Getting big returns from financial portfolios, whether through stocks, bonds, ETFs, other securities, or a combination of all, is an investor's dream. But for income investors, generating consistent cash flow from each of your liquid investments is your primary focus.
Cash flow can come from bond interest, interest from other types of investments, and, of course, dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends account for significant portions of long-term returns, with dividend contributions exceeding one-third of total returns in many cases.
Headquartered in Toronto, Toronto-Dominion Bank (TD - Free Report) is a Finance stock that has seen a price change of 21.55% so far this year. Currently paying a dividend of $0.78 per share, the company has a dividend yield of 2.71%. In comparison, the Banks - Foreign industry's yield is 2.75%, while the S&P 500's yield is 1.46%.
Looking at dividend growth, the company's current annualized dividend of $3.11 is up 4.2% from last year. Over the last 5 years, Toronto-Dominion Bank has increased its dividend 3 times on a year-over-year basis for an average annual increase of 5.24%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Toronto-Dominion's current payout ratio is 45%, meaning it paid out 45% of its trailing 12-month EPS as dividend.
Looking at this fiscal year, TD expects solid earnings growth. The Zacks Consensus Estimate for 2026 is $6.92 per share, representing a year-over-year earnings growth rate of 15.72%.
Investors like dividends for a variety of different reasons, from tax advantages and decreasing overall portfolio risk to considerably improving stock investing profits. However, not all companies offer a quarterly payout.
Big, established firms that have more secure profits are often seen as the best dividend options, but it's fairly uncommon to see high-growth businesses or tech start-ups offer their stockholders a dividend. Income investors must be conscious of the fact that high-yielding stocks tend to struggle during periods of rising interest rates. With that in mind, TD is a compelling investment opportunity. Not only is it a strong dividend play, but the stock currently sits at a Zacks Rank of #3 (Hold).
The Polaris Forge 3 lease expands Applied Digital's contracted backlog to $31 billion, 67% of which is tied to investment-grade hyperscaler, which could unlock cheap project financing. The 1-month gap between the Delta Forge 1 and Polaris Forge 3 leases suggests that the same customer is likely to lease the remaining 300 MW site in the near-term. The short gap also points to a broader trend of hyperscalers securing compute capacity for 2027-2028 deployments, in time for the rollout of Nvidia's Rubin Ultra and Feynman GPU architectures.
Applied Digital (APLD +5.91%) has suddenly become one of the most talked-about stocks in the artificial intelligence space.
At first glance, that may seem strange. The company does not build AI models. It does not design cutting-edge semiconductors, and it certainly is not the household name that Nvidia has become.
So why are investors suddenly paying attention?
The answer lies in a critical bottleneck that could shape the future of artificial intelligence. As technology companies race to deploy more AI systems, they are discovering that securing enough electricity and data center capacity may be just as important as securing graphics processing units (GPUs).
That is where Applied Digital comes in. The company is quietly positioning itself as a supplier of the infrastructure needed to power the AI revolution.
Image source: Getty Images.
Applied Digital is building the foundation beneath the AI boom Most investors think of AI as a software story. Others focus on chipmakers such as Nvidia that provide the computing power behind large language models.
But every AI workload ultimately requires a physical home. Massive clusters of GPUs need electricity, cooling systems, networking equipment, and specialized facilities capable of operating around the clock.
Applied Digital builds and operates those facilities. Rather than competing directly with AI companies, the business is attempting to become a critical infrastructure provider to the industry's biggest spenders.
In many ways, Applied Digital is pursuing a simple strategy: build the digital real estate that AI companies cannot operate without.
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The real opportunity is bigger than most investors realize The AI industry is facing a problem that receives less attention than the latest model releases -- there is not enough infrastructure.
Major technology companies are spending hundreds of billions of dollars to expand their AI capabilities. Yet bringing new data center capacity online takes years and requires significant land, power, cooling equipment, and capital.
That shortage of resources (particularly electricity) has transformed data centers from a boring corner of the technology industry into one of the most valuable assets in the AI ecosystem. For Applied Digital, that shift could be transformational.
The company recently announced its second long-term hyperscaler agreement, which pushed its contracted lease revenue into the tens of billions of dollars. For a business of its size -- the company generated just $127 million in revenue in the latest quarter -- those numbers are difficult for investors to ignore.
More importantly, they suggest that some of the world's largest technology companies are already planning for AI demand that extends many years into the future, and Applied Digital is playing an important role in that.
A landlord to the AI revolution One of the most interesting ways to think about Applied Digital is as a landlord. Landlords do not need to know which of their tenants will become the most successful. They simply provide the space.
Applied Digital's AI Factory is designed to do something similar. As demand for AI infrastructure grows, the company hopes to lease power, cooling, and data center capacity to hyperscaler customers that need to deploy thousands of GPUs.
That approach offers an important advantage. Rather than betting on which AI model will win, which chatbot will gain market share, or which software platform will dominate, investors are gaining exposure to the infrastructure layer that supports the entire ecosystem.
If AI continues expanding, demand for that infrastructure could grow regardless of which companies ultimately emerge as the biggest winners.
Why investors should care Despite all this, Applied Digital remains a speculative investment. The company still faces execution and financing risks, as well as the challenge of completing large-scale projects on time.
Yet those risks are precisely why many investors are paying attention. AI is not just creating demand for software and semiconductors. It is also creating demand for the power-hungry infrastructure that enables those technologies.
Applied Digital aims to supply it.
Whether the company ultimately becomes a major winner remains to be seen. But as AI spending accelerates and infrastructure shortages persist, it is becoming increasingly clear why investors should have Applied Digital on their radar.
Applied Digital (APLD +5.91%) has become a high-stakes AI infrastructure story after a massive stock rally and a fast-growing hyperscaler backlog. The bullish case is built around contracted demand, scarce data center capacity, and long-term AI compute growth. But with valuation risk, debt, and execution pressure rising, investors now face a much harder question.
Stock prices used were the market prices of May 28, 2026. The video was published on June 5, 2026.
Rick Orford has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Rick Orford is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link, they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.
June 08, 2026 08:00 ET | Source: Applied Digital Corporation
DALLAS, June 08, 2026 (GLOBE NEWSWIRE) -- Applied Digital Corporation (NASDAQ: APLD) (“Applied Digital” or the “Company”), a leading designer, builder and operator of high-performance, sustainably engineered data centers and colocation services for Artificial Intelligence (“AI”), networking, and blockchain workloads, today announced that it closed a revolving credit facility (the “Credit Facility”) on May 29, 2026. The Credit Facility was arranged by Goldman Sachs and provides for up to $350 million of committed capacity with an additional accordion option of up to $200 million. Proceeds from the Credit Facility will be used to support the pre- and post-lease development of the Company’s data center projects and for working capital and other general corporate purposes.
"The strong support we received from this syndicate of leading financial institutions underscores the scale of the opportunity before us and the confidence our banking partners have in our ability to execute,” said Saidal Mohmand, Chief Financial Officer of Applied Digital. “As demand for AI and high-performance computing infrastructure continues to accelerate, this facility is intended to provide additional flexibility to advance our development pipeline while maintaining a disciplined approach to capital allocation. We believe this agreement further supports the quality of our platform, the strength of our customer relationships, and the long-term value creation potential of our business."
The Credit Facility is secured by certain non-data center project assets, has a scheduled maturity of May 29, 2029, and bears interest at the Secured Overnight Financing Rate (SOFR) plus 225 basis points or at the Alternative Base Rate plus 125 basis points.
Applied Digital also entered into a Memorandum of Understanding with CoreWeave on June 5, 2026, to assign the lease with CoreWeave for Building 3 at the Polaris Forge 1 campus to a CoreWeave subsidiary, if that subsidiary achieves an investment grade credit rating.
Goldman Sachs acted as Lead Left Arranger Bookrunner and First National Bank of Omaha, Mizuho Bank, Royal Bank of Canada, Banco Santander and Wells Fargo Bank served as Joint Lead Arrangers and Joint Bookrunners. First National Bank of Omaha serves as Administrative Agent and Collateral Agent under the Credit Facility.
About Applied Digital
Applied Digital (Nasdaq: APLD) named Best Data Center in the Americas 2025 by Datacloud — designs, builds, and operates high-performance, sustainably engineered data centers and colocation services for artificial intelligence, networking, and blockchain workloads. Headquartered in Dallas, TX, and founded in 2021, the company combines hyperscale expertise, proprietary waterless cooling, and rapid deployment capabilities to deliver secure, scalable compute at industry-leading speed and efficiency, while creating economic opportunities in underserved communities through its award-winning Polaris Forge AI Factory model.
Caution About Forward-Looking Statements
Forward-Looking Statements
This press release contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 regarding, among other things, future operating and financial performance, product development, market position, business strategy and objectives, and future financing plans. These statements use words, and variations of words, such as “will,” “continue,” “build,” “future,” “increase,” “drive,” “believe,” “look,” “ahead,” “confident,” “proven,” “deliver,” “outlook,” “expect,” “project” and “predict.” Other examples of forward-looking statements may include, but are not limited to, (i) statements that reflect perspectives and expectations regarding lease agreements and any current or prospective data center campus development; (ii) statements about the high-performance computing (HPC) industry; (iii) statements of company plans and objectives, including the company’s evolving business model, or estimates or predictions of actions by suppliers; (iv) statements of future economic performance; (v) statements of assumptions underlying other statements and statements about the company or its business; and (vi) the company’s plans to obtain future project financing. You are cautioned not to rely on these forward-looking statements. These statements are based on current expectations of future events and thus are inherently subject to uncertainty. If underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from the company’s expectations and projections. These risks, uncertainties, and other factors include, among others: whether or not our customers exercise the renewal options under their leases with us (if not, we will not recognize further revenue from such customer under its respective lease); our ability to complete construction of our data center campuses as planned; the lead time of customer acquisition and leasing decisions and related internal approval processes; [whether the CoreWeave lease assignment to the MOU will occur;] changes to artificial intelligence and HPC infrastructure needs and their impact on future plans; costs related to the HPC operations and strategy; our ability to timely deliver any services required in connection with completion of installation under lease agreements; our ability to raise additional capital to fund the ongoing datacenter construction and operations; our ability to obtain financing of datacenter leases and more broadly for our development and general corporate activities; our dependence on principal customers, including our ability to execute and perform our obligations under our leases with key customers; our ability to timely and successfully build new hosting facilities with the appropriate contractual margins and efficiencies; power or other supply disruptions and equipment failures; the inability to comply with regulations, developments and changes in regulations; cash flow and access to capital; availability of financing to continue to grow our business; decline in demand for our products and services; maintenance of third party relationships; and conditions in the debt and equity capital markets. A further list and description of these risks, uncertainties, and other factors can be found in the company’s most recently filed Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, including in the sections captioned “Forward-Looking Statements” and “Risk Factors,” and in the company’s subsequent filings with the Securities and Exchange Commission. Copies of these filings are available online at www.sec.gov, on the company’s website (www.applieddigital.com) under “Investors,” or on request from the company. Information in this press release is as of the dates and time periods indicated herein, and the company does not undertake to update any of the information contained in these materials, except as required by law.
Applied Digital (APLD +5.91%) roared higher in May's trading, bounding 38% higher across the stretch. Meanwhile, the S&P 500 rose 5.2% in the month, and the Nasdaq Composite jumped 8.4%.
Investors were strongly bullish on the artificial intelligence (AI) trade last month, and many big names in the category saw massive valuation gains. Despite a pullback in June's trading, Applied Digital stock is up roughly 66% in 2026.
Image source: Getty Images.
May was a big month for Applied Digital Along with bullish momentum for AI stocks, Applied Digital's valuation also moved higher in conjunction with some business-specific news last month. For starters, the company published a press release on May 4 announcing that it had secured new funding through a $300 million senior secured bridge facility. Applied Digital said that it would use the money to fund the construction of its third AI data center.
The next day, the company announced that it had completed the separation of its cloud business. As a result of the deal, the cloud unit was taken over by EKSO -- which then changed its name to ChronoScale Corporation. The renamed business began trading on the Nasdaq exchange the same day.
On May 20, Applied Digital announced that it had entered into a long-term lease agreement to facilitate the opening of its fourth AI data center. The company said that the facility will deliver 300 megawatts (MW) of critical IT load and be supported by roughly 430 of grid-connected utility power. Along with the news, multiple analysts raised their respective price targets for Applied Digital stock.
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After massive rallies last month, AI stocks appear to be taking a bit of a breather early in June's trading. As of this writing, Applied Digital stock is down roughly 13.5% in the month. Meanwhile, the S&P 500 is down 1.7%, and the Nasdaq Composite is off 3.5%.
Following a stronger-than-expected jobs report from the Bureau of Labor Statistics last Friday, investors have become increasingly concerned that the Federal Reserve could move to raise interest rates this year. With inflationary pressures on the rise recently, the Fed could vote to implement a rate hike in hopes of reversing the trend.
Relatively strong jobs growth makes it less likely that the central banking authority will vote for a rate cut to support economic activity and more likely that it will prioritize fighting inflation. If the Fed pivots to raising rates, it could create strong valuation pressures for Applied Digital and other highly growth-dependent AI stocks.
Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Key Takeaways APLD is building growth around utility-connected power for AI data center deployments.Applied Digital's North Dakota campuses offer low-cost power and favorable cooling conditions.APLD backs grid expansion via Base Electron, targeting about 1.2 GW of gas-fired capacity. Applied Digital (APLD - Free Report) is building its next growth phase around power infrastructure, which is becoming an increasingly important factor in AI data center deployment. As hyperscalers continue expanding AI workloads, access to reliable and scalable power is expected to play a larger role in data center site selection. APLD's strategy of securing utility-connected power capacity and developing campuses in energy-abundant regions could strengthen its position in the rapidly growing AI infrastructure market.
The company's North Dakota campuses are expected to provide a competitive advantage through access to low-cost grid power, favorable cooling conditions and an established operating footprint. These factors may help APLD offer customers long-term efficiency benefits while supporting the economics of multi-year hyperscale leases. The company already has 1.2 gigawatts of critical IT capacity under contract and is actively marketing additional development sites with more than 3.5 gigawatts of utility-connected power capacity. As AI infrastructure demand rises, these assets could support future leasing activity and expand APLD's revenue base.
Beyond securing existing power resources, APLD is seeking to support future power availability through its relationship with Base Electron, an independent power producer working with Babcock & Wilcox. The initiative is expected to add approximately 1.2 gigawatts of natural gas-fired generation capacity to the Dakotas grid. This grid-expansion approach aligns with the utility-connected infrastructure model preferred by many hyperscale customers.
However, execution remains critical. Power projects require regulatory approvals, utility coordination and timely infrastructure development. The Zacks Consensus Estimate for APLD's fiscal 2026 revenues is pegged at $395.4 million, indicating 83.48% year-over-year growth. The company's ability to translate its power strategy into additional contracted capacity and new hyperscale leases will likely determine whether it can sustain its next leg of growth.
APLD Faces Stiff CompetitionApplied Digital faces stiff competition from Vertiv Holdings (VRT - Free Report) and nVent Electric (NVT - Free Report) in addressing power and thermal constraints across AI infrastructure. Vertiv Holdings and nVent Electric operate equipment-vendor models that distribute risk across multiple customers, require less capital per megawatt and carry limited exposure to project-level delays or utility coordination timelines.
Applied Digital's growth trajectory, unlike that of Vertiv and nVent Electric, remains directly tied to how effectively its utility-connected power pipeline converts into operational campuses and contracted hyperscale lease revenues.
APLD’s Share Price Performance, Valuation & EstimatesApplied Digital shares have surged 61.6% year to date, outperforming the broader Zacks Finance sector’s decline of 11.2% and the Zacks Financial-Miscellaneous Services industry’s decline of 1.6%.
APLD Stock’s Performance
Image Source: Zacks Investment Research
Applied Digital stock is trading at a forward 12-month price/sales of 14.45X compared with the broader sector’s 2.81X.
APLD’s Valuation
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for fiscal 2026 loss is pegged at 68 cents per share, up by 16 cents over the past 30 days. Applied Digital reported a loss of 80 cents per share in the previous year.
APLD currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
DALLAS, June 08, 2026 (GLOBE NEWSWIRE) -- Applied Digital (NASDAQ: APLD), a designer, builder, and operator of high-performance, sustainably engineered data centers and colocation services for artificial intelligence, cloud, networking, and blockchain workloads, today announced it has entered into a new long-term lease agreement at Delta Forge 2, a purpose-built AI Factory campus located in a new southern state. The lease is with a U.S. based high investment-grade hyperscaler, marking the company’s fifth AI Factory campus overall.
The agreement covers 210 MW of critical IT load under a 15-year take-or-pay structure with renewal options, representing approximately $5.2 billion in base-term contracted revenue, or approximately $12.7 billion if all renewal options are exercised over a 30-year total term.
“Two years ago, we made a deliberate decision to build a company that scales, not just builds data centers,” said Wes Cummins, Chairman and Chief Executive Officer of Applied Digital. “We call it our franchise model — a core team of design, construction, and operations professionals replicated across every campus, in every market. Continued demand from leading hyperscalers across five campuses is strong validation of our model.”
With this agreement, which represents Applied Digital’s third long-term lease with the same U.S. based investment-grade hyperscaler, the company’s contracted portfolio spans five AI Factory campuses, representing 1.4 GW of critical IT load, approximately 2.15 GW of grid-connected utility power, and approximately $36 billion in total contracted base-term lease revenue, or $86 billion if all renewal options are exercised. Approximately 70% of contracted revenue is now backed by U.S. based investment-grade hyperscalers.
Applied Digital’s site selection strategy prioritizes communities where large-scale, long-duration infrastructure investment creates meaningful and lasting economic impact, including local employment, an expanded tax base, and sustained economic activity over the life of each project.
“We are deliberate about where we build,” Cummins continued. “We look for communities where this kind of investment genuinely matters — where the jobs, the tax base, and the long-term economic activity have real impact. We have built a track record of being good partners to those communities, and we take that responsibility seriously. That track record is part of how we earn the right to keep building.”
Delta Forge 2 is expected to bring meaningful local employment, construction activity to its host community. The campus integrates Applied Digital’s proprietary waterless cooling technology and high-power density infrastructure, purpose-built for the compute densities required by large-scale AI training and inference workloads. Initial operations are anticipated to commence in Q1 2028.
To see this community model in practice, Applied Digital’s documentary series Behind the Build offers a ground-level look at how Applied Digital constructs its AI Factory campuses alongside the communities they call home.
Key Transaction Highlights:
210 MW of critical IT load located in a new southern state15-year take-or-pay lease with renewal options; approximately $5.2 billion in base-term contracted revenue, approximately $12.7 billion including all renewal options over a 30-year total termLease with a U.S. based high investment-grade hyperscaler; Applied Digital’s fifth AI Factory campusFranchise model now active across northern and southern geographiesBrings total contracted lease revenue to approximately $36 billion across five campuses ($86 billion if all renewal options are exercised)Total contracted critical IT load now reaches 1.4 GW; approximately 2.15 GW gross grid-connected utility powerApproximately 70% of contracted revenue backed by U.S. based investment-grade hyperscalersPurpose-built for large-scale AI training and inference; incorporates Applied Digital’s proprietary waterless cooling and high-density power infrastructureInitial operations anticipated to commence Q1 2028 About Applied Digital
Applied Digital (Nasdaq: APLD) named Best Data Center in the Americas 2025 by Datacloud — designs, builds, and operates high-performance, sustainably engineered data centers and colocation services for artificial intelligence, cloud, networking, and blockchain workloads. Headquartered in Dallas, TX, and founded in 2021, the company combines hyperscale expertise, proprietary waterless cooling, and rapid deployment capabilities to deliver secure, scalable compute at industry-leading speed and efficiency, while creating economic opportunities in underserved communities through its AI Factory franchise model.
Learn more at applieddigital.com or follow @APLDdigital on X and LinkedIn.
Forward-Looking Statements
This press release contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 regarding, among other things, future operating and financial performance, product development, market position, business strategy and objectives, and future financing plans. These statements use words, and variations of words, such as “will,” “continue,” “build,” “future,” “increase,” “drive,” “believe,” “look,” “ahead,” “confident,” “proven,” “deliver,” “outlook,” “expect,” “project” and “predict.” Other examples of forward-looking statements may include, but are not limited to, (i) statements that reflect perspectives and expectations regarding lease agreements and any current or prospective data center campus development; (ii) statements about the high-performance computing (HPC) industry; (iii) statements of company plans and objectives, including the company’s evolving business model, or estimates or predictions of actions by suppliers; (iv) statements of future economic performance; (v) statements of assumptions underlying other statements and statements about the company or its business; and (vi) the company’s plans to obtain future project financing. You are cautioned not to rely on these forward-looking statements. These statements are based on current expectations of future events and thus are inherently subject to uncertainty. If underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from the company’s expectations and projections. These risks, uncertainties, and other factors include, among others: whether or not our customers exercise the renewal options under their leases with us (if not, we will not recognize further revenue from such customer under its respective lease); our ability to complete construction of our data center campuses as planned; the lead time of customer acquisition and leasing decisions and related internal approval processes; changes to artificial intelligence and HPC infrastructure needs and their impact on future plans; costs related to the HPC operations and strategy; our ability to timely deliver any services required in connection with completion of installation under lease agreements; our ability to raise additional capital to fund the ongoing datacenter construction and operations; our ability to obtain financing of datacenter leases and more broadly for our development and general corporate activities; our dependence on principal customers, including our ability to execute and perform our obligations under our leases with key customers; our ability to timely and successfully build new hosting facilities with the appropriate contractual margins and efficiencies; power or other supply disruptions and equipment failures; the inability to comply with regulations, developments and changes in regulations; cash flow and access to capital; availability of financing to continue to grow our business; decline in demand for our products and services; maintenance of third party relationships; and conditions in the debt and equity capital markets. A further list and description of these risks, uncertainties, and other factors can be found in the company’s most recently filed Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, including in the sections captioned “Forward-Looking Statements” and “Risk Factors,” and in the company’s subsequent filings with the Securities and Exchange Commission. Copies of these filings are available online at www.sec.gov, on the company’s website (www.applieddigital.com) under “Investors,” or on request from the company. Information in this press release is as of the dates and time periods indicated herein, and the company does not undertake to update any of the information contained in these materials, except as required by law.
AI (Artificial Intelligence) letters and robot hand are placed on computer motherboard in this illustration taken, June 23, 2023. REUTERS/Dado Ruvic/Illustration Purchase Licensing Rights, opens new tab
June 8 (Reuters) - Applied Digital (APLD.O), opens new tab has signed a 15-year lease with a U.S.-based hyperscaler at its Delta Forge 2 site which is expected to generate about $5.2 billion in revenue over the period, sending the company's shares up 8.7% in extended trading.
Major technology companies are raising their spending on data centers to support powerful artificial intelligence models, boosting demand for electricity, computing capacity and specialized facilities.
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About 70% of Applied Digital's contracted revenue is now backed by U.S.-based investment-grade hyperscalers, the company said on Monday.
The new agreement covers 210 megawatts of computing capacity at Delta Forge 2, Applied Digital's new AI Factory campus, under a take-or-pay lease structure.
The company did not give more details on its new customer, but said the deal marked its third long-term lease with the same investment-grade hyperscaler.
If all renewal options are exercised, the contract could generate about $12.7 billion in revenue over a 30-year period.
Applied Digital's contracted portfolio now spans five campuses, representing 1.4 gigawatts of critical IT load and about 2.15 gigawatts of grid-connected utility power.
The company said its contracted base-term lease revenue has increased to about $36 billion and would rise to roughly $86 billion if all renewal options are exercised.
Delta Forge 2 will use Applied Digital's waterless cooling technology and high-power density infrastructure designed for AI workloads. Initial operations at the campus are expected to begin in the first quarter of 2028.
Reporting by Harshita Mary Varghese in Bengaluru; Editing by Arun Koyyur
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June 09, 2026 07:55 ET | Source: Applied Digital Corporation
DALLAS, June 09, 2026 (GLOBE NEWSWIRE) -- Applied Digital Corporation (NASDAQ: APLD) (“Applied Digital” or the “Company”), a leading designer, builder and operator of high-performance, sustainably engineered data centers and colocation services for Artificial Intelligence (“AI”), networking, and blockchain workloads, today announced that its subsidiary, APLD ComputeCo 3 LLC (“APLD ComputeCo 3”), intends to offer, subject to market conditions and other factors, $1.59 billion aggregate principal amount of senior secured notes due 2031 (the “Notes”), in a private offering to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and outside the United States to non-U.S. persons in reliance on Regulation S under the Securities Act.
APLD ComputeCo 3 intends to use the net proceeds from the offering to (i) fund the construction and associated expenses of 150 megawatts of critical IT load at the fourth building (“ELN-04”) at Polaris Forge 1, Applied Digital’s AI Factory campus at Ellendale, North Dakota, (ii) repay the aggregate principal balance plus any accrued interest under the Credit and Guaranty Agreement with Goldman Sachs Bank USA, as administrative agent and as collateral agent and the lenders party thereto, which was provided as a bridge loan facility, (iii) fund debt service reserves, and (iv) pay transaction expenses.
The Notes will be fully and unconditionally guaranteed by APLD ComputeCo 3’s future and existing direct and indirect subsidiaries, which as of today include APLD ELN-04 HoldCo LLC, APLD ELN-04 LLC and APLD ELN-04 LandCo LLC (collectively, the “Guarantors”). The Notes and related guarantees will be secured by first-priority liens on (i) substantially all assets of APLD ComputeCo 3 and the Guarantors, other than certain excluded property, and (ii) all equity interests of APLD ComputeCo 3 held by APLD HPC Holdings 2 LLC, a Delaware limited liability company and the direct parent company of APLD ComputeCo 3.
Applied Digital will provide a customary completion guarantee with respect to the ELN-04 project, under which it will fund APLD ComputeCo 3 as necessary to ensure the timely completion of the ELN-04 project.
The offering is subject to market and other conditions, and there can be no assurance as to whether, when or on what terms the offering may be completed.
