Track market-moving stories before they get noisy

Neurocrine Biosciences (NBIX - Free Report) came out with quarterly earnings of $2.85 per share, beating the Zacks Consensus Estimate of $2.26 per share. This compares to earnings of $1.06 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +26.11%. A quarter ago, it was expected that this biopharmaceutical company would post earnings of $1.68 per share when it actually produced earnings of $1.94, delivering a surprise of +15.48%.

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

Neurocrine, which belongs to the Zacks Medical - Drugs industry, posted revenues of $959 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 6.37%. This compares to year-ago revenues of $687.5 million. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Neurocrine shares have added about 27.5% since the beginning of the year versus the S&P 500's gain of 6.9%.

What's Next for Neurocrine?While Neurocrine has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Neurocrine was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.47 on $1.01 billion in revenues for the coming quarter and $9.09 on $3.77 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Drugs is currently in the top 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Theravance Biopharma (TBPH - Free Report) , another stock in the same industry, has yet to report results for the quarter ended June 2026.

This biopharmaceutical company is expected to post quarterly earnings of $0.19 per share in its upcoming report, which represents a year-over-year change of +337.5%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Theravance Biopharma's revenues are expected to be $19.79 million, down 24.4% from the year-ago quarter.

Weyerhaeuser (WY - Free Report) came out with quarterly earnings of $0.13 per share, beating the Zacks Consensus Estimate of $0.06 per share. This compares to earnings of $0.12 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +116.67%. A quarter ago, it was expected that this timber and paper products company would post earnings of $0.04 per share when it actually produced earnings of $0.11, delivering a surprise of +175%.

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

Weyerhaeuser, which belongs to the Zacks Building Products - Wood industry, posted revenues of $1.87 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 4.03%. This compares to year-ago revenues of $1.88 billion. The company has topped consensus revenue estimates two times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Weyerhaeuser shares have added about 3.2% since the beginning of the year versus the S&P 500's gain of 6.9%.

What's Next for Weyerhaeuser?While Weyerhaeuser has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Weyerhaeuser was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.07 on $1.76 billion in revenues for the coming quarter and $0.29 on $6.91 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Building Products - Wood is currently in the top 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Louisiana-Pacific (LPX - Free Report) , another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 5.

This home construction supplier is expected to post quarterly earnings of $0.58 per share in its upcoming report, which represents a year-over-year change of -41.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Louisiana-Pacific's revenues are expected to be $683 million, down 9.5% from the year-ago quarter.

Uniti Group NASDAQ: UNIT reported record fiber infrastructure bookings and accelerated fiber construction in the second quarter of 2026, as management pointed to rising demand from hyperscalers, neocloud providers and other customers deploying artificial intelligence-related infrastructure.

Chief Executive Officer Kenny Gunderman said total fiber revenue increased 10% from a year earlier, while fiber infrastructure revenue rose 6%, in line with company expectations. He described the quarter as a record for new fiber infrastructure bookings, exceeding the prior record by nearly 30%.

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Management said demand was broad-based across its wholesale customer base. During the quarter, approximately 20% of fiber infrastructure bookings came from neocloud customers, 18% from superscalers, 10% from hyperscalers and 6% from fiber-to-the-home providers.

AI Demand Drives Wholesale Activity Gunderman said AI adoption is expanding the need for high-bandwidth, low-latency connectivity, with near-term applications including customer-service automation, cybersecurity and corporate-function automation. He said future uses such as robotics, autonomous driving and scientific research could require still greater network capacity.

Uniti is seeing increased demand for both dark fiber and lit wave services. More than half of second-quarter fiber infrastructure bookings were for waves, or lit capacity, rather than dark fiber. Gunderman said wave services were the largest individual product contributor to the company’s record booking level.

The company highlighted two large wave packages sold during the quarter: a 20-terabit package connecting a neocloud customer from a Tier 2 market data center to a large metro area, and an 18-terabit package sold to a superscaler from another Tier 2 market data center. Together, those transactions represented 96 400-gigabit waves, according to management.

Gunderman said Uniti’s current waves sales funnel represents roughly 1.3 petabytes of traffic, with most of that opportunity involving relatively new customers. He also said nearly 80% of the company’s hyperscaler business uses all or part of Uniti’s preexisting network, contributing to blended anchor lease-up cash yields of 37%, the company’s highest level to date.

During the question-and-answer session, Gunderman said hyperscaler projects generally involve new fiber construction, route interconnections or overbuilds and tend to emphasize dark fiber. By contrast, neocloud and superscaler customers are increasingly using lit capacity for inference workloads and compute services.

He said large dark-fiber agreements generally run for 10 to 20 years, while lit and wave contracts are typically shorter, often in the three- to five-year range and closer to three years in many cases. The company is focused on customer credit quality as it pursues these newer categories of customers, he said.

Kinetic Expands Fiber Footprint At Kinetic, Uniti’s consumer fiber business, the company passed an additional 141,000 homes with fiber during the quarter, its highest quarterly level on record. Kinetic ended the period with about 2.1 million homes passed with fiber, representing 46% of its consumer footprint.

Kinetic added 38,000 net fiber subscribers in the quarter, also a record, ending with 603,000 fiber subscribers. Total fiber subscribers increased 25% from the prior-year period, while consumer fiber revenue rose 19% year over year.

Fiber penetration reached 29%, up 90 basis points from a year earlier. Chief Financial Officer Paul Bullington said newer customer cohorts are achieving stronger penetration rates than earlier cohorts did at comparable stages, supporting management’s view that its 40% terminal penetration target is achievable and potentially conservative.

Uniti raised its 2026 target for incremental fiber homes passed by 25,000 and now expects to construct 475,000 to 525,000 new fiber homes during the year. The company expects to end 2026 with 2.33 million to 2.38 million homes passed with fiber, or more than 50% of the Kinetic footprint, and with 675,000 to 700,000 fiber subscribers.

Management expects Kinetic consumer fiber revenue of $635 million to $655 million for 2026, representing growth of roughly 25% to 30% from the prior year.

ARPU Pressure and Capital Spending Consumer fiber average revenue per user was affected during the quarter by new-customer volume, the timing of rate-plan adjustments and retention efforts, Bullington said. Uniti expects fiber ARPU to decline by low single digits year over year in the third quarter before stabilizing and rising by low single digits in the fourth quarter.

Kinetic President John Harrobin said the company’s longer-term forecast still calls for 2% to 3% annual ARPU growth beginning in 2027. He said Kinetic faces large cable competitors in less than 60% of its fiber territory, compared with a mid-80% to low-90% exposure cited for certain peers. The company is using different pricing tiers and customer cohorts to respond to competitive promotions while maintaining subscriber growth, he said.

Uniti increased its Kinetic net capital expenditure outlook by $100 million to approximately $1.27 billion at the midpoint. Bullington said the higher spending does not solely reflect the 25,000 additional homes in the 2026 construction target, as a substantial portion is being pulled forward to support 2027 expansion.

Harrobin said the company expects a modest increase in fiber-material costs beginning around mid-2027, which could place its cost per passing toward the upper end of its previously communicated range. However, he said Uniti does not expect to be affected by customer-premises-equipment memory-chip constraints because of long-term supply contracts, scale and flexibility across equipment models.

Outlook and Capital Structure On a pro forma basis, Uniti said second-quarter consolidated revenue declined 5% year over year and adjusted EBITDA fell 10%, primarily because of declines in Uniti Solutions and legacy copper and TDM services. Kinetic fiber-based revenue, including consumer and wholesale services, grew 12%, while fiber infrastructure revenue and adjusted EBITDA increased 10% and 20%, respectively.

For 2026, Uniti maintained midpoint expectations for Kinetic revenue of $2.145 billion and contribution margin of $905 million. It raised fiber infrastructure midpoint guidance to $1 billion of revenue and $575 million of contribution margin, citing strong hyperscale and AI-related activity.

The company expects Uniti Solutions to generate $700 million in revenue and $320 million in contribution margin at the midpoint. Consolidated guidance calls for approximately $3.655 billion of revenue, $1.475 billion of adjusted EBITDA and $1.525 billion of net capital expenditures.

Bullington cautioned that large dark-fiber sales can be uneven between quarters. Uniti expects limited large-deal contribution in the third quarter, with a significant portion anticipated in the fourth quarter, though some transactions could shift into early 2027 due to the timing of major construction projects.

Separately, Bullington said Uniti recently completed its second Kinetic asset-backed securities transaction, which is intended to help fund fiber construction over the next year and could support repayment of up to $500 million of secured debt through ongoing asset sale offers. The company also said it sees potential to monetize $500 million to $1 billion of non-core assets over the next 12 to 36 months, with minimal expected impact on adjusted EBITDA because many of those assets are underutilized or generate little cash flow.

About Uniti Group (NASDAQ:UNIT)Uniti Group Inc is a real estate investment trust that owns, operates and acquires communications infrastructure assets across the United States. Established in September 2015 through a spin-off from Windstream Holdings, Uniti Group focuses on leasing fiber, small cell networks, cell towers and related infrastructure to service providers, wireless carriers and other enterprises requiring high-capacity connectivity. The company's assets are designed to support the growing data demands of residential, business and governmental customers, with an emphasis on long-term contractual lease arrangements.

Uniti's portfolio encompasses an extensive fiber network that spans metropolitan and rural markets, as well as a portfolio of wireless towers and small cell nodes that facilitate mobile network densification and help carriers deploy 5G services.

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

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Merit Medical (MMSI - Free Report) reported $418.84 million in revenue for the quarter ended June 2026, representing a year-over-year increase of 9.5%. EPS of $1.19 for the same period compares to $1.01 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $404.67 million, representing a surprise of +3.5%. The company delivered an EPS surprise of +23.96%, with the consensus EPS estimate being $0.96.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Merit Medical performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

Geographic Sales- International: $166.79 million compared to the $165.5 million average estimate based on two analysts. The reported number represents a change of +7.3% year over year.Geographic Sales- United States: $252.05 million compared to the $239.59 million average estimate based on two analysts. The reported number represents a change of +11% year over year.Revenue- Therapeutic: $137.88 million compared to the $132.99 million average estimate based on five analysts.Revenue- Foundational: $280.96 million versus $271.69 million estimated by five analysts on average.View all Key Company Metrics for Merit Medical here>>>

Shares of Merit Medical have returned +16.4% over the past month versus the Zacks S&P 500 composite's -1.5% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

Edison International (EIX - Free Report) came out with quarterly earnings of $1.54 per share, beating the Zacks Consensus Estimate of $1.02 per share. This compares to earnings of $0.97 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +50.98%. A quarter ago, it was expected that this electric power provider would post earnings of $1.32 per share when it actually produced earnings of $1.42, delivering a surprise of +7.58%.

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

Edison International, which belongs to the Zacks Utility - Electric Power industry, posted revenues of $4.36 billion for the quarter ended June 2026, missing the Zacks Consensus Estimate by 7.65%. This compares to year-ago revenues of $4.54 billion. The company has topped consensus revenue estimates three times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Edison International shares have added about 31% since the beginning of the year versus the S&P 500's gain of 6.9%.

What's Next for Edison International?While Edison International has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Edison International was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.96 on $5.52 billion in revenues for the coming quarter and $6.13 on $18.98 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Utility - Electric Power is currently in the bottom 34% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

One other stock from the same industry, NRG Energy (NRG - Free Report) , is yet to report results for the quarter ended June 2026. The results are expected to be released on August 4.

This power company is expected to post quarterly earnings of $1.66 per share in its upcoming report, which represents a year-over-year change of -1.2%. The consensus EPS estimate for the quarter has been revised 2.5% higher over the last 30 days to the current level.

NRG Energy's revenues are expected to be $5.89 billion, down 12.6% from the year-ago quarter.

The offices of Dexcom in San Diego, California, U.S., June 30, 2026. REUTERS/Mike Blake Purchase Licensing Rights, opens new tab

CompaniesJuly 30 (Reuters) - Medical device maker Dexcom (DXCM.O), opens new tab raised its full-year revenue forecast and beat quarterly estimates ​on Thursday, banking on sustained demand for its ‌continuous glucose monitors that track blood sugar levels, sending shares of the company up ​over 4% in extended trading.

Here are ​the details:

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Rising awareness of diabetes care, ⁠improved insurance coverage and a wider ​consumer shift towards finger-prick-free technology have boosted ​demand for continuous glucose monitors, intensifying competition among market leaders Dexcom, Medtronic (MDT.N), opens new tab and Abbott Laboratories (ABT.N), opens new tab.

Dexcom reported ​second-quarter revenue of $1.31 billion, up 13% ​over a year earlier. Analysts on average had estimated $1.29 ‌billion, ⁠according to data compiled by LSEG.

It posted quarterly adjusted profit of 70 cents per share, compared with the estimate of ​61 cents.

The ​company ⁠expects annual revenue to be between $5.18 billion and $5.25 billion, compared with $5.16 ​billion to $5.25 billion forecast earlier, and ​analysts' ⁠estimate of $5.22 billion.

Dexcom said in May it would appoint two independent directors and ⁠revamp ​a key board committee ​in collaboration with activist investor Elliott Investment Management.

Reporting by Padmanabhan ​Ananthan in Bengaluru; Editing by Shilpi Majumdar

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

Q2'26 Banner Image , /PRNewswire/ --

"In a world of endless screens and AI-generated everything, the one thing that can't be copied is being there. More artists are on the road than ever — and fans keep choosing to be in the room with them, driving the strongest concert ticket sales we've ever seen. More than 143 million tickets have sold through mid-July, over 14 million ahead of last year's pace, with mid-teens ticket sales growth across all large venue types: stadiums, arenas, and amphitheaters.

