April 06, 2026 16:47 ET | Source: The Brink’s Company
RICHMOND, Va., April 06, 2026 (GLOBE NEWSWIRE) -- On March 31, 2026, The Brink’s Company (NYSE:BCO) (“Brink’s”), a leading global provider of cash and valuables management, digital retail solutions and ATM managed services, completed an amendment and extension of its existing credit facility (the “amended and restated credit agreement”).
The amended and restated credit agreement increases the size of the existing credit facility from $2.225 billion to $3.85 billion. The increase is structured as a $1.025 billion delayed draw term loan and a $600 million increased revolving credit commitment, and the proceeds are intended to be used to fund part of the cash consideration for Brink’s potential acquisition of NCR Atleos Corporation (“NCR Atleos”), refinance indebtedness of NCR Atleos, and fund general corporate purposes. The amended and restated credit agreement will mature on March 31, 2031. Pricing is expected to remain at Term SOFR + 150 basis points through the consummation of Brink’s proposed acquisition of NCR Atleos, subject to Brink’s consolidated net leverage ratio in accordance with the terms of the amended and restated credit agreement. The acquisition remains subject to customary closing conditions, including regulatory approval and shareholder approvals from both companies.
“We’re excited by the strong interest from our expanded bank group and the significant oversubscription,” said Brink’s Executive Vice President and Chief Financial Officer, Kurt McMaken. “Increasing the size of our existing credit facility, while maintaining current pricing and enhancing certain terms and conditions, reflects our financial partners’ continued confidence in our outlook as we work toward completing the NCR Atleos acquisition. With this important financing milestone secured, we intend to continue to move methodically through the remaining steps needed to close the acquisition”
About The Brink’s Company
The Brink’s Company (NYSE:BCO) is a leading global provider of cash and valuables management, digital retail solutions, and ATM managed services. Our customers include financial institutions, retailers, government agencies, mints, jewelers, and other commercial operations. Our network of operations in 51 countries serves customers in more than 100 countries. For more information, please visit our website at www.brinks.com.
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “assume,” “could,” “estimate,” “expect,” “target,” “possible,” “project,” “predict,” “intend,” “plan,” “believe,” “potential,” “may,” “should”, “will” and similar expressions are based on current expectations and assumptions and are subject to risks, uncertainties and contingencies, many of which are beyond our control and difficult to predict or quantify, and which could cause actual results to differ materially from those that are anticipated.
Factors that could cause actual results to differ include, but are not limited to: Brink’s ability to consummate the transactions (the “Transactions”) contemplated by the Agreement and Plan of Merger, by and among Brink’s, NCR Atleos, Novus Merger Sub, Inc., a Maryland corporation and wholly owned subsidiary of Brink’s, and Novus Merger Sub II, LLC, a Maryland limited liability company and wholly owned subsidiary of Brink’s (the “Merger Agreement”); the occurrence of any event, change or other circumstance that could give rise to the termination of the Merger Agreement; Brink’s ability to finance the Transactions; Brink’s indebtedness, including the substantial indebtedness Brink’s will incur in connection with the Transactions and the need to generate sufficient cash flows to service and repay such debt; failure to consummate any anticipated repayment of the combined company’s indebtedness or make any returns to shareholders in the expected timeframe or at all; failure to obtain applicable regulatory or shareholder approvals in a timely manner or otherwise; failure to satisfy any other conditions to closing of the Transactions; failure to realize the anticipated benefits and synergies of the Transactions in the expected timeframe or at all, including as a result of a delay in consummating the Transactions; the success of integration plans and the time required to successfully integrate NCR Atleos’ operations with those of Brink’s; the focus of management’s time and attention on the Transactions and other potential disruptions arising from the Transactions; the effects of the announcement of the Transactions on Brink’s or NCR Atleos’ businesses; that operating costs, customer loss and business disruption (including, without limitation, difficulties in maintaining relationships with banks, employees, customers or suppliers) may be greater than expected following the public announcement of the Transactions; Brink’s or NCR Atleos’ ability to retain certain key employees following the public announcement of the Transactions; the potential for litigation related to the Transactions; Brink’s or NCR Atleos’ ability to obtain certain third party or governmental regulatory consents, approvals or clearances; potential undisclosed liabilities of NCR Atleos not identified during the due diligence process; the impact of the Transactions on the market price of Brink’s or NCR Atleos’ common stock and/or operating results; and general economic conditions that are less favorable than expected.
Additional information concerning other risk factors is also contained in Part I, Item 1A “Risk Factors” of (i) Brink’s Annual Report on Form 10-K for the year ended December 31, 2025, filed with the Securities and Exchange Commission (the “SEC”) on February 26, 2026, and (ii) NCR Atleos’ Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC on February 27, 2026, and, in each case, in subsequent filings with the SEC.
The forward-looking information included in this release is representative only as of the date of this release and Brink’s and NCR Atleos undertake no obligation to update, revise or clarify any information contained in this release or forward-looking statements that may be made from time to time on either of their behalf, whether as a result of new information, future events or otherwise, except as required by law.
Additional Information and Where to Find It
In connection with the Transactions, Brink’s will file with the SEC a registration statement on Form S-4, which will include (i) a preliminary joint proxy statement of both companies, the definitive version of which will separately be sent or provided to Brink’s shareholders and NCR Atleos’ stockholders, and (ii) a prospectus of Brink’s relating to the offer of Brink’s securities to be issued to NCR Atleos’ stockholders in connection with the completion of the Transactions. Brink’s and NCR Atleos may also file other documents with the SEC regarding the Transactions. This release is not a substitute for the Registration Statement, the preliminary proxy statement/prospectus or any other document which Brink’s or NCR Atleos may file with the SEC. INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE PRELIMINARY PROXY STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS THAT ARE FILED OR WILL BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT THE TRANSACTIONS AND RELATED MATTERS.
Investors and security holders may obtain free copies of the preliminary proxy statement/prospectus (when it is available) and other documents that are filed with the SEC or will be filed with the SEC by Brink’s or NCR Atleos (when they become available) through the website maintained by the SEC at http://www.sec.gov or from Brink’s at its website, https://us.brinks.com/ or from NCR Atleos at its website, https://investor.ncratleos.com/.
Participants in the Solicitation
Brink’s, NCR Atleos, and certain of their directors and executive officers may be deemed to be participants in the solicitation of proxies from the shareholders of Brink’s or the stockholders of NCR Atleos in connection with the Transactions under the rules of the SEC. Information about the interests of the directors and executive officers of Brink’s and NCR Atleos and other persons who may be deemed to be participants in the solicitation of shareholders of Brink’s or the stockholders of NCR Atleos in connection with the Transactions and a description of their direct and indirect interests, by security holdings or otherwise, will be included in the preliminary proxy statement/prospectus related to the Transactions, which will be filed with the SEC. Additional information (i) about Brink’s, the directors and executive officers of Brink’s and their ownership of Brink’s common stock can also be found in its Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the SEC on February 26, 2026, and its definitive proxy statement, as filed with the SEC on March 20, 2026, and other documents subsequently filed by Brink’s with the SEC and (ii) about NCR Atleos, the directors and executive officers of NCR Atleos and their ownership of NCR Atleos Common Stock can also be found in its Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the SEC on February 27, 2026, and its definitive proxy statement, as filed with the SEC on April 4, 2025, and other documents subsequently filed by NCR Atleos with the SEC. Free copies of these documents may be obtained as described above. To the extent holdings of Brink’s or NCR Atleos’ securities by its directors or executive officers have changed since the amounts set forth in such documents, such changes have been or will be reflected on Initial Statements of Beneficial Ownership on Form 3 or Statements of Beneficial Ownership on Form 4 filed with the SEC. Additional information regarding the identity of potential participants, and their direct or indirect interests, by security holdings or otherwise, will be included in the preliminary proxy statement/prospectus relating to the Transactions when it is filed with the SEC.
No Offer or Solicitation
This release does not constitute an offer to sell, or the solicitation of an offer to buy, any securities or the solicitation of any vote or approval with respect to the Transactions. No offer of securities shall be made except by means of a prospectus meeting the requirements of the Securities Act of 1933, as amended, and no offer to sell or solicitation of an offer to buy shall be made in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
I reiterate my buy rating on The Brink's Company, driven by accelerating recurring-revenue growth and a compelling valuation at 11x forward PE. AMS/DRS organic growth has reached 22%, now comprising 28% of revenue, with management guiding for a 30-32% mix and mid-to-high teens growth by 2026. The $6.6B NATL acquisition offers a second growth leg, broadening BCO's service offering, targeting $200M in synergies, and is expected to be 35% EPS accretive post-close.
Allspring Global Investments Holdings LLC decreased its holdings in shares of Brink’s Company (The) (NYSE:BCO – Free Report) by 57.5% in the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 18,951 shares of the business services provider’s stock after selling 25,660 shares during the quarter. Allspring Global Investments Holdings LLC’s holdings in Brink’s were worth $2,207,000 as of its most recent SEC filing.
Several other large investors have also added to or reduced their stakes in BCO. Caldwell Trust Co acquired a new position in Brink’s during the second quarter worth $27,000. Advisory Services Network LLC acquired a new stake in Brink’s in the third quarter valued at $33,000. Mather Group LLC. acquired a new stake in Brink’s in the third quarter valued at $34,000. Optiver Holding B.V. lifted its stake in Brink’s by 42.9% in the third quarter. Optiver Holding B.V. now owns 353 shares of the business services provider’s stock valued at $41,000 after acquiring an additional 106 shares during the last quarter. Finally, Wexford Capital LP acquired a new stake in Brink’s in the third quarter valued at $42,000. Institutional investors and hedge funds own 94.96% of the company’s stock.
Brink’s Stock Performance Shares of BCO stock opened at $106.14 on Thursday. The stock has a market cap of $4.37 billion, a P/E ratio of 22.63 and a beta of 1.12. The company has a debt-to-equity ratio of 9.35, a current ratio of 1.51 and a quick ratio of 1.51. The company has a fifty day moving average price of $116.96 and a two-hundred day moving average price of $116.62. Brink’s Company has a one year low of $80.10 and a one year high of $136.37.
Brink’s (NYSE:BCO – Get Free Report) last posted its earnings results on Thursday, February 26th. The business services provider reported $2.54 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.47 by $0.07. The company had revenue of $1.38 billion during the quarter, compared to analysts’ expectations of $1.35 billion. Brink’s had a net margin of 3.80% and a return on equity of 89.90%. Brink’s’s quarterly revenue was up 9.1% compared to the same quarter last year. During the same quarter last year, the company posted $2.12 EPS. As a group, equities analysts predict that Brink’s Company will post 6.49 EPS for the current year.
Brink’s Dividend Announcement The business also recently announced a quarterly dividend, which was paid on Monday, March 2nd. Stockholders of record on Monday, February 2nd were paid a dividend of $0.255 per share. This represents a $1.02 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date was Monday, February 2nd. Brink’s’s dividend payout ratio (DPR) is currently 21.75%.
Brink’s announced that its board has initiated a share repurchase program on Thursday, December 11th that authorizes the company to buyback $750.00 million in shares. This buyback authorization authorizes the business services provider to reacquire up to 15.4% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s board believes its stock is undervalued.
Analyst Upgrades and Downgrades A number of analysts have commented on BCO shares. Wall Street Zen upgraded shares of Brink’s from a “buy” rating to a “strong-buy” rating in a research note on Sunday, March 15th. Truist Financial increased their price target on shares of Brink’s from $138.00 to $163.00 and gave the company a “buy” rating in a research note on Tuesday, February 10th. Finally, The Goldman Sachs Group increased their price target on shares of Brink’s from $129.00 to $145.00 and gave the company a “buy” rating in a research note on Monday, March 2nd. Three equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat.com, Brink’s has a consensus rating of “Moderate Buy” and an average target price of $154.00.
Read Our Latest Analysis on Brink’s
Brink’s Profile (Free Report)
The Brink’s Company (NYSE: BCO) is a global leader in secure logistics and cash management solutions. The company provides a comprehensive suite of services that span armored transportation, cash-in-transit (CIT), ATM services, smart safe solutions, and valuables storage. Through its network of service centers and armored vehicles, Brink’s ensures the safe and efficient movement of currency, precious metals, and other high-value assets for banks, retailers, mints, and government agencies.
Brink’s armored transport operations are complemented by technology-driven cash management offerings, including deposit automation and secure vaulting.
See Also Five stocks we like better than Brink’s Want to see what other hedge funds are holding BCO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Brink’s Company (The) (NYSE:BCO – Free Report).
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RICHMOND, Va., April 15, 2026 (GLOBE NEWSWIRE) -- The Brink’s Company (NYSE:BCO), a leading global provider of cash and valuables management, digital retail solutions, and ATM managed services, will host a conference call on Wednesday, May 6, at 9:00 a.m. (EDT) to review first-quarter 2026 financial results, which will be released earlier that morning.
The conference call can be accessed by calling 888-349-0094 (in the U.S.) or 412-902-0124 (international). Participants should join at least five minutes prior to the start of the call.
Participants can pre-register at https://dpregister.com/sreg/10208418/103d8e3323a to receive a direct dial-in number for the call. The call also will be accessible via live webcast at https://event.choruscall.com/mediaframe/webcast.html?webcastid=WtFtsDVo.
A replay of the call will be available through May 13, 2026 at (855) 669-9658 (in the U.S.) or (412) 317-0088 (international). The conference number is 5852169. A webcast replay will also be available on the Brink’s Investor Relations site in the Events section.
About The Brink’s Company
The Brink’s Company (NYSE:BCO) is a leading global provider of cash and valuables management, digital retail solutions, and ATM managed services. Our customers include financial institutions, retailers, government agencies, mints, jewelers and other commercial operations. Our network of operations in 51 countries serves customers in more than 100 countries. For more information, please visit our website at www.brinks.com or call 804-289-9709.
April 29, 2026 16:07 ET | Source: The Brink’s Company
RICHMOND, Va., April 29, 2026 (GLOBE NEWSWIRE) -- The Board of Directors of The Brink’s Company (NYSE:BCO) today declared a regular quarterly dividend of $0.255 per share on the Company’s common stock. The dividend is payable on June 1, 2026, to shareholders of record as of May 18, 2026.
About The Brink’s Company
The Brink’s Company (NYSE:BCO), a leading global provider of cash and valuables management, digital retail solutions, and ATM managed services. Our customers include financial institutions, retailers, government agencies, mints, jewelers and other commercial operations. Our network of operations in 51 countries serves customers in more than 100 countries. For more information, please visit our website at www.brinks.com or call 804-289-9709.
MasterCard (MA - Free Report) came out with quarterly earnings of $4.6 per share, beating the Zacks Consensus Estimate of $4.4 per share. This compares to earnings of $3.73 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +4.56%. A quarter ago, it was expected that this processor of debit and credit card payments would post earnings of $4.2 per share when it actually produced earnings of $4.76, delivering a surprise of +13.33%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
MasterCard, which belongs to the Zacks Financial Transaction Services industry, posted revenues of $8.4 billion for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 1.26%. This compares to year-ago revenues of $7.25 billion. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
MasterCard shares have lost about 8% since the beginning of the year versus the S&P 500's gain of 4.2%.
What's Next for MasterCard?While MasterCard 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 MasterCard 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 $4.83 on $9.12 billion in revenues for the coming quarter and $19.52 on $36.96 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, Financial Transaction Services is currently in the top 36% 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, Brink's (BCO - Free Report) , is yet to report results for the quarter ended March 2026. The results are expected to be released on May 6.
This armored car company is expected to post quarterly earnings of $1.68 per share in its upcoming report, which represents a year-over-year change of +3.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Brink's' revenues are expected to be $1.36 billion, up 9.3% from the year-ago quarter.
ADT (ADT +0.82%), a provider of security, interactive, and smart home solutions in the United States, closed at $7.06, down 6.49%. Shares fell after news that Apollo Global Management would fully exit its position through a 102 million-share secondary offering. Investors are watching the impact of increased share supply and the company's concurrent buyback.
The company’s trading volume reached 50.1 million shares, which is about 309% above compared with its three-month average of 12.3 million shares. ADT went public in 2018 and has fallen 43% since its IPO.
How the markets moved todayS&P 500 (^GSPC +0.31%) slipped 0.41% to 7,200.75, while the Nasdaq Composite (^IXIC +0.10%) edged down 0.19% to 25,067.8. Among security & protection services peers, Brink's (BCO +1.39%) closed at $104.38 (-2.88%) and Allegion (ALLE +0.51%) finished at $132.49 (-2.21%), reflecting broader weakness across security-focused names.
What this means for investorsADT shares fell after Apollo-affiliated holders priced a secondary offering of about 102 million shares, representing Apollo’s remaining stake in the company. ADT itself is not selling shares and will not receive any proceeds from this deal, making the transaction a major shareholder exit rather than a capital raise for the company.
ADT is also repurchasing approximately 29.1 million shares from the underwriters under its existing $1.5 billion authorization, which accounts for less than one-third of the shares being sold in the offering. While the repurchase helps absorb some of the near-term supply, the primary concern for investors is the stock’s performance following Apollo’s exit and whether ADT’s buyback activity can mitigate downward pressure resulting from the block sale.
Eric Trie has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Revenue growth of 10% with 4.5% organic growth and 15% AMS/DRS organic growth
Cash flows provided by operating activities increased $89M and free cash flow was up $66M
NCR Atleos acquisition remains on track to close by the end of the first quarter of 2027
RICHMOND, Va., May 06, 2026 (GLOBE NEWSWIRE) -- The Brink’s Company (NYSE:BCO), a leading global provider of cash and valuables management, digital retail solutions ("DRS"), and ATM managed services ("AMS"), today announced first-quarter results.
Mark Eubanks, president and CEO, said: “We delivered a strong first quarter, as we continue to make progress against our strategic priorities. Double-digit top-line growth featured strong performance in the higher-margin AMS, DRS and global services lines of business. Favorable revenue mix, good pricing discipline, and continued cost productivity drove EBITDA margin expansion in the quarter. We continue to deliver sustainable improvements in cash generation with trailing-twelve-month free cash flow surpassing $500 million in the quarter for the first time in our history."
"With the registration statement filed last week, we continue to make progress on our acquisition of NCR Atleos. We have a dedicated integration management team that is working to plan and prepare for execution on our $200M annual run-rate cost synergy targets and will eventually lead the synergy capture and integration in the combined company. The regulatory approval process is well underway and progressing as expected. We remain on track for closing by the end of the first quarter of 2027 and are excited about the value creation potential of the combination."
First-quarter results are summarized in the following table:
(In millions, except for per share amounts)First-Quarter 2026 (vs. 2025) GAAP Change Non-GAAP Change Constant Currency Change(b)Revenue$1,375 10% $1,375 10% 5%Operating Profit$110 (7)% $168 12% 7%Operating Profit Margin 8.0% (160 bps) 12.2% 10 bps 30 bps Net Income / Adjusted EBITDA(a)$32 (38%) $238 10% 6%EPS$0.77 (35%) $1.80 11% 4% (a) The non-GAAP financial metric, adjusted EBITDA, is presented with its corresponding GAAP metric, net income attributable to Brink's.
(b) Constant currency represents 2026 Non-GAAP results at 2025 exchange rates.
2026 Non-GAAP Framework and Q2 2026 Non-GAAP Guidance (Unaudited)
(In millions, except for percentages and per share amounts)
In 2026, management has included additional guidance to better help investors understand currency impacts on our results. Management believes organic revenue growth, adjusted EBITDA margin expansion and free cash flow conversion performance, provided in our 2026 framework, gives investors better visibility into the performance of our business. In addition to our full-year 2026 framework, we have added quarterly guidance for revenue, adjusted EBITDA and non-GAAP EPS in 2026 to clarify the expected impact of near-term currency trends and volatile economic conditions on our results. When, and if, currency volatility lessens, management may return to the previous annual guidance methodology. Revenue guidance is presented in accordance with GAAP.
2026 Non-GAAP FrameworkOrganic Revenue GrowthMid-Single Digits AMS/DRS Organic Revenue GrowthMid-to-High Teens Adjusted EBITDA Margin Expansion30-50bps Free Cash Flow Conversion40-45% Q2 2026
GuidanceRevenue$1,370 - $1,430 Non-GAAP Adjusted EBITDA$245 - $265 Non-GAAP EPS$1.85 - $2.25 The Q2 2026 non-GAAP guidance cannot be reconciled to GAAP without unreasonable effort, as we are unable to accurately forecast certain amounts that are necessary for reconciliation, including the impact of highly inflationary accounting on our Argentina operations, expenses relating to M&A transactions that may or may not occur in the quarter, and other potential non-GAAP adjusting items for which the timing and amounts are uncertain. The Q2 2026 non-GAAP guidance assumes the continuation of current economic trends and reflects management's current assumptions regarding variables that are difficult to accurately forecast, including those discussed in the Risk Factors set forth in the Company's filings with the United States Securities and Exchange Commission.
Conference Call
Brink’s will host a conference call on Wednesday, May 6, 2026, at 9:00 a.m. (EDT) to review first-quarter financial results. The conference call can be accessed by calling 888-349-0094 (in the U.S.) or 412-902-0124 (international). Participants should join at least five minutes prior to the start of the call. Participants can pre-register at https://dpregister.com/sreg/10208418/103d8e3323a to receive a direct dial-in number for the call. The call will also be accessible at https://event.choruscall.com/mediaframe/webcast.html?webcastid=WtFtsDVo. A replay of the call will be available through May 13, 2026, at (855) 669-9658 (in the U.S.) or (412) 317-0088 (international). The conference access code is 5852169. An archived version of the webcast will also be available on our website at http://investors.brinks.com.
The Brink’s Company and subsidiaries
(In millions, except for per share amounts) (Unaudited)
Condensed Consolidated Balance Sheets December 31, 2025 March 31, 2026Assets Current assets: Cash and cash equivalents$1,725.9 1,547.3 Restricted cash 541.0 548.2 Accounts receivable, net 766.0 833.3 Prepaid expenses and other 296.1 346.1 Total current assets 3,329.0 3,274.9 Right-of-use assets, net 388.7 392.7 Property and equipment, net 1,130.5 1,116.1 Goodwill 1,515.3 1,508.7 Other intangibles, net 385.2 368.3 Deferred tax assets, net 237.3 240.4 Other 353.2 374.3 Total assets$7,339.2 7,275.4 Liabilities and Equity Current liabilities: Short-term borrowings 241.1 229.2 Current maturities of long-term debt 163.1 92.8 Accounts payable 319.3 307.8 Accrued liabilities 1,180.2 1,218.8 Restricted cash held for customers 294.2 290.9 Total current liabilities 2,197.9 2,139.5 Long-term debt 3,810.1 3,833.9 Accrued pension costs 147.8 148.9 Retirement benefits other than pensions 120.4 116.4 Lease liabilities 310.2 310.6 Deferred tax liabilities 66.5 62.6 Other 279.0 270.4 Total liabilities 6,931.9 6,882.3 Equity: The Brink's Company ("Brink's") shareholders: Common stock, par value $1 per share: Shares authorized: 100.0 Shares issued and outstanding: 2026 - 41.2; 2025 - 41.1 41.1 41.2 Capital in excess of par value 632.1 619.4 Retained earnings 270.1 265.6 Accumulated other comprehensive income (loss) (665.6) (664.2)Brink's shareholders 277.7 262.0 Noncontrolling interests 129.6 131.1 Total equity 407.3 393.1 Total liabilities and equity$7,339.2 7,275.4 The Brink’s Company and subsidiaries
(In millions) (Unaudited)
Condensed Consolidated Statements of Cash Flows Three Months Ended March 31, 2025 2026Cash flows from operating activities: Net income$53.9 34.8 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Depreciation and amortization 70.7 79.7 Share-based compensation expense 5.7 7.1 Deferred income taxes 0.3 (8.7)(Gain) loss on marketable securities, sale of property and equipment and derivatives (8.6) 1.6 Impairment losses 1.6 0.5 Retirement benefit funding (more) less than expense: Pension (1.0) 1.2 Other than pension (4.1) (4.6)Unrealized foreign currency losses 15.6 0.6 Other operating (5.6) 2.0 Changes in operating assets and liabilities, net of effects of acquisitions: Increase in accounts receivable and income taxes receivable (53.1) (78.1)Increase (decrease) in accounts payable, income taxes payable and accrued liabilities (91.1) 4.4 Increase (decrease) in restricted cash held for customers (45.0) 3.2 Increase in customer obligations 38.9 30.0 Increase in prepaid and other current assets (27.5) (31.1)Other (10.9) (13.9)Net cash provided by (used in) operating activities (60.2) 28.7 Cash flows from investing activities: Capital expenditures (58.9) (40.1)Acquisitions, net of cash acquired (5.3) — Marketable securities: Purchases (12.7) (18.8)Sales 14.3 18.4 Cash proceeds from sale of property and equipment 2.6 3.3 Net change in loans held for investment 1.6 1.5 Net change in economic hedges 9.0 (1.2)Other 0.7 0.7 Net cash used in investing activities (48.7) (36.2) Cash flows from financing activities: Borrowings (repayments) of debt: Short-term borrowings (16.5) (11.3)Long-term revolving credit facilities: Borrowings 3,620.0 4,589.1 Repayments (3,627.0) (4,628.3)Other long-term debt: Borrowings 8.1 5.6 Repayments (28.4) (27.5)Acquisition of noncontrolling interest (6.6) — Debt financing costs (0.8) (20.6)Repurchase shares of Brink's common stock (44.8) (30.2)Dividends to: Shareholders of Brink’s (10.4) (10.5)Noncontrolling interests in subsidiaries (0.4) (0.2)Proceeds from exercise of stock options — 0.2 Tax withholdings associated with share-based compensation (17.3) (18.1)Net cash used in financing activities (124.1) (151.8) Effect of exchange rate changes on cash 32.9 (12.1)Cash, cash equivalents and restricted cash: Decrease (200.1) (171.4)Balance at beginning of period 1,840.4 2,266.9 Balance at end of period$1,640.3 2,095.5 Supplemental Cash Flow InformationThree Months Ended March 31, 2025 2026Cash paid for income taxes, net$(28.3) (30.4)Cash paid for interest (52.9) (55.9)Proceeds from lessor debt financing 8.1 3.2 The Brink’s Company and subsidiaries
(In millions, except for per share amounts) (Unaudited)
First-Quarter 2026 vs. 2025 Impact of % Change GAAP Organic Acquisitions / Currency Organic 1Q'25 Change(a) Dispositions(b) Effect(c) 1Q'26 Total Growth(a) Revenues: North America$418 20 — 2 440 5 5 Latin America 308 11 1 24 344 12 4 Europe 319 11 1 35 366 15 3 Rest of World 203 13 — 10 226 12 7 Segment revenues$1,247 56 2 71 1,375 10 4 Revenues$1,247 56 2 71 1,375 10 4 Operating profit: North America$53 8 — — 61 15 15 Latin America 54 1 — 3 57 6 2 Europe 28 8 1 4 40 42 27 Rest of World 47 6 — 2 55 17 13 Segment operating profit 182 22 — 8 213 17 12 Corporate expenses(d) (32) (12) — (2) (45) 41 36 Other items not allocated to segments(d) (32) (30) 3 — (58) 85 96 Operating profit$119 (19) 4 7 110 (7) (16) Amounts may not add due to rounding.
