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Shattuck Labs Reports Second Quarter 2026 Financial Results and Recent Business Highlights

– Phase 1 clinical trial results for SL-325 demonstrated a favorable safety profile, a potentially best-in-mechanism immunogenicity profile, and durable DR3 blockade of TL1A binding, potentially enabling prolonged dosing intervals –

– RECEPTIVE-CD1 Phase 2b clinical trial of SL-325 in patients with Crohn’s disease expected to initiate in the third quarter of 2026 –

– Announced lead DR3 x IL-23 receptor blocking, half-life extended bispecific antibody product candidate, SL-846, with initial Phase 1 clinical data expected in 2027 –

–Strengthened balance sheet with approximately $208.3 million in cash and cash equivalents and short-term investments as of June 30, 2026, expected to fund operations into 2029 –

AUSTIN, Texas and DURHAM, N.C., Aug. 11, 2026 (GLOBE NEWSWIRE) — Shattuck Labs, Inc. (Shattuck or the Company) (NASDAQ: STTK), a clinical-stage biotechnology company pioneering the development of potential first-in-class monoclonal and bispecific DR3 blocking antibodies for the treatment of patients with inflammatory and immune-mediated diseases, today reported financial results for the second quarter ended June 30, 2026 and provided recent business highlights.

“The Phase 1 clinical data for SL-325 has checked all of the boxes and positions SL-325 as a potentially winning antibody in the TL1A/DR3 axis heading into Phase 2 clinical development,” said Taylor Schreiber, M.D., Ph.D., Chief Executive Officer of Shattuck. “The RECEPTIVE-CD1 Phase 2b clinical trial in Crohn’s disease is on track to initiate in the third quarter, and is designed to establish the efficacy profile of SL-325 across three dose levels, both at induction and at maintenance time points. As we expected, clinical proof of concept for the TL1A/DR3 axis is now emerging outside of IBD. We are pleased to see this continued momentum for the class, and we believe that blocking DR3 will prove more efficacious than blocking TL1A across any indication where TL1A is implicated.”

DR3 Program Development in 2026

Shattuck is advancing a pipeline of DR3-targeted monoclonal and bispecific antibody product candidates for the treatment of inflammatory and immune-mediated diseases.

Recent updates and anticipated upcoming milestones include:


SL-325

Shattuck’s lead clinical-stage product candidate, SL-325, is a potentially first-in-class DR3 blocking antibody for the treatment of Crohn’s disease, ulcerative colitis, and other inflammatory and immune-mediated diseases.

  • Phase 1 clinical trial results for SL-325 demonstrated a potentially best-in-mechanism profile. Key findings from the Phase 1 clinical trial include:
    • Potentially best-in-mechanism immunogenicity profile, with only 3.7% of participants developing antidrug antibodies.
    • Complete blockade of TL1A binding to DR3 for over 3 months expected at doses of 1 mg/kg and higher, potentially supporting quarterly maintenance dosing.
    • Well tolerated with a favorable safety profile consistent with the TL1A inhibitor class.
    • No evidence of DR3 agonism.
  • RECEPTIVE-CD1 Phase 2b clinical trial of SL-325 in patients with moderately-to-severely active Crohn’s disease is expected to initiate in the third quarter of 2026.
    • Designed as a randomized, double-blind, placebo-controlled Phase 2b clinical trial.
    • Will evaluate three dose levels of SL-325 compared with placebo in approximately 232 patients, randomized 1:1:1:1
    • Primary endpoint is endoscopic response at 12 weeks. These data are expected in the first half of 2028.
    • Patients will continue SL-325 treatment through a maintenance phase to 50 weeks using a treat-through design. The treat-through design allows evaluation of the potential for accumulating efficacy during maintenance. Patients will be further eligible to participate in a long-term extension of this trial.


SL-846

Shattuck’s lead bispecific product candidate, SL-846, is a potentially first-in-class, half-life extended DR3 x IL-23 receptor blocking antibody for the treatment of inflammatory and immune-mediated diseases.

  • SL-846 is currently being evaluated in an ongoing IND-enabling GLP toxicology study in non-human primates.
  • Preclinical data for SL-846, including safety, pharmacokinetics, and receptor occupancy from the ongoing GLP toxicology study are expected to be presented in a poster at UEG Week, to be held October 17-20, 2026.
  • Shattuck expects to initiate a Phase 1 healthy volunteer clinical trial of SL-846 and report initial data in 2027.

Upcoming Events

  • Shattuck plans to participate in the following upcoming event(s). Details will be included on the Events & Presentations section of the Company’s website.
  • 21

    st

    Annual Wells Fargo Healthcare Conference, September 8-10, 2026. Management will participate in one-on-one meetings.
  • Citi’s 2026 Biopharma Back to School Conference, September 9-10, 2026. Management will participate in one-on-one meetings.
  • Cantor Global Healthcare Conference, September 9-11, 2026. Taylor Schreiber, M.D., Ph.D., CEO of Shattuck Labs will participate in a fireside chat, and management will participate in one-on-one meetings.
  • United European Gastroenterology Week (UEGW), October 17-20, 2026. Shattuck will present posters containing preclinical and non-human primate toxicology data for SL-846.

Capital Markets Update

  • Shattuck completed an underwritten public offering with aggregate gross proceeds of approximately $86.2 million.
  • As of July 1, 2026, all of the common stock warrants issued in the Company’s August 2025 private placement have been exercised, resulting in aggregate gross proceeds of approximately $57.1 million.

Second Quarter 2026 Financial Results

  • Cash and Cash Equivalents and Investments: As of June 30, 2026, cash and cash equivalents and short-term investments were $208.3 million, as compared to $50.5 million as of June 30, 2025.
  • Research and Development (R&D) Expenses: R&D expenses were $11.7 million for the quarter ended June 30, 2026, as compared to $8.7 million for the quarter ended June 30, 2025.
  • General and Administrative (G&A) Expenses: G&A expenses were $4.5 million for the quarter ended June 30, 2026, as compared to $4.4 million for the quarter ended June 30, 2025.
  • Net Loss: Net loss was $15.2 million for the quarter ended June 30, 2026, or $0.12 per basic and diluted share, as compared to a net loss of $12.5 million for the quarter ended June 30, 2025, or $0.24 per basic and diluted share.

Financial Guidance

As of June 30, 2026, cash and cash equivalents, and short-term investments, were approximately $208.3 million. Shattuck’s current cash and cash equivalents, and short-term investments are expected to fund operations into 2029. This cash runway guidance is based on the Company’s current operational plans and excludes any additional capital that may be received, proceeds from business development transactions, and/or additional costs associated with clinical development activities that may be undertaken.

About SL-325

SL-325 is a potentially first-in-class Death Receptor 3 (DR3) blocking antibody designed to achieve a complete and durable blockade of the clinically validated DR3/TL1A pathway. Shattuck’s preclinical studies demonstrate high affinity binding and superior activity over TL1A antibodies, and offer a data-driven rationale for targeting the TNF receptor, DR3, versus its ligand, TL1A. SL-325 is a fully Fc-silenced, fully human immunoglobulin G monoclonal antibody. In a recently completed Phase 1 clinical trial, SL-325 demonstrated a favorable safety profile, a potentially best-in-mechanism immunogenicity profile, no evidence of residual DR3 agonism, and provided durable blockade of TL1A binding to DR3 at low doses. SL-325 will be evaluated in a Phase 2b clinical trial in Crohn’s disease patients, which is expected to initiate in the third quarter of 2026.

About SL-846

SL-846 is a potentially first-in-class Death Receptor 3 (DR3) by IL-23 receptor (IL-23R) blocking bispecific antibody designed to achieve complete and durable blockade of the clinically validated DR3/TL1A and IL-23/IL-23R pathways. Shattuck’s preclinical studies demonstrate high affinity binding to both DR3 and IL-23R, with equivalent or superior in vitro potency in comparison to benchmark IL-23 controls (sequence equivalents of risankizumab and icotrokinra) in a variety of preclinical assays. SL-846 is an Fc-silenced, half-life extended, fully human immunoglobulin G bispecific antibody currently being evaluated for safety, tolerability, immunogenicity, and pharmacodynamics in an IND-enabling GLP toxicology study in non-human primates.

About Shattuck Labs, Inc.

Shattuck Labs, Inc. is a clinical-stage biotechnology company pioneering the development of potentially first-in-class monoclonal and bispecific DR3 blocking antibodies for the treatment of patients with inflammatory and immune-mediated diseases. Shattuck’s expertise in protein engineering and the development of novel TNF receptor therapeutics come together in its lead program, SL-325, a potentially first-in-class DR3 antagonist antibody designed to achieve a more complete blockade of the clinically validated DR3/TL1A pathway. The Company has offices in both Austin, Texas and Durham, North Carolina. For more information, please visit: www.ShattuckLabs.com.

Forward-Looking Statements

Certain statements in this press release may constitute “forward-looking statements” within the meaning of the federal securities laws, including, but not limited to, Shattuck’s expectations regarding: plans for its preclinical studies, clinical trials and research and development programs, particularly with respect to SL-325; the anticipated timing of initiation of a Phase 2 clinical trial of SL-325 in patients with Crohn’s disease; the clinical benefit, safety and tolerability of SL-325; anticipated development of additional preclinical pipeline candidates; the anticipated timing of initiation of a Phase 1 clinical trial of SL-846; the clinical benefit, safety and tolerability of SL-846; the anticipated release of data from SL-846; the potential clinical significance of clinical and preclinical data and expectations regarding the time period over which the Company’s capital resources will be sufficient to fund its anticipated operations. Words such as “may,” “might,” “will,” “objective,” “intend,” “should,” “could,” “can,” “would,” “expect,” “believe,” “design,” “estimate,” “predict,” “potential,” “develop,” “plan,” “anticipate” or the negative of these terms, and similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements. While the Company believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to it on the date of this release. These forward-looking statements are based upon current estimates and assumptions and are subject to various risks and uncertainties (including, without limitation, those set forth in Shattuck’s filings with the U.S. Securities and Exchange Commission (SEC)), many of which are beyond its control and subject to change. Actual results or outcomes, or the timing of actual results or outcomes, could be materially different. Risks and uncertainties include: global macroeconomic conditions and related volatility; expectations regarding the initiation, progress, and expected results of the Company’s preclinical studies, clinical trials and research and development programs, including the timing and costs thereof; the Company’s ability to enroll patients in its clinical trials; the unpredictable relationship between preclinical study results and clinical study results; the Company’s ability to advance product candidates into, and successfully complete, nonclinical studies and clinical trials; the timing or likelihood of regulatory filings and approvals; the implementation of the Company’s business model, strategic plans for its business and product candidates; the scope of protection the Company is able to establish and maintain for intellectual property rights covering its technology; liquidity and capital resources, including the time period over which current capital resources are expected to the fund the Company’s operations; and other risks and uncertainties identified in Shattuck’s Annual Report on Form 10-K for the year ended December 31, 2025, and subsequent filings with the SEC. Shattuck claims the protection of the Safe Harbor contained in the Private Securities Litigation Reform Act of 1995 for forward-looking statements. The Company expressly disclaims any obligation to update or alter any statements whether as a result of new information, future events or otherwise, except as required by law.

The Company intends to use the investor relations portion of its website as a means of disclosing material non-public information and for complying with disclosure obligations under Regulation FD.

Investor & Media Contact:

Andrew R. Neill
Chief Financial Officer
Shattuck Labs, Inc.
[email protected] 

SHATTUCK LABS, INC.

CONDENSED BALANCE SHEETS

(Unaudited)
(In thousands)
  June 30, 2026   December 31,

2025
Assets      
Current assets:      
Cash and cash equivalents $ 63,299     $ 54,192  
Investments   145,004       23,873  
Prepaid expenses and other current assets   4,971       4,410  
Total current assets   213,274       82,475  
Property and equipment, net   4,513       6,114  
Investment in related party   1,000       1,000  
Other assets   1,880       1,437  
Total assets $ 220,667     $ 91,026  
       
Liabilities and Stockholders’ Equity      
Current Liabilities:      
Accounts payable $ 3,942     $ 2,101  
Accrued expenses   3,789       4,951  
Total current liabilities   7,731       7,052  
Non-current operating lease liabilities   1,800       1,584  
Total liabilities   9,531       8,636  
Stockholders’ equity:      
Common stock   10       7  
Additional paid in capital   671,637       512,906  
Accumulated other comprehensive income   (63 )     6  
Accumulated deficit   (460,448 )     (430,529 )
Total stockholders’ equity   211,136       82,390  
Total liabilities and stockholders’ equity $ 220,667     $ 91,026  

SHATTUCK LABS, INC.
CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(Unaudited)
 
(In thousands, except share and per share amounts)
 
  Three Months Ended June 30,   Six Months Ended June 30,
    2026       2025       2026       2025  
Revenue $ —     $ —     $ —     $ —  
Operating expenses:              
Research and development   11,700       8,680       22,646       18,599  
General and administrative   4,455       4,352       9,053       8,822  
Expense from operations   16,155       13,032       31,699       27,421  
Loss from operations   (16,155 )     (13,032 )     (31,699 )     (27,421 )
Other income   1,003       574       1,780       1,261  
Net loss $ (15,152 )   $ (12,458 )   $ (29,919 )   $ (26,160 )
Unrealized (loss) gain on investments   (63 )     1       (69 )     (1 )
Comprehensive loss $ (15,215 )   $ (12,457 )   $ (29,988 )   $ (26,161 )
               
Net loss per share – basic and diluted $ (0.12 )   $ (0.24 )   $ (0.25 )   $ (0.51 )
Weighted-average shares outstanding – basic and diluted   129,779,297       51,002,247       121,675,471       50,984,031  



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Comstock Metals Brings Fully Integrated Industry-Scale Solar Recycling System Online

First-of-a-Kind, 100,000-Ton-Per-Year System Successfully Processes Panels Through All Production Stages and Produces Clean, Separated Offtake Materials

SILVER SPRINGS, Nev., Aug. 11, 2026 (GLOBE NEWSWIRE) — Comstock Inc. (NYSE: LODE) (“Comstock” and the “Company”) and Comstock Metals LLC (“Comstock Metals”), a leader in the responsible, zero-landfill recycling of end-of-life solar panels with North America’s first certified operations, announced today that Comstock Metals has fully integrated, tested and operated its complete solar panel recycling system.