None of this happens without the artists — they make these moments, and we're grateful to every artist and crew who trust us with their tours. This was a quarter of milestones: nearly 49 million fans attended our shows, Ticketmaster grew adjusted operating income 14%, and all-time-high deferred revenue points to a strong second half. The first-quarter legal accrual will weigh on reported operating income, but we remain on track for double-digit adjusted operating income growth this year — and to compound at that level for years to come."   –Michael Rapino, President and CEO

GLOBAL DEMAND FOR LIVE EVENTS DRIVES RECORD FAN GROWTH (2Q26 vs. 2Q25)

Revenue of $7.7 billion, up 9% Operating income of $522 million, up 7% Adjusted operating income (AOI) of $817 million, up 2% Concerts revenue grew 8%, while AOI reflected the timing of shows and continued investments in venues and festivals Ticketmaster results surpassed expectations, with AOI up 14% and 90 million fee-bearing tickets sold, up 8% Sponsorship AOI increased 13%, fueled by the international expansion of venues and festivals International markets powered growth across all segments: Drove attendance growth of 10%, adding approximately five million fans to a record 49 million globally Contributed 70% and 80% of Ticketmaster and Sponsorship AOI growth for the quarter, respectively ARTIST ACTIVITY GLOBALLY DRIVES HIGHEST 2Q CONCERTS ATTENDANCE (2Q26 vs. 2Q25 unless otherwise noted)

Revenue of $6.4 billion, up 8% Fan count of 49 million, up 10% International attendance at stadiums, arenas, and festivals all up over 20% U.S. attendance at amphitheaters and arenas up double digits, while stadium attendance declined due to show timing Underlying demand trends remain robust: Sell through rates across all U.S. large venue types remain at or above prior-year levels for shows through the end of 2Q Cancellation rates remain at historical levels Affordability remains a key priority, with low- to mid-single-digit price increases across stadiums, arenas, and amphitheaters, and U.S. get-in ticket price increases continuing to trail inflation over the past five years AOI of $310 million was down 14% due to the timing of stadium shows, venue pre-opening costs, and new international festivals Q2 ended with record event-related deferred revenue of $6.4 billion, up 25%, pointing to accelerating stadium and amphitheater activity in the second half Full-year fan attendance is now projected to grow 10%, with expected attendance at operated venues up double digits and third-party venues up high single digits For the full year, Concerts remains on track to deliver double-digit AOI growth, with the majority of the year-over-year improvement occurring in Q4, and continued margin expansion VENUE NATION DELIVERING MORE SHOWS AND ENHANCED HOSPITALITY FOR FANS GLOBALLY

Year-to-date, onsite food and beverage spending increased high single digits year-over-year at large U.S. amphitheaters and across European arenas and theaters Investments in premium experiences are driving strong returns: at newly opened amphitheaters, Morton and Mystic Lake, enhanced offerings are driving premium revenue nearly 75% higher than comparable amphitheaters Venue Nation on track to host close to 75 million fans in 2026, up double digits year-over-year, driven by an increase in show count from higher utilization of our existing venues and adding new venues 2026 pre-opening costs for all venues under development expected to be approximately $50 million, with current projects on track to achieve 20%+ IRRs Current pipeline of more than 25 large (over 3,000 seats) venues expected to open through the end of 2027, adding capacity for an incremental 15 million fans on a run rate basis LIVE EVENTS CONTINUE TO ATTRACT GROWING BRAND INVESTMENTS (2Q26 vs. 2Q25 unless otherwise noted)

Revenue of $383 million, up 12%, led by the strength of our international markets, up 17% AOI of $257 million, up 13% Brand demand remains broad-based, driven by our expanding venue portfolio and global festivals, which contributed 70% of the growth Number of strategic partners (over $1 million in revenue per year) increased over 20%, with associated revenue up double digits New ticket access partnership with Spotify's Reserved leverages Ticketmaster's platform to help more fans access tickets Sponsorship AOI expected to grow double digits for the year, with 95% of sponsorship commitments booked for 2026 Margins expected to be similar to last year DEMAND FOR CONCERTS FUELS HIGHEST 2Q FOR TICKETMASTER (2Q26 vs. 2Q25 unless otherwise noted)

Revenue of $852 million, up 15% AOI of $331 million, up 14% 90 million fee-bearing tickets sold, up 8% Concerts remained the primary growth driver with tickets sold up 11%, accounting for 90% of the ticket volume growth International markets sold 39 million tickets, up 12% with Gross Transaction Value (GTV) up 20% led by strong growth in South America North America secondary ticket volume was flat as growth in sports GTV offset a decline in concerts activity; this business now accounts for low double-digit portion of GTV, reflecting ongoing efforts to reduce scalper and bot activity Reported fee-bearing GTV up 15% to over $10 billion, led by concerts accounting for 90% of the growth 16 million net new tickets added year-to-date, with 85% from international markets as venues continue to choose Ticketmaster globally Q2 ended with deferred GTV of $5.2 billion, up 16%, and deferred service fee revenue of $390 million, up 23% Ticketmaster AOI positioned to grow mid-single digits for the full year, led by strong concert activity and expanding global client base Margins expected to be similar to last year CAPITAL ALLOCATION SUPPORTS VENUE EXPANSION AND LONG-TERM GROWTH 

Full year capital expenditures now projected to be $1.1 billion, toward the lower end of our initial range due to timing of projects: $800 million of total capital expenditures is for venue expansion and enhancement projects Approximately $200 million from funding by joint-venture partners, sponsorship agreements, and other sources will reduce venue cash requirements Additional capital expenditures focused on our ticketing and sponsorship growth initiatives, as well as ongoing maintenance at our venues Full year AOI to free cash flow—adjusted conversion expected to be in line with or higher than 2025 Free cash ended at approximately $2 billion compared to $1.7 billion last quarter, providing ample liquidity to invest in high-return projects FULL-YEAR INCOME STATEMENT DETAILS (vs. 2025)

Depreciation and amortization expected to grow 12-15% Net interest expense is expected to be approximately $280 million Corporate / Other and Eliminations expense expected to increase in line with AOI growth Income tax expense is expected to be 15-20% of AOI, with cash taxes projected to be 80% of that amount Below the line items: Noncontrolling interest expense is expected to be approximately $325 million for the full year and its growth will follow the timing of AOI growth. This projection may be further impacted by mark-to-market revaluations of investments with no impact to earnings per share, as any impact will be offset in other income and expenses Accretion expense is projected to be one-third of last year's, with continued strong performance at OCESA and other acquisitions 2026 share count not expected to change materially from 2025 Compare Our Operating Results to Past Quarters In The Trended Results Grid:
https://investors.livenationentertainment.com/financial-information/financial-results

The company will webcast a teleconference today, July 30, 2026, at 2:00 p.m. Pacific Time to discuss its financial performance, operational matters and potentially other material developments. Interested parties should visit the "News / Events" section of the company's website at investors.livenationentertainment.com to listen to the webcast. Supplemental statistical and financial information to be provided on the call, if any, will be posted to the "Financial Info" section of the website. A replay of the webcast will also be available on the Live Nation website. The link to the 2Q26 Trended Results Grid is provided above for convenience and such grid is not a part of, or incorporated into, this press release or any SEC filings that include this press release.

Notice Regarding Financial Statements
The company has provided certain financial statements at the end of this press release for reference. These financial statements should be read in conjunction with the full financial statements, and the notes thereto, set forth in the company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2026 to be filed with the Securities and Exchange Commission today and available on the SEC's website at sec.gov.

About Live Nation Entertainment:
Live Nation Entertainment, Inc. (NYSE: LYV) is the world's leading live entertainment company comprised of global market leaders: Ticketmaster, Live Nation Concerts, and Live Nation Media & Sponsorship. For additional information, visit investors.livenationentertainment.com.

FINANCIAL HIGHLIGHTS – SECOND QUARTER

(unaudited; $ in millions)

Q2 2026
Reported

Q2 2025

Reported

Change

Q2 2026
Currency
Impacts

Q2 2026 at
Constant
Currency

Change at
Constant
Currency

Revenue

Concerts

$     6,444.4

$       5,946.4

8 %

$     (56.3)

$     6,388.1

7 %

Ticketing

852.2

742.7

15 %

(14.6)

837.6

13 %

Sponsorship & Advertising

383.0

340.6

12 %

(6.4)

376.6

11 %

Other and Eliminations

(12.7)

(23.1)

*

0.0

(12.7)

*

$     7,666.9

$       7,006.6

9 %

$     (77.3)

$     7,589.6

8 %

Consolidated Operating Income

$        521.9

$         486.7

7 %

$     (12.9)

$        509.0

5 %

Adjusted Operating Income (Loss)

Concerts

$        309.6

$         358.7

(14) %

$       (5.0)

$        304.6

(15) %

Ticketing

331.0

290.1

14 %

(8.3)

322.7

11 %

Sponsorship & Advertising

256.9

227.6

13 %

(3.4)

253.5

11 %

Other and Eliminations

(5.7)

(6.8)

*

0.0

(5.7)

*

Corporate

(74.8)

(71.2)

(5) %

0.0

(74.8)

(5) %

$        817.0

$         798.4

2 %

$     (16.7)

$        800.3

0.2 %

* Percentages are not meaningful

FINANCIAL HIGHLIGHTS – SIX MONTHS

(unaudited; $ in millions)

6 Months
2026

Reported

6 Months
2025

Reported

Change

6 Months
2026

Currency
Impacts

6 Months
2026
Constant
Currency

Change at
Constant
Currency

Revenue

Concerts

$     9,219.9

$     8,430.5

9 %

$    (146.2)

$     9,073.7

8 %

Ticketing

1,617.2

1,437.4

13 %

(33.6)

1,583.6

10 %

Sponsorship & Advertising

641.6

556.6

15 %

(18.7)

622.9

12 %

Other and Eliminations

(18.8)

(35.7)

*

0.0

(18.8)

*

$    11,459.9

$    10,388.8

10 %

$    (198.5)

$    11,261.4

8 %

Consolidated Operating Income

$        151.4

$        601.4

(75) %

$       (0.2)

$        151.2

(75) %

Adjusted Operating Income (Loss)

Concerts

$        312.4

$        365.3

(14) %

$        4.0

$        316.4

(13) %

Ticketing

586.6

543.2

8 %

(14.9)

571.7

5 %

Sponsorship & Advertising

421.4

363.6

16 %

(12.8)

408.6

12 %

Other and Eliminations

(9.7)

(12.7)

*

(0.1)

(9.8)

*

Corporate

(122.7)

(119.9)

(2) %

0.0

(122.7)

(2) %

$     1,188.0

$     1,139.5

4 %

$     (23.8)

$     1,164.2

2 %

* Percentages are not meaningful

Reconciliation of Operating Income to Adjusted Operating Income

(unaudited; $ in millions)

Q2 2026

Q2 2025

6 Months 2026

6 Months 2025

Operating Income

$            521.9

$            486.7

$            151.4

$            601.4

Acquisition expenses

30.9

79.2

100.3

109.0

Amortization of non-recoupable ticketing contract advances

22.2

20.7

48.2

45.4

Depreciation and amortization

188.5

159.0

357.8

308.5

Gain on sale of operating assets

(8.5)

(0.9)

(14.5)

(3.1)

Astroworld loss contingencies

—

(7.8)

—

(7.8)

Governmental Investigations and Litigation

—

—

450.0

—

Stock-based compensation expense

62.0

61.5

94.8

86.1

Adjusted Operating Income

$            817.0

$            798.4

$          1,188.0

$          1,139.5

Reconciliations of Certain Non-GAAP Measures to Their Most Directly Comparable GAAP Measures

(unaudited; $ in millions)

Reconciliation of Free Cash Flow — Adjusted to Net Cash Provided by Operating Activities

($ in millions)

Q2 2026

Q2 2025

Net cash provided by operating activities

$              419.3

$              223.4

Changes in operating assets and liabilities (working capital)

281.4

387.8

Changes in accrued liabilities for Astroworld loss contingencies

—

(7.8)

Free cash flow from earnings

$              700.7

$              603.4

Less: Maintenance capital expenditures

(34.1)

(34.2)

          Distributions to noncontrolling interests

(150.7)

(131.1)

Free cash flow — adjusted

$              515.9

$              438.1

Net cash used in investing activities

$             (459.5)

$             (275.0)

Net cash provided by (used in) financing activities

$              190.6

$             (325.3)

Reconciliation of Free Cash Flow — Adjusted to Net Cash Provided by Operating Activities

($ in millions)

6 Months 2026

6 Months 2025

Net cash provided by operating activities

$               2,758.1

$               1,544.7

Changes in operating assets and liabilities (working capital)

(2,264.7)

(668.8)

Changes in accrued liabilities for Astroworld loss contingencies

—

(7.8)

Governmental Investigations and Litigation

450.0

—

Free cash flow from earnings

$                  943.4

$                  868.1

Less: Maintenance capital expenditures

(64.1)

(49.1)

          Distributions to noncontrolling interests

(188.7)

(164.8)

Free cash flow — adjusted

$                 690.6

$                 654.2

Net cash used in investing activities

$                (877.2)

$                (492.4)

Net cash provided by (used in) financing activities

$                 308.1

$                (498.5)

Reconciliation of Free Cash to Cash and Cash Equivalents

($ in millions)

June 30,
2026

June 30,
2025

Cash and cash equivalents

$               9,071.9

$               7,057.0

Short-term investments

65.6

57.6

Client cash

(1,927.3)

(1,703.2)

Deferred revenue — event-related

(6,411.8)

(5,140.3)

Accrued artist fees

(336.8)

(339.0)

Collections on behalf of others

(141.1)

(123.0)

Prepaid expenses — event-related

1,613.3

1,290.5

Free cash

$               1,933.8

$               1,099.6

Forward-Looking Statements, Non-GAAP Financial Measures and Reconciliations:
Certain statements in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to statements regarding deferred revenue pointing to a strong second half of 2026; expectations for full year adjusted operating income growth in 2026 as well as the expected growth level for years to come; anticipated accelerating stadium and amphitheater activity in the second half of 2026; projections for full year fan attendance in the company's Concerts business; anticipated adjusted operating income growth and margin expansion in the company's Concerts business for 2026; anticipated fan attendance for Venue Nation in 2026; anticipated 2026 pre-opening costs for all venues under development as well as anticipated IRRs for these projects; the company's current pipeline for Venue Nation and projected fan additions on a run rate basis; projected adjusted operating income growth and margin expectations for Ticketmaster in 2026; projected adjusted operating income growth and margin expectations for the company's Sponsorship business in 2026; capital allocation supporting venue expansion and long-term growth; projected full year 2026 capital expenditures; projected full year 2026 adjusted operation income to free cash flow—adjusted conversion; projected full year 2026 levels of depreciation and amortization, net interest expense, corporate / other and eliminations expense, income tax expense and cash taxes, noncontrolling interest expense and its timing; accretion expense, and share count.

Live Nation wishes to caution you that there are some known and unknown factors that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements, including but not limited to operational challenges in achieving strategic objectives and executing on the company's plans, the risk that the company's markets do not evolve as anticipated, the potential impact of any economic slowdown and operational challenges associated with selling tickets and staging events.

Live Nation refers you to the documents it files from time to time with the U.S. Securities and Exchange Commission, or SEC, specifically the section titled "Item 1A. Risk Factors" of the company's most recent Annual Report filed on Form 10-K, and Quarterly Reports on Form 10-Q and its Current Reports on Form 8-K, which contain and identify other important factors that could cause actual results to differ materially from those contained in the company's projections or forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements which speak only as of the date on which they are made. All subsequent written and oral forward-looking statements by or concerning Live Nation are expressly qualified in their entirety by the cautionary statements above. Live Nation does not undertake any obligation to publicly update or revise any forward-looking statements because of new information, future events or otherwise.