(a) Organic change and organic growth are supplemental financial measures that are not required by, or presented in accordance with, GAAP, and are described in more detail on page 11.
(b) Amounts include the impact of prior year comparable period results for acquired and disposed businesses. This measure is not required by, or presented in accordance with, GAAP and is described in more detail on page 11.
(c) The amounts in the “Currency” column consist of the effects of Argentina devaluations under highly inflationary accounting and the sum of monthly currency changes. This measure is not required by, or presented in accordance with, GAAP and is described in more detail on page 11.
(d) See pages 9-10 for further information, where these items are discussed in more detail.
About The Brink’s Company
The Brink’s Company (NYSE:BCO) is a leading global provider of cash and valuables management, digital retail solutions, and ATM managed services. Our customers include financial institutions, retailers, government agencies, mints, jewelers and other commercial operations. Our network of operations in 51 countries serves customers in more than 100 countries. For more information, please visit our website at www.brinks.com or call 804-289-9709.
Forward-Looking Statements
This release contains forward-looking information. Words such as "anticipate," "assume," "estimate," "expect," “target,” "project," "predict," "intend," "plan," "believe," "potential," "may," "should" and similar expressions may identify forward-looking information. Forward-looking information in this release includes, but is not limited to: statements made in Mr. Eubanks' quote; second quarter 2026 outlook, including revenue, adjusted EBITDA, and non-GAAP earnings per share (and drivers thereof); full-year 2026 guidance framework, including organic revenue growth, AMS/DRS organic revenue growth, adjusted EBITDA margin expansion, free cash flow conversion and shareholder returns (and the drivers thereof); capital allocation priorities; the impact of U.S. and global macroeconomic conditions; the impact of tariffs and foreign inflation; expected impact from deployment of technology-enabled solutions, including AMS and DRS; the effect of pending legal matters, including the Chile antitrust matter; the impacts of the operating environment in Argentina; the proposed acquisition of NCR Atleos, Inc. ("NCR Atleos"), including: the expected timing and conditions to closing (including receipt of regulatory approvals), the anticipated benefits and synergies of the transaction, the expected financing thereof and the related indebtedness expected to be incurred in connection with the transaction and the ability to service and repay such indebtedness, and effectiveness of the registration statement on Form S-4 and the filing of the related joint proxy statement; and strategic priorities and initiatives, including the Brink’s Business System and technology and systems investments.
Forward-looking information in this document is subject to known and unknown risks, uncertainties and contingencies, which are difficult to predict or quantify, and which could cause actual results, performance or achievements to differ materially from those that are anticipated. These risks, uncertainties and contingencies, many of which are beyond our control, include, but are not limited to: our ability to improve profitability and execute further cost and operational improvement and efficiencies in our core businesses; our ability to improve service levels and quality in our core businesses; market volatility and commodity price fluctuations; general economic issues, including supply chain disruptions, fuel price increases, new or increased international tariffs and/or trade barriers, inflation, recessionary conditions and changes in interest rates; seasonality, pricing and other competitive industry factors; investment in information technology (“IT”) and its impact on revenue and profit growth; risks associated with the usage of artificial intelligence (“AI”) technologies; our ability to maintain an effective IT infrastructure and safeguard confidential information and risks related to a failure of our IT systems and networks, including cloud-based applications, and risks associated with current and emerging technology threats, and damage from computer viruses, unauthorized access and cyber and ransomware attacks, including increasingly sophisticated cyber attacks incorporating the use of AI and other similar disruptions; our ability to effectively develop and implement solutions for our customers; risks associated with operating in foreign countries, including changing political, labor and economic conditions (including political conflict or unrest), regulatory issues (including the imposition of international sanctions, including by the U.S. government), military conflicts (including but not limited to the conflict in Israel, Iran and surrounding areas, as well as the possible expansion of such conflicts and potential geopolitical consequences), currency restrictions and devaluations, restrictions on and cost of repatriating earnings and capital, impact on the Company’s financial results as a result of jurisdictions' higher-than-expected inflation and those determined to be highly inflationary, and restrictive government actions, including nationalization; labor issues, including labor shortages, negotiations with organized labor and work stoppages; pandemics, acts of terrorism, strikes or other extraordinary events that negatively affect global or regional cash commerce; anticipated cash needs in light of our current liquidity position; the strength of the U.S. dollar relative to foreign currencies and foreign currency exchange rates; our ability to identify, evaluate and complete acquisitions and other strategic transactions and to successfully integrate acquired companies; risks related to the proposed acquisition of NCR Atleos, including: the occurrence of any event, change or other circumstance that could give rise to the termination of the merger agreement; the inability to complete the proposed transaction due to the failure to obtain regulatory or shareholder approval or the failure to satisfy other conditions to closing; risks that the proposed transaction disrupts current plans and operations; the focus of management's time and attention on the transaction and other disruptions arising from the proposed transaction; the ability to recognize the anticipated benefits and synergies of the proposed transaction; the amount of the costs, fees, expenses, and charges related to the proposed transaction and financing obtained in connection with the proposed transaction; the ability to obtain regulatory approvals on the terms expected or anticipated schedule; the risk that the proposed transaction and its announcement could have an adverse effect on the ability of the Company to retain customers, retain and hire key personnel and maintain relationships with suppliers, customers and other business relationships and on operating results and business generally; the risk of litigation and/or regulatory actions related to the proposed transaction; costs related to dispositions and product or market exits; our ability to obtain appropriate insurance coverage, positions taken by insurers relative to claims and the financial condition of insurers; safety and security performance and loss experience; employee, environmental and other liabilities in connection with former coal operations, including black lung claims; the impact of the American Rescue Plan Act and Patient Protection and Affordable Care Act on legacy liabilities and ongoing operations; funding requirements, accounting treatment, and investment performance of our pension plans, the VEBA and other employee benefits; changes to estimated liabilities and assets in actuarial assumptions; the nature of hedging relationships and counterparty risk; access to the capital and credit markets; our ability to realize deferred tax assets; the impact of foreign tax credit regulations; the impact of the One Big Beautiful Bill Act; the outcome of pending and future claims, litigation, and administrative proceedings; our ability to comply with regulatory compliance obligations; public perception of our business, reputation and brand; our ability to identify, recruit and retain key employees; changes in estimates and assumptions underlying our critical accounting policies; and the promulgation and adoption of new accounting standards, new government regulations and interpretation of existing standards and regulations.
This list of risks, uncertainties and contingencies is not intended to be exhaustive. Additional factors that could cause our results to differ materially from those described in the forward-looking statements can be found under "Risk Factors" in Item 1A of our Annual Report on Form 10-K for the period ended December 31, 2025, and in the registration statement on Form S-4 filed in connection with the proposed acquisition of NCR Atleos, and in related disclosures in our other public filings with the Securities and Exchange Commission. All risk factors and uncertainties described herein and therein should be considered in evaluating forward-looking statements, and all of the forward-looking statements in this document are expressly qualified by the cautionary statements contained or referred to herein and therein. The actual results or developments anticipated may not be realized or, even if substantially realized, they may not have the expected consequences to or effects on the Company or our business or operations. Readers are cautioned not to rely too heavily on the forward-looking statements contained in this document. The forward-looking information included in this document is representative only as of the date of this document and The Brink's Company undertakes no obligation to update, revise or clarify any information contained in this document or forward-looking statements that may be made from time to time on our behalf, whether as a result of new information, future events or otherwise, except as required by law.
The Brink’s Company and subsidiaries
Segment Results: 2025 and 2026 (Unaudited)
(In millions, except for percentages)
Revenues 2025 2026 1Q 2Q 3Q 4Q Full Year 1QRevenues: North America$417.6 434.3 434.8 455.9 1,742.6 $439.6 Latin America 307.6 319.4 326.8 335.8 1,289.6 343.8 Europe 319.0 358.0 375.3 377.2 1,429.5 365.9 Rest of World 202.5 188.8 198.1 210.1 799.5 225.8 Segment revenues$1,246.7 1,300.5 1,335.0 1,379.0 5,261.2 $1,375.1 Operating Profit 2025 2026 1Q 2Q 3Q 4Q Full Year 1QOperating profit: North America$53.1 62.3 56.8 74.5 246.7 $60.9 Latin America 53.9 55.0 65.9 69.1 243.9 57.4 Europe 28.1 42.4 49.9 56.8 177.2 39.9 Rest of World 47.2 38.3 44.1 48.6 178.2 55.0 Segment operating profit 182.3 198.0 216.7 249.0 846.0 213.2 Corporate expenses(a) (31.7) (33.5) (28.5) (42.4) (136.1) (44.8)Other items not allocated to segments(a) Reorganization and Restructuring (0.5) (0.2) (0.3) (0.4) (1.4) — Acquisitions and dispositions (18.5) (25.8) (17.8) (16.4) (78.5) (15.6)Argentina highly inflationary impact (6.3) 1.9 (4.7) (1.1) (10.2) 0.5 NCR Atleos acquisition and transformation initiatives (5.1) (5.4) (8.1) (7.4) (26.0) (38.9)Non-routine legal matters — — — — — (2.8)DOJ/FinCEN investigations (0.9) (0.9) (3.7) (1.0) (6.5) (1.2)Chile antitrust matter (0.2) (0.2) (0.2) (0.2) (0.8) (0.2)Non-routine auto loss matter — — (1.0) — (1.0) — Operating profit$119.1 133.9 152.4 180.1 585.5 $110.2 Operating Margin Percentage 2025 2026 1Q 2Q 3Q 4Q Full Year 1QOperating margin percentage: North America 12.7 14.3 13.1 16.3 14.2 13.9 Latin America 17.5 17.2 20.2 20.6 18.9 16.7 Europe 8.8 11.8 13.3 15.1 12.4 10.9 Rest of World 23.3 20.3 22.3 23.1 22.3 24.4 Segment operating margin percentage 14.6 15.2 16.2 18.1 16.1 15.5 Corporate expenses and Other items not allocated to segments(a) (5.0) (4.9) (4.8) (5.0) (5.0) (7.5)Total operating margin percentage 9.6 10.3 11.4 13.1 11.1 8.0 (a) See explanation of items on pages 9-10.
The Brink’s Company and subsidiaries
Other Items Not Allocated To Segments (Unaudited)
(In millions)
Income and expenses not allocated to segments are reported either as “Corporate Expenses” or “Other Items not Allocated to Segments.”
Corporate Expenses include costs to manage the global business and perform activities required by public companies as well as other items that are considered part of the Company's operations and revenue generating activities but are not considered when the chief operating decision maker ("CODM") evaluates segment results. Examples include corporate staff compensation, corporate headquarters costs, regional management costs, share-based compensation, and currency transaction gains and losses.
Other Items not Allocated to Segments include income and expenses that are not necessary to operate our business in the ordinary course and are not considered when the CODM evaluates segment results. These include non-recurring as well as certain recurring costs and gains which are not considered to be part of the Company's operations and revenue generating activities. Each of the items in the “Other Items Not Allocated to Segments” category is excluded from non-GAAP measures.
See below for a summary of the other items not allocated to segments.
Reorganization and Restructuring
Costs associated with certain reorganization and restructuring actions were excluded from reported non-GAAP results. These items included primarily severance charges and asset impairment losses. These costs related to global restructuring initiatives, completed in prior years, mainly to mitigate the impact of external economic conditions in light of the COVID-19 pandemic. Due to the unusual nature of the underlying events that led to these actions, the charges are not considered part of the Company's operations and revenue generating activities. Management has excluded these amounts when evaluating internal performance. As such, they have not been allocated to segment or Corporate results and are excluded from non-GAAP results.
Acquisitions and dispositions
Certain acquisition and disposition items are not part of the Company's operations and revenue generating activities. These items include non-cash amortization expense for acquisition-related intangible assets, as well as integration, transaction, restructuring and certain compensation costs. All of the items are significantly impacted by the timing and nature of our acquisitions and dispositions, and many are inconsistent in amount and frequency. Management has excluded these amounts when evaluating internal performance. Therefore, we have not allocated these amounts to segment or Corporate results and have excluded these amounts from non-GAAP results.
These items are described below:
2026 Acquisitions and Dispositions
Amortization expense for acquisition-related intangible assets was $14.9 million in the first three months of 2026. 2025 Acquisitions and Dispositions
Amortization expense for acquisition-related intangible assets was $58.9 million in 2025.Restructuring costs related to acquisitions were $11.8 million in 2025.Net charges of $2.2 million were incurred for post-acquisition adjustments to indemnification assets related to previous business acquisitions.We incurred $3.8 million in integration costs in 2025.Transaction costs related to business acquisitions were $2.7 million in 2025. Argentina highly inflationary impact Beginning in the third quarter of 2018, we designated Argentina's economy as highly inflationary for accounting purposes. As a result, Argentine peso-denominated monetary assets and liabilities are now remeasured at each balance sheet date to the currency exchange rate then in effect, with currency remeasurement gains and losses recognized in earnings. In addition, nonmonetary assets retain a higher historical basis when the currency is devalued. The higher historical basis results in incremental expense being recognized when the nonmonetary assets are consumed. In 2025, we recognized $10.2 million in pretax charges in operating profit related to highly inflationary accounting, including currency remeasurement losses of $17.0 million. In the first three months of 2026, we recognized a net $0.5 million pretax gain in operating profit related to highly inflationary accounting, including currency remeasurement gains of $1.4 million. Highly inflationary adjustments also impact gains and losses on marketable securities due to the change in exchange rates. These non-cash charges are not part of the Company's operations and revenue generating activities. Management has excluded these amounts when evaluating internal performance. As such, they have not been allocated to segment or Corporate results and are excluded from non-GAAP results.
NCR Atleos acquisition and transformation initiatives On February 26, 2026, we entered into a definitive agreement to acquire NCR Atleos. The transaction is expected to close in the first quarter of 2027, subject to regulatory approval and other customary closing conditions. This acquisition represents a significant strategic step for Brink’s, expanding the scale of the combined company and supporting continued growth in our AMS and DRS offerings, which reflect an increasing portion of our business mix.
During 2023, we initiated a multi-year program intended to accelerate growth and drive margin expansion through transformation of our business model. The program is designed to help us standardize and streamline our commercial and operational systems and processes, as well as back-office functions, including finance and information technology. The efforts will drive continuous improvement and achieve operational excellence.
Accordingly, we incurred $26.0 million of expense in 2025, which primarily included third-party professional services, project management charges, and severance. During the first three months of 2026, we incurred $38.9 million of related costs, including fees to attorneys, accountants and other professional advisors related to the NCR Atleos acquisition as well as severance costs and third-party professional services. Because these expenses are associated with discrete transformation initiatives, they are not reflective of our ongoing operating cost structure and are not indicative of our core operating expenses or normal activities. Accordingly, management has excluded these amounts when evaluating internal performance. As such, they have not been allocated to segment or Corporate results and are excluded from non-GAAP results.
Non-routine legal matters In the first quarter of 2026, we recognized $2.8 million of probable losses in connection with non-routine legal matters. These costs relate to fact-specific matters that management does not believe are indicative of the Company's underlying operational performance for the period. Additionally, the nature of these amounts and the underlying claims are such that they are not reasonably likely to recur based on the Company's historical experience within two years, nor were there similar charges for such matters within the prior two years. Management has excluded these amounts when evaluating internal operating performance, and accordingly, these amounts have not been allocated to segment or Corporate results and are excluded from non-GAAP results.
DOJ/FinCEN investigations During 2025, we accrued $6.5 million in connection with the U.S. Department of Justice ("DOJ") and U.S. Department of the Treasury's Financial Crimes Enforcement Network ("FinCEN") investigations, which represents third-party legal costs associated with these matters, including upfront expenses that are directly attributable to establishing compliance programs. In the first three months of 2026, we accrued $1.2 million in connection with the DOJ and FinCEN investigations, which represents third-party legal costs associated with these matters. In the first quarter of 2025, we reached resolutions with both the DOJ and FinCEN. These costs are not considered part of the Company's operations and revenue generating activities. Additionally, the nature of these amounts and the underlying investigations are such that they are not reasonably likely to recur within two years, nor were there similar charges within the prior two years. Management has excluded these amounts when evaluating internal performance. Therefore, these amounts have not been allocated to segment or Corporate results and are excluded from non-GAAP results.
Chile antitrust matter We recognized an estimated loss of $9.5 million in the third quarter of 2021 and recognized additional amounts in subsequent years (which were primarily related to changes in currency rates). Overall, these charges related to a potential fine associated with an investigation by the Chilean Fiscalía Nacional Económica or "FNE" (the Chilean antitrust agency). The investigation is related to potential anti-competitive practices among competitors in the cash logistics industry in Chile. These costs are not considered part of the Company's operations and revenue generating activities. Additionally, the nature of these amounts, including the estimated loss and associated third-party costs, is such that they are not reasonably likely to recur within two years, nor were there similar charges within the prior two years of the underlying event. Management has excluded these amounts when evaluating internal performance. Therefore, these amounts have not been allocated to segment or Corporate results and are excluded from non-GAAP results.
Non-routine auto loss matter In 2023, a Brink’s employee was involved in a motor vehicle accident with unique circumstances that resulted in the death of a third party and, in connection with the ensuing litigation, Brink’s recognized a $10.0 million charge. Due to the unusual nature of the matter, including the unique circumstances of the claim, potential magnitude of remedy, and variation from our ordinary-course litigation strategy, we consider the litigation as separate and distinct from routine legal matters. Management does not believe that similar litigation will likely recur within the next two years, and there have been no similar matters within the prior two years. Management has excluded these amounts when evaluating internal performance. Therefore, they have not been allocated to segment or Corporate results and are excluded from non-GAAP results.
The Brink’s Company and subsidiaries
Non-GAAP Measures and Reconciliations to GAAP Measures (Unaudited)
(In millions, except for percentages and per share amounts)
Non-GAAP measures described below and included in this press release are financial measures that are not required by or presented in accordance with GAAP. The purpose of the disclosure of these non-GAAP measures is to report financial information from the primary operations of our business by excluding the effects of certain income and expenses that do not reflect the ordinary earnings of our operations.
These non-GAAP financial measures are intended to provide investors with a supplemental comparison of our operating results and trends for the periods presented. Our management believes these measures are also useful to investors as such measures allow investors to evaluate our performance using the same metrics that our management uses to evaluate past performance and prospects for future performance. The reconciliations in the tables below include adjustments that we do not consider reflective of our operating performance as they result from events and circumstances that are not a part of our core business. Additionally, certain non-GAAP results, including non-GAAP operating profit and free cash flow before dividends, are utilized as performance measures in certain management incentive compensation plans.
Non-GAAP results should not be considered as an alternative to results determined in accordance with GAAP and should be read in conjunction with their GAAP counterparts. Non-GAAP financial measures may not be comparable to non-GAAP financial measures presented by other companies.
The items excluded from non-GAAP measures are considered by us to be nonrecurring, infrequent or unusual costs and gains as well as other items not considered part of our operations and revenue generating activities. Non-recurring and infrequent items are items that are not reasonably expected to recur in the following two years.
In addition to the rationale described above, we believe the following non-GAAP metrics are helpful to investors in assessing results of operations consistent with how our management evaluates performance:
Non-GAAP operating profit and Non-GAAP operating profit margin: Non-GAAP operating profit equals GAAP operating profit excluding Other Items not Allocated to Segments. Non-GAAP operating margin equals non-GAAP operating profit divided by revenues.Non-GAAP income from continuing operations attributable to Brink's: This measure equals GAAP income from continuing operations attributable to Brink's excluding Other Items not Allocated to Segments as well as certain retirement plan expenses/gains, taxes on return of capital, impairment of certain debt securities, and unusual adjustments to deferred tax asset valuation allowances.Earnings Before Interest Expense, Income Taxes, Depreciation and Amortization ("EBITDA") and Adjusted EBITDA: EBITDA is calculated by starting with net income attributable to Brink's and adding back the amounts for interest expense, income taxes, depreciation and amortization. Adjusted EBITDA equals EBITDA excluding the applicable impacts of Other Items not Allocated to Segments as well as certain retirement plan expenses/gains, taxes on return of capital, impairment of certain debt securities, unusual adjustments to deferred tax asset valuation allowances, income tax rate adjustments, share-based compensation and marketable securities (gain) loss.Non-GAAP diluted EPS from continuing operations attributable to Brink's common shareholders: This measure equals non-GAAP income from continuing operations attributable to Brink's divided by diluted shares.Organic change and organic growth: Organic change represents the change in revenues or operating profit between the current and prior period excluding the effect of acquisitions and dispositions for one year after the transaction and changes in currency exchange rates. Organic growth is the percentage change of organic growth versus the prior year amount.Impact of acquisitions/dispositions: This measure represents the impact of acquisitions or dispositions without a full year of reported results in either comparable period.Currency effect: This measure consists of the effects of Argentina devaluations under highly inflationary accounting and the sum of monthly currency changes. Monthly currency changes represent the accumulation throughout the year of the impact on current period results of changes in foreign currency rates from the prior year period.Non-GAAP pre-tax income, Non-GAAP income tax and Non-GAAP effective income tax rate: Non-GAAP pre-tax income and non-GAAP income tax equal their GAAP counterparts excluding the applicable impacts of Other Items not Allocated to Segments as well as certain retirement plan expenses/gains. Non-GAAP effective income tax rate equals non-GAAP income tax divided by non-GAAP pre-tax income. In addition to the rationale described above, we believe the following non-GAAP metrics are helpful in assessing cash flow and financial leverage consistent with how our management evaluates performance:
Free cash flow before dividends: Free cash flow before dividends is a non-GAAP financial measure that represents management’s calculation of cash flows that are available for capital and investing activities such as paying dividends, share repurchases, debt, acquisition and other investments. We define free cash flow before dividends as net cash provided by (used in) operating activities, adjusted to exclude certain operating activities related to cash that is not available for corporate purposes, including the impact of cash flows from restricted cash held for customers, as well as cash received and processed in certain of our secure cash management services operations. The resulting amount is further adjusted to include the impact of cash flows related to property and equipment used to operate our business, including capital expenditures, cash proceeds from the sale of property and equipment, as well as lessor debt financing. Free cash flow before dividends also excludes the cash impact of transaction costs related to the NCR Atleos acquisition. Reconciliations of Non-GAAP to GAAP Measures
Non-GAAP measures are reconciled to comparable GAAP measures in the tables below. Amounts reported for prior periods have been updated in this press release to present information consistently for all periods presented. Most of the reconciling adjustments are described in Other Items Not Allocated to Segments above on pages 9-10. Additional reconciling items include the following:
Retirement plans We incur costs, such as interest expense and amortization of actuarial gains and losses, associated with certain retirement plans that have been frozen to new entrants. Furthermore, we also incur non-cash settlement charges and curtailment gains related to all of our retirement plans. These costs and gains are not considered to be part of the Company's operations and revenue generating activities. Management has excluded these amounts when evaluating internal performance. Therefore, they are excluded from non-GAAP results.
Valuation allowance on tax credits Gains and charges related to major tax law changes are not considered to be part of the Company's operations and revenue generating activities. As a result of the One Big Beautiful Bill Act, we increased a valuation allowance on deferred tax assets and recorded a significant income tax expense in the third quarter of 2025. Management has excluded these amounts when evaluating internal performance. Therefore, they are excluded from non-GAAP results.
Tax on return of capital As a result of lifted foreign exchange controls and the official and unofficial foreign exchange rates convergence in Argentina, we were able to make an unusual and infrequent return of capital. Due to Argentinian tax law, a withholding tax was imposed on the return of capital. This withholding tax is not considered to be part of the Company’s operations and revenue generating activities. Management has excluded this amount when evaluating internal performance. Therefore, it is excluded from non-GAAP results.
Change in restricted cash held for customers Restricted cash held for customers is not available for general corporate purposes such as payroll, vendor invoice payments, debt repayment, or capital expenditures. Because the cash is not available to support the Company's operations and revenue generating activities, management excludes the changes in the restricted cash held for customers balance when assessing cash flows from operations. We believe that the exclusion of the change in restricted cash held for customers from our non-GAAP operating cash flows measure is helpful to users of the financial statements as it presents this financial measure consistent with how management assesses this liquidity measure.
Change in certain customer obligations The title to cash received and processed in certain of our secure cash management services operations transfers to us for a short period of time. The cash is generally credited to customers’ accounts the following day and is thus not available for general corporate purposes. Because the cash is not available to support our operations and revenue generating activities, management excludes the changes in this specific cash balance when assessing cash flows from operations. We believe that the exclusion of the change in this cash balance from our non-GAAP operating cash flows measure is helpful to the users of our financial statements as it presents this financial measure consistent with how our management assesses this liquidity measure.
NCR Atleos acquisition cash flows This represents the cash outflows during the period related to NCR Atleos acquisition-related transaction costs, such as fees to attorneys, accountants and other professional advisors.
Non-GAAP Results Reconciled to GAAP
Three months ended March 31, 2025 Three months ended March 31, 2026 Pre-tax income(a) Income tax Effective income tax rate(a) Pre-tax income(a) Income tax Effective income tax rate(a) GAAP$69.5 15.6 22.4% $45.8 11.0 24.0%Reorganization and Restructuring(c) 0.5 0.1 — — Acquisitions and dispositions(c) 19.2 1.4 15.2 3.4 Argentina highly inflationary impact(c) 7.3 0.1 1.1 0.1 NCR Atleos acquisition and transformation initiatives(c) 5.1 0.1 38.9 4.8 Non-routine legal maters(c) — — 2.8 0.7 DOJ/FinCEN investigations(c) 0.9 — 1.2 0.3 Chile antitrust matter(c) 0.2 — 0.2 0.1 Retirement plans(b) (1.7) (0.5) 1.5 0.4 Income tax rate adjustment(d) — 11.0 — 8.6 Non-GAAP$101.0 27.8 27.5% $106.7 29.4 27.6% Amounts may not add due to rounding.
(a) From continuing operations.
(b) See "Reconciliations of Non-GAAP to GAAP Measures" on page 12 for details.
(c) See “Other Items Not Allocated To Segments” on pages 9-10 for details.
(d) Non-GAAP income from continuing operations and non-GAAP EPS have been adjusted to reflect an effective income tax rate in each interim period equal to the full-year non-GAAP effective income tax rate. The full-year non-GAAP effective tax rate is estimated at 27.6% for 2026 and was 27.5% for 2025.
