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Construction Partners (ROAD - Free Report) came out with quarterly earnings of $1.08 per share, beating the Zacks Consensus Estimate of $1.06 per share. This compares to earnings of $0.81 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +1.89%. A quarter ago, it was expected that this road and highway construction company would post a loss of $0.05 per share when it actually produced earnings of $0.18, delivering a surprise of +460%.

Over the last four quarters, the company has surpassed consensus EPS estimates three times.

Construction Partners, which belongs to the Zacks Building Products - Miscellaneous industry, posted revenues of $999.42 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 4.60%. This compares to year-ago revenues of $779.28 million. The company has topped consensus revenue estimates three 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.

Construction Partners shares have lost about 7.7% since the beginning of the year versus the S&P 500's gain of 12.6%.

What's Next for Construction Partners?While Construction Partners 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 Construction Partners was unfavorable. 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 #4 (Sell) for the stock. So, the shares are expected to underperform 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 $1.36 on $1.08 billion in revenues for the coming quarter and $2.91 on $3.6 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, Building Products - Miscellaneous is currently in the bottom 37% 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, Quanex Building Products (NX - Free Report) , has yet to report results for the quarter ended July 2026.

This housing materials maker is expected to post quarterly earnings of $0.68 per share in its upcoming report, which represents a year-over-year change of -1.5%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Quanex Building Products' revenues are expected to be $498 million, up 0.6% from the year-ago quarter.

Avalanche treasury firm AVAX One is facing fresh pressure from its lender after a debt restructuring sharply tightened the financial conditions it must meet, leaving its core asset, nearly 14 million $AVAX tokens worth roughly $88 million, entirely excluded from the new liquidity count.

A 35-Fold Jump in the Liquidity BarThe restructuring raises the company's minimum liquidity requirement by 3,400%, to $3.5 million from just $100,000. Critically, the new covenant counts only cash and Bitcoin while excluding AVAX tokens. That means AVAX One's primary treasury holding offers no relief against the threshold it must now clear.

AVAX One Technology Ltd. (Nasdaq: AVX) completed the restructuring of certain outstanding convertible debentures, which included amending provisions covering the minimum amount of cash and Bitcoin the company is required to maintain.

The broader deal saw AVAX One retire $6.8 million in outstanding principal debentures. The institutional investor waived the prior breach after AVAX One paid $1.3 million and accepted the tougher financial conditions.

CEO Exit Triggered the DefaultThe restructuring follows the July departure of CEO Jolie Kahn, whose exit triggered a default on a key-person covenant, forcing the digital asset treasury company to renegotiate its debt. Since her departure, the company's shares have fallen approximately 42% to $3.20.

AVAX One must also name an approved CEO within 180 days, while a lower conversion price on the remaining debenture could increase shareholder dilution.

Interim CEO Peter Wylie struck a measured tone. "We're pleased to have successfully restructured our convertible debt facility, which meaningfully strengthens our balance sheet and reduces near-term liabilities," he said, adding that the company can now focus on its Avalanche digital asset treasury, Bitcoin mining operations, and modular data center initiatives.

The episode underscores a persistent tension for crypto treasury firms: holding large positions in a single token can generate substantial paper value while offering little protection when lenders demand liquid, traditional assets. Until AVAX One names a permanent CEO and demonstrates compliance with the new threshold, the gap between its token holdings and its lender's requirements will remain a live risk.

Sources:
CryptoSlate: AVAX One holds $88 million in Avalanche tokens, but its lender only wants cash or Bitcoin
SEC Filing (Form 8-K): AVAX One Strengthens Balance Sheet Through Successful Restructuring of Convertible Debt Facility

Perpetual futures open interest across Solana-based platforms has climbed to $500 million, marking its highest point in nine months. The milestone signals that traders are returning to Solana’s on-chain derivatives venues after a relatively quiet stretch, even as the network still commands a relatively small slice of a market dominated by heavyweights like Hyperliquid.

To put that number in context, Solana-based perpetual venues accounted for roughly 3% of the total open interest market share and about 2% of volume market share during Q1 2026. Those figures were actually down from peaks hit in 2024, making this $500 million mark feel less like a new frontier and more like a comeback tour.

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What’s driving the rebound One standout is PhoenixTrade, a decentralized exchange built by Ellipsis Labs, which hit a record open interest of between $10 million and $11 million in late July 2026. That represented a roughly 25% jump from PhoenixTrade’s previous high of $8.8 million set in June.

A chunk of that growth traces back to a fairly straightforward catalyst: money. PhoenixTrade launched an incentive program called Flight Club, distributing $420,000 to users. The initiative spiked the platform’s daily trading volume to $67.1 million.

Meanwhile, the broader SOL futures market has seen its own fireworks. Total open interest for SOL token futures across all platforms, including centralized exchanges, sat near $1.8 billion in early August 2026. That’s a dramatic jump from $429 million recorded in May, reflecting both rising prices and increased speculative positioning on the token itself.

The competitive landscape Solana’s on-chain perps ecosystem has been building steadily, but it still operates in the long shadow of more established platforms. Hyperliquid, which runs its own appchain, continues to dominate the decentralized perpetual futures market by a wide margin in both volume and open interest.

The network hasn’t been without setbacks, though. Earlier in the year, the Drift hack put a dent in trader confidence across Solana’s DeFi ecosystem. Drift had been one of the larger perpetual futures platforms on the network, and the incident served as a reminder that smart contract risk remains a persistent concern for on-chain derivatives venues.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.

3 Overbought Stocks Ripe for a PullbackSezzle NASDAQ: SEZL reported record second-quarter results for 2026, with gross merchandise volume, revenue, subscriber growth and profitability all increasing from a year earlier. The buy now, pay later company also raised its full-year revenue and adjusted earnings outlook, citing momentum across its subscription platform and consumer-engagement products.

Second-quarter GMV rose 37.9% year over year to $1.3 billion, exceeding the company’s prior holiday-season peak in the fourth quarter of 2025. Revenue increased 51.7% to $149.7 million, while net income climbed 47.7% to $40.8 million. Sezzle reported a net income margin of 27.2% and adjusted EBITDA of $58 million, representing a 38.8% margin.

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2 High Growth Buy Now, Pay Later Stocks Challenging PayPal“Growth did not come at the sacrifice of margins,” CFO Lee Brading said. Revenue less transaction-related costs, which Sezzle also refers to as net transaction margin, reached 63.5% of revenue, up 240 basis points from a year earlier and near the upper end of the company’s 55% to 65% target range.

Guidance Raised as Subscriber Growth Accelerates Sezzle raised its full-year revenue-growth target to 35%, the upper end of its previous 30% to 35% range. The company also increased adjusted net income guidance to $185 million from $180 million and lifted adjusted net income per diluted share guidance to $5.25 from $5.10.

Affirm Hits Profitability—Here’s What Investors Should WatchManagement said the outlook includes little contribution from SezzleCash, which launched during the second quarter, and no contribution from Sezzle Send, a peer-to-peer transfer product expected to launch in August. The company also said its Pagaya partnership was helpful but not yet a material contributor to results.

Subscriber growth was a central driver of the quarter. Active subscribers reached 854,000, up 76.4% year over year, after Sezzle added 140,000 net new subscribers during the period. CEO and Executive Chairman Charlie Youakim said it was the company’s largest quarterly and year-over-year subscriber addition since its subscription program began.

Average quarterly purchase frequency reached a record 7.2 times, compared with 6.1 times a year earlier. Monetized users increased by 234,000 from the prior year to 982,000, while repeat usage accounted for 97.2% of total orders. Average quarterly revenue per monetized user increased 16.2%.

Marketing Spending Increased to Test Acquisition Returns Sezzle spent $19.4 million on marketing in the second quarter, more than doubling its spending from a year earlier. Management said the increase was a deliberate test of higher acquisition spending while maintaining a target payback period of less than six months.

Youakim said the company’s preliminary data indicated the marketing payback remained below six months, but he characterized the second-quarter spending level as a test rather than a new baseline. Core marketing spending is expected to decline from the second to third quarter on an apples-to-apples basis, though promotional spending for newer products could affect the total.

“We wanted to hit the gas on the car, push that cycle through,” Youakim said during the question-and-answer session. “Let’s see how it looks as it cycles through.”

Brading said higher marketing spending initially can weigh on results but should begin producing returns in later quarters as newly acquired consumers generate revenue.

New Products Expand Beyond Checkout Financing During the quarter, Sezzle expanded access to SezzleCash, a cash-advance product available to Sezzle Anywhere subscribers. The product allows subscribers to access funds and repay them through Pay in 4 or Pay in 5 installments, without a down payment. The phased rollout reached the full eligible Sezzle Anywhere subscriber base by the end of the quarter.

Management said the average SezzleCash advance was about $165. Nearly 10% of eligible new subscribers used SezzleCash as their first transaction in the Sezzle Anywhere ecosystem, according to Youakim.

Sezzle also plans to introduce Sezzle Send in August. The peer-to-peer money-transfer service will enable consumers to send funds by phone number either by paying in full or using Pay in 5. Recipients will receive the full amount upfront and will not need to be Sezzle users. The company said approximately 100,000 users had joined the waiting list.

For Sezzle Anywhere subscribers, Sezzle said it will waive the service fee for Pay in 5 transfers. Non-subscribers will pay what Youakim described as a de minimis fee, estimated at about $3 for a $100 transfer. Management said it would initially take a conservative approach to underwriting for the new lending-related products.

The company also cited new card-linked offers, expanded cashback programs, gamified daily activities and rewards as tools intended to improve engagement and retention. On the merchant side, Sezzle said its onDemand pricing program has helped it pursue enterprise relationships, with recent wins including Poshmark, Gymshark and Debenhams.

Credit, Liquidity and Bank Charter Plans Brading said Sezzle expects full-year provision for credit losses to remain between 2.5% and 3% of GMV. The provision increased during the second quarter due to typical seasonal factors and a larger number of newly acquired users, which management said generally carry higher loss rates. The company said it had not seen unusual changes in consumer repayment behavior or credit health.

At quarter-end, Sezzle had more than $205 million of liquidity, including unrestricted cash and availability under a new $300 million credit facility. Total debt to trailing 12-month adjusted EBITDA was 0.5 times, and total debt to equity was also 0.5 times.

The company said it plans to submit an application for a national bank charter during the current quarter. Youakim said Sezzle expects the overall charter process, including approvals involving the Office of the Comptroller of the Currency, FDIC and Federal Reserve, to take roughly 12 to 18 months.

About Sezzle (NASDAQ:SEZL)Sezzle Inc is a financial technology company specializing in buy now, pay later (BNPL) services that enable consumers to split purchases into interest-free installment payments. By integrating its platform with e-commerce merchants, Sezzle provides shoppers with flexible payment options at checkout while merchants benefit from increased conversion rates and average order values. The company's technology is designed to offer a seamless user experience, with instant approval decisions and no hidden fees, positions it as a consumer-friendly alternative to traditional credit products.

Founded in 2016 and headquartered in Minneapolis, Minnesota, Sezzle completed its initial public offering on the Nasdaq under the ticker SEZL.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Posted by Defense World Staff on Aug 7th, 2026

Advanced Micro Devices, Inc. (NASDAQ:AMD – Get Free Report) rose 1.5% on Thursday after Argus raised their price target on the stock from $450.00 to $625.00. Argus currently has a buy rating on the stock. Advanced Micro Devices traded as high as $496.72 and last traded at $489.28. 24,176,144 shares changed hands during mid-day trading, a decline of 33% from the average session volume of 36,229,359 shares. The stock had previously closed at $482.05.

Several other brokerages also recently weighed in on AMD. Susquehanna upped their target price on shares of Advanced Micro Devices from $450.00 to $500.00 and gave the stock a “positive” rating in a research note on Thursday, July 30th. Benchmark raised their price target on shares of Advanced Micro Devices from $485.00 to $685.00 and gave the company a “buy” rating in a research report on Wednesday, July 22nd. Wedbush restated an “outperform” rating and issued a $600.00 price target on shares of Advanced Micro Devices in a research note on Wednesday. The Goldman Sachs Group upped their price objective on Advanced Micro Devices from $450.00 to $640.00 and gave the stock a “buy” rating in a research report on Monday, July 6th. Finally, DA Davidson increased their price objective on Advanced Micro Devices from $425.00 to $550.00 and gave the company a “buy” rating in a research note on Wednesday. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $542.53.

Get Our Latest Report on Advanced Micro Devices

Insider Activity In related news, EVP Forrest Eugene Norrod sold 19,487 shares of the business’s stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $431.40, for a total transaction of $8,406,691.80. Following the completion of the transaction, the executive vice president owned 324,527 shares in the company, valued at approximately $140,000,947.80. The trade was a 5.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Mark D. Papermaster sold 6,000 shares of the stock in a transaction on Monday, June 15th. The shares were sold at an average price of $536.33, for a total value of $3,217,980.00. Following the completion of the transaction, the executive vice president directly owned 1,233,687 shares in the company, valued at $661,663,348.71. This trade represents a 0.48% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 285,934 shares of company stock valued at $130,353,006. 0.50% of the stock is currently owned by company insiders.

Key Stories Impacting Advanced Micro Devices Here are the key news stories impacting Advanced Micro Devices this week:

Positive Sentiment: AMD agreed to acquire Taalas, a developer of specialized AI inference chips, for an undisclosed amount. Taalas’ technology is designed to reduce computing and memory bottlenecks and could improve inference speed and efficiency when combined with AMD Instinct GPUs. The deal strengthens AMD’s strategy as AI demand shifts from model training toward high-volume, real-time inference. AMD deepens AI inference bet with Taalas deal Positive Sentiment: Analysts continued raising their valuation targets after AMD’s strong second-quarter performance. Rosenblatt lifted its target to $700 and maintained a Buy rating, adding to bullish targets from firms including Jefferies, Truist, Cantor Fitzgerald and Wedbush. AMD analyst price target update Positive Sentiment: AMD reported quarterly revenue of $11.54 billion, up 50% year over year, while data-center revenue more than doubled to approximately $6.7 billion. Management also expects data-center revenue to more than double in 2027, supported by Helios and expanding AI infrastructure demand. Neutral Sentiment: The broader AI semiconductor trade remains supportive, but Nvidia’s software and engineering-tool expansion highlights the competitive challenge AMD faces in building a complete AI ecosystem. Nvidia bets on design tools while AMD scales hardware Negative Sentiment: Risks remain from AMD’s demanding valuation, muted margin expectations and Nvidia’s dominant market position. SpaceX’s decision to use Nvidia chips exclusively has also reinforced concerns about AMD’s ability to win major AI customers. Institutional Inflows and Outflows A number of hedge funds have recently made changes to their positions in the business. Brighton Jones LLC lifted its position in shares of Advanced Micro Devices by 178.2% during the 4th quarter. Brighton Jones LLC now owns 45,956 shares of the semiconductor manufacturer’s stock worth $5,551,000 after buying an additional 29,438 shares during the last quarter. Revolve Wealth Partners LLC boosted its holdings in shares of Advanced Micro Devices by 2.9% in the 4th quarter. Revolve Wealth Partners LLC now owns 8,283 shares of the semiconductor manufacturer’s stock valued at $1,001,000 after buying an additional 234 shares in the last quarter. Sivia Capital Partners LLC grew its position in shares of Advanced Micro Devices by 125.1% in the 2nd quarter. Sivia Capital Partners LLC now owns 5,344 shares of the semiconductor manufacturer’s stock valued at $758,000 after buying an additional 2,970 shares during the last quarter. United Bank grew its position in shares of Advanced Micro Devices by 22.0% in the 2nd quarter. United Bank now owns 13,255 shares of the semiconductor manufacturer’s stock valued at $1,881,000 after buying an additional 2,392 shares during the last quarter. Finally, Schnieders Capital Management LLC. grew its position in shares of Advanced Micro Devices by 361.0% in the 2nd quarter. Schnieders Capital Management LLC. now owns 9,230 shares of the semiconductor manufacturer’s stock valued at $1,310,000 after buying an additional 7,228 shares during the last quarter. Hedge funds and other institutional investors own 71.34% of the company’s stock.

Advanced Micro Devices Price Performance The stock has a market capitalization of $797.82 billion, a price-to-earnings ratio of 125.78 and a beta of 2.48. The company has a current ratio of 2.61, a quick ratio of 1.96 and a debt-to-equity ratio of 0.03. The company’s 50 day moving average is $515.22 and its 200 day moving average is $358.23.

Advanced Micro Devices (NASDAQ:AMD – Get Free Report) last released its quarterly earnings data on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.62 by $0.04. The company had revenue of $11.54 billion during the quarter, compared to the consensus estimate of $11.31 billion. Advanced Micro Devices had a net margin of 15.58% and a return on equity of 12.30%. Advanced Micro Devices’s revenue for the quarter was up 50.1% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.48 earnings per share. Research analysts anticipate that Advanced Micro Devices, Inc. will post 6.34 EPS for the current fiscal year.

About Advanced Micro Devices (Get Free Report)

Advanced Micro Devices, Inc (NASDAQ: AMD) is a global semiconductor company that designs and sells microprocessors, graphics processors, chipsets and adaptive computing solutions for a broad set of markets. The company’s product portfolio includes consumer and commercial CPUs under the Ryzen and Threadripper brands, data center processors under the EPYC brand, and Radeon graphics processing units for gaming and professional visualization. AMD also offers semi-custom system-on-chip (SoC) products for gaming consoles and other specialized applications, and provides supporting software and platform technologies for OEMs, cloud service providers and end users.

