scott Golden

Director, Communications & Engagement

(804) 484-7999

[email protected]

KEYWORDS: Virginia United States North America

INDUSTRY KEYWORDS: Trucking Discount/Variety Transport Convenience Store Restaurant/Bar Food/Beverage Logistics/Supply Chain Management Retail Supply Chain Management

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Rockwell Automation to Present at Oppenheimer 18th Annual Industrial Growth Conference

MILWAUKEE–(BUSINESS WIRE)–
Rockwell Automation, Inc. (NYSE: ROK) SVP and Chief Financial Officer, Nick Gangestad, will present virtually at the Oppenheimer 18th Annual Industrial Growth Conference on Wednesday, May 10.

The fireside chat will be webcast beginning at approximately 11:00 a.m. CDT and will be available on the Rockwell Automation Investor Relations website at www.rockwellautomation.com/en-us/investors.html.

About Rockwell Automation

Rockwell Automation, Inc. (NYSE: ROK), is a global leader in industrial automation and digital transformation. We connect the imaginations of people with the potential of technology to expand what is humanly possible, making the world more productive and more sustainable. Headquartered in Milwaukee, Wisconsin, Rockwell Automation employs approximately 26,000 problem solvers dedicated to our customers in more than 100 countries. To learn more about how we are bringing the Connected Enterprise to life across industrial enterprises, visit www.rockwellautomation.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230426005302/en/

Aijana Zellner

Head of Investor Relations and Market Strategy

+1 414-382-8510

[email protected]

Ed Moreland

Head of Government Affairs and External Communications

+1 571-296-0391

[email protected]

KEYWORDS: Wisconsin United States North America

INDUSTRY KEYWORDS: Mobile/Wireless Technology Engineering Software Manufacturing Networks Electronic Design Automation Robotics Data Management IOT (Internet of Things)

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Resilience Demonstrates Lower Cost of Perfusion Bioreactor Process Using 908 Devices’ REBEL At-line Analyzer

BOSTON–(BUSINESS WIRE)–908 Devices Inc., (Nasdaq: MASS), a pioneer of purpose-built handheld and desktop devices for chemical and biochemical analysis, announced that National Resilience, Inc. (Resilience), a technology-focused biomanufacturing company, has adopted REBEL at-line media analyzers in their process development to inform and optimize cell culture feed strategies and media design. REBEL provides insights into cell metabolism to enable Resilience process engineers to measure spent media samples to monitor amino acid depletion during a monoclonal antibody perfusion process. Resilience demonstrated, using REBEL, a 50% increase in titer while reducing cost of goods by adding back only the nutrients the cells have depleted.

“Data from the REBEL enables our teams to improve the speed of development, allowing for rapid optimization of our media feeds,” said Andy Grube, Director of Upstream Process Development, Biologics Franchise at Resilience. “Cell culture media and feed costs are significant in a perfusion process. With at-line media analysis, we can optimize and accelerate biotherapeutic development, with the ultimate goal of reducing cost of goods and time to submission.”

Resilience engineers are researching various techniques to lower the cost of media used in a perfusion process. At-line media analysis enables process development engineers to make decisions throughout the bioreactor run and inform feeding models, thereby improving cell culture outcomes and maximizing bioreactor utilization. At-line media analysis may further enable biopharma to characterize process consistency via media “finger printing” and process monitoring.

About the REBEL analyzer

REBEL is a first-of-its-kind fresh and spent media analyzer that enables biopharma researchers to accelerate process development cycles and maximize bioreactor utilization by running media analysis at-line. Key benefits include:

• Efficiency – minimal sample preparation and tiny volume requirements
• Real-time data tracking – quantitate over 30 key media nutrients in <10 minutes
• Small and simple – versatile design valued by users across many applications

For more information, visit www.908devices.com.

About Resilience

Resilience is a technology-focused biomanufacturing company dedicated to broadening access to complex medicines. Founded in 2020, the company is building a sustainable network of high-tech, end-to-end manufacturing solutions to ensure the treatments of today and tomorrow can be made quickly, safely, and at scale. By continuously advancing the science of biopharmaceutical manufacturing and development, Resilience seeks to free its partners to focus on the discoveries that improve patients’ lives and protect biopharmaceutical supply chains against future disruptions. For more information, visit https://resilience.com.