Comstock Metals has started its first-of-a-kind, industry-scale solar recycling facility. The system has now successfully processed panels through every stage of production, completing the final major milestone in the testing and evaluation of each unit operation. Final integration will be completed mid-August, at which point the ramp-up process to the first production milestone will begin. This milestone transitions Comstock Metals from staged equipment commissioning to full-system operations and production ramp-up.

All of the facility’s processing stages have now been fully tested and connected and will be operationally integrated over the next few days. The first images in the appended video show the robotic system, feed conveyor, and particle dimensioning system in operation. This is followed by an open view of the oven system before being permanently closed; collectively representing the principal unit operations for shredding, conditioning, and other proprietary Comstock processes, and completing the start-up sequence for the 100,000-ton-per-year production line. The previously announced glass-upgrading systems have also been installed and tested ahead of the original production plan, adding expanded glass-treatment capabilities onto the original designs and supporting the production of higher-specification glass products.

“We are now ready to finalize integration activities and the start of operations,” stated Corrado De Gasperis, CEO of Comstock. “Completion of the full start-up milestones brings the full production system online and demonstrates operation from panel intake through the production of final offtake materials. The team is now evaluating multiple processing scenarios and transition from commissioning to full continuous processing over the next few weeks. We anticipate reaching our first production milestone in September.”

See demonstration video here of Comstock Metals’ fully integrated industry-scale system processes end-of-life solar panels from initial shredding through the production of clean, separated offtake materials.

Industry-Scale Operations and Production Ramp-Up

“We have now brought the industry-scale production plant online, confirmed that each stage functions as designed and to specification, and successfully stress-tested the processes at volumes representing the equipment’s stated capacities,” stated Dr. Fortunato Villamagna, President of Comstock Metals. “We are now leveraging the modular nature of the start-up process to train and develop our operating crews as we transition from a 24-hour, five-day-per-week schedule to a 24/7 schedule using 12-hour rotating shifts. These activities remain on schedule through August as we ramp toward our first production milestone of continuously operating at 25% of rated capacity.”

“While our Recycling and Upgrading operations ramp up, we have also advanced the development of our proprietary Metals Recovery processes. These novel metal extraction technologies should enable the economic recovery of silver and other metals and materials from our industrial Offcut stream,” concluded Villamagna. “This work has advanced significantly over the past few months and remains on schedule toward the achievement of our next major milestone, the development of our one-ton-per-day pilot system.”

About Comstock Metals

Comstock Metals is a national leader in the environmentally responsible, zero-landfill recycling of end-of-life solar panels and related energy infrastructure. Comstock Metals’ internally developed recycling technologies and continuous innovation produce recovered materials that strengthen domestic supply chains for advanced technologies while helping customers eliminate the economic, environmental, and reputational liabilities associated with end-of-life panel management. To learn more and stay up to date, visit www.comstockmetals.com and follow Comstock Metals on LinkedIn and YouTube.

About Comstock Inc.

Comstock Inc. (NYSE: LODE) innovates and commercializes technologies, systems and supply chains that enable, support and sustain clean energy systems by efficiently, effectively, and expediently extracting and converting under-utilized natural resources into reusable metals, like silver, aluminum, gold, and other critical minerals, primarily from end-of-life photovoltaics and renewable fuels and other forms of energy.

To learn more, please visit www.comstock.inc.

Comstock Social Media Policy

Comstock Inc. has used, and intends to continue using, its investor relations link and main website at www.comstock.inc in addition to its X.com, LinkedIn and YouTube accounts, as means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD.

Contacts

For investor inquiries:
Judd B. Merrill, Chief Financial Officer
Tel (775) 413-6222
[email protected]

For media inquiries:
Zach Spencer, Director of External Relations
Tel (775) 847-7573
[email protected]

Forward-Looking Statements 

This press release and any related calls or discussions may include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical facts, are forward-looking statements. The words “believe,” “expect,” “anticipate,” “estimate,” “project,” “plan,” “forecast,” “seek,” “target,” “should,” “intend,” “may,” “will,” “would,” “potential” and similar expressions identify forward-looking statements but are not the exclusive means of doing so. Forward-looking statements include statements about matters such as: future market conditions; future financial, natural, and social gains; future prices and sales of, and demand for, our products and services; permits; production capacity and operations; operating and overhead costs; future capital expenditures and their impact on us; operational and management changes (including changes in the Board of Directors); changes in business strategies, planning and tactics; future employment and contributions of personnel, including consultants; future land and asset sales; investments, acquisitions, joint ventures, strategic alliances and business combinations; litigation, administrative or arbitration proceedings; environmental compliance and changes in the regulatory environment; offerings of equity or debt securities; and future working capital needs, revenues, variable costs, throughput rates, operating expenses, debt levels, cash flows, margins, taxes and earnings. These statements are based on assumptions and assessments made by our management in light of their experience and their perception of historical and current trends, current conditions, possible future developments and other factors they believe to be appropriate. Forward-looking statements are not guarantees, representations or warranties and are subject to risks and uncertainties, many of which are unforeseeable and beyond our control and could cause actual results, developments and business decisions to differ materially from those contemplated by such forward-looking statements. Some of those risks and uncertainties include the risk factors set forth in our filings with the SEC. Occurrence of such events or circumstances could have a material adverse effect on our business, financial condition, results of operations or cash flows, or the market price of our securities. All subsequent written and oral forward-looking statements by or attributable to us or persons acting on our behalf are expressly qualified in their entirety by these factors. Except as may be required by securities or other law, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Neither this press release nor any related calls or discussions constitutes an offer to sell, the solicitation of an offer to buy or a recommendation with respect to any securities of the Company or any other issuer.



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Americans Aren’t Moving Toward Data Centers, Data Centers Are Coming to Them, Realtor.com® Report Finds

PR Newswire

New facilities are pushing into lower-density, lower-income communities farther from major cities, but home values near newly activated data centers have so far moved in line with similar neighborhoods

AUSTIN, Texas, Aug. 11, 2026 /PRNewswire/ — A new report from Realtor.com® finds that the American home-sale market’s growing proximity to data centers is being driven by where the industry chooses to build, not by any behavioral shift among homebuyers. The share of U.S. home sales within five miles of a large (50-megawatt or larger) data center has more than doubled since 2018, rising from 0.67% to roughly 1.5% so far in 2026, as the number of large facilities operating nationwide grew more than sevenfold, from 49 to 347. Based on the full construction pipeline through 2027, that share is projected to approach 2.3% of all U.S. home sales.

The report, which draws on millions of home sales, listings and property tax records alongside facility-level data center insights from Aterio, also finds that the newest wave of large data centers is landing farther from cities, in less densely populated areas, and increasingly in communities with below-median household incomes — a reversal from the pattern that defined the early 2020s AI buildout.

“The data center buildout has moved fast and it is raising policy, community, and housing-market questions as it spreads and accelerates,” said Danielle Hale, chief economist, Realtor.com®. “Our analysis so far offers some reassurance: in the communities we studied, a new data center opening nearby wasn’t associated with meaningfully higher or lower home values than similar neighborhoods that didn’t get one. But the facilities coming online next are bigger, more remote and landing in communities with less experience managing an industrial neighbor, so that track record may not hold as a guide to what comes next.”

The Growth Is Geographic, Not Behavioral

To isolate what is driving more Americans to live near large data centers, the report models what would have happened had the data center industry stopped building in 2018. Under that scenario, the share of home sales near a large data center would sit at roughly 0.6% today, below where the market actually stands. The entire increase, in other words, traces back to facilities that didn’t exist in 2018 opening in new communities, not to more home-sale activity in neighborhoods that already had one. Housing stock turnover in ZIP codes near large data centers has tracked essentially the same as broader metro areas throughout the period, with the gap never exceeding 0.2 percentage points.

New Neighbors, Farther From the City

The physical footprint of the industry has expanded alongside its power footprint. In 2015, just 12 U.S. ZIP codes contained a large data center; by June 2026 that had grown to 108, and is on pace to reach 125 by year’s end. The land those facilities are built on looks increasingly different, too. The median large data center opening in 2026 is surrounded by roughly 70% fewer residential housing units per square mile than the median 2017 facility, and the typical 2027 opening will sit about 34 miles from its nearest major city center, 26% farther than the 2026 median of 27 miles.

Household income patterns near new data centers have shifted as well. ZIP codes receiving new large facilities ran well above the national median income from 2020 through 2023, peaking 24.7% above the median in 2023 as hyperscale investment concentrated in affluent Northern Virginia suburbs. Large data centers activated in 2026 sit in ZIP codes 2.1% below the national median income, and the 2027 construction pipeline points to communities 5.7% below the median.

“The places absorbing this next wave of data centers look different from the places that absorbed the last one,” said Glen Morgenstern, economist intern at Realtor.com®. “They tend to be lower-income, lower-density and farther from a city center, which usually also means fewer resources on hand — fewer attorneys, less organized civic engagement, and housing markets that react more slowly to new information. That doesn’t tell us those communities will be worse off, but it does mean they may be less equipped to respond if a facility turns out to be a difficult neighbor.”

Home Values Hold Steady, Listings Stay Plentiful

To test whether a large data center opening nearby affects home prices, the report compared 43 ZIP codes that gained a large data center between 2019 and 2025 against similar ZIP codes matched on pre-opening price levels and population density. In the two years following activation, home values in data center neighborhoods moved in line with their matched comparisons, with no gains or losses large enough to represent a meaningful difference. Listing prices showed a similar pattern: a small initial bump around the facility’s opening that faded within two years.

Housing inventory told a different story. Three years after a large data center opened, those ZIP codes retained 66% of their pre-opening active for-sale listings, compared with 43% for matched neighborhoods without a data center. New construction near data centers ran above the metro average in the years surrounding a facility’s opening but slipped slightly below that average by the third year.

Property tax rates near large data centers were lower than in comparison communities both before and after a facility’s arrival, a gap the report attributes to where data centers tend to be sited rather than to the facilities themselves. Effective residential tax rates near data centers ticked up modestly relative to their own pre-opening baseline over five years, while the comparison group’s rates drifted down relative to theirs — though the report cautions that county- and jurisdiction-level differences make the cause of that pattern difficult to isolate.

 As Data Centers Grow, So Do Concerns Over Power and Water

The average large data center that opened in 2018 drew about 24 megawatts of power; by 2026 that figure had climbed to 60 megawatts, meaning more generators, more cooling infrastructure and more round-the-clock truck traffic per facility. Electricity and water use are also emerging as more visible pressure points, particularly in Sun Belt markets already navigating water scarcity, and rising utility bills tied to data center demand have already drawn public attention in states including Georgia and Virginia.

In March 2026, seven major AI companies signed a Ratepayer Protection Pledge committing to cover the cost of new power supply and grid infrastructure rather than pass it on to residential customers, a commitment that has since expanded to companies representing 80% of U.S. power delivery, though it remains voluntary. The Realtor.com® report points to these dynamics, along with the industry’s shift into lower-density, lower-income and more remote communities, as reasons the modest track record on home values documented so far may be harder to sustain as the buildout continues.

Large Data Center Openings and ZIP Household Income by Activation Year


Activation Year


New Large Data Centers


Median Data Center ZIP Income
vs. National Median

2020

24

+22.3 %

2021

22

+15.5 %

2022

20

+14.1 %

2023

34

+24.7 %

2024

58

+7.4 %

2025

83

+11.0 %

2026

178

-2.1 %

2027*

212

-5.7 %



*2027 reflects the construction pipeline. 2026 includes active and construction-stage sites with estimated 2026 activation dates. Recent incomes are based on 2024 American Community Survey estimates; each ZIP code is weighted equally regardless of population size.

Methodology

Data center inventory comes from Aterio’s facility-level database as of June 30, 2026, covering U.S. facilities with at least 50 megawatts of selected power capacity and a known ZIP code; the main analyses use active facilities only, while 2026 and 2027 community-income comparisons also include construction-stage facilities. Residential proximity is measured as the straight-line distance from each home sale or listing to the nearest large data center, using Aterio facility coordinates and Realtor.com deed and listing records; sales within five miles are classified as near. The home-price event study covers 43 ZIP codes that received a large data center between 2019 and 2025, matched to comparison ZIP codes on pre-activation price level and population density, drawn from the same metro area in most cases and from the broader state for five ZIP codes in smaller markets, using Realtor.com deed records in states that publicly disclose sale prices (Texas and 11 other non-disclosure states are excluded). The property tax event study compares effective residential tax rates within three miles of a large data center against properties 10 to 25 miles away in the same state, using Realtor.com property records and activations between 2017 and 2023. The inventory event study uses annual June snapshots of active listings matched on pre-period list price, days on market and metro area. Community income figures use year-matched American Community Survey 5-year estimates and are compared against the national median household income from the Census Bureau’s Current Population Survey, retrieved via FRED.