This press release contains certain non-GAAP financial measures as defined by SEC Regulation G. A reconciliation of each such measure to its most directly comparable GAAP financial measure, together with an explanation of why management believes that these non-GAAP financial measures provide useful information to investors, is provided herein.

Adjusted Operating Income (Loss), or AOI, is a non-GAAP financial measure that we define as operating income (loss) before certain acquisition expenses (including ongoing legal costs stemming from the Ticketmaster merger, changes in the fair value of accrued acquisition-related contingent consideration obligations, and acquisition-related severance and compensation), amortization of non-recoupable ticketing contract advances, depreciation and amortization (including goodwill impairment), loss (gain) on disposal of operating assets, and stock-based compensation expense. Due to the significant and non-recurring nature of the matters, we also exclude from AOI the impact of realized liabilities for settlements and expenses for regulatory compliance matters associated with the provision for losses arising from certain significant governmental investigations and litigations under ASC 450 - Contingencies, which are described under the heading "Governmental Investigations and Litigation" in Note 6 of the Notes to the Consolidated Financial Statements in our Quarterly Report on Form 10-Q for the quarter ended June 30, 2026. Except as described above, ongoing legal costs associated with defense of these claims, such as attorney fees, are not excluded from AOI. We use AOI to evaluate the performance of our operating segments. We believe that information about AOI assists investors by allowing them to evaluate changes in the operating results of our portfolio of businesses separate from non-operational factors that affect net income (loss), thus providing insights into both operations and the other factors that affect reported results. AOI is not calculated or presented in accordance with GAAP. A limitation of the use of AOI as a performance measure is that it does not reflect the periodic costs of certain amortizing assets used in generating revenue in our business. Accordingly, AOI should be considered in addition to, and not as a substitute for, operating income (loss), net income (loss), and other measures of financial performance reported in accordance with GAAP. Furthermore, this measure may vary among other companies; thus, AOI as presented herein may not be comparable to similarly titled measures of other companies.

AOI margin is a non-GAAP financial measure that we calculate by dividing AOI by revenue. We use AOI margin to evaluate the performance of our operating segments. We believe that information about AOI margin assists investors by allowing them to evaluate changes in the operating results of our portfolio of businesses separate from non-operational factors that affect net income (loss), thus providing insights into both operations and the other factors that affect reported results. AOI margin is not calculated or presented in accordance with GAAP. A limitation of the use of AOI margin as a performance measure is that it does not reflect the periodic costs of certain amortizing assets used in generating revenue in our business. Accordingly, AOI margin should be considered in addition to, and not as a substitute for, operating income (loss) margin, and other measures of financial performance reported in accordance with GAAP. Furthermore, this measure may vary among other companies; thus, AOI margin as presented herein may not be comparable to similarly titled measures of other companies.

Constant Currency is a non-GAAP financial measure when applied to a GAAP financial measure. We calculate currency impacts as the difference between current period activity translated using the current period's currency exchange rates and the comparable prior period's currency exchange rates. We present constant currency information to provide a framework for assessing how our underlying businesses performed excluding the effect of foreign currency rate fluctuations.

Free Cash Flow — Adjusted, or FCF, is a non-GAAP financial measure that we define as net cash provided by (used in) operating activities less changes in operating assets and liabilities, less maintenance capital expenditures, less distributions to noncontrolling interest partners. We use FCF among other measures, to evaluate the ability of operations to generate cash that is available for purposes other than maintenance capital expenditures. We believe that information about FCF provides investors with an important perspective on the cash available to service debt, make acquisitions, and for revenue generating capital expenditures. FCF is not calculated or presented in accordance with GAAP. A limitation of the use of FCF as a performance measure is that it does not necessarily represent funds available for operations and is not necessarily a measure of our ability to fund our cash needs. Accordingly, FCF should be considered in addition to, and not as a substitute for, net cash provided by (used in) operating activities and other measures of financial performance reported in accordance with GAAP. Furthermore, this measure may vary among other companies; thus, FCF as presented herein may not be comparable to similarly titled measures of other companies.

Free Cash is a non-GAAP financial measure that we define as cash and cash equivalents less ticketing-related client funds, less event-related deferred revenue, less accrued expenses due to artists and cash collected on behalf of others, plus event-related prepaids. We use free cash as a proxy for how much cash we have available to, among other things, optionally repay debt balances, make acquisitions and fund revenue generating capital expenditures. Free cash is not calculated or presented in accordance with GAAP. A limitation of the use of free cash as a performance measure is that it does not necessarily represent funds available from operations and it is not necessarily a measure of our ability to fund our cash needs. Accordingly, free cash should be considered in addition to, and not as a substitute for, cash and cash equivalents and other measures of financial performance reported in accordance with GAAP. Furthermore, this measure may vary among other companies; thus, free cash as presented herein may not be comparable to similarly titled measures of other companies.

LIVE NATION ENTERTAINMENT, INC.

CONSOLIDATED BALANCE SHEETS

(unaudited)

June 30,
2026

December 31,
2025

(in thousands)

ASSETS

Current assets

    Cash and cash equivalents

$          9,071,949

$          7,094,200

    Accounts receivable, less allowance of $92,267 and $73,912, respectively

2,885,249

2,009,055

    Prepaid expenses

2,534,952

1,453,732

    Other current assets

463,499

417,405

Total current assets

14,955,649

10,974,392

Property, plant and equipment, net

3,963,993

3,415,771

Operating lease assets

1,866,814

1,869,753

Intangible assets

    Definite-lived intangible assets, net

1,205,988

1,078,453

    Indefinite-lived intangible assets, net

368,967

369,015

Goodwill

3,063,726

2,889,178

Long-term advances

743,830

631,071

Other long-term assets

2,011,859

1,684,900

Total assets

$        28,180,826

$        22,912,533

LIABILITIES AND EQUITY

Current liabilities

    Accounts payable, client accounts

$          2,254,652

$          1,941,389

    Accrued expenses and accounts payable

4,728,351

3,555,811

    Deferred revenue

7,334,511

4,461,959

    Current portion of long-term debt, net

2,968,381

587,630

    Other current liabilities

277,360

482,061

Total current liabilities

17,563,255

11,028,850

Long-term debt, net

6,233,084

7,612,018

Long-term operating lease liabilities

2,081,247

2,036,974

Other long-term liabilities

484,075

415,844

Commitments and contingent liabilities

Redeemable noncontrolling interests

1,063,602

924,472

Stockholders' equity

    Common stock

2,335

2,328

    Additional paid-in capital

1,389,093

1,455,925

    Accumulated deficit

(1,136,636)

(1,041,978)

    Cost of shares held in treasury

(30,396)

(30,396)

    Accumulated other comprehensive loss

(142,066)

(114,872)

Total Live Nation stockholders' equity

82,330

271,007

Noncontrolling interests

673,233

623,368

Total equity

755,563

894,375

Total liabilities and equity

$        28,180,826

$        22,912,533

LIVE NATION ENTERTAINMENT, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited)

Three Months Ended

June 30,

Six Months Ended

June 30,

2026

2025

2026

2025

(in thousands except share and

per share data)

Revenue

$     7,666,858

$     7,006,641

$   11,459,887

$   10,388,758

Operating expenses:

Direct operating expenses

5,724,216

5,210,756

8,202,674

7,465,693

Selling, general and administrative expenses

1,134,965

1,003,344

2,096,484

1,782,266

Depreciation and amortization

188,459

159,025

357,755

308,480

Gain on disposal of operating assets

(8,516)

(856)

(14,538)

(3,058)

Corporate expenses

105,817

147,719

666,111

233,955

Operating income

521,917

486,653

151,401

601,422

Interest expense

97,230

72,048

187,752

152,391

Interest income

(42,709)

(37,893)

(82,176)

(71,954)

Equity in losses (earnings) of nonconsolidated affiliates

4,459

(4,268)

7,342

(4,747)

Other expense (income), net

(55,664)

36,380

(68,015)

39,333

Income before income taxes

518,601

420,386

106,498

486,399

Income tax expense

115,717

117,645

83,632

137,356

Net income

402,884

302,741

22,866

349,043

Net income attributable to noncontrolling interests

108,438

59,330

117,524

82,429

Net income (loss) attributable to common stockholders of Live Nation

$       294,446

$       243,411

$       (94,658)

$       266,614

Basic net income (loss) per common share available to common stockholders of Live Nation

$           1.06

$           0.41

$          (0.78)

$           0.09

Diluted net income (loss) per common share available to common stockholders of Live Nation

$           1.05

$           0.41

$          (0.78)

$           0.09

Weighted average common shares outstanding:

Basic

232,838,912

231,845,412

232,621,161

231,534,852

Diluted

244,036,331

234,417,428

232,621,161

234,658,608

Reconciliation to net income (loss) available to common stockholders of Live Nation:

Net income (loss) attributable to common stockholders of Live Nation

$       294,446

$       243,411

$       (94,658)

$       266,614

Accretion of redeemable noncontrolling interests

(46,544)

(147,801)

(87,823)

(245,895)

Net income (loss) available to common stockholders of Live Nation—basic

$       247,902

$        95,610

$      (182,481)

$        20,719

Convertible debt interest, net of tax

8,467

—

—

—

Net income (loss) available to common stockholders of Live Nation—diluted

$       256,369

$        95,610

$      (182,481)

$        20,719

LIVE NATION ENTERTAINMENT, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited)

Six Months Ended June 30,

2026

2025

(in thousands)

CASH FLOWS FROM OPERATING ACTIVITIES

Net income

$          22,866

$         349,043

Reconciling items:

Depreciation

221,063

183,804

Amortization of definite-lived intangibles

136,692

124,676

Amortization of non-recoupable ticketing contract advances

48,240

45,443

Deferred income taxes

7,537

25,129

Amortization of debt issuance costs and discounts

11,291

8,131

Stock-based compensation expense

94,808

86,097

Unrealized changes in fair value of contingent consideration

14,238

9,304

Equity in losses of nonconsolidated affiliates, net of distributions

14,167

8,774

Provision for uncollectible accounts receivable

18,974

13,539

Loss (gain) on mark-to-market of investments in nonconsolidated affiliates and crypto assets

(66,465)

133

Loss (gain) on forward currency exchange contracts

(15,167)

31,584

Other, net

(14,866)

(9,730)

Changes in operating assets and liabilities, net of effects of acquisitions and dispositions:

Increase in accounts receivable

(855,217)

(622,765)

Increase in prepaid expenses and other assets

(1,215,956)

(822,523)

Increase in accrued expenses, accounts payable and other liabilities

1,507,529

225,791

Increase in deferred revenue

2,828,374

1,888,292

Net cash provided by operating activities

2,758,108

1,544,722

CASH FLOWS FROM INVESTING ACTIVITIES

Advances of notes receivable

(8,602)

(19,156)

Collections of notes receivable

8,085

17,784

Investments made in nonconsolidated affiliates

(42,223)

(14,492)

Purchases of property, plant and equipment

(598,502)

(434,207)

Cash paid for acquisition of right-of-use assets

—

(20,800)

Cash paid for acquisitions, net of cash acquired

(242,567)

(50,090)

Proceeds from sale of intangible assets

—

20,040

Other, net

6,600

8,495

Net cash used in investing activities

(877,209)

(492,426)

CASH FLOWS FROM FINANCING ACTIVITIES

Proceeds from debt, net of debt issuance costs

1,021,866

62,764

Payments on debt including extinguishment costs

(237,478)

(103,625)

Contributions from noncontrolling interests

27,829

11,264

Distributions to noncontrolling interests

(188,735)

(164,819)

Purchases of noncontrolling interests, net

(236,759)

(206,112)

Proceeds from exercise of stock options

5,057

3,443

Taxes paid for net share settlement of equity awards

(64,111)

(86,585)

Payments for deferred and contingent consideration

(18,552)

(14,399)

Other, net

(1,014)

(383)

Net cash provided by (used in) financing activities

308,103

(498,452)

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

(124,361)

409,647

Net increase in cash, cash equivalents and restricted cash

2,064,641

963,491

Cash, cash equivalents and restricted cash at beginning of period

7,106,986

6,106,109

Cash, cash equivalents and restricted cash at end of period

$       9,171,627

$       7,069,600

SOURCE Live Nation Entertainment

, /PRNewswire/ -- Dolby Laboratories, Inc. (NYSE:DLB) today announced the company's financial results for the third quarter of fiscal 2026.

"We continue to execute against our full-year objectives, and we are building momentum across several of our key growth areas," said Kevin Yeaman, President and CEO, Dolby Laboratories. "We are expanding our total addressable market and creating new opportunities with content partners through the Video Distribution Program and Dolby OptiView, and we continue to bring Dolby Atmos and Dolby Vision to more experiences from live sports, to music in the car, to user-generated content on mobile devices and more."

Third Quarter Fiscal 2026 Financial Highlights

Total revenue was $305 million, compared to $316 million for the third quarter of fiscal 2025. GAAP net income was $29 million or $0.30 per diluted share, compared to GAAP net income of $46 million or $0.48 per diluted share for the third quarter of fiscal 2025. On a non-GAAP basis, third quarter net income was $65 million or $0.69 per diluted share, compared to $76 million or $0.78 per diluted share for the third quarter of fiscal 2025. Dolby repurchased 1.2 million shares of its common stock for approximately $65 million. A complete listing of Dolby's non-GAAP measures is described and reconciled to the corresponding GAAP measures at the end of this release. 

Recent Business Highlights

The 2026 FIFA World Cup was shown in Dolby Atmos and/or Dolby Vision across broadcast, streaming, and pay TV, including Peacock and Comcast in the U.S., Bell TV in Canada, and TV GLOBAL in Brazil. On TVs, Dolby Vision 2 is now in market with some Hisense TVs, and by the end of this calendar year, TCL and Philips will also be shipping TVs with Dolby Vision 2.  RayNeo, the leading provider of augmented reality glasses, launched the RayNeo GT Max, the first AR smart glasses supporting Dolby Vision. Insta360, a leader in the action and panoramic cameras segments, launched the Luna Ultra, which supports Dolby Vision capture. Google announced support for Dolby Atmos through Android Auto with partners including BMW, Genesis, Mahindra, Mercedes, Renault, and Skoda. Roberts Communications Network, the largest horse racing streaming provider in the U.S., is using Dolby OptiView for ultra-low latency video streaming for horse racing. Access Advance announced that Meta Platforms, Inc., one of the world's largest distributors of video content, joined the VDP program as a licensee. Dividend

Today, Dolby announced a cash dividend of $0.36 per share of Class A and Class B common stock, payable on August 19, 2026, to stockholders of record as of the close of business on August 11, 2026.

Stock Repurchase Program

Today, Dolby also announced that its Board of Directors has approved increasing the size of its stock repurchase program by $350 million, bringing the amount available for future repurchases of its Class A Common Stock to approximately $427 million. Stock repurchases under this program may be made through open market transactions, negotiated purchases, or otherwise, at times and in amounts that the company considers appropriate.

