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LOS ANGELES, June 10, 2026 (GLOBE NEWSWIRE) -- The Portnoy Law Firm advises Calix, Inc., (“Calix” or the "Company") (NYSE: CALX) investors of a class action on behalf of investors that bought securities between January 28, 2026 and April 21, 2026, inclusive (the “Class Period”). Calix investors have until July 27, 2026 to file a lead plaintiff motion.

LOS ANGELES, June 11, 2026 /PRNewswire/ -- The DJS Law Group reminds investors of a class action lawsuit against Calix, Inc. ("Calix" or "the Company") (NYSE: CALX) for violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission. Shareholders who purchased shares of CALX during the class period listed are encouraged to contact the firm regarding possible lead plaintiff appointments.

Calix, Inc. Sued for Securities Law Violations - Contact the DJS Law Group to Discuss Your Rights - CALX PR Newswire

Time-Sensitive: Allegations Focus on Misleading Margin Record Representations While Lower-Cost Memory Supply Was Allegedly Dwindling NEW YORK, June 11, 2026 /PRNewswire/ -- SueWallSt alerts investors in Calix, Inc. (NYSE: CALX) of a pending securities class action. Class Period: January 28, 2026 through April 21, 2026.

New York, New York--(Newsfile Corp. - June 11, 2026) - Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Calix, Inc. (NYSE: CALX) and certain of its officers.

This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Calix securities between January 28, 2026 and April 21, 2026, both dates inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/CALX.

Calix Case Details

The Complaint alleges that throughout the Class Period, defendants failed to disclose to investors:

the Company's first quarter margins had significantly benefited from advanced purchasing of memory components; that the Company's advanced supply of memory components was dwindling; that, as a result, the Company was experiencing negative margin pressure as it was forced to purchase memory components at rising market prices; and that, as a result of the foregoing, Defendants' positive statements about the Company's margins, business, operations, and prospects were materially misleading and/or lacked a reasonable basis.What's Next for Calix Investors?

A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/CALX, or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Calix you have until July 27, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.

No Cost to Calix Investors

We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.

Why Bronstein, Gewirtz & Grossman, LLC for Calix Securities Class Action?

Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com

"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.

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Source: Bronstein, Gewirtz & Grossman, LLC

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Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Calix To Contact Him Directly To Discuss Their Options

If you purchased or acquired securities in Calix between January 28, 2026 and April 21, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

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New York, New York--(Newsfile Corp. - June 11, 2026) - Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Calix, Inc. ("Calix" or the "Company") (NYSE: CALX) and reminds investors of the July 27, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.

As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (1) the Company's first quarter margins had significantly benefited from advanced purchasing of memory components; (2) that the Company's advanced supply of memory components was dwindling; (3) that, as a result, the Company was experiencing negative margin pressure as it was forced to purchase memory components at rising market prices; and (4) that, as a result of the foregoing, Defendants' positive statements about the Company's margins, business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

On April 21, 2026, Calix reported results for the first quarter of 2026 earnings, including that "Non-GAAP gross margin was 57.2%, down 80 basis points sequentially." Further, the Company reported "gross margin guidance for the second quarter of 2026 is between 54.25% and 57.25%" and "[f]or the year, we expect our non-GAAP gross margin to decline between 50 and 150 basis points."

In the accompanying earnings call, the Company's CFO stated "advanced purchasing had allowed us to avoid higher memory component costs during the first quarter. However, that advanced supply has run its course, and we now face market prices."

On this news, Calix's stock price fell $6.93, or 13.98% to close at $42.65 per share on April 22, 2026, on unusually heavy trading volume.

The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.

Faruqi & Faruqi, LLP also encourages anyone with information regarding Calix's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.

To learn more about the Calix class action, go to www.faruqilaw.com/CALX or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

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Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/300904

Source: Faruqi & Faruqi LLP

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8 Knots Management LLC trimmed its holdings in shares of Evolent Health, Inc (NYSE: EVH) by 39.3% in the undefined quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 1,768,113 shares of the technology company's stock after selling 1,145,022 shares during the

Evolent Health, Inc (NYSE: EVH - Get Free Report) has earned an average rating of "Moderate Buy" from the seventeen analysts that are covering the firm, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell rating, three have given a hold rating and thirteen have given a buy rating to the company.

, /PRNewswire/ -- Evolent Health, Inc. (NYSE: EVH) ("Evolent" or the "Company"), a company that specializes in better health outcomes for people with complex conditions through proven solutions that make health care simpler and more affordable, today announced financial results for the three months ended March 31, 2026.

Seth Blackley, Co-Founder and Chief Executive Officer of Evolent stated, "I am happy with the strong start to the year. We are on track with our plan and have had successful, on-time oncology launches at both Highmark and Aetna. As we look into 2027 and beyond, we remain focused on both extending our market leadership in oncology and addressing the big opportunity we have with AI, all while fulfilling our commitments to shareholders, employees and customers."

Highlights for the three months ended March 31, 2026 include (dollars in thousands, except for average PMPM fees and revenue per case):

For the Three Months
Ended March 31,

2026

2025

Financial Results:

Revenue

$  496,246

$  483,649

Net loss attributable to common shareholders of Evolent Health, Inc.

$   (26,632)

$   (72,250)

Net loss margin

(5.4) %

(14.9) %

Adjusted EBITDA

$    22,067

$    36,860

Adjusted EBITDA Margin

4.4 %

7.6 %

Average Lives on Platform/Cases

Performance Suite

6,078

6,486

Specialty Technology and Services Suite

76,101

77,079

Administrative Services

1,118

1,213

Cases

11

14

Average Unique Members

38,903

40,628

Average PMPM Fees/ Revenue per Case

Performance Suite

$      17.73

$      15.57

Specialty Technology and Services Suite

0.35

0.36

Administrative Services

14.78

15.72

Cases

3,772

2,947

Medical Expense Ratio

93.3 %

68.0 %

Medical Expense Ratio excluding Evolent Care Partners

93.3 %

84.0 %

The rising medical costs impacting health plans continue to drive robust demand for Evolent's complex specialty care solutions.

Evolent announced two new revenue agreements:

An existing Performance Suite client has signed a contract for our advanced imaging solution, which is expected to go live in the third quarter, subject to state regulatory approvals in certain states, with approximately 4.5 million lives across the Commercial, Medicaid and Medicare lines of business. In the Performance Suite, one of our national payer clients is expanding their line‑of‑business reach of our existing Oncology and Cardiology solution into several new markets across the Commercial and Medicare lines of business. This expansion is expected to generate over $200 million of annual revenue and is scheduled to go live in the third quarter subject to regulatory approvals in certain states. Financial Results of Evolent Health, Inc.

In our earnings releases, prepared remarks, conference calls, slide presentations and webcasts, we may use or discuss financial measures not prepared in accordance with generally accepted accounting principles ("GAAP"). Definitions of the non-GAAP financial measures as well as reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures are presented herein. See "Non-GAAP Financial Measures" for more information.

Reported Results

Evolent Health, Inc. reported the following results in accordance with GAAP (dollars in thousands, except for per share data):

For the Three Months
Ended March 31,

2026

2025

Revenue

$  496,246

$  483,649

Cost of revenue

$  412,472

$  381,178

Selling, general and administrative expenses

$    72,818

$    78,409

Net loss attributable to common shareholders of Evolent Health, Inc.

$   (26,632)

$   (72,250)

Net loss margin

(5.4) %

(14.9) %

Loss per share attributable to common shareholders of Evolent Health, Inc.

Basic and diluted

$       (0.24)

$       (0.63)

Total cash and cash equivalents was $142.0 million as of March 31, 2026.

Adjusted Results

Evolent Health, Inc. reported the following adjusted results (dollars in thousands, except for per share data):

For the Three Months
Ended March 31,

2026

2025

Adjusted cost of revenue

$  411,953

$  380,521

Adjusted selling, general and administrative expenses

$    62,226

$    66,268

Adjusted EBITDA

$    22,067

$    36,860

Adjusted EBITDA margin

4.4 %

7.6 %

Adjusted income (loss) attributable to common shareholders

$     (2,253)

$      7,445

Adjusted income (loss) per share attributable to common shareholders:

Basic

$       (0.02)

$        0.06

Business Outlook       

The Company does not believe it can meaningfully reconcile guidance for non-GAAP Adjusted EBITDA to net income (loss) attributable to common shareholders of Evolent Health, Inc. because the Company cannot provide guidance for the more significant reconciling items between net income (loss) attributable to common shareholders of Evolent Health, Inc. and Adjusted EBITDA without unreasonable effort. This is due to the fact that future period non-GAAP guidance includes adjustments for items not indicative of our core operations, and as a result from changes to our business due to transactions and other events. Such items may, from time to time, include change in tax receivable agreement liability, other refinancing fees, gain (loss) from equity method investees, gain (loss) on repayment/extinguishment of debt, other income (expense), gain (loss) on disposal of non-strategic assets, goodwill impairments, right-of-use asset impairments, gain (loss) on lease terminations, stock-based compensation expense, severance costs and transaction-related costs. Such adjustments may be affected by changes in ongoing assumptions, judgments, as well as nonrecurring, unusual or unanticipated charges, expenses or gains (losses) or other items that may not directly correlate to the underlying performance of our business operations. The exact amount of these adjustments is not currently determinable but may be significant.

Full Year 2026 Guidance

Incorporating its year-to-date performance, the Company is reiterating its 2026 revenue guidance range of $2.4 billion to $2.6 billion and Adjusted EBITDA range of approximately $110 million to $140 million, respectively.

Additional Outlook Information

The Company expects to deploy approximately $25 million to $30 million in cash for capitalized software development during 2026.

This "Business Outlook" section contains forward-looking statements, and actual results may differ materially. Factors that may cause actual results to differ materially from our current expectations in addition to those set forth above are set forth below in "Forward Looking Statements - Cautionary Language" and Evolent Health, Inc.'s filings with the Securities and Exchange Commission ("SEC").

Web and Conference Call Information

Evolent Health, Inc. will hold a conference call to discuss its financial performance and related matters this morning, May 7, 2026, at 8:00 a.m., Eastern Time. To listen to a live broadcast via the internet and view the accompanying materials, please visit the Company's Investor Relations website at http://ir.evolent.com. To participate by telephone, dial (855) 940-9467, or (412) 317-6034 for international callers, and ask to join the "Evolent Health call." Participants are advised to dial in at least fifteen minutes prior to the call to register. The call will be archived on the Company's website for one week and will be available beginning later this evening. Evolent invites all interested parties to attend the conference call.

About Evolent 

Evolent specializes in better health outcomes for people with complex conditions through proven solutions that make health care simpler and more affordable. Evolent serves a national base of leading payers and providers and is consistently recognized as a top place to work in health care nationally. Learn more about how Evolent is changing the way health care is delivered by visiting evolent.com.

Contacts:

[email protected]

Definitions

Revenue Agreements

Evolent reports the number of new revenue agreements signed for Performance Suite, Specialty Technology and Services Suite, Administrative Services and Case-based products. A new revenue agreement includes incremental revenue to the Company reflecting contracts for services to both new partner entities, corporations or health plans as well as additional sales to existing partners. New revenue agreements may include incremental services, geographic, or line of business expansions or a combination thereof. The conversion of Specialty Technology and Services Suite contracts to Performance Suite are also included in this definition. The Company does not count renewals for existing scope, growth of membership within an existing contract scope or transaction-related purchase agreements, if applicable, in this metric.