The Brink’s Company and subsidiaries
Non-GAAP Results Reconciled to GAAP (Unaudited) - continued
(In millions, except for percentages and per share amounts)
(a) See “Other Items Not Allocated To Segments” on pages 9-10 for details.
(b) See "Reconciliations of Non-GAAP to GAAP Measures" on page 12 for details.
(c) Non-GAAP income from continuing operations and non-GAAP EPS have been adjusted to reflect an effective income tax rate in each interim period equal to the full-year non-GAAP effective income tax rate. The full-year non-GAAP effective tax rate is estimated at 27.6% for 2026 and was 27.5% for 2025.
(d) There is no difference between GAAP and non-GAAP share-based compensation amounts for the periods presented.
(e) Due to the impact of Argentina highly inflationary accounting, there was a $1.0 million non-GAAP adjustment for a loss in the first quarter of 2025, a $3.7 million non-GAAP adjustment for a loss in the second quarter of 2025, a $0.9 million non-GAAP adjustment for a loss in the third quarter of 2025, a $6.9 million non-GAAP adjustment for a loss in the fourth quarter of 2025, and a $1.6 million non-GAAP adjustment for a loss in the first quarter of 2026.
(f) Related to the impairment of specific debt securities in Argentina in 2025.
Full Year Three Months
Ended March 31, 2025 2025 2026 Cash flows provided from operating activities - GAAP$639.5 $(60.2) $28.7 (Increase) decrease in restricted cash held for customers(a) (46.1) 45.0 (3.2)(Increase) decrease in certain customer obligations(a) (16.5) (38.9) (30.0)Capital expenditures (203.1) (58.9) (40.1)Cash proceeds from sale of property and equipment 18.5 2.6 3.3 Proceeds from lessor debt financing 43.2 8.1 3.2 Subtotal$435.5 (102.3) (38.1)NCR Atleos acquisition cash flows(a) — — 2.1 Free cash flow before dividends(a)$435.5 (102.3) (36.0) (a) Free cash flow before dividends is a supplemental financial measure that is not required by, or presented in accordance with, GAAP. See page 11 for further information on this non-GAAP measure, and see page 12 for descriptions of the adjustments.
Brink's (BCO - Free Report) came out with quarterly earnings of $1.8 per share, beating the Zacks Consensus Estimate of $1.68 per share. This compares to earnings of $1.62 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +7.14%. A quarter ago, it was expected that this armored car company would post earnings of $2.47 per share when it actually produced earnings of $2.54, delivering a surprise of +2.83%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
Brink's, which belongs to the Zacks Financial Transaction Services industry, posted revenues of $1.38 billion for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.95%. This compares to year-ago revenues of $1.25 billion. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Brink's shares have lost about 10.7% since the beginning of the year versus the S&P 500's gain of 6%.
What's Next for Brink's?While Brink's 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 Brink's was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.90 on $1.41 billion in revenues for the coming quarter and $8.89 on $5.65 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, Financial Transaction Services is currently in the top 40% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Freightos Limited (CRGO - Free Report) , has yet to report results for the quarter ended March 2026.
This company is expected to post quarterly loss of $0.09 per share in its upcoming report, which represents no change from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Freightos Limited's revenues are expected to be $7.47 million, up 7.5% from the year-ago quarter.
Have you evaluated the performance of Brink's' (BCO - Free Report) international operations during the quarter that concluded in March 2026? Considering the extensive worldwide presence of this armored car company, analyzing the patterns in international revenues is crucial for understanding its financial resilience and potential for growth.
In the current global economy, which is more interconnected than ever, a company's success in penetrating international markets is crucial for its financial health and growth journey. Investors must understand a company's dependence on overseas markets, as this offers a window into the company's earnings stability, its ability to benefit from varied economic cycles and its potential for long-term growth.
International market involvement serves as insurance against economic downturns at home and enables engagement with economies that are growing more quickly. Still, this move toward diversification is not without its challenges, as it involves navigating through the fluctuations of currencies, geopolitical threats, and the distinctive nature of various markets.
While analyzing BCO's performance for the last quarter, we found some intriguing trends in revenues from its overseas segments that Wall Street analysts commonly model and monitor.
For the quarter, the company's total revenue amounted to $1.38 billion, experiencing an increase of 10.3% year over year. Next, we'll explore the breakdown of BCO's international revenue to understand the importance of its overseas business operations.
Exploring BCO's International Revenue PatternsEurope generated $366 million in revenues for the company in the last quarter, constituting 26.6% of the total. This represented a surprise of +2.52% compared to the $357 million projected by Wall Street analysts. Comparatively, in the previous quarter, Europe accounted for $377.2 million (27.4%), and in the year-ago quarter, it contributed $299.1 million (24%) to the total revenue.
Rest of World accounted for 16.4% of the company's total revenue during the quarter, translating to $226 million. Revenues from this region represented a surprise of +6.1%, with Wall Street analysts collectively expecting $213 million. When compared to the preceding quarter and the same quarter in the previous year, Rest of World contributed $210.1 million (15.2%) and $222.4 million (17.8%) to the total revenue, respectively.
During the quarter, Latin America contributed $344 million in revenue, making up 25% of the total revenue. When compared to the consensus estimate of $341 million, this meant a surprise of +0.88%. Looking back, Latin America contributed $335.8 million, or 24.4%, in the previous quarter, and $417.6 million, or 33.5%, in the same quarter of the previous year.
Revenue Projections for Overseas MarketsWall Street analysts expect Brink's to report $1.4 billion in total revenue for the current fiscal quarter, indicating an increase of 7.8% from the year-ago quarter. Europe, Rest of World and Latin America are expected to contribute 27.8% (translating to $390 million), 14.8% ($208 million), and 25% ($351 million) to the total revenue, respectively.
For the full year, a total revenue of $5.66 billion is expected for the company, reflecting an increase of 7.5% from the year before. The revenues from Europe, Rest of World and Latin America are expected to make up 27.2%, 15.2%, and 24.7% of this total, corresponding to $1.54 billion, $861 million, and $1.4 billion, respectively.
In ConclusionRelying on global markets for revenues presents both prospects and challenges for Brink's. Therefore, scrutinizing its international revenue trends is key to effectively forecasting the company's future outlook.
In an era of growing international interdependencies and escalating geopolitical disputes, Wall Street analysts are vigilant in tracking these trends for businesses with a global reach, in order to refine their predictions of earnings. It should be noted, however, that a multitude of other elements, such as a company's domestic position, also play a significant role in shaping the earnings forecasts.
At Zacks, a company's changing earnings outlook is given considerable attention due to its proven, strong influence on a stock's price performance in the near term. The connection here is straightforward and positive: when earnings estimates are revised upward, the stock price generally follows suit, increasing as well.
Our proprietary stock rating tool, the Zacks Rank, with its externally validated exceptional track record, harnesses the power of earnings estimate revisions to serve as a dependable measure for anticipating the short-term price trends of stocks.
Brink's, bearing a Zacks Rank #2 (Buy), is expected to outperform the broader market's movements in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Brink's' Recent Stock Market PerformanceOver the past month, the stock has seen an increase of 1.6% in its value, whereas the Zacks S&P 500 composite has posted an increase of 9.1%. The Zacks Business Services sector, Brink's' industry group, has ascended 2.6% over the identical span. In the past three months, there's been a decline of 18% in the company's stock price, against a rise of 7.1% in the S&P 500 index. The broader sector has declined by 5.3% during this interval.
Investors in The Brink’s Company (BCO - Free Report) need to pay close attention to the stock based on moves in the options market lately. That is because the June 18, 2026 $70.00 Call had some of the highest implied volatility of all equity options today.
What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?Clearly, options traders are pricing in a big move for Brink’s shares, but what is the fundamental picture for the company? Currently, Brink’s is a Zacks Rank #2 (Buy) in the Financial Transaction Services industry that ranks in the Top 19% of our Zacks Industry Rank. Over the last 60 days, one analyst has increased the earnings estimate for the current quarter, while none have dropped their estimates. The net effect has taken our Zacks Consensus Estimate for the current quarter from $1.90 per share to $2.05 in that period.
Given the way analysts feel about Brink’s right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
Investors might want to bet on Brink's (BCO - Free Report) , as it has been recently upgraded to a Zacks Rank #2 (Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is one of the most powerful forces impacting stock prices.
The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system.
Since a changing earnings picture is a powerful factor influencing near-term stock price movements, the Zacks rating system is very useful for individual investors. They may find it difficult to make decisions based on rating upgrades by Wall Street analysts, as these are mostly driven by subjective factors that are hard to see and measure in real time.
As such, the Zacks rating upgrade for Brink's is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price.
Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. The influence of institutional investors has a partial contribution to this relationship, as these big professionals use earnings and earnings estimates to calculate the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their transaction of large amounts of shares then leads to price movement for the stock.
For Brink's, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.
Harnessing the Power of Earnings Estimate RevisionsAs empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, tracking such revisions for making an investment decision could be truly rewarding. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .
Earnings Estimate Revisions for Brink'sFor the fiscal year ending December 2026, this armored car company is expected to earn $9.14 per share, which is unchanged compared with the year-ago reported number.
Analysts have been steadily raising their estimates for Brink's. Over the past three months, the Zacks Consensus Estimate for the company has increased 2.8%.
Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.
You can learn more about the Zacks Rank here >>>
The upgrade of Brink's to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.
NEW YORK & NEW ORLEANS--(BUSINESS WIRE)--Former Attorney General of Louisiana Charles C. Foti, Jr., Esq. and the law firm of Kahn Swick & Foti, LLC (“KSF”) are investigating the proposed sale of NCR Atleos Corporation (NYSE: NATL) to The Brink’s Company (NYSE: BCO). Under the terms of the proposed transaction, shareholders of NCR will receive $30.00 in cash and 0.1574 shares of Brink’s common stock for each share of NCR that they own. KSF is seeking to determine whether this consideration and the process that led to it are adequate, or whether the consideration undervalues the Company.
If you believe that this transaction undervalues the Company and/or if you would like to discuss your legal rights regarding the proposed sale, you may, without obligation or cost to you, e-mail or call KSF Managing Partner Lewis S. Kahn ([email protected]) toll free at any time at 855-768-1857, or visit https://www.ksfcounsel.com/cases/nyse-natl/ to learn more.
To learn more about KSF, whose partners include the Former Louisiana Attorney General, visit www.ksfcounsel.com.
Insiders may stand to receive substantial financial benefits not available to ordinary shareholders.
The proposed transactions may contain terms that could limit superior competing offers.
Shareholders are encouraged to contact the firm to discuss their rights and options at no cost or obligation. We would handle any matter on a contingent fee basis, whereby you would not be responsible for out-of-pocket payment of our legal fees or expenses.
, /PRNewswire/ -- Halper Sadeh LLC, an investor rights law firm, is investigating the following companies for potential violations of the federal securities laws and/or breaches of fiduciary duties to shareholders relating to:
The Brink's Company (NYSE: BCO)'s merger with NCR Atleos Corporation. Upon completion of the proposed transaction, Brink's shareholders will own approximately 78% of the combined company. If you are a Brink's shareholder, click here to learn more about your legal rights and options.
Select Medical Holdings Corporation (NYSE: SEM)'s sale to a consortium led by Select Medical executives and directors for $16.50 in cash per share. If you are a Select Medical shareholder, click here to learn more about your rights and options.
NCR Atleos Corporation (NYSE: NATL)'s sale to The Brink's Company for $30.00 in cash and 0.1574 shares of Brink's common stock for each share of NCR. If you are a NCR shareholder, click here to learn more about your rights and options.
On behalf of shareholders, Halper Sadeh LLC may seek increased consideration, additional disclosures and information, or other relief and benefits.
Halper Sadeh LLC represents investors all over the world who have fallen victim to securities fraud and corporate misconduct. Our attorneys have been instrumental in implementing corporate reforms and recovering millions of dollars on behalf of defrauded investors.
Attorney Advertising. Prior results do not guarantee a similar outcome.
Contact Information:
Halper Sadeh LLC
Daniel Sadeh, Esq.
Zachary Halper, Esq.
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Writing on X, Citron said critics have the comparison to goeasy completely backwards.
“goeasy just handed us the best proof yet of why CACC is the only non-prime lender worth owning,” Citron posted Friday.
goeasy’s Numbers Tell the StoryAndrew Left’s Citron pointed directly to goeasy’s recent results as the contrast it needed.
The firm cited $330 million in quarterly charge-offs, an emergency restructuring, and a merchant channel collapse at the Canadian lender.
Citron is waiting on an 8-K that it says will disclose the settlement details.
“That’s what non-prime lending looks like without CACC’s dealer-first structure, 30-year collections infrastructure, and pool-level loss pricing built in from day one,” Citron wrote.
What Separates CACC From the PackCitron’s argument centers on structural discipline, not growth chasing.
CACC has operated through every credit cycle since 1972 without pivoting its model.
While goeasy expanded into powersports dealerships, CACC stayed focused.
“CACC doesn’t chase volume. It doesn’t need to,” Citron wrote Friday.
The firm also highlighted CACC’s aggressive buyback program. Citron previously noted the company retired 61% of its float since 2011 and repurchased 12.6% of the entire company in 2025 alone.
Short Interest Falls, But Caution RemainsShort interest in CACC declined in the latest reporting period, dropping from 1.18 million to 1.10 million shares, per Benzinga data.
Short sellers still hold 30% of the company’s publicly available float.
At an average daily volume of 206,770 shares, it would take 5.3 days for shorts to cover without pushing the stock sharply higher.
CACC Price Action: Credit Acceptance shares were down 6.54% at $461.68 at the time of publication on Friday, according to Benzinga Pro data.
Photo by Vintage Tone via Shutterstock
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Market News and Data brought to you by Benzinga APIs
Southfield, Michigan, March 19, 2026 (GLOBE NEWSWIRE) -- Credit Acceptance Corporation (Nasdaq: CACC) (referred to as the “Company”, “Credit Acceptance”, “we”, “our”, or “us”) today announced that Steffen Schumann has joined the Company as Chief Business Officer, reporting to Chief Executive Officer Vinayak Hegde.
In this newly created role, Schumann will help drive growth by further strengthening enterprise strategy, unit economics, and enterprise performance management systems. His responsibilities will include leading enterprise business planning, pricing strategy, advanced analytics, and the continued evolution of dealer scorecarding and enterprise performance frameworks—with the goal of translating insights and forecasts into actions that improve overall financial performance. Before joining Credit Acceptance, Schumann spent more than two decades at Deutsche Telekom and T-Mobile. He most recently held the role Senior Vice President, Consumer Marketing, where he focused on driving growth and increasing customer lifetime value; and was responsible for implementing the company’s vision, strategy, and execution across complex, multi-product consumer offerings, experiences, and go-to-market initiatives.
“Steffen’s role is central to how we will execute going forward,” said Vinayak Hegde, Chief Executive Officer. “We are building an AI-enabled company with disciplined operating rhythms. That requires a clear enterprise plan, rigorous performance management systems, and pricing and unit economics that are continuously monitored. Steffen will help connect strategy to execution—so we can prioritize the highest‑impact opportunities with the goal of moving faster and delivering better outcomes for our dealers, consumers, and shareholders.”
Schumann’s appointment comes at a time when Credit Acceptance continues to focus on strengthening execution amid evolving market and operating conditions. Recent operating results reflect what Credit Acceptance management believes to be early signs of improving stability and momentum in key areas of the business. Forecasted collection rates, for example, were stable for the two months ended February 28, 2026.
“As we move into the next phase of our growth plan, the opportunity is to make our planning, pricing, and performance management capabilities even more tightly aligned,” said Steffen Schumann, Chief Business Officer. “Credit Acceptance has a strong foundation, a meaningful mission, and a model designed to perform across cycles. I’m excited to help institutionalize systems and mechanisms designed to translate data and insights into faster decisions and stronger execution with the objective to maximize Economic Profit over the long term.”
Cautionary Statement Regarding Forward-Looking Information
We claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 for all of our forward-looking statements. Statements in this release that are not historical facts, such as those using terms like “may,” “will,” “should,” “believe,” “expect,” “anticipate,” “assume,” “forecast,” “estimate,” “intend,” “plan,” “target,” or similar expressions, and those regarding our future results, plans, and objectives, are “forward-looking statements” within the meaning of the federal securities laws. These forward-looking statements represent our outlook only as of the date of this release. Actual results could differ materially from these forward-looking statements since the statements are based on our current expectations, which are subject to risks and uncertainties. Factors that might cause such a difference include, but are not limited to, the factors set forth in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the Securities and Exchange Commission (the “SEC”) on February 13, 2026, and other risk factors discussed herein or listed from time to time in our reports filed with the SEC and the following:
Industry, Operational, and Macroeconomic Risks
Our inability to accurately forecast and estimate the amount and timing of future collections could have a material adverse effect on results of operations.Due to competition from traditional financing sources and non-traditional lenders, we may not be able to compete successfully.Adverse changes in economic conditions, the automobile or finance industries, or the non-prime consumer market could adversely affect our financial position, liquidity, and results of operations, the ability of key vendors that we depend on to supply us with services, and our ability to enter into future financing transactions.Reliance on third parties to administer our ancillary product offerings could adversely affect our business and financial results.We are dependent on our senior management, and the loss of any of these individuals or an inability to hire additional team members could adversely affect our ability to operate profitably.Our reputation is a key asset to our business, and our business may be affected by how we are perceived in the marketplace.An outbreak of contagious disease or other public health emergency could materially and adversely affect our business, financial condition, liquidity, and results of operations.The concentration in several states of automobile dealers who participate in our programs could adversely affect us.Reliance on our outsourced business functions could adversely affect our business.Our ability to hire and retain foreign engineering personnel could be hindered by immigration restrictions.We may be unable to execute our business strategy due to current economic conditions.Natural disasters, climate change, military conflicts, acts of war, terrorist attacks and threats, or the escalation of military activity in response to terrorist attacks or otherwise may negatively affect our business, financial condition, and results of operations.Governmental or market responses to climate change and related environmental issues could have a material adverse effect on our business.A small number of our shareholders have the ability to significantly influence matters requiring shareholder approval and such shareholders have interests which may conflict with the interests of our other security holders. Capital and Liquidity Risks
We may be unable to continue to access or renew funding sources and obtain capital needed to maintain and grow our business.The terms of our debt limit how we conduct our business.A violation of the terms of our asset-backed secured financings or revolving secured warehouse facilities could have a material adverse impact on our operations.Our substantial debt could negatively impact our business, prevent us from satisfying our debt obligations, and adversely affect our financial condition.We may not be able to generate sufficient cash flows to service our outstanding debt and fund operations and may be forced to take other actions to satisfy our obligations under such debt.Interest rate fluctuations may adversely affect our borrowing costs, profitability, and liquidity.Reduction in our credit rating could increase the cost of our funding from, and restrict our access to, the capital markets and adversely affect our liquidity, financial condition, and results of operations.We may incur substantially more debt and other liabilities. This could exacerbate further the risks associated with our current debt levels.The conditions of the U.S. and international capital markets may adversely affect lenders with which we have relationships, causing us to incur additional costs and reducing our sources of liquidity, which may adversely affect our financial position, liquidity, and results of operations. Technology and Cybersecurity Risks
Our dependence on technology could have a material adverse effect on our business.We depend on secure information technology, and a breach of our systems or those of our third-party service providers could result in our experiencing significant financial, legal, and reputational exposure and could materially adversely affect our business, financial condition, and results of operations.Our use of electronic contracts could impact our ability to perfect our ownership or security interest in Consumer Loans.Failure to properly safeguard our proprietary business information or confidential consumer and team member personal information could subject us to liability, decrease our profitability, and damage our reputation.The development and use of artificial intelligence presents risks and challenges that may adversely impact our business. Legal and Regulatory Risks
Litigation we are involved in from time to time may adversely affect our financial condition, results of operations, and cash flows.Changes in tax laws and the resolution of uncertain income tax matters could have a material adverse effect on our results of operations and cash flows from operations.The regulations to which we are or may become subject could result in a material adverse effect on our business. Other factors not currently anticipated by management may also materially and adversely affect our business, financial condition, and results of operations. We do not undertake, and expressly disclaim any obligation, to update or alter our statements, whether as a result of new information or future events or otherwise, except as required by applicable law.
Description of Credit Acceptance Corporation
We make vehicle ownership possible by providing innovative financing solutions that enable automobile dealers to sell vehicles to consumers regardless of their credit history. Our financing programs are offered through a nationwide network of automobile dealers who benefit from sales of vehicles to consumers who otherwise could not obtain financing; from repeat and referral sales generated by these same customers; and from sales to customers responding to advertisements for our financing programs, but who actually end up qualifying for traditional financing.
Without our financing programs, consumers are often unable to purchase vehicles, or they purchase unreliable ones. Further, as we report to the three national credit reporting agencies, an important ancillary benefit of our programs is that we provide consumers with an opportunity to improve their lives by improving their credit score and move on to more traditional sources of financing. Credit Acceptance is publicly traded on the Nasdaq Stock Market under the symbol CACC. For more information, visit creditacceptance.com.
Lower interest rates and easing lending standards are brightening the outlook for the Zacks Consumer Loans industry. The Federal Reserve’s interest rate cuts and signs of decent economic growth are expected to sustain and even boost loan demand, supporting top-line growth.
While improved consumer credit scores and looser lending criteria are expanding the borrower base, muted consumer confidence is a concern. Despite several credit quality metrics creeping above the pre-pandemic levels, lower rates will likely support repayment capacity. So, industry players like Credit Acceptance Corporation (CACC - Free Report) , Enova International, Inc. (ENVA - Free Report) and Encore Capital Group, Inc. (ECPG - Free Report) are worth betting on.
About the Industry The Zacks Consumer Loans industry comprises companies that provide mortgages, refinancing, home equity lines of credit, credit card loans, automobile loans, education/student loans and personal loans, among others. These help the industry players generate net interest income (NII), which forms the most important part of total revenues. The prospects of the companies in this industry are highly sensitive to the nation’s overall economic condition and consumer sentiments. In addition to offering the above-mentioned products and services, many consumer loan providers are involved in businesses like commercial lending, insurance, loan servicing and asset recovery. These support the companies in generating fee revenues. Furthermore, this helps the firms diversify revenue sources and be less dependent on the vagaries of the economy.
3 Themes Driving the Consumer Loan Industry's Future Interest Rates & Loan Demand: The Federal Reserve has lowered interest rates by 175 basis points since 2024. However, any further near-term cut is less likely given the ongoing Middle East conflict and its impact on inflation. Moreover, consumer confidence has been subdued since late 2025 because of concerns related to jobs, income and high prices. In February, the Expectations Index remained below 80 for 13 straight months, a level that historically signals potential recession. Despite this, demand for consumer loans is expected to remain stable and even improve as rates remain low compared with historically high levels seen in 2024. Hence, industry players are expected to witness modest growth in net interest margin and NII going forward.
Lending Standards: With the nation’s big credit reporting agencies removing all tax liens from consumer credit reports since 2018, several consumers' credit scores have improved. This has raised the number of consumers for the industry participants. Further, easing credit lending standards is helping consumer loan providers meet loan demand.
Asset Quality: While lower interest rates will help borrowers to remain current on loan and interest repayments, the lingering macroeconomic and geopolitical headwinds are expected to result in persistent inflation. This will likely hurt borrowers' paying capacity to some extent. Hence, consumer loan providers are likely to set aside a huge amount of money for potential delinquent loans. Also, several credit quality metrics are trending above pre-pandemic levels.
Zacks Industry Rank Reflects a Bright Picture The Zacks Consumer Loans industry is a 12-stock group within the broader Zacks Finance sector. The industry currently carries a Zacks Industry Rank #15, which places it in the top 6% of more than 240 Zacks industries.
The group’s Zacks Industry Rank, which is the average of the Zacks Rank of all the member stocks, indicates outperformance in the near term. 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. Looking at the aggregate earnings estimate revisions, it appears that analysts are gradually gaining confidence in this group’s earnings growth potential. Over the past year, the industry’s earnings estimates for 2026 and 2027 have been revised upward by 25% and 10.4%, respectively.
Before we present a few stocks that you may want to add to your portfolio, let's take a look at the industry’s recent stock market performance and valuation picture.
Industry vs. Broader Market The Zacks Consumer Loans industry has impressively outperformed the Zacks S&P 500 composite and its sector over the past two years.
The stocks in this industry have collectively soared 45.3% over this period, while the Zacks S&P 500 composite and the Zacks Finance sector have risen 29.7% and 24.3%, respectively.
Two-Year Price Performance
Industry Valuation One might get a good sense of the industry’s relative valuation by looking at its price-to-book ratio (P/B), commonly used for valuing consumer loan stocks because of significant variations in their financial performance from one quarter to the next.
The industry currently has a trailing 12-month P/B of 0.67X, below the median level of 0.77X over the past five years. This compares with the highest level of 1.07X and the lowest level of 0.55X over this period. The industry is trading at a considerable discount compared with the market at large, as the trailing 12-month P/B for the S&P 500 is 7.72X and the median level is 8.09X.
Price-to-Book Ratio (TTM)
As finance stocks typically have a lower P/B, comparing consumer loan providers with the S&P 500 may not make sense to many investors. However, comparing the group’s P/B ratio with that of its broader sector ensures that the group is trading at a decent discount. The Zacks Finance sector’s trailing 12-month P/B of 4.01X for the same period is way above the Zacks Consumer Loan industry’s ratio, as the chart below shows.
Price-to-Book Ratio (TTM)
3 Consumer Loan Stocks to Consider Credit Acceptance Corporation: Headquartered in Southfield, MI, CACC offers financing programs and related products and services to automobile dealers across the United States, enabling them to sell vehicles to consumers irrespective of their credit history. Further, it is engaged in the business of reinsuring coverage under vehicle service contracts sold to consumers by dealers on vehicles financed by the company.
Revenue growth remains a major positive for Credit Acceptance, with the same witnessing a five-year (2020-2025) compound annual growth rate (CAGR) of 6.8%. Growth is primarily attributable to a steady rise in finance charges, which is also the main revenue component (accounting for 92.4% of total revenues in 2025).
While finance charges are likely to witness headwinds from macroeconomic factors in the near term, the same will rebound once the operating backdrop improves. A decent rise in dealer enrolments and active dealers is also expected to support the company’s top-line growth.
The Zacks Consensus Estimate for earnings for 2026 and 2027 suggests growth of 17.6% and 12.9%, respectively. Shares of this Zacks Rank #2 (Buy) company have lost 1.5% over the past six months. It has a market cap of $4.8 billion. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Price and Consensus: CACC
Enova International: Based in Chicago, IL, Enova is a leading financial technology company focused on providing online financial services. The company caters to small businesses and capitalizes on its proprietary technology, analytics and customer service capabilities to underwrite and fund loans.