Financial Outlook

Dolby's financial outlook relies, in part, on estimates of royalty-based revenue that take into consideration various factors that are subject to uncertainty, including consumer demand for electronic products. In addition, actual results could differ materially from the estimates Dolby is providing herein due in part to uncertainty resulting from the macroeconomic effect of certain conditions, including developments concerning trade restrictions and changes in trade or diplomatic relationships, supply chain constraints, international conflicts, geopolitical instability, and fluctuations in inflation and interest rates. The uncertainty resulting from these factors has greatly reduced visibility into Dolby's future outlook. To the extent possible, the estimates Dolby is providing for future periods reflect certain assumptions about the potential impact of certain of these items, based upon a consideration of currently available external and internal data and information. These assumptions are subject to risks and uncertainties. For more information, see "Forward-Looking Statements" in this press release for a description of certain risks that Dolby faces, and the section captioned "Risk Factors" in its Quarterly Report on Form 10-Q for the third quarter of fiscal 2026, to be filed on or around the date hereof.

Dolby is providing the following estimates for its fourth quarter of fiscal 2026:

Total revenue is expected to range from $362 million to $392 million. Licensing revenue is expected to range from $335 million to $365 million.  Gross margins are anticipated to be approximately 88% on a GAAP basis and approximately 90% on a non-GAAP basis. Operating expenses are anticipated to range from $227 million to $237 million on a GAAP basis and from $195 million to $205 million on a non-GAAP basis. Effective tax rate is anticipated to be around 23% on a GAAP basis and around 21% on a non-GAAP basis. Diluted earnings per share is anticipated to range from $0.78 to $0.93 on a GAAP basis and from $1.13 to $1.28 on a non-GAAP basis. Dolby is providing the following estimates for the full year of fiscal 2026:

Total revenue is expected to range from $1.41 billion to $1.44 billion. Licensing revenue is expected to range from $1.31 billion to $1.34 billion.  Gross margins are anticipated to be approximately 88% on a GAAP basis and approximately 90% on a non-GAAP basis. Operating expenses are anticipated to range from $937 million to $947 million on a GAAP basis and from $785 million to $795 million on a non-GAAP basis. Dolby expects operating margins to be approximately 21% on a GAAP basis and to be approximately 34% on a non-GAAP basis. Effective tax rate is anticipated to be around 24% on a GAAP basis and around 21% on a non-GAAP basis. Diluted earnings per share is anticipated to range from $2.62 to $2.77 on a GAAP basis and from $4.25 to $4.40 on a non-GAAP basis. Conference Call Information

Members of Dolby management will lead a conference call open to all interested parties to discuss third quarter fiscal 2026 financial results for Dolby Laboratories at 2:00 p.m. PT (5:00 p.m. ET) on Thursday, July 30, 2026.

The conference call can be accessed by registering online at Dolby Laboratories Q3 Fiscal Year 2026 Financial Results, at which time registrants will receive dial-in information as well as a conference ID.

A live audio webcast of the conference call will be available at http://investor.dolby.com where it will be archived for one year.

Non-GAAP Financial Information

To supplement Dolby's financial statements presented on a GAAP basis, Dolby management uses, and Dolby provides to investors, certain non-GAAP financial measures as an additional tool to evaluate Dolby's operating results in a manner that focuses on what Dolby's management believes to be its ongoing business operations and performance. We believe these non-GAAP financial measures are also helpful to investors in enabling comparability of operating performance between periods and among peer companies. Additionally, Dolby's management regularly uses our supplemental non-GAAP financial measures to make operating decisions, for planning and forecasting purposes and determining bonus payouts. Specifically, Dolby excludes the following as adjustments from one or more of its non-GAAP financial measures:

Stock-based compensation expense: Stock-based compensation, unlike cash-based compensation, utilizes subjective assumptions in the methodologies used to value the various stock-based award types that Dolby grants. These assumptions may differ from those used by other companies. To facilitate more meaningful comparisons between its underlying operating results and those of other companies, Dolby excludes stock-based compensation expense.

Amortization of acquisition-related intangibles: Dolby amortizes intangible assets acquired in connection with business combinations. These intangible assets consist of patents and technology, customer relationships, and other intangibles. Dolby records amortization charges relating to these intangible assets in its GAAP financial statements, and Dolby views these charges as items arising from pre-acquisition activities that are determined by the timing and valuation of its acquisitions. As these amortization charges do not directly correlate to its operations during any particular period, Dolby excludes these charges to facilitate an evaluation of its current operating performance and comparisons to its past operating results. In addition, while amortization expense of acquisition-related intangible assets is excluded from Non-GAAP Net Income, the revenue generated from those assets is not excluded.

Restructuring charges or credits: Restructuring charges are costs associated with restructuring plans and primarily relate to costs associated with exit or disposal activities, employee severance benefits, and asset impairments. Dolby excludes restructuring costs, including any adjustments to charges recorded in prior periods (which may be credits), as Dolby believes that these costs are not representative of its normal operating activities and therefore, excluding these amounts enables a more effective comparison of its past operating performance and to that of other companies.

Income tax adjustments: The income tax effects of the aforementioned non-GAAP adjustments do not directly correlate to its operating performance so Dolby believes that excluding such income tax effects provides a more meaningful view of its underlying operating results to management and investors.

Using the aforementioned adjustments, Dolby provides various non-GAAP financial measures including, but not limited to: non-GAAP net income, non-GAAP diluted earnings per share, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating margin, and non-GAAP effective tax rate. Dolby's management believes it is useful for itself and investors to review both GAAP and non-GAAP measures to assess the performance of Dolby's business, including

as a means to evaluate period-to-period comparisons. Dolby's management does not itself, nor does it suggest that investors should, consider non-GAAP financial measures in isolation from, superior to, or as a substitute for, financial information prepared in accordance with GAAP. Whenever Dolby uses non-GAAP financial measures, it provides a reconciliation of the non-GAAP financial measures to the most closely applicable GAAP financial measures. Investors are encouraged to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures as detailed above and below. Investors are also encouraged to review Dolby's GAAP financial statements as reported in its US Securities and Exchange Commission (SEC) filings. A reconciliation between GAAP and non-GAAP financial measures is provided at the end of this press release and on the Dolby investor relations website, http://investor.dolby.com.

Forward-Looking Statements

Certain statements in this press release and in our earnings calls, including, but not limited to, expected financial results for the fourth quarter of fiscal 2026 and full year fiscal 2026, Dolby's ability to expand existing business, navigate challenging periods, pursue its long-term growth opportunities, and advance its other long-term objectives are "forward-looking statements" that inherently involve substantial risks and uncertainties. These forward-looking statements are based on management's current expectations, and as a result of certain risks and uncertainties, actual results may differ materially from those provided. The following important factors, without limitation, could cause actual results to differ materially from those in the forward-looking statements: the potential impacts of economic conditions on Dolby's business operations, financial results, and financial position (including the impact to Dolby partners and disruption of the supply chain and delays in shipments of consumer products; the level at which Dolby technologies are incorporated into products and the consumer demand for such products; delays in the development and release of new products or services that contain Dolby technologies; delays in royalty reporting or delinquent payment by partners or licensees; lengthening sales cycles; the impact to the overall cinema market including adverse impact to Dolby's revenue recognized on box-office sales and demand for cinema products and services; and macroeconomic conditions that affect discretionary spending and access to products that contain Dolby technologies); risks associated with geopolitical issues and international conflicts; risks associated with trends in the markets in which Dolby operates, including the broadcast, mobile, consumer electronics, PC, and other markets; the loss of, or reduction in sales by, a key customer, partner, or licensee; pricing pressures; risks relating to changing trends in the way that content is distributed and consumed; risks relating to conducting business internationally, including trade restrictions and changes in diplomatic or trade relationships; risks relating to maintaining patent coverage; the timing of Dolby's receipt of royalty reports and payments from its licensees, including recoveries; changes in tax regulations; timing of revenue recognition under licensing agreements and other contractual arrangements; Dolby's ability to develop, maintain, and strengthen relationships with industry participants; Dolby's ability to develop and deliver innovative products and technologies in response to new and growing markets; competitive risks; risks associated with conducting business in countries that have historically limited recognition and enforcement of intellectual property and contractual rights; risks associated with the health of the motion picture and cinema industries generally; Dolby's ability to increase its revenue streams and to expand its business generally, and to continue to expand its business beyond its current technology offerings; risks associated with acquiring and successfully integrating businesses or technologies; and other risks detailed in Dolby's SEC filings and reports, including the risks identified under the section captioned "Risk Factors" in its Quarterly Report on Form 10-Q filed on or around the date hereof. Dolby may not actually achieve the plans, intentions, or expectations disclosed in its forward-looking statements. Forward-looking statements are based upon information available to us as of the date of such statements, and while Dolby believes such information forms a reasonable basis for such statements, such information may be limited or incomplete. These statements are inherently uncertain and investors are cautioned not to unduly rely upon these statements. Except as required by law, Dolby disclaims any obligation to update information contained in these forward-looking statements whether as a result of new information, future events, or otherwise.

About Dolby

Dolby Laboratories (NYSE: DLB) is a world leader in immersive entertainment. From movies and TV, to music, sports, gaming, and beyond, Dolby transforms the science of sight and sound into spectacular experiences for billions of people worldwide across all their favorite devices. We partner with artists, storytellers, and the brands you love to transform entertainment and digital experiences through groundbreaking innovations like Dolby Atmos, Dolby Vision, Dolby Cinema, and Dolby OptiView.

Dolby, Dolby Atmos, Dolby Vision, Dolby Cinema, Dolby OptiView, and the double-D symbol are among the registered and unregistered trademarks of Dolby Laboratories in the United States and/or other countries. Other trademarks remain the property of their respective owners.

DOLBY LABORATORIES, INC.
INTERIM CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts; unaudited)

Fiscal Quarter Ended

Fiscal Year-To-Date Ended

June 26,
2026

June 27,
2025

June 26,
2026

June 27,
2025

Revenue:

  Licensing

$          282,351

$          289,905

$          974,367

$          966,390

  Products and services

22,644

25,641

72,964

75,716

Total revenue

304,995

315,546

1,047,331

1,042,106

Cost of revenue:

  Cost of licensing

22,718

21,713

67,523

62,508

  Cost of products and services

17,601

22,289

60,735

58,105

Total cost of revenue

40,319

44,002

128,258

120,613

Gross profit

264,676

271,544

919,073

921,493

Operating expenses:

  Research and development

65,749

65,982

198,477

194,327

  Sales and marketing

85,071

86,163

272,786

270,191

  General and administrative

75,585

72,307

221,783

212,814

  Restructuring charges/(credits)

3,955

(547)

16,605

8,879

Total operating expenses

230,360

223,905

709,651

686,211

Operating income

34,316

47,639

209,422

235,282

Other income/(expense):

  Interest income/(expense), net

3,453

4,111

12,595

10,316

  Other income, net

6,033

3,766

13,086

16,219

Total other income

9,486

7,877

25,681

26,535

Income before income taxes

43,802

55,516

235,103

261,817

 Provision for income taxes

(14,588)

(8,974)

(56,754)

(54,979)

Net income including noncontrolling interest

29,214

46,542

178,349

206,838

 Less: net income attributable to noncontrolling interest

(612)

(471)

(1,505)

(1,152)

Net income attributable to Dolby Laboratories, Inc.

$           28,602

$           46,071

$          176,844

$          205,686

Net income per share:

Basic

$              0.30

$              0.48

$              1.86

$              2.14

Diluted

$              0.30

$              0.48

$              1.84

$              2.11

Weighted-average shares outstanding:

Basic

94,242

95,897

94,975

95,947

Diluted

94,518

96,900

95,859

97,537

DOLBY LABORATORIES, INC.
INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands; unaudited)

June 26,
2026

September 26,
2025

ASSETS

Current assets:

 Cash and cash equivalents

$          669,394

$          701,893

 Restricted cash

69,492

91,468

 Short-term investments

652

703

 Accounts receivable, net

285,148

331,096

 Contract assets, net

206,881

180,804

 Inventories, net

30,768

30,424

 Prepaid expenses and other current assets

63,706

51,873

Total current assets

1,326,041

1,388,261

 Long-term investments

86,437

80,205

 Property, plant, and equipment, net

459,115

470,608

 Operating lease right-of-use assets

42,401

33,204

 Goodwill and intangible assets, net

910,777

926,957

 Deferred taxes

213,171

214,361

 Other non-current assets

118,660

114,164

Total assets

$        3,156,602

$        3,227,760

LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:

 Accounts payable

$           12,470

$           17,840

 Accrued liabilities

360,407

369,256

 Income taxes payable

—

8,928

 Contract liabilities

33,593

31,382

 Operating lease liabilities

9,859

10,384

Total current liabilities

416,329

437,790

 Non-current contract liabilities

23,463

29,687

 Non-current operating lease liabilities

37,591

28,494

 Other non-current liabilities

86,504

99,843

Total liabilities

563,887

595,814

Stockholders' equity:

 Class A common stock

52

54

 Class B common stock

40

40

 Retained earnings

2,598,923

2,634,980

 Accumulated other comprehensive loss

(15,468)

(12,517)

Total stockholders' equity – Dolby Laboratories, Inc.

