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, /PRNewswire/ -- Halper Sadeh LLC, an investor rights law firm, is investigating the following companies for potential violations of the federal securities laws and/or breaches of fiduciary duties to shareholders relating to:

Tri Pointe Homes, Inc. (NYSE: TPH)'s sale to Sumitomo Forestry Co., Ltd. for $47.00 per share. If you are a Tri Pointe shareholder, click here to learn more about your legal rights and options.

Mission Produce, Inc. (NASDAQ: AVO)'s merger with Calavo Growers, Inc. Upon completion of the proposed transaction, Mission shareholders are expected to own approximately 80.3% of the combined company. If you are a Mission shareholder, click here to learn more about your rights and options.

Calavo Growers, Inc. (NASDAQ: CVGW)'s sale to Mission Produce, Inc. for $14.85 in cash and 0.9790 shares of Mission for each share of Calavo. If you are a Calavo shareholder, click here to learn more about your legal rights and options.

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BELLEVUE, Wash.--(BUSINESS WIRE)--Tri Pointe Homes® has sold its 20,000th home in Washington State, marking an achievement in a Pacific Northwest homebuilding legacy that began in 1969 and spans the company's Quadrant Homes® era under Weyerhaeuser. The milestone sale took place at Alterra in Newcastle, Wash., with returning Tri Pointe customers who previously purchased a home in the company's Aldea community in 2020. Their purchase offers a current-day example of the longstanding relationships.

SALT LAKE CITY, March 26, 2026 (GLOBE NEWSWIRE) -- Tri Pointe Homes® (NYSE: TPH), one of the largest homebuilders in the U.S., today announced the launch of LivingWell™ in Holladay, Utah. Located within The Pavilions at Holladay Hills, LivingWell is an exclusive collection of six one-of-a-kind luxury estate homes by Tri Pointe Homes, featuring a fully merchandised model, now under construction, designed to demonstrate how whole-home wellness can support meaningful emotional, physical, and social experiences. The home builds on Tri Pointe’s LivingSmart® program – a long-standing commitment to sustainability, energy efficiency, and responsible building practices – by pairing it with LivingWell’s holistic approach to purposeful living. Where LivingSmart® focuses on how a home performs, LivingWell expands the conversation to how a home feels, integrating elements like light, flow, comfort, connection, and adaptability into the architecture, interiors, landscape, and products to support everyday life.

“LivingWell reflects Tri Pointe’s deliberate effort to explore how wellness can shape the way homes are designed and experienced,” said Tom Mitchell, Tri Pointe Homes president and chief operating officer. “As the demands of modern life evolve, homebuyers are seeking spaces that actively contribute to how they feel, and the home should serve as an anchor where wellness is found. We see an opportunity to strategically evolve the strong foundation of LivingSmart® and show how homes can better support the rhythms of daily life. LivingWell represents that next step, bringing together architecture, interiors, materials, and systems in a more integrated and design-forward approach to whole-home wellness. We’re putting a stake in the ground for what an intentional approach to wellness-driven living can be.”

Wellness-Driven Design Considerations

Located just 20 minutes from downtown Salt Lake City, the LivingWell model home at The Pavilions at Holladay Hills features approximately 7,772 square feet across three stories, with 6 bedrooms, 9 bathrooms (2 full, 5 three-quarter, and 2 half), and a 4-bay garage, including a carriage home above the garage for guests or multigenerational living. Designed as a contemporary English manor with year-round outdoor comfort features in mind, the home combines traditional estate-style elegance with modern innovation, highlighted by timeless transitional architecture and “Cotswolds Rustic” interior styling.

Centered around a private interior courtyard, the home is designed to draw natural light deeper into the home, create stronger sightlines to outdoor spaces, guide intuitive circulation between spaces, and shape a calmer interior experience through privacy, openness, and connection to the landscape. Planned outdoor amenities include a pool, spa, firepit, orchard, raised gardening beds, and a cabana with a cooktop, refrigerator, and sink.

“The LivingWell model home brings Tri Pointe’s vision for whole-home wellness to life in one of Utah’s most desirable locations,” said Ken Krivanec, division president of Tri Pointe Homes Utah and Washington. “We’re remaining true to Tri Pointe’s long-standing reputation for delivering premium homes rooted in thoughtful design and connection to place, but LivingWell takes it another step further. As we continue expanding in Utah, LivingWell will demonstrate how light, landscape, and wellness-driven spaces can create restorative environments that represent the future of living here.”

LivingWell’s wellness integration is expressed throughout the home in tangible ways through intentional design considerations:

Nutrition and Gathering: Chef-inspired kitchens and prep spaces support cooking, hosting, and daily connectionSocial Interaction and Movement: Open, connected living areas and the indoor-outdoor flow encourage social engagement and ease of movement throughout the homeMindfulness and Renewal: Quiet zones and restorative bathrooms create opportunities for reflection, relaxation, and restorationBalance and Adaptability: Flexible rooms make it easier to shift between work, rest, leisure, and personal growth over timeLight and Spatial Experience: Natural light, material selections, and spatial flow reinforce a sense of balance and calm throughout the residence The home’s finished basement is planned to feature a recreation room, wellness room/gym, kitchen area, flexible bedroom space, abundant storage, and dedicated cold storage, while light wells bring in added natural light and create visual connections to planted exterior spaces that feel more open and aesthetically pleasing below grade. A dedicated pet wellness station with an integrated pot filler also reflects the home’s attention to everyday routines, offering freshwater access while keeping the feeding area clean and organized. At the community level, the home is also designed to connect with the larger Holladay Hills lifestyle ecosystem, including walkable access to trails, plazas, dining, retail, and entertainment.

Engineering Wellness from the Inside Out

LivingWell distinguishes itself by viewing wellness through a whole-home design lens rather than limiting it to a single room, amenity, or aesthetic layer. The home extends wellness into the materials, mechanics, and behind-the-walls construction decisions that influence how the home operates day to day. Beyond the home design, integrated smart home technology is intended to support comfort, convenience, privacy, and efficiency. These systems include home control automation, as well as automated lighting and roller shades to encourage circadian-friendly daily rhythms, Wi-Fi thermostat integration, and remote monitoring capabilities that allow homeowners to manage key functions from virtually anywhere. LivingWell is also prepared for long-term resilience with prewiring for a generator, a conduit for future solar installation, and structured wiring that supports whole-home connectivity and systems integration.

Performance-focused building features include tankless water heaters for on-demand hot water, engineered ducting and duct sealing, blown-in insulation, as well as insulation between floors and walls for thermal performance and sound control, advanced framing techniques that support a stronger thermal envelope, and high-efficiency air conditioning. Indoor comfort and air quality are also supported by a whole-home humidifier, a heat recovery ventilator system that exchanges stale indoor air with fresh, filtered outdoor air while recycling up to 90% of heating and cooling energy, and a MERV 13 filtration system designed to capture fine particles, allergens, and pollutants. Low-VOC finishes, including paint and flooring selections, contribute to a healthier interior. Structural systems behind the walls also add to the experience by enabling open, connected spaces and quieter, more stable floors.

The Collaborative Partners Behind the Home

To bring the LivingWell model home to life, Tri Pointe Homes teamed up with industry leaders that helped express the home’s wellness-driven design through their respective expertise, including:

Bobby Berk: The design expert, Emmy-winning TV host, and author led the interior design and merchandising to create a warm, modern, highly livable interior environment rooted in comfort and function. The approach reflects Bobby Berk’s signature aesthetic and supports the home’s broader LivingWell focus on everyday ease, emotional well-being, and intentional living through layered natural materials, restorative spaces, and design that feels refined while still comfortable for daily living.Bassenian Lagoni Architects: Developed the architectural concept with an emphasis on indoor–outdoor connectivity, abundant natural light (including strategies intended to support circadian rhythms), and cross-ventilation through operable doors and windows. The distinctive exterior features elevated rooflines, enhanced glazing, custom metal and wood accents, premium detailing, and a thoughtful orientation that maximizes natural light, privacy, and scenic mountains.PKJ Design Group: Crafted the landscape plan as an extension of the home’s LivingWell philosophy, with spaces of shade and refuge, pollinator-friendly and edible plantings, and a plant palette that incorporates two varieties of dwarf apple trees, two varieties of grapevines, and herbs like sage and lavender. Permeable paving and a smart irrigation approach, including a WaterSense controller, support a landscape designed to work with the site and seasons while reinforcing sensory connection to nature.Brizo®: Provided kitchen and bath fixtures that strengthen LivingWell’s focus on elevated design, wellness, and intentional daily rituals. In the chef-inspired kitchen and prep spaces, Brizo® fixtures serve as sculptural focal points that support gathering and everyday use. In the bathrooms, coordinated faucets, tub fillers, and shower systems help create spa-like environments centered on restoration. Together, these elements support the daily rituals of cooking, gathering, and renewal.James Hardie: Provided Hardie® fiber cement siding to support long-lasting beauty, personalized design, and trusted protection without sacrificing durability. This low-maintenance exterior helps resist damage from fire1, water, and extreme weather, holds little appeal for pests, and supports the home’s emphasis on durability and long-term resilience.Founding Sponsors: The LivingWell model home is also supported by founding sponsors The Sherwin-Williams Company, Shaw, Weyerhaeuser, and Builders FirstSource. “Our partners exemplify the high standards of quality, innovation, and craftsmanship that align with Tri Pointe Homes’ mission to create life-changing design and premium lifestyle experiences,” said Mitchell. “These partnerships allow us to explore new ideas and advance the way homes are designed and experienced. We believe LivingWell will help inspire a new evolution of wellness-focused design across Tri Pointe communities nationwide in the years ahead.”

As Tri Pointe continues its strategic evolution of LivingSmart®, the LivingWell model home serves as a design-forward benchmark for how wellness concepts and features can influence homes and communities across the company’s growing market portfolio. The model home is anticipated to be completed in Q2 2026, with sales for all six estate residences expected to begin at the same time. The Pavilions at Holladay Hills will include five additional one-of-a-kind homes, with residences ranging from approximately 4,600 to 7,800 square feet. Buyers will have the opportunity to personalize select options on the non-modeled homes, either by building from Bobby Berk’s pre-designed interior plans or by personalizing those designs through Tri Pointe’s Design Studio. For more information, please visit tripointehomes.com/livingwell-home.

About Tri Pointe Homes®
One of the largest homebuilders in the U.S., Tri Pointe Homes, Inc. (NYSE: TPH) is a publicly traded company operating in 12 states and the District of Columbia, and is a recognized leader in customer experience, innovative design, and environmentally responsible business practices. The company builds premium homes and communities with deep ties to the communities it serves—some for as long as a century. Tri Pointe Homes combines the financial resources, technology platforms and proven leadership of a national organization with the regional insights, longstanding community connections and agility of empowered local teams. Tri Pointe has won multiple Builder of the Year awards and was named 2024 Developer of the Year. The company is one of the 2026 Fortune World’s Most Admired Companies, 2023 and 2025 Fortune 100 Best Companies to Work For® and was designated as one of the PEOPLE Companies That Care® for three consecutive years (2023 through 2025). The company was also named as a Great Place To Work-Certified™ company for five years in a row (2021 through 2025) and was named on several Great Place To Work® Best Workplaces list (2022 through 2025). TriPointeHomes.com

About Bobby Berk
Bobby Berk is a design expert, Emmy-winning TV host, and author. He rose to prominence in 2018 for his work transforming lives and living spaces on Netflix’s Queer Eye, and has since established himself as a preeminent leader in the design industry. Bobby leads his eponymous multi-faceted brand, including comprehensive lifestyle destination BobbyBerk.com, while his design firm has become one of the most sought after in the home building industry. Berk is also the author of Right at Home: How Good Design Is Good For The Mind and the host of the TV series, Junk or Jackpot? on HGTV.

About Bassenian Lagoni Architects
Bassenian Lagoni Architects brings a unique vision and sense of aesthetics to the design, theming and planning of homes and neighborhoods. Since its founding nearly 50 years ago, our practice has become synonymous with design innovation; earning the firm a unique status as the go-to provider of market-leading architectural solutions to complex design challenges. A keen eye for detail has garnered the firm an unprecedented number of industry design awards. Our team prides itself on being on the leading edge of architecture, helping to define the trends rather than just replicating them, and designing the homes that enhance the lives of those that live in them. bassenianlagoni.com.

About PKJ Design Group
PKJ Design Group, L.L.C. is a Landscape Architecture, Planning, Environmental Engineering, and Graphic Innovation firm licensed in 11 states along the Rocky Mountains. Our positive relationships and efficient procedures produce more specialized, interactive, and award-winning designs that meet deadlines and budgets. We strive in each design to understand the appropriate plantings for specific areas with horticulturists and environmental engineers on staff to help provide a wholistic and intentional design. We understand how to utilize resources in appropriate and restorative ways, and we aim to be at the forefront of conversations for creating landscapes that are both beautiful and sustainable. pkjdesigngroup.com

About Brizo®
At Brizo®, we create statement pieces for those who live to make statements. Distinctive design, artful craftsmanship, and inspired innovation define every collection-all in service of self-expression and spaces that reflect your vision. We're proud to be a brand trusted by design leaders and recognized globally. Our collections don't just meet expectations-they earn recognition, with prestigious honors like ADEX Platinum, Luxe RED Awards, and Architectural Digest Great Design distinctions. We also collaborate with icons like the Frank Lloyd Wright Foundation and fashion designer Jason Wu, bringing architectural and fashion-forward influence to our designs-and to the spaces that specify us. brizo.com

About James Hardie
At James Hardie, we’re driven by a purpose of Building a Better Future For All™. As a global leader in durable home exterior and outdoor living products, we empower homeowners and professionals with solutions that deliver timeless beauty, reliable protection, and design freedom. James Hardie invented modern fiber cement siding over 30 years ago. Today, we continue to lead the charge with advancements on every front: product and design innovation, industry innovation, and organizational innovation. jameshardie.com.

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1 Hardie® fiber cement products are noncombustible and/or have a Class A fire rating when tested in accordance with ASTM E84. The use of noncombustible siding, combined with other fire mitigation measures, may help harden a home against external fire.

Photos accompanying this announcement are available at

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Posted by Defense World Staff on Apr 2nd, 2026

Tri Pointe Homes Inc. (NYSE:TPH – Get Free Report) shares reached a new 52-week high during trading on Tuesday . The company traded as high as $46.81 and last traded at $46.7230, with a volume of 1047 shares traded. The stock had previously closed at $46.70.

Wall Street Analyst Weigh In TPH has been the subject of several recent research reports. Citizens Jmp began coverage on shares of Tri Pointe Homes in a research report on Wednesday, January 7th. They set a “market outperform” rating and a $46.00 target price for the company. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Tri Pointe Homes in a research note on Tuesday, January 27th. Oppenheimer downgraded Tri Pointe Homes from an “outperform” rating to a “market perform” rating in a report on Friday, February 13th. Royal Bank Of Canada increased their target price on Tri Pointe Homes from $31.00 to $47.00 and gave the company a “sector perform” rating in a research note on Tuesday, February 17th. Finally, Citigroup started coverage on Tri Pointe Homes in a report on Wednesday, January 7th. They set an “outperform” rating on the stock. Three analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $42.50.

View Our Latest Stock Analysis on Tri Pointe Homes

Tri Pointe Homes Trading Down 0.1% The company’s fifty day simple moving average is $42.68 and its two-hundred day simple moving average is $36.34. The company has a market capitalization of $3.97 billion, a price-to-earnings ratio of 17.16, a price-to-earnings-growth ratio of 1.39 and a beta of 1.29. The company has a quick ratio of 2.63, a current ratio of 2.63 and a debt-to-equity ratio of 0.33.

Tri Pointe Homes (NYSE:TPH – Get Free Report) last announced its quarterly earnings results on Wednesday, February 25th. The construction company reported $0.80 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.78 by $0.02. The company had revenue of $972.63 million during the quarter, compared to analyst estimates of $917.86 million. Tri Pointe Homes had a net margin of 7.09% and a return on equity of 7.96%. The firm’s revenue was down 22.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.37 EPS. Research analysts forecast that Tri Pointe Homes Inc. will post 3.58 earnings per share for the current fiscal year.

Insider Transactions at Tri Pointe Homes In other Tri Pointe Homes news, Director Steven J. Gilbert sold 50,000 shares of the stock in a transaction dated Thursday, February 19th. The stock was sold at an average price of $46.33, for a total value of $2,316,500.00. Following the completion of the sale, the director directly owned 30,330 shares in the company, valued at $1,405,188.90. This represents a 62.24% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 3.20% of the company’s stock.

Hedge Funds Weigh In On Tri Pointe Homes Several institutional investors have recently modified their holdings of TPH. Royal Bank of Canada increased its stake in Tri Pointe Homes by 19.1% during the 1st quarter. Royal Bank of Canada now owns 72,740 shares of the construction company’s stock worth $2,322,000 after purchasing an additional 11,668 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in Tri Pointe Homes by 4.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 54,879 shares of the construction company’s stock valued at $1,752,000 after buying an additional 2,398 shares in the last quarter. JPMorgan Chase & Co. boosted its holdings in shares of Tri Pointe Homes by 37.5% in the second quarter. JPMorgan Chase & Co. now owns 877,599 shares of the construction company’s stock valued at $28,039,000 after buying an additional 239,238 shares during the period. Legal & General Group Plc increased its position in shares of Tri Pointe Homes by 1.9% during the second quarter. Legal & General Group Plc now owns 265,762 shares of the construction company’s stock worth $8,491,000 after acquiring an additional 5,066 shares in the last quarter. Finally, Prudential Financial Inc. increased its position in shares of Tri Pointe Homes by 3.1% during the second quarter. Prudential Financial Inc. now owns 94,465 shares of the construction company’s stock worth $3,018,000 after acquiring an additional 2,826 shares in the last quarter. Institutional investors own 97.01% of the company’s stock.

About Tri Pointe Homes (Get Free Report)

Tri Pointe Homes, Inc (NYSE: TPH) is a national homebuilder engaged in the acquisition, development, construction, marketing and sale of single-family detached homes and attached products. The company’s operations span a range of new residential communities, offering customizable floor plans in both tract and luxury segments. Its integrated business model encompasses land sourcing, entitlement, design, construction oversight and in-house customer care and warranty service.

Founded in 2009 through the combination of three regional builders, Tri Pointe Homes has grown into a prominent player across key western U.S.

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SNOQUALMIE, Wash.--(BUSINESS WIRE)--The final community at Snoqualmie Ridge, one of the Eastside's largest and most influential planned communities, is now selling. This marks the end of a multi-decade buildout that has helped define residential growth in the Snoqualmie Valley. Tri Pointe Homes® has opened Timber Trails, a 46-home neighborhood that represents the last subdivision within the more than 1,300-acre Snoqualmie Ridge community. Development on “the Ridge” began in the late 1990s, and.

Posted by Defense World Staff on Apr 19th, 2026

Tri Pointe Homes Inc. (NYSE:TPH – Get Free Report) shares hit a new 52-week high during trading on Friday . The stock traded as high as $46.91 and last traded at $46.8850, with a volume of 782972 shares traded. The stock had previously closed at $46.76.