Being an early entrant into online lending, the company has completed almost 65 million customer transactions and collected approximately 66 terabytes of consumer behavior data since its launch in 2004. This has enabled Enova to better analyze its specific customer base. This Zacks Rank #2 company’s proprietary underwriting systems leverage advanced risk analytics, including machine learning and artificial intelligence.
Moreover, the company has been diversifying its operations, which will support its long-term growth. In December 2025, the company agreed to acquire Grasshopper Bancorp, which will uplift its earnings over time. This will also expand the company’s ability to deliver a more comprehensive suite of financial products through a national bank charter, expanding access to credit to those who were traditionally underserved by banks.
The Zacks Consensus Estimate for earnings for 2026 and 2027 indicates an increase of 21.8% and 13.8%, respectively. Also, ENVA’s shares have gained 9.9% over the past six months. It has a market cap of $3.4 billion.
Price and Consensus: ENVA
Encore Capital: Based in San Diego, CA, ECPG provides debt recovery and related financial services worldwide. Through its global subsidiaries, the company acquires portfolios of charged-off consumer receivables from leading banks, credit unions and utility providers, leveraging data-driven strategies to optimize collections and portfolio performance.
Encore Capital plans to leverage its leadership position in portfolio purchasing and recovery as well as credit management services to bolster its market share worldwide. Over the years, the company’s portfolio purchases and collections have increased, which supported its top-line expansion.
With rising delinquency/charge-off rates in the United States, there is more supply of non-performing loans. This offers Encore Capital an additional opportunity to purchase portfolios and apply its analytics and collections capabilities for higher returns. Additionally, as interest rates decline and borrowers' ability to repay loans improves, the company’s collections will likely become steadier.
This Zacks Rank #1 stock has soared 62.1% over the past six months. ECPG’s earnings are expected to rise 9.7% in 2026 and 7.3% in 2027. The company has a market cap of $1.6 billion.
Southfield, Michigan, April 09, 2026 (GLOBE NEWSWIRE) -- Credit Acceptance Corporation (Nasdaq: CACC) (referred to as the “Company”, “Credit Acceptance”, “we”, “our”, or “us”) has been named a 2026 USA Today Top Workplaces award winner for the sixth consecutive year. We made it into the Top 10 again this year, with a #4 ranking in the 1,000-2,499-employee size category.
We were also recognized by Top Workplaces in the Well-Being specialty category. Winners are recognized for their commitment to fostering a workplace environment that values employee listening and engagement.
“Being a Top Workplace reflects the commitment of our team members to be amazing to work with, take pride in what they do, and deliver on our mission of changing lives for dealers, consumers, and each other,” said Vinayak Hegde, Chief Executive Officer of Credit Acceptance. “Our listening culture has long been a strong and unique foundation from which we have enacted real change. In a remote work environment like ours, it’s especially important that we remain intentional about connecting and collaborating across teams and living our PRIDE values – Positive, Respectful, Insightful, Direct, and Earnest – to bring us together as one Credit Acceptance.”
Nearly 95% of our team is fully remote, giving them flexibility and creating an environment in which to do their best work as we continue changing lives and building long-term value. Through large events such as our annual Sales Leadership Exchange and the Support and Operations Alignment Retreat, plus initiatives like in-office days and regional roundtable meetings, we support connection and collaboration regardless of physical location.
This is the second workplace award we have received this year. Earlier this month, Credit Acceptance reached #18 in the Fortune 100 Best Companies to Work For® list – our highest-ever ranking. Over the past year, we have received other accolades from Fortune including Best Workplace for Financial Services and Insurance™ and Best Workplace for Women™. We have also been named one of People Magazine’s Companies that Care®, a Top Workplace for Remote Work, and a Best Place to Work in IT by Computerworld, among many others.
The Top Workplaces Awards are based on a survey administered by Energage, which measures employee responses to statements about Workplace Experience Themes proven to be indicators of high performance.
About Credit Acceptance
We make vehicle ownership possible by providing innovative financing solutions that enable automobile dealers to sell vehicles to consumers regardless of their credit history. Our financing programs are offered through a nationwide network of automobile dealers who benefit from sales of vehicles to consumers who otherwise could not obtain financing; from repeat and referral sales generated by these same customers; and from sales to customers responding to advertisements for our financing programs, but who actually end up qualifying for traditional financing.
Without our financing programs, consumers are often unable to purchase vehicles, or they purchase unreliable ones. Further, as we report to the three national credit reporting agencies, an important ancillary benefit of our programs is that we provide consumers with an opportunity to improve their lives by improving their credit score and move on to more traditional sources of financing. Credit Acceptance is publicly traded on the Nasdaq Stock Market under the symbol CACC. For more information, visit creditacceptance.com.
About Energage
Energage is a purpose-driven company that helps organizations turn employee feedback into useful business intelligence and credible employer recognition through Top Workplaces. Built on 18 years of culture research and the results from 27 million employees surveyed across more than 70,000 organizations, Energage delivers the most accurate competitive benchmark available. With access to a unique combination of patented analytic tools and expert guidance, Energage customers lead the competition with an engaged workforce and an opportunity to gain recognition for their people-first approach to culture. For more information or to nominate your organization, visit energage.com or topworkplaces.com.
On April 17, 2026, Credit Acceptance Corp (CACC) shares rose 6.8% to a current price of $527.56. The stock has experienced a notable increase over the past mont
On April 21, 2026, Credit Acceptance Corp (CACC) shares fell 3.9% today, closing at $521.23. This movement is notable within the context of the stock's performa
Southfield, Michigan, April 27, 2026 (GLOBE NEWSWIRE) -- Credit Acceptance Corporation (Nasdaq: CACC) (referred to as the “Company”, “Credit Acceptance”, “we”, “our”, or “us”) announced today that Robert Bourrier has joined the Company as Chief Sales Officer.
In this role, Mr. Bourrier will lead and scale Credit Acceptance’s national sales organization with a focus on sustained revenue growth, market share expansion, and disciplined financial performance. Partnering closely with the executive leadership team, he will be responsible for translating enterprise strategy into consistent, measurable execution across all markets. His responsibilities include shaping and executing our sales strategy, strengthening operating rhythms and performance management, developing sales talent and leadership, and ensuring strong go-to-market efforts to deliver a consistent dealer and consumer experience.
“Robert strengthens our ability to turn our customer-centric strategy into consistent execution,” said Vinayak Hegde, Chief Executive Officer. “As we scale, discipline in how we operate is foundational to our success. Robert brings extensive experience leading sales organizations serving a wide range of customers, from small and mid-sized businesses to large enterprises, which aligns well with the diversity and scale of our dealer network. His expertise in building the teams, systems, and operating rhythms we need will be instrumental in helping deliver results for our customers and shareholders.”
Mr. Bourrier brings more than 25 years of sales and commercial leadership experience to Credit Acceptance. Throughout his career he has progressed through roles of increasing responsibility, developing a practical, end-to-end understanding of sales strategy, operations, and execution. Most recently, he led corporate marketplace efforts at Wheels Up, a leading private aviation platform, and he previously held senior leadership roles overseeing global corporate agreements at Delta Air Lines and Air Canada, where he consistently delivered results across enterprise customer segments.
“Credit Acceptance has a powerful mission to change lives,” said Robert Bourrier, Chief Sales Officer. “I plan to build on this strong foundation by applying the lessons I have learned throughout my career. I’m honored and excited to lead a team with dedicated and passionate sales professionals as we strengthen our strategy to drive growth and stronger customer outcomes.”
Mr. Bourrier’s hiring reflects Credit Acceptance’s continued focus on strengthening execution and scaling enterprise capabilities to support disciplined growth.
Cautionary Statement Regarding Forward-Looking Information
We claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 for all of our forward-looking statements. Statements in this release that are not historical facts, such as those using terms like “may,” “will,” “should,” “believe,” “expect,” “anticipate,” “assume,” “forecast,” “estimate,” “intend,” “plan,” “target,” or similar expressions, and those regarding our future results, plans, and objectives, are “forward-looking statements” within the meaning of the federal securities laws. These forward-looking statements represent our outlook only as of the date of this release. Actual results could differ materially from these forward-looking statements since the statements are based on our current expectations, which are subject to risks and uncertainties. Factors that might cause such a difference include, but are not limited to, the factors set forth in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the Securities and Exchange Commission (the “SEC”) on February 13, 2026, and other risk factors discussed herein or listed from time to time in our reports filed with the SEC and the following:
Industry, Operational, and Macroeconomic Risks
Our inability to accurately forecast and estimate the amount and timing of future collections could have a material adverse effect on results of operations.Due to competition from traditional financing sources and non-traditional lenders, we may not be able to compete successfully.Adverse changes in economic conditions, the automobile or finance industries, or the non-prime consumer market could adversely affect our financial position, liquidity, and results of operations, the ability of key vendors that we depend on to supply us with services, and our ability to enter into future financing transactions.Reliance on third parties to administer our ancillary product offerings could adversely affect our business and financial results.We are dependent on our senior management, and the loss of any of these individuals or an inability to hire additional team members could adversely affect our ability to operate profitably.Our reputation is a key asset to our business, and our business may be affected by how we are perceived in the marketplace.An outbreak of contagious disease or other public health emergency could materially and adversely affect our business, financial condition, liquidity, and results of operations.The concentration in several states of automobile dealers who participate in our programs could adversely affect us.Reliance on our outsourced business functions could adversely affect our business.Our ability to hire and retain foreign engineering personnel could be hindered by immigration restrictions.We may be unable to execute our business strategy due to current economic conditions.Natural disasters, climate change, military conflicts, acts of war, terrorist attacks and threats, or the escalation of military activity in response to terrorist attacks or otherwise may negatively affect our business, financial condition, and results of operations.Governmental or market responses to climate change and related environmental issues could have a material adverse effect on our business.A small number of our shareholders have the ability to significantly influence matters requiring shareholder approval and such shareholders have interests which may conflict with the interests of our other security holders. Capital and Liquidity Risks
We may be unable to continue to access or renew funding sources and obtain capital needed to maintain and grow our business.The terms of our debt limit how we conduct our business.A violation of the terms of our asset-backed secured financings or revolving secured warehouse facilities could have a material adverse impact on our operations.Our substantial debt could negatively impact our business, prevent us from satisfying our debt obligations, and adversely affect our financial condition.We may not be able to generate sufficient cash flows to service our outstanding debt and fund operations and may be forced to take other actions to satisfy our obligations under such debt.Interest rate fluctuations may adversely affect our borrowing costs, profitability, and liquidity.Reduction in our credit rating could increase the cost of our funding from, and restrict our access to, the capital markets and adversely affect our liquidity, financial condition, and results of operations.We may incur substantially more debt and other liabilities. This could exacerbate further the risks associated with our current debt levels.The conditions of the U.S. and international capital markets may adversely affect lenders with which we have relationships, causing us to incur additional costs and reducing our sources of liquidity, which may adversely affect our financial position, liquidity, and results of operations. Technology and Cybersecurity Risks
Our dependence on technology could have a material adverse effect on our business.We depend on secure information technology, and a breach of our systems or those of our third-party service providers could result in our experiencing significant financial, legal, and reputational exposure and could materially adversely affect our business, financial condition, and results of operations.Our use of electronic contracts could impact our ability to perfect our ownership or security interest in Consumer Loans.Failure to properly safeguard our proprietary business information or confidential consumer and team member personal information could subject us to liability, decrease our profitability, and damage our reputation.The development and use of artificial intelligence presents risks and challenges that may adversely impact our business. Legal and Regulatory Risks
Litigation we are involved in from time to time may adversely affect our financial condition, results of operations, and cash flows.Changes in tax laws and the resolution of uncertain income tax matters could have a material adverse effect on our results of operations and cash flows from operations.The regulations to which we are or may become subject could result in a material adverse effect on our business.
Other factors not currently anticipated by management may also materially and adversely affect our business, financial condition, and results of operations. We do not undertake, and expressly disclaim any obligation, to update or alter our statements, whether as a result of new information or future events or otherwise, except as required by applicable law.
Description of Credit Acceptance Corporation
We make vehicle ownership possible by providing innovative financing solutions that enable automobile dealers to sell vehicles to consumers regardless of their credit history. Our financing programs are offered through a nationwide network of automobile dealers who benefit from sales of vehicles to consumers who otherwise could not obtain financing; from repeat and referral sales generated by these same customers; and from sales to customers responding to advertisements for our financing programs, but who actually end up qualifying for traditional financing.
Without our financing programs, consumers are often unable to purchase vehicles, or they purchase unreliable ones. Further, as we report to the three national credit reporting agencies, an important ancillary benefit of our programs is that we provide consumers with an opportunity to improve their lives by improving their credit score and move on to more traditional sources of financing. Credit Acceptance is publicly traded on the Nasdaq Stock Market under the symbol CACC. For more information, visit creditacceptance.com.
Southfield, Michigan, April 28, 2026 (GLOBE NEWSWIRE) -- Credit Acceptance Corporation (Nasdaq: CACC) (referred to as the “Company”, “Credit Acceptance”, “we”, “our”, or “us”) announced today that we expect to issue a news release with our first quarter 2026 earnings on Tuesday, May 5, 2026, after the market closes. A webcast is scheduled for Tuesday, May 5, 2026, at 5:00 p.m. Eastern Time to discuss first quarter 2026 earnings.
Conference Call and Webcast Information:
Date: Tuesday, May 5, 2026
Time: 5:00 p.m. Eastern Time
Telephone Access:
Only persons accessing the webcast by telephone will be able to pose questions to the presenters during the webcast. To participate by telephone, you must pre-register using the following link:
or through the link posted on the “Investor Relations” section of our website at ir.creditacceptance.com. Upon registering you will be provided with the dial-in number and a unique PIN to access the webcast by telephone.
Webcast Access:
The webcast can also be accessed live by visiting the “Investor Relations” section of our website at ir.creditacceptance.com.
Additionally, a replay and transcript of the webcast will be archived in the “Investor Relations” section of our website.
Description of Credit Acceptance Corporation
We make vehicle ownership possible by providing innovative financing solutions that enable automobile dealers to sell vehicles to consumers regardless of their credit history. Our financing programs are offered through a nationwide network of automobile dealers who benefit from sales of vehicles to consumers who otherwise could not obtain financing; from repeat and referral sales generated by these same customers; and from sales to customers responding to advertisements for our financing programs, but who actually end up qualifying for traditional financing.
Without our financing programs, consumers are often unable to purchase vehicles or they purchase unreliable ones. Further, as we report to the three national credit reporting agencies, an important ancillary benefit of our programs is that we provide consumers with an opportunity to improve their lives by improving their credit score and move on to more traditional sources of financing. Credit Acceptance is publicly traded on the Nasdaq Stock Market under the symbol CACC. For more information, visit creditacceptance.com.
On April 29, 2026, Credit Acceptance Corp (CACC) shares fell 3.1%, bringing the current price to $500.62. This decline comes amid a 52-week price range of $401.
Southfield, Michigan, May 05, 2026 (GLOBE NEWSWIRE) -- Credit Acceptance Corporation (Nasdaq: CACC) (referred to as the “Company”, “Credit Acceptance”, “we”, “our”, or “us”) announced today the completion of a $450.0 million asset-backed non-recourse secured financing (the “Financing”). Pursuant to this transaction, we conveyed loans having a value of approximately $562.6 million to a wholly owned special purpose entity which will transfer the loans to a trust, which will issue three classes of notes:
Note Class Amount Average Life Price Interest Rate A $248,750,000 2.50 years 99.99851% 4.65% B $91,320,000 3.20 years 99.97864% 4.96% C $109,930,000 3.62 years 99.98232% 5.28% The Financing will:
have an expected average annualized cost of approximately 5.2% including upfront fees and other costs;revolve for 24 months after which it will amortize based upon the cash flows on the conveyed loans; andbe used by us to repay higher cost outstanding indebtedness and for general corporate purposes. We will receive 4.0% of the cash flows related to the underlying consumer loans to cover servicing expenses. The remaining 96.0%, less amounts due to dealers for payments of dealer holdback, will be used to pay principal and interest on the notes as well as the ongoing costs of the Financing. The Financing is structured so as not to affect our contractual relationships with dealers and to preserve the dealers’ rights to future payments of dealer holdback.
The notes have not been and will not be registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. This news release does not and will not constitute an offer to sell or the solicitation of an offer to buy the notes. This news release is being issued pursuant to and in accordance with Rule 135c under the Securities Act of 1933.
Description of Credit Acceptance Corporation
We make vehicle ownership possible by providing innovative financing solutions that enable automobile dealers to sell vehicles to consumers regardless of their credit history. Our financing programs are offered through a nationwide network of automobile dealers who benefit from sales of vehicles to consumers who otherwise could not obtain financing; from repeat and referral sales generated by these same customers; and from sales to customers responding to advertisements for our financing programs, but who actually end up qualifying for traditional financing.
Without our financing programs, consumers are often unable to purchase vehicles, or they purchase unreliable ones. Further, as we report to the three national credit reporting agencies, an important ancillary benefit of our programs is that we provide consumers with an opportunity to improve their lives by improving their credit score and move on to more traditional sources of financing. Credit Acceptance is publicly traded on the Nasdaq Stock Market under the symbol CACC. For more information, visit creditacceptance.com.
Southfield, Michigan, May 05, 2026 (GLOBE NEWSWIRE) -- Credit Acceptance Corporation (Nasdaq: CACC) (referred to as the “Company”, “Credit Acceptance”, “we”, “our”, or “us”) today announced consolidated net income of $135.8 million, or $12.40 per diluted share, for the three months ended March 31, 2026. Adjusted net income, a non-GAAP financial measure, for the three months ended March 31, 2026 was $117.3 million, or $10.71 per diluted share. The following table summarizes our financial results:
(In millions, except per share data) For the Three Months Ended March 31, 2026 December 31, 2025 March 31, 2025GAAP net income $ 135.8 $ 122.0 $ 106.3 GAAP net income per diluted share $ 12.40 $ 10.99 $ 8.66 Adjusted net income $ 117.3 $ 126.0 $ 114.8 Adjusted net income per diluted share $ 10.71 $ 11.35 $ 9.35 “This quarter’s results reflect meaningful progress across our business, with reduced volatility in loan forecast changes and moderation in unit volume declines,” said Vinayak Hegde, Chief Executive Officer of Credit Acceptance. “These trends reinforce our focus on disciplined investment and execution as we work to maximize long‑term economic profit.”
First Quarter 2026 Financial Highlights
$7.9 billion average balance of our loan portfolio, consistent with the first quarter of 2025.Consumer Loan assignment unit volume of 95,992 and dollar volume of $1.1 billion, down 4.3% and 4.0%, respectively, compared to the first quarter of 2025.Forecasted net cash flows from our loan portfolio declined modestly by $9.1 million, or 0.1%, representing the smallest quarterly change in the past three years.365,258 shares, or 3.4% of the shares outstanding at the beginning of the quarter, were repurchased at a cost of $178.9 million.$47.1 million in dealer holdback and accelerated dealer holdback payments to dealers.$1.3 billion in liquidity (unrestricted cash and cash equivalents and amounts available for borrowing under revolving lines of credit) as of March 31, 2026. “We continue to make tangible progress executing our product roadmap,” said Mr. Hegde. “From record active dealers to increased adoption of our digital tools, these initiatives are designed to help dealers operate more efficiently while enabling us to scale our underwriting and servicing capabilities in a disciplined way.”
First Quarter 2026 Company Highlights
Enrolled 1,526 new dealers in our programs with a record 10,977 active dealers during the quarter, reflecting continued engagement across our dealer network.Made continued progress executing our product roadmap, including the following initiatives: AI-enabled call-center agent: In March 2026, 27% of inbound customer service and account solutions calls were routed to the AI agent, up from 6% in December 2025. We expect to further expand use of this agent in 2026, supporting more efficient and scalable servicing operations and enabling consumers to quickly access account information and complete payments.Digital credit applications: The number of dealers using our digital applications product continues to grow, helping dealers more efficiently and securely capture consumer information across in‑store, web, and marketing channels. During the first quarter of 2026, 2,383 dealers used this product, up 30% from the previous quarter.New contract origination experience for dealers: Since its February 2026 expansion, nearly 2,000 dealers have enabled this experience as we focus on testing, learning, and refining the workflow. The experience is designed to support how franchise and large independent dealers operate in today’s market, with features including deeper RouteOne e‑contracting integration, enhanced deal‑structuring and optimization tools, and broader support for finance and insurance products. Consumer Loan Metrics
Dealers assign retail installment contracts (referred to as “Consumer Loans”) to Credit Acceptance. At the time a Consumer Loan is submitted to us for assignment, we forecast future expected cash flows from the Consumer Loan. Based on the amount and timing of these forecasts and expected expense levels, an advance or one-time purchase payment is made to the related dealer at a price designed to maximize economic profit, a non-GAAP financial measure that considers our return on capital, our cost of capital, and the amount of capital invested.
We use a statistical model to estimate the expected collection rate for each Consumer Loan at the time of assignment. We continue to evaluate the expected collection rate for each Consumer Loan subsequent to assignment. Our evaluation becomes more accurate as the Consumer Loans age, as we use actual performance data in our forecast. By comparing our current expected collection rate for each Consumer Loan with the rate we projected at the time of assignment, we are able to assess the accuracy of our initial forecast. The following table compares our aggregated forecast of Consumer Loan collection rates as of March 31, 2026, with the aggregated forecasts as of December 31, 2025 and at the time of assignment, segmented by year of assignment:
Forecasted Collection Percentage as of (1) Current Forecast Variance from Consumer Loan Assignment Year March 31, 2026 December 31, 2025 Initial
Forecast December 31, 2025 Initial
Forecast2017 64.8 % 64.8 % 64.0 % 0.0 % 0.8 %2018 65.6 % 65.5 % 63.6 % 0.1 % 2.0 %2019 67.3 % 67.2 % 64.0 % 0.1 % 3.3 %2020 68.1 % 68.0 % 63.4 % 0.1 % 4.7 %2021 64.0 % 63.8 % 66.3 % 0.2 % -2.3 %2022 59.3 % 59.3 % 67.5 % 0.0 % -8.2 %2023 63.1 % 63.3 % 67.5 % -0.2 % -4.4 %2024 65.3 % 65.3 % 67.2 % 0.0 % -1.9 %2025 67.2 % 67.2 % 67.0 % 0.0 % 0.2 %2026 66.3 % — 66.6 % — -0.3 % (1) Represents the total forecasted collections we expect to collect on the Consumer Loans as a percentage of the repayments that we were contractually owed on the Consumer Loans at the time of assignment, including both principal and interest. Forecasted collection rates are negatively impacted by canceled Consumer Loans because the contractual amount owed is not removed from the denominator used to calculate these rates. As a result, any declines in forecasted collection rates for Consumer Loans assigned in the most recent quarter primarily reflect the impact of cancellations rather than underlying Consumer Loan performance.
For the three months ended March 31, 2026, forecasted collection rates improved for Consumer Loans assigned in 2021, declined for Consumer Loans assigned in 2023, and were generally consistent with expectations at the start of the period for all other assignment years presented. For Consumer Loans assigned in 2026, the decline in the current forecasted collection rate from the initial forecast primarily reflects the impact of canceled Consumer Loans, as described in the footnote to the table above. These Consumer Loans are not seasoned enough for changes in forecasted collection rates to be meaningfully influenced by performance.
The changes to our forecast of future net cash flows from our Loan portfolio (forecasted collections less forecasted dealer holdback payments) for each of the last eight quarters are shown in the following table:
(Dollars in millions) Decrease in Forecasted Net Cash FlowsThree Months Ended Total Loans % Change from Forecast at Beginning of PeriodJune 30, 2024 $ (189.3) -1.7 %September 30, 2024 (62.8) -0.6 %December 31, 2024 (31.1) -0.3 %March 31, 2025 (20.9) -0.2 %June 30, 2025 (55.8) -0.5 %September 30, 2025 (58.6) -0.5 %December 31, 2025 (34.2) -0.3 %March 31, 2026 (9.1) -0.1 % The following table presents information on Consumer Loan assignments for each of the last 10 years:
Average Total Assignment Volume Consumer Loan
Assignment Year Consumer Loan (1) Advance (2) Initial Loan Term (in months) Unit Volume Dollar Volume (2)
(in millions)2017 $ 20,230 $ 8,746 55 328,507 $ 2,873.12018 22,158 9,635 57 373,329 3,595.82019 23,139 10,174 57 369,805 3,772.22020 24,262 10,656 59 341,967 3,641.22021 25,632 11,790 59 268,730 3,167.82022 27,242 12,924 60 280,467 3,625.32023 27,025 12,475 61 332,499 4,147.82024 26,497 11,961 61 386,126 4,618.42025 25,423 11,428 60 337,411 3,856.12026 (3) 25,050 11,132 60 95,992 1,068.6 (1) Represents the repayments that we were contractually owed on Consumer Loans at the time of assignment, which include both principal and interest.
(2) Represents advances paid to dealers on Consumer Loans assigned under the portfolio program and one-time payments made to dealers to purchase Consumer Loans assigned under the purchase program. Payments of dealer holdback and accelerated dealer holdback are not included.
(3) Represents activity for the three months ended March 31, 2026. Information in this table for each of the years prior to 2026 represents activity for all 12 months of that year.
The profitability of our loans is primarily driven by the amount and timing of the net cash flows we receive from the spread between the forecasted collection rate and the advance rate, less operating expenses and the cost of capital. Forecasting collection rates accurately at loan inception is difficult. With this in mind, we establish advance rates that are intended to allow us to achieve acceptable levels of profitability across our portfolio, even if collection rates are less than we initially forecast.
The following table presents aggregate forecasted Consumer Loan collection rates, advance rates, and spreads (the forecasted collection rate less the advance rate), and the percentage of the forecasted collections that had been realized as of March 31, 2026, as well as forecasted collection rates and spreads at the time of assignment. All amounts, unless otherwise noted, are presented as a percentage of the initial balance of the Consumer Loan (principal + interest). The table includes both dealer loans and purchased loans.
Forecasted Collection % as of Spread % as of Consumer Loan Assignment Year March 31, 2026 Initial Forecast Advance % (1) March 31, 2026 Initial Forecast % of Forecast
Realized (2)2017 64.8 % 64.0 % 43.2 % 21.6 % 20.8 % 99.6 %2018 65.6 % 63.6 % 43.5 % 22.1 % 20.1 % 99.3 %2019 67.3 % 64.0 % 44.0 % 23.3 % 20.0 % 98.8 %2020 68.1 % 63.4 % 43.9 % 24.2 % 19.5 % 97.5 %2021 64.0 % 66.3 % 46.0 % 18.0 % 20.3 % 93.9 %2022 59.3 % 67.5 % 47.4 % 11.9 % 20.1 % 84.6 %2023 63.1 % 67.5 % 46.2 % 16.9 % 21.3 % 70.0 %2024 65.3 % 67.2 % 45.1 % 20.2 % 22.1 % 49.9 %2025 67.2 % 67.0 % 45.0 % 22.2 % 22.0 % 23.1 %2026 66.3 % 66.6 % 44.5 % 21.8 % 22.1 % 2.5 % (1) Represents advances paid to dealers on Consumer Loans assigned under the portfolio program and one-time payments made to dealers to purchase Consumer Loans assigned under the purchase program as a percentage of the initial balance of the Consumer Loans. Payments of dealer holdback and accelerated dealer holdback are not included.