The Notes have not been registered under the Securities Act, securities laws of any other jurisdiction, and the Notes may not be offered or sold in the United States absent registration or an applicable exemption from registration under the Securities Act and any applicable state securities laws. The Notes will be offered only to persons reasonably believed to be qualified institutional buyers under Rule 144A under the Securities Act and outside the United States to non-U.S. persons in reliance on Regulation S under the Securities Act.
This press release shall not constitute an offer to sell, or a solicitation of an offer to buy the Notes, nor shall there be any sale of the Notes in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Applied Digital
Applied Digital (Nasdaq: APLD) named Best Data Center in the Americas 2025 by Datacloud — designs, builds, and operates high-performance, sustainably engineered data centers and colocation services for artificial intelligence, networking, and blockchain workloads. Headquartered in Dallas, TX, and founded in 2021, the company combines hyperscale expertise, proprietary waterless cooling, and rapid deployment capabilities to deliver secure, scalable compute at industry-leading speed and efficiency, while creating economic opportunities in underserved communities through its award-winning Polaris Forge AI Factory model.
Caution About Forward-Looking Statements
This press release contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 regarding, among other things, the proposed terms of the Notes, the completion, timing and size of the proposed offering of the Notes, the anticipated use of proceeds from the proposed offering, future operating and financial performance, product development, market position, business strategy and objectives and future financing plans. These statements use words, and variations of words, such as “will,” “continue,” “build,” “future,” “increase,” “drive,” “believe,” “look,” “ahead,” “confident,” “deliver,” “outlook,” “demonstrates,” “expect,” “project” and “predict.” Other examples of forward-looking statements may include, but are not limited to, (i) statements that reflect perspectives and expectations regarding lease agreements and campus development, (ii) statements about the HPC industry, (iii) statements of Company plans and objectives, including the Company’s evolving business model, or estimates or predictions of actions by suppliers, (iv) statements of future economic performance, and (v) statements of assumptions underlying other statements and statements about the Company or its business. You are cautioned not to rely on these forward-looking statements. These statements are based on current expectations of future events and thus are inherently subject to uncertainty. If underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from the Company’s expectations and projections. These risks, uncertainties, and other factors include: the Company’s ability to complete construction of the data centers at its campuses; changes to AI and HPC infrastructure needs and their impact on future plans; risks associated with the leasing business, including those associated with counterparties; costs related to the HPC operations and strategy; the Company’s ability to timely deliver any services required in connection with completion of installation under the lease agreements; the Company’s ability to raise additional capital to fund ongoing and future data center construction and operations; the Company’s ability to obtain financing of the lease agreements on acceptable financing terms, or at all; the Company’s dependence on principal customers, including its ability to execute and perform its obligations under its leases with key customers, including without limitation, the lease agreements; the Company’s ability to timely and successfully build hosting facilities with the appropriate contractual margins and efficiencies; power or other supply disruptions and equipment failures; the inability to comply with regulations, developments and changes in regulations; cash flow and access to capital; availability of financing to continue to grow the Company’s business; decline in demand for the Company’s products and services; maintenance of third party relationships; and conditions in the debt and equity capital markets. A further list and description of these risks, uncertainties and other factors can be found in the Company’s most recently filed Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, including in the sections captioned “Forward-Looking Statements” and “Risk Factors,” and in the Company’s subsequent filings with the Securities and Exchange Commission. Copies of these filings are available online at www.sec.gov, on the Company’s website (www.applieddigital.com) under “Investors,” or on request from the Company. Information in this release is as of the dates and time periods indicated herein, and the Company and APLD ComputeCo 3 do not undertake to update any of the information contained in these materials, except as required by law.
Applied Digital APLD rose 10.34% in premarket after the company announced a 15-year, take-or-pay lease at its Delta Forge 2 campus covering 210 MW of critical IT load, with a U.S. investment-grade hyperscaler. The deal is expected to generate approximately $5.2 billion in base-term revenue, rising to roughly $12.7 billion if all renewal options are exercised over a 30-year total term. It marks the third long-term lease Applied Digital has signed with the same hyperscaler.
The agreement brings Applied Digital's contracted portfolio to five AI Factory campuses, spanning 1.4 GW of critical IT load and approximately 2.15 GW of grid-connected utility power. Total contracted base-term lease revenue now stands at $36 billion, or approximately $86 billion if all renewal options are exercised. Around 70% of contracted revenue is backed by U.S. investment-grade hyperscalers.
Delta Forge 2, located in a new southern state, uses Applied Digital's proprietary waterless cooling and high-density power infrastructure purpose-built for large-scale AI training and inference workloads. Initial operations are expected to begin in Q1 2028.
The data-center developer announces the signing of a 15-year lease at a secretive new artificial-intelligence campus somewhere in a southern U.S. state.
The DealThe Bigger PictureThe Delta Forge 2 deal brings Applied Digital’s total contracted portfolio to approximately $36 billion across five AI Factory campuses — or $86 billion if all renewal options are exercised. The portfolio now spans 1.4 GW of critical IT load and approximately 2.15 GW of gross grid-connected utility power, with roughly 70% of contracted revenue backed by U.S.-based investment-grade hyperscalers.
“Two years ago, we made a deliberate decision to build a company that scales, not just builds data centers,” said CEO Wes Cummins. “Continued demand from leading hyperscalers across five campuses is strong validation of our model.”
The RunThe announcement comes after a remarkable stretch of deal activity. Applied Digital signed a $7.5 billion lease at Polaris Forge 3 late last month, and the stock has surged over 180% in the past 12 months. Shares closed up 3.34% Monday before extending gains nearly 9% in after-hours trading on the Delta Forge 2 news.
$1.59 Billion Notes OfferingApplied Digital Shares AdvanceAPLD Price Action: At the time of publication, Applied Digital shares are trading 10.98% higher at $45.44, according to data from Benzinga Pro.
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Applied Digital APLD shares jumped about 10% on early Tuesday after the company said it signed a long-term lease tied to its AI data center expansion.
The agreement covers 210 megawatts of critical IT load at Delta Forge 2, Applied Digital's next campus in North Dakota. Applied Digital said the customer is a U.S.-based investment-grade hyperscaler, a large cloud provider that buys major blocks of computing capacity.
The 15-year take-or-pay contract could bring in about $5.2 billion in base-term revenue, with that figure rising to as much as $12.7 billion if renewal options are used. Applied Digital said the deal lifts its total contracted base-term lease revenue to $36 billion, or up to $86 billion including renewals.
Applied Digital said Delta Forge 2 is expected to begin operations in the first quarter of 2028. The site is designed to support AI training and inference workloads, which are the processes used to build and run artificial intelligence systems.
Applied Digital Corporation secured a 210 MW, $5.2B, 15-year lease at Delta Forge 2, expanding its contracted revenue backlog to $36B across five campuses. APLD's franchise model enables scalable, repeatable growth, with 1.4 GW of critical IT load now pre-sold under long-term, take-or-pay leases to investment-grade hyperscalers. A $1.59B senior secured notes offering funds construction and repays bridge debt, aligning capital with already contracted demand and de-risking capex.
June 09, 2026 17:27 ET | Source: Applied Digital Corporation
DALLAS, June 09, 2026 (GLOBE NEWSWIRE) -- Applied Digital Corporation (NASDAQ: APLD) (“Applied Digital” or the “Company”), a leading designer, builder and operator of high-performance, sustainably engineered data centers and colocation services for Artificial Intelligence (“AI”), networking, and blockchain workloads, today announced that its subsidiary, APLD ComputeCo 3 LLC (“APLD ComputeCo 3”), has priced a $1.59 billion offering (the “Offering”) of 7.000% senior secured notes due 2031 (the “Notes”) at par. The Notes will be sold in a private offering to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and outside the United States to non-U.S. persons in reliance on Regulation S under the Securities Act. The Offering is expected to close on or around June 16, 2026, subject to market and other conditions.
APLD ComputeCo 3 intends to use the net proceeds from the Offering to (i) fund the construction and associated expenses of 150 megawatts of critical IT load at the fourth building (“ELN-04”) at Polaris Forge 1, Applied Digital’s AI Factory campus at Ellendale, North Dakota, (ii) repay the aggregate principal balance plus any accrued interest under the Credit and Guaranty Agreement with Goldman Sachs Bank USA, as administrative agent and as collateral agent and the lenders party thereto, which was provided as a bridge loan facility, (iii) fund debt service reserves, and (iv) pay transaction expenses.
The Notes will be fully and unconditionally guaranteed by APLD ComputeCo 3’s future and existing direct and indirect subsidiaries, which as of today include APLD ELN-04 HoldCo LLC, APLD ELN-04 LLC and APLD ELN-04 LandCo LLC (collectively, the “Guarantors”). The Notes and related guarantees will be secured by first-priority liens on (i) substantially all assets of APLD ComputeCo 3 and the Guarantors, other than certain excluded property, and (ii) all equity interests of APLD ComputeCo 3 held by APLD HPC Holdings 2 LLC, a Delaware limited liability company and the direct parent company of APLD ComputeCo 3.
Applied Digital will provide a customary completion guarantee with respect to the ELN-04 project, under which it will fund APLD ComputeCo 3 as necessary to ensure the timely completion of the ELN-04 project.
Completion of the Offering is subject to certain conditions, and there can be no assurance as to whether or when the Offering may be completed.
The Notes have not been registered under the Securities Act or securities laws of any other jurisdiction and may not be offered or sold in the United States absent registration or an applicable exemption from registration under the Securities Act and any applicable state securities laws. The Notes will be offered only to persons reasonably believed to be qualified institutional buyers under Rule 144A under the Securities Act and outside the United States to non-U.S. persons in reliance on Regulation S under the Securities Act.
This press release shall not constitute an offer to sell, or a solicitation of an offer to buy the Notes, nor shall there be any sale of the Notes in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Applied Digital
Applied Digital (Nasdaq: APLD) named Best Data Center in the Americas 2025 by Datacloud — designs, builds, and operates high-performance, sustainably engineered data centers and colocation services for artificial intelligence, networking, and blockchain workloads. Headquartered in Dallas, TX, and founded in 2021, the company combines hyperscale expertise, proprietary waterless cooling, and rapid deployment capabilities to deliver secure, scalable compute at industry-leading speed and efficiency, while creating economic opportunities in underserved communities through its award-winning Polaris Forge AI Factory model.
Caution About Forward-Looking Statements
This press release contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 regarding, among other things, the terms of the Notes, the completion, timing and size of the Offering, the anticipated use of proceeds from the Offering, future operating and financial performance, product development, market position, business strategy and objectives and future financing plans. These statements use words, and variations of words, such as “will,” “continue,” “build,” “future,” “increase,” “drive,” “believe,” “look,” “ahead,” “confident,” “deliver,” “outlook,” “demonstrates,” “expect,” “project” and “predict.” Other examples of forward-looking statements may include, but are not limited to, (i) statements that reflect perspectives and expectations regarding lease agreements and campus development, (ii) statements about the HPC industry, (iii) statements of Company plans and objectives, including the Company’s evolving business model, or estimates or predictions of actions by suppliers, (iv) statements of future economic performance, and (v) statements of assumptions underlying other statements and statements about the Company or its business. You are cautioned not to rely on these forward-looking statements. These statements are based on current expectations of future events and thus are inherently subject to uncertainty. If underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from the Company’s expectations and projections. These risks, uncertainties, and other factors include: the Company’s ability to complete construction of the data centers at its campuses; our ability to close the Offering; changes to AI and HPC infrastructure needs and their impact on future plans; risks associated with the leasing business, including those associated with counterparties; costs related to the HPC operations and strategy; the Company’s ability to timely deliver any services required in connection with completion of installation under the lease agreements; the Company’s ability to raise additional capital to fund ongoing and future data center construction and operations; the Company’s ability to obtain financing of the lease agreements on acceptable financing terms, or at all; the Company’s dependence on principal customers, including its ability to execute and perform its obligations under its leases with key customers, including without limitation, the lease agreements; the Company’s ability to timely and successfully build hosting facilities with the appropriate contractual margins and efficiencies; power or other supply disruptions and equipment failures; the inability to comply with regulations, developments and changes in regulations; cash flow and access to capital; availability of financing to continue to grow the Company’s business; decline in demand for the Company’s products and services; maintenance of third party relationships; and conditions in the debt and equity capital markets. A further list and description of these risks, uncertainties and other factors can be found in the Company’s most recently filed Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, including in the sections captioned “Forward-Looking Statements” and “Risk Factors,” and in the Company’s subsequent filings with the Securities and Exchange Commission. Copies of these filings are available online at www.sec.gov, on the Company’s website (www.applieddigital.com) under “Investors,” or on request from the Company. Information in this release is as of the dates and time periods indicated herein, and the Company and APLD ComputeCo 3 do not undertake to update any of the information contained in these materials, except as required by law.
Applied Digital (APLD +6.65%) builds power-heavy data center campuses that hyperscalers need to train and run advanced artificial intelligence (AI) models.
Image source: Getty Images.
Shares of Applied Digital are up over 67% so far in 2026. Doubling from its current share price of $40.94 (as of June 8) by the end of 2026 appears ambitious. However, Applied Digital's contracted revenue base shows investors a path that makes such a scenario possible.
Fundamental prospects are improving fast Applied Digital now operates one of the few 100-megawatt AI data centers that use advanced liquid-cooling technology to manage the heat generated by power-intensive AI chips. This has positioned the company as a credible player with demonstrated ability to deliver large-scale, high-density AI infrastructure.
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While Applied Digital's first 100-megawatt building at Polaris Forge 1 is already operational, the second 150-megawatt building is expected to come online during 2026. CoreWeave is the key customer at Polaris Forge 1, with 400 megawatts of contracted AI data center capacity.
At Polaris Forge 2 campus, Applied Digital expects the initial capacity under its 200-megawatt hyperscaler lease to come online in calendar 2026, with full capacity anticipated by early 2027. Hence, Applied Digital is now evolving from a speculative data center developer to a revenue-earning artificial intelligence (AI) infrastructure platform.
Applied Digital's contracted capacity is also impressive. It contracted nearly 1.2 gigawatts of AI data center capacity across its four AI Factory campuses by May 2026. Those campuses are supported by about 1.67 gigawatts of total grid power.
In June 2026, Applied Digital strengthened its backlog by signing a new 15-year lease worth $5.2 billion with a U.S.-based hyperscaler covering 210 megawatts of AI data-center capacity. Applied Digital now has $36 billion in contracted base-term lease revenue, which could increase to $86 billion if all renewal options are exercised. Since U.S.-based investment-grade hyperscalers account for 70% of contracted capacity, the backlog is also of high quality.
However, Applied Digital reported a net loss of $100.9 million and exited the third quarter of fiscal 2026 (ending Feb. 28) with $2.7 billion of debt.
The share price may double by the end of 2026 For Applied Digital's share price to double from $40.94, the company's market capitalization would need to rise from about $11.7 billion to roughly $23.4 billion.
Analysts expect Applied Digital's revenues to be close to $500 million in calendar year 2026. At the current market capitalization of about $11.7 billion, the stock already trades at roughly 23.4 times expected calendar 2026 sales. If the market cap doubles to about $23.4 billion, Applied Digital would trade at nearly 46.8 times expected 2026 sales. That looks expensive if investors focus only on near-term revenue.
However, Wall Street does not appear to be valuing Applied Digital based on near-term revenues. The company's $36 billion of contracted base-term lease revenue, when spread over the initial 15-year lease terms, translates into an annual contracted revenue opportunity of about $2.4 billion. A $23.4 billion market value would equal roughly 9.75 times that annualized contracted lease revenue base.
While still not cheap, it becomes more reasonable if investors start viewing Applied Digital as a prominent AI infrastructure player with long-term hyperscaler-backed revenue.
VANCOUVER, British Columbia, April 30, 2026 (GLOBE NEWSWIRE) -- Taseko Mines Limited (TSX: TKO; NYSE American: TGB; LSE: TKO) (the “Company”) will release its first quarter 2026 financial results after market close on Wednesday, May 6, 2026.
The Company will host a telephone conference call and live webcast on Thursday, May 7, 2026, at 11:00 a.m. Eastern Time (8:00 a.m. Pacific) to discuss these results. After opening remarks by management, there will be a question and answer session open to analysts and investors.
The conference call may be accessed by dialing 800-715-9871 toll free or 646-307-1963, using the access code 3266924.
The webcast may be accessed at tasekomines.com/investors/events and will be archived until May 7, 2027 for later playback.
For further information on Taseko, see the Company’s website at tasekomines.com or contact:
Brian Bergot, Vice President, Investor Relations - 778-373-4554
Stuart McDonald
President and CEO
No regulatory authority has approved or disapproved of the information contained in this news release.
Wall Street analysts forecast that TKO Group Holdings (TKO - Free Report) will report quarterly earnings of $0.89 per share in its upcoming release, pointing to a year-over-year increase of 29%. It is anticipated that revenues will amount to $1.59 billion, exhibiting an increase of 25.3% compared to the year-ago quarter.
The current level reflects a downward revision of 1% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
In light of this perspective, let's dive into the average estimates of certain TKO Group metrics that are commonly tracked and forecasted by Wall Street analysts.
Analysts expect 'Net Revenue- UFC' to come in at $404.14 million. The estimate suggests a change of +12.4% year over year.
It is projected by analysts that the 'Net Revenue- WWE' will reach $464.23 million. The estimate indicates a year-over-year change of +18.6%.
According to the collective judgment of analysts, 'Net Revenue- WWE- Media rights, production and content' should come in at $264.83 million. The estimate points to a change of +5.3% from the year-ago quarter.
The average prediction of analysts places 'Net Revenue- WWE- Live events and hospitality' at $123.88 million. The estimate suggests a change of +62.4% year over year.
The combined assessment of analysts suggests that 'Net Revenue- WWE- Consumer products licensing and other' will likely reach $39.61 million. The estimate suggests a change of +4.2% year over year.
Analysts' assessment points toward 'Net Revenue- UFC- Live events and hospitality' reaching $47.44 million. The estimate points to a change of -19% from the year-ago quarter.
Analysts predict that the 'Net Revenue- UFC- Media rights, production and content' will reach $268.46 million. The estimate indicates a year-over-year change of +19.8%.
The consensus among analysts is that 'Net Revenue- UFC- Consumer products licensing and other' will reach $12.37 million. The estimate indicates a change of -2.6% from the prior-year quarter.
Based on the collective assessment of analysts, 'UFC - Numbered events' should arrive at 3 . The estimate is in contrast to the year-ago figure of 3 .
The consensus estimate for 'UFC - Total events' stands at 9 . Compared to the present estimate, the company reported 11 in the same quarter last year.
The collective assessment of analysts points to an estimated 'UFC - Fight Nights' of 6 . The estimate is in contrast to the year-ago figure of 8 .
Analysts forecast 'UFC - Location of events - United States' to reach 8 . The estimate is in contrast to the year-ago figure of 7 .
View all Key Company Metrics for TKO Group here>>>
Over the past month, TKO Group shares have recorded returns of -8.7% versus the Zacks S&P 500 composite's +10.5% change. Based on its Zacks Rank #3 (Hold), TKO will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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NEW YORK--(BUSINESS WIRE)--TKO Group Holdings, Inc. (“TKO” or the “Company”) (NYSE: TKO) today announced financial results for its first quarter ended March 31, 2026.
“TKO is off to a formidable start in 2026, with strong results and continued momentum across each of our businesses,” said Ariel Emanuel, Executive Chair and CEO of TKO. “We are reaffirming our full-year guidance, and today’s incremental $1 billion share repurchase authorization underscores our conviction in TKO and its long-term value.”
“TKO’s first quarter results reflect the strength and durability of our premium IP. Our media rights portfolio is firmly in place, our financial incentive packages continue to scale, and demand for our premium live events and experiences is healthy,” said Mark Shapiro, President and COO of TKO. “With UFC Freedom 250 at the White House and On Location’s FIFA World Cup partnership, TKO will take center stage this summer, crowning moments for audience growth, cultural relevance, and our business trajectory.”
Consolidated Results2
First Quarter 2026
Revenue increased 26%, or $328.1 million, to $1.597 billion. The increase primarily reflected an increase of $41.5 million at UFC, to $401.2 million, an increase of $84.2 million at WWE, to $475.7 million, and an increase of $179.1 million at the IMG segment, to $655.4 million.
Net Income was $249.8 million, an improvement of $84.3 million from $165.5 million in the prior year period. The improvement reflected the increase in revenue partially offset by an increase in operating expenses. The increase in operating expenses primarily reflected an increase in direct operating costs of $166.8 million, an increase in selling, general and administrative expenses of $16.9 million, and an increase in depreciation and amortization of $43.3 million. The increases in direct operating costs and selling, general and administrative expenses were principally due to expenses recorded at the IMG segment related to the 2026 Milano Cortina Olympics.
Adjusted EBITDA1 increased 32%, or $132.4 million, to $549.8 million, due primarily to an increase of $27.1 million at UFC, an increase of $62.2 million at WWE, and an increase of $23.8 million at the IMG segment.
Adjusted EBITDA margin increased to 34% from 33%.
Cash flows generated by operating activities were $694.5 million, an increase of $531.7 million from $162.8 million, primarily due to the improved operating performance and the timing of working capital, including approximately $582.4 million of net pre-payments held in escrow related to FIFA World Cup 26.
Free Cash Flow3 was $674.5 million, an increase of $539.0 million from $135.5 million, due to the increase in cash flows generated by operating activities and a decrease in capital expenditures.
Cash and cash equivalents were $788.9 million as of March 31, 2026. Gross debt was $4.671 billion as of March 31, 2026.
Results by Operating Segment4
The table below reflects TKO’s performance by operating segment:
Three Months Ended
(in millions)
March 31,
2026
2025
Revenue:
UFC
$
401.2
$
359.7
WWE
475.7
391.5
IMG
655.4
476.3
Total revenue from reportable segments
1,532.3
1,227.5
Corporate and Other
73.9
54.4
Eliminations
(9.3
)
(13.1
)
Total Revenue
$
1,596.9
$
1,268.8
Adjusted EBITDA:
UFC
$
254.5
$
227.4
WWE
256.1
193.9
IMG
97.3
73.5
Total Adjusted EBITDA from reportable segments
607.9
494.8
Corporate and Other
(58.1
)
(77.4
)
Total Adjusted EBITDA
$
549.8
$
417.4
UFC
Three Months Ended
(in millions)
March 31,
2026
2025
UFC Revenue:
Media rights, production and content
$
275.3
$
224.1
Live events and hospitality
48.5
58.6
Partnerships and marketing
67.1
64.3
Consumer products licensing and other
10.3
12.7
Total Revenue
$
401.2
$
359.7
First Quarter 2026
Revenue increased 12%, or $41.5 million, to $401.2 million primarily driven by a $51.2 million increase in media rights, production and content revenue, and a $2.8 million increase in partnerships and marketing revenue, partially offset by a $10.1 million decrease in live events and hospitality revenue. The increase in media rights, production and content revenue was primarily related to higher media rights fees, which reflected the impact of the new distribution agreement with Paramount that began in January 2026 partially offset by two fewer Fight Night events, compared to the prior year period. The increase in partnerships and marketing revenue was primarily related to new partners and an increase in fees from renewals partially offset by the impact of two fewer Fight Night events compared to the prior year period. The decrease in live events and hospitality revenue was due to a decrease in financial incentive package revenues, as the prior year period included a Fight Night event held in Saudi Arabia, partially offset by higher ticket sales revenue, compared to the prior year period.
Adjusted EBITDA increased 12%, or $27.1 million, to $254.5 million, as the increase in revenue (as described above) was partially offset by an increase in expenses. Direct operating costs reflected higher athlete, production, and other event-related costs compared to the prior year period, primarily related to UFC 324, which was the inaugural event under the Paramount distribution agreement. Selling, general and administrative expenses increased primarily due to higher personnel and travel costs compared to the prior year period.
Adjusted EBITDA margin was 63% for both periods.
WWE
Three Months Ended
(in millions)
March 31,
2026
2025
WWE Revenue:
Media rights, production and content
$
281.7
$
251.6
Live events and hospitality
123.5
76.3
Partnerships and marketing
26.2
25.6
Consumer products licensing and other
44.3
38.0
Total Revenue
$
475.7
$
391.5
First Quarter 2026
Revenue increased 22%, or $84.2 million, to $475.7 million driven by a $47.2 million increase in live events and hospitality revenue, a $30.1 million increase in media rights, production and content revenue, a $6.3 million increase in consumer products licensing and other revenue, and a $0.6 million increase in partnerships and marketing revenue. The increase in live events and hospitality revenue was primarily related to an increase in financial incentive package revenues, most notably for Royal Rumble in Saudi Arabia, compared to the prior year period. The increase in media rights, production and content revenue was primarily related to higher media rights fees, notably the impact of distribution agreements with Netflix and ESPN. The increase in consumer products licensing and other revenue was primarily related to the sale of WWE-branded products, including mobile games and collectibles, compared to the prior year period. The increase in partnerships and marketing revenue was primarily related to new partners and an increase in fees from renewals compared to the prior year period.
Adjusted EBITDA increased 32%, or $62.2 million, to $256.1 million, primarily due to the increase in revenue (as described above) partially offset by an increase in expenses. Direct operating costs increased primarily due to higher talent and production costs, most notably related to Royal Rumble, compared to the prior year period. Selling, general and administrative expenses increased primarily due to higher travel costs, related to an increase in the number of international events, compared to the prior year period.
Adjusted EBITDA margin increased to 54% from 50%.
IMG
The IMG segment reflects the operations of the IMG business and On Location.
Three Months Ended
(in millions)
March 31,
2026
2025
IMG Revenue:
Media rights, production and content
$
160.2
$
161.3
Live events and hospitality
467.7
288.5
Partnerships and marketing
21.5
22.3
Consumer products licensing and other
6.0
4.2
Total Revenue
$
655.4
$
476.3
First Quarter 2026
Revenue increased 38%, or $179.1 million, to $655.4 million primarily related to a $179.2 million increase in live events and hospitality revenue. This increase was primarily related to hospitality sales at On Location from the 2026 Milano Cortina Olympics. Revenue at the IMG business increased by $1.7 million primarily related to the impact of new production agreements and commissions for a boxing event, partially offset by the biennial impact of the Arabian Gulf Cup, compared to the prior year period.