Wall Street Analysts Forecast Growth TPH has been the subject of several research analyst reports. Royal Bank Of Canada lifted their price objective on Tri Pointe Homes from $31.00 to $47.00 and gave the stock a “sector perform” rating in a research report on Tuesday, February 17th. Citizens Jmp initiated coverage on Tri Pointe Homes in a research report on Wednesday, January 7th. They issued a “market outperform” rating and a $46.00 price objective for the company. Citigroup initiated coverage on Tri Pointe Homes in a research report on Wednesday, January 7th. They issued an “outperform” rating for the company. Weiss Ratings reissued a “hold (c)” rating on shares of Tri Pointe Homes in a research report on Tuesday, January 27th. Finally, Oppenheimer lowered Tri Pointe Homes from an “outperform” rating to a “market perform” rating in a research report on Friday, February 13th. Three research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat, Tri Pointe Homes has an average rating of “Hold” and an average target price of $42.50.

Get Our Latest Stock Analysis on TPH

Tri Pointe Homes Stock Performance The company has a 50-day moving average price of $45.72 and a two-hundred day moving average price of $37.40. The company has a current ratio of 2.63, a quick ratio of 2.63 and a debt-to-equity ratio of 0.33. The stock has a market capitalization of $3.99 billion, a P/E ratio of 17.23, a price-to-earnings-growth ratio of 1.36 and a beta of 1.30.

Tri Pointe Homes (NYSE:TPH – Get Free Report) last posted its quarterly earnings data on Wednesday, February 25th. The construction company reported $0.80 earnings per share for the quarter, topping the consensus estimate of $0.78 by $0.02. Tri Pointe Homes had a return on equity of 7.96% and a net margin of 7.09%.The firm had revenue of $954.59 million during the quarter, compared to analyst estimates of $917.86 million. During the same period last year, the company posted $1.37 EPS. The business’s quarterly revenue was down 22.5% on a year-over-year basis. On average, equities analysts forecast that Tri Pointe Homes Inc. will post 3.58 earnings per share for the current year.

Insider Buying and Selling In related news, Director Steven J. Gilbert sold 50,000 shares of the business’s stock in a transaction dated Thursday, February 19th. The stock was sold at an average price of $46.33, for a total value of $2,316,500.00. Following the completion of the sale, the director directly owned 30,330 shares of the company’s stock, valued at $1,405,188.90. The trade was a 62.24% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. 3.20% of the stock is owned by insiders.

Institutional Trading of Tri Pointe Homes Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Summit Securities Group LLC bought a new stake in Tri Pointe Homes in the 4th quarter valued at about $27,000. Harbor Capital Advisors Inc. increased its position in Tri Pointe Homes by 45.2% in the 3rd quarter. Harbor Capital Advisors Inc. now owns 1,108 shares of the construction company’s stock valued at $38,000 after buying an additional 345 shares in the last quarter. Fulcrum Asset Management LLP bought a new stake in Tri Pointe Homes in the 3rd quarter valued at about $44,000. Farther Finance Advisors LLC increased its position in Tri Pointe Homes by 306.8% in the 3rd quarter. Farther Finance Advisors LLC now owns 1,383 shares of the construction company’s stock valued at $47,000 after buying an additional 1,043 shares in the last quarter. Finally, Nisa Investment Advisors LLC increased its position in Tri Pointe Homes by 33.4% in the 3rd quarter. Nisa Investment Advisors LLC now owns 1,601 shares of the construction company’s stock valued at $54,000 after buying an additional 401 shares in the last quarter. 97.01% of the stock is owned by institutional investors.

Tri Pointe Homes Company Profile (Get Free Report)

Tri Pointe Homes, Inc (NYSE: TPH) is a national homebuilder engaged in the acquisition, development, construction, marketing and sale of single-family detached homes and attached products. The company’s operations span a range of new residential communities, offering customizable floor plans in both tract and luxury segments. Its integrated business model encompasses land sourcing, entitlement, design, construction oversight and in-house customer care and warranty service.

Founded in 2009 through the combination of three regional builders, Tri Pointe Homes has grown into a prominent player across key western U.S.

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INCLINE VILLAGE, Nev., April 29, 2026 (GLOBE NEWSWIRE) -- Tri Pointe Homes, Inc. (the “Company”) (NYSE:TPH) today announced results for the first quarter ended March 31, 2026. As previously announced on February 13, 2026, the Company entered into the Agreement and Plan of Merger, dated February 13, 2026 (the “Merger Agreement”), with Sumitomo Forestry Co., Ltd., a Japanese corporation (kabushiki kaisha) (“Sumitomo Forestry”), and Teton NewCo, Inc., a Delaware corporation and an indirect wholly owned subsidiary of Sumitomo Forestry (“Merger Sub”), pursuant to which Merger Sub will merge with and into the Company, with the Company continuing as the surviving corporation and an indirect wholly owned subsidiary of Sumitomo Forestry (the “Merger”). As of the date hereof, the portions of the conditions to the Merger relating to stockholder approval of the Merger and the expiration or termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, have been satisfied. The Merger continues to be subject to the remaining conditions set forth in the Merger Agreement.

Results and Operational Data for First Quarter 2026 and Comparisons to First Quarter 2025

Net income available to common stockholders was $6.8 million, or $0.08 per diluted share, compared to $64.0 million, or $0.70 per diluted shareHome sales revenue of $506.5 million compared to $720.8 million New home deliveries of 736 homes compared to 1,040 homesAverage sales price of homes delivered of $688,000 compared to $693,000 Homebuilding gross margin percentage of 18.8% compared to 23.9% Excluding interest and impairments and lot option abandonments, adjusted homebuilding gross margin percentage was 22.3%* SG&A expense as a percentage of home sales revenue of 17.9% compared to 14.0%Net new home orders of 1,234 compared to 1,238Active selling communities averaged 158.0 compared to 145.5 Net new home orders per average selling community were 7.8 orders (2.6 monthly) compared to 8.5 orders (2.8 monthly)Cancellation rate of 9% compared to 10% Backlog units at quarter end of 1,360 homes compared to 1,715 Dollar value of backlog at quarter end of $989.9 million compared to $1.3 billionAverage sales price of homes in backlog at quarter end of $728,000 compared to $763,000 Ratios of homebuilding debt-to-capital and net homebuilding debt-to-net capital of 25.0% and 7.2%*, respectively, as of March 31, 2026Ended the first quarter of 2026 with total liquidity of $1.7 billion, including cash and cash equivalents of $847.9 million and $827.5 million of availability under our revolving credit facility. *See “Reconciliation of Non-GAAP Financial Measures”
About Tri Pointe Homes, Inc.

One of the largest homebuilders in the U.S., Tri Pointe Homes, Inc. (NYSE: TPH) is a publicly traded company operating in 12 states and the District of Columbia, and is a recognized leader in customer experience, innovative design, and environmentally responsible business practices. The company builds premium homes and communities with deep ties to the communities it serves—some for as long as a century. Tri Pointe Homes combines the financial resources, technology platforms and proven leadership of a national organization with the regional insights, longstanding community connections and agility of empowered local teams. Tri Pointe has won multiple Builder of the Year awards and was named 2024 Developer of the Year. The company is one of the 2026 Fortune World’s Most Admired Companies, 2023 and 2025 Fortune 100 Best Companies to Work For® and was designated as one of the PEOPLE Companies That Care® for three consecutive years (2023 through 2025). The company was also named as a Great Place To Work-Certified™ company for five years in a row (2021 through 2025) and was named on several Great Place To Work® Best Workplaces list (2022 through 2025). For more information, please visit TriPointeHomes.com.

Forward-Looking Statements

Various statements contained in this press release, including those that express a belief, expectation or intention, as well as those that are not statements of historical fact, are forward-looking statements. These forward-looking statements may include, but are not limited to, statements regarding our strategy, projections and estimates concerning the timing and success of specific projects and our future production, land and lot sales, operational and financial results, including our estimates for growth, financial condition, sales prices, prospects, and capital spending, as well as the expected timetable for completing the proposed transactions contemplated by the Merger Agreement, future opportunities for the combined businesses and the expected benefits of the Merger. Forward-looking statements that are included in this press release are generally accompanied by words such as “anticipate,” “assuming,” “believe,” “contemplate,” “could,” “estimate,” “expect,” “forecast,” “future,” “goal,” “guidance,” “intend,” “likely,” “may,” “might,” “outlook,” “plan,” “potential,” “predict,” “project,” “projection,” “should,” “strategy,” “target,” “will,” “would,” or other words that convey future events or outcomes. The forward-looking statements in this press release speak only as of the date of this press release, and we disclaim any obligation to update these statements unless required by law, and we caution you not to rely on them unduly. These forward-looking statements are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond our control. The following factors, among others, may cause our actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements: the effects of general economic conditions, including employment rates, housing starts, interest rate levels, home affordability, inflation, consumer sentiment, availability of financing for home mortgages and strength of the U.S. dollar; market demand for our products, which is related to the strength of the various U.S. business segments and U.S. and international economic conditions; the availability of desirable and reasonably priced land and our ability to control, purchase, hold and develop such parcels; access to adequate capital on acceptable terms; geographic concentration of our operations; levels of competition; the successful execution of our internal performance plans, including restructuring and cost reduction initiatives; the prices and availability of supply chain inputs, including raw materials, labor and home components; oil and other energy prices; the effects of U.S. trade policies, including the imposition of tariffs and duties on homebuilding products and retaliatory measures taken by other countries; the effects of weather, including the occurrence of drought conditions in parts of the western United States; the risk of loss from earthquakes, volcanoes, fires, floods, droughts, windstorms, hurricanes, pest infestations and other natural disasters, and the risk of delays, reduced consumer demand, and shortages and price increases in labor or materials associated with such natural disasters; the risk of loss from acts of war, terrorism, civil unrest or public health emergencies, including outbreaks of contagious diseases, such as COVID-19; transportation costs; federal and state tax policies; the effects of land use, environment and other governmental laws and regulations; legal proceedings or disputes and the adequacy of reserves; risks relating to any unforeseen changes to or effects on liabilities, future capital expenditures, revenues, expenses, earnings, synergies, indebtedness, financial condition, losses and future prospects; changes in accounting principles; risks related to unauthorized access to our computer systems, theft of our homebuyers’ confidential information or other forms of cyber-attack; risks related to the failure to consummate the Merger and the transactions contemplated thereby; risks related to any litigation arising out of or as a result of the Merger and the transactions contemplated thereby; and additional factors discussed under the sections captioned “Risk Factors” included in our annual and quarterly reports filed with the Securities and Exchange Commission. The foregoing list is not exhaustive. New risk factors may emerge from time to time and it is not possible for management to predict all such risk factors or to assess the impact of such risk factors on our business.

Investor Relations Contact:
[email protected], 949-478-8696

  KEY OPERATIONS AND FINANCIAL DATA
(dollars in thousands)
(unaudited)
   Three Months Ended March 31,  2026   2025  Change % ChangeOperating Data:(unaudited)Home sales revenue$506,496  $720,786  $(214,290) (29.7)%Homebuilding gross margin$95,430  $172,513  $(77,083) (44.7)%Homebuilding gross margin % 18.8%  23.9% (5.1)%  Adjusted homebuilding gross margin %* 22.3%  27.3% (5.0)%  SG&A expense$90,846  $100,617  $(9,771) (9.7)%SG&A expense as a % of home sales revenue 17.9%  14.0%  3.9%  Net income available to common stockholders$6,786  $64,036  $(57,250) (89.4)%Adjusted EBITDA*$39,857  $125,698  $(85,841) (68.3)%Interest incurred$18,585  $21,319  $(2,734) (12.8)%Interest in cost of home sales$16,470  $23,035  $(6,565) (28.5)%        Other Data:       Net new home orders 1,234   1,238   (4) (0.3)%New homes delivered 736   1,040   (304) (29.2)%Cancellation rate 9%  10% (1)%  Average selling price of homes delivered$688  $693  $(5) (0.7)%Average selling communities 158.0   145.5   12.5  8.6%Selling communities at end of period 161   147   14  9.5%Backlog (estimated dollar value)$989,906  $1,307,786  $(317,880) (24.3)%Backlog (homes) 1,360   1,715   (355) (20.7)%Average selling price in backlog$728  $763  $(35) (4.6)%         March 31, December 31,      2026   2025  Change % ChangeBalance Sheet Data:(unaudited)      Cash and cash equivalents$847,903  $982,814  $(134,911) (13.7)%Real estate inventories$3,302,319  $3,178,248  $124,071  3.9%Lots owned or controlled 32,937   32,219   718  2.2%Homes under construction(1) 1,855   1,392   463  33.3%Homes completed, unsold 469   681   (212) (31.1)%Total homebuilding debt$1,104,326  $1,104,054  $272  0.0%Stockholders’ equity$3,307,043  $3,315,834  $(8,791) (0.3)%Book capitalization$4,411,369  $4,419,888  $(8,519) (0.2)%Ratio of homebuilding debt-to-capital 25.0%  25.0%  0.0%  Ratio of net homebuilding debt-to-net capital* 7.2%  3.5%  3.7%   __________
(1)Homes under construction included 56 and 48 models as of March 31, 2026 and December 31, 2025, respectively.*See “Reconciliation of Non-GAAP Financial Measures”     CONSOLIDATED BALANCE SHEETS
(in thousands, except share and per share amounts)
     March 31, December 31,  2026  2025Assets(unaudited)  Cash and cash equivalents$847,903 $982,814Receivables 144,641  147,250Real estate inventories 3,302,319  3,178,248Investments in unconsolidated entities 217,019  183,075Mortgage loans held for sale 66,152  98,514Goodwill and other intangible assets, net 156,603  156,603Deferred tax assets, net 43,132  43,132Other assets 184,555  187,899Total assets$4,962,324 $4,977,535    Liabilities   Accounts payable$63,155 $41,693Accrued expenses and other liabilities 428,366  425,289Loans payable 456,468  456,468Senior notes 647,858  647,586Mortgage repurchase facilities 59,315  90,570Total liabilities 1,655,162  1,661,606    Commitments and contingencies       Equity   Stockholders’ equity:   Preferred stock, $0.01 par value, 50,000,000 shares authorized; no shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively —  —Common stock, $0.01 par value, 500,000,000 shares authorized; 85,135,803 and 84,478,836 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively 851  844Additional paid-in capital —  —Retained earnings 3,306,192  3,314,990Total stockholders’ equity 3,307,043  3,315,834Noncontrolling interests 119  95Total equity 3,307,162  3,315,929Total liabilities and equity$4,962,324 $4,977,535    CONSOLIDATED STATEMENT OF OPERATIONS
(in thousands, except share and per share amounts)
(unaudited)
     Three Months Ended March 31,   2026   2025 Homebuilding:    Home sales revenue $506,496  $720,786 Land and lot sales revenue  575   1,821 Other operations revenue  825   820 Total revenues  507,896   723,427 Cost of home sales  411,066   548,273 Cost of land and lot sales  979   1,741 Other operations expense  813   794 Sales and marketing  37,887   42,942 General and administrative  52,959   57,675 Homebuilding income from operations  4,192   72,002 Equity in (loss) income of unconsolidated entities  (88)  495 Transaction expense  (5,877)  — Other income, net  7,236   9,129 Homebuilding income before income taxes  5,463   81,626 Financial Services:    Revenues  13,493   17,501 Expenses  12,065   12,617 Financial services income before income taxes  1,428   4,884 Income before income taxes  6,891   86,510 Provision for income taxes  (81)  (22,493)Net income  6,810   64,017 Net (income) loss attributable to noncontrolling interests  (24)  19 Net income available to common stockholders $6,786  $64,036 Earnings per share    Basic $0.08  $0.70 Diluted $0.08  $0.70 Weighted average shares outstanding    Basic  84,796,116   91,638,960 Diluted  85,176,744   92,077,680    MARKET DATA BY REPORTING SEGMENT & GEOGRAPHY
(dollars in thousands)
(unaudited)
   Three Months Ended March 31, 2026 2025 New
Homes
Delivered Average
Sales
Price New
Homes
Delivered Average
Sales
PriceWest342 $778 521 $769Central274  563 377  558East120  719 142  773Total736 $688 1,040 $693         Three Months Ended March 31, 2026 2025 Net New
Home
Orders Average
Selling
Communities Net New
Home
Orders Average
Selling
CommunitiesWest605  72.3 644  66.3Central436  61.7 413  60.5East193  24.0 181  18.7Total1,234  158.0 1,238  145.5          As of March 31, 2026 As of March 31, 2025 Backlog Units Backlog Dollar Value Average Sales Price Backlog Units Backlog Dollar Value Average Sales PriceWest687 $564,180 $821 930 $757,952 $815Central422  251,486  596 508  296,636  584East251  174,240  694 277  253,198  914Total1,360 $989,906 $728 1,715 $1,307,786 $763             As of March 31, 2026 As of December 31, 2025 Lots Owned Lots Controlled (1) Lots Owned or Controlled Lots Owned Lots Controlled (1) Lots Owned or ControlledWest8,690  4,010  12,700 8,629  3,864  12,493Central5,157  8,576  13,733 5,188  8,017  13,205East2,055  4,449  6,504 2,137  4,384  6,521Total15,902  17,035  32,937 15,954  16,265  32,219 (1)As of March 31, 2026 and December 31, 2025, lots controlled included lots that were under land option contracts or purchase contracts. As of March 31, 2026 and December 31, 2025, lots controlled for Central include 5,709 and 5,356 lots, respectively, which represent our expected share of lots owned by our investments in unconsolidated land development joint ventures. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(unaudited)

In this press release, we utilize certain financial measures that are non-GAAP financial measures as defined by the Securities and Exchange Commission. We present these measures because we believe they and similar measures are useful to management and investors in evaluating the Company’s operating performance and financing structure. We also believe these measures facilitate the comparison of our operating performance and financing structure with other companies in our industry. Because these measures are not calculated in accordance with Generally Accepted Accounting Principles (“GAAP”), they may not be comparable to other similarly titled measures of other companies and should not be considered in isolation or as a substitute for, or superior to, financial measures prepared in accordance with GAAP.

The following table reconciles the homebuilding gross margin percentage, as reported and prepared in accordance with GAAP, to the non-GAAP measure adjusted homebuilding gross margin percentage. We believe this information is meaningful as it isolates the impact that leverage has on homebuilding gross margin and permits investors to make better comparisons with our competitors, who adjust gross margins in a similar fashion.

 Three Months Ended March 31,  2026  %  2025  % (dollars in thousands)Home sales revenue$506,496  100.0% $720,786  100.0%Cost of home sales 411,066  81.2%  548,273  76.1%Homebuilding gross margin 95,430  18.8%  172,513  23.9%Add:  interest in cost of home sales 16,470  3.3%  23,035  3.2%Add:  impairments and lot option abandonments 1,068  0.2%  1,073  0.1%Adjusted homebuilding gross margin$112,968  22.3% $196,621  27.3%Homebuilding gross margin percentage 18.8%    23.9%  Adjusted homebuilding gross margin percentage 22.3%    27.3%   RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (continued)
(unaudited)

The following table reconciles the Company’s ratio of homebuilding debt-to-capital to the non-GAAP ratio of net homebuilding debt-to-net capital. We believe that the ratio of net homebuilding debt-to-net capital is a relevant financial measure for management and investors to understand the leverage employed in our operations and as an indicator of the Company’s ability to obtain financing.