About 908 Devices

908 Devices is revolutionizing chemical and biochemical analysis with its simple handheld and desktop devices, addressing critical-to-life applications. The Company’s devices are used at the point-of-need to interrogate unknown and invisible materials and provide quick, actionable answers to directly address some of the most critical problems in life sciences research, bioprocessing, pharma/biopharma, forensics and adjacent markets. The Company is headquartered in the heart of Boston, where it designs and manufactures innovative products that bring together the power of mass spectrometry, microfluidic sampling and separations, software automation, and machine learning.

Forward Looking Statements

This press release includes “forward looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts are forward-looking statements, including, without limitation, statements regarding the expected uses and capabilities of the Company’s products. Words such as “may,” “will,” “expect,” “plan,” “anticipate,” “estimate,” “intend” and similar expressions (as well as other words or expressions referencing future events, conditions or circumstances) are intended to identify forward-looking statements. These forward-looking statements are based on management’s current expectations and involve known and unknown risks, uncertainties and assumptions which may cause actual results to differ materially from any results expressed or implied by any forward-looking statement, including the risks outlined under “Risk Factors” and elsewhere in the Company’s filings with the Securities and Exchange Commission which are available on the SEC’s website at www.sec.gov. Additional information will be made available in the Company’s annual and quarterly reports and other filings that it makes from time to time with the SEC. Although the Company believes that the expectations reflected in its forward-looking statements are reasonable, it cannot guarantee future results. The Company has no obligation, and does not undertake any obligation, to update or revise any forward-looking statement made in this press release to reflect changes since the date of this press release, except as may be required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230426005242/en/

Media

Barbara Russo

[email protected]

Investor

Carrie Mendivil

[email protected]

KEYWORDS: Massachusetts United States North America

INDUSTRY KEYWORDS: Health Medical Devices Health Technology Research Science Pharmaceutical Biotechnology

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Bausch + Lomb Announces the Presentation of New Scientific Data on Products and Pipeline Programs at the American Society of Cataract and Refractive Surgery Annual Meeting

Company-Sponsored Educational Events will Focus on Dry Eye Disease and IC-8^® Apthera™ Intraocular Lens

VAUGHAN, Ontario–(BUSINESS WIRE)–
Bausch + Lomb Corporation (NYSE/TSX: BLCO) (“Bausch + Lomb”), a leading global eye health company dedicated to helping people see better to live better, today announced the presentation of 21 podium presentations and four poster presentations related to the company’s products and pipeline programs during the American Society of Cataract and Refractive Surgery (ASCRS) annual meeting, which will take place in San Diego from May 5-8, 2023.

The posters and presentations include two studies assessing the new StableVisc™ cohesive ophthalmic viscosurgical device, which Bausch + Lomb commercially launched this month. Others include a retrospective chart review on the use of LOTEMAX^® SM (loteprednol etabonate ophthalmic gel) 0.38% in refractive surgery and numerous presentations focused on Bausch + Lomb surgical IOL pipeline programs. New data from the Bausch + Lomb Antibiotic Resistance Monitoring in Ocular micRoorganisms (ARMOR) surveillance study will also be presented.

Bausch + Lomb will also sponsor two educational events during the meeting. One will address dry eye disease (DED), one of the most common ocular surface disorders.¹ Approximately 18 million Americans have diagnosed DED.² The second will discuss the IC-8 Apthera lens.

The complete list of scientific podium and e-poster presentations, as well as details for the featured education events is as follows:

Podium Presentations

• “Aberration-free Monofocal Hydrophobic Toric IOL Targeted for Emmetropia or Mini-Monovision: Assessment of Visual and Refractive Outcomes.” Epitropoulus et al.
• “A Novel Small Aperture IOL Provides a More Continuous Range of Vision When Compared to Traditional Monovision.” Yeu et al.
• “Comparison of Clinical Results in Post-Refractive and Non-Refractive Patients Implanted with Aberration Free Monofocal IOL.” Hu et al.
• “Clinical Evaluation of the Outcomes of Two Preloaded Monofocal IOLs Implanted Bilaterally in Cataract Patients.” Shultz et al.
• “Clinical Outcome of Conventional PRK vs. New Transepi PRK.” Ang et al.
• “Clinical Outcomes and Patient Satisfaction of a New Enhanced Depth of Focus IOL.” Artashes A. Zilfyan et al.
• “Evaluating the Performance of Small Aperture Optics on Irregular Astigmatism.” Koch et al.
• “Evaluating Vision after Contralateral Implantation of Small Aperture IOL with Low Amounts of Corneal Astigmatism.” Hovanesian et al.
• “Evaluation of Patient-Reported Outcomes Following Bilateral Implantation of Two Preloaded Monofocal IOLs.” Shultz et al.
• “Ex Vivo Comparative User Evaluation of a New Cohesive Ophthalmic Viscosurgical Device (OVD).” Stephenson et al.
• “IC-8 for Complex Corneas, Session 3 New Technologies,Refractive Day.” Ang et al.
• “IC-8 for Low Astigmatism, Refractive Cataract Surgery to the Max.” Hovanesian et al.
• “Importance of Total Corneal Astigmatism When Planning Toric IOLs for Astigmatism Correction.” Stephenson et al.
• “Long Term Visual and PRO Outcomes of Small Aperature IOL in Post Refractive Eyes.” Ang et al.
• “Outcomes of Rasch-Scaled CatQuest-9SF Questionnaire Before and After Implantation of Aberration-Free, Hydrophobic Toric IOL.” Liang et al.
• “Rotational Stability of an Aberration-Free Hydrophobic Toric IOL with a Broad Haptic-Capsular Bag Contact Angle.” Wiley et al.
• “Safety and Effectiveness Comparison of a New Cohesive Ophthalmic Viscosurgical Device (OVD).” Shultz et al.
• “Safety and Performance of a New One-Piece Hydrophobic Acrylic Trifocal Intraocular Lens.” Harasymowycz et al.
• “Small Aperture IOL Provides High Quality Continuous Range of Vision.” Thompson et al.
• “The Analysis of the Refractive and Visual Outcomes for the Novel Excimer Laser Ablation Algorithm in Myopic Eyes.” Artashes A. Zilfyan et al.
• “Visual Performance of a Low Cylinder Powered (0.9D) Toric Intraocular Lens Compared to Non-Toric Intraocular Lens.” Muzychuk et al.

E-Poster Presentations

• “Astigmatic Outcomes Following Implantation of High-Powered Toric (≥2.75 D) Hydrophobic Acrylic IOL with Aberration-Free Optics.” Sadri et al.
• “Clinical Outcomes Following Implantation of an Aberration-Free Hydrophobic Toric IOL Across the Range of Toricities (1.25 D to 5.75 D).” Sadri et al.
• “In Vitro Antibiotic Resistance of Intraocular Bacterial Pathogens from the ARMOR Surveillance Study.” Asbell et al.
• “Retrospective Chart Review on the Use of LOTEMAX^® SM in Refractive Surgery.” Salinger et al.

Featured Education Events

Saturday, May 6

• “Modernizing Monovision with IC-8^® Apthera™”
  
  3:00-4:00 p.m. PT at the ASCRS Tap Room (booth #1511) in the San Diego Convention Center
  
  Vance Thompson, M.D., will lead an informative presentation on the IC-8 Apthera small aperture IOL.

• “All Eyes on Evaporation”
  
  7:15-8:15 p.m. PT at Roy’s Restaurant in the Marriott Marquis San Diego Marina
  
  Kendall Donaldson, M.D., and Marjan Farid, M.D., will discuss current thinking on the role of evaporation in DED, reviewing causative factors, DED pathophysiology, diagnostic approaches and current treatments. Register in advance: https://na.eventscloud.com/website/54369/.

Important Safety Information about LOTEMAX^® SM (loteprednol etabonate ophthalmic gel) 0.38%

INDICATION

LOTEMAX^® SM (loteprednol etabonate ophthalmic gel) 0.38% is a corticosteroid indicated for the treatment of post-operative inflammation and pain following ocular surgery.

IMPORTANT SAFETY INFORMATION

• LOTEMAX^® SM, as with other ophthalmic corticosteroids, is contraindicated in most viral diseases of the cornea and conjunctiva including epithelial herpes simplex keratitis (dendritic keratitis), vaccinia, and varicella, and also in mycobacterial infection of the eye and fungal diseases of ocular structures.

• Prolonged use of corticosteroids may result in glaucoma with damage to the optic nerve, defects in visual acuity and fields of vision. Steroids should be used with caution in the presence of glaucoma. If LOTEMAX^® SM is used for 10 days or longer, IOP should be monitored.

• Use of corticosteroids may result in posterior subcapsular cataract formation.