Adjusted EBITDA increased 32%, or $23.8 million, to $97.3 million, due to the increase in revenue (as described above) partially offset by an increase in expenses. Expenses reflected an increase in direct operating costs and selling, general and administrative expenses. The increases were primarily related to the 2026 Milano Cortina Olympics.
Adjusted EBITDA margin was 15% for both periods.
Corporate and Other
Corporate and Other reflects operations not allocated to the UFC, WWE, or IMG segments and primarily consists of general and administrative expenses, the operations of PBR, as well as management and promotional fees for services primarily related to boxing.
Three Months Ended
(in millions)
March 31,
2026
2025
Corporate and Other Revenue:
Media rights, production and content
$
8.9
$
3.3
Live events and hospitality
33.0
33.4
Partnerships and marketing
16.3
12.1
Consumer products licensing and other
15.7
5.6
Total Revenue
$
73.9
$
54.4
First Quarter 2026
Revenue increased 36%, or $19.5 million, to $73.9 million. The increase was primarily related to an increase in PBR revenue, principally related to higher media rights fees and partnerships revenue, and higher management fees for services related to the Company’s boxing initiatives.
Adjusted EBITDA was a loss of $58.1 million, an improvement of $19.3 million to a loss of $77.4 million in the prior year period. Results primarily reflected the increase in revenue (as described above) and a decrease of $21.7 million in expenses related to the allocation of Endeavor corporate costs. (See “Basis of Presentation” for further details.) These improvements were offset by higher personnel and other operating expenses compared to the prior year period.
Full Year 2026 Guidance
Based on performance through the first three months of the year and our anticipated performance for the remainder of the year, the Company is reaffirming its guidance for the full year 2026. The Company continues to target revenue of $5.675 billion to $5.775 billion and Adjusted EBITDA of $2.240 billion to $2.290 billion.
The Company intends to provide additional detail related to its 2026 guidance on today’s earnings call.
Other Matters
Return of Capital Program
The Company announced that its board of directors has authorized up to an additional $1.0 billion of repurchases of its outstanding Class A common stock. This authorization is incremental to its previously announced $2.0 billion share repurchase program. The Company will determine at its discretion the timing and the amount of any repurchases based on its evaluation of market conditions, share price, and other factors. The share repurchase program has no expiration and may be modified, suspended, or discontinued at any time.
From January 1, 2026 through February 26, 2026, the Company repurchased 187,819 shares for approximately $38.3 million. These share repurchases were made pursuant to a 10b5-1 trading plan entered into in September 2025, which expired on February 26, 2026.
As previously disclosed, on March 10, 2026, the Company entered into an accelerated share repurchase agreement (the “ASR Agreement”) to repurchase $800 million of its outstanding Class A common stock. Under the ASR Agreement, the Company paid $800 million on March 11, 2026 and received an initial delivery of approximately 3.1 million shares of Class A common stock. Transactions under the ASR Agreement are expected to be completed in the second quarter of 2026. The Company also announced that it entered into a 10b5-1 trading plan for the repurchase of up to $200 million of its outstanding Class A common stock (the “10b5-1 Plan”). Repurchases contemplated under the 10b5-1 Plan are to commence immediately once transactions under the ASR Agreement are completed.
On March 31, 2026, the Company paid a quarterly cash dividend to the holders of the Company’s Class A common stock based on their pro rata share of an aggregate distribution of approximately $150 million, or $0.78 per share, from TKO Operating Company, LLC.
Notes
(1) The definition of Adjusted EBITDA can be found in the Non-GAAP Financial Measures section of the release on page 8. A reconciliation of Net Income (Loss) to Adjusted EBITDA for the three months ended March 31, 2026 and 2025 can be found in the Supplemental Information in this release on page 15.
(2) As the acquisition of the Acquired Businesses was accounted for as a merger between entities under common control, reported results presented in this earnings release reflect the results of the Acquired Businesses as if they had been part of TKO during the historical periods presented herein. See the “Basis of Presentation” discussion on page 9 for further details.
(3) The definition of Free Cash Flow and Free Cash Flow Conversion can be found in the Non-GAAP Financial Measures section of the release on page 8. A reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow for the three months ended March 31, 2026 and 2025 can be found in the Supplemental Information in this release on page 16.
(4) An explanation of the basis of presentation can be found in this release on page 9.
Non-GAAP Financial Measures
The Company refers to certain financial measures that are not recognized under United States generally accepted accounting principles (“GAAP”). This press release includes financial measures that are not calculated in accordance with GAAP, including Adjusted EBITDA, Adjusted EBITDA margin, Free Cash Flow and Free Cash Flow Conversion. Please see the definitions below and the reconciliation tables included in this release for additional information and a reconciliation of the Non-GAAP financial measures to the most comparable GAAP financial measures.
The Company defines Adjusted EBITDA as net income excluding income taxes, net interest expense, depreciation and amortization, equity-based compensation, merger, acquisition and earnout costs, certain legal costs, restructuring, severance and impairment charges, foreign exchange (gains) losses, and certain other items when applicable. Adjusted EBITDA margin is defined as Adjusted EBITDA divided by revenue.
TKO management believes that Adjusted EBITDA and Adjusted EBITDA margin are useful to investors as these measures eliminate the significant level of non-cash depreciation and amortization expense that results from its capital investments and intangible assets, and improve comparability by eliminating the significant level of interest expense associated with TKO’s debt facilities, as well as income taxes which may not be comparable with other companies based on TKO’s tax and corporate structure. Adjusted EBITDA and Adjusted EBITDA margin are used as the primary bases to evaluate TKO’s consolidated operating performance.
Adjusted EBITDA and Adjusted EBITDA margin have limitations as analytical tools, and you should not consider them in isolation or as a substitute for analysis of TKO’s results as reported under GAAP. Some of these limitations are:
they do not reflect every cash expenditure, future requirements for capital expenditures, or contractual commitments; Adjusted EBITDA does not reflect the significant interest expense or the cash requirements necessary to service interest or principal payments on TKO’s debt; although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced or require improvements in the future, and Adjusted EBITDA and Adjusted EBITDA margin do not reflect any cash requirement for such replacements or improvements; and they are not adjusted for all non-cash income or expense items that are reflected in TKO’s statements of cash flows. TKO management compensates for these limitations by using Adjusted EBITDA and Adjusted EBITDA margin along with other comparative tools, together with GAAP measurements, to assist in the evaluation of TKO’s operating performance.
Adjusted EBITDA and Adjusted EBITDA margin should not be considered substitutes for the reported results prepared in accordance with GAAP and should not be considered in isolation or as alternatives to net income as indicators of TKO’s financial performance, as measures of discretionary cash available to it to invest in the growth of its business or as measures of cash that will be available to TKO to meet its obligations. Although TKO uses Adjusted EBITDA and Adjusted EBITDA margin as financial measures to assess the performance of its business, such use is limited because it does not include certain material costs necessary to operate TKO’s business. TKO’s presentation of Adjusted EBITDA and Adjusted EBITDA margin should not be construed as indications that its future results will be unaffected by unusual or nonrecurring items. These non-GAAP financial measures, as determined and presented by TKO, may not be comparable to related or similarly titled measures reported by other companies. Set forth below are reconciliations of TKO’s most directly comparable financial measures calculated in accordance with GAAP to these non-GAAP financial measures on a consolidated basis.
The Company defines Free Cash Flow as net cash provided by operating activities less cash used for capital expenditures. TKO views net cash provided by operating activities as the most directly comparable GAAP measure. Free Cash Flow Conversion is defined as Free Cash Flow divided by Adjusted EBITDA. Although they are not recognized measures of liquidity under U.S. GAAP, Free Cash Flow and Free Cash Flow Conversion provide useful information regarding the amount of cash TKO’s continuing business generates after capital expenditures and is available for reinvesting in the business, debt service, share repurchases and payment of dividends. Free Cash Flow and Free Cash Flow Conversion have certain limitations in that they do not represent the total increase or decrease in the cash balance for the period, nor do they represent the residual cash flow for discretionary expenditures.
Reconciliations of the Company’s Non-GAAP financial measure guidance to the most directly comparable GAAP financial measures cannot be provided without unreasonable efforts and are not provided herein because of the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliations and certain other items reflected in our reconciliation of historical Non-GAAP financial measures, the amounts of which could be material.
Basis of Presentation
As a result of the February 28, 2025 closing of the Company’s agreement with Endeavor to acquire IMG, On Location, and PBR (the “Acquired Businesses”) in a common control transaction, TKO’s consolidated financial information presented herein reflect the combined results of TKO and the Acquired Businesses as if they had been part of TKO during the historical periods presented under common control.
TKO’s financial information presented herein for the periods that it did not own the Acquired Businesses were prepared by Endeavor Group Holdings, Inc. and include allocations for corporate expenses to the businesses based on Endeavor Group Holdings, Inc.’s corporate expense profile. These expenses consisted of certain support functions that were provided on a centralized basis, such as expenses related to finance, human resources, information technology, facilities, and legal, among others and were allocated to the Acquired Businesses. Endeavor Group Holdings, Inc. allocated these corporate expenses on a pro rata basis of headcount, gross profit, and other allocation methodologies. Corporate allocations were $21.7 million for the three months ended March 31, 2025 representing allocations from January 1 through February 28, 2025. Under TKO ownership effective February 28, 2025, such corporate allocations no longer occur.
Effective February 28, 2025, the Company operates its business under three reportable segments, UFC, WWE, and IMG. The UFC and WWE segments consist entirely of the operations of these businesses, while the IMG segment consists entirely of the operations of IMG and On Location. In addition, the Company reports results for the “Corporate and Other” group, which includes the operations of PBR, management and promotional fees for services primarily related to boxing as well as general and administrative expenses that are not allocated to the business segments. These expenses largely relate to corporate activities, including information technology, facilities, legal, human resources, finance, accounting, treasury, investor relations, corporate communications, community relations and compensation to TKO’s management and board of directors, which support the reportable segments. All prior period amounts related to the segment change have been retrospectively reclassified to conform to the new presentation. The profitability measure employed by the Company in assessing operating performance, including that of its segments, is Adjusted EBITDA. The Company defines Adjusted EBITDA as net income, excluding income taxes, net interest expense, depreciation and amortization, equity-based compensation, merger and acquisition costs, certain legal costs, restructuring, severance and impairment charges, and certain other items when applicable. Adjusted EBITDA includes amortization expenses directly related to supporting the operations of the Company’s segments, including content production asset amortization.
Additional Information
As previously announced, TKO will host a conference call at 5:00 p.m. ET on May 6, 2026, to discuss its first quarter 2026 results. All interested parties are welcome to listen to a live webcast that will be hosted through the Company’s website at investor.tkogrp.com. Participants can access the conference call by dialing 833-461-5787 (conference ID: 889739971). Please reserve a line 5-10 minutes prior to the start time of the conference call.
Any accompanying materials referenced during the call will be made available on May 6, 2026, at investor.tkogrp.com. A replay of the call will be available approximately two hours after the conference call concludes and can be accessed on the Company’s website.
About TKO
TKO Group Holdings, Inc. (NYSE: TKO) is a premium sports and entertainment company. TKO’s businesses include UFC, the world’s premier mixed martial arts organization; WWE, the global leader in sports entertainment; PBR, the world’s premier bull riding organization; and its joint venture Zuffa Boxing, a professional boxing promotion. Together, these properties reach more than 1 billion households across 210 countries and territories and organize more than 500 live events year-round, attracting more than three million fans. TKO also services and partners with major sports rights holders through IMG, an industry-leading global sports marketing agency; and On Location, a global leader in premium experiential hospitality.
Website Disclosure
Investors and others should note that TKO announces material financial and operational information to its investors using press releases, SEC filings and public conference calls and webcasts, as well as its Investor Relations site at investor.tkogrp.com. TKO may also use its website as a distribution channel of material information about the Company. In addition, you may automatically receive email alerts and other information about TKO when you enroll your email address by visiting the “Investor Email Alerts” option under the Resources tab on investor.tkogrp.com.
Forward-Looking Statements:
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding TKO’s business strategy and plans, financial outlook, TKO’s capital return program, including the timing of purchases thereunder, trends in consumer demand, and TKO’s financial condition, and anticipated financial and operational performance. The words “believe,” “may,” “will,” “estimate,” “potential,” “continue,” “anticipate,” “intend,” “expect,” “could,” “would,” “project,” “plan,” “target,” and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions. These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees and involve known and unknown risks, uncertainties and other important factors that may cause actual results, performance or achievements to be materially different from what is expressed or implied by the forward-looking statements, including, but not limited to: TKO’s ability to generate revenue from discretionary and corporate spending on events; TKO’s dependence on key relationships with television and cable networks, satellite providers, digital streaming partners and other distribution partners; TKO’s ability to adapt to or manage new content distribution platforms or changes in consumer behavior; TKO’s success in its strategic acquisitions, investments and commercial agreements; adverse publicity concerning the Company or its key personnel; the highly competitive, rapidly changing and increasingly fragmented nature of the markets in which TKO operates; TKO’s dependence on the continued services of executive management and other key employees; changes in public and consumer tastes and preferences and industry trends; financial risks with owning and managing events for which TKO sells media and partnership and marketing rights, ticketing and hospitality; the Company’s substantial indebtedness; and other important factors discussed in the section entitled “Risk Factors” in TKO’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025 filed by TKO, as any such factors may be updated from time to time in TKO’s other filings with the SEC, accessible on the SEC’s website at www.sec.gov and TKO’s investor relations site at investor.tkogrp.com. Forward-looking statements speak only as of the date they are made and, except as may be required under applicable law, TKO undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
TKO Group Holdings, Inc.
Consolidated Income Statements
(In millions, except share and per share data)
(Unaudited)
Three Months Ended
March 31,
2026
2025
Revenue
$
1,596.9
$
1,268.8
Operating expenses:
Direct operating costs
734.4
567.6
Selling, general and administrative expenses
380.2
363.3
Depreciation and amortization
143.8
100.5
Total operating expenses
1,258.4
1,031.4
Operating income
338.5
237.4
Other expenses:
Interest expense, net
(60.6
)
(44.8
)
Other income (expense), net
4.3
(8.4
)
Income before income taxes and equity earnings of affiliates
282.2
184.2
Provision for income taxes
34.0
21.2
Income before equity earnings of affiliates
248.2
163.0
Equity earnings of affiliates, net of tax
1.6
2.5
Net income
249.8
165.5
Less: Net income attributable to non-controlling interests
160.4
107.1
Net income attributable to TKO Group Holdings, Inc.
$
89.4
$
58.4
Basic net earnings per share of Class A common stock
$
1.16
$
0.72
Diluted net earnings per share of Class A common stock
$
1.12
$
0.69
Weighted average number of common shares used in computing basic net earnings per share
77,325,480
81,571,149
Weighted average number of common shares used in computing diluted net earnings per share
194,631,394
181,520,718
TKO Group Holdings, Inc.
Consolidated Balance Sheets
(In millions)
(Unaudited)
As of
March 31,
December 31,
2026
2025
Assets
Current assets:
Cash and cash equivalents
$
788.9
$
831.1
Restricted cash
937.3
354.9
Accounts receivable, net
760.4
558.3
Deferred costs
118.1
234.8
Other current assets
330.1
350.0
Total current assets
2,934.8
2,329.1
Property, buildings and equipment, net
634.7
639.9
Intangible assets, net
3,211.8
3,327.9
Finance lease right-of-use assets, net
255.2
231.8
Operating lease right-of-use assets, net
51.6
54.8
Goodwill
8,444.7
8,444.9
Investments
133.8
131.5
Other assets
356.2
335.9
Total assets
$
16,022.8
$
15,495.8
Liabilities, Non-controlling Interests and Stockholders' Equity
Current liabilities:
Accounts payable
$
210.8
$
194.8
Accrued liabilities
429.1
526.3
Current portion of long-term debt
45.9
38.1
Current portion of finance lease liabilities
27.2
22.7
Current portion of operating lease liabilities
18.1
17.6
Deferred revenue
552.1
663.0
Other current liabilities
908.8
384.6
Total current liabilities
2,192.0
1,847.1
Long-term debt
4,594.0
3,724.1
Long-term finance lease liabilities
240.7
219.5
Long-term operating lease liabilities
39.0
41.1
Deferred tax liabilities
301.1
301.7
Other long-term liabilities
129.5
112.2
Total liabilities
7,496.3
6,245.7
Commitments and contingencies
Redeemable non-controlling interests
34.4
34.4
Stockholders' equity:
Class A common stock
—
—
Class B common stock
—
—
Additional paid-in capital
4,781.3
4,552.2
Accumulated other comprehensive loss
(20.9
)
(17.5
)
Accumulated deficit
(1,384.4
)
(797.3
)
Total TKO Group Holdings, Inc. stockholders’ equity
3,376.0
3,737.4
Nonredeemable non-controlling interests
5,116.1
5,478.3
Total stockholders' equity
8,492.1
9,215.7
Total liabilities, nonredeemable non-controlling interests and stockholders' equity
$
16,022.8
$
15,495.8
TKO Group Holdings, Inc.
Consolidated Statements of Cash Flows
(In millions)
(Unaudited)
Three Months Ended
March 31,
2026
2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income
$
249.8
$
165.5
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization
143.8
100.5
Amortization and impairments of content costs
6.7
6.2
Amortization and write-off of original issue discount and deferred financing cost
0.9
0.6
Loss on sale of assets
—
3.4
Equity-based compensation
39.6
30.3
Income taxes
19.7
9.4
Other, net
(2.2
)
0.4
Changes in operating assets and liabilities, net of acquisition:
Accounts receivable
(205.3
)
(57.6
)
Other current assets
(0.8
)
(12.2
)
Other noncurrent assets
(21.5
)
1.7
Deferred costs
116.0
0.4
Accounts payable, accrued liabilities and other current liabilities
439.9
(169.9
)
Deferred revenue
(95.4
)
1.7
Other liabilities
3.3
82.4
Net cash provided by operating activities
694.5
162.8
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, buildings and equipment and other assets
(20.0
)
(27.3
)
Investment in affiliates, net
(2.0
)
(10.9
)
Proceeds from sale of property and equipment
0.1
5.8
Proceeds from sales of investments and other
0.4
1.5
Net cash used in investing activities
(21.5
)
(30.9
)
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayment of long-term debt
(17.0
)
(11.0
)
Proceeds from borrowings
900.0
—
Repurchase of Class A common stock
(838.3
)
—
Net transfers to parent
—
(122.5
)
Contributions from parent
—
23.3
Distribution to members
(90.8
)
(44.4
)
Dividends paid
(58.5
)
(31.1
)
Payments for financing costs
(14.8
)
—
Taxes paid related to net settlement upon vesting of equity awards
(8.1
)
—
Net cash used in financing activities
(127.5
)
(185.7
)
Effects of exchange rate movements on cash
(5.3
)
5.2
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
540.2
(48.6
)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF PERIOD
1,186.0
678.1
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, END OF PERIOD
$
1,726.2
$
629.5
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest
63.2
52.8
Cash payments for income taxes
21.5
10.5
NON-CASH INVESTING AND FINANCING TRANSACTIONS:
Capital expenditures included in current liabilities
10.0
3.2
Capital contribution from parent
0.4
49.4
Accretion of redeemable non-controlling interests
(1.3
)
(2.1
)
Excise taxes on repurchases of common stock
5.7
—
TKO Group Holdings, Inc.
Reconciliation of Adjusted EBITDA and Adjusted EBITDA Margin
(In millions, except percentages)
(Unaudited)
Three Months Ended
March 31,
2026
2025
Net income
$
249.8
$
165.5
Provision for income taxes
34.0
21.2
Interest expense, net
60.6
44.8
Depreciation and amortization
143.8
100.5
Equity-based compensation expense (1)
39.6
30.3
Merger, acquisition and earnout costs (2)
2.4
39.8
Certain legal costs (3)
23.2
6.5
Restructuring, severance and impairment (4)
0.4
1.5
Foreign exchange (gains) and losses (5)
(3.3
)
4.9
Other adjustments (6)
(0.7
)
2.4
Total Adjusted EBITDA
$
549.8
$
417.4
Net income margin
16
%
13
%
Adjusted EBITDA margin
34
%
33
%
(1) Equity-based compensation represents non-cash compensation expense for various awards issued under the TKO 2023 Incentive Award Plan, awards assumed in connection with the acquisition of WWE in September 2023, and awards issued under Endeavor Group Holdings, Inc.’s 2021 Plan.
(2) Includes (i) certain costs of professional advisors related to strategic transactions, primarily the Acquired Businesses, and (ii) certain costs related to integration initiatives resulting from the acquisition of the Acquired Businesses.
(3) Includes costs, net of insurance recoveries, related to certain litigation matters including antitrust lawsuits for UFC and stockholder litigation for WWE and Endeavor.
(4) Includes costs resulting from the Company’s cost reduction programs.
(5) Includes gains and losses on foreign exchange transactions.
(6) Includes other miscellaneous nonoperating gains and loss.
TKO Group Holdings, Inc.
Reconciliation of Free Cash Flow
(In millions)
(Unaudited)
Three Months Ended
March 31,
2026
2025
Net cash provided by operating activities (1)
$
694.5
$
162.8
Less cash used for capital expenditures:
Purchases of property, buildings and equipment and other assets
VANCOUVER, British Columbia, May 06, 2026 (GLOBE NEWSWIRE) -- Taseko Mines Limited (TSX: TKO; NYSE American: TGB; LSE: TKO) ("Taseko" or the "Company") reports first quarter 2026 Adjusted EBITDA* of $93 million and Earnings from mining operations before depletion and amortization and non-recurring items* of $115 million, a 172% and 195% improvement over the same period in 2025, respectively. Revenues in the first quarter were $237 million from the sale of 27 million pounds of copper and 708 thousand pounds of molybdenum. First quarter net income was $17 million ($0.05 per share) and Adjusted net income* was $28 million ($0.08 per share).
As previously released, Gibraltar produced 30 million pounds of copper and 717 thousand pounds of molybdenum in the first quarter, at Total operating cost (C1)* of US$2.63 per pound of copper produced. The strong production levels from the second half of 2025 continued in the first quarter and copper grades of 0.25% were in line with the life of mine average. Mill throughput was 7.0 million tons in the first quarter, slightly lower than the previous quarter. Throughput was adjusted to optimize copper recoveries, which increased to 83% in the quarter, and was also impacted by unscheduled maintenance. Tons mined in the first quarter were in line with plan.
At Florence Copper, the injection of solutions in the wellfield commenced in late 2025 in parallel with the SX/EW plant commissioning. Initial flowrates were above expectations resulting in faster acidification of the wellfield, and solution grades reached targeted levels in January. The SX/EW plant commenced operation in February, and first copper cathodes were harvested at the end of February. A total of 1.5 million pounds of copper cathode was produced in the first quarter. Five drill rigs are now operating on site and increased production from newly acidified wells is expected later in the second quarter. Additional production growth will come as new groups of wells are constructed, tested, and integrated into the wellfield operation over the remainder of the year. Expected copper cathode production in 2026 continues to be in the range of 30 to 35 million pounds.
Stuart McDonald, President & CEO of Taseko, commented, “Both of Taseko’s producing assets performed well in the first quarter. Gibraltar operations have achieved a consistent production level in recent quarters as mining activities have been advancing on plan in the Connector pit.”
“At Florence Copper, we are very pleased with the first six months of wellfield operations and first two months of plant operations. After the initial cathode harvest at the end of February, our operating team has done an excellent job stabilizing solution flow and grade from the wellfield through to the SX/EW plant circuits. Copper production from the initial wells has achieved a steady rate, in line with our expectations, and the focus is now on expanding the wellfield to ramp-up production over the remainder of the year.”
“Environmental assessment work on our Yellowhead copper project continued to advance in the quarter. After the first round of community open houses that we held last fall, our next significant milestone is filing the detailed project description, which will incorporate feedback received from the general public, Indigenous communities, and regulatory agencies. We are working on this now with the goal to file it this coming summer.”
“Taseko is uniquely positioned as a North American copper growth story. Florence Copper is adding low-cost production and cash flow growth this year, to Gibraltar’s existing production base. The Company is well positioned to capitalize on the strong copper markets we see today, and continue to unlock value from our pipeline of large-scale longer term projects.”
*Non-GAAP performance measure. See end of news release.
First Quarter Review
Earnings from mining operations before depletion and amortization* was $114.6 million, Adjusted EBITDA* was $93.5 million and cash flow from operations was $93.9 million;Net income was $16.8 million ($0.05 earnings per share) and Adjusted net income* was $27.5 million ($0.08 adjusted earnings per share);Gibraltar produced 30.0 million pounds of copper, including 0.7 million pounds of copper cathode, at a total operating cost (C1)* of US$2.63 per pound of copper produced. Copper head grades averaged 0.25% and recoveries averaged 83%;Gibraltar sold 27.0 million pounds of copper, including 0.9 million pounds of copper cathode, at an average realized copper price of US$5.74 per pound contributing to revenues of $237.1 million for Taseko. The Company had copper collar contracts maturing in the first quarter for 27 million pounds with a ceiling price of US$5.40 per pound, resulting in a realized derivative loss of $17.4 million;Site costs increased in the quarter compared to 2025 as a result of higher diesel and explosive costs which could remain elevated in the coming quarters due to market factors;Florence Copper’s SX/EW plant started up in mid-February and first copper cathodes were harvested at the end of February. A total of 1.5 million pounds of copper cathode was produced in the last five weeks of the quarter. Ongoing drilling and expansion of the wellfield will continue in 2026 to support the ramp up of copper production at Florence; andAt March 31, 2026, the Company had a cash balance of $169 million and total available liquidity of $322 million including its undrawn corporate revolving credit facility. Three months ended
March 31,Gibraltar operating data20262025ChangeTons mined (millions)24.223.21.0 Tons milled (millions)7.07.9(0.9)Production (million pounds Cu)30.020.010.0 Sales (million pounds Cu)27.021.85.2 Financial dataThree months ended
March 31,(Cdn$ in thousands, except per share amounts)20262025 ChangeRevenues237,093139,149 97,944Cash flows from operations93,85755,892 37,965Net income (loss)16,844(28,560)45,404Per share - Basic (“EPS”)0.05(0.09)0.14Earnings from mining operations before depletion, amortization and non-recurring items*114,56138,791 75,770Adjusted EBITDA*93,46334,391 59,072Adjusted net income (loss)*27,535(6,943)34,478Per share - Basic (“Adjusted EPS”)*0.08(0.02)0.10 *Non-GAAP performance measure. See end of news release.