2,583,547

2,622,557

 Noncontrolling interest

9,168

9,389

Total stockholders' equity

2,592,715

2,631,946

Total liabilities and stockholders' equity

$        3,156,602

$        3,227,760

DOLBY LABORATORIES, INC.
INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands; unaudited)

Fiscal Year-To-Date Ended

June 26,
2026

June 27,
2025

Operating activities:

Net income including noncontrolling interest

$          178,349

$          206,838

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

  Depreciation and amortization

70,842

65,829

  Stock-based compensation

98,883

97,462

  Amortization of operating lease right-of-use assets

7,889

8,193

  Provision for credit losses

4,244

2,582

  Deferred income taxes

1,542

(9,146)

  Share of net income of equity method investees, net of cash distributions

(7,602)

1,845

  Other non-cash items affecting net income

(1,289)

(429)

  Changes in operating assets and liabilities:

 Accounts receivable, net

1,489

15,234

 Contract assets, net

(28,442)

(6,902)

 Inventories

6,512

4,020

 Operating lease right-of-use assets

(17,547)

(1,717)

 Prepaid expenses and other assets

(31,999)

28,003

 Accounts payable and accrued liabilities

35,611

(48,979)

 Income taxes, net

(2,771)

1,895

 Contract liabilities

1,620

(1,061)

 Operating lease liabilities

9,036

(8,237)

 Other non-current liabilities

(11,600)

(6,063)

Net cash provided by operating activities

314,767

349,367

Investing activities:

 Proceeds from sales of marketable securities

—

15,911

 Proceeds from sale of assets held for sale

—

16,881

 Purchases of property, plant, and equipment

(28,681)

(20,104)

 Business combinations, net of cash and restricted cash acquired, and other related payments

—

(1,362)

 Purchases of intangible assets

(42,575)

—

 Proceeds from sale of intangible assets

16,623

—

Net cash provided by/(used in) investing activities

(54,633)

11,326

Financing activities:

 Proceeds from issuance of common stock

24,685

38,681

 Repurchase of common stock

(200,001)

(89,990)

 Payment of excise tax on repurchase of common stock

—

(261)

 Payment of cash dividend

(102,659)

(95,010)

 Distributions to noncontrolling interest

(1,640)

(1,449)

 Shares repurchased for tax withholdings on vesting of restricted stock

(33,113)

(35,154)

Net cash used in financing activities

(312,728)

(183,183)

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

(1,881)

1,302

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

(54,475)

178,812

Cash, cash equivalents, and restricted cash at beginning of period

793,361

577,752

Cash, cash equivalents, and restricted cash at end of period

$          738,886

$          756,564

Licensing Revenue by Market
(unaudited)

The following table presents the composition of our licensing revenue and percentage of total licensing revenue for all periods presented (in thousands,
except percentage amounts):

Fiscal Quarter Ended

Fiscal Year-To-Date Ended

Market

June 26, 2026

June 27, 2025

June 26, 2026

June 27, 2025

Broadcast

$  106,579

38 %

$  111,286

38 %

$  326,041

33 %

$  321,297

33 %

Mobile

51,010

18 %

56,295

19 %

220,199

23 %

217,942

23 %

CE

31,506

11 %

28,071

10 %

118,057

12 %

115,668

12 %

PC

28,343

10 %

33,589

12 %

116,523

12 %

123,247

13 %

Other

64,913

23 %

60,664

21 %

193,547

20 %

188,236

19 %

Total licensing revenue

$  282,351

100 %

$  289,905

100 %

$  974,367

100 %

$  966,390

100 %

GAAP to Non-GAAP Reconciliations

(unaudited)

The following tables present Dolby's GAAP financial measures reconciled to the non-GAAP financial measures included in this release for the third
 quarters of fiscal 2026 and fiscal 2025:

Net income:

Fiscal Quarter Ended

(in thousands)

June 26,
2026

June 27,
2025

GAAP net income attributable to Dolby Laboratories, Inc.

$         28,602

$         46,071

Stock-based compensation (1)

30,964

30,728

Amortization of acquisition-related intangibles (2)

9,705

10,016

Restructuring charges/(credits)

3,955

(547)

Income tax adjustments

(8,077)

(10,606)

Non-GAAP net income attributable to Dolby Laboratories, Inc.

$         65,149

$         75,662

(1) Stock-based compensation included in above line items:

  Cost of products and services

$            440

$            420

  Research and development

9,695

9,188

  Sales and marketing

10,293

10,589

  General and administrative

10,536

10,531

(2) Amortization of acquisition-related intangibles included in above line items:

  Cost of licensing

$          6,590

$          6,610

  Cost of products and services

768

753

  Sales and marketing

352

340

  General and administrative

1,554

1,872

  Other income, net

441

441

Diluted earnings per share:

Fiscal Quarter Ended

June 26,
2026

June 27,
2025

GAAP diluted earnings per share

$           0.30

$           0.48

Stock-based compensation

0.33

0.32

Amortization of acquisition-related intangibles

0.10

0.10

Restructuring charges/(credits)

0.04

(0.01)

Income tax adjustments

(0.08)

(0.11)

Non-GAAP diluted earnings per share

$           0.69

$           0.78

Weighted-average shares outstanding - diluted (in thousands)

94,518

96,900

The following tables present a reconciliation between GAAP and non-GAAP versions of the estimated financial measures for the fourth quarter of
fiscal 2026 and full year fiscal 2026 included in this release:

Gross margin:

Q4 2026

Fiscal 2026

GAAP gross margin

88.0 %

88.0 %

Stock-based compensation

0.1 %

0.1 %

Amortization of acquisition-related intangibles

1.9 %

1.9 %

Non-GAAP gross margin

90.0 %

90.0 %

Operating expenses (in millions):

Q4 2026

Fiscal 2026

GAAP operating expenses (low - high end of range)

$227 - $237

$937 - $947

Stock-based compensation

(30)

(127)

Amortization of acquisition-related intangibles

(2)

(8)

Restructuring charges

—

(17)

Non-GAAP operating expenses (low - high end of range)

$195 - $205

$785 - $795

Operating margin:

Fiscal 2026

GAAP operating margin

21% +/-

Stock-based compensation

9 %

Amortization of acquisition-related intangibles

3 %

Restructuring charges

1 %

Non-GAAP operating margin

34% +/-

Effective tax rate:

Q4 2026

Fiscal 2026

GAAP effective tax rate

23.0 %

24.0 %

Stock-based compensation (low - high end of range)

(2%) - 1%

(2%) - 0%

Amortization of acquisition-related intangibles (low - high end of
range)

(1%) - 0%

(1%) - 0%

Non-GAAP effective tax rate

21.0 %

21.0 %

Diluted earnings per share:

Q4 2026

Fiscal 2026

Low

High

Low

High

GAAP diluted earnings per share (low - high end of range)

$           0.78

$         0.93

$           2.62

$         2.77

Stock-based compensation  (low - high end of range)

0.32

0.32

1.33

1.33

Amortization of acquisition-related intangibles (low - high end of
range)

0.10

0.10

0.41

0.41

Restructuring charges (low - high end of range)

—

—

0.18

0.18

Income tax adjustments (low - high end of range)

(0.07)

(0.07)

(0.29)

(0.29)

Non-GAAP diluted earnings per share (low - high end of range)

$           1.13

$         1.28

$           4.25

$         4.40

Weighted-average shares outstanding - diluted (in thousands)

93,600

93,600

95,200

95,200

Investor Contact:
Peter Goldmacher
415-254-7415
[email protected]

Media Contact:
[email protected]

SOURCE Dolby Laboratories, Inc.

, /PRNewswire/ -- Arthur J. Gallagher & Co. (NYSE: AJG) today reported its financial results for the quarter ended June 30, 2026. Management will host a webcast conference call to discuss these results on Thursday, July 30, 2026 at 5:15 p.m. ET/4:15 p.m. CT. To listen to the call, and for printer-friendly formats of this release, the "CFO Commentary" and "Supplemental Quarterly Data," which may also be referenced during the call, please visit ajg.com/IR. These documents contain both GAAP and non-GAAP measures. Investors and other users of this information should read carefully the section entitled "Information Regarding Non-GAAP Measures" beginning on page 9.

Summary of Financial Results - Second Quarter

Revenues Before

Reimbursements

Net Earnings (Loss)

EBITDAC

Diluted Net Earnings

(Loss) Per Share

Segment

2nd Q 26

2nd Q 25

2nd Q 26

2nd Q 25

2nd Q 26

2nd Q 25

2nd Q 26

2nd Q 25

(in millions)

(in millions)

(in millions)

Brokerage, as reported

$  3,502

$  2,787

$    450

$    510

$    948

$    892

$    1.74

$    1.95

Net (gains) on divestitures

(8)

(6)

(6)

(5)

(8)

(6)

(0.02)

(0.02)

Acquisition integration

—

—

84

30

113

41

0.33

0.12

Workforce and lease termination

—

—

30

28

40

37

0.11

0.11

Acquisition related adjustments

—

—

49

25

70

50

0.19

0.09

Amortization of intangible assets

—

—

218

130

—

—

0.84

0.50

Levelized foreign currency translation

–

1

—

(7)

—

(9)

—

(0.03)

Brokerage, as adjusted

3,494

2,782

825

711

1,163

1,005

3.19

2.72

Risk Management, as reported

453

392

57

43

96

75

0.22

0.16

Acquisition integration

—

—

1

1

1

2

–

0.01

Workforce and lease termination

—

—

1

3

2

4

0.01

0.01

Acquisition related adjustments

—

—

2

1

2

1

0.01

—

Amortization of intangible assets

—

—

5

5

—

—

0.02

0.02

Levelized foreign currency translation

—

5

—

1

—

1

—

—

Risk Management, as adjusted

453

397

66

54

101

83

0.26

0.20

Corporate, as reported

—

—

(183)

(185)

(98)

(111)

(0.71)

(0.71)

Transaction-related costs

—

—

10

24

12

29

0.04

0.09

Legal, tax and benefit plan related

—

—

16

—

21

—

0.06

—

Corporate, as adjusted

—

—

(157)

(161)

(65)

(82)

(0.61)

(0.62)

Total Company, as reported

$  3,955

$  3,179

$    324

$    368

$     946

$     856

$    1.25

$    1.40

Total Company, as adjusted

$  3,947

$  3,179

$    734

$    604

$  1,199

$  1,006

$    2.84

$    2.30

Total Brokerage & Risk Management, as reported

$  3,955

$  3,179

$    507

$    553

$  1,044

$     967

$    1.96

$    2.11

Total Brokerage & Risk Management, as adjusted

$  3,947

$  3,179

$    891

$    765

$  1,264

$  1,088

$    3.45

$    2.92

For second quarter 2025, reported and adjusted amounts for the Brokerage Segment include approximately $144 million of incremental interest income, or approximately 42 cents after-tax, earned on the cash proceeds associated with the AssuredPartners Financing in December 2024.

For second quarter 2026, the pretax impact of adjustments for the Brokerage, Risk Management, and Corporate Segments totals $505 million, $12 million and $33 million, respectively, and corresponding adjustment to the provision (benefit) for income taxes was $130 million, $3 million and ($7) million, respectively, relating to these adjustments. A detailed reconciliation is shown on page 17.

(1 of 20)

"We delivered an excellent second quarter!" said J. Patrick Gallagher, Jr., Chairman and CEO. "Our combined Brokerage and Risk Management segments delivered revenue growth of 24%, including organic growth of 6%. Our growth reflects the strength and diversity of our model, the continued power of our two-pronged growth strategy, and our culture of client-first execution. Client retention remains strong, new business generation continues to be outstanding and clients continue to seek broader solutions across our platform.

"In an increasingly complex risk environment, client demand for our advice, analytics, market access, specialty expertise and claims advocacy remains robust. Looking ahead, we remain confident in our ability to build on our momentum and continue creating long-term value for our clients, colleagues and shareholders."

Summary of Financial Results - Six-Months ended June 30

Revenues Before

Reimbursements

Net Earnings (Loss)

EBITDAC

Diluted Net Earnings

(Loss) Per Share

Segment

6 Mths 26

6 Mths 25

6 Mths 26

6 Mths 25

6 Mths 26

6 Mths 25

6 Mths 26

6 Mths 25

(in millions)

(in millions)

(in millions)

Brokerage, as reported

$  7,795

$  6,101

$  1,363

$  1,326

$  2,510

$  2,243

$    5.25

$    5.08

Net (gains) on divestitures

(15)

(12)

(11)

(9)

(15)

(12)

(0.04)

(0.04)

Acquisition integration

—

—

149

63

200

85

0.57

0.24

Workforce and lease termination

—

—

50

42

67

55

0.19

0.16

Acquisition related adjustments

—

—

88

50

120

80

0.34

0.19

Amortization of intangible assets

—

—

419

282

—

—

1.62

1.09

Effective income tax rate impact

—

—

—

1

—

—

—

—

Levelized foreign currency translation

—

58

—

6

—

10

—

0.03

Brokerage, as adjusted

7,780

6,147

2,058

1,761

2,882

2,461

7.93

6.75

Risk Management, as reported

881

766

107

84

182

147

0.41

0.32

Acquisition integration

—

—

2

2

2

4

0.01

0.01

Workforce and lease termination

—

—

2

6

3

7

0.01

0.02

Acquisition related adjustments

—

—

6

1

8

1

0.02

—

Amortization of intangible assets

—

—

10

9

—

—

0.04

0.04

Levelized foreign currency translation

—

12

—

2

—

2

—

0.01

Risk Management, as adjusted

881

778

127

104

195

161

0.49

0.40

Corporate, as reported

(5)

—

(323)

(333)

(189)

(233)

(1.25)

(1.28)

Transaction-related costs

—

—

16

44

19

52

0.06

0.17

Legal, tax and benefit plan related

—

—

17

—

39

—

0.07

—

Clean energy-related

5

—

3

—

5

—

0.01

—

Corporate, as adjusted

—

—

(287)

(289)

(126)

(181)

(1.11)

(1.11)

Total Company, as reported

$  8,671

$  6,867

$  1,147

$  1,077

$  2,503

$  2,157

$    4.41

$    4.12

Total Company, as adjusted

$  8,661

$  6,925

$  1,898

$  1,576

$  2,951

$  2,441

$    7.31

$    6.04

Total Brokerage & Risk Management, as reported

$  8,676

$  6,867

$  1,470

$  1,410

$  2,692

$  2,390

$    5.66

$    5.40

Total Brokerage & Risk Management, as adjusted

$  8,661

$  6,925

$  2,185

$  1,865

$  3,077

$  2,622

$    8.42

$    7.15

For the six-month period ended June 30, 2026, the pretax impact of adjustments for the Brokerage, Risk Management, and Corporate Segments totals $936 million, $27 million and $63 million, respectively, and corresponding adjustment to the provision (benefit) for income taxes was $241 million, $7 million and ($27) million, respectively, relating to these adjustments. A detailed reconciliation is shown on page 19.

(2 of 20)

Brokerage Segment Reported GAAP to Adjusted Non-GAAP Reconciliations (dollars in millions):

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

Organic Revenues (Non-GAAP)

2nd Q 26

2nd Q 25

6 Mths 26

6 Mths 25

Base Commissions and Fees

Commissions and fees, as reported

$      3,180

$         2,387

$      7,095

$         5,256

Less commissions and fees from acquisitions, divested operations and other

(775)

(80)

(1,712)

(144)

Levelized foreign currency translation

—

1

—

51

Organic base commissions and fees

$      2,405

$         2,306

$      5,383

$         5,163

Organic change in base commissions and fees

4 %

4 %

Supplemental Revenues

Supplemental revenues, as reported

$        141

$           103

$        321

$           217

Less supplemental revenues from acquisitions, divested operations and other

(17)

—

(63)

—

Levelized foreign currency translation

—

—

—

2

Organic supplemental revenues

$        124

$           103

$        258

$           219

Organic change in supplemental revenues

20 %

18 %

Contingent Revenues

Contingent revenues, as reported

$          91

$            73

$        206

$           166

Less contingent revenues from acquisitions, divested operations and other

(24)

—

(43)

—

Levelized foreign currency translation

—

—

—

1

Organic contingent revenues

$          67

$            73

$        163

$           167

Organic change in contingent revenues

(8 %)

(2 %)

Total reported commissions, fees, supplemental revenues and contingent revenues

$      3,412

$         2,563

$      7,622

$         5,639

Less commissions, fees, supplemental revenues and contingent revenues from acquisitions, divested operations and other

(816)

(80)

(1,818)

(144)

Levelized foreign currency translation

—

1

—

54

Total organic commissions, fees, supplemental revenues and contingent revenues

$      2,596

$         2,482

$      5,804

$         5,549

Total organic change

5 %

5 %

Acquisition Activity

2nd Q 26

2nd Q 25

6 Mths 26

6 Mths 25

Number of acquisitions closed *

6

9

14

19

Estimated annualized revenues acquired (in millions)

$           58

$         291

$         107

$         354

*

In the second quarter of 2026 and 2025, no shares of Gallagher common stock were issued directly to sellers in connection with tax-free exchange acquisitions.