• The use of steroids after cataract surgery may delay healing and increase the incidence of bleb formation. In those with diseases causing thinning of the cornea or sclera, perforations have been known to occur with the use of topical steroids. The initial prescription and renewal of the medication order should be made by a physician only after examination of the patient with the aid of magnification such as slit lamp biomicroscopy and, where appropriate, fluorescein staining.

• Prolonged use of corticosteroids may suppress the host response and thus increase the hazard of secondary ocular infections. In acute purulent conditions, steroids may mask infection or enhance existing infections.

• Employment of a corticosteroid medication in the treatment of patients with a history of herpes simplex requires great caution. Use of ocular steroids may prolong the course and may exacerbate the severity of many viral infections of the eye (including herpes simplex).

• Fungal infections of the cornea are particularly prone to develop coincidentally with long-term local steroid application. Fungus invasion must be considered in any persistent corneal ulceration where a steroid has been used or is in use. Fungal cultures should be taken when appropriate.

• Contact lenses should not be worn when the eyes are inflamed.

• There were no treatment-emergent adverse drug reactions that occurred in more than 1% of subjects in the three times daily group compared to vehicle.

You are encouraged to report negative side effects of prescription drugs to the FDA. Visit www.fda.gov/medwatch or call 1-800-FDA-1088.

Click here for full Prescribing Information for LOTEMAX^® SM.

About Bausch + Lomb

Bausch + Lomb is dedicated to protecting and enhancing the gift of sight for millions of people around the world – from the moment of birth through every phase of life. Its comprehensive portfolio of more than 400 products includes contact lenses, lens care products, eye care products, ophthalmic pharmaceuticals, over-the-counter products and ophthalmic surgical devices and instruments. Founded in 1853, Bausch + Lomb has a significant global research and development, manufacturing and commercial footprint with approximately 13,000 employees and a presence in nearly 100 countries. Bausch + Lomb is headquartered in Vaughan, Ontario with corporate offices in Bridgewater, New Jersey. For more information, visit www.bausch.com and connect with us on Twitter, LinkedIn, Facebook and Instagram.

Forward-looking Statements

This news release may contain forward-looking statements, which may generally be identified by the use of the words “anticipates,” “hopes,” “expects,” “intends,” “plans,” “should,” “could,” “would,” “may,” “believes,” “estimates,” “potential,” “target,” or “continue” and variations or similar expressions. These statements are based upon the current expectations and beliefs of management and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties include, but are not limited to, the risks and uncertainties discussed in Bausch + Lomb’s filings with the U.S. Securities and Exchange Commission and the Canadian Securities Administrators, which factors are incorporated herein by reference. They also include, but are not limited to, risks and uncertainties caused by or relating to the evolving COVID-19 pandemic, and the fear of that pandemic and its potential effects, the severity, duration and future impact of which are highly uncertain and cannot be predicted, and which may have a material adverse impact on Bausch + Lomb, including but not limited to its project development timelines, launches and costs (which may increase). Readers are cautioned not to place undue reliance on any of these forward-looking statements. These forward-looking statements speak only as of the date hereof. Bausch + Lomb undertakes no obligation to update any of these forward-looking statements to reflect events or circumstances after the date of this news release or to reflect actual outcomes, unless required by law.

References

1. Leonardi, A., Modugno, R. L., & Salami, E. (2021). Allergy and Dry Eye Disease. Ocular immunology and inflammation, 29(6), 1168–1176. https://doi.org/10.1080/09273948.2020.1841804.

2. 2020 Dry Eye Products Market Report: A global Analysis for 2019 to 2025. Market Scope. Retrieved from https://www.market-scope.com/pages/reports/250/2020-ophthalmic-landscape-report-global-analysis-for-2019-to-2025-april-2021#reports.

© 2023 Bausch + Lomb.

MTB.0117.USA.23

View source version on businesswire.com: https://www.businesswire.com/news/home/20230426005117/en/

Investors:

Arthur Shannon

[email protected]

Allison Ryan

[email protected]

(877) 354-3705 (toll free)

(908) 927-0735

Media:

Lainie Keller

[email protected]

(908) 927-1198

Kristy Marks

[email protected]

(908) 927-0683

KEYWORDS: California United States North America Canada

INDUSTRY KEYWORDS: Surgery Medical Devices Health Pharmaceutical Optical

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