Lives on Platform and Per Member Per Month ("PMPM") Fee

Performance Suite Lives on Platform are calculated by summing monthly members covered for specialty care services for contracts not under ASO arrangements, plus members managed by Complex Care in capitation arrangements and divided by the number of months in the period. Specialty Technology and Services Suite Lives on Platform are calculated by summing monthly members covered for oncology, cardiology, musculoskeletal, advanced imaging and other diagnostic specialty care services for contracts under ASO arrangements divided by the number of months in the period. Administrative Services Lives on Platform are calculated by summing monthly members covered for administrative services implementation and core performance services divided by the number of months in the period. Cases are calculated by summing the number of individuals receiving services through our surgery management and advanced care planning programs in a given period. Members covered for more than one category are counted in each category.

Performance Suite Average PMPM fee is defined as revenue pertaining to our Performance Suite during the period reported divided by Performance Suite Lives on Platform for the period divided by the number of months in the period. Specialty Technology and Services Suite Average PMPM fee is defined as revenue pertaining to the Specialty Technology and Services Suite during the period reported divided by Specialty Technology and Services Suite Lives on Platform for the period divided by the number of months in the period. Administrative Services Average PMPM fee is defined as revenue pertaining to the Administrative Services during the period reported divided by the Administrative Services Lives on Platform for the period divided by the number of months in the period. Revenue per Case is calculated by the revenue pertaining to surgery management and advanced care planning programs divided by the number of cases for a given period.

Average Unique Members are calculated by summing members covered by our Performance Suite, Specialty Technology and Services Suite and Administrative Services. In cases where partners cross between multiple solutions, we only capture members from the solution with the maximum number of members.

Management uses Lives on Platform, PMPM fees, Cases, Revenue per Case and Average Unique Members because we believe that they provide insight into the unit economics of our services. We believe that these measures are also useful to investors because they allow further insight into the period over period operational performance.

Medical Expense Ratio

Medical Expense Ratio ("MER") is a key performance indicator used by management for purposes of monitoring operating performance and is calculated as GAAP total claims incurred related to our specialty care management services solution divided by GAAP revenue related to our Performance Suite. Management believes MER is useful to investors because it provides insight into the efficiency with which medical costs are managed relative to revenue and helps identify trends in the underlying performance. For periods prior to the consummation of the sale of Evolent Care Partners ("ECP") in December 2025, we present non-GAAP MER excluding revenues from ECP because is not indicative of ongoing operations.

EVOLENT HEALTH, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)

(unaudited, in thousands, except per share data)

For the Three Months
Ended March 31,

2026

2025

Revenue

$   496,246

$   483,649

Expenses

Cost of revenue

412,472

381,178

Selling, general and administrative expenses

72,818

78,409

Depreciation and amortization expenses

21,555

24,058

Loss on lease termination

—

1,906

Change in fair value of contingent consideration

—

(280)

Operating expenses

506,845

485,271

Operating loss

(10,599)

(1,622)

Interest income

1,014

1,274

Interest expense

(16,868)

(10,385)

Loss from equity method investees

(11)

(19)

Loss on option exercise

—

(52,348)

Other income (expense), net

742

(48)

Loss before income taxes

(25,722)

(63,148)

Provision for income taxes

910

1,470

Loss before preferred dividends and accretion of Series A Preferred Stock including
excise tax

(26,632)

(64,618)

Dividends and accretion of Series A Preferred Stock including excise tax

—

(7,632)

Net loss attributable to common shareholders of Evolent Health, Inc.

$   (26,632)

$   (72,250)

Loss per common share

Basic and diluted

$       (0.24)

$       (0.63)

Weighted-average common shares outstanding

Basic and diluted

111,905

115,315

Comprehensive loss

Net loss attributable to common shareholders of Evolent Health, Inc.

$   (26,632)

$   (72,250)

Other comprehensive loss, net of taxes, related to:

Foreign currency translation adjustment

(1,002)

24

Total comprehensive loss attributable to common shareholders of Evolent Health, Inc.

$   (27,634)

$   (72,226)

EVOLENT HEALTH, INC.

CONSOLIDATED BALANCE SHEETS

(in thousands, except share data)

March 31, 2026

December 31,
2025

(unaudited)

ASSETS

Current assets:

Cash and cash equivalents

$            142,028

$           151,856

Restricted cash

23,977

26,134

Accounts receivable, net

314,158

309,861

Prepaid expenses and other current assets

21,847

18,521

  Total current assets

502,010

506,372

Restricted cash

2,739

2,706

Investments and equity method investees

8,955

8,966

Property and equipment, net

81,181

80,785

Right-of-use assets - operating

3,866

4,373

Prepaid expenses and other noncurrent assets

2,250

3,078

Contract cost assets

13,731

13,537

Intangible assets, net

569,682

584,937

Goodwill

694,433

694,482

Total assets

$         1,878,847

$        1,899,236

LIABILITIES AND SHAREHOLDERS' EQUITY

Liabilities

Current liabilities:

Accounts payable

$              63,007

$             59,776

Accrued liabilities

45,063

65,755

Operating lease liability - current

8,779

15,343

Accrued compensation and employee benefits

31,007

50,987

Deferred revenue

1,417

1,203

Reserve for claims and performance - based arrangements

231,962

192,196

  Total current liabilities

381,235

385,260

Long-term debt, net

973,486

970,537

Other long-term liabilities

8,091

8,012

Tax receivables agreement liability

108,909

108,909

Operating lease liabilities - noncurrent

3,160

3,818

Deferred tax liabilities, net

7,573

7,506

Total liabilities

1,482,454

1,484,042

Shareholders' Equity

Class A common stock - $0.01 par value; 750,000,000 shares authorized;
118,449,473 and 117,603,806 shares issued, respectively

1,185

1,176

Additional paid-in-capital

1,802,222

1,793,398

Accumulated other comprehensive loss

(3,626)

(2,624)

Retained earnings (accumulated deficit)

(1,341,959)

(1,315,327)

Treasury stock, at cost; 5,971,712 and 5,971,712 shares issued, respectively

(61,429)

(61,429)

Total shareholders' equity

396,393

415,194

Total liabilities and shareholders' equity

$         1,878,847

$        1,899,236

EVOLENT HEALTH, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited, in thousands)

For the Three Months
Ended March 31,

2026

2025

Cash Flows (Used In) Provided by Operating Activities

Loss before preferred dividends and accretion of Series A Preferred Stock

$  (26,632)

$  (64,618)

Adjustments to reconcile net loss to net cash and restricted cash provided by operating
activities:

Change in fair value of contingent consideration

—

(280)

Loss (gain) from equity method investees

11

19

Loss on option exercise

—

52,348

Depreciation and amortization expenses

21,555

24,058

Stock-based compensation expense

10,649

11,081

Deferred tax benefit

577

295

Amortization of contract cost assets

931

1,237

Amortization of deferred financing costs

2,949

1,154

Loss on lease termination

—

1,906

Right-of-use operating assets

507

408

Other current operating cash inflows (outflows), net

—

2

Changes in assets and liabilities, net of acquisitions:

  Accounts receivable, net and contract assets

(4,297)

(15,815)

  Prepaid expenses and other current and non-current assets

(3,372)

(7,729)

  Contract cost assets

(1,125)

(1,193)

  Accounts payable

5,388

3,264

  Accrued liabilities

(20,982)

(18,879)

  Operating lease liabilities

(7,222)

(2,820)

  Accrued compensation and employee benefits

(19,980)

2,195

  Deferred revenue

214

2,510

  Reserve for claims and performance-based arrangements

39,766

15,137

  Other long-term liabilities

79

285

  Net cash and restricted cash (used in) provided by operating activities

(984)

4,565

Cash Flows Used In Investing Activities

Cash paid for asset acquisitions and business combinations

—

(4,498)

Investments in internal-use software and purchases of property and equipment

(6,406)

(8,595)

Net cash and restricted cash used in investing activities

(6,406)

(13,093)

Cash Flows (Used In) Provided by Financing Activities

Changes in working capital balances related to claims processing

(2,157)

(41,476)

Proceeds from issuance of long-term debt, net of offering costs

—

221,000

Repayment of debt

—

(62,500)

Payment of preferred dividends

—

(4,577)

Taxes withheld and paid for vesting of equity awards

(1,816)

(4,593)

Net cash and restricted cash (used in) provided by financing activities

(3,973)

107,854

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

(589)

23

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

(11,952)

99,349

Cash and cash equivalents and restricted cash as of beginning-of-period

180,696

178,496

Cash and cash equivalents and restricted cash as of end-of-period

$ 168,744

$ 277,845

Non-GAAP Financial Measures

The Company views the following activities as integral to understanding its non-GAAP financial measures:

Transaction-related costs include but are not limited to integration consultants, investor outreach services, external valuation and accounting advisory services, legal fees, transaction bonuses paid to certain employees and other transaction related costs. We adjust these costs because transaction-related costs are expensed when incurred and are not indicative of Evolent's normal operating costs. Purchase accounting adjustments include amortization expense on intangible assets such as corporate trade names, customer, relationships, provider network contracts and existing technology related to acquisitions and business combinations. We believe it is important for the reader to understand that revenue generated from acquisitions is included within revenue in calculating adjusted income to common shareholders however amortization expense from acquired intangible assets is excluded in determining adjusted income to common shareholders because it does not directly relate to the services performed for the Company's customers. In addition to disclosing financial results that are determined in accordance with GAAP, we present Adjusted Cost of Revenue, Adjusted Selling, General and Administrative Expenses, Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted Income (Loss) Attributable to Common Shareholders, which are all non-GAAP financial measures, as supplemental measures to help investors evaluate our fundamental operational performance.

Adjusted Cost of Revenue and Adjusted Selling, General and Administrative Expenses are defined as cost of revenue and selling, general and administrative expenses calculated in accordance with GAAP, respectively, adjusted to exclude the impact of stock-based compensation expenses, severance costs and transaction-related costs. Management believes Adjusted Cost of Revenue and Adjusted Selling, General and Administrative Expenses are useful to investors, because they facilitate an understanding of our long-term operational costs while removing the effect of costs that are not a representative component of the day-to-day operating performance of our business, and are useful to management as supplemental performance measures.

Adjusted EBITDA is defined as net loss attributable to common shareholders of Evolent Health, Inc. before interest income, interest expense, provision for income taxes, depreciation and amortization expenses, loss from equity method investees, loss on option exercise, change in fair value of contingent consideration, other income (expense), net, loss on lease termination, stock-based compensation expense, severance costs, dividends and accretion of Series A Preferred Stock and transaction-related costs.

Management believes that Adjusted EBITDA is useful to investors because it allows investors to evaluate the Company's performance using tools that management uses to evaluate past performance and prospects for future performance. Management also uses Adjusted EBITDA as a supplemental performance measure because the removal of adjustments to net loss attributable to common shareholders of Evolent Health, Inc. allows us to focus on operational performance.

Adjusted EBITDA Margin is defined Adjusted EBITDA divided by Revenue. Management believes that this measure is useful to investors because it allows further insight into the period over period operational performance. Management also uses Adjusted EBITDA Margin as a supplemental performance measure because it allows the investor to understand operational performance compared to revenues over time.

Adjusted Income (Loss) Attributable to Common Shareholders is defined as net loss attributable to common shareholders of Evolent Health, Inc. adjusted to loss from equity method investees, other income (expense), net, provision for income taxes, change in fair value of contingent consideration, loss on option exercise, purchase accounting adjustments, loss on lease termination, stock-based compensation expense, severance costs, transaction-related costs and the tax impact of non-GAAP adjustments.

Adjusted Income (Loss) per Share Attributable to Common Shareholders is defined as Adjusted Income (Loss) Attributable to Common Shareholders divided by Weighted-Average Common Shares, and reflects the adjustments made in those non-GAAP measures.