 March 31, 2026 December 31, 2025Loans payable$456,468  $456,468 Senior notes 647,858   647,586 Mortgage repurchase facilities 59,315   90,570 Total debt 1,163,641   1,194,624 Less: mortgage repurchase facilities (59,315)  (90,570)Total homebuilding debt 1,104,326   1,104,054 Stockholders’ equity 3,307,043   3,315,834 Total capital$4,411,369  $4,419,888 Ratio of homebuilding debt-to-capital(1) 25.0%  25.0%    Total homebuilding debt$1,104,326  $1,104,054 Less: Cash and cash equivalents (847,903)  (982,814)Net homebuilding debt 256,423   121,240 Stockholders’ equity 3,307,043   3,315,834 Net capital$3,563,466  $3,437,074 Ratio of net homebuilding debt-to-net capital(2) 7.2%  3.5% __________
(1)The ratio of homebuilding debt-to-capital is computed as the quotient obtained by dividing total homebuilding debt by the sum of total homebuilding debt plus stockholders’ equity.(2)The ratio of net homebuilding debt-to-net capital is computed as the quotient obtained by dividing net homebuilding debt (which is total homebuilding debt less cash and cash equivalents) by the sum of net homebuilding debt plus stockholders’ equity. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (continued)
(unaudited)

The following table calculates the non-GAAP financial measures of EBITDA and Adjusted EBITDA and reconciles those amounts to net income available to common stockholders, as reported and prepared in accordance with GAAP. EBITDA means net income available to common stockholders before (a) interest expense, (b) expensing of previously capitalized interest included in costs of home sales, (c) income taxes and (d) depreciation and amortization. Adjusted EBITDA means EBITDA before (e) amortization of stock-based compensation and (f) impairments and lot option abandonments. Other companies may calculate EBITDA and Adjusted EBITDA (or similarly titled measures) differently. We believe EBITDA and Adjusted EBITDA are useful measures of the Company’s ability to service debt and obtain financing.

  Three Months Ended March 31,   2026   2025  (in thousands)Net income available to common stockholders $6,786  $64,036 Interest expense:    Interest incurred  18,585   21,319 Interest capitalized  (18,585)  (21,319)Amortization of interest in cost of sales  16,470   23,153 Provision for income taxes  81   22,493 Depreciation and amortization  7,618   7,387 EBITDA  30,955   117,069 Amortization of stock-based compensation  1,957   7,556 Impairments and lot option abandonments  1,068   1,073 Transaction expense  5,877   — Adjusted EBITDA $39,857  $125,698 

Apollo Global Management, Inc. (APO) Presents at Bernstein 42nd Annual Strategic Decisions Conference Transcript

Investors have watched Nvidia (NASDAQ:NVDA | NVDA Price Prediction) ride the AI wave to extraordinary heights, with data center revenue exploding in recent years. Yet amid the hype, one of Wall Street’s sharpest skeptics keeps raising red flags about its financing arrangements. 

Michael Burry, the investor who foresaw the 2008 housing crisis, took to his Cassandra Unchained Substack and X to label a major Nvidia chip transaction with xAI “fugazi” — his term for something fake or contrived.

But is it as much of a concern as Burry contends, or much ado about nothing?

The Deal That Sparked the Critique In January 2026, Valor Equity Partners — a longtime backer of Elon Musk’s ventures — raised $5.4 billion through a new entity called Valor Compute Infrastructure (VCI). The money funded the purchase of thousands of Nvidia’s powerful GB200 GPUs plus supporting data center equipment. These chips were then leased, under a triple-net lease structure, to a subsidiary of Elon Musk’s xAI for training its Grok AI models at one of the world’s most powerful compute clusters.

Apollo Global Management (NYSE: APO) funds led $3.5 billion of the financing, providing debt capital in a deal designed to be downside-protected. Nvidia itself stepped in as an anchor limited partner, investing roughly $1.9 billion in equity alongside other institutional investors.

This setup let xAI gain immediate access to cutting-edge hardware without booking the full multi-billion-dollar purchase on its own balance sheet. Instead, VCI owns the assets legally, and xAI pays ongoing lease and operating expenses over time. Nvidia, meanwhile, recorded the full $5.4 billion as revenue right away.

Let’s be clear: structures like this are legal and increasingly common in big AI infrastructure builds. But they add layers that smart investors should understand. They also invite comparisons to troubling circular financing arrangements.

When 'The Big Short' investor calls a deal a 'fugazi,' it’s time to look at the plumbing. Uncover how $5.4 billion in AI revenue is being engineered—and who is actually carrying the risk. © 24/7 Wall St. The Nature of the Hidden Risk Burry didn’t mince words. He called the entire multi-layered setup “fugazi” because the structure lets the big players book all the upside while shifting the real risks far off their balance sheets and, ultimately, toward everyday investors and retirees.

Here’s how it works: Nvidia sells the GPUs to Valor and books the revenue right away while xAI gets to use the powerful chips without adding billions in debt or assets to its own books. Apollo provides the debt financing, but packages those loans into securities, and routes much of the credit risk to its insurance affiliate, Athene, that goes on to sell annuities to small investors retirees. They think they’ve bought a “safe” investment, but it’s been loaded with substantial risk.

This is what caught Burry’s eye. Athene holds $74.2 billion in U.S. reserves, yet it has shifted $217 billion in assets into a Bermuda-based captive insurer, outside standard U.S. regulatory oversight. Of its total portfolio, 34.7% — some $103 billion — sits in Level 3 assets, which don’t have observable market prices, instead relying on internal models for valuation. Basically, the assets are worth whatever the company says they’re worth. On top of those hard-to-price holdings sits roughly 16x leverage.

In short, the GPUs effectively “disappear” from the main balance sheets of both Nvidia and xAI through 8 to 12 carefully engineered steps. Demand looks strong and organic on paper. But part of the capital circles back because Nvidia itself put in about $1.9 billion as an anchor equity investor in the SPV.

Nvidia is Not Alone Burry has flagged Nvidia’s aggressive revenue booking in deals like this for months. He doesn’t call it Enron — there’s no outright fraud here. Instead, he compares Nvidia more to Cisco Systems (NASDAQ:CSCO) in the late 1990s dot-com boom: a legitimate pick-and-shovel provider whose gear fueled massive hype, only for valuations to detach from sustainable fundamentals. Cisco’s stock later fell more than 80% from its peak and took 20 years to recover.

Granted, sale-leaseback structures and SPVs aren’t new or illegal. Meta Platforms (NASDAQ:META), Microsoft (NASDAQ:MSFT), and other hyperscalers use similar approaches to scale infrastructure faster. But their proliferation doesn’t make them risk-less. In fact, quite the opposite, Burry questions the long-term transparency and sustainability when these layered deals multiply across tens of billions in AI buildout.

The setup gives Nvidia a clean revenue pop today, Apollo earns structuring fees, and xAI gains compute power without ballooning its capex. But the credit risk quietly lands with annuity holders — often retirees — who thought they were buying safe, fixed-income-like retirement products.

Cassandra or Boy Who Cried Wolf? Burry has critiqued Nvidia’s circular deals before, yet the company delivered massive growth. While AI demand is real today, if utilization dips or newer chips make these GB200s quickly obsolete, the leverage in these structures could amplify pain — especially for retail investors indirectly exposed via pensions or annuities.

Still, Burry’s warning should not be a panic signal. Nvidia’s tech moat is formidable, and the numbers aren’t necessarily fake — but they may not tell the whole story. He’s questioning whether the financial plumbing behind the AI boom is becoming too complex for investors — and that’s a warning you shouldn’t ignore.

SALT LAKE CITY, June 02, 2026 (GLOBE NEWSWIRE) -- Bridge Investment Group (“Bridge”) today announced that it has completed fundraising for the Bridge Logistics Value Fund II (“BLV II” or the “Fund”), raising nearly $1.4 billion in equity commitments for the Fund and parallel vehicles, exceeding their $1 billion target.

The Bridge Logistics Value strategy is focused on acquiring and repositioning high-quality logistics real estate assets in supply-constrained U.S. infill and global gateway markets. The strategy emphasizes disciplined basis, off-market and selectively marketed opportunities, and operational value creation through leasing, asset management, and targeted capital improvements. BLV II is designed to capitalize on long-term demand drivers within the industrial sector, including supply chain modernization, e-commerce growth, and increasing tenant preference for modern, well-located distribution facilities.

“We are incredibly proud to announce the successful close of BLV II and deeply grateful for the trust and partnership of our investors,” said Jay Cornforth, Chief Executive Officer of BLP. “This milestone reflects the strength of our team, the durability of the logistics sector, and our conviction that disciplined investing in high-quality industrial real estate continues to present compelling long-term opportunities.”

“BLV II was built around a highly-selective investment approach focused on acquiring well-located assets at an attractive basis in markets with strong long-term demand fundamentals,” said Brian Gagne, Chief Investment Officer of BLP. “We believe the current market environment continues to create compelling opportunities for experienced operators with local market expertise, deep sourcing relationships, and the ability to execute operationally through multiple market cycles.”

About Bridge Investment Group

Bridge Investment Group is an affiliate of Apollo (NYSE: APO) and a leading alternative investment manager, diversified across specialized asset classes. Powered by Apollo, Bridge combines its nationwide operating platform with dedicated teams of investment professionals focused on select real estate verticals.

Media:
Charlotte Morse
Bridge Investment Group Holdings Inc.
(877) 866-4540
[email protected]

Apollo Global remains a 'buy' despite sector pressures, with a fair value estimate of $154, nearly 25% above current levels. APO is largely insulated from private credit and software sector risks, with only 2% credit exposure to software and no private equity software exposure. Q1 results showed $1.94 EPS (beat by $0.06), $1.03T AUM (+$90B sequentially), 30% FRE growth, and $74B in dry powder supporting future fee growth.

It has been about a month since the last earnings report for Apollo Global Management Inc. (APO - Free Report) . Shares have added about 0.5% in that time frame, underperforming the S&P 500.

But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Apollo Global Management due for a pullback? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent catalysts for Apollo Global Management Inc. before we dive into how investors and analysts have reacted as of late.

Apollo Global Q1 Earnings Miss Estimates, AUM Surpasses $1TApollo Global first-quarter 2026 adjusted net income (ANI) per share of $1.94 missed the Zacks Consensus Estimate of $1.98. The metric increased from the year-ago adjusted net income of $1.82.

Results were adversely affected by rising expenses. However, record fee-related earnings and an increased assets under management balance were positive.

The results include certain items. After considering those, the net loss attributable to Apollo Global (GAAP basis) was $1.93 billion against net income of $418 million in the prior-year quarter.

Quarterly Revenues & Expenses RiseTotal segment revenues were $1.26 billion, surpassing the Zacks Consensus Estimate by 3.39%. The metric rose from $978 million in the year-ago quarter.

Total expenses for combined segments rose 27.4% year over year to $534 million in the reported quarter.

AUM Balance RisesFee-generating AUM increased 40% on a year-over-year basis to $836 billion. The rise was driven by strong capital formation across institutional and global wealth channels, $65 billion from Athora’s acquisition of Pension Insurance Corporation and $42 billion from a fee basis adjustment related to Redding Ridge, partially offset by outflows and realization activity.

As of March 31, 2026, total AUM was $1.03 trillion, up 31% on a year-over-year basis. Total AUM benefited from $222 billion of inflows from Asset Management and $78 billion of gross inflows from Retirement Services, as well as mark-to-market appreciation. This was partially offset by $64 billion of outflows, primarily driven by normal course run-off at Athene, and $26 billion of realization activity.

Capital & Liquidity PositionAs of March 31, 2026, Apollo Global had cash and cash equivalents of $3.56 billion, and debt of $6.26 billion.

Capital Distribution UpdateThe company announced a quarterly cash dividend of 56.25 cents per share with its earnings release. This dividend will be paid out on May 29, 2026, to shareholders of record as of May 19.

Apollo Global repurchased $866 million of shares in the first quarter, including shares bought to substantially offset dilution from seasonally elevated share issuances under equity incentive plans and opportunistic share repurchases. Over the last 12 months, the company repurchased $1.5 billion of common stock and distributed more than $1 billion of common stock dividends.

How Have Estimates Been Moving Since Then?It turns out, estimates revision have trended downward during the past month.

VGM ScoresCurrently, Apollo Global Management has a subpar Growth Score of D, a score with the same score on the momentum front. Charting a somewhat similar path, the stock has a score of C on the value side, putting it in the middle 20% for this investment strategy.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. It's no surprise Apollo Global Management has a Zacks Rank #4 (Sell). We expect a below average return from the stock in the next few months.

Performance of an Industry PlayerApollo Global Management is part of the Zacks Financial - Investment Management industry. Over the past month, T. Rowe Price (TROW - Free Report) , a stock from the same industry, has gained 3.3%. The company reported its results for the quarter ended March 2026 more than a month ago.

T. Rowe reported revenues of $1.86 billion in the last reported quarter, representing a year-over-year change of +5.3%. EPS of $2.52 for the same period compares with $2.23 a year ago.

T. Rowe is expected to post earnings of $2.31 per share for the current quarter, representing a year-over-year change of +3.1%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.2%.

The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for T. Rowe. Also, the stock has a VGM Score of B.

Initial Investment to Accelerate Anthropic’s Compute Capacity as Part of Broader Global AI Infrastructure Platform June 09, 2026 09:00 ET  | Source: Apollo Global Management, Inc.

NEW YORK, June 09, 2026 (GLOBE NEWSWIRE) -- Apollo (NYSE: APO) today announced that Apollo-managed funds and affiliates are leading an initial $35 billion capital solution as part of Broadcom’s new AI XPV Platform (the “Platform”), in partnership with Blackstone (NYSE: BX) and leading global banks. The Platform is designed to enable over 20GW in compute capacity for leading frontier AI labs through 2028. The initial transaction is the product of a deeply collaborative relationship between Apollo and Broadcom, designed to deliver committed, certain capital across a multi-year draw schedule. It will facilitate Anthropic's previously announced capacity expansion of more than 1GW of compute infrastructure for training and inference starting in mid-2026.

The Platform represents a new model for mobilizing institutional capital at the scale required to meet the infrastructure demands of AI innovation, pairing some of the world's most advanced silicon and networking solutions with long-term, flexible capital to accelerate compute deployment across the frontier AI ecosystem. Apollo and Blackstone's participation as primary capital partners reflects the growing role that private capital is playing in financing the digital infrastructure buildout underpinning the broader Global Industrial Renaissance.

Apollo Partner Jamshid Ehsani said, “Broadcom and Anthropic are world-class companies operating at the frontier of technological innovation, and we are proud to have led the largest private financing ever executed. Committing significant investment grade capital as a principal investor alongside our partners, this transaction reflects the scale and flexibility of Apollo's balance sheet and the power of our integrated platform across High-Grade Capital Solutions, Apollo Capital Solutions and ATLAS SP Partners to structure a solution that met the needs of every party involved. AI compute is rapidly emerging as one of the most compelling new asset classes in finance, characterized by contracted cash flows, mission-critical utility and a supply-demand dynamic that continues to intensify. As hyperscalers and frontier AI labs work to secure the computing power necessary to train and deploy next-generation models, the demand for flexible, large-scale financing requires new capital solutions. We look forward to building on this model as companies advancing AI infrastructure come to market with their most ambitious capital needs."

Won Kim, Head of Corporate Development and AI Infrastructure Partnerships at Broadcom, said, “The demand for AI compute is growing faster than traditional capital markets can accommodate, and this initial transaction, led by Apollo, demonstrates what becomes possible when world-class technology is paired with a partner of that caliber.

“Built on a deeply collaborative relationship, this transaction serves as the first pillar of the XPV Platform. We look forward to scaling it alongside Apollo, Blackstone and our broader partner group as the AI infrastructure buildout accelerates.”

Advisors

Apollo was advised by Goldman Sachs, Wells Fargo and Citi on the transaction. With respect to the A1 tranche, Wells Fargo is serving as Global Coordinator, Joint Bookrunner and Joint Lead Arranger and BNP Paribas, Citi and UBS are serving as Joint Bookrunners and Joint Lead Arrangers. Goldman Sachs, Bank of America and Morgan Stanley are serving as Joint Placement Agents on the A2 tranche. Latham & Watkins LLP is serving as lead legal counsel to Apollo, with Paul, Weiss, Rifkind, Wharton & Garrison LLP as special counsel to Apollo, and PwC providing accounting advisory to Apollo. Milbank LLP is serving as investors’ counsel for the transaction.

Morgan Stanley is serving as lead advisor to Broadcom; JPMorgan Chase is serving as co-advisor. Sullivan & Cromwell LLP is serving as legal counsel to Broadcom.

About Apollo

Apollo is a high-growth, global alternative asset manager. In our asset management business, we seek to provide our clients excess return at every point along the risk-reward spectrum from investment grade credit to private equity. For more than three decades, our investing expertise across our fully integrated platform has served the financial return needs of our clients and provided businesses with innovative capital solutions for growth. Through Athene, our retirement services business, we specialize in helping clients achieve financial security by providing a suite of retirement savings products and acting as a solutions provider to institutions. Our patient, creative and knowledgeable approach to investing aligns our clients, businesses we invest in, our employees and the communities we impact, to expand opportunity and achieve positive outcomes. As of March 31, 2026, Apollo had approximately $1.03 trillion of assets under management. To learn more, please visit www.apollo.com.

Contacts

For Apollo:

Noah Gunn
Global Head of Investor Relations
(212) 822-0540
[email protected]

Joanna Rose
Global Head of Corporate Communications
(212) 822-0491
[email protected]

Broadcom AVGO , Apollo APO , and Blackstone BX have joined forces on the AI XPV Platform, putting $35 billion to work in a first tranche to fund Anthropic's 1 GW compute expansion at Fluidstack sites, with a broader target of more than 20 gigawatts through 2028. Blackstone rose 5.34% intraday, Apollo gained 1.49%, Broadcom slipped 0.43%.

Anthropic and OpenAI are named as the initial customers. The $35 billion goes toward Anthropic's buildout first, at Fluidstack-based sites starting mid-2026, with the platform designed to keep funding rounds coming as demand scales. Broadcom will supply the XPUs and networking, while Apollo and Blackstone supply the capital, and together they aim at lowering per-token delivery costs for frontier model training and inference.

Broadcom CEO Hock Tan called it a once-in-a-generation opportunity. Apollo President Jim Zelter cited conviction in both Broadcom's technology leadership and Anthropic's frontier roadmap, while Blackstone President Jon Gray said compute demand is too big to ignore.

Apollo Global Management Co-President Scott Kleinman discusses the outlook for the private equity industry. Speaking to Bloomberg's Dani Burger on the sidelines of the SuperReturn conference in Berlin, Kleinman says longer hold periods are hurting internal rates of return (IRRs) and “folks are going to have to start capitulating for sure” on valuations.

Private equity investors should brace for a sharper divide in returns as the industry struggles with years of delayed exits, aggressive valuations and a $4 trillion backlog of unsold assets, Apollo's deputy global head of private equity Antoine Munfakh has warned.

Speaking to CNBC at the SuperReturn International conference in Berlin, Munfakh said that the average hold time for private equity assets has doubled from a historic average of around four years to almost eight years today.