About Realtor.com

®

For over 30 years, Realtor.com® has connected buyers, sellers, and renters with trusted insights, professional guidance and powerful tools to help them find their perfect home. Recognized as the No. 1 real estate site REALTOR® agents recommend, Realtor.com® delivers consumer connections and a robust suite of marketing tools to support business growth. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc.

Media Contact: Mallory Micetich, [email protected]

 

Cision View original content:https://www.prnewswire.com/news-releases/americans-arent-moving-toward-data-centers-data-centers-are-coming-to-them-realtorcom-report-finds-302847528.html

SOURCE Realtor.com

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Barrick Appoints Sebastiaan Bock CEO, Rest of World

Bock Will Lead Portfolio Outside North America, Report to Barrick CEO Mark Hill

TORONTO, Aug. 11, 2026 (GLOBE NEWSWIRE) — Barrick Mining Corporation (NYSE:B)(TSX:ABX) today announced the appointment of Sebastiaan Bock as Chief Executive Officer, Rest of World, effective immediately. Mr. Bock will lead Barrick’s gold and copper operations and projects outside North America and will report to Mark Hill, President and Chief Executive Officer of Barrick.

Barrick’s rest of world portfolio includes gold and copper assets across Africa, the Middle East, Latin America, and Asia Pacific. It produces more than two million gold equivalent ounces a year and is expected to grow by more than 20% over the next three years.

John Thornton, Barrick’s Chairman, said, “Outside North America, our Rest of World portfolio has a distinct advantage: our ability to work with Chinese partners, including joint mine ownership and co-investment. This can enable higher efficiency; broader access to advanced technologies, including those revolutionizing exploration, operations, processing, and information management; access to leading equipment suppliers and comprehensive and agile supply chain solutions; and partnership opportunities including shared infrastructure, resources, and solutions, to derisk and improve outcomes.”

“Seb’s experiences and accomplishments are tailor-made for Barrick to build on this unique advantage,” said Mark Hill, Barrick’s President and CEO. “He has experience across operations, finance, strategic planning, geopolitical issues, human resources, and risk management. Seb is the ideal person to grow our Rest of World business. He is a perfect example of Barrick’s deep and global bench, and the integrity and character of its leaders.”

“I am excited to accept this new role quite simply because what Barrick does, matters,” said Bock. “It matters to the thousands of employees and stakeholders I’ve been honored to work with over the years. It matters to the communities where we work to create lasting and shared benefits. It matters to our investors whose wellbeing is affected by how well our work is done. These partnerships will allow us to realize the benefits of our unique rest-of-world strengths.”

Mr. Bock joined Barrick as Senior Vice President and Chief Financial Officer, Africa and Middle East, in January 2019, and was appointed Chief Operating Officer for the region in July 2022. Under his guidance, the region has met or exceeded guidance every year and achieved significant growth. He has led the Lumwana expansion, the resolution of the situation in Mali, the achievement of record throughput at Kibali, and the growth of gold reserves at Loulo-Gounkoto and Bulyanhulu.

About Barrick Mining Corporation

Barrick is a leading global mining, exploration, and development company. With one of the largest portfolios of world-class and long-life gold and copper assets in the industry, Barrick’s operations and projects span 17 countries and five continents. Barrick is also the largest gold producer in the United States. We create real, long-term value for all stakeholders through responsible mining, strong partnerships, and a disciplined approach to growth. Barrick shares trade on the New York Stock Exchange under the symbol ‘B’ and on the Toronto Stock Exchange under the symbol ‘ABX’.

Investor Relations Contact:
[email protected]

Media Contact:
[email protected]

Cautionary Statement on Forward-Looking Information

Certain information contained in this press release, including any information relating to our strategy, projects, plans, or future financial or operating performance constitutes “forward-looking statements”. All statements, other than statements of historical fact, are forward-looking statements. The words “plan”, “would”, “could”, “expected”, “will”, “intend”, “continue”, “explore”, “contemplated” and similar expressions identify forward-looking statements. In particular, this press release contains forward-looking statements with respect to, without limitation, expected annual growth in gold equivalent ounce production at Barrick’s rest-of-world assets over the next three years and the potential for partnerships with Chinese entities to enable higher efficiency and access to advanced technologies to derisk and improve outcomes at certain of Barrick’s operations.

Forward-looking statements are necessarily based upon a number of estimates and assumptions including material estimates and assumptions related to the factors set forth below that, while considered reasonable by Barrick as at the date of this press release in light of management’s experience and perception of current conditions and expected developments, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements, and undue reliance should not be placed on such statements and information. The estimates and assumptions contained in this news release, which may prove to be incorrect, include, but are not limited to: retention of existing management team members; relationships with governments, regulators, financing sources, joint venture partners and other business counterparties; general economic conditions and conditions in the markets and jurisdictions in which Barrick operates; regulatory rules affecting Barrick’s business; market conditions; future gold, copper and other commodity prices; the speculative nature of mineral exploration and development; changes in mineral production performance, exploitation, and exploration successes; risks related to disruption of supply routes which may cause delays in construction and mining activities; risk of loss due to acts of war, terrorism, sabotage and civil disturbances; risks associated with new diseases, epidemics and pandemics; litigation and legal and administrative proceedings; increased costs and physical and transition risks related to climate change, including extreme weather events, resource shortages, emerging policies and increased regulations related to greenhouse gas emission levels, energy efficiency and reporting of risks; and availability and increased costs associated with mining inputs and labor. In addition, there are risks and hazards associated with the business of mineral exploration, development and mining, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins, flooding and gold bullion, copper cathode or gold or copper concentrate losses (and the risk of inadequate insurance, or inability to obtain insurance, to cover these risks).

Readers are cautioned that forward-looking statements are not guarantees of future performance. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are provided for the purpose of providing information about management’s expectations and plans relating to the future. All of the forward-looking statements made in this press release are qualified by these cautionary statements and those made in Barrick’s most recent Form 40-F/Annual Information Form on file with the SEC and Canadian provincial securities regulatory authorities which contain a more detailed discussion of some of the factors underlying forward-looking statements, and the risks that may affect Barrick’s ability to achieve the expectations set forth in the forward-looking statements contained in this press release.

Barrick disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.



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OpenLight and Tower Semiconductor Expand PH18DA Photonics Ecosystem to Accelerate Photonic IC Development

OpenLight and Tower Semiconductor Expand PH18DA Photonics Ecosystem to Accelerate Photonic IC Development

OpenLight’s PDK is now available on Cadence’s EDA tools, enabling PIC development on Tower’s PH18DA InP-on-silicon photonics platform

SANTA BARBARA, Calif. & MIGDAL HAEMEK, Israel–(BUSINESS WIRE)–OpenLight, a leader in heterogeneous III‑V‑on‑silicon photonic integration and custom Photonic Application‑Specific Integrated Circuits (PASICs), and Tower Semiconductor (NASDAQ/TASE: TSEM), the leading foundry for high-value analog semiconductor solutions, today announced the availability of OpenLight’s photonic Process Design Kit (PDK) for Tower Semiconductor’s PH18DAindium phosphide (InP)-on-silicon photonics platform in Cadence’s electronic design automation (EDA) tools. Developed through close technical collaboration between the companies, the PDK now enables customers to design advanced photonic integrated circuits (PICs) within a widely adopted IC design environment and accelerate development toward production.

The PH18DA ecosystem brings together OpenLight’s photonics IP, Tower’s process and manufacturing expertise, and Cadence’s leading EDA tools, enabling a streamlined path for developing advanced photonic ICs while bringing photonics design closer to established electronic IC workflows and manufacturing.

“By making our PDK available on Cadence tools, we enable customers to design photonic integrated circuits within the same environment they rely on for advanced IC development,” said Dr. Adam Carter, CEO at OpenLight. “This integration simplifies adoption and strengthens the path from design to production on the PH18DA platform.”

Designs created using OpenLight‘s PDK support fabrication on Tower’s PH18DA InP-on-silicon photonics platform, which enables the integration of active photonic components – including lasers, modulators, and amplifiers – into a single monolithic PIC. The platform supports advanced optical systems for applications such as optical interconnects, AI infrastructure, and sensing.

“In collaboration with Cadence and OpenLight, we are advancing design capabilities on the PH18DA platform through a new capability that integrates expertise across technology, IP, and EDA,” said Dr. Samir Chaudhry, vice president of customer design enablement and reliabilityat Tower Semiconductor. “This approach enables customers to streamline development of 400G and 1.6T laser-integrated photonic integrated circuits, while achieving co-optimized PIC and EIC designs for improved performance, power efficiency, and scalability necessary for next-generation near- and co-packaged optics (NPO/CPO) solutions.”

“Adding the OpenLight PDK PH18DA manufactured by Tower Semiconductor to the rich portfolio of photonics processes supported by the Cadence Photonics ecosystem is a key milestone because it marks the introduction of integrated active devices for high-performance, co-optimized electro-optical designs,” said Gilles Lamant, distinguished engineer, Cadence.

For additional information about Tower Semiconductor’s SiPho technology platform, visit here.

For additional information about OpenLight, visit here.

About OpenLight

OpenLight is a leader in the heterogeneous integration of III-V devices in silicon photonics. OpenLight’s world-leading PASIC technology, supported by its process design kit (PDK), integrates all active and passive components of silicon photonics devices into a single chip, enabling high-performance, energy-efficient photonics solutions across datacom, telecom, automotive, AI, and quantum computing applications and markets. The company’s recent $50 million Series A-1 funding round, bringing total funding to $84 million, reflects growing commercial momentum and accelerating customer adoption across next-generation photonics applications. The company is headquartered in Santa Barbara, California, with offices in Silicon Valley. Read more at www.openlightphotonics.com.

About Tower Semiconductor

Tower Semiconductor Ltd. (NASDAQ/TASE: TSEM), the leading foundry of high-value analog semiconductor solutions, provides technology, development, and process platforms for its customers in growing markets such as consumer, industrial, automotive, mobile, infrastructure, medical and aerospace and defense. Tower Semiconductor focuses on creating a positive and sustainable impact on the world through long-term partnerships and its advanced and innovative analog technology offering, comprised of a broad range of customizable process platforms such as SiPho, SiGe, BiCMOS, mixed-signal/CMOS, RF CMOS, CMOS image sensor, non-imaging sensors, displays, integrated power management (BCD and 700V), and MEMS. Tower Semiconductor also provides world-class design enablement for a quick and accurate design cycle as well as process transfer services including development, transfer, and optimization, to IDMs and fabless companies. To provide multi-fab sourcing and extended capacity for its customers, Tower Semiconductor currently owns one operating facility in Israel (200mm), two in the U.S. (200mm), and two in Japan (200mm and 300mm) which it owns through its 51% holdings in TPSCo and shares a 300mm facility in Agrate, Italy with STMicroelectronics. For more information, please visit: www.towersemi.com.

Safe Harbor Regarding Forward-Looking Statements

This press release includes forward-looking statements, which are subject to risks and uncertainties. Actual results may vary from those projected or implied by such forward-looking statements. A complete discussion of risks and uncertainties that may affect the accuracy of forward-looking statements included in this press release or which may otherwise affect Tower’s business is included under the heading “Risk Factors” in Tower’s most recent filings on Forms 20-F, F-3, F-4 and 6-K, as were filed with the Securities and Exchange Commission (the “SEC”) and the Israel Securities Authority. Tower does not intend to update, and expressly disclaim any obligation to update, the information contained in this release.

Tower Semiconductor Company Contact: Orit Shahar | +972-74-7377440 | [email protected]

Tower Semiconductor Investor Relations Contact: Liat Avraham | +972-4-6506154 | [email protected]

OpenLight Photonics Company Contact: Mallory Robertson [email protected]

KEYWORDS: California United States North America Israel Middle East

INDUSTRY KEYWORDS: Engineering Semiconductor Technology Manufacturing Nanotechnology Telecommunications Hardware

MEDIA:

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Zymeworks Announces Participation in Upcoming Investor Conferences

VANCOUVER, British Columbia, Aug. 11, 2026 (GLOBE NEWSWIRE) — Zymeworks Inc. (Nasdaq: ZYME), a biotechnology company managing a portfolio of licensed healthcare assets while developing a diverse pipeline of novel, multifunctional biotherapeutics, today announced that management will participate in the following upcoming investor conferences:

  • Wells Fargo Healthcare Conference: Zymeworks’ management will participate in one-on-one meetings and fireside chat on September 8 at 3:45 pm Eastern Time (ET) in Boston, MA.
  • Citi’s Biopharma Back to School Summit: Zymeworks’ management will participate in one-on-one meetings and fireside chat on September 9 at 3:40 pm ET in New York, NY.
  • Morgan Stanley Healthcare Conference: Zymeworks’ management will participate in one-on-one meetings and fireside chat on September 14 at 4:50 pm ET in New York, NY.
  • H.C. Wainwright Annual Global Investment Conference: Zymeworks’ management will participate in one-on-one meetings and a fireside chat on September 15 in New York, NY.

About Zymeworks Inc.