Review of Operations
Gibraltar
Operating dataQ1 2026Q4 2025Q3 2025Q2 2025Q1 2025Tons mined (millions) 24.2 28.0 29.3 30.4 23.2 Tons milled (millions) 7.0 7.2 7.8 7.7 7.9 Strip ratio 2.6 2.2 1.5 2.3 4.6 Site operating cost per ton milled*$18.15 $16.61 $14.98 $11.23 $8.73 Copper concentrate Head grade (%) 0.25 0.26 0.22 0.20 0.19 Recovery (%) 82.6 80.9 77.2 63.2 67.5 Production (million pounds Cu) 29.2 29.8 26.7 19.4 20.0 Sales (million pounds Cu) 26.0 30.8 25.4 19.0 21.8 Inventory (million pounds Cu) 5.9 2.9 4.0 2.7 2.3 Copper cathode Production (thousand pounds Cu) 733 919 895 395 - Sales (thousand pounds Cu) 938 783 905 - - Molybdenum concentrate Production (thousand pounds Mo) 717 830 558 180 336 Sales (thousand pounds Mo) 708 953 421 178 364 Per unit data (US$ per Cu pound produced)1 Site operating cost*$3.09 $2.80 $3.09 $3.15 $2.41 By-product credit* (0.62) (0.59) (0.39) (0.19) (0.33)Site operating cost, net of by-product credit* 2.47 2.21 2.70 2.96 2.08 Off-property cost* 0.16 0.26 0.17 0.18 0.18 Total operating cost (C1)*$2.63 $2.47 $2.87 $3.14 $2.26 1 Copper pounds produced includes copper in concentrate and copper cathode.
Operations Analysis
First Quarter Results of Gibraltar
Gibraltar copper production totaled 30.0 million pounds in the quarter, including 0.7 million pounds of copper cathode, which was comparable to the previous quarter and a 50% increase from the comparative prior year quarter. Gibraltar’s cathode production benefited from the SX/EW plant operating continuously through the winter months.
Copper head grades averaged 0.25% and were in line with life of mine average grades. Copper recoveries averaged 83% and benefitted from improved ore characteristics. Copper sales in the first quarter were 27.0 million pounds, and lower than production due to shipment timing.
Mill throughput was 7.0 million tons in the first quarter, impacted by lower mill availability due to maintenance activities and ore hardness.
*Non-GAAP performance measure. See end of news release.
Operations Analysis - continued
A total of 24.2 million tons were mined in the first quarter, comparable to the comparative prior year quarter. The average strip ratio was 2.6 in the quarter, reflecting continued advancement of waste stripping for the next phases of the Connector pit.
Total Gibraltar site costs* were $142.2 million (including capitalized stripping of $15.2 million) in the first quarter reflecting higher costs for key inputs and unscheduled maintenance activities. Diesel costs increased $5.3 million compared to the comparative prior year quarter, driven by both higher usage and increased diesel prices in March as a result of rising oil prices due to the ongoing conflict in the Middle East. Explosives costs also increased $6.1 million compared to the comparative prior year quarter, driven by higher usage and higher costs caused by a disruption in the supply chain. Site costs were also higher due to unscheduled maintenance activities, primarily on the loader and dozer fleets.
Molybdenum production was 717 thousand pounds in the first quarter and reflects the higher molybdenum grades realized in Connector pit ore. At an average molybdenum price of US$25.73 per pound for the quarter, molybdenum provided a by-product credit of US$0.62 per pound of copper produced.
Off-property costs were US$0.16 per pound of copper produced and reflect the lower treatment and refining charges (“TCRC”) realized on Gibraltar’s favorable offtake contracts.
Total operating costs (C1)* were US$2.63 per pound of copper produced for the first quarter, compared to US$2.47 per pound of copper produced for the prior quarter, driven by higher repairs and maintenance costs and higher costs for key inputs, particularly diesel and explosives, partially offset by higher capitalized stripping costs and lower offsite costs.
Gibraltar Outlook
Mining activity is focused in the Connector pit, which will be the primary source of ore for the next three years (2026 through 2028). Total copper production at Gibraltar for 2026 is expected to be in the range of 110 to 115 million pounds and is expected to continue at similar levels (± 5%) until completion of mining in the Connector pit. This includes the expected impact of supergene ore on mill recoveries as well as a more conservative forecast for head grade based on mining experience to-date in the Connector pit.
*Non-GAAP performance measure. See end of news release.
Gibraltar Outlook - continued
Oxide ore mined from Connector Pit has been stacked on leach pads and will be processed in the Gibraltar SX/EW plant in the coming years. The second oxide leach pad is now being integrated into the operation, which is expected to increase flow rates to the SX/EW plant, and support higher copper cathode production going forward.
Site diesel prices are currently $0.50 per litre higher than February levels. At these higher prices, Gibraltar’s operating costs will increase by approximately US$0.15 per pound in future quarters if these market conditions prevail.
Molybdenum production in 2026 is expected to remain at similar levels to 2025, and with molybdenum prices above US$25.00 per pound, we continue to expect strong molybdenum by-product credits.
The Company has offtake agreements covering substantially all of Gibraltar’s copper concentrate production for 2026, which contain low and in certain cases negative TCRC rates reflecting the continued tight copper smelting market. Based on the contract terms, the Company expects TCRCs to be nominal in 2026, similar to 2025. Spot TCRC rates continue to be attractive and the Company could tender additional 2027 tons in the coming months to take advantage of the favorable market.
The Company has a prudent hedging program in place to protect a minimum copper price and Gibraltar cash flow during the ramp-up of commercial operations at Florence Copper. Currently, the Company has copper collar contracts in place with a floor of US$4.00 per pound and a ceiling of US$5.40 per pound for 27 million pounds of copper production for the second quarter of 2026, and a floor of US$4.75 per pound and a ceiling of between US$7.50 and US$8.50 per pound for 24 million pounds of copper production for the third quarter of 2026 (refer to “Financial Condition Review—Hedging Strategy” for details). The Company has not hedged any of its Florence Copper production.
Florence Copper
Florence Copper is an in-situ copper recovery operation, located in Arizona, USA, that produces LME Grade A copper metal without conventional open-pit mining methods or major surface disturbance. Florence Copper is projected to rank among the lowest greenhouse gas (“GHG”) intensity primary copper producers in North America, delivering environmentally responsible copper to North American manufacturers and consumers. The commercial operations at Florence Copper have an annual production capacity of 85 million pounds of copper and with current reserves has a current mine life of 22 years. Florence Copper is expected to be in the lowest quartile of primary producers on the global copper cost curve based on its long-term operating parameters once at full production capacity.
Construction activities at Florence Copper were substantially complete in the fourth quarter of 2025.
The focus of the operating team in the first quarter transitioned to wellfield operations, commissioning of the SX/EW plant and the start of production. Commercial wellfield acidification commenced in November with initial injection flowrates slightly above expectations. Commissioning of the SX/EW plant area advanced in parallel with initial wellfield operations, and plant operations commenced mid-February. Plating of copper cathode commenced with the startup of the electrowinning circuit and first cathodes were harvested at the end of February.
Florence Copper - continued
Wellfield drilling re-commenced in late 2025 and there are currently five drill rigs operating on site. Continued expansion of the commercial wellfield will be required to support higher solution flows and increased copper production as the Florence Copper commercial operation progresses through its ramp up in 2026.
Total production in 2026 at Florence Copper is expected to be in the range of 30 to 35 million pounds of copper. In the first quarter, with the SX/EW plant operating, Florence Copper produced a total of 1.5 million pounds of LME Grade A copper cathode with corresponding sales of 619 thousand pounds.
Florence Copper has a fixed price contract in place for all sulphuric acid requirements for 2026, so there is no expected near-term impact from reported disruptions in global acid supply chains due to geopolitical events in the Middle East.
Florence Copper site costs
(US$ in thousands)Three months ended
March 31, 2026Commissioning and start-up costs15,175Wellfield development capital expenditures13,075Site operating costs7,414Total site costs35,664
Long-term Growth Strategy
Taseko’s strategy has been to grow the Company by acquiring and developing a pipeline of projects focused on copper in North America. We continue to believe this will generate long-term returns for shareholders. Our other development projects are located in BC, Canada.
Yellowhead copper project
In July 2025, the Company published a new report titled “Technical Report Update on the Yellowhead Copper Project, British Columbia, Canada” (the “Yellowhead 2025 Technical Report”). Based on the Yellowhead 2025 Technical Report, the Yellowhead copper project is expected to produce 4.4 billion pounds of copper over a 25-year mine life at an average C1 cost, net of by-product credit, of US$1.90 per pound of copper produced. During the first 5 years of operation, the Yellowhead project is expected to produce an average of 206 million pounds of copper per year at an average C1 cost, net of by-product credit, of US$1.62 per pound of copper produced. The Yellowhead project also contains valuable precious metal by-products with 282,000 ounces of gold production and 19.4 million ounces of silver production over the life of mine.
The economic analysis in the Yellowhead 2025 Technical Report was prepared using a copper price of US$4.25 per pound, a gold price of US$2,400 per ounce, and a silver price of US$28.00 per ounce.
Project highlights based on the Yellowhead 2025 Technical Report are detailed below:
Average annual copper production of 178 million pounds over a 25 year mine life at total cash costs (C1) of US$1.90 per pound of copper produced;Over the first 5 years of the mine life, copper grade is expected to average 0.32% producing an average of 206 million pounds of copper at total cash costs (C1) of US$1.62 per pound of copper produced; Long-term Growth Strategy - continued
Concentrator designed to process 90,000 tonnes per day of ore with an expected copper recovery of 90%, and produce a clean copper concentrate with payable gold and silver by-products;Conventional open pit mining with a low strip ratio of 1.4;After-tax net present value of $2.0 billion (8% after-tax discount rate) and after-tax internal rate of return of 21%;Initial capital costs of $2.0 billion with a payback period of 3.3 years; andExpected to be eligible for the Canadian federal Clean Technology Manufacturing Investment Tax Credit, with 30% (approximately $540 million) of eligible initial capital costs reimbursed in year 1 of operation. In June 2025, the Yellowhead project’s Initial Project Description was filed and accepted by the British Columbia Environmental Assessment Office and Impact Assessment Agency of Canada, formally commencing the Environmental Assessment process.
The Company continued to advance the environmental assessment work on the Yellowhead project in the quarter. After the first round of community-based open houses that were held in the fall, the next significant milestone is filing the detailed project description, based on public, Indigenous and agency feedback. On April 29, 2026, the Government of BC announced that the Yellowhead copper project has been added to its list of priority major projects.
The Company continues to engage with project stakeholders to ensure that the development of the Yellowhead Project is in line with environmental and social expectations. The Company has a community office for the Yellowhead project to support ongoing engagement with local communities including First Nations.
New Prosperity copper-gold project
In June 2025, Taseko, the Tŝilhqot’in Nation and the Province of BC reached a historic agreement concerning the New Prosperity project (the “Teẑtan Biny Agreement”). The Teẑtan Biny Agreement ended litigation among the parties while providing certainty with respect to how the significant copper-gold resource at New Prosperity may be developed in the future.
As part of the Teẑtan Biny Agreement, Taseko contributed a 22.5% equity interest in the New Prosperity mineral tenures to a trust for the future benefit of the Tŝilhqot’in Nation. The trust will transfer the property interest to the Tŝilhqot’in Nation if and when it consents to a proposal to pursue mineral development in the project area. Taseko retains a majority interest (77.5%) in the New Prosperity mineral tenures and can divest some or all of its interest at any time, including to other mining companies that could advance a project with the consent of the Tŝilhqot’in Nation. However, Taseko has committed not to be the proponent (operator) of mineral exploration and development activities at New Prosperity, nor the owner of a future mine development. Taseko has also entered into a consent agreement with the Tŝilhqot’in Nation, whereby no mineral exploration or development activity can proceed in the New Prosperity project area without the free, prior and informed consent of the Tŝilhqot’in Nation. The Province of BC and the Tŝilhqot’in Nation have agreed to negotiate the process by which the consent of the Tŝilhqot’in Nation will be sought for any proposed mining project to proceed through an environmental assessment process and have also agreed to undertake a land-use planning process for the area of the mineral tenures and a broader area of land within Tŝilhqot’in territory.
Long-term Growth Strategy - continued
Aley niobium project
Environmental monitoring and product marketing initiatives on the Aley niobium project continue. The converter pilot test is ongoing to provide additional process data to support the design of commercial process facilities. In 2025, the Company produced on-spec ferro-niobium, and the process is now scaling up to provide product samples to support marketing initiatives. The Company is also conducting a scoping study to investigate the potential for Aley to produce high-purity niobium oxides to supply the emerging niobium-based battery technology market.
Harmony gold project
On July 12, 2021, Taseko announced that it had entered into an asset purchase agreement (the “Agreement”) to sell the Harmony Gold Project to JDS Gold Inc. ("JDS"), a newly incorporated company controlled by JDS Energy & Mining Inc. and affiliates. Under the terms of the Agreement, JDS became the owner and operator of the Harmony Gold Project, a high-grade development-stage gold project located on Graham Island in Haida Gwaii. Taseko retained a 15% carried interest in JDS and a 2% net smelter return royalty on the Project. Taseko also had the right to terminate the Agreement and revert to 100% ownership of Harmony in the event JDS did not achieve certain project development milestones and an IPO or other liquidity event within an agreed timeframe. The agreed timeframe was subsequently extended several times and, as the conditions were not met by the deadline, Taseko exercised its reversionary right to receive the mineral tenures back from JDS in late 2025. Taseko is in the process of negotiating and executing a new option agreement with JDS to advance the Harmony Gold Project.
Conference Call and WebcastThe Company will host a telephone conference call and live webcast on Thursday, May 7, 2026, at 11:00 a.m. Eastern Time (8:00 a.m. Pacific) to discuss these results. After opening remarks by management, there will be a question and answer session open to analysts and investors. The conference call may be accessed by dialing 800-715-9871 toll free or 646-307-1963, using the access code 3266924. The webcast may be accessed at tasekomines.com/investors/events and will be archived until May 7, 2027 for later playback.
For further information on Taseko, see the Company’s website at tasekomines.com or contact:
Investor enquiries Brian Bergot, Vice President, Investor Relations – 778-373-4554 Stuart McDonald
President and CEO
Non-GAAP Performance Measures
This MD&A includes certain non-GAAP performance measures that do not have a standardized meaning prescribed by IFRS Accounting Standards. These measures may differ from those used by, and may not be comparable to such measures as reported by, other issuers. The Company believes that these measures are commonly used by certain investors, in conjunction with conventional IFRS Accounting Standards measures, to enhance their understanding of the Company’s performance. These measures have been derived from the Company’s financial statements and applied on a consistent basis. The following tables below provide a reconciliation of these non-GAAP measures to the most directly comparable IFRS Accounting Standards measures.
Gibraltar total operating cost and site operating cost, net of by-product credit
Total operating cost includes all costs absorbed into inventory, as well as transportation costs and insurance recoverable. Site operating cost is calculated by removing net changes in inventory, depletion and amortization, insurance recoverable, and transportation costs from cost of sales. Site operating cost, net of by-product credit is calculated by subtracting by-product credits from site operating cost. Site operating cost, net of by-product credit per pound is calculated by dividing the aggregate of the applicable costs by pounds of copper produced. Total operating cost per pound is the sum of site operating costs, net of by-product credits and off-property costs divided by pounds of copper produced. By-product credit is calculated based on actual sales of molybdenum (net of treatment costs), silver and gold during the period divided by the total pounds of copper produced during the period. These measures are calculated on a consistent basis for the periods presented.
Gibraltar
(Cdn$ in thousands)Q1 2026Q4 2025Q3 2025Q2 2025Q1 2025Cost of sales 151,698 146,919 134,664 120,592 122,783 Less: Depletion and amortization (29,166) (27,207) (27,876) (25,210) (22,425)Changes in inventories of finished goods 19,875 (2,611) 1,425 2,123 (2,710)Changes in inventories of ore stockpiles (1,332) 13,473 16,685 (5,718) (22,747)Changes in inventories of copper in solutions 2,290 - - - - Transportation costs (6,395) (10,989) (7,247) (5,720) (5,984)Site operating costs 136,970 119,585 117,651 86,067 68,917 Less: Florence site operating costs (9,949) - - - - Gibraltar site operating costs 127,021 119,585 117,651 86,067 68,917 Less by-product credits: Molybdenum, net of treatment costs (27,009) (25,095) (13,903) (4,814) (8,774)Silver, excluding amortization of deferred revenue 2,026 312 (295) (58) (131)Gold (567) (619) (761) (351) (389)Gibraltar site operating costs, net of by-product credits 101,471 94,183 102,692 80,844 59,623 Gibraltar total copper produced (thousand pounds) 29,893 30,712 27,593 19,813 19,959 Total costs per pound produced 3.39 3.07 3.72 4.08 2.99 Average exchange rate for the period (CAD/USD) 1.37 1.39 1.38 1.38 1.44 Site operating costs, net of by-product credits
(US$ per pound) 2.47 2.21 2.70 2.96 2.08 Gibraltar site operating costs, net of by-product credits 101,471 94,183 102,692 80,844 59,623 Add off-property costs: Treatment and refining costs (premiums) 96 394 (512) (837) (510)Transportation costs 6,395 10,989 7,247 5,720 5,984 Gibraltar total operating costs 107,962 105,566 109,427 85,727 65,097 Gibraltar total operating costs (C1) (US$ per pound)$2.63 $2.47 $2.87 $3.14 $2.26
Non-GAAP Performance Measures - continued
Gibraltar total site costs
Gibraltar total site costs include site operating costs charged to cost of sales and mining costs capitalized to property, plant and equipment in the period. This measure is intended to capture total site operating costs incurred at Gibraltar during the period calculated on a consistent basis for the periods presented.
Gibraltar
(Cdn$ in thousands) Q1 2026 Q4 2025 Q3 2025 Q2 2025 Q1 2025 Site operating costs (included in cost of sales) 136,970 119,585 117,651 86,067 68,917 Less: Florence site operating costs (9,949) - - - - Gibraltar site operating costs 127,021 119,585 117,651 86,067 68,917 Gibraltar capitalized stripping costs 15,169 5,986 6,106 30,765 38,082 Total site costs 142,190 125,571 123,757 116,832 106,999
Adjusted net income (loss) and Adjusted EPS
Adjusted net income (loss) removes the effect of the following transactions from net income (loss) as reported under IFRS Accounting Standards:
Unrealized foreign currency gains and losses;Unrealized gains and losses on derivatives (including any reversals for prior periods);Other operating costs;Call premium on settlement of debt;Loss on settlement of debt, net of capitalized interest;Realized gain on sale of finished goods inventories;Realized gains on processing of ore stockpiles;Accretion on Florence royalty obligation;Accretion on Cariboo consideration payable;Tax effect of sale of non-controlling interest in New Prosperity; andNon-recurring other expenses for Cariboo acquisition. Management believes that these transactions do not reflect the underlying operating performance of the Company’s core mining business and are not necessarily indicative of future operating results. Furthermore, unrealized gains and losses on derivative instruments, changes in the fair value of financial instruments, and unrealized foreign currency gains and losses are not necessarily reflective of the underlying operating results for the periods presented.
Adjusted earnings per share (“Adjusted EPS”) is Adjusted net income attributable to common shareholders of the Company divided by the weighted average number of common shares outstanding for the period.
Non-GAAP Performance Measures - continued
(Cdn$ in thousands)Q1 2026Q4 2025Q3 2025Q2 2025Net income (loss) 16,844 4,454 (27,838) 21,868 Unrealized foreign exchange loss (gain) 12,171 (9,000) 14,287 (40,335)Unrealized (gain) loss and fair value adjustments on derivatives (9,582) 37,676 14,977 9,489 Accretion on Cariboo consideration payable 1,261 4,048 4,041 4,484 Accretion on Florence royalty obligation 6,294 18,415 6,991 6,201 Tax effect of sale of non-controlling interest in New Prosperity - - - (9,285)Estimated tax effect of adjustments 547 (14,068) (6,874) (5,447)Adjusted net income (loss) 27,535 41,525 5,584 (13,025)Adjusted EPS$0.08 $0.11 $0.02 $(0.04) (Cdn$ in thousands)Q1 2025Q4 2024Q3 2024Q2 2024Net loss (28,560) (21,207) (180) (10,953)Unrealized foreign exchange loss (gain) 2,074 40,462 (7,259) 5,408 Unrealized (gain) loss and fair value adjustments on derivatives 23,536 (25,514) 1,821 10,033 Accretion on Cariboo consideration payable 664 4,543 9,423 8,399 Accretion on Florence royalty obligation 2,571 3,682 3,703 2,132 Other operating costs - 4,132 4,098 10,435 Realized gain on sale of inventory1 - - - 3,768 Realized gain on processing of ore stockpiles2 - 1,905 3,266 4,056 Non-recurring other expenses related to Cariboo acquisition - - - 394 Call premium on settlement of debt - - - 9,571 Loss on settlement of debt, net of capitalized interest - - - 2,904 Estimated tax effect of adjustments (7,228) 2,465 (6,644) (15,644)Adjusted net income (loss) (6,943) 10,468 8,228 30,503 Adjusted EPS$(0.02)$0.03 $0.03 $0.10 Realized gain on sale of inventory relates to copper concentrate inventories held at March 25, 2024 that was written-up to fair value as part of the acquisition of control of Gibraltar and subsequently sold. The realized portion of these gains have been added back to Adjusted net income in the period the inventories were sold.Realized gain on processing of ore stockpiles relates to ore stockpile inventories held at March 25, 2024 that was written-up to fair value as part of the acquisition of control of Gibraltar and subsequently processed. The realized portion of these gains have been added back to Adjusted net income in the period the inventories were processed. Adjusted EBITDA
Adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) is presented as a supplemental measure of the Company’s performance and ability to service debt. Adjusted EBITDA is frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the industry, many of which present adjusted EBITDA when reporting their results. Issuers of “high yield” securities also present adjusted EBITDA because investors, analysts and rating agencies considering it useful in measuring the ability of those issuers to meet debt service obligations.
Non-GAAP Performance Measures - continued
Adjusted EBITDA represents net income before interest, income taxes, depreciation and amortization, and also eliminates the impact of a number of transactions that are not considered indicative of ongoing operating performance. Certain items of expense are added back and certain items of income are deducted from net income that are not likely to recur or are not indicative of the Company’s underlying operating results for the reporting periods presented or for future operating performance and consist of:
Unrealized foreign exchange gains and losses;Unrealized gains and losses on derivative (including any reversals for prior periods);Amortization of share-based compensation expense;Other operating costs;Call premium on settlement of debt;Loss on settlement of debt;Realized gains on sale of finished goods inventories;Realized gains on processing of ore stockpiles; andNon-recurring other expenses for Cariboo acquisition. (Cdn$ in thousands)Q1 2026Q4 2025Q3 2025Q2 2025Net income (loss)16,844 4,454 (27,838)21,868 Depletion and amortization29,166 27,207 27,974 25,210 Finance and accretion expenses20,214 36,925 24,888 23,943 Finance income(1,474)(1,098)(1,368)(124)Income tax expense (recovery)16,657 13,096 2,918 (27,439)Unrealized foreign exchange loss (gain)12,171 (9,000)14,287 (40,335)Unrealized (gain) loss on derivatives and fair value adjustments(9,582)37,676 14,977 9,489 Share-based compensation expense9,467 7,204 6,299 4,820 Adjusted EBITDA93,463 116,464 62,137 17,432 (Cdn$ in thousands)Q1 2025Q4 2024Q3 2024Q2 2024Net loss(28,560)(21,207)(180)(10,953)Depletion and amortization22,425 24,641 20,466 13,721 Finance and accretion expenses18,877 21,473 25,685 21,271 Finance income(1,330)(1,674)(1,504)(911)Income tax expense (recovery)(7,980)11,707 (200)(3,247)Unrealized foreign exchange loss (gain)2,074 40,462 (7,259)5,408 Unrealized (gain) loss on derivatives23,536 (25,514)1,821 10,033 Share based compensation expense (recovery)5,349 (323)1,496 2,585 Other operating costs- 4,132 4,098 10,435 Call premium on settlement of debt- - - 9,571 Loss on settlement of debt- - - 4,646 Realized gain on sale of inventory2- - - 3,768 Realized gain on processing of ore stockpiles3- 1,905 3,266 4,056 Non-recurring other expenses for Cariboo acquisition- - - 394 Adjusted EBITDA34,391 55,602 47,689 70,777
Non-GAAP Performance Measures - continued
Earnings from mining operations before depletion, amortization and non-recurring items
Earnings from mining operations before depletion, amortization and non-recurring items is earnings from mining operations with depletion and amortization, and any items that are not considered indicative of ongoing operating performance added back. The Company discloses this measure, which has been derived from the Company’s financial statements and applied on a consistent basis, to assist in understanding the results of the Company’s operations and financial position, and it is meant to provide further information about the financial results to investors.