That has left a $4 trillion overhang of assets waiting to be sold as sponsors face growing pressure to return capital to investors.

watch now

Munfakh said that distributions are expected to increase as the industry works through this backlog — but this may not necessarily be a positive outcome for general partners.

A pick-up in exits, he said, could expose the gap between firms that carried assets at realistic valuations and those that held valuations too high.

"It will shine a spotlight on those GPs that marked their assets conservatively and those GPs who marked their assets aggressively," Munfakh said. "We believe that will lead to a bifurcation in returns, more dispersion, and some private equity firms will struggle to raise capital going forward."

Pressed on whether return levels may need to head lower if investors want their money back, Munfakh told CNBC's Annette Weisbach: "We'll see."

"Last year was the first year in history that sponsor exits occurred at prices lower than where those assets were marked," he said.

A 'systemic failure of risk management'He said the pressure is particularly acute in the software sector, where private markets firms piled in at high valuations and high debt levels.

Software historically accounted for about 10% of global buyout volumes, but that figure has since swelled to about 40%.

"Our view is that that is a systemic failure of risk management across the asset class — to put 40% of capital into one single industry," he said.

Apollo.

Munfakh said AI would not wipe out every software company, but could lower barriers to entry, heaping pressure on growth and margins, and ultimately making some exits harder. "You can have bad deals and bad returns for good companies if you overpay, over-lever them, and price them to perfection," he said.

Apollo has taken a different path by focusing on so-called HALO assets — heavy asset, low obsolescence businesses — which he described as less vulnerable to rapid technological disruption, he added.

"We focus on using AI as a value creation lever, again buying these non-disruptible, real economy businesses… where AI is not only not a disruptive threat but really a lever for value creation," he said.

LAS VEGAS--(BUSINESS WIRE)--Light & Wonder, Inc. (ASX: LNW) (“Light & Wonder,” “L&W,” “we” or the “Company”) today reported results for the first quarter ended March 31, 2026.

Light & Wonder delivered a solid start to 2026 underpinned by its highly diversified business model, continued disciplined execution across all three businesses and strong cash flow generation, while demonstrating resilience against a backdrop of macroeconomic and geopolitical uncertainty, including tariff-related pressures. Consolidated revenue grew 2% year-over-year to $790 million, against a strong prior year period. We continue to execute against our commitment to deliver enhanced quality of earnings through recurring revenue(4), with Gaming operations and iGaming as the primary growth drivers during the quarter, each delivering double-digit year-over-year revenue increases. This was further underpinned by continued operational momentum and content strength. Net income was $52 million or $0.66 per share(5), down 37% and 30% year-over-year, respectively, reflecting approximately $50 million in legal reserve contingencies associated with certain legacy legal matters, which impacted year-over-year net income and net income per share(5) growth by approximately 61% and 67%, respectively. Net cash provided by operating activities was $139 million, a 25% decrease compared to the same period in 2025, primarily reflecting the payment of legal matter settlements in the quarter.

The first quarter demonstrated broad-based strength, with all three businesses delivering another quarter of segment AEBITDA growth and AEBITDA margin (“margins” or “margin”) expansion. Consolidated AEBITDA(2) grew 5% to $327 million, and Adjusted NPATA(2) was $115 million, resulting in 7% growth on a per share basis(2)(5) to $1.45 as compared to the prior year period. Adjusted Free cash flow(2) was $207 million, an 86% increase year-over-year, reflecting strong underlying cash generation across the business.

Gaming revenue increased 3% year-over-year to $512 million, driven by Gaming operations revenue, which increased 38% to $239 million and Table Products, which increased 24% to $63 million. Gaming machine sales revenue decreased 25%, primarily reflecting the timing of international and North America Video Lottery Terminal (“VLT”) shipments in the prior year period, while average selling price per unit remained resilient at around $19,700.

North American Gaming operations premium installed base grew for the 23rd consecutive quarter adding 650 units sequentially (over 2,550 on a year-over-year basis), and Grover charitable gaming (“Grover”) expanded its footprint by 660 units on a sequential basis, boosted by entry into the recently legalized Indiana market. In North America, we also shipped over 5,000 North American units this quarter.

(1) Represents business segment AEBITDA margin. Business segment AEBITDA is our primary segment measure of profit or loss under GAAP.

(2) Represents a non-GAAP financial measure. Additional information on non-GAAP financial measures presented herein is available at the end of this release.

(3) Excludes Grover charitable gaming units.

(4) Recurring revenue includes Gaming operations (inclusive of Grover), ongoing Gaming systems maintenance, table service/rental agreements, SciPlay and iGaming revenues.

(5) Per share amounts are calculated based on weighted average number of diluted shares.

iGaming once again delivered quarterly double-digit growth in revenue of 18% and AEBITDA of 22% on continuing U.S. momentum underpinned by first-party content proliferation and partner network growth. While SciPlay revenues remain challenged amid a mature social casino market, the business continued to grow both its direct-to-consumer (“DTC”) revenue and active users on a sequential basis.

Matt Wilson, President and Chief Executive Officer of Light & Wonder, said, “The first quarter of 2026 marks the beginning of the next phase of the Company’s growth trajectory: one defined by our content-centric operating model, deepening customer relationships, disciplined execution, expanding margins and enhanced capital structure. We are seeing the benefits of our continued investment in studios and content, as our franchises drive strong game performance across the portfolio. Gaming momentum remained robust, with our North American premium installed base growing for the 23rd consecutive quarter, and Grover continued its expansion into the recently legalized Indiana market. iGaming delivered another double-digit growth quarter in both revenue and AEBITDA, while SciPlay continued to expand its DTC revenue. Looking ahead, we remain focused on investing in product innovation and talent to further strengthen our recurring revenue model(1) and enhance our global competitive position as we progress toward our 2028 financial targets(2).”

Oliver Chow, Chief Financial Officer of Light & Wonder, said, “Our first quarter results reflect continued margin expansion across the businesses and scaling cash flow, driving the improving cash conversion profile of our business, while we make deliberate investments in AI and infrastructure that we believe will compound meaningfully over time to support both growth and efficiency. Our capital allocation priorities remain disciplined and unchanged: investing in high-return growth opportunities, managing our net debt leverage ratio(3) toward the lower end of our targeted range(2) and returning capital to shareholders meaningfully, having now repurchased 25% of total shares outstanding since the program’s inception(4). We maintained our net debt leverage ratio(3) within our targeted range(2) and expect to deleverage throughout 2026, supported by strong underlying business performance. Importantly, we remain committed to reducing our net debt leverage ratio(2) to below 3.0x during the first half of 2027, with the intention to accelerate share repurchases in the second quarter, creating sustainable long-term shareholder value.”

LEVERAGE, CAPITAL ALLOCATION AND BUSINESS UPDATE

Principal face value of debt outstanding(5) was $5.2 billion, translating to a net debt leverage ratio(3) of 3.5x as of March 31, 2026 or combined net debt leverage ratio(3) of 3.4x, remaining within our targeted net debt leverage ratio(2) range of 2.5x to 3.5x. Period end net debt leverage includes $137 million in litigation settlement payments. Repriced our Term Loan B in January 2026, reducing the applicable margin and resulting in a decrease in annualized interest costs of approximately $5 million. Returned $22 million of capital to shareholders through the repurchase of approximately 0.2 million CHESS Depositary Interests (“CDIs”) during the quarter. Since initiation of the prior share repurchase program in March of 2022, the Company has returned $1.9 billion to shareholders through the repurchase of 24.6 million shares or CDIs. This represents 25% of total outstanding shares prior to the commencement of the programs(4).
With approximately 79% of the authorized share repurchase program now utilized, we have remaining capacity of $314 million. We retain a flexible capital structure, which enables us to deploy balance sheet capacity when appropriate. Subject to the continuation of share repurchases(4), we are committed to deleveraging our balance sheet towards the mid-point of our targeted net debt leverage ratio range(2) over the course of FY 2026 and below 3.0x during the first half of 2027. (1) Recurring revenue includes Gaming operations (inclusive of Grover), ongoing Gaming systems maintenance, table service/rental agreements, SciPlay and iGaming revenues.

(2) Represent forward-looking non-GAAP financial measures presented on a supplemental basis. Additional information on non-GAAP financial measures presented herein is available at the end of this release.

(3) Represents a non-GAAP financial measure. Additional information on non-GAAP financial measures presented herein is available at the end of this release.

(4) Share repurchase activity is subject to necessary board approvals, capital allocation priorities and prevailing market conditions. Since inception refers to the initiation of the prior share repurchase program in March of 2022.

(5) Principal face value of debt outstanding represents outstanding principal value of debt balances that conform to the presentation found in Note 10 to the Condensed Consolidated Financial Statements in our Form 10-Q for the quarter ended March 31, 2026.

LEVERAGE, CAPITAL ALLOCATION AND BUSINESS UPDATE (Continued)

FY 2026 Financial outlook update: We expect a similar shape of earnings momentum to FY 2025, weighted towards the second half of the year and reflective of our growing recurring revenue base(1), the timing of investments and the timing of capital expenditures of our customer base. Full-year Consolidated AEBITDA(2) growth is expected to be in the mid- to high-single digits(3), as we continue to execute against our long-term strategy and 2028 financial targets(3). This outlook incorporates the impact of ongoing macroeconomic and geopolitical uncertainty, including tariff-related cost pressures and the pending increase in U.K. iGaming gambling duties. SUMMARY RESULTS

Three Months Ended March 31,

($ in millions except per share amounts)

2026

2025

Revenue

$

790

$

774

Net income

52

82

Net income per share – Diluted

0.66

0.94

Net cash provided by operating activities

139

185

Capital expenditures

74

61

Non-GAAP Financial Measures(2)

Consolidated AEBITDA

$

327

$

311

Adjusted NPATA

115

117

Adjusted NPATA per share – Diluted (or EPSa)

1.45

1.35

Adjusted Free cash flow

207

111

As of

Balance Sheet Measures

March 31, 2026

December 31, 2025

Cash and cash equivalents

$

147

$

167

Total debt

5,140

5,163

Available liquidity(4)

927

927

(1) Recurring revenue includes Gaming operations (inclusive of Grover), ongoing Gaming systems maintenance, table service/rental agreements, SciPlay and iGaming revenues.

(2) Represent non-GAAP financial measures. Additional information on non-GAAP financial measures presented herein is available at the end of this release.

(3) Represent forward-looking non-GAAP financial measures presented on a supplemental basis. Additional information on non-GAAP financial measures presented herein is available at the end of this release.

(4) Available liquidity is calculated as cash and cash equivalents plus remaining revolver capacity.

First Quarter 2026 Financial Highlights

First quarter consolidated revenue increased to $790 million as compared to $774 million, a 2% increase versus the prior year period. Gaming revenue grew 3%, benefiting from increases in Gaming operations and a $43 million contribution from Grover, while Table Products revenue grew 24% to $63 million. Gaming machine sales decreased 25% to $156 million, as the prior year period benefited from the timing of international and North America VLT shipments, while Gaming Systems revenue declined by 14% to $54 million, primarily due to lower hardware sales.
iGaming once again delivered double digit quarterly revenue growth, increasing 18% compared to the prior year period. SciPlay revenues decreased 7%, reflecting continued JACKPOT PARTY® Casino softness, despite resilient player monetization. DTC revenues expanded to 27% of total SciPlay revenue. Net income was $52 million as compared to $82 million, a 37% decrease from the prior year period, primarily reflecting approximately $50 million in legal reserve contingencies associated with certain legacy legal matters. Underlying operational performance remained strong, with consolidated revenue growth and AEBITDA margin expansion across all three businesses. These gains were more than offset by the legal reserve contingencies noted above and higher interest expense, reflecting incremental borrowings associated with the Grover acquisition. Net income per share(1) was $0.66, compared to $0.94 in the prior year period, a 30% decrease year-over-year. The legal reserve contingencies charge of $50 million impacted net income and net income per share(1) year-over-year growth by approximately 61% and 67%, respectively. Consolidated AEBITDA(2) was $327 million, compared to $311 million in the prior year period, a 5% increase driven by growth across all businesses, inclusive of strong segment AEBITDA margin expansion and contributions from Grover. Adjusted NPATA(2) was $115 million, as compared to $117 million in the prior year period, benefiting from revenue growth and expanded margins across all businesses, offset by higher interest expense, depreciation and amortization. Adjusted NPATA per share (EPSa)(1)(2) increased 7% to $1.45, compared to $1.35 in the prior year period. Net cash provided by operating activities was $139 million, compared to $185 million in the prior year period, primarily impacted by litigation settlement payments of $137 million(3). Adjusted Free cash flow(2) was $207 million, compared to $111 million in the prior year period, an 86% increase reflecting strong underlying earnings generation, the timing of receivable collections and lower income tax payments. Acknowledging some timing of working capital benefits, the strength of Adjusted Free cash flow(2) underscores the Company's scaling cash conversion profile over time. BUSINESS SEGMENT HIGHLIGHTS
FOR THE THREE MONTHS ENDED MARCH 31, 2026

  ($ in millions)

Revenue

AEBITDA

AEBITDA Margin(4)(5)

2026

2025

$

%

2026

2025

$

%

2026

2025

PP Change(5)

Gaming

$

512

$

495

$

17

3

%

$

271

$

254

$

17

7

%

53

%

51

%

2

SciPlay

187

202

(15

)

(7

)%

66

64

2

3

%

35

%

32

%

3

iGaming

91

77

14

18

%

33

27

6

22

%

36

%

35

%

1

Corporate and other(6)

—

—

—

—

%

(43

)

(34

)

(9

)

(26

)%

n/a

n/a

n/a

Total

$

790

$

774

$

16

2

%

$

327

$

311

$

16

5

%

41

%

40

%

1

PP — percentage points.

n/a — not applicable.

(1) Per share amounts are calculated based on weighted average number of diluted shares.

(2) Represents a non-GAAP financial measure. Additional information on non-GAAP financial measures presented herein is available at the end of this release.

(3) Additional terms of the Aristocrat settlement are described in the Company’s press release dated January 11, 2026, available on our website in the Investor Relations section.

(4) Segment AEBITDA Margin is calculated as segment AEBITDA as a percentage of segment revenue.

(5) As calculations are made using whole dollar numbers, actual results may vary compared to calculations presented in this table.

(6) Includes amounts not allocated to the business segments (including corporate costs) and other non-operating expenses (income).

First Quarter 2026 Business Segments Key Highlights

Gaming revenue was $512 million, up 3% compared to the prior year period. Gaming operations grew $66 million, or 38%, benefiting from an increase in our North American installed base of 1,805 units(1), up 5% year-over-year to 36,306 units(1). Our North American premium installed base grew for the 23rd consecutive quarter, and now represents 56% of our total North American installed base mix(1), with a unit increase of over 2,550 units on a year-over-year basis or 650 units on a sequential basis. Our diversified portfolio of successful game franchises and the continued proliferation of our COSMIC®, COSMIC UPRIGHT, LIGHTWAVE® and HORIZON® cabinets continued to drive growth and strong performance. The increase in Gaming revenue also benefited from Table Products revenue increasing 24%, while Gaming machine sales revenue decreased by 25%, reflecting the timing of international and North America VLT shipments in the prior year period, and Gaming Systems revenue decreased by 14%, primarily due to lower hardware sales.
Grover contributed $43 million to Gaming operations revenue, driven by a sequential increase of 660 units. At period end, Grover had over 12,200 installed base units.
Gaming AEBITDA was $271 million, up 7% compared to the prior year period due to revenue growth and favorable revenue mix, leading to margin expansion of 200 basis points, inclusive of Grover contributions. SciPlay revenue was $187 million, a 7% decrease compared to the prior year period. This was driven by a decline in average monthly JACKPOT PARTY® Casino payers, partially offset by an increase in average monthly revenue per paying user. Daily Active Users, or DAU, remained relatively flat sequentially, while monetization remains a key focus, as AMRPPU(2) grew 8% year-over-year to $126.30.
AEBITDA increased 3% to $66 million, and AEBITDA margin increased by 300 basis points, primarily driven by our growing DTC platform, a key building block in SciPlay’s margin enhancement initiatives. DTC contributed $50 million, or 27%, of the total SciPlay revenue for the quarter. iGaming revenue increased 18% to $91 million, and AEBITDA increased 22% to $33 million, with AEBITDA margin expanding around 100 basis points to 36%. This marks another consecutive quarter of double-digit growth in both revenue and AEBITDA driven by continued momentum in North America underpinned by first-party content proliferation and the expansion of our partner network. Wagers processed through our iGaming platform reached a quarterly record of $29.9 billion. Capital expenditures were $74 million in the first quarter of 2026, compared to $61 million in the prior year period, primarily due to investments made to support Gaming operations growth, including Grover. Earnings Conference Call

As previously announced, Light & Wonder executive leadership will host a conference call on Wednesday, May 6, 2026 at 7:00 p.m. EDT (Thursday, May 7, 2026 at 9:00 a.m. AEST) to review the Company’s first quarter results.

To access the call live via a listen-only webcast and presentation, please visit explore.investors.lnw.com and click on the webcast link under the Events and Presentations section.

To access the call by telephone, please register for a unique PIN at Light & Wonder earnings call and dial: +1 (844) 543-0451 for U.S., +61 1800 491 687 for Australia or +1 (864) 991-4103 for International. A replay of the webcast will be archived in the Investors section on www.lnw.com.

About Light & Wonder

Light & Wonder, Inc. is a leading cross-platform global games company. Through our three unique, yet highly complementary business segments, we deliver unforgettable experiences by combining the exceptional talents of our 6,500+ member team, with a deep understanding of our customers and players. We create immersive content that forges lasting connections with players, wherever they choose to engage. At Light & Wonder, it’s all about the games. The Company is committed to the highest standards of integrity, from promoting player responsibility to implementing sustainable practices. To learn more visit www.lnw.com.

You can access our filings with the Securities Exchange Commission (“SEC”) through the SEC website at www.sec.gov, with the Australian Securities Exchange (“ASX”) through the ASX website at www.asx.com.au or through our website, and we strongly encourage you to do so. We routinely post information that may be important to investors on our website at explore.investors.lnw.com, and we use our website as a means of disclosing material information to the public in a broad, non-exclusionary manner for purposes of the SEC’s Regulation Fair Disclosure. We also release material information to the ASX in compliance with the ASX Listing Rules.

The information contained on, or that may be accessed through, our website is not incorporated by reference into, and is not a part of, this document, and shall not be deemed “filed” under the Securities Exchange Act of 1934, as amended.

All ® notices signify marks registered in the United States. © 2026 Light & Wonder, Inc. All Rights Reserved.