Zymeworks is a global biotechnology company managing a portfolio of licensed healthcare assets and developing a diverse pipeline of novel, multifunctional biotherapeutics to improve the standard of care for difficult-to-treat diseases, including cancer, inflammation, and autoimmune disease. Zymeworks’ asset and royalty aggregation strategy focuses on optimizing positive future cash flows from an emerging portfolio of licensed products such as Ziihera® (zanidatamab-hrii) and other licensed products and product candidates, such as pasritamig. In addition, Zymeworks is also building a portfolio of healthcare assets that can generate strong cash flows, while supporting the development of innovative medicines. Zymeworks engineered and developed Ziihera, a HER2-targeted bispecific antibody using Zymeworks’ proprietary Azymetric™ technology and has entered into separate agreements with BeOne Medicines Ltd. (formerly BeiGene, Ltd.) and Jazz Pharmaceuticals Ireland Limited granting each exclusive rights to develop and commercialize zanidatamab in different territories. Zymeworks is rapidly advancing a robust pipeline of product candidates, leveraging its expertise in both antibody drug conjugates and multispecific antibody therapeutics targeting novel pathways in areas of significant unmet medical need. Zymeworks’ complementary therapeutic platforms and fully integrated drug development engine provide the flexibility and compatibility to precisely engineer and develop highly differentiated antibody-based therapeutics. These capabilities have been further leveraged through strategic partnerships with global biopharmaceutical companies. For information about Zymeworks, visit www.zymeworks.com and follow @ZymeworksInc on X.

Contacts:

Investor Inquiries:
Shrinal Inamdar
Vice President, Investor Relations
(604) 678-1388
[email protected]   

Media Inquiries:
Diana Papove
Vice President, Corporate Communications
(604) 678-1388
[email protected]



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Organigram Reports Record Third Quarter Fiscal 2026 Results

Organigram Reports Record Third Quarter Fiscal 2026 Results

Record Quarterly Revenue and Adjusted EBITDA(1) Driven by Acquisition of Sanity Group

TORONTO–(BUSINESS WIRE)–
Organigram Global Inc. (NASDAQ: OGI) (TSX: OGI), (the “Company” or “Organigram”), Canada’s #1 cannabis company by market share2 and a growing global cannabis platform following its acquisition of Sanity Group GmbH (“Sanity” or “Sanity Group”), today announced its results for the third quarter ended June 30, 2026 (“Q3 Fiscal 2026” or “Q3”).

Q3 FISCAL 2026 HIGHLIGHTS

  • Gross Revenue: $145.1 million (+32% year-over-year).
  • Net Revenue: $105.8 million (+49% year-over-year).
  • Adjusted EBITDA1: $13.4 million (+136% year-over-year).
  • #1 Market Share in Canada: #1 in vapes, #1 in milled flower, #1 in concentrates, #2 in flower, #2 in pre-rolls, #3 in edibles, and #4 in beverages2.
  • Sanity Group: Since the acquisition closed on April 15, 2026, Sanity has performed in line with management’s expectations, contributing approximately €25 million (C$40 million) in net revenue to Organigram’s consolidated results. During the quarter, Sanity continued to execute on its European growth strategy, advancing preparations for an additional Swiss recreational pilot project, progressing its entry into Poland, launching branded products in the UK through new strategic partnerships, establishing a significant new Swiss medical partnership, and recording its first meaningful medical cannabis sales in Switzerland.

“This quarter marks an important milestone for Organigram as we report the first quarter of financial contributions from Sanity Group, helping drive record quarterly revenue and adjusted EBITDA,” said James Yamanaka, Chief Executive Officer. “Sanity’s performance has been in line with our expectations, while our Canadian business continues to demonstrate resilience through market leadership and improving performance in key categories driven by operational enhancements and targeted changes to our product portfolio. As we enter the final quarter of Fiscal 2026, we are a fundamentally different company, and I look forward to continuing to execute our global strategy by leveraging our integrated Canadian operations and European distribution platform to drive long-term growth.

“I would also like to recognize Paolo De Luca, who will be departing Organigram after nine years of exceptional leadership and service. During his tenure as both Chief Financial Officer and Chief Strategy Officer, Paolo played an instrumental role in many of the Company’s most transformative transactions, helping lay the foundation for Organigram’s evolution into a global cannabis company. On behalf of everyone at Organigram, I thank Paolo for his many contributions and wish him every success in the future.”

THIRD QUARTER FISCAL 2026 FINANCIAL OVERVIEW

  • Net revenue:

    • Net Revenue increased 49% to $105.8 million, from $70.8 million in the third quarter ended June 30, 2025 (“Q3 Fiscal 2025”), primarily driven by contributions from Sanity Group.

  • Adjusted gross margin3:

    • Adjusted gross margin was $39.1 million, or 37% of net revenue, compared to $24.2 million, or 34% of net revenue, in Q3 Fiscal 2025. The year-over-year increase was primarily driven by a larger proportion of international sales per contributions from Sanity Group as well as improved operational efficiencies in the Canadian market.

  • Selling, General & Administrative (“SG&A”) Expenses:

    • SG&A increased to $32.7 million from $24.5 million in Q3 Fiscal 2025. The increase was driven by higher investments in advertising, promotions, and trade marketing initiatives to support new product launches in the current period, and the inclusion of Sanity Group expenses, and higher amortization of intangibles associated with the acquisition of Sanity Group.

    • As a proportion of net revenue, SG&A decreased to 31%, compared to 35% in Q3 Fiscal 2025.

  • Net Income:

    • Net income was $105.5 million compared to net loss of $6.3 million in Q3 Fiscal 2025. The increase in net income in the current period was primarily attributable to higher non-cash fair value gains on preferred shares, as well as higher net revenue and gross margins compared to the prior year period.

  • Adjusted EBITDA3:

    • Adjusted EBITDA was $13.4 million compared to $5.7 million in adjusted EBITDA in Q3 Fiscal 2025. The increase in Adjusted EBITDA compared to the comparative period is primarily due to contributions from Sanity Group.

  • Net Cash used in Operating Activities:

    • Cash provided by operations before working capital changes was $6.2 million versus $(0.7) million in the prior year period. The increase was primarily due to higher net revenue, product mix, and higher gross margin.

    • Cash used in operating activities was $4.3 million, compared to cash provided of $14.6 million in Q3 Fiscal 2025. The decline was primarily attributable to higher investment in working capital reflecting the Company’s increased scale.

  • Free Cash Flow (“FCF”)3:

    • FCF was an outflow of $3.9 million compared to an inflow of $5.0 million in Q3 Fiscal 2025. Despite lower capital expenditures, the decrease in FCF primarily reflected increased working capital to support the growth of the business.

“The addition of Sanity Group, combined with improved operational execution in Canada, delivered record quarterly revenue and adjusted EBITDA while strengthening our margin profile,” said Greg Guyatt, Chief Financial Officer. “With one quarter remaining in Fiscal 2026, we remain on track for net revenue to exceed $350 million, with adjusted gross margin and adjusted EBITDA exceeding Fiscal 2025 performance. While working capital investments associated with our increased scale are expected to result in modestly negative free cash flow for the full fiscal year, we continue to expect positive free cash flow in the fourth quarter which we believe is an indicator of our cash generation trajectory moving forward.”

BALANCE SHEET & LIQUIDITY

  • As of June 30, 2026, the Company had total cash (including short-term investments) of $11.7 million. Total liquidity, inclusive of credit facilities was $49.1 million.

Select Key Financial Metrics

(in $000s unless otherwise indicated)

Q3-2026

Q3-2025

% Change

Gross revenue

145,071

 

110,205

 

32

%

Excise taxes

(39,289

)

(39,413

)

nm

Net revenue

105,782

 

70,792

 

49

%

Cost of sales

66,980

 

48,369

 

38

%

Gross margin before fair value changes to biological assets & inventories sold

38,802

 

22,423

 

73

%

Realized fair value on inventories sold and other inventory charges

(14,410

)

(14,461

)

nm

Unrealized gain on changes in fair value of biological assets

17,030

 

18,184

 

(6

)%

Gross margin

41,422

 

26,146

 

58

%

Adjusted gross margin(1)

39,065

 

24,226

 

61

%

Adjusted gross margin %(1)

37

%

34

%

3

%

Selling (including marketing), general & administrative expenses

32,723

 

24,504

 

34

%

Net income (loss)

105,538

 

(6,294

)

nm

Adjusted EBITDA(1)

13,413

 

5,694

 

136

%

Net cash provided by (used in) operating activities before working capital changes

6,168

 

(686

)

nm

Net cash (used in) provided by operating activities after working capital changes

(4,297

)

14,626

 

nm

Note (1) Adjusted gross margin, adjusted gross margin % and adjusted EBITDA are non-International Financial Reporting Standards (“IFRS”) financial measures not defined by and do not have any standardized meaning under IFRS and might not be comparable to similar financial measures disclosed by other issuers; please refer to “Non-IFRS Financial Measures” in this press release for more information.

Select Balance Sheet Metrics (in $000s)

JUNE 30,

2026

SEPTEMBER 30,

2025

% Change

Cash & short-term investments (including restricted cash)

11,667

84,420

(86

)%

Biological assets & inventories

165,056

123,954

33

%

Other current assets

103,363

76,523

35

%

Accounts payable & accrued liabilities

99,933

89,247

12

%

Working capital

172,805

158,738

9

%

Property, plant & equipment

121,148

122,977

(1

)%

Total assets

820,262

562,211

46

%

Total liabilities

334,800

213,081

57

%

Shareholders’ equity

485,462

349,130

39

%

RECONCILIATION

The following table reconciles the Company’s adjusted EBITDA to net income (loss).

Adjusted EBITDA Reconciliation

(in $000s unless otherwise indicated)

Q3-2026

Q3-2025

Net (loss) income as reported

$

105,538

 

$

(6,294

)

Add/(deduct):

 

 

Investment income, net of financing costs

 

541

 

 

(73

)

Income tax recovery

 

(1,590

)

 

(9,903

)

Depreciation and amortization

 

10,124

 

 

4,789

 

ERP implementation costs

 

—

 

 

1,217

 

Acquisition and transaction costs

 

5,167

 

 

654

 

Inventory and biological assets fair value and NRV adjustments

 

(2,357

)

 

(2,787

)

Incremental fair value component on inventories sold from acquisitions

 

—

 

 

897

 

Share-based compensation

 

1,213

 

 

1,007

 

Other (income) expenses(1)

 

(104,326

)

 

13,511

 

Provision for non-recurring credit losses

 

(3,012

)

 

—

 

Research and development expenditures, net of depreciation

 

2,115

 

 

2,676

 

Adjusted EBITDA

$

13,413

 

$

5,694

 

Note (1): Other (income) expenses includes share of loss from investments in associates, (gain) loss on disposal of property, plant and equipment, change in fair value of derivative liabilities, preferred shares, contingent consideration and other financial assets, and certain other non-operating (income) expenses.

The following table reconciles the Company’s adjusted gross margin to gross margin before fair value adjustments:

Adjusted Gross Margin Reconciliation

(in $000s unless otherwise indicated)

Q3-2026

Q3-2025

Net revenue

$

105,782

 

$

70,792

 

Cost of sales before adjustments

 

66,717

 

 

46,566

 

Adjusted gross margin

 

39,065

 

 

24,226

 

Adjusted gross margin %

 

37

%

 

34

%

Less:

 

 

Provisions and impairment of inventories and biological assets

 

536

 

 

921

 

Provisions to net realizable value

 

(273

)

 

15

 

Incremental fair value component on inventories sold from acquisitions

 

—

 

 

867

 

Gross margin before fair value adjustments

 

38,802

 

 

22,423

 

Gross margin % (before fair value adjustments)

 

37

%

 

32

%

Add:

 

 

Realized fair value on inventories sold and other inventory charges

 

(14,410

)

 

(14,461

)

Unrealized gain on changes in fair value of biological assets

 

17,030

 

 

18,184

 

Gross margin

 

41,422

 

 

26,146

 

Gross margin %

 

39

%

 

37

%

The following table reconciles the Company’s Free Cash Flow to net cash and restricted cash provided by (used in) operating activities:

Free Cash Flow Reconciliation

(in $000s unless otherwise indicated)

Q3-2026

Q3-2025

Net cash and restricted cash provided by (used in) operating activities

$

(4,297

)

$

14,626

 

Less:

 

 

Purchase of property, plant and equipment, net of government subsidy

 

432

 

 

(9,652

)

Free Cash Flow

 

(3,865

)

 

4,974

 

Third Quarter Fiscal 2026 Conference Call

The Company will host a conference call to discuss its results with details as follows:

Date: August 11, 2026

Time: 8:00 am Eastern Time

To register for the conference call, please use this link: https://events.q4inc.com/analyst/401315111?pwd=q4Su5uEp

To ensure you are connected for the full call, we suggest registering a day in advance or at minimum 10 minutes before the start of the call. After registering, a confirmation will be sent through email, including dial in details and unique conference call codes for entry. Registration is open through the live call.

To access the webcast: https://events.q4inc.com/attendee/401315111

A replay of the webcast will be available within 24 hours after the conclusion of the call at https://www.organigram.ca/investors and will be archived for a period of 90 days following the call.

Non-IFRS Financial Measures

This news release refers to certain financial performance measures (including adjusted gross margin, adjusted gross margin %, adjusted EBITDA and free cash flow) that are not defined by and do not have a standardized meaning under IFRS as issued by the International Accounting Standards Board. Non-IFRS financial measures are used by management to assess the financial and operational performance of the Company. The Company believes that these non-IFRS financial measures, in addition to conventional measures prepared in accordance with IFRS, enable investors to evaluate the Company’s operating results, underlying performance and prospects in a similar manner to the Company’s management. As there are no standardized methods of calculating these non-IFRS measures, the Company’s approaches may differ from those used by others, and accordingly, the use of these measures may not be directly comparable. Accordingly, these non-IFRS measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Adjusted EBITDA is a non-IFRS measure that the Company defines as net income (loss) excluding: financing costs, net of investment income; income tax expense (recovery); depreciation, amortization, impairment, normalization of depreciation add-back due to changes in depreciable assets resulting from impairment charges, (gain) loss on disposal of property, plant and equipment (per the consolidated statement of cash flows); share-based compensation (per the consolidated statement of cash flows); share of loss (gain) from investments in associates including impairment loss; change in fair value of contingent consideration; change in fair value of derivative liabilities, other financial assets and preferred shares; expenditures incurred in connection with research and development activities (net of depreciation); unrealized gain on changes in fair value of biological assets; realized fair value on inventories sold and other inventory charges; provisions and net realizable value adjustments related to inventory and biological assets; government subsidies, insurance recoveries and other non-operating expenses (income); legal provisions (recoveries); ERP implementation costs; transaction costs; share issuance costs; and provision for Canndoc expected credit losses. Adjusted EBITDA is intended to provide a proxy for the Company’s operating cash flow and derives expectations of future financial performance for the Company, and excludes adjustments that are not reflective of current operating results.