Management believes that Adjusted Income (Loss) Attributable to Common Shareholders and Adjusted Income (Loss) per Share Attributable to Common Shareholders are useful to investors because they provide a measure of the Company's net profitability on a more comparable basis to historical periods and provide a more meaningful basis for forecasting future performance.

These adjusted measures do not represent and should not be considered as alternatives to GAAP measurements, and our calculations thereof may not be comparable to similarly entitled measures reported by other companies. A reconciliation of these adjusted measures to their most comparable GAAP financial measures is presented in the tables below. We believe these measures are useful across time in evaluating our fundamental core operating performance.

Evolent Health, Inc.

Reconciliation of Adjusted Results of Operations

(unaudited, in thousands)

Reconciliation of Adjusted Cost of Revenue to

Cost of Revenue

For the Three Months
Ended March 31,

2026

2025

Cost of revenue

$   412,472

$   381,178

Less:

Stock-based compensation

519

657

  Adjusted cost of revenue

$   411,953

$   380,521

Reconciliation of Adjusted Selling, General and Administrative Expenses to

Selling, General and Administrative Expenses

For the Three Months
Ended March 31,

2026

2025

Selling, general and administrative expenses

$     72,818

$     78,409

Less:

Stock-based compensation

10,130

10,424

Severance costs

—

1,014

Transaction-related costs

462

703

  Adjusted selling, general and administrative expenses

$     62,226

$     66,268

Evolent Health, Inc.

Reconciliation of Medical Expense Ratio

(unaudited, in thousands except MER percentages)

For the Three Months
Ended March 31,

2026

2025

Revenue

Performance Suite

$ 323,303

$ 303,021

Specialty Technology and Services Suite

80,799

82,821

Administrative Services

49,587

57,191

Cases

42,557

40,616

  Total revenue

496,246

483,649

Less:

Revenue from Evolent Care Partners

—

57,799

Performance Suite revenue less revenue from Evolent Care Partners

323,303

245,222

Total claims incurred related to our specialty care management services solution

301,777

205,992

Medical expense ratio

93.3 %

68.0 %

Medical expense ratio excluding Evolent Care Partners

93.3 %

84.0 %

Evolent Health, Inc.

Reconciliation of Adjusted EBITDA to Net Income (Loss)

Attributable to Common Shareholders of Evolent Health, Inc.

(unaudited, in thousands)

For the Three Months
Ended March 31,

2026

2025

Net loss attributable to common shareholders of Evolent Health, Inc.

$  (26,632)

$  (72,250)

Net loss margin

(5.4) %

(14.9) %

Less:

Interest income

1,014

1,274

Interest expense

(16,868)

(10,385)

Provision for income taxes

(910)

(1,470)

Depreciation and amortization expenses

(21,555)

(24,058)

Loss from equity method investees

(11)

(19)

Loss on option exercise

—

(52,348)

Change in fair value of contingent consideration

—

280

Other income (expense), net

742

(48)

Loss on lease termination

—

(1,906)

Stock-based compensation expense

(10,649)

(11,081)

Severance costs

—

(1,014)

Dividends and accretion of Series A Preferred Stock

—

(7,632)

Transaction-related costs

(462)

(703)

Adjusted EBITDA

$   22,067

$   36,860

Adjusted EBITDA margin

4.4 %

7.6 %

Evolent Health, Inc.

Reconciliation of Adjusted Income (Loss) Attributable to Common Shareholders to

Net Loss Attributable to Common Shareholders

(unaudited, in thousands, except per share data)

For the Three Months
Ended March 31,

2026

2025

Net loss attributable to common shareholders of Evolent Health, Inc.

$   (26,632)

$   (72,250)

Less:

Loss from equity method investees

(11)

(19)

Other income (expense), net

742

(48)

Provision for income taxes

(910)

(1,470)

Change in fair value of contingent consideration

—

280

Loss on option exercise

—

(52,348)

Purchase accounting adjustments

(12,490)

(13,365)

Loss on lease termination

—

(1,906)

Stock-based compensation expense

(10,649)

(11,081)

Severance costs

—

(1,014)

Transaction-related costs

(462)

(703)

Tax impact (1)

(599)

1,979

Adjusted income (loss) attributable to common shareholders

$     (2,253)

$      7,445

Loss per share attributable to common shareholders

Basic

$       (0.24)

$       (0.63)

Adjusted income (loss) per share attributable to common shareholders

Basic

$       (0.02)

$        0.06

Weighted-average common shares

Basic

111,905

115,315

(1)

Non-GAAP financial information for the periods shown are adjusted for an assumed provision for income taxes based on our statutory federal tax rate of 21%. Due to the differences in the tax treatment of items excluded from non-GAAP earnings, our estimated tax rate on non-GAAP income may differ from our GAAP tax rate.

FORWARD-LOOKING STATEMENTS - CAUTIONARY LANGUAGE

Certain statements made in this report and in other written or oral statements made by us or on our behalf are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 ("PSLRA"). A forward-looking statement is a statement that is not a historical fact and, without limitation, includes any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may contain words like: "believe," "anticipate," "expect," "estimate," "aim," "predict," "potential," "continue," "plan," "project," "will," "should," "shall," "may," "might" and other words or phrases with similar meaning in connection with a discussion of future operating or financial performance. In particular, these include statements relating to our ability to weather current dynamics, continue to expand our footprint, future actions, trends in our businesses, prospective services, new partner additions/expansions, our guidance and business outlook and future performance or financial results, and the closing of pending transactions and the outcome of contingencies, such as legal proceedings. We claim the protection afforded by the safe harbor for forward-looking statements provided by the PSLRA.

These statements are only predictions based on our current expectations and projections about future events. Forward-looking statements involve risks and uncertainties that may cause actual results, level of activity, performance or achievements to differ materially from the results contained in the forward-looking statements. Risks and uncertainties that may cause actual results to vary materially, some of which are described within the forward-looking statements, include, among others:

the significant portion of revenue we derive from our largest partners, and the potential loss, termination or renegotiation of our relationship or contract with any significant partner, or multiple partners in the aggregate; the increasing number of risk-sharing arrangements we enter into with our partners; the growth and success of our partners and certain revenues from our engagements, which are difficult to predict and are subject to factors outside of our control, including governmental funding reductions and other policy changes; our ability to accurately predict our exposure under performance-based contracts; failure by our customers to provide us with accurate and timely information; our ability to recover the upfront costs in our partner relationships and develop our partner relationships over time; our ability to attract new partners and successfully capture new opportunities; our ability to offer new and innovative products and services and our ability to keep pace with industry standards, technology and our partners' needs; our ability to maintain and enhance our reputation and brand recognition; our dependency on our key personnel, and our ability to attract, hire, integrate and retain key personnel; risks related to completed and future acquisitions, investments, alliances and joint ventures, which could divert management resources, result in unanticipated costs or dilute our stockholders; our ability to effectively manage our growth and maintain an efficient cost structure; risks related to managing our offshore operations and cost reduction goals; our ability to estimate the size of our target markets for our services; consolidation in the health care industry; competition which could limit our ability to maintain or expand market share within our industry; risks related to audits by CMS and other governmental payers and actions, including whistleblower claims under the False Claims Act; evolution of the healthcare regulatory and political framework; restrictions on the manner in which we access personal data and penalties as a result of privacy and data protection laws; data loss or corruption due to failures or errors in our systems and service disruptions at our data centers; liabilities and reputational risks related to our ability to safeguard the security and privacy of confidential data; our ability to obtain, maintain and enforce intellectual property rights and protect our trademarks and trade names, including from third parties alleging that we are infringing or violating their intellectual property rights; our ability to protect the confidentiality of our trade secrets; risks associated with our use of artificial intelligence and machine learning models; our use of "open-source" software; our reliance on third parties and licensed technologies; restrictions on our ability to use, disclose, de-identify or license data and to integrate third-party technologies; our reliance on Internet infrastructure, bandwidth providers, data center providers, other third parties and our own systems for providing services to our partners and operating our business; our ability to achieve profitability in the future; the impact of additional goodwill and intangible asset impairments on our results of operations; our obligations to make material payments to certain of our pre-IPO investors for certain tax benefits we may claim in the future; our obligations to make payments under the tax receivables agreement that may be accelerated or may exceed the tax benefits we realize; our ability to utilize benefits under the tax receivables agreement described herein; the terms of agreements between us and certain of our pre-IPO investors may contain different terms than comparable agreement we may enter into with unaffiliated third parties; our inability to obtain financing may result in a reduction in the ownership of our stockholders; the conditional conversion features, and changes in accounting treatment of the 2029 Notes and the 2031 Notes, which, if triggered, may adversely affect our financial condition and operating results; our ability to raise funds necessary to settle conversions of our notes in cash, to repurchase our notes for cash upon a fundamental change or to pay the redemption price for any notes we redeem; interest rate risk and other restrictive covenants under our First Lien Credit Agreement and the second lien credit agreement, by and among the Company, Evolent Health LLC, as borrower, certain subsidiaries of the Company, as guarantors, the lenders from time to time party thereto, and Ares Capital Corporation, as administrative agent and collateral agent; our indebtedness, our ability to service our indebtedness, and our ability to obtain additional financing on favorable terms or at all; interference with our ability to access the first and second lien credit facilities under our Credit Agreements; the potential volatility of our Class A common stock price; provisions in our certificate of incorporation and by-laws and provisions of Delaware law that discourage or prevent strategic transactions, including a takeover of us; provisions in our certificate of incorporation which could limit our stockholders' ability to obtain a favorable judicial forum for disputes with us or our directors, officers or employees; our intention not to pay cash dividends on our Class A common stock; the impact of litigation proceedings, government inquiries, reviews, audits or investigations; public health emergencies, epidemics, pandemics or contagious diseases; the cost of compliance with sustainability or other environmental, social responsibility or governance law and regulations; the impact of increasing inflationary pressures and rising consumer costs on our business; and our ability to utilize our net operating loss carry forwards and certain other tax attributes may be limited. The risks included here are not exhaustive. Although we believe the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance or achievements. Our periodic reports and other documents filed with the SEC include additional factors that could affect our businesses and financial performance. Moreover, we operate in a rapidly changing and competitive environment. New risk factors emerge from time to time, and it is not possible for management to predict all such risk factors.

Further, it is not possible to assess the effect of all risk factors on our businesses or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. In addition, we undertake no obligation to publicly update any forward-looking statements to reflect events or circumstances that occur after the date of this release.

SOURCE Evolent Health, Inc.

For the quarter ended March 2026, Evolent Health (EVH - Free Report) reported revenue of $496.25 million, up 2.6% over the same period last year. EPS came in at -$0.02, compared to $0.06 in the year-ago quarter.