Founded in 1969, AMD has evolved from a supplier of logic chips into a diversified, fabless semiconductor designer.

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Posted by Defense World Staff on Aug 7th, 2026

Armstrong Henry H Associates Inc. grew its stake in Johnson & Johnson (NYSE:JNJ – Free Report) by 0.9% during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 322,853 shares of the company’s stock after purchasing an additional 2,757 shares during the period. Johnson & Johnson comprises approximately 7.9% of Armstrong Henry H Associates Inc.’s investment portfolio, making the stock its 3rd largest position. Armstrong Henry H Associates Inc.’s holdings in Johnson & Johnson were worth $81,995,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors also recently made changes to their positions in JNJ. Blueline Advisors LLC acquired a new stake in Johnson & Johnson in the fourth quarter valued at approximately $25,000. Cresta Advisors Ltd. acquired a new position in shares of Johnson & Johnson during the fourth quarter worth $26,000. DecisionPoint Financial LLC lifted its stake in shares of Johnson & Johnson by 104.2% in the 4th quarter. DecisionPoint Financial LLC now owns 147 shares of the company’s stock valued at $30,000 after acquiring an additional 75 shares during the last quarter. Family CFO Inc acquired a new stake in shares of Johnson & Johnson during the 4th quarter valued at $31,000. Finally, Bay Harbor Wealth Management LLC boosted its holdings in shares of Johnson & Johnson by 49.0% during the 4th quarter. Bay Harbor Wealth Management LLC now owns 149 shares of the company’s stock valued at $31,000 after acquiring an additional 49 shares in the last quarter. 69.55% of the stock is owned by institutional investors.

Key Stories Impacting Johnson & Johnson Here are the key news stories impacting Johnson & Johnson this week:

Positive Sentiment: Citi reiterated a Buy view: The endorsement reinforces confidence in JNJ’s earnings durability and diversified healthcare portfolio, potentially supporting investor demand. Johnson & Johnson Gets a Buy from Citi Positive Sentiment: Wells Fargo sees additional upside: An analyst expects JNJ’s stock price to rise, adding to the positive sell-side sentiment around the company. Johnson & Johnson Stock Price Expected to Rise Positive Sentiment: Contact-lens investment could expand medical-device capacity: JNJ plans to spend more than $1 billion to increase U.S. contact-lens production. The investment may support long-term growth and domestic manufacturing, though reimbursement limitations reduce the immediate benefit for Medicare patients. Johnson & Johnson Contact Lens Investment Positive Sentiment: Dividend-focused investors continue to favor JNJ: Recent retirement and dividend-stock coverage highlights JNJ as a dependable income holding, which may provide support from defensive and income-oriented portfolios. Strong Buy Dividend Aristocrat Stocks Neutral Sentiment: Division transition remains a focus: Coverage describes JNJ as steady while it reorganizes its business, suggesting investors are watching execution rather than reacting to a major new fundamental change. Johnson & Johnson Amid a Division Transition Neutral Sentiment: Upcoming Wells Fargo healthcare conference: JNJ’s participation could provide updates on strategy and the division transition, but no new financial information has been announced. Johnson & Johnson Wells Fargo Healthcare Conference Negative Sentiment: Medicare coverage limits the contact-lens opportunity: The narrow reimbursement situation could constrain near-term demand and temper the investment’s immediate revenue impact. JNJ also faces broader pharmaceutical competition as rival Eli Lilly reports strong GLP-1 growth and raises guidance. Eli Lilly Q2 Earnings and GLP-1 Growth Analyst Ratings Changes A number of equities analysts have issued reports on the company. Raymond James Financial set a $280.00 target price on Johnson & Johnson in a report on Monday. HSBC set a $290.00 price target on Johnson & Johnson and gave the company a “buy” rating in a research note on Monday, July 6th. Argus set a $300.00 price objective on Johnson & Johnson in a research note on Wednesday, July 29th. Stifel Nicolaus set a $260.00 price objective on shares of Johnson & Johnson in a report on Wednesday, July 15th. Finally, JPMorgan Chase & Co. lifted their target price on shares of Johnson & Johnson from $250.00 to $260.00 and gave the stock a “neutral” rating in a research report on Wednesday, April 15th. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and six have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $268.22.

Get Our Latest Research Report on Johnson & Johnson

Johnson & Johnson Stock Down 0.1% Shares of JNJ opened at $257.30 on Friday. The stock’s 50-day moving average price is $247.80 and its two-hundred day moving average price is $239.59. Johnson & Johnson has a 12 month low of $169.92 and a 12 month high of $274.90. The company has a market capitalization of $620.07 billion, a PE ratio of 29.81, a PEG ratio of 2.46 and a beta of 0.24. The company has a current ratio of 1.09, a quick ratio of 0.81 and a debt-to-equity ratio of 0.44.

Johnson & Johnson (NYSE:JNJ – Get Free Report) last issued its quarterly earnings data on Wednesday, July 15th. The company reported $2.90 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.84 by $0.06. The company had revenue of $25.31 billion during the quarter, compared to the consensus estimate of $25.06 billion. Johnson & Johnson had a return on equity of 32.42% and a net margin of 21.48%.The firm’s revenue was up 6.6% compared to the same quarter last year. During the same period last year, the company earned $2.77 earnings per share. Johnson & Johnson has set its FY 2026 guidance at 11.600-11.750 EPS. On average, analysts anticipate that Johnson & Johnson will post 11.61 EPS for the current year.

Johnson & Johnson Announces Dividend The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 8th. Investors of record on Tuesday, August 25th will be paid a dividend of $1.34 per share. This represents a $5.36 dividend on an annualized basis and a yield of 2.1%. The ex-dividend date of this dividend is Tuesday, August 25th. Johnson & Johnson’s dividend payout ratio (DPR) is currently 62.11%.

Insider Buying and Selling at Johnson & Johnson In other news, EVP Vanessa Broadhurst sold 23,054 shares of the business’s stock in a transaction dated Monday, July 20th. The stock was sold at an average price of $251.27, for a total value of $5,792,778.58. Following the transaction, the executive vice president directly owned 23,003 shares of the company’s stock, valued at $5,779,963.81. The trade was a 50.06% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, EVP Kathryn E. Wengel sold 10,000 shares of the company’s stock in a transaction dated Thursday, June 11th. The shares were sold at an average price of $241.15, for a total value of $2,411,500.00. Following the sale, the executive vice president owned 114,288 shares in the company, valued at approximately $27,560,551.20. The trade was a 8.05% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 0.16% of the stock is owned by insiders.

About Johnson & Johnson (Free Report)

Johnson & Johnson is a multinational healthcare company headquartered in New Brunswick, New Jersey, that develops, manufactures and markets a broad range of products across pharmaceuticals, medical devices and previously consumer health. Founded in 1886 by the Johnson family, the company has grown into a global healthcare organization with operations and sales in many countries around the world.

The company’s pharmaceuticals business, organized largely under its Janssen research and development organization, focuses on prescription medicines across therapeutic areas such as immunology, infectious disease, oncology and neuroscience.

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ExxonMobil (XOM +2.12%) recently reported its second-quarter earnings, which fell short of analysts' expectations. While the oil giant's adjusted earnings surged 67% to $14.7 billion, or $3.52 per share, analysts had anticipated $3.60 per share. That disappointment, along with lower oil prices, has weighed on the stock, pushing its dividend yield up to around 2.7%, more than double the S&P 500's level (1%).

However, while ExxonMobil's profits missed, its dividend certainly didn't. Here's why it remains a top dividend stock.

Image source: Getty Images.

Further fortifying the dividend's foundation Exxon's second-quarter earnings miss dominated the headlines. However, it didn't even come close to telling the whole story. The oil giant reported its highest upstream production in nearly two decades, excluding the impact of disruptions in the Middle East. It also reported record production in the Permian Basin and record diesel production. Meanwhile, it has now delivered a cumulative $16.2 billion in structural cost savings since 2019, more than all other international oil companies combined.

The oil giant's cash flow from operations surged from $8.7 billion in the first quarter to $23.6 billion, while its free cash flow ballooned to $17.2 billion. That free cash flow gusher allowed Exxon to return an industry-leading $9.4 billion to shareholders during the period, including $5.1 billion in share repurchases and $4.3 billion in dividends, the third-highest dividend payment among S&P 500 members.

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$

154.84

Exxon's surplus cash after shareholder distributions enabled it to strengthen its already fortress-like balance sheet. The oil giant reduced its debt by $7 billion in the quarter, which lowered its net debt-to-capital ratio to an industry-leading 11%. That puts its dividend on an even firmer long-term foundation.

Exxon's second-quarter financial results might have fallen short of analysts' expectations. Its high-yielding dividend, on the other hand, grew stronger in the quarter. The oil giant should have plenty of fuel to continue growing its dividend, which it has done for an industry-leading 42 consecutive years. It's an ideal stock for investors seeking a sustainable and steadily rising income stream.

Matt DiLallo 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.

Posted by Defense World Staff on Aug 7th, 2026

55 North Private Wealth LLC increased its stake in shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM – Free Report) by 97.2% during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 3,537 shares of the semiconductor company’s stock after buying an additional 1,743 shares during the period. 55 North Private Wealth LLC’s holdings in Taiwan Semiconductor Manufacturing were worth $1,689,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Quattro Advisors LLC purchased a new stake in shares of Taiwan Semiconductor Manufacturing during the 4th quarter worth approximately $25,000. Hilton Head Capital Partners LLC purchased a new position in Taiwan Semiconductor Manufacturing in the 4th quarter valued at approximately $27,000. Strategic Advocates LLC increased its stake in Taiwan Semiconductor Manufacturing by 62.1% in the 4th quarter. Strategic Advocates LLC now owns 94 shares of the semiconductor company’s stock valued at $28,000 after purchasing an additional 36 shares in the last quarter. Ares Financial Consulting LLC purchased a new position in Taiwan Semiconductor Manufacturing in the 4th quarter valued at approximately $29,000. Finally, Basepoint Wealth LLC acquired a new position in Taiwan Semiconductor Manufacturing during the fourth quarter worth $31,000. 16.51% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes TSM has been the topic of a number of research analyst reports. Citigroup reiterated a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Monday, July 6th. DA Davidson lifted their price target on Taiwan Semiconductor Manufacturing from $450.00 to $500.00 and gave the stock a “buy” rating in a research note on Friday, July 17th. Barclays boosted their price objective on shares of Taiwan Semiconductor Manufacturing from $625.00 to $650.00 and gave the stock an “overweight” rating in a research report on Friday, July 17th. Wall Street Zen raised shares of Taiwan Semiconductor Manufacturing from a “buy” rating to a “strong-buy” rating in a research note on Saturday, July 18th. Finally, Zacks Research raised shares of Taiwan Semiconductor Manufacturing from a “hold” rating to a “strong-buy” rating in a research note on Thursday, July 16th. Three analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat, Taiwan Semiconductor Manufacturing presently has a consensus rating of “Buy” and an average target price of $496.25.

View Our Latest Report on Taiwan Semiconductor Manufacturing

Taiwan Semiconductor Manufacturing Price Performance TSM stock opened at $418.05 on Friday. The stock’s 50 day moving average price is $426.99 and its 200 day moving average price is $386.86. The firm has a market cap of $2.17 trillion, a P/E ratio of 30.16, a PEG ratio of 0.95 and a beta of 1.38. The company has a debt-to-equity ratio of 0.13, a quick ratio of 2.25 and a current ratio of 2.46. Taiwan Semiconductor Manufacturing Company Ltd. has a 1 year low of $223.70 and a 1 year high of $479.00.

Taiwan Semiconductor Manufacturing (NYSE:TSM – Get Free Report) last released its quarterly earnings results on Tuesday, June 30th. The semiconductor company reported $4.28 earnings per share for the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 39.37% and a net margin of 50.31%.The company had revenue of $39.89 billion during the quarter. On average, sell-side analysts expect that Taiwan Semiconductor Manufacturing Company Ltd. will post 16.44 earnings per share for the current fiscal year.

Taiwan Semiconductor Manufacturing Increases Dividend The company also recently announced a quarterly dividend, which will be paid on Thursday, October 8th. Investors of record on Wednesday, September 16th will be paid a $1.1136 dividend. This represents a $4.45 annualized dividend and a yield of 1.1%. The ex-dividend date of this dividend is Wednesday, September 16th. This is a positive change from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.95. Taiwan Semiconductor Manufacturing’s dividend payout ratio is presently 21.43%.

Insider Activity In other news, VP Lipen Yuan purchased 1,000 shares of the stock in a transaction dated Monday, June 22nd. The stock was acquired at an average cost of $79.19 per share, for a total transaction of $79,190.00. Following the completion of the acquisition, the vice president directly owned 5,000 shares in the company, valued at $395,950. This represents a 25.00% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, VP Bor-Zen Tien acquired 3,000 shares of the business’s stock in a transaction dated Tuesday, July 21st. The stock was purchased at an average cost of $74.39 per share, with a total value of $223,170.00. Following the transaction, the vice president owned 4,000 shares of the company’s stock, valued at approximately $297,560. The trade was a 300.00% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders have purchased a total of 16,697 shares of company stock valued at $1,228,663 in the last 90 days. Company insiders own 1.11% of the company’s stock.

Key Taiwan Semiconductor Manufacturing News Here are the key news stories impacting Taiwan Semiconductor Manufacturing this week:

Positive Sentiment: TSMC reportedly raised its 2026 outlook as accelerating demand for AI chips improves expectations for revenue and earnings growth. The update reinforces the company’s position as a key supplier to major AI-chip designers. Taiwan Semiconductor Manufacturing Company Raised Its 2026 Outlook as AI Demand Accelerated Positive Sentiment: TSMC’s roughly $64 billion capital-spending plan signals confidence that demand for leading-edge chips will remain strong. Reports that the company still cannot produce chips quickly enough to satisfy customers suggest tight capacity and potential pricing power, although execution will be important. TSMC’s $64 Billion Investment Signals Mega-Growth Positive Sentiment: TSMC may accelerate 3-nanometer production to meet strong demand from AI-chip customers. Faster output at this advanced node could support market-share gains and higher-margin growth. Taiwan Semiconductor Manufacturing Eyes Faster 3 Nanometer Output Positive Sentiment: ARK Invest founder Cathie Wood reportedly invested $28.7 million across TSMC and SpaceX after reducing positions in several other technology companies. The purchase provides a supportive sentiment signal for TSMC’s AI exposure. Cathie Wood Invests in TSMC and SpaceX Positive Sentiment: A TSMC vice president disclosed another purchase of company shares, adding to a series of recent insider buys. While small relative to TSMC’s market value, repeated buying can be interpreted as management confidence. TSMC Vice President Buys Stock Neutral Sentiment: Sony’s planned sensor venture involving TSMC could improve manufacturing scale and technology, but setup costs, earthquake exposure and weak smartphone demand may limit the near-term benefit. Sony’s TSMC Sensor Venture Could Reshape Its Imaging Growth Story Negative Sentiment: First Eagle Investment Management trimmed its TSMC position, creating a modest counter-signal to the insider buying and broader AI optimism. First Eagle Trims Its TSMC Stake Negative Sentiment: TSMC and other semiconductor stocks have remained volatile, with investors questioning whether elevated valuations can be justified. A mixed trading environment and profit-taking could restrain further gains even as long-term AI demand remains strong. What Is Going on With Taiwan Semiconductor Stock? Taiwan Semiconductor Manufacturing Profile (Free Report)

Taiwan Semiconductor Manufacturing Company (TSMC) is a leading pure-play semiconductor foundry that provides wafer fabrication and related services to the global semiconductor industry. Founded in 1987 by Morris Chang and headquartered in Hsinchu, Taiwan, TSMC manufactures integrated circuits on behalf of fabless and integrated device manufacturers, offering contract chip production across a broad set of technologies and products.

TSMC’s service offering covers logic and mixed-signal process technologies, specialty processes for radio-frequency, power management and embedded memory, and advanced nodes used in mobile, high-performance computing and AI applications.

Further Reading Five stocks we like better than Taiwan Semiconductor Manufacturing Sandisk Just Delivered a Blowout Quarter—Here’s Why the Stock Is Falling 4 Oil and Gas ETF Plays as Prices Stay Sky-High What Tesla Stands to Lose If It Walks Away From China Disney Sets Up for a Magical Year in 2027

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The logo of digital security firm Cloudflare is displayed over a booth at the Web Summit digital trade show in Vancouver, British Columbia, Canada, May 12, 2026. REUTERS/Chris Helgren Purchase Licensing Rights, opens new tab

Aug 7 (Reuters) - Cloudflare (NET.N), opens new tab shares rose before the bell on Friday after the cloud services firm raised its annual forecasts, betting that resilient ​AI-driven demand will sustain traffic across its network.

Quarterly results ‌of Cloudflare, whose shares were last up 16.2% at $330.51, follow Amazon.com's (AMZN.O), opens new tab strongest cloud growth in more than four years. Amazon noted that it won't have ​enough capacity to meet all demand in 2026.

The Reuters Daily Briefing newsletter provides all the news you need to start your day. Sign up here.

The two ​reports underscore that software companies remain key winners of ⁠the ongoing scramble to build AI infrastructure.

Cloudflare now expects full-year ​revenue of $2.86 billion to $2.87 billion, up from its prior expectation of $2.805 ​billion to $2.813 billion. The new forecast, released after markets closed on Thursday, exceeds analysts' average estimate of $2.81 billion, according to LSEG-compiled data.