(3 of 20)

Brokerage Segment Reported GAAP to Adjusted Non-GAAP Reconciliations (continued) (dollars in millions):

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

Compensation Expense and Ratios

2nd Q 26

2nd Q 25

6 Mths 26

6 Mths 25

Compensation expense, as reported

$     2,017

$     1,526

$     4,228

$     3,143

Acquisition integration

(53)

(20)

(90)

(48)

Workforce and lease termination related charges

(29)

(36)

(53)

(52)

Acquisition related adjustments

(70)

(50)

(120)

(80)

Levelized foreign currency translation

—

8

—

37

Compensation expense, as adjusted

$     1,865

$     1,428

$     3,965

$     3,000

Reported compensation expense ratios using reported revenues on pages 1 and 2

*

57.6 %

54.8 %

54.2 %

51.5 %

Adjusted compensation expense ratios using adjusted revenues on pages 1 and 2

**

53.4 %

51.3 %

51.0 %

48.8 %

*

Reported second quarter 2026 compensation expense ratio was 2.8 pts higher than second quarter 2025. This ratio was primarily impacted by lower interest income revenues in the quarter, as second quarter 2025 included interest income earned on cash proceeds associated with the AssuredPartners Financing in December 2024. This ratio was also impacted by higher integration costs, partially offset by lower workforce termination costs and savings from headcount controls.

**

Adjusted second quarter 2026 compensation expense ratio was 2.1 pts higher than second quarter 2025. This ratio was primarily impacted by lower interest income revenues in the quarter, as second quarter 2025 included interest income earned on cash proceeds associated with the AssuredPartners Financing in December 2024. This ratio also benefited from savings from headcount controls.

Operating Expense and Ratios

2nd Q 26

2nd Q 25

6 Mths 26

6 Mths 25

Operating expense, as reported

$       537

$       369

$     1,057

$       715

Acquisition integration

(60)

(21)

(110)

(37)

Workforce and lease termination related charges

(11)

(1)

(14)

(3)

Levelized foreign currency translation

—

2

—

11

Operating expense, as adjusted

$       466

$       349

$       933

$       686

Reported operating expense ratios using reported revenues on pages 1 and 2

*

15.3 %

13.2 %

13.6 %

11.7 %

Adjusted operating expense ratios using adjusted revenues on pages 1 and 2

**

13.3 %

12.5 %

12.0 %

11.2 %

*

Reported second quarter 2026 operating expense ratio was 2.1 pts higher than second quarter 2025. This ratio was primarily impacted by higher integration and technology costs. This ratio was also impacted by lower interest income revenues in the quarter, as second quarter 2025 included interest income earned on cash proceeds associated with the AssuredPartners Financing in December 2024.

**

Adjusted second quarter 2026 operating expense ratio was 0.8 pts higher than second quarter 2025. This ratio was primarily impacted by lower interest income revenues in the quarter, as second quarter 2025 included interest income earned on cash proceeds associated with the AssuredPartners Financing in December 2024. This ratio was also impacted by higher technology costs.

(4 of 20)

Brokerage Segment Reported GAAP to Adjusted Non-GAAP Reconciliations (continued) (dollars in millions):

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

Net Earnings to Adjusted EBITDAC (Non-GAAP)

2nd Q 26

2nd Q 25

6 Mths 26

6 Mths 25

Net earnings, as reported

$       450

$       510

$     1,363

$     1,326

Provision for income taxes

154

176

467

459

Depreciation

45

38

94

71

Amortization

294

174

565

378

Change in estimated acquisition earnout payables

5

(6)

21

9

EBITDAC

948

892

2,510

2,243

Net (gains) on divestitures

(8)

(6)

(15)

(12)

Acquisition integration

113

41

200

85

Workforce and lease termination related charges

40

37

67

55

Acquisition related adjustments

70

50

120

80

Levelized foreign currency translation

—

(9)

—

10

EBITDAC, as adjusted

$     1,163

$     1,005

$     2,882

$     2,461

Net earnings margin, as reported using reported revenues on pages 1 and 2

12.9 %

18.3 %

17.5 %

21.7 %

EBITDAC margin, as adjusted using adjusted revenues on pages 1 and 2

*

33.3 %

36.1 %

**

37.0 %

40.0 %

*

Second quarter 2025 adjusted EBITDAC includes approximately $144 million of interest income revenues earned on the cash proceeds associated with the AssuredPartners Financing in December 2024. The interest income in the prior period, as well as the seasonality of AssuredPartners and the roll-in of tuck-in acquisitions, unfavorably impacted the year over year change in second quarter adjusted EBITDAC margin by approximately 3.9%.

**

Adjusted EBITDAC for the six-month period ended June 30, 2025 includes approximately $287 million of interest income revenues earned on the cash proceeds associated with the AssuredPartners Financing in December 2024. The interest income in the prior year, as well as the seasonality of AssuredPartners and the roll-in of tuck-in acquisitions, unfavorably impacted the year over year change in adjusted EBITDAC margin for the six-month period ended June 30, by approximately 3.4%.

Risk Management Segment Reported GAAP to Adjusted Non-GAAP Reconciliations (dollars in millions):

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

Organic Revenues (Non-GAAP)

2nd Q 26

2nd Q 25

6 Mths 26

6 Mths 25

Fees

$        438

$           382

$        853

$           745

International performance bonus fees

7

1

12

3

Fees as reported

445

383

865

748

Less fees from acquisitions, divestitures and other

(11)

(1)

(24)

(2)

Levelized foreign currency translation

—

5

—

12

Organic fees

$        434

$           387

$        841

$           758

Organic change in fees

12 %

11 %

Acquisition Activity

2nd Q 26

2nd Q 25

6 Mths 26

6 Mths 25

Number of acquisitions closed

1

—

2

1

Estimated annualized revenues acquired (in millions)

$              5

$            —

$            15

$            38

 (5 of 20)

Risk Management Segment Reported GAAP to Adjusted Non-GAAP Reconciliations (continued) (dollars in millions):

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

Compensation Expense and Ratios

2nd Q 26

2nd Q 25

6 Mths 26

6 Mths 25

Compensation expense, as reported

$       274

$       244

$       538

$       475

Acquisition integration

—

(1)

—

(2)

Workforce and lease termination related charges

(2)

(3)

(3)

(6)

Acquisition related adjustments

(2)

(1)

(8)

(1)

Levelized foreign currency translation

—

4

—

9

Compensation expense, as adjusted

$       270

$       243

$       527

$       475

Reported compensation expense ratios using reported revenues
  (before reimbursements) on pages 1 and 2

*

60.5 %

62.2 %

61.1 %

62.0 %

Adjusted compensation expense ratios using adjusted revenues
  (before reimbursements) on pages 1 and 2

*

59.6 %

61.2 %

59.8 %

61.1 %

*

Reported and adjusted second quarter 2026 compensation expense ratios were 1.7 pts and 1.6 pts lower, respectively,  than second quarter 2025. Both ratios were primarily impacted by savings related to headcount controls.

Operating Expense and Ratios

2nd Q 26

2nd Q 25

6 Mths 26

6 Mths 25

Operating expense, as reported

$         83

$         73

$       161

$       144

Acquisition integration

(1)

(1)

(2)

(2)

Workforce and lease termination related charges

—

(1)

—

(1)

Levelized foreign currency translation

—

—

—

1

Operating expense, as adjusted

$         82

$         71

$       159

$       142

Reported operating expense ratios using reported revenues
  (before reimbursements) on pages 1 and 2

*

18.3 %

18.6 %

18.3 %

18.8 %

Adjusted operating expense ratios using adjusted revenues
  (before reimbursements) on pages 1 and 2

*

18.1 %

18.2 %

18.1 %

18.2 %

*

Reported and adjusted second quarter 2026 operating expense ratios were 0.3 pts and 0.1 pts lower, respectively, than second quarter 2025. Both ratios were primarily impacted by savings in client-related expenses.

Net Earnings to Adjusted EBITDAC (Non-GAAP)

2nd Q 26

2nd Q 25

6 Mths 26

6 Mths 25

Net earnings, as reported

$         57

$     43

$       107

$         84

Provision for income taxes

21

15

39

30

Depreciation

10

10

20

20

Amortization

7

6

14

12

Change in estimated acquisition earnout payables

1

1

2

1

EBITDAC

96

75

182

147

Acquisition integration

1

2

2

4

Workforce and lease termination related charges

2

4

3

7

Acquisition related adjustments

2

1

8

1

Levelized foreign currency translation

—

1

—

2

EBITDAC, as adjusted

$       101

$     83

$       195

$       161

Net earnings margin, as reported using reported revenues
  (before reimbursements) on pages 1 and 2

12.6 %

11.0 %

12.2 %

11.0 %

EBITDAC margin, as adjusted using adjusted revenues
  (before reimbursements) on pages 1 and 2

22.3 %

20.9 %

22.1 %

20.7 %

(6 of 20)

Corporate Segment Reported GAAP to Adjusted Non-GAAP Reconciliation Information (dollars in millions):

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

2nd Quarter

2026

2025

Pretax

Loss

Income

Tax

Benefit

Net Earnings

(Loss)

Attributable to

Controlling

Interests

Pretax

Loss

Income

Tax

Benefit

Net Earnings

(Loss)

Attributable to

Controlling

Interests

Components of Corporate Segment, as reported

Interest and banking costs

$         (169)

$    44

$        (125)

$         (159)

$    41

$        (118)

Clean energy-related

(2)

1

(1)

(2)

—

(2)

Acquisition costs (1)

(18)

3

(15)

(34)

6

(28)

Corporate (2)

(79)

37

(42)

(76)

39

(37)

Reported 2nd quarter

(268)

85

(183)

(271)

86

(185)

Adjustments

Transaction-related costs (1)

12

(2)

10

29

(5)

24

Legal and tax related (4)

13

(3)

10

—

—

—

Benefit plan related (5)

8

(2)

6

—

—

—

Components of Corporate Segment, as adjusted

Interest and banking costs

(169)

44

(125)

(159)

41

(118)

Clean energy-related

(2)

1

(1)

(2)

—

(2)

Acquisition costs

(6)

1

(5)

(5)

1

(4)

Corporate (2)

(58)

32

(26)

(76)

39

(37)

Adjusted 2nd quarter

$         (235)

$    78

$        (157)

$         (242)

$    81

$        (161)

Six Months

Components of Corporate Segment, as reported

Interest and banking costs

$         (327)

$    85

$        (242)

$         (318)

$    83

$        (235)

Clean energy-related

(9)

3

(6)

(4)

1

(3)

Acquisition costs (1)

(28)

5

(23)

(60)

9

(51)

Corporate (2)

(155)

103

(52)

(171)

127

(44)

Reported six months

(519)

196

(323)

(553)

220

(333)

Adjustments

Clean energy-related (3)

5

(2)

3

—

—

—

Transaction-related costs (1)

19

(3)

16

52

(8)

44

Legal and tax related (4)

31

(20)

11

—

—

—

Benefit plan related (5)

8

(2)

6

—

—

—

Components of Corporate Segment, as adjusted

Interest and banking costs

(327)

85

(242)

(318)

83

(235)

Clean energy-related

(4)

1

(3)

(4)

1

(3)

Acquisition costs

(9)

2

(7)

(8)

1

(7)

Corporate (2)

(116)

81

(35)

(171)

127

(44)

Adjusted six months 

$         (456)

$  169

$        (287)

$         (501)

$  212

$        (289)

(1)

Gallagher incurred transaction-related costs, which include legal, consulting, employee compensation and other professional fees associated with completed, future and terminated acquisitions. Adjustments primarily relate to the acquisitions of AssuredPartners and Woodruff Sawyer, which closed in August 2025 and April 2025, respectively.

(2)

Corporate pretax loss includes a net unrealized foreign exchange remeasurement loss of $(25) million in second quarter 2025. There was no net impact of unrealized foreign exchange remeasurement in second quarter 2026. Corporate pretax loss includes a net unrealized foreign exchange remeasurement gain of $6 million in the six-month period ended June 30, 2026 and a net unrealized foreign exchange remeasurement loss of $(48) million in the six-month period ended June 30, 2025.

(3)

Adjustments in the six-month period ended June 30, 2026 include the write-down of a clean energy-related investment.

(4)

Adjustments in second quarter 2026 and the six-month period ended June 30, 2026 include costs associated with legal and tax matters.

(5)

Adjustments in second quarter 2026 and the six-month period ended June 30, 2026 include costs associated with the termination of the Gallagher US defined pension plan and other benefit plan changes.

(7 of 20)

Interest, banking costs and debt - At June 30, 2026, Gallagher had $9,550 million of borrowings from public debt, $2,683 million of borrowings from private placements and $1,365 million of borrowings under its line of credit facility. In addition, Gallagher had $134 million outstanding under a revolving loan facility that provides funding for premium finance receivables, which are fully collateralized by the underlying premiums held by insurance carriers, and as such are excluded from its debt covenant computations, as applicable.

Clean energy-related - For 2026, this consists of operating results related to Gallagher's investments in new clean energy projects, primarily fusion and carbon sequestration projects.

Acquisition costs - Consists mostly of external professional fees and other due diligence costs related to acquisitions. On occasion, Gallagher enters into forward currency hedges for the purchase price of committed, but not yet funded, acquisitions with funding requirements in currencies other than the U.S. dollar. The gains or losses, if any, associated with these hedge transactions are also included in acquisition costs.

Corporate - Consists of overhead allocations mostly related to corporate staff compensation, other corporate level activities, and net unrealized foreign exchange remeasurement. In addition, it includes the tax expense related to the partial taxation of foreign earnings, nondeductible executive compensation and entertainment expenses, the tax benefit from the vesting of employee equity awards, as well as other permanent or discrete tax items not reflected in the provision for income taxes in the Brokerage and Risk Management segments.