The reported revenue represents a surprise of -6.68% over the Zacks Consensus Estimate of $531.77 million. With the consensus EPS estimate being -$0.05, the EPS surprise was +57.17%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

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

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

Average PMPM Fees / Revenue per Case - Performance Suite: $17.73 compared to the $16.38 average estimate based on three analysts.Average PMPM Fees / Revenue per Case - Specialty Technology and Services Suite: $0.35 versus the three-analyst average estimate of $0.39.Average PMPM Fees / Revenue per Case - Administrative Services: $14.78 versus $15.65 estimated by three analysts on average.Average Lives on Platform / Cases - Cases: 11 thousand compared to the 13.31 thousand average estimate based on three analysts.Average Lives on Platform / Cases - Performance Suite: 6.08 million compared to the 7.11 million average estimate based on three analysts.Average Lives on Platform / Cases - Specialty Technology and Services Suite: 76.1 million versus the three-analyst average estimate of 68.69 million.Average Lives on Platform / Cases - Administrative Services: 1.12 million compared to the 989.17 thousand average estimate based on three analysts.Average PMPM Fees / Revenue per Case - Cases: $3,772.00 versus the three-analyst average estimate of $3,210.45.Total Revenue by product type- Performance Suite: $323.3 million compared to the $349.79 million average estimate based on three analysts. The reported number represents a change of +6.7% year over year.Total Revenue by product type- Cases: $42.56 million compared to the $42.97 million average estimate based on three analysts. The reported number represents a change of +4.8% year over year.Total Revenue by product type- Administrative Services: $49.59 million compared to the $46.45 million average estimate based on three analysts. The reported number represents a change of -13.3% year over year.Total Revenue by product type- Specialty Technology and Services Suite: $80.8 million versus $80.16 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -2.4% change.View all Key Company Metrics for Evolent Health here>>>

Shares of Evolent Health have returned +49.6% over the past month versus the Zacks S&P 500 composite's +11.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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A month has gone by since the last earnings report for Antero Midstream Corporation (AM - Free Report) . Shares have added about 9.3% in that time frame, outperforming the S&P 500.

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

Antero Midstream's Q4 Earnings Miss Estimates, Revenues BeatAntero Midstream reported fourth-quarter 2025 earnings per share of 11 cents, which missed the Zacks Consensus Estimate of 24 cents. The bottom line also declined from the year-ago quarter’s level of 23 cents.

Total quarterly revenues of $297 million beat the Zacks Consensus Estimate of $294 million. The top line also improved from $287 million in the year-ago quarter.

The weak quarterly earnings can be attributed to an increase in total operating expenses. However, higher gathering and compression volumes partially offset the negatives.

Operational Performance

Average daily compression volumes were 3,424 million cubic feet (MMcf/d) compared with 3,266 MMcf/d in the year-ago quarter. The reported figure was above our estimate of 3,274 MMcf/d. On a per-Mcf basis, the compression fee was 22 cents, which increased nearly 5% from 21 cents a year ago.

High-pressure gathering volumes totaled 3,193 MMcf/d, up 5% from the year-ago level of 3,045 MMcf/d. Our estimate for the same was pinned at 3,068 MMcf/d. On a per-Mcf basis, the average gathering high-pressure fee was 23 cents, which remained flat year over year.

Low-pressure gathering volumes averaged 3,435 MMcf/d compared with 3,276 MMcf/d a year ago. The figure was above our estimate of 3,296 MMcf/d. On a per-Mcf basis, the average gathering low-pressure fee was 36 cents, which remained flat year over year. The reported figure met our estimate of 36 cents.

Freshwater delivery volumes were registered at 93 MBbls/d, down 18% from the prior-year quarter’s figure of 114 MBbls/d. On a per-barrel basis, the average freshwater distribution fee was $4.37 compared with $4.31 a year ago. The figure was above our estimate of $4.31.

Operating Expenses

Direct operating expenses amounted to $54.1 million, down from $55.9 million recorded a year ago.

Antero Midstream’s total operating expenses amounted to $196.5 million, up from $109.7 million recorded in the corresponding period of 2024.

Balance Sheet

As of Dec. 31, 2025, the company had cash and cash equivalents of $180 million. The company also had a long-term debt of $3.2 billion.

How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a upward trend in estimates revision.

VGM ScoresCurrently, Antero Midstream has a subpar Growth Score of D, however its Momentum Score is doing a lot better with an A. However, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for this investment strategy.

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

OutlookEstimates have been trending upward for the stock, and the magnitude of this revision looks promising. Interestingly, Antero Midstream has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry PlayerAntero Midstream belongs to the Zacks Oil and Gas - Integrated - United States industry. Another stock from the same industry, National Fuel Gas (NFG - Free Report) , has gained 9.5% over the past month. More than a month has passed since the company reported results for the quarter ended December 2025.

National Fuel Gas reported revenues of $651.51 million in the last reported quarter, representing a year-over-year change of +18.6%. EPS of $2.06 for the same period compares with $1.66 a year ago.

For the current quarter, National Fuel Gas is expected to post earnings of $2.69 per share, indicating a change of +12.6% from the year-ago quarter. The Zacks Consensus Estimate has changed -1.8% over the last 30 days.

National Fuel Gas has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of B.

Algert Global LLC boosted its holdings in shares of Antero Midstream Corporation (NYSE: AM) by 105.2% in the undefined quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 1,153,609 shares of the pipeline company's stock after buying an additional 591,346 shares during the quarter.

Chickasaw Capital Management LLC grew its stake in shares of Antero Midstream Corporation (NYSE: AM) by 11.7% during the fourth quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 1,409,183 shares of the pipeline company's stock after acquiring an additional 147,250 shares

Posted by Defense World Staff on Apr 8th, 2026

Shares of Antero Midstream Corporation (NYSE:AM – Get Free Report) crossed above its 200-day moving average during trading on Tuesday . The stock has a 200-day moving average of $19.40 and traded as high as $23.03. Antero Midstream shares last traded at $22.7850, with a volume of 1,770,244 shares trading hands.

Analyst Upgrades and Downgrades A number of analysts recently weighed in on the stock. Weiss Ratings raised shares of Antero Midstream from a “buy (b+)” rating to a “buy (a-)” rating in a report on Friday, March 6th. Zacks Research lowered shares of Antero Midstream from a “strong-buy” rating to a “hold” rating in a report on Monday, February 2nd. The Goldman Sachs Group upped their target price on shares of Antero Midstream from $18.00 to $23.00 and gave the stock a “neutral” rating in a report on Tuesday, February 24th. Wells Fargo & Company upped their target price on shares of Antero Midstream from $21.00 to $23.00 and gave the stock an “equal weight” rating in a report on Friday, March 13th. Finally, UBS Group upped their target price on shares of Antero Midstream from $22.00 to $24.00 and gave the stock a “neutral” rating in a report on Wednesday, March 25th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Antero Midstream currently has a consensus rating of “Hold” and a consensus target price of $22.50.

Read Our Latest Research Report on Antero Midstream

Antero Midstream Stock Up 0.8% The stock’s fifty day moving average is $21.78 and its two-hundred day moving average is $19.40. The company has a current ratio of 3.41, a quick ratio of 3.41 and a debt-to-equity ratio of 1.63. The firm has a market cap of $10.78 billion, a P/E ratio of 26.49 and a beta of 0.75.

Antero Midstream (NYSE:AM – Get Free Report) last issued its quarterly earnings results on Wednesday, February 11th. The pipeline company reported $0.11 EPS for the quarter, missing analysts’ consensus estimates of $0.24 by ($0.13). The company had revenue of $297.00 million during the quarter, compared to the consensus estimate of $292.46 million. Antero Midstream had a return on equity of 20.12% and a net margin of 34.77%.Antero Midstream’s quarterly revenue was up 3.3% on a year-over-year basis. During the same period in the previous year, the company earned $0.23 EPS. As a group, research analysts anticipate that Antero Midstream Corporation will post 0.95 earnings per share for the current year.

Antero Midstream Announces Dividend The business also recently declared a quarterly dividend, which was paid on Wednesday, February 11th. Stockholders of record on Wednesday, January 28th were issued a $0.225 dividend. The ex-dividend date of this dividend was Wednesday, January 28th. This represents a $0.90 dividend on an annualized basis and a dividend yield of 3.9%. Antero Midstream’s dividend payout ratio is presently 104.65%.

Insider Transactions at Antero Midstream In other news, insider Yvette K. Schultz sold 25,000 shares of the stock in a transaction on Monday, March 9th. The shares were sold at an average price of $22.81, for a total value of $570,250.00. Following the transaction, the insider owned 649,834 shares of the company’s stock, valued at $14,822,713.54. This represents a 3.70% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Brooks J. Klimley sold 5,000 shares of the stock in a transaction on Thursday, March 12th. The stock was sold at an average price of $23.16, for a total transaction of $115,800.00. Following the completion of the transaction, the director directly owned 69,680 shares in the company, valued at $1,613,788.80. The trade was a 6.70% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 44,000 shares of company stock valued at $1,004,690 in the last quarter. Insiders own 0.86% of the company’s stock.

Hedge Funds Weigh In On Antero Midstream Institutional investors have recently made changes to their positions in the stock. Richardson Financial Services Inc. increased its holdings in shares of Antero Midstream by 330.2% in the 3rd quarter. Richardson Financial Services Inc. now owns 1,295 shares of the pipeline company’s stock worth $25,000 after buying an additional 994 shares during the last quarter. Root Financial Partners LLC bought a new position in shares of Antero Midstream in the 3rd quarter worth $25,000. Elevation Wealth Partners LLC bought a new position in shares of Antero Midstream in the 4th quarter worth $27,000. Quent Capital LLC bought a new position in shares of Antero Midstream in the 3rd quarter worth $28,000. Finally, Larson Financial Group LLC boosted its stake in shares of Antero Midstream by 68.1% in the 4th quarter. Larson Financial Group LLC now owns 1,747 shares of the pipeline company’s stock valued at $31,000 after purchasing an additional 708 shares in the last quarter. Institutional investors own 53.97% of the company’s stock.

Antero Midstream Company Profile (Get Free Report)

Antero Midstream Corporation is a publicly traded midstream service provider that was established in 2014 as a spin-off from Antero Resources. Headquartered in Denver, Colorado, the company owns, operates and develops midstream infrastructure to support the gathering, compression, processing, transportation and storage of natural gas, natural gas liquids (NGLs) and crude oil. Antero Midstream plays a critical role in connecting upstream production in the Appalachian Basin to end-market pipelines and processing facilities.

The company’s core operations include a network of gathering pipelines and compression stations that serve the Marcellus and Utica shale formations across West Virginia, Pennsylvania and Ohio.

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Resources Investor Relations Journalists Agencies Client Login Send a Release News Products Contact , /PRNewswire/ -- Antero Resources (NYSE: AR) ("Antero" or the "Company") today announced that the Company plans to issue its first quarter 2026 earnings release on Wednesday, April 29, 2026 after the close of trading on the New York Stock Exchange.

A conference call is scheduled on Thursday, April 30, 2026 at 9:00 am MT to discuss the financial and operational results. A brief Q&A session for security analysts will immediately follow the discussion of the results. To participate in the call, dial in at 877-407-9079 (U.S.), or 201-493-6746 (International) and reference "Antero Resources." A telephone replay of the call will be available until Thursday, May 7, 2026 at 9:00 am MT at 877-660-6853 (U.S.) or 201-612-7415 (International) using the conference ID: 13758944. To access the live webcast and view the related earnings conference call presentation, visit Antero's website at www.anteroresources.com. The webcast will be archived for replay until Thursday, May 7, 2026 at 9:00 am MT.

Antero Resources is an independent natural gas and natural gas liquids company engaged in the acquisition, development and production of unconventional properties located in the Appalachian Basin in West Virginia. In conjunction with its affiliate, Antero Midstream (NYSE: AM), Antero is one of the most integrated natural gas producers in the U.S. The Company's website is located at www.anteroresources.com.

SOURCE Antero Resources Corporation

Also from this source

, /PRNewswire/ -- Antero Midstream Corporation (NYSE: AM) ("Antero Midstream" or the "Company") today announced its first quarter 2026 financial and operating results.  The relevant consolidated financial statements are included in Antero Midstream's Quarterly Report on Form 10-Q for the three months ended March 31, 2026.