Analysts at Morgan ​Stanley said the company's Workers developer platform was its fastest-growing ​segment, amid a shift toward a usage-based model, expecting the company to exceed ‌its ⁠outlook.

Cloudflare's also increased its adjusted per share earnings forecast to a range of $1.25 to $1.26 from its earlier estimate of $1.19 to $1.20.

Analysts also highlight that Cloudflare stands to benefit as cybersecurity becomes more ​necessary as cutting-edge ​AI models reshape ⁠the cyber-risk landscape.

Cloudflare shares have gained over 44% so far this year, compared with a near-77% ​rise in rival CrowdStrike (CRWD.O), opens new tab and a 95% jump ​in ⁠Palo Alto Networks (PANW.O), opens new tab. The stock trades at over 190 times its forward price-to-earnings ratio, compared with over 145 for CrowdStrike, according to ⁠LSEG-compiled ​data.

The company, analysts at RBC Capital Markets ​note, "has multiple, durable avenues to AI-monetization over the long-to-medium term that warrants a ​premium valuation."

Reporting by Purvi Agarwal in Bengaluru; Editing by Joyjeet Das

Our Standards: The Thomson Reuters Trust Principles., opens new tab

Posted by Defense World Staff on Aug 7th, 2026

Bank of America Corp DE lifted its stake in shares of Qorvo, Inc. (NASDAQ:QRVO – Free Report) by 801.4% during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 1,767,373 shares of the semiconductor company’s stock after acquiring an additional 1,571,303 shares during the period. Bank of America Corp DE owned 2.01% of Qorvo worth $136,795,000 at the end of the most recent reporting period.

Other large investors have also bought and sold shares of the company. LSV Asset Management raised its stake in Qorvo by 2.3% during the 4th quarter. LSV Asset Management now owns 1,555,461 shares of the semiconductor company’s stock worth $131,452,000 after buying an additional 34,605 shares during the period. M&T Bank Corp grew its stake in Qorvo by 3,397.3% in the fourth quarter. M&T Bank Corp now owns 150,173 shares of the semiconductor company’s stock valued at $12,691,000 after acquiring an additional 145,879 shares during the period. Fieldview Capital Management LLC grew its stake in Qorvo by 570.1% in the fourth quarter. Fieldview Capital Management LLC now owns 24,352 shares of the semiconductor company’s stock valued at $2,058,000 after acquiring an additional 20,718 shares during the period. Credit Industriel ET Commercial bought a new stake in shares of Qorvo during the fourth quarter valued at approximately $5,223,000. Finally, Mitsubishi UFJ Trust & Banking Corp increased its holdings in shares of Qorvo by 241.0% during the fourth quarter. Mitsubishi UFJ Trust & Banking Corp now owns 20,417 shares of the semiconductor company’s stock valued at $1,725,000 after acquiring an additional 14,429 shares in the last quarter. 88.57% of the stock is currently owned by institutional investors and hedge funds.

Insiders Place Their Bets In related news, SVP Paul J. Fego sold 2,500 shares of Qorvo stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $100.00, for a total transaction of $250,000.00. Following the sale, the senior vice president directly owned 71,038 shares in the company, valued at approximately $7,103,800. This trade represents a 3.40% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Peter A. Feld sold 1,900,000 shares of the business’s stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $101.20, for a total value of $192,280,000.00. Following the completion of the transaction, the director directly owned 5,611,526 shares in the company, valued at approximately $567,886,431.20. This represents a 25.29% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 1,966,127 shares of company stock valued at $198,911,103. 0.49% of the stock is owned by insiders.

Qorvo Stock Up 0.1% Qorvo stock opened at $95.33 on Friday. Qorvo, Inc. has a fifty-two week low of $74.92 and a fifty-two week high of $109.49. The company has a debt-to-equity ratio of 0.45, a quick ratio of 2.68 and a current ratio of 3.54. The firm’s 50-day simple moving average is $92.88 and its 200 day simple moving average is $87.21. The stock has a market cap of $8.41 billion, a PE ratio of 22.12, a price-to-earnings-growth ratio of 1.38 and a beta of 1.44.

Qorvo (NASDAQ:QRVO – Get Free Report) last posted its quarterly earnings data on Tuesday, July 28th. The semiconductor company reported $1.64 EPS for the quarter, beating the consensus estimate of $1.11 by $0.53. Qorvo had a net margin of 10.95% and a return on equity of 17.23%. The firm had revenue of $784.79 million during the quarter, compared to analyst estimates of $743.28 million. During the same quarter last year, the business posted $0.92 EPS. The company’s revenue for the quarter was down 4.2% on a year-over-year basis. Qorvo has set its FY 2027 guidance at 7.000-7.000 EPS. Research analysts predict that Qorvo, Inc. will post 6.3 EPS for the current fiscal year.

Analyst Ratings Changes A number of equities analysts have recently weighed in on QRVO shares. Barclays raised Qorvo from an “equal weight” rating to an “overweight” rating and upped their target price for the stock from $95.00 to $100.00 in a research report on Wednesday, April 22nd. JPMorgan Chase & Co. boosted their price target on shares of Qorvo from $85.00 to $100.00 and gave the company a “neutral” rating in a research note on Wednesday, May 6th. TD Cowen restated a “hold” rating on shares of Qorvo in a report on Wednesday, July 29th. Citigroup dropped their price objective on shares of Qorvo from $100.00 to $95.00 and set a “neutral” rating on the stock in a research note on Wednesday, July 29th. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of Qorvo in a report on Friday, July 24th. Three investment analysts have rated the stock with a Buy rating, fourteen have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $94.00.

Get Our Latest Research Report on Qorvo

About Qorvo (Free Report)

Qorvo, Inc is a leading provider of advanced radio-frequency (RF), analog and mixed-signal semiconductor solutions. The company designs, develops and manufactures a broad portfolio of components and modules that enable wireless and wired connectivity across mobile devices, network infrastructure, defense systems and Internet of Things (IoT) applications.

Qorvo’s product offerings include RF filters, power amplifiers, switches, integrated front-end modules and other custom mixed-signal devices.

See Also Five stocks we like better than Qorvo Sandisk Just Delivered a Blowout Quarter—Here’s Why the Stock Is Falling 4 Oil and Gas ETF Plays as Prices Stay Sky-High What Tesla Stands to Lose If It Walks Away From China Disney Sets Up for a Magical Year in 2027 Want to see what other hedge funds are holding QRVO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Qorvo, Inc. (NASDAQ:QRVO – Free Report).

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Array updates 2026 guidance

, /PRNewswire/ --

As previously announced, Array will hold a teleconference on August 7, 2026, at 9:00 a.m. CT. Listen to the call live via the Events & Presentations page of investors.arrayinc.com.

Array Digital Infrastructure, Inc. (NYSE:AD) reported second quarter operating results.

"Array continues to make nice progress executing across our 2026 priorities," said Anthony Carlson, President and CEO. "The organization remains laser-focused on optimizing our tower operations - as evidenced by our sequential tower tenancy growth. And we continue to monetize our remaining spectrum assets as well as support T-Mobile's integration." 

Highlights*

Optimizing tower operations Site rental revenues grew 95% year over year Delivered consecutive quarter over quarter tower tenancy growth Continuing to close pending sales of wireless spectrum Closed on sale of certain 700 MHz wireless spectrum licenses for total proceeds of $74.8 million on May 5, 2026 Closed on sale of certain 600 MHz wireless spectrum licenses for total proceeds of $86.4 million on May 12, 2026 Closed on sale of certain cellular and other spectrum licenses for total proceeds of $1 billion on June 1, 2026 Issued special dividend of $11 per common share on June 25, 2026 Updated 2026 Guidance Narrowed Revenue range to $205 million - $215 million on higher interim site revenue Increased Adjusted EBITDA range to $220 million - $235 million Capital expenditures range remains unchanged at $25 million - $35 million * Comparisons are 2Q'25 to 2Q'26 unless otherwise noted.

Array reported total operating revenues from continuing operations of $54.1 million for the second quarter of 2026, versus $28.5 million for the same period one year ago. Net income attributable to Array shareholders and diluted earnings per share from continuing operations were $333.8 million and $3.86, respectively, for the second quarter of 2026 compared to $14.8 million and $0.17, respectively, in the same period one year ago.  

Pending transactions

Subsequent to the August 1, 2025 close of the sale of wireless operations, Array reached additional agreements with T-Mobile for the sale of additional spectrum. A significant portion of these closed in May 2026 with approximately $30 million related to 600 MHz and 700 MHz licenses remaining. These additional transactions are expected to close yet in 2026, subject to regulatory approval and customary closing conditions.

DISH Wireless

In September 2025, Array received a letter from DISH Wireless claiming that its obligations under its Master Lease Agreement with Array were excused due to actions taken by the FCC and subsequent agreements to sell spectrum assets.  Beginning in the first quarter of 2026, Array no longer recognizes revenue in connection with DISH.  In June 2026, DISH Wireless and other DISH entities filed for bankruptcy and Array is monitoring those proceedings.

Recent Development

On May 7, 2026, TDS delivered to the Array Board of Directors a letter setting forth a non-binding proposal to acquire all of the outstanding Array Common Shares that are not owned by TDS (the "Array Proposal"). A special committee of independent and disinterested directors of the Array Board of Directors has been formed to evaluate this proposal. For additional information on the Array Proposal, see TDS' Current Report on Form 8-K, filed with the U.S. Securities and Exchange Commission on May 8, 2026.

2026 Estimated Results

Array's current estimates of full-year 2026 results are shown below. Such estimates represent management's view as of August 7, 2026 and should not be assumed to be current as of any future date. Array undertakes no duty to update such estimates, whether as a result of new information, future events, or otherwise. There can be no assurance that final results will not differ materially from estimated results.

2026 Estimated Results

Previous

Current

(Dollars in millions)

Total operating revenues

$200-$215

$205-$215

Adjusted OIBDA1 (Non-GAAP)

$50-$65

$60-$75

Adjusted EBITDA1 (Non-GAAP)

$200-$215

$220-$235

Capital expenditures

$25-$35

Unchanged

The following table reconciles EBITDA, Adjusted EBITDA and Adjusted OIBDA to the corresponding GAAP measures, Net income from continuing operations or Income before income taxes. In providing 2026 estimated results, Array has not completed the below reconciliation to Net income because it does not provide guidance for income taxes. Although potentially significant, Array believes that the impact of income taxes cannot be reasonably predicted; therefore, Array is unable to provide such guidance.

Actual Results

2026 Estimated
Results

Six Months Ended

June 30, 2026

Year Ended
December 31, 2025

(Dollars in millions)

Net income from continuing operations (GAAP)

N/A

$517

$172

Add back:

Income tax expense (benefit)

N/A

168

(31)

Income before income taxes (GAAP)

$775-$790

$686

$141

Add back or deduct:

Interest expense

45

18

28

Depreciation, amortization and accretion

50

27

48

EBITDA (Non-GAAP)1

$870-$885

$731

$218

Add back or deduct:

Expenses related to strategic alternatives review

—

8

2

Loss on impairment of licenses

—

—

48

(Gain) loss on asset disposals, net

—

5

2

(Gain) loss on license sales and exchanges, net

(585)

(566)

(6)

Short-term imputed spectrum lease income

(65)

(58)

(69)

Adjusted EBITDA (Non-GAAP)1

$220-$235

$119

$194

Deduct:

Equity in earnings of unconsolidated entities

145

75

174

Interest and dividend income

15

11

19

Adjusted OIBDA (Non-GAAP)1

$60-$75

$33

$1

 Numbers may not foot due to rounding.

1

EBITDA, Adjusted EBITDA and Adjusted OIBDA are defined as net income from continuing operations adjusted for the items set forth in the
reconciliation above. EBITDA, Adjusted EBITDA and Adjusted OIBDA are not measures of financial performance under Generally Accepted
Accounting Principles in the United States (GAAP) and should not be considered as alternatives to Net income or Cash flows from operating
activities, as indicators of cash flows or as measures of liquidity. Array does not intend to imply that any such items set forth in the reconciliation
above are infrequent or unusual; such items may occur in the future. Management uses Adjusted EBITDA and Adjusted OIBDA as
measurements of profitability, and therefore reconciliations to Net income are deemed appropriate. Management believes Adjusted EBITDA and
Adjusted OIBDA are useful measures of Array's operating results before significant recurring non-cash charges, nonrecurring expenses, gains
and losses, and other items as presented above as they provide additional relevant and useful information to investors and other users of Array's
financial data in evaluating the effectiveness of its operations and underlying business trends in a manner that is consistent with management's
evaluation of business performance. Adjusted EBITDA shows adjusted earnings before interest, taxes, depreciation, amortization and accretion,
gains and losses while Adjusted OIBDA reduces this measure further to exclude Equity in earnings of unconsolidated entities and Interest and
dividend income in order to more effectively show the performance of operating activities excluding investment activities.

Conference Call Information
Array will hold a conference call on August 7, 2026 at 9:00 a.m. CT.

Access the live call on the Events & Presentations page of investors.arrayinc.com or at https://events.q4inc.com/attendee/198119429  Before the call, certain financial and statistical information to be discussed during the call will be posted to investors.arrayinc.com. The call will be archived on the Events & Presentations page of investors.arrayinc.com.

About Array
Array Digital Infrastructure, Inc. is a leading owner and operator of shared wireless communications infrastructure in the United States. Array owns 4,456 cell towers in 19 states and enables the deployment of 5G and other wireless technologies throughout the country. As of June 30, 2026, Telephone and Data Systems, Inc. owned approximately 81.9% of Array.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995:  All information set forth in this news release, except historical and factual information, represents forward-looking statements. This includes all statements about the company's plans, beliefs, estimates, and expectations. These statements are based on current estimates, projections, and assumptions, which involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Important factors that may affect these forward-looking statements include, but are not limited to: whether any transaction related to the TDS non-binding proposal delivered to the Array Board of Directors to acquire all of the outstanding Array Common Shares not owned by TDS will be accepted, rejected, consummated, or abandoned; whether any such transaction, if accepted or completed, will result in additional value for Array or its shareholders and whether the process could result in adverse impacts on Array's businesses; the manner in which Array's remaining business is conducted; strategic decisions regarding the tower business; whether the additional spectrum license sales to T-Mobile are consummated; whether Array can monetize its remaining spectrum assets;  competition in the tower industry; economic and business risks associated with fixed rate annual escalators on colocation revenue contracts; Array's reliance on a small number of tenants for a substantial portion of its revenue; the ability to attract people of outstanding talent; inability to protect rights to the land under towers; changes in demand, consumer preferences and perceptions, price competition, or cost; advances or changes in technology; impacts of costs, integration issues or other factors associated with acquisitions, divestitures or exchanges of properties; uncertainties in Array's future cash flows and liquidity and access to the capital markets; the ability to make payments on indebtedness or comply with the terms of debt covenants; conditions in the U.S. telecommunications industry; the value of assets and investments, including significant investments in wireless operating entities that Array does not control; pending and future litigation; cyber-attacks or other breaches of network or information technology security; control by TDS; disruption in credit or other financial markets; deterioration of U.S. or global economic conditions; and extreme weather events. Investors are encouraged to consider these and other risks and uncertainties that are more fully described under "Risk Factors" in the most recent filing of Array's Form 10-K as updated by any  Form 10-Q filed subsequent to such Form 10-K.

Array Digital Infrastructure, Inc.

Summary Operating Data (Unaudited)

As of or for the Quarter Ended

6/30/2026

3/31/2026

12/31/2025

9/30/2025

Capital expenditures from continuing operations (thousands)

$       3,895

8,645

12,933

7,927

Owned towers

4,456

4,452

4,450

4,449

Number of colocations1

4,362

4,290

4,572

4,517

Tower tenancy rate2

0.98

0.96

1.03

1.02

1

Represents instances where a third-party leases space on a company-owned tower. Includes T-Mobile MLA committed site minimum of 2,015.
Excludes Interim Sites whereby T-Mobile is leasing up to 1,800 sites for a period of up to 30 months subject to the terms and conditions of the
MLA. As of March 31, 2026, the Number of colocations and the Tower tenancy rate exclude DISH Wireless due to the low probability of
fulfilling its lease commitments.

2

Calculated as total number of colocations divided by total number of towers. Includes T-Mobile MLA committed site minimum of 2,015. Excludes Interim Sites whereby T-Mobile is leasing up to 1,800 sites for a period of up to 30 months subject to the terms and conditions of the MLA. As of March 31, 2026, the Number of colocations and the Tower tenancy rate exclude DISH Wireless due to the low probability of fulfilling its lease commitments. Normalized to exclude DISH, tenancy ratios would have been 0.95 and 0.94 for December 31, 2025 and September 30, 2025, respectively.

Array Digital Infrastructure, Inc.