(2) Presented as a percentage of total forecasted collections.
The risk of a material change in our forecasted collection rate declines as the Consumer Loans age. For 2021 and prior Consumer Loan assignments, the risk of a material forecast variance is modest, as we have currently realized in excess of 90% of the expected collections. Conversely, the forecasted collection rates for more recent Consumer Loan assignments are less certain as a significant portion of our forecast has not been realized.
The spread between the forecasted collection rate as of March 31, 2026 and the advance rate ranges from 11.9% to 24.2%, on an annual basis, for Consumer Loans assigned over the last 10 years. The spreads with respect to 2019 and 2020 Consumer Loans have been positively impacted by Consumer Loan performance, which has exceeded our initial estimates by a greater margin than the other years presented. The spreads with respect to 2021 through 2023 Consumer Loans have been negatively impacted by Consumer Loan performance, which has been lower than our initial estimates by a greater margin than the other years presented. The lower spread for 2026 Consumer Loans relative to 2025 Consumer Loans as of March 31, 2026 was primarily a result of Consumer Loan performance, as the performance of 2026 Consumer Loans has been lower than our initial estimates while performance of 2025 Consumer Loans has exceeded our initial estimates.
The following table compares our forecast of aggregate Consumer Loan collection rates as of March 31, 2026 with the forecasts at the time of assignment, for dealer loans and purchased loans separately:
Dealer Loans Purchased Loans Forecasted Collection Percentage as of (1) Forecasted Collection Percentage as of (1) Consumer Loan Assignment Year March 31,
2026 Initial
Forecast Variance March 31,
2026 Initial
Forecast Variance2017 64.1 % 63.8 % 0.3 % 66.4 % 64.6 % 1.8 %2018 65.0 % 63.6 % 1.4 % 66.8 % 63.5 % 3.3 %2019 66.9 % 63.9 % 3.0 % 67.9 % 64.2 % 3.7 %2020 67.9 % 63.3 % 4.6 % 68.4 % 63.6 % 4.8 %2021 63.7 % 66.3 % -2.6 % 64.6 % 66.3 % -1.7 %2022 58.5 % 67.3 % -8.8 % 61.3 % 68.0 % -6.7 %2023 61.9 % 66.8 % -4.9 % 66.6 % 69.4 % -2.8 %2024 64.0 % 66.3 % -2.3 % 69.8 % 70.7 % -0.9 %2025 65.6 % 65.5 % 0.1 % 71.7 % 71.5 % 0.2 %2026 65.1 % 65.3 % -0.2 % 69.7 % 69.9 % -0.2 % (1) The forecasted collection rates presented for dealer loans and purchased loans reflect the Consumer Loan classification at the time of assignment. The forecasted collection rates represent the total forecasted collections we expect to collect on the Consumer Loans as a percentage of the repayments that we were contractually owed on the Consumer Loans at the time of assignment, including both principal and interest. Forecasted collection rates are negatively impacted by canceled Consumer Loans because the contractual amount owed is not removed from the denominator used to calculate these rates. As a result, any declines in forecasted collection rates for Consumer Loans assigned in the most recent quarter primarily reflect the impact of cancellations rather than underlying Consumer Loan performance.
The following table presents aggregate forecasted Consumer Loan collection rates, advance rates, and spreads (the forecasted collection rate less the advance rate) as of March 31, 2026 for dealer loans and purchased loans separately. All amounts are presented as a percentage of the initial balance of the Consumer Loan (principal + interest).
Dealer Loans Purchased Loans Consumer Loan Assignment Year Forecasted Collection % (1) Advance % (1)(2) Spread % Forecasted Collection % (1) Advance % (1)(2) Spread %2017 64.1 % 42.1 % 22.0 % 66.4 % 45.8 % 20.6 %2018 65.0 % 42.7 % 22.3 % 66.8 % 45.2 % 21.6 %2019 66.9 % 43.1 % 23.8 % 67.9 % 45.6 % 22.3 %2020 67.9 % 43.0 % 24.9 % 68.4 % 45.5 % 22.9 %2021 63.7 % 45.1 % 18.6 % 64.6 % 47.7 % 16.9 %2022 58.5 % 46.4 % 12.1 % 61.3 % 50.1 % 11.2 %2023 61.9 % 44.8 % 17.1 % 66.6 % 49.8 % 16.8 %2024 64.0 % 44.1 % 19.9 % 69.8 % 48.9 % 20.9 %2025 65.6 % 43.2 % 22.4 % 71.7 % 50.4 % 21.3 %2026 65.1 % 42.7 % 22.4 % 69.7 % 49.2 % 20.5 % (1) The forecasted collection rates and advance rates presented for dealer loans and purchased loans reflect the Consumer Loan classification at the time of assignment.
(2) Represents advances paid to dealers on Consumer Loans assigned under the portfolio program and one-time payments made to dealers to purchase Consumer Loans assigned under the purchase program as a percentage of the initial balance of the Consumer Loans. Payments of dealer holdback and accelerated dealer holdback are not included.
Although the advance rate on purchased loans is higher as compared to the advance rate on dealer loans, purchased loans do not require us to pay dealer holdback.
The spread as of March 31, 2026 on both 2026 and 2025 dealer loans was 22.4%, reflecting the net impact of two offsetting factors. Consumer Loan performance decreased the spread from 2025 to 2026, primarily due to the performance of 2026 dealer loans, which has been lower than our initial estimates. The impact of Consumer Loan performance was offset by the higher initial spread on 2026 dealer loans, due to the advance rate decreasing by a greater margin than the initial forecast in our dealer loan portfolio.
The spread as of March 31, 2026 on 2026 purchased loans was 20.5%, as compared to a spread of 21.3% on 2025 purchased loans. The decrease was a result of (i) Consumer Loan performance, as the performance of 2026 purchased loans has been lower than our initial estimates while the performance of 2025 purchased loans has exceeded our initial estimates, and (ii) 2026 purchased loans having a lower initial spread, due to the initial forecast decreasing by a greater margin than the advance rate.
Consumer Loan Volume
The following table summarizes changes in Consumer Loan assignment volume in each of the last eight quarters as compared to the same period in the previous year:
Year over Year Percent ChangeThree Months Ended Unit Volume Dollar Volume (1)June 30, 2024 20.9 % 16.3 %September 30, 2024 17.7 % 12.2 %December 31, 2024 0.3 % -4.9 %March 31, 2025 -10.1 % -15.5 %June 30, 2025 -14.6 % -18.8 %September 30, 2025 -16.5 % -19.4 %December 31, 2025 -9.1 % -11.3 %March 31, 2026 -4.3 % -4.0 % (1) Represents advances paid to dealers on Consumer Loans assigned under the portfolio program and one-time payments made to dealers to purchase Consumer Loans assigned under the purchase program. Payments of dealer holdback and accelerated dealer holdback are not included.
Consumer Loan assignment volumes depend on a number of factors including (1) the overall demand for our financing programs and (2) the amount of capital available to fund new loans. Our pricing strategy is intended to maximize the amount of economic profit we generate, within the confines of capital constraints.
Unit and dollar volumes declined 4.3% and 4.0%, respectively, during the first quarter of 2026 as the number of active dealers increased 1.7% and the average unit volume per active dealer declined 6.5%. Unit volume for April 2026 decreased 5.1% compared to the same period in 2025.
The following table summarizes the changes in Consumer Loan unit volume and active dealers:
For the Three Months Ended March 31, 2026 2025 % ChangeConsumer Loan unit volume 95,992 100,278 -4.3 %Active dealers (1) 10,977 10,789 1.7 %Average volume per active dealer 8.7 9.3 -6.5 % Consumer Loan unit volume from dealers active both periods 77,990 83,678 -6.8 %Dealers active both periods 7,005 7,005 — Average volume per dealer active both periods 11.1 11.9 -6.8 % Consumer loan unit volume from dealers not active both periods 18,002 16,600 8.4 %Dealers not active both periods 3,972 3,784 5.0 %Average volume per dealer not active both periods 4.5 4.4 2.3 % (1) Active dealers are dealers who have received funding for at least one Consumer Loan during the period.
The following table provides additional information on the changes in Consumer Loan unit volume and active dealers:
For the Three Months Ended March 31, 2026 2025 % ChangeConsumer Loan unit volume from new active dealers 3,768 4,229 -10.9 %New active dealers (1) 1,265 1,195 5.9 %Average volume per new active dealer 3.0 3.5 -14.3 % Attrition (2) -16.6 % -16.2 % (1) New active dealers are dealers who enrolled in our program and have received funding for their first dealer loan or purchased loan from us during the period.
(2) Attrition is measured according to the following formula: decrease in Consumer Loan unit volume from dealers who have received funding for at least one dealer loan or purchased loan during the comparable period of the prior year but did not receive funding for any dealer loans or purchased loans during the current period divided by prior year comparable period Consumer Loan unit volume.
The following table shows the percentage of Consumer Loans assigned to us as dealer loans and purchased loans for each of the last eight quarters:
Unit Volume Dollar Volume (1)Three Months Ended Dealer Loans Purchased Loans Dealer Loans Purchased LoansJune 30, 2024 78.5 % 21.5 % 77.3 % 22.7 %September 30, 2024 79.5 % 20.5 % 78.4 % 21.6 %December 31, 2024 78.7 % 21.3 % 77.7 % 22.3 %March 31, 2025 77.0 % 23.0 % 75.1 % 24.9 %June 30, 2025 71.6 % 28.4 % 68.3 % 31.7 %September 30, 2025 73.1 % 26.9 % 70.6 % 29.4 %December 31, 2025 74.7 % 25.3 % 72.4 % 27.6 %March 31, 2026 72.0 % 28.0 % 69.2 % 30.8 % (1) Represents advances paid to dealers on Consumer Loans assigned under the portfolio program and one-time payments made to dealers to purchase Consumer Loans assigned under the purchase program. Payments of dealer holdback and accelerated dealer holdback are not included.
As of March 31, 2026 and December 31, 2025, the net dealer loans receivable balance was 71.7% and 72.1%, respectively, of the total net loans receivable balance. In 2025, we expanded dealer access to the purchase program for Consumer Loans to consumers with higher credit ratings. The higher percentage of purchased loans in Consumer Loan assignment volume since 2024 has been primarily related to Consumer Loans assigned under this expanded dealer access.
Financial Results
(Dollars in millions, except per share data)For the Three Months Ended March 31, 2026 2025 % ChangeGAAP average debt$ 6,271.8 $ 6,398.3 -2.0 %GAAP average shareholders' equity 1,575.4 1,782.0 -11.6 %Average capital$ 7,847.2 $ 8,180.3 -4.1 %GAAP net income$ 135.8 $ 106.3 27.8 %Diluted weighted average shares outstanding 10,954,097 12,279,446 -10.8 %GAAP net income per diluted share$ 12.40 $ 8.66 43.2 % The increase in GAAP net income for the three months ended March 31, 2026, as compared to the same period in 2025, was primarily a result of the following:
A decrease in provision for credit losses of 13.8% ($22.3 million), primarily due to a decrease in provision for credit losses on forecast changes of $21.9 million, reflecting a smaller decline in Consumer Loan performance and changes in forecasted net cash flow timing. In the first quarter of 2026, we continued to experience slowing of forecasted net cash flow timing as a result of lower-than-expected Consumer Loan prepayments.An increase in finance charges of 2.2% ($11.7 million), primarily due to an increase in the average yield on our loan portfolio primarily due to higher contractual yields on more recent Consumer Loan assignments.A decrease in interest expense of 5.5% ($6.3 million), due to decreases in our average cost of debt and our average outstanding debt balance.An increase in provision for income taxes of 10.7% ($3.8 million), primarily due to an increase in pre-tax income.An increase in operating expenses of 4.2% ($5.7 million), due to: An increase in sales and marketing expense of 12.1% ($3.0 million), primarily due to increases in the size of our sales force and advertising expenses.An increase in general and administrative expense of 12.2% ($2.7 million), primarily due to higher professional services costs related to strategic market analysis initiatives. Adjusted financial results are provided to help shareholders understand our financial performance. The financial data below is non-GAAP, unless labeled otherwise. We use adjusted financial information internally to measure financial performance and to determine certain incentive compensation. We also use economic profit as a framework to evaluate business decisions and strategies, with the objective to maximize economic profit over the long term. In addition, certain debt facilities utilize adjusted financial information for the determination of loan collateral values and to measure financial covenants. The table below shows our results following adjustments to reflect non-GAAP accounting methods. Material adjustments are explained in the table footnotes and the subsequent “Floating Yield Adjustment” section. Measures such as adjusted average capital, adjusted net income, adjusted net income per diluted share, interest expense (after-tax), adjusted net income plus interest expense (after-tax), adjusted return on capital, adjusted revenue, adjusted operating expenses, adjusted loans receivable, adjusted finance charges, adjusted average loans receivable, economic profit, and economic profit per diluted share are non-GAAP financial measures. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, our reported results prepared in accordance with GAAP.
Adjusted financial results for the three months ended March 31, 2026, compared to the same period in 2025, include the following:
(Dollars in millions, except per share data)For the Three Months Ended March 31, 2026 2025 % ChangeAdjusted average capital$ 8,537.7 $ 8,882.6 -3.9 %Adjusted net income$ 117.3 $ 114.8 2.2 %Interest expense (after-tax)$ 81.2 $ 88.3 -8.0 %Adjusted net income plus interest expense (after-tax)$ 198.5 $ 203.1 -2.3 %Adjusted return on capital 9.3 % 9.2 % 1.1 %Cost of capital 7.4 % 7.6 % -2.6 %Economic profit$ 41.6 $ 35.3 17.8 %Diluted weighted average shares outstanding 10,954,097 12,279,446 -10.8 %Adjusted net income per diluted share$ 10.71 $ 9.35 14.5 %Economic profit per diluted share$ 3.80 $ 2.87 32.4 % Economic profit increased 17.8% for the three months ended March 31, 2026, as compared to the same period in 2025. Economic profit is a function of the return on capital in excess of the cost of capital and the amount of capital invested in the business. The following table summarizes the impact each of these components had on the changes in economic profit for the three months ended March 31, 2026, as compared to the same period in 2025:
(In millions)Year over Year Change in Economic Profit For the Three Months Ended March 31, 2026Decrease in cost of capital$ 4.5 Increase in adjusted return on capital 3.2 Decrease in adjusted average capital (1.4) Increase in economic profit$ 6.3 The increase in economic profit for the three months ended March 31, 2026, as compared to the same period in 2025, was primarily a result of the following:
A decrease in our cost of capital, primarily due to a decrease in our cost of debt.An increase in our adjusted return on capital of 10 basis points, primarily due to: An increase in the yield used to recognize adjusted finance charges on our loan portfolio increased our adjusted return on capital by 80 basis points, primarily due to higher expected yields on more recent Consumer Loan assignments, partially offset by a decline in Consumer Loan performance and slower forecasted net cash flow timing since the first quarter of 2025. In the first quarter of 2026, we continued to experience slowing of forecasted net cash flow timing as a result of lower-than-expected Consumer Loan prepayments.An increase in adjusted operating expenses decreased our adjusted return on capital by 40 basis points as adjusted operating expenses increased by 4.2% while adjusted average capital decreased by 3.9%. The increase in adjusted operating expenses was primarily due to increases in the size of our sales force and advertising expenses, and higher professional services costs related to strategic market analysis initiatives. The following table shows adjusted finance charges as a percentage of adjusted average loans receivable, adjusted revenue and adjusted operating expenses as a percentage of adjusted average capital, the adjusted return on capital, and the percentage change in adjusted average capital for each of the last eight quarters, compared to the same period in the prior year:
For the Three Months Ended Mar. 31, 2026 Dec. 31, 2025 Sept. 30, 2025 Jun. 30, 2025 Mar. 31, 2025 Dec. 31, 2024 Sept. 30, 2024 Jun. 30, 2024Adjusted finance charges as a percentage of adjusted average loans receivable (1) 17.0 % 16.9 % 16.8 % 17.0 % 16.7 % 16.5 % 16.4 % 17.8 %Adjusted revenue as a percentage of adjusted average capital (1) 19.0 % 18.8 % 18.6 % 18.3 % 18.0 % 18.4 % 18.2 % 19.6 %Adjusted operating expenses as a percentage of adjusted average capital (1) 6.6 % 5.8 % 6.1 % 5.9 % 6.1 % 5.6 % 5.8 % 6.1 %Adjusted return on capital (1) 9.3 % 9.8 % 9.4 % 9.3 % 9.2 % 9.8 % 9.6 % 10.3 %Percentage change in adjusted average capital compared to the same period in the prior year -3.9 % 0.3 % 3.7 % 11.2 % 18.3 % 19.3 % 19.4 % 17.6 % (1) Annualized.
The decrease in adjusted return on capital for the three months ended March 31, 2026, as compared to the three months ended December 31, 2025, was primarily due to:
Growth in adjusted operating expenses, which decreased adjusted return on capital by 60 basis points, as adjusted operating expenses increased by 11.6%, while adjusted average capital declined by 1.4%. The $14.7 million increase in adjusted operating expenses was due to: A $9.3 million increase in salaries and wages expense, primarily due to the seasonal impact of increases in fringe benefits, primarily due to an increase in accrued paid time off, and payroll taxes as a result of both taxes that are subject to income limitations and the taxes on annual vesting of equity awards in the first quarter of the year.A $2.8 million increase in adjusted general and administrative expense primarily due to higher professional services costs related to strategic market analysis initiatives.A $2.6 million increase in sales and marketing expense, primarily due to an increase in sales commissions driven by higher Consumer Loan assignment unit volume during the first quarter of the year. An increase in yield used to recognize adjusted finance charges on our loan portfolio, which increased our adjusted return on capital by 20 basis points, primarily due to higher yields on more recent Consumer Loan assignments. The following tables provide a reconciliation of non-GAAP measures to GAAP measures. Certain amounts do not recalculate due to rounding.
(Dollars in millions, except per share data) For the Three Months Ended Mar. 31, 2026 Dec. 31, 2025 Sept. 30, 2025 Jun. 30, 2025 Mar. 31, 2025 Dec. 31, 2024 Sept. 30, 2024 Jun. 30, 2024Adjusted net income GAAP net income (loss) $ 135.8 $ 122.0 $ 108.2 $ 87.4 $ 106.3 $ 151.9 $ 78.8 $ (47.1) Floating yield adjustment (after-tax) (118.7) (115.9) (119.0) (117.1) (118.9) (116.8) (115.1) (96.1) GAAP provision for credit losses (after-tax) 104.7 97.2 114.0 129.6 124.6 95.0 142.2 246.9 Loss on sale of building (after-tax) (1) — — — — — — — 18.3 Contingent loss (after-tax) (2) — 26.9 11.2 17.5 — — 5.7 0.8 Income tax adjustment (3) (4.5) (4.2) 3.5 0.9 2.8 (4.1) 3.2 4.4 Adjusted net income $ 117.3 $ 126.0 $ 117.9 $ 118.3 $ 114.8 $ 126.0 $ 114.8 $ 127.2 Adjusted net income per diluted share $ 10.71 $ 11.35 $ 10.28 $ 10.05 $ 9.35 $ 10.17 $ 9.25 $ 10.36 Diluted weighted average shares outstanding 10,954,097 11,103,715 11,472,729 11,771,525 12,279,446 12,388,072 12,415,143 12,282,174 Adjusted revenue GAAP total revenue $ 580.0 $ 579.9 $ 582.4 $ 583.8 $ 571.1 $ 565.9 $ 550.3 $ 538.2 Floating yield adjustment (158.2) (154.5) (158.7) (156.0) (154.5) (151.8) (149.4) (124.8) GAAP provision for claims (15.8) (17.2) (18.6) (19.8) (16.1) (17.7) (18.5) (20.3) Adjusted revenue $ 406.0 $ 408.2 $ 405.1 $ 408.0 $ 400.5 $ 396.4 $ 382.4 $ 393.1 Adjusted average capital GAAP average debt $ 6,271.8 $ 6,409.6 $ 6,400.1 $ 6,583.8 $ 6,398.3 $ 6,202.5 $ 6,071.1 $ 5,818.2 GAAP average shareholders' equity 1,575.4 1,545.2 1,573.4 1,635.9 1,782.0 1,712.3 1,594.2 1,623.5 Income tax adjustment (4) (96.9) (96.9) (96.9) (100.5) (118.5) (118.5) (118.5) (118.5) Floating yield adjustment 787.4 805.0 822.6 813.5 820.8 837.0 840.8 710.1 Adjusted average equity 2,265.9 2,253.3 2,299.1 2,348.9 2,484.3 2,430.8 2,316.5 2,215.1 Adjusted average capital $ 8,537.7 $ 8,662.9 $ 8,699.2 $ 8,932.7 $ 8,882.6 $ 8,633.3 $ 8,387.6 $ 8,033.3 Adjusted revenue as a percentage of adjusted average capital (5) 19.0 % 18.8 % 18.6 % 18.3 % 18.0 % 18.4 % 18.2 % 19.6 %Adjusted loans receivable GAAP loans receivable, net $ 7,956.4 $ 7,909.2 $ 7,975.5 $ 8,001.9 $ 7,978.2 $ 7,850.3 $ 7,781.5 $ 7,547.7 Floating yield adjustment 1,046.3 1,064.9 1,089.7 1,096.4 1,079.8 1,072.4 1,100.8 1,065.6 Adjusted loans receivable $ 9,002.7 $ 8,974.1 $ 9,065.2 $ 9,098.3 $ 9,058.0 $ 8,922.7 $ 8,882.3 $ 8,613.3 Adjusted loan yield GAAP finance charges $ 538.4 $ 535.0 $ 539.4 $ 540.7 $ 526.7 $ 518.2 $ 507.6 $ 497.7 Floating yield adjustment (158.2) (154.5) (158.7) (156.0) (154.5) (151.8) (149.4) (124.8) Adjusted finance charges $ 380.2 $ 380.5 $ 380.7 $ 384.7 $ 372.2 $ 366.4 $ 358.2 $ 372.9 GAAP average loans receivable, net $ 7,893.7 $ 7,940.5 $ 7,990.5 $ 8,011.6 $ 7,882.4 $ 7,831.4 $ 7,690.9 $ 7,499.2 Average floating yield adjustment 1,037.9 1,058.0 1,080.9 1,064.1 1,048.9 1,071.4 1,072.2 903.2 Adjusted average loans receivable $ 8,931.6 $ 8,998.5 $ 9,071.4 $ 9,075.7 $ 8,931.3 $ 8,902.8 $ 8,763.1 $ 8,402.4 Adjusted finance charges as a percentage of adjusted average loans receivable (5) 17.0 % 16.9 % 16.8 % 17.0 % 16.7 % 16.5 % 16.4 % 17.8 % (1) The sale of one of our two office buildings in June 2024 resulted in a loss on the sale of the asset. As this transaction is both unusual and infrequent in nature, we applied this adjustment to remove the impact of the loss on sale of building from our adjusted net income.
(2) From time to time, we recognize a contingent loss related to legal matters. As contingent losses related to such matters are both unusual and infrequent in nature, and relate to business operations in prior periods, we have applied this adjustment to remove the impact of the contingent loss from our adjusted net income.
(3) Adjustment to record taxes at our estimated long-term effective income tax rate. The adjustment for the three months ended March 31, 2026, December 31, 2025, September 30, 2025 and June 30, 2025 is calculated using a 25% income tax rate, which is expected to be used for future periods. This rate represents an increase from 23%, which had been used to calculate after-tax adjustments since 2018, following the enactment in December 2017 of Public Law 115-97, commonly referred to as the Tax Cuts and Jobs Act (the “2017 Tax Act”). The increase in our long-term estimate was due to higher state and local income taxes in certain jurisdictions and lower excess tax benefits from stock-based compensation.
(4) The enactment of the 2017 Tax Act resulted in the reversal of provision for income taxes to reflect a new, lower federal statutory income tax rate. We began applying the income tax adjustment at that time to remove the impact of this reversal from adjusted average capital. As the enactment of Public Law 119-21 on July 4, 2025 made the lower federal statutory tax rate permanent, removing uncertainty on the future federal statutory income tax rate, we increased our estimated long-term effective income tax rate from 23% to 25% to reflect higher expected state and local income taxes in certain jurisdictions and lower excess tax benefits from stock-based compensation in future periods. We believe the income tax adjustment provides a more accurate reflection of the performance of our business as we are recognizing provision for income taxes at the applicable long-term effective tax rate for the period.
(5) Annualized.