Three months ended
March 31,(Cdn$ in thousands)20262025Earnings from mining operations84,44316,366Add: Depletion and amortization29,16622,425Other operating costs952-Earnings from mining operations before depletion, amortization and non-recurring items114,56138,791
Gibraltar site operating costs per ton milled
The Company discloses this measure, which has been derived from the Company’s financial statements and applied on a consistent basis, to assist in understanding the Company’s Gibraltar site operations on a tons milled basis.
Gibraltar
(Cdn$ in thousands)Q1 2026Q4 2025Q3 2025Q2 2025Q1 2025Site operating costs (included in cost of sales) 136,970 119,585 117,651 86,067 68,917Less: Florence site operating costs (9,949) - - - -Gibraltar site operating costs 127,021 119,585 117,651 86,067 68,917Gibraltar tons milled (thousand tons) 7,000 7,200 7,852 7,663 7,898Site operating costs per ton milled$18.15 $16.61$14.98$11.23$8.73
Technical Information
The technical information contained in this MD&A related to Florence Copper is based on the report titled “NI 43-101 Technical Report - Florence Copper Project, Pinal County, Arizona” issued on March 30, 2023 with an effective date of March 15, 2023 (the “Florence 2023 Technical Report”), which is available on SEDAR+. The Florence 2023 Technical Report was prepared under the supervision of Richard Tremblay, P. Eng., MBA, Richard Weymark, P. Eng., MBA, and Robert Rotzinger, P. Eng. Mr. Tremblay is employed by the Company as Chief Operating Officer, Mr. Weymark is employed by the Company as Vice President, Engineering, and Mr. Rotzinger is employed by the Company as Vice President, Capital Projects. All three are Qualified Persons as defined by NI 43-101.
The technical information contained in this MD&A related to Yellowhead is based on the report titled “Technical Report Update on the Yellowhead Copper Project, British Columbia, Canada” issued on July 10, 2025 with an effective date of June 15, 2025 (the “Yellowhead 2025 Technical Report”), which is available on SEDAR+. The Yellowhead 2025 Technical Report was prepared under the supervision of Richard Weymark, P. Eng., MBA, Jeremy Guichon, P. Eng., and Adil Cheema, P. Eng. Mr. Weymark is employed by the Company as Vice President, Engineering, Mr. Guichon is employed by the Company as Director, Mine Engineering, and Mr. Cheema is employed by the Company as Director, Process Engineering. All three are Qualified Persons as defined by NI 43-101.
No regulatory authority has approved or disapproved of the information contained in this news release
Caution Regarding Forward-Looking Information
This document contains “forward-looking statements” that were based on Taseko’s expectations, estimates and projections as of the dates as of which those statements were made. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as “outlook”, “anticipate”, “project”, “target”, “believe”, “estimate”, “expect”, “intend”, “should” and similar expressions.
Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. These included but are not limited to:
uncertainties about the future market price of copper and the other metals that we produce or may seek to produce;changes in general economic conditions, the financial markets and in the market price for our input costs including due to inflationary impacts, such as diesel fuel, acid, steel, concrete, electricity and other forms of energy, mining equipment, and fluctuations in exchange rates, particularly with respect to the value of the U.S. dollar and Canadian dollar, and the continued availability of capital and financing; inherent risks associated with mining operations, including our current mining operations at Gibraltar and Florence Copper, and their potential impact on our ability to achieve our production estimates; our high level of indebtedness and its potential impact on our financial condition and the requirement to generate cash flow to service our indebtedness and refinance such indebtedness from time to time; any increases in interest rates may increase our borrowing costs and impact the profitability of our operations; the amounts we are required to pay for our acquisition of Cariboo will increase with higher copper prices; the risk of inadequate insurance or inability to obtain insurance to cover our business risks; uncertainties related to the accuracy of our estimates of Mineral Reserves (as defined below), Mineral Resources (as defined below), production rates and timing of production, future production and future cash and total costs of production and milling; the risk that we may not be able to expand or replace Mineral Reserves as our existing Mineral Reserves are mined; the risk that the ramp-up of the Florence Copper commercial production facility does not proceed within projected timelines or cost estimates, or that initial operations do not achieve results consistent with the projections in the Florence Copper Technical Report, including with respect to operating costs, revenue, sustaining capital, rates of return and cash flows from operations; our ability to comply with all conditions imposed under the APP and UIC permits for the operation of Florence Copper; the availability of, and uncertainties relating to, any additional financing necessary for the continued ramp-up and commercial operation of Florence Copper, including with respect to our ability to obtain any additional financing, if needed, to continue and expand commercial operations at Florence Copper; shortages of water supply, critical spare parts, acid, diesel, maintenance service and new equipment and machinery or our ability to manage surplus water on our mine sites may materially and adversely affect our operations and development projects; our ability to comply with the extensive governmental regulation to which our business is subject; uncertainties related to our ability to obtain necessary title, licenses and permits for our development projects and project delays due to third party opposition; uncertainties related to Indigenous people’s claims and rights, and legislation and government policies regarding the same; our reliance on the availability of infrastructure necessary for development and on operations, including on rail transportation and port terminals for shipping of our copper concentrate production from Gibraltar, and rail transportation and power for the feasibility of our other British Columbia development projects; uncertainties related to unexpected judicial or regulatory proceedings; changes in, and the effects of, the laws, regulations and government policies affecting our exploration and development activities and mining operations; potential changes to the mineral tenure system in British Columbia, which is undergoing reform including for compliance with the British Columbia Declaration on the Rights of Indigenous Peoples Act (“DRIPA”); our dependence solely on our 100% interest in Gibraltar and in due course, Florence Copper for our revenues and our operating cash flows; our ability to extend existing concentrate off-take agreements and cathode purchase agreements or enter into new agreements; environmental issues and liabilities associated with mining including processing and stockpiling ore; labour strikes, work stoppages, or other interruptions to, or difficulties in, the employment of labour in markets in which we operate mines, industrial accidents, equipment failure or other events or occurrences, including third party interference that interrupt the production of minerals in our mines; environmental hazards and risks associated with climate change, including the potential for damage to infrastructure and stoppages of operations due to extreme cold, extreme heat, forest fires, flooding, drought, earthquakes or other natural events in the vicinity of our operations; litigation risks and the inherent uncertainty of litigation; our actual costs of reclamation and mine closure may exceed our current estimates of these liabilities; our ability to renegotiate our existing union agreement for Gibraltar when it expires in May 2027; the capital intensive nature of our business both to sustain current mining operations and to develop any new projects; our ability to develop new mining projects in British Columbia may be impacted by joint decision-making and consent agreements being implemented by the Government of British Columbia with First Nations under DRIPA; The ability to develop the New Prosperity Project is subject to the restrictions set out in our June 2025 Tripartite Agreement with the Province of British Columbia and the Tŝilhqot’in Nation (the “Teẑtan Biny Agreement”), under which the New Prosperity Project is subject to a land use planning process with the Province of British Columbia and we are not permitted to be the proponent of any development of the New Prosperity Project; our reliance upon key personnel; the competitive environment in which we operate; the effects of forward selling instruments to protect against fluctuations in copper prices and other input costs including diesel and acid; the risk of changes in accounting policies and methods we use to report our financial condition, including uncertainties associated with critical accounting assumptions and estimates; uncertainties relating to the war in Ukraine, the escalating military conflict involving Iran and broader Middle East instability, and other future geopolitical events including social unrest, which could disrupt financial markets, commodity markets, supply chains, the price and availability of energy, availability of materials and equipment and execution timelines for any project development; uncertainties relating to the delivery of oil through the Strait of Hormuz resulting from Middle East instability, which could have an adverse effect on global economic activity and potentially increase operating costs generally and reduce global demand for copper, and have a material adverse effect on our business, operations, and the feasibility of our development projects; changes to U.S. trade policies and tariff measures, including retaliatory tariffs imposed or threatened by Canada and other trading partners, may adversely impact overall economic conditions, copper markets, supply chains, metal prices and input costs; and other risks detailed from time-to-time in our annual information forms, annual reports, MD&A, quarterly reports and material change reports filed with and furnished to securities regulators, and those risks which are discussed under the heading “Risk Factors”. For further information on Taseko, investors should review the Company’s annual report on Form 40-F filed with the United States Securities and Exchange Commission and available at www.sec.gov and home jurisdiction filings that are available at www.sedarplus.ca.
Photos accompanying this announcement are available at
TKO Group Holdings (TKO - Free Report) came out with quarterly earnings of $1.12 per share, beating the Zacks Consensus Estimate of $0.91 per share. This compares to earnings of $0.69 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +23.42%. A quarter ago, it was expected that this producer of professional wrestling events and television shows would post earnings of $0.14 per share when it actually produced a loss of $0.08, delivering a surprise of -157.14%.
Over the last four quarters, the company has surpassed consensus EPS estimates just once.
TKO Group, which belongs to the Zacks Film and Television Production and Distribution industry, posted revenues of $1.6 billion for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.73%. This compares to year-ago revenues of $1.27 billion. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
TKO Group shares have lost about 10.6% since the beginning of the year versus the S&P 500's gain of 6%.
What's Next for TKO Group?While TKO Group has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for TKO Group was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.62 on $1.54 billion in revenues for the coming quarter and $4.59 on $5.75 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Film and Television Production and Distribution is currently in the bottom 32% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
CuriosityStream Inc. (CURI - Free Report) , another stock in the same industry, has yet to report results for the quarter ended March 2026. The results are expected to be released on May 14.
This company is expected to post quarterly loss of $0.02 per share in its upcoming report, which represents a year-over-year change of -300%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
CuriosityStream Inc.'s revenues are expected to be $17.11 million, up 13.4% from the year-ago quarter.
For the quarter ended March 2026, TKO Group Holdings (TKO - Free Report) reported revenue of $1.6 billion, up 25.9% over the same period last year. EPS came in at $1.12, compared to $0.69 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $1.59 billion, representing a surprise of +0.73%. The company delivered an EPS surprise of +23.42%, with the consensus EPS estimate being $0.91.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how TKO Group performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Net Revenue- WWE: $475.7 million versus $466.72 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +21.5% change.Net Revenue- IMG- Consumer products licensing and other: $6 million versus $4.19 million estimated by four analysts on average.Net Revenue- IMG- Partnerships and marketing: $21.5 million versus $25.05 million estimated by four analysts on average.Net Revenue- IMG- Live events and hospitality: $467.7 million versus the four-analyst average estimate of $455.82 million.Net Revenue- IMG- Media rights, production and content: $160.2 million versus $168.79 million estimated by four analysts on average.Net revenues- Corporate & Other: $73.9 million compared to the $69.99 million average estimate based on four analysts.Net Revenue- UFC: $401.2 million compared to the $399.31 million average estimate based on four analysts. The reported number represents a change of +11.5% year over year.Net Revenue- UFC- Media rights, production and content: $275.3 million compared to the $274.34 million average estimate based on four analysts. The reported number represents a change of +22.9% year over year.Net Revenue- UFC- Live events and hospitality: $48.5 million versus the four-analyst average estimate of $45.53 million. The reported number represents a year-over-year change of -17.2%.Net Revenue- UFC- Partnerships and marketing: $67.1 million compared to the $66.81 million average estimate based on four analysts.Net Revenue- UFC- Consumer products licensing and other: $10.3 million versus the four-analyst average estimate of $12.58 million. The reported number represents a year-over-year change of -18.9%.Net Revenue- WWE- Media rights, production and content: $281.7 million versus the four-analyst average estimate of $268.55 million. The reported number represents a year-over-year change of +12%.View all Key Company Metrics for TKO Group here>>>
Shares of TKO Group have returned -3.1% over the past month versus the Zacks S&P 500 composite's +10.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
PHOENIX & NEW YORK--(BUSINESS WIRE)--TKO Group Holdings, Inc. (NYSE: TKO), together with the Arizona Sports & Events Alliance, today announced a multi-year agreement that will stage a series of premier UFC, WWE, PBR, and Zuffa Boxing events in Arizona. The seven-event agreement will span three years and feature some of TKO's most high-profile live events, creating new opportunities for fans to experience UFC, WWE, PBR, and Zuffa Boxing events in one of the country's leading sports and enter.
ABU DHABI, United Arab Emirates--(BUSINESS WIRE)--UFC®, the world's premier mixed martial arts organization, together with the Department of Culture and Tourism – Abu Dhabi (DCT Abu Dhabi), announces its highly anticipated return to the region with UFC® FIGHT NIGHT ABU DHABI on Saturday, 25th July 2026, live from Etihad Arena on Yas Island. UFC® FIGHT NIGHT ABU DHABI tickets will go on sale soon. Fans are encouraged to register their interest early for the best chance to secure tickets via Visi.
UFC®, the world’s premier mixed martial arts organization, together with the Department of Culture and Tourism – Abu Dhabi (DCT Abu Dhabi), announces its highly anticipated return to the region with UFC® FIGHT NIGHT ABU DHABI on Saturday, 25th July 2026, live from Etihad Arena on Yas Island.
UFC® FIGHT NIGHT ABU DHABI tickets will go on sale soon. Fans are encouraged to register their interest early for the best chance to secure tickets via VisitAbuDhabi.ae, where exclusive hotel and ticket packages for traveling fans will also be available.
Full details on the fight card will be revealed in the coming weeks. With a reputation for delivering standout matchups and an atmosphere unlike anywhere else, Abu Dhabi is once again gearing up for an unmissable night inside the Octagon®.
This latest Fight Night event continues UFC and Abu Dhabi’s longstanding partnership dating back to 2010. In recent years, the emirate hosted the global sporting phenomena that was Fight Island during the COVID-19 pandemic and has since cemented its place as one of UFC's most electrifying destinations. Last year, UFC® FIGHT NIGHT: WHITTAKER vs. DE RIDDER in July packed out Etihad Arena with a thrilling middleweight clash, while UFC® 321: ASPINALL vs. GANE in October brought a clash of heavyweight contenders during Abu Dhabi Showdown Week.
Through its collaboration with DCT Abu Dhabi, UFC continues to expand its global network of government and private partnerships, bringing marquee live events to communities worldwide, growing its fanbase and delivering economic and cultural impact.
For further information on UFC® FIGHT NIGHT ABU DHABI and the latest updates, please visit VisitAbuDhabi.ae.
About UFC®
UFC® is the world's premier mixed martial arts organization (MMA), with more than 700 million fans and approximately 363 million social media followers. The organization produces more than 40 live events annually in some of the most prestigious arenas around the world while distributing programming to an estimated 1 billion broadcast and digital households across 210 countries and territories. UFC's athlete roster features the world's best MMA athletes representing more than 75 countries. The organization's digital offerings include UFC FIGHT PASS®, one of the world's leading streaming services for combat sports. UFC is part of TKO Group Holdings (NYSE: TKO) and is headquartered in Las Vegas, Nevada. For more information, visit UFC.com and follow UFC at Facebook.com/UFC and @UFC on X, Snapchat, Instagram, and TikTok: @UFC.
About the Department of Culture and Tourism – Abu Dhabi:
The Department of Culture and Tourism – Abu Dhabi (DCT Abu Dhabi) drives the sustainable growth of Abu Dhabi’s culture and tourism sectors, fuels economic progress and helps achieve Abu Dhabi’s wider global ambitions. By working in partnership with the organisations that define the emirate’s position as a leading international destination, DCT Abu Dhabi strives to unite the ecosystem around a shared vision of the emirate’s potential, coordinate effort and investment, deliver innovative solutions, and use the best tools, policies and systems to support the culture and tourism industries.
DCT Abu Dhabi’s vision is defined by the emirate’s people, heritage and landscape. We work to enhance Abu Dhabi’s status as a place of authenticity, innovation, and unparalleled experiences, represented by its living traditions of hospitality, pioneering initiatives and creative thought.
For more information about DCT Abu Dhabi and the destination, please visit tcaabudhabi.ae and visitabudhabi.ae. For Abu Dhabi Calendar, please visit inabudhabi.ae.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260518491896/en/
TKO President and COO Mark Shapiro has helped oversee one of the biggest transformations in sports and entertainment. In this episode of Power Players, Yahoo Finance Executive Editor Brian Sozzi sits down with Shapiro to talk about the explosive growth of WWE, UFC, PBR, live events, sports media rights, and the future of fan experiences.
VANCOUVER, British Columbia, May 25, 2026 (GLOBE NEWSWIRE) -- Taseko Mines Limited (TSX: TKO; NYSE American: TGB; LSE: TKO) ("Taseko" or the "Company") announces that it has filed its notice of meeting, management information circular (the "Circular") and related documents (collectively, the "Meeting Materials") with securities regulators in connection with its upcoming Annual General Meeting (the “Meeting”) of holders of common shares of the Company (“Shareholders”).
The Meeting Materials, which have been mailed to shareholders, can also be accessed online on Taseko’s website (tasekomines.com/investors/agm) and under the company’s profile on SEDAR+ (sedarplus.ca).
Proposed Name Change
At the upcoming Meeting, the Company is proposing a name change to reflect its growing business and expanded asset base in North America. Management believes that it is the right time for a new name that reflects the Company today and where it is headed. Subject to shareholder approval at this year’s AGM, Taseko Mines Limited will become Trekor Metals Limited.
Stuart McDonald, President and CEO of Taseko, commented, “Over the last two decades, Taseko has been on a journey – steadily growing our business and unlocking value in our high-quality portfolio of development assets. We’ve seized opportunities that others have overlooked and built value for shareholders and the communities where we operate. Our journey will continue as Trekor, a name that embodies our values and reflects our ambition to continue to grow North America’s copper sector.”
Meeting Details
The Meeting will be held in person at the Terminal City Club (837 W Hastings Street, Vancouver, British Columbia, V6C 1B6) on June 24, 2026 at 2:00 p.m. (Pacific Time). At the Meeting, Shareholders will be asked to vote on the follow resolutions:
The setting of the number of directors at nine;The election of directors;The appointment of PricewaterhouseCoopers LLP, Chartered Professional Accountants, as auditors of the Company, and authorization of the Board to fix their remuneration;The approval of a proposed name change of the Company to “Trekor Metals Limited”; andConsideration of the advisory say-on-pay vote.
The Taseko Board unanimously recommends that shareholders vote FOR all proposed resolutions.
Vote Today
The proxy voting deadline is 2:00 p.m. (Pacific Time) on June 22, 2026. Shareholders are encouraged to vote well in advance of the proxy voting deadline to ensure your vote is submitted in a timely manner. Voting is easy. Shareholders may vote online, by telephone or any other methods provided in the form or proxy or voting instruction which have been included as part of the mailing.
Shareholders of record as of the close of business on May 5, 2026 are eligible to vote at the Meeting.
Shareholder Questions & Voting Assistance
Shareholders with questions or who require voting assistance may contact Taseko’s proxy solicitation agent:
Laurel Hill Advisory Group
North America Toll Free: 1-877-452-7184
Outside North America: 1-416-304-0211
Text Message: Text “INFO” to 416-304-0211 or 1-877-452-7184
Email: [email protected]
For further information on Taseko, see the Company’s website at tasekomines.com or contact:
Investor enquiries Brian Bergot, Vice President, Investor Relations – 778-373-4554
Stuart McDonald
President and CEO
No regulatory authority has approved or disapproved of the information contained in this news release.
Caution Regarding Forward-Looking Information
This document contains “forward-looking statements” that were based on Taseko’s expectations, estimates and projections as of the dates as of which those statements were made. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as “outlook”, “anticipate”, “project”, “target”, “believe”, “estimate”, “expect”, “intend”, “should” and similar expressions.
Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. These included but are not limited to:
uncertainties about the future market price of copper and the other metals that we produce or may seek to produce;changes in general economic conditions, the financial markets and in the market price for our input costs including due to inflationary impacts, such as diesel fuel, acid, steel, concrete, electricity and other forms of energy, mining equipment, and fluctuations in exchange rates, particularly with respect to the value of the U.S. dollar and Canadian dollar, and the continued availability of capital and financing;inherent risks associated with mining operations, including our current mining operations at Gibraltar and Florence Copper, and their potential impact on our ability to achieve our production estimates;our high level of indebtedness and its potential impact on our financial condition and the requirement to generate cash flow to service our indebtedness and refinance such indebtedness from time to time;any increases in interest rates may increase our borrowing costs and impact the profitability of our operations;the amounts we are required to pay for our acquisition of Cariboo will increase with higher copper prices;the risk of inadequate insurance or inability to obtain insurance to cover our business risks;uncertainties related to the accuracy of our estimates of Mineral Reserves (as defined below), Mineral Resources (as defined below), production rates and timing of production, future production and future cash and total costs of production and milling;the risk that we may not be able to expand or replace Mineral Reserves as our existing Mineral Reserves are mined;the risk that the ramp-up of the Florence Copper commercial production facility does not proceed within projected timelines or cost estimates, or that initial operations do not achieve results consistent with the projections in the Florence Copper Technical Report, including with respect to operating costs, revenue, sustaining capital, rates of return and cash flows from operations;our ability to comply with all conditions imposed under the APP and UIC permits for the operation of Florence Copper;the availability of, and uncertainties relating to, any additional financing necessary for the continued ramp-up and commercial operation of Florence Copper, including with respect to our ability to obtain any additional financing, if needed, to continue and expand commercial operations at Florence Copper;shortages of water supply, critical spare parts, acid, diesel, maintenance service and new equipment and machinery or our ability to manage surplus water on our mine sites may materially and adversely affect our operations and development projects;our ability to comply with the extensive governmental regulation to which our business is subject;uncertainties related to our ability to obtain necessary title, licenses and permits for our development projects and project delays due to third party opposition;uncertainties related to Indigenous people’s claims and rights, and legislation and government policies regarding the same;our reliance on the availability of infrastructure necessary for development and on operations, including on rail transportation and port terminals for shipping of our copper concentrate production from Gibraltar, and rail transportation and power for the feasibility of our other British Columbia development projects;uncertainties related to unexpected judicial or regulatory proceedings;changes in, and the effects of, the laws, regulations and government policies affecting our exploration and development activities and mining operations;potential changes to the mineral tenure system in British Columbia, which is undergoing reform including for compliance with the British Columbia Declaration on the Rights of Indigenous Peoples Act (“DRIPA”);our dependence solely on our 100% interest in Gibraltar and in due course, Florence Copper for our revenues and our operating cash flows;our ability to extend existing concentrate off-take agreements and cathode purchase agreements or enter into new agreements;environmental issues and liabilities associated with mining including processing and stockpiling ore;labour strikes, work stoppages, or other interruptions to, or difficulties in, the employment of labour in markets in which we operate mines, industrial accidents, equipment failure or other events or occurrences, including third party interference that interrupt the production of minerals in our mines;environmental hazards and risks associated with climate change, including the potential for damage to infrastructure and stoppages of operations due to extreme cold, extreme heat, forest fires, flooding, drought, earthquakes or other natural events in the vicinity of our operations;litigation risks and the inherent uncertainty of litigation;our actual costs of reclamation and mine closure may exceed our current estimates of these liabilities;our ability to renegotiate our existing union agreement for Gibraltar when it expires in May 2027;the capital intensive nature of our business both to sustain current mining operations and to develop any new projects;our ability to develop new mining projects in British Columbia may be impacted by joint decision-making and consent agreements being implemented by the Government of British Columbia with First Nations under DRIPA;The ability to develop the New Prosperity Project is subject to the restrictions set out in our June 2025 Tripartite Agreement with the Province of British Columbia and the Tŝilhqot’in Nation (the “Teẑtan Biny Agreement”), under which the New Prosperity Project is subject to a land use planning process with the Province of British Columbia and we are not permitted to be the proponent of any development of the New Prosperity Project;our reliance upon key personnel;the competitive environment in which we operate;the effects of forward selling instruments to protect against fluctuations in copper prices and other input costs including diesel and acid;the risk of changes in accounting policies and methods we use to report our financial condition, including uncertainties associated with critical accounting assumptions and estimates;uncertainties relating to the war in Ukraine, the escalating military conflict involving Iran and broader Middle East instability, and other future geopolitical events including social unrest, which could disrupt financial markets, commodity markets, supply chains, the price and availability of energy, availability of materials and equipment and execution timelines for any project development;uncertainties relating to the delivery of oil through the Strait of Hormuz resulting from Middle East instability, which could have an adverse effect on global economic activity and potentiallyincrease operating costs generally and reduce global demand for copper, and have a material adverse effect on our business, operations, and the feasibility of our development projects;changes to U.S. trade policies and tariff measures, including retaliatory tariffs imposed or threatened by Canada and other trading partners, may adversely impact overall economic conditions, copper markets, supply chains, metal prices and input costs; andother risks detailed from time-to-time in our annual information forms, annual reports, MD&A, quarterly reports and material change reports filed with and furnished to securities regulators, and those risks which are discussed under the heading “Risk Factors”. For further information on Taseko, investors should review the Company’s annual report on Form 40-F filed with the United States Securities and Exchange Commission and available at www.sec.gov and home jurisdiction filings that are available at www.sedarplus.ca.
In between the thrill of the bouts on fight night, you may notice a new partner listed on the canvas of a UFC octagon: FRE Nicotine Pouches.
In a first-of-its-kind collaboration, FRE became the "official nicotine pouch partner" of UFC and the rest of TKO Group Holdings, Inc. (TKO) affiliated properties, including Zuffa Boxing, PBR (Professional Bull Riding), and UFC BJJ, as well as IMG-owned World’s Strongest Man and Formula Drift.
FRE has been quietly building a sports portfolio that reaches those performance-obsessed audiences across the country, but the announcement of the partnership with TKO last month was a landmark title sponsorship.
CLICK HERE FOR MORE SPORTS COVERAGE ON FOXBUSINESS.COM
TKO Group Holdings, Inc. and FRE Pouches, a consumer product from Turning Point Brands, partnered to become UFC's "official nicotine pouch." (FRE Nicotine Pouches / Fox News)
UFC became the first major U.S. sports property to have an "official nicotine pouch" partner, making this a deal that changes the landscape of a category that will have an estimated $50 billion market by 2033.
Summer Frein, chief revenue officer at Turning Point Brands, the branded consumer products company that markets and distributes products, including alternative smoking accessories, spoke with Fox Business about how FRE wanted to get into sports. And TKO’s properties, especially UFC, made too much sense.