Consolidated Statement of Operations Highlights

(Unaudited)

Three Months Ended

June 30,

Six Months Ended

June 30,

2026

2025

2026

vs. 2025

2026

2025

2026

vs. 2025

(Dollars and shares in thousands, except per share amounts)

Operating revenues

Site rental

$

53,175

$

27,230

95 %

$

104,199

$

53,825

94 %

Services

895

1,299

(31) %

1,883

1,688

12 %

Total operating revenues

54,070

28,529

90 %

106,082

55,513

91 %

Operating expenses

Cost of operations (excluding Depreciation, amortization and accretion reported below)

23,497

19,396

21 %

45,106

35,687

26 %

Selling, general and administrative

22,906

19,337

18 %

35,651

48,537

(27) %

Depreciation, amortization and accretion

14,428

11,999

20 %

27,032

23,992

13 %

(Gain) loss on asset disposals, net

3,809

(313)

N/M

4,713

(87)

N/M

(Gain) loss on license sales and exchanges, net

(409,833)

(3,700)

N/M

(566,468)

(4,800)

N/M

Total operating expenses

(345,193)

46,719

N/M

(453,966)

103,329

N/M

Operating income (loss)

399,263

(18,190)

N/M

560,048

(47,816)

N/M

Other income (expense)

Equity in earnings of unconsolidated entities

34,726

41,714

(17) %

75,135

77,641

(3) %

Interest and dividend income

6,431

3,701

74 %

10,653

6,358

68 %

Interest expense

(10,860)

(3,711)

N/M

(18,040)

(7,378)

N/M

Short-term imputed spectrum lease income

23,770

—

N/M

57,970

—

N/M

Other, net

(13)

—

N/M

(26)

—

N/M

Total other income

54,054

41,704

30 %

125,692

76,621

64 %

Income before income taxes

453,317

23,514

N/M

685,740

28,805

N/M

Income tax expense

115,870

8,415

N/M

168,268

8,222

N/M

Net income from continuing operations

337,447

15,099

N/M

517,472

20,583

N/M

Less: Net income from continuing operations attributable to noncontrolling interests, net of tax

3,677

326

N/M

3,870

1,127

N/M

Net income from continuing operations attributable to Array shareholders

333,770

14,773

N/M

513,602

19,456

N/M

Net income from discontinued operations

25,114

17,098

47 %

23,077

31,300

(26) %

Less: Net income from discontinued operations attributable to noncontrolling interests, net of tax

188

375

(50) %

188

1,013

(81) %

Net income from discontinued operations attributable to Array shareholders

24,926

16,723

49 %

22,889

30,287

(24) %

Net income

362,561

32,197

N/M

540,549

51,883

N/M

Less: Net income attributable to noncontrolling interests, net of tax

3,865

701

N/M

4,058

2,140

90 %

Net income attributable to Array shareholders

$ 358,696

$  31,496

N/M

$ 536,491

$  49,743

N/M

Basic weighted average shares outstanding

86,482

85,779

1 %

86,449

85,459

1 %

Basic earnings per share from continuing operations attributable to Array shareholders

$      3.86

$      0.17

N/M

$      5.94

$      0.23

N/M

Basic earnings per share from discontinued operations attributable to Array shareholders

$      0.29

$      0.20

48 %

$      0.27

$      0.35

(25) %

Basic earnings per share attributable to Array shareholders

$      4.15

$      0.37

N/M

$      6.21

$      0.58

N/M

Diluted weighted average shares outstanding

86,510

87,784

(1) %

86,499

87,947

(2) %

Diluted earnings per share from continuing operations attributable to Array shareholders

$      3.86

$      0.17

N/M

$      5.94

$      0.22

N/M

Diluted earnings per share from discontinued operations attributable to Array shareholders

$      0.29

$      0.19

51 %

$      0.26

$      0.35

(23) %

Diluted earnings per share attributable to Array shareholders

$      4.15

$      0.36

N/M

$      6.20

$      0.57

N/M

N/M - Percentage change not meaningful

Array Digital Infrastructure, Inc.

Consolidated Statement of Cash Flows

(Unaudited)

Six Months Ended

June 30,

2026

2025

(Dollars in thousands)

Cash flows from operating activities

Net income

$       540,549

$         51,883

Net income from discontinued operations

23,077

31,300

Net income from continuing operations

517,472

20,583

Add (deduct) adjustments to reconcile net income to net cash flows from operating activities

Depreciation, amortization and accretion

27,032

23,992

Bad debts expense

196

415

Stock-based compensation expense

540

1,694

Deferred income taxes, net

(203,326)

(1,050)

Equity in earnings of unconsolidated entities

(75,135)

(77,641)

Distributions from unconsolidated entities

66,553

87,938

(Gain) loss on asset disposals, net

4,713

(87)

(Gain) loss on license sales and exchanges, net

(566,468)

(4,800)

Other operating activities

225

67

Changes in assets and liabilities from operations

Accounts receivable

4,367

(10,279)

Accounts payable

(3,431)

(2,254)

Customer deposits and deferred revenues

(56,735)

194

Accrued taxes

288,663

(11,980)

Accrued interest

(390)

(8)

Other assets and liabilities

(17,473)

(26,864)

Net cash used in operating activities - continuing operations

(13,197)

(80)

Net cash provided by (used in) operating activities - discontinued operations

(5,791)

484,669

Net cash provided by (used in) operating activities

(18,988)

484,589

Cash flows from investing activities

Cash paid for additions to property, plant and equipment

(19,629)

(11,463)

Cash paid for licenses

—

(4,145)

Cash received from divestitures

2,185,801

—

Other investing activities

—

1,301

Net cash provided by (used in) investing activities - continuing operations

2,166,172

(14,307)

Net cash used in investing activities - discontinued operations

—

(135,561)

Net cash provided by (used in) investing activities

2,166,172

(149,868)

Cash flows from financing activities

Repayment of long-term debt

—

(12,000)

Tax withholdings, net of cash receipts, for stock-based compensation awards

(2,068)

(35,250)

Repurchase of Common Shares

—

(21,360)

Dividends paid to Array shareholders

(1,836,737)

—

Payment of debt issuance costs

—

(1,676)

Distributions to noncontrolling interests

(4,750)

(2,391)

Payments to acquire additional interest in subsidiaries

(593)

—

Other financing activities

—

(589)

Net cash used in financing activities - continuing operations

(1,844,148)

(73,266)

Net cash used in financing activities - discontinued operations

—

(19,703)

Net cash used in financing activities

(1,844,148)

(92,969)

Net increase in cash, cash equivalents and restricted cash

303,036

241,752

Cash, cash equivalents and restricted cash

Beginning of period

113,400

159,142

End of period

$       416,436

$       400,894

Array Digital Infrastructure, Inc.

Consolidated Balance Sheet Highlights

(Unaudited)

ASSETS

June 30, 2026

December 31, 2025

(Dollars in thousands)

Current assets

Cash and cash equivalents

$               416,436

$               113,400

Accounts receivable, net

17,831

21,656

Prepaid expenses

2,045

3,216

Other current assets

2,434

6,515

Total current assets

438,746

144,787

Non-current assets held for sale

47,390

1,591,675

Licenses

1,594,649

1,642,187

Investments in unconsolidated entities

421,607

412,608

Property, plant and equipment, net

374,700

388,999

Operating lease right-of-use assets

467,590

472,995

Other assets and deferred charges

26,677

24,837

Total assets

$             3,371,359

$             4,678,088

Array Digital Infrastructure, Inc.

Consolidated Balance Sheet Highlights

(Unaudited)

LIABILITIES AND EQUITY

June 30, 2026

December 31, 2025

(Dollars in thousands, except per share amounts)

Current liabilities

Current portion of long-term debt

$                  8,125

$                  4,063

Accounts payable

41,041

38,395

Customer deposits and deferred revenues

27,515

85,945

Accrued taxes

317,407

16,884

Accrued compensation

1,070

4,322

Short-term operating lease liabilities

16,767

15,294

Current liabilities of discontinued operations

24,856

20,242

Other current liabilities

24,875

14,843

Total current liabilities

461,656

199,988

Deferred liabilities and credits

Deferred income tax liability, net

169,509

387,030

Long-term operating lease liabilities

505,936

509,876

Other deferred liabilities and credits

295,715

336,379

Long-term debt, net

666,757

670,258

Total equity

1,271,786

2,574,557

Total liabilities and equity

$             3,371,359

$             4,678,088

Array Digital Infrastructure, Inc.
EBITDA, Adjusted EBITDA, Adjusted OIBDA and AFCF Reconciliations
(Unaudited)

EBITDA, Adjusted EBITDA and Adjusted OIBDA

The following table reconciles EBITDA, Adjusted EBITDA and Adjusted OIBDA to the corresponding GAAP measure, Net income from continuing operations and Income before income taxes.

Three Months Ended

June 30,

Six Months Ended

June 30,

2026

2025

2026

2025

(Dollars in thousands)

Net income from continuing operations (GAAP)

$    337,447

$      15,099

$    517,472

$      20,583

Add back:

Income tax expense

115,870

8,415

168,268

8,222

Income before income taxes (GAAP)

453,317

23,514

685,740

28,805

Add back:

Interest expense

10,860

3,711

18,040

7,378

Depreciation, amortization and accretion

14,428

11,999

27,032

23,992

EBITDA (Non-GAAP)

478,605

39,224

730,812

60,175

Add back or deduct:

Expenses related to strategic alternatives review

7,391

715

7,578

1,860

(Gain) loss on asset disposals, net

3,809

(313)

4,713

(87)

(Gain) loss on license sales and exchanges, net

(409,833)

(3,700)

(566,468)

(4,800)

Short-term imputed spectrum lease income

(23,770)

—

(57,970)

—

Adjusted EBITDA (Non-GAAP)

56,202

35,926

118,665

57,148

Deduct:

Equity in earnings of unconsolidated entities

34,726

41,714

75,135

77,641

Interest and dividend income

6,431

3,701

10,653

6,358

Other, net

(13)

—

(26)

—

Adjusted OIBDA (Non-GAAP)

$      15,058

$      (9,489)

$      32,903

$     (26,851)

Adjusted Free Cash Flow (AFCF)

AFCF is a non-GAAP measure defined as Net income from continuing operations adjusted for the items set forth in the reconciliation below. AFCF is not a measure of financial performance under GAAP and should not be considered as an alternative to Net income from continuing operations or as an indicator of cash flows.

Management believes AFCF is a useful measure of Array's cash generated from operations and its noncontrolling investment interests. The following table reconciles AFCF to the corresponding GAAP measure, Net income from continuing operations. This measure is presented following the sale of Array's wireless operations to T-Mobile on August 1, 2025, at which time the primary business operations for Array changed from providing wireless communications services to a standalone tower company.

Six Months Ended
June 30, 2026

(Dollars in thousands)

Net income from continuing operations (GAAP)

$                 517,472

Add back or deduct:

Income tax expense

168,268

Cash paid for income taxes

(78,623)

Stock-based compensation expense

540

Short-term imputed spectrum lease income

(57,970)

Amortization of deferred debt charges

655

Equity in earnings of unconsolidated entities

(75,135)

Distributions from unconsolidated entities

66,553

(Gain) loss on license sales and exchanges, net

(566,468)

(Gain) loss on asset disposals, net

4,713

Depreciation, amortization and accretion

27,032

Expenses related to strategic alternatives review

7,578

Straight line and other non-cash revenue adjustments

(8,310)

Straight line expense adjustment

2,811

Maintenance and other capital expenditures

(2,511)

Adjusted Free Cash Flow from continuing operations (Non-GAAP)

$                    6,605

SOURCE Array Digital Infrastructure, Inc.

LivePerson Urges Stockholders to Vote "FOR" Transaction with SoundHound AI Today

, /PRNewswire/ -- LivePerson (NASDAQ: LPSN) ("LivePerson" or "the Company"), a leading provider of predictable conversational AI, today announced that leading independent proxy advisory firm Glass Lewis & Co. ("Glass Lewis") has recommended that LivePerson stockholders vote "FOR" the Company's proposed transaction with SoundHound AI, Inc. (NASDAQ: SOUN) ahead of the upcoming Special Meeting of Stockholders on August 20, 2026. In addition, Glass Lewis has recommended that LivePerson stockholders vote "FOR" the proposals related to the proposed transaction.

John Sabino, CEO of LivePerson, said, "The recommendation from Glass Lewis supports the Board's unanimous determination that our proposed transaction with SoundHound AI maximizes value for and is in the best interests of LivePerson stockholders. In addition to highlighting in its recommendation the value and potential upside that most stockholders will receive in the transaction, Glass Lewis acknowledges the Board's extensive process and the risks associated with continuing as a standalone company."

By following the recommendations of Glass Lewis to vote "FOR" the transaction with SoundHound AI, LivePerson stockholders are supporting a transaction that:

Represents Premium Value for LivePerson Stockholders: Most LivePerson stockholders will receive shares of SoundHound stock valued at approximately $3.33 per share as of the April 21, 2026 announcement, representing an attractive 22% premium over our 30-day volume-weighted average trading price before such announcement. Stockholders holding shares on the Tel Aviv Stock Exchange will receive a substantially equivalent value in cash. Presents an Opportunity to Participate in Future Upside: Most LivePerson Stockholders have the opportunity to become equity owners of a combined AI leader with a strong, debt-free balance sheet and an accelerated path to profitability. SoundHound has stated that, assuming the transaction closes in the second half of 2026, it expects an achievable combined revenue range of at minimum $350 to $400 million in 2027 and that the combined business is expected to reach up to $500 million based on the existing customer base alone. Delivers Comprehensive Omnichannel Reach at Scale: The transaction would unite complementary capabilities across voice, digital engagement, agentic AI, and AI assurance. The combined customer base includes 25 of the Fortune 100, creating one of the conversational AI sector's most comprehensive enterprise customer footprints and significant opportunities to introduce additional capabilities across the companies' existing customer bases. Resolves LivePerson's Outstanding Debt: LivePerson's outstanding debt currently exceeds the total value of the transaction. As part of the transaction, our secured noteholders have agreed to exchange their notes at a value reflecting a substantial discount to the notes' approximately $350 million par value. LivePerson strongly encourages all LivePerson stockholders to follow Glass Lewis' guidance and vote FOR the transaction with SoundHound AI ahead of our August 20 Special Meeting. For additional information on the transaction and how to vote, visit VoteLivePerson.com. 

VOTE TODAY

Your vote is very important. The Special Meeting is scheduled for August 20, 2026.

Approval of the merger proposal requires the affirmative vote of a majority of all outstanding shares of LivePerson common stock. Not voting has the same effect as voting against the transaction.

Vote today by proxy card, online at www.proxyvote.com, or by phone. For more information and additional materials visit VoteLivePerson.com, or contact LivePerson's proxy solicitor, MacKenzie Partners, Inc., toll-free at (800) 322-2885 or by e-mail at [email protected].

MacKenzie Partners, Inc.

7 Penn Plaza
 New York, NY 10001

Call Toll-Free: (800) 322-2885
 Email: [email protected] 

Tel Aviv Stock Exchange Voting Information

LivePerson stockholders who hold shares listed on the Tel Aviv Stock Exchange (TASE) and intend to vote their shares must deliver to LivePerson's Israeli counsel, Arnon, Tadmor-Levy, c/o Moshe Pasker, Azrieli Center (Square Tower), Tel Aviv, Israel, 6702101 (email: [email protected]), an ownership certificate confirming their ownership on July 6, 2026. The form of proxy card for stockholders who hold shares listed on the TASE can be found here:     https://mayafiles.tase.co.il/rpdf/1759001-1760000/P1759388-00.pdf.

About LivePerson

LivePerson (NASDAQ: LPSN) is an enterprise leader in predictable conversational AI. The world's leading brands use our award-winning Conversational Cloud and Syntrix platforms to connect with millions of customers. We power nearly a billion messages every month, providing uniquely rich data analytics, agent training, and AI evaluation tools to unlock the power of conversational AI for better business outcomes. Learn more at liveperson.com.

Media Contact:

Riah Lawry

[email protected] 

Or

Jim Golden / Dylan O'Keefe

Collected Strategies

[email protected] 

Investor Relations Contact:

[email protected] 

Additional Investor Relations Contact:

MacKenzie Partners, Inc.

[email protected]

Forward-Looking Statements
 

This document contains "forward-looking statements" within the meaning of the U.S. federal securities laws about the expectations, beliefs, plans, intentions, prospects, financial results and strategies relating to SoundHound AI's proposed acquisition of LivePerson. Such forward-looking statements include, among others, statements regarding the timing of filing the definitive proxy/prospectus and timing of LivePerson's special meeting, obtaining regulatory approvals, the timing of closing of the proposed acquisition, and the parties' expectations, intentions, strategies, assumptions or beliefs about future events, results of operations or performance or that do not solely relate to historical or current facts. Forward-looking statements are predictions, projections and other statements about future events or conditions that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this communication, including: (1) the occurrence of any event, change, or other circumstance that could give rise to the right of one or both of the parties to terminate the definitive merger agreement between LivePerson and SoundHound; (2) the possibility that the transaction does not close when expected or at all due to the failure to satisfy all of the conditions to closing on a timely basis or at all, including the failure to obtain the required shareholder approvals or to consummate the notes restructuring transactions contemplated by the Notes Restructuring Agreement; (3) the risk that the benefits from the transaction may not be fully realized or may take longer to realize than expected, including as a result of changes in, or problems arising from, general economic and market conditions, interest and exchange rates, monetary policy, trade policy (including tariff levels), laws and regulations and their enforcement, and the degree of competition in the geographic and business areas in which LivePerson and SoundHound operate; (4) any failure to promptly and effectively integrate the businesses of LivePerson and SoundHound; (5) the possibility that the transaction may be more expensive to complete than anticipated, including as a result of unexpected factors or events; (6) reputational risk and potential adverse reactions of LivePerson's or SoundHound's customers, employees or other business partners, including those resulting from the announcement, pendency or completion of the transaction; (7) the diversion of management's attention and time to the transaction from ongoing business operations and opportunities; and (8) the outcome of any legal proceedings that may be instituted against LivePerson or SoundHound or in connection with the transaction. Further information on factors that could affect the forward-looking statements and expectations above are contained in the filings that LivePerson and/or SoundHound AI have filed, or that will be filed, with the U.S. Securities and Exchange Commission (the "SEC"), including as set forth in the Form S-4 and the proxy statement/prospectus contained therein, as well as the documents incorporated by reference therein.