(Dollars in millions) For the Three Months Ended Mar. 31, 2026 Dec. 31, 2025 Sept. 30, 2025 Jun. 30, 2025 Mar. 31, 2025 Dec. 31, 2024 Sept. 30, 2024 Jun. 30, 2024Interest expense (after-tax) GAAP interest expense $ 108.4 $ 113.8 $ 116.3 $ 118.1 $ 114.7 $ 111.3 $ 111.2 $ 104.5 Adjustment to record tax effect (1) (27.2) (28.5) (29.0) (29.5) (26.4) (25.6) (25.6) (24.0) Interest expense (after-tax) $ 81.2 $ 85.3 $ 87.3 $ 88.6 $ 88.3 $ 85.7 $ 85.6 $ 80.5 Adjusted return on capital (2) Adjusted net income $ 117.3 $ 126.0 $ 117.9 $ 118.3 $ 114.8 $ 126.0 $ 114.8 $ 127.2 Interest expense (after-tax) 81.2 85.3 87.3 88.6 88.3 85.7 85.6 80.5 Adjusted net income plus interest expense (after-tax) $ 198.5 $ 211.3 $ 205.2 $ 206.9 $ 203.1 $ 211.7 $ 200.4 $ 207.7 Reconciliation of GAAP return on equity to adjusted return on capital (5) GAAP return on equity (3) 34.5 % 31.6 % 27.5 % 21.4 % 23.9 % 35.5 % 19.8 % -11.6 %Non-GAAP adjustments -25.2 % -21.8 % -18.1 % -12.1 % -14.7 % -25.7 % -10.2 % 21.9 %Adjusted return on capital (2) 9.3 % 9.8 % 9.4 % 9.3 % 9.2 % 9.8 % 9.6 % 10.3 % Economic profit Adjusted return on capital 9.3 % 9.8 % 9.4 % 9.3 % 9.2 % 9.8 % 9.6 % 10.3 %Cost of capital (4) (5) 7.4 % 7.3 % 7.5 % 7.4 % 7.6 % 7.4 % 7.3 % 7.5 %Adjusted return on capital in excess of cost of capital 1.9 % 2.5 % 1.9 % 1.9 % 1.6 % 2.4 % 2.3 % 2.8 %Adjusted average capital $ 8,537.7 $ 8,662.9 $ 8,699.2 $ 8,932.7 $ 8,882.6 $ 8,633.3 $ 8,387.6 $ 8,033.3 Economic profit $ 41.6 $ 53.3 $ 43.0 $ 41.8 $ 35.3 $ 51.3 $ 47.1 $ 57.0 Reconciliation of GAAP net income (loss) to economic profit GAAP net income (loss) $ 135.8 $ 122.0 $ 108.2 $ 87.4 $ 106.3 $ 151.9 $ 78.8 $ (47.1) Non-GAAP adjustments (18.5) 4.0 9.7 30.9 8.5 (25.9) 36.0 174.3 Adjusted net income 117.3 126.0 117.9 118.3 114.8 126.0 114.8 127.2 Interest expense (after-tax) 81.2 85.3 87.3 88.6 88.3 85.7 85.6 80.5 Adjusted net income plus interest expense (after-tax) 198.5 211.3 205.2 206.9 203.1 211.7 200.4 207.7 Less: cost of capital 156.9 158.0 162.2 165.1 167.8 160.4 153.3 150.7 Economic profit $ 41.6 $ 53.3 $ 43.0 $ 41.8 $ 35.3 $ 51.3 $ 47.1 $ 57.0 Economic profit per diluted share $ 3.80 $ 4.80 $ 3.75 $ 3.55 $ 2.87 $ 4.14 $ 3.79 $ 4.64 Adjusted operating expenses Operating expenses $ 141.2 $ 162.3 $ 146.6 $ 155.5 $ 135.5 $ 121.6 $ 129.4 $ 124.4 Contingent loss (6) — (35.8) (15.0) (23.4) — — (7.4) (1.0) Adjusted operating expenses $ 141.2 $ 126.5 $ 131.6 $ 132.1 $ 135.5 $ 121.6 $ 122.0 $ 123.4 Adjusted operating expenses as a percentage of adjusted average capital (5) 6.6 % 5.8 % 6.1 % 5.9 % 6.1 % 5.6 % 5.8 % 6.1 %Percentage change in adjusted average capital compared to the same period in the prior year -3.9 % 0.3 % 3.7 % 11.2 % 18.3 % 19.3 % 19.4 % 17.6 % (1) Adjustment to record taxes at our estimated long-term effective income tax rate. The adjustment for the three months ended March 31, 2026, December 31, 2025, September 30, 2025 and June 30, 2025 is calculated using a 25% income tax rate, which is expected to be used for future periods. This rate represents an increase from 23%, which had been used to calculate after-tax adjustments since 2018, following the enactment of the 2017 Tax Act. The increase in our long-term estimate was due to higher state and local income taxes in certain jurisdictions and lower excess tax benefits from stock-based compensation.
(2) Adjusted return on capital is defined as adjusted net income plus interest expense (after-tax) divided by adjusted average capital.
(3) Calculated by dividing GAAP net income (loss) by GAAP average shareholders' equity.
(4) The cost of capital includes both a cost of equity and a cost of debt. The cost of equity capital is determined based on a formula that considers the risk of the business and the risk associated with our use of debt. The formula utilized for determining the cost of equity capital is as follows: (the average 30-year Treasury rate + 5%) + [(1 – tax rate) x (the average 30-year Treasury rate + 5% – pre-tax average cost of debt rate) x average debt/(average equity + average debt x tax rate)]. For the periods presented, the average 30-year Treasury rate and the adjusted pre-tax average cost of debt were as follows:
For the Three Months Ended Mar. 31, 2026 Dec. 31, 2025 Sept. 30, 2025 Jun. 30, 2025 Mar. 31, 2025 Dec. 31, 2024 Sept. 30, 2024 Jun. 30, 2024Average 30-year Treasury rate 4.8 % 4.7 % 4.9 % 4.8 % 4.7 % 4.4 % 4.3 % 4.6 %Pre-tax average cost of debt (5) 6.9 % 7.1 % 7.3 % 7.2 % 7.2 % 7.2 % 7.3 % 7.2 % (5) Annualized.
(6) From time to time, we recognize a contingent loss related to legal matters. As contingent losses related to such matters are both unusual and infrequent in nature, and relate to business operations in prior periods, we have applied this adjustment to remove the impact of the contingent loss from our adjusted operating expenses.
Floating Yield Adjustment
The net loan income (finance charge revenue less provision for credit losses expense) that we recognize over the life of a loan equals the cash we collect from the underlying Consumer Loan less the cash we pay to the dealer. We believe the economics of our business are best exhibited by recognizing loan revenue on a level-yield basis over the life of the loan based on expected future net cash flows. The purpose of this non-GAAP adjustment is to provide insight into our business by showing this level yield measure of income. Under GAAP, contractual amounts due in excess of the loan receivable balance at the time of assignment will be reflected as interest income, while contractual amounts due that are not expected to be collected are reflected in the provision for credit losses. Our non-GAAP floating yield adjustment recognizes the net effects of contractual interest income and expected credit losses in a single measure of finance charge revenue, consistent with how we manage our business. The floating yield adjustment recognizes revenue on a level-yield basis based upon expected future net cash flows, with any changes in expected future net cash flows, which are recognized immediately under GAAP as provision for credit losses, recognized over the remaining forecast period (up to 120 months after the origination date of the underlying Consumer Loans) for each individual dealer loan and purchased loan. The floating yield adjustment does not accelerate revenue recognition. Rather, it reduces revenue by taking amounts that are reported under GAAP as provision for credit losses and instead treating them as reductions of revenue over time.
Under the GAAP methodology we employ, which is known as the current expected credit loss model, or CECL, we are required to recognize:
a significant provision for credit losses expense at the time of the loan’s assignment to us for contractual net cash flows we do not expect to realize; andfinance charge revenue in subsequent periods that is significantly in excess of our expected yield. Due to the GAAP treatment of contractual net cash flows we do not expect to realize at the time of loan assignment (i.e. significant expense at the time of loan assignment, which is offset by higher revenue in subsequent periods), we do not believe the GAAP methodology we employ provides sufficient transparency into the economics of our business, including our results of operations, financial condition, and financial leverage. Our floating yield adjustment enables us to provide measures of income that are not impacted by GAAP’s treatment of contractual net cash flows we do not expect to realize at the time of loan assignment. We believe the floating yield adjustment is presented in a manner which reflects both the economic reality of our business and how the business is managed and provides valuable supplemental information to help investors better understand our business, executive compensation, liquidity, and capital resources.
Cautionary Statement Regarding Forward-Looking Information
We claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 for all of our forward-looking statements. Statements in this release that are not historical facts, such as those using terms like “may,” “will,” “should,” “believe,” “expect,” “anticipate,” “assume,” “forecast,” “estimate,” “intend,” “plan,” “target,” or similar expressions, and those regarding our future results, plans, and objectives, are “forward-looking statements” within the meaning of the federal securities laws. These forward-looking statements represent our outlook only as of the date of this release. Actual results could differ materially from these forward-looking statements since the statements are based on our current expectations, which are subject to risks and uncertainties. Factors that might cause such a difference include, but are not limited to, the factors set forth in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the Securities and Exchange Commission (the “SEC”) on February 13, 2026, and other risk factors discussed herein or listed from time to time in our reports filed with the SEC and the following:
Industry, Operational, and Macroeconomic Risks
Our inability to accurately forecast and estimate the amount and timing of future collections could have a material adverse effect on results of operations.Due to competition from traditional financing sources and non-traditional lenders, we may not be able to compete successfully.Adverse changes in economic conditions, the automobile or finance industries, or the non-prime consumer market could adversely affect our financial position, liquidity, and results of operations, the ability of key vendors that we depend on to supply us with services, and our ability to enter into future financing transactions.Reliance on third parties to administer our ancillary product offerings could adversely affect our business and financial results.We are dependent on our senior management, and the loss of any of these individuals or an inability to hire additional team members could adversely affect our ability to operate profitably.Our reputation is a key asset to our business, and our business may be affected by how we are perceived in the marketplace.An outbreak of contagious disease or other public health emergency could materially and adversely affect our business, financial condition, liquidity, and results of operations.The concentration in several states of automobile dealers who participate in our programs could adversely affect us.Reliance on our outsourced business functions could adversely affect our business.Our ability to hire and retain foreign engineering personnel could be hindered by immigration restrictions.We may be unable to execute our business strategy due to current economic conditions.Natural disasters, climate change, military conflicts, acts of war, terrorist attacks and threats, or the escalation of military activity in response to terrorist attacks or otherwise may negatively affect our business, financial condition, and results of operations.Governmental or market responses to climate change and related environmental issues could have a material adverse effect on our business.A small number of our shareholders have the ability to significantly influence matters requiring shareholder approval and such shareholders have interests which may conflict with the interests of our other security holders. Capital and Liquidity Risks
We may be unable to continue to access or renew funding sources and obtain capital needed to maintain and grow our business.The terms of our debt limit how we conduct our business.A violation of the terms of our asset-backed secured financings or revolving secured warehouse facilities could have a material adverse impact on our operations.Our substantial debt could negatively impact our business, prevent us from satisfying our debt obligations, and adversely affect our financial condition.We may not be able to generate sufficient cash flows to service our outstanding debt and fund operations and may be forced to take other actions to satisfy our obligations under such debt.Interest rate fluctuations may adversely affect our borrowing costs, profitability, and liquidity.Reduction in our credit rating could increase the cost of our funding from, and restrict our access to, the capital markets and adversely affect our liquidity, financial condition, and results of operations.We may incur substantially more debt and other liabilities. This could exacerbate further the risks associated with our current debt levels.The conditions of the U.S. and international capital markets may adversely affect lenders with which we have relationships, causing us to incur additional costs and reducing our sources of liquidity, which may adversely affect our financial position, liquidity, and results of operations. Technology and Cybersecurity Risks
Our dependence on technology could have a material adverse effect on our business.We depend on secure information technology, and a breach of our systems or those of our third-party service providers could result in our experiencing significant financial, legal, and reputational exposure and could materially adversely affect our business, financial condition, and results of operations.Our use of electronic contracts could impact our ability to perfect our ownership or security interest in Consumer Loans.Failure to properly safeguard our proprietary business information or confidential consumer and team member personal information could subject us to liability, decrease our profitability, and damage our reputation.The development and use of artificial intelligence presents risks and challenges that may adversely impact our business. Legal and Regulatory Risks
Litigation we are involved in from time to time may adversely affect our financial condition, results of operations, and cash flows.Changes in tax laws and the resolution of uncertain income tax matters could have a material adverse effect on our results of operations and cash flows from operations.The regulations to which we are or may become subject could result in a material adverse effect on our business. Other factors not currently anticipated by management may also materially and adversely affect our business, financial condition, and results of operations. We do not undertake, and expressly disclaim any obligation, to update or alter our statements, whether as a result of new information or future events or otherwise, except as required by applicable law.
Webcast Details
We will host a webcast on May 5, 2026 at 5:00 p.m. Eastern Time to discuss our first quarter results. The webcast can be accessed live by visiting the “Investor Relations” section of our website at ir.creditacceptance.com or by telephone as described below. Only persons accessing the webcast by telephone will be able to pose questions to the presenters during the webcast. A replay and transcript of the webcast will be archived in the “Investor Relations” section of our website.
To participate in the webcast by telephone, you must pre-register at https://register-conf.media-server.com/register/BI6eac0ef78a6d4e1186e9d83fe031a316, or through the link posted on the “Investor Relations” section of our website at ir.creditacceptance.com. Upon registration you will be provided with the dial-in number and a unique PIN to access the webcast by telephone.
Description of Credit Acceptance Corporation
We make vehicle ownership possible by providing innovative financing solutions that enable automobile dealers to sell vehicles to consumers regardless of their credit history. Our financing programs are offered through a nationwide network of automobile dealers who benefit from sales of vehicles to consumers who otherwise could not obtain financing; from repeat and referral sales generated by these same customers; and from sales to customers responding to advertisements for our financing programs, but who actually end up qualifying for traditional financing.
Without our financing programs, consumers are often unable to purchase vehicles or they purchase unreliable ones. Further, as we report to the three national credit reporting agencies, an important ancillary benefit of our programs is that we provide consumers with an opportunity to improve their lives by improving their credit score and move on to more traditional sources of financing. Credit Acceptance is publicly traded on the Nasdaq Stock Market under the symbol CACC. For more information, visit creditacceptance.com.
Investor Relations: Jay Brinkley
Senior Vice President & Treasurer
(248) 353-2700 Ext. 6739 [email protected]
CREDIT ACCEPTANCE CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
(Dollars in millions, except per share data)For the Three Months Ended March 31, 2026 2025Revenue: Finance charges$ 538.4 $ 526.7 Premiums earned 23.2 23.5 Other income 18.4 20.9 Total revenue 580.0 571.1 Costs and expenses: Salaries and wages 88.6 88.6 General and administrative 24.8 22.1 Sales and marketing 27.8 24.8 Total operating expenses 141.2 135.5 Provision for credit losses on forecast changes 54.4 76.3 Provision for credit losses on new Consumer Loan assignments 85.2 85.6 Total provision for credit losses 139.6 161.9 Interest 108.4 114.7 Provision for claims 15.8 16.1 Loss on extinguishment of debt — 1.2 Total costs and expenses 405.0 429.4 Income before provision for income taxes 175.0 141.7 Provision for income taxes 39.2 35.4 Net income$ 135.8 $ 106.3 Net income per share: Basic$ 12.64 $ 8.79 Diluted$ 12.40 $ 8.66 Weighted average shares outstanding: Basic 10,739,981 12,091,027 Diluted 10,954,097 12,279,446 CREDIT ACCEPTANCE CORPORATION
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
(Dollars in millions, except per share data)As of March 31, 2026 December 31, 2025ASSETS: Cash and cash equivalents$ 25.7 $ 22.8 Restricted cash and cash equivalents 525.7 477.9 Restricted securities available for sale 109.4 106.2 Loans receivable 11,578.5 11,511.5 Allowance for credit losses (3,622.1) (3,602.3) Loans receivable, net 7,956.4 7,909.2 Property and equipment, net 13.2 12.6 Income taxes receivable 29.4 67.2 Other assets 34.8 35.8 Total assets$ 8,694.6 $ 8,631.7 LIABILITIES AND SHAREHOLDERS' EQUITY: Liabilities: Accounts payable and accrued liabilities$ 415.3 $ 400.2 Revolving secured lines of credit 219.6 107.3 Secured financing 5,100.3 5,158.8 Senior notes 1,088.7 1,087.8 Deferred income taxes, net 356.6 354.0 Total liabilities 7,180.5 7,108.1 Shareholders’ Equity: Preferred stock, $.01 par value, 1,000,000 shares authorized, none issued — — Common stock, $.01 par value, 80,000,000 shares authorized, 10,423,120 and 10,680,143 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively 0.1 0.1 Paid-in capital 430.1 403.3 Retained earnings 1,083.6 1,119.2 Accumulated other comprehensive income 0.3 1.0 Total shareholders’ equity 1,514.1 1,523.6 Total liabilities and shareholders’ equity$ 8,694.6 $ 8,631.7
Key Takeaways CACC Q1 adjusted EPS rose 14.5% y/y to $10.71, beating the consensus estimate of $10.61.Credit Acceptance revenues increased 1.6% y/y to $580M, aided by higher finance charges.CACC provision for credit losses fell 13.8% y/y, while operating expenses rose 4.2%. Credit Acceptance Corporation’s (CACC - Free Report) first-quarter 2026 adjusted earnings per share of $10.71 surpassed the Zacks Consensus Estimate of $10.61. Also, the bottom line increased 14.5% year over year.
Results were aided by an improvement in revenues and lower provisions. However, an increase in operating expenses hurt the results to some extent.
Including non-recurring items, net income was $135.8 million or $12.40 per share compared with $106.3 million or $8.66 per share in the prior-year quarter.
CACC’s GAAP Revenues Improve, Operating Expenses RiseTotal GAAP revenues were $580 million, up 1.6% year over year. Increased finance charges supported revenue growth.
Provision for credit losses was $139.6 million, down 13.8% year over year.
Total operating expenses of $141.2 million increased 4.2% from the prior-year quarter.
As of March 31, 2026, net loans receivable were $7.96 billion, up marginally from the end of December 2025.
Total assets were $8.69 billion as of the same date, up marginally from Dec. 31, 2025. Total shareholders’ equity was $1.51 billion, down marginally from Dec. 31, 2025.
Our Take on Credit AcceptanceThe company is well-positioned for revenue growth, given the gradual increase in demand for consumer loans. Decent growth in dealer enrolments and active dealers is another positive. However, mounting expenses are expected to hurt CACC’s bottom-line growth to an extent in the near term.
Currently, Credit Acceptance carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of CACC’s PeersNavient Corporation (NAVI - Free Report) reported first-quarter 2026 earnings per share of 20 cents, surpassing the Zacks Consensus Estimate of 17 cents. It reported earnings of 28 cents in the prior-year quarter.
NAVI’s results benefited from lower expenses and a decline in provisions for loan losses. However, a decrease in net interest income and other income acted as headwinds.
Capital One’s (COF - Free Report) first-quarter 2026 adjusted earnings of $4.42 per share lagged the Zacks Consensus Estimate of $4.61. However, the bottom line was up from $4.06 in the prior-year quarter.
COF’s results were hurt by a jump in provisions, higher expenses and a lower loan balance. However, a rise in net interest income and higher non-interest income offered support.
Credit Acceptance (CACC - Free Report) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.
A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.
Individual investors often find it hard to make decisions based on rating upgrades by Wall Street analysts, since these are mostly driven by subjective factors that are hard to see and measure in real time. In these situations, the Zacks rating system comes in handy because of the power of a changing earnings picture in determining near-term stock price movements.
As such, the Zacks rating upgrade for Credit Acceptance is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price.
Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. The influence of institutional investors has a partial contribution to this relationship, as these big professionals use earnings and earnings estimates to calculate the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their bulk investment action then leads to price movement for the stock.
Fundamentally speaking, rising earnings estimates and the consequent rating upgrade for Credit Acceptance imply an improvement in the company's underlying business. Investors should show their appreciation for this improving business trend by pushing the stock higher.
Harnessing the Power of Earnings Estimate RevisionsAs empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, tracking such revisions for making an investment decision could be truly rewarding. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .
Earnings Estimate Revisions for Credit AcceptanceThis auto financing company is expected to earn $47.50 per share for the fiscal year ending December 2026, which represents no year-over-year change.
Analysts have been steadily raising their estimates for Credit Acceptance. Over the past three months, the Zacks Consensus Estimate for the company has increased 2.2%.
Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.
You can learn more about the Zacks Rank here >>>
The upgrade of Credit Acceptance to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.
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Stock to Watch: Credit Acceptance (CACC - Free Report) Headquartered in Southfield, MI, Credit Acceptance Corporation is a credit services company. Founded in 1972, the company operates as a single-segment business, offering financing programs and associated products and services to automobile dealers in the United States. This allows them to sell vehicles to consumers regardless of their credit history.
CACC is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
Momentum investors should take note of this Finance stock. CACC has a Momentum Style Score of B, and shares are up 10.4% over the past four weeks.
For fiscal 2026, one analyst revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $1.00 to $47.50 per share. CACC boasts an average earnings surprise of +1.3%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, CACC should be on investors' short list.
It has been about a month since the last earnings report for Credit Acceptance (CACC - Free Report) . Shares have added about 0.3% in that time frame, underperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Credit Acceptance due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.
Credit Acceptance Q1 Earnings Beat as Revenues Grow & Provisions DeclineCredit Acceptance’s first-quarter 2026 adjusted earnings per share of $10.71 surpassed the Zacks Consensus Estimate of $10.61. Also, the bottom line increased 14.5% year over year.
Results were aided by an improvement in revenues and lower provisions. However, an increase in operating expenses hurt the results to some extent.
Including non-recurring items, net income was $135.8 million or $12.40 per share compared with $106.3 million or $8.66 per share in the prior-year quarter.
GAAP Revenues Improve, Operating Expenses RiseTotal GAAP revenues were $580 million, up 1.6% year over year. Increased finance charges mainly supported revenue growth.
Provision for credit losses was $139.6 million, down 13.8% year over year.
Total operating expenses of $141.2 million increased 4.2% from the prior-year quarter.
As of March 31, 2026, net loans receivable were $7.96 billion, up marginally from the end of December 2025.
Total assets were $8.69 billion as of the same date, up marginally from Dec. 31, 2025. Total shareholders’ equity was $1.51 billion, down marginally from Dec. 31, 2025.
Share Repurchase UpdateDuring the reported quarter, Credit Acceptance repurchased 365,258 shares for $178.9 million.
How Have Estimates Been Moving Since Then?Analysts were quiet during the last two month period as none of them issued any earnings estimate revisions.
VGM ScoresCurrently, Credit Acceptance has a average Growth Score of C, a score with the same score on the momentum front. Charting a somewhat similar path, the stock was allocated a grade of B on the value side, putting it in the second quintile for value investors.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook Credit Acceptance has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
On June 08, 2026, Credit Acceptance Corp (CACC) shares rose 3.3% today, closing at $563.15. The stock has seen a 52-week range of $401.90 to $579.80, indicating
Southfield, Michigan, June 09, 2026 (GLOBE NEWSWIRE) -- Credit Acceptance Corporation (Nasdaq: CACC) (referred to as the “Company”, “Credit Acceptance”, “we”, “our”, or “us”) announced today that we have extended the maturity of our revolving secured line of credit facility with a commercial bank syndicate from June 22, 2028 to June 22, 2029. The interest rate on borrowings under the facility was decreased from the Secured Overnight Financing Rate (“SOFR”) plus 197.5 basis points to SOFR plus 175 basis points.
As of June 9, 2026, we had $270.5 million outstanding under the facility.
There were no other material changes to the terms of the facility.
Description of Credit Acceptance Corporation
We make vehicle ownership possible by providing innovative financing solutions that enable automobile dealers to sell vehicles to consumers regardless of their credit history. Our financing programs are offered through a nationwide network of automobile dealers who benefit from sales of vehicles to consumers who otherwise could not obtain financing; from repeat and referral sales generated by these same customers; and from sales to customers responding to advertisements for our financing programs, but who actually end up qualifying for traditional financing.
Without our financing programs, consumers are often unable to purchase vehicles, or they purchase unreliable ones. Further, as we report to the three national credit reporting agencies, an important ancillary benefit of our programs is that we provide consumers with an opportunity to improve their lives by improving their credit score and move on to more traditional sources of financing. Credit Acceptance is publicly traded on the Nasdaq Stock Market under the symbol CACC. For more information, visit creditacceptance.com.
Southfield, Michigan, June 10, 2026 (GLOBE NEWSWIRE) -- Credit Acceptance Corporation (Nasdaq: CACC) (referred to as the “Company”, “Credit Acceptance”, “we”, “our”, or “us”), a leading financial services company enabling automobile dealers to sell vehicles to consumers regardless of credit history, today announced the appointment of Joe Billante as Chief Financial Officer, effective July 27, 2026. Mr. Billante succeeds Jay Martin, who will retire on July 27 after 23 years of distinguished service to Credit Acceptance.
Joe Billante brings more than 25 years of executive leadership and finance experience across public company, private equity, and high-growth environments. Most recently, Mr. Billante served as Chief Financial Officer of Barracuda Networks, where he led global finance operations through a period of significant strategic transformation. Prior to that, he spent 13 years at eBay in a series of increasingly senior finance and business leadership roles, including CFO for eBay's core European and Greater China businesses, and Vice President of Investor Relations and Communications—where he managed the company's relationships with institutional investors, buy-side analysts, and shareholders, and led eBay's first Investor Day in nearly a decade. Before eBay, Mr. Billante spent 11 years at General Electric, including serving as CFO of a global division of GE Healthcare.
“We are thrilled to welcome Joe to Credit Acceptance,” said Vinayak Hegde, Chief Executive Officer. “Joe brings exceptional breadth—from deep operational finance experience at GE, to navigating complex investor and capital markets situations at eBay, to leading a full finance organization as CFO of Barracuda. As we continue building a more data-driven, customer-focused, and technology-enabled company, Joe's background as a true strategic partner—connecting financial discipline to long-term value creation—makes him exactly the right leader for this next chapter. We are confident he will be an outstanding partner to our team and to our shareholders as we continue to execute on our mission of changing lives.”
Mr. Billante added: “Credit Acceptance has built something truly differentiated—a company with a clear and compelling mission, a strong track record, and a culture that people are proud to be part of. I am honored to join this team and look forward to contributing to the Company's continued success.”
Jay Martin joined Credit Acceptance in 2003 and spent more than two decades as one of the company's most dedicated and trusted leaders. His career here was a testament to the power of deep institutional commitment — growing alongside the business, shaping its financial infrastructure, and serving as a steadfast steward of its integrity through every business cycle and period of strategic evolution.
“Jay is the embodiment of what Credit Acceptance is about,” said Mr. Hegde. “He joined this company over two decades ago and committed himself fully to its mission and its people. His leadership, deep financial expertise, and unwavering integrity have been a gift to this organization. We are enormously grateful for everything he has contributed, and we wish him a well-earned and fulfilling retirement.”
Mr. Martin reflected: “It has been the privilege of my career to serve Credit Acceptance and its mission of making vehicle ownership accessible to consumers who might not otherwise have that opportunity. I am proud of what our team has built, and I am confident the Company is in an exceptional position going forward. I am grateful to my colleagues, our leadership, and our shareholders for the trust they have placed in me over the years.”
As part of a planned transition, Mr. Martin will participate in Q2 earnings alongside management and remain actively engaged through August 31, 2026.
Description of Credit Acceptance Corporation
We make vehicle ownership possible by providing innovative financing solutions that enable automobile dealers to sell vehicles to consumers regardless of their credit history. Our financing programs are offered through a nationwide network of automobile dealers who benefit from sales of vehicles to consumers who otherwise could not obtain financing; from repeat and referral sales generated by these same customers; and from sales to customers responding to advertisements for our financing programs, but who actually end up qualifying for traditional financing.
Without our financing programs, consumers are often unable to purchase vehicles or they purchase unreliable ones. Further, as we report to the three national credit reporting agencies, an important ancillary benefit of our programs is that we provide consumers with an opportunity to improve their lives by improving their credit score and move on to more traditional sources of financing. Credit Acceptance is publicly traded on the Nasdaq Stock Market under the symbol CACC. For more information, visit creditacceptance.com.