"Obviously, first and foremost, we wanted to pick something that aligns with our brand, and our tagline is ‘Own Your Edge.’ When you think about people who own their edge, sports immediately come to mind. And when you think about TKO — I said this to someone last week — where the hell do you own your edge more than knocking someone out in an octagon," Frein said in a recent interview.
UFC, BUD LIGHT TEAM UP TO MAKE ALREADY HIGHLY ANTICIPATED SUMMER OF FIGHTS THAT MUCH BETTER: ‘A FAN DELIGHT’
"The consumers who are at the events overlap with our consumer base very directly, both from an adult nicotine consumer perspective, but just the characteristics of them. What they believe in, what they embody (has) a lot of overlap with us as well in terms of being competitive, performance-driven and that sort of thing."
The UFC has an audience that is over 90% adults, 21 years or older, making it an ideal platform for responsible marketing of adult consumer products like nicotine pouches. But, from an athlete's perspective, research into how nicotine could enhance sports performance has been abundant.
Smokeless tobacco has been widely used by athletes to enhance performance, with nicotine serving as a central nervous system stimulant among other anatomic effects. And while nicotine had a bad reputation due to its correlation with tobacco-based products like cigarettes, the stimulant wasn’t the cause of toxic health consequences. Of course, it remains an addictive chemical.
The growth of the global nicotine pouch market reached roughly $4.3 billion in 2025, and it’s only going to surge from there. FRE has moved fast to establish itself before it fully matures, and a deal like this with TKO proves that.
FRE Nicotine Pouches became the "official nicotine pouch" of different TKO Group Holdings, Inc. properties, including UFC and Zuffa Boxing. (FRE Nicotine Pouches / Fox News)
"We started off with PBR last year. We rolled into some NASCAR and ARCA Series racing, and all of those foundational elements gave us the confidence that we were heading in the right direction. Sports made a lot of sense for us," Frein added.
"I think [TKO was] also looking for partners and consumers that had overlap, so we were building upon each other there. The consumers expect that. You have seen UFC consumers and fans at events. They ride for that brand. So, if they partner with brands that don’t make sense, I don’t think those fans will be quiet about that. I think our brand made a lot of sense for that reason, too."
Frein pointed out how FRE sets itself apart for its consumers with its variety of flavors, and, more importantly, nicotine strengths. FRE pouches go from three milligrams up to 15, a strength not many competitors have in their product. No matter where a consumer may be on a nicotine pouch journey, FRE prides itself on that variety to help provide consumers with how they wish to have the product.
"Consumers told us they use nicotine and use these pouches, in particular, in their life for a variety of reasons. One is to transition off of products they don’t want to use anymore, different nicotine products they don’t want to use anymore. They feel like this is a better option for them – more discreet, less judgment, that sort of thing. Then, we hear them say what you’re saying. They use it for moments of their day that they find to be helpful to them," Frein explained.
FRE has also listened to its customers when it comes to the pouch itself. The pouches feature a pre-primed moisture technology pouch that Frein says consumers "prefer." Their variety also goes into the pouch count, offering 20-count tins or 100-count "Mega Packs."
And as Frein mentioned, FRE’s push into sports goes beyond its work with TKO. It recently partnered with 23XI Racing, Michael Jordan’s auto racing company, and driver Riley Herbst for select NASCAR Cup Series races. It also signed as the "official nicotine sponsor" for Taylor Reimer Racing across four ARCA Menards Series events in 2026.
FRE Nicotine Pouches branding on a 23XI Racing NASCAR vehicle for the NASCAR Cup Series. (FRE Nicotine Pouches / Fox News)
CLICK HERE FOR MORE SPORTS COVERAGE ON FOXBUSINESS.COM
As tobacco-less nicotine products have been reframed from a legacy habit to a deliberate, performance-based choice, FRE has made a calculated bet on sports, and partnering with TKO makes the future exciting from a business perspective.
"I think what the partnership with TKO and NASCAR and Taylor Reimer in the ARCA Series has done for us is open people’s minds," Frein said.
"Open doors, given us credibility as a brand and as an industry that we can make it work. We’re going to have a seat at the table. We’re going to market effectively and responsibly, frankly. So, I imagine that, just given the prior piece of the conversations around athletes and them thinking differently and having this a part of their lives, it will open doors to other avenues."
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NEW YORK--(BUSINESS WIRE)--TKO Group Holdings, Inc. (NYSE: TKO) (“TKO” or the “Company”), a premium sports and entertainment company, today announced that its board of directors has declared a quarterly cash dividend pursuant to which TKO’s Class A common stockholders will receive their pro rata share of an aggregate distribution of approximately $150 million from TKO Operating Company, LLC to its equityholders. The per share dividend to the holders of TKO’s Class A common stockholders will be $0.79 per share. The dividend will be paid on June 30, 2026 to Class A common stockholders of record as of the close of business on June 15, 2026.
Future declarations of quarterly dividends are subject to the determination and discretion of TKO based on its consideration of various factors, such as its results of operations, financial condition, market conditions, earnings, cash flow requirements, restrictions in its debt agreements and legal requirements and other factors that TKO deems relevant.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. TKO 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. All statements in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including the expected dividend payment date and timing thereof. The words “believe,” “may,” “will,” “estimate,” “potential,” “continue,” “anticipate,” “intend,” “expect,” “could,” “would,” “project,” “plan,” “target,” and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions. These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees and involve known and unknown risks, uncertainties and other important factors that may cause actual results, performance or achievements to be materially different from what is expressed or implied by the forward-looking statements, including, but not limited to those factors discussed in Part I, Item 1A “Risk Factors” in TKO’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, as any such factors may be updated from time to time in the Company’s other filings with the SEC, which are accessible on the SEC’s website at www.sec.gov and TKO’s Investor Relations site at investor.tkogrp.com. Forward-looking statements speak only as of the date they are made and, except as may be required under applicable law, TKO undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
About TKO
TKO Group Holdings, Inc. (NYSE: TKO) is a premium sports and entertainment company. TKO’s businesses include UFC, the world’s premier mixed martial arts organization; WWE, the global leader in sports entertainment; PBR, the world’s premier bull riding organization; and its joint venture Zuffa Boxing, a professional boxing promotion. Together, these properties reach more than 1 billion households across 210 countries and territories and organize more than 500 live events year-round, attracting more than three million fans. TKO also services and partners with major sports rights holders through IMG, an industry-leading global sports marketing agency; and On Location, a global leader in premium experiential hospitality.
Website Disclosure
Investors and others should note that TKO announces material financial and operational information to its investors using press releases, SEC filings and public conference calls and webcasts, as well as its Investor Relations site at investor.tkogrp.com. TKO may also use its website as a distribution channel of material information about the Company. In addition, you may automatically receive email alerts and other information about TKO when you enroll your email address by visiting the “Investor Email Alerts” option under the Resources tab on investor.tkogrp.com.
Moran Wealth Management LLC raised its position in Expand Energy Corporation (NASDAQ:EXE – Free Report) by 89.4% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 21,032 shares of the company’s stock after acquiring an additional 9,927 shares during the quarter. Moran Wealth Management LLC’s holdings in Expand Energy were worth $2,321,000 at the end of the most recent reporting period.
Other large investors have also recently added to or reduced their stakes in the company. ESL Trust Services LLC acquired a new stake in shares of Expand Energy during the 3rd quarter worth about $32,000. Abound Wealth Management lifted its stake in shares of Expand Energy by 890.0% during the 4th quarter. Abound Wealth Management now owns 297 shares of the company’s stock worth $33,000 after buying an additional 267 shares during the last quarter. Smartleaf Asset Management LLC lifted its stake in shares of Expand Energy by 85.0% during the 3rd quarter. Smartleaf Asset Management LLC now owns 433 shares of the company’s stock worth $46,000 after buying an additional 199 shares during the last quarter. Assetmark Inc. lifted its stake in shares of Expand Energy by 54.5% during the 4th quarter. Assetmark Inc. now owns 414 shares of the company’s stock worth $46,000 after buying an additional 146 shares during the last quarter. Finally, Root Financial Partners LLC acquired a new stake in shares of Expand Energy during the 3rd quarter worth about $47,000. Institutional investors and hedge funds own 97.93% of the company’s stock.
Analyst Upgrades and Downgrades Several analysts have weighed in on EXE shares. Piper Sandler lifted their price objective on shares of Expand Energy from $136.00 to $138.00 and gave the stock an “overweight” rating in a research note on Thursday, March 12th. UBS Group dropped their price objective on shares of Expand Energy from $139.00 to $133.00 and set a “buy” rating for the company in a research note on Monday, April 13th. KeyCorp reiterated a “sector weight” rating on shares of Expand Energy in a research note on Thursday, April 2nd. Wells Fargo & Company set a $123.00 price objective on shares of Expand Energy in a research note on Monday, February 23rd. Finally, Morgan Stanley reiterated an “overweight” rating on shares of Expand Energy in a research note on Friday, March 27th. Two research analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $131.95.
View Our Latest Stock Report on Expand Energy
Expand Energy Stock Performance EXE opened at $95.82 on Monday. Expand Energy Corporation has a fifty-two week low of $91.01 and a fifty-two week high of $126.62. The company has a debt-to-equity ratio of 0.27, a current ratio of 1.01 and a quick ratio of 1.01. The firm has a market capitalization of $23.04 billion, a price-to-earnings ratio of 12.71 and a beta of 0.47. The company’s 50 day moving average price is $104.92 and its two-hundred day moving average price is $108.07.
Expand Energy (NASDAQ:EXE – Get Free Report) last posted its earnings results on Tuesday, February 17th. The company reported $2.00 earnings per share for the quarter, topping analysts’ consensus estimates of $1.89 by $0.11. The firm had revenue of $3.27 billion for the quarter, compared to analyst estimates of $2.28 billion. Expand Energy had a net margin of 15.00% and a return on equity of 8.17%. As a group, research analysts predict that Expand Energy Corporation will post 1.33 earnings per share for the current year.
Expand Energy Announces Dividend The business also recently announced a quarterly dividend, which was paid on Thursday, March 26th. Investors of record on Thursday, March 5th were given a dividend of $0.575 per share. This represents a $2.30 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date was Thursday, March 5th. Expand Energy’s payout ratio is presently 30.50%.
Insider Activity In other Expand Energy news, CEO Michael Wichterich purchased 2,000 shares of the firm’s stock in a transaction on Friday, March 6th. The stock was acquired at an average price of $107.50 per share, for a total transaction of $215,000.00. Following the purchase, the chief executive officer owned 83,498 shares of the company’s stock, valued at $8,976,035. This trade represents a 2.45% increase in their position. The purchase was disclosed in a filing with the SEC, which can be accessed through this hyperlink. 0.17% of the stock is owned by insiders.
About Expand Energy (Free Report)
Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.
Read More Five stocks we like better than Expand Energy Want to see what other hedge funds are holding EXE? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Expand Energy Corporation (NASDAQ:EXE – Free Report).
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Wall Street expects a year-over-year increase in earnings on higher revenues when Expand Energy (EXE - Free Report) reports results for the quarter ended March 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.
The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on April 28. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis oil and gas company is expected to post quarterly earnings of $3.71 per share in its upcoming report, which represents a year-over-year change of +83.7%.
Revenues are expected to be $2.92 billion, up 27.2% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 5.32% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Expand Energy?For Expand Energy, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -0.69%.
On the other hand, the stock currently carries a Zacks Rank of #3.
So, this combination makes it difficult to conclusively predict that Expand Energy will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Expand Energy would post earnings of $1.89 per share when it actually produced earnings of $2.00, delivering a surprise of +5.82%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Expand Energy doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Key Takeaways EXE is set to report Q1 2026 earnings on April 28 with estimates of $3.69 per share.EXE expects to benefit from LNG demand and basin strength, driving higher production and price realization.Higher costs and inflationary pressures may weigh on margins despite revenue growth expectations. Expand Energy Corporation (EXE - Free Report) is set to release first-quarter 2026 earnings on April 28, 2026.The Zacks Consensus Estimate for the to-be-reported quarter is pegged at a profit of $3.69 per share on revenues of $2.97 billion.
Let us delve into the factors that might have influenced EXE’s performance in the to-be-reported quarter. Before that, it is worth taking a look at the company’s performance in the last reported quarter.
Highlights of EXE’s Q4 Earnings & Surprise HistoryIn the fourth quarter, the U.S.-based natural gas producer’s adjusted earnings of $2 per share beat the Zacks Consensus Estimate of $1.89, driven by strong production and higher natural gas price realization. Moreover, the company’s ‘natural gas, oil and NGL’ revenues of $2.3 billion surpassed the Zacks Consensus Estimate of $2.2 billion. Expand Energy’s earnings beat the consensus estimate in three of the trailing four quarters and missed in one, delivering an average surprise of 5.43%
This is depicted in the graph below.
Trend in the Estimate Revision of EXEThe Zacks Consensus Estimate for first-quarter 2026 earnings has remained unchanged overall but has recorded two downward revisions in the past seven days. The estimated figure indicates an 82.67% year-over-year bottom-line increase. Moreover, the Zacks Consensus Estimate for revenues indicates an increase of 29.19% from the year-ago period’s level.
Factors to Consider Ahead of EXE’s Q1 ReleaseExpand Energy generates revenues primarily by extracting and selling natural gas from major shale basins, including the Haynesville and Marcellus/Utica regions, and supplying utilities, industrial customers and LNG exporters.
The company’s revenues depend largely on the price of gas and the volume it produces. Expand Energy follows a typical exploration and production model — acquiring reserves, drilling wells and selling output — while focusing on operational efficiency and scale to keep costs low and margins stable. It also benefits from proximity to LNG export terminals, which provide exposure to global demand, and generates smaller contributions from natural gas liquids, oil production and occasional asset transactions.
We believe EXE stands to benefit from strengthening natural gas demand — driven by LNG exports, expanding AI and data center energy consumption, EV growth and broader electrification — supported by its core positions in the Haynesville and Marcellus basins. Based on our estimates, we expect the company’s total daily production to increase 9.5% year over year compared with the same quarter last year. We also expect EXE’s average realized sales price to rise 32.7% year over year to $4.75 from the last year’s level.
Rising expenses might have weighed on results. EXE’s fourth-quarter total costs and expenses were 5.9% higher than the year-ago quarter’s figure, and this upward trajectory is expected to have persisted in the quarter to be reported. Combined spending on production costs, gathering, processing and transportation, marketing, and depreciation, depletion and amortization, along with persistent inflationary pressures, might have continued to weigh on margins.
What Does Our Model Say About EXE?The proven Zacks model does not conclusively predict an earnings beat for Expand Energy this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of beating estimates. This is not the case here.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
EXE’s Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for this company is 0.00%.
EXE’s Zacks Rank: EXE currently carries a Zacks Rank #3.
Stocks to ConsiderHere are some firms from the energy space that you may want to consider, as these have the right combination of elements to post an earnings beat this reporting cycle.
ConocoPhillips (COP - Free Report) has an Earnings ESP of +8.05% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
The firm is scheduled to release earnings on April 30. ConocoPhillips is a U.S.-based exploration and production company focused on discovering, developing, and producing oil and natural gas resources across multiple regions worldwide. Notably, the Zacks Consensus Estimate for ConocoPhillips’s 2026 earnings per share indicates 57.64% year-over-year growth. Valued at around $149.43 billion, ConocoPhillips’ shares have risen 38.5% in a year.
TotalEnergies (TTE - Free Report) has an Earnings ESP of +20.30% and a Zacks Rank #1. The firm is scheduled to release earnings on April 30. TotalEnergies is a France-based global energy company engaged in oil and gas exploration, production, refining and a growing portfolio of renewable and low-carbon energy solutions worldwide.
Notably, the Zacks Consensus Estimate for TotalEnergies’ 2026 earnings per share indicates 25.54% year-over-year growth. Valued at around $214.76 billion, TotalEnergies has gained 54.1% in a year.
Valero Energy Corporation (VLO - Free Report) has an Earnings ESP of +3.23% and a Zacks Rank #1. The firm is scheduled to release earnings on April 30. Valero Energy is a leading international manufacturer and marketer of transportation fuels, petrochemical products and renewable diesel.
Notably, the Zacks Consensus Estimate for Valero Energy’s 2026 earnings per share indicates 79.36% year-over-year growth. Valued at around $70.08 billion, Valero Energy has gained 104.2% in a year.
Siemens Energy (OTCMKTS:SMNEY – Get Free Report) and Expand Energy (NASDAQ:EXE – Get Free Report) are both large-cap energy companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, analyst recommendations, earnings, risk, profitability, valuation and institutional ownership.
Institutional & Insider Ownership 97.9% of Expand Energy shares are held by institutional investors. 0.2% of Expand Energy shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Risk and Volatility Siemens Energy has a beta of 2.06, indicating that its stock price is 106% more volatile than the S&P 500. Comparatively, Expand Energy has a beta of 0.47, indicating that its stock price is 53% less volatile than the S&P 500.
Earnings & Valuation This table compares Siemens Energy and Expand Energy”s top-line revenue, earnings per share and valuation.
Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio Siemens Energy $43.21 billion 3.48 $1.56 billion $1.77 99.23 Expand Energy $12.12 billion 1.91 $1.82 billion $7.54 12.79 Expand Energy has lower revenue, but higher earnings than Siemens Energy. Expand Energy is trading at a lower price-to-earnings ratio than Siemens Energy, indicating that it is currently the more affordable of the two stocks.
Profitability This table compares Siemens Energy and Expand Energy’s net margins, return on equity and return on assets.
Net Margins Return on Equity Return on Assets Siemens Energy 4.75% 18.48% 3.50% Expand Energy 15.00% 8.17% 5.26% Dividends Siemens Energy pays an annual dividend of $0.53 per share and has a dividend yield of 0.3%. Expand Energy pays an annual dividend of $2.30 per share and has a dividend yield of 2.4%. Siemens Energy pays out 29.9% of its earnings in the form of a dividend. Expand Energy pays out 30.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
Analyst Recommendations This is a breakdown of recent ratings and price targets for Siemens Energy and Expand Energy, as reported by MarketBeat.com.
Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score Siemens Energy 0 3 7 2 2.92 Expand Energy 0 3 14 2 2.95 Expand Energy has a consensus target price of $131.95, suggesting a potential upside of 36.83%. Given Expand Energy’s stronger consensus rating and higher probable upside, analysts plainly believe Expand Energy is more favorable than Siemens Energy.
Summary Expand Energy beats Siemens Energy on 10 of the 16 factors compared between the two stocks.
About Siemens Energy (Get Free Report)
Siemens Energy AG operates as an energy technology company worldwide. It operates through Gas Services, Grid Technologies, Transformation of Industry, and Siemens Gamesa segments. The company provides gas and steam turbines, generators, and heat pumps, as well as performance enhancement, maintenance, customer training, and professional consulting services for central and distributed power generation; and high voltage direct current transmission systems, offshore windfarm grid connections, transformers, flexible alternating current transmission systems, high voltage substations, air and gas-insulated switchgears, digital grid solutions and components, and storage solutions. It also offers electrolyzers, industrial steam turbines, industrial generators, turbo and reciprocating compressors, compressor trains, and other systems and solutions; onshore and onshore wind turbines; design, engineering, manufacturing, and installation solutions for onshore markets; offshore wind turbine equipment design, manufacturing, and installation solutions; and operation and maintenance services for wind farms. The company serves utilities, independent power producers, project developers, oil and gas, transmission and distribution system operators, and industrial and infrastructure customers. Siemens Energy AG was founded in 1866 and is based in Munich, Germany.
About Expand Energy (Get Free Report)
Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.
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Key Takeaways Natural gas prices fell after EIA reported a record-early 103 Bcf storage injection.Global LNG disruptions tied to Iran/Mideast tensions cut supply nearly 20%, adding a bullish undertone.CRK, AR and EXE flagged as gas plays position for long-term trends despite near-term pressure. Last week, the natural gas market was dominated by a historic development, marking the earliest-ever triple-digit storage injection. The U.S. Energy Information Administration (EIA) reported a massive 103 billion cubic feet (Bcf) build, significantly above both market expectations and historical averages. This surge pushed total inventories well above both last year’s levels and the five-year average, shifting market sentiment sharply bearish despite supportive global cues.
At this time, investors may consider focusing on select natural gas-focused stocks such as Comstock Resources (CRK - Free Report) , Antero Resources (AR - Free Report) and Expand Energy (EXE - Free Report) (AR - Free Report) , which remain well-positioned to benefit from long-term structural trends.
Weekly Price Movement Sees Gains Fade After Storage SurpriseNatural gas prices started the week on a modestly positive note, supported by a cooler weather outlook and steady LNG demand. Futures posted a six-session winning streak early in the week, briefly approaching the $2.70-$2.74/MMBtu range. However, the sentiment reversed sharply after the EIA reported the 103 Bcf storage injection — the largest and earliest of its kind. Prices fell nearly 3-4% in subsequent sessions, settling at just over $2.50/ MMBtu by the end of the week. Overall, the market ended the week with a slight loss, as the bearish storage data overshadowed weather-driven demand expectations and erased earlier gains.
Global Dynamics Add a Bullish UndercurrentWhile domestic fundamentals appeared weak, global developments painted a more optimistic picture. LNG supply disruptions linked to geopolitical tensions, particularly involving Iran and key Middle East producers, led to a sharp contraction in global gas supply. Reports suggest a nearly 20% decline in global LNG availability, driven by reduced production and logistical constraints.
At the same time, U.S. LNG exports have surged to record levels, partially offsetting supply gaps left by major producers like Qatar. This highlights the growing strategic importance of U.S. gas in the global energy mix. Strong export demand and tightening global balances could provide a floor for prices in the medium term.
Short-Term Pressure, Long-Term OpportunityDespite last week’s bearish price action, the broader outlook for natural gas remains cautiously optimistic. The large storage build reflects seasonal dynamics rather than a structural collapse in demand. As the market moves toward summer, rising power demand and cooling needs could gradually absorb excess supply and stabilize prices.
Moreover, global supply disruptions and increasing reliance on LNG underscore the long-term value of natural gas as a transition fuel. Investors with a medium- to long-term horizon may find current price weakness an opportunity to focus on quality natural gas stocks positioned to benefit from tightening global markets.
3 Stocks Worth a Closer LookIn this evolving landscape, companies like Comstock Resources, Antero Resources and Expand Energy stand out as strong candidates for investors seeking exposure to the natural gas space.
Comstock Resources: It is an independent natural gas producer based in Frisco, TX, with operations concentrated in north Louisiana and East Texas. Comstock Resources — currently carrying a Zacks Rank #3 (Hold) — is fully focused on developing the Haynesville and Bossier shales, two of the largest gas plays in the United States. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CRK holds a large acreage position across Haynesville, giving it direct exposure to Gulf Coast LNG demand growth. Its production is 100% natural gas, making it one of the most gas-levered E&Ps in the sector. The Zacks Consensus Estimate for Comstock Resources’ 2026 earnings per share indicates a 50% year-over-year surge. The firm has a trailing four-quarter earnings surprise of roughly 56.9%, on average.
Antero Resources: It is an independent energy producer focused on natural gas and liquids in the Appalachian Basin. Headquartered in Denver, this Zacks #3 Ranked company develops low-cost assets in the Marcellus and Utica shales, holding about 515,000 net acres. Antero Resources’ production mix is weighted toward natural gas and NGLs, with minimal oil exposure. AR is also one of the largest U.S. suppliers of natural gas and LPG to export markets.
Antero Resources is supported by its midstream affiliate, Antero Midstream, in which it owns roughly 29%. This integrated setup secures transportation and market access from Appalachia to the Gulf Coast. A low debt profile and steady drilling results provide flexibility and support long-term growth. The Zacks Consensus Estimate for Antero Resources’ 2026 earnings per share indicates 148% year-over-year surge.
Expand Energy: Expand Energy has emerged as the largest natural gas producer in the United States after completing the Chesapeake-Southwestern merger. With a strong footprint in the Haynesville and Marcellus basins, the company is well-positioned to benefit from rising natural gas demand fueled by LNG exports, growing AI and data-center power needs, EV adoption and broader electrification trends.
The Zacks Consensus Estimate for Expand Energy’s 2026 earnings per share indicates a 45.9% year-over-year improvement. The firm, Zacks Rank of 3, has a trailing four-quarter earnings surprise of roughly 5.4%, on average.
SPRING, Texas, April 28, 2026 (GLOBE NEWSWIRE) -- Expand Energy Corporation (NASDAQ: EXE) (“Expand Energy” or the “Company”) today reported first quarter 2026 financial and operating results.
Net cash provided by operating activities of $2,402 million, reflecting continued strong cash generation from operationsNet income of $1,159 million, or $4.81 per fully diluted share; adjusted net income (1) of $923 million, or $3.83 per diluted shareAdjusted EBITDAX(1) of $1,968 millionNet production of ~7.44 Bcfe/d (93% natural gas), reaffirming full-year 2026 guidance of ~7.5 Bcfe/dTotal debt of $5.0 billion as of quarter-end reduced by ~$1.3 billion from senior note redemption during April 2026Reported quarter-end net debt (1) of $2.8 billion, down $1.6 billion from year-end 2025Repurchased $150 million of common stock through April 24, 2026, complementing debt reduction with meaningful shareholder returnsSigned 20-year Sales and Purchase Agreement (SPA) with Delfin FLNG Vessel 1 for ~1.15 million tonnes of LNG offtake per year, further extending market reach to growing global demand centers (1) Definitions of non-GAAP financial measures and reconciliations of each non-GAAP financial measure to the most directly comparable GAAP financial measure are included at the end of this release.
“The world critically needs natural gas supply to meet rapidly rising power demand, growing industrial activity, and global LNG expansion to address a global reset in energy security,” said Mike Wichterich, Interim President and Chief Executive Officer of Expand Energy. “We’re built for this future as the largest, low-cost, market-connected natural gas producer in America, with differentiated opportunity to grow free cash flow and enhance returns for shareholders. Our scale, direct access to rapidly expanding global markets, and operational discipline aren’t aspirations, they’re the foundation we’re building upon.”