Forward-Looking Statements

In this press release, Light & Wonder makes “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements describe future expectations, plans, results or strategies and can often be identified by the use of terminology such as “may,” “will,” “estimate,” “intend,” “plan,” “continue,” “believe,” “expect,” “anticipate,” “target,” “should,” “could,” “potential,” “opportunity,” “goal,” or similar terminology. These statements are based upon current Company management (“Management”) expectations, assumptions and estimates and are not guarantees of timing, future results or performance. Therefore, you should not rely on any of these forward-looking statements as predictions of future events. Actual results may differ materially from those contemplated in these statements due to a variety of risks and uncertainties and other factors, including, among other things:

our inability to successfully execute our strategy; slow growth of new gaming jurisdictions, slow addition of casinos in existing jurisdictions and declines in the replacement cycle of gaming machines; risks relating to foreign operations, including anti-corruption laws, fluctuations in currency rates, restrictions on the payment of dividends from earnings, restrictions on the import of products and financial instability; difficulty predicting what impact new or increased tariffs imposed by and other trade actions taken by the U.S. and foreign jurisdictions could have on our business; U.S. and international economic and industry conditions, including changes in consumer sentiment and discretionary spending, increases in benchmark interest rates and the effects of inflation; public perception of our response to environmental, social and governance (or “ESG”) issues; the effects of health epidemics, contagious disease outbreaks and public perception thereof; changes in, progress under, or the elimination of our share repurchase program; level of our indebtedness, higher interest rates, availability or adequacy of cash flows and liquidity to satisfy indebtedness, other obligations or future cash needs; inability to further reduce or refinance our indebtedness; restrictions and covenants in debt agreements, including those that could result in acceleration of the maturity of our indebtedness; competition; inability to win, retain or renew, or unfavorable revisions of, existing contracts, and the inability to enter into new contracts; risks and uncertainties of ongoing changes in U.K. gaming legislation, including any new or revised licensing and taxation regimes, responsible gambling requirements and/or sanctions on unlicensed providers; inability to adapt to, and offer products that keep pace with, evolving technology, including any failure of our investment of significant resources in our R&D efforts; failure of our investments in artificial intelligence and infrastructure to achieve some or all of their intended benefits, including improved efficiency and growth; failure to retain key management and employees; unpredictability and severity of catastrophic events, including but not limited to acts of terrorism, war, armed conflicts or hostilities, the impact such events may have on our customers, suppliers, employees, consultants, business partners or operations, as well as management’s response to any of the aforementioned factors; changes in demand for our products and services; dependence on suppliers and manufacturers; SciPlay’s dependence on certain key providers; ownership changes and consolidation in the gaming industry; fluctuations in our results due to seasonality and other factors; the risk that any potential disruptions from the Grover acquisition will harm relationships with customers, employees and suppliers; the possibility that the Company may be unable to achieve expected financial, operational and strategic benefits of the Grover acquisition and may not be able to successfully integrate Grover into the Company’s operations; risks relating to delisting our securities from Nasdaq and transitioning to a sole primary listing on the ASX, which could negatively affect the liquidity and trading prices of our common stock or CDIs, impacts our investors’ ability to trade in our securities and our access to the capital markets and could lead to price variations and other impacts on holders of our common stock, CDIs and other securities; risks associated with having a sole primary listing on the ASX and remaining an SEC registrant, including significant compliance costs and risks of noncompliance; security and integrity of our products and systems, including the impact of any security breaches or cyber-attacks; protection of our intellectual property, inability to license third-party intellectual property and the intellectual property rights of others; reliance on or failures in information technology and other systems; litigation and other liabilities relating to our business, including litigation and liabilities relating to our contracts and licenses, our products and systems, our employees (including labor disputes), intellectual property, environmental laws and our strategic relationships; reliance on technological blocking systems; challenges or disruptions relating to the completion of the domestic migration of, and recent acquisition integrations into, our enterprise resource planning system; laws, government regulations and new or increased trade tariffs, both foreign and domestic, including those relating to gaming, data privacy and security, including with respect to the collection, storage, use, transmission and protection of personal information and other consumer data, and environmental laws, and those laws and regulations that affect companies conducting business on the Internet, including online gambling; legislative interpretation and enforcement, regulatory perception and regulatory risks with respect to gaming, including Internet wagering, social gaming, prediction markets and sweepstakes; changes in tax laws or tax rulings, or the examination of our tax positions; opposition to legalized gaming or the expansion of such opposition and potential restrictions; significant opposition in some jurisdictions to interactive social gaming, including social casino gaming and how such opposition could lead these jurisdictions to adopt legislation or impose a regulatory framework to govern interactive social gaming or social casino gaming specifically, and how this could result in a prohibition on interactive social gaming or social casino gaming altogether, restrict our ability to advertise our games, or substantially increase our costs to comply with these regulations; expectations of the shift to regulated digital gaming; inability to develop successful products and services and capitalize on trends and changes in our industries, including the expansion of Internet and other forms of digital gaming; the continuing evolution of the scope of data privacy and security regulations, and our belief that the adoption of increasingly restrictive regulations in this area is likely within the U.S. and globally; incurrence of restructuring costs; goodwill impairment charges including changes in estimates or judgments related to our impairment analysis of goodwill or other intangible assets; stock price volatility; failure to maintain adequate internal control over financial reporting; dependence on key executives; natural events, including natural disasters, extreme weather and other natural events related to climate change, that disrupt our operations, or those of our customers, suppliers or regulators; and expectations of growth in total consumer spending on social casino gaming. Additional information regarding risks and uncertainties and other factors that could cause actual results to differ materially from those contemplated in forward-looking statements is included from time to time in our filings with the SEC and lodgements with the ASX, including the Company’s Current Reports on Form 8-K, Quarterly Reports on Form 10-Q and its latest Annual Report on Form 10-K for the year ended December 31, 2025 filed with the SEC on February 24, 2026 (including under the headings “Forward-Looking Statements” and “Risk Factors”). Forward-looking statements speak only as of the date they are made and, except for our ongoing obligations under the U.S. federal securities laws and ASX Listing Rules obligations, we undertake no, and expressly disclaim any, obligation to publicly update any forward-looking statements whether as a result of new information, future events or otherwise.

You should also note that this press release may contain references to industry market data and certain industry forecasts. Industry market data and industry forecasts are obtained from publicly available information and industry publications. Industry publications generally state that the information contained therein has been obtained from sources believed to be reliable, but that the accuracy and completeness of that information is not guaranteed. Although we believe industry information to be accurate, it is not independently verified by us, and we do not make any representation as to the accuracy of that information. In general, we believe there is less publicly available information concerning the international gaming, charitable gaming, social and digital gaming industries than the same industries in the U.S.

Due to rounding, certain numbers presented herein may not precisely recalculate. Unless otherwise stated, ‘$’ denotes U.S. dollars.

LIGHT & WONDER, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited, in millions, except per share amounts)

Three Months Ended

March 31,

2026

2025

Revenue:

Services

$

595

$

527

Products

195

247

Total revenue

790

774

Operating expenses:

Cost of services(1)

110

111

Cost of products(1)

84

100

Selling, general and administrative

237

217

Research and development

67

65

Depreciation, amortization and impairments

108

91

Restructuring and other

54

20

Total operating expenses

660

604

Operating income

130

170

Other (expense) income:

Interest expense

(81

)

(68

)

Loss on debt financing transactions

(2

)

(1

)

Other income, net

15

4

Total other expense, net

(68

)

(65

)

Net income before income taxes

62

105

Income tax expense

(10

)

(23

)

Net income

$

52

$

82

Basic and diluted net income per share:

Basic

$

0.68

$

0.97

Diluted

$

0.66

$

0.94

Weighted average number of shares used in per share calculations:

Basic shares

77.6

85.0

Diluted shares

79.2

86.9

(1) Excludes depreciation, amortization and impairments.

LIGHT & WONDER, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited, in millions)

March 31,

December 31,

2026

2025

Assets:

Cash and cash equivalents

$

147

$

167

Restricted cash

102

94

Receivables, net of allowance for credit losses of $28 and $29, respectively

614

689

Inventories, net

185

169

Prepaid expenses, deposits and other current assets

157

164

Total current assets

1,205

1,283

Restricted cash

4

5

Receivables, net of allowance for credit losses of $3 and $2, respectively

94

96

Property and equipment, net

347

348

Operating lease right-of-use assets

42

43

Goodwill

3,370

3,371

Intangible assets, net

769

808

Software, net

195

191

Deferred income taxes

279

254

Other assets

60

63

Total assets

$

6,365

$

6,462

Liabilities and Stockholders’ Equity:

Current portion of long-term debt

$

58

$

53

Accounts payable

147

189

Accrued liabilities

437

535

Income taxes payable

34

26

Total current liabilities

676

803

Deferred income taxes

10

11

Operating lease liabilities

28

29

Other long-term liabilities

258

264

Long-term debt, excluding current portion

5,082

5,110

Total stockholders’ equity

311

245

Total liabilities and stockholders’ equity

$

6,365

$

6,462

LIGHT & WONDER, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited, in millions)

Three Months Ended

March 31,

2026

2025

Cash flows from operating activities:

Net income

$

52

$

82

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

111

107

Changes in working capital accounts, excluding the effects of acquisitions

(24

)

(4

)

Net cash provided by operating activities

139

185

Cash flows from investing activities:

Capital expenditures

(74

)

(61

)

Other

1

(1

)

Net cash used in investing activities

(73

)

(62

)

Cash flows from financing activities:

(Payments) proceeds of long-term debt, net

(25

)

35

Payments of debt issuance and deferred financing costs

(2

)

(3

)

Payments on license obligations

(4

)

(5

)

Purchase of L&W common stock

(22

)

(166

)

Net redemptions of common stock under stock-based compensation plans and other

(26

)

(32

)

Net cash used in financing activities

(79

)

(171

)

Effect of exchange rate changes on cash, cash equivalents and restricted cash

—

3

Decrease in cash, cash equivalents and restricted cash

(13

)

(45

)

Cash, cash equivalents and restricted cash, beginning of period

266

312

Cash, cash equivalents and restricted cash, end of period

$

253

$

267

Supplemental cash flow information:

Cash paid for interest

$

68

$

54

Income taxes paid

15

24

Supplemental non-cash transactions:

Non-cash interest expense

$

3

$

2

LIGHT & WONDER, INC. AND SUBSIDIARIES

RECONCILIATION OF CONSOLIDATED AEBITDA, NORMALIZED EBITDA, NORMALIZED EBITA, ADJUSTED NPATA, AND ADJUSTED NPAT, SUPPLEMENTAL BUSINESS SEGMENT DATA AND RECONCILIATION TO CONSOLIDATED AEBITDA MARGIN

(Unaudited, in millions)

Three Months Ended

March 31,

2026

2025

Reconciliation of Net Income to Consolidated AEBITDA

Net income

$

52

$

82

Restructuring and other(1)

54

20

Other income, net

(12

)

(1

)

Loss on debt financing transactions

2

1

Income tax impact on adjustments

(9

)

(5

)

Adjusted NPAT

87

97

Amortization of acquired intangibles and impairments(2)

36

26

Income tax impact on adjustments

(8

)

(6

)

Adjusted NPATA

115

117

Interest expense

81

68

Income tax expense and adjustments

27

34

Normalized EBITA(3)

223

219

Depreciation and amortization expense

72

65

Normalized EBITDA

295

284

Stock-based compensation

32

27

Consolidated AEBITDA

$

327

$

311

Supplemental Business Segment Data

Business segments AEBITDA

Gaming

$

271

$

254

SciPlay

66

64

iGaming

33

27

Total business segments AEBITDA

370

345

Corporate and other(4)

(43

)

(34

)

Consolidated AEBITDA

$

327

$

311

Reconciliation to Consolidated AEBITDA Margin

Net income

$

52

$

82

Consolidated AEBITDA

327

311

Revenue

790

774

Net income margin

7

%

11

%

Consolidated AEBITDA margin (Consolidated AEBITDA/Revenue)

41

%

40

%

(1) Refer to the Consolidated AEBITDA definition below for a description of items included in restructuring and other.

(2) Includes $2 million and $3 million in impairment charges for the three months ended March 31, 2026 and 2025, respectively.

(3) Represents normalized earnings before interest, taxes and amortization of acquired intangibles and impairments. Refer to non-GAAP financial measure definitions below for further details.

(4) Includes amounts not allocated to the business segments (including corporate costs) and other non-operating expenses (income).

LIGHT & WONDER, INC. AND SUBSIDIARIES

RECONCILIATION OF NET INCOME PER SHARE TO ADJUSTED NPATA PER SHARE ON DILUTED BASIS

(Unaudited, in per share amounts)

Three Months Ended

March 31,

2026

2025

Reconciliation of Net Income Per Share to Adjusted NPATA Per Share

Net income per share – Diluted

$

0.66

$

0.94

Amortization of acquired intangibles and impairments

0.45

0.30

Restructuring and other

0.68

0.23

Other income, net

(0.14

)

—

Loss on debt financing transactions

0.02

0.01

Income tax impact on adjustments

(0.22

)

(0.13

)

Adjusted NPATA per share – Diluted

$

1.45

$

1.35

LIGHT & WONDER, INC. AND SUBSIDIARIES

SUPPLEMENTAL INFORMATION - SEGMENT KEY PERFORMANCE INDICATORS AND SUPPLEMENTAL FINANCIAL DATA

(Unaudited, in millions, except unit and per unit data or as otherwise noted)

Three Months Ended

March 31,

March 31,

December 31,

2026

2025

2025

Gaming Business Segment Supplemental Financial Data:

Revenue by Line of Business:

Gaming operations(1)

$

239

$

173

$

237

Gaming machine sales

156

208

234

Gaming systems

54

63

77

Table products

63

51

54

Total revenue

$

512

$

495

$

602

Gaming Operations:

U.S. and Canada:(1)

Installed base at period end

48,600

34,501

48,326

Average daily revenue per unit

$

48.01

$

46.68

$

47.00

International:(2)

Installed base at period end

18,710

19,896

18,898

Average daily revenue per unit

$

15.96

$

15.07

$

15.49

Gaming Machine Sales:

U.S. and Canada new unit shipments

5,024

5,769

7,000

International new unit shipments

2,176

4,001

5,361

Total new unit shipments

7,200

9,770

12,361

Average sales price per new unit

$

19,722

$

19,996

$

17,168

Gaming Machine Unit Sales Components:

U.S. and Canada unit shipments:

Replacement units

4,731

5,398

6,396

Casino opening and expansion units

293

371

604

Total unit shipments

5,024

5,769

7,000

International unit shipments:

Replacement units

2,107

2,998

5,361

Casino opening and expansion units

69

1,003

—

Total unit shipments

2,176

4,001

5,361

SciPlay Business Segment Supplemental Financial Data:

Revenue by Platform:

Third-party platforms and other(3)

$

137

$

175

$

147

Direct-to-consumer platforms

50

27

48

Total revenue

$

187

$

202

$

195

In-App Purchases:

Average MAU(4)

5.1

5.5

4.9

Average DAU(5)

1.9

2.1

1.9

ARPDAU(6)

$

1.05

$

1.06

$

1.10

Average MPU(7) (in thousands)

486

572

483

AMRPPU(8)

$

126.30

$

116.96

$

133.24

Payer Conversion Rate(9)

9.6

%

10.4

%

9.9

%

iGaming Business Segment Supplemental Data:

Wagers processed through Open Gaming System (in billions)

$

29.9

$

25.2

$

29.2

  (1) Inclusive of Grover charitable gaming installed base.

(2) Units exclude those related to game content licensing.

(3) Other primarily represents advertising revenue, which was not material for the periods presented.

(4) MAU = Monthly Active Users is a count of visitors to our sites during a month. An individual who plays multiple games or from multiple devices may, in certain circumstances, be counted more than once. However, we use third-party data to limit the occurrence of multiple counting.

(5) DAU = Daily Active Users is a count of visitors to our sites during a day. An individual who plays multiple games or from multiple devices may, in certain circumstances, be counted more than once. However, we use third-party data to limit the occurrence of multiple counting.

(6) ARPDAU = Average Revenue Per DAU is calculated by dividing revenue for a period by the DAU for the period by the number of days for the period.

(7) MPU = Monthly Paying Users is the number of individual users who made an in-game purchase during a particular month.

(8) AMRPPU = Average Monthly Revenue Per Paying User is calculated by dividing average monthly revenue by average MPUs for the applicable time period.

(9) Payer conversion rate is calculated by dividing average MPU for the period by the average MAU for the same period.

LIGHT & WONDER, INC. AND SUBSIDIARIES

RECONCILIATION OF NET INCOME TO CONSOLIDATED AEBITDA

(Unaudited, in millions)

Twelve Months Ended

March 31, 2026

December 31, 2025

Net income

$

246

$

276

Restructuring and other

253

219

Depreciation, amortization and impairments

424

406

Other expense, net

2

13

Interest expense

327

314

Income tax expense

76

89

Stock-based compensation

125

121

Loss on debt financing transactions

6

5

Consolidated AEBITDA

$

1,459

$

1,443

RECONCILIATION OF GROVER OPERATING INCOME TO GROVER ADJUSTED EBITDA

(Unaudited, in millions)

For the Period

For the Period

from April 1, 2025

from January 1, 2025

to May 15, 2025

to May 15, 2025

Grover Charitable Gaming operating income

$

14

$

40

Depreciation and amortization

2

6

Grover Adjusted EBITDA(1)

$

16

$

46

Twelve Months Ended

March 31, 2026

December 31, 2025

Combined AEBITDA(2)

$

1,475

$

1,489

RECONCILIATION OF PRINCIPAL FACE VALUE OF DEBT OUTSTANDING TO NET DEBT, NET DEBT LEVERAGE RATIO AND COMBINED NET DEBT LEVERAGE RATIO

(Unaudited, in millions, except for ratios)

As of

March 31, 2026

December 31, 2025

Consolidated AEBITDA

$

1,459

$

1,443

Combined AEBITDA(2)

1,475

1,489

Total debt

$

5,140

$

5,163

Add: Unamortized debt discount/premium and deferred financing costs, net

42

44

Principal face value of debt outstanding

5,182

5,207

Less: Cash and cash equivalents

147

167

Net debt

$

5,035

$

5,040

Net debt leverage ratio

3.5

3.5

Combined net debt leverage ratio(3)

3.4

3.4

(1) Grover Adjusted EBITDA, a non-GAAP measure, is unaudited and based on preliminary estimates and assumptions. See below for further description and disclaimers associated with this non-GAAP measure.

(2) Combined AEBITDA consists of Consolidated AEBITDA and Grover Adjusted EBITDA. Refer to non-GAAP financial measure definitions below for further details.

(3) Combined net debt leverage ratio represents Net debt divided by Combined AEBITDA. Refer to non-GAAP financial measure definitions below for further details.

LIGHT & WONDER, INC. AND SUBSIDIARIES

RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO FREE CASH FLOW AND ADJUSTED FREE CASH FLOW

(Unaudited, in millions)

Three Months Ended

March 31,

2026

2025

Net cash provided by operating activities

$

139

$

185

Less: Capital expenditures

(74

)

(61

)

Less: Payments on license obligations

(4

)

(5

)

Less: Change in restricted cash impacting working capital

(6

)

(8

)

Free cash flow

55

111

Add: Legal settlements and related

137

—

Add: Strategic initiatives and M&A transactions costs(1)

15

—

Adjusted Free cash flow

$

207

$

111

(1) Professional fees, services and other costs related to strategic initiatives, the Grover acquisition and transition to an ASX sole primary listing.