First Quarter 2026 Highlights:

Gathering volumes increased by 14% compared to the prior year quarter Net Income was $118 million, or $0.25 per diluted share, in line with the prior year quarter Adjusted Net Income was $138 million, or $0.29 per diluted share, a 4% per share increase compared to the prior year quarter (non-GAAP measure) Adjusted EBITDA was $288 million, a 5% increase compared to the prior year quarter (non-GAAP measure) Capital expenditures were $42 million Adjusted Free Cash Flow after dividends was $85 million, an 8% increase compared to the prior year quarter (non-GAAP measure) Repurchased 1.0 million shares for $18 million Michael Kennedy, CEO and President said, "Antero Midstream delivered another quarter of volume and EBITDA growth while closing the Company's largest acquisition to-date.  Our ability to close the HG acquisition and integrate operations while avoiding any outages during Winter Storm Fern, is a testament to the hard work and dedication of our team."

Mr. Kennedy continued, "In addition to the integration efforts that remain on schedule, we continue to invest capital to improve the connectivity and market outlets on our gathering systems. These capital projects supported our first dry gas Marcellus Shale pad in over a decade, as well as our first pad on the acquired assets, that were connected during the second quarter. These pads deliver volumetric growth and position Antero Midstream to help supply the rising demand for U.S. Energy."

Justin Agnew, CFO of Antero Midstream, said, "Antero Midstream's strong balance sheet and consistent Free Cash Flow generation, combined with the sale of our Ohio Utica Shale assets, allowed us to finance the HG Energy acquisition while maintaining leverage in the low 3-times range. Looking ahead we expect our just-in-time organic strategy, bolstered by the highly accretive HG Energy acquisition, to continue delivering high-single digit EBITDA growth in the future."

For a discussion of the non-GAAP financial measures, including Adjusted EBITDA, Adjusted Net Income, Leverage, and Adjusted Free Cash Flow after dividends please see "Non-GAAP Financial Measures."

Share Repurchases

During the first quarter of 2026, Antero Midstream repurchased 1.0 million shares for $18 million.  Antero Midstream had approximately $318 million of remaining capacity under its share repurchase program as of March 31, 2026. 

Strategic and Operating Updates

Antero Midstream completed its two previously announced strategic transactions during the first quarter.  The Company closed on the HG Energy acquisition in early February and closed on the divestiture of its Ohio Utica Shale assets in late February.  Operating and financial results include contributions based on the closing dates of each transaction.

Upon closing of the acquisition, Antero Midstream immediately commenced asset integration operations and cost-effective water blending solutions. This included initial facilities and connectivity work that successfully supported the first pad turn-in-line on the acquired assets in the second quarter.  In addition, the Company initiated the construction of a pipeline to connect its water system with the acquired water system, which supports additional fresh water delivery volumes and growth in 2027 and beyond.

During the first quarter of 2026, Antero Midstream connected 20 wells to its gathering system and serviced 26 wells with its fresh water delivery system.  Capital expenditures were $42 million during the first quarter of 2026.  The Company invested $26 million in gathering and compression, $15 million in water infrastructure, and $1 million in the Stonewall Joint Venture.

First Quarter 2026 Financial Results

Gathering volumes increased by 14% compared to the prior year quarter. Fresh water delivery volumes averaged 83 MBbl/d during the quarter, a 21% decrease compared to the first quarter of 2025.  Processing volumes from the processing and fractionation joint venture (the "Joint Venture") increased by 4% compared to the prior year quarter. Joint Venture fractionation volumes averaged 40 MBbl/d, in line with the prior year quarter.  Processing and fractionation capacity were both 100% utilized during the quarter. 

Three Months Ended

March 31,

Average Daily Volumes:

2025

2026

% Change

Gathering (MMcf/d)

3,348

3,805

14 %

Centralized Compression (MMcf/d)

3,330

3,370

1 %

High Pressure Gathering (MMcf/d)

3,106

3,133

1 %

Fresh Water Delivery (MBbl/d)

105

83

(21) %

Joint Venture Processing (MMcf/d)

1,650

1,708

4 %

Joint Venture Fractionation (MBbl/d)

40

40

—

For the three months ended March 31, 2026, revenues were $314 million, comprised of $250 million from the Gathering and Processing segment and $64 million from the Water Handling segment, net of $21 million of amortization of customer relationships.  Water Handling revenues include $40 million from other water handling and high rate water transfer services.

Direct operating expenses were $30 million for the Gathering and Processing segment and $41 million for the Water Handling segment for a total of $71 million.  Water Handling operating expenses include $35 million from other water handling and high rate water transfer services.  General and administrative expenses excluding equity-based compensation were $12 million during the first quarter of 2026.  Total operating expenses during the first quarter of 2026 included $11 million of equity-based compensation expense and $35 million of depreciation expense. Transaction expense was $9 million related to the HG Midstream acquisition.

Net Income was $118 million, or $0.25 per diluted share, in line with the prior year quarter.  Net Income adjusted for amortization of customer relationships, impairment of property and equipment, gain on long-lived assets, transaction expense and other, net of tax effects of reconciling items, or Adjusted Net Income, was $138 million.  Adjusted Net Income was $0.29 per diluted share, a 4% per share increase compared to the prior year quarter.

The following table reconciles Net Income to Adjusted Net Income (in thousands):

Three Months Ended

March 31,

2025

2026

Net Income

$

120,737

118,266

Amortization of customer relationships

17,668

21,210

Impairment of property and equipment

817

—

Gain on long-lived assets

—

(2,658)

Transaction expense

—

8,689

Other(1)

(5)

(13)

Tax effect of reconciling items(2)

(4,773)

(7,047)

Adjusted Net Income

$

134,444

138,447

(1) Other represents gain on asset sale.

(2) The statutory tax rate for each of the three months ended March 31, 2025 and 2026 was approximately 26%.

Adjusted EBITDA was $288 million, a 5% increase compared to the prior year quarter.  Interest expense was $54 million, a 12% increase compared to the prior year quarter driven by financing for the HG Energy acquisition.  Capital expenditures were $42 million during the first quarter of 2026.  Adjusted Free Cash Flow before dividends was $192 million and Adjusted Free Cash Flow after dividends was $85 million, an 8% increase compared to the prior year quarter.

The following table reconciles Net Income to Adjusted EBITDA and Adjusted Free Cash Flow before and after dividends (in thousands):

Three Months Ended

March 31,

2025

2026

Net Income

$

120,737

118,266

Interest expense, net

48,410

54,029

Income tax expense

36,096

37,639

Depreciation expense

32,748

34,635

Amortization of customer relationships

17,668

21,210

Equity-based compensation

12,402

10,579

Equity in earnings of unconsolidated affiliates

(28,020)

(30,012)

Distributions from unconsolidated affiliates

33,375

35,720

Impairment of property and equipment

817

—

Gain on long-lived assets

—

(2,658)

Transaction expense

—

8,689

Other operating expense, net(1)

44

34

Adjusted EBITDA

$

274,277

288,131

Interest expense, net

(48,410)

(54,029)

Capital expenditures (accrual-based)

(37,288)

(41,952)

  Current income tax expense

(1,680)

—

Adjusted Free Cash Flow before dividends

$

186,899

192,150

Dividends declared (accrual-based)

(107,836)

(106,871)

Adjusted Free Cash Flow after dividends

$

79,063

85,279

(1) Other operating expense represents accretion of asset retirement obligations and gain on asset sale.

The following table reconciles net cash provided by operating activities to Adjusted Free Cash Flow before and after dividends (in thousands):

Three Months Ended

March 31,

2025

2026

Net cash provided by operating activities

$

198,942

238,624

Amortization of deferred financing costs

(1,307)

(1,512)

Settlement of asset retirement obligations

210

34

Transaction expense

—

8,689

Changes in working capital

26,342

(11,733)

Capital expenditures (accrual-based)

(37,288)

(41,952)

Adjusted Free Cash Flow before dividends

$

186,899

192,150

Dividends declared (accrual-based)

(107,836)

(106,871)

Adjusted Free Cash Flow after dividends

$

79,063

85,279

Conference Call

A conference call is scheduled on Thursday, April 30, 2026 at 10:00 am MT to discuss the financial and operational results.  A brief Q&A session for security analysts will immediately follow the discussion of the results.  To participate in the call, dial in at 877-407-9126 (U.S.), or 201-493-6751 (International) and reference "Antero Midstream."  A telephone replay of the call will be available until Thursday, May 7, 2026 at 10:00 am MT at 877-660-6853 (U.S.) or 201-612-7415 (International) using the conference ID: 13758947. To access the live webcast and view the related earnings conference call presentation, visit Antero Midstream's website at www.anteromidstream.com.  The webcast will be archived for replay until Thursday, May 7, 2026 at 10:00 am MT.

Presentation

An updated presentation will be posted to the Company's website before the conference call.  The presentation can be found at www.anteromidstream.com on the homepage.  Information on the Company's website does not constitute a portion of, and is not incorporated by reference into, this press release.

Non-GAAP Financial Measures and Definitions

Antero Midstream uses certain non-GAAP financial measures.  Antero Midstream defines Adjusted Net Income as Net Income adjusted for certain items.  Antero Midstream uses Adjusted Net Income to assess the operating performance of its assets.  Antero Midstream defines Adjusted EBITDA as Net Income adjusted for certain items.

Antero Midstream uses Adjusted EBITDA to assess:

the financial performance of Antero Midstream's assets, without regard to financing methods, capital structure or historical cost basis; its operating performance and return on capital as compared to other publicly traded companies in the midstream energy sector, without regard to financing or capital structure; and the viability of acquisitions and other capital expenditure projects. Antero Midstream defines Adjusted Free Cash Flow before dividends as Adjusted EBITDA less net interest expense, accrual-based capital expenditures, and current income tax expense.  Capital expenditures include additions to gathering systems and facilities, additions to water handling systems, and investments in unconsolidated affiliates.  Capital expenditures exclude acquisitions and Adjusted Free Cash Flow excludes transaction expense related to acquisitions. Adjusted Free Cash Flow after dividends is defined as Adjusted Free Cash Flow before dividends less accrual-based dividends declared for the quarter.  Antero Midstream uses Adjusted Free Cash Flow before and after dividends as a performance metric to compare the cash generating performance of Antero Midstream from period to period.

Adjusted EBITDA, Adjusted Net Income, and Adjusted Free Cash Flow before and after dividends are non-GAAP financial measures.  The GAAP measure most directly comparable to these measures is Net Income.  Such non-GAAP financial measures should not be considered as alternatives to the GAAP measures of Net Income and cash flows provided by (used in) operating activities.  The presentations of such measures are not made in accordance with GAAP and have important limitations as analytical tools because they include some, but not all, items that affect Net Income and cash flows provided by (used in) operating activities.  You should not consider any or all such measures in isolation or as a substitute for analyses of results as reported under GAAP.  Antero Midstream's definitions of such measures may not be comparable to similarly titled measures of other companies.

The following table reconciles cash paid for capital expenditures and accrued capital expenditures during the period (in thousands):

Three Months Ended

March 31,

2025

2026

Capital expenditures (as reported on a cash basis)

$

32,276

38,806

Change in accrued capital costs

5,012

3,146

Capital expenditures (accrual basis)

$

37,288

41,952

Antero Midstream defines Net Debt as consolidated total debt, excluding unamortized debt premiums and debt issuance costs, less cash, cash equivalents and restricted cash.  Antero Midstream views Net Debt as an important indicator in evaluating Antero Midstream's financial leverage.  Antero Midstream defines Leverage as Net Debt divided by Adjusted EBITDA for the last twelve months.  The GAAP measure most directly comparable to Net Debt is total debt, excluding unamortized debt premiums and debt issuance costs.