All forward-looking statements are expressly qualified in their entirety by the cautionary statements set forth above. Forward-looking statements speak only as of the date they are made, and LivePerson does not undertake or assume any obligation to update publicly any of these statements to reflect actual results, new information or future events, changes in assumptions, or changes in other factors affecting forward-looking statements, except to the extent required by applicable law.

No Offer or Solicitation

This communication is not intended to be, and shall not constitute, an offer to sell, buy or exchange or the solicitation of an offer to sell, buy or exchange any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act.

Additional Information and Where to Find It

In connection with the proposed transaction, SoundHound AI has filed with the U.S. Securities and Exchange Commission (the "SEC") a registration statement on Form S-4 (the "Form S-4") that includes a definitive proxy statement of LivePerson and that constitutes a prospectus of SoundHound AI with respect to the shares of the SoundHound AI common stock to be issued in the proposed transaction, dated July 9, 2026 (the "proxy statement/prospectus"). The proxy statement/prospectus was filed with the SEC on July 9, 2026 by LivePerson, and the mailing of the proxy statement/prospectus to LivePerson's stockholders began on or about the same date. Each of SoundHound AI and LivePerson may also file other relevant documents with the SEC regarding the proposed transaction.

This communication is not a substitute for the Form S-4, the proxy statement/prospectus or any other document that SoundHound AI or LivePerson has filed, or may file, with the SEC in connection with the proposed transaction. INVESTORS AND SECURITY HOLDERS OF SOUNDHOUND AI AND LIVEPERSON ARE URGED TO READ THE FORM S-4, THE PROXY STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, CAREFULLY IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. Investors and security holders will be able to obtain copies of these documents (if and when available), as well as other filings containing information about SoundHound AI and LivePerson, free of charge on the SEC's website at www.sec.gov. Copies of the documents filed with, or furnished to, the SEC by the Company will be available free of charge on SoundHound AI's website at https://investors.soundhound.com/financial-information/sec-filings. Copies of the documents filed with, or furnished to, the SEC by LivePerson will be available free of charge on LivePerson's website at https://ir.liveperson.com/financial-information/sec-filings. The information included on, or accessible through, SoundHound AI's or LivePerson's website is not incorporated by reference into this communication.

Participants in the Solicitation

SoundHound, LivePerson and their respective directors and executive officers may be deemed to be participants in the solicitation of proxies with respect to the proposed transaction under the rules of the SEC. Information about the directors and executive officers of SoundHound, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in SoundHound's definitive proxy statement for its 2026 annual meeting of stockholders under the heading "Proposal 1 – Election of Directors", which was filed with the SEC on April 9, 2026 and is available at https://www.sec.gov/ix?doc=/Archives/edgar/data/0001840856/000121390026041978/ea0285618-01.htm. Information about the directors and executive officers of LivePerson and their ownership of LivePerson equity interests can be found in the section entitled "Interests of LivePerson Directors and Executive Officers in the Mergers" and "Owners and Management of LivePerson" included in the proxy/prospectus, which was filed with the SEC on July 9, 2026 and is available at https://www.sec.gov/Archives/edgar/data/1102993/000121390026076759/ea0297465-01.htm. Further information about the directors and executive officers of LivePerson may be found in its amendment to its Annual Report on Form 10-K for the year ended December 31, 2025 under the headings "Directors, Executive Officers and Corporate Governance," "Executive Compensation," "Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters" and is available at: https://www.sec.gov/ix?doc=/Archives/edgar/data/0001102993/000110299326000020/lpsn-20251231.htm; in the Form 3 and Form 4 statements of beneficial ownership and statements of changes in beneficial ownership filed with the SEC by LivePerson's directors and executive officers; and is in other documents filed by LivePerson with the SEC. Additional information regarding the interests of the participants in the solicitation of proxies will be included in other relevant materials to be filed with the SEC if and when they become available. You should read the Form S-4 and the proxy statement/prospectus carefully before making any voting or investment decisions. You may obtain free copies of these documents using the sources indicated above.

SOURCE LivePerson, Inc.

Announces 2026 second-quarter reported earnings (GAAP) of $0.30 per share. Achieves 2026 second-quarter ongoing earnings per share of $0.33 versus $0.32 in 2025. Reaffirms 2026 ongoing earnings forecast range of $1.90 to $1.98 per share with a midpoint of $1.94. Reaffirms annual EPS growth target of 6% to 8% through at least 2029 with compound annual growth expected to be near top end of the target range. Estimates current economic development in Pennsylvania and Kentucky could present potential generation investment upside of $10 billion to $12 billion through 2032. , /PRNewswire/ -- PPL Corporation (NYSE: PPL) today announced second-quarter 2026 reported earnings (GAAP) of $230 million, or $0.30 per share, compared with second-quarter 2025 reported earnings of $183 million, or $0.25 per share.

PPL reported earnings of $682 million, or $0.90 per share for the first six months of 2026, compared with reported earnings of $597 million, or $0.80 per share, for the first six months of 2025.

Adjusting for special items, second-quarter 2026 earnings from ongoing operations (non-GAAP) were $247 million, or $0.33 per share, compared with $240 million, or $0.32 per share, a year ago.

Earnings from ongoing operations for the first six months of 2026 were $725 million, or $0.96 per share, compared with $684 million, or $0.92 per share, for the first six months of 2025.

"Our solid second-quarter results demonstrate continued execution across our regulated utility portfolio and keep us on track to deliver our 2026 commitments," said Vincent Sorgi, PPL president and chief executive officer. "We are benefiting from disciplined cost management, strong operational focus and timely recovery of prudent investments that strengthen service for customers. Those investments are designed to modernize the grid, improve system resilience and support growing demand in a way that protects our existing customers while delivering long-term shareowner returns.

"With constructive regulatory frameworks across our jurisdictions and a clear capital investment plan, we believe PPL is well positioned to capture emerging growth opportunities while maintaining our commitment to affordability and reliability."

Based on the company's financial performance year to date, PPL reaffirmed its 2026 ongoing earnings forecast range of $1.90 to $1.98 per share with a midpoint of $1.94 per share. The company continues to expect stronger earnings growth in the second half of 2026, supported by improved rate recovery and capital tracking mechanisms that enable timely recovery of investments.

PPL also reaffirmed its projection of 6% to 8% annual earnings-per-share (EPS) growth through at least 2029 and continues to expect compound annual growth near the top end of that range compared with 2025 actual ongoing earnings. The company expects stronger earnings growth beginning in 2027 and continuing through 2029. PPL's business plan does not include any earnings contributions or capital investments related to Invitium Energy, LLC, its 51% joint venture with Blackstone Infrastructure to build and operate generation resources to directly support data centers in Pennsylvania.

Economic Development Expands Long-Term Investment Opportunities

PPL continues to see growing development and interest from data center developers and other large energy users across its Pennsylvania and Kentucky service territories, creating greater visibility into future infrastructure and generation investment opportunities.

The company estimates current economic development activity in its Pennsylvania and Kentucky service territories could present $10 billion to $12 billion of total investment upside through 2032 tied to generation needs. The estimated opportunity includes regulated generation investment to support growing demand in Kentucky, as well as PPL's ownership interest in generation development opportunities through Invitium Energy in Pennsylvania.

Pennsylvania

PPL Electric Utilities' data center pipeline grew to 31.8 gigawatts (GW) in advanced stages of planning in the second quarter, with over 11 GW under signed electric service agreements and more than 6.5 GW under construction. Importantly, PPL Electric Utilities has established a regulatory-approved tariff that includes strong protections for existing customers as large-load development expands. These protections help ensure that data centers and other large-load customers fund the infrastructure required to serve them, helping support continued affordability for existing customers while enabling economic development across the Commonwealth.

In Pennsylvania, Invitium Energy remains focused on building, owning and operating new generation to serve new data center demand under long-term energy supply services agreements (ESSAs). The joint venture has secured land sites capable of supporting 8 GW to 14 GW of new generation capacity, depending on the type of generation resources built, and it continues to develop and build its inventory of viable generation sites. PJM has accepted more than 5 GW of Invitium Energy generation interconnection requests, and the joint venture has secured reservation agreements for more than 5 GW of combined-cycle gas turbines.

The 5 GW of turbine capacity alone represents $12.5 billion to $15.0 billion of potential future investment opportunities at the joint-venture level through 2032. And Invitium Energy's continued progress positions the joint venture to move quickly upon signing ESSAs. Importantly, Invitium Energy will not begin construction or make material financial commitments until it has signed ESSAs with appropriate risk profiles or cost reimbursement agreements are in place. Based on progress to date, PPL expects to have one or more commercial agreements by the end of 2026.

PPL said it does not expect the earnings contributions from the joint venture to be material through 2030 but said batteries or other shorter-lead-time technologies could begin contributing earnings in 2029 or 2030, potentially enhancing PPL's projected earnings-per-share growth rate above the top end of the company's 6% to 8% range. The company would expect more meaningful earnings and cash flows when the combined-cycle gas turbines come online, which could be as early as the 2031 to 2032 timeframe.

Invitium Energy operates separately from PPL Electric Utilities, and PPL Electric Utilities customers are not funding these activities.

Kentucky

The potential economic development pipeline in the Louisville Gas and Electric Company (LG&E) and Kentucky Utilities Company (KU) service territories grew to 13.7 GW in the second quarter, of which 11.6 GW are tied to data center opportunities, with 1.3 GW under signed agreements.

PPL said the growing Kentucky project pipeline makes it more likely LG&E and KU will file a CPCN request by the end of 2026 to build additional generation beyond the 2.3 GW the utilities are already developing from prior CPCN approvals. The company estimates the additional generation represents $3.5 billion to $4.0 billion of incremental investment need between 2027 and 2032.

LG&E and KU also have established regulatory-approved large-load tariffs that include strong protection for their existing customers.

Second-Quarter 2026 Earnings Details

As discussed in this news release, reported earnings are calculated in accordance with U.S. Generally Accepted Accounting Principles (GAAP). "Earnings from ongoing operations" is a non-GAAP financial measure that is adjusted for special items. See the tables at the end of this news release for a reconciliation of reported earnings (net income) to earnings from ongoing operations, including an itemization of special items.

(Dollars in millions, except for per share amounts)

2nd Quarter

Year to Date

2026

2025

Change

2026

2025

Change

Reported earnings

$     230

$     183

26 %

$     682

$     597

14 %

Reported earnings per share

$    0.30

$    0.25

20 %

$    0.90

$    0.80

13 %

2nd Quarter

Year to Date

2026

2025

Change

2026

2025

Change

Earnings from ongoing operations

$     247

$     240

3 %

$     725

$     684

6 %

Earnings from ongoing operations per share

$    0.33

$    0.32

3 %

$    0.96

$    0.92

4 %

Second-Quarter 2026 Earnings by Segment

2nd Quarter

Year to Date

Per share

2026

2025

2026

2025

Reported earnings

Kentucky Regulated

$            0.18

$            0.17

$            0.53

$          0.47

Pennsylvania Regulated

0.17

0.19

0.42

0.44

Rhode Island Regulated

0.01

(0.02)

0.06

0.07

Corporate and Other

(0.06)

(0.09)

(0.11)

(0.18)

    Total

$            0.30

$            0.25

$            0.90

$          0.80

2nd Quarter

Year to Date

2026

2025

2026

2025

Special items (expense) benefit

Kentucky Regulated

$              —

$          (0.01)

$            0.02

$         (0.01)

Pennsylvania Regulated

(0.01)

—

(0.01)

—

Rhode Island Regulated

(0.02)

(0.03)

(0.06)

(0.04)

Corporate and Other

—

(0.03)

(0.01)

(0.07)

Total

$          (0.03)

$          (0.07)

$          (0.06)

$         (0.12)

2nd Quarter

Year to Date

2026

2025

2026

2025

Earnings from ongoing operations

Kentucky Regulated

$            0.18

$            0.18

$            0.51

$          0.48

Pennsylvania Regulated

0.18

0.19

0.43

0.44

Rhode Island Regulated

0.03

0.01

0.12

0.11

Corporate and Other

(0.06)

(0.06)

(0.10)

(0.11)

    Total

$            0.33

$            0.32

$            0.96

$          0.92

Key Factors Impacting Earnings

In addition to the segment drivers outlined below, PPL's reported earnings in the second quarter of 2026 included net special-item after-tax charges of $17 million, or $0.03 per share, primarily attributable to PPL's IT transformation and system integration impacts. Reported earnings in the second quarter of 2025 included net special-item after-tax charges of $57 million, or $0.07 per share, primarily attributable to PPL's IT transformation and integration-related expenses and adjustments associated with the acquisition of Rhode Island Energy.

Reported earnings in the first six months of 2026 included net special-item after-tax charges of $43 million or $0.06 per share, primarily attributable to prior-year impacts associated with an ISO New England transmission return on equity reduction and system integration impacts. Reported earnings in the first six months of 2025 included net special-item after-tax charges of $87 million, or $0.12 per share, primarily attributable to PPL's IT transformation and integration-related expenses and adjustments associated with the acquisition of Rhode Island Energy.

Kentucky Regulated Segment 

PPL's Kentucky Regulated segment primarily consists of the regulated electricity and natural gas operations of Louisville Gas and Electric Company and the regulated electricity operations of Kentucky Utilities Company.

Reported earnings in the second quarter of 2026 increased by $0.01 per share compared with a year ago. Earnings from ongoing operations in the second quarter of 2026 were flat compared with a year ago. Factors driving earnings results primarily included higher income due to higher retail rates effective January 1, 2026, offset by higher operating costs, higher depreciation expense and higher interest expense.

Reported earnings in the first six months of 2026 increased by $0.06 per share compared with a year ago. Earnings from ongoing operations in the first six months of 2026 increased by $0.03 per share compared with a year ago. Factors driving earnings results primarily included higher income due to higher retail rates effective January 1, 2026, and increased returns on capital investments, partially offset by lower sales volumes, higher operating costs, higher depreciation expense and higher interest expense.

Pennsylvania Regulated Segment

PPL's Pennsylvania Regulated segment consists of the regulated electricity delivery operations of PPL Electric Utilities.

Reported earnings in the second quarter of 2026 decreased by $0.02 per share compared with a year ago. Earnings from ongoing operations in the second quarter of 2026 decreased by $0.01 per share compared with a year ago. Factors driving earnings results primarily included higher depreciation expense and higher interest expense, partially offset by higher transmission revenue from additional capital investments.

Reported earnings in the first six months of 2026 decreased by $0.02 per share compared with a year ago. Earnings from ongoing operations in the first six months of 2026 decreased by $0.01 per share compared with a year ago. Factors driving earnings results primarily included higher operating costs, higher depreciation expense and higher interest expense, partially offset by higher transmission revenue from additional capital investments and higher sales volumes largely due to weather.

Rhode Island Regulated Segment

PPL's Rhode Island Regulated segment consists of the regulated electricity and natural gas operations of Rhode Island Energy.

Reported earnings in the second quarter of 2026 increased by $0.03 per share compared with a year ago. Earnings from ongoing operations in the second quarter of 2026 increased by $0.02 per share compared with a year ago. Factors driving earnings results primarily included lower operating costs and higher rider revenue, partially offset by higher depreciation expense.

Reported earnings in the first six months of 2026 decreased by $0.01 per share compared with a year ago. Earnings from ongoing operations in the first six months of 2026 increased by $0.01 per share compared with a year ago. Factors driving earnings results primarily included lower operating costs and higher rider revenue, partially offset by higher depreciation expense and higher interest expense.

Corporate and Other

PPL's Corporate and Other category primarily includes financing costs incurred at the corporate level, certain non-recoverable costs prior to 2026 resulting from commitments made to the Rhode Island Division of Public Utilities and Carriers and the Rhode Island Attorney General's Office in conjunction with the acquisition of Rhode Island Energy, and certain other unallocated costs.  

Reported earnings in the second quarter of 2026 increased by $0.03 per share compared with a year ago. Earnings from ongoing operations in the second quarter of 2026 were flat compared with a year ago. Factors driving earnings results primarily included higher interest expense, offset by factors that were not individually significant.

Reported earnings in the first six months of 2026 increased by $0.07 per share compared with a year ago. Earnings from ongoing operations in the first six months of 2026 increased by $0.01 per share compared with a year ago. Factors driving earnings results primarily included higher interest income and lower income taxes, partially offset by higher interest expense.

2026 Earnings Forecast

PPL's 2026 earnings from ongoing operations forecast range is $1.90 to $1.98 per share, with a midpoint of $1.94 per share.

Earnings from ongoing operations is a non-GAAP measure that could differ from reported earnings due to special items that are, in management's view, non-recurring or otherwise not reflective of the company's ongoing operations. PPL management is not able to forecast whether any of these factors will occur or whether any amounts will be reported for future periods. Therefore, PPL is not able to provide an equivalent GAAP measure for earnings guidance.

See the table at the end of this news release for a complete reconciliation of the earnings forecast.