Income Taxes - Gallagher allocates the provision for income taxes to its Brokerage and Risk Management segments using the local country statutory rates. Gallagher's consolidated effective tax rates for the quarters ended June 30, 2026 and 2025 were 21.7% and 22.3%, respectively.

AssuredPartners - In fourth quarter 2024 and first quarter 2025, we raised a total of approximately $14 billion of cash via a follow-on common stock offering and senior notes issuance to fund the AssuredPartners acquisition (collectively, the AssuredPartners Financing), which was completed in third quarter 2025 for approximately $14 billion. 

Share Repurchases - In the second quarter of 2026, Gallagher repurchased approximately 0.9 million shares of its common stock for approximately $170 million.

Webcast Conference Call - Gallagher will host a webcast conference call on Thursday, July 30, 2026 at 5:15 p.m. ET/4:15 p.m. CT. To listen to this call, please go to Arthur J. Gallagher & Co. - Events & Presentations (ajg.com). The call will be available for replay at such website for at least 90 days.

About Arthur J. Gallagher & Co.

Arthur J. Gallagher & Co., a global insurance brokerage, risk management and consulting services firm, is headquartered in Rolling Meadows, Illinois. Gallagher provides these services in approximately 130 countries around the world through its owned operations and a network of correspondent brokers and consultants.

(8 of 20)

Information Concerning Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words "anticipates," "believes," "contemplates," "see," "should," "could," "will," "estimates," "expects," "intends," "plans" and variations thereof and similar expressions, are intended to identify forward-looking statements. Examples of forward-looking statements include, but are not limited to, anticipated future results or performance of any segment or Gallagher as a whole; acquisition rollover revenues; statements regarding changes in its expenses in the next several quarters; future capital structure changes, including debt levels from time to time; the impact of foreign currency on its results; integration costs; workforce and lease termination costs; amortization of intangibles; depreciation; change in estimated earnout payables; effective tax rate; earnings from continuing operations attributable to noncontrolling interests; the premium rate environment and the state of insurance markets; and the economic environment.

Gallagher's actual results may differ materially from those contemplated by the forward-looking statements. Readers are therefore cautioned against relying on any of the forward-looking statements, which are neither statements of historical fact nor guarantees or assurances of future performance.

Important factors that could cause actual results to differ materially from those in the forward-looking statements include global economic and geopolitical events, including, among others, fluctuations in interest and inflation rates; protectionism such as tariffs and trade disruptions; a recession or economic downturn; a U.S. government shutdown; political instability, such as global armed conflicts; its actual acquisition opportunities, including closing risks related to pending acquisitions; risks with respect to larger acquisitions such as AssuredPartners, the largest acquisition in its history, including risks related to its ability to successfully integrate operations and the possibility that its assumptions may be inaccurate resulting in unforeseen obligations or liabilities and failure to realize expected benefits of such acquisitions; damage to its reputation due to its failure to uphold its culture or negative perceptions or publicity, including as a result of amplifying effects that the Internet and social media may have on such perceptions; reputational issues related to its sustainability-related activities, including potential backlash against such activities, and compliance with increasingly complex climate- and other sustainability-related regulations, such as risks related to "greenwashing" and "greenhushing"; cybersecurity-related risks; its ability to apply technology, data analytics and artificial intelligence effectively to its business and potential increased costs resulting from such activities; risks associated with the use of artificial intelligence in its business operations, including regulatory, data privacy, cybersecurity, errors and omissions, intellectual property and competition risks; risks related to "AI-washing"; heightened competition for talent and increased compensation costs; disasters or other business interruptions, including with respect to its operations in India; risks related to its international operations, such as those related to regulatory, tax, sustainability, sanctions and anti-corruption compliance and increased scrutiny of the use of off-shore centers of excellence such as those we operate in India and elsewhere; changes to data privacy and protection laws and regulations; foreign exchange rates; changes in accounting standards; changes in premium rates and in insurance markets generally, including the impact of large natural or man-made events; tax, environmental or other compliance risks related to its legacy clean energy investments; its inability to receive dividends or other distributions from subsidiaries; and changes in the insurance brokerage industry's competitive landscape.

Please refer to Gallagher's filings with the Securities and Exchange Commission, including Item 1A, "Risk Factors," of its Annual Report on Form 10-K for the fiscal year ended December 31, 2025 and its subsequently filed Quarterly Reports on Form 10-Q for a more detailed discussion of these and other factors that could impact its forward-looking statements. Any forward-looking statement made by Gallagher in this press release speaks only as of the date on which it is made. Except as required by applicable law, Gallagher does not undertake to update the information included herein or the corresponding earnings release posted on Gallagher's website.

Information Regarding Non-GAAP Measures

In addition to reporting financial results in accordance with GAAP, this press release provides information regarding EBITDAC, EBITDAC margin, adjusted EBITDAC, adjusted EBITDAC margin, diluted net earnings per share, as adjusted (adjusted EPS), adjusted revenue, adjusted compensation and operating expenses, adjusted compensation expense ratio, adjusted operating expense ratio and organic revenue. These measures are not in accordance with, or an alternative to, the GAAP information provided in this press release. Gallagher's management believes that these presentations provide useful information to management, analysts and investors regarding financial and business trends relating to Gallagher's results of operations and financial condition or because they provide investors with measures that its chief operating decision maker uses when reviewing Gallagher's performance. See further below for definitions and additional reasons each of these measures is useful to investors. Gallagher's industry peers may provide similar supplemental non-GAAP information with respect to one or more of these measures, although they may not use the same or comparable terminology and may not make identical adjustments. The non-GAAP information provided by Gallagher should be used in addition to, but not as a substitute for, the GAAP information provided. As disclosed in its most recent Proxy Statement, Gallagher makes determinations regarding certain elements of executive officer incentive compensation, performance share awards and annual cash incentive awards, partly on the basis of measures related to adjusted EBITDAC.

(9 of 20)

Adjusted Non-GAAP presentation - Gallagher believes that the adjusted non-GAAP presentations of the current and prior period information presented in this earnings release provide stockholders and other interested persons with useful information regarding certain financial metrics of Gallagher that may assist such persons in analyzing Gallagher's operating results as they develop a future earnings outlook for Gallagher. The after-tax amounts related to the adjustments were computed using the normalized effective tax rate for each respective period. See pages 17, 18, 19 and 20 for a reconciliation of the adjustments made to income taxes.

Adjusted measures - Revenues (for the Brokerage segment), revenues before reimbursements (for the Risk Management segment), net earnings, compensation expense and operating expense, respectively, each adjusted to exclude the following, as applicable:

Net gains (losses) on divestitures, which are primarily net proceeds received related to sales of books of business and other divestiture transactions, such as the disposal of a business through sale or closure. Acquisition integration costs, which include costs related to certain large acquisitions (including the acquisitions of the Willis Towers Watson treaty reinsurance brokerage operations, Buck, Cadence Insurance, Eastern Insurance Group, My Plan Manager, Woodruff Sawyer and AssuredPartners), outside the scope of the usual tuck-in strategy, not expected to occur on an ongoing basis in the future once Gallagher fully assimilates the applicable acquisition. These costs are typically associated with redundant workforce, compensation expense related to amortization of certain retention bonus arrangements, extra lease space, duplicate services and external costs incurred to assimilate the acquisition into its IT related systems. Transaction-related costs, which are associated with completed, future and terminated acquisitions. Costs primarily relate to the acquisitions of AssuredPartners and Woodruff Sawyer, which closed in August 2025 and April 2025, respectively. These include costs related to regulatory filings, legal and accounting services, insurance and incentive compensation. Workforce related charges, which primarily include severance costs (either accrued or paid) related to employee terminations and other costs associated with redundant workforce. Lease termination related charges, which primarily include costs related to terminations of real estate leases and abandonment of leased space. Acquisition related adjustments principally relate to changes in estimated acquisition earnout payables adjustments and acquisition related compensation charges. In addition, from time to time we may include changes in balance sheet estimates arising from conforming accounting principles, purchase-related true-ups and other balance sheet adjustments made after the closing date. Amortization of intangible assets, which reflects the amortization of customer/expiration lists, non-compete agreements, trade names and other intangible assets acquired through Gallagher's merger and acquisition strategy, the impact to amortization expense of acquisition valuation adjustments to these assets as well as non-cash impairment charges. The impact of foreign currency translation, as applicable. The amounts excluded with respect to foreign currency translation are calculated by applying current year foreign exchange rates to the same period in the prior year. Effective income tax rate impact, which levelized the prior year for the change in current year tax rates. Clean energy-related, which represents the impact of adjustments in first quarter 2026 related to the write-down of a clean energy-related investment. Legal and tax related, which represents the impact of adjustments in second quarter 2026 related to costs associated with legal and tax matters. Benefit plan related, which represents the impact of adjustments in second quarter 2026 related to costs associated with the termination of the Gallagher US defined pension plan and other benefit plan changes. Adjusted ratios - Adjusted compensation expense and adjusted operating expense, respectively, each divided by adjusted revenues.

(10 of 20)

Non-GAAP Earnings Measures

EBITDAC and EBITDAC margin - EBITDAC is net earnings before interest, income taxes, depreciation, amortization and the change in estimated acquisition earnout payables and EBITDAC margin is EBITDAC divided by total revenues (for the Brokerage segment) and revenues before reimbursements (for the Risk Management segment). These measures for the Brokerage and Risk Management segments provide a meaningful representation of Gallagher's operating performance for the overall business and provide a meaningful way to measure its financial performance on an ongoing basis. EBITDAC, as Adjusted and EBITDAC Margin, as Adjusted - Adjusted EBITDAC is EBITDAC adjusted to exclude net gains on divestitures, acquisition integration costs, workforce related charges, lease termination related charges, acquisition related adjustments, transaction related costs, and the period-over-period impact of foreign currency translation, as applicable, (and for the Corporate segment, the clean energy related adjustments described above) and Adjusted EBITDAC margin is Adjusted EBITDAC divided by total adjusted revenues (defined above). These measures for the Brokerage and Risk Management segments provide a meaningful representation of Gallagher's operating performance and are also presented to improve the comparability of its results between periods by eliminating the impact of the items that have a high degree of variability. EPS, as Adjusted and Net Earnings, as Adjusted - Adjusted net earnings have been adjusted to exclude the after-tax impact of net gains on divestitures, acquisition integration costs, the impact of foreign currency translation, workforce related charges, lease termination related charges, acquisition related adjustments, transaction related costs, amortization of intangible assets, and effective income tax rate impact, as applicable. Adjusted EPS is Adjusted Net Earnings divided by diluted weighted average shares outstanding. This measure provides a meaningful representation of Gallagher's operating performance (and as such should not be used as a measure of Gallagher's liquidity), and for the overall business is also presented to improve the comparability of its results between periods by eliminating the impact of the items that have a high degree of variability. Organic Revenues (a non-GAAP measure) - Organic revenue change measures the year-over-year percentage change in organic revenue. For the Brokerage segment, organic revenue consists of base commission and fee revenues, supplemental revenues and contingent revenues, excluding the first twelve months of such revenues generated from acquisitions and such revenues related to divested operations, which include disposals of a business through sale or closure, estimate changes, run-off of a business and the restructuring and/or repricing of programs and products, in each year presented. Such revenues are excluded from organic revenues in order to help interested persons analyze the revenue growth associated with the operations that were a part of Gallagher in both the current and prior period. In order to improve the comparability of Gallagher's results between periods, we further exclude the period-over-period impact of foreign currency translation; revenue from certain large life product sales within Gallagher's Executive Life and Benefits practice group (which are typically large singular transactions with a high degree of variability in amount and timing); and revenue attributable to changes in assumptions used to calculate estimated deferred revenues, which impact the quarterly timing of revenues during the annual contract period. For the Risk Management segment, organic revenue consists of fee revenues excluding the first twelve months of such revenues generated from acquisitions and such revenues related to divested operations in each period presented. In order to improve the comparability of Gallagher's results between periods, we further exclude the period-over-period impact of foreign currency translation.

These revenue items are excluded from organic revenues in order to determine a comparable, but non-GAAP, measurement of revenue growth that is associated with the revenue sources that are expected to continue in the current year and beyond, as well as eliminating the impact of the items that have a high degree of variability. Gallagher has historically viewed organic revenue growth as an important indicator when assessing and evaluating the performance of its Brokerage and Risk Management segments. Gallagher also believes that using this non-GAAP measure allows readers of its financial statements to measure, analyze and compare the growth from its Brokerage and Risk Management segments in a meaningful and consistent manner.

Reconciliation of Non-GAAP Information Presented to GAAP Measures - This press release includes tabular reconciliations to the most comparable GAAP measures, as follows: for EBITDAC (on pages 5 and 6), for adjusted revenues, adjusted EBITDAC and adjusted diluted net earnings per share (on pages 1 and 2), for organic revenue measures (on pages 3 and 5, respectively, for the Brokerage and Risk Management segments), for adjusted compensation and operating expenses and adjusted EBITDAC margin (on pages 4, 5 and 6 respectively, for the Brokerage and Risk Management segments).