Adjusted gross margin is a non-IFRS measure that the Company defines as net revenue less cost of sales, before the effects of (i) unrealized gain on changes in fair value of biological assets; (ii) realized fair value on inventories sold and other inventory charges; (iii) realized fair value on inventories sold from acquisitions; (iv) provisions and impairment of inventories and biological assets; and (v) provisions to net realizable value. Adjusted gross margin % is calculated by dividing adjusted gross margin by net revenue. Management believes that these measures provide useful information to assess the profitability of our operations as they represent the normalized gross margin generated from operations and exclude the effects of non-cash fair value adjustments on inventories and biological assets, which are required by IFRS.

Free cash flow provided by (used in) operating activities is calculated as net cash provided by or used in operating activities less the purchase of property, plant and equipment. Free cash flow is a useful indicator of the Company’s capacity to fund operations from internally generated cash flows, without the need for additional borrowings or use of existing cash reserves under normal operating conditions.

The most directly comparable measure to adjusted EBITDA, calculated in accordance with IFRS is net income (loss) and see the “Reconciliation” section of this press release for a reconciliation to such measure. The most directly comparable measure to adjusted gross margin calculated in accordance with IFRS is gross margin before fair value adjustment and see “Reconciliation” section of this press release for a reconciliation to such measure. The most directly comparable measure to Free Cash Flow is net cash and restricted cash provided by (used in) operating activities, and see the “Reconciliation” section of this press release for a reconciliation to such measure.

About Organigram Global Inc.

Organigram Global Inc. is a NASDAQ Global Select Market and TSX listed company whose wholly-owned subsidiaries include Organigram Inc., a licensed cultivator of cannabis and manufacturer of cannabis-derived goods in Canada. Through its acquisition of Collective Project Limited, Organigram Global participates in the U.S. and Canadian cannabinoid beverages markets.

Organigram is focused on producing high-quality, indoor-grown cannabis for patients and adult recreational consumers in Canada, as well as developing international business partnerships to extend the Company’s global footprint. Organigram has also developed a portfolio of legal adult-use recreational cannabis brands, including Edison, Holy Mountain, Big Bag O’ Buds, SHRED, SHRED’ems, Monjour, Tremblant Cannabis, Trailblazer, Collective Project, BOXHOT and DEBUNK. Organigram operates facilities in Moncton, New Brunswick and Lac-Supérieur, Québec, with a dedicated manufacturing facility in Winnipeg, Manitoba. The Company also operates two additional cannabis processing facilities in Southwestern Ontario; one in Aylmer and the other in London. The facility in Aylmer houses best-in-class CO2 and Hydrocarbon extraction capabilities, and is optimized for formulation refinement, post-processing of minor cannabinoids, and pre-roll production. The facility in London will be optimized for labelling, packaging, and national fulfillment. The Company is regulated by the Cannabis Act and the Cannabis Regulations (Canada).

Forward-Looking Information

This news release contains forward-looking information. Forward-looking information, in general, can be identified by the use of forward-looking terminology such as “outlook”, “objective”, “may”, “will”, “could”, “would”, “might”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “plan”, “continue”, “budget”, “schedule” or “forecast” or similar expressions suggesting future outcomes or events. They include, but are not limited to, statements with respect to expectations, projections or other characterizations of future events or circumstances, and the Company’s objectives, goals, strategies, beliefs, intentions, plans, estimates, forecasts, projections and outlook, including statements relating to the Company’s future performance, the Company’s positioning to capture additional market share and sales including international sales and the expected continued progress in international on-spec volumes, expectations for consumer demand, expected improvement to gross margins before fair value changes to biological assets and inventories, expectations regarding adjusted gross margins, adjusted EBITDA, Free Cash Flow and net revenue in the fourth quarter of Fiscal 2026 and beyond, expectations regarding cultivation capacity, the Company’s plans and objectives including around the availability and sources of any future financing, availability of cost efficiency opportunities, the ability of the Company to fulfill demand for its revitalized product portfolio with increased staffing, expectations relating to greater capacity to meet demand due to increased capacity at the Company’s facilities, expectations around lower product cultivation costs, the ability to achieve economies of scale and ramp up cultivation, expectations pertaining to the increase of automation and reduction in reliance on manual labour, expectations around the launch of higher margin dried flower strains, expectations around market and consumer demand and other patterns related to existing, new and planned product forms; expectations regarding the Company’s integration of Sanity Group, including the expected revenue to be generated by Sanity Group over the next calendar year; expectations around FASTTM nanoemulsion technology; expectations regarding EU-GMP certification; timing for launch of new product forms, ability of those new product forms to capture sales and market share, estimates around incremental sales and more generally estimates or predictions of actions of customers, suppliers, partners, distributors, competitors or regulatory authorities; statements regarding the future of the Canadian and international cannabis markets and, statements regarding the Company’s future economic performance. These statements are not historical facts but instead represent management beliefs regarding future events, many of which, by their nature are inherently uncertain and beyond management control. Forward-looking information has been based on the Company’s current expectations about future events.

Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectations. These risks, uncertainties and factors include: general economic factors; geopolitical risks; international trade disputes sparked by tariffs and retaliatory tariffs or other non-tariff measures; changes to government laws, regulations or policies, including customs, tariffs, trade or environmental law, regulations or policies, or the enforcement thereof; receipt of regulatory approvals or consents and any conditions imposed upon same and the timing thereof; the Company’s ability to meet regulatory criteria which may be subject to change; change in regulation including restrictions on sale of new product forms; change in stock exchange listing practices; the Company’s ability to manage costs, timing and conditions to receiving any required testing results and certifications; results of final testing of new products; changes in governmental plans including those related to methods of distribution; timing and nature of sales and product returns; customer buying patterns and consumer preferences not being as predicted given this is a new and emerging market; material weaknesses identified in the Company’s internal controls over financial reporting; the completion of regulatory processes and registrations including for new products and forms; market demand and acceptance of new products and forms; unforeseen construction or delivery delays including of equipment and commissioning; increases to expected costs; competitive and industry conditions; change in customer buying patterns; and changes in crop yields. These and other risk factors are disclosed in the Company’s documents filed from time to time under the Company’s issuer profile on the Canadian Securities Administrators’ System for Electronic Document Analysis and Retrieval+ (“SEDAR”) at www.sedarplus.ca and reports and other information filed with or furnished to the United States Securities and Exchange Commission (“SEC”) from time to time on the SEC’s Electronic Document Gathering and Retrieval System (“EDGAR”) at www.sec.gov, including the Company’s most recent management discussion and analysis (“MD&A”) and annual information form. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this news release.

Certain forward-looking information included herein may also constitute a “financial outlook” within the meaning of applicable securities legislation. Financial outlook involves statements about the Company’s prospective financial performance and financial position that are based on and subject to the assumptions about future economic conditions and courses of action described above as well as management’s expectations regarding a strong innovation pipeline, increasing international sales, high cannabis quality and higher potency, commercialization of FAST nano emulsion technology in ingestible formats, and receipt of the EU-GMP certification. Such assumptions are based on management’s assessment of the relevant information currently available and any financial outlook included herein is provided for the purpose of helping readers understand management’s current expectations and plans for the future as of the date hereof. The actual results of the Company’s operations may vary from the amounts set forth in any financial outlook and such variances may be material. Readers are cautioned that reliance on any financial outlook may not be appropriate for other purposes or in other circumstances and that the risk factors described above and other factors may cause actual results to differ materially from any financial outlook.

The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Forward looking information is subject to risks and uncertainties that are addressed in the “Risk Factors” section of the MD&A dated August 11, 2026 and there can be no assurance whatsoever that these events will occur.

Third-Party Information

This news release contains information concerning our industry and the markets in which we operate, including our market position and market share, which is based on information from independent third-party sources. Although we believe these sources to be generally reliable, market and industry data is inherently imprecise, subject to interpretation and cannot be verified with complete certainty due to limits on the availability and reliability of raw data, the voluntary nature of the data gathering process, and other limitations and uncertainties inherent in any statistical survey or data collection process. We have not independently verified any third-party information contained herein.

 

 

1 Adjusted gross margin, adjusted gross margin %, and adjusted EBITDA are non-IFRS financial measures not defined by and do not have any standardized meanings under IFRS, as issued by the International Accounting Standards Board, and might not be comparable to similar financial measures disclosed by other issuers; please refer to “Non-IFRS Financial Measures” in this press release for more information.

2 Multiple Sources (Hifyre, Weedcrawler, provincial boards, internal modelling) as of June, 2026.

3 Adjusted gross margin, adjusted gross margin %, Free Cash Flow, and adjusted EBITDA are non-IFRS financial measures not defined by and do not have any standardized meanings under IFRS, as issued by the International Accounting Standards Board, and might not be comparable to similar financial measures disclosed by other issuers; please refer to “Non-IFRS Financial Measures” in this press release for more information.

 

For Investor Relations enquiries, please contact:


Max Schwartz, Director of Investor Relations

[email protected]

For Media enquiries, please contact:


Mark McKay, Director of Communications

[email protected]

KEYWORDS: Poland Switzerland Canada North America Europe Germany

INDUSTRY KEYWORDS: Hemp Cannabis Natural Resources

MEDIA:

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TJGC Group Limited Announces the Change of Authorised Share Composition and Share Redesignations

HONG KONG, Aug. 11, 2026 (GLOBE NEWSWIRE) — On August 7, 2026, TJGC Group Limited (the “Company”) held the an adjourned extraordinary general meeting of the Company, at which a change of the composition of the authorised shares of the Company was approved by the shareholders, whereby the composition of the maximum number of shares the Company is authorised to issue be changed from an unlimited number of Shares with no par value each divided into six classes of shares, comprising (i) Ordinary shares of no par value, (ii) Class A preferred shares of no par value, (iii) Class B preferred shares of no par value, (iv) Class C preferred shares of no par value, (v) Class D preferred shares of no par value, and (vi) Class E preferred shares of no par value to an unlimited number of Shares with no par value each divided into seven classes of shares, comprising (i) Class A ordinary shares of no par value (the “Class A Ordinary Shares”), (ii) Class B ordinary shares of no par value (the “Class B Ordinary Shares”), (iii) Class A preferred shares of no par value, (iv) Class B preferred shares of no par value, (v) Class C preferred shares of no par value, (vi) Class D preferred shares of no par value, and (vii) Class E preferred shares of no par value (the “Change of Authorised Share Composition”).

Subject to and contemporaneously upon the Change of Authorised Share Composition taking effect, (i) 476,667 issued ordinary shares of no par value registered in the name of Wei Jinchan be re-designated as 476,667 issued Class B Ordinary Shares, credited as fully paid, with all rights, restrictions and privileges as set out in the ARM&A (the “ARM&A”); and (ii) the remaining 9,623,356 issued ordinary share of no par value registered in be re-designated as issued Class A Ordinary Shares, credited as fully paid with all rights, restrictions and privileges as set out in the ARM&A (the “Share Redesignations”).

The Change of Authorised Share Composition and Share Redesignations shall be reflected with the Nasdaq Capital Market and in the marketplace at the open of business on August 12, 2026, whereupon the Ordinary Shares will continue trading under the symbol “TJGC”.

About TJGC Group Limited

TJGC Group Limited, through its subsidiary, Ctrl Media Limited provides integrated marketing and advertising services in Hong Kong. The company offers services to mobile game developers, principally developers of mobile gaming applications that gamers download from the developers’ websites and applicable mobile operating systems, such as Apple Store or Android Google Play Store. It also uses digital media, such as online social media platforms, websites, and search engines over the Internet to broadcast the advertising campaigns. In addition, the company undertakes contracts with YouTuber, KOL, and local celebrities to film introductory gaming videos for broadcast in their personal blogs and social media platforms; offers physical media, including podium platforms with transportation terminals and public venues to broadcast advertising campaigns; and assists clients to plan and prepare their exhibition booths in the animation-comic-game and other offline marketing events. The company was formerly known as Ctrl Group Limited and change its name to TJGC Group Limited in November 2025. TJGC Group Limited was incorporated in 2022 and is based in Hung Hom, Hong Kong.

Forward-Looking Statements

Certain statements contained in this press release about future expectations, plans and prospects, as well as any other statements regarding matters that are not historical facts, may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995.These statements include, but are not limited to, statements relating to the expected trading commencement and closing dates. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: the uncertainties related to market conditions and other factors discussed in the “Risk Factors” section of the final prospectus filed with the SEC. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Any forward-looking statements contained in this press release speak only as of the date hereof, and TJGC specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.

For more information, please contact:

Investor Relations

Ctrl Media Limited

Phone: +852-3107-4887

Email: [email protected]



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Ouster BlueCity with REV8 Lidar Wins Multimillion-Dollar Utah Traffic Modernization Expansion

Ouster BlueCity with REV8 Lidar Wins Multimillion-Dollar Utah Traffic Modernization Expansion

Econolite partnership leverages world’s first native color digital lidar to expand Ouster BlueCity across 160 intersections with up to 500-foot advance detection for optimized mobility and enhanced safety.