Operations Update
Expand Energy operated an average of 13 rigs during the first quarter, drilling 60 wells and turning 49 wells in line, resulting in net production of approximately 7.44 Bcfe/d (93% natural gas). A detailed breakdown of first quarter production, capital expenditures and activity can be found in the supplemental slides which have been posted at https://investors.expandenergy.com/events-presentations.
2026 Capital and Operating Outlook
In 2026, Expand Energy expects to run 11 to 12 rigs and invest approximately $2.85 billion yielding an estimated daily production of approximately 7.5 Bcfe/d.
A detailed breakdown of 2026 annual capital and operating outlook can be found in the supplemental slides.
Delfin Sales and Purchase Agreement
On April 22, 2026, we executed a Sales and Purchase Agreement (“SPA”) for long-term liquefaction offtake with Delfin FLNG 1 LLC, subject to final investment decision. Under the SPA, we will purchase approximately 1.15 million tonnes of LNG per annum from Delfin FLNG 1 LLC at a Henry Hub price with a contract targeted start date in 2031. The previously announced SPAs with Delfin and Gunvor Group Ltd have been terminated.
Shareholder Returns Update
Expand Energy expects to utilize free cash flow generated during 2026 to further strengthen its balance sheet in order to create more capacity at cycle lows while also returning cash to shareholders through the base dividend and share repurchases. Year-to-date through April 24, 2026, the Company has redeemed approximately $1.3 billion of gross debt and executed $150 million of share repurchases. The Company plans to pay its quarterly base dividend of $0.575 per share on June 4, 2026 to shareholders of record at the close of business on May 14, 2026.
Conference Call Information
A conference call to discuss Expand Energy's first quarter 2026 financial and operating results and 2026 outlook has been scheduled for 9 a.m. EDT on April 29, 2026. Participants can access the live webcast at https://edge.media-server.com/mmc/p/adko8s9u/. Participants who would like to ask a question, can register at https://register-conf.media-server.com/register/BIcd20025e35ec46838c4e137bd3a96deb, and will receive the dial-in info and a unique PIN to join the call. Links to the conference call will be provided at https://investors.expandenergy.com/. A replay will be available on the website following the call.
Financial Statements, Non-GAAP Financial Measures and 2026 Guidance and Outlook Projections
This news release contains the non-GAAP financial measures described below in the section titled “Non-GAAP Financial Measures.” Reconciliations of each non-GAAP financial measure used in this news release to the most directly comparable GAAP financial measure are provided below. Additional detail on the Company’s 2026 first quarter financial and operational results, along with non-GAAP measures that adjust for items typically excluded by securities analysts, are available on the Company’s website. Non-GAAP measures should not be considered as an alternative to, or more meaningful than, GAAP measures. Management’s guidance for 2026 can be found on the Company’s website at www.expandenergy.com/.
Expand Energy Corporation (NASDAQ: EXE) is North America’s largest natural gas producer, powered by dedicated and innovative employees focused on expanding the value of natural gas by connecting global scale to growing markets. Expand Energy’s returns-driven strategy strives to create sustainable value for its stakeholders by leveraging its advantaged portfolio, financial strength and operational excellence. Expand Energy is committed to expanding America’s energy reach to fuel a more affordable, reliable, lower carbon future.
Forward-Looking Statements
This release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include our current expectations or forecasts of future events, including matters relating to armed conflict between Russia and Ukraine, instability the Middle East and Venezuela and changes in China-Taiwan relations, along with the effects of the current global economic environment, and the impact of each on our business, financial condition, results of operations and cash flows, actions by, or disputes among or between, members of OPEC+ and other foreign oil-exporting countries, market factors, market prices, our ability to meet debt service requirements, our ability to continue to pay cash dividends, the amount and timing of any cash dividends and our sustainability initiatives. Forward-looking and other statements in this news release regarding our environmental, social and other sustainability plans and goals are not an indication that these statements are necessarily material to investors or required to be disclosed in our filings with the Securities and Exchange Commission ("SEC"). In addition, historical, current, and forward-looking environmental, social and sustainability-related statements may be based on standards for measuring progress that are still developing, internal controls and processes that continue to evolve, and assumptions that are subject to change in the future. Forward-looking statements often address our expected future business, financial performance and financial condition, and often contain words such as "aim", "predict", "should", "expect," “could,” “may,” "anticipate," "intend," "plan," “ability,” "believe," "seek," "see," "will," "would," “estimate,” “forecast,” "target," “guidance,” “outlook,” “opportunity” or “strategy.” The absence of such words or expressions does not necessarily mean the statements are not forward-looking.
Although we believe the expectations and forecasts reflected in our forward-looking statements are reasonable, they are inherently subject to numerous risks and uncertainties, most of which are difficult to predict and many of which are beyond our control. No assurance can be given that such forward-looking statements will be correct or achieved or that the assumptions are accurate or will not change over time. Particular uncertainties that could cause our actual results to be materially different than those expressed in our forward-looking statements include:
Reduced demand for natural gas, oil, and natural gas liquids (“NGLs”);negative public perceptions of our industry;competition in the natural gas and oil exploration and production industry;the volatility of natural gas, oil and NGL prices, which are affected by general economic and business conditions, as well as increased demand for (and availability of) alternative fuels and electric vehicles;risks from regional epidemics or pandemics and related economic turmoil, including supply chain constraints;write-downs of our natural gas and oil asset carrying values due to low commodity prices;significant capital expenditures are required to replace our reserves and conduct our business;our ability to replace reserves and sustain production;uncertainties inherent in estimating quantities of natural gas, oil and NGL reserves and projecting future rates of production and the amount and timing of development expenditures;drilling and operating risks and resulting liabilities;our ability to generate profits or achieve targeted results in drilling and well operations;leasehold terms expiring before production can be established;risks from our commodity price risk management activities;uncertainties, risks and costs associated with natural gas and oil operations;our need to secure adequate supplies of water for our drilling operations and to dispose of or recycle the water used;pipeline and gathering system capacity constraints and transportation interruptions;risks related to our plans to participate in the global LNG value chain;terrorist activities and/or cyber-attacks adversely impacting our operations;risks from failure to protect personal information and data and compliance with data privacy and security laws and regulations;disruption of our business by natural or human causes beyond our control;a deterioration in general economic, business or industry conditions;the impact of inflation and commodity price volatility, including as a result of decisions made by OPEC+ and armed conflict between Russia and Ukraine, instability in the Middle East and Venezuela, and changes in China-Taiwan relations, along with the effects of the current global economic environment, on our business, financial condition, employees, contractors, vendors and the global demand for natural gas and oil and on U.S. and global financial markets;our inability to access the capital markets on favorable terms;the limitations on our financial flexibility due to our level of indebtedness and restrictive covenants from our indebtedness;challenges with employee recruitment and retention and an increasingly competitive labor market;risks related to acquisitions or dispositions, or potential acquisitions or dispositions;security threats, including cybersecurity threats and disruptions to our business and operations from breaches of our information technology systems, or from breaches of information technology systems of third parties with whom we transact business;our ability to achieve and maintain sustainability certifications, goals and commitments;environmental and sustainability legislation and regulatory initiatives, including those addressing the impact of climate change or further regulating hydraulic fracturing, greenhouse gas emissions, flaring or water disposal;federal and state tax proposals affecting our industry;risks related to an annual limitation on the utilization of our tax attributes, which was triggered upon the completion of our merger with Southwestern Energy Company, as well as trading in our common stock, additional issuance of common stock, and certain other stock transactions, which could lead to an additional, potentially more restrictive, annual limitation; andother factors that are described under Risk Factors in Item 1A of Part I of our Annual Report on Form 10-K filed with the SEC. We caution you not to place undue reliance on the forward-looking statements contained in this news release, which speak only as of the filing date, and we undertake no obligation and have no intention to update any forward-looking statement, except as required by law. We urge you to carefully review and consider the disclosures in this news release and our filings with the SEC that attempt to advise interested parties of the risks and factors that may affect our business.
All forward-looking statements attributable to us are expressly qualified in their entirety by this cautionary statement.
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited)
($ in millions, except per share data)March 31, 2026 December 31, 2025Assets Current assets: Cash and cash equivalents$2,220 $616 Restricted cash 85 80 Accounts receivable, net 1,290 1,599 Derivative assets 429 264 Other current assets 363 357 Total current assets 4,387 2,916 Property and equipment: Natural gas and oil properties, successful efforts method Proved natural gas and oil properties 27,336 26,606 Unproved properties 5,429 5,478 Other property and equipment 528 509 Total property and equipment 33,293 32,593 Less: accumulated depreciation, depletion and amortization (8,978) (8,278)Property and equipment held for sale, net — 40 Total property and equipment, net 24,315 24,355 Long-term derivative assets 127 47 Deferred income tax assets — 168 Other long-term assets 692 801 Total assets$29,521 $28,287 Liabilities and stockholders' equity Current liabilities: Accounts payable$881 $753 Current maturities of long-term debt, net 875 — Accrued interest 59 100 Derivative liabilities — 3 Other current liabilities 2,135 2,045 Total current liabilities 3,950 2,901 Long-term debt, net 4,133 5,009 Long-term derivative liabilities — 1 Asset retirement obligations, net of current portion 703 688 Long-term contract liabilities 911 975 Other long-term liabilities 278 135 Total liabilities 9,975 9,709 Contingencies and commitments Stockholders' equity: Common stock, $0.01 par value, 450,000,000 shares authorized: 240,085,572 and 239,249,874 shares issued 2 2 Additional paid-in capital 13,759 13,746 Retained earnings 5,785 4,830 Total stockholders' equity 19,546 18,578 Total liabilities and stockholders' equity$29,521 $28,287 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited)
Three Months Ended March 31,($ in millions, except per share data) 2026 2025 Revenues and other: Natural gas, oil and NGL$3,315 $2,300 Marketing 1,212 910 Losses on derivatives (129) (1,014)Losses on sales of assets (1) — Total revenues and other 4,397 2,196 Operating expenses: Production 185 147 Gathering, processing and transportation 690 563 Severance and ad valorem taxes 60 48 Exploration 14 7 Marketing 1,121 919 General and administrative 63 47 Separation and other termination costs 9 — Depreciation, depletion and amortization 711 711 Other operating expense, net 13 22 Total operating expenses 2,866 2,464 Income (loss) from operations 1,531 (268)Other income (expense): Interest expense (59) (59)Other income, net 17 8 Total other income (expense) (42) (51)Income (loss) before income taxes 1,489 (319)Income tax expense (benefit) 330 (70)Net income (loss)$1,159 $(249)Earnings (loss) per common share: Basic$4.83 $(1.06)Diluted$4.81 $(1.06)Weighted average common shares outstanding (in thousands): Basic 239,900 234,434 Diluted 240,759 234,434 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited)
Three Months Ended March 31,($ in millions) 2026 2025 Cash flows from operating activities: Net income (loss)$1,159 $(249)Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation, depletion and amortization 711 711 Deferred income tax expense (benefit) 319 (37)Derivative losses, net 129 1,014 Cash payments on derivative settlements, net (386) (45)Share-based compensation 10 9 Losses on sales of assets 1 — Contract amortization (30) (52)Other 35 (4)Changes in assets and liabilities 454 (251)Net cash provided by operating activities 2,402 1,096 Cash flows from investing activities: Capital expenditures (707) (563)Property acquisitions (4) — Receipts of deferred consideration 60 60 Contributions to investments (1) (4)Distributions from investments 10 — Proceeds from divestitures of property and equipment 41 — Net cash used in investing activities (601) (507)Cash flows from financing activities: Proceeds from credit facility — 725 Payments on credit facility — (725)Proceeds from warrant exercise 15 21 Cash paid to repurchase and retire common stock (66) — Cash paid to purchase debt — (436)Cash paid for common stock dividends (141) (142)Net cash used in financing activities (192) (557)Net increase in cash, cash equivalents and restricted cash 1,609 32 Cash, cash equivalents and restricted cash, beginning of period 696 395 Cash, cash equivalents and restricted cash, end of period$2,305 $427 Cash and cash equivalents$2,220 $349 Restricted cash 85 78 Total cash, cash equivalents and restricted cash$2,305 $427 NATURAL GAS, OIL AND NGL PRODUCTION AND AVERAGE SALES PRICES (unaudited)
Three Months Ended March 31, 2026 Natural Gas Oil NGL Total MMcf
per day $/Mcf MBbl
per day $/Bbl MBbl
per day $/Bbl MMcfe
per day $/McfeHaynesville3,148 4.40 — — — — 3,148 4.40Northeast Appalachia2,785 5.70 — — — — 2,785 5.70Southwest Appalachia981 4.42 15 64.37 72 25.49 1,503 4.74Total6,914 4.92 15 64.37 72 25.49 7,436 4.95 Average NYMEX Price 5.04 71.93 Average Realized Price (including realized derivatives) 4.28 64.77 25.49 4.35 Three Months Ended March 31, 2025 Natural Gas Oil NGL Total MMcf
per day $/Mcf MBbl
per day $/Bbl MBbl
per day $/Bbl MMcfe
per day $/McfeHaynesville2,617 3.48 — — — — 2,617 3.48Northeast Appalachia2,668 3.75 — — — — 2,668 3.75Southwest Appalachia969 3.38 14 63.40 75 30.54 1,503 4.28Total6,254 3.58 14 63.40 75 30.54 6,788 3.76 Average NYMEX Price 3.65 71.42 Average Realized Price (including realized derivatives) 3.51 63.76 29.35 3.69 CAPITAL EXPENDITURES ACCRUED (unaudited)
Three Months Ended March 31,($ in millions)2026
2025
Drilling and completion capital expenditures: Haynesville$296 $286Northeast Appalachia 116 103Southwest Appalachia 156 165Total drilling and completion capital expenditures 568 554Non-drilling and completion - field 106 56Non-drilling and completion - corporate 42 52Total capital expenditures$716 $662 NON-GAAP FINANCIAL MEASURES
As a supplement to the financial results prepared in accordance with U.S. GAAP, Expand Energy’s quarterly earnings releases contain certain financial measures that are not prepared or presented in accordance with U.S. GAAP. These non-GAAP financial measures include Adjusted Net Income, Adjusted Diluted Earnings Per Common Share, Adjusted EBITDAX, Free Cash Flow, Adjusted Free Cash Flow and Net Debt. A reconciliation of each financial measure to its most directly comparable GAAP financial measure is included in the tables below. Management believes these adjusted financial measures are a meaningful adjunct to earnings and cash flows calculated in accordance with GAAP because (a) management uses these financial measures to evaluate the Company’s trends and performance, (b) these financial measures are comparable to estimates provided by securities analysts, and (c) items excluded generally are one-time items or items whose timing or amount cannot be reasonably estimated. Accordingly, any guidance provided by the Company generally excludes information regarding these types of items.
Expand Energy's definitions of each non-GAAP measure presented herein are provided below. Because not all companies or securities analysts use identical calculations, Expand Energy’s non-GAAP measures may not be comparable to similarly titled measures of other companies or securities analysts.
Adjusted Net Income: Adjusted Net Income is defined as net income (loss) adjusted to exclude unrealized (gains) losses on derivatives, separation and other termination costs, (gains) losses on sales of assets, and certain items management believes affect the comparability of operating results, less a tax effect using applicable rates. Expand Energy believes that Adjusted Net Income facilitates comparisons of the Company's period-over-period performance, by excluding the impact of items that, in the opinion of management, do not reflect Expand Energy's core operating performance. Adjusted Net Income should not be considered an alternative to, or more meaningful than, net income (loss) as presented in accordance with GAAP.
Adjusted Diluted Earnings Per Common Share: Adjusted Diluted Earnings Per Common Share is defined as diluted earnings (loss) per common share adjusted to exclude the per diluted share amounts attributed to unrealized (gains) losses on derivatives, separation and other termination costs, (gains) losses on sales of assets, and certain items management believes affect the comparability of operating results, less a tax effect using applicable rates. Expand Energy believes that Adjusted Diluted Earnings Per Common Share facilitates comparisons of the Company's period-over-period performance, by excluding the impact of items that, in the opinion of management, do not reflect Expand Energy's core operating performance. Adjusted Diluted Earnings Per Common Share should not be considered an alternative to, or more meaningful than, earnings (loss) per common share as presented in accordance with GAAP.
Adjusted EBITDAX: Adjusted EBITDAX is defined as net income (loss) before interest expense, income tax expense (benefit), depreciation, depletion and amortization expense, exploration expense, unrealized (gains) losses on derivatives, separation and other termination costs, (gains) losses on sales of assets, and certain items management believes affect the comparability of operating results. Adjusted EBITDAX is presented as it provides investors an indication of the Company's ability to internally fund exploration and development activities and service or incur debt. Adjusted EBITDAX should not be considered an alternative to, or more meaningful than, net income (loss) as presented in accordance with GAAP.
Free Cash Flow: Free Cash Flow is defined as net cash provided by operating activities less cash capital expenditures. Free Cash Flow is a liquidity measure that provides investors additional information regarding the Company's ability to service or incur debt and return cash to shareholders. Free Cash Flow should not be considered an alternative to, or more meaningful than, net cash provided by (used in) operating activities, or any other measure of liquidity presented in accordance with GAAP.
Adjusted Free Cash Flow: Adjusted Free Cash Flow is defined as net cash provided by operating activities less cash capital expenditures and cash contributions to investments, adjusted to exclude certain items management believes affect the comparability of operating results. Adjusted Free Cash Flow is a liquidity measure that provides investors additional information regarding the Company's ability to service or incur debt and return cash to shareholders. Adjusted Free Cash Flow should not be considered an alternative to, or more meaningful than, net cash provided by (used in) operating activities, or any other measure of liquidity presented in accordance with GAAP.
Net Debt: Net Debt is defined as GAAP total debt excluding premiums, discounts, and deferred issuance costs less cash and cash equivalents. Net Debt is useful to investors as a widely understood measure of liquidity and leverage, but this measure should not be considered as an alternative to, or more meaningful than, total debt presented in accordance with GAAP.
RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED NET INCOME (unaudited)
Three Months Ended March 31,($ in millions) 2026 2025 Net income (loss) (GAAP)$1,159 $(249) Adjustments: Unrealized (gains) losses on derivatives (279) 969 Separation and other termination costs 9 — Losses on sales of assets 1 — Other operating expense, net 10 26 Contract amortization (30) (52)Other (12) (4)Tax effect of adjustments(a) 65 (203)Adjusted net income (Non-GAAP)$923 $487 (a)The three month periods ended March 31, 2026 and March 31, 2025 include a tax effect attributed to the reconciling adjustments using a statutory rate of 22%.
RECONCILIATION OF EARNINGS (LOSS) PER COMMON SHARE TO ADJUSTED DILUTED EARNINGS PER COMMON SHARE (unaudited)
Three Months Ended March 31,($/share) 2026 2025 Earnings (loss) per common share (GAAP)$4.83 $(1.06)Effect of dilutive securities (0.02) — Diluted earnings (loss) per common share (GAAP)$4.81 $(1.06) Adjustments: Unrealized (gains) losses on derivatives (1.16) 4.14 Separation and other termination costs 0.04 — Losses on sales of assets — — Other operating expense, net 0.04 0.11 Contract amortization (0.12) (0.22)Other (0.05) (0.02)Tax effect of adjustments(a) 0.27 (0.87)Effect of dilutive securities — (0.06)Adjusted diluted earnings per common share (Non-GAAP)$3.83 $2.02 (a)The three month periods ended March 31, 2026 and March 31, 2025 include a tax effect attributed to the reconciling adjustments using a statutory rate of 22%. RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED EBITDAX (unaudited)
Three Months Ended March 31,($ in millions) 2026 2025 Net income (loss) (GAAP)$1,159 $(249) Adjustments: Interest expense 59 59 Income tax expense (benefit) 330 (70)Depreciation, depletion and amortization 711 711 Exploration 14 7 Unrealized (gains) losses on derivatives (279) 969 Separation and other termination costs 9 — Losses on sales of assets 1 — Other operating expense, net 10 26 Contract amortization (30) (52)Other (16) (6)Adjusted EBITDAX (Non-GAAP)$1,968 $1,395 RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO ADJUSTED FREE CASH FLOW (unaudited)
Three Months Ended March 31,($ in millions) 2026 2025 Net cash provided by operating activities (GAAP)$2,402 $1,096 Cash capital expenditures (707) (563)Free cash flow (Non-GAAP) 1,695 533 Cash distributions from investments 10 — Cash contributions to investments (1) (4)Cash paid for merger expenses — 48 Adjusted free cash flow (Non-GAAP)$1,704 $577 RECONCILIATION OF TOTAL DEBT TO NET DEBT (unaudited)
($ in millions)March 31, 2026 December 31, 2025Total debt (GAAP)$5,008 $5,009 Premiums, discounts and issuance costs on debt 17 16 Principal amount of debt 5,025 5,025 Cash and cash equivalents (2,220) (616)Net debt (Non-GAAP)$2,805 $4,409 INVESTOR CONTACT:MEDIA CONTACT:Brittany RaifordBrooke Coe(405) 935-8870(405) [email protected]@expandenergy.com
U.S. natural gas producer Expand Energy beat Wall Street estimates for first-quarter profit on Tuesday, helped by higher output and stronger commodity prices.
Expand Energy (EXE - Free Report) came out with quarterly earnings of $3.83 per share, beating the Zacks Consensus Estimate of $3.69 per share. This compares to earnings of $2.02 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +3.84%. A quarter ago, it was expected that this oil and gas company would post earnings of $1.89 per share when it actually produced earnings of $2, delivering a surprise of +5.82%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
Expand Energy, which belongs to the Zacks Alternative Energy - Other industry, posted revenues of $3.32 billion for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 6.90%. This compares to year-ago revenues of $2.3 billion. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Expand Energy shares have lost about 12.7% since the beginning of the year versus the S&P 500's gain of 4.8%.
What's Next for Expand Energy?While Expand Energy has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Expand Energy was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.30 on $2.05 billion in revenues for the coming quarter and $8.90 on $9.98 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Alternative Energy - Other is currently in the top 30% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Ormat Technologies (ORA - Free Report) , has yet to report results for the quarter ended March 2026. The results are expected to be released on May 6.
This geothermal company is expected to post quarterly earnings of $0.92 per share in its upcoming report, which represents a year-over-year change of +35.3%. The consensus EPS estimate for the quarter has been revised 10.8% lower over the last 30 days to the current level.
Ormat Technologies' revenues are expected to be $349.29 million, up 52% from the year-ago quarter.
Expand generated approximately $1.7 billion in Q1 2026 adjusted free cash flow, helped by NYMEX natural gas averaging around $5. NYMEX gas strip is a bit over $3 during the rest of the year, but Expand is still projected to generate $1.47 billion FCF during that period. The strong Q1 free cash flow allowed Expand to redeem nearly $1.3 billion in debt and reduce its annual interest costs by over $80 million.
SummaryCompaniesUS gas prices hit 17-month low due to oversupply, low demand from mild springGlobal gas prices surge as Middle East exports disrupted, US LNG exports mostly maxed outUS LNG firms benefit from global shortages, but domestic producers face low prices and output cutsMay 1 (Reuters) - The war with Iran has boosted prices of globally traded natural gas by throttling exports from the Gulf. In West Texas, gas is so abundant that some producers must pay to have it taken away.
The war and Iran's attacks on Gulf energy producers have halted 20% of global liquefied natural gas (LNG) supply. Qatari LNG facilities have been damaged and tankers have been unable to sail through the Strait of Hormuz waterway at the Gulf's entry because of Iranian threats to fire on them.
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The crisis has exposed a major split in the global gas market: Import-dependent countries across Europe and Asia are scrambling for scarce supplies, but the United States - the world's largest gas producer, consumer and exporter - remains awash in fuel, with prices near 17-month lows. But U.S. pipelines are full and LNG export plants are at capacity, so that cheap U.S. gas cannot reach overseas buyers, creating a bifurcation much more stark than in the oil markets.
Since the war with Iran began on February 28, gas futures at the U.S. Henry Hub benchmark in Louisiana have dropped by as much as 12% to a 17-month low of $2.52 per million British thermal units (mmBtu), while prices around the world have soared by as much as 84% in Europe and 108% in Asia , to around $21 to $22 per mmBtu.
By contrast, the international crude benchmark Brent is trading around $111 a barrel, while the U.S. benchmark is at $104 a barrel, with both having risen more than 50% as a result of the war.
PAYING TO TAKE GAS AWAYThe United States has sufficient supply both to meet domestic demand and to fill the LNG export plants that chill gas to liquid form. However, those plants were already operating near maximum capacity before the war, so no matter how high global gas prices go, the U.S. cannot turn much more gas into LNG for export.
U.S. prices in the top shale field, the Permian Basin, are even lower than benchmark futures. Spot gas at the Waha Hub in West Texas has traded below zero almost every day this year, because gas pipelines out of the Permian are full, meaning there is no spare capacity to transport the fuel. Simply put, some producers have to pay others to take it away, as if it were a waste product.
U.S. gas production - already at a record 107.7 billion cubic feet per day (bcfd) in 2025 - is expected to keep rising to meet growing demand for power-hungry data centers and to supply new LNG export plants, according to a recent U.S. Energy Department outlook.
Output is increasing also as oil producers increase output - and as their wells gradually produce more gas than they used to as oil reserves are depleted. Additional pipeline capacity is months away, at best.
"Meaningful transport relief doesn't show up until late this year or early 2027, when larger pipeline projects are anticipated to start," analysts at Bank of America said in a report.
Some parts of the country are more exposed to high international gas prices, including New England, which must import expensive LNG and burn oil to generate power during winter months because the region lacks enough connections to the national gas pipeline grid to meet heating demand.
US LNG export firms have boosted shipments to record highs so far in 2026, offsetting the sharp fall in Qatar exportsWINNERS AND LOSERSFirms best able to take advantage of the global price dislocations from the Iran war, at least in the short term, have been those with excess LNG to sell.