(11 of 20)

Arthur J. Gallagher & Co.
Reported Statement of Earnings and EBITDAC - 2nd Quarter June 30,
(Unaudited - in millions except per share, percentage and workforce data)

Brokerage Segment

2nd Q Ended

June 30, 2026

2nd Q Ended

June 30, 2025

6 Mths Ended

June 30, 2026

6 Mths Ended

June 30, 2025

Commissions

$         2,442

$         1,808

$         5,565

$         4,057

Fees

738

579

1,530

1,199

Supplemental revenues

141

103

321

217

Contingent revenues

91

73

206

166

Interest income, premium finance revenues and other income

90

224

173

462

Total revenues

3,502

2,787

7,795

6,101

Compensation

2,017

1,526

4,228

3,143

Operating

537

369

1,057

715

Depreciation

45

38

94

71

Amortization

294

174

565

378

Change in estimated acquisition earnout payables

5

(6)

21

9

Expenses

2,898

2,101

5,965

4,316

Earnings before income taxes

604

686

1,830

1,785

Provision for income taxes

154

176

467

459

Net earnings

450

510

1,363

1,326

Net earnings attributable to noncontrolling interests

—

—

1

5

Net earnings attributable to controlling interests

$           450

$           510

$         1,362

$         1,321

EBITDAC

Net earnings

$           450

$           510

$         1,363

$         1,326

Provision for income taxes

154

176

467

459

Depreciation

45

38

94

71

Amortization

294

174

565

378

Change in estimated acquisition earnout payables

5

(6)

21

9

EBITDAC

$           948

$           892

$         2,510

$         2,243

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

(12 of 20)

Arthur J. Gallagher & Co.
Reported Statement of Earnings and EBITDAC - 2nd Quarter June 30,
(Unaudited - in millions except per share, percentage and workforce data)

Risk Management Segment

2nd Q Ended

June 30, 2026

2nd Q Ended

June 30, 2025

6 Mths Ended

June 30, 2026

6 Mths Ended

June 30, 2025

Fees

$           445

$           383

$           865

$           748

Interest income and other income

8

9

16

18

Revenues before reimbursements

453

392

881

766

Reimbursements

48

43

90

82

Total revenues

501

435

971

848

Compensation

274

244

538

475

Operating

83

73

161

144

Reimbursements

48

43

90

82

Depreciation

10

10

20

20

Amortization

7

6

14

12

Change in estimated acquisition earnout payables

1

1

2

1

Expenses

423

377

825

734

Earnings before income taxes

78

58

146

114

Provision for income taxes

21

15

39

30

Net earnings

57

43

107

84

Net earnings attributable to noncontrolling interests

—

—

—

—

Net earnings attributable to controlling interests

$            57

$            43

$           107

$            84

EBITDAC

Net earnings

$            57

$            43

$           107

$            84

Provision for income taxes

21

15

39

30

Depreciation

10

10

20

20

Amortization

7

6

14

12

Change in estimated acquisition earnout payables

1

1

2

1

EBITDAC

$            96

$            75

$           182

$           147

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

(13 of 20)

Arthur J. Gallagher & Co.
Reported Statement of Earnings and EBITDAC - 2nd Quarter June 30,
(Unaudited - in millions except share and per share data)

Corporate Segment

2nd Q Ended

June 30, 2026

2nd Q Ended

June 30, 2025

6 Mths Ended

June 30, 2026

6 Mths Ended

June 30, 2025

Other loss

$            —

$             —

$             (5)

$             —

Total revenues

—

—

(5)

—

Compensation

39

34

80

83

Operating

59

77

104

150

Interest

168

158

326

316

Depreciation

2

2

4

4

Expenses

268

271

514

553

Loss before income taxes

(268)

(271)

(519)

(553)

Benefit for income taxes

(85)

(86)

(196)

(220)

Net loss

(183)

(185)

(323)

(333)

Net loss attributable to noncontrolling interests

—

—

—

—

Net loss attributable to controlling interests

$          (183)

$          (185)

$          (323)

$          (333)

EBITDAC

Net loss

$          (183)

$          (185)

$          (323)

$          (333)

Benefit for income taxes

(85)

(86)

(196)

(220)

Interest

168

158

326

316

Depreciation

2

2

4

4

EBITDAC

$           (98)

$          (111)

$          (189)

$          (233)

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

(14 of 20)

Arthur J. Gallagher & Co.
Reported Statement of Earnings and EBITDAC - 2nd Quarter June 30,
(Unaudited - in millions except share and per share data)

Total Company

2nd Q Ended

June 30, 2026

2nd Q Ended

June 30, 2025

6 Mths Ended

June 30, 2026

6 Mths Ended

June 30, 2025

Commissions

$         2,442

$         1,808

$         5,565

$         4,057

Fees

1,183

962

2,395

1,947

Supplemental revenues

141

103

321

217

Contingent revenues

91

73

206

166

Interest income, premium finance revenues and other income

98

233

184

480

Revenues before reimbursements

3,955

3,179

8,671

6,867

Reimbursements

48

43

90

82

Total revenues

4,003

3,222

8,761

6,949

Compensation

2,330

1,804

4,846

3,701

Operating

679

519

1,322

1,009

Reimbursements

48

43

90

82

Interest

168

158

326

316

Depreciation

57

50

118

95

Amortization

301

180

579

390

Change in estimated acquisition earnout payables

6

(5)

23

10

Expenses

3,589

2,749

7,304

5,603

Earnings before income taxes

414

473

1,457

1,346

Provision for income taxes

90

105

310

269

Net earnings

324

368

1,147

1,077

Net earnings attributable to noncontrolling interests

—

—

1

5

Net earnings attributable to controlling interests

$           324

$           368

$         1,146

$         1,072

Diluted net earnings per share

$          1.25

$          1.40

$          4.41

$          4.12

Dividends declared per share

$          0.70

$          0.65

$          1.40

$          1.30

EBITDAC

Net earnings

$           324

$           368

$         1,147

$         1,077

Provision for income taxes

90

105

310

269

Interest

168

158

326

316

Depreciation

57

50

118

95

Amortization

301

180

579

390

Change in estimated acquisition earnout payables

6

(5)

23

10

EBITDAC

$           946

$           856

$         2,503

$         2,157

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

(15 of 20)

Arthur J. Gallagher & Co.
Consolidated Balance Sheet
(Unaudited - in millions except per share data)

June 30, 2026

Dec 31, 2025

Cash and cash equivalents

$            1,386

$            1,396

Fiduciary assets (includes fiduciary cash of $7,947 in 2026 and $7,142 in 2025)

37,183

26,899

Accounts receivable, net

6,076

5,175

Other current assets

807

886

Total current assets

45,452

34,356

Fixed assets - net

765

789

Deferred income taxes

43

43

Other noncurrent assets

1,732

1,602

Right-of-use assets

578

598

Goodwill

23,026

22,593

Amortizable intangible assets - net

10,212

10,684

Total assets

$          81,808

$          70,665

Fiduciary liabilities

$          37,183

$          26,899

Accrued compensation and other current liabilities

3,548

4,017

Deferred revenue - current

788

737

Premium financing debt

134

226

Corporate related borrowings - current

1,520

640

Total current liabilities

43,173

32,519

Corporate related borrowings - noncurrent

11,955

12,104

Deferred revenue - noncurrent

177

155

Lease liabilities - noncurrent

497

515

Other noncurrent liabilities (includes tax credit carryforwards of $628 in 2026 and $713 in 2025)

2,259

2,025

Total liabilities

58,061

47,318

Stockholders' equity:

Common stock - issued and outstanding

256

257

Capital in excess of par value

17,567

17,783

Retained earnings

6,588

5,806

Accumulated other comprehensive loss

(694)

(525)

Total controlling interests stockholders' equity

23,717

23,321

Noncontrolling interests

30

26

Total stockholders' equity

23,747

23,347

Total liabilities and stockholders' equity

$          81,808

$          70,665

(16 of 20)

Arthur J. Gallagher & Co.
Other Information
(Unaudited - data is rounded where indicated)

OTHER INFORMATION

2nd Q Ended

June 30, 2026

2nd Q Ended

June 30, 2025

6 Mths Ended

June 30, 2026

6 Mths Ended

June 30, 2025

Basic weighted average shares outstanding (000s)

256,649

256,260

256,884

255,540

Diluted weighted average shares outstanding (000s)

258,685

260,435

259,260

259,929

Number of common shares outstanding at end of period (000s)

256,341

256,363

Workforce at end of period (includes acquisitions):

Brokerage

56,202

*

44,909

Risk Management

11,254

10,584

Total Company

73,329

*

59,291

*

The acquisition of AssuredPartners added approximately 10,900 employees in August 2025.

Reconciliation of Non-GAAP Measures - Pre-tax Earnings and Diluted Net Earnings per Share (Unaudited)

(Unaudited - in millions except share and per share data)

Earnings

(Loss)

Before Income

Taxes

Provision

(Benefit)

for Income

Taxes

Net Earnings

(Loss)

Net Earnings

(Loss)

Attributable to

Noncontrolling

Interests

Net Earnings

(Loss)

Attributable to

Controlling

Interests

Diluted Net

Earnings

(Loss)

per Share

2nd Q Ended June 30, 2026

Brokerage, as reported

$          604

$      154

$     450

$             —

$           450

$       1.74

Net (gains) on divestitures

(8)

(2)

(6)

—

(6)

(0.02)

Acquisition integration

113

29

84

—

84

0.33

Workforce and lease termination

40

10

30

—

30

0.11

Acquisition related adjustments

66

17

49

—

49

0.19

Amortization of intangible assets

294

76

218

—

218

0.84

Brokerage, as adjusted

$        1,109

$      284

$     825

$             —

$           825

$       3.19

Risk Management, as reported

$            78

$        21

$      57

$             —

$            57

$       0.22

Acquisition integration

1

—

1

—

1

–

Workforce and lease termination

2

1

1

—

1

0.01

Acquisition related adjustments

2

—

2

—

2

0.01

Amortization of intangible assets

7

2

5

—

5

0.02

Risk Management, as adjusted

$            90

$        24

$      66

$             —

$            66

$       0.26

Corporate, as reported

$         (268)

$       (85)

$    (183)

$             —

$          (183)

$      (0.71)

Transaction-related costs

12

2

10

—

10

0.04

Legal, tax and benefit plan related

21

5

16

—

16

0.06

Corporate, as adjusted

$         (235)

$       (78)

$    (157)

$             —

$          (157)

$      (0.61)

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

(17 of 20)

Reconciliation of Non-GAAP Measures - Pre-tax Earnings and Diluted Net Earnings per Share (Unaudited) - Continued

(Unaudited - in millions except share and per share data)

Earnings

(Loss)

Before Income

Taxes

Provision

(Benefit)

for Income

Taxes

Net Earnings

(Loss)

Net Earnings

(Loss)

Attributable to

Noncontrolling

Interests

Net Earnings

(Loss)

Attributable to

Controlling

Interests

Diluted Net

Earnings

(Loss)

per Share

2nd Q Ended June 30, 2025

Brokerage, as reported

$       686

$     176

$        510

$             —

$          510

$       1.95

Net (gains) on divestitures

(6)

(1)

(5)

—

(5)

(0.02)

Acquisition integration

41

11

30

—

30

0.12

Workforce and lease termination

37

9

28

—

28

0.11

Acquisition related adjustments

33

8

25

—

25

0.09

Amortization of intangible assets

174

44

130

—

130

0.50

Levelized foreign currency translation

(10)

(3)

(7)

—

(7)

(0.03)

Brokerage, as adjusted

$       955

$     244

$        711

$             —

$          711

$       2.72

Risk Management, as reported

$        58

$       15

$         43

$             —

$            43

$       0.16

Acquisition integration

2

1

1

—

1

0.01

Workforce and lease termination

4

1

3

—

3

0.01

Acquisition related adjustments

1

–

1

—

1

—

Amortization of intangible assets

6

1

5

—

5

0.02

Levelized foreign currency translation

1

—

1

—

1

—

Risk Management, as adjusted

$        72

$       18

$         54

$              –

$            54

$       0.20

Corporate, as reported

$      (271)

$     (86)

$       (185)

$             —

$         (185)

$      (0.71)

Transaction-related costs

29

5

24

—

24

0.09

Corporate, as adjusted

$      (242)

$     (81)

$       (161)

$              –

$         (161)

$      (0.62)

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

(18 of 20)

Reconciliation of Non-GAAP Measures - Pre-tax Earnings and Diluted Net Earnings per Share (Unaudited) - Continued

(Unaudited - in millions except share and per share data)

Earnings

(Loss)

Before Income

Taxes

Provision

(Benefit)

for Income

Taxes

Net Earnings

(Loss)

Net Earnings

(Loss)

Attributable to

Noncontrolling

Interests

Net Earnings

(Loss)

Attributable to

Controlling

Interests

Diluted Net

Earnings

(Loss)

per Share

6 Mths Ended June 30, 2026

Brokerage, as reported

$     1,830

$     467

$      1,363

$              1

$        1,362

$       5.25

Net (gains) on divestitures

(15)

(4)

(11)

—

(11)

(0.04)

Acquisition integration

200

51

149

—

149

0.57

Workforce and lease termination

67

17

50

—

50

0.19

Acquisition related adjustments

119

31

88

—

88

0.34

Amortization of intangible assets

565

146

419

—

419

1.62

Brokerage, as adjusted

$     2,766

$     708

$      2,058

$              1

$        2,057

$       7.93

Risk Management, as reported

$       146

$       39

$        107

$             —

$          107

$       0.41

Acquisition integration

2

—

2

—

2

0.01

Workforce and lease termination

3

1

2

—

2

0.01

Acquisition related adjustments

8

2

6

—

6

0.02

Amortization of intangible assets

14

4

10

—

10

0.04

Risk Management, as adjusted

$       173

$       46

$        127

$             —

$          127

$       0.49

Corporate, as reported

$      (519)

$    (196)

$       (323)

$             —

$         (323)

$      (1.25)

Transaction-related costs

19

3

16

—

16

0.06

Legal, tax and benefit plan related

39

22

17

—

17

0.07

Clean energy-related

5

2

3

—

3

0.01

Corporate, as adjusted

$      (456)

$    (169)

$       (287)

$             —

$         (287)

$      (1.11)

See "Information Regarding Non-GAAP Measures" beginning on page 9 of 20.

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Reconciliation of Non-GAAP Measures - Pre-tax Earnings and Diluted Net Earnings per Share (Unaudited) - Continued

(Unaudited - in millions except share and per share data)

Earnings

(Loss)

Before Income

Taxes

Provision

(Benefit)

for Income

Taxes

Net Earnings

(Loss)

Net Earnings

(Loss)

Attributable to

Noncontrolling

Interests

Net Earnings

(Loss)

Attributable to

Controlling

Interests

Diluted Net

Earnings

(Loss)

per Share

6 Mths Ended June 30, 2025

Brokerage, as reported

$     1,785

$     459

$      1,326

$              5

$        1,321

$       5.08

Net (gains) on divestitures

(12)

(3)

(9)

—

(9)

(0.04)

Acquisition integration

85

22

63

—

63

0.24

Workforce and lease termination

55

13

42

—

42

0.16

Acquisition related adjustments

66

16

50

—

50

0.19

Amortization of intangible assets

378

96

282

—

282

1.09

Effective income tax impact

—

(1)

1

—

1

—

Levelized foreign currency translation

7

1

6

—

6

0.03

Brokerage, as adjusted

$     2,364

$     603

$      1,761

$              5

$        1,756

$       6.75

Risk Management, as reported

$       114

$       30

$         84

$             —

$            84

$       0.32

Acquisition integration

4

2

2

—

2

0.01

Workforce and lease termination

7

1

6

—

6

0.02

Acquisition related adjustments

1

—

1

—

1

—

Amortization of intangible assets

12

3

9

—

9

0.04

Levelized foreign currency translation

2

—

2

—

2

0.01

Risk Management, as adjusted

$       140

$       36

$        104

$             —

$          104

$       0.40

Corporate, as reported

$      (553)

$    (220)

$       (333)

$             —

$         (333)

$      (1.28)

Transaction-related costs

52

8

44

—

44

0.17

Corporate, as adjusted

$      (501)

$    (212)

$       (289)

$             —

$         (289)

$      (1.11)

See "Information Regarding Non-GAAP Measures" on page 9 of 20.

Contact: 
Sara Walsh
630-285-3593 or [email protected] 

(20 of 20)

SOURCE Arthur J. Gallagher & Co.