Non-GAAP Financial Measures

Management uses the following non-GAAP financial measures in conjunction with GAAP financial measures: Adjusted NPAT, Adjusted NPATA, Adjusted NPATA per share (on a diluted basis) (also referred to as EPSa), Normalized EBITA, Normalized EBITDA, Consolidated AEBITDA, Grover Adjusted EBITDA, Combined AEBITDA, Consolidated AEBITDA margin, Free cash flow, Adjusted Free cash flow, Net debt, Net debt leverage ratio and Combined net debt leverage ratio (each, as described more fully below). These non-GAAP financial measures are presented as supplemental disclosures. They should not be considered in isolation of, as a substitute for, or superior to, the financial information prepared in accordance with GAAP and should be read in conjunction with the Company’s financial statements filed with the SEC and lodged with the ASX. The non-GAAP financial measures used by the Company may differ from similarly titled measures presented by other companies.

Following our transition to a sole primary listing on the ASX, Management introduced usage of Adjusted NPAT, Adjusted NPATA, Adjusted NPATA per share (EPSa), Normalized EBITA and Normalized EBITDA, all of which are non-GAAP financial measures and are widely used to measure the performance as well as a principal basis for valuation of gaming and other companies listed on the ASX.

Specifically, Management uses Consolidated AEBITDA to, among other things: (i) monitor and evaluate the performance of the Company’s operations; (ii) facilitate Management’s internal and external comparisons of the Company’s consolidated historical operating performance; and (iii) analyze and evaluate financial and strategic planning decisions regarding future operating investments and operating budgets.

In addition, Management uses Consolidated AEBITDA and Consolidated AEBITDA margin to facilitate its external comparisons of the Company’s consolidated results to the historical operating performance of other companies that may have different capital structures and debt levels.

Following the closing of the Grover acquisition, Management introduced usage of certain of these non-GAAP financial measures on a “Combined” basis. Combined non-GAAP financial measures include results for both the Company and Grover on a combined basis, inclusive of periods prior to the closing of the acquisition. The Combined measures do not reflect any pro forma adjustments or other adjustments for costs related to integration activities, cost savings or other synergies that have been or may have been achieved if the business combination occurred as of the beginning of the applicable twelve-month period. We cannot assure you that such measures would not be materially different if such information were audited or that our actual results would not differ materially from the Combined measures if the acquisition had been completed as of the beginning of the applicable twelve-month period.

Management uses Net debt, Net debt leverage ratio and Combined net debt leverage ratio in monitoring and evaluating the Company’s overall liquidity, financial flexibility and leverage.

Management believes that these non-GAAP financial measures are useful as they provide Management and investors with information regarding the Company’s financial condition and operating performance that is an integral part of Management’s reporting and planning processes. In particular, Management believes Adjusted NPAT, Adjusted NPATA, Adjusted NPATA per share, Normalized EBITA and Normalized EBITDA are useful for investors because they provide investors with additional perspective on performance, as the measures eliminate the effects of, as applicable, amortization of acquired intangible assets, restructuring, transaction, integration, certain other items, and the income tax impact on such adjustments, which Management believes are less indicative of the ongoing underlying performance of operations and are better evaluated separately. These measures are widely used to measure performance of gaming and other companies listed on the ASX.

Management believes that Consolidated AEBITDA is helpful because this non-GAAP financial measure eliminates the effects of restructuring, transaction, integration or other items that Management believes are less indicative of the ongoing underlying performance of the Company’s operations (as more fully described below) and are better evaluated separately. Management believes that Free cash flow and Adjusted Free cash flow provide useful information regarding the Company’s liquidity and its ability to service debt and fund investments.

Management believes that the Combined measures are useful to investors because they provide additional information regarding the combined business of the Company and Grover across the periods being presented, allowing for more meaningful comparisons of overall liquidity, financial flexibility and leverage.

Management also believes that Free cash flow and Adjusted Free cash flow are useful for investors because they provide investors with important perspectives on the cash available for debt repayment and other strategic measures, after making necessary capital investments in property and equipment, necessary license payments to support the ongoing business operations, adjustments for changes in restricted cash impacting working capital, and, in the case of Adjusted Free cash flow, further adjustments for legal settlements and strategic initiatives cash payments.

Adjusted NPAT and Adjusted NPATA

Adjusted NPAT and Adjusted NPATA, as used herein, are non-GAAP financial measures that are presented as supplemental disclosures of the Company’s operations and are reconciled to net income as the most directly comparable GAAP measure, as set forth in the schedule titled “Reconciliation of Consolidated AEBITDA, Normalized EBITDA, Normalized EBITA, Adjusted NPATA and Adjusted NPAT, Supplemental Business Segment Data and Reconciliation to Consolidated AEBITDA Margin,” which includes reconciliations for several non-GAAP financial measures. Adjusted NPAT and Adjusted NPATA should not be considered in isolation of, as a substitute for, or superior to, the consolidated financial information prepared in accordance with GAAP and should be read in conjunction with the Company's financial statements filed with the SEC and lodged with the ASX. Adjusted NPAT and Adjusted NPATA may differ from similarly titled measures presented by other companies.

Adjusted NPAT is reconciled to Net income and includes the following adjustments, as applicable: (1) Restructuring and other, which includes charges or expenses attributable to: (i) employee severance; (ii) Management restructuring and related costs; (iii) restructuring and integration; (iv) cost savings initiatives; (v) major litigation; and (vi) acquisition- and disposition-related costs, strategic initiatives and other unusual items; (2) Loss on debt financing transactions; (3) Change in fair value of investments and Gain on remeasurement of debt and other; (4) Income tax impact on adjustments; and (5) Other income, net, including foreign currency gains or losses and earnings from equity investments. Adjusted NPATA is reconciled to Net income and includes the following incremental adjustments to those used to reconcile Adjusted NPAT: (1) Amortization of acquired intangible assets; (2) Non-cash asset and goodwill impairments; and (3) Income tax impact on adjustments.

Adjusted NPATA Per Share – Diluted (EPSa)

Adjusted NPATA per share (EPSa), as used herein, is a non-GAAP financial measure that is presented as a supplemental disclosure of the Company’s operations on diluted basis and is reconciled to diluted net income per share as the most directly comparable GAAP measure, as set forth in the schedule titled “Reconciliation of Net Income Per Share to Adjusted NPATA Per Share on Diluted Basis.” Adjusted NPATA per share should not be considered in isolation of, as a substitute for, or superior to, the consolidated financial information prepared in accordance with GAAP and should be read in conjunction with the Company's financial statements filed with the SEC and lodged with the ASX. Adjusted NPATA per share may differ from similarly titled measures presented by other companies. Adjusted NPATA per share is reconciled to diluted net income per share and includes the same adjustments with respect to Adjusted NPATA as described in the schedule titled “Reconciliation of Consolidated AEBITDA, Normalized EBITDA, Normalized EBITA, Adjusted NPATA and Adjusted NPAT, Supplemental Business Segment Data and Reconciliation to Consolidated AEBITDA Margin” in per share amounts. Adjusted NPATA per share target, or Targeted EPSa, denotes a non-GAAP financial measure. We are not providing a forward-looking quantitative reconciliation of Adjusted NPATA per share target to the most directly comparable GAAP measure because we are unable to do so without unreasonable efforts or to reasonably estimate the projected outcome of certain significant items. These items are uncertain, depend on various factors out of our control and could have a material impact on the corresponding measures calculated in accordance with GAAP.

Normalized EBITA and Normalized EBITDA

Normalized EBITA and Normalized EBITDA, as used herein, are non-GAAP financial measures that are presented as supplemental disclosures of the Company’s operations and are reconciled to net income as the most directly comparable GAAP measure, as set forth in the schedule titled “Reconciliation of Consolidated AEBITDA, Normalized EBITDA, Normalized EBITA, Adjusted NPATA and Adjusted NPAT, Supplemental Business Segment Data and Reconciliation to Consolidated AEBITDA Margin,” which includes reconciliations for several non-GAAP financial measures. Normalized EBITA and Normalized EBITDA should not be considered in isolation of, as a substitute for, or superior to, the consolidated financial information prepared in accordance with GAAP and should be read in conjunction with the Company's financial statements filed with the SEC and lodged with the ASX. Normalized EBITA and Normalized EBITDA may differ from similarly titled measures presented by other companies.

Normalized EBITA is reconciled to Net income and includes the following adjustments, as applicable: (1) Restructuring and other, which includes charges or expenses attributable to: (i) employee severance; (ii) Management restructuring and related costs; (iii) restructuring and integration; (iv) cost savings initiatives; (v) major litigation; and (vi) acquisition- and disposition-related costs, strategic initiatives and other unusual items; (2) Loss on debt financing transactions; (3) Change in fair value of investments and Gain on remeasurement of debt and other; (4) Other income, net, including foreign currency gains or losses and earnings from equity investments; (5) Amortization of acquired intangible assets; (6) Non-cash asset and goodwill impairments; (7) Interest expense; and (8) Income tax expense and impact on adjustments. Normalized EBITDA is reconciled to Net income and, along with the adjustments used to reconcile Normalized EBITA, includes an adjustment for depreciation and amortization expense.

Consolidated AEBITDA

Consolidated AEBITDA, as used herein, is a non-GAAP financial measure that is presented as a supplemental disclosure of the Company’s operations and is reconciled to net income as the most directly comparable GAAP measure, as set forth in the schedule titled “Reconciliation of Consolidated AEBITDA, Normalized EBITDA, Normalized EBITA, Adjusted NPATA and Adjusted NPAT, Supplemental Business Segment Data and Reconciliation to Consolidated AEBITDA Margin,” which includes reconciliations for several non-GAAP financial measures. Consolidated AEBITDA should not be considered in isolation of, as a substitute for, or superior to, the consolidated financial information prepared in accordance with GAAP and should be read in conjunction with the Company's financial statements filed with the SEC and lodged with the ASX. Consolidated AEBITDA may differ from similarly titled measures presented by other companies.

Consolidated AEBITDA is reconciled to Net income and includes the following adjustments, as applicable: (1) Restructuring and other, which includes charges or expenses attributable to: (i) employee severance; (ii) management restructuring and related costs; (iii) restructuring and integration; (iv) cost savings initiatives; (v) major litigation; and (vi) acquisition- and disposition-related costs, strategic initiatives and other unusual items; (2) Depreciation, amortization and impairment charges and Goodwill impairments; (3) Loss on debt financing transactions; (4) Change in fair value of investments and Gain on remeasurement of debt and other; (5) Interest expense; (6) Income tax expense and impact on adjustments; (7) Stock-based compensation; and (8) Other income, net, including foreign currency gains or losses and earnings from equity investments. AEBITDA is presented exclusively as our segment measure of profit or loss. Consolidated AEBITDA target denotes a non-GAAP financial measure. We are not providing a forward-looking quantitative reconciliation of Consolidated AEBITDA target to the most directly comparable GAAP measure because we are unable to do so without unreasonable efforts or to reasonably estimate the projected outcome of certain significant items. These items are uncertain, depend on various factors out of our control and could have a material impact on the corresponding measures calculated in accordance with GAAP.

Grover Adjusted EBITDA

Grover Adjusted EBITDA, as used herein, is a non-GAAP financial measure that is presented as a supplemental disclosure, is unaudited and based on preliminary estimates and assumptions, and is reconciled to Grover Charitable Gaming’s operating income, the most directly comparable GAAP measure, as set forth in the schedule titled “Reconciliation of Grover Operating Income to Grover Adjusted EBITDA.” Grover Adjusted EBITDA should not be considered in isolation of, as a substitute for, or superior to, the consolidated financial information prepared in accordance with GAAP and should be read in conjunction with the Company's financial statements filed with the SEC and lodged with the ASX. Grover Adjusted EBITDA may differ materially from similarly titled measures presented by other companies, including Consolidated AEBITDA, and is presented solely for the purposes of calculating and reconciling Combined AEBITDA and calculating Combined net debt leverage ratio, including periods prior to the acquisition. Grover Adjusted EBITDA is not calculated consistently with Consolidated AEBITDA, and includes different adjustments based on the unaudited and preliminary financial statements provided by Grover’s management prior to the closing of the acquisition.

Grover Adjusted EBITDA is reconciled to Grover Charitable Gaming’s operating income, and includes the following adjustments, as applicable: (1) depreciation and amortization; (2) other income/expenses primarily related to non-operating gain and losses; and (3) elimination of certain non-recurring distribution costs expected to be eliminated in connection with the consummation of the acquisition and certain other immaterial adjustments.

Combined AEBITDA

Combined AEBITDA, as used herein, is a non-GAAP financial measure that combines Consolidated AEBITDA and Grover Adjusted EBITDA and is presented as a supplemental disclosure. Combined AEBITDA should not be considered in isolation of, as a substitute for, or superior to, the consolidated financial information prepared in accordance with GAAP and should be read in conjunction with the Company's financial statements filed with the SEC and lodged with the ASX. Combined AEBITDA may differ from similarly titled measures presented by other companies and is presented only for purposes of calculating and reconciling Combined net debt leverage ratio.

Consolidated AEBITDA Margin

Consolidated AEBITDA margin, as used herein, represents our Consolidated AEBITDA (as defined above) calculated as a percentage of consolidated revenue. Consolidated AEBITDA margin is a non-GAAP financial measure that is presented as a supplemental disclosure for illustrative purposes only and is reconciled to net income, the most directly comparable GAAP measure, in the schedule above titled “Reconciliation of Consolidated AEBITDA, Normalized EBITDA, Normalized EBITA, Adjusted NPATA and Adjusted NPAT, Supplemental Business Segment Data and Reconciliation to Consolidated AEBITDA Margin.”

Free Cash Flow and Adjusted Free Cash Flow

Free cash flow, as used herein, represents net cash provided by operating activities less total capital expenditures, less payments on license obligations, plus payments on contingent acquisition considerations and adjusted for changes in restricted cash impacting working capital. Adjusted Free cash flow is further adjusted for legal settlements and strategic initiatives cash payments. Free cash flow and Adjusted Free cash flow are non-GAAP financial measures that are presented as supplemental disclosures for illustrative purposes only and are reconciled to net cash provided by operating activities, the most directly comparable GAAP measure, in the schedule above titled “Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow and Adjusted Free Cash Flow.”

Net Debt, Net Debt Leverage Ratio and Combined Net Debt Leverage Ratio

Net debt is defined as total principal face value of debt outstanding, the most directly comparable GAAP measure, less cash and cash equivalents. Principal face value of debt outstanding includes the face value of debt issued under Senior Secured Credit Facilities and Senior Notes, which are described in Note 14 of the Company's Annual Report on Form 10-K for the year ended December 31, 2025 and in Note 10 of the Company’s Quarterly Report on Form 10-Q for the three months ended March 31, 2026.

Net debt leverage ratio, as used herein, represents Net debt divided by Consolidated AEBITDA. Combined net debt leverage ratio, as used herein, represents Net debt divided by Combined AEBITDA. The forward-looking non-GAAP financial measure targeted net debt leverage ratio is presented on a supplemental basis and does not reflect Company guidance. We are not providing a forward-looking quantitative reconciliation of targeted net debt leverage ratio to the most directly comparable GAAP measure because we are unable to predict with reasonable certainty the ultimate outcome of certain significant items without unreasonable effort. These items are uncertain, depend on various factors and could have a material impact on GAAP reported results for the relevant period.

More News From Light & Wonder, Inc.

, /PRNewswire/ -- Under Armour, Inc. (NYSE: UA, UAA) today announced that it will release its fourth quarter and full-year fiscal 2026 financial results, for the period ended March 31, 2026, on May 12, 2026.

Following the earnings release, which will be issued at approximately 6:55 a.m. Eastern Time (ET), Under Armour management will host a conference call at approximately 8:30 a.m. ET to discuss the company's results.

The conference call will be webcast live and available for replay on Under Armour's Investor Relations website at: https://about.underarmour.com/investor-relations/financials. 

About Under Armour, Inc.

Under Armour, Inc., based in Baltimore, Maryland, is a global performance brand committed to empowering athletes everywhere. Since 1996, the company has advanced how athletes train, compete, and recover through innovative apparel, footwear, and accessories. In partnership with elite athletes and game changers, Under Armour is shaping the future of sport and inspiring those who strive for more. Learn more at http://about.underarmour.com. 

SOURCE Under Armour, Inc.

, /PRNewswire/ -- Under Armour, Inc. (NYSE: UAA, UA) today announced unaudited financial results for the fourth quarter and full-year fiscal 2026, which ended March 31, 2026. Results are reported in accordance with United States Generally Accepted Accounting Principles ("U.S. GAAP"). References to "constant currency" and "adjusted" results are non-GAAP financial measures; reconciliations are provided below.

"Our fiscal 2026 performance reflects the ongoing intentional steps we're taking to reset the business and restore the discipline required to operate as a best-in-class brand," said Kevin Plank, President and CEO of Under Armour. "Over the past two years, we've addressed structural and macro challenges head-on while elevating our product strategy. We're streamlining our operating model and increasing accountability in execution, driving a more controlled and predictable business."

Plank continued, "As our topline stabilizes in fiscal 2027, we are applying the same rigor that is strengthening our product engine to our storytelling capabilities. Building world-class, modern marketing excellence is now our highest priority that we believe will accelerate consumer demand and help reshape Under Armour's profit profile."

Fourth Quarter Fiscal 2026 Review

Revenue decreased 1 percent to $1.2 billion (down 4 percent constant currency). North America revenue declined 7 percent to $641 million, while international revenue increased 10 percent to $539 million (up 3 percent constant currency). Within international markets, EMEA revenue increased 7 percent (down 1 percent constant currency), Asia-Pacific increased 13 percent (up 8 percent constant currency), and Latin America increased 22 percent (up 8 percent constant currency). Wholesale revenue decreased 3 percent to $748 million and direct-to-consumer (DTC) revenue increased 5 percent to $406 million. Within DTC, owned-and-operated store revenue grew 8 percent, and eCommerce revenue was flat, representing 35 percent of total DTC revenue for the quarter. By category, apparel revenue was flat at $778 million, footwear was flat at $282 million, and accessories grew 2 percent to $94 million. Gross margin declined 470 basis points to 42.0 percent, primarily due to higher tariffs, as well as higher product costs, pricing headwinds, and unfavorable regional mix, partially offset by foreign exchange gains and favorable channel mix. Excluding restructuring impacts, adjusted gross margin declined 360 basis points to 43.1 percent. Selling, general and administrative (SG&A) expenses decreased 15 percent to $518 million, primarily reflecting lower marketing spend due to timing shifts, with most prior-year spending occurring in the second half, along with lower incentive compensation and overall expense management. Excluding $15 million in transformation expenses related to the Fiscal 2025 Restructuring Plan, adjusted SG&A declined 14 percent to $503 million. Restructuring charges totaled $8 million. Operating loss was $34 million. Excluding transformation and restructuring charges, adjusted operating income was $3 million. Net loss was $43 million. Adjusted net loss was $11 million, which excludes transformation and restructuring charges. Diluted loss per share was $0.10; adjusted diluted loss per share was $0.03. Inventory decreased 3 percent to $915 million. Liquidity: Cash and cash equivalents totaled $309 million at quarter-end. The company also held $605 million in restricted investments designated for the repayment of its senior notes due in June 2026. At quarter-end, $200 million of borrowings were outstanding under its $1.1 billion revolving credit facility. Full Year Fiscal 2026 Review

Revenue decreased 4 percent to $5.0 billion (down 5 percent constant currency). North America revenue decreased by 8 percent to $2.9 billion, while international revenue grew by 4 percent to $2.1 billion (flat constant currency). Within the international business, revenue increased 9 percent in EMEA (up 3 percent constant currency), declined by 5 percent in Asia-Pacific (down 6 percent constant currency), and increased 9 percent in Latin America (up 6 percent constant currency). Wholesale revenue decreased 5 percent to $2.8 billion, and DTC revenue declined 2 percent to $2.1 billion. Revenue from owned and operated stores increased 1 percent, while eCommerce revenue decreased 7 percent, and accounted for 33 percent of the total DTC business for the year. Apparel revenue decreased 2 percent to $3.4 billion; footwear revenue declined 11 percent to $1.1 billion, and accessories revenue increased 1 percent to $414 million. Gross margin decreased 240 basis points to 45.5 percent, primarily due to higher tariffs, with smaller headwinds from pricing, higher product costs, and unfavorable channel and regional mix, partially offset by positive foreign currency impacts and favorable product mix. Excluding restructuring impacts, adjusted gross margin declined 220 basis points to 45.7 percent. SG&A expenses declined 12 percent to $2.3 billion. Adjusted SG&A expenses decreased 5 percent to $2.2 billion, which excludes $99 million in litigation reserve expense and approximately $31 million in transformation costs related to our Fiscal 2025 Restructuring Plan. Restructuring charges were $128 million. Operating loss was $163 million. Excluding the company's litigation reserve expense, transformation expenses, and restructuring charges, adjusted operating income was $107 million. Net loss was $496 million, which included a $247 million valuation allowance on its U.S. federal deferred tax assets. Adjusted net income was $50 million, which excludes the litigation reserve expense, transformation and restructuring charges, and the valuation allowance. Diluted loss per share was $1.16. Adjusted diluted earnings per share was $0.12. Fiscal 2025 Restructuring Plan

In the fourth quarter, the company recorded $8 million in restructuring charges, $13 million of restructuring in cost of goods sold, and $15 million in transformation-related SG&A expenses, for a total of $36 million under its Fiscal 2025 Restructuring Plan. To date, the company has incurred $261 million in total restructuring and transformation costs, slightly above its previous expectation of $255 million, including $109 million in cash and $152 million in non-cash charges. Following a comprehensive review, the company is initiating a targeted extension of the plan, bringing total program costs to approximately $305 million. The company expects the plan to be substantially complete by December 31, 2026.