About PPL

PPL Corporation (NYSE: PPL), headquartered in Allentown, Pennsylvania, is a leading U.S. energy company focused on providing electricity and natural gas safely, reliably and affordably to more than 3.6 million customers in the U.S. PPL's high-performing, award-winning utilities are addressing energy challenges head-on by building smarter, more resilient and more dynamic power grids and advancing sustainable energy solutions. For more information, visit www.pplweb.com.

(Note: All references to earnings per share in the text and tables of this news release are stated in terms of diluted earnings per share unless otherwise noted.)

Conference Call and Webcast

PPL invites interested parties to listen to a live internet webcast of management's teleconference with financial analysts about second-quarter 2026 financial results at 11 a.m. Eastern time on Friday, Aug. 7. The call will be webcast live, in audio format, together with slides of the presentation. For those who are unable to listen to the live webcast, a replay with slides will be accessible at www.pplweb.com/investors for 90 days after the call.

Interested individuals can access the live conference call by telephone at 1-844-512-2926. International participants should call 1-412-317-6300. Participants will need to enter the following "Elite Entry" number to join the conference: 4896257. Callers can access the webcast link at www.pplweb.com/investors under "Events."

Management utilizes "Earnings from Ongoing Operations" or "Ongoing Earnings" as a non-GAAP financial measure that should not be considered as an alternative to reported earnings, or net income, an indicator of operating performance determined in accordance with GAAP. PPL believes that Earnings from Ongoing Operations is useful and meaningful to investors because it provides management's view of PPL's earnings performance as another criterion in making investment decisions. In addition, PPL's management uses Earnings from Ongoing Operations in measuring achievement of certain corporate performance goals, including targets for certain executive incentive compensation. Other companies may use different measures to present financial performance.

Earnings from Ongoing Operations is adjusted for the impact of special items. Special items are presented in the financial tables on an after-tax basis with the related income taxes on special items separately disclosed. Income taxes on special items, when applicable, are calculated based on the statutory tax rate of the entity where the activity is recorded. Special items may include items such as:

Gains and losses on sales of assets not in the ordinary course of business. Impairment charges. Significant workforce reduction and other restructuring effects. Acquisition and divestiture-related adjustments. Other charges or credits that are, in management's view, non-recurring or otherwise not reflective of the company's ongoing operations. Statements contained in this news release, including statements with respect to future earnings, cash flows, dividends, financing, regulation and corporate strategy, are "forward-looking statements" within the meaning of the federal securities laws. Although PPL Corporation believes that the expectations and assumptions reflected in these forward-looking statements are reasonable, these statements are subject to a number of risks and uncertainties, and actual results may differ materially from the results discussed in the statements. The following are among the important factors that could cause actual results to differ materially from the forward-looking statements: weather conditions affecting customer energy usage and operating costs; strategic acquisitions, dispositions, joint ventures or similar transactions and our ability to consummate these business transactions, integrate the acquired entities or realize expected benefits from them; the outcome of rate cases or other cost recovery, revenue or regulatory proceedings; war, armed conflicts, terrorist attacks or similar disruptive events including ongoing conflicts in Ukraine and the Middle East; pandemic health events or other catastrophic events and their effect on financial markets, economic conditions and our businesses; market demand for energy in our service territories; volatility in or the impact of other changes on financial markets, commodity prices and economic conditions, including inflation; the effect of any business or industry restructuring; the profitability and liquidity of PPL Corporation and its subsidiaries; new accounting requirements or new interpretations or applications of existing requirements; operating performance of our facilities; the length of scheduled and unscheduled outages at our generating plants; environmental conditions and requirements and the related costs of compliance; system conditions and operating costs; development of new projects, markets and technologies; performance of new ventures; any impact of severe weather on our business; receipt of necessary government permits, approvals, rate relief and regulatory cost recovery; capital market conditions and decisions regarding capital structure; the impact of state, federal or foreign investigations applicable to PPL Corporation and its subsidiaries; the outcome of litigation against PPL Corporation and its subsidiaries; PPL Corporation's stock price performance; the market prices of equity securities and the impact on pension income and resultant cash funding requirements for defined benefit pension plans; the securities and credit ratings of PPL Corporation and its subsidiaries; political, regulatory or economic conditions in jurisdictions where PPL Corporation or its subsidiaries conduct business, including any potential effects of threatened or actual cyberattack, terrorism or war or other hostilities; new state, federal or foreign legislation, including new tax legislation; and the commitments and liabilities of PPL Corporation and its subsidiaries. Any such forward-looking statements should be considered in light of such important factors and in conjunction with factors and other matters discussed in PPL Corporation's Form 10-K and other reports on file with the Securities and Exchange Commission.

PPL CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED FINANCIAL INFORMATION(1)

Condensed Consolidated Balance Sheets (Unaudited)

(Millions of Dollars)

June 30,

December 31,

2026

2025

Assets

Cash and cash equivalents

$            332

$          1,071

Accounts receivable

1,248

1,225

Unbilled revenues

416

558

Fuel, materials and supplies

597

551

Regulatory assets

279

308

Other current assets

293

218

Property, Plant and Equipment

Regulated utility plant

44,248

42,953

Less: Accumulated depreciation - regulated utility plant

10,683

10,303

Regulated utility plant, net

33,565

32,650

Non-regulated property, plant and equipment

82

71

Less: Accumulated depreciation - non-regulated property, plant and equipment

26

26

Non-regulated property, plant and equipment, net

56

45

Construction work in progress

4,149

3,437

Property, Plant and Equipment, net

37,770

36,132

Noncurrent regulatory assets

2,148

2,092

Goodwill and other intangibles

2,578

2,574

Other noncurrent assets

640

515

Total Assets

$         46,301

$         45,244

Liabilities and Equity

Short-term debt

$             65

$            456

Long-term debt due within one year

469

904

Accounts payable

1,360

1,559

Other current liabilities

1,603

1,627

Long-term debt

19,789

17,990

Deferred income taxes and investment tax credits

3,776

3,615

Accrued pension obligations

262

281

Asset retirement obligations

109

133

Noncurrent regulatory liabilities

3,253

3,318

Other deferred credits and noncurrent liabilities

570

480

Common stock and additional paid-in capital

12,339

12,451

Treasury stock

(547)

(575)

Earnings reinvested

3,458

3,207

Accumulated other comprehensive loss

(205)

(202)

Total Liabilities and Equity

$         46,301

$         45,244

(1)

The Financial Statements in this news release have been condensed and summarized for purposes of this presentation. Please refer to PPL Corporation's periodic filings with the Securities and Exchange Commission for full financial statements, including note disclosure.

 PPL CORPORATION AND SUBSIDIARIES

 Condensed Consolidated Statements of Income (Unaudited)

(Millions of Dollars, except share data)

Three Months Ended
June 30,

Six Months Ended
June 30,

2026

2025

2026

2025

Operating Revenues

$     2,111

$     2,025

$     4,885

$     4,529

Operating Expenses

Operation

Fuel

195

192

469

426

Energy purchases

403

388

1,106

947

Other operation and maintenance

572

614

1,151

1,212

Depreciation

362

324

713

646

Taxes, other than income

104

101

226

214

Total Operating Expenses

1,636

1,619

3,665

3,445

Operating Income

475

406

1,220

1,084

Other Income (Expense) - net

43

23

82

51

Interest Expense

232

199

456

389

Income Before Income Taxes

286

230

846

746

Income Taxes

56

47

164

149

Net Income

$       230

$       183

$       682

$       597

Earnings Per Share of Common Stock:

Net Income Available to PPL Common Shareowners

Basic

$      0.31

$      0.25

$      0.91

$      0.81

Diluted

$      0.30

$      0.25

$      0.90

$      0.80

Weighted-Average Shares of Common Stock Outstanding (in thousands)

Basic

752,358

739,276

752,062

738,986

Diluted

757,225

742,541

757,193

741,972

 PPL CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Cash Flows (Unaudited)

(Millions of Dollars)

Six Months Ended June 30,

2026

2025

Cash Flows from Operating Activities

Net income

$          682

$          597

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

Depreciation

713

646

Amortization

65

49

Defined benefit plans - income

(7)

(30)

Deferred income taxes and investment tax credits

137

104

Equity component of AFUDC

(52)

(35)

Other

12

38

Change in current assets and current liabilities

Accounts receivable

(31)

(91)

Accounts payable

(192)

(167)

Unbilled revenues

138

63

Fuel, materials and supplies

(42)

13

Prepayments

(67)

(56)

Taxes payable

(72)

40

Regulatory assets and liabilities, net

(10)

64

Accrued interest

6

(5)

Other

(36)

(52)

Other operating activities

Defined benefit plans - funding

(8)

(7)

Other

(96)

(56)

Net cash provided by operating activities

1,140

1,115

Cash Flows from Investing Activities

Expenditures for property, plant and equipment

(2,339)

(1,723)

Other investing activities

(68)

10

Net cash used in investing activities

(2,407)

(1,713)

Cash Flows from Financing Activities

Issuance of long-term debt

2,046

—

Retirement of long-term debt

(668)

—

Payment of common stock dividends

(416)

(392)

Net increase (decrease) in short-term debt

(391)

983

Debt issuance costs

(38)

(5)

Other financing activities

(13)

(9)

Net cash provided by financing activities

520

577

Net Decrease in Cash, Cash Equivalents and Restricted Cash

(747)

(21)

Cash, Cash Equivalents and Restricted Cash at Beginning of Period

1,086

339

Cash, Cash Equivalents and Restricted Cash at End of Period

$          339

$          318

Supplemental Disclosures of Cash Flow Information

Significant non-cash transactions:

Accrued expenditures for property, plant and equipment at June 30,

$          612

$          450

Operating - Electricity Sales (Unaudited)(1)

Three Months Ended

June 30,

Six Months Ended
June 30,

Percent

Percent

(GWh)

2026

2025

Change

2026

2025

Change

PA Regulated Segment

Retail Delivered(2)

8,382

8,426

(0.5) %

18,696

18,569

0.7 %

KY Regulated Segment

Retail Delivered

6,958

7,043

(1.2) %

14,603

14,846

(1.6) %

Wholesale(3)

151

268

(43.7) %

459

707

(35.1) %

Total

7,109

7,311

(2.8) %

15,062

15,553

(3.2) %

Total

15,491

15,737

(1.6) %

33,758

34,122

(1.1) %

(1)

Excludes the Rhode Island Regulated segment electricity sales as revenues are decoupled from volumes delivered.

(2)

2025 includes estimated volumes for industrial customers that were not billed during the period.

(3)

Represents FERC-regulated municipal and unregulated off-system sales.

Reconciliation of Segment Reported Earnings to Earnings from Ongoing Operations

(After-Tax)

(Unaudited)

2nd Quarter 2026

(millions of dollars)

 KY

 PA

RI

 Corp.

 Reg.

 Reg.

Reg.

 & Other

 Total

Reported Earnings(1)

$       131

$       132

$        10

$       (43)

$       230

Less: Special Items (expense) benefit:

    IT transformation, net of tax of $0, $1, $1, $1(2)

(1)

(3)

(2)

(3)

(9)

    Customer system integration impacts, net of tax of $2(3)

—

—

(6)

—

(6)

    ISO-NE transmission rates ROE reduction, net of tax of $0(4)

—

—

(1)

—

(1)

    Safety transformation, net of tax of $0(5)

(1)

—

—

—

(1)

Total Special Items

(2)

(3)

(9)

(3)

(17)

Earnings from Ongoing Operations

$       133

$       135

$        19

$       (40)

$       247

(per share - diluted)

 KY

 PA

RI

 Corp.

 Reg.

 Reg.

Reg.

 & Other

 Total

Reported Earnings(1)

$      0.18

$      0.17

$      0.01

$     (0.06)

$      0.30

Less: Special Items (expense) benefit:

    IT transformation(2)

—

(0.01)

(0.01)

—

(0.02)

    Customer system integration impacts(3)

—

—

(0.01)

—

(0.01)

Total Special Items

—

(0.01)

(0.02)

—

(0.03)

Earnings from Ongoing Operations

$      0.18

$      0.18

$      0.03

$     (0.06)

$      0.33

(1)

Reported Earnings represents Net Income.

(2)

Costs associated with PPL's restructuring and rebuilding of its IT infrastructure, organization and systems.

(3)

Certain collection process costs incurred due to the timing and implementation of the customer system integration.

(4)

Prior period impact of an ISO New England transmission rates return on equity reduction.

(5)

Costs associated with an enterprise-wide safety transformation program.

Reconciliation of Segment Reported Earnings to Earnings from Ongoing Operations

(After-Tax)

(Unaudited)

Year-to-Date June 30, 2026

(millions of dollars)

 KY

 PA

RI

 Corp.

 Reg.

 Reg.

Reg.

 & Other

 Total

Reported Earnings(1)

$       401

$       316

$        46

$       (81)

$       682

Less: Special Items (expense) benefit:

    IT transformation, net of tax of ($5), $2, $1, $2(2)

15

(5)

(4)

(6)

—

    Customer system integration impacts, net of tax of $3(3) 

—

—

(13)

—

(13)

    ISO-NE transmission rates ROE reduction, net of tax of $5(4)

—

—

(20)

—

(20)

    Meter system integration impacts, net of tax of $2(5)

—

—

(9)

—

(9)

    Safety transformation, net of tax of $0(6)

(1)

—

—

—

(1)

Total Special Items

14

(5)

(46)

(6)

(43)

Earnings from Ongoing Operations

$       387

$       321

$        92

$       (75)

$       725

(per share - diluted)

 KY

 PA

RI

 Corp.

 Reg.

 Reg.

Reg.

 & Other

 Total

Reported Earnings(1)

$      0.53

$      0.42

$      0.06

$     (0.11)

$      0.90

Less: Special Items (expense) benefit:

    IT transformation(2)

0.02

(0.01)

—

(0.01)

—

    Customer system integration impacts(3)

—

—

(0.02)

—

(0.02)

    ISO-NE transmission rates ROE reduction(4)

—

—

(0.03)

—

(0.03)

    Meter system integration impacts(5)

—

—

(0.01)

—

(0.01)

Total Special Items

0.02

(0.01)

(0.06)

(0.01)

(0.06)

Earnings from Ongoing Operations

$      0.51

$      0.43

$      0.12

$     (0.10)

$      0.96

(1)

Reported Earnings represents Net Income.

(2)

Costs associated with PPL's restructuring and rebuilding of its IT infrastructure, organization and systems. Kentucky Regulated received regulatory asset treatment for 2025 costs.

(3)

Certain collection process costs incurred due to the timing and implementation of the customer system integration.

(4)

Prior period impact of an ISO New England transmission rates return on equity reduction.

(5)

Prior period impact of a meter data system integration post transition services agreement.

(6)

Costs associated with an enterprise-wide safety transformation program.

Reconciliation of Segment Reported Earnings to Earnings from Ongoing Operations

(After-Tax)

(Unaudited)

2nd Quarter 2025

(millions of dollars)

 KY

 PA

RI

 Corp.

 Reg.

 Reg.

Reg.

 & Other

 Total

Reported Earnings(1)

$       126

$       139

$       (17)

$       (65)

$       183

Less: Special Items (expense) benefit:

    Talen litigation costs, net of tax of ($1)(2)

—

—

—

4

4

    Acquisition integration, net of tax of $4(3)

—

—

—

(13)

(13)

    IT transformation, net of tax of $2, $1, $4(4)

(5)

—

(3)

(16)

(24)

    Energy efficiency programs settlement(5)

—

—

2

—

2

    Office relocation and related costs, net of tax of $0, $0(6)

(1)

(1)

—

—

(2)

    Post TSA adjustments, net of tax of $7(7)

—

—

(24)

—

(24)

Total Special Items

(6)

(1)

(25)

(25)

(57)

Earnings from Ongoing Operations

$       132

$       140

$         8

$       (40)

$       240

(per share - diluted)

 KY

 PA

RI

Corp.

 Reg.

 Reg.

Reg.

 & Other

 Total

Reported Earnings(1)

$      0.17

$      0.19

$     (0.02)

$     (0.09)

$      0.25

Less: Special Items (expense) benefit:

    Talen litigation costs(2)

—

—

—

0.01

0.01

    Acquisition integration(3)

—

—

—

(0.02)

(0.02)

    IT transformation(4)

(0.01)

—

—

(0.02)

(0.03)

    Post TSA adjustments(7)

—

—

(0.03)

—

(0.03)

Total Special Items

(0.01)

—

(0.03)

(0.03)

(0.07)

Earnings from Ongoing Operations

$      0.18

$      0.19

$      0.01

$     (0.06)

$      0.32

(1)

Reported Earnings represents Net Income.

(2)

PPL incurred legal expenses and received insurance reimbursement related to litigation associated with its former affiliate, Talen Montana, LLC and certain affiliated entities.

(3)

Primarily integration and related costs associated with the acquisition of Rhode Island Energy.

(4)

Costs associated with PPL's restructuring and rebuilding of its IT infrastructure, organization and systems.

(5)

Tax effect of costs associated with a settlement agreement regarding energy efficiency programs prior to PPL's acquisition of Rhode Island Energy.

(6)

Certain costs related to the relocation of corporate offices.

(7)

Adjustments related to account reconciliations and process alignment subsequent to the end of the transition services agreement associated with the acquisition of Rhode Island Energy.

Reconciliation of Segment Reported Earnings to Earnings from Ongoing Operations

(After-Tax)

(Unaudited)

Year-to-Date June 30, 2025

(millions of dollars)

 KY

 PA

RI

 Corp.

 Reg.

 Reg.