To replace gas deliveries canceled by Qatar, energy firms around the world have purchased additional cargoes from U.S. LNG producers such as Venture Global (VG.N), opens new tab, the nation's second-biggest LNG company behind Cheniere Energy (LNG.N), opens new tab.
"Venture Global is (relatively) new to the LNG game and had spot cargoes available to put out to the highest bidder," said Bob Yawger, director of energy futures at Mizuho. "Suddenly everybody needs LNG now that QatarEnergy is out of the picture."
U.S. LNG capacity will almost double over the next five years from around 18 bcfd in 2025 to around 35 bcfd in 2030, based on the plants currently under construction.
U.S. gas producers who sell to LNG companies, however, have not fared as well because they sell much of their output at the domestic price, which in addition to near-record production, has been held down by weak spring demand and ample supply in storage.
Low U.S. prices have even prompted some energy firms, such as EQT (EQT.N), opens new tab, the second-biggest U.S. gas producer behind Expand Energy (EXE.O), opens new tab, to cut output while they wait for demand and prices to rise later in the year.
"Our strategic curtailments act as a form of storage, keeping gas in the ground (during) seasonally low periods of demand," EQT CFO Jeremy Knop told analysts last week after the company reported earnings.
Reporting by Scott DiSavino in New York and Curtis Williams in Houston; Editing by Liz Hampton and Edmund Klamann
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Covers the North American power and natural gas markets.
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How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.
Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.93% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.
That's where the Style Scores come in.
To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.
The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.
For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Expand Energy (EXE - Free Report) Expand Energy Corporation is a leading U.S.-based natural gas producer formed through the merger of Chesapeake Energy Corporation and Southwestern Energy Company. The all-stock merger, completed on Oct. 1, 2024, established a premier natural gas-focused company with leading positions in the Haynesville and Appalachian basins, premium drilling inventory and proximity to key liquefied natural gas (LNG) and domestic demand markets. The merger strengthened scale, operational efficiencies and financial resilience, supporting an investment-grade balance sheet, enhanced credit capacity and significant shareholder returns, while positioning the company to meet growing global energy demand.
EXE is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. EXE has a Growth Style Score of B, forecasting year-over-year earnings growth of 47.4% for the current fiscal year.
Four analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.98 to $8.99 per share. EXE also boasts an average earnings surprise of +4.1%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, EXE should be on investors' short list.
Key Takeaways EXE posted Q1 EPS of $3.83, beating estimates, with $3.3B revenues also above expectations.EXE output rose 9.5% to 7,436 MMcfe/d, while gas prices jumped 37.4%, beating estimates.EXE signed a 20-year LNG deal for 1.15M tons yearly while boosting cash flow and reducing debt. Expand Energy Corporation (EXE - Free Report) reported first-quarter 2026 adjusted earnings per share of $3.83, beating the Zacks Consensus Estimate of $3.69. The company’s bottom line increased from the year-ago adjusted profit of $2.02, fueled by strong production and higher natural gas price realization.
Expand Energy’s ‘natural gas, oil and NGL’ revenues of $3.3 billion surpassed the Zacks Consensus Estimate of $3.1 billion. The top line was also higher than the year-ago figure of $2.3 billion.
During the first quarter of 2026, Expand Energy signed a 20-year Sales and Purchase Agreement (SPA) with Delfin FLNG Vessel 1 for about 1.15 million tons of LNG offtake per year, extending the company’s market reach to growing global demand centers.
EXE’s Production & Price RealizationsThe company reported the average first-quarter daily production (comprising 93% natural gas) of 7,436 million cubic feet of gas equivalent (MMcfe/day), increasing 9.5% from the year-ago level of 6,788 MMcfe/day. The daily production levels surpassed the Zacks Consensus Estimate of 7,431 MMcfe/day. Natural gas volume for the period came in at 6,914 MMcfe/day, up 10.6% year over year. The consensus mark called for 6,864 MMcf/day of natural gas. EXE’s oil production was 15 thousand barrels per day (MBbl/d), while NGL output totaled 72 MBbl/d.
The average sales price for natural gas during the first quarter was $4.92 per Mcf, up 37.4% from the prior-year realization of $3.58 per Mcf, and it was also above the consensus mark of $4.75. The average realized oil price was $64.37 per barrel compared with the consensus mark of $62. Meanwhile, the average realized NGL price was $25.49 per barrel, above the Zacks Consensus Estimate of$25.36.
EXE’s Q1 Costs & ExpensesTotal operating expenses in the quarter rose to $2.9 billion from the year-ago quarter’s $2.5 billion. This was mainly due to an increase in gathering, processing and transportation, exploration and marketing expenses. The company’s gathering, processing and transportation, exploration and marketing costs of $690 million, $14 million and $1.1 billion during the first quarter of 2026 rose from the year-ago levels of $563 million, $7 million and $919 million, respectively.
Dividend & Share RepurchasesIn the first quarter, the company plans to pay its quarterly base dividend of 57.5 cents per share on June 04, 2026, to its shareholders of record on May 14. Furthermore, Expand Energy plans to focus on reducing debt in 2026 to reinforce its balance sheet and enhance financial flexibility during market lows while continuing to reward shareholders through its base dividend and share buybacks.
Year-to-date through April 24, 2026, Expand Energy has redeemed approximately $1.3 billion of gross debt and executed $150 million of share repurchases.
Financial PositionCash flow from operations totaled $2.4 billion, which almost doubled from the prior-year quarter levels of $1.1 billion, while Expand Energy’s capital expenditure totaled $707 million, leading to a free cash flow of $1.7 billion. It also paid out $141 million in dividends during the period.
As of March 31, 2026, the company had $2.2 million in cash and cash equivalents. Expand Energy had a long-term debt of $4.1 billion, reflecting a debt-to-capitalization of 17.5%.
Expand Energy’s Guidance for Q2 & 2026Expand Energy is targeting an average daily production in the range of 7,400-7,500 MMcfe for the second quarter of 2026 and 7,400-7,600 MMcfe for full-year 2026. The company has budgeted its capital spending between $770 million and $845 million for the upcoming quarter, while for 2026, the figure is projected to be between $2.75 billion and $2.95 billion.
Expand Energy currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Important Earnings at a GlanceWhile we have discussed EXE’s first-quarter results in detail, let us take a look at three other reports in this space.
Patterson-UTI Energy, Inc. (PTEN - Free Report) reported a first-quarter 2026 adjusted net loss of 6 cents per share, narrower than the Zacks Consensus Estimate of a 10-cent loss. However, the bottom line decreased from the year-ago quarter's breakeven result due to a decrease in operating income in its Drilling Services, Completion Services and Drilling Products segments.
Total revenues of $1.1 billion beat the Zacks Consensus Estimate by 3.1%. This was driven by higher-than-expected revenues from the Drilling Services and Completion Services segments. The Drilling Services and Completion Services segments reported revenues of $351.7 million and $679.6 million, which beat the consensus mark of $350 million and $37.1 million, respectively. However, the top line decreased about 12.8% year over year. This underperformance can be attributed to the decrease in year-over-year segment revenues.
As of March 31, 2026, the company had cash and cash equivalents worth $337.2 million and long-term debt of $1.2 billion. Its debt-to-capitalization was 27.8%.
NOV Inc. (NOV - Free Report) reported first-quarter 2026 adjusted earnings of 15 cents per share, which missed the Zacks Consensus Estimate of 17 cents. The bottom line also decreased 21% from the year-ago quarter’s 19 cents.
The oil and gas equipment and services company’s total revenues of $2.05 billion beat the Zacks Consensus Estimate by $2 million but fell 2.4% from the year-ago quarter’s figure of $2.1 billion.
The lower-than-expected quarterly earnings of the company were primarily attributable to conflict in the Middle East, which disrupted logistics, delayed deliveries and increased operational costs.
As of March 31, the company had cash and cash equivalents of $1.3 billion and long-term debt of $1.7 billion with a debt-to-capitalization of 21.2%. NOV had $1.5 billion available on its primary revolving credit facility during the same time.
Nabors Industries Ltd. (NBR - Free Report) reported a first-quarter 2026 adjusted loss of $1.54 per share, narrower than the Zacks Consensus Estimate of a loss of $2.39. Additionally, the metric is significantly above the prior-year quarter’s reported loss of $7.5 per share. This outperformance was mainly driven by higher adjusted operating income from its International Drilling segment.
The oil and gas drilling company’s operating revenues of $783.5 million beat the Zacks Consensus Estimate of $779 million. The top line also increased from the year-ago quarter’s $736.2 million, primarily supported by higher contributions from the U.S. Drilling, International Drilling and Drilling Solutions segments.
As of March 31, 2026, Nabors had $500.9 million in cash and short-term investments. Long-term debt was about $2.1 billion, with a debt-to-capitalization of 78.8%.
MARKHAM, Ontario, May 07, 2026 (GLOBE NEWSWIRE) -- Extendicare Inc. (“Extendicare” or the “Company”) (TSX: EXE) today reported results for the three months ended March 31, 2026.
First Quarter 2026 Highlights
Adjusted EBITDA(1), excluding out-of-period items, increased by $15.2 million or 52.2% from Q1 2025 to $44.2 million, driven primarily by continued organic growth in the home health care segment and contributions from the acquisitions of Closing the Gap and nine Class C LTC homes.Home health care average daily volume (“ADV”) increased by 10,333 or 32.7% from Q1 2025 to 41,936, driven by organic growth and the acquisition of Closing the Gap.Third-party and joint venture beds serviced by SGP reached 157,100 beds, reflecting organic growth of 6.0% from Q1 2025.5.0% increase in the monthly dividend to $0.0441 per common share.Completed the sale of the vacated West End Villa Class C property for proceeds of $12.1 million resulting in a pre-tax gain after closing costs of $10.0 million ($9.8 million after tax).
Subsequent to Q1
On April 1, 2026, completed the acquisition of CBI Home Health for $570.0 million, plus customary adjustments and the assumption of certain lease liabilities.On April 14, 2026, completed the Company’s inaugural offering of $450.0 million 4.345% senior unsecured notes due April 2031 (rated BBB stable by Morningstar DBRS), and amended and restated the existing senior secured credit facilities to a $250.0 million senior unsecured revolving credit facility ranking pari passu with the senior unsecured notes.
“Our first quarter results demonstrate the synergistic potential of the various components of our strategy in action: strong organic growth in home health care augmented by acquisitions, LTC redevelopment and organic growth in SGP and the operating leverage that comes with a technology enabled back office,” said Dr. Michael Guerriere, President and Chief Executive Officer. “Subsequent to the quarter, we closed the CBI acquisition and restructured our debt, setting the stage for further growth and value creation as we continue our mission to meet the growing care needs of the aging demographic.”
Completed the Acquisition of CBI Home Health for $570 Million
On April 1, 2026, the Company, through its wholly owned home health care subsidiary ParaMed Inc., completed its previously announced acquisition of CBI Home Health LP and CBI (GP) 3 Inc. and their respective subsidiaries (collectively, “CBI Home Health”) from CBI Health LP and CBI GP Holdco Inc. (the “CBI Acquisition”) for a cash purchase price of $570.0 million, subject to customary adjustments, plus approximately $17.3 million in estimated lease liabilities. The CBI Acquisition was funded using a combination of the net proceeds of approximately $191.5 million from the Company’s private placement of common shares that was completed on December 3, 2025, aggregate draws of approximately $308.2 million under the Company’s existing senior secured credit facility ($154.5 million delayed draw term facility and $153.7 million revolving credit facility), and cash on hand.
Completed $450 million Inaugural Offering of Investment Grade Senior Unsecured Notes
On April 14, 2026, the Company completed its offering of $450.0 million aggregate principal amount of 4.345% senior unsecured notes due April 14, 2031 (the “2031 Notes”). The 2031 Notes have been assigned a final rating of BBB, with a stable trend, by Morningstar DBRS. The Company used approximately $427.7 million of the net proceeds of the offering to repay in full the indebtedness owing under its term credit facility, and a portion of the indebtedness owing under its revolving credit facility, with the balance to be used for working capital and other general corporate purposes, including the repayment of other existing indebtedness.
In conjunction with the debt repayments, the existing senior secured credit facilities were amended and restated to reflect an investment grade credit rating structure, including the release of all security previously granted to the lenders, such that the Company’s remaining $250 million revolving credit facility (the “Unsecured Revolving Facility”) is senior unsecured debt that ranks pari passu with the 2031 Notes.
Q1 2026 Financial Highlights (all comparisons with Q1 2025)
Revenue increased $90.6 million to $374.7 million; excluding a reduction in out-of-period funding in both periods, revenue increased by $92.0 million or 25.3%, driven primarily by the acquisition of nine Class C LTC homes (the “LTC Acquisition”), LTC funding increases, and home health care ADV organic growth augmented by the acquisition of Closing the Gap, partially offset by the closure of a Class C LTC home that was vacated following the opening of a newly developed LTC home in Axium JV.NOI(1) increased $18.8 million to $69.0 million; excluding the impact of out-of-period items in both periods, NOI improved by $16.7 million or 38.3% to $60.3 million, reflecting revenue growth, partially offset by higher operating costs.Adjusted EBITDA(1) increased $17.3 million to $52.9 million; excluding the impact of out-of-period items, Adjusted EBITDA increased by $15.2 million or 52.2% to $44.2 million (9.7% of revenue) from $29.0 million (8.0% of revenue), reflecting the increase in NOI, partially offset by higher administrative costs of $1.5 million, largely due to higher wages, benefits and technology costs, partially offset by lower professional fees.Other income was $7.5 million compared with an expense of $3.2 million, reflecting a gain on sale of assets of $10.0 million in Q1 2026 and lower transaction-related professional fees and integration costs in Q1 2026 compared to strategic transformation costs in Q1 2025.Share of profit from joint ventures was $0.3 million compared to a loss of $0.1 million in Q1 2025, reflecting the opening of a new home in Axium JV and the favourable impact of a $0.2 million fair value adjustment on interest rate swaps.Net earnings increased $25.7 million to $40.7 million, largely driven by the increase in Adjusted EBITDA, an increase in other income and lower net finance costs, partially offset by higher depreciation and amortization costs related to the acquisitions.AFFO(1) increased to $32.7 million ($0.343 per basic share) from $19.8 million ($0.235 per basic share); excluding the impact of out-of-period items, AFFO improved by $11.4 million or 76.2% to $26.4 million ($0.276 per basic share) from $15.0 million ($0.177 per basic share), largely reflecting the improvement in Adjusted EBITDA, partially offset by increased current income taxes, and an unfavourable change in the adjustment for non-cash share-based compensation. Business Updates
The following is a summary of Extendicare’s revenue, NOI(1) and NOI margins(1) by business segment for the three months ended March 31, 2026 and 2025.
Three months ended March 31(unaudited)2026
2025
(millions of dollars unless otherwise noted)Revenue NOI Margin Revenue NOI MarginLong-term care243.5 32.2 13.2% 197.8 21.2 10.7%Home health care205.4 27.9 13.6% 158.3 19.1 12.0%Managed services16.2 8.9 54.6% 18.6 10.0 53.4% 465.2 69.0 14.8% 374.7 50.2 13.4%Note: Totals may not sum due to rounding.
Long-term Care
LTC average occupancy at 97.5% in Q1 2026 was unchanged from Q1 2025.
Revenue increased by $45.8 million or 23.2% to $243.5 million in Q1 2026. Excluding out-of-period funding recognized in Q1 2026 of $7.9 million, revenue increased by $37.9 million, largely driven by approximately $32.5 million from the LTC Acquisition, funding increases, timing of spend and improved preferred occupancy, partially offset by the closure of a Class C LTC home replaced by a newly opened LTC home in Axium JV.
NOI and NOI margin were $32.2 million and 13.2%, respectively, in Q1 2026, compared to $21.2 million and 10.7% in Q1 2025. Excluding the impact of out-of-period items of $5.2 million, NOI improved by $5.8 million or 31.4% to $24.3 million (10.3% of revenue) in Q1 2026 from $18.5 million (9.4% of revenue) in Q1 2025. This increase reflects approximately $3.5 million from the LTC Acquisition, funding enhancements, timing of spend, and improved preferred occupancy, partially offset by higher operating costs, and the closure of a redeveloped Class C LTC home.
Home Health Care
Home health care ADV of 41,936 in Q1 2026 increased by 32.7% from Q1 2025, driven by organic growth and the acquisition of Closing the Gap in July 2025.
Revenue increased to $205.4 million in Q1 2026, an increase of 29.8% from Q1 2025. Excluding a reduction in retroactive funding of $9.3 million, revenue increased by $56.5 million, primarily due to the 32.7% increase in ADV, driven by organic growth and the acquisition of Closing the Gap. The reduction in retroactive funding of $9.3 million ($1.7 million in Q1 2026 compared to $11.0 million in Q1 2025) largely related to changes in the recovery of increased wages, benefits and technology costs.
NOI and NOI margin were $27.9 million and 13.6%, respectively, in Q1 2026, an increase from $19.1 million and 12.0% in Q1 2025. Excluding a year-over-year decrease of $3.1 million related to out-of-period items, NOI increased by $12.0 million to $27.1 million (13.3% of revenue) in Q1 2026 from $15.2 million (10.3% of revenue) in the prior year period, reflecting revenue growth, partially offset by increased wages and benefits. The out-of-period items of $3.1 million related to retroactive funding of $0.8 million recognized in Q1 2026, offset by workers’ compensation rebates of $3.9 million recognized in Q1 2025.
Managed Services
At the end of Q1 2026, the number of third-party and joint venture beds served by SGP increased to approximately 157,100, an increase of 6.0% from the prior year period. Extendicare Assist held management contracts for 40 homes comprising 6,237 beds and provided a further 27 homes with consulting and other services.
Revenue decreased by $2.4 million or 12.9% to $16.2 million in Q1 2026 due primarily to the sale by Revera of 30 Class C LTC homes that had been operated by Extendicare Assist under management contracts, nine of which were acquired by the Company, partially offset by changes in the mix of Extendicare Assist services, management fees from a newly opened home in Axium JV and growth in SGP clients. NOI decreased by $1.1 million or 11.0% to $8.9 million (54.6% of revenue).
Financial Position
Extendicare had strong liquidity at March 31, 2026, with cash and cash equivalents on hand, excluding restricted cash, of $320.9 million, and access to a further $154.4 million under its revolving credit facility.
Following the CBI Acquisition in April 2026 for the cash purchase price of $570.0 million and the issuance of the 2031 Notes, of which approximately $427.7 million of the net proceeds were used to repay the delayed draw term loan in full and the revolving credit facility in part, the Company had access to $160.7 million under its Unsecured Revolving Facility and approximately $67.0 million in cash and cash equivalents.
Select Financial Information
The following is a summary of the Company’s consolidated financial information for the three months ended March 31, 2026 and 2025.
(unaudited)Three months ended
March 31(thousands of dollars unless otherwise noted)2026 2025 Revenue465,224 374,654 Operating expenses396,200 324,426 NOI(1)69,024 50,228 NOI margin(1)14.8%13.4%Administrative costs16,166 14,622 Adjusted EBITDA(1)52,858 35,606 Adjusted EBITDA margin(1)11.4%9.5%Other income (expense)7,472 (3,170)Share of profit (loss) from investment in joint ventures344 (126)Net earnings40,732 15,031 per basic share ($)0.427 0.178 per diluted share ($)0.422 0.176 AFFO(1)32,746 19,807 per basic share ($)0.343 0.235 per diluted share ($)0.339 0.232 Maintenance capex2,771 2,709 Cash dividends declared per share0.1281 0.1220 Payout ratio(1)37%51%Weighted average number of shares (000’s) Basic95,371 84,345 Diluted96,600 85,468
Extendicare’s disclosure documents, including its Management’s Discussion and Analysis (“MD&A”), may be found on SEDAR+ at www.sedarplus.ca under the Company’s issuer profile and on the Company’s website at www.extendicare.com under the “Investors/Financial Reports” section.
2025 Environmental, Social and Governance (“ESG”) Report Published
In May 2026, Extendicare published its 2025 Environmental, Social and Governance (ESG) report, which outlines how the Company’s mission — providing people with the care they need, wherever they call home — informs its approach to sustainability as it strives to increase access to care for Canadians. The report highlights priorities, including quality of care, a strong and supported workforce, the responsible stewardship of resources, effective governance and long-term operational resilience. It also describes Extendicare’s ongoing efforts to enhance the identification, management and reporting of sustainability-related risks and opportunities. The report is available at www.extendicare.com under the “ESG” section.
May Dividend Declared
The Board of Directors of Extendicare today declared a cash dividend of $0.0441 per share for the month of May 2026, which is payable on June 15, 2026, to shareholders of record at the close of business on May 29, 2026. This dividend is designated as an “eligible dividend” within the meaning of the Income Tax Act (Canada).
Conference Call and Webcast
Extendicare will hold a conference call to discuss its 2026 first quarter results on May 8, 2026, at 11:30 a.m. (EDT). The call will be webcast live and archived online at www.extendicare.com under the “Investors/Events & Presentations” section. Alternatively, the call-in number is 1-833-752-3395. A replay of the call will be available approximately two hours after completion of the live call until midnight on May 22, 2026, by dialing 1-855-669-9658 followed by the passcode 1923796#.
About Extendicare
Extendicare is a leading provider of care and services for seniors across Canada, operating under the Extendicare, ParaMed, Extendicare Assist, and SGP Purchasing Network brands. We are committed to delivering quality care to meet the needs of the growing seniors’ population, inspired by our mission to provide people with the care they need, wherever they call home. We operate a network of 99 long-term care homes (59 owned, 40 under management contracts), deliver approximately 24.5 million hours of home health care services annually, and provide group purchasing services to third parties representing approximately 157,100 beds across Canada. Extendicare proudly employs approximately 31,500 individuals and manages an additional 5,000 joint venture employees, all of whom are highly qualified, trained and dedicated team members and passionate about providing high-quality care and services to help people live better.
Non-GAAP Measures
Certain measures used in this press release, such as “net operating income”, “NOI”, “NOI margin”, “Adjusted EBITDA”, “Adjusted EBITDA margin”, “AFFO”, and “payout ratio”, including any related per share amounts, are not measures recognized under GAAP and do not have standardized meanings prescribed by GAAP. These measures may differ from similar computations as reported by other issuers and, accordingly, may not be comparable to similarly titled measures as reported by such issuers. These measures are not intended to replace earnings (loss) from continuing operations, net earnings (loss), cash flow, or other measures of financial performance and liquidity reported in accordance with GAAP. Such items are presented in this document because management believes that they are relevant measures of Extendicare’s operating performance and ability to pay cash dividends.
Management uses these measures to exclude the impact of certain items, because it believes doing so provides investors a more effective analysis of underlying operating and financial performance and improves comparability of underlying financial performance between periods. The exclusion of certain items does not imply that they are non-recurring or not useful to investors.
Detailed descriptions of these measures can be found in Extendicare’s Q1 2026 MD&A (refer to “Non-GAAP Measures”), which is available on SEDAR+ at www.sedarplus.ca and on Extendicare’s website at www.extendicare.com.
Reconciliations for certain non-GAAP measures included in this press release are outlined below.
The following table provides a reconciliation of AFFO to “net cash from operating activities”, which the Company believes is the most comparable GAAP measure to AFFO.
(unaudited) Three months ended
March 31(thousands of dollars)2026 2025 Net cash from operating activities(4,744)18,421 Add (Deduct): Net change in operating assets and liabilities, including interest, and taxes37,368 1,226 Other expense2,551 3,170 Current income tax on items excluded from AFFO(408)(843)Depreciation for office leases(783)(732)Depreciation for FFEC (maintenance capex)(2,300)(1,888)Additional maintenance capex(233)(697)Principal portion of government capital funding417 403 AFFO for joint ventures878 747 AFFO32,746 19,807
The following table provides a reconciliation of “earnings before income taxes” to Adjusted EBITDA and “net operating income”.
(unaudited) Three months ended
March 31
(thousands of dollars)2026 2025 Earnings before income taxes49,370 18,919 Add (Deduct): Depreciation and amortization10,100 8,273 Net finance costs1,204 5,118 Other (income) expense(7,472)3,170 Share of (profit) loss from investment in joint ventures(344)126 Adjusted EBITDA52,858 35,606 Administrative costs16,166 14,622 Net operating income69,024 50,228
Forward-looking Statements
This press release contains forward-looking statements concerning anticipated future events, results, circumstances, economic performance or expectations with respect to Extendicare and its subsidiaries, including, without limitation: statements regarding its dividend levels, business operations, business strategy, growth strategy, results of operations and financial condition, including anticipated timelines and costs in respect of development projects. Forward-looking statements can often be identified by the expressions “anticipate”, “believe”, “estimate”, “expect”, “intend”, “objective”, “plan”, “project”, “will”, “may”, “should” or other similar expressions or the negative thereof. These forward-looking statements reflect the Company’s current expectations regarding future results, performance or achievements and are based upon information currently available to the Company and on assumptions that the Company believes are reasonable. These statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements of the Company to differ materially from those expressed or implied in the statements. For further information on the risks, uncertainties and assumptions that could cause Extendicare’s actual results to differ from current expectations, refer to “Risks and Uncertainties” and “Forward-looking Statements” in Extendicare’s Q1 2026 MD&A and latest Annual Information Form filed by Extendicare with the securities regulatory authorities, available at www.sedarplus.ca and on Extendicare’s website at www.extendicare.com. Given these risks and uncertainties, readers are cautioned not to place undue reliance on Extendicare’s forward-looking statements. Except as required by applicable securities laws, the Company assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Extendicare contact:
David Bacon, Executive Vice President and Chief Financial Officer
T: (905) 470-4000
E: [email protected]
www.extendicare.com
Endnote(1) See the “Non-GAAP Measures” section of this press release and the Company’s Q1 2026 MD&A, which includes the reconciliation of such non-GAAP measures to the most directly comparable GAAP measures.