CHANTILLY, Va., May 12, 2026 (GLOBE NEWSWIRE) -- Parsons Corporation (NYSE: PSN) announced today that the company was selected by the United States Air Force (USAF) and its 75th Civil Engineer Group at Hill Air Force Base for a multiple award task order contract (MATOC) to provide architect-engineer services across the installation. The $136 million ceiling value contract consists of an 8.5-year performance period and represents new work for the company.
Under the contract, Parsons will compete for task orders to deliver architect-engineer services supporting a range of infrastructure needs at Hill AFB. The scope of work includes the design, alteration, and repair of airfields, grounds, roads, buildings, structures, and utilities, as well as feasibility and traffic studies and cybersecurity-related design services that support secure, resilient installation operations.
“This award reflects the Air Force’s continued trust in Parsons’ ability to support complex, mission-critical infrastructure programs through disciplined design and engineering services,” said Martin Boson, president, Engineered Systems for Parsons. “By combining multidisciplinary engineering expertise with an agile delivery mindset, we look forward to supporting the 75th Civil Engineer Group in maintaining and modernizing facilities that are essential to mission readiness for the Department of War.”
Parsons has an extensive history of supporting the Air Force through architect-engineer and infrastructure services that enable installation modernization and sustainment. The company provides disciplined planning, design, and engineering expertise to support operations, facilities sustainment, and utility systems critical to mission execution. By aligning technical design excellence with installation priorities, Parsons helps the USAF modernize infrastructure while maintaining operational continuity. Beyond infrastructure solutions, the company provides all-domain support to the Air Force with agile, scalable solutions spanning cyber, electronic warfare, space, and advanced technology systems.
To learn more about Parsons’ federal infrastructure solutions, visit parsons.com/federal-infrastructure/.
About Parsons
Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and electronic warfare, space and missile defense, transportation, water and environment, urban development, and critical infrastructure protection. Please visit Parsons.com and follow us on LinkedIn to learn how we’re making an impact.
Investor Relations Contact:
Dave Spille
+1 703.775.6191 [email protected]
Forward-Looking Statements:
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on our current expectations, beliefs and assumptions, and are not guarantees of future performance. Forward-looking statements are inherently subject to uncertainties, risks, changes in circumstances, trends and factors that are difficult to predict, many of which are outside of our control. Accordingly, actual performance, results and events may vary materially from those indicated in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future performance, results or events. Numerous factors could cause actual future performance, results and events to differ materially from those indicated in the forward-looking statements, including, among others: any issue that compromises our relationships with the U.S. federal government or its agencies or other state, local or foreign governments or agencies; any issues that damage our professional reputation; changes in governmental priorities that shift expenditures away from agencies or programs that we support; our dependence on long-term government contracts, which are subject to the government’s budgetary approval process; the size of our addressable markets and the amount of government spending on private contractors; failure by us or our employees to obtain and maintain necessary security clearances or certifications; failure to comply with numerous laws and regulations; changes in government procurement, contract or other practices or the adoption by governments of new laws, rules, regulations and programs in a manner adverse to us; the termination or nonrenewal of our government contracts, particularly our contracts with the U.S. federal government; our ability to compete effectively in the competitive bidding process and delays, contract terminations or cancellations caused by competitors’ protests of major contract awards received by us; our ability to generate revenue under certain of our contracts; any inability to attract, train or retain employees with the requisite skills, experience and security clearances; the loss of members of senior management or failure to develop new leaders; misconduct or other improper activities from our employees or subcontractors; our ability to realize the full value of our backlog and the timing of our receipt of revenue under contracts included in backlog; changes in the mix of our contracts and our ability to accurately estimate or otherwise recover expenses, time and resources for our contracts; changes in estimates used in recognizing revenue; internal system or service failures and security breaches; and inherent uncertainties and potential adverse developments in legal proceedings, including litigation, audits, reviews and investigations, which may result in materially adverse judgments, settlements or other unfavorable outcomes. These factors are not exhaustive and additional factors could adversely affect our business and financial performance. For a discussion of additional factors that could materially adversely affect our business and financial performance, see the factors included under the caption “Risk Factors” in our Registration Statement on Form S-1 and our other filings with the Securities and Exchange Commission. All forward-looking statements are based on currently available information and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statement made in this presentation that becomes untrue because of subsequent events, new information or otherwise, except to the extent we are required to do so in connection with our ongoing requirements under federal securities laws.
On May 13, 2026, Parsons Corp (PSN) shares experienced a decline of 4.5%, bringing the current price to $50.34. This drop contributes to a challenging performan
Most artificial intelligence (AI) investment stories revolve around chips, cloud capacity, and model training. It's starting to get a bit repetitive as you look for your next investment.
There is a better, more discreet version of the same story in the federal sector, and it produces a very different kind of moat, one built not on technology alone but on security clearances, decades of defense relationships, and access to facilities that other vendors are simply not allowed to enter. Parsons (PSN 1.15%) sits squarely in that space.
Parsons describes itself as a disruptive technology provider in national security and global infrastructure markets, and the work that drives the most interesting parts of the business is protected by security barriers that most of its publicly traded peers cannot breach.
In March 2026, Parsons announced a $47 million classified contract extension for ongoing work it had performed for more than six years for an unnamed U.S. government customer. Two months later, the company announced a position on a $136 million Air Force architect-engineer contract at Hill Air Force Base in Utah, with an 8.5-year performance period covering airfields, utilities, and cybersecurity-related design services.
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These contracts are exactly the kind of awards that are very hard to replicate without years of clearances, accredited facilities, and people who already know how the customer thinks.
Image source: Getty Images.
What Parsons' products actually do Parsons is organized around two big buckets: Federal Solutions and Critical Infrastructure. Inside Federal Solutions, the most relevant pieces for the AI thesis are cyber and electronic warfare, space and missile defense, and intelligence community work.
The company builds signals intelligence tools, electronic warfare countermeasures, cyber operations platforms, and mission software that runs on classified networks. These tools increasingly incorporate machine learning for signal classification, anomaly detection, and decision support, often inside environments where commercial cloud AI cannot legally run.
On the infrastructure side, Parsons does design, program management, and cybersecurity work for transportation systems, water utilities, and federal facilities. The crossover between physical infrastructure and cyber resilience is where the company has deliberately been leaning, including in missile defense architecture and space-based capabilities.
Parsons' numbers tell a nuanced story Parsons' first-quarter 2026 report showed revenue of $1.5 billion, a 4% year-over-year decline and an 8% organic decline. The headline number looks soft, but the more useful data point is what happens after excluding a single large fixed-price confidential contract that has been winding down.
Excluding that contract, revenue grew 8%, and Federal Solutions revenue rose 12%, with 6.6% organic growth reiterated for the year. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) hit a Q1 record at $151 million, and adjusted EBITDA margin expanded 50 basis points.
For investors, the lesson is that classified contract concentration is both Parsons' moat and its near-term volatility. One large award rolling off can mask underlying growth, as happened this quarter.
That being said, government revenue is policy-sensitive. A change in defense priorities, a continuing resolution that delays appropriations, or a single large contract loss can materially affect the quarterly story. The company also relies on acquisitions to expand capabilities, and integration risk is real. And the valuation is no longer cheap, given how well defense and cyber names have performed.
Parsons is a solid long-term buy Parsons is not the kind of AI stock that makes headlines on consumer launches. It is the kind that wins 10-year awards for secure government installations while the broader market debates chip cycles. If federal AI spending continues to shift toward operational mission systems and away from pure research and development, Parsons is one of a small set of contractors with both access and an engineering bench to win that work.
For investors who want exposure to the parts of AI that most competitors cannot bid on, it deserves a look and is a solid long-term buy.
CHANTILLY, Va., May 19, 2026 (GLOBE NEWSWIRE) -- Parsons Corporation (NYSE: PSN) announced today that the Los Angeles County Transportation Authority (Metro) has opened the D Line Subway Extension Section 1 project. The D Line Extension project is being built in three sections and will ultimately extend the transit system westward for about nine miles under Wilshire Boulevard. Section 1 includes the design and construction of 3.9 miles of subway from the current terminus at Wilshire/Western in the city of Los Angeles to the city of Beverly Hills with three new underground stations at La Brea, Fairfax, and La Cienega. Parsons served as lead designer for Section 1 and performed design management and final design.
“We are excited to see this extension of the D Line begin service for the community,” said Mark Fialkowski, president, Infrastructure North America for Parsons. “This subway extension will improve commuter access for nearby neighborhoods and open access to cultural and art locations that had been previously limited. It is always rewarding to see such critical infrastructure come to life and serve communities for decades to come.”
This segment, along with future sections, will provide safe and sustainable solutions that reduce traffic congestion, improve air quality, and ease travel for commuters between Los Angeles and Beverly Hills. Section 1 of the D Line Subway Extension also opens accessibility to significant cultural and art institutions such as the Los Angeles County Museum of Art (LACMA), the Petersen Automotive Museum, and the Academy Museum of Motion Pictures. During the development of the station and streetscape designs, Parsons worked closely with Metro, City of Los Angeles, City of Beverly Hills, and stakeholders to provide station designs that would complement and enhance the corridor’s existing features.
Parsons has decades of experience designing, delivering, and protecting the infrastructure that connects our communities around the world, including roads and highways; bridges; passenger and freight rail; public transit; airports; and ports and waterways. Our experience includes more than 10,000 miles of roadways, 4,500 bridges, over 450 rail and transit projects, and more than 50 advanced traffic management system deployments that help cities and states improve safety and travel efficiency while also reducing emissions and energy costs to enhance the quality of life in the communities we serve.
To learn more about Parsons’ rail and transit expertise, visit parsons.com/rail-transit/.
About Parsons
Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and electronic warfare, space and missile defense, transportation, water and environment, urban development, and critical infrastructure protection. Please visit Parsons.com and follow us on LinkedIn to learn how we’re making an impact.
The stock market hates uncertainty, and Parsons Corp. (PSN 1.15%) is serving it up. The engineering and defense company lost a heavily promoted $12.5 billion Federal Aviation Administration (FAA) contract bid in December and faces top-line pressure from the wind-down of a large government contract.
The stock has been hammered, trading down nearly 40% over the past six months, including a 21% single-day drop in December. Yet as revenue expectations decline, actual profitability is improving, with margins hitting a record high in the first quarter. In addition, its backlog reached a new high, driven by solid contract wins at the start of the year.
Image source: Getty Images
A tale of two segments Parsons is a provider of integrated solutions and services for the security, defense, and infrastructure markets. It operates two primary segments, federal solutions and critical infrastructure, each of which contributes roughly half of total revenue.
The company's troubles began in December, when it lost the bid to modernize the FAA's air traffic control system. Adding to the pressure, a large, confidential contract for the Department of State ended after a government agency reorganization, weighing on near-term organic growth.
The federal solutions business has felt most of the recent pain. Although the defense and intelligence (D&I) division within the segment is performing well. D&I Revenue grew 13.5% year-over-year in the first quarter, driven by U.S. government spending on high-tech areas like cybersecurity, space, and missile defense.
Meanwhile, the critical infrastructure segment has been a bright spot. This division, which designs and manages massive projects such as airports and bridges, is benefiting from spending tied to the U.S. Infrastructure Investment and Jobs Act and from large-scale projects in the Middle East. This strength shows up in the company's backlog, which stands at a record $9.3 billion.
For margins, adjusted earnings before interest, taxes, depreciation, and amortization for the segment improved by 350 basis points in 2025, and this trend continued in the first quarter, with margins up 50 basis points to 10.8%.
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Cash flow strain clouds the outlook While profitability is moving in the right direction, the business transition has strained the company's working capital. Net days' sales outstanding, which measures how long it takes to collect payment, has climbed from 58 to 72 days over the past year. Management points to collection delays in the Middle East and the impact of the shrinking confidential contract. The recent conflict in the region adds another layer of uncertainty to the company's cash collection cycle.
Parsons looks like a solid company facing a tough stretch. The FAA loss was a painful, permanent setback, and the confidential contract loss has created near-term pain, but that drag on growth should subside in the second half of the year.
At current prices, the risk-reward profile has improved as the company works through its revenue headwinds. The stock now trades at a more reasonable valuation at 15.5 times this year's earnings estimates. Admittedly, at this point, it's unclear what impact the conflict with Iran will have on Parsons' business. For investors with the patience to follow the story as it plays out, it makes for an interesting investment idea for your watch list.
On May 22, 2026, Parsons Corp (PSN) shares rose 3.7% today, bringing the current price to $53.71. The stock has traded within a 52-week range of $48.23 to $89.5
On May 28, 2026, Parsons Corp (PSN) shares rose 3.5% to $58.83, reflecting a positive sentiment in the market. The stock has experienced a 52-week range between
CHANTILLY, Va., June 01, 2026 (GLOBE NEWSWIRE) -- Parsons Corporation (NYSE: PSN) announced today that the company was awarded a $99 million single-award task order to provide research, development, engineering, prototyping, integration, testing, and demonstration of technologies in support of Global Application Research, Development, Engineering and Maintenance 2 (GARDEM 2) Command and Control, Space and Intelligence, Surveillance & Reconnaissance (C2-SpISR) software baselines. The award from the U.S. Air Force Research Laboratory (AFRL) includes a five-year plus two-month performance period and expands Parsons’ leadership in delivering advanced software solutions across the all-domain battlespace.
The task order, awarded under the ALLIANT 2 multiple award schedule, is a follow-on to the current GARDEM contract. Under the task order, Parsons will continue to develop, integrate, test, demonstrate, and sustain innovative C2SpISR technologies like the company’s C2Core Air, C2Core NetOps, National Tactical Data Manager, and Integrated Solutions to Situational Awareness. These capabilities enhance AFRL’s ability to deliver next-generation software baselines and prototypes that support the U.S. Air Force, the Department of War, the Intelligence Community, and other federal agency end users. This award continues support for the C2Core Air capability developed by AFRL and Parsons, with deployments across all Air Operations Centers (AOCs), for the next five years.
“Parsons advances the U.S. Air Force mission by integrating technologies, transforming data, and delivering modernized C2 and space‑based ISR capabilities with speed and precision,” said Mike Kushin, president, Defense and Intelligence for Parsons. “As threats evolve, maintaining ISR dominance demands continuous innovation and modernization. That’s the work our team leads, and we are proud to expand our long‑standing support to the Air Force Research Laboratory, strengthening their efforts to deliver the next generation of warfighting technologies.”
Parsons is an agile, rapid developer of transformative solutions that strengthen national security and deliver mission-ready capabilities at the speed of relevance. It has supported the Department of the Air Force for decades with expertise spanning space operations, full-spectrum cyber operations, network modernization, edge computing, and next-generation command and control. The company has been a mission partner to AFRL for over 25 years, delivering research, development, integration, and sustainment capabilities that enable rapid decision-making and multi-domain operational effectiveness.
To learn more about Parsons’ all-domain solutions, visit https://www.parsons.com/all-domain-solutions/.
About Parsons:
Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and electronic warfare, space and missile defense, transportation, water and environment, urban development, and critical infrastructure protection. Please visit Parsons.com and follow us on LinkedIn to learn how we’re making an impact.
Forward-Looking Statements:
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on our current expectations, beliefs and assumptions, and are not guarantees of future performance. Forward-looking statements are inherently subject to uncertainties, risks, changes in circumstances, trends and factors that are difficult to predict, many of which are outside of our control. Accordingly, actual performance, results and events may vary materially from those indicated in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future performance, results or events. Numerous factors could cause actual future performance, results and events to differ materially from those indicated in the forward-looking statements, including, among others: any issue that compromises our relationships with the U.S. federal government or its agencies or other state, local or foreign governments or agencies; any issues that damage our professional reputation; changes in governmental priorities that shift expenditures away from agencies or programs that we support; our dependence on long-term government contracts, which are subject to the government’s budgetary approval process; the size of our addressable markets and the amount of government spending on private contractors; failure by us or our employees to obtain and maintain necessary security clearances or certifications; failure to comply with numerous laws and regulations; changes in government procurement, contract or other practices or the adoption by governments of new laws, rules, regulations and programs in a manner adverse to us; the termination or nonrenewal of our government contracts, particularly our contracts with the U.S. federal government; our ability to compete effectively in the competitive bidding process and delays, contract terminations or cancellations caused by competitors’ protests of major contract awards received by us; our ability to generate revenue under certain of our contracts; any inability to attract, train or retain employees with the requisite skills, experience and security clearances; the loss of members of senior management or failure to develop new leaders; misconduct or other improper activities from our employees or subcontractors; our ability to realize the full value of our backlog and the timing of our receipt of revenue under contracts included in backlog; changes in the mix of our contracts and our ability to accurately estimate or otherwise recover expenses, time and resources for our contracts; changes in estimates used in recognizing revenue; internal system or service failures and security breaches; and inherent uncertainties and potential adverse developments in legal proceedings, including litigation, audits, reviews and investigations, which may result in materially adverse judgments, settlements or other unfavorable outcomes. These factors are not exhaustive and additional factors could adversely affect our business and financial performance. For a discussion of additional factors that could materially adversely affect our business and financial performance, see the factors included under the caption “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025, and our other filings with the Securities and Exchange Commission. All forward-looking statements are based on currently available information and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statement made in this press release that becomes untrue because of subsequent events, new information or otherwise, except to the extent we are required to do so by law.
Thunder Bay, Ontario--(Newsfile Corp. - June 1, 2026) - Metals Creek Resources Corp. (TSXV: MEK) (OTC Pink: MCREF) (FSE: M1C1) (the "Company" or Metals Creek) and Benton Resources Inc. (TSXV: BEX) (The Companies) are pleased to announce they have substantially increased its land positions in the Deer Lake Basin, more than doubling the size of the Smoking Gun Project expanding from 242 claim units to 654 claim units covering 163.5 km2. The Companies have jointly acquired through staking an additional 214 claim units at Parson's Pond, expanding the project from 427 claim units to 641 claim units, covering 160.3 km2. The additional claims were acquired to cover favorable stratigraphy that could host natural white hydrogen and or helium.
Deer Lake Basin Property Acquisition
The new mineral claims expand the Smoking Gun Project to the Southwest to connect with Mills No.1 drill hole and to the NE to connect with Claybar No. 3 drill hole (Figure 1). The Companies are excited about this new acquisition, as recent research from historical data has revealed highly anomalous helium with values up to 8,900 parts per billion (ppb) ( Table 1) in water collected from an historic drill hole (79-67). This hole is located approximately 11.8 km from drill hole (Mills No. 1) that encountered high pressure gas that flowed for a minimum of 12 months in a basin prospective for uranium-thorium. In addition, several mentions of gas is noted in Claybar No. 3 located 32 km to the NE of drill hole 79-67.
Ref: https://gis.gov.nl.ca/mods/ModsCard.asp?NMINOString?temp=n&NMINOString=012H/03/Btm002
According to assessment report 012H/0748, the Westfield-Northgate-Shell joint venture conducted deep water sampling within these historic holes. Samples of ground water were collected from 5 diamond drill holes with results determined for pH, temperature, U ppb, radon and helium content. Two samples were collected from each hole. One was hermetically sealed at the site in a special container and sent to Chemical Projects Ltd. in Toronto, where a gas sample was extracted and analysed for helium. The second sample was measured on site for pH and Radon (Rn). This sample was then sent to Atlantic Analytical Services Ltd. (Springdale, NL) for analysis of Uranium (U). Results are tabulated below.
These new licenses all together are now named the Smoking Gun Project located within the Deer Lake Basin, which is thought to be a prospective environment for the presence Helium (He) and Natural (White) Hydrogen (H₂). Historic exploration focused mainly on uranium and hydrocarbons, but with semiconductor expansion and the global energy transition, this has resulted in increased demand for Hydrogen and Helium. A re-evaluation of the Deer Lake Basin has resulted in the identification of areas with ideal geological conditions to host gas. These conditions include thick sequences of sandstones and conglomerates containing uranium, which is necessary to generate helium. When uranium-rich minerals hosted within the sandstones interact with the high-pressure water, the water molecules are split, releasing hydrogen. The expansive presence of mudstones and shales serve as an ideal cap for trapping gas.
Hole 79-67 is located 11.8 km northeast of hole Mills No.1, which produced high pressure gas (Figure 1). With the presence of high-pressure gas in hole Mills No. 1 and highly anomalous helium from water samples in Hole 79-67, this potentially indicates an expansive system with favorable geological conditions for the generation and entrapment of gas.
Figure 1: Smoking Gun Claims
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Parson's Pond Property Acquisition
At Parson's Pond, the company increased it land position to the east to cover the shallower portions of the basin and to the west to cover deeper portions of the Basin (Figure 2). Research of the historical drill logs in two holes 14.2 km apart, have observed C1 methane gas levels reaching 72%. The area is underlain by thrust faulted rocks of the Humber Arm Supergroup. Drill logs indicate unique sedimentary units composed of shales along with sandstones, containing fragments of serpentine and chrome. Of particular interest is the presence of the mineral glauconite, which, combined with these geological indicators, suggests a highly prospective environment for white hydrogen (natural hydrogen) to form within the basin. The presence of such high concentrations of methane alongside hydrogen indicators suggests a potentially active gas system within the basin. In addition, surface areas have been noted to vent gas within the project boundaries.
(Ref. NALCOR ENERGY - OIL AND GAS INC FINAL WELL REPORT For Nalcor Energy et al SEAMUS #1 https://www.gov.nl.ca/em/files/publications-energy-nalcorseamusfwr.pdf and NALCOR ENERGY - OIL AND GAS INC FINAL WELL REPORT For Nalcor Energy et al Finnegan #1 https://www.gov.nl.ca/em/files/FinniganFWR.pdf).
Figure 2 : Parsons Pond Claims
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The companies hired Neil Pendock to conduct early target identification using hyperspectral satellite imagery identifying hot spots for testing Hydrogen and Helium. A detailed evaluation of the Seamus and Finnigan wells show potential leakage of both gases near the historical Well heads.
Neil Pendock states that "new exploration data confirms significant natural Hydrogen and Helium systems in Western Newfoundland".
An integrated re-evaluation of advanced satellite imagery and legacy drill data has confirmed highly anomalous concentrations of natural "white" hydrogen (H2) and helium (He) across the Parson's Pond area of western Newfoundland. The findings mark a major milestone for the province's emerging unconventional and clean energy sector.
The target identification program utilizes high-resolution Sentinel-2 spectral endmember mapping calibrated against legacy physical assets, notably the Seamus #1 and Finnegan #1 wells.
Key Findings From the Well Analyses:
Seamus #1 Well: Originally drilled as a deviated wildcat to 3,160 meters, historical logs confirm this stratigraphic test intersected a highly active gas plumbing system. Modern geochemical processing shows that Seamus is highly anomalous in H2, CO2, and CH4. The hydrogen signature at Seamus is particularly intense, soaring over ten times higher than regional background levels.
Finnegan #1 Well: Located within the same thrust-faulted complex, Finnegan exhibits a distinct, high-value noble gas and clean energy profile, measuring highly anomalous in He and H2. Finnegan's hydrogen concentrations exceed background baselines by more than threefold, paired with a distinct helium signature that suggests deep-seated basement fault connectivity.
A Multi-Gas Frontier
While western Newfoundland has long been recognized for its classic thermogenic methane (CH4) "shows" and source rocks like the Green Point Shale, this new data shifts the spotlight toward non-hydrocarbon, high-value gas exploration.
The structural architecture of the Parson's Pond area—where allochthonous sedimentary sequences are thrust over deep carbonate platforms—serves as the ideal geological engine for generating natural hydrogen through serpentinization. Simultaneously, deep conduit faults are successfully tapping into the Precambrian basement to channel helium toward the surface.
Next Steps for Exploration
The alignment of physical drill-hole gas anomalies with satellite-derived spectral endmembers allows exploration teams to rapidly deploy predictive mapping across the entire Humber Zone. Immediate field follow-up will include high-density soil gas sampling and localized fracture-network mapping around the Seamus and Finnigan corridors to identify primary drilling targets for natural hydrogen and commercial helium.
Hydrogen and Helium Demand
Hydrogen and helium have seen a significant increase in demand, with more expected in the future. Hydrogen is used as a fuel and a chemical building block, it helps create fertilizer for food, refines the gasoline in your car, and is increasingly being used to power clean trucks and ships as well as fuel for rocket propulsion for the launching of satellites. Helium is the world's ultimate cooler; its super-cold properties are essential for keeping MRI machines running and making the computer chips found in your phone and laptop. AI-driven chip manufacturing is the primary growth engine for helium. Helium keeps our most advanced technology and medical equipment functioning.
In the neighboring province of Nova Scotia, companies such as Quebec Innovative Metals Corp are having success in the search for Natural Hydrogen. This success has generated further exploration in similar geological environments to that of the projects mentioned above.
Please note that the presence of gas or methane on these staked projects or gas discovered on adjacent properties does not guarantee the presence of hydrogen or helium. Further studies are required to validate their presence.
About Metals Creek Resources Corp.
Metals Creek Resources Corp. is a junior exploration company incorporated under the laws of the Province of Ontario, is a reporting issuer in Alberta, British Columbia and Ontario, and has its common shares listed for trading on the Exchange under the symbol "MEK". Metals Creek holds a 50% interest in the Ogden Gold Property with Discovery Silver holding the remaining 50%. The Ogden Gold Property includes the former Naybob Gold mine and is located 6 km south of Timmins, Ontario and has an 8 km strike length of the prolific Porcupine-Destor Fault (P-DF).
Metals Creek also has multiple quality projects available for option which can be viewed on the Company's website. Parties interested in seeking more information about properties available for option can contact the Company at the number below.
Additional information concerning the Company is contained in documents filed by the Company with securities regulators, available under its profile at www.sedarplus.ca.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/299613
Source: Metals Creek Resources Corp.
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Zepharis Software Suite advances SealingTech's approach to delivering "deployable anywhere" solutions by bringing a unified software line to our high-performance edge compute products. Within the suite, Zepharis AI incorporates powerful agents and retrieval-augmented generation (RAG) technology, improving efficiency and operational success. Zepharis Kit Deployer accelerates deployment from days to hours, resulting in faster mission readiness. , /PRNewswire/ -- Sealing Technologies (SealingTech), a Parsons Corporation company (NYSE: PSN), and trusted provider of high-performance hardware and deployable technologies, introduces the Zepharis™ Software Suite. Zepharis is designed for air-gapped environments to improve operator capabilities and performance with rapid Kit provisioning, automation, and artificial intelligence (AI) at the operational edge.