Reg.

 & Other

 Total

Reported Earnings(1)

$       349

$       323

$       53

$     (128)

$       597

Less: Special Items (expense) benefit:

    Talen litigation costs, net of tax of $1(2)

—

—

—

3

3

    Acquisition integration, net of tax of ($2), $7(3)

—

—

7

(27)

(20)

    IT transformation, net of tax of $2, $1, $7(4)

(6)

—

(4)

(26)

(36)

    Energy efficiency programs settlement, net of tax of $2(5)

—

—

(6)

—

(6)

    Office relocation and related costs, net of tax of $0, $0(6) 

(2)

(2)

—

—

(4)

    Post TSA adjustments, net of tax of $7(7)

—

—

(24)

—

(24)

Total Special Items

(8)

(2)

(27)

(50)

(87)

Earnings from Ongoing Operations

$       357

$       325

$       80

$       (78)

$       684

(per share - diluted)

 KY

 PA

RI

 Corp.

 Reg.

 Reg.

Reg.

 & Other

 Total

Reported Earnings(1)

$      0.47

$      0.44

$     0.07

$     (0.18)

$      0.80

Less: Special Items (expense) benefit:

    Acquisition integration(3)

—

—

0.01

(0.04)

(0.03)

    IT transformation(4)

(0.01)

—

(0.01)

(0.03)

(0.05)

    Energy efficiency programs settlement(5)

—

—

(0.01)

—

(0.01)

    Post TSA adjustments(7)

—

—

(0.03)

—

(0.03)

Total Special Items

(0.01)

—

(0.04)

(0.07)

(0.12)

Earnings from Ongoing Operations

$      0.48

$      0.44

$     0.11

$     (0.11)

$      0.92

(1)

Reported Earnings represents Net Income.

(2)

PPL incurred legal expenses and received insurance reimbursement related to litigation associated with its former affiliate, Talen Montana, LLC and certain affiliated entities.

(3)

Rhode Island Regulated primarily includes a transition services settlement agreement. Corporate and Other primarily includes integration and related costs associated with the acquisition of Rhode Island Energy.

(4)

Costs associated with PPL's restructuring and rebuilding of its IT infrastructure, organization and systems.

(5)

Costs associated with a settlement agreement regarding energy efficiency programs prior to PPL's acquisition of Rhode Island Energy.

(6)

Certain costs related to the relocation of corporate offices.

(7)

Adjustments related to account reconciliations and process alignment subsequent to the end of the transition services agreement associated with the acquisition of Rhode Island Energy.

Reconciliation of PPL's Earnings Forecast

After-Tax (Unaudited)

(per share - diluted)

2026 Forecast Range

Midpoint

High

Low

Estimate of Reported Earnings

$    1.88

$    1.92

$    1.84

Less: Special Items (expense) benefit:(1)

    Customer system integration impacts(2)

(0.02)

(0.02)

(0.02)

    ISO-NE transmission rates ROE reduction(3)

(0.03)

(0.03)

(0.03)

    Meter system integration impacts(4)

(0.01)

(0.01)

(0.01)

Total Special Items

(0.06)

(0.06)

(0.06)

Forecast of Earnings from Ongoing Operations

$    1.94

$    1.98

$    1.90

(1)

Reflects only special items recorded through June 30, 2026. PPL is not able to forecast special items for future periods.

(2)

Certain collection process costs incurred due to the timing and implementation of the customer system integration.

(3)

Prior period impact of an ISO New England transmission rates return on equity reduction.

(4)

Prior period impact of a meter data system integration post transition services agreement.

Contacts:
For news media: Ryan Hill, 610-774-4033
For financial analysts: Andy Ludwig, 610-774-3389

SOURCE PPL Services Corporation

Validation demonstrates QCIM core IP can accelerate FIPS 203, 204 and 205 under demanding operating conditions, advancing next-generation hardware for military, industrial, automotive, IoT, Physical AI and connected infrastructure

, /PRNewswire/ -- BTQ Technologies Corp. ("BTQ" or the "Company") (Nasdaq: BTQ) (CBOE CA: BTQ), a global technology company building the trust infrastructure for the quantum era, is pleased to announce the successful completion of the first milestone of its multi-year collaboration with the Industrial Technology Research Institute ("ITRI") to validate BTQ's Quantum Compute-in-Memory ("QCIM") architecture for post-quantum cryptography.

The collaboration with ITRI forms part of the global QCIM chip roadmap led by BTQ and ICTK Co., Ltd. ("ICTK") (KOSDAQ: 456010). The program brings together BTQ's cryptographic architecture, ICTK's secure semiconductor and physical unclonable function capabilities, and ITRI's advanced semiconductor design, integration and validation expertise.

Completion of the first milestone demonstrated the QCIM architecture's ability to accurately and efficiently accelerate cryptographic operations across demanding operating conditions evaluated during the program. The results support the continued development of next-generation QCIM technology designed for future integration across military, industrial, automotive, Internet of Things, Physical AI and other connected devices, systems and infrastructure.

The QCIM core IP demonstrated its crypto-agility by executing cryptographic operations associated with FIPS 203, FIPS 204 and FIPS 205, the post-quantum cryptography standards established by the U.S. National Institute of Standards and Technology. The architecture is also being developed to support additional post-quantum cryptographic algorithms as standards, customer requirements and security environments evolve.

Milestone Highlights

Completed the first technical milestone of BTQ and ITRI's multi-year QCIM collaboration Validated the QCIM core within a TSMC 28-nanometre design environment Demonstrated acceleration of cryptographic operations associated with FIPS 203, 204 and 205 Confirmed the functional correctness and feasibility of the QCIM architecture Demonstrated performance advantages and crypto-agility across multiple post-quantum algorithms Advanced the program into its next phase of module-level integration, verification and validation "This milestone is an important technical and commercial step in the global QCIM roadmap being led by BTQ and ICTK," said Olivier Roussy Newton, CEO and Chairman of BTQ Technologies. "The results demonstrate that the QCIM architecture can accurately and efficiently accelerate multiple NIST-standardized post-quantum cryptographic algorithms under demanding conditions while maintaining the flexibility required to respond to evolving security standards. As post-quantum security moves from standardization toward implementation, organizations will require hardware that can deliver stronger cryptographic protection without creating unacceptable performance, power or deployment constraints," continued Roussy Newton. "The work completed with ITRI provides a stronger foundation for integrating QCIM into the devices and infrastructure supporting military, industrial, automotive, IoT and Physical AI systems."

QCIM is BTQ's soft IP cryptographic accelerator architecture designed to support both classical and post-quantum cryptographic functions in a compact, low-power block. By executing cryptographic operations inside the memory subsystem, QCIM is designed to reduce latency, power consumption, and data movement while supporting crypto-agile security across a range of chip architectures and connected devices.

The next-generation QCIM quantum-security chip is being developed for use across IoT, AI devices, industrial systems, secure elements, edge devices, and other connected infrastructure where device authentication, security performance, and long-term cryptographic resilience are becoming increasingly important.

The program will now advance into its next phase, focused on module-level integration, verification and validation. This phase is intended to further evaluate how the QCIM core can be incorporated into broader system architectures while preserving functional correctness, interoperability and performance.

For BTQ, completion of the first milestone represents an important step in advancing QCIM from architectural development toward commercial evaluation. Independent validation of the core design reduces technical risk and provides a stronger foundation for system-level integration, prospective customer demonstrations and discussions with semiconductor, infrastructure and device partners. The next phase is intended to generate the additional verification and integration data required to assess product configurations, customer-specific applications and the appropriate pathway toward fabrication and deployment. While further development remains, the milestone strengthens BTQ's ability to move QCIM commercialization efforts forward based on demonstrated technical performance rather than design assumptions.

"This milestone demonstrates meaningful progress in validating compute-in-memory architectures for post-quantum cryptography," said Dr. Chih-Cheng Lu, Manager of ITRI's Electronic and Optoelectronic System Research Laboratories. "The next phase will build on these results through module-level integration and verification, helping advance the architecture toward broader system implementation."

BTQ intends to evaluate subsequent fabrication, demonstration and customer-evaluation activities based on the results of the integration and verification program, foundry availability, prospective customer requirements and broader commercial opportunities.

Backed by ICTK's secure chip capabilities and ITRI's validation results, BTQ expects to ship test chips to key customers and strategic partners by year-end for performance and functional validation.

About ITRI
The Industrial Technology Research Institute (ITRI) is a world-leading R&D organization dedicated to innovating a better future. Founded in 1973, ITRI has played a vital role in transforming Taiwan's industries from labor-intensive into innovation-driven. Over the years, ITRI has incubated hundreds of startups and spinoffs, including well-known companies such as UMC and TSMC. Headquartered in Taiwan, ITRI also operates offices in the U.S., Germany, the UK, Japan, and Thailand. For more information, please visit https://www.itri.org/eng 

About BTQ
BTQ Technologies Corp. (Nasdaq: BTQ | Cboe CA: BTQ) is a quantum technology company focused on accelerating the transition from classical networks to the quantum internet. Backed by a broad patent portfolio and deep technical expertise, BTQ is developing a full-stack, neutral-atom quantum computing platform spanning hardware, middleware, and post-quantum security solutions for finance, telecommunications, logistics, life sciences, and defense.

Connect with BTQ: Website | LinkedIn | X/Twitter

ON BEHALF OF THE BOARD OF DIRECTORS
Olivier Roussy Newton
CEO, Chairman

Neither Cboe Canada nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

Forward Looking Information

Certain statements herein contain forward-looking statements and forward-looking information within the meaning of applicable securities laws. Such forward-looking statements or information include but are not limited to statements or information with respect to: BTQ's collaboration with ITRI; the global QCIM chip roadmap; next generation QCIM technologies; the development, advancement, commercialization, integration, and timing of QCIM and its core IP and demonstrations and discussions thereof; the anticipated shipment of test chips to customers and strategic partners, including the expected timing thereof; and the business plans of the Company, including with respect to its research partnerships. Forward-looking statements or information often can be identified by the use of words such as "anticipate", "intend", "expect", "plan" or "may" and the variations of these words are intended to identify forward-looking statements and information.

The Company has made numerous assumptions including among other things, assumptions about successful completion of future integration, verification and validation activities, continued collaboration among BTQ, ICTK and ITRI, availability of foundry capacity and semiconductor development resources, continued demand for post-quantum security technologies, successful development of QCIM technology, successful fabrication and testing of future QCIM chips, customer interest in evaluating QCIM solutions, availability of technical, financial and commercial resources required to advance commercialization, general business and economic conditions, the development of post-quantum algorithms and quantum vulnerabilities, and quantum computing industry generally. The foregoing list of assumptions is not exhaustive.

Although management of the Company believes that the assumptions made and the expectations represented by such statements or information are reasonable, there can be no assurance that forward-looking statements or information herein will prove to be accurate. Forward-looking statements and information are based on assumptions and involve known and unknown risks which may cause actual results to be materially different from any future results, expressed or implied, by such forward-looking statements or information. These factors include risks relating to: future integration, verification or validation activities; the performance of QCIM technology; fabrication, testing or deployment activities; foundry availability, semiconductor supply chains or development timelines; customer evaluations; commercialization efforts; the availability of financing for the Company; business and economic conditions in the post-quantum and encryption computing industries generally; the speculative nature of the Company's research and development programs; the supply and demand for labour and technological post-quantum and encryption technology; unanticipated events related to regulatory and licensing matters and environmental matters; changes in general economic conditions or conditions in the financial markets; changes in laws (including regulations respecting blockchains); risks related to the direct and indirect impact of COVID-19 including, but not limited to, its impact on general economic conditions, the ability to obtain financing as required, and causing potential delays to research and development activities; and other risk factors as detailed from time to time. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

SOURCE BTQ Technologies Corp.

MEMPHIS, Tenn.--(BUSINESS WIRE)--Sylvamo (NYSE: SLVM), the world’s paper company, is releasing second quarter earnings. The company will host an audio webcast at 10 a.m. EDT at investors.sylvamo.com.

Management Summary from Chief Executive Officer John Sims

Our second quarter highlights include implementing uncoated freesheet price increases with our customers across all regions. We’re advancing our lean transformation journey to embed continuous improvement into how we run the business, so performance improvement becomes employee-driven, systematic and self-sustaining. Our teams also continue to make good progress on our high-return strategic investments at our Eastover, South Carolina, mill.

2026 is a transition year as we adjust our North America footprint while working through the termination of the Riverdale supply agreement with International Paper (NYSE: IP), changing tariffs and the extended outage to complete our strategic investments at our Eastover mill. Our commercial and supply chain teams have done an outstanding job to ensure our customers are well served.

Our strategic investments at Eastover continue to progress:

The woodyard modernization project is going well, with the hardwood line yielding improved reliability and chip quality since its startup in May. The softwood operation remains on schedule for the first quarter of 2027. The paper machine optimization project remains on schedule, on budget and is expected to be completed during a planned maintenance outage in the fourth quarter, which will add an additional 60,000 short tons of uncoated freesheet capacity annually. The new cutsize sheeter passed equipment acceptance testing in June, arrived in the U.S. a few weeks ago and teams are preparing for installation. We are expanding warehouse capacity at our existing sheeting plant through a sale-leaseback transaction with a third party. The project will reduce supply chain costs, improve service to our customers and provide additional flexibility. We expect this project to be completed in the first quarter of 2027. In the second quarter, Sylvamo generated a net loss of $11 million and adjusted EBITDA* of $60 million. Cash from continuing operations was $38 million, and free cash flow* was negative $23 million. In the last few years, we generated most of our free cash flow in the second half, and we expect to do so again this year.

Overall, we expect a much better earnings performance for the last six months of the year as price and mix, volume and operations should be better compared to the first half.

Our board of directors declared a $0.45 dividend for the third quarter, which we paid July 28.

-Regional Business Conditions

In Europe, pulp prices improved throughout the first half of the year and seem stable. We continue to realize previously communicated price increases and announced another price increase effective in mid-June, which we expect to realize through the third quarter. In Latin America, we expect seasonally higher demand through the second half of the year, positively impacting volume and geographic mix. We continue to realize previously communicated price increases to export customers across other Latin American countries as well as customers in the Middle East and Africa. Realization of these increases should continue through the third quarter. In North America, industry supply and demand dynamics improved as roughly 7% of the annual uncoated freesheet industry supply was removed with the Riverdale paper machine conversion. In the second quarter, we saw imports into North America increase compared to the previous quarter, a reaction to the 10% global tariff window. We also continue to realize previously communicated paper price increases and expect to see additional realization through the third quarter. We expect the Middle East conflict to continue pressuring energy, chemical and transportation costs across our regions as we go through the year.

-Looking Ahead

We continue to execute in the six areas I outlined in my letter to shareowners earlier this year that define how Sylvamo will be legendary for the way we relentlessly pursue and achieve world-class excellence. These areas are safety and well-being, employee engagement, customer centricity, operational excellence, cost leadership and sustainability, all of which support our long-term value creation strategy for shareowners.

We will make disciplined, data-driven decisions that position us for sustainable success and strengthen Sylvamo for decades to come. As industry conditions turn, our capital spending normalizes and the benefits from our investments begin to materialize, we have the potential to generate annually:

> $300 million in free cash flow > 15% return on invested capital Earnings Webcast

The company will host an audio webcast at 10 a.m. EDT at investors.sylvamo.com.

To participate in Q&A, use the analyst registration to receive a unique passcode.

Replays will be available at investors.sylvamo.com for one year.

About Sylvamo

Sylvamo Corporation (NYSE: SLVM) is the world's paper company with mills in Europe, Latin America and North America. Our vision is to be the employer, supplier and investment of choice. We transform renewable resources into papers that people depend on for education, communication and entertainment. Headquartered in Memphis, Tennessee, we employ more than 6,500 colleagues. Net sales for 2025 were $3.4 billion. For more information, please visit Sylvamo.com.

Select Financial Measures

  (In millions)

Second
Quarter
2026

First
Quarter
2026

Second
Quarter
2025

Net Sales

$

806

$

755

$

794

Net Income (Loss)

(11

)

(3

)

15

Business Segment Operating Profit (Loss)

14

(15

)

30

Adjusted Operating Earnings (Loss)

1

(21

)

15

Adjusted EBITDA

60

29

82

Cash Provided By (Used For) Operating Activities

38

(10

)

64

Free Cash Flow

(23

)

(59

)

(2

)

Segment Information

Sylvamo uses business segment operating profit (loss) to measure the earnings performance of its businesses, see definition within “Non-GAAP Financial Measures”. Second quarter 2026 sales by business segment and operating profit (loss) by business segment compared with the first quarter of 2026 and the second quarter of 2025 are as follows:

Business Segment Results

  (In millions)

Second
Quarter
2026

First
Quarter
2026

Second
Quarter
2025

Sales by Business Segment

Europe

$

197

$

190

$

181

Latin America

219

187

207

North America

411

390

419

Inter-segment Sales

(21

)

(12

)

(13

)

Net Sales

$

806

$

755

$

794

Operating Profit (Loss) by Business Segment

Europe

$

(20

)

$

(44

)

$

(38

)

Latin America

(16

)

4

2

North America

50

25

66

Business Segment Operating Profit (Loss)

$

14

$

(15

)

$

30

Operating profits in the second quarter of 2026:

Europe - $(20) million compared with $(44) million in the first quarter of 2026. Losses were lower due to higher sales price and mix and lower operating and input costs which were partially offset by higher planned maintenance outages.