The following table reconciles consolidated total debt to Net Debt as used in this release (in thousands):

March 31, 2026

Bank credit facility

$

442,400

5.75% senior notes due 2028

650,000

5.375% senior notes due 2029

750,000

6.625% senior notes due 2032

600,000

5.75% senior notes due 2033

650,000

5.75% senior notes due 2034

600,000

Consolidated total debt

$

3,692,400

Less: Cash, cash equivalents and restricted cash

—

Consolidated net debt

$

3,692,400

Antero Midstream Corporation is a Delaware corporation that owns, operates and develops midstream gathering, compression, processing and fractionation assets located in the Appalachian Basin, as well as integrated water assets that primarily service Antero Resources Corporation's (NYSE: AR) ("Antero Resources") properties.

This release includes "forward-looking statements." Words such as "may," "assume," "forecast," "position," "predict," "strategy," "expect," "intend," "plan," "estimate," "anticipate," "believe," "project," "budget," "potential," or "continue," and similar expressions are used to identify forward-looking statements, although not all forward-looking statements contain such identifying words.  Such forward-looking statements are subject to a number of risks and uncertainties, many of which are not under Antero Midstream's control.  All statements, except for statements of historical fact, made in this release regarding activities, events or developments Antero Midstream expects, believes or anticipates will or may occur in the future, such as statements regarding our strategy, future operations, financial position, estimated revenues and losses, Antero Resources' and Antero Midstream's respective ability to integrate acquired assets and achieve the intended operational, financial and strategic benefits from any such transactions, projected costs, prospects, plans and objectives of management, Antero Resources' expected production and development plan, natural gas, NGLs and oil prices, Antero Midstream's ability to realize the anticipated benefits of its investments in unconsolidated affiliates, Antero Midstream's ability to execute its share repurchase and dividend program, Antero Midstream's ability to execute its business strategy, impacts of geopolitical events, including the conflicts in Ukraine, Venezuela and in the Middle East, and world health events, information regarding long-term financial and operating outlooks for Antero Midstream and Antero Resources, information regarding Antero Resources' expected future growth and its ability to meet its drilling and development plan and the participation level of Antero Resources' drilling partner, the impact on demand for Antero Midstream's services as a result of incremental production by Antero Resources, the impact of recently enacted legislation, and expectations regarding the amount and timing of litigation awards are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.  These forward-looking statements are based on management's current beliefs, based on currently available information, as to the outcome and timing of future events.  All forward-looking statements speak only as of the date of this release.  Although Antero Midstream believes that the plans, intentions and expectations reflected in or suggested by the forward-looking statements are reasonable, there is no assurance that these plans, intentions or expectations will be achieved.  Therefore, actual outcomes and results could materially differ from what is expressed, implied or forecast in such statements.  Except as required by law, Antero Midstream expressly disclaims any obligation to and does not intend to publicly update or revise any forward-looking statements.

Antero Midstream cautions you that these forward-looking statements are subject to all of the risks and uncertainties incidental to our business, most of which are difficult to predict and many of which are beyond Antero Midstream's control.  These risks include, but are not limited to, risks associated with the successful integration and future performance of acquired assets and operations, commodity price volatility, inflation, supply chain or other disruptions, environmental risks, Antero Resources' drilling and completion and other operating risks, regulatory changes or changes in law, the uncertainty inherent in projecting Antero Resources' future rates of production, cash flows and access to capital, the timing of development expenditures, impacts of world health events, cybersecurity risks, the state of markets for, and availability of, verified quality carbon offsets and the other risks described under the heading "Risk Factors" in Antero Midstream's Annual Report on Form 10-K for the year ended December 31, 2025 and the Quarterly Report on Form 10-Q for the quarter ended March 31, 2026..

ANTERO MIDSTREAM CORPORATION

Condensed Consolidated Balance Sheets

 (In thousands, except per share amounts)

(Unaudited)

December31,

March31,

2025

2026

Assets

Current assets:

Cash and cash equivalents

$

180,435

—

Restricted cash

82,500

—

Accounts receivable–Antero Resources

106,771

147,086

Accounts receivable–third party

993

3,156

Income tax receivable

1,896

1,896

Current assets held for sale

4,600

—

Other current assets

2,669

2,804

Total current assets

379,864

154,942

Long-term assets:

Property and equipment, net

3,454,572

3,931,657

Investments in unconsolidated affiliates

585,778

580,970

Customer relationships

1,074,087

1,682,303

Operating leases right-of-use assets

—

46,156

Assets held for sale

379,036

—

Other assets, net

10,779

9,836

Total assets

$

5,884,116

6,405,864

Liabilities and Stockholders' Equity

Current liabilities:

Accounts payable–Antero Resources

$

5,366

9,003

Accounts payable–third party

10,368

15,862

Accrued liabilities

91,527

117,576

Short-term lease liabilities

—

13,176

Current liabilities held for sale

2,297

—

Other current liabilities

1,924

1,633

Total current liabilities

111,482

157,250

Long-term liabilities:

Long-term debt

3,222,530

3,665,937

Deferred income tax liability, net

562,996

600,634

Long-term lease liabilities

—

33,415

Liabilities held for sale

3,021

—

Other

12,046

12,179

Total liabilities

3,912,075

4,469,415

Stockholders' equity:

Preferred stock, $0.01 par value: 100,000 authorized as of December 31, 2025 and
March 31, 2026

Series A non-voting perpetual preferred stock; 12 designated and 10 issued and
outstanding as of December 31, 2025 and March 31, 2026

—

—

Common stock, $0.01 par value; 2,000,000 authorized; 474,060 and 475,028 issued and
outstanding as of December 31, 2025 and March 31, 2026, respectively

4,741

4,750

Additional paid-in capital

1,952,524

1,827,496

Retained earnings

14,776

104,203

Total stockholders' equity

1,972,041

1,936,449

Total liabilities and stockholders' equity

$

5,884,116

6,405,864

ANTERO MIDSTREAM CORPORATION

Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited)

(In thousands, except per share amounts)

Three Months Ended March 31,

2025

2026

Revenue:

Gathering and compression–Antero Resources

$

238,017

261,999

Gathering and compression–third party

—

295

Water handling–Antero Resources

70,275

72,816

Water handling–third party

505

311

Amortization of customer relationships

(17,668)

(21,210)

Total revenue

291,129

314,211

Operating expenses:

Direct operating

56,830

70,697

General and administrative (including $12,402 and $10,579 of equity-based
compensation in 2025 and 2026, respectively)

23,024

22,347

Facility idling

443

545

Depreciation

32,748

34,635

Impairment of property and equipment

817

—

Gain on long-lived assets

—

(2,658)

Other operating expense, net

44

34

Total operating expenses

113,906

125,600

Operating income

177,223

188,611

Other income (expense):

Interest expense, net

(48,410)

(54,029)

Equity in earnings of unconsolidated affiliates

28,020

30,012

Transaction expense

—

(8,689)

Total other expense

(20,390)

(32,706)

Income before income taxes

156,833

155,905

Income tax expense

(36,096)

(37,639)

Net income and comprehensive income

$

120,737

118,266

Net income per common share–basic

$

0.25

0.25

Net income per common share–diluted

$

0.25

0.25

Weighted average common shares outstanding:

Basic

479,064

473,866

Diluted

484,378

477,963

ANTERO MIDSTREAM CORPORATION

Selected Operating Data (Unaudited)

Amount of

Three Months Ended March 31,

 Increase

Percentage

2025

2026

or Decrease

Change

Operating Data:

Gathering (MMcf)

301,298

342,446

41,148

14

%

Centralized compression (MMcf)

299,718

303,328

3,610

1

%

High pressure gathering (MMcf)

279,579

281,950

2,371

1

%

Fresh water delivery (MBbl)(1)

9,415

7,506

(1,909)

(20)

%

Other water handling (MBbl)(2)

5,179

8,359

3,180

61

%

Wells serviced by fresh water delivery

28

26

(2)

(7)

%

Gathering (MMcf/d)

3,348

3,805

457

14

%

Centralized compression (MMcf/d)

3,330

3,370

40

1

%

High pressure gathering (MMcf/d)

3,106

3,133

27

1

%

Fresh water delivery (MBbl/d)(1)

105

83

(22)

(21)

%

Other water handling (MBbl/d)(2)

58

93

35

60

%

Average Realized Fees(3):

Gathering ($/Mcf)

$

0.36

0.37

0.01

3

%

Centralized compression ($/Mcf)

$

0.22

0.22

—

*

High pressure gathering ($/Mcf)

$

0.23

0.23

—

*

Fresh water delivery ($/Bbl)(1)

$

4.38

4.44

0.06

1

%

Joint Venture Operating Data:

Processing (MMcf)

148,523

153,722

5,199

4

%

Fractionation (MBbl)

3,600

3,600

—

*

Processing (MMcf/d)

1,650

1,708

58

4

%

Fractionation (MBbl/d)

40

40

—

*

*Not meaningful or applicable.

(1)

Fresh water delivery includes fresh water charged at a fixed fee under our water services agreement with Antero Resources.

(2)

Other water handling includes fresh water charged at cost plus 3% for services provided to Antero Resources on its acreage acquired from HG Production and our other fluid handling services charged at cost plus 3% or cost of service.

(3)

The average realized fees for the three months ended March 31, 2026 include annual CPI-based adjustments of approximately 1.5%.

ANTERO MIDSTREAM CORPORATION

Condensed Consolidated Results of Segment Operations (Unaudited)

(In thousands)

Three Months Ended March 31, 2026

Gathering and

Water

Consolidated

(in thousands)

Processing

Handling

Unallocated (1)

Total

Revenues:

Revenue–Antero Resources

$

261,999

72,816

—

334,815

Revenue–third-party

295

311

—

606

Amortization of customer relationships

(12,384)

(8,826)

—

(21,210)

Total revenues

249,910

64,301

—

314,211

Operating expenses:

Direct operating

30,030

40,667

—

70,697

General and administrative (excluding equity-based compensation)

7,226

3,281

1,261

11,768

Equity-based compensation

7,596

2,669

314

10,579

Facility idling

—

545

—

545

Depreciation

17,844

16,791

—

34,635

Loss on long-lived assets

(3,229)

571

—

(2,658)

Other operating expense, net

—

34

—

34

Total operating expenses

59,467

64,558

1,575

125,600

Operating income (loss)

190,443

(257)

(1,575)

188,611

Other income (expense):

Interest expense, net

—

—

(54,029)

(54,029)

Equity in earnings of unconsolidated affiliates

30,012

—

—

30,012

Transaction expense

—

—

(8,689)

(8,689)

Total other income (expense)

30,012

—

(62,718)

(32,706)

Income (loss) before income taxes

220,455

(257)

(64,293)

155,905

Income tax expense

—

—

(37,639)

(37,639)

Net income (loss) and comprehensive income (loss)

$

220,455

(257)

(101,932)

118,266

(1) Corporate expenses that are not directly attributable to either the gathering and processing or water handling segments.