SAN FRANCISCO–(BUSINESS WIRE)–Ouster, Inc. (Nasdaq: OUST) (“Ouster” or the “Company”), a global leader in high-performance lidar sensors and intelligent software solutions, powering Physical AI across the automotive, industrial, robotics and smart infrastructure sectors, announced today that Econolite, a leader in mobility operating systems, was awarded an expansion contract from Utah Department of Transportation (UDOT) to deploy Ouster BlueCity, a complete lidar traffic management solution for actuation, alerts, and analytics, at an additional 160 intersections statewide.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260811931186/en/

Ouster BlueCity deployed in Salt Lake City, Utah

Ouster BlueCity deployed in Salt Lake City, Utah

With the first Ouster BlueCity with integrated Rev8 installation already live in Utah,this expanded deployment marks a major technological leap for the state through the integration of Ouster’s OS1 Max Rev8 digital lidar sensor. The system introduces up to 500-foot advance detection for corridor-level traffic management alongside the world’s first native color lidar detection system. By simultaneously capturing color data and 3D depth, the system delivers unmatched situational awareness to create accurate, high-fidelity digital traffic twins, simplified zone set-up, and more intuitive event recording analysis through improved color visualization. Crucially, the solution features system-level privacy technologies at the edge with blurring of pedestrians and cyclists while fully retaining the rich operational benefits of color data.

The UDOT contract expansion follows a rigorous, real-world assessment of six distinct lidar proposals conducted by the Utah State Evaluation Committee in December 2024 where Econolite’s provision of the Ouster BlueCity solution received the highest overall vendor score and ranked first in the lidar hardware & perception software categories.

UDOT’s primary objective is to reduce collisions and protect Vulnerable Roadway Users (VRUs), such as pedestrians and cyclists, through smarter, safer, and more sustainable infrastructure. By leveraging an open API architecture, Ouster BlueCity integrates seamlessly with UDOT’s existing traffic control ecosystem, including Econolite Cobalt® traffic signal controllers. Installed non-intrusively in as little as three to five hours per intersection, the Ouster BlueCity system generates a color 3D digital traffic twin to enable dynamic traffic signal actuation based on live multimodal demand. Furthermore, the system’s long-range multimodal detection and tracking provides a continuous stream of high-fidelity, automated data for corridor-level intelligence and advanced actuation logic. This enables high-impact safety applications such as automated crosswalk extensions for slow-moving pedestrians, dilemma zone protection, turning-vehicle yield warnings, and real-time vehicle-to-everything (V2X) safety alerts broadcast via integration with intersection Roadside Units (RSUs).

“The scaling of Ouster BlueCity’s footprint to hundreds of intersections in Utah is a powerful testament to the real-world value the solution delivers daily to transportation agencies and municipalities both large and small,” said Asad Lesani, VP, Global ITS Solutions at Ouster. “By leveraging our latest Rev8 OS1 Max digital lidar sensor for these system deployments, UDOT is unlocking a new era of corridor-level, advance detection in native color alongside critical transportation infrastructure compliance, and we are proudly positioned to support the state’s long-term roadway modernization and safety goals.”

This expansion builds on the momentum of a 2025 UDOT contract awarded to Econolite, which initiated the deployment of Ouster BlueCity across more than 100 intersections statewide utilizing Rev7 digital lidar sensors. The latest agreement brings UDOT’s total contracted Ouster BlueCity footprint to nearly 300 intersection and roadway deployments. With Utah included, Ouster BlueCity powers the United States’ top three largest, fully integrated lidar traffic management deployments, alongside Nashville and Chattanooga, Tennessee.

“UDOT’s decision to expand this deployment underscores the heightened levels of situational awareness the Econolite-Ouster integrated lidar solution brings to modern traffic management,” said Jim Madden, Senior Vice President of U.S. Sales at Econolite. “By combining Ouster’s advanced system capabilities with Econolite’s proven traffic management technologies, we are helping provide the critical mobility intelligence to optimize signal operations, and create safer, more efficient roadways across Utah.”

Ouster BlueCity sets a new standard in traffic management with up to 500-foot advance detection and the world’s first native color lidar that detects and tracks vehicles, cyclists, pedestrians, and trams for optimized actuation, real-time alerts, and 24/7 data analytics. By combining Ouster’s digital lidar sensors and proprietary AI software, the single system captures color (optional) and 3D depth for enhanced digital traffic twin and 2D image visualization. Engineered for long-term reliability in adverse weather and lighting conditions, the solution features privacy-enhancing technology at the edge while retaining the rich benefits of color data. A fast, non-invasive installation unlocks high-fidelity live and historic data alongside 3D recordings for safety events such as near-misses and wrong-way drivers, while an open API architecture ensures seamless ecosystem integration for rapid data sharing. Cities and agencies worldwide use Ouster BlueCity to optimize mobility, streamline operations, and increase road user safety across their intersections, corridors and highway mainlines and ramps. The solution complies with system-level NEMA TS2, Build America, Buy America (BABA) Act, and ISO 27001 cybersecurity. For more information, visit ouster.com/bluecity.

About Ouster

Ouster (Nasdaq: OUST) is a leader in sensing and perception for Physical AI across industrial, robotics, automotive, and smart infrastructure. With a unified platform of high-performance digital lidar, cameras, AI compute, sensor fusion and perception software, and AI models, Ouster delivers solutions that improve quality of life in the physical world. Headquartered in San Francisco, CA, Ouster has a global presence serving thousands of customers with offices in the Americas, Europe, and Asia-Pacific. For more information about our products, visit www.ouster.com, contact our sales team, or connect with us on X or LinkedIn.

About Econolite – Part of Umovity

Econolite Group is the North American market leader in intelligent traffic management solutions with over 92 years of experience. Econolite has provided more than 160,000 traffic controllers deployed at over 60,000 intersections. Its leading traffic management software has been installed by more than 500 agencies across North America. Econolite prides itself on being the leading provider of traffic management solutions, including cabinets, controllers, software, sensors, and professional services. With nearly 850 employees primarily in North America, Econolite drives innovation in traffic management and safety solutions, including connected and automated vehicles research and development. In June 2022, Bridgepoint acquired a majority stake in Econolite Group, and together with PTV Group, a dynamic partnership was formed. Since 2023, Econolite Group and PTV Group are united under the brand Umovity. For more information, visit www.econolite.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are based upon current plans, estimates and expectations of management that are subject to various risks and uncertainties that could cause actual results to differ materially from such statements. The inclusion of forward-looking statements should not be regarded as a representation that such plans, estimates and expectations will be achieved. Words such as “offer,” “expect,” “will”, “may,” “anticipate,” “intend,” “reflect,” “should,” “plan,” “can,” “could,” “estimate,” “possible,” “potential,” “pursue,” “demonstrate,” and the negative of these terms and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions. All statements, other than historical facts, including statements regarding the capabilities and uses of Ouster’s digital lidar sensors, including with respect to the opportunity for customers to improve transportation safety and modernize transportation systems; uses for Physical AI; the anticipated performance of Ouster’s products and our expectations around customers’ adoption and application of our products, the total addressable market for the Company’s products and offerings, and the Company’s expectations and projections relating to future growth and opportunities constitute forward-looking statements. All forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those that we expected, including, but not limited to, the risks related to the adoption of Ouster products; product quality and liability risks, the possibility of cancellation or postponement of contracts or unsuccessful implementations; the Company’s ability to maintain BABA compliance for its product offerings; the Company’s ability to manage growth, including the supply of BABA-compliant products; inaccurate forecasts of market growth and customer demand; Ouster’s ability to respond to evolving regulations and standards and other important risk factors discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, and as may be further updated from time to time in the Company’s Quarterly Reports on Form 10-Q and other filings with the SEC. Readers are urged to consider these factors carefully and in the totality of the circumstances when evaluating these forward-looking statements, and not to place undue reliance on any of them. Any such forward-looking statements represent management’s reasonable estimates and beliefs as of the date of this press release. While Ouster may elect to update such forward-looking statements at some point in the future, it disclaims any obligation to do so, other than as may be required by law, even if subsequent events cause its views to change.

Ouster:

For Investors

[email protected]

For Media

[email protected]

KEYWORDS: California Utah United States North America

INDUSTRY KEYWORDS: Software Vehicle Technology Professional Services Hardware Robotics Technology State/Local Automotive Artificial Intelligence Data Analytics Audio/Video Public Policy/Government

MEDIA:

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Ouster BlueCity deployed in Salt Lake City, Utah
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UDOT installs first Ouster BlueCity with Rev8 OS1 Max
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Ouster BlueCity, a complete lidar traffic management solution
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Flowco Holdings Inc. Reports Second Quarter 2026 Results

Flowco Holdings Inc. Reports Second Quarter 2026 Results

HOUSTON–(BUSINESS WIRE)–
Flowco Holdings Inc. (NYSE: FLOC) (“Flowco” or the “Company”), a provider of production optimization, artificial lift and emissions management and monetization solutions for the oil and natural gas industry, today announced financial results for the second quarter ended June 30, 2026.

Key Second Quarter 2026 Highlights

  • Revenues of $235.9 million, generating net income of $30.9 million and Adjusted Net Income1 of $34.3 million

  • Adjusted EBITDA1 of $93.9 million

  • Adjusted EBITDA Margin1 of 39.8%

  • Net cash provided by operating activities of $95.2 million and Free Cash Flow1 of $49.8 million

  • In July 2026, Flowco’s Board of Directors approved a quarterly cash dividend of $0.09 per share

  • In August 2026, Flowco’s Board of Directors approved a special cash dividend of $0.14 per share payable to Class A common stockholders

  • Robust liquidity with approximately $446 million of availability under our revolving credit facility as of August 7, 2026

Financial Summary

 

 

Three Months Ended

 

 

 

June 30,

2026

 

 

March 31,

2026

 

 

June 30,

2025

 

 

 

(in thousands)

 

Revenues

 

$

 

235,859

 

 

$

 

209,530

 

 

$

 

193,215

 

Net income

 

 

 

30,944

 

 

 

 

27,454

 

 

 

 

27,352

 

Adjusted Net Income (1)

 

 

 

34,267

 

 

 

 

35,661

 

 

 

 

32,998

 

Adjusted EBITDA (1)

 

 

 

93,884

 

 

 

 

85,534

 

 

 

 

76,488

 

Adjusted EBITDA Margin (1)

 

 

 

39.8

%

 

 

 

40.8

%

 

 

 

39.6

%

(1)

Adjusted Net Income, Adjusted EBITDA, Adjusted EBITDA Margin, and Free Cash Flow are non-GAAP financial measures. See definitions of these measures and the reconciliation of GAAP to non-GAAP financial measures outlined in the reconciliation tables accompanying this press release.

Joe Bob Edwards, President and CEO, commented, “Flowco delivered solid second quarter results within our original guidance range, reflecting the resilience of our differentiated production optimization business and continued focus across the organization. Strong customer demand for our solutions, combined with disciplined execution, enabled us to offset the impact of cost headwinds during the quarter and generate approximately $50 million of free cash flow.

Valiant has exceeded our expectations, and we are encouraged by both its financial performance and the opportunities to further enhance our production optimization platform through cross-selling, technology integration and deeper customer relationships.

We continue to benefit from our North American positioning, where we are seeing consistent customer demand driven by operators’ focus on maximizing production, improving operating efficiency and generating attractive returns from existing assets. Against this backdrop, we believe our differentiated technology portfolio, recurring cash flow generation and strong balance sheet position us well to deliver long-term value for our shareholders.”

Segment Information

We report our results in two segments, Production Solutions and Natural Gas Technologies. Production Solutions includes the rental, sale and service associated with high pressure gas lift, electric submersible pumps (ESP), conventional gas lift and plunger lift, including a range of digital solutions and other production-related technologies. Natural Gas Technologies includes the design, manufacture, rental and sale of vapor recovery and natural gas systems. Corporate costs not directly related to either segment are categorized separately.

Segment Financial Information

 

 

Three Months Ended

 

 

June 30,

2026

 

March 31,

2026

 

June 30,

2025

 

 

(in thousands)

Production Solutions

 

 

 

 

 

 

 

 

 

Revenues

 

$

170,878

 

$

140,163

 

$

128,245

Adjusted Segment EBITDA (1)

 

 

71,019

 

 

61,469

 

 

53,343

Adjusted Segment EBITDA Margin (1)

 

 

41.6%

 

 

43.9%

 

 

41.6%

 

 

 

 

 

 

 

 

 

 

Natural Gas Technologies

 

 

 

 

 

 

 

 

 

Revenues

 

$

64,981

 

$

69,367

 

$

64,970

Adjusted Segment EBITDA (1)

 

 

27,759

 

 

29,665

 

 

27,397

Adjusted Segment EBITDA Margin (1)

 

 

42.7%

 

 

42.8%

 

 

42.2%

 

 

 

 

 

 

 

 

 

 

Corporate

 

 

 

 

 

 

 

 

 

Adjusted Segment EBITDA (1)

 

$

(4,894)

 

$

(5,600)

 

$

(4,252)

Adjusted Segment EBITDA Margin (1)

 

 

nm

 

 

nm

 

 

nm

 

 

 

 

 

 

 

 

 

 

Total

 

 

 

 

 

 

 

 

 

Revenues

 

$

235,859

 

$

209,530

 

$

193,215

Adjusted EBITDA (1)

 

 

93,884

 

 

85,534

 

 

76,488

Adjusted EBITDA Margin (1)

 

 

39.8%

 

 

40.8%

 

 

39.6%

(1)

Adjusted Segment EBITDA and Adjusted Segment EBITDA Margin are non-GAAP financial measures. See definitions of these measures and the reconciliation of GAAP to non-GAAP financial measures outlined in the reconciliation tables accompanying this release.