Latin America - $(16) million compared with $4 million in the first quarter of 2026. Earnings were lower due to higher planned maintenance outages and higher input costs which were partially offset by higher sales price and mix and higher volumes.

North America - $50 million compared with $25 million in the first quarter of 2026. Earnings were higher due to higher sales price and mix and lower operating and input costs which were slightly offset higher planned maintenance outages.

Effective Tax Rate

The reported effective tax rate for the second quarter of 2026 was 1200%, compared to 50% for the first quarter of 2026. The higher rate for the second quarter was primarily driven by a $12 million valuation allowance on certain foreign deferred tax assets which will not expected to be realized due to a planned internal merger.

The effective operational tax rate for the second quarter of 2026 was 80%, compared with 13% for the first quarter of 2026.

The effective operational tax rate is a non-GAAP financial measure and is calculated by adjusting the income tax provision (benefit) and rate to exclude the tax effect at the applicable statutory rate of net special items and the impact of foreign exchange on an intercompany note receivable from our Brazilian subsidiary. Management believes that this presentation provides useful information to investors by providing a more meaningful comparison of the income tax rate between past and present periods.

Effects of Net Special Items

Net special items in the second quarter of 2026 amounted to a net after-tax charge of $13 million ($0.34 per diluted share), compared with a net after-tax charge of $1 million ($0.03 per diluted share) in the first quarter of 2026.

Non-GAAP Financial Measures

Adjusted Operating Earnings (Loss) (non-GAAP) are net income (loss) (GAAP) plus the impact of foreign exchange on an intercompany note receivable from our Brazilian subsidiary, and, when applicable for the periods reported, net special items. Management uses this measure to focus on ongoing operations and believes it is useful to investors because it enables them to perform meaningful comparisons of past and present operating results. The Company believes that using this information, along with net income (loss), provides for a more complete analysis of the results of operations. Net income (loss) is the most directly comparable GAAP measure. For more information regarding net special items, see the information under the heading Effects of Net Special Items and the Consolidated Statement of Operations and related notes included later in this release.

Adjusted EBITDA (non-GAAP) is net income (loss) (GAAP) plus the sum of income taxes, net interest expense, depreciation, amortization and cost of timber harvested, stock-based compensation, the impact of foreign exchange on an intercompany note receivable from our Brazilian subsidiary, and, when applicable for the periods reported, net special items. Management uses these measures in managing the operating performance of our business and believes that adjusted EBITDA along with adjusted EBITDA margin provide investors and analysts meaningful insights into our operating performance and is a relevant metric for the third-party debt. Adjusted EBITDA is reconciled to net income (loss), the most directly comparable GAAP measure. Adjusted EBITDA margin (adjusted EBITDA divided by net sales) is reconciled to net income (loss) margin (net income (loss) divided by net sales), the most directly comparable GAAP measure. For more information regarding net special items, see the information under the heading Effects of Net Special Items and the Consolidated Statement of Operations and related notes included later in this release.

Business Segment Operating Profit (Loss) (non-GAAP) is net income (loss) (GAAP) plus the sum of income taxes, net interest expense, the impact of foreign exchange on an intercompany note receivable from our Brazilian subsidiary, and, when applicable for the periods reported, net special items. We believe that business segment operating profit (loss) is an important indicator of operating performance as it is a measure reported to our management for purposes of making decisions about allocating resources to our business segments and assessing the performance of our business segments. For more information regarding net special items, see the information under the heading Effects of Net Special Items and the Consolidated Statement of Operations and related notes included later in this release.

Free Cash Flow is a non-GAAP measure and the most directly comparable GAAP measure is cash provided by operating activities. Management utilizes this measure in connection with managing our business and believes that Free Cash Flow is useful to investors as a liquidity measure because it measures the amount of cash generated that is available, after reinvesting in the business, to maintain a strong balance sheet and service debt, and return cash to shareowners. It should not be inferred that the entire Free Cash Flow amount is available for discretionary expenditures. Free Cash Flow also enables investors to perform meaningful comparisons between past and present periods.

Forward-Looking Statements

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including the information under the heading "Management Summary from Chief Executive Officer John Sims." Any or all forward-looking statements may turn out to be incorrect, and our actual actions and results could differ materially from what they express or imply, because they involve known and unknown risks, uncertainties and other factors, many of which are beyond our control. These risks, uncertainties, and other factors include those disclosed in the heading "Risk Factors" in our Annual Report on Form 10-K for the year ended Dec. 31, 2025, filed with the U.S. Securities and Exchange Commission (SEC) and in our subsequent filings with the SEC, available on our website, Sylvamo.com. These forward-looking statements reflect our current expectations, and we undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.

SYLVAMO CORPORATION

Consolidated Statement of Operations

Preliminary and Unaudited

(In millions, except per share amounts)

  Three Months Ended
June 30,

Three Months Ended
March 31,

Six Months Ended
June 30,

2026

2025

2026

2026

2025

NET SALES

$

806

$

794

$

755

$

1,561

$

1,615

COSTS AND EXPENSES

Cost of products sold (exclusive of depreciation, amortization and cost of timber harvested shown separately below)

674

640

(d)

630

1,304

1,302

(d)

Selling and administrative expenses

69

(a)

72

73

(g)

142

(a)

145

(f)

Depreciation, amortization and cost of timber harvested

43

45

41

84

85

Taxes other than payroll and income taxes

8

7

8

16

11

Interest expense, net

11

(b)

10

(e)

9

20

(b)

19

(e)

INCOME (LOSS) BEFORE INCOME TAXES

1

20

(6

)

(5

)

53

Income tax provision (benefit)

12

(c)

5

(3

)

9

(c)

11

NET INCOME (LOSS)

$

(11

)

$

15

$

(3

)

$

(14

)

$

42

EARNINGS (LOSS) PER SHARE

Basic

$

(0.28

)

$

0.37

$

(0.08

)

$

(0.35

)

$

1.03

Diluted

$

(0.28

)

$

0.37

$

(0.08

)

$

(0.35

)

$

1.02

Average Shares of Common Stock Outstanding - Diluted

40

41

40

40

41

The accompanying notes are an integral part of this consolidated statement of operations.

Three and Six Months Ended June 30, 2026

(a)

Includes a pre-tax charge of $4 million ($3 million after taxes) for professional and legal fees and a pre-tax gain of $1 million ($0 million after tax) related to environmental reserves in Brazil for the three and six months ended June 30, 2026, and a pre-tax loss of $1 million ($1 million after taxes) for other charges for the six months ended June 30, 2026.

(b)

Includes a pre-tax charge of $2 million ($1 million after taxes) related to debt extinguishment costs for the three and six months ended June 30, 2026.

(c)

Includes $9 million in tax expense related to a change in valuation allowances for certain deferred tax assets for the three and six months ended June 30, 2026.

Three and Six Months Ended June 30, 2025

(d)

Includes a pre-tax gain of $1 million ($1 million after taxes) for the three and six months ended June 30, 2025, to adjust the recognition of a foreign value-added tax refund in Brazil.

(e)

Includes a pre-tax charge of $1 million ($1 million after taxes) of interest expense related to tax settlements for the three and six months ended June 30, 2025.

(f)

Includes a pre-tax loss of $1 million ($1 million after taxes) related to the termination of the Georgetown mill offtake agreement and a pre-tax loss of $1 million ($0 million after taxes) related to environmental reserves in Brazil for the six months ended June 30, 2025.

Three Months Ended March 31, 2026

(g)

Includes a pre-tax loss of $1 million ($1 million after taxes) for other charges.

SYLVAMO CORPORATION

Reconciliation of Net Income (Loss) to Adjusted Operating Earnings (Loss)

Preliminary and Unaudited

(In millions, except per share amounts)

  Three Months Ended
June 30,

Three Months Ended
March 31,

Six Months Ended
June 30,

2026

2025

2026

2026

2025

Net Income (Loss)

$

(11

)

$

15

$

(3

)

$

(14

)

$

42

Add back: Net special items expense

13

—

1

14

1

Add back: Foreign exchange gain on intercompany note

(1

)

—

(19

)

(20

)

—

Adjusted Operating Earnings (Loss)

$

1

$

15

$

(21

)

$

(20

)

$

43

Three Months Ended
June 30,

Three Months Ended
March 31,

Six Months Ended
June 30,

2026

2025

2026

2026

2025

Diluted Earnings (Loss) Per Common Share as Reported

$

(0.28

)

$

0.37

)

$

(0.08

)

$

(0.35

)

$

1.02

)

Add back: Net special items expense

0.34

—

0.03

0.35

0.02

Add back: Foreign exchange gain on intercompany note

(0.03

)

—

(0.48

)

(0.50

)

—

Adjusted Operating Earnings (Loss) Per Share

$

0.03

$

0.37

$

(0.53

)

$

(0.50

)

$

1.04

SYLVAMO CORPORATION

Sales and Operating Profit (Loss) by Business Segment

Preliminary and Unaudited

(In millions)

Sales by Business Segment

  Three Months Ended
June 30,

Three Months Ended
March 31,

Six Months Ended
June 30,

2026

2025

2026

2026

2025

Europe

$

197

$

181

$

190

$

387

$

371

Latin America

219

207

187

406

406

North America

411

419

390

801

857

Inter-segment Sales

(21

)

(13

)

(12

)

(33

)

(19

)

Net Sales

$

806

$

794

$

755

$

1,561

$

1,615

Reconciliation of Net Income (Loss) to Business Segment Operating Profit (Loss)

  Three Months Ended
June 30,

Three Months Ended
March 31,

Six Months Ended
June 30,

2026

2025

2026

2026

2025

Net Income (Loss)

$

(11

)

$

15

$

(3

)

$

(14

)

$

42

Income tax provision (benefit)

12

(a)

5

(3

)

9

(a)

11

Interest expense, net

11

(b)

10

(d)

9

20

(b)

19

(d)

Foreign exchange gain on intercompany note

(1

)

—

(19

)

(20

)

—

Net special items expense

3

(c)

—

(e)

1

(f)

4

(c)

2

(e)

Business Segment Operating Profit (Loss)

$

14

$

30

$

(15

)

$

(1

)

$

74

Europe

$

(20

)

$

(38

)

$

(44

)

$

(64

)

$

(62

)

Latin America

(16

)

2

4

(12

)

28

North America

50

66

25

75

108

Business Segment Operating Profit (Loss)

$

14

$

30

$

(15

)

$

(1

)

$

74

Three and Six Months Ended June 30, 2026

(a)

Includes $9 million in tax expense related to a change in valuation allowances for certain deferred tax assets for the three and six months ended June 30, 2026.

(b)

Includes a pre-tax charge of $2 million ($1 million after taxes) related to debt extinguishment costs for the three and six months ended June 30, 2026.

(c)

Includes a pre-tax charge of $4 million ($3 million after taxes) for professional and legal fees and a pre-tax gain of $1 million ($0 million after tax) related to environmental reserves in Brazil for the three and six months ended June 30, 2026, and a pre-tax loss of $1 million ($1 million after taxes) for other charges for the six months ended June 30, 2026.

Three and Six Months Ended June 30, 2025

(d)

Includes a pre-tax charge of $1 million ($1 million after taxes) of interest expense related to tax settlements for the three and six months ended June 30, 2025.

(e)

Includes a pre-tax gain of $1 million ($1 million after taxes) for the three and six months ended June 30, 2025, to adjust the recognition of a foreign value-added tax refund in Brazil. Also includes a pre-tax loss of $1 million ($1 million after taxes) related to the termination of the Georgetown mill offtake agreement and a pre-tax loss of $1 million ($0 million after taxes) related to environmental reserves in Brazil for the six months ended June 30, 2025.

Three Months Ended March 31, 2026

(f)

Includes a pre-tax loss of $1 million ($1 million after taxes) for other charges.

SYLVAMO CORPORATION

Adjusted EBITDA by Business Segment

Preliminary and Unaudited

(In millions)

Reconciliation of Net Income (Loss) to Adjusted EBITDA

  Three Months Ended
June 30,

Three Months Ended
March 31,

Six Months Ended
June 30,

2026

2025

2026

2026

2025

Net Income (Loss)

$

(11

)

$

15

$

(3

)

$

(14

)

$

42

Adjustments:

Income tax provision (benefit)

12

5

(3

)

9

11

Interest expense, net

11

10

9

20

19

Depreciation, amortization and cost of timber harvested

43

45

41

84

85

Stock-based compensation

3

7

3

6

13

Foreign exchange gain on intercompany note

(1

)

—

(19

)

(20

)

—

Net special items expense

3

—

1

4

2

Adjusted EBITDA

$

60

$

82

$

29

$

89

$

172

Net Sales

$

806

$

794

$

755

$

1,561

$

1,615

Net Income Margin

(1

)%

2

%

0

%

(1

)%

3

%

Adjusted EBITDA Margin

7

%

10

%

4

%

6

%

11

%

Adjusted EBITDA by Business Segment

  Three Months Ended
June 30,

Three Months Ended
March 31,

Six Months Ended
June 30,

2026

2025

2026

2026

2025

Adjusted EBITDA

Europe

$

(12

)

$

(30

)

$

(36

)

$

(48

)

$

(45

)

Latin America

9

27

26

35

73

North America

63

85

39

102

144

Total Business Segment Adjusted EBITDA

$

60

$

82

$

29

$

89

$

172

Sales (excluding inter-segment sales eliminations)

Europe

$

197

$

181

$

190

$

387

$

371

Latin America

219

207

187

406

406

North America

411

419

390

801

857

Total Business Segment Sales

$

827

$

807

$

767

$

1,594

$

1,634

Adjusted EBITDA Margin

Europe

(6

)%

(17

)%

(19

)%

(12

)%

(12

)%

Latin America

4

%

13

%

14

%

9

%

18

%

North America

15

%

20

%

10

%

13

%

17

%

SYLVAMO CORPORATION

Consolidated Balance Sheet

Preliminary and Unaudited

(In millions)

  June 30,
2026

December 31,
2025

ASSETS

Current Assets

Cash and temporary investments

$

123

$

135

Accounts and notes receivable, net

366

424

Contract assets

26

19

Inventories

503

418

Other current assets

89

80

Total Current Assets

1,107

1,076

Plants, Properties and Equipment, net

1,093

1,047

Forestlands

393

364

Goodwill

121

114

Right of Use Assets

60

48

Deferred Charges and Other Assets

101

114

TOTAL ASSETS

$

2,875

$

2,763

LIABILITIES AND EQUITY

Current Liabilities

Accounts payable

$

422

$

381

Notes payable and current maturities of long-term debt

121

90

Accrued payroll and benefits

52

55

Other current liabilities

157

190

Total Current Liabilities

752

716

Long-Term Debt

843

763

Deferred Income Taxes

171

175

Other Liabilities

154

143

Equity

Common stock $1.00 par value, 200.0 shares authorized, 46.0 shares and 45.6 shares issued and 39.8 shares and 39.4 shares outstanding at June 30, 2026 and December 31, 2025, respectively

46

46

Paid-in capital

97

89

Retained earnings

2,464

2,514

Accumulated other comprehensive loss

(1,316

)

(1,353

)

1,291

1,296

Less: Common stock held in treasury, at cost, 6.2 shares and 6.2 shares at June 30, 2026 and December 31, 2025, respectively

(336

)

(330

)

Total Equity

955

966

TOTAL LIABILITIES AND EQUITY

$

2,875

$

2,763

SYLVAMO CORPORATION

Consolidated Statement of Cash Flows

Preliminary and Unaudited

(In millions)

  Six Months Ended June 30,

2026

2025

OPERATING ACTIVITIES

Net income (loss)

$

(14

)

$

42

Adjustments to reconcile net income (loss) to cash provided by operating activities:

Depreciation, amortization, and cost of timber harvested

84

85

Deferred income tax provision (benefit), net

—

(5

)

Stock-based compensation

6

13

Foreign exchange gain on intercompany note

(20

)

—

Changes in operating assets, liabilities and other:

Accounts and notes receivable

65

77

Inventories

(76

)

—

Accounts payable and accrued liabilities

(2

)

(79

)

Other

(15

)

(46

)

CASH PROVIDED BY OPERATING ACTIVITIES

28

87

INVESTMENT ACTIVITIES

Invested in capital projects

(110

)

(114

)

Other

1

—

CASH USED FOR INVESTMENT ACTIVITIES

(109

)

(114

)

FINANCING ACTIVITIES

Dividends paid

(36

)

(36

)

Issuance of debt

571

48

Reduction of debt

(469

)

(40

)

Repurchases of common stock

—

(40

)

Other

2

(8

)

CASH PROVIDED BY (USED FOR) FINANCING ACTIVITIES

68

(76

)

Effect of Exchange Rate Changes on Cash

1

11

Change in Cash and Temporary Investments

(12

)

(92

)

Cash and Temporary Investments

Beginning of the period

135

205

End of the period

$

123

$

113

SYLVAMO CORPORATION

Reconciliation of Cash Provided by (Used For) Operating Activities to Free Cash Flow

Preliminary and Unaudited

(In millions)

  Three Months Ended
June 30,

Three Months Ended
March 31,

Six Months Ended
June 30,

2026

2025

2026

2026

2025

Cash Provided By (Used For) Operating Activities

$

38

$

64

$

(10

)

$

28

$

87

Adjustments:

Cash invested in capital projects

(61

)

(66

)

(49

)

(110

)

(114

)

Free Cash Flow

$

(23

)

$

(2

)

$

(59

)

$

(82

)

$

(27

)