Fiscal 2027 Outlook

Compared with fiscal 2026, key highlights of the company's fiscal 2027 outlook include:

Revenue is expected to decline slightly year over year, with a low single-digit decrease in North America partially offset by low single-digit growth in EMEA and Asia-Pacific. Gross Margin is expected to increase 220 to 270 basis points versus last year's gross margin. Approximately 150 basis points of this improvement is driven by an assumed reversal of International Emergency Economic Powers Act ("IEEPA") tariff costs expensed in fiscal 2026. Excluding this benefit, gross margin improvement reflects pricing actions and a more favorable channel mix, partially offset by higher tariff rates currently in place, along with supply chain headwinds related to the Middle East conflict. Including the additional transformation expenses related to the Fiscal 2025 Restructuring Plan, SG&A expenses are expected to decrease at a low single-digit rate. Excluding the transformation expenses, adjusted SG&A is expected to increase at a low single-digit rate. This increase reflects normalization of reduced prior year incentive compensation and benefit costs as part of the company's tariff mitigation strategy, as well as incremental marketing investment to strengthen the brand as the business stabilizes, while maintaining disciplined cost control. Operating income is expected to be in the range of $96 million to $116 million. Excluding expected transformation expenses and restructuring charges, adjusted operating income is anticipated to be $140 million to $160 million. This adjusted operating income includes an approximate $70 million benefit from the assumption that refunds from prior year IEEPA tariff expenses are realized, approximately $35 million of headwinds from the conflict in the Middle East, and approximately $30 million of incremental marketing investments. Diluted loss per share is expected to range from breakeven to $0.04. Excluding anticipated transformation expenses and restructuring charges, adjusted diluted earnings per share is expected to range from $0.08 to $0.12, reflecting continued investment and external cost pressures, partially offset by the benefit of tariff-related refunds. This also incorporates an anticipated effective tax rate considerably higher than the prior year, due to unfavorable regional mix and profitability. Conference Call and Webcast

Under Armour will hold its fourth-quarter fiscal 2026 conference call today at approximately 8:30 a.m. Eastern Time. The call will stream live at https://about.underarmour.com/investor-relations/financials and will be available for replay approximately three hours after the live event.

Non-GAAP Financial Information

This press release discusses "constant currency" and "adjusted" results, as well as the company's "adjusted" forward-looking estimates for the fiscal year ending March 31, 2027. Management believes this information is valuable for investors seeking to compare the company's operational results across periods, as it provides clearer insight into underlying performance by excluding these impacts. Constant currency financial data removes fluctuations caused by foreign currency exchange rates. Adjusted financial measures exclude the effects of the company's litigation reserve expense (and related insurance recoveries) and the company's Fiscal 2025 Restructuring Plan, its associated charges, and related tax effects, as well as the valuation allowance against its U.S. federal deferred tax assets. Management states that these adjustments are not essential to the company's core operations. The reconciliation of non-GAAP figures to the most directly comparable GAAP financial measure is included in the supplemental financial information accompanying this release. All per-share amounts are reported on a diluted basis. These supplemental non-GAAP financial measures should not be viewed in isolation; they should be considered alongside the company's reported results prepared in accordance with GAAP. Additionally, the company's non-GAAP financial information may not be comparable to similar measures reported by other companies.

About Under Armour, Inc.

Under Armour, Inc., based in Baltimore, Maryland, is a global performance brand committed to empowering athletes everywhere. Since 1996, the company has advanced how athletes train, compete, and recover through innovative apparel, footwear, and accessories. In partnership with elite athletes and game changers, Under Armour is shaping the future of sport and inspiring those who strive for more. Learn more at http://about.underarmour.com. 

Forward-Looking Statements

Some of the statements contained in this press release constitute forward-looking statements. Forward-looking statements relate to expectations, beliefs, projections, plans, strategies, anticipated events or trends, and similar expressions concerning matters that are not historical facts, such as statements regarding our share repurchase program, future financial condition or results of operations, growth prospects and strategies, potential restructuring efforts (including the scope, anticipated charges and costs, the timing of these measures, and the anticipated benefits of our restructuring initiatives), expectations related to promotional activities, freight, product cost pressures, foreign currency effects, the impact of global economic conditions (including changes in trade policy and inflation) on our results of operations, liquidity and use of capital resources, expectations related to tariffs, the development and introduction of new products, the execution of marketing strategies, benefits from significant investments, and impacts from litigation or other proceedings. In many cases, you can identify forward-looking statements by terms such as "may," "will," "could," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "outlook," "potential," or the negative of these terms or other comparable terminology. The forward-looking statements in this press release reflect our current views about future events. They are subject to risks, uncertainties, assumptions, and changes in circumstances that may cause events or our actual activities or results to differ significantly from those expressed in any forward-looking statement. Although we believe the expectations reflected in the forward-looking statements are reasonable, they are inherently uncertain. We cannot guarantee future events, results, actions, activity levels, performance, or achievements. Readers are cautioned not to place undue reliance on these forward-looking statements. Several important factors could cause actual results to differ materially from those indicated by these forward-looking statements, including, but not limited to: changes in general economic or market conditions (such as rising inflation and potential impacts of changes and uncertainties related to government fiscal, monetary, tax and trade policies) that could influence overall consumer spending or our industry; the impact of global events beyond our control, including military conflicts; public health events, and the effects of changes in the global trade environment, such as the imposition of new tariffs and countermeasures thereto, on our profitability; increased competition that may cause us to lose market share, lower product prices, or significantly increase marketing efforts; fluctuations in the costs of raw materials and commodities we use in our products and supply chain (including labor); our ability to successfully execute our long-term strategies; our ability to effectively drive operational efficiency in our business; changes in the financial health of our customers; our ability to effectively develop and launch new, innovative products and engage our consumers; our ability to accurately forecast consumer shopping and preferences and consumer demand for our products and to effectively manage our inventory; our ability to successfully execute any restructuring plans and achieve expected benefits; loss of key customers, suppliers, or manufacturers; our ability to further expand our business globally and drive brand awareness and consumer acceptance of our products in other countries; our ability to manage the increasingly complex operations of our global business; our ability to effectively market and maintain a positive brand image; our ability to successfully manage or achieve expected outcomes from significant transactions and investments; our ability to attract key talent and retain the services of our senior management and other key employees; our ability to effectively meet regulatory requirements and stakeholder expectations with respect to sustainability and social matters; the availability, integration and effective operation of information systems and other technology, as well as any potential interruption of such systems or technology; any disruptions, delays or deficiencies in the design, implementation, or application of our global operating and financial reporting information technology system; our ability to access capital and financing required to manage our business on terms acceptable to us; our ability to accurately anticipate and respond to seasonal or quarterly fluctuations in our operating results; risks related to foreign currency exchange rate fluctuations; our ability to comply with existing trade and other regulations; risks related to data security or privacy breaches; and our potential exposure to and the financial impact of litigation and other proceedings. The forward-looking statements here reflect our views and assumptions only as of the date of this press release. We undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect unanticipated events.

UNDER ARMOUR, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited; in thousands, except per share amounts)

Three Months Ended March 31,

Year Ended March 31,

2026

% of Net
Revenues

2025

% of Net
Revenues

2026

% of Net
Revenues

2025

% of Net
Revenues

Net revenues

$ 1,171,161

100.0 %

$ 1,180,583

100.0 %

$ 4,966,370

100.0 %

$ 5,164,310

100.0 %

Cost of goods sold

679,123

58.0 %

629,801

53.3 %

2,707,512

54.5 %

2,689,566

52.1 %

Gross profit

492,038

42.0 %

550,782

46.7 %

2,258,858

45.5 %

2,474,744

47.9 %

Selling, general and administrative expenses

517,734

44.2 %

607,133

51.4 %

2,294,251

46.2 %

2,601,991

50.4 %

Restructuring charges

8,005

0.7 %

15,726

1.3 %

127,719

2.6 %

57,969

1.1 %

Income (loss) from operations

(33,701)

(2.9) %

(72,077)

(6.1) %

(163,112)

(3.3) %

(185,216)

(3.6) %

Interest income (expense), net

(8,740)

(0.7) %

(3,321)

(0.3) %

(30,288)

(0.6) %

(6,115)

(0.1) %

Other income (expense), net

(55)

— %

(4,718)

(0.4) %

(7,276)

(0.1) %

(13,431)

(0.3) %

Income (loss) before income taxes

(42,496)

(3.6) %

(80,116)

(6.8) %

(200,676)

(4.0) %

(204,762)

(4.0) %

Income tax expense (benefit)

866

0.1 %

(12,198)

(1.0) %

294,752

5.9 %

(2,890)

(0.1) %

Income (loss) from equity method investments

(28)

— %

461

— %

(215)

— %

605

— %

Net income (loss)

$  (43,390)

(3.7) %

$  (67,457)

(5.7) %

$ (495,643)

(10.0) %

$ (201,267)

(3.9) %

Basic net income (loss) per share of Class A, B and C
common stock

$    (0.10)

$    (0.16)

$    (1.16)

$    (0.47)

Diluted net income (loss) per share of Class A, B and C
common stock

$    (0.10)

$    (0.16)

$    (1.16)

$    (0.47)

Weighted average common shares outstanding
Class A, B and C common stock

Basic

425,983

429,292

426,575

432,245

Diluted

425,983

429,292

426,575

432,245

UNDER ARMOUR, INC.

(Unaudited; in thousands)

NET REVENUES BY SEGMENT

Three Months Ended March 31,

Year Ended March 31,

2026

2025

% Change

2026

2025

% Change

North America

$     640,873

$     689,399

(7.0) %

$  2,859,420

$  3,105,624

(7.9) %

EMEA

298,473

278,618

7.1 %

1,180,510

1,086,578

8.6 %

Asia-Pacific

185,688

164,828

12.7 %

719,134

755,437

(4.8) %

Latin America

55,199

45,087

22.4 %

234,191

215,427

8.7 %

Corporate Other (1)

(9,072)

2,651

NM

(26,885)

1,244

NM

Total net revenues

$  1,171,161

$  1,180,583

(0.8) %

$  4,966,370

$  5,164,310

(3.8) %

NET REVENUES BY DISTRIBUTION CHANNEL

Three Months Ended March 31,

Year Ended March 31,

2026

2025

% Change

2026

2025

% Change

Wholesale

$     747,722

$     767,603

(2.6) %

$  2,831,787

$  2,978,869

(4.9) %

Direct-to-consumer

405,659

386,110

5.1 %

2,054,115

2,089,607

(1.7) %

Net Sales

1,153,381

1,153,713

— %

4,885,902

5,068,476

(3.6) %

License revenues

26,852

24,219

10.9 %

107,353

94,590

13.5 %

Corporate Other (1)

(9,072)

2,651

NM

(26,885)

1,244

NM

Total net revenues

$  1,171,161

$  1,180,583

(0.8) %

$  4,966,370

$  5,164,310

(3.8) %

NET REVENUES BY PRODUCT CATEGORY

Three Months Ended March 31,

Year Ended March 31,

2026

2025

% Change

2026

2025

% Change

Apparel

$     777,963

$     780,366

(0.3) %

$  3,395,053

$  3,451,414

(1.6) %

Footwear

281,767

281,845

— %

1,076,383

1,206,202

(10.8) %

Accessories

93,651

91,502

2.3 %

414,466

410,860

0.9 %

Net Sales

1,153,381

1,153,713

— %

4,885,902

5,068,476

(3.6) %

Licensing revenues

26,852

24,219

10.9 %

107,353

94,590

13.5 %

Corporate Other (1)

(9,072)

2,651

NM

(26,885)

1,244

NM

Total net revenues

$  1,171,161

$  1,180,583

(0.8) %

$  4,966,370

$  5,164,310

(3.8) %

(1) Corporate Other primarily includes net revenues from foreign currency hedge gains and losses generated by entities within the company's operating segments but managed through its central foreign exchange risk management program. The percentage change for Corporate Other is not presented as it is not a meaningful metric (NM).

UNDER ARMOUR, INC.

(Unaudited; in thousands)

INCOME (LOSS) FROM OPERATIONS BY SEGMENT

Three Months Ended March 31,

Year Ended March 31,

2026

% of Net

Revenues(1)

2025

% of Net
Revenues(1)

2026

% of Net
Revenues(1)

2025

% of Net
Revenues(1)

North America

$    77,208

12.0 %

$   100,302

14.5 %

$   442,503

15.5 %

$   629,518

20.3 %

EMEA

49,857

16.7 %

33,021

11.9 %

191,487

16.2 %

147,182

13.5 %

Asia-Pacific

20,734

11.2 %

15,029

9.1 %

84,466

11.7 %

73,187

9.7 %

Latin America

10,695

19.4 %

6,004

13.3 %

29,901

12.8 %

47,532

22.1 %

Corporate Other (2)

(192,195)

NM

(226,433)

NM

(911,469)

NM

(1,082,635)

NM

Income (loss) from
operations

$   (33,701)

(2.9) %

$   (72,077)

(6.1) %

$  (163,112)

(3.3) %

$  (185,216)

(3.6) %

(1) The percentage of operating income (loss) is calculated based on total segment net revenues. The operating income (loss) percentage for Corporate Other is not presented as it is not a meaningful metric (NM).

(2) Corporate Other primarily includes net revenues from foreign currency hedge gains and losses generated by entities within the company's operating segments but managed through its central foreign exchange risk management program. Corporate Other also includes expenses related to the company's central supporting functions.

UNDER ARMOUR, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited; in thousands)

March 31, 2026

March 31, 2025

Assets

Current assets

Cash and cash equivalents

$                        309,168

$                        501,361

Accounts receivable, net

681,861

675,822

Inventories

914,751

945,836

Restricted investments

605,396

—

Prepaid expenses and other current assets, net

207,507

206,078

Total current assets

2,718,683

2,329,097

Property and equipment, net

598,953

645,147

Operating lease right-of-use assets

429,622

384,341

Goodwill

492,768

487,632

Intangible assets, net

4,471

5,224

Deferred income taxes

52,282

286,160

Other long-term assets

118,915

163,270

Total assets

$                     4,415,694

$                     4,300,871

Liabilities and Stockholders' Equity

Current maturities of long-term debt

$                        599,835

$                                  —

Accounts payable

420,077

429,944

Accrued expenses

331,391

348,747

Customer refund liabilities

126,097

146,021

Operating lease liabilities

153,050

130,050

Other current liabilities

46,336

54,381

Total current liabilities

1,676,786

1,109,143

Long-term debt, net of current maturities

590,609

595,125

Operating lease liabilities, non-current

596,139

574,277

Other long-term liabilities

137,800

132,048

Total liabilities

3,001,334

2,410,593

Total stockholders' equity

1,414,360

1,890,278

Total liabilities and stockholders' equity

$                     4,415,694

$                     4,300,871

UNDER ARMOUR, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited; in thousands)

Year Ended March 31,

2026

2025

Cash flows from operating activities

Net income (loss)

$           (495,643)

$           (201,267)

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

Depreciation and amortization

109,623

135,804

Unrealized foreign currency exchange rate (gain) loss

8,485

(14,636)

Loss on disposal of property and equipment

4,508

6,373

Non-cash restructuring and impairment charges

105,293

53,765

Amortization of bond premium and debt issuance costs

2,854

2,319

Stock-based compensation

45,625

52,974

Deferred income taxes

243,364

(61,794)

Changes in reserves and allowances

(13,289)

4,409

Changes in operating assets and liabilities:

Accounts receivable

(1,076)

79,981

Inventories

39,309

10,941

Prepaid expenses and other assets

(31,818)

13,116

Other non-current assets

(90,002)

(41,777)

Accounts payable

5,928

(58,465)

Accrued expenses and other liabilities

10,463

(62,675)

Customer refund liabilities

(19,773)

6,805

Income taxes payable and receivable

1,061

14,808

Net cash provided by (used in) operating activities

(75,088)

(59,319)

Cash flows from investing activities

Purchases of property and equipment

(87,075)

(168,684)

Purchase of restricted investment

(601,235)

—

Sale of MyFitnessPal platform

—

50,000

Sale of MapMyFitness platform

—

8,000

Purchase of UNLESS COLLECTIVE, Inc, net of cash acquired

(500)

(8,120)

Purchase of equity method investment in ISC Sport

—

(7,546)

Net cash provided by (used in) investing activities

(688,810)

(126,350)

Cash flows from financing activities

Common stock repurchased

(25,000)

(90,000)

Proceeds from long-term debt and revolving credit facility

890,000

—

Repayment of long-term debt and revolving credit facility

(290,000)

(80,919)

Employee taxes paid for shares withheld for income taxes

(8,284)

(9,686)

Excise tax paid on repurchases of common stock

(743)

(628)

Proceeds from exercise of stock options and other stock issuances

2,190

2,494

Payments of debt financing costs

(7,535)

(2,067)

Net cash provided by (used in) financing activities

560,628

(180,806)

Effect of exchange rate changes on cash, cash equivalents and restricted cash

280

4,609

Net increase (decrease) in cash, cash equivalents and restricted cash

(202,990)

(361,866)

Cash, cash equivalents and restricted cash - Beginning of period

515,051

876,917

Cash, cash equivalents and restricted cash - End of period

$             312,061

$             515,051

UNDER ARMOUR, INC.