Production Solutions

Second quarter 2026 revenue and Adjusted Segment EBITDA for the Production Solutions segment increased 21.9% and 15.5%, respectively, from the first quarter of 2026, driven by higher Downhole Components revenue and Adjusted EBITDA (inclusive of two additional months of earnings contribution from Valiant, which added an ESP offering to our Production Solutions segment in March 2026). Adjusted Segment EBITDA margin decreased 229 basis points, primarily reflecting increased maintenance and operating costs at Surface Equipment.

Natural Gas Technologies

Second quarter 2026 revenue and Adjusted Segment EBITDA for the Natural Gas Technologies segment decreased 6.3% and 6.4%, respectively, from the first quarter of 2026, primarily due to lower Vapor Recovery system sales. Adjusted Segment EBITDA Margin was effectively flat.

Corporate

Second quarter 2026 Corporate Adjusted Segment EBITDA improved to $(4.9) million from $(5.6) million in the first quarter of 2026, primarily due to lower professional services fees.

Balance Sheet & Liquidity

As of August 7, 2026, the Company had outstanding borrowings under its senior secured revolving credit facility (“Credit Agreement”) of $274.1 million and, with a current borrowing base of $721.8 million, had availability under the Credit Agreement of $446.4 million.

Dividend Declarations

On July 30, 2026, Flowco announced that its Board of Directors declared a quarterly cash dividend of $0.09 per share of Class A common stock payable on August 26, 2026 to Class A common stockholders of record as of the close of business on August 14, 2026. Flowco MergeCo LLC, the Company’s operating subsidiary, will make a corresponding distribution of $0.09 per unit to holders of its common units.

On August 10, 2026, Flowco also announced that its Board of Directors declared a special cash dividend of $0.14 per share of Class A common stock payable on August 31, 2026 to only Class A common stockholders of record as of the close of business on August 21, 2026.

Conference Call and Webcast Information

Flowco will host a conference call on Tuesday, August 11, 2026, at 8:00 a.m. Eastern Time to discuss second quarter 2026 results. The conference call can be accessed live over the phone by dialing 1-877-704-4453 (for the U.S.) or 1-201-389-0920 (for International). A telephonic replay of the conference call will be available three hours after the call and can be accessed by dialing 1-844-512-2921 (for the U.S.) or 1-412-317-6671 (for International). The passcode for the call and replay is 13761962. A live webcast of the conference call will also be available under the Investor Relations section of Flowco’s website at ir.flowco-inc.com.

About Flowco

Flowco is a leading provider of production optimization, artificial lift and emissions management and monetization solutions for the oil and natural gas industry. The Company’s products and services include a full range of equipment and technology solutions that enable oil and natural gas producers to efficiently and cost-effectively maximize the profitability and economic lifespan of their assets.

Forward-Looking Statements

The information in this press release includes forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical facts contained in this press release may be forward-looking statements. These statements generally relate to future events or our future financial or operating performance, and include, but are not limited to: statements regarding guidance or estimates related to the Company’s results of operations or financial condition; industry trends, customer demand and industry outlook, and effects on Flowco’s operations; Flowco’s strategies and plans, including matters relating to the Company’s growth, capital expenditures, dividend policies, and leverage profile. When used in this press release, words such as “expect,” “project,” “estimate,” “believe,” “anticipate,” “intend,” “plan,” “seek,” “forecast,” “target,” “predict,” “may,” “should,” “would,” “could,” and “will,” the negative of these terms and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Forward-looking statements are based on management’s current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Accordingly, we caution you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions and uncertainties that are difficult to predict. Although Flowco believes that the expectations reflected in these forward-looking statements are reasonable as of the date made, actual results may prove to be materially different from the results expressed or implied by the forward-looking statements. These risks and uncertainties are described further in our annual report on Form 10-K for the year ended December 31, 2025, in our subsequent quarterly reports on Form 10-Q and in our other filings filed with the Securities and Exchange Commission. Flowco undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this press release. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.

 

Flowco Holdings Inc.

Condensed Consolidated Statement of Operations
 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

June 30,

2026

 

 

March 31,

2026

 

 

June 30,

2025

 

 

June 30,

2026

 

 

June 30,

2025

 

 

 

(in thousands except share and per share amounts)

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rentals

 

$

 

132,670

 

 

$

 

121,873

 

 

$

 

102,104

 

 

$

 

254,543

 

 

$

 

199,400

 

Sales

 

 

 

103,189

 

 

 

 

87,657

 

 

 

 

91,111

 

 

 

 

190,846

 

 

 

 

186,165

 

Total revenues

 

 

 

235,859

 

 

 

 

209,530

 

 

 

 

193,215

 

 

 

 

445,389

 

 

 

 

385,565

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of rentals (exclusive of depreciation and amortization disclosed separately below)

 

 

 

35,221

 

 

 

 

32,552

 

 

 

 

27,602

 

 

 

 

67,773

 

 

 

 

54,453

 

Cost of sales (exclusive of depreciation and amortization disclosed separately below)

 

 

 

74,209

 

 

 

 

62,404

 

 

 

 

62,579

 

 

 

 

136,613

 

 

 

 

128,145

 

Selling, general and administrative expenses

 

 

 

35,655

 

 

 

 

36,476

 

 

 

 

32,683

 

 

 

 

72,131

 

 

 

 

63,217

 

Depreciation and amortization

 

 

 

49,372

 

 

 

 

41,495

 

 

 

 

33,165

 

 

 

 

90,867

 

 

 

 

67,284

 

Loss on sale of equipment

 

 

 

184

 

 

 

 

310

 

 

 

 

68

 

 

 

 

494

 

 

 

 

23

 

Income from operations

 

 

 

41,218

 

 

 

 

36,293

 

 

 

 

37,118

 

 

 

 

77,511

 

 

 

 

72,443

 

Other expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, net

 

 

 

(5,597

)

 

 

 

(4,348

)

 

 

 

(6,445

)

 

 

 

(9,945

)

 

 

 

(11,810

)

Other income (expenses), net

 

 

 

(29

)

 

 

 

(461

)

 

 

 

559

 

 

 

 

(490

)

 

 

 

292

 

Total other expenses

 

 

 

(5,626

)

 

 

 

(4,809

)

 

 

 

(5,886

)

 

 

 

(10,435

)

 

 

 

(11,518

)

Income before provision for income taxes

 

 

 

35,592

 

 

 

 

31,484

 

 

 

 

31,232

 

 

 

 

67,076

 

 

 

 

60,925

 

Provision for income taxes

 

 

 

(4,648

)

 

 

 

(4,030

)

 

 

 

(3,880

)

 

 

 

(8,678

)

 

 

 

(6,528

)

Net income

 

 

 

30,944

 

 

 

 

27,454

 

 

 

 

27,352

 

 

 

 

58,398

 

 

 

 

54,397

 

Net income attributable to redeemable non-controlling interests

 

 

 

18,429

 

 

 

 

20,012

 

 

 

 

21,881

 

 

 

 

38,441

 

 

 

 

42,754

 

Net income attributable to Flowco Holdings Inc.

 

$

 

12,515

 

 

$

 

7,442

 

 

$

 

5,471

 

 

$

 

19,957

 

 

$

 

11,643

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

 

0.29

 

 

$

 

0.24

 

 

$

 

0.21

 

 

$

 

0.54

 

 

$

 

0.45

 

Diluted

 

$

 

0.28

 

 

$

 

0.23

 

 

$

 

0.21

 

 

$

 

0.52

 

 

$

 

0.44

 

Weighted average shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

 

42,857,602

 

 

 

 

31,620,520

 

 

 

 

25,728,144

 

 

 

 

37,289,553

 

 

 

 

25,725,197

 

Diluted

 

 

 

43,971,042

 

 

 

 

32,719,382

 

 

 

 

26,195,643

 

 

 

 

38,399,535

 

 

 

 

26,193,327

 
 

Flowco Holdings Inc.

Condensed Consolidated Balance Sheets
 

 

 

As of

 

 

 

June 30,

2026

 

 

December 31,

2025

 

 

 

(in thousands except share and per share amounts)

 

Assets

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

 

19,189

 

 

$

 

4,522

 

Accounts receivable, net of allowances for credit losses of $1,325 and $1,079, respectively

 

 

 

145,469

 

 

 

 

100,465

 

Inventory

 

 

 

186,334

 

 

 

 

149,590

 

Prepaid expenses and other current assets

 

 

 

19,676

 

 

 

 

5,615

 

Total current assets

 

 

 

370,668

 

 

 

 

260,192

 

Property, plant and equipment, net

 

 

 

863,028

 

 

 

 

797,534

 

Operating lease right-of-use assets

 

 

 

21,323

 

 

 

 

17,556

 

Finance lease right-of-use assets

 

 

 

24,517

 

 

 

 

25,861

 

Intangible assets, net

 

 

 

306,472

 

 

 

 

273,437

 

Goodwill

 

 

 

305,155

 

 

 

 

249,692

 

Deferred tax asset

 

 

 

27,091

 

 

 

 

16,692

 

Other assets

 

 

 

4,756

 

 

 

 

5,387

 

Total assets

 

$

 

1,923,010

 

 

$

 

1,646,351

 

 

 

 

 

 

 

 

 

 

Liabilities, redeemable non-controlling interests and stockholders’ equity

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

Accounts payable

 

$

 

45,285

 

 

$

 

22,827

 

Accrued expenses

 

 

 

49,438

 

 

 

 

26,909

 

Current portion of tax receivable agreement liability

 

 

 

3,500

 

 

 

 

—

 

Current portion of operating lease obligations

 

 

 

8,582

 

 

 

 

8,004

 

Current portion of finance lease obligations

 

 

 

13,044

 

 

 

 

12,895

 

Deferred revenue

 

 

 

18,914

 

 

 

 

7,376

 

Total current liabilities

 

 

 

138,763

 

 

 

 

78,011

 

Long-term liabilities:

 

 

 

 

 

 

 

 

Long-term debt, net

 

 

 

298,407

 

 

 

 

167,819

 

Tax receivable agreement liability

 

 

 

104,650

 

 

 

 

21,952

 

Operating lease obligations, net of current portion

 

 

 

12,957

 

 

 

 

9,783

 

Finance lease obligations, net of current portion

 

 

 

9,151

 

 

 

 

10,862

 

Total long-term liabilities

 

 

 

425,165

 

 

 

 

210,416

 

Total liabilities

 

 

 

563,928

 

 

 

 

288,427

 

Commitments and contingencies

 

 

 

 

 

 

 

 

Redeemable non-controlling interests

 

 

 

993,935

 

 

 

 

1,129,298

 

Stockholders’ equity:

 

 

 

 

 

 

 

 

Class A common stock, $0.0001 par value – 300,000,000 shares authorized; 43,964,877 shares issued and outstanding as of June 30, 2026; 300,000,000 shares authorized; 29,091,960 shares issued and outstanding as of December 31, 2025.

 

 

 

4

 

 

 

 

3

 

Class B common stock, $0.0001 par value – 150,000,000 shares authorized; 46,380,539 shares issued and outstanding as of June 30, 2026; 150,000,000 shares authorized; 60,562,983 shares issued and outstanding as of December 31, 2025.

 

 

 

5

 

 

 

 

6

 

Additional paid-in capital

 

 

 

340,198

 

 

 

 

40,731

 

Retained earnings

 

 

 

24,940

 

 

 

 

187,886

 

Total stockholders’ equity to Flowco Holdings Inc.

 

 

 

365,147

 

 

 

 

228,626

 

Total liabilities, redeemable non-controlling interests and stockholders’ equity

 

$

 

1,923,010

 

 

$

 

1,646,351

 
 

Flowco Holdings Inc.