ANTERO MIDSTREAM CORPORATION

Condensed Consolidated Statements of Cash Flows (Unaudited)

(In thousands)

Three Months Ended March 31,

2025

2026

Cash flows provided by (used in) operating activities:

Net income

$

120,737

118,266

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

Depreciation

32,748

34,635

Impairment of property and equipment

817

—

Deferred income tax expense

34,416

37,639

Equity-based compensation

12,402

10,579

Equity in earnings of unconsolidated affiliates

(28,020)

(30,012)

Distributions from unconsolidated affiliates

33,375

35,720

Amortization of customer relationships

17,668

21,210

Amortization of deferred financing costs

1,307

1,512

Settlement of asset retirement obligations

(210)

(34)

Gain on long-lived assets

—

(2,658)

Other operating activities

44

34

Changes in assets and liabilities:

Accounts receivable–Antero Resources

(8,825)

(8,450)

Accounts receivable–third party

35

(246)

Other current assets

(695)

(99)

Accounts payable–Antero Resources

1,629

982

Accounts payable–third party

1,056

6,350

Income taxes payable

1,783

—

Accrued liabilities

(21,325)

13,196

Net cash provided by operating activities

198,942

238,624

Cash flows provided by (used in) investing activities:

Additions to gathering systems, facilities and other

(22,081)

(19,437)

Additions to water handling systems

(8,447)

(18,469)

Additional investments in unconsolidated affiliate

(1,748)

(900)

Acquisition of HG Midstream

—

(1,120,593)

Proceeds from asset sales

5

378,628

Net cash used in investing activities

(32,271)

(780,771)

Cash flows provided by (used in) financing activities:

Dividends to common stockholders

(112,615)

(111,096)

Dividends to preferred stockholders

(138)

(138)

Repurchases of common stock

(28,569)

(18,013)

Borrowings on Credit Facility

304,300

1,076,900

Repayments on Credit Facility

(311,200)

(634,500)

Payments of deferred financing costs

—

(1,319)

Employee tax withholding for settlement of equity-based compensation awards

(18,449)

(32,536)

Payments on capital lease obligations

—

(86)

Net cash provided by (used in) financing activities

(166,671)

279,212

Net decrease in cash, cash equivalents and restricted cash

—

(262,935)

Cash, cash equivalents and restricted cash, beginning of period

—

262,935

Cash, cash equivalents and restricted cash, end of period

$

—

—

Supplemental disclosure of cash flow information:

Cash paid during the period for interest

65,272

44,525

Increase in accrued capital expenditures and accounts payable for property and equipment

5,012

3,146

Increase in accounts receivable–Antero Resources and accounts receivable–third party for the acquisition of HG Midstream

—

11,830

Right-of-use assets obtained in exchange for new operating lease obligations

351

47,473

SOURCE Antero Midstream Corporation

Antero Midstream Corporation (AM) Q1 2026 Earnings Call Transcript

Key Takeaways Antero Midstream missed EPS estimates as higher operating expenses offset strong revenue growth.Antero Midstream revenues rose 7.9% y/y, driven by 14% growth in gathering volumes and higher throughput.AM's operating cash flow climbed to $238.6M, supporting dividends, buybacks and growth investments. Antero Midstream (AM - Free Report) reported first-quarter 2026 earnings per share of 25 cents, missing the Zacks Consensus Estimate of 26 cents by 3.9%. Earnings were in line with the year-ago quarter’s level of 25 cents.

Total quarterly revenues of $314.21 million beat the Zacks Consensus Estimate of $300.07 million by 4.7%. The top line also improved 7.9% from $291.13 million in the year-ago quarter. Full capacity utilization in processing and fractionation underscored robust demand despite inflationary cost pressures.

The lower-than-expected quarterly earnings can be attributed to an increase in total operating expenses. However, higher gathering and compression volumes partially offset the negatives.

AM's Revenue Mix Improved on Gathering StrengthGathering and centralized compression revenues rose to $262.00 million from $238.02 million a year ago, driven by higher throughput. Total average daily gathering volumes increased 14% year over year to 3,805 million cubic feet (MMcf/d) from 3,348 MMcf/d, reflecting continued activity on AM’s dedicated acreage. The reported figure was above our estimate of 3,361 MMcf/d. On a per-Mcf basis, the average gathering fee increased 3% from 36 cents a year ago to 37 cents.

High-pressure gathering volumes totaled 3,133 MMcf/d, up 1% from the year-ago level of 3,106 MMcf/d. Our estimate for the same was 3,185 MMcf/d. On a per-Mcf basis, the average high-pressure gathering fee was 23 cents, which remained flat year over year. The reported figure met our estimate of 23 cents.

Centralized compression volumes averaged 3,370 MMcf/d compared with 3,330 MMcf/d a year ago. The figure was below our estimate of 3,400 MMcf/d. On a per-Mcf basis, the average centralized compression fee was 23 cents, which remained flat year over year. The reported figure met our estimate of 23 cents.

Antero Midstream's Water Handling Mix Shifted SharplyFresh water delivery volumes averaged 83 MBbl/d, down 21% from 105 MBbl/d in the prior-year quarter, pointing to a different cadence of completion activity on the legacy system. The figure was below our estimate of 106 MBbl/d. On a per-barrel basis, the average realized fresh water delivery fee was $4.44 compared with $4.38 a year ago, reflecting annual CPI-based adjustments embedded in the contracts. The figure was above our estimate of $4.39.

Other water handling volumes jumped to 93 MBbl/d from 58 MBbl/d, a 60% increase year over year. This category includes services on acreage acquired from HG Production as well as other fluid-handling work charged under cost-plus arrangements, helping explain the sharp shift in the water mix during the quarter. The figure was above our estimate of 61 MBbl/d.

AM's Operating Expenses Rose as the Quarter Stayed BusyTotal operating expenses increased to $125.60 million from $113.91 million in the prior-year quarter. Direct operating expenses climbed to $70.70 million from $56.83 million a year ago.

Below the operating line, interest expense, net, increased to $54.03 million from $48.41 million in the year-ago quarter, which management tied to financing associated with the HG Energy acquisition. The quarter also included $8.69 million of transaction expenses related to the HG Midstream acquisition, contributing to the earnings shortfall versus the Zacks estimate despite the revenue beat.

Antero Midstream's Cash Flow Covered Dividends & BuybacksOperating cash flow increased in the first quarter of 2026 with net cash provided by operating activities of $238.62 million compared with $198.94 million in the year-ago quarter. On a non-GAAP basis, adjusted free cash flow after dividends was $85.28 million, up from $79.06 million a year ago.

AM reported capital expenditures of $42 million during the quarter, including $26 million for gathering and compression and $15 million for water infrastructure. The company also repurchased 1.0 million shares for $18 million and ended the quarter with about $318 million of remaining capacity under its repurchase authorization, keeping capital return in focus alongside growth investments.

Balance Sheet of AMAs of March 31, 2026, the company had a long-term debt of $3.67 billion with no cash and cash equivalent in hand.

AM Targets Integration Milestones and New Demand ProjectsManagement highlighted that the newly acquired assets were integrated during Winter Storm Fern with no service interruptions. Commissioning of the dry gas compression expansion is complete and integration of the water systems is underway, with full completion expected by year-end.

Looking ahead, the company is capitalizing on local power and data center opportunities to drive future growth. Work has already begun on the HG assets integration, focusing specifically on water systems. Management expects to deliver high single-digit EBITDA growth in the coming days, driven by enhanced connectivity and active development across rich gas, dry gas and blended areas.

AM’s Zacks Rank & Key PicksAM currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the energy sector are Chevron Corporation (CVX - Free Report) , Kinder Morgan, Inc. (KMI - Free Report) and Eni S.p.A. (E - Free Report) . CVX, KMI and E each sport a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Chevron reported first-quarter 2026 adjusted earnings per share of $1.41, which beat the Zacks Consensus Estimate of 92 cents.

As of March 31, 2026, CVX reported $5.3 million in cash and cash equivalents. At the quarter's end, its total debt amounted to $45.4 billion.

Kinder Morgan reported first-quarter 2026 adjusted earnings per share (EPS) of 48 cents, which beat the Zacks Consensus Estimate of 38 cents.

As of March 31, 2026, KMI reported $72 million in cash and cash equivalents. At the quarter's end, its long-term debt amounted to $29.72 billion.

Eni reported first-quarter 2026 adjusted earnings from continuing operations of 81 cents per American Depository Receipt, which missed the Zacks Consensus Estimate of $1.13.

As of March 31, 2026, E had a long-term debt of €21.7 billion and cash and cash equivalents of €8.3 billion.

Results from Study AM-001 mark a pivotal advance through the transition to a once daily lower 400mg dose of AM enabling:

Production of GMP clinical batch for Galmed's upcoming clinical trials Solidification and prolongation of Aramchol's IP protection Potential reduction in drug CoGs by ~50% Improvement in patients' convenience and compliance upon potential commercialization , /PRNewswire/ -- Galmed Pharmaceuticals Ltd. (NASDAQ: GLMD) ("Galmed" or the "Company"), a clinical-stage biopharmaceutical company for liver disease and GI oncological therapeutics, announced today major milestone results from a Phase 1 PK study in healthy subjects (Study AM-001). The overall objective of the study was to identify the dose of Aramchol meglumine (AM) administered once daily that produces similar exposure to Aramchol from 300mg Aramchol free acid (AA) tablets dosed twice daily. Single doses of AM granules for oral suspension of 400 mg and 200mg were evaluated and compared to AA 300mg tablet. The study demonstrated that the bioavailability of Aramchol from the Aramchol meglumine granules for oral suspension is considerably greater (approximately 5-fold and 3-fold respectively) than that from Aramchol free acid tablets. An additional PK study (AM-003) comparing AM 400mg tablets once daily with AA 300mg tablets twice daily is ongoing. 

Aramchol down-regulates stearoyl CoA desaturase 1 (SCD1) in hepatocytes and in hepatic stellate cells (HSC's) and other tissues including various cancers. Metabolic-dysfunction associated steatohepatitis (MASH) (previously called non-alcoholic steatohepatitis (NASH)) is a common serious type of fatty liver disease often leading to cirrhosis, liver failure and sometimes to hepatocellular carcinoma. In Phase 2 and Phase 3 (open label part) clinical trials 600mg Aramchol reduced liver fat, attenuated steatohepatitis and demonstrated robust anti-fibrotic effects. To date ~ 600 adults have received single or multiple doses of Aramchol free acid, including ~240 healthy subjects and 360 patients with MASH.

Allen Baharaff, Galmed's Co-founder and CEO, commented: "A once daily lower dose of Aramchol meglumine is advantageous for compliance as monotherapy or in combination with other MASH candidates. Aramchol is currently being evaluated in multiple pre-clinical studies to overcome drug resistance and enhance the efficacy of standard-of-care (SoC) oncology agents for GI cancer treatments. A higher exposure will be needed in order to leverage Aramchol's multi-system therapeutic potential, well beyond its initial MASH applications. We believe that today's announced pivotal development positions Aramchol as a potential valuable tool in the arsenal of treatments for GI conditions including MASH and GI cancers and strengthens Galmed position in the GI space."

About Galmed Pharmaceuticals Ltd.:

We are a biopharmaceutical company focused on the development of Aramchol. We have focused almost exclusively on developing Aramchol for the treatment of liver disease, and we are currently seeking to advance the development of Aramchol for oncological indications beyond NASH and fibrosis. In addition, as part of our growth strategy, we are actively pursuing opportunities to expand and diversify our product pipeline, specifically targeting cardiometabolic and neurological indications and other innovative product candidates that align with our core expertise in drug development.