Improves Operator Performance Across All Experience Levels
SealingTech's Zepharis Software Suite Evolving from Operator X, Zepharis AI delivers turnkey AI assistance straight out of the box—no internet or cloud required. This fully air-gapped solution deploys on any system equipped with a compatible GPU. Zepharis AI fuses large language model (LLM) technology with core operational tools to provide context-aware reasoning on demand. It serves as a portable AI subject matter expert, empowering operators with natural language querying, unified tech stack command, automated detection engineering, and instant metrics reporting.
"The Zepharis Suite integrates deployment automation, operational readiness, and AI-driven mission support into a single software solution," said Andres Giraldo, SealingTech Chief Technology Officer. "This adaptable platform allows operators to rapidly deploy complex infrastructure, maximize efficiency, and minimize downtime. By enabling secure scaling with lower risk in fully offline environments, it enhances readiness across diverse use cases."
Accelerates and Optimizes Kit Deployment Readiness
The Zepharis Kit Deployer accelerates infrastructure installation, configuration, and readiness in offline and hostile environments. By automating provisioning, networking, and setup for over 20 tools simultaneously, it slashes deployment timelines from days to hours. The solution is highly customizable, scaling seamlessly from small tactical setups to multi-site operations with repeatable, secure provisioning that adapts as the mission evolves.
For more information about Zepharis Software Suite, please visit https://www.sealingtech.com/zepharis
About SealingTech
Sealing Technologies (SealingTech), a Parsons Corporation company (NYSE: PSN), is a trusted provider of high-performance hardware and deployable technologies. Veteran-founded in 2012, SealingTech combines engineering expertise, innovation, and real-world operational experience to deliver solutions built for demanding environments. The company supports federal, defense, and commercial customers with technologies designed for speed, reliability, and adaptability.
CHANTILLY, Va., June 03, 2026 (GLOBE NEWSWIRE) -- Parsons Corporation (NYSE: PSN), a leading disruptive technology provider supporting national security missions across all domains, announced today it has been awarded a $28 million task order from the U.S. Air Force to provide comprehensive Field Site Support under the Global Application Research, Development, Engineering, and Maintenance (GARDEM) 2 program. This task order is one of the four Parsons secured in 2026 in support of the AFRL’s GARDEM program, bringing Parsons’ total awards to $218 million and reinforcing the company’s role as a provider of mission-critical digital and data-centric capabilities for the U.S. Air Force.
Under the five-year task order, Parsons will deliver functional onsite training, demonstrations, system enhancements, modifications, integration, testing, deployments, and lifecycle maintenance in support of GARDEM 2 software baselines. These efforts will directly enable the rapid maturation, evaluation, and operational deployment of advanced technologies and concepts critical to Air Force mission execution. The company has supported the GARDEM mission since 2019.
“This award highlights the Air Force’s continued confidence in Parsons’ ability to take emerging technologies from concept to operational reality,” said Mike Kushin, President of Defense and Intelligence for Parsons. “Our teams bring a rare combination of deep mission understanding, software engineering excellence, and field-tested execution that allows us to rapidly integrate, test, and deploy capabilities at the speed of combat where and when they are needed most.”
The GARDEM 2 program plays a central role in accelerating innovation by bridging research, development, engineering, and sustainment activities across operational environments. Parsons’ approach ensures solutions are not only technically sound but also aligned with real-world mission demands and warfighter requirements, improving speed to capability and operational effectiveness for America’s fighting force.
This latest award builds on Parsons’ strong operational history of supporting Air Force and national security customers with agile, scalable solutions spanning cyber, electronic warfare, space, and advanced software systems.
To learn more about Parsons’ all-domain solutions, visit Parsons.com/all-domain-solutions/.
About Parsons:
Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and electronic warfare, space and missile defense, transportation, water and environment, urban development, and critical infrastructure protection. Please visit Parsons.com and follow us on LinkedIn to learn how we’re making an impact.
Forward-Looking Statements:
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on our current expectations, beliefs and assumptions, and are not guarantees of future performance. Forward-looking statements are inherently subject to uncertainties, risks, changes in circumstances, trends and factors that are difficult to predict, many of which are outside of our control. Accordingly, actual performance, results and events may vary materially from those indicated in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future performance, results or events. Numerous factors could cause actual future performance, results and events to differ materially from those indicated in the forward-looking statements, including, among others: any issue that compromises our relationships with the U.S. federal government or its agencies or other state, local or foreign governments or agencies; any issues that damage our professional reputation; changes in governmental priorities that shift expenditures away from agencies or programs that we support; our dependence on long-term government contracts, which are subject to the government’s budgetary approval process; the size of our addressable markets and the amount of government spending on private contractors; failure by us or our employees to obtain and maintain necessary security clearances or certifications; failure to comply with numerous laws and regulations; changes in government procurement, contract or other practices or the adoption by governments of new laws, rules, regulations and programs in a manner adverse to us; the termination or nonrenewal of our government contracts, particularly our contracts with the U.S. federal government; our ability to compete effectively in the competitive bidding process and delays, contract terminations or cancellations caused by competitors’ protests of major contract awards received by us; our ability to generate revenue under certain of our contracts; any inability to attract, train or retain employees with the requisite skills, experience and security clearances; the loss of members of senior management or failure to develop new leaders; misconduct or other improper activities from our employees or subcontractors; our ability to realize the full value of our backlog and the timing of our receipt of revenue under contracts included in backlog; changes in the mix of our contracts and our ability to accurately estimate or otherwise recover expenses, time and resources for our contracts; changes in estimates used in recognizing revenue; internal system or service failures and security breaches; and inherent uncertainties and potential adverse developments in legal proceedings, including litigation, audits, reviews and investigations, which may result in materially adverse judgments, settlements or other unfavorable outcomes. These factors are not exhaustive and additional factors could adversely affect our business and financial performance. For a discussion of additional factors that could materially adversely affect our business and financial performance, see the factors included under the caption “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025, and our other filings with the Securities and Exchange Commission. All forward-looking statements are based on currently available information and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statement made in this press release that becomes untrue because of subsequent events, new information or otherwise, except to the extent we are required to do so by law.
Parsons is a proven AI leader with 20+ years of operational experience.Parsons delivers scalable, real‑world AI applications across national security and infrastructure.AI‑enabled solutions such as autonomous cyber, counter‑UAS detection, electronic warfare planning, and the intelligent network (iNET®) smart mobility platform are generating revenue, driving margin expansion, and strengthening Parsons’ competitive positioning.
CHANTILLY, Va., June 04, 2026 (GLOBE NEWSWIRE) -- Parsons Corporation (NYSE: PSN) today spotlighted its expanding suite of artificial intelligence (AI) capabilities that are accelerating mission outcomes and driving growth across its Federal Solutions and Critical Infrastructure segments. With decades of digital innovation and engineering expertise, the company is realizing returns from AI investments while positioning itself for sustained expansion across the global national security, cyber, space, and infrastructure markets. Parsons’ embedded AI strategy is integrated directly into customer solutions and is a core competitive differentiator.
"AI is a critical enabler of how we deliver mission outcomes. Eight of our last ten $100M+ wins included a critical AI differentiator,” said Carey Smith, chair, president, and chief executive officer of Parsons. "From autonomous cyber and counter‑UAS detection to predictive modeling for transportation networks and major infrastructure programs, we’re integrating AI directly into mission‑critical operations, accelerating customer outcomes, strengthening our competitive position, and expanding our addressable market.”
The company’s approach leverages AI to automate complex processes, analyze critical data, and enable predictive modeling across project management, technology development, business capture, and resource allocation. This integrated model ensures the company is delivering AI‑empowered solutions from the lab to the mission at scale; helping customers solve emerging challenges with greater speed and efficiency while strengthening Parsons’ competitive advantage.
Across its Federal Solutions business, Parsons applies AI to accelerate real‑time decision‑making, enhance all‑domain situational awareness, and strengthen threat detection and response. The company’s leadership in modernizing defense acquisition is reinforced by its PALADIN Lab, Parsons’ innovation hub at Aberdeen Proving Ground, Maryland. The lab provides a secure environment for government, industry, and academia to collaborate on emerging hardware, algorithms, and software within existing architectures. This approach aligns with evolving acquisition priorities that emphasize rapid prototyping, continuous delivery, modularity, and the integration of commercial and non-traditional technologies.
At the PALADIN Lab’s recent AI Summit, Parsons and several commercial partners demonstrated emerging capabilities in advanced ISR, Edge AI, spectrum dominance, and space situational awareness. Parsons supplied the mission context and systems integration expertise that transformed commercial technologies into deployable, defense‑ready solutions. The event, part of the company’s ongoing Tech Demo Series, accelerated adoption pathways for AI‑enabled capabilities across the C5ISR community.
“As demand continues to rise across national security and critical infrastructure, our AI capabilities position us to capture new opportunities and deliver sustained value for our shareholders," added Smith.
Within its Critical Infrastructure segment, Parsons deploys AI to improve project planning and execution, enable predictive maintenance, and optimize resource allocation for major infrastructure programs. The company’s AI‑enabled iNET smart mobility platform, which has been deployed more than 40 times globally, uses predictive analytics to enhance pedestrian safety, reduce vehicle collisions, and optimize traffic flow. Parsons also applies AI to construction supervision, scheduling, and logistics, such as its AI‑powered site intelligence systems on the Abu Dhabi Bridge Inspection Program that enable virtual inspections and creates a searchable digital record of asset conditions.
To learn more about Parsons’ AI capabilities, visit www.parsons.com/ai.
About Parsons:
Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and electronic warfare, space and missile defense, transportation, water and environment, urban development, and critical infrastructure protection. Please visit Parsons.com and follow us on LinkedIn to learn how we’re making an impact.
Forward-Looking Statements:
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on our current expectations, beliefs and assumptions, and are not guarantees of future performance. Forward-looking statements are inherently subject to uncertainties, risks, changes in circumstances, trends and factors that are difficult to predict, many of which are outside of our control. Accordingly, actual performance, results and events may vary materially from those indicated in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future performance, results or events. Numerous factors could cause actual future performance, results and events to differ materially from those indicated in the forward-looking statements, including, among others: any issue that compromises our relationships with the U.S. federal government or its agencies or other state, local or foreign governments or agencies; any issues that damage our professional reputation; changes in governmental priorities that shift expenditures away from agencies or programs that we support; our dependence on long-term government contracts, which are subject to the government’s budgetary approval process; the size of our addressable markets and the amount of government spending on private contractors; failure by us or our employees to obtain and maintain necessary security clearances or certifications; failure to comply with numerous laws and regulations; changes in government procurement, contract or other practices or the adoption by governments of new laws, rules, regulations and programs in a manner adverse to us; the termination or nonrenewal of our government contracts, particularly our contracts with the U.S. federal government; our ability to compete effectively in the competitive bidding process and delays, contract terminations or cancellations caused by competitors’ protests of major contract awards received by us; our ability to generate revenue under certain of our contracts; any inability to attract, train or retain employees with the requisite skills, experience and security clearances; the loss of members of senior management or failure to develop new leaders; misconduct or other improper activities from our employees or subcontractors; our ability to realize the full value of our backlog and the timing of our receipt of revenue under contracts included in backlog; changes in the mix of our contracts and our ability to accurately estimate or otherwise recover expenses, time and resources for our contracts; changes in estimates used in recognizing revenue; internal system or service failures and security breaches; and inherent uncertainties and potential adverse developments in legal proceedings, including litigation, audits, reviews and investigations, which may result in materially adverse judgments, settlements or other unfavorable outcomes. These factors are not exhaustive and additional factors could adversely affect our business and financial performance. For a discussion of additional factors that could materially adversely affect our business and financial performance, see the factors included under the caption “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025, and our other filings with the Securities and Exchange Commission. All forward-looking statements are based on currently available information and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statement made in this press release that becomes untrue because of subsequent events, new information or otherwise, except to the extent we are required to do so by law.
CHANTILLY, Va., June 08, 2026 (GLOBE NEWSWIRE) -- Parsons Corporation (NYSE: PSN) recently joined the Connecticut Department of Transportation (CTDOT), federal partners, and community leaders to mark the groundbreaking of the I-91/I-691/Route 15 Interchange Improvements Project in Meriden, Connecticut.
Parsons is serving as the engineer of record and the prime design consultant, providing comprehensive engineering services from final design through design services during construction support. The company is working closely with CTDOT and project partners to ensure design integrity, efficient issue resolution, and alignment with rigorous safety, quality, and performance standards by applying its global infrastructure design and program management expertise.
“This project is a critical investment in strengthening one of Connecticut’s most critical transportation corridors,” said Mark Fialkowski, president, Infrastructure North America for Parsons. “By advancing a phased, programmatic approach, we are helping deliver meaningful improvements to safety, mobility, and reliability while minimizing disruption to the traveling public. Parsons is proud to partner with CTDOT to bring innovative, high-quality solutions that will serve the region for decades to come.”
The approximately $721 million, three-phase program represents a major infrastructure investment to improve mobility, enhance safety, and strengthen long-term reliability along the I-91 transportation corridor. Serving as a key link in the Northeast regional network, the interchange supports the movement of people and goods across major interstate routes. Once complete, it will reduce congestion, improve safety by addressing traffic weaving and merging conditions, and enhance reliability for commuters, freight, and local communities.
Parsons has decades of experience designing, delivering, and protecting the infrastructure that connects our communities around the world, including roads and highways; bridges; passenger and freight rail; public transit; airports; and ports and waterways. Our experience includes more than 10,000 miles of roadways, 4,500 bridges, and more than 50 advanced traffic management system deployments that help cities and states improve safety and travel efficiency while also reducing emissions and energy costs to enhance the quality of life in the communities we serve.
To learn more about Parsons’ road and highway expertise, visit www.Parsons.com/road-highway/.
About Parsons
Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and electronic warfare, space and missile defense, transportation, water and environment, urban development, and critical infrastructure protection. Please visit Parsons.com and follow us on LinkedIn to learn how we’re making an impact.
CHANTILLY, Va., June 09, 2026 (GLOBE NEWSWIRE) -- Parsons Corporation (NYSE: PSN), today announced it has secured an additional $73 million contract in support of the Air Force Research Laboratory’s (AFRL) Global Application Research, Development, Engineering and Maintenance (GARDEM) mission. The contract is the fourth in support of GARDEM in 2026, bringing Parsons’ total awards to $218 million and reinforcing the company’s role as a provider of mission-critical digital and data-centric capabilities for the U.S. Air Force.
The latest award expands Parsons’ responsibilities for research and development and operations and maintenance (O&M) across GARDEM 2 enterprise platform and mission application software baselines, including Platform and Mission Application support for field sites and existing installations. Parsons will also lead the migration of capabilities to its Lightweight Application Management Platform (LAMP), a lean, scalable environment designed to accelerate global mission deployment while reducing lifecycle cost.
“Securing our fourth GARDEM award this year is a powerful validation of Parsons’ ability to deliver mission-ready digital platforms that scale with our customers’ needs,” said Mike Kushin, President of Defense and Intelligence for Parsons. “By intentionally designing GARDEM 2 for reuse, integration, and rapid adaptation, we will enable AFRL and the Air Force to deploy advanced data-driven capabilities faster, at lower cost, and with greater operational impact across complex operational environments and all domains.”
Parsons’ technical approach emphasizes technology reuse and deep integration across all GARDEM 2 awards, allowing rapid capability updates while lowering total ownership cost for the government. One of the key strengths of our approach is the utilization of C2Core components in our GARDEM Platform LAMP. Coupling with this operational system creates integration points and a streamlined support structure, allowing for cross-training and surge support between all customers on the GARDEM 2 efforts. This ensures mission systems can evolve at the operational speed of need, while remaining resilient, secure, and cost-effective.
The GARDEM awards build on Parsons’ growing portfolio of artificial intelligence, data, software, cyber, and mission engineering all-domain solutions supporting America’s warfighters. The company’s integrated platform strategy, combining modern software practices, proven C2Core components, modular data layers, and proven mission knowledge, continues to drive long-term program scalability.
To learn more about Parsons’ all-domain solutions, visit Parsons.com/all-domain-solutions/.
About Parsons:
Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and electronic warfare, space and missile defense, transportation, water and environment, urban development, and critical infrastructure protection. Please visit Parsons.com and follow us on LinkedIn to learn how we’re making an impact.
Forward-Looking Statements:
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on our current expectations, beliefs and assumptions, and are not guarantees of future performance. Forward-looking statements are inherently subject to uncertainties, risks, changes in circumstances, trends and factors that are difficult to predict, many of which are outside of our control. Accordingly, actual performance, results and events may vary materially from those indicated in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future performance, results or events. Numerous factors could cause actual future performance, results and events to differ materially from those indicated in the forward-looking statements, including, among others: any issue that compromises our relationships with the U.S. federal government or its agencies or other state, local or foreign governments or agencies; any issues that damage our professional reputation; changes in governmental priorities that shift expenditures away from agencies or programs that we support; our dependence on long-term government contracts, which are subject to the government’s budgetary approval process; the size of our addressable markets and the amount of government spending on private contractors; failure by us or our employees to obtain and maintain necessary security clearances or certifications; failure to comply with numerous laws and regulations; changes in government procurement, contract or other practices or the adoption by governments of new laws, rules, regulations and programs in a manner adverse to us; the termination or nonrenewal of our government contracts, particularly our contracts with the U.S. federal government; our ability to compete effectively in the competitive bidding process and delays, contract terminations or cancellations caused by competitors’ protests of major contract awards received by us; our ability to generate revenue under certain of our contracts; any inability to attract, train or retain employees with the requisite skills, experience and security clearances; the loss of members of senior management or failure to develop new leaders; misconduct or other improper activities from our employees or subcontractors; our ability to realize the full value of our backlog and the timing of our receipt of revenue under contracts included in backlog; changes in the mix of our contracts and our ability to accurately estimate or otherwise recover expenses, time and resources for our contracts; changes in estimates used in recognizing revenue; internal system or service failures and security breaches; and inherent uncertainties and potential adverse developments in legal proceedings, including litigation, audits, reviews and investigations, which may result in materially adverse judgments, settlements or other unfavorable outcomes. These factors are not exhaustive and additional factors could adversely affect our business and financial performance. For a discussion of additional factors that could materially adversely affect our business and financial performance, see the factors included under the caption “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025, and our other filings with the Securities and Exchange Commission. All forward-looking statements are based on currently available information and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statement made in this press release that becomes untrue because of subsequent events, new information or otherwise, except to the extent we are required to do so by law.
Parsons recently demonstrated AI-enabled CUAS solutions which integrated sensor and kinetic effectors.Parsons’ expertise in non-kinetic effects (NKE) detect, disrupt, and mitigate single, multi and swarm drone or missile threats.The company delivers CUAS capabilities that are part of a broader C5ISR portfolio, with solutions that scale from site-level defense to regional, theater, and homeland architectures. CHANTILLY, Va., June 10, 2026 (GLOBE NEWSWIRE) -- Parsons Corporation (NYSE: PSN) has successfully demonstrated integrated counter-unmanned aircraft system (CUAS) capabilities, showcasing how the company delivers layered, scalable, AI-driven defense that enables autonomous detection, classification, prioritization, and mitigation against rapidly evolving and increasingly autonomous aerial threats across national security and critical infrastructure environments.
The recent demonstration highlighted Parsons’ approach to the strategic CUAS mission. The company’s fully integrated architecture connected sensing, command and control (C2), AI-enabled decision support, and kinetic response into a unified system to expedite the full kill chain from detection to mitigation. This integration enables earlier threat awareness, faster coordinated response, and more precise execution in complex, high-tempo environments. The full kill chain demonstration leveraged Parsons’ DroneArmor™ AI-enabled C2 fused data from HurleyIR electro-optic infrared (EO/IR) sensors and DroneShield’s electronic warfare sensor and commercial off the shelf (COTS) radars, and autonomously mitigated threats with Allen Control Systems’ Bullfrog, an autonomous remote weapon station capable of employing various kinetic effectors. The mission-relevant configuration validated the ability to execute the full counter-drone kill chain in an operational environment.
“Our customers need integrated, mission-ready systems that can be deployed rapidly and adapt as threats evolve, and we have proven through the recent demonstration that we are ready to deliver,” said Martin Boson, president of Engineered Systems for Parsons. “Parsons provides that integration at scale and with speed, connecting sensors, decision makers, and response options into a unified architecture that drives faster awareness and coordinated response. Our AI-enabled capabilities accelerate detection, classification, and decision support, allowing operators to respond at machine speed with greater precision. Whether protecting national security or critical infrastructure, securing borders, supporting defense operations, or strengthening mission assurance, we enable customers to reduce operational risk and maintain continuity across complex and rapidly changing threat environments.”
In addition to our DroneArmor™ integrated CUAS solution, Parsons has unique expertise in non-kinetic effects (NKE) to detect, disrupt, and mitigate a variety of drone or missile threats. This capability is embedded within Parsons’ integrated defense approach, where CUAS solutions are delivered through a broader C5ISR portfolio that combines sensing, C2, cyber, and electronic warfare into a unified operational architecture. This architecture enables autonomous and semi-autonomous workflows across sensing, threat assessment, battle management, and coordinated effects, allowing operators to maintain the decision advantage in contested environments. The company delivers layered CUAS and counter-C5ISR protection for operators and mission-critical systems that sustain air, land, sea, space, and energy operations. By integrating detection, C2, and response options into a unified framework, Parsons shortens the time from threat detection to action while improving multi-domain awareness. This approach enables defense, homeland security, and civil stakeholders to deploy what they need and scale as threats evolve, with solutions ranging from single-site protection to regional, theater, and homeland defense architectures.
The company’s integrated CUAS architecture is further supported by Parsons’ TAK-X, which enables shared geospatial awareness for real-time coordination across agencies and mission partners, and Parsons’ Intelligent NETworks® (iNET®) Smart Mobility Platform which provides secure, resilient communications across distributed operations. Together, these systems translate multi-domain sensor data into coordinated, AI-enabled action at machine speed, improving decision superiority and enabling operators to respond faster than evolving threats. The solution reflects Parsons’ unique ability to leverage innovative capabilities from across its segments and acquisitions to deliver best-in-class integrated solutions for its global customer base. The TAK-X technology resulted from the company’s acquisition of Chesapeake International Technology (CTI) which falls into its Federal segment, while Parsons’ iNET® technology, an award-winning traffic management solution from its critical infrastructure segment, is deployed to transportation agencies globally to improve safety, reliability, and system performance by unifying data, analytics, and decision support into a single operational environment, enabled by AI/ML.
Parsons’ other industry-leading CUAS solutions include detection and tracking capabilities such as BlueFly® for RF-based detection and early warning and SmartCam3D™ for EO/IR visualization and advanced analytics. The company’s vendor-agnostic approach enables rapid integration of best-in-class capabilities without vendor lock-in, allowing customers to adapt and scale as mission requirements evolve. This approach is complemented by proprietary capabilities such as TReX® for flexible land or afloat defeat and deception and ZEUS® for directed energy precision engagement. Parsons’ open architecture enables customers to integrate and evolve capabilities as threats and mission requirements change.
The company accelerates development and deployment of these capabilities through operational environments such as the Parsons CUAS Center of Excellence in Summit Point, West Virginia, and the United States Air Force (USAF) Ramstein Air Defense Systems Integration Laboratory (RADSIL) in Germany. In these environments, systems are rapidly prototyped, integrated, and validated in mission-relevant conditions, helping meet the Department of War’s (DoW) emphasis on speed of procurement and need for faster, more flexible approaches for acquiring software, digital systems, and emerging technologies.
As part of Parsons’ larger suite of CUAS capabilities, the company has also led the maturation of an all-domain system comprised of commercial and government off-the-shelf technologies, utilizing an integrated design, to protect existing and future air bases. Parsons focuses on every aspect of the all-domain battlespace, including space operations, edge computing, full-spectrum cyber, and ground-based command and control systems for defeating non-kinetic threats.
In addition, Parsons provides systems of systems engineering, integration, and testing of potential architecture concepts to counter missile threats to the U.S. Homeland, our allies, and deployed forces. The company supports the design, development, integration, testing, and assessment of the components and architectures to ensure the warfighters have an integrated, layered sensing, command and control, and engagement capability to counter threats of all ranges in all phases of flight.
Parsons aligns technology capabilities with operational requirements across a range of missions, from protecting the homeland, critical infrastructure and major public events to enabling secure diplomatic operations and supporting mission assurance for national security and defense missions. This approach improves shared awareness, accelerates coordinated response, and reduces operational friction across agencies and partners, while preparing customers to address increasingly autonomous and swarming threats in future operational environments.
To learn more about Parsons’ global CUAS solutions, visit parsons.com/cuas/.
About Parsons
Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and electronic warfare, space and missile defense, transportation, water and environment, urban development, and critical infrastructure protection. Please visit Parsons.com and follow us on LinkedIn to learn how we’re making an impact.
Forward-Looking Statements:
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on our current expectations, beliefs and assumptions, and are not guarantees of future performance. Forward-looking statements are inherently subject to uncertainties, risks, changes in circumstances, trends and factors that are difficult to predict, many of which are outside of our control. Accordingly, actual performance, results and events may vary materially from those indicated in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future performance, results or events. Numerous factors could cause actual future performance, results and events to differ materially from those indicated in the forward-looking statements, including, among others: any issue that compromises our relationships with the U.S. federal government or its agencies or other state, local or foreign governments or agencies; any issues that damage our professional reputation; changes in governmental priorities that shift expenditures away from agencies or programs that we support; our dependence on long-term government contracts, which are subject to the government’s budgetary approval process; the size of our addressable markets and the amount of government spending on private contractors; failure by us or our employees to obtain and maintain necessary security clearances or certifications; failure to comply with numerous laws and regulations; changes in government procurement, contract or other practices or the adoption by governments of new laws, rules, regulations and programs in a manner adverse to us; the termination or nonrenewal of our government contracts, particularly our contracts with the U.S. federal government; our ability to compete effectively in the competitive bidding process and delays, contract terminations or cancellations caused by competitors’ protests of major contract awards received by us; our ability to generate revenue under certain of our contracts; any inability to attract, train or retain employees with the requisite skills, experience and security clearances; the loss of members of senior management or failure to develop new leaders; misconduct or other improper activities from our employees or subcontractors; our ability to realize the full value of our backlog and the timing of our receipt of revenue under contracts included in backlog; changes in the mix of our contracts and our ability to accurately estimate or otherwise recover expenses, time and resources for our contracts; changes in estimates used in recognizing revenue; internal system or service failures and security breaches; and inherent uncertainties and potential adverse developments in legal proceedings, including litigation, audits, reviews and investigations, which may result in materially adverse judgments, settlements or other unfavorable outcomes. These factors are not exhaustive and additional factors could adversely affect our business and financial performance. For a discussion of additional factors that could materially adversely affect our business and financial performance, see the factors included under the caption “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025, and our other filings with the Securities and Exchange Commission. All forward-looking statements are based on currently available information and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statement made in this press release that becomes untrue because of subsequent events, new information or otherwise, except to the extent we are required to do so by law.