Condensed Consolidated Statements of Cash Flows
 

 

 

Six Months Ended

June 30,

 

 

 

2026

 

 

2025

 

 

(in thousands)

 

Cash flows from operating activities

 

 

 

 

 

 

 

 

Net income

 

$

 

58,398

 

 

$

 

54,397

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

 

90,867

 

 

 

 

67,284

 

Provision for inventory obsolescence

 

 

 

1,152

 

 

 

 

1,274

 

Amortization of operating right-of-use assets

 

 

 

5,299

 

 

 

 

4,011

 

Amortization of deferred financing costs

 

 

 

675

 

 

 

 

674

 

Loss on sale of equipment

 

 

 

494

 

 

 

 

23

 

Gain on lease termination

 

 

 

(42

)

 

 

 

(263

)

Stock-based compensation

 

 

 

6,160

 

 

 

 

7,991

 

Provision for deferred income taxes

 

 

 

7,785

 

 

 

 

1,428

 

Allowance for credit losses

 

 

 

583

 

 

 

 

941

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

Accounts receivable

 

 

 

(14,996

)

 

 

 

(3,356

)

Inventory

 

 

 

(2,412

)

 

 

 

(941

)

Prepaid expenses and other current assets

 

 

 

(12,775

)

 

 

 

614

 

Other assets and liabilities

 

 

 

(46

)

 

 

 

(66

)

Accounts payable – trade

 

 

 

16,011

 

 

 

 

2,014

 

Accrued expenses

 

 

 

14,037

 

 

 

 

(6,695

)

Deferred revenue

 

 

 

7,377

 

 

 

 

(2,079

)

Operating lease liabilities

 

 

 

(5,558

)

 

 

 

(3,591

)

Finance lease liabilities

 

 

 

931

 

 

 

 

1,067

 

Net cash provided by operating activities

 

 

 

173,940

 

 

 

 

124,727

 

Cash flows from investing activities

 

 

 

 

 

 

 

 

Net cash paid in Valiant acquisition

 

 

 

(161,846

)

 

 

 

—

 

Additions to property, plant and equipment

 

 

 

(71,859

)

 

 

 

(63,620

)

Proceeds from sale of property, plant and equipment

 

 

 

105

 

 

 

 

270

 

Payment for capitalized patent costs

 

 

 

(314

)

 

 

 

(95

)

Net cash used in investing activities

 

 

 

(233,914

)

 

 

 

(63,445

)

Cash flows from financing activities

 

 

 

 

 

 

 

 

Issuance of Class A common stock in IPO, net of underwriting discount

 

 

 

—

 

 

 

 

461,803

 

Payment of offering costs

 

 

 

—

 

 

 

 

(2,458

)

Repurchase of Class A common stock

 

 

 

(16,516

)

 

 

 

—

 

Payments on long-term debt

 

 

 

(536,403

)

 

 

 

(739,997

)

Proceeds from long-term debt

 

 

 

666,992

 

 

 

 

271,131

 

Payments on finance lease obligations

 

 

 

(8,220

)

 

 

 

(5,663

)

Proceeds on finance lease terminations

 

 

 

36

 

 

 

 

313

 

Purchase of LLC Interests from Continuing Equity Owners

 

 

 

—

 

 

 

 

(20,876

)

Payment of debt issuance costs

 

 

 

—

 

 

 

 

(13

)

Payment of dividend equivalent units

 

 

 

(2

)

 

 

 

—

 

Payments of selling commissions and fees

 

 

 

(69

)

 

 

 

—

 

Distributions to members of Flowco LLC

 

 

 

(25,041

)

 

 

 

(18,792

)

Dividends paid to Flowco Holdings Inc. shareholders

 

 

 

(6,136

)

 

 

 

(2,058

)

Net cash provided by (used in) financing activities

 

 

 

74,641

 

 

 

 

(56,610

)

Net increase (decrease) in cash and cash equivalents

 

 

 

14,667

 

 

 

 

4,672

 

Cash and cash equivalents

 

 

 

 

 

 

 

 

Beginning of period

 

 

 

4,522

 

 

 

 

4,615

 

End of period

 

$

 

19,189

 

 

$

 

9,287

 

Non-GAAP Financial Measures

In addition to our results determined in accordance with generally accepted accounting principles in the United States (“GAAP”), the Company uses non-GAAP financial measures, such as Adjusted Net Income, EBITDA, Adjusted EBITDA and Free Cash Flow, as well as Adjusted Segment EBITDA and Adjusted Segment EBITDA Margin, in this press release to supplement financial information presented in accordance with GAAP. We believe that excluding certain items from our GAAP results provides management additional insight on the consolidated financial performance from period to period to project our future consolidated financial performance as forecasts are developed at a level of detail different from that used to prepare GAAP-based financial measures. Moreover, we believe these non-GAAP financial measures provide our management and investors with useful information to help them evaluate our operating results by facilitating an enhanced understanding of our operating performance and enabling them to make more meaningful period to period comparisons. There are limitations to the use of the non-GAAP financial measures presented in this press release. For example, our non-GAAP financial measures may not be comparable to similarly titled measures of other companies. Other companies, including companies in our industry, may calculate non-GAAP financial measures differently than we do, limiting the usefulness of those measures for comparative purposes. Similarly, Free Cash Flow does not represent our residual cash flow for discretionary expenditures, since the calculation of this measure does not reflect certain debt service requirements or certain other non-discretionary expenditures. Non-GAAP measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results. The Company urges investors to review the reconciliation and not to rely on any single financial measure to evaluate our business.

Adjusted Net Income

Adjusted Net Income is a non-GAAP measure that we define as net income (loss) adjusted to eliminate the impact of (i) transaction-related expenses, (ii) share-based compensation, (iii) loss on the sale of equipment, and (iv) non-recurring charges. Adjusted Net Income is a supplemental non-GAAP financial measure used by management, our stockholders and others to provide visibility on the profitability and financial strength of the Company by excluding certain expenses related to non-recurring Company transactions.

Reconciliation from net income to Adjusted Net Income is set forth as follows:

 

 

Three Months Ended

 

 

 

June 30,

2026

 

 

March 31,

2026

 

 

June 30,

2025

 

 

 

(in thousands)

 

Net income

 

$

 

30,944

 

 

$

 

27,454

 

 

$

 

27,352

 

Transaction-related expenses (1)

 

 

 

66

 

 

 

 

4,811

 

 

 

 

6

 

Share-based compensation expense (2)

 

 

 

3,073

 

 

 

 

3,086

 

 

 

 

1,670

 

Non-recurring charges (3)

 

 

 

—

 

 

 

 

—

 

 

 

 

3,902

 

Loss on sale of equipment

 

 

 

184

 

 

 

 

310

 

 

 

 

68

 

Adjusted Net Income

 

$

 

34,267

 

 

$

 

35,661

 

 

$

 

32,998

 

(1)

Represents the transaction-related expenses and business combination expenses associated with the Valiant acquisition, which were expensed as incurred and included in the consolidated statements of operations.

(2)

Reflects non-cash compensation expense for equity-based awards to our employees and non-employee directors for the periods presented.

(3)

Represents one-time charges related to termination benefits and related expenses, which includes one of our executive officers, and the costs associated with the re-purposing of one of our manufacturing facilities in Pampa, TX.

Adjusted EBITDA and Adjusted EBITDA margin

We define EBITDA as net income, adjusted to exclude interest expense, provision for income taxes and depreciation and amortization. We define Adjusted EBITDA as EBITDA adjusted to exclude (i) share-based compensation expense, (ii) transaction-related expenses and (iii) other non-cash and non-recurring expenses.

EBITDA and Adjusted EBITDA are key performance indicators we use in evaluating our operating performance and in making financial, operating and planning decisions. In particular, the exclusion of certain expenses in calculating EBITDA and Adjusted EBITDA provides additional visibility on operating performance across reporting periods by removing the effect of non-cash and/or non-recurring expenses. Accordingly, we believe that this measure provides useful information to our stockholders and others in understanding and evaluating our operating results in the same manner as our management and board of directors.

Reconciliation from net income to EBITDA and Adjusted EBITDA are set forth as follows:

 

 

Three Months Ended

 

 

June 30,

2026

 

March 31,

2026

 

June 30,

2025

 

 

(in thousands)

Net income

 

$

30,944

 

$

27,454

 

$

27,352

Interest expense

 

 

5,597

 

 

4,348

 

 

6,445

Income tax benefit (provision)

 

 

4,648

 

 

4,030

 

 

3,880

Depreciation and amortization

 

 

49,372

 

 

41,495

 

 

33,165

EBITDA

 

 

90,561

 

 

77,327

 

 

70,842

Transaction-related expenses (1)

 

 

66

 

 

4,811

 

 

6

Share-based compensation expense (2)

 

 

3,073

 

 

3,086

 

 

1,670

Non-recurring charges (3)

 

 

—

 

 

—

 

 

3,902

Loss on sale of equipment

 

 

184

 

 

310

 

 

68

Adjusted EBITDA

 

$

93,884

 

$

85,534

 

$

76,488

(1)

Represents the transaction-related expenses and business combination expenses associated with the Valiant acquisition, which were expensed as incurred and included in the consolidated statements of operations.

(2)

Reflects non-cash compensation expense for equity-based awards to our employees and non-employee directors for the periods presented.

(3)

Represents one-time charges related to termination benefits and related expenses, which includes one of our executive officers, and the costs associated with the re-purposing of one of our manufacturing facilities in Pampa, TX.

Adjusted Segment EBITDA and Adjusted Segment EBITDA Margin

In addition to business segment profit or loss, our management also evaluates Adjusted Segment EBITDA, which is presented on a business unit level for purposes of allocating resources and evaluating operating and financial performance. As discussed above, the Company operates and manages its business units in the following two operating and reporting segments:

  • Production Solutions: relates to rentals, sales and services related to high pressure gas lift, electric submersible pumps (ESP), conventional gas lift and plunger lift. This segment includes rental, sales and service revenues.

  • Natural Gas Technologies: relates to the design, manufacturing, rental, sale and servicing of vapor recovery and natural gas systems. This segment includes rental, sales and service revenues.

We define Adjusted Segment EBITDA as segment net income, as adjusted in the same manner as defined for EBITDA and Adjusted EBITDA above. Reconciliation from segment net income, which includes direct segment costs but excludes corporate costs not directly related to either segment, to Adjusted Segment EBITDA is set forth as follows:

 

 

Three Months Ended

 

 

June 30,

2026

 

March 31,

2026

 

June 30,

2025

 

 

(in thousands)

Production Solutions

 

 

 

 

 

 

 

 

 

Net income

 

$

38,296

 

$

35,100

 

$

32,676

Interest expense

 

 

176

 

 

127

 

 

2,302

Income tax benefit (provision)

 

 

89

 

 

29

 

 

53

Depreciation and amortization

 

 

32,197

 

 

25,899

 

 

18,192

EBITDA

 

 

70,758

 

 

61,155

 

 

53,223

(Gain) loss on sale of equipment

 

 

261

 

 

314

 

 

120

Adjusted Segment EBITDA

 

 

71,019

 

 

61,469

 

 

53,343

 

 

 

 

 

 

 

 

 

 

Natural Gas Technologies

 

 

 

 

 

 

 

 

 

Net income

 

$

10,502

 

$

13,895

 

$

11,229

Interest expense

 

 

170

 

 

186

 

 

224

Income tax benefit (provision)

 

 

—

 

 

1

 

 

29

Depreciation and amortization

 

 

17,164

 

 

15,587

 

 

14,967

EBITDA

 

 

27,836

 

 

29,669

 

 

26,449

Non-recurring charges (3)

 

 

—

 

 

—

 

 

1,000

(Gain) loss on sale of equipment

 

 

(77)

 

 

(4)

 

 

(52)

Adjusted Segment EBITDA

 

 

27,759

 

 

29,665

 

 

27,397

 

 

 

 

 

 

 

 

 

 

Corporate

 

 

 

 

 

 

 

 

 

Net income

 

$

(17,854)

 

$

(21,541)

 

$

(16,553)

Interest expense

 

 

5,251

 

 

4,035

 

 

3,919

Income tax benefit (provision)

 

 

4,559

 

 

4,000

 

 

3,798

Depreciation and amortization

 

 

11

 

 

9

 

 

6

EBITDA

 

 

(8,033)

 

 

(13,497)

 

 

(8,830)

Transaction-related expenses (1)

 

 

66

 

 

4,811

 

 

6

Share-based compensation expense (2)

 

 

3,073

 

 

3,086

 

 

1,670

Non-recurring charges (3)

 

 

—

 

 

—

 

 

2,902

Adjusted Segment EBITDA

 

 

(4,894)

 

 

(5,600)

 

 

(4,252)

Total Adjusted EBITDA

 

$

93,884

 

$

85,534

 

$

76,488

(1)

Represents the transaction-related expenses and business combination expenses associated with the Valiant acquisition, which were expensed as incurred and included in the consolidated statements of operations.

(2)

Reflects non-cash compensation expense for equity-based awards to our employees and non-employee directors for the periods presented.

(3)

Represents one-time charges related to termination benefits and related expenses, which includes one of our executive officers (Corporate), and the costs associated with the re-purposing of one of our manufacturing facilities in Pampa, TX (Natural Gas Technologies).

Free Cash Flow

Free Cash Flow is a non-GAAP measure that we define as cash flow provided by operating activities less additions to property, plant and equipment (which includes both maintenance and growth capital expenditures, but excludes asset acquisitions of a business, and excludes other business acquisitions and equity investments). Management believes this information is important to provide because it is used by management to evaluate the Company’s operational performance and trends between periods and to manage our business. Management also believes this information may be useful to investors and analysts to gain a better understanding of the Company’s results of ongoing operations. Free Cash Flow is not intended to replace GAAP financial measures. A reconciliation of net cash provided by operating activities to Free Cash Flow, as well as Free Cash Flow (Deficit) after net cash paid in acquisitions, is set forth as follows:

 

 

Three Months Ended

June 30,

 

 

Six Months Ended

June 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

 

(in thousands)

 

Net cash provided by operating activities

 

$

 

95,232

 

 

$

 

82,178

 

 

$

 

173,940

 

 

$

 

124,727

 

Additions to property, plant and equipment

 

 

 

(45,474

)

 

 

 

(35,770

)

 

 

 

(71,859

)

 

 

 

(63,620

)

Free Cash Flow

 

$

 

49,758

 

 

$

 

46,408

 

 

$

 

102,081

 

 

$

 

61,107

 

Net cash paid in acquisitions

 

 

 

(82

)

 

 

 

—

 

 

 

 

(161,846

)

 

 

 

—

 

Free Cash Flow (Deficit) after Net Cash Paid in Acquisition

 

$

 

49,676

 

 

$

 

46,408

 

 

$

 

(59,765

)

 

$

 

61,107

 

 

Investor Contact:

Andrew Leonpacher | VP of Finance, Corporate Development, and Investor Relations

[email protected]

(713) 997-4647

Media Contact:

Cheryl Brashear-White | VP of Marketing Communications

[email protected]

(405) 819-5290

KEYWORDS: Texas United States North America

INDUSTRY KEYWORDS: Engineering Other Energy Oil/Gas Manufacturing Energy Other Manufacturing Machinery

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