Forward-Looking Statements:

Forward-looking statements relate to anticipated or expected events, activities, trends or results as of the date they are made. Because forward-looking statements relate to matters that have not yet occurred, these statements are inherently subject to risks and uncertainties that could cause our actual results to differ materially from any future results expressed or implied by the forward-looking statements. Forward-looking statements may include, but are not limited to, statements relating to the potential commercialization of Aramchol, the Company's belief that the pivotal development positions Aramchol as a potential valuable tool in the arsenal of treatments for GI conditions including MASH and GI cancers and strengthens Galmed position in the GI space. Many factors could cause our actual activities or results to differ materially from the activities and results anticipated in forward-looking statements, including, but not limited to, the development and approval of the use of Aramchol or any other product candidate for indications outside of non-alcoholic steatohepatitis, or NASH, also known as metabolic dysfunction-associated steatohepatitis, or MASH, and fibrosis or in combination therapy; the timing and cost of any pre-clinical or clinical trials of Aramchol or any other product candidate we develop; completion and receiving favorable results of any pre-clinical or clinical trial; regulatory action with respect to Aramchol or any other product candidate by the U.S. Food and Drug Administration, or the FDA, or the European Medicines Authority, or EMA, including but not limited to acceptance of an application for marketing authorization, review and approval of such application, and, if approved, the scope of the approved indication and labeling; the commercial launch and future sales of Aramchol and any future product candidates; our ability to comply with all applicable post-market regulatory requirements for Aramchol, or any other product candidate in the countries in which we seek to market the product; our ability to achieve favorable pricing for Aramchol, or any other product candidate; third-party payor reimbursement for Aramchol, or any other product candidate; our estimates regarding anticipated capital requirements and our needs for additional financing; market adoption of Aramchol or any other product candidate by physicians and patients; the timing, cost or other aspects of the commercial launch of Aramchol or any other product candidate; our ability to obtain and maintain adequate protection of our intellectual property; the possibility that we may face third-party claims of intellectual property infringement; our ability to manufacture our product candidates in commercial quantities, at an adequate quality or at an acceptable cost; our ability to establish adequate sales, marketing and distribution channels; intense competition in our industry, with competitors having substantially greater financial, technological, research and development, regulatory and clinical, manufacturing, marketing and sales, distribution and personnel resources than we do; our expectations regarding licensing, acquisitions and strategic operations; current or future unfavorable economic and market conditions and adverse developments with respect to financial institutions and associated liquidity risk; our ability to maintain the listing of our ordinary shares on The Nasdaq Capital Market; and the security, political and economic instability in the Middle East that could harm our business, including due to the current security situation in Israel. We believe these forward-looking statements are reasonable; however, these statements are only current predictions and are subject to known and unknown risks, uncertainties and other factors that may cause our or our industry's actual results, levels of activity, performance or achievements to be materially different from those anticipated by the forward-looking statements. We discuss many of these risks in our Annual Report on Form 20-F for the year ended December 31, 2025, filed with the SEC on March 31, 2026 in greater detail under the heading "Risk Factors." Given these uncertainties, you should not rely upon forward-looking statements as predictions of future events. All forward-looking statements attributable to us or persons acting on our behalf speak only as of the date hereof and are expressly qualified in their entirety by the cautionary statements included in this report. We undertake no obligations to update or revise forward-looking statements to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events. In evaluating forward-looking statements, you should consider these risks and uncertainties.

Logo: https://mma.prnewswire.com/media/1713483/Galmed_Pharmaceuticals_Logo.jpg

SOURCE Galmed Pharmaceuticals Ltd.

Mattel, Inc. (MAT) Q1 2026 Earnings Call Transcript

Key Takeaways MAT posted a narrower Q1 loss of $0.20 per share and net sales of $862M, beating estimates.MAT Vehicles' gross billings rose 17% YoY to $361M, while Dolls and Infant/Toddler/Preschool declined.MAT gross margin fell 450 bps to 45.1% as tariffs, FX and inflation outweighed mitigation actions. Mattel, Inc. (MAT - Free Report) reported first-quarter 2026 results, with adjusted earnings and net sales beating the Zacks Consensus Estimate. Revenues improved, while the bottom line fell from the prior-year quarter levels.

The company posted an adjusted loss of 20 cents per share, narrower than the Zacks Consensus Estimate of a loss of 24 cents by 16.67%. The bottom line declined from an adjusted loss of 2 cents reported in the prior-year quarter.

Net sales of $862 million topped the consensus mark of $801 million by 7.59% and increased 4% year over year. Gross billings, a key demand indicator in the toy industry, rose 2% year over year in constant currency to $972 million, led by Vehicles' momentum.

MAT Sees International Growth Cushion U.S. Softness in Q1Segment results reflected a clear geographic split in the first quarter. International net sales rose 15% year over year to $387.0 million, driven by broad-based growth across EMEA, Latin America and Asia Pacific. Management also cited positive consumer demand trends, with global point-of-sale up mid-single digits.

North America remained pressured. Net sales declined 3% year over year to $475.1 million, down from $491.4 million a year ago. Management attributed the softness primarily to U.S. retailer ordering patterns shifting from direct import to domestic shipping, while noting those patterns appear to be stabilizing and expecting the region to return to growth in the second quarter.

Mattel Vehicles Lead Growth as Dolls and ITPS WeakenCategory performance again highlighted Vehicles as the primary engine. Worldwide gross billings for Vehicles increased 17% year over year to $361 million, or 13% in constant currency, supported by continued momentum in Hot Wheels. Management also pointed to double-digit growth for Hot Wheels and Disney and Pixar’s Cars within the Vehicles portfolio.

Other categories trended lower. Dolls gross billings declined 8% year over year to $272 million, primarily due to lower Barbie results, partially offset by Monster High. Infant, Toddler and Preschool gross billings fell 16% year over year to $106 million, reflecting weaker Fisher-Price performance, though Little People delivered double-digit growth. Action Figures, Building Sets, Games and Other increased 21% year over year to $233 million, aided by Games growth (including a partial-quarter contribution from Mattel163), strength in Action Figures tied to owned and partner properties, and continued expansion of Mattel Brick Shop.

MAT’s Q1 Margin Slides on Tariffs, FX & Inflation HeadwindsProfitability deteriorated despite the stronger net sales performance. Adjusted gross margin declined 450 basis points year over year to 45.1%, reflecting a higher cost environment and limited near-term offsets.

Management quantified the year-over-year pressure as 240 basis points from the gross incremental cost of tariffs, 140 basis points from unfavorable foreign exchange and 90 basis points from inflation. Tariff mitigation actions and savings initiatives provided partial relief, but the net impact weighed on gross profit in the quarter. Mattel reiterated its expectation for sequential improvement as the year progresses, with the second quarter still below 50% and stronger margin performance anticipated in the second half.

Mattel’s Expenses Rise With Marketing and Strategic SpendOperating costs moved higher as Mattel invested in brands and growth platforms. Advertising and promotion expense increased $23.0 million year over year to $92.9 million, reflecting the timing of Easter and the inclusion of Mattel163 expenses.

SG&A also rose as strategic initiatives ramped. On an adjusted basis, SG&A increased $19.0 million to $366.3 million, which management attributed primarily to the company’s strategic investments. Mattel reiterated its plans for approximately $150 million of investments in 2026 to accelerate growth and profitability across self-published mobile games, building sets, DTC, first-party data, and technology and infrastructure. The company also highlighted ongoing progress integrating Mattel163 and pointed to an entertainment slate that includes the global theatrical release of Masters of the Universe on June 5.

MAT’s Cash Flow Weakens on Mattel163 and BuybacksCash generation turned negative in the quarter as the company executed on capital allocation priorities. Cash flows used in operating activities totaled $22.9 million, against an inflow of $24.8 million reported in the year-ago period.

Investing activity was also elevated. Cash flows used in investing activities were $143.6 million, primarily tied to cash paid for the Mattel163 acquisition (net of cash acquired) and higher capital expenditures.

Capital spending increased to $65.1 million, resulting in free cash flow of negative $88.1 million. Mattel repurchased $200 million of shares during the quarter and reiterated its target of $400 million in repurchases for 2026, while ending the period with $866 million of cash and equivalents and $2,332.8 million of long-term debt. Inventory was $676.9 million at quarter’s end, a modest increase year over year that management linked to tariff-related costs.

MAT Reaffirms 2026 Outlook as Q2 Shipping AcceleratesManagement reaffirmed its 2026 outlook, projecting net sales growth of 3% to 6% in constant currency. The company also expects adjusted gross margin to be approximately 50% for the full year, with sequential improvement through 2026 and stronger performance in the second half.

On a recast basis, Mattel guided to adjusted operating income of $580 million to $630 million and adjusted earnings of $1.27 to $1.39 per share, with an adjusted tax rate of approximately 24%. Management also pointed to top-line acceleration early in the second quarter, supported by stronger shipping trends and expectations that U.S. ordering patterns will stabilize, as the company advances its IP-driven play and family entertainment strategy alongside continued integration of Mattel163.

MAT’s Zacks Rank & Key PicksGDEV presently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The company delivered a trailing four-quarter earnings surprise of 262.7%, on average. The consensus estimate for GDEV’s 2026 sales and EPS implies growth of 6.4% and 23.8%, respectively, from the year-ago levels.

Accel Entertainment carries a Zacks Rank #2 (Buy) at present. The company delivered a trailing four-quarter earnings surprise of 23.4%, on average.

The consensus estimate for Accel Entertainment’s 2026 sales and EPS implies growth of 5.1% and 15%, respectively, from the year-ago levels.

Take-Two Interactive carries a Zacks Rank #2 at present. The company delivered a trailing four-quarter earnings surprise of 58.9%, on average.

The Zacks Consensus Estimate for Take-Two Interactive’s 2026 sales and EPS indicates growth of 18.2% and 90.7%, respectively, from the year-ago levels.

Mattel, Inc (NASDAQ:MAT) is expected to see improved growth in 2026, according to Jefferies, which raised its forecasts and price target for the toymaker, citing potential upside from its entertainment-driven product slate.

Jefferies has increased its fiscal 2026 sales growth estimate to 6.6% year over year, up from a prior 4.5% and above the roughly 6% consensus.

The firm also lifted its earnings per share forecast to $1.35 and set a price target of $19.

Shares of Mattel traded up 2.5% at about $15 on Wednesday afternoon.

The analysts pointed to two key variables for 2026: upcoming releases tied to the “Masters of the Universe” franchise and Disney’s “Toy Story 5,” for which Mattel holds the toy license. According to Jefferies, neither film would need a breakout box office performance to drive incremental revenue and profit upside.

For “Masters of the Universe,” scenario analysis suggests a wide range of outcomes, with estimated sales contributions between $9.8 million and $243 million and EBIT ranging from $3.7 million to $47.3 million. The projections assume a 4% royalty rate tied to box office performance, along with additional merchandise-related uplift.

“Toy Story 5” is also seen as a meaningful contributor. Based on historical trends from the 2019 release, Jefferies’ base case assumes toy sales of about $182 million, with a potential increase to more than $327 million in a stronger scenario. Estimated EBIT contribution ranges from roughly $10.2 million to $45.8 million.

Jefferies said both franchises would primarily benefit Mattel’s Challenger and “Other” categories, which the company has indicated should post strong growth. Under its base case, the firm expects these segments to grow about 14%, compared with consensus expectations of 6%.

In a more optimistic scenario, the two entertainment properties could contribute roughly six percentage points of additional sales growth, though the analysts cautioned that gains in these categories could be partially offset by weaker trends in other segments, including dolls.

MEMPHIS, Tenn.--(BUSINESS WIRE)--Southeastern Asset Management, Inc. (“Southeastern”) today issued an open letter to the board of directors and shareholders of Mattel, Inc. (NASDAQ: MAT) (“Mattel” or the “Company”), calling on the Company to explore strategic alternatives. The full text of the letter is below. May 7, 2026 Board of Directors and Shareholders of Mattel, Inc. c/o Secretary, TWR 15-1 Mattel, Inc. 333 Continental Boulevard El Segundo, CA 90245-5012 VIA Email, FedEx and Press Release.

Southeastern Asset Management is calling for a sale of Mattel, arguing it would be better off if owned by a private equity firm, competitor or large media company.