(Unaudited)

The table below presents the reconciliation of net revenue growth (decline) calculated in accordance with GAAP to constant currency net revenue, a non-GAAP measure. For further information regarding the company's use of non-GAAP financial measures, see "Non-GAAP Financial Information" above.

CONSTANT CURRENCY NET REVENUE GROWTH (DECLINE) RECONCILIATION

Three Months Ended
March 31, 2026

Year Ended
March 31, 2026

Total Net Revenue

Net revenue growth (decline) - GAAP

(0.8) %

(3.8) %

Foreign exchange impact

(3.4) %

(1.4) %

Constant currency net revenue growth (decline) - Non-GAAP

(4.2) %

(5.2) %

North America

Net revenue growth (decline) - GAAP

(7.0) %

(7.9) %

Foreign exchange impact

(0.5) %

— %

Constant currency net revenue growth (decline) - Non-GAAP

(7.5) %

(7.9) %

EMEA

Net revenue growth (decline) - GAAP

7.1 %

8.6 %

Foreign exchange impact

(8.4) %

(5.3) %

Constant currency net revenue growth (decline) - Non-GAAP

(1.3) %

3.3 %

Asia-Pacific

Net revenue growth (decline) - GAAP

12.7 %

(4.8) %

Foreign exchange impact

(4.5) %

(1.2) %

Constant currency net revenue growth (decline) - Non-GAAP

8.2 %

(6.0) %

Latin America

Net revenue growth (decline) - GAAP

22.4 %

8.7 %

Foreign exchange impact

(14.3) %

(2.7) %

Constant currency net revenue growth (decline) - Non-GAAP

8.1 %

6.0 %

Total International

Net revenue growth (decline) - GAAP

10.4 %

3.7 %

Foreign exchange impact

(7.7) %

(3.5) %

Constant currency net revenue growth (decline) - Non-GAAP

2.7 %

0.2 %

UNDER ARMOUR, INC.

(Unaudited; in thousands)

The tables below present the reconciliation of the company's condensed consolidated statement of operations in accordance with GAAP to specific adjusted non-GAAP financial measures discussed in this press release. For further information regarding the company's use of non-GAAP financial measures, see "Non-GAAP Financial Information" above.

ADJUSTED GROSS MARGIN RECONCILIATION

Three Months Ended
March 31,

Year Ended
March 31,

2026

2025

2026

2025

GAAP gross margin

42.0 %

46.7 %

45.5 %

47.9 %

Add: Impact of restructuring charges

1.1 %

— %

0.2 %

— %

Adjusted gross margin

43.1 %

46.7 %

45.7 %

47.9 %

ADJUSTED SELLING, GENERAL AND ADMINISTRATIVE EXPENSES RECONCILIATION

Three Months Ended
March 31,

Year Ended
March 31,

2026

2025

2026

2025

GAAP selling, general and administrative expenses

$      517,734

$      607,133

$    2,294,251

$    2,601,991

Add: Impact of litigation reserve

—

(4,750)

(98,500)

(265,796)

Add: Impact of restructuring-related transformational expenses

(15,177)

(15,993)

(30,595)

(31,193)

Add: Impact of other impairment charges

—

—

—

(28,360)

Adjusted selling, general and administrative expenses

$      502,557

$      586,390

$    2,165,156

$    2,276,642

ADJUSTED OPERATING INCOME (LOSS) RECONCILIATION

Three Months Ended
March 31,

Year Ended
March 31,

2026

2025

2026

2025

GAAP income (loss) from operations

$      (33,701)

$      (72,077)

$     (163,112)

$     (185,216)

Add: Impact of litigation reserve

—

4,750

98,500

265,796

Add: Impact of restructuring charges(1)

21,198

15,726

140,912

57,969

Add: Impact of restructuring-related transformational expenses

15,177

15,993

30,595

31,193

Add: Impact of other impairment charges

—

—

—

28,360

Adjusted income (loss) from operations

$         2,674

$      (35,608)

$      106,895

$      198,102

(1) Includes $13.2 million recorded within cost of goods sold for both the three months and year ended March 31, 2026 and $8.0 million and $127.7 million recorded within restructuring charges for the three months and year ended March 31, 2026, respectively.

UNDER ARMOUR, INC.

(Unaudited; in thousands, except per share amounts)

The table below presents the reconciliation of the company's condensed consolidated statement of operations in accordance with GAAP to specific adjusted non-GAAP financial measures discussed in this press release. For further information regarding the company's use of non-GAAP financial measures, see "Non-GAAP Financial Information" above.

ADJUSTED NET INCOME (LOSS) RECONCILIATION

Three Months Ended
March 31,

Year Ended
March 31,

2026

2025

2026

2025

GAAP net income (loss)

$      (43,390)

$      (67,457)

$     (495,643)

$     (201,267)

Add: Impact of litigation reserve

—

4,750

98,500

265,796

Add: Impact of restructuring charges

21,198

15,726

140,912

57,969

Add: Impact of restructuring-related transformational expenses

15,177

15,993

30,595

31,193

Add: Impact of other impairment charges

—

—

—

28,360

Add: Impact of provision for income taxes

(4,157)

(3,711)

275,200

(46,983)

Adjusted net income (loss)

$      (11,172)

$      (34,699)

$       49,564

$      135,068

ADJUSTED DILUTED EARNINGS (LOSS) PER SHARE RECONCILIATION

Three Months Ended
March 31,

Year Ended
March 31,

2026

2025

2026

2025

GAAP diluted net income (loss) per share

$        (0.10)

$        (0.16)

$        (1.16)

$        (0.47)

Add: Impact of litigation reserve

—

0.01

0.23

0.61

Add: Impact of restructuring charges

0.05

0.04

0.33

0.13

Add: Impact of restructuring-related transformational expenses

0.04

0.04

0.07

0.07

Add: Impact of other impairment charges

—

—

—

0.07

Add: Impact of provision for income taxes

(0.02)

(0.01)

0.65

(0.10)

Adjusted diluted net income (loss) per share

$        (0.03)

$        (0.08)

$         0.12

$         0.31

UNDER ARMOUR, INC.

OUTLOOK FOR THE THREE MONTHS ENDING JUNE 30, 2026 AND

YEAR ENDING MARCH 31, 2027

(Unaudited; in millions, except per share amounts)

The tables below reconcile the company's outlook for the first quarter and full year fiscal 2027, in accordance with GAAP, to specific adjusted non-GAAP financial measures discussed in this press release. For further information regarding the company's use of non-GAAP financial measures, see "Non-GAAP Financial Information" above.

ADJUSTED OPERATING INCOME (LOSS) RECONCILIATION

Three Months Ending June 30, 2026

Year Ending March 31, 2027

Low end of
estimate

High end of
estimate

Low end of
estimate

High end of
estimate

GAAP income (loss) from operations

$                19

$                29

$                96

$                116

Add: Impact of charges under the Fiscal 2025
Restructuring Plan

11

11

44

44

Adjusted income (loss) from operations

$                30

$                40

$               140

$                160

ADJUSTED DILUTED EARNINGS (LOSS) PER SHARE RECONCILIATION

Three Months Ending June 30, 2026

Year Ending March 31, 2027

Low end of
estimate

High end of
estimate

Low end of
estimate

High end of
estimate

GAAP diluted net income (loss) per share

$             (0.02)

$             0.00

$             (0.04)

$              0.00

Add: Impact of charges under the Fiscal 2025
Restructuring Plan

0.03

0.03

0.10

0.10

Add: Impact of provision for income taxes

(0.01)

(0.01)

0.02

0.02

Adjusted diluted net income (loss) per share

$              0.00

$              0.02

$              0.08

$               0.12

UNDER ARMOUR, INC.

COMPANY-OWNED & OPERATED DOOR COUNT

March 31, 2026

March 31, 2025

Factory House

184

180

Brand House

14

15

   North America total doors

198

195

Factory House

188

178

Brand House

57

68

   International total doors

245

246

Factory House

372

358

Brand House

71

83

   Total doors

443

441

SOURCE Under Armour, Inc.

U.S. stocks traded mostly lower midway through trading, with the Nasdaq Composite falling more than 400 points on Tuesday.

The Dow traded up 0.05% to 49,731.53 while the NASDAQ dipped 1.56% to 25,864.14. The S&P 500 also fell, dropping, 0.66% to 7,364.20.

Leading and Lagging Sectors

Health care shares jumped by 2.4% on Tuesday.

In trading on Tuesday, information technology stocks fell by 2.2%.

Top Headline

Under Armour reported an adjusted loss of 3 cents per share for the quarter, missing analyst estimates for a loss of 2 cents per share. Revenue declined 1% year over year to $1.171 billion, slightly above the Street estimate of $1.167 billion.

Equities Trading UP
           

Equities Trading DOWN

Commodities

In commodity news, oil traded up 2.9% to $101.50 while gold traded down 1% at $4,685.10.

Silver traded down 0.4% to $85.625 on Tuesday, while copper rose 1.5% to $6.5555.

Euro zone

European shares were lower today. The eurozone's STOXX 600 fell 1.01%, while Spain's IBEX 35 Index fell 1.56%. London's FTSE 100 fell 0.04%, Germany's DAX dipped 1.62%, while France's CAC 40 declined 0.95%.

Asia Pacific Markets

Asian markets closed mostly lower on Tuesday, with Japan's Nikkei 225 gaining 0.52%, Hong Kong's Hang Seng Index falling 0.22%, China's Shanghai Composite declining 0.25% and India's BSE Sensex falling 1.92%

Economics

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Under Armour, Inc. showed minimal turnaround progress in Q4. Concerningly, UA expects revenues to continue trending downward in FY2027. Underlying gross margin progress is offset by other weaknesses. I estimate UA stock to have -27% downside to $3.56.

Mueller Water Products (MWA - Free Report) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). An upward trend in earnings estimates -- one of the most powerful forces impacting stock prices -- has triggered this rating change.

A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.

Since a changing earnings picture is a powerful factor influencing near-term stock price movements, the Zacks rating system is very useful for individual investors. They may find it difficult to make decisions based on rating upgrades by Wall Street analysts, as these are mostly driven by subjective factors that are hard to see and measure in real time.

Therefore, the Zacks rating upgrade for Mueller Water Products basically reflects positivity about its earnings outlook that could translate into buying pressure and an increase in its stock price.

Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. That's partly because of the influence of institutional investors that use earnings and earnings estimates for calculating the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their bulk investment action then leads to price movement for the stock.

For Mueller Water Products, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.

Harnessing the Power of Earnings Estimate RevisionsEmpirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, so it could be truly rewarding if such revisions are tracked for making an investment decision. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.

The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .

Earnings Estimate Revisions for Mueller Water ProductsThis maker of fire hydrants, pipes and water valves is expected to earn $1.45 per share for the fiscal year ending September 2026, which represents no year-over-year change.

Analysts have been steadily raising their estimates for Mueller Water Products. Over the past three months, the Zacks Consensus Estimate for the company has increased 3.3%.

Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.

You can learn more about the Zacks Rank here >>>

The upgrade of Mueller Water Products to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.

On Feb. 25, 2026, Gregg C. Sengstack, a Director of Mueller Water Products (MWA 0.04%), reported the purchase of 25,000 shares of common stock at an average price of $29.58 per share, as disclosed in this SEC Form 4 filing.

Transaction summaryMetricValue/AmountShares acquired25,000Transaction value$739,000Post-transaction holdings (direct)25,000Transaction value based on SEC Form 4 reported price ($29.58).

Key questionsHow does this transaction affect Gregg C. Sengstack's position in Mueller Water Products?
This filing establishes a new direct holding of 25,000 common shares. No previous direct or indirect holdings were reported prior to this purchase, meaning this represents Sengstack's entire personal stake in the company.Does this purchase represent a material increase in insider ownership?
At approximately 0.016% of outstanding shares, the acquisition represents a small fractional interest in the company. However, the dollar commitment — nearly $740,000 — is meaningful at the individual level, and the fact that it establishes a brand-new position adds to its significance.Is there evidence of indirect or derivative exposure related to this transaction?
No indirect holdings or derivative securities were reported in connection with this purchase. All shares are held directly.What is the market and valuation context for this acquisition?
The purchase followed a roughly 19% stock price appreciation over the prior year (as of Feb. 26, 2026), and shares were priced near recent highs at the time of the transaction.Company overviewMetricValuePrice (as of market close 3/23/26)$27.90Market capitalization$4.3 billionRevenue (TTM)$1.4 billionNet income (TTM)$199.6 million1-year return*3.95%* 1-year performance is calculated using March 23, 2026, as the reference date.

Company snapshotMueller Water Products, Inc. is a leading supplier of water infrastructure products and services.

Manufactures and sells valves, hydrants, pipe repair products, and water metering and leak detection technologies for water and gas systems.Generates revenue primarily through product sales and service contracts, with a business model focused on infrastructure and technology solutions for water transmission and distribution.Main customers include municipalities and entities in the residential and non-residential construction sectors across North America and select international markets.What this transaction means for investorsWhen a company director puts nearly $740,000 of their own money into a stock — especially as a brand-new position — it's worth paying attention. Sengstack bought shares at current prices on the open market, which signals genuine conviction in Mueller Water Products' outlook.

Water infrastructure is a sector that doesn't generate many headlines, but it benefits from durable, long-term tailwinds. The U.S. has an aging water system in serious need of upgrades, and municipalities across North America are steadily increasing capital expenditures to modernize pipes, meters, and distribution networks. Mueller sits squarely in the middle of that spending cycle — the company's hydrants, valves, and smart metering technologies are the kind of products utilities budget for year after year.

This isn’t a huge purchase relative to the size of the company. At just 0.016% of outstanding shares, the purchase barely moves the needle on overall insider ownership. But the fact that Sengstack is buying after a nearly 20% run-up in the stock means he’s paying up for the position rather than scooping up a bargain. In my opinion, that makes this purchase more interesting than the average insider transaction. And thanks to the stock’s recent pullback, investors today can buy Mueller shares for less than what Sengstack paid just a few weeks ago.

For investors interested in steady, infrastructure-driven businesses with exposure to water utility spending -- a theme that tends to hold up even in slower economic environments -- Mueller Water Products is worth a closer look. Those who prefer broader sector exposure might also consider ETFs like the Invesco Water Resources ETF (PHO +0.94%) or the First Trust Water ETF (FIW +1.22%), which include MWA alongside other water infrastructure names.

Andy Gould 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.

On April 20, 2026, Mueller Water Products Inc MWA shares fell 5.3% to close at $27.53. The stock has experienced a 52-week high of $31.00 and a low of $22.74, reflecting some volatility in its price performance.

GF Value™ verdict: The current price of $27.53 is 17.9% above the GF Value™ estimate of $23.36.GF Score™ of 94/100 indicates a strong overall rating, suggesting that MWA has favorable long-term potential.Insiders have been active, with $0.7M in purchases and $0.6M in sales over the last three months, reflecting some confidence in the stock. Is MWA Overvalued or Undervalued? The current trading price of Mueller Water Products Inc at $27.53 is 17.9% above its GF Value™ estimate of $23.36. This indicates that the stock is currently overvalued. The GF Valuation label describes the stock as "Modestly Overvalued," suggesting that there may be limited upside potential in the short term. Investors may want to consider the margin of safety when evaluating their positions; purchasing shares at a price significantly above intrinsic value can increase risk. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.

Being overvalued implies that the market may have high expectations for MWA, which could be challenging to meet in the near future. Investors should remain cautious, especially in light of the stock's recent price decline.

How Does MWA's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 21.7x 27.0x Forward P/E 19.1x N/A Currently, MWA's P/E (TTM) of 21.7x is significantly below its 5-year median P/E of 27.0x. This suggests that the stock is trading at a lower valuation relative to its historical norms. The forward P/E of 19.1x also indicates expectations of growth moving forward. However, this analysis of P/E aligns with the GF Value™ verdict that MWA is overvalued, given the current price is still higher than the GF Value™ estimate.

What Does MWA's GF Score™ Tell Us? Metric Rating GF Score™ 94 Financial Strength 8/10 Profitability 9/10 Growth 9/10 Valuation 6/10 Momentum 8/10 Mueller Water Products Inc has a remarkable GF Score™ of 94/100, indicating strong fundamentals and potential for long-term returns. The highest ratings are seen in Profitability and Growth, both scoring 9/10, suggesting robust earnings and expansion prospects. Conversely, the Valuation rank of 6/10 reflects the current market price relative to its intrinsic value, supporting the notion of being modestly overvalued. Overall, the scores suggest that while MWA has strong operational metrics, current valuation may not fully reflect its growth potential.

What Are Insiders Doing with MWA Stock? Recent insider activity for Mueller Water Products Inc shows a mixture of buying and selling, with insiders purchasing $0.7M worth of shares while selling $0.6M in the last three months. This pattern of buying indicates some level of confidence in the company's future performance among insiders. However, the selling could also suggest that insiders are looking to capitalize on current valuations. Investors may interpret this activity as a sign of cautious optimism, reflecting both confidence and a desire to realize gains.

What This Means for Investors Based on the GF Value™ assessment, Mueller Water Products Inc is currently overvalued with a price that exceeds the intrinsic value estimate. Investors may need to exercise caution and consider the potential risks associated with purchasing shares at this premium valuation level.

For the complete analysis, visit the Mueller Water Products Inc MWA stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is MWA's GF Score™?

MWA has a GF Score™ of 94/100, indicating strong overall performance and potential for long-term returns.

Is MWA overvalued or undervalued?

MWA is currently overvalued, with a market price of $27.53 exceeding the GF Value™ estimate of $23.36.

What is MWA's P/E ratio?

MWA's P/E ratio is 21.7x, which is significantly lower than its 5-year median P/E of 27.0x, suggesting the stock is trading at a more attractive valuation relative to its historical norm.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

April 29, 2026 16:15 ET  | Source: Mueller Water Products

ATLANTA, April 29, 2026 (GLOBE NEWSWIRE) -- Mueller Water Products, Inc. (NYSE: MWA) announced that its Board of Directors has declared a quarterly dividend of $0.070 per share, payable on or about May 20, 2026, to stockholders of record as of the close of business on May 11, 2026.

About Mueller Water Products, Inc.

Mueller Water Products, Inc. is a leading manufacturer and marketer of products and solutions used in the transmission, distribution and measurement of water in North America.  Our broad portfolio includes engineered valves, fire hydrants, pipe connection and repair products, metering products, leak detection, pipe condition assessment, pressure management products, and software that provides critical water system data.  We help municipalities increase operational efficiencies, improve customer service and prioritize capital spending, demonstrating why Mueller Water Products is Where Intelligence Meets Infrastructure®. Visit us at www.muellerwaterproducts.com.

Mueller refers to one or more of Mueller Water Products, Inc. (MWP), a Delaware corporation, and its subsidiaries.  MWP and each of its subsidiaries are legally separate and independent entities when providing products and services.  MWP does not provide products or services to third parties.  MWP and each of its subsidiaries are liable only for their own acts and omissions and not those of each other. 

Investor Relations Contact: Whit Kincaid
770-206-4116
[email protected]

Media Contact: Jenny Barabas
470-806-5771
[email protected]